091216 EDAEDA Meeting
Page 1 September 12, 2016
CITY OF NEW HOPE
4401 Xylon Avenue North
New Hope, Minnesota 55428
EDA Minutes September 12, 2016
Regular Meeting City Hall
CALL TO ORDER President Hemken called the meeting of the Economic Development Authority
to order at 7:18 p.m.
ROLL CALL Present:
Kathi Hemken, President
John Elder, Commissioner
Andy Hoffe, Commissioner
Eric Lammle, Commissioner
Jonathan London, Commissioner
Staff Present:
Kirk McDonald, City Manager
Aaron Chirpich, Community Development Specialist
Scott Crocker, Police Captain
Vicki Holthaus, AEM
Valerie Leone, City Clerk
Chris Long, City Engineer
Bob Paschke, Director of Public Works
Jeff Sargent, Director of Community Development
Stacy Woods, Assistant City Attorney
APPROVAL OF
MINUTES
Item 3
Motion was made by Commissioner Hoffe, seconded by Commissioner London,
to approve the minutes of August 8, 2016. All present voted in favor. Motion
carried.
EDA LEVY
Item 4
President Hemken introduced for discussion EDA Item 4, Resolution
authorizing the proposed levy of a special benefit levy pursuant to Minnesota
Statutes, Section 469.033, subdivision 6 and approval of a preliminary budget
for fiscal year 2017.
Mr. Kirk McDonald, city manager, stated the proposed EDA levy is $200,000
which is an increase of $50,000 over last year. He explained the increase will be
used for additional funds for the scattered site housing program.
RESOLUTION 2016‐19
Item 4
Commissioner Lammle introduced the following resolution and moved its
adoption “RESOLUTION AUTHORIZING THE PROPOSED LEVY OF A
SPECIAL BENEFIT LEVY PURSUANT TO MINNESOTA STATUTES,
SECTION 469.033, SUBDIVISION 6 AND APPROVAL OF A PRELIMINARY
BUDGET FOR FISCAL YEAR 2017”. 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,
Lammle, 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.
EDA Meeting
Page 2 September 12, 2016
IMP. PROJECT 973
Item 5
President Hemken introduced for discussion EDA Item 5, Resolution approving
purchase and redevelopment agreement with Great Buy Homes, Inc. for the sale
of 6065 and 6067 Louisiana Avenue North (improvement project no. 973).
Mr. Aaron Chirpich, community development specialist, explained the public
hearing is to consider the sale of EDA‐owned lots at 6065 and 6067 Louisiana
Avenue North to Great Buy Homes for $110,000 ($55,000 per lot). He stated RFPs
were sent to 20 builders and three proposals were received and reviewed with
Council at the August 15 work session. He described the design attributes and
anticipated sales price of $320,000 for each house
Mr. Chirpich stated the builder has requested separate development agreements
for each lot. Mr. Chirpich noted a reimbursement not to exceed $3,500 for curb
cut related costs is included in the development agreements. He also noted
restrictive covenants will be required to ensure the homes are owner‐occupied.
Council Member Elder inquired if the city would incur any additional costs by
providing two documents. Ms. Stacy Woods, assistant city attorney, stated the
costs would be nominal (one additional recording fee). Council Member Elder
recommended the buyer assume any additional costs if they become excessive.
Mayor Hemken opened the floor for comments from the audience. There was
no one present to address the Council for the public hearing.
Mr. Kirk McDonald, city manager, indicated staff has been trying to broaden the
use of various contractors and has received positive reports regarding Great Buy
Homes.
CLOSE HEARING
Item 5
Motion was made by Commissioner Elder, seconded by Commissioner Hoffe,
to close the public hearing. All present voted in favor. Motion carried.
RESOLUTION 2016‐20
Item 5
Commissioner London introduced the following resolution and moved its
adoption “RESOLUTION APPROVING PURCHASE AND
REDEVELOPMENT AGREEMENT WITH GREAT BUY HOMES, INC. FOR
THE SALE OF 6065 AND 6067 LOUISIANA AVENUE NORTH
(IMPROVEMENT PROJECT NO. 973)”. The motion for the adoption of the
foregoing resolution was seconded by Commissioner Hoffe, and upon vote
being taken thereon, the following voted in favor thereof: Hemken, Elder, Hoffe,
Lammle, 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.
ADJOURNMENT Motion was made by Commissioner London, seconded by Commissioner
Lammle, to adjourn the meeting. All present voted in favor. Motion carried.
The New Hope EDA adjourned at 7:30 p.m.
Respectfully submitted,
Valerie Leone, City Clerk