12-04-2023 HRA MINMeeting of the Elk River
Housing and Redevelopment Authority
Held at the Elk River City Hall
ver Monday, December 4, 2023
Members Present: Chair Denny Chuba, Commissioners Lynn Casswell, Jill Larson -Vito, Nate Ovall, and
Jennifer Wagner
Members Absent: None
Staff Present: Economic Development Director Brent O'Neil, Economic Development Specialist
Josh Mollan, and Sr. Administrative Assistant Jennifer Green
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 5:31 p.m. by Chair Chuba.
2. Pledge of Allegiance:
Chair Chuba led the Pledge of Allegiance.
3. Consider Agenda
Moved by Commissioner Ovall and seconded by Commissioner Larson -Vito to approve the
December 4, 2023, HRA meeting agenda as presented.
Motion carried 5-0.
4. Consent Agenda
Moved by Commissioner Larson -Vito and seconded by Commissioner Wagner to approve the
consent agenda as follows:
4.1 October 2, 2023, 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 5-0.
S. Open Forum
No one appeared for Open Forum.
6.1 HRA Housing Rehabilitation Loan Update
Mr. Mollan presented the staff report. He explained that the fee for CEE to administer the loan
program increased for the year 2023 but CEE allowed the HRA to pay a lower rate, with the rate
increase effective for 2024.
Housing and Redevelopment Alinutes
December 4, 2023
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Commissioner Larson -Vito asked to see what other cities are paying for this service, noting that CEE
is also generating loans to residents outside of our program.
Commissioner Ovall agreed with Commissioner Larson -Vito, and while he felt the increase was large,
stated CEE has been doing a good job; bringing the loan processing in-house would cost more
money. They tried raising the fee for 2023 and provided the city with a grace period to budget the
increase in fees for 2024. He asked staff to analyze and compare this program by shopping the market
to find another loan provider, service the program in-house, or recommend the HRA support the cost
increase and agree to have CEE administer the loan program.
Staff agreed and will provide information at the January meeting.
Mr. Mollan indicated he received an inquiry from an applicant who was close to the boundaries of the
Urban Service District. He asked if the HRA would consider opening the boundary.
Commissioner Ovall stated he would not like to open beyond the Urban Service District and wanted
to keep the current target area. He felt the HRA is meeting the needs of the district to allow for
updates to energy efficiency, blight, and/or connecting water utilities.
It was the consensus of the commission to keep the boundary in place.
6.2 Coachman II — Duffy Development
Mr. O'Neil presented the staff report.
John Duffy — Duffy Development- reiterated Duffy Development's attempt earlier this year for
funding for the 55+ population. He did get a lot of encouragement on this application and stated he is
meeting with Sherburne County and MN Housing on Friday to move this project forward. He
reviewed with the Commission the areas of the state application and where they needed more points
was in an area called Community Planning. He asked the city to consider working with him to provide
a community plan that outlines options for affordable senior housing, and he could provide examples
of what other cities use. Mr. Duffy also would like to see Elk River waive certain fees and waiving
areas of a site plan such as parking reduction plan and waiving building standards. He would work
with different agencies and the county for loans or grants as investors look at that to see if the city is
on board with a project like this.
Commissioner Wagner noted the project was great project and felt a reduction in parking
requirements could be supported if there were parking spots nearby. She stated the HRA isn't
prepared to do anything at this point.
Commissioner Larson -Vito recommended meeting with the Planning Commission to receive
feedback.
Commissioner Ovall asked Mr. Duffy if a business funding a project in lieu of other public funding
would count the same, and Mr. Duffy indicated it would. Commissioner Ovall understands the city's
position on TIF, but to him maybe this project is more palatable for TIF with true public dollars from
the state to help buy down the project debt and aiding the community with much needed housing. He
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Housing and Redevelopment Minutes
December 4, 2023
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felt this financial option would be more palatable than some of the other options discussed. He stated
any reduction in fees such as WAC and SAC gets passed onto the residents and didn't feel that
approach was very palatable.
Chair Chuba suggested Mr. Duffy meet with staff to see what their next steps would be to work on a
community plan and meet with Planning staff.
6.3 General Updates
Mr. O'Neil reminded the Commission that the annual meeting of the HRA will be held in February,
and he will provide topics to consider and reflect upon at the January meeting.
Mr. O'Neil stated he will attend a meeting next week with the Sherburne County EDA where Matt
Mullens with Maxwell Research will discuss the county's housing study update. He stated he will be
gathering information to decide whether Elk River piggybacks on the county's study update.
Mr. O'Neil updated the HRA on the Main and Gates properties.
Mr. O'Neil stated that Commissioner Jill Larson -Vito has decided not to renew her HRA commission
appointment. The Commission thanked Jill for her commitment and insight. Commissioner Larson -
Vito stated she appreciated serving and learning more about the Commission.
7. Adjourn Regular Meeting
Moved by Commissioner Larson -Vito and seconded by Commissioner Wagner to adjourn the
regular meeting of the Housing and Redevelopment Authority.
Motion carried 5-0.
Theme ' g was adjourned at 6:03 p.m.
Minui es repared by Jennifer Green.
Denny Chuba air
Tina Allard, City Clerk
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