05-01-2017 HRA MIN ty c7f
Meeting of the Elk River
Ri ver Housing and Redevelopment Authority
Held at the Elk River City Hall
Monday, May I, 2017
Members Present: Chair Toth, Commissioners Chuba,Eder, Kuester and Ovall
Members Absent: None
Staff Present: Economic Development Director Amanda Othoudt, and Sr.Administrative
Assistant/Recording Secretary Debbie Huebner
Also Present: Nicola Viana and Krissi Hoffmann,Minnesota Housing Finance Agency;
EDA Attorney Jenny Boulton and EDA Financial Advisor Mikayla Huot
I. 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 5:30 p.m. by Chair Toth.
2. Pledge of Allegiance
The Pledge of Allegiance was recited.
3. Consider 05/01/17 Agenda
Motion by Commissioner Eder and seconded by Commissioner Kuester to approve
the May 1,2017, agenda with the following addition:
7.8—426 Main Street Purchase Agreement
Motion carried 5-0.
4. Consent Agenda
Moved by Commissioner Ovall and seconded by Commissioner Eder to approve the
consent agenda as follows:
4.1 HRA Minutes
• March 6,2017 Regular Meeting
4.2 Check Register
4.3 Balance Sheet
4.4 Revenues and Expenditures Report
Housing and Redevelopment Minutes Page 2 -
May 1,2017
Motion carried 5-0.
5. Open Forum
No one was present for open forum.
6. Public Hearings
There were no public hearings.
7.1 Rehabilitation Loan Program Update
Ms. Eddy provided an update on the Rehabilitation Loan Program as outlined in her staff
report. She discussed current and completed projects,proposed informational meetings,and
advertising.
Commissioner Ovall noted that since their funding balance is getting low,was it a good idea
to be marketing right now. Ms. Othoudt stated that they will be discussing this in the near
future. Commissioner Ovall stated that sooner would be better,since they want residents to
be able to take advantage of this year's construction season.
7.2 Marketing Report
Ms. Othoudt discussed the proposed planters,bike racks and benches for the downtown.
After discussion,the Commissioners were in agreement to postpone this issue to a
workshop meeting,to allow them more time to look at the overall vision for the downtown
before making a decision on these items.
7.3 Presentation by the Minnesota Housing Finance Agency
Ms. Othoudt introduced Nicola Viana and Krissi Hoffmann. Ms.Viana provided
information on the various Minnesota Housing programs.
7.4 Establishment of the Finance Committee— Bylaws
Ms. Othoudt reviewed the proposed changes to the HRA Bylaws to create a joint finance
committee with the EDA. The HRA had no changes to the draft.
7.5 The Truck Shop Application
Ms. Othoudt reviewed the loan application for The Truck Shop by Ken Beaudry.
Annie Deckert of Decklan Group representing the applicant stated that the applicant has
since acquired the 620 Quinn and 633 Proctor properties, since the writing of the staff
memo.
Housing and Redevelopment Minutes Page 3
May 1,2017
Motion by Commissioner Chuba and seconded by Commissioner Ovall to approve
Resolution 17-01,A Resolution of the Housing& Redevelopment Authority of the
City of Elk River Elk River Approving Loan Agreement and Related Documents for
The Truck Shop, Inc. Project. Motion carried 5-0.
Motion by Commissioner Chuba and seconded by Commissioner Kuester to
authorize execution of the loan documents. Motion carried 5-0.
7.6 Electric Charging Station Downtown
Ms. Othoudt explained that Elk River Municipal Utilities (ERMU) in partnership with the
city received a grant to finance research,implementation,and education related to electric
vehicles. She stated that a charging station is proposed to be installed in the HRA parking
lot between Elk River Meats and Avalon Salon. A second station is proposed near Ralphie's
Victory gas station.
Motion by Commissioner Chuba and seconded by Commissioner Eder to approve a
license agreement with ERMU to provide for installation of a 240-volt Level 2 electric
vehicle charger with access to two parking spaces designated Electric Vehicle
Parking Only. Motion carried 5-0.
7.7 HRA Policy Annual Review
Ms. Othoudt reviewed the revisions to the HRA Blighted Properties Commercial/Industrial
and Residential Forgivable Loan Program documents.
Commissioner Chuba asked how many loan applications for residential properties have been
received. Ms. Othoudt stated none have been received. Commissioner Chuba stated he felt
the $15,000 loan amount was too low, considering the high cost of any environmental
remediation. He suggested$25,000 as a more realistic figure. Commissioner Eder agreed.
Motion by Commissioner Kuester and seconded by Commissioner Eder to approve
the revisions to the HRA Commercial/Industrial and the Residential Blighted
Properties Forgivable Loan Programs,with the following change:
Maximum Loan amount be changed from$15,000 to $25,000 for the Residential
Blighted Properties Forgivable Loan Program
Motion carried 5-0.
7.8 426 Main Street Purchase Agreement
Ms. Othoudt stated that the HRA is asked to authorize a purchase agreement with the
property owner of 426 Main Street. She noted that the purchase will be funded from the
HRA reserves.
Housing and Redevelopment Minutes Page 4 -
May 1,2017
Commissioner Chuba stated that he will abstain from discussion and voting on this item due
to a conflict of interest.
Motion by Commissioner Eder and seconded by Commissioner Ovall to authorize
staff to enter into a purchase agreement with the property owner of 426 Main Street,
using HRA reserves to fund the purchase. Motion carried 4-0-1. Commissioner Chuba
abstained.
8. Announcements
There were no announcements.
The HRA recessed at 6:45 p.m. and reconvened in work session at 6:46 m.
9.1 TIF Housing and Redevelopment Policy
EDA Attorney Jenny Boulton and EDA Financial Advisor Mikayla Huot were present to
discuss proposed updates to the Tax Increment Financing Policies and Applications.
It was the consensus of HRA that they were in support of eliminating the scoring sheet.
The HRA Commissioners were in agreement to continue to review the policies at a future
workshop before making any official changes to the documents.
I 0. Adjournment
Chair Toth adjourned the meeting at 7:58 p.m.
Minutes repare. D- s bie Huebner.
Tina Allard, City Clerk
L. To 1 ' hair
Housing&Redevelopment Authority