10-22-2001 HR MIN MEETING OF THE ELK RIVER
• HOUSING AND REDEVELOPMENT AUTHORITY
HELD AT THE ELK RIVER CITY HALL
MONDAY, OCTOBER 22, 2001
Members Present: Chair Toth, Commissioners Thompson,Lieser, and Motin
Members Absent: Commissioner Wilson
Staff Present: Catherine Mehelich,Executive Director;Pat K.laers, City Administrator;
Terry Maurer, City Engineer; and Sandra Peine, City Clerk
Also Present: Mayor Klinzing and Councilmember Kuester
1. Call Meeting To Order
Pursuant to due call and notice thereof, the meeting of the Elk River Housing and
Redevelopment Authority was called to order at 5:00 p.m. by Chair Toth.
2. Consider 10/22/01 HRA Agenda
COMMISSIONER THOMPSON MOVED TO APPROVE THE OCTOBER 22,
2001, HRA AGENDA AS PRESENTED. COMMISSIONER MOTIN SECONDED
• THE MOTION. THE MOTION CARRIED 4-0.
3. Consider Consent Agenda
COMMISSIONER THOMPSON MOVED TO APPROVE THE CONSENT
AGENDA AS FOLLOWS:
3.1. 9/24/01 HRA MINUTES—APPROVED
3.2. CHECK REGISTER—APPROVED
3.3. REVENUE/EXPENDITURE REPORT—ACCEPTED
3.4. BALANCE SHEET —ACCEPTED
COMMISSIONER MOTIN SECONDED THE MOTION. THE MOTION
CARRIED 4-0.
4. Open Mike
There was no one present for Open Mike.
5. Downtown Redevelopment Project—Worksession
Catherine Mehelich introduced Jim Prosser of Ehlers and Associates. She stated that Jim was
present to facilitate the HRA through the planning process for implementing a downtown
redevelopment project.
• Jim explained that the three areas of the redevelopment plan consist of the northern area
(North Highway 10), the western transition area (King Ave to Morton Ave), and the core
MBA Minutes Page 2
October 22,2001
central business district (Highway 10 south to River). He noted that the main focus of the
redevelopment project would involve the central business district.
Jim Prosser reviewed the problem areas that he recognized in the core central business
district.
• Lacks investment focus
• Lacks connection to the rest of the City
• Fails to capitoli7e on the riverfront
• Needs a transition role from retail core
The HRA acknowledged the problem areas described by Mr. Prosser and recognized
additional problems.
• Lack of parking—perceived or real
• Should include a draw such as a children's theater
• Vehicle and pedestrian access
• The affect of the future Highway 10 interregional corridor
• Would like to see service oriented and some residential
• If no action is taken, the change that will occur will be negative
Jim Prosser reviewed the goals that he has recognized for the core central business district.
• • Assure long term viability of downtown
• Provide community focal point
• Highlight riverfront location
• Replace market/economic obsolete buildings
• Strengthen commercial climate
• Connect to the rest of the community
The HRA acknowledged the goals described by Mr. Prosser and recognized additional goals.
• Maintain the traditional character of the downtown.
• Enhance the "pedestrian friendly" traditional character environment of the
downtown
• Recognize those buildings that have potential for revitalization
• Maintain strong visual public access to the river
Jim Prosser stated that in the future staff may be requesting proposals for the development.
He suggested that the HRA define the area for redevelopment. The HRA discussed the area
located north of the railroad tracks. It was decided that the area is in need of some work, but
that the focus should remain on a more concentrated area in order to receive better
proposals. The HRA also discussed the area west of the core downtown area. It was the
consensus of the HRA that the main area of redevelopment would be the core downtown
area, but that the areas west of downtown and north of Highway 10 would be made known
to the developers.
HRA Minutes Page 3
October 22,2001
Jim Prosser discussed the design guideline concepts that the HRA had created during the
redevelopment planning process with staff and following results of the recent Maxfield
Research Group market analysis.
• Mixed use
• Consider historical context study
• Gateway orientation
• Traditional downtown design
• Brick, stucco, stone materials
• Increased density
• Pedestrian orientation
• Strengthen connection to city
The HRA concurred with the guidelines with the exception of the Gateway orientation. The
HRA concluded that the word"Gateway" should be changed to "Cornerstone."The HRA
offered the following suggestions to the design guideline list.
• Increase exposure to the riverfront
• Visual breaks in the building design
Mr. Prosser discussed the"next steps"in the process.
• Meet with developers for preliminary concept ideas
• • Evaluate historical context study
• Prepare concept refinement with the HRA
• Prepare communication plan for the public
• Prepare RFP materials
• Define contextual issues (overpass,riverfront trails, etc.)
The HRA discussed the issue of communication. Mayor Klinzing suggested that special
interest groups be identified to be informed of and/or be a part of the project.
6. Presentation of City Housing Plan
Catherine Mehelich indicated that at the February 2001 HRA meeting the HRA authorized
the Central MN Housing Partnership to complete an analysis of the housing market
condition of the city. Catherine introduced Lisa Graphenteen of the Central MN Housing
Partnership.
Lisa Graphenteen presented the results of the housing study. She discussed the following
key points of the study:
• The City will continue to face strong population and household growth
• The largest population growth has occurred in the 25-44 and 5-17 age categories
• The median age is 32 years
• RENTAL HOUSING—
• • Tight market with a low vacancy rate
HRA Minutes Page 4
October 22,2001
• • Average cost of 2-bedroom apartment is $670 requiring an average household
to earn $12.90 per hour (30% of the household income goes to housing)
• The average industrial wage is $11.54 and the average manufacturing wage is $18.35
• HOUSING
• Low vacancy rate
• Median sales price $160,000 requiring a household to earn over$50,000
annually or$24.00 per hour.
Lisa indicated that the study revealed that average wages paid by industries in Sherburne
County are not sufficient to afford the median cost of a home in Elk River and some sectors
would not be able to afford the average cost of a two-bedroom apartment.
Lisa also discussed strategies the city should consider to address the issues discussed.
Mayor Klinzing discussed the need for a workforce development housing project and for
transitional housing. The Mayor stated that affordable housing is only part of the total
housing problem throughout the metropolitan area.
Catherine Mehelich indicated that the HRA should think about what type of role the city
wants to play in these housing issues. It was the consensus of the HRA to hold a joint
meeting with the City Council to discuss these issues. The HRA also suggested that the
Planning Commission be invited to attend.
7. Other Business
Catherine Mehelich distributed a letter she received from the River's Edge Downtown
Business Association thanking the City for the work that was done in the downtown area.
8. Adjournment
There being no other business, COMMISSIONER MOTIN MOVED TO ADJOURN
THE MEETING. COMMISSIONER LEISER SECONDED THE MOTION.
THE MOTION CARRIED 4-0.
The meeting of the Elk River Housing and Redevelopment Authority adjourned at 6:35 p.m.
Sandra Peine
City Clerk
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