Housing and Redevelopment Authority Packet - September 8, 2026
Housing and Redevelopment
Authority
Regular Meeting
&
Work Session
Agenda
Tuesday, September 8, 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
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 - August 3, 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 2027 Budget Approval and Levy Recommendation
6.2 Downtown Furniture Placement
6.3 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 42
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 Downtown Hanging Flower Baskets and Fixtures
9.2 Land Acquisition Opportunity — Mississippi Road
10. MOTION TO ADJOURN
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Meeting of the Housing and
Redevelopment Authority
Held at the Elk River City Hall
Monday, August 3, 2026
Members Present: Chair Nate Ovall, Commissioner John Dietz, Commissioner Lynn Caswell,
Commissioner Mel Beaudry, Commissioner Dave Klutch
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 Dietz and seconded by Commissioner Beaudry to approve the
agenda. Motion carried 5-0.
4. CONSENT AGENDA
Moved by Commissioner Caswell and seconded by Commissioner Klutch to approve the
following consent items as outlined in their respective staff reports. Motion carried 5-0.
4.1 DRAFT Minutes - July 6, 2026
4.2 Check Register
4.3 Balance Sheet
4.4 Revenue/Expenditure Reports
4.5 Satisfaction of Mortgages - #19-015217 and #19-016564
5. OPEN FORUM
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Housing and Redevelopment Authority Minutes
August 3, 2026
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Page 2 of 4
No one appeared for open forum.
6. GENERAL BUSINESS
6.1 Presentation - Garden Gem Awards
Mr. Mollan presented engraved landscape rocks to the winners of the 2026 Garden Gem Awards in the
following categories:
Rural - Jill Varty
Townhome - Martha Quesenberry
Single Family Home built before 2000 - Cassandra Miller
Single Family Home built 2000 or later - Paul and Sandy Peterson
6.2 Housing Rehabilitation Loan Program Update
Mr. Mollan reviewed that there were no new loans in the latest period. However, he has recently
reviewed a new project and it will likely be on the September report. He added that the Center for
Energy and Environment (CEE) has closed two loans year-to-date from Elk River residents from HRA's
program and MN Housing Fix up Fund.
7. OPEN DISCUSSION
Mr. Mollan stated the quarterly report from Main Street Family Services on their Statewide Affordable
Housing Aid (SAHA) allocation has shown that $10,470 was issued to 13 different families.
Mr. Mollan gave an update on a code enforcement property. Staff has sent a final offer to purchase the
property. If there is no response, code enforcement will work to clean up the property.
Mr. O'Neil reviewed that the HRA had asked about the liquor buying habits of Elk River residents using
the Placer.ai software. He will bring more details to a future meeting.
Mr. O'Neil stated that there has been minimal response to the conversations with owners of properties
in the "Upper Town" area. One developer has asked about developing apartments in that area but there
is currently a moratorium in effect on multi-family housing in Elk River.
Mr. O'Neil gave an update on the partnership with Habitat for Humanity. The organization has secured
a property in Becker for their first home built at the Elk River high school. There was some challenge
finding a suitable property in Elk River to use for the project but staff will continue to work on this for
future homes. The Commission could consider putting some funding toward the property cost to lower
the cost burden. $20,000 has been earmarked using Statewide Affordable Housing Aid program.
Mr. O'Neil asked the Commission to consider if they would like to financially contribute toward any
amenities to the downtown area during the main street projects scheduled to begin next year. He will
bring the discussion to a future meeting.
8. MOTION TO ADJOURN REGULAR MEETING
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Housing and Redevelopment Authority Minutes
August 3, 2026
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Page 3 of 4
Moved by Commissioner Klutch and seconded by Commissioner Caswell to adjourn the
meeting. Motion Carried 5-0.
The regular meeting adjourned at 5:51 p.m. Chair Ovall called the work session to order at 5:54 p.m.
9. WORK SESSION
9.1 2027 Budget Workshop
Mr. O'Neil reviewed the budget stating there were no substantial changes and proposing a 2.1%
increase.
The Commission discussed budgeting money to assist Habitat for Humanity in purchasing property for
the houses built at the high school.
Chair Ovall asked if staff has networked with cities who have done redevelopment, such as Champlin,
and how they acquired properties and financed the redevelopment. Mr. O'Neil stated that he has
learned some information from cities that share similar attornies. Chair Ovall would be interested in a
rubric to help make decisions on the right mix of cash versus financing.
Mr. O'Neil discussed whether the fund balance should be a budget goal or a policy. While he prefers a
policy, having it as a budget goal gives the Commission flexibility to adjust it each year as needed.
Commissioner Dietz asked if staff has looked into acquiring the remaining residential houses from the
railroad tracks to Highway 169 on Main Street. Mr. O'Neil stated there had been some discussion in
the past but the board had prioritized using available funds elsewhere, such as areas of downtown,
should the opportunity present itself.
Mr. O'Neil suggested that, if something comes up for sale on Main Street, it could be paid for from the
fund balance rather than budgeting for it.
Commissioner Dietz mentioned that the American Legion had talked about being willing to relocate if a
good location was available.
Commissioner Beaudry asked about the Fire Station #1 location. Mr. O'Neil stated that the property
would likely be sold for reuse or redevelopment when the new Station #1 is constructed, and the City
Council would make that decision.
The Commission was in agreement with the proposed 2.1% increase and the budget will be brought to
the September HRA meeting for approval.
10. MOTION TO ADJOURN
Moved by Commissioner Beaudry and seconded by Commissioner Caswell to adjourn the
meeting. Motion carried 5-0.
The meeting adjourned at 6:15 p.m.
Page 5 of 42
Housing and Redevelopment Authority Minutes
August 3, 2026
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Page 4 of 4
Minutes prepared by Katie Porath.
_________________
Nate Ovall, Chair
_____________________
Justin Dunford, City Clerk
Page 6 of 42
Page 7 of 42
CITY OF ELK RIVER
Balance Sheet
August 31, 2026
Fund 910 - HRA
Assets
910-1000 Cash - HRA 1,872,409.13
910-1190 Loans Receivable 195,162.53
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 138,809.03
Total Assets 2,606,380.69
Fund Equity
910-2400 Fund Balance 2,464,862.29
Revenues over Expenditures - YTD 141,518.40
Total Fund Equity 2,606,380.69
Total Liabilities & Equity 2,606,380.69
Page 8 of 42
CITY OF ELK RIVER
Revenues with Comparison to Budget
For the Month Ending August 31, 2026
Fund 910 - HRA
Period Actual YTD Actual Budget Unearned PCNT
910-3-0000-3111 Property Taxes - 240,692.69 469,450.00 (228,757.31) 51%
910-3-0000-3621 Interest Income 5,545.45 43,969.96 40,000.00 3,969.96 110%
Total Fund Revenue 5,545.45 284,662.65 509,450.00 (224,787.35) 56%
Page 9 of 42
CITY OF ELK RIVER
Expenditures with Comparison to Budget
For the Month Ending August 31, 2026
Fund 910 - HRA
Period Actual YTD Actual Budget Unearned PCNT
910-4-6100-4101 Regular Pay - 40,928.77 92,000.00 (51,071.23) 44%
910-4-6100-4103 Part-time Pay - 2,175.00 4,500.00 (2,325.00) 48%
910-4-6100-4104 PERA - 3,068.85 6,950.00 (3,881.15) 44%
910-4-6100-4105 FICA - 2,547.37 6,000.00 (3,452.63) 42%
910-4-6100-4107 Medicare - 595.55 1,400.00 (804.45) 43%
910-4-6100-4108 Insurance - 6,048.00 20,750.00 (14,702.00) 29%
910-4-6100-4109 Workers Comp - 261.00 450.00 (189.00) 58%
910-4-6100-4112 PFML - 194.17 500.00 (305.83) 39%
910-4-6100-4201 Office Supplies - 82.30 100.00 (17.70) 82%
910-4-6100-4219 Operating Supplies - 5,932.00 - 5,932.00 0%
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 - 6,598.00 9,750.00 (3,152.00) 68%
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 - 5,443.68 7,500.00 (2,056.32) 73%
910-4-6100-4409 Contractual Services 3,001.14 24,219.56 27,000.00 (2,780.44) 90%
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 40,550.00 - 100%
910-4-6100-4735 Transfer-EDA 4,500.00 4,500.00 4,500.00 - 100%
Total Fund Expenditures 48,051.14 143,144.25 509,450.00 (366,305.75) 28%
Net Revenue Over Expenditures (42,505.69) 141,518.40 - 141,518.40 0%
Page 10 of 42
The Elk River Vision
A resilient, welcoming, and thriving community that leads through innovation, meaningful
engagement, exceptional service, and responsible planning for future generations.
Request for Action
To
Housing and Redevelopment Authority
Item Number
6.1
Meeting Date
September 8, 2026
Prepared By
Brent O'Neil, Economic Development Director
Item Description
2027 Budget Approval and Levy Recommendation
Reviewed by
Brent O'Neil
Cal Portner
Action Requested
Approve, by motion, the attached resolution adopting the budget for 2027 and recommending $480,200 be
included in the 2027 levy.
Background/Discussion
The final proposed budget for 2027 is unchanged from the budget workshop in August. Total expenditures
are slated to increase by $10,750 to $520,200, an increase of 2.1% from 2026. With interest income budgeted
flat at $40,000, the levy would also increase by $10,750 to $480,200, or 2.3%.
The budget changes year-over-year are relatively minor and do not reflect any noteworthy changes to
programming; however, it is worth noting that the budget continues to include $250,000 to plan for future
property acquisition and redevelopment.
This action sets the budget for 2027, and recommends to the City Council that it include $480,200 into the
Preliminary Levy, which will be considered later in September.
Financial Impact
The budget for 2027 will be set at $520,200.
Mission/Policy/Goal
The HRA adopts its annual budget prior to September 30 each year.
Attachments
1. 2027 HRA Budget
2. HRA 2027 Goals and Measures
3. Resolution 26-01 2027 HRA Budget
Page 11 of 42
HRA
2023 2024 2025 2026 6/30/2026 2027 Increase/%
ACTUAL ACTUAL ACTUAL BUDGET YTD PRELIMINARY (Decrease)Change
REVENUES
Property Taxes 398,899 438,820 439,747 469,450 0 480,200 10,750 2.3%
Federal grant 0 0 0 0 0 0 0 0.0%
MV Credit 236 215 230 0 0 0 0 0.0%
Development Fee 0 0 0 0 0 0 0 0.0%
Building Rent 0 0 0 0 0 0 0 0.0%
Interest Income 7,651 13,581 49,921 40,000 27,312 40,000 0 0.2%
Refunds & Reimbursements 0 0 0 0 0 0 0 0.0%
Miscellaneous Revenue 0 5,945 0 0 0 0 0 0.0%
Sale of Assets 0 0 0 0 0 0 0 0.0%
Transfers 0 0 0 0 0 0 0 0.0%
Transfer - TIF 0 0 0 0 0 0 0 0.0%
Total Revenues 406,786 458,561 489,899 509,450 27,312 520,200 10,750 2.1%
Personal Services
Regular Pay 77,319.31 83,234.70 87,179.90 92,000.00 33,991.69 107,850.00 15,850 17.2%
Part-time Pay 0.00 0.00 2,925.00 4,500.00 1,875.00 4,500.00 0 0.0%
PERA 5,798.93 6,242.58 6,542.72 6,950.00 2,548.57 8,100.00 1,150 0.0%
FICA 4,784.79 5,152.55 5,414.12 6,000.00 2,117.27 6,900.00 900 15.0%
Medicare 1,119.00 1,205.00 1,268.60 1,400.00 494.96 1,650.00 250 17.9%
Insurance 16,070.40 19,137.60 12,283.20 20,750.00 5,040.00 12,350.00 (8,400)-40.5%
Workers Comp 314.00 426.75 348.00 450.00 174.00 400.00 (50)-11.1%
PFML 0.00 0.00 0.00 500.00 161.61 550.00 50 0.0%
Total Personal Services 105,406.43 115,399.18 115,961.54 132,550.00 46,403.10 142,300.00 9,750 7.4%
Supplies
Office Supplies 27.00 0.00 154.64 100.00 82.30 200.00 100 100.0%
Fuels & Lubes 0.00 0.00 0.00 0.00 0.00 0.00 0 0.0%
Operating Supplies 1,092.00 45.60 0.00 0.00 5,932.00 0.00 0 0.0%
Total Supplies 1,119.00 45.60 154.64 100.00 6,014.30 200.00 100 100.0%
Services & Charges
Legal Fees 975.00 4,251.00 2,461.50 3,000.00 0.00 3,000.00 0 0.0%
Page 12 of 42
Professional Services 0.00 800.00 0.00 30,000.00 0.00 30,000.00 0 0.0%
Postage 1.30 10.69 2.86 0.00 0.00 0.00 0 0.0%
Travel, Conferences & Schools 52.27 0.00 83.83 1,000.00 0.00 1,000.00 0 0.0%
Advertising/Marketing 9,109.76 7,525.91 7,160.10 9,750.00 6,598.00 10,500.00 750 7.7%
Publishing 189.20 77.40 172.00 500.00 0.00 500.00 0 0.0%
Insurance 0.00 0.00 0.00 0.00 0.00 0.00 0 0.0%
Utilities 176.50 0.00 0.00 0.00 0.00 0.00 0 0.0%
Bldg Repair/Maint Services 5,534.60 2,000.00 3,001.14 500.00 0.00 500.00 0 0.0%
Software Services 7,481.50 4,713.36 5,211.00 7,500.00 0.00 5,500.00 (2,000)-26.7%
Contractual Services 91,685.80 30,035.00 24,724.56 27,000.00 18,085.28 28,000.00 1,000 3.7%
Dues & Subscriptions 2,464.00 0.00 0.00 2,500.00 0.00 2,000.00 (500)-20.0%
Miscellaneous 0.00 0.00 0.00 0.00 0.00 0.00 0 0.0%
Total Services & Charges 117,669.93 49,413.36 42,816.99 81,750.00 24,683.28 81,000.00 (750)-0.9%
Capital Outlay
Land 0.00 0.00 0.00 200,000.00 0.00 200,000.00 0 0.0%
Improvement Project Contract 0.00 0.00 0.00 50,000.00 0.00 50,000.00 0 0.0%
Total Capital Outlay 0.00 0.00 0.00 250,000.00 0.00 250,000.00 0 0.0%
Transfers Out
Transfers 0.00 0.00 0.00 0.00 0.00 0.00 0 0.0%
Transfer-General Fund 36,500.00 37,500.00 39,000.00 40,550.00 0.00 42,200.00 1,650 0.0%
Transfer-Capital Outlay Reserv 0.00 0.00 0.00 0.00 0.00 0.00 0 0.0%
Transfer-EDA 4,000.00 4,000.00 4,000.00 4,500.00 0.00 4,500.00 0 0.0%
40,500.00 41,500.00 43,000.00 45,050.00 0.00 46,700.00 (1,650)3.7%
TOTAL HRA EXPENDITURES 264,695.36 206,358.14 201,933.17 509,450.00 77,100.68 520,200.00 10,750 2.1%
TOTAL REVENUES OVER/(UNDER) EXPENDITURES 142,091 252,203 287,966 0 (49,789)0
Page 13 of 42
Performance Measures & Goals for 2027
Division:Housing and Redevelopment
Completed by:Brent O'Neil, Josh Mollan
Date:June 1, 2026
Performance Measure 2023 Actual 2024 Actual 2025 Actual 2026 Estimated 2026 YTD 2027 Projected
Number of HRA Rehab Loan
applications approved 4 2 2 5 1 4
Rehab Loan Funds Outstanding
(year-end)$162,000 $195,000 $187,000 $250,000 $210,000 $200,000
Residential Property Re-
investment (by permit value)$19,700,000 $8,500,000 $32,000,000 $10,000,000 $22,000,000 $25,000,000
Number of Multi-family Units
Added (completions)90 142 0 55 0 55
Division Goal Goal Objective/Task
Set target fund balance levels to maintain sufficient
reserves and availability of funds in anticipation of current
and future large expenditures.
Set a target HRA fund balance based on the following: minimum operating reserve - 50% of budget; property
acquisition; new programs (loans, grants) - $2,500,000. Target fund balance: $2,750,000. 5/31/26 fund balance:
$2,400,000.
Promote preservation of housing stock Promote investment in residential properties within Elk River and promote the HRA Rehab Loan Program. Identify
dilapidated properties and work with city code enforcement. Protect and strengthen rental properties.
Promote a vital downtown
Work actively with the Downtown Elk River Business Association (DERBA). Work with DERBA to develop a
beautification plan for the Main Street Corridor and/or engagement of redesign for Main Street. Promote and/or
modify the Downtown Facade Improvement microloan program. Pursue strategic acquisition and sale of downtown
redevelopment property, including Uppertown. Facilitate future use options for public property/King Ave. lot.
Enhance redevelopment opportunities for C/I properties
Identify business owners interested in redevelopment of blighted C/I properties. Work with the building department to
identify properties eligible for the blighted properties C/I program. Hold periodic discussions with various departments
(police, fire, building, and planning) to discuss potential redevelopment opportunities.
Acquire properties or short- and long-term redevelopment Monitor the market and identify properties for potential acquisition which align with the strategic objectives of the
HRA, including substandard structures.
Optimize use of studies, data, and research tools As needed, conduct studies and conduct research to best guide the HRA in its activities. Utilize tools such as
analytical software to better understand conditions and opportunities.
Page 14 of 42
City of Elk River
Housing and Redevelopment Authority
Resolution 26-01
A Resolution of the City of Elk River Housing and Redevelopment Authority, Establishing the
Tax Levy for The Elk River Housing and Redevelopment Authority for the City of Elk River,
Minnesota
WHEREAS, Minnesota Statute §469.033, Subd. 6, authorizes the Elk River Housing and Redevelopment Authority to
levy an amount not to exceed .0185 percent of the estimated market value within the city to be used for housing and
redevelopment purposes; and,
WHEREAS, the Elk River Housing and Redevelopment Authority has considered at its meeting on September 8, 2026,
its 2027 budget and levy request; and,
WHEREAS, the Elk River Housing and Redevelopment Authority anticipates expenditures in 2027 for various housing
and redevelopment activities.
NOW, THEREFORE, BE IT RESOLVED by the Elk River Housing and Redevelopment Authority, as follows: that
it hereby adopts a budget for 2027 in the amount of $520,200, and requests the City Council of the City of Elk River to
levy a tax in the amount of $480,200 for the benefit of the Authority to be used as provided by Minnesota Statutes.
Passed and adopted this 8th day of September, 2026.
Nate Ovall, HRA Chair
ATTEST:
Brent O’Neil, HRA Executive Director
Page 15 of 42
The Elk River Vision
A resilient, welcoming, and thriving community that leads through innovation, meaningful
engagement, exceptional service, and responsible planning for future generations.
Request for Action
To
Housing and Redevelopment Authority
Item Number
6.2
Meeting Date
September 8, 2026
Prepared By
Joshua Mollan, Economic Development Specialist
Item Description
Downtown Furniture Placement
Reviewed by
Brent O'Neil
Cal Portner
Action Requested
Approve, by motion, the attached memorandum of understanding allowing placement of outdoor furniture at
PID: 75-00405-0235 by the Downtown Elk River Business Association (DERBA) for public use.
Background/Discussion
DERBA was gifted an oversized Adirondack chair from Plants and Things in May 2024. The Elk River Housing
and Redevelopment Authority (HRA) approved DERBA to place the chair on their property at 724 Main
Street, the former Elk River Meats site. This chair has been a local attraction, drawing visitors to take and
share pictures. After the City Council did not approve placement of the chair at the base of Rivers Edge
Commons during the King Avenue lot reconstruction, the chair was moved to the plaza at Granite Shores.
Representatives from Granite Shores have advised that they will allow the chair to remain on their property
through September 30.
The proposed placement is within the HRA-owned parcel 75-00405-0235 on a mulched bump out reserved
for a future public restroom. This proposed location is supported by DERBA and city staff, and is one of a
couple of potential alternatives.
The attached memorandum of understanding is substantially similar to the previous version executed by the
HRA in May 2025. It allows the oversized chair to remain on the HRA's property, subject to 60 days' notice
of termination by either party, and includes an indemnification provision. It is anticipated that DERBA and the
HRA will revisit a more permanent placement following the completion of the 2027 downtown
reconstruction.
Financial Impact
As costs are being borne by partners of the HRA, any associated costs of the HRA would be incidental and
expected to be less than $500.
Mission/Policy/Goal
Work with citizens to achieve goals.
Attachments
1. Proposed Chair Location Wide
Page 16 of 42
2. Proposed Chair Location Close Up
3. DERBA Furniture MOU
Page 17 of 42
Page 18 of 42
Page 19 of 42
Memorandum of Understanding
This MEMORANDUM OF UNDERSTANDING (“MOU”) is made and entered into as
of the ___ day of ________________________, 2026 by and between the ELK RIVER
HOUSING AND REDEVELOPMENT AUTHORITY, a public body corporate and politic
under the laws of the State of Minnesota (“HRA”) and the DOWNTOWN ELK RIVER
BUSINESS ASSOCIATION, a Minnesota nonprofit corporation (“Association”).
RECITALS
WHEREAS, the HRA owns the real property with a PID of 75-00405-0235 (the
“Property”); and
WHEREAS, the Association has offered to place an oversized Adirondack chair (the
“Furniture”) on the Property for use by the public; and
WHEREAS, the Association has arranged to obtain the Furniture at its own sole expense;
and
WHEREAS, the HRA believes that placing the Furniture on the Property will benefit the
public and further a public purpose by supporting the HRA’s efforts to promote redevelopment in
the City of Elk River; and
WHEREAS, the parties to this MOU wish to memorialize their understanding.
NOW, THEREFORE, the HRA and the Association have reached the following
understandings:
1. Purpose. The purpose of this MOU is to establish a mutual understanding of the parties’
intentions, rights, and obligations.
2. Furniture Placement Authorized. The Association is authorized to place the Furniture
on the Property through the term of this MOU. In no case shall the HRA be responsible for any
portion of the cost associated with the Furniture on the Property.
3. Responsibilities of Association. The Association shall be solely responsible for acquiring,
transporting, placing, maintaining, cleaning, repairing, and removing the Furniture. The
Association shall ensure the Furniture is removed from the Property on or before the date the
authorization ends.
4. Responsibilities of the HRA. The HRA shall allow the Furniture to be placed on the
Property, and shall not remove the Furniture except as provided in this MOU. If the Furniture
becomes damaged, defaced, in disrepair, unsightly, or begins to encroach on or obstruct the use of
the Property or nearby uses, the HRA may, but is under no obligation to, remove and dispose of
the affected portion of the Furniture.
Page 20 of 42
5. Time; Termination. This MOU shall be effective from the date of its final execution and
shall continue until terminated by either party. Either party to this MOU may terminate this
agreement for any reason upon sixty (60) days’ written notice. The Association shall, at its own
sole cost, remove the Furniture from the Property within fourteen (14) days of any termination of
this agreement. If the Association fails to do so, the HRA may remove the Furniture and the
Association shall reimburse the HRA for the full cost of doing so.
6. Representation of Authority. The undersigned executing this agreement represent and
warrant that they have been duly authorized to execute this agreement and that this agreement shall
bind it to the terms and obligations contained herein.
7. Mutual Indemnification. To the fullest extent permitted by law, the Association agrees
to defend, indemnify and hold harmless the HRA, the City of Elk River, and their employees,
officials, and agents from and against all claims, actions, damages, losses and expenses, including
reasonable attorney fees, arising out of the Association’s use of the Property or its placement of
the Furniture. The indemnification obligation shall apply to anyone directly or indirectly
employed, hired, or otherwise participating in the Association use, or anyone for whose acts the
Association may be liable. The HRA agrees to defend, indemnify and hold harmless the
Association, and their employees, officials, and agents from and against all claims, actions,
damages, losses and expenses, including reasonable attorney fees, arising out of the HRA’s
performance under this agreement. It is understood and agreed that the provisions of the Municipal
Tort Claims Act, Minn. Stat. Ch. 466, and other applicable laws govern liability arising from the
HRA’s acts or omissions. The parties agree this indemnity obligation shall survive the completion
or termination of this Agreement.
8. Entire Agreement; Modification. This MOU supersedes any prior or contemporaneous
representations or agreements, whether written or oral, between the Parties and contains the entire
agreement. Any modification to this MOU must be in writing and be signed by the parties.
9. Assignment. The Association may not assign this Agreement to any other person unless
written consent is obtained from the HRA.
10. No Employee Relationship. Nothing within this MOU shall be construed as creating an
agent or employee relationship between the HRA and the Association.
[Remainder of Page Intentionally Left Blank]
Page 21 of 42
Elk River Housing and Redevelopment Downtown Elk River Business
Authority Association
Nate Ovall, Chair Deana Mclean, Chair
Brent O’Neil, Executive Director
Page 22 of 42
The Elk River Vision
A resilient, welcoming, and thriving community that leads through innovation, meaningful
engagement, exceptional service, and responsible planning for future generations.
Request for Action
To
Housing and Redevelopment Authority
Item Number
6.3
Meeting Date
September 8, 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.
A new loan of $28,625 was issued on 7/9 for a patio and retaining wall project. $86,375 remains available for
new loan disbursements in 2026.
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
Page 23 of 42
CEE Monthly Loan Activity Summary
9/8/26
Page 24 of 42
Data Set: August 1st, 2026
CITY OF ELK RIVER
LOAN SERVICING REPORT
July 2026
Page 25 of 42
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 26 of 42
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
11 1 11 0 0 0 $2,214.62 $1,532.49 $682.13 $0.00 $0.00 $20.00 $0.00 $0.00 $66.00 $86.00 $2,128.62
11 1 11 0 0 0 $2,214.62 $1,532.49 $682.13 $0.00 $0.00 $20.00 $0.00 $0.00 $66.00 $86.00 $2,128.62
CITY OF ELK RIVER
INVOICE SUMMARY
Detail for July 2026
Page 27 of 42
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
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
26-043718 19443 ZUMBRO CT NW
Grand Total
$208.04 $205.13 $2.91 $0.00 $0.00
$187.63 $181.49 $6.14 $0.00 $0.00
$260.00 $163.58 $96.42 $0.00 $0.00
$306.00 $231.34 $74.66 $0.00 $0.00
$351.80 $140.18 $211.62 $0.00 $0.00
$142.69 $85.51 $57.18 $0.00 $0.00
$258.90 $155.16 $103.74 $0.00 $0.00
$240.66 $224.04 $16.62 $0.00 $0.00
$258.90 $146.06 $112.84 $0.00 $0.00
$0.00 $0.00 $0.00 $0.00 $0.00
$0.00 $0.00 $0.00 $0.00 $0.00
$2,214.62 $1,532.49 $682.13 $0.00 $0.00
CITY OF ELK RIVER
PAYMENT BREAKDOWN PER LOAN
Detail for July 2026
Page 28 of 42
Loan #Address
2025
Q3
August September
Q4
October November December
2026
Q1
January February March
Q2
April May June
Q3
July
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
26-043718 19443 ZUMBRO CT NW
Grand Total
$3,212.56$3,413.35 $2,607.22$2,809.48$3,011.12 $1,997.97$2,201.78$2,404.71 $1,397.99$1,589.81$1,794.17 $1,192.86
$4,268.51$4,445.76 $3,733.66$3,912.45$4,090.53 $3,194.91$3,375.42$3,554.75 $2,677.43$2,833.92$3,014.74 $2,495.94
$12,795.48$12,911.66 $12,441.44$12,560.36$12,677.39 $12,082.26$12,205.25$12,323.56 $0.00$11,842.08$11,963.08
$6,579.64$6,711.27 $6,180.64$6,314.31$6,446.84 $1,977.03$5,913.32$6,047.21 $0.00$1,682.10$1,831.51
$30,369.34$30,525.64 $29,890.61$30,051.81$30,209.18 $29,403.91$29,573.16$29,732.15 $28,927.04$29,079.95$29,243.80 $28,763.46
$28,728.96$28,930.68 $0.00$28,523.41
$24,439.70$24,661.92 $23,763.18$23,990.31$24,214.05 $23,077.40$23,311.87$23,537.91 $22,398.43$22,618.92$22,849.80 $22,167.09
$17,405.25$17,555.23 $16,979.30$17,119.26$17,119.26 $16,268.46$16,715.33$16,836.98 $16,175.43$16,175.43$16,268.46 $16,035.25
$17,907.32$17,988.90 $17,657.01$17,741.37$17,823.51 $17,402.30$17,491.31$17,574.30 $17,152.83$17,232.97$17,318.72 $17,067.32
$32,493.60$32,641.61 $32,039.44$32,192.50$32,341.53 $31,577.31$31,738.83$31,889.39 $31,121.82$31,270.11$31,425.69 $30,966.66
$7,509.76$7,721.65 $6,854.30$7,081.00$7,290.49 $6,198.19$6,421.26$6,644.44 $5,540.10$5,761.62$5,981.30 $5,316.06
$34,715.62$34,848.50$34,848.50 $34,279.98$34,433.22$34,574.66 $33,851.97$33,990.87$34,137.54 $33,705.91
$34,460.29$34,863.84$35,000.00 $34,015.22$34,375.21$34,460.29 $34,015.22
$28,625.00
$185,710.12$187,507.67 $186,862.42$188,621.35$218,595.81 $211,920.01$218,244.59$220,120.06 $193,258.26$208,452.99$210,289.10 $220,350.77
CITY OF ELK RIVER
TRIAL BALANCE REPORT
Monthly Detail
Page 29 of 42
POOL Loan #Address Contract Date
HRA REHAB 26-043718 19443 ZUMBRO CT NW 7/9/2026
Grand Total
$28,625.00
$28,625.00
CITY OF ELK RIVER
NEW LOAN REPORT
Detail for July 2026
Page 30 of 42
2025
Q3 Q4
2026
Q1 Q2 Q3
AugustSeptemberOctoberNovemberDecemberJanuaryFebruaryMarchAprilMayJuneJuly0
6
12
Number of Active Loans11 11
12 12
11
12 12 12 12 12 12
11
CITY OF ELK RIVER
TOTAL LOAN COUNT
Monthly Detail
Page 31 of 42
2025
Q3 Q4
2026
Q1 Q2 Q3
AugustSeptemberOctoberNovemberDecemberJanuaryFebruaryMarchAprilMayJuneJuly0
1
2
COUNT OF NEW LOANS ADDED001001000001CITY OF ELK RIVER
NEW LOAN COUNT
Monthly Detail
Page 32 of 42
2025
Q3 Q4
2026
Q1 Q2 Q3
AugustSeptemberOctoberNovemberDecemberJanuaryFebruaryMarchAprilMayJuneJuly$0.00
$100,000.00
$200,000.00
Unpaid Principal Balance$187,507.67$185,710.12$218,595.81$188,621.35$186,862.42$220,120.06$218,244.59$211,920.01$210,289.10$208,452.99$193,258.26$220,350.77CITY OF ELK RIVER
TRIAL BALANCE
Monthly Detail in USD
Page 33 of 42
2025
Q3
August September
Q4
October November December
2026
Q1
January February March
Q2
April May June
Q3
July
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
23-028654 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
26-043718 19443 ZUMBRO CT 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
$162.79$162.79 $162.79$162.79$162.79 $162.79$162.79$162.79 $11,935.13$162.79$162.79
$154.43$154.43 $154.43$154.43$154.43 $3,955.43$154.43$154.43 $1,710.39$154.43$154.43
$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
$201.00$501.00 $201.00$0.00$402.00 $501.00$178.00$201.00 $0.00$201.00$0.00 $351.80
$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
$240.66$240.66 $240.66$240.66$240.66 $240.66$240.66$240.66 $240.66$240.66$240.66 $240.66
$258.90$0.00$258.90 $258.90$258.90$258.90 $258.90$258.90$258.90 $258.90
$562.00$259.90$0.00 $517.80$259.80$0.00 $0.00
$0.00
$2,422.14$2,722.14 $2,381.04$30,560.23$2,882.04 $7,044.04$2,617.94$2,381.04 $16,026.14$2,640.84$2,180.04 $2,214.62
CITY OF ELK RIVER
PAYMENT COLLECTION PER LOAN
Monthly Detail
Page 34 of 42
2025
Q3 Q4
2026
Q1 Q2 Q3
AugustSeptemberOctoberNovemberDecemberJanuaryFebruaryMarchAprilMayJuneJuly$20,000.00
TOTAL PAYMENTS COLLECTED$2,722.14$2,422.14$30,560.23$2,882.04$2,381.04$2,381.04$2,617.94$7,044.04$16,026.14$2,180.04$2,640.84$2,214.62CITY OF ELK RIVER
TOTAL PAYMENT COLLECTION (USD)
Monthly Detail
Page 35 of 42
2025
Q3 Q4
2026
Q1 Q2 Q3
AugustSeptemberOctoberNovemberDecemberJanuaryFebruaryMarchAprilMayJuneJuly$20,000.00
PRINCIPAL RECEIVED$2,093.60$1,797.55$29,974.46$2,114.31$1,758.93$1,742.36$1,875.47$6,324.58$15,194.73$1,630.91$1,836.11$1,532.49CITY OF ELK RIVER
TOTAL PRINCIPAL COLLECTION (USD)
Monthly Detail
Page 36 of 42
2025
Q3 Q4
2026
Q1 Q2 Q3
AugustSeptemberOctoberNovemberDecemberJanuaryFebruaryMarchAprilMayJuneJuly$0.00
$500.00
$1,000.00
INTEREST RECEIVED$627.54$623.59$765.73$582.62$621.11$637.68$740.47$715.46$549.13$802.73$831.41$682.13CITY OF ELK RIVER
TOTAL INTEREST COLLECTION(USD)
Monthly Detail
Page 37 of 42
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
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
26-043718 19443 ZUMBRO CT 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
CITY OF ELK RIVER
AGING DELINQUENCY
Detail for July 2026
Page 38 of 42
The Elk River Vision
A resilient, welcoming, and thriving community that leads through innovation, meaningful
engagement, exceptional service, and responsible planning for future generations.
Request for Action
To
Housing and Redevelopment Authority
Item Number
9.1
Meeting Date
September 8, 2026
Prepared By
Joshua Mollan, Economic Development Specialist
Item Description
Downtown Hanging Flower Baskets and Fixtures
Reviewed by
Brent O'Neil
Cal Portner
Action Requested
Item presented for information and discussion purposes.
Background/Discussion
The HRA is in the second year of a three-year contract with Yardworx Outdoor Services for all-inclusive
hanging flower basket services. With the upcoming Main Street and Jackson Avenue reconstruction slated for
2027, staff recommends forgoing next year's installation and maintenance of the hanging flower baskets due to
uncertainty of the status of the light poles, inadequate access for watering and other maintenance, and risk of
damage by large equipment.
We'd like to discuss a modification to Yardworx's contract as well as Yardworx's request to look at renewal
for 2028 and beyond.
The HRA has budgeted $28,000 for 'contractural services' in 2027. With the funds expected for hanging
flower basket services to be left unspent, the HRA could consider alternative ways to support the
beautification of downtown in 2027.
Financial Impact
N/A
Mission/Policy/Goal
The HRA recognizes the need for appropriate permanent fixtures available for public use to maintain a safe,
clean, and accessible downtown area to preserve the vitality of the business district and prevent the
emergence of blighting conditions.
Attachments
None
Page 39 of 42
The Elk River Vision
A resilient, welcoming, and thriving community that leads through innovation, meaningful
engagement, exceptional service, and responsible planning for future generations.
Request for Action
To
Housing and Redevelopment Authority
Item Number
9.2
Meeting Date
September 8, 2026
Prepared By
Brent O'Neil, Economic Development Director
Item Description
Land Acquisition Opportunity — Mississippi Road
Reviewed by
Cal Portner
Action Requested
This item is for discussion and feedback.
Background/Discussion
The property owners at 13296 Mississippi Road have been in contact with the city about developing the
property into residential lots, including the possibility of one or more lots being suitable for the Habitat for
Humanity student-built housing project. The owners may be open to a partnership with the HRA and Habitat
to offer the lot(s) at a reasonable cost for Habitat placement. We intend to discuss different scenarios for
how a partnership may work, including HRA or State Affordable Housing Aid may be considered for this
project.
Financial Impact
N/A
Mission/Policy/Goal
Improve citizen quality of life.
Attachments
1. Aerial of Property
2. Handout
Page 40 of 42
Page 41 of 42
Page 42 of 42