072423 EDA Meeting Packet
EDA MEETING
City Hall, 4401 Xylon Avenue North
Monday, July 24, 2023
President Kathi Hemken
Commissioner John Elder
Commissioner Andy Hoffe
Commissioner Michael Isenberg
Commissioner Jonathan London
1. Call to order – EDA Meeting of July 24, 2023
2. Roll call
3. Approval of Minutes:
June 26, 2023
4. Resolution appointing officers to the Economic Development Authority for the City
of New Hope
5. Adjournment
EDA Meeting
Page 1 June 26, 2023
City of New Hope
4401 Xylon Avenue North
New Hope, Minnesota 55428
EDA Minutes June 26, 2023
Regular Meeting City Hall
CALL TO ORDER President Hemken called the meeting of the Economic Development Authority to
order at 7:44 p.m.
ROLL CALL Present:
Kathi Hemken, President
John Elder, Commissioner
Andy Hoffe, Commissioner
Michael Isenberg, Commissioner
Jonathan London, Commissioner
Staff Present:
Reece Bertholf, City Manager
Jeff Alger, Community Development Specialist
Dan Boyum, City Engineer
Valerie Leone, City Clerk
Susan Rader, Director of Parks and Recreation
Jeff Sargent, Director of Community Development
Bernie Weber, Director of Public Works
Stacy Woods, Assistant City Attorney
APPROVAL OF
MINUTES
Item 3
Motion was made by Commissioner Hoffe, seconded by Commissioner Elder, to
approve the minutes of March 13, 2023. All present voted in favor. Motion
carried.
3611 LOUISIANA
AVE N
(IMPROVEMENT
PROJECT NO. 1065)
Item 4
President Hemken introduced for discussion EDA Item 4, Resolution approving
purchase and redevelopment agreement with Great Buy Homes, Inc. for the sale
of 3611 Louisiana Avenue North (improvement project no. 1065).
Mr. Jeff Alger, community development specialist, explained the EDA acquired
3611 Louisiana Avenue North in December of 2022 as part of the city’s scattered
site housing program. He stated demolition work was completed in May of 2023,
and the lot has been prepared for construction of a new single‐family home. He
stated after the city received proposals from Great Buy Homes and Noberg
Homes. He reviewed the base characteristics and attributes. He indicated staff
reviewed the proposals with the city manager and selected Great Buy Homes’
design as the preferred proposal. Staff recommends selling the property to Great
Buy Homes, Inc. for $75,000 for construction of a split‐level design home that
would have a projected sales price of $475,000 to $480,000. He stated Great Buy
Homes has constructed many quality homes in the city. The EDA is asked to
approve the purchase and redevelopment agreement for the sale of the lot. The
agreement ensures that the builder meets the conditions set forth in the RFP. The
home will be completed within a year of the closing date, and it must be owner‐
occupied for the first two years.
Mr. Alger reviewed the project budget, tax impact, and return on investment.
EDA Meeting
Page 2 June 26, 2023
Mr. Glenn Hammer of Great Buy Homes was recognized.
President Hemken expressed the city’s appreciation to Mr. Hammer for providing
quality housing.
Commissioner London recommended the use of a wider column instead of the
6x6” cedar post at the front of the house.
Mr. Hammer commented that designs vary and many buyers prefer the cedar
post.
President Hemken opened the floor for comments. There was no one in the
audience desirous of addressing the EDA for the public hearing.
CLOSE HEARING
Item 4
Motion was made by Commissioner Isenberg, seconded by Commissioner Elder,
to close the public hearing. All present voted in favor. Motion carried.
RESOLUTION 2023‐05
Item 4
Commissioner Isenberg introduced the following resolution and moved its
adoption “RESOLUTION APPROVING PURCHASE AND
REDEVELOPMENT AGREEMENT WITH GREAT BUY HOMES, INC. FOR
THE SALE OF 3611 LOUISIANA AVENUE NORTH (IMPROVEMENT
PROJECT NO. 1065).” The motion for the adoption of the foregoing resolution
was seconded by Commissioner Elder, and upon vote being taken thereon, the
following voted in favor thereof: Hemken, Elder, Hoffe, Isenberg, London; 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.
5243 OREGON AVE N
(IMPROVEMENT
PROJECT NO. 1104)
Item 5
President Hemken introduced for discussion EDA Item 5, Resolution approving
Purchase Agreement for the acquisition of 5243 Oregon Avenue North
(improvement project no. 1104).
Mr. Jeff Alger, community development specialist, recommended approval of the
purchase agreement for acquisition of 5243 Oregon Avenue North for the city’s
scattered site housing program. He illustrated the property (rambler with no
basement) and stated it was recently appraised for $220,000. He stated the
property owner has agreed to sell the home to the city for $200,000. The 1952 home
is in “pre‐foreclosure” status. Staff believes the property is a good candidate for a
demolition and rebuild project. The estimated expenses are $243,620 and based on
a lot sale of $80,000, the total project cost would be $163,620 to be funded by the
EDA budget. He reviewed the tax impact and return on investment.
Commissioner Elder inquired of the potential for hazardous materials and higher
demolition costs. Mr. Alger stated the house is small and demolition costs should
be relatively low.
Commissioner London noted the new home would likely be constructed with a
basement. He asked who would be responsible for soil removal for the basement.
Mr. Alger stated the builder would be responsible for all costs of the new home
construction.
EDA Meeting
Page 3 June 26, 2023
The EDA expressed support for the purchase.
RESOLUTION 2023‐06
Item 5
Commissioner London introduced the following resolution and moved its
adoption “RESOLUTION APPROVING PURCHASE AGREEMENT FOR THE
ACQUISITION OF 5243 OREGON AVENUE NORTH (IMPROVEMENT
PROJECT NO. 1104).” The motion for the adoption of the foregoing resolution
was seconded by Commissioner Elder, and upon vote being taken thereon, the
following voted in favor thereof: Hemken, Elder, Hoffe, Isenberg, London; 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.
5802 BOONE AVE N
(IMPROVEMENT
PROJECT NO. 1088)
Item 6
President Hemken introduced for discussion EDA Item 6, Resolution approving
contract with Nitti Rolloff Services Inc for hazardous material abatement, disposal
of items throughout yard and within buildings, tree removal, demolition of site
improvements, well sealing, site grading, and installation of utility improvements
at 5802 Boone Avenue North (improvement project no. 1088).
Mr. Jeff Alger, community development specialist, reported in April of 2023 the
EDA acquired the single‐family home located at 5802 Boone Avenue North as part
of the city’s scattered site housing program. Bids were solicited to prepare the lot
for redevelopment. He explained the work includes hazardous material
abatement, disposal of items in yard and buildings, tree removal, demolition of
site improvements, well sealing, site grading, and installation of utility
improvements. He indicated four bids were received, and the low bid was
submitted by Nitti Rolloff Services, Inc. for $49,700. The city has used the services
of Nitti Rolloff in the past with good experiences.
Mr. Alger stated the EDA budget would fund the contract. The work must be
completed within two months. Mr. Alger noted due to the condition of the home,
neither the fire department or the police department will use the structure for
training.
He stated an RFP for new home construction will be sent to home builders near
the end of the demolition process.
Commissioner London recommended a rambler or a two‐story design be
considered for the site. Mr. Alger commented that staff had planned to list a
rambler or two‐story as the preferred design during the RFP process.
RESOLUTION 2023‐07
Item 6
Commissioner Elder introduced the following resolution and moved its adoption
“RESOLUTION APPROVING CONTRACT WITH NITTI ROLLOFF
SERVICES INC FOR HAZARDOUS MATERIAL ABATEMENT, DISPOSAL
OF ITEMS THROUGHOUT YARD AND WITHIN BUILDINGS, TREE
REMOVAL, DEMOLITION OF SITE IMPROVEMENTS, WELL SEALING,
SITE GRADING, AND INSTALLATION OF UTILITY IMPROVEMENTS AT
5802 BOONE AVENUE NORTH (IMPROVEMENT PROJECT NO. 1088).” The
motion for the adoption of the foregoing resolution was seconded by
Commissioner Isenberg, and upon vote being taken thereon, the following voted
in favor thereof: Hemken, Elder, Hoffe, Isenberg, London; and the following voted
EDA Meeting
Page 4 June 26, 2023
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 Isenberg, seconded by Commissioner Elder,
to adjourn the meeting. All present voted in favor. Motion carried. The New Hope
EDA adjourned at 8:13 p.m.
Respectfully submitted,
Valerie Leone, City Clerk
I:\RFA\City Manager\2023\EDA officer appts\EDA 4 RFA officer appt 7.24.23.docx
Request for Action
July 24, 2023
Approved by: Reece Bertholf, City Manager
Originating Department: City Manager
By: Valerie Leone, City Clerk‐Treas.
Agenda Title
Resolution appointing officers to the Economic Development Authority for the City of New Hope
Requested Action
Staff requests that the EDA adopt a resolution appointing officers to the EDA.
Background
The New Hope Economic Development Authority was established in 1989. EDA Resolution 89‐01 and bylaws
were adopted on March 27, 1989.
Members of the City Council serves as EDA Commissioners with terms coinciding with Council terms.
Minnesota Statute §469.096, Subd. 2 and the EDA bylaws require the election of officers on an annual basis.
The EDA is asked to appoint persons to the offices of president, vice president, treasurer, secretary, assistant
treasurer, executive director and clerk.
In the future the appointment resolution will be presented annually to the EDA at the second meeting in
January (per sections 2.1 and 3.1 of the EDA bylaws).
Staff proposes the following appointments:
Office Name City Position
President Kathi Hemken Mayor
Vice President Mike Isenberg Mayor pro tem
Treasurer Mike Isenberg Mayor pro tem
Secretary Reece Bertholf City Manager
Assistant Treasurer Reece Bertholf City Manager
Executive Director Reece Bertholf City Manager
Clerk Valerie Leone City Clerk‐Treas.
Attachment
EDA Resolution
EDA Bylaws
Minn. Statute §469.096
Agenda Section
EDA
Item Number
4
EDA Resolution No. 2023 ‐ __
Resolution Appointing Officers
to the Economic Development Authority for the
City of New Hope
WHEREAS, the Economic Development Authority for the City of New Hope was established on
March 27, 1989; and
WHEREAS, it is necessary to appoint officers in accordance with Minnesota Statute §469.092,
Subd. 2, and the EDA bylaws; and
WHEREAS, the officers consist of a president, vice president, treasurer, secretary, assistant
treasurer, executive director and clerk.
NOW, THEREFORE, BE IT RESOLVED that the officers of the Economic Development Authority
are appointed as follows:
President Kathi Hemken
Vice President Mike Isenberg
Treasurer Mike Isenberg
Secretary Reece Bertholf
Assistant Treasurer Reece Bertholf
Executive Director Reece Bertholf
Clerk Valerie Leone
Adopted by the New Hope Economic Development Authority, Hennepin County, Minnesota, this
24th day of July, 2023.
_________________________
President
Attest: _______________________
Executive Director
469.096 OFFICERS; DUTIES; ORGANIZATIONAL MATTERS.
Subdivision 1.Bylaws, rules, seal.An authority may adopt bylaws and rules of procedure and shall
adopt an official seal.
Subd. 2.Officers.An authority shall elect a president, a vice-president, a treasurer, a secretary, and an
assistant treasurer. The authority shall elect the president, treasurer, and secretary annually. A commissioner
must not serve as president and vice-president at the same time. The other offices may be held by the same
commissioner. The offices of secretary and assistant treasurer need not be held by a commissioner.
Subd. 3.Duties and powers.The officers have the usual duties and powers of their offices. They may
be given other duties and powers by the authority.
Subd. 4.Treasurer's duties.The treasurer:
(1) shall receive and is responsible for authority money;
(2) is responsible for the acts of the assistant treasurer;
(3) shall disburse authority money by check only;
(4) shall keep an account of the source of all receipts, and the nature, purpose, and authority of all
disbursements; and
(5) shall file the authority's detailed financial statement with its secretary at least once a year at times
set by the authority.
Subd. 5.Assistant treasurer.The assistant treasurer has the powers and duties of the treasurer if the
treasurer is absent or disabled.
Subd. 6.Treasurer's bond.The treasurer shall give bond to the state conditioned for the faithful discharge
of official duties. The bond must be approved as to form and surety by the authority and filed with the
secretary. The bond must be for twice the amount of money likely to be on hand at any one time, as determined
at least annually by the authority provided that the bond must not exceed $300,000.
Subd. 7.Public money.Authority money is public money.
Subd. 8.Checks.An authority check must be signed by the treasurer and one other officer named by
the authority in a resolution. The check must state the name of the payee and the nature of the claim that the
check is issued for.
Subd. 9.Financial statement.The authority's detailed financial statement must show all receipts and
disbursements, their nature, the money on hand, the purposes to which the money on hand is to be applied,
the authority's credits and assets, and its outstanding liabilities in a form required for the city's financial
statements. The authority shall examine the statement together with the treasurer's vouchers. If the authority
finds that the statement and vouchers are correct, it shall approve them by resolution and enter the resolution
in its records.
History: 1987 c 291 s 97
Official Publication of the State of Minnesota
Revisor of Statutes
469.096MINNESOTA STATUTES 20221