HRA 11/01/2012
CITY OF FRIDLEY
HOUSING AND REDEVELOPMENT AUTHORITY COMMISSION
November 1, 2012
CALL TO ORDER:
Chairperson Pro Tem Gabel
called the HRA Meeting to order at 7:05 p.m.
ROLL CALL:
MEMBERS PRESENT:
William Holm
Pat Gabel
Steven Eggert
MEMBERS ABSENT:
Larry Commers
OTHERS PRESENT:
Paul Bolin, HRA Assistant Executive Director
William Burns, City Manager
Jim Casserly, Development Consultant
Darin Nelson, Finance Director/Treasurer
Becky Kiernan, Accountant
ACTION ITEMS:
1.Approval of Expenditures
MOTION
by Commissioner Holm to approve the expenditures. Seconded by Commissioner
Eggert.
UPON VOICE VOTE, ALL VOTING AYE, CHAIRPERSON PRO TEM GABEL
DECLARED THE MOTION CARRIED UNANIMOUSLY
2.Approval of October 4, 2012 Meeting Minutes
MOTION
by Commissioner Eggert to approve the minutes as presented. Seconded by
Commissioner Holm.
UPON VOICE VOTE, ALL VOTING AYE, CHAIRPERSON PRO TEM GABEL
DECLARED THE MOTION CARRIED UNANIMOUSLY
3.Approval of Home and Garden Show Administrative Contract
Paul Bolin,
HRA Assistant Executive Director, stated that Fridley has been the fiscal agent
for the Home & Garden Show for 15 years. (Blaine and Mounds View) Revenues from the
booth rental cover all expenses for the show. Since 2005, the Home and Garden Show has
contracted with Marsha Wagner from Castle Visions to perform all administrative tasks for
Housing and Redevelopment Authority Meeting of November 1, 2012 2
the show. Her work has been excellent and much appreciated by all. Staff recommends
approval of the contract authorizing Castle Visions to perform the administrative work for
the 2013 Home and Garden Show.
Chairperson Pro Tem Gabel
asked what the date was for the 2013 show.
rd
Mr. Bolin
answered February 23 from 9-3 at the Schwan’s Center new exhibition hall
which will be great for a show like this. In the past, vendors were in three different areas and
now they will all be in one large area allowing larger booth space for the vendors too.
Commissioner Eggert
recalled that the event had a good turnout last year.
Mr. Bolin
agreed it was a good turnout. Attendance is really weather dependent; better
weather equals a better turnout. A few years ago we had bad weather and attendance was
down quite a bit. Staff is excited to move to the new expo center.
Commissioner Eggert
asked how the event is advertised to residents.
Mr. Bolin
replied that it is on the City Website, City Newsletter, and advertised in the Sun
Focus, Blaine Shopper, Mounds View paper and the Star and Tribune; plus Clear Channel
donates billboard space to promote this event.
Chairperson Pro Tem Gabel
asked where the billboard was located.
Mr. Bolin
replied that it varies from year to year and he was not sure this year where it will
be located. Usually it is somewhere along Highway 694 within Fridley, one on Highway 35
next to Mounds View and on Highway 10.
Chairperson Pro Tem Gabel
stated that HRA is front ending the cost but will be
reimbursed as the event pays for itself.
Mr. Bolin
answered yes, that is correct.
MOTION
by Commissioner Eggert to approve the Home and Garden Show Administrative
Contract. Seconded by Commissioner Holm.
UPON VOICE VOTE, ALL VOTING AYE, CHAIRPERSON PRO TEM GABEL
DECLARED THE MOTION CARRIED UNANIMOUSLY
4.Approval of Resolution Adopting Addition of Phase VIII to HRP District #1
Paul Bolin,
HRA Assistant Executive Director, stated that in December 2010, the Authority
approved an amended and restated plan for the Housing Replacement Program (HRP).
Parcels can be added by HRA Resolution, provided the parcels meet required criteria. Once
homes are in the program and a new home is constructed, the Authority is able to collect
increment for 15 years on improvements.
Housing and Redevelopment Authority Meeting of November 1, 2012 3
Mr. Bolin
stated that Staff recommends approval of Phase VIII of the Housing Replacement
Program for the homes located at 5909 Main Street, 561 Ironton Street and 587 Ironton
Street.
Commissioner Holm
assumed all three parcels were candidates for demolition.
Mr. Bolin
answered yes. The environmental work has been done and reports have been
received. Staff is also working with the Engineering Department to put bid packets together
in order to solicit bids to demolish these homes. The bids will be on the agenda for the
December meeting.
MOTION
by Commissioner Eggert to approve the Resolution Adopting Addition of Phase
VIII to HRP District #1. Seconded by Commissioner Holm.
UPON VOICE VOTE, ALL VOTING AYE, CHAIRPERSON PRO TEM GABEL
DECLARED THE MOTION CARRIED UNANIMOUSLY
INFORMATIONAL ITEMS:
1.Housing Replacement Program Update
Paul Bolin,
HRA Assistant Executive Director, stated that the new construction continues to
move along. Novak Fleck has received the occupancy certificate and closes on Monday.
The home at 465 Mississippi Street is sold and coming along well. Boulder Construction is
building a second home as part of the HRP Program and they are scheduled to close on the
home at 381 Ironton Street.
Mr. Bolin
said that at the September meeting the Authority approved the sale of the lot to
Home Detail at 5745 Third Street. The buyer has the financing together and is closing on the
lot Monday morning. They expect to start construction by November 15 which is the sixth
home since June that has been built in Fridley because of this program. The builders are
asking staff to find more lots for them to build on and we are looking.
Mr. Bolin
stated that this week there was nothing on the market under $100,000. Last week
staff made two offers; one on Lyric Lane they were asking $82,000 and staff made a lower
th
offer lower and we were not successful. The other offer was for the home on 66 Avenue
and we were not successful on that bid either. What staff has seen happen is that investors
are making blind bids on properties and once the investors look at the home they don’t
complete the purchase. There is a chance we may still end up with one of these two
properties if they come up on the market again. They are both excellent candidates for this
program.
Mr. Bolin
said that the property on 2 ½ Street that was split into two buildable lots was
approved by Planning Commission and goes to City Council Monday night.
Housing and Redevelopment Authority Meeting of November 1, 2012 4
Chairperson Pro Tem Gabel
was glad construction is starting to happen on Third Street.
The Mississippi home is coming along well. She asked if home prices were still “in the ball
park” for staff to purchase properties.
Mr. Bolin
answered yes; we don’t want to overpay nor take something off the market that
the private market could fix up. Staff are truly looking for homes that should be torn down
and demolished.
rd
Commissioner Holm
asked if the home at 5745 3 Street was part of Gateway West.
Mr. Bolin
answered yes.
Commissioner Holm
asked if HRA still had several lots for sale.
Mr. Bolin
answered yes, HRA has eight lots for sale.
Commissioner Holm
asked if the home on Main Street was owned by a Government
agency.
Mr. Bolin
replied that was a Freddy Mac property; our offer was rejected and an investors
offer was accepted. Once the investor looked at the property they didn’t want it and it came
back to us.
Chairperson Pro Tem Gabel
asked if staff looks at the homes before they make an offer.
Mr. Bolin
answered yes; some homes are not good candidates for this program because they
are in too good of shape.
Commissioner Holm
asked if staff has seen any homes that would qualify for the
rehabilitation program like the home that was completed on Mississippi.
Mr. Bolin
said that he has not seen anything that would be a good candidate for the Home
Improvement Demonstration Program. The Housing Replacement Program gives staff the
flexibility to also buy and rehab homes to be put back on the market.
2.Housing Loan Program Update
Paul Bolin,
HRA Assistant Executive Director, reported that in October two RLF loans were
closed making a total of 11 loans year to date. There was one Remodeling Advisor Visit for
a total of 20 year to date.
Housing and Redevelopment Authority Meeting of November 1, 2012 5
NON AGENDA UPDATE:
William Burns, City Manager, stated that an article in the May newsletter reported home
values in Fridley was behind 41%; now Fridley is at 55.6% in sales. Fridley is still moving
slow as far as increased values but we are starting to see them increase a bit and are going in
the right direction.
ADJOURNMENT:
MOTION by Commissioner Eggert to Adjourn. Seconded by Commissioner Holm.
UPON VOICE VOTE, ALL VOTING AYE, CHAIRPERSON PRO TEM GABEL
DECLARED THE MOTION CARRIED AND THE MEETING ADJOURNED AT
7:32 P.M.
Respectfully Submitted,
/6,/,-„ Mt914641-1AQ 74
Krista Monsrud
Recording Secretary
CITY OF FRIDLEY
SIGN-IN SHEET
HOUSING & REDEVELOPMENT AUTHORITY MEETING
Nloufe,rIIi'' I)
Name and Address Agenda Item of Interest