01-18-2000 HR MIN SPECIAL WORKSESSION . SPECIAL WORKSESSION MEETING OF THE ELK RIVER
HOUSING AND REDEVELOPMENT AUTHORITY
HELD AT THE ELK RIVER CITY HALL
TUESDAY, JANUARY 18, 2000
Members Present: Chair Kropuenske, Commissioners Thompson, Wilson, and
Toth (4:50 p.m.)
Members Absent: Commissioner Hinkle
Staff Present: Paul Steinman, Director of Economic Development; Marc Nevinski,
Assistant Director of Economic Development; Pat Klaers, City
Administrator; Sandy Peine, City Clerk; Michele McPherson, Director
of Planning; Scott Harlicker, Senior Planning; Peter Beck, City
Attorney; Bryan Adams, Utilities General Manager
1. Call Worksession Meeting To Order
Pursuant to due call and notice thereof, the special worksession meeting of the Elk
River Housing and Redevelopment Authority was called to order at 4:06 p.m. by
Chair Kropuenske.
2. Consider Agenda
COMMISSIONER THOMPSON MOVED TO APPROVE THE 1/18/00 HRA AGENDA.
COMMISSIONER WILSON SECONDED THE MOTION. THE MOTION CARRIED 3-0.
Executive Director Paul Steinman explained that the purpose of the worksession is
to allow the HRA to listen to four proposals for the development of the HRA King
and Main Street site. He further stated that after reviewing the information
presented by the four developers the HRA would be requested to come to a
consensus of the proposal with which they intend to proceed.
The four proposal presentations consisted of:
1. First National Bank- First National Bank proposes to build a professional office
type of building with construction to be completed some time in 2001. The
size of the building will be dependent upon what the city will allow
according to parking regulations. First National Bank is proposing to pay
$175,000 cash to the city for the property upon closing. First National Bank
has requested that the $175,000 be used for rehabilitation in the downtown
area.
2. KMR Partners- KMR Partners stated they are withdrawing their offer because
they are unable to pay for the property. KMR Partners noted that they
would be in favor of First National Bank's proposal.
3. John Weicht&Associates/Track of the Wolf-John Weicht &Associates is
• proposing to construct a professional building with a value in excess of$3
million. It is proposed that the building will be completed in the year 2000.
Housing and Redevelopment Authority Meeting Page 2
January 18, 2000
• The size of the building proposed is a minimum of 15,000 square feet to a
maximum of 40,000 square feet. John Weicht&Associates have tenants
that will occupy one half of a 40 square foot building. John Weicht
indicated that they are willing to pay approximately $100,000 for the
property. Track of the Wolf gave a presentation indicating that they would
be an occupant of the building proposed by John Weicht &Associates.
4. Municipal Utilities- Municipal Utilities indicated that they would withdraw their
proposal because the First National Bank has offered to pay more than
Municipal Utilities for the land, and because the Utilities plan for building is a
2-5 year timeframe which is a longer time frame than proposed by First
National and because the Utilities building would be a tax exempt project.
Issues discussed by the HRA following the presentation included the number of
parking and the fact that a parking study would have to be done by the city. Also
discussed was the timeframe for completion of the building and the amount of
money the developers are willing to pay for the property.
It was the consensus of the HRA to review the information presented and to make
a decision on which proposal would be chosen at the regular meeting on the HRA
to be held January 24.
3. Other Business
• Executive Director Paul Steinman informed the HRA of his intent to resign as
Director of Economic Development for the City of Elk River.
COMMISSIONER WILSON MOVED TO COMMEND PAUL STEINMAN ON HIS SERVICES
PROVIDED TO THE HOUSING AND REDEVELOPMENT AUTHORITY. COMMISSIONER TOTH
SECONDED THE MOTION.THE MOTION CARRIED 4-0.
4. Adiournment
There being no further business, COMMISSIONER THOMPSON MOVED TO ADJOURN
THE MEETING. COMMISSIONER WILSON SECONDED THE MOTION. THE MOTION
CARRIED 4-0.
The meeting of the Elk River Housing and Redevelopment Authority was adjourned
at 5:41 p.m.
andra Peine
City Clerk
•