4.0. 5.0. 6.0. HRSR 08-24-1998 Ah ELK RIVER HOUSING AND REDEVELOPMENT AUTHORITY
MEMORANDUM
TO: Housing and Redevelopment Authority
FROM: Paul T. Steinman, Director of Economic
Development
DATE: August 20, 1998
SUBJECT: Agenda Memo for August 24, 1998,
HRA Meeting
4. Receive Update from Midwest Building Components Regarding
King and Main Site
Terry Veech, president of Midwest Building Components, will be
available at this HRA meeting to bring the Commission up to date on
the activities which he has been undertaking over the past month with
regard to the development of the King and Main site.
•
It appears as though this project is moving forward. With this in
mind, staff has already begun initial work on a development
agreement for this project. The major issue which has yet to be
resolved is the sale price of the land. Staff has received the proformas
from MBC and is in the process of having these proformas reviewed by
the city's financial consultant to determine a fair land price based
upon the developer's assumptions. Staff has asked thatthe developer
proceed with its work to secure financing and an appraisal of the land.
From this appraisal staff and the developer can begin to discuss what
land price the project can support.
Staff also has suggested that the developer present the concept and
site plan to the Planning Commission at its worksession on September
8, 1998, to receive input. As currently discussed, the project is not
required to receive approvals from the Planning Commission or City
Council, however, staff felt it would benefit the HRA to have the
Planning Commission review the site plan and provide its input and
suggestions.
Staff would propose that a draft development agreement be brought
• back to the HRA at its meeting on September 28, 1998. As mentioned
earlier in this memo, the major point is that the HRA needs to agree
P.O. Box 490 • 13065 Orono Parkway • Elk River, MN 55330-1743 • (612) 441-7420• Fax: (612) 441-7425
Equal Opportunity Housing and Equal Opportunity Employment
Aik Staff will be bringing detailed budget information to the HRA for
IP discussion at its September meeting.
Recommendation
Staff recommends the HRA approve Resolution 98-_requesting that
the City of Elk River levy a tax in the amount of.0131% of the total
taxable market value of the city, to be used for economic development
and redevelopment purposes by the Housing and Redevelopment
Authority.
6. Discuss Date and Publicity Program for Initial Visioning
Workshop
The first meeting of the downtown visioning process will be held on
Thursday,September 24, from 7 - 9 p.m., at Salk Junior High,in
the Commons area. The purpose of this meeting is for people to
receive an introduction to the process and issues involved with
downtown redevelopment and to generate interest in the overall
process. Theresa Washburn will be leading this program and will be
providing slides of communities in which she has worked over the past
several years, and old slides of downtown Elk River to give people
io ideas of rehabilitation strategies.
Staff is currently in the process of completing the following activities
in preparation for the initial meeting:
• Putting together a promotional brochure
• Consolidating mailing lists of Chamber members, Historical
Society, Rivers Edge Downtown Development Corp.,
Chamber, Arts 2001 Committee, School District
Representatives, and other interested organizations
• Generating slides from old photographs and pictures of our
central business district area
In addition to mailing an invitation to this initial meeting to those on
the mailing list, staff would suggest the following:
• That the HRA purchase two or three ads in the Star News to
publicize this initial meeting
Staff feels it is necessary to have the initial meeting of this process
well publicized to encourage attendance and measure the public's
iointerest in this process.
• upon the terms of the land sale and this needs to be incorporated as
the focal point of the development agreement.
Recommendation
Staff recommends that the HRA approve authorization to proceed with
drafting and further negotiation of the development agreement with
the developer and to utilize Springstead, the city's financial
consultant, to review the developer's proforma and provide input on a
potential land price.
5. Consider Resolution 98- Approving HRA Levy
Background
Staff is recommending that the HRA approve the attached resolution
requesting that the City of Elk River levy a tax in the amount of
.0131% of the total taxable market value of the city, to be used for
economic development and redevelopment purposes by the Housing
and Redevelopment Authority. Usually staff has prepared a budget
for the HRA and such budget is approved at the same time as
approval of the HRA levy. Due to various timing issues, staff is
unprepared to propose a draft budget for discussion by the HRA at this
• meeting. Thisdiscussion the September and October
will occurat
HRA meetings.
There will be a couple of major budget issues for the HRA to consider
for 1999. These include:
• Staff is proposing that the HRA budget for 1999 include a
percentage of those costs associated with administration of
the Economic Development Department, i.e.: telephone, office
supplies, conferences and schools, dues and subscriptions, etc.
• Staff is also proposing that the HRA fund approximately 20 -
30% of the salary for a new employee in the Economic
Development Department. As you recall, the HRA, prior to
1998, did not pay any staff salaries from its budget. In 1998,
it paid 5% of staff's salary and benefits.
• The other potential major expense includes the hiring of a
consultant to move into the physical design phase of our
Downtown Master Plan project.
•
• Recommendation
Staff is recommending the HRA purchase up to three advertisements
in the Star News regarding the initial meeting of the central business
district planning process.
•
•
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RESOLUTION 98-
• RESOLUTION OF THE ELK RIVER
HOUSING AND REDEVELOPMENT AUTHORITY
A RESOLUTION ESTABLISHING THE TAX LEVY FOR THE ELK
RIVER HOUSING AND REDEVELOPMENT AUTHORITY FOR
COLLECTION IN 1999
WHEREAS, Minnesota Statute Section 469.033, Subdivision 6, authorizes
a Housing and Redevelopment Authority to levy an amount
not to exceed .0131 percent of the taxable market value of
property within the city to be used for redevelopment
purposes; and,
WHEREAS, the Elk River Housing and Redevelopment Authority
anticipates expenditures in 1999 for various redevelopment
activities; and,
WHEREAS, the Housing and Redevelopment Authority budget must be
approved before a special tax can be levied.
NOW, THEREFORE, BE IT RESOLVED by the Elk River Housing and
Redevelopment Authority that the Authority's 1999 budget will be approved
at a future meeting of the HRA, but prior to a special tax being levied.
BE IT FURTHER RESOLVED that the Housing and Redevelopment
Authority requests that the City Council of the City of Elk River, Minnesota,
levy a special tax not to exceed the statutory limit of.0131 percent of taxable
market value of the city, less 1999 HACA certified to be $5,611 for the year
1999, for the benefit of the Authority to be used for purposes as provided in
Minnesota Statutes.
Passed and adopted by the Elk River Housing and Redevelopment Authority
this 24th day of August, 1998.
Duane Kropuenske, Chair
ATTEST:
• Paul T. Steinman, Executive Director
To: Paul Steinman City of Elk River From: Theresa Washburn 608 637-7264 8/17/98 14:06:52 Page 1 of 1
• Agenda for Initial Visit
Thursday, September 24, 1998 to Friday, September 25, 1998
Arrival the evening prior to the presentation
Thursday, September 24
8:00 a.m. Breakfast with designated city employee and HRA member.
10:00 a.m. Walking tour of downtown. Visit with business owners.
12:00 Lunch with the Chamber and/or Rivers Edge representatives.
This would be a chance to ask questions and get a broader perspective on
community feelings.
1:00 p.m. Driving tour of the community.
3:00 p.m. Preparation time.
7:00 p.m. Presentation.
• Friday, September 25
9:00 a.m. Meeting with representatives of the HRA, Chamber, and Rivers Edge to
review evening presentation and prepare for Visioning Workshop. (Set
dates, time, place and who will attend.)
10:30 a.m. Open for consults with businesses and/or information gathering.
12:00 Depart
For Presentation:
Slide Projector
Flip Chart
Remote slide changer(something I can use and stand at least 10 feet from the projector.)
Microphone if the room calls for it.
•
To: Paul Steinman City of Elk River From: Theresa Washburn 608 637-7264 8/17/98 16:27:18 Page 2 of 3
• Elk River Begins Commercial District Design Process
Elk River, MN HRA made the first step towards creating a comprehensive design for the
core business district. HRA hired Theresa Washburn and Associates to assist in the pre-
design phase of the project. For the next few months Washburn will work with the HRA,
community organizations and the general public to educate and prepare them before the
planning/design drawings are prepared. Washburn's job is to create community interest
in the project and lead them through a visioning and workplan process. The challenge is
to encourage existing groups to work together for a common goal. In order to create a
plan that does more than collect dust; the community must play an integral part in its
creation. "It is a matter of letting change happen to you, versus being part of the change.
The first step in the process is a community presentation where Ms. Washburn will speak
about the process and the positive and negative effects it can have on town. During the
• presentation she will discuss the five elements of successful community revitalization.
These elements link to the design process allowing the community not only to create the
design, but to implement it as well. She will also address a few concerns with the
existing conditions of the Elk River Commercial district. Slides of Elk River and other
communities will give the audience a visual picture of the possibilities for change.
Washburn has been working in community development for 12 years. She has her
Bachelors in Environmental Design and has completed her Masters coursework in Land
Use Planning at the University of Wisconsin-Madison. She is currently working on her
thesis "Sacred Spaces in Western Wisconsin". Ms. Washburn worked in Viroqua, WI as
a community revitalization manager for 3 years. During that time Viroqua was featured
in the Wal Street Journal, CBS Evening News and Smithsonian magazine as well as
many state publications. The program was successful due to community involvement
and commitment. Viroqua, a Main Street City, received assistance from the Wisconsin
Main Street program and National Main Street Center. Over the last 6 years Washburn
• has worked with over 25 communities, assisting them with design, organization,
marketing and promotion, and economic development issues. She takes a no nonsense
To: Paul Steinman City of Elk River From: Theresa Washburn 608 637-7264 8/17/98 16:28:10 Page 3 of 3
• approach to community development and encourages community members to be
consultants within their own towns.
Washburn believes that community members themselves can solve 90%of the challenges
created in any commercial business district. "Elk River is full of talented, intelligent
people who know more about the town than any consultant. My role is to facilitate
involvement and to teach people how to find the answers in a short time". One way to do
that is to tell stories of successes and failures in other communities. Washburn has
hundreds of stories. "I have seen it done well and I have seen it done poorly, for that
matter I have experienced both, first-hand experience can be the best teacher".
Washburn's presentation will be held Thursday evening, 7:00 p.m. at the Elk River High
School. The public is invited. The presentation will last approximately ninety minutes,
followed by a question and answer session. Call the City of Elk River for more
information.
•
•
• Contract Agreement
THIS AGREEMENT is entered into and executed by Washburn and Associates
(Washburn) and the Elk River HRA.
WHEREAS, this agreement is for the purpose of implementing a community based, pre-
design process in the City of Elk River, State of Minnesota, and
WHEREAS, Washburn and Associates, will provide technical assistance and training to
the Elk River community for this purpose;
NOW THEREFORE, in consideration of the forgoing and mutual covenants and
agreements contained herein, the parties agreed to do as follows:
SECTION I. The Elk River HRA agrees to:
1. Encourage volunteer presence, representative of all community elements, during
development of Elk River visioning, workplan, and commercial district design plan for the
term of this agreement.
2. Designate a city employee representative and Elk River HRA representative as main
contact people during the term of this agreement.
• 3. Provide all requested materials, meeting space, and publicity prior to visits.
4. Provide compensation for services provided by Washburn as described in the Scope of
Services.
SECTION II. Washburn and Associates agrees to:
1. Complete the full Scope of Services.
2. Provide at least two weeks notice of visit followed by a full agenda.
3. Complete all reports in a timely fashion.
4. Maintain regular contact with Elk River HRA board member and city employee.
5. Provide training and assistance to city employees and volunteers as needed.
SECTION III. The PARTIES hereto otherwise agree as follows:
1. The term of this agreement shall be for a period of 12 months beginning September 1,
1998 to September 1, 1999. Any portion of this contract may be extended or revised by
written amendment signed by both parties.
III2. The agreement shall be binding upon and shall inure to the benefit of the parties and
their successors.
• 3. Either party may terminate this agreement without cause after 60 days written notice to
the other party.
4. This document memorializes all elements of this agreement, and both incorporates and
supersedes any previous agreements or negotiations, whether oral or written.
5. In the event of any conflict or inconsistency between this agreement and the attachments
hereto, the terms of this agreement shall prevail.
IN WITNESS WHEREOF, the parties have executed this agreement.
BY:
(Chairman, Elk River HRA) (Date)
BY:
(Theresa Washburn) (Date)
•
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