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HRA 03/11/1993 - 6331HOUSING AND REDEVELOPMENT AUTHORITY MEETING THURSDAY, MARCH 11, 1993 7:30 P.M. WILLIAM BURNS EXECUTIVE DIRECTOR OF HRA CITY OF FRIDLEY A G E N D A HOUSING & REDEVELOPMENT AUTHORITY MEETING THURSDAY, MARCH 11, 1993, 7:30 P.M. Location: Council Chambers Fridley Municipal Center 6431 University Avenue N.E. CALL TO ORDER ROLL CALL APPROVAL OF MINUTES: January 9, 1993, Joint City Council /HRA January 14, 1993 ACTION ITEMS: AWARD BID FOR MAINTENANCE OF 100 TWIN DRIVE -IN SITE . . 1.1 -1.3 CONSIDER REQUEST FOR ADDITIONAL FINANCING FOR FRIDLEY TOWN SQUARE . . . . . . . . . . . 2.1- CLAIMS AND EXPENSES . . . . . . . . . . . . . . . . . . 3.1 -3.7 INFORMATION ITEMS: REVIEW SCREENING PROCESS FOR REHAB LOAN APPLICATIONS . . . . . . . . . . . . . . . . 4.1 -4.10 HOUSING COORDINATOR UPDATE . . . . . . . . . . . . . . 5.1 DISCUSS FUTURE MARKETING ACTIVITIES FOR 100 TWIN DRIVE -IN SITE AND SOUTHWEST QUADRANT . . . . . 6.1 -6.4 RICE PLAZA UPDATE . . . . . . . . . . . . . . . . . . . 7.1 1993 HRA BUDGET . . . . . . . . . . . . . . . . . . . 8.1 1993 HOME PROGRAM . . . . . . . . . . . . . . . . . . . 9.1 -9.15 OTHER BUSINESS K SUMMARY MINUTES OF JANUARY 9, 1993, JOINT CITY COUNCIL /HOUSING & REDEVELOPMENT AUTHORITY MEETING Attending the meeting were Larry Commers, John Meyer, Virginia Schnabel (11:30 a.m.), Jim McFarland, William Nee, Nancy Jorgenson, Dennis Schneider, Steve Billings, William Burns, and Barbara Dacy. 1. Housing Program Overview Barbara Dacy and William Burns presented the overview of the Housing Program elements and reviewed the proposed budget. 2. Single Family Rehabilitation Programs Barbara Dacy reviewed the program details of the Community Development Block Grant (CDBG) Program, the Minnesota Housing Finance Agency (MHFA) Fix -up Fund Program, and the Fannie Mae. and Moderate Income Rehab components of the Low and Moderate Income Program. The City Council and the HRA identified the following issues about the Single Family Rehabilitation Program: A. CDBG (1) Why doesnIt. the Housing Coordinator run. the Community Development Block Grant Program? (2) Does CDBG cover painting? (3) The HRA and the City Council questioned the first -come /first -serve distribution policy. (4) Does our CDBG money supplant existing ACCAP efforts in Fridley? (5) Can we get CDBG money back if we have a revolving loan program? B. MHFA Fix -up Fund (1) The HRA and City Council wanted to enforce a home ownership requirement for gap funding on the MHFA program. (2) There was concern about the use of gap financing to add additional living space instead of code improvements. JOINT CITY COUNCIL/ rt° HOUSING & REDEVELOPMENT AUTHORITY MEETING. JAN. 9. 1993 - PAGE 2 C. Low and Moderate Income Program (1) There was concern expressed over the income limits of up to $76,500. (2) Is the 5% assistance on the Fannie Mae program adequate? (3) Can we prescreen the applications instead of enforcing a first -come /first -serve distribution policy? (4) On the Moderate Income Program, the City Council and HRA expressed the following concerns. a. Income limit of $76,500 is too high. b. Questioned the first -come /first -serve policy. C. Review Implementation steps Barbara Dacy then reviewed the implementation steps necessary to implement the Single Family Rehabilitation Program. They included the following: (1) Hire a housing coordinator. (2) Draft RFP to local banks and Fannie Mae lenders to solicit participation in programs (require MHFA certification as a condition for participation). (3) Select banks and negotiate contracts. (4) Prepare and execute contract with ACCAP for CDBG program. (5) HRA approval of manual and resolution initiating housing programs. The HRA and City Council were in agreement* with implementation steps #2 - #5 and then discussed the issue of hiring a housing coordinator. The HRA and City Council reviewed a proposed job description prepared by Barbara Dacy. The City Council and HRA agreed that an'employee would be hired. The HRA would be responsible for payment of the salary and JOINT CITY COUNCIL/ - HOUSING & REDEVELOPMENT AUTHORITY MEETING, JAN. 9, 1993 - PAGE 3 benefits as part of the administrative budget of the housing program. Further, the HRA and City Council discussed the job responsibilities of the housing coordinator. Because of the extent of the list of responsibilities and because of the time necessary to initiate the proposed programs, it was agreed that the housing coordinator would not administer the CDBG program but would evaluate doing so next year. 3. Rental Rehabilitation Programs Barbara Dacy reviewed the major elements 'of the Rental Rehabilitation Loan Program as proposed by MHFA. The HRA assistance is proposed to pay for the "gap" between the costs of needed improvements in the building and the amount of.the loan for the owner. The HRA and City Council identified the following issues with the Rental Rehab Loan Program: A. Are aesthetic improvements eligible improvements under the program such as painting or siding? Also, are land- scaping and parking lot improvements included? B. Should monies from the scattered.site acquisition budget be used to add on to the monies in the Rental Rehabilitation Loan Program? C. The HRA would consider assisting multiple family owners with application fees if it is determined that the application fees can be returned if the application is not funded. 4. Review single Family Rehab Issues and Achieve Consensus A. The HRA and City Council agreed that ACCAP would administer the CDBG program for the first year. B. The City should not pursue a first - come /first -serve application basis. Instead, the City should develop a program to target rehab monies for specific properties and to prioritize applications that provide for the best return on the investment. C. Staff is to follow up on the other CDBG related questions. JOINT CITY COUNCIL/ HOUSING & REDEVELOPMENT AUTHORITY MEETING JAN. 9, 1993 - PAGE 4 D. Staff is to follow up on the MHFA related Fix -up Fund program questions, but the HRA and City Council did agree to the priority of eligible improvements as distributed in the handout prepared by Barbara Dacy. E. The City Council and HRA determined that the income limits of the single family rehab programs would not exceed $55,000 or 150% of the City of Fridley median income. F. The 5% assistance on the Fannie Mae program would be implemented and then reviewed after six months of experience. G. The Moderate Income Rehab Only project would not be funded and would remain in name only. The program would be re- evaluated after six months of experience. H. Authorization was given to hire a housing coordinator. 5. Review Multiple Family Rehab Issues and Achieve Consensus A. It -was determined that the. proposed budget for rental rehab was adequate. B. The scattered site acquisition budget, as well as all allocations, will be evaluated after the first six months of experience. C. Staff was to follow up on eligible improvements questions for rental properties. 6. Review Proposal on Rental Licensing Inspection Program and Achieve Consensus Barbara Dacy presented the following proposal on the Rental Inspection Program: A. The housing coordinator would develop a strategy for rental inspection program-with the following parameters: (1) Inspections to be completed by a contract inspector. (2) Clerical work to be completed by part -time contract employee. (3) Cost not to exceed $55,000. (4) Inspect up to 1,000 units per year. JOINT CITY COUNCIL/ HOUSING &_REDEVELOPMENT AUTHORITY MEETING JAN. 9, 1993 - PAGE 5 B. Housing coordinator will prepare ordinance amendments to: (1) Raise rental licensing fees to cover contract employee costs and costs for repeat inspections. - (2) Amend Chapter 220 to adopt HUD Housing Quality Standards or other requirements. The HRA and City Council agreed to the housing coordinator preparing a strategy on the rental inspection program as presented, by Barbara Dacy. Stressed, however, was the necessity to amend the Rental Licensing ordinance to adopt code standards that would improve the appearance and the livability of the units. Barbara Dacy suggested that other communities' ordinances be reviewed, and the best of the ordinances be used to make amendments. Further, she agreed to research whether it would be legal to require owners to mandate draperies or other appropriate window treatments inside the units. Also discussed was the necessity to raise the licensing fees to offset the costs for the inspection program. John.Meyer suggested that the City investigate the alternative of crediting the rental license fee if owners actively use an agency to check potential tenants' credit and rental history. The HRA and City Council directed staff to investigate this issue further. Councilmember Billings also suggested that the City investigate the St. Paul model of certificate of occupancy inspections, as well as the rental licensing fees. 7. Adjourn The meeting was adjourned at 3:00 p.m. CITY OF FRIDLEY HOUSING Sc REDEVELOPMENT AUTHORITY MEETING, JANUARY 14, 1993 CALL TO ORDER: Chairperson Commers called the January 14, 1993, Housing & Redevelopment Authority minutes to order at 7:30 p.m. ROLL CALL: Members Present: Larry Commers, Virginia Schnabel, Jim McFarland Members Absent: Duane Prairie, John Meyer Others Present: Barbara Dacy, Community Development Director Rick Pribyl, Finance Director Craig Ellestad, Accountant Jim Casserly, Consultant Don Fitch, Fridley Dairy Queen Lowell Wagner, 11660 Wayzata Bvld., Minnetonka Jim Hansen, Commercial Sites of Minnesota Ted Krueppus, 6000 Bass Lake Road, Crystal Bob Thein, 1501 North 72nd Avenue Norma Swanson, 361 Rice Creek Terrace APPROVAL OF DECEMBER 10, 1992, HOUSING & REDEVELOPMENT AUTHORITY MINUTES• MOTION by Ms. Schnabel, seconded by Mr. McFarland, to approve the December 10, 1992, Dousing & Redevelopment Authority minutes as written. UPON A VOICE VOTE, ALL VOTING AYE, CHAIRPERSON CONNERS DECLARED THE MOTION CARRIED UNANIMOUSLY. 1. CONSIDER CONCEPT APPROVAL OF FRIDLEY TOWN SQUARE DEVELOPMENT: Ms. Dacy stated that she would first like to summarize the history and the changes between the Ericson proposal and the current proposal for this site. Ms. Dacy stated that the original development proposal for the former 10,000 Auto Parts site and the two single family homes which immediately abut the site was originally filed in 1989. Over the course of the past two years, the developer at that time, Scott Ericson, put forward two site plans for Planning Commission and City Council review. The first proposal was for a 28,000 sq. ft. commercial facility, and the second proposal included a Burger King at the west end of the facility with a drive -up window. The City r HOUSING & REDEVELOPMENT AUTHORITY MTG., JANUARY 14, 1993 - PAGW 2- Council approved both site plans with several conditions attached. The HRA received copies of those minutes, and a traffic study was developed. So, all the land use parts of this development have been completed. Ms. Dacy stated that in terms of HRA assistance for the original project, there was no formal action on a development agreement; however, there were several informal discussions about the major items that would be contained in the development agreement. The major features the HRA discussed were the tax increment financing assistance up to $250,000 and an equity participation portion of the agreement. The intent of the equity participation was that the HRA would have the money returned to them based on certain criteria including a length of time between when the property is sold and based on a formula for the rate of return to the development. Ms. Dacy stated Mr. Ericson was unable to obtain financing for his project, so that particular part of the development process has not been completed. Ms. Dacy stated the current proposal is being put forth by Lowell Wagner and 'Don Fitch, former owner of the Dairy Queen property. Mr. Wagner has done a number of commercial developments in the metro area and has worked with Walgreens as part of those developments. Ms. Dacy stated she prepared a comparison sheet between the Ericson proposal and the Wagner /Fitch proposal. In terms of square footage, the building is slightly smaller at 26,150. sq. ft. Instead of the Burger King at the west end of the site, it would be the Dairy Queen with a drive -up window. The size of the Dairy Queen is smaller than the Burger King. There is miscellaneous tenant space of 10,000 sq. ft. as compared to the original 12,000 sq. ft. The building exterior is proposed to be different. Mr. Ericson had proposed a rock -faced block exterior, and Wagner /Fitch are proposing a brick exterior which is consistent with the other materials in the Center City development, as well as a different facade treatment with covered walkway, pillars, and a sign band. Ms. Dacy stated that because of the smaller building size, the necessary parking spaces have been reduced by five spaces, and it also provides more room for setbacks from affected surrounding streets and properties. Also of minor difference is that with the new proposed development, Walgreens would like to have a prescription pick -up window on the east side of the development. Ms. Dacy stated Jim Casserly will discuss two features of the proposed tax increment financing assistance for this project. HOUSING & REDEVELOPMENT AUTHORITY MTG., JANUARY 14, 1993 - _PAGE 3 Mr. Commers asked Mr. Casserly to outline the differences between this proposal and the previous proposals. Mr. Casserly stated there is really only a couple of differences. His letter dated January 7, 1993, described the two issues that are remaining. The first issue is the amount of assistance. The developer is requesting a maximum of $300,000. The HRA had previously looked at $250,000 in the original Ericson proposal, and that was the amount the City Council seemed comfortable with. The current developer has indicated that, at best, this is a difficult project to do, and they may be looking for some assistance above the $250,000. Mr. Casserly stated the second issue is when does the HRA provide that assistance? That issue was not completely resolved in the Ericson proposal, because Mr. Erickson was unable to get his financing put together. In this instance, what the developer is asking for and what the lenders are looking for is to have all the equity contributions up front. In other HRA projects, they have been able to make contributions or provide assistance at various stages of a project. Often it is done when a project is completed and the City has issued a certificate of completion. There is no hard and fast rule, because projects vary. Mr. Casserly stated the only other issue the HRA addressed a couple of months ago was a recapture arrangement where they would recapture a minimum amount. The issue is if they have a minimum recapture, the lenders would consider that essentially a lien or obligation of the property and would reduce the loan amounts accordingly. That issue has not been - worked out. If the HRA gives consensus approval for this project, then staff will work through. those issues. He believed most of the other issues have been resolved,.and the agreement would essentially be the same as that with Scott Ericson on the previous proposal. Ms. Dacy stated the HRA did discuss the recapture and the equity participation on the Ericson proposal. At that time, it was the HRA's direction to continue to pursue it, but there was no real resolution on the issue. So, the two issues the petitioner wants the petitioner to decide tonight are: (1) concept approval for $300,000 versus the $250,000, and (2) when the HRA will give its assistance. J Mr. Commers asked what the Council's issue is with the amount of assistance. Ms. Dacy stated the Council acknowledges that the amount of HRA assistance is the HRA's decision; however,- =,they believe that the previous amount of $250,000 is adequate. Mr. Lowell Wagner stated he is the President of Wagner Corporation. His partner is Don Fitch. He stated Wagner Corporation is a small .. ,... ,...... _x. ..,._ , . HOUSING & REDEVELOPMENT AUTHORITY MTG.. "JANUARY 14, 1993 PAGE 4 real estate developer located in Minnetonka. The company is tenant - oriented rather than site - oriented. Approximately one year ago, Walgreens came to them and said the project was not going forward at this Fridley site and asked Wagner Corporation to take a look at the project. His company.did look at it and, over the last year, they have done several things and talked to many people. They believe the project can be done. Mr. Wagner stated they will be building a 13,000 sq. ft. prototype building for Walgreens. The store is slightly larger than the previous proposal and has a size that now meets the requirements for the American Disabilities Act and gives Walgreens the opportunity to put in all the departments they want. On the design Walgreens needed more room around the building for circulation, and they have removed all parking to the north of the building and made a one - traffic pattern around the building. They pulled in the building slightly on the east /west length of the building. This was done primarily to give them turning room and for the drive -up window for Walgreens. The prescriptions have to be called in ahead of time, and this window will be used only for picking up prescriptions. Mr. Wagner stated that when they changed the dimensions. of the building, it slightly changed their parking layout. As far as the specifications are concerned, their goal now and for the future is to construct all buildings with the main component being brick. That particular segment of the change in specifications has increased their cost from $85,000 to $100,000. He stated they generally agree with the landscaping which was approved for the Ericson proposal. They do have a couple other ideas for changes, but they will only proceed if the neighborhood and the City are in agreement with those changes. Mr. Wagner stated that as far as tenants, Walgreens is committed, at least at staff level. The Dairy Queen will be plus or minus 2,750 sq. ft. in size. They are negotiating with another tenant that would take between 3,800 -5,000 sq. ft. and would be the third major tenant in the building. They are working with two other smaller tenants. Mr. Wagner stated that regarding financing, they have their application in and have a verbal o.k. from the lenders at staff level. The lenders have held up the application until they ascertain that the City is going to back the project. He stated today's financing is very difficult to get, and very few projects are being built today. He stated they need approximately 90% of the center leased and actually signed up before the lenders will release the funds. He stated they still need between 2,300 and 3,500 sq. ft. more leased before they will start the project. Leasing is slow, and he wants the HRA to know that there is a risk factor. R HOUSING A REDEVELOPMENT_ AUTHORITY MTG.. JANUARY 14. 1993 - PAGE 5 Mr. Wagner stated that regarding the redevelopment agreement, they need the funds up front. At this point, they have committed $240,000 of hard cash into the project. They have also committed all their fees and overhead, and they are still in the position where they have to find another $60,000 in order to make the numbers work. They feel they can do that. Some of the guarantees the HRA can look at to assure the City that there is not going to be a problem are: (1) the financing has to be in place; and (2) the amount of leases have to be satisfactory. They will also have their personal guarantees, both from the development group and themselves individually, and the City will have a guaranteed maximum construction contract. Those are all things they expect to see in the redevelopment agreement. Mr. Wagner stated that regarding the question on recapture, a deal killer would be where it actually says it has to be so much within a certain period of time. Their lenders will not allow that to be in the agreement, and it basically amounts to a second mortgage on the property. They have no problem with the concept "to share the wealth ". They believe they can reach an under - standing within the next few weeks with City staff regarding that specific issue. Mr. Wagner stated the $300,000 is not an idle number they have come up with. They have taken a close look at the actual costs for the center which includes the brick and the specifications of Walgreens. The Walgreens store costs substantially more per square foot to build than a typical store. The $300,000 is very important because they are putting a substantial amount of cash into the total project. Mr. Wagner stated it is his understanding that the Council did recommend the $250,000 issue for the Ericson project, but the Council has not had an opportunity to hear this new proposal. Mr. Wagner stated they have been *told that the City is very concerned about signage for this project. He stated they understand that and respect that; however, he wanted the HRA to know that they are having some difficulty with signage for their tenants. He stated this is not the City's problem, but if they lose a tenant over the.signage issue, they might have to ask for a variance. Mr. Commers stated the HRA can make recommendations but has no authority with respect to variances. Mr. Commers stated he believed one of the HRA's concerns with respect to this project was that there was a significant increase in land costs .for, -the Swanson property. Mr. Casserly stated he believed they did feel there was an increase in land costs, but it seemed like it was a little vague as to what some of the previous costs were. � 9 HOUSING & REDEVELOPMENT AUTHORITY MTG., JANUARY 14, 1993'- PAGE 6 Mr. Wagner stated that in Mr. Ericson's original proposal, he had anticipated $815,000 for the three pieces of property. At the present time, they are anticipating their costs are going to be approximately $913,000. They had an opportunity to look at the original agreements on these properties, because they did negotiate with Mr. Ericson for a period of time to attempt to buy his position out. One of the properties is $5,000 higher. They now have two of the three properties under contract. Regarding the third property on the north side, there is the possibility that Mr. Ericson still has some rights in that from the old purchase agreement. Today was the final day to cancel that particular agreement. Ms. Schnabel asked Mr. Wagner how they would use the money they are requesting from the HRA. Mr. Wagner stated it doesn't really matter. The money would be fused into the project when they take down the land, all three parcels. Their first draw from the bank will include a lot of things besides the land costs. All their preliminary costs (land, architectural,' environmental, soil tests, engineering, title policies, etc., all the expenses they normally have before starting construction) will be included in their first draw. These costs are about two- thirds of their soft costs. At that time, they will also have to use the cash that was put into the project as the lenders require that all cash that is required in the project be put up in advance. That also means that they will be putting up their cash with that first draw. Anything that is not covered by the City and by their cash would be a first draw against the construction. Mr. McFarland suggested that the City work with the lenders regarding inspections on the construction and compare it to the allowable draws on the construction loan. Ms. Schnabel asked Mr. Wagner to give some locations of other projects his company has built with Walgreens. Mr. Wagner stated they have done six Walgreens transactions. The closest one to Fridley would be Coon Rapids Square which was built about four years ago and was anchored by Walgreens and Old Country Buffet. Other locations with Walgreens include 3207 East Lake Street, 200 West Lake Street, 2643 Central Avenue, 544 South Snelling. The first Walgreens they built was in the Franklin Shopping Center. Other centers they are involved with that are not anchored by Walgreens is Duckwood Square Center (25,000 sq. "ft °= center) in Eagan anchored by Good Year, a smaller convenience center (Crosstown Square) in Andover, and a center in West St. Paul (23,000 - 24,000 sq. ft.) in RobertfSquare on South Robert. Ms. Schnabel asked if Mr. Wagner has any projected rental rates. : X) i5ih) UJ,'> Ltt) iT'!:` i) i` tJw.... a: 2:: Rw^ wTw`:: w�..: �):h?:tL•tLN!i3LL�:taL.1.�.,.)2 �'w�2+bL 2.;) :RS;).. _`:. . .�:h. ... .. �., ...`...:! tYti. 2Qti< b2h`: 2i:... LR�ti2: 2{ 2. 2Gid;: l�li2i2i2 ,2,:`:`:+:,:wGti;t:..ti:t ..:.::: ..... ..... .. HOUSING A REDEVELOPMENT AUTHORITY MTG., JANUARY 14, 1993 - PAGE 7 Mr. Wagner stated the rental rates will be within a range of $12- 13 per square foot. Ms. Schnabel asked about the timing on this project once construction is started. Mr. Wagner stated that once they begin construction, the timing for construction of the basic center will be about 120 days, depending on weather conditions. Then the tenants have from 30 -60 days to move into the center. Their optimum schedule is as follows: If the HRA approves this development in concept, they would use the next 30 days to work on the actual redevelopment agreement. Within the next two weeks, they would put out a mailing to additional prospective tenants. They hope to have adequate leases committed by February 15 /end of February. From there, it takes about 60 days to finish all the architectural work, environmental work, etc. If everything fits into place, they would probably open the center for business around November 1, 1993. Mr. Don Fitch stated he is strongly looking for a new place to relocate the Dairy Queen. Mr. Wagner approached him and started. discussions after Mr. Ericson's project did not come to fruition. In their discussions, they found that one of the best ways to make the project successful was for him to become a partner; in this case, providing $245,000 in hard cash. He knows little about. development, and he is relying on Mr. Wagner's expertise. He stated he would appreciate any assistance the HRA can provide for this project. Ms. Norma Swanson stated that when Mr. Ericson came to her, the property was under lease to Red Owl. When Mr. Ericson stated he wanted to develop the property, she told him the circumstances of the lease and that it would concern a buyout. She. did not have the property on the market but he could try it. He did that and in the process of doing it, he lost her tenant, Red Owl. At that time, every time his option would run out and he would try to renew it, the price of the property went up. By the last offering, the price Mr. Ericson was offering was about identical to Mr. Wagner's. She stated that because of the problem Mr. Ericson was having trying to obtain financing, she had more confidence in what. Mr. Wagner could do with the property. She stated she has lived in this area for 33 years, and she is very I concerned about.what type of project is built on this property. She wants this development to be something that the City and the people of Fridley can be proud of. She believes Mr. Wagner's proposal with the brick front building will be more appealing to the neighborhood and the City. Mr. Casserly stated this really fits more into the category of a redevelopment project, and the real problem is that the kind of use the site is being used for cannot afford the cost of the site. The HRA's assistance really goes technically into what amounts to OAZ h2. 25i�21: T2Yb2H.:*.�...:fi.:.`1:121..... J$!. `i1.... ... .�..�..... nf.......:4 �7•.2.t:h,.,.:>;`.... . .... •') > !<h1.1 . K t ^ti i ,......♦ .............. �.......w .,. r • `h1 > . h :... D. ..! •Q : *.,+yh h!.• ` 'ti1A<h>�! ` L.7i! hti!G1�!.. .h: w�i7 `.!cL .. `�1w`+. `f7{t•. • t HOUSING & REDEVELOPMENT AUTHORITY MTG., JANUARY 14, 1993.- PAGE S-- a land writedown; but in actuality, it is bringing the site closer to a market value if the site was cleared and ready for development. He did not think the site is worth $900,000 to a developer. The site is worth $600,000- 650,000; but for the kind of use that is being suggested, it is not worth $900,000. That is the crux of the problem. Whether the site is worth that in terms of its value with the existing structures is another issue. Mr. Commers asked the total project cost. Mr. Casserly stated the total project cost is $3 million. Mr. Commers stated there is bound to be a little more risk with the money up front. He is not sure if the dollar amount is a significant- thing. The HRA had set a top on that dollar figure; but it was his understanding that once it exceeded $225,000, then they started talking about participation. He believed the HRA had terms such as the length of time the developer would hold it and other types of terms. In other words, they are giving the incentive based on their analysis of the developer and not someone the developer may sell-the development to within a year or two. Mr. Casserly stated staff did a very rough cash -on -cash return analysis. What probably makes this project work is the strength of the long term tenants, and the rate of return on a project like this from an investment perspective would be less than on a more speculative -type of project. Ms. Schnabel asked Mr. Fitch.what the terms of his lease would be for the Dairy Queen. Mr. Fitch stated they have not totally come to a signed lease agreement, because they are also waiting for HRA action. He and Mr. Wagner have •a tentative signed agreement to be general partners in this project, and he is looking at probably having a ten year lease with a couple of five year renewals. Ms. Dacy stated that if the HRA agrees with this proposal, then the HRA can make a motion to approve in concept the two features and direct staff to take the next step in negotiating the development contract and working out some of the details on these other issues. The HRA's other option is to approve what the developer has proposed. Mr. Commers stated the bigger issue for him is what happens on the back side if they go ahead with this project. That is relatively important in view of the fact that this is not a pay -as- you -go arrangement and the HRA has a little more risk than normal. They had an equity participation type of arrangement with the previous developer. The HRA had discussed this in detail at a previous meeting. t HOUSING & REDEVELOPMENT AUTHORITY MTG*- JA � 14.'1993 - PAGE 9 Mr. Casserly stated Mr. Commers is correct; however, he has two thoughts on that issue: (1) the previous developer did not agree to that; and (2) the previous developer's consultant was sending him options and alternatives to it that he never brought to the HRA because the project was not moving forward. It is a proposal that has merit and there are a lot of ways to design an equity participation arrangement. Most of it comes down to what kind of an assumed rate of return do they allow the developer before they have participation. Mr. Wagner stated that if the concept is approved, they would have an opportunity to discuss and negotiate this and bring back a package to the HRA's next meeting. He is quite confident that they will be able to come up with something that is fair. Mr. Commers stated there is also another issue regarding the Dairy Queen. At the last meeting, Mr. Fitch indicated that as far as the condemnation was concerned, the resolution was tied in with the HRA giving some more money on this side of the project. Mr. Fitch stated that if this project does not happen, he does not know of another site in this franchise area that will allow him'to relocate economically and feasibly. Mr. Wagner has.indicated to him that they strongly need the $300,000 level to make this project successful.. Even at the $300,000.1evel and with the money he and Mr. Wagner-are contributing to the project, they will still need an additional $60,000. Mr. Wagner has assured him that.they will be able to get that $60,000, and he is relying. totally on Mr. Wagner's expertise. Mr. Fitch stated that if the development is approved and they go forward with it, his major concern is that the Dairy Queen goes with the development. From a business perspective, he is going to have to take a hard look at whether he still feels he got a fair and just figure for his land and building. One of the things that would be required that scares him the most is that as a result of locating in the new center, he would need to sign a new franchise agreement to the extent that he would become a full Dairy Queen Brazier. The contract would change a little bit from the economic standpoint that his fees and royalties would go up slightly. Mr. Commers asked if it is possible to make the HRA's assistance somewhat contingent upon the HRA being able to come to a resolution with Mr. Fitch on the other side of this transaction. Mr. Casserly stated, yes, it happens all the time in redevelop -ment projects where an HRA helps in relocating a business. Mr. Fitch stated he is in no position at this time to say that if the HRA votes "yes" on the $300,000 that he will accept the Commissioners' Award and walk away with that. . .. , ....:::>' ...., ,... .. W ... . .... .......•.......:::>: 7.• 2.) i)•? i>. T? 151tiNJi22! 2> b: i2S2it• ZS2i2. ti2ft> 2w: 2< 2. s+ 2: 2•. iD: i2i:< 212lsititiiti2i2f2i.• itif i} 32i2iY+ 2i: Rii2} r' 232Aw• t222itiYi2it± Fi2ib' didi222t 72t?!:.>•" 3.` w' ti.' i2.^+ ti ;s21rii:2: >t2:ti?:Yt: ;`t::tgt:�Ki HOUSING & REDEVELOPMENT AUTHORITY MTG.. JANUARY 14. 1993 - PAGE _-10 Mr. Commers stated the HRA does not expect him to do that. The HRA is just .trying to determine how the amount enters into this decision and whether it should be contingent upon that based on earlier discussions. It is certainly a permissible contingency on the approval of the $300,000. Mr. Commers stated he is a little concerned about the transaction and that it is not the normal way the HRA operates. On the other side, this proposal seems like a reasonable use for the property based on all the attempts that have been made to try to get a development on that property. He is not overly concerned about the $300,000 versus the $250,000; however, he is concerned about why the Council is reluctant about the $300,000. He is inclined to believe that the assistance should be tied to the other condemnation in some way. Mr. Fitch is certainly entitled to get a fair market value for his property; but if the HRA winds up with a legal battle and a lot of legal fees on that side of the transaction, that does influence what the HRA should contribute to the development. Mr. McFarland and Ms. Schnabel agreed with Mr. Commers. Mr. Fitch stated he has one big concern about the HRA having a contingency on this project involving- him. That is not totally fair to Mr. Wagner and the project. Mr. Wagner has indicated to him that-he would still be asking for $300,000; and it has nothing to do with the Dairy Queen being involved in the project. Since he is involved in the development, it does solve his location problem; but, by the same token, the combination of that location and the development of Fridley Town Square development are two separate issues. MOTION by Mr. McFarland, seconded by Ms. Schnabel, to approve in concept the Fridley Town Square project with an incentive of up to $300,000 and offering assistance "up front" as equity, subject to the equity participation details being mutually agreed upon, and contingent upon resolving the condemnation issues with Don Fitch. UPON A VOICE VOTE, ALL VOTING AYE, CHAIRPERSON CONNERS DECLARED THE MOTION CARRIED UNANIMOUSLY. Mr. Commers stated that the HRA is very interested in this project and hopes the developers can put the project together. The HRA would certainly like to see this site redeveloped. It has been sitting empty for a very long time. Mr. Wagner thanked the HRA. He stated this is going to be a partnership, and they want to be very open with the City and the HRA. . , . . , , ... ,., , , , , i i., >, ,., ., , i.r.•,.. , , .. , . , 2.... 2r,,, .,..>s,l_y' .iw�t.2ny.>.3..:.�:i:2iYwa222 ,. i.i ..;..... i:, r§ ds. r. r: rZ 2.):i`�utha.'t2i27E2i1ti2..hr.k HOUSING & REDEVELOPMENT AUTHORITY MTG.. JANUARY 14. 1993 - PAGE 11 2. REQUEST TO REMOVE U.S. WEST OVERHEAD LINES FROM UNIVERSITY AVENUEJMISSISSIPPI STREET AS PART OF THE MISSISSIPPI STREET IMPROVEMENT PROJECT: Ms. Dacy stated this is a carryover from the NSP project to place their overhead lines underground. The Engineering Department has notified her that there are three poles on the west side of University Avenue and north side of Mississippi Street, east of the Holly Center parking lot, that have telephone lines on them. The City has to have a separate contract to install those lines underground. The Engineering Department obtained a cost figure of $5,214.00, and staff is recommending that the HRA authorize staff to execute a contract with U.S. West to have those lines installed underground. She did an analysis on the Mississippi Street improvement budget, and they are well within budget. MOTION by Ms. Schnabel, seconded by Mr. McFarland, to authorize staff to execute a contract with U.S. West to remove the overhead poles on University Avenue.and install them underground. UPON A VOICE VOTE, ALL VOTING AYE, CHAIRPERSON COMMERS DECLARED, THE MOTION CARRIED UNANIMOUSLY. 3. CLAIMS AND EXPENSES: Mr. Pribyl introduced Craig Ellestad who has replaced Paul Hansen. -Mr.. Hansen has been promoted to another position in the Finance Department. He stated he and Mr. Ellestad will share the duties of the Finance Department.at the HRA meetings. a. Check Register (2269 -2282) MOTION by Ms. Schnabel, seconded by Mr. McFarland, to approve the check register dated January 8, 1993. Mr. Commers stated the HRA is incurring a lot of legal fees, and they may need to make an analysis of those fees. Mr. Pribyl stated that a lot of the legal fees were incurred over the last 6 -8 weeks associated with the acquisition of Lake Pointe. He did not believe the HRA will see that level occurring the rest of this year. Mr. Commers stated he agreed; however, he did believe that overall, the legal fees have been higher even without the acquisition of Lake Pointe. He asked staff to get an analysis on the 1992 legal fees. Ms. Dacy stated staff will have the 1993 budget prepared for the next meeting. Staff will make a special note to evaluate the ongoing legal fees. --..< r...._.... ............................... ......v.,.... v.,.,v.. �............, ........... <......<, ,........... JW HOUSING & REDEVELOPMENT AUTHORITY MTG. -, JANUARY 14, 1993 - PAGE 12 UPON A VOICE VOTE# ALL VOTING AYE, CHAIRPERSON CONNERS DECLARED THE MOTION CARRIED UNANIMOUSLY4 4. RICE PLAZA UPDATE; Mr. Conners stated that as they have discussed in the past, it may become a point of economic feasibility to decide what the HRA should do with the Rice Plaza property. Ms. Schnabel noted that the owner of Cinnamon Skin Tan has not paid any rent since August. Does the owner plan to make a lump sum payment in January? Mr. McFarland stated he believed Terrie Mau, the owner of Cinnamon Skin Tan, has sold the business. Ms. Dacy stated that as part of the HRA budget, it might be appropriate to take another look at what should be done with this property. 5. ST. WILLIAMS' SENIOR HOUSING PROJECT UPDATE: Ms. Dacy stated that at this time St. Williams has not requested any tax increment financing assistance. This is a much smaller project than what was previously proposed. 6. LAKE POINTE PROPERTY UPDATE: Mr. Pribyl stated that at this point in time, the City has basically completed the transactions that were originally estimated to be financed by the temporary tax increment bond. They had a settlement on the bond issue itself on December 14, 1992, and on December 15, 1992, they actually wired $4,230,000 to Minnesota Title to complete the transaction. As he has heard, the City now has title to the property. Mr. Pribyl stated City staff has been working with Anoka County to try to reduce the taxable value to a lesser value, thus resulting in a smaller tax payment for the delinquent taxes that were outstanding in 1990, 1991, and 1992. That process basically is still in process. The only thing remaining to be completed in that process is a comment period which the school districts have in regard to the reduction of market value. The school districts get involved any time there is an increase in excess of $10,000 in taxes, and they do have a comment period prior to the final approval of the reduction in value. The payment is required by the County to show good faith in regard to the payment. So, the City is just waiting to hear from the County as to whether that valuation reduction has been completed. Mr. Casserly presented the final official "Statement of Proceedings" to the HRA Chairperson. Fi HOUSING & REDEVELOPMENT AUTHORITY MTG., JANUARY 14, 1993 - PAGE 13 ADJOURNMENT: Chairperson Commers declared the January 14, 1993, Housing and Redevelopment Authority meeting adjourned at 9:35 p.m. Respectfully subi�tted, L Saba Rec ding Secretary i e 1.1 Cbmintinity Development Department HOUSING AND REDEVELOPMENT AUTHORITY City of Fridley DATE: March 4, 1993 [5/ r TO: William Burns, Executive Director of HRA � � FROM: Barbara Dacy, Community Development Director SUBJECT: Receive Bids and Award Contract for Lake Pointe Development Maintenance Project No. 244 Bids were received for the Lake Pointe Development Maintenance Project No. 244 on February 25, 1993, at 10:00 a.m. The low bidder was Jon Isaacson Lawn Care with a bid of $24,173.00. Approximately 11 companies were requested to bid, and six companies responded. The Public Works Department is recommending that the HRA approve the contract and award the bid to Jon Isaacson Lawn Care for $24,173.00. This year's bid is less than the 1992 contract with Innovation Irrigation. Their cost last year was $25,945.00: The Public Works Department has investigated the references of Jon Isaacson Lawn Care and believes this to be a reputable company: The 1992 HRA budget allocated a maximum amount of $30,000.00; the 1993 budget will reflect the approved bid. Recommendation Staff recommends that the HRA award the bid and authorize execution of the contract with Jon Isaacson Lawn Care for a total of amount of $24,173.00 BD:ls M -93 -102 H` an 1.2 MEMORANDUM TO: Barbara Dacy, Community Development Director PW93 -042 FROM: G11✓ Jon Thompson, Construction Inspector DATE: February 25, 1993 SUBJECT: Lake Pointe Development Maintenance Project No. 244 Bids were received for Lake Pointe Development Maintenance Project No. 244 on Thursday, February 25, 1993, at 10:00 am. The low bidder was Jon Isaccson Lawn Care with a bid of $24,173. This included the Base Bid plus Alternates A and B. Attached is a summary sheet showing the plan holders and bid amounts. Please have the HRA approve the contract award to Jon Isaccson Lawn Care for $24,173 at the March 11, 1993 HRA meeting. JT:cz Attachment � 1 _ CIlYOF FMDLEY ti BID FOR PROPOSALS LAKE POINTE MAINTENANCE, PROJECT NO. 244 THURSDAY, FEBRUARY 25, 1993, 10:00 A.M. 1.3 PLANHOLDER BID BOND TOTAL BID COMMENTS Jon Isaccson Lawn Care $24,173 105515 County Rd 116 Rogers, MN 55374 Ives Enterprises $24,440 1333 Osborne Rd Spring Lake Park, MN 55432 Innovative Irrigation $24,944 10006 University Ave NW Coon Rapids, MN 55448 Weber Construction $25,480 11900 Fletcher Ln Rogers, MNs 55374 Arteka - Natural Green $27,950 15195 Martin Dr Eden Prairie, MN 55344 Talberg Lawn & Landscape $34,600 100 Wilshire Dr Minnetonka, MN 55343 B &D Underground, Inc. NO BID 1351 County Rd 83 Maple Plain, MN 55359 Cheml-awn Commercial Services NO BID 1167 E Highway 36 P O Box 9280 Maplewood, MN 55109 -9921 Leier Maintenance Service NO BID 9091 Princeton Rd Woodbury, MN 55125 Peterson Construction NO BID Route 1, Box 27 Erhard, MN 56534 Z's Lawn Maintenance NO BID Box 339 Circle Pines, MN 55014 2.1 Co unity Development De P _. . mdnt MOUSING AND REDEVELOPMENT AUTHORITY City of Fridley TO: Housing and Redevelopment Authority Members r FROM: William W. Burns, Executive Director of HRA� DATE: March 5, 1993 SUBJECT: Fridley Town Square I recently met with Jim Casserly, and he informed me that in conversations with Mr. Don Fitch, he understood Mr. Fitch to request that an additional $35,000 be added to the price that the HRA is going to pay him for the Dairy Queen property. In condemnation proceedings, Mr. Fitch was awarded a total of $165,000 plus moving expenses. This amount was $40,000 greater than our appraisal of the property. At our last meeting, the HRA agreed conceptually with the proposed grant in the amount of $300,000 for the Fridley Town Square Project. This compares to the $250,000 grant the HRA had pledged to the project when it was being developed by Scott Ericson. In addition to raising the grant amount, the HRA also indicated its willingness to agree to less than a minimum equity participation amount at such time as the project is sold. This was done in order to accommodate primary lenders for the project. In my opinion, we have. conceded enough to Mr. Fitch and Mr. Wagner, the developers of the Fridley Town Square Project. Although it is only another $35,000, 1 believe that we have already been more than generous to this project. I recommend that we tell the developers that our current offer is the final offer and that we resist agreeing to the development agreement until such time as Mr. Fitch has withdrawn his appeal of the $165,000 condemnation award. Thank you for your consideration. WWB:rsc L zt Oe»nOONO.l r i 914.9i 9i 1gg 177 ra hl 1 Z I MD.M000-2 Ol M Q 19 N O ¢ i # �M.it+Ja.iMm et I i MME a t fi I I i f t I I I I t i # I � I { I I WWN z 1 i N~ZMHO W ox i i W W >> H H i H CL X Owmww ob- z t I Hz-1 -1 -j t•- a z {i zz�wwaeLx W D[ EEJJ� NWT ¢ a i{ 4c, wi!l�iN -sez A Lit 001SH UUm I W I OOp�pWW�iAtOiiW � A I tYiOGICAA'7¢AA a i I } MI I z `I C •+ i i \ 1 I A tai I t O i # H I 1 a O j "X I M V 0,0 P- m 0. 0.4 W F L)yWTy,, m(m�yym(m�yyrymry��[yyG(wp�rlos�()a. } A U7 i RmcittlNNNt�Itr'i m �I zl Y 1% U •+ = i I 01 I ti it I { t I i I i 3 i 1 A m z I 1 J H i I iC H I I fWi' w U I i NLWUz W1- ILLLX IL IL I f CamILtLzO>- } i W i HHti} -> ¢�i-Nz N i Q 1 :3 -Mm LOU X I z I X Oth?-)-H C m I a I ~ W N � is LL11 f- I of H J¢ a W W z J H A 01 of NAYZNNWAA .+ a I z i icH0Xwwm"a I W i HaZz x x-ia0 0 i- i > I LL LLCM000iLY .t z i t FI 1 M iL I 1 4• O i i \ J i f O O > i I 11 b) 1 L W I I l? i1C i I A 1 i M M M M M M M M M W r o I t 0. 0, 0. 0, 0N Q. 0. 0. 0• a a z I Y W \ \ \ \ \ \ \ \ \ CL 0W W ¢ i NMa d.4 ri.i K.4 won iAi \ \\ \ \\ \\\ XLLi 1 " I �4-fV vrirJNNN 3.1 > W c LL 0 >/ o\ c \ \me \\ u \ \ \ } \\ n C I ix z m z z Qr D Z 7; I tr, i Z La W W @@ )f \ 0 0 Z 'r C w z 0 11, C� z w C-4 P3 « 4-1 10 e 0-- D. 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TO: FRIDLEY H.R.A FROM: CITY OF FRIDLEY RE: BILLING FOR OPERATING EXPENSES FOR JANUARY, 1993 AND JANUARY, 1993 ADMINISTRATIVE EXPENSES AISO, ONE ADDITIONAL ITEM FROM DECEMBER DECEMBER OPERATING EXPENSES: 2nd HALF COPIER ALLOCATION TOTAL EXPENDITURES — DEC ADMINISTRATIVE BILLING: JANUARY ADMINISTRATIVE PERSONAL SERVICES JANUARY ADMINISTRATIVE OVERHEAD TOTAL ADMINISTRATIVE BILLING JANUARY OPERATING EXPENSES: POSTAGE PROPERTY INSURANCE — RICE CREEK TOTAL OPERATING EXPENSES FOR JANUARY. TOTAL EXPENDITURES — JAN 3.3 . 206.92 13,631.00 13,883.25 37.73 4,125.00 4,162.73 TO: FRIDLEY H.R.A FROM: CITY OF FRIDLEY RE: BILLING FOR ADMINISTRATIVE AND OPERATING EXPENSES FEBRUARY 1993 ..... ..} .�.......�. j.. t . � . � . ............................... . ADMINISTRATIVE BILLING: ADMINISTRATIVE PERSONAL SERVICES ADMINISTRATIVE OVERHEAD TOTAL ADMINISTRATIVE BILLING: OPERATING EXPENSES: SIGN LANGUAGE - NAMEPLATE FOR ELLESTAD STAR & TRIB AD- HRA HOUSING COORDINATOR ST. PAUL PP AD -HRA HOUSING COORDINATOR MN NA.H.R.O. AD -HRA HOUSING COORDINATOR KORDIAK - RICE PLAZA, JAN MGMT FEE MINNEGASCO -RICE PLAZA, JAN MINNEGASCO - RICE PLAZA, FEB NSP - RICE PLAZA, JAN NSP - RICE PLAZA, FEB BARNACLE -RICE PLAZA, SNOW PLOWING NSP - LAKE POINTE CITY OF FRIDLEY - RICE PLAZA, WATER & SEWER NORTHSIDE - RICE PLAZA, CLEANING TOTAL OPERATING EXPENSES: TOTAL EXPENDITURES - FEBRUARY 1993 Re: \123DATA \HRA \TIF\93BILLwk1 13,631.00 252.25 13,883.25 34.93 478.50 223.52 20.00 86.47 84.39 72.36 39.56 77.94 660.00 13.89 230.07 35.00 2,056.63 3.4 a� � pMpl O W O O O CL g CL CD z v c rn H W 0 w CL w u W O ce x r (=/3 W J J W H p�p[ �A O a O � 2 0M \� J pN Mg 8 ad pW �7 0 < Z t w 0 0 a_ LU W O F- Wa W Oe Y W z ppO m U 51 LU C wol Ed er I LLr °ooh~ N N N M M M m Z aaaaaawww uuuzzzzoeadof WWW6<6►+►.. .r 000"97 �ZZZ O M O M 0 0 0 0 O :.-OW0000 00 0 0 0 0 0 0 bCO Nl�r-b 00 p0 N O M ``QQ 000000000 0 0p 0p 0O 0 0 0 0 0 C� I I 101 0000 808000000 .- .- �NNN*4VV %0%0%0000 Mml "1 77 - 0 0 0 0 0 0 0 0 0 OOOOOOOOo 000 000 pl p O ' p M p M I O O O NNNNNNI�I�I� M M M M M M M M M MUMSN N N N N N N N N 999Hzo� Ln� as CY cm C9 cca N Ln Go Go 8 J p� a 8 W s W J W < J -j ui r N J ppe� F� -uU-uu 2 ppHm LL1 -1-LL u 0 m m 0 3.5 L � � PI<- M N N ly O C f5 pp a o� z G Ix W W COD U i W W of J m } I H I O 5x 1 O O � i I 9 0 1 �s flM { G W o u M W i O mm U I I I I I 6 I O I 1 1 1 1 1 •• O i IIJZ � l� IM� UM®W dm 61 1 �i 1LLOI 7W o. O pO��pO 1 Z�dYF- m Y�I V1 1 J C!, Q Z Z U S S J 2= m U o M GO �p�p ll MLi oppc ppc U1 N M tx- O co Ln \.M- NN O M 000000 00 0 0 OOo00.pp000 F- W- 000 0 0 0 0 2 0 0< O NNNNNNONNO 01-- NNNNNN`?NN7 %OvvvvOvv MIMMMMI IA V1 1A —MIM1— 0 0 0 0 0 0 0 0 0 0 0000000000 xs�v O Mp Mp Mp Mp Q pM pM pM pM� pO O O o O o O o O �O m m m 01 NNNNNNI-NNN pM�gM pM�pM�pM�ppM��pM�pM�pM�pM� K ap\a K ap\ M M M M M M M M M M O W W vN pv a N O_ G g 0 3'.6 4, `r5 C.% Community Development Department D HOUSING AND REDOPMENT AUTHORITY City of Fridley DATE: March 1, 1993 TO: Rick Pribyl, Finance Director Craig Ellestz(d, Accountant FROM: ✓ B/arbara Dacy, Community Development Director SUBJECT: $15,000 Application Fee to McGlynn Bakeries Please prepare a check in the amount of $15,000 payable to McGlynn Bakeries, Inc. According to a letter dated November 7, 1991, the HRA was to return the $15,000 fee to McGlynn Bakeries upon the City's issuance of the certificate of occupancy for the project. The Building Division completed its review of all the permits for McGlynn Bakeries and issued the certificate of occupancy last week. The HRA Chairperson will be signing the certificate of occupancy as required by the HRA development contract at the March 11, 1993, meeting. Should you have any questions, please feel free to contact me. BD:ls M -93 -94 a° 0 4.1 Corm munity Development Department HOUSING AND REDEVELOPMENT AUTHORITY City of Fridley DATE: March 4, 1993 TO: William Burns, Executive Director of HRA FROM: Barbara Dacy, Community Development Director SUBJECT: Review Screening Process for Rehabilitation Loan Applications At the joint City Council and HRA meeting on January 9, 1993, the City Council and HRA asked staff to develop a screening process instead of the first -come, first -serve application process. We have obtained information from the Minneapolis Community Develop- ment Agency (MCDA) and the City of St. Paul regarding their procedures for screening. We also obtained copies of their forms to use as a guide to develop our application forms. We have developed the attached outline of the procedures that the Housing Coordinator would use. to process applications. We also developed a rating system to score each application. Further, the Code Enforcement Officer and other staff members, through a windshield' survey, developed a list of properties which are experiencing varying levels of deterioration. We then categorized each of those properties into three priorities (see list and definition of each priority). At Thursday's meeting, we would like to review the prescreening process step by step and receive your comments. We intend to review the same process with the City Council on March 15, 1993. BD:ls M -93 -103 t: � 4.2 OUTLINE FOR PRESCREENING REQUIREMENTS FOR HOUSING REHAB PROGRAMS I. Programs are advertised beginning May 1, 1993; applications close by June 30, 1993. II. Applicants complete a two -page form and mail to Housing Coordinator. A. First Page - Rehabrilitation Description 1. Owner(s) name and address 2. Year home was built. 3. Description of proposed work as indicated by checking off specified list of work items (see proposed application) 4. Number of people in household 5. Home occupation conducted on the premises 6. Number of bedrooms 7. Is any portion of the home rented? 8. Is the basement used as a bedroom? 9. Is the property homesteaded? How long. have the property owners lived at that address? 10. Type of dwelling including single family, duplex, tri -plex, or four -plex, detached or attached. 11. Married; divorced; widowed; single;.separated B. Second Page - Financial Information 1.- Owner name and address, spouse if applicable 2. Social security number for each 3. Birth date for each 4. Provide primary sources of income, plus additional sources of income from Social Security, AFDC, etc., and attach copy of most recent pay stubs. Provide annual and monthly amounts. Pte.. ­_� ,. 5. List of debts (credit cards, loans, child care, child support). Provide balance and monthly payments. 4.3 OUTLINE FOR PRESCREENI,NG REQUIREMENTS FOR HOUSINGJREHAB,RROGRAMS PAGE 2 6. Signature to authorize credit check 7. Identify - mortgage holder(s) -and remaining balance and original balance. 8. Attach copy of most recent 1040 or 1040A IRS tax form. III. Rating System A. We have analyzed the rating system to prioritize applications based on: 1. The age of the home; 2. Whether the property is on a "priority list" of properties needing rehabilitation (see attached list of addresses); 3. Whether the proposed work or repair is code related; and 4. The level of the property owner's income (see schedule in C below). B. The Housing Coordinator will use the household income information to sort the applications into program areas: CDBG, HOME, MHFA, and Fannie Mae. Then, each application will be scored using the rating system. Those applications which cannot be funded by the particular program will be shifted to the next available program. Those applications will have to compete with the rest of the applicants. If there is a tie in scores, the earliest date of application will rule. If applications remain unfunded, they can be placed on waiting lists. The first two weeks in July will be used to sort and score the applications. C.. The scoring methodology would be as follows: 1. Age of house Pre -1940 through 1950 - 3 points 1951 - 1970 - 2 points 1971 - 1978 LL u - 1_:point - . _ . -. 7' 4.4. OUTLINE- FOR-PRESCREENING REQUIREMENTS-FOR HOUSING REHAB PROGRAMS PAGE 3 2. Priority list of homes based on staff inspections and records. Level 1 priority - 3 points Level 2 priority - 2 points Level 3 priority - 1 point 3.. The Housing Coordinator will have to evaluate whether the value of the proposed work description provided on the application is predominately code related versus non -code related. If all the work is code related - 3 points If more than 50% of the value - 2 points If less than 50% of the value - 1 point (See attached master list). 4. Household income 0 - $19,000 - 3 points (0 - 50% of median) $19,001 - $39,000 - 2 points (50% of median - median) $39,001 - $55,000 - 1 point (median - $55,000) D. Successful applications are then referred to the bank for further financial review. This would be the case for the MHFA and Fannie Mae programs. Because CDBG and HOME programs are grants and not loans, additional financial review is not necessary. E. At this point, the "pre- screening" process has been completed, and the program implementation begins. IV. After the Housing Coordinator property processes all appli- cations and funding remains available for any of the programs, the application period will be reopened. For example: 05/01/93 - 06/30/93 Review application 07/01/93 - 07/31/93 Process application 08/01/93 - 09/30/93 Reopen application 10/01/93 - 10/31/93 Process application Theoretically, four "windows" of applications could be available. a 4.5 HOUSING "RATINGS" DEFINITION Level 1 Priority - Buildings (homes and garages) with significant structural problems (i.e. sagging roofs, damaged walls, etc.) and /or severe lack of exterior maintenance such as rotted siding or extreme paint deterioration Level 2 Priority - Buildings with conditions clearly extending beyond that of normal maintenance. Examples include some need for roof repair or other structural maintenace (less than Level 1), missing /boarded windows, substantial deterioration of paint or siding, etc. Level 3 Priority - Buildings with lesser "nuisance type" problems such as needed repairs to gutters or garage doors and minor paint or siding deterioration i 4.6 LEVEL 1 PRIORITY * 7345 Central Avenue * 560 Hugo Street * 100 Charles Street * 1632 Rice Creek Road * 8280 East River Road * 4327 Main Street * 513 Fairmont Street * 218 57th Place * 641 Glencoe Street * 1401 73rd Avenue LEVEL 2 PRIORITY * 7699 Bacon Street * 1613 Rice Creek Road * 6342 Baker Avenue * 1021 Rice Creek Terrace * 8295 Broad Avenue * 5800 2nd Street * 6103 East River Road * .5917 2nd Street * 683 Glencoe Street * 4641 2 1/2 Street * 1021 Hackman Circle * 5813 2 1/2 Street * 1090 Hathaway Lane * 5821 2 1/2 Street * 573 Hugo Street * 5825 2 1/2 Street * 725 Kimball Street * 5845 2 1/2 Street * 1100 Lynde Drive * 5849 2 1/2 Street * 1439 Mississippi Street * 5610 5th Street * 31 Osborne Way * 5901 5th Street * 41 Osborne Way * 35 62nd Way * 41 Rice Creek Way * 1380 69th Avenue LEVEL 3 PRIORITY * 7497 Able Street * 5925 Main Street * 6440 Baker Avenue * 620 Mississippi Street * 6830 Brookview Drive * 630 Mississippi Street * 630 Buffalo Street * 5715 Polk Street * 169 Craigbrook Way * 1631 Rice Creek Road * 7029 East River Road * 6301 Van Buren Street * 499 Glencoe Street * 6008 2nd Street * 5850 Hackman Avenue * 110 58th Avenue * 975 Hathaway Lane * 1323 73rd Avenue * 5312 Horizon Drive * 1401 76rd Avenue 4.7 DATE: --March 1-1 1993 - - TO:--- - - Barb- --FROM: -- - - SUBJECT : - Client information -- -for Block- -Grant -- waiting - list . -- - Household --Si2 ­--Address-Range- Age -o-f house Monthly income -- - 3--- 80 -1�0- Char- les -St. 45 - -- -- 2 -. * _51 -80 -5200 - -Lincoln -- - -_ , -_ -- -30 -- - -- -- -1j-850 A0 6 3 : * - 4650 -4660 .2nd - 49- -- 1j+224+;00 5 4. 520 -530 Dover-- - - 43 - 949.00 2 5.* 6015- 6025 5th St. - - -- -35 1,667.00 0,16(VO4 4 -6.-- --4540 -4550 2nd -St -.- -- - 44 - 1,450.00? 17,g00 2 - -- 5840 - 5855 - 2- 1 /2- St-. - - -- -- - 45 --- - - - - -- __ .__.._._400.00 2 4 - -- - -9 : -- 118 - 128-- 63 -1/2 -- Way -- 30--- - - - - -- -- - - -- -600 00 jj 7j2v0 1 - - -- Please note: The -above - four - - (-4) - clients -- with -an -- aster -isk before their - - - - -- address have - already -- been -- contacted - and - -are - -ready --for- the - Block- Grant. - -The- status of eligible -- clients -- could - change -upon income and- -title verification which is not done until -their turn comes up on our waiting list. _ 4.8 MASTER LIST OF HEALTH,_,SAFETY, AND HAZARD ITEMS I. HEALTH A. Condition of bedroom and kitchen • Condition of wall tile • Floor rotting • Linoleum counter around sink deteriorating • Chipped bath and sink surface B. Cross connection in pipe C. Presence of lead -based paint D. Presence of radon E. Presence of asbestos II. MAINTENANCE A. Roof B. Siding C. Wet basements D. Uneven floor? E. Energy- related items? III. SAFETY A. Electrical (Amp service) B. Plumbing (non- vented fixtures) C. Heating systems including furnaces, hot water heaters, space heaters, wood stoves D. Stairways E. Septic tanks and wells F. Rotted windows G. Water heater I 4, 4.9 CITY OF FRIDLEY HOUSING REHABILITATION ASSISTANCE APPLICATION Submit completed applications to: ' Housing Coordinator City of Fridley Municipal Center 6431 University Avenue N.E. Fridley, MN 55432 PART ONE: PROJECT DESCRIPTION Owner(s) Name Address Marital Status: Married Divorced Single Separated Widowed Number of persons In household: How long lived at address: Years Months Dwelling Type: Single family attached Single family dwplems* Duplex Triplex Fourplex Year dwelling built: Is property homesteaded? Yes No Number of Bedrooms: Yes No Is the basement used as a bedroom: Yes No Is any portion of the dwelling rented? Yes No Is a home occupation conduicted from the Yes No Description of Proposed'Work: Check all items which apply Replace furnace — Repair /replace gutters Replace water heater _ Insulation Replace roof Replace siding e_ Upgrade electrical wiring _ Upgrade plumbing _ Repair /replace foundation — Install basement egress window _ Replace windows /doors; energy code Paint structure New Garage New addition Kitchen _ Bathroom _ Bedroom Living space 1 4.10 PART TWO: OWNER FINANCIAL INFORMATION Owner(s) Name Address Date of Birth Month Day Year Social Security Number - - Spouse Name Address Date of Birth Month Day Year Social Security Number - - LIST ALL ASSETS AND SOURCES OF INCOME: _ Place of Employment Phone Name of Supervisor _ Annual Income Net Monthly Income Other Source of Income: Annual Income Annual Income AFCD _ Social Security _ Child Support Monthly Amount Monthly Amount Amount Address Net Monthly Income Net Monthly Income (Attach most recent 1040 or 1040A form) Annual Amount Annual Amount UST ALL DEBTS: _ Mortgages/Loans: Original Balance Remaining Balance Mortgage Holder Balance Payments Loan Company Balance Payments Loan Company . d Credit Cards: Balance Payments Account Number Balance Payments Account Number Balance Payments Account Number _ Child Care: Monthly Annual _ Child Support: Monthly Annual AUTHORIZATION TO COMPLETE CREDIT CHECK: I, hereby authorize the City of Fridley to complete a credit check. Applicant Signature MEMORANDUM 6.1 Municipal Center 6431 University Avenue N.E. Office of the City Manager ,Fridley, MN 55432 ri William W. Burns SOY612) 571 -3450 TO: File . FROM: William W. Burns, City Manager �, � DATE: February 5, 1993 :..1 SUBJECT: Meeting of .February 4, 1993 On Thursday, February 4, 1b93, I met with Mayor Nee, Larry Commers, Jim Casserly, and Barbara Dacy at the Hilton Nletrodome Anchorage Restaurant, from 8:00 a.m. until approximately 10:45 a.m. We began the meeting by discussing the Lake Pointe. site. Jim Casserly pointed out that the conventional approach would be to hire a broker and give the. broker an exclusive listing. A less traditional approach would be to have " the City conduct its own marketing campaign. Under this approach, the City would prepare a brochure and hire a media consultant that would assist with the marketing. He also suggested that_ we meet. with the State and include information from the State in our brochure. By sending out'a brochure nationally, we could gain knowledge about. the potential market that might be available. The Mayor and Larry Commers began discussing the possibility of a hotel on the site. They pointed out that the hotel occupancy rates are much better on the north side of Minneapolis than they are on the south side. I suggested that as we try to market the Lake Pointe site, that perhaps we should begin by targeting the site as a home for corporate office space. The group seemed to agree with this approach. Larry Commers did indicate that it would be a good idea if we could get a single user to develop the whole site. He said we need to figure out three or four levels of value that might be place on the property, and think about the appropriate incentives for each of the levels of value. There was also some discussion on whether or not we would send the marketing information to developers or brokers or to users. It was agreed that we send it to developers, brokers and users. . , • "4;:;:�: , •. •,;,,. :- +.;..•... ,,, �'•c �•.`:+ ti;. � \``.1 •. •1 • 4, tiWi`C•Cti;.,�.�C :•`� •`:;.•.� 1ati• •<•�y.�ti<:•:.•.�.;: ;:;,;,i:;a:. . . �R' vwtii:.•. w.>..::..,.. .,:.•,�2v+::�.`..�.:wti:•:::.:•. ...titi...w.: ,....-•.•: i' vv��~. i•'•~~"~• r2iii�T���~•ti i9 `'v���`�•.�tb��•�:ti•''•.�1u_•. a2`.•. ���. �.'^•.'l t?: i' i.. ��.>::.? acvv` t:..•. �. �ti..•. y�v.: a..•.: 2;..:.. `.:.:,:wa`w•.:.:•t•:h�`.'�.1:►� 6.2 Meeting of February 4, 1993 February 4, 1993 Page Two Barbara Dacy suggested that in working with a marketing consultant, we include the marketing of the Southwest Quadrant. Mayor Nee seemed to think that the Southwest Quadrant and Lake Pointe have different potential users, and that we were probably better off separating the advertising of Lake Pointe from the advertising of the Southwest Quadrant. Larry Commers asked Jim Casserly to check on broker fees. We also talked about meeting with a couple of brokers to get some ideas on how the site might be marketed. Mayor. Nee said to talk to the brokers_ but do not make a commitment to them. Larry Commers indicated that he -did not feel there were many brokers in the Twin Cities that could do a national marketing project. WeAhen discussed who We could get as a media consultant and what would be spent. Mayor Nee. said he °does. -not like what we are doing .with.the current HRA advertising.. He said it Is awfully obscure. He .did indicate that there are mail houses in town that are very good. - He said it could cost us as much at $10,000 to get a -list of names. He suggested -that we prepare a site specific brochure that would include information on .traffic counts -and residual demands. He also said that the marketing. package could contain slip sheets -to allow- for customizing the marketing package to particular users, such - as a- hotel., Larry Commers indicated that he*wanted Mayor Nee to be--very much involved in. preparing the advertising' campaign -or at least in selecting an advertising consultant. Mayor Nee said we need a- presentation that says in three our four - seconds that our site is a unique location. He also suggested that we target magazines, and that this might work better than direct mail to developers or users: Larry Commers suggested that we develop a five or ten minute video tape and a presentation on computer discs. Mayor Nee felt we needed to gather information on hotel occupancy rates. Larry Commers said that there is a man named Horvath who has done this for New Brighton. Jim Casserly indicated that New Brighton has done two or three market studies for hotels in recent years. Barbara Dacy suggested that we put together a team of experts to help us market the Lake Pointe project. The team would include an advertising consultant,; as welt as other individuals vkho ha ua ,F dle on hotel occupancy rates - and - whatever other expertise we identify=as . ... ..... ... ... ............................. .... �.h:......y: a...t,.u�ri>..... e,:vio.a..+i-.�wsvw.�•a.w.«>t`w « i',e:p'i'rv'r'�.:,• ;3 6.4 Meeting of February. 4. 1993 February 4, 1:993 Page Four We discussed having staff put pressure on the property owner, and it was decided that this would be undesirable. We did decide to schedule a meeting With the developers, Lowell Wagner and Don Fitch, and attempt to firmly establish that the City did not consider the real estate problem its problem. We want to put the burden of solving the real estate issue back on the developer. We also want to make it clear that we are not going to proceed with a development agreement with either of the developers until Don Fitch has withdrawn his appeal of our condemnation of the Dairy Queen site. Jim Casserly is planning on meeting with Don Fitch and Lowell Wagner on Wednesday of next week. I will attend and talk t! hem about this. I general, I feel we had a very .productive meeting. WWB:rsc c: Barbara Dacy, Community Development Director 7. Community Development Department D HOUSING AND REDEVELOPMENT AUTHORITY City of Fridley DATE: March 4, 1993 TO: William Burns, Executive Director of HRA A 'v FROM: Barbara Dacy, Community Development Director SUBJECT: Housing Coordinator Update The application process closed on March 1, 1993, for the Housing Coordinator position. We received 77 applications. I am now in the process of reviewing the applications to select an initial list for interviews. We will be developing an interview team consisting of myself; William Burns," City Manager; Sue Irber,. Personnel Technician; and Gene Malis, who is a retired rehabilitation expert and professor. The team will interview the potential candidates and develop questions and exercises for the candidates to complete. We hope to have the interview process completed and a candidate for hiring in place as soon as possible. BD:ls M -93 -104 rn a. Ir F: LL 7.1 r � i 8.1 .Community Developmbnt Department HOUSING AND REDEVELOPMENT AUTHORITY City of Fridley DATE: March 5, 1993 w TO: William Burns, Executive Director of HRA 4 FROM: Barbara Dacy, Community Development Director SUBJECT: 1993 HRA Budget At Thursday's meeting, I would like to present the proposed 1993 budget for the HRA and a 1993 budget for the Housing Program. Hopefully, the detail sheets will be delivered to the HRA members on Monday evening. Additional information will be distributed to the HRA at Thursday's meeting. It is intended that the HRA.discuss and provide direction on the proposed budget, and the budget will be submitted for final approval at the April meeting. Thank you for your patience on this matter. BD:ls M -93 -107 A a° 0 9.1 Community Development Department PLANNING DIVISION City of Fridley DATE: February 19, 1993 TO: William Burns, City Manager, FROM: Barbara Dacy, Community Development Director SUBJECT: .1993 HOME Program Anoka County has access to approximately $310,000 of 1993 HOME funds. About $210,000 is available to Anoka County communities for eligible projects. The attached application requests $70,000 of HOME Funds for a single family rehabilitation program similar to the program available through the Community Development Block Grant funds. Anoka County. advised us that the older communities, Columbia Heights, Fridley, and Anoka, have all recently identified single family rehabilitation programs as a priority in their housing programs. Anoka County suggested that the cities work together to submit an application for HOME funds. I have conferred with the Community Development Directors at Anoka and Columbia Heights and we all agreed that each of us would request $70,000. The HOME program requires a local match of 20% of the HOME allocation. This means that the City or the HRA would, be responsible for up to $14,000. Anoka County is suggesting that the HOME funds be coupled with an MHFA fix -up program and submit the MHFA loan amount as the local match. Anoka County seems to believe that the federal government will accept this approach. The federal government is clear, however, that CDBG funds cannot be used as the local match for a home rehabilitation project. At the joint HRA and City Council meeting on January 9, 1993, $50,000 of the proposed HRA housing budget was not allocated to a specific program. Staff recommends that $14,000 be reserved to serve as the HOME match. If we are able to use MHFA funds as a match, it is likely that the HRA may not incur these expenses. Unfortunately, the Department of Housing & Urban Development does not give communities a substantial amount of time to complete tbsse .:. applications. The County has asked communities to -aubmit­t roy : attached application by February 26, 1993. We have not been able to review this matter with the Housing &Redevelopment Authority formally, but we are doing so on an informal basis. Anoka County � 7 9.2 1993 HOME Program: February 19, 1993 Page 2 suggested that the program requirements of the Community Development Block Grant fund be used as a guide to allocating the HOME monies. This would ease administration and the program would be consistent across the communities. Each community, however, could stipulate where and how the funds could be distributed. Anoka County advises that it� is best to target specific areas in the community. The application indicates that the City is in the process of identifying potential target areas. The City Council and HRA will be reviewing potential target areas and pre- screening processes in the very near future. =- Recommendation Staff recommends that the City Council authorize staff to submit the 1993 HOME program application as attached. BD /dn M -93 -75 9.3 COUNTY OF ANOKA -• Urban Anoka. County Community Development Block Grant GOVERNMENT CENTER 2100 3rd Avenue • Anoka, Minnesota 55303 -2489 • (612) 323 -5709 January 29, 1993 Ms. Barbara Dacy, Planning Coordinator City of Fridley 6431 University Avenue N.E. Fridley, Minnesota 55432 Re: 1993 HOME Program Dear Barbara: Anoka County will have access to approximately $310,000 of 1993 HOME funds to complete housing projects that serve low income people. The. use of those funds is subject to HOME regulations, and the priorities established by the Anoka County Comprehensive Housing Affordability Strategy. If your agency desires to submit an application for those funds, please call Anoka County at 323 -5709 for an application packet. Applications are due Friday, February 26th. I apologize for the short notice but HUD gives HOME recipients only 45 days from the Notice of Fund Availability to the date the applications are due in their office. Hopefully, agencies have been considering potential projects during the six months since our 1992 award, anticipating this annual program. Keep in mind that in any competition resulting from multiple application, agencies that address the County priorities and submit complete applications proposing obviously feasible projects will have an edge. Please call me at 323 -5709 with any questions. JOW:sw Sincerely, k . Wright Community DevelopmentaManager's Affirmative Action / Equal Opportunity Employer i :i:i:atiT:i:.`sa........ . `:>: ••: <:2+.7w >1�:�:�:i2vlii�::.:ititwti ti:�tih'`it.��`�4.i7�`i4i21�`+' �`§+.``. �` �^,. iw�.` �S�Z1�,` �7:.` tii: �. ti: isv: v' iZ:: h: i.' �:>. bYi: w` �i: �. �+: �2i: 1: �Mi: �:::: ti\` iiiia� :v:`.`�v�`V�:�:�ii:••�2�2f f�jbty. '�. 9.4 TO BE SUBMITTED BY APPLICANT HOME Program Project Application Program Year: 1993 1. Proiect Summary. Briefly describe your proposed project Details will be explained elsewhere in this application. HOME funds are requested for implementation of a single family rehabilitation project similar in format to the Community Development Block Grant housing rehabilitation program. Using CDBG program requirements as a guide, rehabilitation deferred grants will be provided to income qualifying house- holds. 2. Proiect Location. Give legal description and street address. Attach a map with the location clearly noted. The City is now in the process of determining potential target areas. Target areas,will comply with income guidelines as established by the HOME rules. 3. Clientele. Total number of Persons or Households Served: X Single Individuals X Small Family - 4 or less X Large Family - 5 or more Please describe any special characteristics of clientele (i.e., persons with mental illness, persons with mental disabilities, persons with physical disabilities, etc.). A1L.:households with qualifying.incomes will be eligible. HOME -1 1/30/91 .. ...... .. .... ......_... ..: ...... ....... _...___.. _.. _, ... ... ......,..,..................,..,...:..::.:..... �• au..,;.: w::...... a..:::.:: 4i: a:: �.. ���.. �..... ���_... �... i. Ki: �.:.:.,.. �ti:.. ws.+..:. v.::: ii2 .�b':V.`QR04:C£+:iJi'twui;;;: 9.5 4. Property Characteristics. Total number of units with bedroom size: _ Single Room or Efficiency _ _2131 _481 3 BR _ Other: Give Description Housing Type: Single family, duplex, fourplex, etc. Single family Total number of buildings. About seven units assuming $10,000 loan /household . Proximity to: Public transportation Shopping Necessary public services 5. Site Control. Summarize here and attach any evidence of ownership or commitment to purchase. Acquisition of property is not necessary. 6. Proiect Sponsorship Attach: See attached a. Description and articles of incorporation of sponsoring agency. b. Resumes of individuals who will be directly responsible for the development and operation of this housing. 7. Financial Data. See attached a. Project Sources and Uses: Submit a detailed statement of anticipated project development costs and sources of funding. Specify the types and amounts of costs intended to be covered by each outside source and the form of assistance requested from HOME. b. -Funding commitments: Attach letters of commitment for any development or operational funding from sources other than HOME. C. Operations Statement: Complete the attached statement for each rental property. 8. Long -Term Affordability. Explain how you will ensure that these units will remain affordable to lower income persons for necessary period (see attached. regulations. for - requirements). By providing deferred grants, the homeowner is encouraged to live in the property as long as possible. The rehabilitation grant is completely deferred after ten years. HOME -1 1/30/91 ' f i 9. Community Support. Attach any documentation of local community support for the project. 10. Impact on or from Other Programs Explain how this project relates to any other services or programs. ® The City is also using its Community Development Block Grant fund allocation for a single family rehabilitation program. The HOME-funds would supplement this effort. 11. Accessibility to Persons with Physical Handicaps Explain provisions for physical accessibility for employees and clients, both currently and prospectively. Please be specific as to various possible disabilities. Municipal Center offices are fully accessible to persons with physical handicaps. These persons will also be eligible to apply if other program requiremefits are met. 12. Contact Person: Name Barbara Dacy Address 6431 University Avenue N.E. Fridley, MN 55432 Telephone (612) 571 -3450 13. Signature of Agency Executive Signature Name Typed title HOME -1 1/30191 a+ r 6. 7. 9.7 A. The By -Laws of the Fridley Housing & Redevelopment Authority are attached. B. The Housing Coordinator, job description attached, will be responsible for administering the program; however, -.- the-City may elect to have the ANoka County Community Action Program administer the program depending on other work assignments. f • A. Project sources: HOME $70,000 HRA match $14,000 $84,000 Project uses: Up to seven deferred grants for single family rehabilitation at $10,000 each. More houses may be eligible depending on the amount of improvements necessary. B. N/A C. N/A 9. In 1991, the City of Fridley conducted a citizen survey. One of the questions asked if the Fridley HRA should do more to provide low interest loans and grants for housing rehabilitation. Of the 1,006 respondents, 49.6% agreed and strongly agreed with a rehabilitation program (survey question attached). u I -L�^nu vt 91416 FRIDLEY HOUSING AND REDEVELOPMENT AUTHORITY FRIDLEY, MINNESOTA 9.8 ARTICLE I: THE AUTHORITY Section 1: Name of the Authority The name of the Authority shall be Fridley Houging _ and Redevelopment Authority, Fridley, Minnesota. Section 2: Powers he Authority shall be a public body corporate and - - -- politic and shall have all the powers necessary or convenient to carry out the purpose of Minnesota Statutes 462.415 to 462.711. r Section 3: Membership The Authority shall consist of five commissioners, who shall be residents of the City of Fridley. Section 4:_ Appointment, Approval ;--.,The Commissioners of the Authority shall be appointed by the Mayor with approval by the City Council of Fridley, Minnesota. Section 5 : Term The Commissioners shall be initially appointed for terms of one, two, three, four and five years respectively.' Thereafter all commissioners shall be appointed for five -year terms. Section 6: Vacancy Each vacancy in an unexpired term shall be filled in the same manner in which the original appointment was made. Section 7: Certificate of Appointment Commissioners shall hold office until their successors have been appointed and qualified. A certificate of appointment of each commissioner shall be filed with the City clerk and a certified copy thereof with the State housing commission. Section 8: Compensation Commissioners shall be entitled to receive necessary expenses, including traveling expences, in the per- formance of their duties. Commissioners may be com- pensated at a rate up to $25.00 per meeting in an = aggregate amount not to exceed $1500.00 per year. 1• ARTICLE II OFFICERS - Section 1: Officers The officers of the Authority shall be a Chairman and a Vice Chairman. Section 2: Chairman The Chairman shall preside at all meetings of the Authority at which he is present. Section 3: Vice Chairman I Secretary_ The Vice Chairman shall perform the duties of the Chairman in his absence or incapacity, and/or pause 9�_ of resignation or death of the Chairman, until a new Chairman is elected. .. Section 4: Terms of Officers All officers of the Authority shall be elected annually by the Authority and shall serve for the term of one year or until their successors are elected and qualified. Section 5: Vacancies Should an office become vacant, the Authority shall elect a successor from its membership at a regular meeting, and such election shall be for the unexpired term of said office. ARTICLE III: STAFF SERVICES Section 1: Executive Director An Executive Director shall be appointed by the Authority, at such compensation, for such term and with such duties as the Authority shall determine by resolution. The Executive Director shall perform, or have performed, such activities as the Authority shall from time to time, reasonably request, including the responsibility for the care.and custody of all funds of the Authority and for the deposit thereof in the name of the Authority in such bank or banks as the Authority from time to time shall designate; for the keeping of regular books of accounts showing receipts and expenditures; for budget and budgeting activities, for keeping the records of the Authority /' the keep- ing of the seal of'the Authority and to accept the service of process upon the Authority. Section 2: Additional Personnel The Authority may from time to time use such personnel and use the services of local puplic bodies as it deems necessary to exercise its powers-, duties and functions as prescribed by law. ARTICLE IV: EXECUTION OF INSTRUMENTS Section 1: Execution of Investments All deeds, contracts, promissory notes, warrants and other instruments including checks issued by the Authority shall be executed by the Executive Director_ohly after authorization of such transaction- s-rbyp.�the.,�,Pnt.i.ty,by resolution or other approved action. -2- ARTICLE V: MEETINGS 9.10 Section 1: Regular Meetings � Regular meetings of the Authority shall be set by the Authority annually and shall remain for that period of time unless changed by majority vote of the Authority at a regular scheduled meeting. ti Section 2: Special Meetings Special meetings of the Authority may be held at any time on at least a 24 -hour written call of the Chair- Pon, or any two members of the Authority. Notice shall be in writing, and state the time, place, and purpose of the meeting, Upon unanimous consent of all members, any of the provisions of this section may be waived. Section 3: Annual Meeting An annual meeting will be held the second Thursday of June at 7:30 p.m. for the purpose of electing officers of the Authority. The date of the annual meeting may be postponed to a date on or before the second Thursday of July upon a majority vote of the Commissioners in office at any time take, at a regular meeting of the Authority. Section 4: Quorum The powers of the.Authority shall be vested in the commissioners thereof in office at any one time; a majority of whom shall constitute a quorum for all purposes, but lessor number may adjourn a meeting from time to time until a quorum is obtained. Section 5: Manner of Voting The Chairman and all commissioners in attendance at every meeting of the Authority shall be entitled to vote. All motions and resolutions shall require an affirmative vote of a majority of the members of the Authority.* A roll call on any question coming before the Authority must be taken up the demand of any one or more of the commissioners. Section 6: Parliamentary Procedures Parliamentary Procedures at meetings of the Authority shall be governed by the last edition of Robert's Rules of Order. ARTICLE VI: FISCAL YEAR Section n 1: Fiscal Year The fiscal year of the Authority shall be from January 1 .w to December 31 of each year. Section 2: Annual- - Report ( The Executive Director shall prepare an annual report to the Authority of Authority activities on or before the last day of February for the proceeding fiscal year. -3- t -1 f! Section 3: Budget The Executive Director shall prepare an annual budgdt:Lt-- for Authority approval prior to December 31 for the next fiscal year. This budget shall layout anticipated revenue and expenditures of the Authority fors'the next fiscal year. ARTICLE VII: AMENDMENTS Section 1: Amendments The By -Laws of the Authority shall be amended only with the approval of at least a majority of the com- missioners in office at that time. Chairman t Vice Chairman z� -4- ZLOF MnD 0 POSITION TITLE: REPORTS TO: POSITION OBJECTIVE: OFFICE OF�THE aw MAN PERSONNEL DMSION- AGER AM 4 (B P P00 FnE) HRA Housing Coordinator Director of Community Development To implement the housing programs of the Fridley Housing and Redevelopment Authority (HRA) . ESSENTIAL JOB FUNCTIONS: 1. Administers the Fridley HRA Housing Rehabilitation program: a. Prepares procedural manuals) on loan and inspectk && processes and requirements. b. Prepares marketing information including press releases, correspondence, articles, and other items. C. Interviews, solicits, and negotiates contracts with program inspectors. d. Reviews rehabilitation application documents prior to distributing to banks or to the Anoka - County Community Action Program. e. Coordinates financial issues with the Finance Department. f. Prepares on -going reports. for the' Housing and Redevelopment Authority. 2. Oversees and administers the rental inspection program. a. Interviews, solicits, and negotiates contracts with rental inspectors. b. Oversees implementation of HTE software system. C. Reviews Chapter 220 of the Fridley City Code regarding rental inspections and recommends revisions and other code improvements. d. Supervises contract inspectors and implements a quality control program where necessary. 3. Administers scattered -site acquisition program. a. Reviews proposed sites with the HRA. b. Negotiates with property owners. AFFIRMATIVE ACTION /EQUAL OPPORTUNITY EMPLOYER c Page 2 .0 112 C. Arranges for demolition, reconstruction, or rehabilitation of the structure. d. Arranges for closing documents and real estate transactions. 4. Prepares grant applications to state and federal agencies.. a. Keeps current with state and federal housing programs. b. Prepares grant applications to state and federal agencies. r C. Meets with state and federal staff when necessary. d. Establishes and maintains working relationships with housing providers, including Anoka County, non - profit housing providers, and other.governmental agencies. 5. Assists the Director of Community Development. and the Executive Director of the HRAIon redevelopment projects which involve housing. 6. Administers housing program budget. 7. Advises HRA on other housing programs and policies which further the goals as identified by the HRA. 8. Establishes evaluation mechanisms of housing programs and monitors housing'prograz impact. 9. Supervises all contract inspectors and the rental inspection clerical staff. 10. Attends HRA meetings as necessary. OTHER JOB FUNCTIONS. 1. Establishes and maintains ongoing work files. 2. Other duties as assigned. MINIMUM_OUALIFICATIONS 1. Bachelor's degree in Planning, Urban and Regional Affairs, Municipal Administration, Housing, Finance or a related field. 2. A minimum of* three- years experience in a housing and redevelopment authority; a local unit of government working directly with local, state, and federal housing programs; a private residential development company; or a financial institution <worki T°direlj th housing programs. Page 3 9.14 DESIRED QUALIFICATIONS - 1. Working knowledge of local, state, and federal building and housing codes and programs. 2. Familiar with building materials and. the components of residential structures. 3. Familiar with cost estimating and specification writing. 4. Familiar with property acquisition and real estate procedures. 5. Oral and written communication skills. 6. Negotiation and mediation skills. 7. Familiar with tax increment-financing- 8. Able to work independently. 9. Knowledge of contracts and contract negotiations. 10. Familiar with grant application techniques and procedures. 11. Familiar with computer software and hardware. COMPENSATION AND BENEFITS: Beginning salary from $35,725 per year depending on qualifications. Benefits include insurance paid for employee by employer (life, health, workers'- compensation and .unemployment compensation); eighteen (18) days of annual leave per year, eleven.(11) holidays per year; and employer's share of payments to Social Security and Public Employees Retirement Association. APPLICATION PROCEDURE: Submit.application letter and resume along with City of Fridley's application form. For application materials contact the City of Fridley, 6431 University Avenue N.E., Fridley, MN 55432 (612) 572- 3504. Applications must be received or postmarked no later than Monday, March 11 1993. January 1993 Women and minorities are encouraged to apply - The Fridley Housing and Redevelopment Authority and the City of Fridley will not-- discriminate against or harass any employee or y r "Tplicant for employment because of race, color, creed, - ligt national origin, sex, disability, age, marital status, or status with regard to public assistance. J �7 i T� al I i l x U oC W y LU OC Ln .A M 1.- - W O. ld of = K � m •-S ac O J s _ N O < V W W • Z � N 2 d O 1•• O d d � O L M /L QQd C E. L a N = M f- ti O C IA L ••- O < L a1 O 7 w o a M � d O) d O f0 C p7 m C O 7 Y O tD S d L m M 7+ _C V � O d � L 1- • • p ! S O N M in v W M y N M �t YO1 O • . N • r � • O C3 CM N N r N • • W • p • OC i S i W OWC N O Yx1 ti� v w N S O v 0 P N N H O .- • • • x _ x do O• M M a N .O m i N i• i O O. •O in •O O• V '. N • Z • . O M N • oC • xx x x x i d i i N O IA O. O A !� N O ax0 m aPD Z i f O •O M N �t N t- N • • O • O r• Mf N pp . x x x x x x s U% • W • N O M O N M •O O N M N M •f1 0 • N • r I • • O O M O M M N I . � • O N I • W .•" 1 • cc I •�.• • x �t ?! i x i oC . M O .- (� .- CIS 9 •O N t� P N . W . ." I dw . S • O N W ~O O v M - • • x x x x x M P V • • O O O O ti O O M M O O Nam .Z.. . H • O. �- . O ti v M N ti M J • W Z • O If1 N r 3 p i i O V1 •x0 P a 03 ti O •O at bt cm • O O• � •O M a0 ~ O N lz N • . O •" M N . • r • W • 0 0 N O N O O O O v 0 N • r • O O O O O O N • U. • O N N �t • W . r- ' . oC . 34 �4 ale oC • �t O O O 0 0 M O O O O N Y1 W • S . Co �A IA M i p i O f� N � cm W N O - •O oW - -1 W N M •O O P o P P O ti fn M ~ O S O It f. N C7 • Z - J • �- p 0 M O co O M O A O P O co m J • M•• J . I!1 • N • J . O •O •O •O m N . S • O � v • W • . • .O O O O -a N Yx1 co !�t O N N •O • < Z . O P M O A M � � _ � O It N 3-C ry W >- . It O N •O N �t O. �•- M •O d •O f0 - 11 . U% O v N (� M V • co O P ." .O M N, co N h N in • •O O O• Go P GGoo .n M s M P co), eJ W • O 00 N O• O •A N Y1 N < • O .- M N a0 9.15 W 3 N W 2 < Z O W dx V W Z < < W N oC \ i t7 W J w in W J u OC Z u W Z ►- O N N OOC oC K Z < < m N O N O Z fA 9.15 r � Community Development Departili6 t HOUSING AND REDEVELOPMENT AUTHORITY City of Fridley DATE: March 4, 1993 TO: William Burns, Executive Director of HRA FROM: Barbara Dacy, Community Development Director SUBJECT: Anoka County Affordable Housing Coalition Tour Anoka County has scheduled. a tour of public purpose housing projects in Anoka County. The tour is set for Tuesday, April 6, 1993 (see attached notice).: If any members of the HRA are willing to attend the tour, they should contact me and I will make reservations for them. The tour starts at 12:00 noon and returns by 4:30 p.m. Also, please let me know if any of the Council members would like to attend. BD:ls M -93 -105 ANOKA COUNTY HOUSING TOUR H This is to notify you that we have scheduled a second tour of the Public Purpose Housing Projects in Anoka County. The County -wide tour is set for Tuesday, April 6, 1993 and will demonstrate the County -wide response to the need for affordable housing. This tour will go from Columbia Heights to East Bethel and from Anoka to Lino Lakes. The bus will leave the Human Service Center at 12 :00 sharp and will return at approximately 4:30 p.m. ACCAP will provide some light refreshments in Room 300 upon our return, as we hope people will spend a few moments talking to other tour participants. Please call either Cherie Hanson at 783 -4711 or Becky Fink at 786 -8334 to reserve a seat on this tour ' Space is limited. E-e 4 � ayNE 5Ot , March 1, 1993 COUNTY O Department of Highways Paul K. Ruud, Highway Engineer 1440 BUNKER LAKE BLVD NW, ANDOVER, MINNESOTA 55304 612 - 754 -3520 City of Fridley 6431 University Avenue NE Fridley, MN. 55432 Attention: Barbara Dacy Community Development Director Regarding: Project No. 02- 606 -08 Dear Barbara: I discussed the reconstruction of Mississippi Street and University Avenue with Forest Lake last Wednesday, and requested an update on their proposed construction schedule. They indicated that they would be able to give me a schedule of their activities early in March. In addition, I have not identified the Chief Inspector for the County on the project and am considering utilizing the service of a consultant to perform this task. In any event, I will be able to address the questions asked in your letter of February 19, 1993 on or about the 15th of March, 1993. At that time I will advise you as to the proposed construction schedule and to the county contact on the project. In the meantime, if you have any questions, please feel free to contact me at your convenience at 754 -3520. on G. Olson, PE )eputy County Engineer - Director of Highways dmh /1FRIDLEY Affirmative Action / Equal Opportunity Employer Arid CINOF FRIDLEY FRIDLEY MUNICIPAL CENTER • 6431 UNIVERSITY AVE. N.E. FRIDLEY, MN 55432 •.(612) 571 -3450 • FAX (612) 571 -1287 February 19, 1993 Jon Olson Anoka County Highway Department 1440 Bunker Lake Boulevard.N.W. Andover, MN 55304 Dear Jon: John Flora advised me that in a pre- construction meeting on. Monday, November 23, 1992, he requested that Forest Lake Contracting inform the City of its proposed construction schedule so that a letter of information can be sent out to the businesses along the Mississippi Street /University Avenue improvement project. Also, at the informational meeting on July 8, 1991, Councilman Billings suggested that the County's chief inspector introduce him /herself to the merchants and residents who would be affected by the project. At that time, you indicated that this would not be a problem. I understand that the project is going to commence on approximately April 15, 1993. I am already receiving questions from the tenants of the Holly Center. Please advise me of your.current plans with Forest Lake Contracting and who the County's chief inspector will be- and some type of indication of a schedule. I will be responsible for notifying the tenants and the residents, so I would like to give them ample time before construction takes place. Should you have any questions, please feel free to contact me at 572 -3590. Sincerely, '`Barbara Dacy, AICP Community Development Director BD /dn C -93 -35 cc: John Flora William Burns Minnesota Real Estate Journal January 49 1993 a tl I. ti w tl Ol C7 m d' 0 m 'O 7 s O ` S •t7 .0 y%. C L =. j3 y C a) t:., X C> _ Z z Z Eaci t 3cuc.= u a)do a�i:�� °,',c -'ce •e•_._ t: o 0 fF p �_ •^ t:,, U'to a) • j td ca •0. U T `� 'y '� 0 d C .> 3d � a) a) a�i o� p 4 C', a =� C T. a u c� a� a� «... chi U i�.p a ?— y_� -a--3 —C ar._.� u�ad w La)..'d h am= y i5.d 0 6 7 E aci v A c o cc L E i�" c ppQ °'� C a) `" 0 = �: _ C y. 7 r0 H N .y E O Q•'La phi: -?nom f`E. R C O •9 G•.y •C C T y �_i tn GL a_ '� y C p E a. ^ tea)= -s WWI vi w %— °°g ='-',s cdOwWyL rL zz o iD •'� �.�'� =•� O K._ ,,.. au. so. a) y•O. O _`, N QJ :d •a. 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Zn O y En 0U _ O W _ u `c a v fl. r3v;cu•- C > q U R. C `u0E'} .O to.- C Q a) .o �3 ._0_ E s c - V. 7 t U Y Ev o�:��c_ o ~ B: C l O Oy.. d y C r. U U� a) y Y A y C C3 O d.0 0 d= ca Ecm� OE U�M to ca �' m r 0 `' toeci U .J.. i%� O O T j L y is •� � •i ac E v'i c c u� ucp,v�a a)>+�uuaiE y 0 U > .s.. U O L •L •C ft 'E CJ E.- a) �'� CD U Kiz L O E =�ao •N V L . va°'ii�o y r I h L b y waTiyy L C u 3 L c c Tom• pp0:. 2� 'v r, o.p—� v c .E a) p C y c u v 0.2 O. > •=J 30 u aci v iCK-2 Baca J C U LJL ! Q Z nJ C C U E C L L 6Q r�5 v 0.•r.c C'� o AEI— > ♦j s 3 U N v �Ub L c 000 is c 3 T j us cli T 3 U > L .�.. b � L y y 'tJ W L � C r CS C d G =• =L L y �0 > s- LU c 1, L tJ > C C�Yij s � L u• 0 11 Community Development Department HOUSING Arm REDEVELOpmmT AUTHORITY City of Fridley DATE: February 24, 1993 r TO: William Burns, Executive Director of HRA FROM: Barbara Dacy, Community Development Director SUBJECT: Attendance at the "Sixth Annual Business After Hours Network" . On February 23, 1993, Bill Hunt and I rented a display table at the "Business After Hours Network ". This event was sponsored-by the Anoka Chamber of Commerce, Fridley Chamber of Commerce, New Brighton Chamber of.Commerce, North Hennepin Chamber of Commerce, and Rogers Chamber of Commerce. Over 300 people were in attendance. It was a very good.opportunity to meet other key business persons in the north. metro area. For example,.I met the President of First Banks in Northtown, Peter A. Batinich. He was very interested in .our housing programs and wanted to meet with the City to determine our goals and needs. He also wanted to provide us with information regarding the bank on Osborne Road. Further, I met a salesperson from the "Idea Group" mailing service business. This would be a potential company to use to develop a mailing list for targeted businesses to market the 100 Twin site. The cost of booth rental was $40. I recommend that we continue to participate in this event. ' The materials we. distributed included the white envelopes with the Vacant Land Inventory, HRA Annual Newsletter from 1992, park and city maps, and other miscellaneous information. we are running low on these packets. They seem to be very popular. I am in the process of making more of these packets for the Commercial and Industrial Exhibition in April at the Minneapolis Convention Center. The North. Metro.Mayors I Association has. rented a booth for the second year in a row at this exhibition. BD:ls M -93 -83 =v Match 'up with : cofte, 7r,35`S�1 argues froyik. Anoka Area Chamber -of Commerce, Anoka County Chamber of Commerce, Fridley Chamber of Commerce,_ New Brighton Chamber of Commerce, North Hennepin Chamber of Commerce, Rogers Chamber of Commerce Tuesday, Feb. 23, 1993, S to 7 per: ` - At the Medtronic Corporate Center in the :atrium 7000 Central Avenue NE. ilrridle.-, MN 55 432 = Casual Setting Hors d'oeuvres. and Door Prizes! Network Techniques .That increase Your Business Contacts Attitude sets the tone. Be friendly, outgoing and approachable. Set c goal for the number o, nev. contorts you want to have by the end of the Rehearse c brief description of your business and Keep your business cords hcr. :— - _ '. ' }!OW Weal, o name tog on your richf showder ,,vita your norne and company. Quickly ccknovvledge your friends and ccquointances and then move on to oecp If meetil,g strangers ;s fiord for you, .? on on something generic to soy, such cs. _ 410vv ,: eople ore here that I don't know.,, —then in- o; uce youfself. s.�i;..^'s :fit °: a� .?.. _...��1 _.; i!� ^, orl.ise t ^u cc!. them. ?!ie nc ..: ..: .. G•coa _.=roid tc shove or. .:._. -. ... tf! sor, erne for c rninut-s. :o::': _. .,gym:._ � •se sc....� - 1`1 1771�5 $5 at tlhe door; $40-8 fciot dlispiay table For wore iirforrncation coutttct your local. Chamber t?f Corurnerce. 3