Ed072798
CITY OF NEW HOPE
4401 XYLON AVENUE NORTH
NEW HOPE, MINNESOTA 55428
Approved EDA Minutes July 27, 1998
Meeting #4 (Meeting held at School District Adm. Building)
CALL TO ORDERPresident Enck called the meeting of the Economic Development Authority to order
at 7:13 p.m.
ROLL CALLPresent: Enck, Cassen, Collier, Otten, Norby (arrived at 8:25 pm)
Staff Present: Sondrall, Hanson, Donahue, Leone, McDonald, Henry, Kern
APPROVE MINUTESMotion was made by Commissioner Otten, seconded by Commissioner Cassen, to
approve the EDA minutes of June 22, 1998, with a correction clarifying Collier’s
absence. Voting in favor: Enck, Cassen, Otten; Abstained: Collier; Absent: Norby.
Motion carried.
REDEVELOPMENT President Enck introduced for discussion Item 4, Resolution Approving 1998
PLAN AMENDMENT Amendment to Master Modification to Redevelopment Plans and Tax Increment
Item 4 Financing Plans and Requesting the Approval of the City Council.
President Enck noted that the EDA must take action on Item 4 before reconvening
as the City Council and voting on Item 7.2.
Mr. Dan Donahue, City Manager, stated the plan amendment would expand the
district area to include the PPL housing redevelopment project and the Cooper High
School Property. He stated the City has previously authorized the use of tax
increment revenues to fund a portion of the costs for the PPL housing project but
has not committed to any project or funding for recreational facilities at Cooper
High School. Approval of the amendment expanding the district area does not
authorize the expenditure of funds.
Mr. Donahue reported that Hennepin County was the only taxing jurisdiction
which provided comment regarding the tax increment hearing. He summarized that
the County did not have any objections to inclusion of the Project for Pride in
Living development, but commented that the use of tax increment for construction
of a school gymnasium does not fall within Hennepin County guidelines for
acceptable use of TIF.
Commissioner Cassen questioned why similar funding was approved for the
gymnasium at Armstrong High School. Mr. Donahue stated the County admitted
that it was an oversight on their part.
Commissioner Collier recommended separating the properties for the vote on the
plan amendment.
Mr. Donahue clarified that no formal action has been taken on the Cooper project.
Further he stated there would be no change to the TIF district but only an
expansion of the development area where funds could be expended in the future.
Substantial discussion ensued regarding costs, commitments and the use of tax
increment.
New Hope EDA July 27, 1998
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MOTION Motion was made by Commissioner Collier, seconded by Commissioner Cassen,
H.C. LETTER acknowledging receipt of the July 24 Hennepin County memorandum and
Item 4 entering it into the record
. All present voted in favor. Motion carried.
RESOLUTION expanding the
Commissioner Collier moved approval of the following resolution
EDA 98-06
plan to include the Project for Pride in Living property:
Item 4
“RESOLUTION APPROVING 1998 AMENDMENT TO MASTER
MODIFICATION TO REDEVELOPMENT PLANS AND TAX INCREMENT
FINANCING PLANS AND REQUESTING THE APPROVAL OF THE CITY
COUNCIL”
.
The motion for the adoption of the foregoing resolution was seconded by
Commissioner Cassen, and upon vote being taken thereon, the following voted in
favor thereof; Enck, Cassen, Collier, Otten; and the following voted against the
same: None; Abstained: None; Absent: Norby; whereupon the resolution was
declared duly passed and adopted, signed by the president which was attested to by
the executive director.
MOTION to
Motion was made by Commissioner Otten, seconded by Commissioner Cassen,
approve amendment to the plan by including the Cooper High School
property.
Voting in favor: Enck, Otten; Against: Collier, Cassen; Absent: Norby.
Motion failed.
SUSPENSION AND The EDA Meeting was suspended at 7:32 p.m. to reconvene the City Council
RECONVENING OF Meeting. The EDA Meeting reconvened at 9:03 p.m. (Commissioner Norby arrived
MEETING at the Council Meeting at 8:25 p.m.)
REGENT President Enck introduced for discussion Item 5, Discussion Regarding Potential
th
APARTMENTS Multi-Family Rehabilitation Project at Regent Apartments, 7136 60 Avenue, 6017
Item 5 Louisiana Avenue, and 7124 Lombardy Lane (Project 645).
Mr. Kirk McDonald, Director of Community Development, explained that the
owners of Regent Apartments have inquired regarding financial assistance for
rehabilitation of the three-building complex. Mr. McDonald inquired whether the
EDA would be interested in providing financial assistance similar to the New Hope
Apartment project approved in 1994. He stated the owners are requesting a loan
and consideration of a grant for a portion of the project
The EDA directed staff to communicate with the owners that the EDA would
consider a loan opportunity but would not be willing to consider any form of a
grant.
TH
9200 49 AVE. N. President Enck introduced for discussion Item 6, Discussion regarding
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IMP. PROJECT 597 Development Options for City-Owned Property at 9200 49 Avenue North
Item 6 (Improvement Project No. 597).
Mr. McDonald provided history of the property and that Upper Midwest is no
longer interested in the site. Mr. McDonald requested direction from the EDA on
how it wishes to proceed with the site and offered the following options: 1) no
action; 2) reconsider previous proposals; 3) hire a commercial real estate person to
market the property; or 4) have staff develop a Request for Proposal outlining the
types of development the City would prefer and seek request for proposals from
interested persons.
New Hope EDA July 27, 1998
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The EDA directed staff to pursue option 4 by developing guidelines for the use of
the property.
Commissioner Cassen inquired of the property’s fair market value. Mr. McDonald
stated the City paid the appraised value of $195,000.
7300 BASS LAKE RD President Enck introduced for discussion Item 7, Resolution Approving Initial
IMP. PROJECT 614 Agreement Between the Minneapolis Public Housing Authority and the New Hope
Item 7 Economic Development Authority for the PPL/Bass Lake Townhomes Project at
7300-7332 Bass Lake Road (Improvement Project No. 614).
Mr. Donahue, City Manager, reported on design changes (2-story rather than 3-
story units and inclusion of a road between the two buildings) recommended by the
Minneapolis Public Housing Authority. He stated the representatives are still
devising the parking lot plans.
Mr. McDonald, Director of Community Development, reported approval of this
initial agreement is necessary in order for PPL to keep the project financing on
schedule. He stated the main responsibility for the EDA under the Initial
Agreement will be maintenance of an applicant waiting list and administration of
grievance procedures for the MHOP units. These lists and procedures are being
developed by the Metropolitan Council. The EDA’s responsibility for these issues
can be satisfied by delegation to the Met Council and will be outlined in a future
agreement between the EDA and the Met Council.
RESOLUTION Commissioner Norby introduced the following resolution and moved its adoption:
EDA 98-07 “RESOLUTION APPROVING INITIAL AGREEMENT BETWEEN THE
Item 7 MINNEAPOLIS PUBLIC HOUSING AUTHORITY AND THE NEW HOPE
ECONOMIC DEVELOPMENT AUTHORITY FOR THE PPL/BASS LAKE
TOWNHOMES PROJECT AT 7300-7332 BASS LAKE ROAD
(IMPROVEMENT PROJECT NO. 614)”.
The motion for the adoption of the
foregoing resolution was seconded by Commissioner Collier, and upon vote being
taken thereon, the following voted in favor thereof; Enck, Cassen, Collier, Norby,
Otten; and the following voted against the same: None; Abstained: None; Absent:
None; whereupon the resolution was declared duly passed and adopted, signed by
the president which was attested to by the executive director.
ADJOURNMENT Motion was made by Commissioner Collier, seconded by Commissioner Otten, to
adjourn the meeting. All present voted in favor. The New Hope EDA adjourned at
9:24 p.m.
Respectfully submitted,
Valerie Leone
City Clerk
New Hope EDA July 27, 1998
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