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HRA 02/03/1994 - 29569CITY OF FRIDLEY -� HOIIBING & REDEVELOPMENT AIITHORITY MEETINa, FEBRIIARY 3, 1994 _____.,________..________..__________.._______________„______.,_____,._ CALL TO ORDER• Chairperson Commers called the February 3, 1994, Housing & Redevelopment Authority minutes to order at 7:30 p.m. ROLL CALL• Members Present: Larry Commers, Virginia Schnabel, Duane Prairie, Jim McFarland Members Absent: John Meyer Others Present: William Burns, Executive Director of HRA Barbara Dacy, Community Development Director Craig Ellestad, Accountant APPROVAL OF JANUARY 6. 1994, HOUSING & REDEVELOPMENT AUTHORITY MINUTES: MOTION by Ms. Schnabel, seconded by Mr. Prairie, to approve the January 6, 1994, Housing & Redevelopment Authority minutes as written. �` IIPON A VOICE VOTE � ALL VOTING AYE � CHAIRPERSON CONII+�ERB DECLARTsD THE MOTION CARRIED IINANIMOIISLY. 1. AWARD BID FOR DEMOLITION OF RICE PLAZA: MOTION by Mr. Prairie, seconded by Ms. Schnabel, to award the bid for the demolition of Rice Plaza to Herbst & Sons, Inc., for $22,000 and authorize the Chairperson and Executive Director to execute the contracts. IIPON A VOICE VOTE, ALL VOTING AYE, CHAIRPER80N COMMERB DECLARED THE MOTION CARRIED IINANIMOIISLY. 2. CLAIMS AND EXPENSES: Mr. Ellestad stated they are now using computerized checks so the check numbers have changed. He added the following check: #25001 for David Fisher, part-time inspector, in the amount of $69.26. He stated the break in numbers was due to a computer error. MOTION by Mr. McFarland, seconded by Mr. Prairie, to approve the check register (checks 25001-25013 and 25029-25041). IIPON A VOICE VOTE� ALL VOTING AYE� CHAIRPER80N COMMERB DECLARED THE MOTION CARRIED IINANIMOIISLY. �� HOIIBINa � REDEVELOPMENT AIITHORITY Nt'I'a.. FBBRIIARY 3, 199� - PAGE 2 �"\ 3. LAKE POINTE MARKETING UPDATE: Ms. Dacy stated that Merrill Busch is preparing a draft of the direct mail brochure and is designing two 50 square foot signs. She will keep the HRA members apprised of the progress on the marketing effort. 4. UPDATE ON MEETINGS WITH HOUSING DEVELOPERS:_ Ms. Dacy stated staff is beginning its research on the redevelopment of the southwest quadrant by talking to professionals in the housing industry about the site and the current shape of the housing market. So far, staff has met with two interested parties and will be meeting with Larry Laukka of Laukka Development on February 22 to determine his interest in the property. Concurrent with these meetings, Mr. Burns has asked her and Jim Casserly to prepare an analysis of some of the economic and subsidy implications of the different types of development patterns. They will also look at the HRA's costs and possible tax increment. Ms. Dacy stated she may have more information for the HRA at its next meeting. Mr. Burns stated he has put together a very preliminary RFP for the southwest quadrant. He has asked Ms. Dacy and Mr. Casserly to � evaluate it. It is a starting point. 5. POTENTIAL TIF REOUEST BY SCOTT LUND: Ms. Dacy stated that Scott Lund has submitted a rezoning and plat application for construction of a building on the property owned by Royal Electric and a portion of A1 Schrader's property (Highway 65 and 73 1/2 Avenue behind Rapid Oil). Mr. Lund has stated that he may also apply for soil correction assistance, but staff has not received an application at this time. Mr. Commers asked staff to research and provide to the HRA information on what other developments have been proposed for this piece of property, and what problems, if any, there are on the property. 6. STATUS OF DAIRY OUEEN ACQUISITION: Ms. Dacy stated that staff has been advised by Darrell Jensen that the scheduling order previously approved by the court to resolve the Fitch condemnation is to expire. She believed the Notice of Motion and action by the Court at the end of February 1994 is to confirm the HRA's position in terms of the original amount awarded to Fitch. Mr. Jensen is saying there is no claim for additional compensation for a"going concern". Neither Mr. Jensen or City staff has heard from Mr. Fitch or his attorney. No action is ;_� needed by the HRA at this time. HOIISINa & REDEVSLOPMENT AIITHORITY MTa., FEBRIIARY 3. 1994 - PAaE 3 /-1 7. UPDATE ON iJORWOOD SOUARE : � �"� Ms. Dacy stated this is for the i�2A's information regarding the KARE TV, Channel 11, news segment about one of Westminster's projects in St. Paul. St. William's Church has reviewed all the information and still plans to proceed with Westminster's project. She stated she spoke to Mr. Thomas Feeney from HUD. Mr. Feeney said they are not investigating or doing a special audit, but are going through their procedures if a tenant requests additional information. Mr. Feeney assured her that Westminster is a reputable company and that the issues concerning the pro j ect in St . Paul should not affect the Fridley project. Ms. Dacy stated Mr. Casserly is preparing the development contract which will be on the i�2A's March agenda. 8. OTHER BUSINESS: a. Establish Guidelines for Property Acquisition under Scattered Site Acquisition Program Ms. Dacy reviewed five potential properties for acquisition under the program. The HRA concurred that staff is to approach these owners to determine their willingness in a volunteer sale. Staff will report back to the HRA about the progress of this program. b. Onan Mr. Burns stated that Onan has been in contact with City staff regarding a$13 million investment in their current plant. A meeting is scheduled to discuss this with Onan in the coming week. ADJOURNMENT• MOTION by Ms. Schnabel, seconded by Mr. Prairie, to adjourn the meeting. Upon a voice vote, all voting aye, Chairperson Commers declared the motion carried and the February 3, 1994, Housing & Redevelopment Authority meeting adjourned at 7:55 p.m. Respectfully bmitted, Ly Saba Rec ding Secretary