HRA 01/13/1983 - 29378CITY OF FRIDLEY
HOUSING & REDEVELOPMENT AUTHORITY
MEETING
JANUARY 13, 1983
CALL TO ORDER:
Chairperson Commers called the January 13, 1983, Housing & Redevelopment
Authority meeting to order at 7:32 p.m.
ROLL CALL:
Members Present: Larry Comers, Elmars Prieditis, Carolyn Svendsen,
Duane Prairie, Walter Rasmussen
Members Absent: None
Others Present: Jerrold Boardman, City Planner Darrel Clark, Chief Building
John Flora, Public Works Director Inspector
Nasim Qureshi, City Manager
Mark Burch, Asst. Public Works Director
Sid Inman, City Finance Director
Jim Robinson, Planning Staff
Mayor Bill Nee
• Dennis Schneider, Councilman
Ed Hamernik, Councilman
Bob Barnette, Councilman
Ed Fitzpatrick, Councilman
Mark Haggerty, 6441 Univ. Ave. N.E.
Jim Black, 7824 Alden Way N.E.
Brian Goodspeed,.731 Rice Creek Terrace
Bill Von K1 Vo Klu & Associates
Harold Skje�gbosta�, InVerDesign, Inc.
APPROVAL OF DECEMBER 9, 1982, HOUSING & REDEVELOPMENT AUTHORITY MINUTES:
MOTION BY MR. PRAIRIE, SECONDED BY MR. RASMUSSEN, TO APPROVE THE DEC. 9, 1982,
HOUSING & REDEVELOPMENT AUTHORITY MINUTES AS WRITTEN.
UPON A VOICE VOTE, ALL VOTING AYE, CHAIRPERSON COMMERS DECLARED THE MOTION
CARRIED UNANIMOUSLY.
I. CENTER CITY DISTRICT
A. Phase II Improvements
1. Memo #83 -01 from Executive Director
Mr. Boardman stated there are several steps in the Center City
District. The first phase (covered in Memo #83 -01) deals with the
overall project. At different stages, the HRA has looked at
HOUSING & REDEVELOPMENT AUTHORITY'MEETING, JANUARY'13; 1983 PAGE 2
different parts of the plan and have approved different bulldi_ng
construction. He felt they were now looking at approving the final
Phase II layout and to petition the City to do the parking lot
improvements that were conditioned under the contract with the office
building. In Resolution No. HRA 1 -1982, the HRA had petitioned the
City to do 64th Ave. He stated that in regard to 64th Ave., the
sewer and water are already in, and street surfacing, curb and gutter
will be done in the spring.
Mr. Boardman stated representatives from the Finance Dept. and the
Engineering Dept. were at the meeting to answer any questions the
HRA might have.
Mr. Commers asked what the agreement was with the City in regard to
the parking lot at this time.
Mr. Boardman stated the agreement they have at this time with
Mr. Haggerty is to provide a 166 -stall parking lot, and within that
agreement, the 8RA would lease the parking lot to Mr. Haggerty.
He stated he has talked to Mr. Qureshi, and they have reached a
tentative agreement on the maintenance of the parking lot. In the
"Agreement of Cooperation between the City of Fridley and the
Fridley Housing & Redevelopment Authority ", the HRA is agreeing to
construct a 166 -stall parking lot that will be shared between the
City and the office building. The HRA is requesting the City to
do the maintenance, but the HRA will be assessed for the construc-
tion of that parking lot.. In return for the construction of the
parking lot, the City, as part of their regular maintenance of City
Hall, would also carry out the maintenance on the parking lot.
Ms. Svendsen stated that in the "Agreement of Cooperation ", one of
the things listed in the regular maintenance was "repairing ". Did
this include resurfacing of the parking lot?
Mr. Boardman stated resurfacing is included as part of the maintenance
responsibility.
Mr. Boardman stated he would like the HRA to approve the "Agreement
of Cooperation" and submit it to the City Council for approval.
Mr. Commers stated that in looking at the proposal, he noticed the
parking lot has been written in at $140,000, but there was nothing
about a firemen's parking lot.
Mr. Boardman stated that, at that time, the firemen's parking lot
was included as part of the plaza area. 14ith the development of the
plaza area, they took out the old firemen's parking lot and re-
designed the area. They were looking at breaking that out as a
separate cost. There were two ways of handling it - -they could do it
as part of the street project and assess it, or they could do it as
part of the plaza. When they did the initial review of the parking.
HOUSING & REDEVELOPMENT AUTHORITY'MEETING, JANUARY 13, 1983 PAGE 3
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lot about one year ago, it was estimated at $109,000 which did not
include the lighting, irrigation, or landscaping. They have now
completed the designs on the parking lots, and the costs the HRA
had were the engineering estimates for the office /city hall parking
lot and the firemen's parking lot. He stated he would like approval
so the City can go ahead with the bidding process. They hope to go
out for bids by early March.
2. Plaza Design Presentation - InterDesign, Inc.
Mr. Harold Skjelbostad, InterDesign, Inc., reviewed the final plaza
design proposal which incorporated the ideas and discussion of the
HRA meeting on Sept. 23, 1982.
Mr. Schneider stated he was concerned, from an aesthetic point of
view, about the cars in the firemen's parking lot.
Mr. Skjelbostad stated that has been discussed, and one thing that
would help in screening the lot was the existing chain link fence
along University Ave. For the median strip they are proposing between
the service road and University, they are looking at a grass mixture
that would grow higher than the average type of grass. They are also
looking at depressing the firemen's parking lot to a certain extent.
. Mr. Commers asked if the firemen's parking lot could be moved north
of the Fire Station where Mr. Haggerty's office building is now
located.
Mr. Qureshi stated the firemen are very happy with this layout. The
parking lot'has to be very close to the Fire Station entrance, as
every second is critical when there is a fire.
Mr. Clark stated there was also the concern of having people running
across the police emergency lane.
Mr. Prairie asked how many cars would be parked in the firemen's
parking lot on an average day.
Mr. Clark stated that during the day, there are probably less than
six cars in the lot, except when there is a fire.
Mr. Schneider stated that from his point of view, the six cars that
would be there during the day would seem to be a continual visual
distraction. He stated a possible solution would be for the day
Fire Station staff to park elsewhere and use this lot only for the
people responding to a fire call.
Mr. Qureshi stated they could attempt to give alternate space for
those people on duty and restrict this lot to emergency use only.
HOUSING & REDEVELOPMENT AUTHORITY MEETING;'JANUARY 139 1983 PAGE 4
Mr. Skjelbostad reviewed the Site Development Costs for the plaza,
totalling $294,371. Alternates were irrigation, crosswalk pavers,
and parking lot plantings totalling $33,824. Grand total with
alternates was $328,195.
Mr. Qureshi stated that if it is the desire of the HRA and the City
Council to proceed with the total project, he would recommend they
proceed as quickly as possible as the timing and the bidding climate
are very good right now.
Mr. Rasmussen stated he felt it was very important to keep the
momentum going. There is building going on, the plaza is committed,
and he thought the plaza price looked pretty good.
Mr. Comers asked if it was the desire of the City Council to do the
plaza in one lump sum at this time; and if so, would the City Council
be willing to contribute anything to the project?
Mayor Nee stated the City Council members were quite excited about
the plaza. He stated Staff has asked the City Council if they would
be willing to contribute in some way, and he thought the City Council
members were at the meeting to try to work something out if the
proposal was something the HRA was willing to do.
• Mr.Qureshi stated that in a discussion with the City Council, he had
suggested a reasonable approach for the City Council to take. They
are providing a revised parking lot for the fire services, and there
might be some justification for the City to take the responsibility
of redoing the firemen's parking lot and also provide for some of the
cost of the signage. Also, because it is kind of joint effort in that
the HRA is providing the parking, landscaping and plaza area, the City
could provide for the maintenance of these facilities. He stated the
total the City would be contributing would be around $30,000.
Mr. Qureshi stated they feel they will also be 6edoing 5th St. to
handle the traffic, and the improvement and upgrading of 5th St. would
also be a contribution by the City.
MOTION BY MR. RASMUSSEN, SECONDED BY MR. PRAIRIE, TO APPROVE
RESOLUTION NO. HRA 1 -1983, "A RESOLUTION APPROVING THE PLANNED LAYOUT
OF PROJECT AREA II WITHIN THE CENTER CITY REDEVELOPMENT DISTRICT ".
UPON A VOICE VOTE, ALL VOTING AYE, CHAIRPERSON COMMERS DECLARED THE
MOTION CARRIED UNANIMOUSLY.
MOTION BY MR. RASMUSSEN, SECONDED BY MR. PRIEDITIS, TO APPROVE
RESOLUTION NO. HRA 2 -1983, "A RESOLUTION PETITIONING THE CITY OF
FRIDLEY FOR PARKING LOT AND RELATED LANDSCAPE IMPROVEMENTS FOR
CENTER CITY - FRIDLEY PLAZA OFFICE BUILDING PROJECT ".
UPON A VOICE VOTE, ALL VOTING AYE, CHAIRPERSON COMMERS DECLARED THE
MOTION CARRIED UNANIMOUSLY.
HOUSING & REDEVELOPMENT AUTHORITY MEETING, JANUARY 13, 1983 PAGE 5
MOTION BY MR. PRIEDITIS, SECONDED BY MR. RASMUSSEN, TO APPROVE THE
"AGREEMENT OF COOPERATION BETWEEN THE CITY OF FRIDLEY AND THE
FRIDLEY HOUSING & REDEVELOPMENT AUTHORITY ".
UPON A VOICE VOTE, ALL VOTING AYE, CHAIRPERSON COMMERS DECLARED THE
MOTION CARRIED UNANIMOUSLY.
MOTION BY MS. SVENDSEN, SECONDED BY MR. PRAIRIE, TO APPROVE
RESOLUTION NO. HRA 3- 1983, "A RESOLUTION APPROVING THE FINAL PLAZA
PLAN FOR PHASE II OF THE CENTER CITY DISTRICT AND AUTHORIZING THE
DEVELOPMENT OF CONSTRUCTION PLANS ".
UPON A VOICE VOTE, ALL VOTING AYE, CHAIRPERSON COMMERS DECLARED THE
MOTION CARRIED UNANIMOUSLY.
3. Building Plan Approval - Clinic & Office Building
Mr. Boardman stated that when the HRA had looked at a previous
resolution on construction plans for the medical clinic, they had
requested that Mr. Darrel Clark be in attendance. Based on the
contract documents for both the clinic and the office building, final
plans have to be formally approved by the HRA. He had asked Mr. Clark
to be at this meeting to present those plans to the HRA. Mr. Clark
• would also be happy to answer any questions the HRA members had re-
garding the approval process.
Mr.Boardman stated that regarding the office building, the footings
have been put in and a building permit has been issued up to grade.
Mr. Haggerty has assured him that everything is right on schedule,
and they hope to have the building open by the end of May.
Mr. Clark stated that as far as the medical clinic is concerned, the
plans have all been reviewed by Staff. With regard to the office
building plans, there is some refining being done to the mechanical
and electrical. Those plans have not yet been approved by Staff, but
the structural plans have been approved.
Mr. Prieditis stated that regarding sighage, the HRA has not seen
any proposals for signage, and the only drawing the HRA had seen
was the preliminary drawing. As those plans progress, he would like
to see if these plans are like what they saw in the preliminary
drawings. Essentially, they were talking primarily about aesthetics,
but he would like to make sure the HRA had some comment before the
project goes ahead.
Chairperson Comers declared a 15- minute recess from 9:05 p.m. to
9:20 p.m. in order for the HRA members to look over the building
plans for both the office and the clinic.
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HOUSING & REDEVELOPMENT AUTHORITY'MEETING,'JANUARY 13, 1983 PAGE 6
MOTION BY MR. PRIEDITIS, SECONDED BY MR. PRAIRIE, TO APPROVE
RESOLUTION NO. HRA 4 -1983, "RESOLUTION APPROVING THE CONSTRUCTION
PLANS OF THE MEDICAL CLINIC BUILDING AS SUBMITTED BY COLUMBIA
PARK PROPERTIES ".
UPON A VOICE VOTE, ALL VOTING AYE, CHAIRPERSON COMMERS DECLARED
THE MOTION CARRIED UNANIMOUSLY.
MOTION BY MR. RASMUSSEN, SECONDED BY MR. PRIEDITIS, TO APPROVE
RESOLUTION NO. HRA 5 -1983, "RESOLUTION APPROVING THE CONSTRUCTION
PLANS OF THE FRIDLEY PLAZA OFFICE BUILDING AS SUBMITTED BY THE
FRIDLEY PLAZA OFFICE BUILDING PARTNERSHIP" AND TO AUTHORIZE STAFF
TO ISSUE BUILDING PERMITS BASED ON THE STRUCTURAL AND ARCHITECTURAL
PLANS THE STAFF HAS IN THEIR POSSESSION AT THIS TIME.
UPON A VOICE VOTE, ALL VOTING AYE, CHAIRPERSON COMMERS DECLARED THE
MOTION CARRIED UNANIMOUSLY.
4. Correspondence - Virgil Herrick (Hardel Condemnation)
Mr. Commers stated this is a letter from Mr. Herrick to G. Stanley
Rischard telling Mr. Rischard that the HRA will betaking the
property and making the 75% payment which is apparently required by
law prior to the hearing.
Mr. Boardman stated he had just received a copy of a letter that
day from Mr. Rischard to Mr. Herrick. Mr. Rischard is saying that
Mr. Hardel is in the situation where the HRA is requiring him to move
within 90 days, yet without the full $66,000 they have on the appraised
value, Mr. Hardel will not have the money for a down payment to acquire
another piece of property. Mr. Rischard is requesting the HRA to
give the full appraised value the same as was done on the garage.
Mr. Commers stated he thoyght the law had changed and that on a
quick take, they are required to give the amount of the appraisal.
Mr. Boardman agreed. Mr. Rischard stated in his letter that he felt
the law had changed. In talking with Mr. Herrick, Mr. Boardman stated
Mr. Herrick had no problem with this as Long as there was the same
kind of signed agreement they had with the garage property. The
closing date has been set for around the first of Feb.
Mr. Commers stated that the staff should go ahead. He did not feel
any action was necessary by the HRA and they would pay the full
amount, rather that the 75 %.
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. HOUSING & REDEVELOPMENT AUTHORITY MEETING; JANUARY 13, 1983 PAGE 7
5. Report from Bill Von Klug
Mr. Von Klug stated the HRA members had a copy of an appraisal done
by Patchin Appraisals, Inc., on the immovable fixtures at the Magic
Swirl Beauty Salon. This is actually an acquisition item, rather
than a relocation item.
Mr. Von Klug stated he needed the approval of the HRA in order for
a check to be drawn up in the amount of $10,249 so that when the
Bill of Sale is signed, the check can be issued to Mr. Croaker,
owner of the Magic Swirl Beauty Salon. He stated this amount does
not include relocation. The relocation costs will be about another
$2,500- 3,000.
MOTION BY MR. RASMUSSEN, SECONDED BY MS. SVENDSEN, TO APPROVE THE
ACQUISITION OF THE IMMOVABLE FIXTURES FROM THE MAGIC SWIRL BEAUTY
SALON IN THE AMOUNT OF $10,249.
UPON A VOICE VOTE, ALL VOTING AYE, CHAIRPERSON COMMERS DECLARED THE
MOTION CARRIED UNANIMOUSLY.
II. NORTH AREA DISTRICT
• A. Request for Assistance - Jerry Paschke (Memo #83 -03 from Ex. Director)
Mr. Boardman stated Mr. Paschke was unable to attend the meeting because
of illness in his family. Mr. Boardman stated he has discussed this
briefly with Mr. Paschke, and Mr. Boardman had given the HRA members a
breakdown with a map including potential bonds and the assistance
Mr. Paschke is requesting.
Mr. Boardman stated that on Lots 7 and 8, Block 3, and Lot 8, Block 4,
there are already buildings going up that the HRA will capture increment
from. On Lots 4, 5, and 6, Block 3, Mr. Paschke has applied for a
building permit.: Mr. Paschke is requesting some assistance on that
property from the HRA in the form of fill and for some assessment
assistance.
Mr. Boardman stated Mr. Paschke is also requesting assistance for fill
and assessments on Lot 5, Block 4. From 7911 Ranchers Road, which is
Lot 8, Block 4, they have an estimated tax increment of $9,283 with
a potential bond of $52,072. Mr. Paschke is not requesting assistance on
that piece of property.
Mr. Boardman stated that on 7920 University Ave., which is Lots 7 and 8,
Block 3, the building is almost completed. The tax on that is estimated
at $12,551. Potential bond on that.building would be $72,975. Phase II
of that which would be lots 4, 5, and 6, has a little larger building,
and the proposed bond is about $104,624.
HOUSING & REDEVELOPMENT AUTHORITY MEETING, JANUARY 13;'1983 PAGE 8
Mr. Boardman stated that on Lot 5, Block 4, there are no building plans
at this time; however, in looking at the potential building per land
area, they could have a potential bond of around $91,000.
Mr. Boardman stated he met with Mr. Herrick and Mr. Paschke. If the
HRA approves the assisting of Mr. Paschke, the total assistance cost
would be approximately $110,000. Total bond cost they could generate
from those properties is close to $320,000. If the HRA does want to
assist Mr. Paschke, they would want to ensure they had some assessment
documents on it so they would have a minimum tax off all those properties.
Mr. Herrick, Mr. Paschke, and he would have to sit down and work out those
documents. They would also have to go through one of the contract
documents and pull out those things Mr. Herrick feels are necessary to
protect the HRA.
Mr. Boardman stated that if the HRA feels this is an appropriate way to
go, he would like the HRA to authorize Staff to go ahead and prepare the
documents to bring back to the HRA at their next meeting for approval.
MOTION BY MR. RASMUSSEN, SECONDED BY MS. SVENDSEN, TO AUTHORIZE STAFF
TO GO FORWARD IN PREPARING THE CONTRACT DOCUMENTS WITH REGARD TO THE
ASSISTANCE TO JERRY PASCHKE IN THE NORTH AREA DISTRICT.
UPON A VOICE VOTE, ALL VOTING AYE, CHAIRPERSON COMMERS DECLARED THE
MOTION CARRIED UNANIMOUSLY.
III. MOORE LAKE DISTRICT
A. Development Proposal for Old Central - Dick Mochinski
(Memo #83 -04 from Ex. Director)
Mr. Boardman stated he had expected Mr. Dick Reiersgord, who is repre-
senting Mr. Mochinski, to be at the meeting, but he was not present.
Mr. Boardman stated that in the past, Mr. Mochinski did present a quad
proposal to the HRA. In analyzing all the costs of the project, there
was a shortfall of over $300,000 and therefore it was not a feasible
project because of the low market values that were being suggested.
Since that time, Mr. Mochinski has suggested a revision to go with town-
houses. The way he is proposing it, if they do the total project, there
is still about a $200,000 shortfall.
Mr. Boardman stated he would like to know the feelings of the HRA if
they felt this was a workable project or not. He would like to respond
to Mr. Reiersgord one way or the other.
Mr. Rasmussen stated he felt the HRA had the obligation to take a
better look at the project. This should be done at a public meeting
in which the neighbors would be invited for comment.
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• HOUSING & REDEIIECOPMEN AUTHORITY ;MEETING,'JANUAAY 13y 1983 PAGE 9
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Mr. Commers suggested that before the HRA takes an action on this they
should contact Mr. Mochinski and invite him to a public meeting to make
a presentation on his proposal,
B. Update on Condo Project (Memo #83 -05 from Ex. Director)
Mr. Boardman stated that, as was suggested by the HRA, a meeting was
held on Jan. 4''with the neighborhood. There were 11 residents,
Jim Robinson of the Planning Staff, Councilman Schneider, Mr. Ekberg
and himself at,ithe meeting. He stated Mr. Schneider was very helpful
in trying to reach a compromise. The compromise that was suggested was
moving the towers north of all the single family residents.
Mr. Boardman stated that in a meeting with Mr. Ekberg, they looked at
that change based on the contours and site lines of the units. Mr. Ekberg
said he could not move the towers all the way north of the residential
area, but he could compromise to move it all but one. He is suggesting
taking the Nelsi on's property.
Mr. Boardman stated Mr. Ekberg will be coming in with a new proposal.
He asked if the HRA would prefer that this new proposal be presented to
the neighborhood group before bringing it before the HRA.
The HRA members agreed that the new proposal should be presented to the
neighborhood group, and then the proposal should be presented to the HRA
at a public meeting.
IV. FINANCIAL
A. Financial Report
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Mr. Inman reviewed the financial report with the HRA members
B. Check Register!
MOTION BY MR. R�ASMUSSEN, SECONDED BY MR. PRAIRIE, TO APPROVE THE CHECK
REGISTER DATED 'DEC. 31, 1982, IN THE AMOUNT OF $76,298.95 AND THE CHECK
REGISTER DATED JAN. 12, 1983, IN THE AMOUNT OF $90,086.42.
UPON A VOICE VOITE, ALL VOTING AYE, CHAIRPERSON CORNERS DECLARED THE
MOTION CARRIEDIUNANIMOUSLY.
V. OTHER BUSINESS:
Due to the absence of two of the members for the Feb. 10th meeting, the
meeting date was changed from Feb. l0'to Feb. 17,__19q3.
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• HOUSING & REDEVELOPMENT AUTHORITY MEETING; JANUARY 13; 1983 PAGE 10
ADJOURNMENT:
Chairperson Commers de4lared the January 13, 1983, Housing & Redevelopment
Authority meeting adjourned at 10:30 p.m.
Res ectfully su iLted
t
Lynrt6 Saba
Recording Secretary
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