01-27-2003 HR MIN MEETING OF THE ELK RIVER
• HOUSING AND REDEVELOPMENT AUTHORITY
HELD AT THE ELK RIVER CITY HALL
MONDAY,JANUARY 27, 2003
Members Present: Vice Chair Wilson, Commissioners Thompson,Lieser,and Morin
Members Absent: Chair Toth
HPC Members Present: Kurt Kragness,Bud Houlton, Cliff Lundberg,Pat Dwyer,Jeff Gongoll, and
Cindy Olson
Staff Present: Executive Director Catherine Mehelich,Economic Development Assistant
Heidi Hall,City Administrator Pat Klaers, and City Clerk Sandra Peine
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 Vice Chair Wilson.
2. Consider 1/27/03 HRA Agenda -
COMMISSIONER THOMPSON MOVED TO APPROVE THE JANUARY 27,
• 2003, HRA AGENDA AS PRESENTED. COMMISSIONER LIESER
SECONDED THE MOTION. THE MOTION CARRIED 4-0.
3. Consider Consent Agenda
COMMISSIONER MOTIN MOVED TO APPROVE THE CONSENT AGENDA
AS FOLLOWS:
3.1. NOVEMBER 25,2002 HRA MINUTES
3.2. CHECK REGISTER
3.3. REVENUE/EXPENDITURE REPORT
3.4. BALANCE SHEET
COMMISSIONER THOMPSON SECONDED THE MOTION. THE MOTION
CARRIED 4-0.
4. Open Mike
No one appeared for Open Mike.
5. Comprehensive Plan Update
Commissioner Lieser provided an update on the January 14, comprehensive plan meeting
between the City Council,Planning Commission and Task Force. She indicated that land use
plans based on the current plan,market trends and guided growth were the main topics. She
• indicated that these plans will again be discussed on January 30 and that a public meeting has
been scheduled for February 20 from 7-9 p.m. at the River of Life Church.
Housing and Redevelopment Authority Minutes Page2
January 27,2003
• Commissioner Motin indicated that the Comprehensive Plan Task Force is looking at three
options for a plan,however nothing is finalized yet. He indicated that the committee is
looking for input from the community and encouraged the public to attend the February 20
meeting.
6. Annual Meeting Issues
a. Election of Officers
CHAIR
COMMISSIONER THOMPSON NOMINATED STEWART WILSON AS CHAIR
OF THE HRA. COMMISSIONER MOTIN SECONDED THE MOTION.
COMMISSIONER MOTIN NOMINATED LARRY TOTH AS CHAIR.
COMMISSIONER LIESER SECONDED THE MOTION.
COMMISSIONER MOTIN MOVED THAT NOMINATIONS BE CLOSED.
COMMISSIONER LIESER SECONDED THE MOTION.THE MOTION
CARRIED 4-0.
(The first motion was called nominating Stewart Wilson as Chair)
MOTION FAILED 1-2-0. COMMISSIONER THOMPSON VOTED IN FAVOR
OF THE MOTION. COMMISSIONERS MOTIN AND LIESER VOTED
• AGAINSST T THE MOTION AND COMMISSION WILSON ABSTAINED.
(The second motion was called nominating Larry Toth as Chair)
THE MOTION CARRIED 4-0.
VICE CHAIR
COMMISSIONER THOMPSON MOVED TO NOMINATE STEWART WILSON
AS VICE CHAIR. COMMISSIONER LIESER SECONDED THE MOTION.
COMMISSIONER MOTIN MOVED TO CLOSED NOMINATIONS.
COMMISSIONER LIESER SECONDED THE MOTION.THE MOTION
CARRIED 4-0.
(The motion was called nominating Stewart Wilson as Vice Chair)
THE MOTION CARRIED 4-0.
SECRETARY
COMMISSIONER MOTIN MOVED TO NOMINATE COMMISSIONER
THOMPSON AS SECRETARY. COMMISSIONER LIESER SECONDED THE
MOTION.
COMMISSIONER THOMPSON MOVED TO CLOSE NOMINATIONS.
• COMMISSIONER MOTIN SECONDED THE MOTION.THE MOTION '
CARRIED 4-0.
Housing and Redevelopment Authority Minutes Page3
January 27,2003
• (The motion was called nominating Commissioner Thompson as Secretary)...
THE MOTION CARRIED 4-0.
b. Appoint Executive Director
COMMISSIONER MOTIN MOVED TO APPOINT CATHERINE MEHELICH
AS EXECUTIVE DIRECTOR OF THE HRA. COMMISSIONER THOMPSON
SECONDED THE MOTION.THE MOTION CARRIED 4-0.
c. Designate Official Newspaper
COMMISSIONER THOMPSON MOVED TO DESIGNATE THE STAR NEWS
AS THE OFFICIAL NEWSPAPER FOR THE HRA FOR 2003.COMMISSIONER
LIESER SECONDED THE MOTION.THE MOTION CARRIED 4-0.
d. Designate Official Depositories
COMMISSIONER THOMPSON MOVED TO DESIGNATE THE FOLLOWING
OFFICIAL DEPOSITORIES FOR THE EDA FOR 2003:
• FIRST NATIONAL BANK OF ELK RIVER
• 4M FUND
• WELLS FARGO BANK
THE BANK OF ELK RIVER
• USBANK
COMMISSIONER MOTIN SECONDED THE MOTION.THE MOTION
CARRIED 4-0.
7. Downtown Revitalization Project
7.1. Project Activities Update
Director of Economic Development Catherine Mehelich provided a status report in regard
to the activities staff has been working on since the end of November. She spoke briefly
about the tax increment financing redevelopment eligibility assessment and discussed the
wild and scenic river issues.
Jim Prosser of Ehlers &Associates reviewed development activities that have or will be
taking place in relation to the redevelopment process.The activities discussed include
development concept review, establishing a tax increment district,land use approvals,
developer assistance agreement,environmental reviews,and land assembly and relocation.
7.2. Consider Resolution Establishing a Policy on Interfund Loans for TIF District
Catherine presented a resolution that establishes a policy for the 1-IRA to make interfund
loans to finance expenses in preparation for a downtown TIF district. She explained that the
resolution formalizes the HRA's intent to repay the interfund loan plus interest received
from the tax increment of the applicable district once established.
Housing and Redevelopment Authority Minutes Page4
January 27,2003
COMMISSIONER MOTIN MOVED TO ADOPT RESOLUTION 03-01
APPROVING POLICY ON INTERFUND LOANS OR ADVANCES ("LOANS")
FOR TAX INCREMENT FINANCING DISTRICT ("DISTRICTS") OF THE
HRA WITHIN THE CITY OF ELK RIVER. COMMISSIONER THOMPSON
SECONDED THE MOTION. THE MOTION CARRIED 4-0.
7.3. JOINT MEETING WITH HERITAGE PRESERVATION COMMISSION (HPC)
Recommendation on Local Historic Significance in the Downtown Area
Kurt Kragness presented the HPC's recommendation on the local historic significance of
the downtown area. Kurt began by reviewing the process that the HPC followed. He noted
that the HPC looked at the downtown in different segments. Mr. Kragness reviewed the
criteria used to judge significance of the buildings. Kurt indicated that the HPC has made the
following recommendations:
1. Preservation/restoration of the Brick Block
2. Preservation/restoration of the block including Sunshine Depot to First
National Bank,with special consideration for Sunshine Depot
3. Preservation/restoration of the former Elk River Star News, Old Theater,
Nextel, and Dick's Main Tap buildings
4. No building construction on Jackson Square
5. Retain the Elk River Meats building
6. Retain the Elk River Municipal Utilities building
Catherine Mehelich indicated that the areas included in the preliminary redevelopment
agreement between the HRA and Metro Plains are in conflict with what has been
recommended by the HPC. Catherine indicated that staff and Metro Plains is requesting the
HRA's direction regarding any amendments to the areas to be explored for redevelopment.
Vice Chair Wilson thanked the HPC for their efforts and recommendations.
Commissioner Thompson indicated that there was little consideration given to the feasibility
of productive renovation of the buildings. Kurt Kragness indicated that the HPC was
charged only with determining local historic significance, not the economic feasibility of
renovative reuse.
Commissioner Motin indicated that the HPC did a good job at providing information on the
significance of the downtown area between the Historical Context Study and the HPC
report.He noted that the downtown area is a nice area,however, there can be change in that
area also. He indicated that the HPC selected every building in the downtown area to be
preserved with the exception of Nadeaus and the USBank building. Commissioner Motin
indicated that he would have liked to see more emphasis on specific buildings. He further
indicated that it could be just as important to rebuild to the character of some of the
buildings rather than preserve what exists.
Commissioner Thompson indicated that he wishes that the HPC had been a little more
selective in the recommendation to the HRA. He indicated that he concurs that the Brick
• Block has some significance to the downtown area as well as possibly the south side of Main
Street. Commissioner Thompson recommended that the HRA move forward with the
Housing and Redevelopment Authority Minutes Pages
January 27,2003
• original proposal by the HRA as indicated in the preliminary redevelopment agreement and
direct the developer to explore the feasibility of renovation and reuse of the former Cinema
Building and Dick's Main Tap prior to including the two buildings as part of any
redevelopment. Commissioner Lieser concurred.
Stephen Rohlf explained that the HPC felt that all of the buildings they recommended to be
considered for preservation had local historic significance.
COMMISSIONER THOMPSON AUTHORIZED STAFF TO MOVE FORWARD
WITH THE ORIGINAL PROPOSAL AND TO DIRECT THE DEVELOPERS
TO EXPLORE THE FEASIBILITY OF RENOVATION AND REUSE OF THE
FORMER CINEMA BUILDING AND DICK'S MAIN TAP PRIOR TO
INCLUDING THE TWO BUILDINGS AS PART OF THE REDEVELOPMENT.
COMMISSIONER LIESER SECONDED THE MOTION.
Commissioner Motin indicated that he does not want to rule out the possibility of including
more areas in the future and that the HPC's recommendations would need to be
reconsidered by the HRA at that time.
THE MOTION CARRIED 4-0.
8. Housing Update
8.1. Sherburne County Chapter Habitat for Humanity Update
• Commissioner Lieser gave an update on activities of the Sherburne County Chapter Habitat
for Humanity. She indicated that the Chapter is researching the stock of older housing in the
City for possible rehabilitation projects. She updated the HRA on the steps necessary to
rehabilitate a house.
9. Other Business
9.1. Tribute to Former Mayor Dick Hinkle
Vice chair Wilson read a tribute to former Mayor Dick Hinkle as written by Chair Larry
. Toth.
10. Adjournment
There being no other business, COMMISSIONER THOMPSON MOVED TO
ADJOURN THE MEETING. COMMISSIONER LIESER SECONDED THE
MOTION. THE MOTION CARRIED 4-0.
The meeting of the Elk River Housing and Redevelopment Authority adjourned at 6:02 p.m.
Sandra Peine
• City Clerk