4.1. DRAFT MEETING MINUTES (3 SETS) 08-07-2023
Meeting of the Elk River
Housing and Redevelopment Authority
Held at the Elk River City Hall
Monday, June 5, 2023
Members Present: Vice Chair Jennifer Wagner, Commissioners Jayme Cannon, Jill Larson-Vito, and Nate Ovall
Members Absent: Chair Denny Chuba
Staff Present: Economic Development Director Brent O’Neil, Economic Development Specialist Joshua
Mollan, and Sr. Administrative Assistant/Recording Secretary Jennifer Green
1. 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 5:31 p.m. by Vice Chair Wagner.
2. Pledge of Allegiance
The Pledge of Allegiance was recited.
3. Consider Agenda
Moved by Commissioner Ovall and seconded by Commissioner Cannon to approve the June 5,
2023, HRA meeting agenda as presented.
Motion carried 4-0.
4. Consent Agenda
Moved by Commissioner Cannon and seconded by Commissioner Larson-Vito to approve the
consent agenda as follows:
4.1 May 1, 2023, HRA Regular, and May 22, 2023, Closed Meeting Minutes.
4.2 Check register as outlined in the staff report.
4.3 Balance sheet as outlined in the staff report.
4.4 Revenue/expenditure reports as outlined in the staff report.
Motion carried 4-0.
5. Open Forum
No one appeared for Open Forum.
6.1 HRA Housing Rehabilitation Loan Update
Mr. Mollan presented the staff report. He noted two additional loans in process and two additional loans
pending approval. He also noted the mailer is still generating phone calls and walk-ins.
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6.2 General Updates
Mr. O’Neil presented the staff report with a few updates. He stated the flower baskets that have been placed
on the downtown light poles include 5 different plantings with other colors than white, and should grow to
be fuller. He indicated the sod at the former meat market site has been placed. He indicated he had
a conversation with the council a few weeks ago and they shared some thoughts about looking
comprehensively at the entire area, to include the properties owned by the EDA, HRA, city, and utility,
along with a private property to the west. This includes looking at parking configuration, amenities, plaza,
restrooms, and how they all fit together. He indicated a dog bag station will be added to the space.
Commissioner Cannon stated she liked that idea no matter where it is and inquired about a dog bag station
near the downtown splash pad and riverfront area.
Vice Chair Wagner asked about the planters and noted there was a lot of concern about the lack of size and
flower color, noting it was good to know there were five different plants providing more color than white.
She asked about the watering schedule.
Mr. O’Neil stated the schedule for watering is dependent upon the weather conditions.
6.3 Cancel July 3, 2023, HRA Meeting
Mr. O’Neil presented the staff report. He indicated there may be additional special meetings called during
July to handle anything that cannot wait until the August regular meeting.
Moved by Commissioner Cannon and seconded by Commissioner Larson-Vito to approve the
cancellation of the July 3, 2023, HRA meeting.
Motion carried 4-0.
7. Adjourn Regular Meeting
Moved by Commissioner Cannon and seconded by Commissioner Larson-Vito to adjourn the
regular meeting of the Housing and Redevelopment Authority.
Motion carried 4-0.
The regular meeting adjourned at 5:41 p.m. Vice Chair Wagner called the work session to order at 5:42 p.m.
8.1 Duffy Development Housing Proposal
Mr. O’Neil presented the staff report and reiterated the desire of John Duffy from Duffy Development to
request funding support from the HRA and the city. Mr. O’Neil indicated a resolution in support of the
Mr. Duffy applying for state funding will be presented at the June 20 City Council meeting, which helps
strengthen the application.
Commissioner Ovall asked if the HRA would receive an updated housing study from either staff or Mr.
Duffy due to the recent influx of inventory, so the HRA could understand the need for Elk River.
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June 5, 2023
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Mr. O’Neil stated an updated study is being put together and Mr. Duffy would present some further
information.
John Duffy, Duffy Development, discussed the market study that he has in the works but is still 3-4 weeks
away from being completed. He stated the study provided him with information as of today for Elk River
which shows a need for 204 affordable senior households. He stated they break it down by housing types
and income levels. Mr. Duffy’s specific proposal would hit the income groups that meet 165 of those
households. His proposal is for approximately 50 units, and the households that are making $30-57,000 a
year are struggling to find housing. His project will address 1/3 or ¼ of the need.
Mr. Duffy stated his request is twofold: first, a letter of support for the idea of Duffy Development making
an application for the state for financing for affordable senior housing; the second request is asking about
the areas entitled ‘readiness to proceed’ and ‘other contributions’, which is tax increment financing (TIF),
abatement of property taxes, or some adjustment in property taxes or deferred loans. He stated the city can
also help with in-kind request, such as adjustments to materials or parking requirements. He stated fee
waivers for building permits, SAC fees, etc., also helps. Duffy Development will also put in funds into this
project.
Commissioner Cannon stated she would support their application but was not interested in putting a tax
burden on the residents and businesses by reducing taxes or fees. She wondered about park dedication fees
being adjusted.
Commissioner Larson-Vito asked if Mr. Duffy knew what kind of support was being considered in other
cities regarding this application.
Mr. Duffy wasn’t aware of the activity in other cities but in his conversations with other developers, they say
this is the year to apply because legislators have provided a higher amount of funds this year.
Vice Chair Wagner asked for more details about the project and a proposed parking adjustment request.
Mr. Duffy indicated it will be approximately fifty 55+ affordable senior housing units. He stated the site
would support 70 units but with funding maximums, it seems more economic and realistic to build around
fifty units. He stated because seniors only have one car, they only need about 1.35 parking, which is less
than the required 2.25.
Commissioner Cannon asked if they will also manage the building once it’s built.
Mr. Duffy indicated there are state equity requirements and factors that haven’t been determined yet so he
isn’t sure if they will manage the building.
Commissioner Ovall stated he would be interested in hearing the council’s perspective on funding support.
He would be more in favor of TIF as opposed to in-kind and fee waivers. He stated this kind of projects are
huge assets to the city to get these dollars. He stated if there is a project that makes sense for this kind of
financing would fall into the category. He also supported a pay as you go reimbursement because the
mechanics and optics of TIF is more desirable.
Mr. O’Neil provided some thoughts about the concerns with the solvency of the HRA cash balance in
conjunction with the city potentially receiving multiple projects of this sort. He commented TIF is a very
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interesting piece with real challenges as expressed a year ago by the council on TIF as related to housing.
Commissioner Ovall stated he felt that past TIF housing was market development type rather than
affordable housing and felt it was a different situation than others they’ve dealt with.
Vice Chair Wagner stated she agreed with Commissioner Ovall and noted past discussions have not
included this type of request for senior affordable housing, which is a niche knowing it’s an underserved
demographic. She stated her opinion would be that TIF would be the program that would make the most
sense in her mind. She was opposed to deferred loans as they were not fair to burden the rest of the
community. She stated she also was not super flexible on the parking piece but considering the location of
the adjacent parking at the commuter rail area she would consider it. She noted the council would ask for
the housing study to compare against factual data to make a good firm decision. She did not have a problem
supporting the letter of support for the application.
It was the consensus of the HRA to consider future financial participation, but no firm decision was
available at this time.
Mr. Duffy stated he appreciated the letter of support from the city and any financial support that could be
included in the application.
8.2 Main and Gates Site
Mr. O’Neil presented the staff report and Mr. Mollan presented a slide show conceptualizing visions of a
future site.
9. Motion to Adjourn
Moved by Commissioner Cannon and seconded by Commissioner Ovall to adjourn the meeting of
the Housing and Redevelopment Authority.
Motion carried 4-0.
The meeting was adjourned at 6:14 p.m.
Minutes prepared by Jennifer Green.
___________________
Denny Chuba, Chair
___________________
Tina Allard, City Clerk
Closed Meeting of the Elk River
Housing and Redevelopment Authority
Held at the Elk River City Hall
Monday, June 5, 2023
Members Present: Vice Chair Jennifer Wagner, Commissioners Jayme Cannon, Jill Larson-Vito, and Nate Ovall
Members Absent: Chair Denny Chuba
Staff Present: Economic Development Director Brent O’Neil, Economic Development Specialist Josh
Mollan, and Recording Secretary/Senior Administrative Assistant Jennifer Green
1. 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 6:17 p.m. by Vice Chair Wagner.
2. Closed Meeting – MN Statute §13D.05, Subd. 3(c)(3)
The HRA held a closed meeting per MN Statute §13D.05, Subd. 3(c)(3) (the “Act”). The purpose of the
meeting was to consider an offer for the sale of real property. The properties discussed were: HRA
Properties at Main St. and Gates Ave.: PID #75-401-0145 and 75-401-0150.
3. Motion to Adjourn
Moved by Commissioner Larson-Vito and seconded by Commissioner Cannon to adjourn the
meeting of the Housing and Redevelopment Authority.
Motion carried 4-0.
The meeting adjourned at 6:31 p.m.
Minutes prepared by Jennifer Green.
___________________
Denny Chuba, Chair
___________________
Tina Allard, City Clerk
Special Meeting of the Elk River
Housing and Redevelopment Authority
Held at the Elk River City Hall
Tuesday, June 20, 2023
Members Present: Chair Denny Chuba, Commissioners Jill Larson-Vito, Nate Ovall, and Jennifer
Wagner
Members Absent: Commissioner Jayme Cannon
Staff Present: Economic Development Director Brent O’Neil, Economic Development Specialist
Joshua Mollan, and Sr. Administrative Assistant/Recording Secretary Jennifer Green
1. 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 5:03 p.m. by Chair Chuba.
2. Pledge of Allegiance
The Pledge of Allegiance was recited.
3. Consider Agenda
Moved by Commissioner Wagner and seconded by Commissioner Larson-Vito to approve the
June 20, 2023, HRA meeting agenda as presented.
Motion carried 4-0.
4. Consent Agenda
Moved by Commissioner Ovall and seconded by Commissioner Larson-Vito to approve the
consent agenda as follows:
4.1 Check Register as outlined in the staff report.
Motion carried 4-0.
5.1 Sale of Properties at Main and Gates
Mr. O’Neil presented the staff report.
Chair Chuba opened the public hearing. There being no one to speak, Chair Chuba closed the public
hearing.
Members of the HRA commission appreciated working with Mr. Touchette to achieve their goals for
redeveloping this area and were excited to see this project come to fruition.
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June 20, 2023
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Moved by Commissioner Larson-Vito and seconded by Commissioner Wagner to approve
Resolution 23-02 approving a purchase and sale agreement with Ronald J. Touchette for the
sale of the Housing and Redevelopment-owned property at the intersection of Main and
Gates in the City of Elk River as outlined in the staff report.
Motion carried 4-0.
6.1 Schedule 2024 Budget and Goals Work Session
Mr. Mollan presented the staff report.
Moved by Commissioner Ovall and seconded by Commissioner Larson-Vito to schedule a
special meeting to discuss the 2024 budget and goals for Monday, August 7, 2023, at 4:30 p.m.
Motion carried 4-0.
7. Adjourn Regular Meeting
Moved by Commissioner Wagner and seconded by Commissioner Ovall to adjourn the
special meeting of the Housing and Redevelopment Authority.
Motion carried 4-0.
The meeting was adjourned at 5:15 p.m.
Minutes prepared by Jennifer Green.
___________________
Denny Chuba, Chair
___________________
Tina Allard, City Clerk