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EDA 02/11/02OFFICIAL FILE COPY CITY OF NEW HOPE EDA MEETING City Hall, 4401 Xylon Avenue North February 11, 2002 President W. Peter Enck Commissioner Sharon Cassen Commissioner Don Collier Commissioner Mary Gwin-Lenth Commissioner Pat LaVine Norby 1. Call to Order 2. Roll Call 3. Approval of Regular Meeting Minutes of January 28, 2002 4. Discuss Concept Proposal by LivingWorks Ventures to Develop Portion of City-Owned Property at 5425-5501 Boone Avenue North and Motion Approving Appraisal Update 5. Adjournment CITY OF NEW HOPE 4401 XYLON AVENUE NORTH NEW HOPE, MINNESOTA 55428 Approved EDA Minutes Regular Meeting January 28, 2002 City Hall CALL TO ORDER ROLLCALL APPROVE MINUTES SECTION 8 HOUSING CONTRACT Item 4 RESOLUTION 02-01 Item 4 ADJOURNMENT President Enck called the meeting of the Economic Development Authority to order at 7:49 p.m. Present: W. Peter Enck, President Sharon Cassen, Commissioner Don Collier, Commissioner Mary Gwin-Lenth, Commissioner Pat LaVine Norby, Commissioner Motion was made by Commissioner Cassen, seconded by Commissioner Gwin- Lenth, to approve the Regular Meeting Minutes of November 26, 2001. All present voted in favor. Motion carried. President Enck introduced for discussion Item 4, Resolution Approving Amendment to Section 8 Housing Assistance Payments Program Contract No. C-99-66 for Administrative Services Between the Metropolitan Council and the City of New Hope and Authorizing President and Executive Director to Execute Agreement. Mr. Kirk McDonald, Director of Community Development, reported that at the November 26 EDA Meeting the EDA agreed to a revision to the Section 8 Administrative Services Contract between the Metropolitan Council and the City of New Hope. The contract change shifts 41 Edina contracts back to Metro HRA. The New Hope Section 8 Representative will administer a total of 420 contracts within the cities of New Hope, Golden Valley, Maple Grove, and Osseo. Commissioner Collier introduced the following resolution and moved its adoption "RESOLUTION APPROVING AMENDMENT TO SECTION 8 HOUSING ASSISTANCE PAYMENTS PROGRAM CONTRACT NO. C-99-66 FOR ADMINISTRATIVE SERVICES BETWEEN THE METROPOLITAN COUNCIL AND THE CITY OF NEW HOPE AND AUTHORIZING PRESIDENT AND EXECUTIVE DIRECTOR TO EXECUTE AGREEMENT". The motion for the adoption of the foregoing resolution was seconded by Commissioner Gwin-Lenth, and upon vote being taken thereon, the following voted in favor thereof: Enck, Cassen, Collier, Gwin-Lenth, Norby, 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. Motion was made by Commissioner Collier, seconded by Commissioner Norby, to adjourn the meeting. All present voted in favor. Motion carried. The New Hope EDA adjourned at 7:50 p.m. Re~ectfully submitted, Valerie Leone City Clerk New Hope EDA Page 1 January 28, 2002 EDA FOR ACTION REQUEST Originating Department Approved for Agenda Agenda Section Community Development ~ 2-11-02 EDA ! / Item No. By: Kirk McDonald B 4 DISCUSS CONCEPT PROPOSAL BY LIVINGWORKS VENTURES TO DEVELOP PORTION OF CITY- OWNED PROPERTY AT 5425-5501 BOONE AVENUE NORTH AND MOTION APPROVING APPRAISAL UPDATE REQUESTED ACTION Staff requests to discuss with the Economic Development authority a concept proposal by LivingWorks Ventures to develop a portion of the city-owned property at 5425/5501 Boone Avenue North, along with other options for the property, and request authorization to proceed with an update on the appraisal of the property. POLICY/PAST PRACTICE The City Council and Economic Development Authority consider concept proposals for development on city- owned properties on a case-by-case basis and the EDA has previously executed a Land Disposition Agreement with Hennepin County on this property. BACKGROUND The EDA acquired 5501 Boone Avenue and a portion of the property at 5425 Boone Avenue in 1993, through eminent domain proceedings, with the intent to convey the property to CareBreak for the construction of an adult day care facility on the site. The total acquisition cost was $376,764 and the City used $100,000 in CDBG (Community Development Block Grant) funds towards a portion of the acquisition. In 1995, the City approved a plan for the construction of an adult day care center on the site and approved a rezoning of the property from I-1 to R-5, subject to the project proceeding. The project did not proceed, the rezoning did not take effect, and the land was not conveyed to CareBreak. In 1997, the City executed a Land Disposition and Third Party Agreement with Hennepin County. The Third Party Agreement shifts the responsibility/authority for developing the site from the City to the EDA. The Land Disposition Agreement states that the property must be utilized for the development of an adult day care facility or some other "CDBG eligible" use. If the property is not utilized for a "CDBG eli~lible" use, the CDBG I:rfa\ Page 2 2-11-02 - Request for Action funds must be repaid to the County or a portion of the land's sale price must be paid to the County. In 1999, Minnesota Masonic Homes, Inc. purchased the North Ridge Care Center and CareBreak was impacted by the acquisition. In 2000, a three-year extension was granted on the Land Disposition Agreement to October 2003. CareBreak has subsequently indicated that they will not be proceeding with the development of an adult day care center on the site. The EDA needs to find a suitable use for this property and ideally it would be a use that qualifies under CDBG guidelines so that those funds could remain in the project. LivingWorks Ventures, a non-profit provider of housing, employment and support services for recovering chemically dependent adults with brain injuries or other cognitive disabilities, has approached city staff in the past about developing a facility in New Hope. Longtime New Hope resident Duane Reynolds is associated with LivingWorks Ventures, which is related to Vinland Center, a provider of rehabilitation services to persons with disabilities for almost 25 years. In the past several years, city staff coordinated with LivingWorks on the potential acquisition/redevelopment of the properties at 8109/8113/8115 Bass Lake Road, but was not successful in acquiring the property. LivingWorks has been successful in the past year in acquiring funding from a variety of sources for the construction of a facility and were working with the City of Crystal on a site until recently, when it was determined by Crystal that a commercial use was most appropriate for the site. The loss of the site in Crystal prompted LivingWorks to contact New Hope again about potential development sites and staff raised the possibility of utilizing a portion of the city-owned site at 5501 Boone for this use. Staff and consultants met with Hennepin County and LivingWorks representatives several weeks ago to discuss a potential project on a portion of the city-owned property on Boone Avenue. Several of the key items discussed at the meeting included: · LivingWorks is a "CDBG eligible use" and Hennepin County would allow the City to retain the $100,000 in CDBG funds utilized for land acquisition if the facility was constructed on a portion of the site. · LivingWorks would purchase the property they would need for the facility and have funds for land acquisition; they are not asking the City to donate the land. · Although LivingWorks is a nonprofit and tax exempt, they are agreeable to paying an annual PILOT (Payment in Lieu of Taxes) to the City for the city portion of the tax pie to cover city services costs. · The proposed use is somewhat medically related, is similar to an adult day care use and is compatible with the Masonic/North Ridge complex across the street. · LivingWorks Ventures is agreeable to exploring options to have other similar facilities on the site. GMMHC and Tasks Unlimited may both have an interest in developing facilities on the site and staff has encouraged more than one building to make good use of the property. · Soil conditions were discussed and LivingWorks understands that some soil corrections and/or piling construction may be necessary. · Staff discussed that we would like to see a portion of the property leased to or purchased by Masonic/North Ridge and a parking lot constructed to resolve the long-standing on-street parking problem. Staff developed a preliminary concept plan utilizing the property for all of these uses (attached). Livin,qWorks Proiect Description The following project description was provided to the City for consideration: Proposal This project consists of the property at 5501 Boone Avenue North in New Hope. This site is currently and has always been vacant. LivingWorks Ventures proposes to construct a 12-unit supportive congregate housing facility for people with disabilities on this property. Request for Action Page 3 2-11-02 Developer The developer of this project is LivingWorks Ventures, a nonprofit provider of housing, employment, and supportive services for recovering chemically dependent adults with brain injuries or other cognitive disabilities. Since 1998, LivingWorks has operated - in collaboration with Tasks Unlimited, Inc., the property owner - an eight-bedroom twin home for a similar tenant group at 4125-27 Jordan Avenue North in New Hope. LivingWorks Ventures was founded in 1998 as a "sister" nonprofit of Vinland Center, a provider of rehabilitation services for Minnesotans with disabilities for nearly 25 years. Since 1990, Vinland has operated a chemical dependency treatment program for adults with a dual diagnosis of cognitive disability and chemical dependency. LivingWorks Ventures was created to expand the continuum of care for persons with this dual disability to include supportive housing, employment, and community integration. Staff of both Vinland Center and LivingWorks Ventures will be involved in implementing the proposed project. What is Proposed? The plan entails new construction of a 12-unit facility providing both independent living quarters and shared living space for people with disabilities (as described above). The building will be designed as a twin home. Each twin unit will have two stories, with three bedrooms on each level for each unit (12 bedrooms in all) and each unit connected to a central living/dining/recreation area. The entire first floor of the facility - both shared living space and individual units - will be accessible to people who use wheelchairs or have other mobility impairments. This design allows for maximum flexibility to serve a variety of tenants, including men, women, individuals who can function independently, and people who may need some level of daily care. Unit rents will be $200/month plus approximately $50 as the prorata share of the utility costs. This rent level will be affordable to residents whose primary sources of income will be employment (most will be working at least part time, as described below) and public disability assistance funds for which most will quality. Nine of the units will be reserved for residents with incomes at or below 50% of the area median income (which, according to the Federal Home Loan Bank of Des Moines in May 1999, is $41,812 for a one-person household in the 11-county Minneapolis/St. Paul metropolitan area). Two will be reserved for residents with incomes at or below 60% of the area median income. Residents will be referred predominantly from Vinland Centers rehabilitation programs. Prior to referral, they will be assessed to insure that they are appropriate for a group living situation. They will also receive intensive training in "interdependent" group living skills. The facility will employ a pad-time staff coordinator who will provide a variety of services including counseling, guidance, and sober support as well as case management. Some residents may require additional services, such as personal care attendants, counseling, or physical therapy, over and above those provided by the staff coordinator. These services would most likely be paid for with "waivered service" funding for which individual residents would qualify through Hennepin County. With limited exceptions, residents will be expected to work at least part time - and will be guaranteed paid employment through a contract LivingWorks has with Tasks Unlimited Building Services (TUBS), or at other area businesses. We expect the employment situation of residents of the new project to be comparable to that of residents of the Jordan Avenue residence, four of whom are employed in the community and four of whom work for TUBS. As with the current residence, LivingWorks will ensure that residents - most of whom do not have driver's licenses - have consistent transportation to and from work. Financing The total cost of this development is approximately $1.1 million, of which approximately $922,000 is for capital development costs and the remainder for support services, operations and administration. Of this total, $1,067,900 has been raised. The financing secured to date is a combination of mortgage and construction financing from the Minnesota Housing Finance Agency and other grants and loans from Hennepin County Request for Action Page 4 2-11-02 HOME funds, the Affordable Housing Program of the Federal Home Loan Bank of Des Moines, and HUD McKinney funds. Additional public sources such as the Affordable Housing Incentive Fund will be approached for the remaining gap funding. The final amount needed may be increased if soil conditions on the lot at 5501 Boone Avenue North require pile drivings or other extensive soil corrections to support construction. Timeline LivingWorks' acquisition of the property is dependent primarily on three things: First, the City Council and Planning Commission must review and rezone the property so that the proposed project is a permitted use. Second, LivingWorks Ventures must secure the remainder of the financing needed to complete the project. Third, project funders must agree that the property meets their environmental, Iocational and other criteria. Construction could be initiated within a few months after these steps were completed and transfer of property ownership occurred. It is expected that construction would take approximately six months and that residents could begin to move in shortly after the residence was completed. Partners Two other nonprofit organizations, Tasks Unlimited and Greater Minneapolis Metropolitan Housing Corporation, have expressed an interest in exploring the possibility of developing their own Iow income and/or disability housing projects on the same lot (a letter from Tasks is included with these proposal materials). LivingWorks Ventures might be interested in pursuing these partnerships, if the City of New Hope would be supportive and if the collaboration would be beneficial to all projects involved. Advanta.qes to the Community This development will provide reinvestment in the area's aging housing stock by an owner committed to maintenance and a long-term relationship with the community. The improved appearance and stability of the new facility will add to the surrounding area's value and livability, and help meet the City's goals related to the preservation of "life cycle" housing. These units will provide an opportunity for adults with disabilities to live and work in the community in the least restrictive, most affordable - and cost effective - environment possible and will meet the requirements for a CDBG-permitted use of the property. LivingWorks, its partner agency in the Jordan Avenue project, Tasks Unlimited, and its "sister" agency, Vinland Center, have a long history of mutually beneficial community relations. For example, Tasks Unlimited is known for investing in exterior improvements that make the buildings they own among the most attractive properties in their neighborhoods. (The Tasks/LivingWorks joint venture on Jordan Avenue is a prime illustration of this.) LivingWorks is committed to implementing this same kind of neighborhood improvement approach in the proposed project. Another example of positive community relations involves Vinland and the City of Independence. As a tax- exempt rehabilitation center in Independence that uses tax-financed public services (such as police and rescue squad), Vinland was asked by the City of Independence to pay for these services on a per use basis. Although not legally bound to do so, Vinland entered into a pay-per-use agreement with the City of Independence as a demonstration of its commitment to the community. LivingWorks is prepared to negotiate a comparable arrangement with New Hope should the City so desire. Next Steps 1. City staff request that the EDA review, comment and provide direction to staff on the LivingWorks Ventures proposal to develop a facility on the site, the potential for other organizations (GMMHC, Tasks Unlimited) to develop facilities on the site and the parking lot concept to address the Masonic/North Ridge parking issue. Request for Action Page 5 2-11-02 If the EDA is interested in pursuing this idea, staff recommend that the EDA direct staff to: A. Get the property appraisal updated so the current market value can be determined. Patchin, Messner & Dodd, who were involved in the original appraisal, have submitted a quote in the amount of $2,600 to appraise the property. B. Contact Masonic/North Ridge regarding the parking issue and parking lot concept. C. Contact GMMHC and Tasks Unlimited on the potential for other facilities on the site. D. Work with LivingWorks Ventures on a preliminary letter of understanding. FUNDING The cost for the updated appraisal would be paid for with TIF funds, as the property is located in an area where tax increment funds can be expended. If the property was sold, the proceeds would be deposited in the in the tax increment account. If the LivingWorks Ventures proposal would be constructed, the City would not have to repay the $100,000 in CDBG funds. ATTACHMENTS · LivingWorks Ventures Correspondence, Proposal and Plans · Tasks Unlimited Correspondence · Staff Concept for Property Development Potential · Appraisal Quote · Land Disposition Agreement, Amendment and Resolution 2000-04 · Vinland Brochure February 4, 2002 Kirk McDonald, Community Developmem Director City of New Hope 4401 Xylon Avenue North New Hope, MN 55429 Dear Kirk, Thank you for meeting with Duane Reynolds and me a couple of weeks ago to discuss the possibility of LivingWorks Ventures building a 12-bedroom residence for people with disabilities on the property at 5501 Boone Avenue North in New Hope. As you requested, we have put together a brief proposal (attached) which outlines our plans for the project, including: 1) information about the size, scope and need for the project; 2) the anticipated tenant profile; 3) our financing and timing plans; and 4) preliminary architectural drawings. Also enclosed is a brochure which describes Vinland's various programs, including LivingWorks. We hope that all is in order for you to present our proposal to the New Hope City Council on February 11 for their consideration. Please call me at 763.479.4523 or Duane Reynolds at 763.479.4538 if you have questions or need additional information. Again, thank you for your interest in our project, Kirk. Duane and I plan to attend the City Council meeting on February 11, and we look forward to working with the City of New Hope. Sincerely, Susan Rivard Executive Director LIVINGWORKS VENTURES PROJE CT DESCRIPTION PROPOSAL: This project consists of the property at 5501 Boone Avenue North in New Hope. This site is currently and has always been vacant. LivingWorks Ventures proposes to construct a twelve-unit supportive congregate housing facility for people with disabilities on this property. DEVELOPER: The developer of this project is LivingWorks Ventures, a nonprofit provider of housing, employment, and supportive services for recovering chemically dependent adults with brain injuries or other cognitive disabilities. Since 1998, LivingWorks has operated - in collaboration with Tasks Unlimited, Inc., the property owner- an eight-bedroom twin home for a similar tenant group at 4125-27 Jordan Avenue North in New Hope. LivingWorks Ventures was founded in 1998 as a "sister" nonprofit of Vinland Center, a provider of rehabilitation services for Minnesotans with disabilities for nearly 25 years. Since 1990, Vinland has operated a chemical dependency treatment program for adults with a dual diagnosis of cognitive disability and chemical dependency. LivingWorks Ventures was created to expand the continuum of care for persons with this dual disability to include supportive housing, employment, and community integration. Staff of both Vinland Center and LivingWorks Ventures will be involved in implementing the proposed project. WHAT IS PROPOSED? The plan entails new construction of a 12-unit facility providing both independent living quarters and shared living space for people with disabilities (as described above). The building will be designed as a twin home. Each twin unit will have two stories, with three bedrooms on each level for each unit (12 bedrooms in all) and each unit connected to a central living/dining/recreation area. The entire first floor of the facility- both shared living space and individual units - will be accessible to people who use wheelcha~ or have other mobility impairments. This design allows for maximum flexibility to serve a variety of tenants, including men, women, individuals who can function independently, and people who may need some level of daily care. Unit rents will be $2007month plus approximately $50 as the prorata share of the utility costs. This rent level will be affordable to residents whose primary sources of income will be employment (most will be working at least part time, as described below) and public disability assistance funds for which most will qualify. Nine of the units will be reserved for residents with incomes at or below 50% of the area median income (which, according to the Federal Home Loan Bank of Des Moines in May 1999, is $41,812 for a one-person household in the 11-county Minneapolis/St. Paul metropolitan area). Two will be reserved for residents with incomes at or below 60% of the area median income. Residents will be referred predominantly from Vinland Center's rehabilitation programs. Prior to referral, theywill be assessed to insure that they are appropriate for a group living situation. Theywill also receive intensive training in "interdependent" group living skills. The facility will employ a part-time staff coordinator who will provide a variety of services including counseling, guidance, and sober support as well as case management. Some residents may require additional services, such as personal care attendants, counseling, or physical therapy, over and above those provided by the staff coordinator. These services would most likely be paid for with "waivered service" funding for which individual residents would qualify through Hennepin County. With limited exceptions, residents will be expected to work at least part time - and will be guaranteed paid employment through a contract LivingWorks has with Tasks Unlimited Building Services (TUBS), or at other area businesses. We expect the employment situation of residents of the new project to be comparable to that of residents of the Jordan Avenue residence, four of whom are employed in the community and four of whom work for TUBS. As with the current residence, LivingWorks will ensure that residents - most of whom do not have driver's licenses - have consistent transportation to and from work. FINANCING: The total cost of this development is approximately $1.1 million, of which approximately $992,000 is for capital development costs and the remainder for support services, operations and administration. Of this total, $1,067,900 has been raised. The financing secured to date is a combination of mortgage and construction financing from the Minnesota Housing Finance Agency and other grants and loans from Hennepin County HOME funds, the Affordable Housing Program of the Federal Home Loan Bank of Des Moines, and HUD McKinney funds. Additional public sources such as the Affordable Housing Incentive Fund will be approached for the remaining gap funding. The final amount needed may be increased if soil conditions on the lot at 5501 Boone Avenue North require pile drivings or other extensive soil corrections to support construction. TIMELINE: LivingWorks' acquisition of the property is dependent primarily on three things: Fint, the City Council and Planning Commission must review and rezone the property so that the proposed project is a permitted use. Second, LivingWorks Ventures must secure the remainder of the financing needed to complete the project. Third, project funders must agree that the property meets their environmental, locational and other criteria. Construction could be initiated within a few months after these steps were completed and transfer of property ownership occurred. It is expected that construction would take approximately six months and that residents could begin to move in shortly after the residence was completed. CURRENT RENTERS This is not an issue as the property is currently vacant. PARTNERS Two other nonprofit organizations, Tasks Unlimited and Greater Metropolitan Housing Corporation, have expressed an interest in exploring the possibility developing their own low income and/or disability housing projects on the same lot (a letter from Tasks is included with these proposal materials). LivingWorks Ventures might be interested in pursuing these partnerships, if the City of New Hope would be supportive and if the collaboration would be beneficial to all projects involved. ADVANTAGE S TO THE COMMUNITY This development will provide reinvestment in the area's aging housing stock by an owner committed to maintenance and a long-term relationship with the community. The improved appearance and stability of the new facility will add to the surrounding area's value and livability, and help meet the City's goals related to the preservation of "life cycle" housing. These units will provide an oppommity for adults with disabilities to live and work in the community in the least restrictive, most affordable - and cost-effective - environment possible and will meet the requirements for a CDBG-permitted use of the property. LivingWorks, its parmer agency in the Jordan Avenue project, Tasks Unlimited, and its "sister" agency, Vinland Center, have a long history of mutually beneficial community relations. For example, Tasks Unlimited is known for investing in exterior improvements that make the buildings they own among the most attractive properties in their neighborhoods. (The Tasks/LivingWorks joint venture on Jordan Avenue is a prime illustration of this.) LivingWorks is committed to implementing this same kind of neighborhood improvement approach in the proposed project. Another example of positive community relations involves Vinland and the City of Independence. As a tax-exempt rehabilitation center in Independence that uses tax- financed public services (such as police and rescue squad), Vinland was asked by the City of Independence to pay for these services on a per use basis. Although not legally bound to do so, Vinland entered into a pay-per-use agreement with the City of independence as a demonstration of its commitment to the community. LivingWorks is prepared to negotiate a comparable arrangement with New Hope should the City so desire. J:LWVX, LWVkNew Hope\New Hope proposal 1-02 Living Works Ventures - Preliminary Development Cost Acquisition: 77,220 Land Site Prep 45,000 Title and Recording Fees 1,000 Environmental assessment 3,000 Construction Costs: Residential Construction Surveys and Soil Bearing Capitalized Operating Expense (administration) Net Construction Subtotal Contingency Fees and Other: Architect's Fee - Design Architect's Fee - Supervision Legal Processing Agent Replacement Reserve SAC/WAC Furnishings and Equipment Soft Cost Contingency Start-up costs Financing & Carrying Charges: Taxes during Construction Insurance durung Construction Title and Recording Total Development Costs 630,000 9,000 1,500 30,000 15,000 8,000 20,000 6,000 9,800 58,000 20,000 6,500 2,350 10,000 8,000 640,500 31,531 126,220 672,031 173,300 20,350 991,901 FUNDING SOURCES: MHFA Hennepin County - HOME McKinney - HUD Affordable Housing Program (AHP) Gap Funding Needed 270,000 170,000 458,000 55,000 38,901 991,901 Architecture, [nc. ,A600 E] _J E] '1 VINLAND NATIONAL CENTER vlle,.k/eD LO00~ SECOND FLOOR PLAN SEP-l?-2881 14:15 DJ & R 612 6?6 ~-~796 LINDEN I. IL ~,~ANE~Ej ~E~I~EN~E 2 ~ ~,ARA~E I DJR Architecture, Inc. Sui~ 314 Mi~L~ MN 55414 ~,2NI~ AVENUE OP~ELI~INA~¥ I" · ~,,,O" LANI~C,,AF'E I~LAN N VINLAND LODGE 6~¥STA1, HINNE~OTA DATE, q/17/OI · JOl~ NO: qq~2~ From-CITY OF NEW HOPE ?$35:~15135 T-Z3? o 40. . r...~~, 1/ I-% )CK I '- I · I I 1 _ 2 ...... BI. DCK 3 EXTENDED [,~1 j : ~ I'-~'~'- ~1', ~ ,/. ',.f ~, .~.. UT~ITY ANDZ)RAINAGE ~o.~J A,..' ~ ~ DFJ~NAGE .~, ~ ;~£MENT ~ ', r";';' ' EASEMENT · ' ' I ~ '~ ' Y-~' · ,., ~ :.- ................... / ' ~' '..'S 8g*01 ~3" £ ' 300.05" .- ...... J;.,c,'~.._ 2 22._ "-i ..; 4,, -,,,,-., ,,, ,-. 9'01' 5~" E * 299.B$~ . ~00,., . ..... ,~o ~:'~','~" ',"' ~', 'I~ '~°" ~, ,,,, ,,,,,j,.,_, ,. -- Ix I J" LOT 2 BLK.2 P.O05/O0~ County orior years nave be~, pang for 2an~ Oes=riPeC a~ chi.-, plat. , 19.c . , Jan-OZ-2OOZ 12:02pm From-CITY O; NEW NOPE 7835315136 T-~37 P.008/306 NEW HOPE, MINNESOTA PUgLJC WORKS STORM \ , i%. \. \ Avenue ~,orth FEB-O1--O2 O$:O$ PM TASKS VNLIMITEZ~ T 2419 Nlcollet Ay. $., Minneapolis, MN $ 5404, 612-871-3320 fax 612-871-0432, www.task~unllmltea.or~ Jsnuary 3~. 2002 CUt TIVATIN~G ¢OMMUNI?¥ SuSnn Riverd Living Wor<s Dear Sue Tasks Un!imited woulcl be interested in the possibility of developing the property at 5501 Boone in colla~3oration with Living Works, As you Know, we have already been awarded some HOME money for a TASKS Lodge in the1 general area. Attl~ough we have not Built from the ground before, we are open to exploring it. Sincerely, John K. Trepp Executive Director PROVIDIN~ SUPPORTED EMPLOYMENT AND HOUSING r-OR PEOPLE IN RECOVERY FROM MENTAL ILLNESS OR BRAIN INJURY FROM : PATCH! N FP.X NO. : E, 121~951521 Fei*,. ~1 2[2~2t2 1~:5[2]P~1 P~ PATCHIN MESSNER & DODD VALUATION COUNSELORS 1952J 895-I 205 Fax 1952} 895-1521 January 31, 2002 The City of New Hope 4401 Xylon Avenue North New Hope, MN 55428--4898 ATTN: Mr. Kirk McDonald RE: Valuation Consulting and Appraisal Services Patchin Messner & Dodd Skyline Square Building, Ste. 220 12940 Harriet Avenue South Burnsville, Minnesota 55337 Dear Mr. McDonald: This letter is intended to be a memorandum of understanding concerning the engagement of Patchin Messner & Dodd for purpose of rendering valuation consultation and/or appraisal reports. It is understood by both parties that the nature of the assignment is as follows: Type of Property/ Location: Function of Appraisal/ Consultation: Data Needed to Perform Value Analysis: Type of Services to be Provided: City Owned Industrial Site @ 5501 Boone Avenue New Hope, Minnesota Estimate the current market value of the site, as affected by poor subsoils. Site surveys if available, geotechnical data of soil conditions, and cost data for soil corrections or pilings needed to support Jegally allowed uses. Prepare a limited appraisal of the site (subject to the availability of soil correction cost data), in a summary report in compliance with the Uniform Standards of Professional Appraisal Practice (USPAP). 'I~1/IN CITIES OF'PICE: Skyline $Guare 8ulkllr~g. ~ 220 12~40 Hia~'iet Avenue South ~, MN SS337 ROCHESTER OFFICE: IS0712S2-1&IS P.O. Box 7343 K'ocJ'~s~,/aN SS903 FAX 1'40. : ~,IL:~c~15~1 FeJo. ~1 ~2 ~'5:51F~ P~ FROM : PATCH I H M~SSNER APPRAISALS Estimated Cost of Services Rendered: Delivery Date: Terms: $2,600.00 Time after delivery of appraisal report, if necessary, will be invoiced separately at the following professional hourly fees: Valuation/ Consultation $100.O0/H r. Pre-Trial Preparation $125.00/Hr. We will furnish three copies of the appraisal within 90 days following return of this authorization to proceed and requested data. We can only complete the appraisal by this date if we receive the requested data in a timely manner. Total amount due within 30 days following date of invoice, 1-1/2% per month interest charges will be added to accounts not paid by that time. Retainer Fee- to be paid in advance: None If you have any questions or comments after reading this letter of engagement, please feel free to contact me at your convenience. Respectfully submitted, PATCHIN MESSNER & DODD Eric Bjorklund Jason L. Messner, MAI EB:pd Aut.horization To Proceed Client Name: Individual Responsible: Signature: Date Accepted: Contract No. A2056- THIS AGREE~[EN'r made and entered into by and between the Count)' of Hennepm. State of Minnesota. hereinafter referred to as the "County" through its Office of Planmng and Development. hereinafter referred to as "OPD" and the leconomic Development Authority. tn and for the City of New Hope, a Minnesota Municipal Corporation. hereinafter referred to as the "EDA". each of which parties is a governmental unit for the State of Minnesota pursuant to Mtrmesota Statutes, Section 471.59 WITNE$$ETH: WHEREAS, the County through OPD is a duly designated Urban County Community Development Block Grant entitlement recipient pursuant to the provisions of the Housing and Community Development Act of 1974. Title I of Public Law 93-383, as amended. {42 USC $301 et seq). and WHEREAS, the city of New Hope is an authorized subgramee participant in the Urban Hermepin County Community Development Block Grant program by virtue of a Joint Cooperation Agreement executed between City and County through OPD pursuant to MSA 471.59. and WHEREAS, as Third Part)' Agreement has been executed between the city of New Hope and the EDA for purposes of implementing this CDBG funded activity, and WHEREAS, the Urban Hennepin County Community Development Block Grant program permits the City to use Community Development Block Grant funds to acquire lands for the purpose of assisting in the development of an adult daycare and/or senior center public facility, and WHEREAS, the EDA has acquired through its power of eminent domain property located at 5501 and $425 Boone Avenue North, in the City of New Hope, for an adult daycare and/~r senior center public facility. That said properties are legally described in paragraph I of the herein agreement. Further, the award of damages paid to the fee owners of the subject property totaled $376.764.00. For the purposes of this agreement, the parties hereto agree that this amount equals the purchase price paid by the leDA for the property. NOW THEREFORE, in consideration of the mutual covenants and promises contained in this agreement, the parties hereto mutually agree to the following terms and conditions: The EDA acknowledges receipt of the sum of $I00,000.00 dollars provided through the Urban Hennepin County Community Development Block Grant program to purchase and acquire property at 5501 and .542~ Boone Avenue North in the City of New Hope, County of Hennepin, State of Minnesota, legally described below. The panics acknowledge and agree the total purchase price for the following described properties was $376.764.00. .~iO1 Boone Avenue North That pan of Lot 2. Block 2. ly,lg North of the North hne of th-- South 639.85 fe,-t of said Lot 2, Block 2, as measured along the East and West lines thereof, ex:,-pt th,- North 150 fee: thereof. Science Industry, Center. according to the plat thereof on file or of record zn the Office of the Registrar of Titles in and for Hermepin Count)'. Mirmesota. Subject to utility easements shown on plat; Subject to an overhead easement ~n favor of Northern States Power Company as set forth in Document No. 1098~75. Files of Registrar of Titles; Subject to the storm sewer easement as set forth in the Notice of Subsequent Adverse Claim. Document No. 2058134. Files of the Registrar of Titles. 5425 Boone Avenue North The North 75 feet of the following described property: The North 300 feet of the South 639.88 feet (as measured along the East and West lines thereof) of Lot 2. Block 2. Science Industry Center. according to the plat thereof on file or of record in the Office of the Regmrar of Titles in and for Hennepin Count)'. Minnesota. Subject to utility easements as shown on plat. Il. In consideration for the receipt of the SI00,000.00 Urban Hennepin County Community Development Block Grant, the EDA covenants and_agrees that the purpose of such purchase and acquisition of said property is for the development of an adult da,vcare facilit)' and/or senior center public facilit,v and that such purpose shall be implemented not later than three/3) years from and after the date CDBG reimbursement was received b,v the EDA from the Count),. If at the end of such three i3) year period implementation of said project has not actually begun but it can be demonstrated at ~uch time that said project is still viable and feasible, the City shall have an opuon to extend the .period cluring which it may hold such land for an additional three (3) year period. III. If at the end of the initial period of three (3) years or during the second three ¢3) year period if the initial period should be so extended, it appears to the County through OPD that the said prOJect proposed is no longer viable ot feasible so that the EDA could not develop the prOJect on the site, then, in such event, the County through OPD may, A. Approve a.n alternate use of the land for a project eligible for CommuniL~' Development Block Grant funding or B. Require that the site be sold for its fair market value. The fair market value shall be established in accordance with the Uniform Act (49 CFR Parc In the event that such property is sold in accordance with B (above). the pomon of the proceeds of such sale attributable to the ratio of the CDBG contribution to the pur:hase prize identified in Paragraph I would become the property of the County through OPD to be cies~gnated as Community Development Block Grant income (CDBG). All program income returned to the Countx' is subject to the provisions of the Joint Cooperation Agreement. In no event shall the amount returned be less than the CDBG contribution identified in Paragraph I. The EDA. its administrators. heirs, and assigns, releases Hennepin County and OPD. its agents and employees, from any and all actions, causes of action, or claims or demands whatsoever kind of nature regarding the proceeds of such sale of property described above. IV. During the term of this Agreement the EDA may propose to the County through OPD alternative uses for the site being so acquired and the County through OPD may consider and authorize such alternative proposal provided that such alternative is eligible for Community Development Block Grant assistance and that such alternative proposal meets then extstm£ rules and regulations for such assistance. ~ 3 and shall continue in full force and effect until r~e Project is completed~ the riescribed site or until the land is sold or approved for an alternate use in accordance with Paragraph III above or at th.' expiration of three years, whichever set of events occurs first. The EDA having signed this Contract. an~ the HenneP,~ County Board of Commissioners having duly approved Lis Contract on the / ?7.~tay of '~]~ \~..~ _/ . 19 ~7. and pursuant to such approval and the proper County officials having signed this Contract. the panics agree- to be bound by the provisions herein set forth. · /" .~o~'r Assistant nty Auomey / COUNTY OF HENNEPIN STATE OF~ By of its County .I~//7/q7 VlCg'.Chairmin' loard ' Assisr,~j/Cbu~aty Administrakg. ~C~ ;~e;EL~i I;:EC::~t:~B;~r:RITY in and '~/ for the CITY OF P By ~ W. Peter Enck, Dani~J. Do~ue. ~cutive D~rec~or ATTEST: Boone SUBJECT HOSTERr,.,1,, JR I-~IGH SOHOOL I-1 AMENDMENT NO. 1 TO AGREEMENT, CONTRACT NO. A20867 THIS AGREEMENT made and entered into by and between the COUNTY OF HENNEPIN, STATE OF MINNESOTA, hereinafter referred to as the "County," through its Office of planning and Development, hereinafter referred to as "OPD," and the Economic Development Authority in and for the City of New Hope, a Minnesota Municipal Corporation, hereinafter referred to as the "EDA", each of which parties is a governmental unit for the State of Minnesota pursuant to Minnesota Statutes, Section 471.59: WITNESSETH: WHEREAS, the EDA and the County have previously entered into Agreement, Contract No. A20867, and WHEREAS, under the provisions of Paragraph II, the EDA wishes to exercise its option to extend the period during which it may hold the land, which it purchased with Community Development Block Grant funds provided through a third party agreement with the city of New Hope, for an additional three (3) year period, and WHEREAS, the EDA has demonstrated that the purpose for which the land was purchased, namely the development of an adult day care facility and/or senior center public facility, is still viable and feasible: NOW, THEREFORE, in consideration of the mutual terms herein set forth, the parties agree as follows: Articles II and V of the Agreement shall be amended to read as follows: II. The EDA covenants and agrees that the purpose of such purchase and acquisition of said property is for an adult day care facility and/or senior center public facility and that such development shall occur not later than three (3) years from and after the date of this Agreement as specified in Paragraph V. Vo This Agreement is effective as of October 1, 2000 and shall continue in full force and effect until an adult day care facility and/or senior center public facility is completed on the site or until the land is sold or approved for an alternate use in accordance with Paragraph III above, whichever of said events occur ftrst. The EDA having signed this Amendment, and the Hennepin. County ~,~}rd of Commissioners having duly approved this Amendment on this / ~ of_ .t I, ffl~, 2000, and pursuant to such approval and the proper County officials having signed this Amendment, the parties agree to be bound by the provisions herein set forth. Date COUNTY OF HENNEPIN, STATE OF MINNESOTA By: ~ .......... :.'-:e.'--,'_':~ Chair of its County Board .......'~ · A/ffsi~t~nt/Deputy/County ~d.~n' Dep~C-lerk of the County Board ~/- Date: [ 02-, ~ ECONOMIC DEVELOPMENT AUTHORITY in and for the CITY OF NEW HOPE Cltmr/Pr~sid~'nt ~rc; Execu[ive Dir~' - - - Attest: ~/--~_~.~., /~ City Clerk EDA RESOLUTION NO. 2000- RESOLUTION APPROVING EXTENSION TO LAND DISPOSITION AGREEMENT RELATING TO DEVELOPMENT OF 5501 BOONE AVENUE NORTH BE IT RESOLVED by the Board of Commissioners of the Economic Development Authority in and for the City of New Hope as follows: WHEREAS, the Economic Development Authority in and for the City of New Hope (hereafter EDA) and the County of Hennepin (hereafter County) have entered into a Land Disposition Agreement (hereafter Contract) relating to the development of 5501 Boone Avenue North as an adult day care facility, and WHEREAS, specifically, the County has provided the EDA with a $100,000.00 grant provided through the Urban Hennepin County Community Development Block Grant Program, and WHEREAS, the Contract requires the EDA to refund the $100,000.00 grant if the property at 5501 Boone Avenue North is not developed with an adult day care facility by October, 2000 unless said deadline is extended, and WHEREAS, the Contract provides that the use deadline may be extended for an additional three (3) years provided it appears reasonably feasible the adult day care development will occur during the extension period, and WHEREAS, Minnesota Masonic Homes remains interested in the property at 5501 Boone Avenue North for an adult day care facility and has requested that the EDA seek an extension to the Contract evidenced by Exhibit A attached, and WHEREAS, the County, based on Minnesota Masonic Homes expressed interest to develop 5501 Boone Avenue North as an adult day care facility, is willing to provided a three-year extension to the Contract evidenced by its September 8, 2000 letter attached as Exhibit B, and WHEREAS, the County has prepared an addendum to the Contract, attached as Exhibit C rifled Amendment No. 1 To Agreement, Contract No. A20867, which provides for an extension of the Contract to October 1, 2003. NOW THEREFORE BE IT RESOLVED by ~e Economic Development Authori~' of the City New Hope as follows: That Amendmem No. I To Agreement, Contract No. A20867 attached as Exhibit C, is hereby approved. That the President and Executive Director are hereby authorized and directed to sign Amendment No. 1 To Agreement, Contract No. A20867. Attest: Dated the 25'~ day of September, 2000. Daniel J. Dofl~ue, Executive Director 2 "Everybody's got problems and needs to find a way to deal with them. In Vinland's Employment Program, I was part of a group of people who were growing and learning and finding out what's going on with life, with work, and with themselves." Larry was a corrections officer in a prison when his back was seriously injured in an attack by an inmate. "I had tried to find some kind of work that was compatible with what I'd been doing, but it was difficult. Then I heard about Vinland's Emplo~'ment Program. "The Vinland people in all the different fields were very helpful--bringing out your strong points, helping you through the rough parts, taking time to work with you as an individual as well as one of a group. They made me feel at home while I was there." The relationship continued even after Larry returned home. "The people at Vinland followed up with letters and calls, and helped me set up a support group where I live. They made a visualization and relaxation tape for me when I was there, and I still listen to it quite a bit. It's a really great tape." Now a student in biology at the local universiv,', Lam' would like to become a teacher or researcher following graduation. "Vinland gave me the encouragement and confidence to believe that this is something I can accomplish.' "Vmland's Cammxity Iul;egraticm ?tog:mm gives me a reason to get out of bed in the morning," says Rosemary. Disabled by chronic, severe depression, panic attacks and a mobility impairment, Rosemary, says that, before she started coming to Vinland in the early 90s, she literally stayed in bed most days--all day. Participating in Vinland's flexible, varied ~ program o~ then~peutic recreation and social su!0~rt, Rosemary has found abilities she didn't know she had and has experienced accomplishments and successes that once seemed out of reach. "The staff at Vinland challenge me and respect my limits at the same time. They encourage, but they don't push--and I appreciate that." Vinland's outdoor setting helps Rosemary "connect." "I love spring," she says. "In the city, it's hard to see the first signs of spring, but at Vinland the birds, the trees--everything seems to burst forth with new life. It's inspiring." Remembering what it was like to be a skeptical, fearful newcomer, Rosemary now reaches out to other participants--another major accomplishment. It's the "little things," she says, like offering someone a cup of hot chocolate or inviting them to sit by the fire in Vinland's comfortable lakeside chalet, that help people feel safe enough to interact with others and try new activities. "For someone like me," says Rosemary, "who has struggled with mental illness for my entire life, the big thing is trust. At Vinland, I trust the staff, I trust the other participants, I trust myself. For me to come out to V'mland, to be involved with other people, to walk the trails, and do the arts and crafts I love-it's a real achievement." .... in many lives when tough choices must be made. To go back to work, whatever it takes; to stop using drugs or alcohol, even after years of addiction; to come to terms at last with the physical and emotional effects of an accident or lifelong disability. These are the choices that Vinland Center clients make every day. And while the choices may be tough, those who make them find that the rewards can be life-changing. ... to address the needs of people whose ability to live independently has been compromised by illness, injury, or chronic conditions. Vmland's clients have complex problems related to their disabilities that affect every facet of their lives. Vinland's singular treatment model is designed specifically to take into account the physical, emotional, mental and/or cognitive disabilities of its clients. They leave Vinland armed with the tools and techniques they need to become-and remain--healthy, productive, self-sufficient members of the community. Often facing multiple physical, psychological and emotional challenges, Vinland clients discover that--with help from each other and from Vmland's caring staff in many disciplines--they are not defined by their disabilities. They have a capacity for fulfilling work. Life, for all its uncertainty, is not a burden to be suffered but a blessing to be celebrated, with gratitude and hope. ~ouz~ea in 1976, Tlnlazcl is loo&te~ ]~ minutes west of ~e&polis In LorenZo, ~eso~a. In a peaoe~, ~al ~im~ reasoms to o~e their lives for the better. The ]~]~1o7merit l~ogram: "Whole person' vocational rehabilitation services which get chronically unemployed men and women with disabilities and/or work-related injuries back to work. The Chemical Health pro~,ramt A continuum of specialized inpatient and outpatient chemical dependency treatment services for men and women with cognitive disabilities. · mvingWorlrs yentures s Long-term supported housing, employment and related services for adults with substance abuse problems and acquired cognitive disabilities. The Oc~am~t~ Inte~t~ Program: Therapeutic recreation and inclusive environmental education for sodally isolated youth and adults with disabilities. "I'm sober. I'm happy. I've got a job, and I'm satisfied with what I do." Ed is a charter resident of Vinland' s 't,iving¥/orks iodge in New Hope, which provides supportive housing and employment to adults whose ability to live with acquired cognitive disabilities is complicated by substance abuse. He graduated from Vinland's Chemical Health Program over a year ago. "The program at Vinland really worked for me. They give you some time to think about what you've leamed. I felt like I was really part of something there, part of a family. That's a plus for me.' Ed lost his memory, as well as his ability to read and write, in a car accident when he was 19. A series of jobs and struggles with alcoholism followed. Now, nearly 25 years later, he has moved beyond the anger and resentment he once felt. "There's been so much negative in my life. I need to get focused on things that are positive. I try to be honest and open, to tell my story and help people as much as I can. Once in awhile it gets a little overwhelming, but I try to focus on the good things in my life rather than on the bad things of the past." Living at the lodge is one of the good things. "I like having people around to talk to and associate with. It's like a family here." As for his experience in Vinland's Chemical Health Program, "All types of positive things came out of it," Ed reports. "It was a lifesaver." "I never accepted the reality of my traumatic brain injury until I went to V'mland," says Chris. The injury, resulted from a seizure, stroke and coma--the culmination of a long history of alcohol and drug abuse. A blues pianist, Chris had built a remarkable career--remarkable in a number of ways. Having lost his left arm as a young man, he went on to develop a distinctive piano style, and to perform and record with many local and national blues artists. After the illness that injured his brain, though, he had little desire to play. Vinland's 0henieai2 l~eal'~. Program gave him the fresh start he needed. "Being around people with the same thing made me feel more comfortable. When I first got there I weighed 131 pounds, down from 160. I worked out a lot, and that was beneficial." So, apparently, were the fresh air and sunshine. "It's a nice setting. I like the lake out there, and the park across the way." Now, with more than a year of sobriety, Chris is playing the piano again to appreciative applause. He is learning to live with the lingering effects of his brain injury, and he is mentoring a young musician. "My son, who's 16, plays the guitar. He's starting his own band now, and he's way good." As anyone who's heard him play will tell you, Chris himself is "way good." He is also very direct about his experience at Vinland: "They gave me reasons to stay sober."