4.1. DRAFT HRA MINUTES 08-02-2021 City of
Elk Regular Meeting of the Elk River
River Housing and Redevelopment Authority
Held at the Elk River City Hall
Tuesday,July 6, 2021
Members Present: Chair Larry Toth, Commissioners Denny Chuba, Nate Ovall,Jayme
Swenson, and Jennifer Wagner
Members Absent: None
Staff Present: City Administrator Cal Portner,Economic Development Director Brent
O'Neil (via Zoom),Economic Development Specialist Colleen Eddy, and
Recording Secretary Jennifer Green
I. Call Meeting to Order Alle
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 July 6, 2021, Agenda
Moved by Commissioner Ovall seconded by Commissioner Chuba to approve the
July 6, 2021, HRA meeting agenda.
Motion carried 5-
4. Consent Agenda
Moved by Commissioner Ovall and seconded by Commissioner Wagner to approve
the consent agenda as follows:
4.1 Meeting Minutes:
■ June 6,2021, Regular
■ June 6,2021, Closed
4.2 Check register as outlined in the staff report.
4.3 Balance sheet as outlined in the staff report.
4.4 Revenue/expenditure report as outlined in the staff report.
4.5 Satisfaction of Mortgage—Matthew R. Hicks and Carol Marie Hicks
4.6 Satisfaction of Mortgage— Shawn Menning and Deborah Menning
4.7 Satisfaction of Mortgage—Daniel McClellan and Linda McClellan
4.8 Appointment of Executive Director Brent O'Neil.
Motion carried 5-0.
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July 6,2021
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S. Open Forum
No one appeared for Open Forum.
6. Public Hearings
There were no public hearings.
7.1 HRA Housing Rehabilitation Loan Program Update
Ms. Eddy presented the staff report.
Commissioner Chuba asked if the loan payoffs were due to refinancing or sale of the
properties. A#w Nk
Ms. Eddy stated she was not sure if that information was tracked and asked if the
commissioners would like that information in the future.
Commissioners Ovall and Chuba requested to have that information included for future
mortgage satisfactions.
7.2 Main and Gates Update
Ms. Eddy presented the staff reportP44*0,.
She discussed scheduling a joint meeting with the Economic Development Authority to
discuss the valuation of the properties at Main and Gates, along with other EDA properties,
to have an open dialog to discuss information from an appraisal company regarding
valuation of the city-owned listed properties and determine if they are in line with current
market trends.
ANIP"Ifth. N*
7.3 Schedule Budget Work Session
s. Eddy presented the staff report. She introduced and welcomed Brent O'Neil,who
indicated he was excited to meet them and begin working with the HRA on their project.
Commissioner Ovall stated he cannot attend the August HRA meetings as well as the joint
HRA/EDA meeting.
It was the consensus of the HRA to hold the budget work session 4:30 p.m. on August 2,
2021.
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The HRA recessed at 5:41 p.m. to go into work session. The meeting reconvened at 5:48
p.m.
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July 6,2021
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8.1 HRA Rehabilitation Loan Program Discussion with CEE
Ms. Eddy presented the staff report. She introduced Director of Lending Services Jim
Hasnik from the Center for Energy and Environment (CEE),who presented a PowerPoint
presentation.
Mr. Hasnik outlined the various programs offered through CEE so the commission could
understand the opportunities for residents to consider. He outlined a few areas where the
HRA could fill some current needs such as senior deferred loans for those over 62 years of
age, a down payment assistance program, or consider changing the HRA's loan program
interest rate or qualifying criteria.
Commissioner Ovall appreciates the opportunities outlined by CEE for residents to invest
dollars into the city housing stock, and thereby still reaching the core initiative of the HRA.
He would like to consider expanding the opportunities for more options for lending funds
conservatively such as a senior program with deferment,money out a long time and no
Return. He also asked about focusing on the Energy City s tus and programs that may save
energy.
Mr. Hasnik also outlined a last resort program, such as a homeowner who does not qualify
for funds but have an emergency (such as a leaking roof,burst sewer line,no hot water);they
may be on a fixed income, financiallover-ex ended themselves, or have poor credit.
Commissioner Ovall asked for information on th'e number odeni-als.
Mr. Hasnik stated he didn't`recall but c e that information to Ms. Eddy.
Commissioner Swenson asked if there were commercial lending opportunities the HRA
could offer to focus on some of the older areas of town, such as Railroad Drive or Main
Street.,Sh,e suggested loans for businesses updating fixtures to provide energy savings.
, o'mmissioner Ovall suggested the city promote some of the lesser-known loan
;';opportunities we offer, such as facade improvement in the downtown area, or focusing on
Energy City with energy loans, or blighted commercial and residential properties.
Mr. Hasnik stated he can also send them lending opportunities and guidelines.
Ms. Eddy asked about the timeline for amending the program documents.
Mr. Hasnik stated the HRA,if it decides to amend the program, changes can be made
relatively quickly, or it can be change for the 2022 contract.
Commissioner Toth asked the commission if they should raise the loan amount or adjust the
interest rate.
Commissioner Ovall asked what types of publicity has produced the most activity and
interest in our programs.
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July 6,2021
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Ms. Eddy stated the city's website, CEE,the local newspaper, and in-person informational
meetings which didn't provide a big turnout. She stated they can track website hits and page
views.
Commissioner Ovall asked Mr. Hasnik how Elk River is compared to other cities.
Mr. Hasnik stated Elk River's loan participant figures are lower than surrounding
communities,providing figures for Coon Rapids with 100 loans approved in 2020,Blaine is
currently updating their program. Fridley has a very active lending program. He stated
marketing those opportunities is include in city newsletters,websites, and on social media,
noting whenever it goes out to the public, there's a spike in interest. He stated the city of
Champlin offers grant monies and they received 60 applications in the past week. He stated
it all depends on the program but noted any amount of narketing helps.
Commissioner Ovall suggested gathering testimonials from participants in our loan program
and use them in our media.
Commissioner Wagner suggested pushing the loan program informatioNmor avily on
social media. She wondered if a community survey would provide an opportunity to gauge
the resident's knowledge and wh their needs may be to consider changes based on
feedback.
Commissioner Chuba stated he does not feel the HRA needs to change their loan program
because he cannot see a benefit in raising our lending limits. He feels our program is a great
option to offer homeowners in conjunction with the offerings of the CEE and our
partnership with their lending opportunities.
Mr. Hasnik will send a list of all of CEE's different programs,with terms and rates of what is
out there. It was the consensus of the HRA to keep the current loan program as is, an
continue marketing it on social media and the website to spread the word about our
program.
9. Adjournment
s
Chair Toth adjourned the meeting at 6:20 p.m.
Minutes prepared by Jennifer Green.
Tina Allard, City Clerk
Larry Toth, Chair
Housing&Redevelopment Authority