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05-12-1981 HR MIN SPECIAL s ir MINUTES OF A SPECIAL MEETING OF THE HOUSING AND REDEVELOPMENT AUTHORITY OF ELK RIVER HELD AT THE ELK RIVER CITY HALL MAY 12 , 1981 Members present : Commissioners Schumacher , Toth , Busch and Duitsman Also present : Bob Middaugh, City Administrator Meeting Called to Order The meeting was called to order by Chairman Schumacher at 7 :38 p .m. Minutes The Minutes of the April 7 , 1981 meeting were approved as circulated . St. Cloud Seminar A seminar regarding HRA activities scheduled for May 29-30 at St. Cloud was discussed . Zack Johnson commented that the meeting was just basics and might be a waste of time . No one from Elk River will attend . Legislative Update Chairman Schumacher reviewed Senate File #635 which recently passed the Senate Tax Committee. This bill sevee1y limits tax increment financing. Bob Middaugh will have an update at the next meeting. Mel Boyd ' s Proposed New City Offices Mr. Boyd ' s proposal was discussed with regard to the possibility of tax increment financing . No conclusions were reached . HRA Additional Funding Chairman Schumacher reported on additional funding requested from the City Council . At its 4/20/81 meeting the Council granted the HRA an additional $10 ,000 . These funds can be financed through a tax anticipation certificate or borrowed from other funds . The Council cautioned the HRA that in spending these funds for additional planning that work which has already been done should not be duplicated . -2- Zack Johnson , Downtown Redevelopment Plan Outline Chairman Schumacher reported that he and Zack Johnson had met with the Downtown Task Force to get input on the Redevelopment Plan. A memorandum with their suggestions was circulated . The need for a traffic flow and parking plan was discussed and the Commissioners felt this should be detailed in the plan . The cost of Mr. Johnson ' s plan was discussed, with the Commissioners commenting it was too high in cost . Zack Johnson joined the discussion at 8 : 15 p.m. Chairman Schumacher asked him what type of plan, legally, the HRA has to have . Mr. Johnson said there has to be an overall plan (Economic Development or Redevelopment) and that specific tax increment projects would flow from that . The overall plan would set broad policy. It was asked how specific Mr. Johnson would get in his plan . He said he would make recommendations block by block , including types of business development , parking and traffic flow, private and public improvements needed , tax increment feasibility, etc . Chairman Schumacher asked about doing a preliminary feasibility study to see if a redevelopment plan and tax increment financing numbers would work. Zack said it could be done , but would be a general type of thing. The cost of the Redevelopment Plan was discussed at length. Mr. Johnson stated that depending on information gathered from community members $500 here or there could be cut . Mr. Johnson also said he had discussed with Chairman Schumacher expanding the redevelopment area to 12 blocks for an additional $2 , 000. It was decided to consult with Mr . Sellergren on the minimum redevelopment plan needed . Chairman Schumacher will talk with him and request his presence at the next meeting if deemed necessary. The Commissioners decided to also meet with the Downtown Task Force at an informal work session for further input on Zack Johnson ' s plan . Policies and Procedures This item was tabled until the next meeting . Other Business Commissioner Duitsman said that he would like a financial report at all meetings . Adjournment The meeting was adjourned at 10 :20 p .m. Respectfully submitted , Donald A . S humacher , Chairman