Housing and Redevelopment Authority Packet - March 2, 2026
Housing and Redevelopment
Authority
Regular Meeting
&
Work Session
Agenda
Monday, March 2, 2026
5:30 PM
Elk River City Hall
▪ Regular meeting in Council Chambers
▪ Work Session meeting in Upper Town Conference Room immediately following regular meeting
1. CALL MEETING TO ORDER
1.1 Commissioner Dave Klutch
2. PLEDGE OF ALLEGIANCE
3. CONSIDER AGENDA
4. CONSENT AGENDA
Considered to be routine and noncontroversial and will be approved by one motion. There will be no separate discussion of
these items unless there is a request to remove the item from the consent agenda to the regular agenda.
4.1 DRAFT Minutes - February 2, 2026
4.2 Check Register
4.3 Balance Sheet
4.4 Revenue/Expenditure Reports
5. OPEN FORUM
An opportunity to provide comments and feedback regarding items not on the agenda. Information provided in Open Forum
will not be discussed at this meeting; rather, the information will be referred to staff and/or scheduled for discussion at a
future meeting.
6. GENERAL BUSINESS
Items in which the information is presented by city staff or consultants, then deliberation and action occur. General Business
items are not opportunities to receive or provide public input. However, the presiding officer may, at its sole discretion,
solicit public feedback.
6.1 Downtown Winter Light Pole Fixtures
6.2 Housing Rehabilitation Loan Program Update
7. OPEN DISCUSSION
This section is reserved for the board and staff to discuss relevant topics, updates, and other non-action items of the board.
8. MOTION TO ADJOURN REGULAR MEETING
9. WORK SESSION
Work Sessions are less formal meetings to encourage dialog. Official action or votes are not typically taken. At the
conclusion of a discussion, a simple consensus provides staff direction for execution of the item. This portion of the agenda
is audio recorded but not video recorded or broadcast. Work Sessions are open to the public; however, visitors who wish
Page 1 of 46
The Elk River Vision
A welcoming community with revolutionary and spirited resourcefulness, exceptional service, and community
engagement that encourages and inspires prosperity
to provide input must be invited by the presiding officer, assume a seat at the discussion table and provide their full name
and address for the official record.
9.1 Review Housing Rehabilitation Loan Guidelines
10. MOTION TO ADJOURN
11. CLOSED MEETING
11.1 Statement to be read by the Chair:
"The Housing and Redevelopment Authority will be holding a closed meeting per MN Statute
13D.05, subd. 3(c)(3) to develop or consider offers or counteroffers for the purchase or sale of
real property. The properties being discussed are within The Village of Elk River plat:
▪ PID 75-00405-1110, 365 Jackson Ave NW
▪ PID 75-00405-1115, unaddressed
▪ PID 75-00405-1155, 618 Railroad Dr NW
▪ PID 75-00405-1120, 616 Railroad Dr NW
▪ PID 75-00405-1135, 612 Railroad Dr NW
▪ PID 75-00405-1150, 600 Railroad Dr NW
11.2 Motion Calling Closed Meeting
11.3 Hold Closed Meeting
11.4 Motion to Adjourn Closed Meeting
Page 2 of 46
State of Minnesota
County of Sherburne
City of Elk River
OATH OF OFFICE
I, Dave Klutch, do solemnly swear to support the Constitution of the United States, the
Constitution of the State of Minnesota, will support the City Code and laws of the City of Elk River,
and to discharge faithfully the duties of the Housing and Redevelopment Authority of the City of
Elk River, Minnesota, to the best of my judgment and ability, so help me God.
___________________________________
Dave Klutch
Subscribed and sworn to before me this _______ day of _____________, 2026.
_________________________________
Person Administering Oath
Page 3 of 46
Meeting of the Housing and
Redevelopment Authority
Held at the Elk River City Hall
Monday, February 2, 2026
Members Present: Chair Nate Ovall, Commissioner Mel Beaudry, Commissioner Denny Chuba,
Commissioner Lynn Caswell, Commissioner John Dietz
Members Absent: None.
Staff Present: Economic Development Director Brent O'Neil, Economic Development Specialist
Joshua Mollan, and Recording Secretary Katie Porath
1. CALL MEETING TO ORDER
Pursuant to due call and notice thereof, the meeting was called to order at 5:30 p.m.
2. PLEDGE OF ALLEGIANCE
The Pledge of Allegiance was recited.
3. CONSIDER AGENDA
Moved by Commissioner Beaudry and seconded by Commissioner Dietz to approve the
agenda. Motion carried 5-0.
Mr. O'Neil commented that the work session would be brief and could be held in the Council
Chambers.
4. CONSENT AGENDA
Commissioner Chuba asked that the minutes be changed to reflect that he "retired" from the HRA
rather than "resigned".
Moved by Commissioner Dietz and seconded by Commissioner Beaudry to approve the
following consent items as outlined in their respective staff reports, as amended. Motion
carried 5-0.
4.1 DRAFT Minutes - January 5, 2026
4.2 Check Register
4.3 Balance Sheet December 2025
Page 4 of 46
Housing and Redevelopment Authority Minutes
February 2, 2026
---------
Page 2 of 3
4.4 Revenue/Expenditure Reports December 2025
4.5 Balance Sheet January 2026
4.6 Revenue/Expenditure Reports January 2026
5. OPEN FORUM
No one appeared for open forum.
6. GENERAL BUSINESS
6.1 SAHA - Main Street Family Services Allocation Update
Mr. Mollan presented the staff report. He has received the first report of Statewide Affordable Housing
Aid (SAHA) disbursements from Main Street Family Services. They have distributed nearly $10,000 in
the community so far.
Commissioner Caswell asked about the detail of the report. Mr. Mollan stated he could request a more
robust report. Commissioner Caswell will consider that option.
6.2 Housing Rehabilitation Loan Program Update
Mr. Mollan presented the staff report. There are no new loans to report.
Commissioner Caswell asked if the borrower pays the origination fee. Mr. Mollan responded that the
HRA pays the fee. The Commission asked to review the Housing Rehabilitation Loan Program
guidelines. Mr. O'Neil stated the program guidelines could be brought to the March HRA work session
for discussion with any changes adopted at the April HRA meeting.
6.3 Discuss Regular Meeting Schedule
Mr. O'Neil presented the staff report.
Moved by Commissioner Beaudry and seconded by Commissioner Caswell that the HRA
scheduled meeting date and time remain the same. Motion carried 4-0. Commissioner
Chuba abstained.
7. OPEN DISCUSSION
Mr. O'Neil stated that Dave Klutch was nominated as part of the HRA board and would be sworn in at
the March 3, 2026 HRA meeting.
Mr. O'Neil stated real estate agent Ryan Hardin has had some good discussions regarding his current
agreement.
Mr. Mollan commented that the board may update their group photo at the March or April meeting.
Page 5 of 46
Housing and Redevelopment Authority Minutes
February 2, 2026
---------
Page 3 of 3
Details will be shared with the board at a later date.
8. MOTION TO ADJOURN REGULAR MEETING
Moved by Commissioner Dietz and seconded by Commissioner Chuba to adjourn the
meeting. Motion carried 5-0.
The regular meeting adjourned at 5:55 p.m. Chair Ovall called the work session to order at 5:55 p.m.
9. WORK SESSION
9.1 King Avenue Parking Lot Plans
Mr. O'Neil gave information on the updates to the King Ave parking lot plan during spring and summer
2026. The HRA owns a portion of the parking lot and Mr. O'Neil felt they would have a say in the final
plan.
Commissioner Dietz reviewed that the parking lot plan would add 50 additional parking spaces and had
a target completion date of mid-June. Commissioner Dietz stated the green space would be removed
and new lighting would be added.
Commissioner Beaudry liked the idea of a restroom in the downtown area but asked who would
maintain the restroom. Commissioner Dietz stated it would be serviced every day the same as every
other city-owned restroom facility.
Chair Ovall asked if the city had ever considered consolidating the ownership of the parcels in the
parking lot. Mr. O'Neil stated current ownership of the parking lot includes Elk River Municipal Utilities,
the HRA, the city, and John Houlton.
Commissioner Dietz asked if staff could do research on consolidating the parking lot ownership
between the three government entities.
10. MOTION TO ADJOURN
Moved by Commissioner Dietz and seconded by Commissioner Beaudry to adjourn the
meeting. Motion carried 5-0.
The meeting adjourned at 6:12 p.m.
Minutes prepared by Katie Porath.
_________________
Nate Ovall, Chair
___________________
Jolene Richter, Deputy City Clerk
Page 6 of 46
Page 7 of 46
Page 8 of 46
CITY OF ELK RIVER
Balance Sheet
February 28, 2026
Fund 910 - HRA
Assets
910-1000 Cash - HRA 1,738,201.06
910-1190 Loans Receivable 186,891.22
910-1193 Forgivable Loan 75,000.00
910-1194 Allow for Forgivable Loan (75,000.00)
910-1195 Note Receivable 400,000.00
910-1310 Due From Other Funds 143,229.98
Total Assets 2,468,322.26
Fund Equity
910-2400 Fund Balance 2,461,786.01
Revenues over Expenditures - YTD 6,536.25
Total Fund Equity 2,468,322.26
Total Liabilities & Equity 2,468,322.26
Page 9 of 46
CITY OF ELK RIVER
Revenues with Comparison to Budget
For the Month Ending February 28, 2026
Fund 910 - HRA
Period Actual YTD Actual Budget Unearned PCNT
910-3-0000-3111 Property Taxes - 7,196.04 469,450.00 (462,253.96) 2%
910-3-0000-3621 Interest Income 621.11 5,716.51 40,000.00 (34,283.49) 14%
Total Fund Revenue 621.11 12,912.55 509,450.00 (496,537.45) 3%
Page 10 of 46
CITY OF ELK RIVER
Expenditures with Comparison to Budget
For the Month Ending February 28, 2026
Fund 910 - HRA
Period Actual YTD Actual Budget Unearned PCNT
910-4-6100-4101 Regular Pay - - 92,000.00 (92,000.00) 0%
910-4-6100-4103 Part-time Pay - - 4,500.00 (4,500.00) 0%
910-4-6100-4104 PERA - - 6,950.00 (6,950.00) 0%
910-4-6100-4105 FICA - - 6,000.00 (6,000.00) 0%
910-4-6100-4107 Medicare - - 1,400.00 (1,400.00) 0%
910-4-6100-4108 Insurance - - 20,750.00 (20,750.00) 0%
910-4-6100-4109 Workers Comp - - 450.00 (450.00) 0%
910-4-6100-4112 PFML - - 500.00 (500.00) 0%
910-4-6100-4201 Office Supplies - 82.30 100.00 (17.70) 82%
910-4-6100-4304 Legal Fees - - 3,000.00 (3,000.00) 0%
910-4-6100-4319 Professional Services - - 30,000.00 (30,000.00) 0%
910-4-6100-4331 Travel, Conferences & Schools - - 1,000.00 (1,000.00) 0%
910-4-6100-4349 Advertising/Marketing - 6,228.00 9,750.00 (3,522.00) 64%
910-4-6100-4359 Publishing - - 500.00 (500.00) 0%
910-4-6100-4401 Bldg Repair/Maint Services - - 500.00 (500.00) 0%
910-4-6100-4404 Software Services - - 7,500.00 (7,500.00) 0%
910-4-6100-4409 Contractual Services 66.00 66.00 27,000.00 (26,934.00) 0%
910-4-6100-4433 Dues & Subscriptions - - 2,500.00 (2,500.00) 0%
910-4-6100-4510 Land - - 200,000.00 (200,000.00) 0%
910-4-6100-4530 Improvement Project Contract - - 50,000.00 (50,000.00) 0%
910-4-6100-4721 Transfer-General Fund - - 40,550.00 (40,550.00) 0%
910-4-6100-4735 Transfer-EDA - - 4,500.00 (4,500.00) 0%
Total Fund Expenditures 66.00 6,376.30 509,450.00 (503,073.70) 1%
Net Revenue Over Expenditures 555.11 6,536.25 - 6,536.25 0%
Page 11 of 46
The Elk River Vision
A welcoming community with revolutionary and spirited resourcefulness, exceptional service, and community
engagement that encourages and inspires prosperity
Request for Action
To
Housing and Redevelopment Authority
Item Number
6.1
Meeting Date
March 2, 2026
Prepared By
Joshua Mollan, Economic Development Specialist
Item Description
Downtown Winter Light Pole Fixtures
Reviewed by
Brent O'Neil
Cal Portner
Action Requested
Approve, by motion, a $7,500 financial contribution toward downtown light pole fixtures in partnership with
the Downtown Elk River Business Association (DERBA).
Background/Discussion
DERBA has determined that the lit wreaths hung from the light poles downtown have reached the end of
their effective lives. The wreaths were purchased in 2021 and were hung for five winters. The HRA
contributed $2,500, approximately half the cost.
DERBA is interested in replacing the wreaths with a winter-themed fixture to be utilized throughout winter,
not just the holiday season. A DERBA committee, with city staff representation, reviewed three proposals for
comparable products. Based on cost, quality, number of bulbs, and design, the committee selected a regional
lighting vendor, Main Street Designs, and three-foot, pole-mounted lit snowflakes.
DERBA is requesting $7,500 in financial assistance to purchase 23 snowflakes. The proposed delivery cost is
$9,061. The remainder of the balance will be covered by DERBA and/or a DERBA-coordinated sponsor.
Financial Impact
$7,500 drawn from existing HRA funds.
Mission/Policy/Goal
Opportunity to live, work, and play.
Attachments
1. Letter from DERBA
Page 12 of 46
Page 13 of 46
The Elk River Vision
A welcoming community with revolutionary and spirited resourcefulness, exceptional service, and community
engagement that encourages and inspires prosperity
Request for Action
To
Housing and Redevelopment Authority
Item Number
6.2
Meeting Date
March 2, 2026
Prepared By
Joshua Mollan, Economic Development Specialist
Item Description
Housing Rehabilitation Loan Program Update
Reviewed by
Brent O'Neil
Cal Portner
Action Requested
Receive updates on the Housing Rehabilitation Loan Program.
Background/Discussion
CEE reports that all accounts are current, and the HRA's portfolio is performing as expected with no
delinquencies or late payments.
There was a new loan issued on January 8 for a solar system. $115,000 remains available for new loan
disbursements in 2026.
In 2025, CEE facilitated five loans in Elk River. Two were from the HRA's Rehabilitation Loan Program for
$43,151, while the other three were leveraged with CEE or Minnesota Housing funds for $28,235.
Financial Impact
N/A
Mission/Policy/Goal
Improve housing stock by offering incentives or programs to repair or maintain residential properties.
Attachments
1. CEE Monthly Loan Activity Summary
2. CEE Monthly Loan Servicing Report
3. CEE Loan Activity Report Q4 2025
Page 14 of 46
CEE Monthly Loan Activity Summary
3/2/26
Page 15 of 46
Data Set: February 1st, 2026
CITY OF ELK RIVER
LOAN SERVICING REPORT
January 2026
Page 16 of 46
CONTENTS
1 Invoice Report
2 Trial Balance Report (Loan Detail)
3 New Loan Count
4 Total Loan Count (Monthly Detail)
5 Trial Balance Report (Monthly Detail in USD)
6 Monthly Payment Collection Per Loan
7 Total Payment Collection in USD (Monthly Detail)
8 Total Principal Collection in USD (Monthly Detail)
9 Total Interest Collection in USD (Monthly Detail)
Page 17 of 46
POOL TOTAL COUNT OFACTIVE LOANSCOUNT OF NEWLOANSCOUNT OF ACTIVEAMORTIZING LOANSCOUNT OF ACTIVEDEFERRED LOANSCOUNT OF ACTIVEDELINQUENT LOANSCOUNT OF PAYOFFSRECEIVEDTOTAL AMOUNTRECEIVEDPRINCIPAL RECEIVEDINTEREST RECEIVEDLATE FEES ANDOTHER FEESRECEIVED3RD PARTY FEESCOLLECTEDNEW LOAN FEESDELINQUENCYMANAGEMENT FEESSATISFACTIONDRAFTING FEESSERVICING FEESTOTAL FEES TOSERVICERFUNDS TO THE CITYOF ELK RIVERHRA REHAB
Grand Total
12 1 12 0 0 0 $2,381.04 $1,742.36 $637.68 $0.00 $1.00 $20.00 $0.00 $0.00 $72.00 $93.00 $2,288.04
12 1 12 0 0 0 $2,381.04 $1,742.36 $637.68 $0.00 $1.00 $20.00 $0.00 $0.00 $72.00 $93.00 $2,288.04
CITY OF ELK RIVER
INVOICE SUMMARY
Detail for January 2026
Page 18 of 46
Source Company Loan #Address TOTAL AMOUNT
RECEIVED
PRINCIPAL
RECEIVED
INTEREST
RECEIVED
LATE FEES AND
OTHER FEES
RECEIVED
3RD PARTY FEES
COLLECTED
ELK RIVER 19-015204 1420 5TH ST NW
19-015209 609 GATES AVE NW
19-015217 1811 MAIN ST
19-016564 403 3RD ST NW
23-029012 18990 TWIN LAKES RD NW
23-029085 17931 GARY ST NW
23-029618 13366 181ST LN NW
24-032189 14270 191ST AVE NW
24-033299 17812 CONCORD CT NW
25-039214 18471 TROTT BROOK PKWY NW
25-040378 11137 167TH AVE NW
25-041322 9624 209TH AVE NW
Grand Total
$208.04 $202.51 $5.53 $0.00 $0.00
$187.63 $178.91 $8.72 $0.00 $0.00
$162.79 $117.88 $44.91 $0.00 $0.00
$154.43 $133.43 $21.00 $0.00 $0.00
$260.00 $158.46 $101.54 $0.00 $0.00
$306.00 $225.27 $80.73 $0.00 $0.00
$201.00 $142.32 $57.68 $0.00 $1.00
$142.69 $82.71 $59.98 $0.00 $0.00
$258.90 $150.05 $108.85 $0.00 $0.00
$240.66 $209.86 $30.80 $0.00 $0.00
$258.90 $140.96 $117.94 $0.00 $0.00
$0.00 $0.00 $0.00 $0.00 $0.00
$2,381.04 $1,742.36 $637.68 $0.00 $1.00
CITY OF ELK RIVER
PAYMENT BREAKDOWN PER LOAN
Detail for January 2026
Page 19 of 46
Loan #Address
2025
Q1
February March
Q2
April May June
Q3
July August September
Q4
October November December
2026
Q1
January
19-015215 606 JEFFERSON LN NW
19-015204 1420 5TH ST NW
19-015209 609 GATES AVE NW
19-015217 1811 MAIN ST
19-016564 403 3RD ST NW
23-029012 18990 TWIN LAKES RD NW
23-028654 13222 179 1/2 AVE NW
23-029085 17931 GARY ST NW
23-029618 13366 181ST LN NW
24-032189 14270 191ST AVE NW
24-033299 17812 CONCORD CT NW
25-039214 18471 TROTT BROOK PKWY NW
25-040378 11137 167TH AVE NW
25-041322 9624 209TH AVE NW
Grand Total
$747.03$937.75 $173.14$364.75$556.12 $0.00
$4,411.49$4,610.69 $3,813.92$4,013.44$4,212.82 $3,212.56$3,413.35$3,613.72 $2,607.22$2,809.48$3,011.12 $2,404.71
$5,326.56$5,502.58 $4,799.37$4,975.38$5,151.37 $4,268.51$4,445.76$4,622.59 $3,733.66$3,912.45$4,090.53 $3,554.75
$13,489.39$13,607.82 $13,144.29$13,259.23$13,375.30 $12,795.48$12,911.66$13,027.42 $12,441.44$12,560.36$12,677.39 $12,323.56
$7,364.30$7,495.73 $6,973.95$7,104.25$7,234.89 $6,579.64$6,711.27$6,842.45 $6,180.64$6,314.31$6,446.84 $6,047.21
$31,305.94$31,469.37 $30,840.01$30,994.71$31,152.29 $30,369.34$30,525.64$30,681.40 $29,890.61$30,051.81$30,209.18 $29,732.15
$29,935.46$30,142.97 $29,335.27$29,534.93$29,737.16 $28,728.96$28,930.68$29,131.71 $0.00$28,523.41
$25,767.26$25,993.50 $25,106.84$25,326.80$25,548.80 $24,439.70$24,661.92$24,883.38 $23,763.18$23,990.31$24,214.05 $23,537.91
$19,142.21$19,573.56 $18,126.46$18,262.42$18,700.94 $17,405.25$17,555.23$18,003.93 $16,979.30$17,119.26$17,119.26 $16,836.98
$18,396.61$18,482.59 $18,153.21$18,233.95$18,316.42 $17,907.32$17,988.90$18,070.20 $17,657.01$17,741.37$17,823.51 $17,574.30
$33,381.35$33,537.34 $32,939.72$33,086.22$33,235.85 $32,493.60$32,641.61$32,789.12 $32,039.44$32,192.50$32,341.53 $31,889.39
$8,151.00 $7,509.76$7,721.65$7,935.35 $6,854.30$7,081.00$7,290.49 $6,644.44
$34,715.62$34,848.50$34,848.50 $34,574.66
$35,000.00
$189,267.60$191,353.90 $191,557.18$185,156.08$187,221.96 $185,710.12$187,507.67$189,601.27 $186,862.42$188,621.35$218,595.81 $220,120.06
CITY OF ELK RIVER
TRIAL BALANCE REPORT
Monthly Detail
Page 20 of 46
POOL Loan #Address Contract Date
HRA REHAB 25-041322 9624 209TH AVE NW 1/8/2026
Grand Total
$35,000.00
$35,000.00
CITY OF ELK RIVER
NEW LOAN REPORT
Detail for January 2026
Page 21 of 46
2025
Q1 Q2 Q3 Q4
2026
Q1
FebruaryMarchAprilMayJuneJulyAugustSeptemberOctoberNovemberDecemberJanuary0
6
12
Number of Active Loans11 11 11 11
12 12
11 11
12 12
11
12
CITY OF ELK RIVER
TOTAL LOAN COUNT
Monthly Detail
Page 22 of 46
2025
Q1 Q2 Q3 Q4
2026
Q1
FebruaryMarchAprilMayJuneJulyAugustSeptemberOctoberNovemberDecemberJanuary0
1
2
COUNT OF NEW LOANS ADDED000010001001CITY OF ELK RIVER
NEW LOAN COUNT
Monthly Detail
Page 23 of 46
2025
Q1 Q2 Q3 Q4
2026
Q1
FebruaryMarchAprilMayJuneJulyAugustSeptemberOctoberNovemberDecemberJanuary$0.00
$100,000.00
$200,000.00
Unpaid Principal Balance$191,353.90$189,267.60$187,221.96$185,156.08$191,557.18$189,601.27$187,507.67$185,710.12$218,595.81$188,621.35$186,862.42$220,120.06CITY OF ELK RIVER
TRIAL BALANCE
Monthly Detail in USD
Page 24 of 46
2025
Q1
February March
Q2
April May June
Q3
July August September
Q4
October November December
2026
Q1
January
ELK RIVER 19-015204 1420 5TH ST NW
19-015209 609 GATES AVE NW
19-015215 606 JEFFERSON LN NW
19-015217 1811 MAIN ST
19-016564 403 3RD ST NW
23-028654 13222 179 1/2 AVE NW
23-029012 18990 TWIN LAKES RD NW
23-029085 17931 GARY ST NW
23-029618 13366 181ST LN NW
24-032189 14270 191ST AVE NW
24-033299 17812 CONCORD CT NW
25-039214 18471 TROTT BROOK PKWY NW
25-040378 11137 167TH AVE NW
25-041322 9624 209TH AVE NW
Grand Total
$208.04$208.04 $208.04$208.04$208.04 $208.04$208.04$208.04 $208.04$208.04$208.04 $208.04
$187.63$187.63 $187.63$187.63$187.63 $187.63$187.63$187.63 $187.63$187.63$187.63 $187.63
$192.33$192.33 $192.33$192.33$192.33 $173.42
$162.79$162.79 $162.79$162.79$162.79 $162.79$162.79$162.79 $162.79$162.79$162.79 $162.79
$154.43$154.43 $154.43$154.43$154.43 $154.43$154.43$154.43 $154.43$154.43$154.43 $154.43
$300.00$300.00 $300.00$300.00$300.00 $300.00$300.00$300.00 $28,639.09$300.00
$260.00$260.00 $260.00$260.00$260.00 $260.00$260.00$260.00 $260.00$260.00$260.00 $260.00
$306.00$306.00 $306.00$306.00$306.00 $306.00$306.00$306.00 $306.00$306.00$306.00 $306.00
$501.00$0.00 $201.00$501.00$501.00 $201.00$501.00$201.00 $201.00$0.00$402.00 $201.00
$142.69$142.69 $142.69$142.69$142.69 $142.69$142.69$142.69 $142.69$142.69$142.69 $142.69
$258.90$258.90 $258.90$258.90$258.90 $258.90$258.90$258.90 $258.90$258.90$258.90 $258.90
$0.00 $240.66$240.66$240.66 $240.66$240.66$240.66 $240.66
$258.90$0.00$258.90 $258.90
$0.00
$2,673.81$2,172.81 $2,373.81$2,673.81$2,673.81 $2,422.14$2,722.14$2,595.56 $2,381.04$30,560.23$2,882.04 $2,381.04
CITY OF ELK RIVER
PAYMENT COLLECTION PER LOAN
Monthly Detail
Page 25 of 46
2025
Q1 Q2 Q3 Q4
2026
Q1
FebruaryMarchAprilMayJuneJulyAugustSeptemberOctoberNovemberDecemberJanuary$20,000.00
TOTAL PAYMENTS COLLECTED$2,172.81$2,673.81$2,673.81$2,673.81$2,373.81$2,595.56$2,722.14$2,422.14$30,560.23$2,882.04$2,381.04$2,381.04CITY OF ELK RIVER
TOTAL PAYMENT COLLECTION (USD)
Monthly Detail
Page 26 of 46
2025
Q1 Q2 Q3 Q4
2026
Q1
FebruaryMarchAprilMayJuneJulyAugustSeptemberOctoberNovemberDecemberJanuary$20,000.00
PRINCIPAL RECEIVED$1,594.71$2,086.30$2,045.64$2,065.88$1,749.90$1,955.91$2,093.60$1,797.55$29,974.46$2,114.31$1,758.93$1,742.36CITY OF ELK RIVER
TOTAL PRINCIPAL COLLECTION (USD)
Monthly Detail
Page 27 of 46
2025
Q1 Q2 Q3 Q4
2026
Q1
FebruaryMarchAprilMayJuneJulyAugustSeptemberOctoberNovemberDecemberJanuary$0.00
$400.00
$800.00
INTEREST RECEIVED$578.10$586.51$627.17$606.93$622.91$638.65$627.54$623.59$765.73$582.62$621.11$637.68CITY OF ELK RIVER
TOTAL INTEREST COLLECTION(USD)
Monthly Detail
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Source
Company Loan #Address DAYS PAST DUE AMOUNT DUE
30+ DAYS
TOTAL AMOUNT
DUE
ELK RIVER 19-015204 1420 5TH ST NW
19-015209 609 GATES AVE NW
19-015217 1811 MAIN ST
19-016564 403 3RD ST NW
23-029012 18990 TWIN LAKES RD NW
23-029085 17931 GARY ST NW
23-029618 13366 181ST LN NW
24-032189 14270 191ST AVE NW
24-033299 17812 CONCORD CT NW
25-039214 18471 TROTT BROOK PKWY NW
25-040378 11137 167TH AVE NW
25-041322 9624 209TH AVE NW
Grand Total
0 $0.00 $0.00
0 $0.00 $0.00
0 $0.00 $0.00
0 $0.00 $0.00
0 $0.00 $0.00
0 $0.00 $0.00
0 $0.00 $0.00
0 $0.00 $0.00
0 $0.00 $0.00
0 $0.00 $0.00
0 $0.00 $0.00
0 $0.00 $0.00
0 $0.00 $0.00
CITY OF ELK RIVER
AGING DELINQUENCY
Detail for January 2026
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Elk River Loan Summary Report
Activity for Period 10/1/2025 - 12/31/2025
Application packets requested/mailed:Year-to-Date: This period:0 0
Residential Advisor Visits:This period:Year-to-Date: 0 0
Applications received and processed in your City/Neighborhood this period:3
Closed Loans This period:Year-to-Date:
Elk River UnitsUnits
0 0
Closed End 35,000.00 1 243,151.00
35,000.00 1Total 43,151.00 2
Units UnitsYear-to-Date:This period:Leveraged Funds
CEE 224,085.0012,060.00 1
MHFA FUF 14,150.000.00 0
Total 28,235.00 312,060.00 1
% of Total#Types of Properties Financed YTD
Single Family Residence 100.005
Types of Improvements Financed YTD # of Projects % of Total
Additions/Finishing off unused space 11.111
Air Conditioning 33.333
Heating System 33.333
Thermostat 22.222
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The Elk River Vision
A welcoming community with revolutionary and spirited resourcefulness, exceptional service, and community
engagement that encourages and inspires prosperity
Request for Action
To
Housing and Redevelopment Authority
Item Number
9.1
Meeting Date
March 2, 2026
Prepared By
Joshua Mollan, Economic Development Specialist
Item Description
Review Housing Rehabilitation Loan Guidelines
Reviewed by
Brent O'Neil
Cal Portner
Action Requested
Discuss potential changes to the HRA's Housing Rehabilitation Loan Program.
Background/Discussion
The HRA's Housing Rehabilitation Loan Program offers low-interest home improvement loans to eligible Elk
River residents. It has the following terms:
▪ Loan amounts from $5,000 to $35,000.
▪ Terms up to 15 years, depending on loan amount.
▪ No down payment required.
▪ 4% interest rate (e.g., $11,600 interest accrued on a 15-year $35,000 loan).
Fees:
HRA responsibility:
▪ Origination fee: $775
Borrower responsibility:
▪ Credit report: $50-100
▪ Origination: 1%
▪ Service fee: $18
▪ Document preparation: $50
▪ Mortgage filing: $46
▪ Title work: $60
Commissioners are requested to review and propose any suggested changes. Staff will bring changes back to
the Commission next month for approval.
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Financial Impact
N/A
Mission/Policy/Goal
Improve housing stock by offering incentives or programs to repair or maintain residential properties.
Attachments
1. Loan Origination Agreement Packet 2026
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Exhibit A Page 1
Agreement between Elk River HRA and Center for Energy and Environment
EXHIBIT A
PROGRAM GUIDELINES
This document includes guidelines for the
REVOLVING LOAN PROGRAM
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Exhibit A Page 2
Agreement between Elk River HRA and Center for Energy and Environment
CITY of ELK RIVER REVOLVING LOAN PROGRAM GUIDELINES
The Elk River Housing and Redevelopment Authority has funds available for homeowners to make
improvements to their properties. The Elk River Revolving Loan Program is designed to supplement
existing loan programs available from MHFA, CEE, private lenders and other housing resources. This
program is not intended to be the sole source of improvement funds available to the City. Center for
Energy and Environment shall serve as the administrator for the Elk River Loan Program and will secure
the most beneficial financing based on the borrower’s needs independent of the funding source.
Revolving Loan Program
Interest Rate: 4%
Amortization Type: Amortizing (Monthly Payments Required).
Loan Amount: Minimum of $5,000 and Maximum of $35,000.
Loan term: Generally, one year per $1,000 borrowed. This will be somewhat flexible depending on the
size of the loan and the borrower’s ability to repay the loan.
• $5,000 to $15,000 – up to 10 years
• $15,001 to $35,000 – up to 15 years
Eligible Properties: 1-4 unit owner-occupied properties located within the geographical boundaries of
the City of Elk River AND the Urban Services District. A recent water and sewer utility bill may be used
to verify the borrower is in the Urban Services District. If applicant does not have a utility bill a letter of
eligibility from the City of Elk River can be used. Townhomes, Condominiums and properties held in a
Trust are eligible. The property must be at least 20 years old. Property must not be in a flood plain.
Ineligible Properties: Dwellings with more than four units, cooperatives, manufactured homes, and
properties used for commercial purposes. Properties located in a flood plain. Properties NOT located in
the Urban Services District.
Eligible Borrowers: All borrowers must be legal residents of the United States, as evidenced by a social
security number, Including: U.S. Citizens, Permanent Resident Aliens, Non-Permanent Resident Aliens.
TAX IDENTIFICATION NUMBERS (ITIN) ARE NOT ACCEPTABLE.
Ineligible Borrowers: Including but not limited to: - Foreign Nationals, Non-Occupant Co-Borrowers,
and business entities.
Ownership/Occupancy: Owner- occupied only.
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Exhibit A Page 3
Agreement between Elk River HRA and Center for Energy and Environment
Loan - to - Value Ratio: The ratio of all loans secured by the property, including the new loan, should
not exceed 100% of the property value. Half of the improvement value may be added to the initial
property value.
Income Limit: No maximum income limit.
Debt - to - Income Ratio: Applicant must have the ability to repay the loan. An applicant who has a debt
to income ratio in excess of 43% will be ineligible to receive financing.
Credit Score Requirement: All borrowers must have a minimum of a 620 credit score.
Credit Requirements: 1) All mortgage payments must be current and reflect no 30 day late payments
history in the past 12 month period (without reasonable explanation). 2) All real estate taxes must be
current. 3) No outstanding judgements or collections. 4) Bankruptcy must have been discharged for at
least 24 months prior to loan closing. 5) The redemption period on prior foreclosures must have
occurred at least 24 months prior to the loan application date. 6) Generally, no more than two 30-day
late payments on credit report in the past year (without reasonable explanation). Any 30 day late
requires a documented explanation and reasonable reasons; medical, unemployment, divorce. 7) No
defaulted government loans.
Multiple Loans per Property: More than one loan per property is allowed, however, the outstanding
balance(s) cannot exceed the maximum program limit and previous loans are current and have an
acceptable payment history.
Eligible Use of Funds: Loans may be used to finance most permanent interior and exterior
improvements including, but not limited to: roofing, siding, doors/windows, plumbing, electrical, HVAC,
insulation, solar, garage, driveways, sidewalks/steps, painting, flooring, additions, landscaping, etc.
Ineligible Use of Funds: Payment for work initiated prior to the loan being approved and closed, unless
due to emergency. Recreation or luxury projects (pools, lawn sprinkler systems, playground equipment,
saunas, whirlpools, etc.), furniture, non-permanent appliances(unless part of a full kitchen remodel),
and funds for working capital, debt service, homeowner labor or refinancing existing debts are NOT
allowed.
Bids: Only one estimate is required. All contractors must be properly licensed.
Sweat Equity / Homeowner Labor: Work may be performed by property owners on a “sweat equity”
basis. Loan funds may be used only for the purchase of materials and to rent tools/ equipment, but not
to compensate for labor.
Remodeling Advisor Visit (RAV): The Remodeling Advisor Visit provides rehabilitation and/or
remodeling advice upon request of the resident. The intent is to help residents improve their homes by
providing technical assistance before and during the bidding and construction process. All “Eligible
Properties” are eligible for this service. This visit is not required and would be paid by the borrower(s).
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Exhibit A Page 4
Agreement between Elk River HRA and Center for Energy and Environment
Post Installation Inspection: Permits must be obtained and signed off by a City inspector where
required; when not required, a post installation inspection will be performed by a City of Elk River
representative to ensure the work has been completed before any funds will be released.
Loan Security: All loans will be secured with a mortgage in favor of the Elk River Housing and
Redevelopment Authority. Borrower will pay all applicable title and filing fees, which may be financed in
the loan amount.
Borrower Fees: Borrower will be responsible for a 1% origination Fee, $50 Document Preparation Fee,
mortgage filing and service fees, flood certificate, credit report fees and any other applicable closing
costs, all which may be financed in the loan amount.
Underwriting Decision: Applicants must have acceptable credit history (see Credit Requirements). CEE
will approve or deny loans based on a credit report, income verification and other criteria as deemed
necessary through CEE’s underwriting guidelines. CEE shall refer to the Elk River HRA for any
questionable situations. All borrowers must have a credit score of at least 620.
Work Completion: All work must be completed within 120 days of the loan closing. However, when
warranted, CEE may authorize exceptions on a case by case basis.
General Program Conditions
Application Processing: Loans will be distributed on a first come first serve basis as borrowers qualify.
Applicants must provide a completed application package including, but not limited to:
Completed and signed application form
Proof of income
Bids or estimates for proposed projects
Valid Identification
Other miscellaneous documents CEE may require.
Program Costs: Loan origination and other administrative fees will be paid out of the Program Budget.
Loan program marketing efforts will be billed directly to the City of Elk River Housing and
Redevelopment Authority. Should the HRA choose to commission CEE for marketing support it will be a
separate expense.
Total Project Cost: It is the borrower’s responsibility to obtain the amount of funds necessary to finance
the entire cost of the work. In the event the final cost exceeds the original loan amount, the borrower
must obtain the additional funds and show verification of the additional funds in order to be approved
for the loan.
Disbursement Process: Payment to the contractor (or owner in sweat equity situations) will be made
upon completion of work. An inspection will be performed by a city inspector and/or representative to
verify the completion of the work. The following items must be received prior to final disbursement of
funds:
• Final invoice or proposal from contractor (or materials list from supplier);
• Final inspection verification by a City Inspector or representative;
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Exhibit A Page 5
Agreement between Elk River HRA and Center for Energy and Environment
• Completion certificate(s) signed by borrower, contractor and city inspector or representative (if
a permit is not required);
• Lien waiver for entire cost of work;
• Evidence of city permit (if required)
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Exhibit B5 Page 1
Agreement between the City of Elk River Housing and Redevelopment Authority and Center for Energy and
Environment
EXHIBIT B5
TOTAL PROGRAM BUDGET $150,000
ELK RIVER LOAN PROGRAM BUDGET
Revolving Loan Program Budget Allocation ( Origination Fees, Remodeling Advisor Visit and Annual
Administration Fee is not a part of the TOTAL PROGRAM BUDGET):
Budget Notes:
1. CEE shall submit monthly invoices to the Housing and Redevelopment Authority in and for the
City of Elk River for the loan principal and administrative fees.
2. Services performed by CEE will initially be funded from the Total Program Budget as stated
above and paid in accordance with the following schedule.
(a) Loan Origination Fee $775 per loan closed
(b) Annual Administration Fee $5,000.00
(c) Remodeling Advisor Visit (RAV) $275 per visit
The Annual Administration Fee shall be payable on January 1st of each year the contract is active.
3. Marketing
Marketing efforts will be supported by CEE and marketing costs are not included in the
administrative budget. Hourly rates are inclusive of all overhead expenses and will be charged
only for hours directly related to the labor of all program marketing. CEE will also be reimbursed
by the City of Elk River Housing and Redevelopment Authority for any non-labor, out-of-pocket
expenses relating to these services on a dollar-for-dollar basis.
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