HRAM 04/03/2014
CITY OF FRIDLEY
HOUSING AND REDEVELOPMENT AUTHORITY COMMISSION
April 3, 2014
CALL TO ORDER:
Chairperson Commers
called the HRA Meeting to order at 7:04 p.m.
ROLL CALL:
MEMBERS PRESENT:
Larry Commers
William Holm
Pat Gabel
Stephen Eggert
Gordon Backlund
OTHERS PRESENT:
Paul Bolin, HRA Assistant Executive Director
Darin Nelson, Finance Director
Jim Casserly, Development Consultant
Vickie Loher, Development Consultant
ACTION ITEMS:
1.Approval of Expenditures
None presented
2.Approval of February 6, 2014 Meeting Minutes
MOTION
by Commissioner Gabel to approve the February 6, 2014 Meeting Minutes.
Seconded by Commissioner Backlund.
Commissioner Gabel noted on page two, second paragraph from the bottom should read “Mr.
last
Hickok stated that over the few months…”
MOTION
by Commissioner Holm to approve the minutes as amended. Seconded by
Commissioner Backlund.
UPON A VOICE VOTE, ALL VOTING AYE, CHAIRPERSON COMMERS
DECLARED THE MINUTES APPROVED AS AMENDED
3.Public Hearing and Authorization of Sale of 587 Ironton Street NE
MOTION
by Commissioner Backlund to open the public hearing. Seconded by
Commissioner Gabel.
Housing and Redevelopment Authority Meeting of April 3, 2014 2
UPON A VOICE VOTE, ALL VOTING AYE, CHAIRPERSON COMMERS
DECLARED THE MOTION CARRIED AND THE PUBLIC HEARING OPENED AT
7:06 P.M.
Paul Bolin,
HRA Assistant Executive Director, stated that Prestige Custom Homes of Blaine
have submitted a lot reservation agreement to build a new home on the lot located at 587
Ironton Street. This home will be custom designed to fit on this 50’ wide lot. Prestige
Customer Homes, Inc. has over 40 years of experience in constructing homes. Prestige
builds everything from small starter homes to large executive homes. The builder has also
done a number of remodel projects in conjunction with the Twin Cities Community Land
Bank.
Mr. Bolin
stated that Prestige plans to build a two-level home with approximately 1,144
square feet of living area. The home will have two finished bedrooms and two finished
bathrooms with room for an additional bedroom on the lower level. The exterior of the home
will utilize a blend of maintenance free materials and will incorporate shakes and stone on
the front of the home. This home meets the design requirements of the Housing Replacement
Program, while fitting on a smaller 50’ wide lot. Staff recommends approval of the
resolution, authorizing the sale of the lot to Prestige Custom Homes for $27,000.
Commissioner Gabel
asked what the approximate selling price would be of the home.
Mr. Bolin
replied that the values have gone up recently and the price will be in the
$160,000-$175,000 range.
Commissioner Holm
asked how deep the lot was.
Mr. Bolin
replied 110’ deep.
MOTION
by Commissioner Backlund to close the public hearing. Seconded by
Commissioner Eggert.
UPON A VOICE VOTE, ALL VOTING AYE, CHAIRPERSON COMMERS
DECLARED THE MOTION CARRIED AND THE PUBLIC CLOSED AT 7:11 p.m.
MOTION
by Commissioner Gabel to authorize the sale of 587 Ironton Street NE to Prestige
Custom Homes in the amount of $27,000. Seconded by Commissioner Backlund.
UPON A VOICE VOTE, ALL VOTING AYE, CHAIRPERSON COMMERS
DECLARED THE MOTION CARRIED UNANIMOUSLY
4.Approval to Offer Home Energy Squad Program (CEE)
Paul Bolin,
HRA Assistant Executive Director, stated that at the last meeting Center for
Energy and Environment (CEE) provided information on the new “Home Energy Squad”
program. The new program is an improved version of the “Operation Insulation” program
Housing and Redevelopment Authority Meeting of April 3, 2014 3
that the HRA and CEE offered some time ago. Stacy Boots-Camp is here to talk about that
program.
Stacy Boots-Camp
, CEE, stated that she was here in February and touched briefly on the
Home Energy Squad enhanced program. CEE is able to deliver this program at an affordable
cost to residents. The cost is only $50 to the homeowner and the HRA pays $70 for each
home visit.
Commissioner Gabel
asked if someone can just call for names of contractors or if they have
to go through the process before contractors names are shared.
Ms. Boots-Camp
said that the contractor names are only given out to people in partner
cities.
Commissioner Holm
was impressed with how thorough the system is; from when the initial
visit happens to when the team comes into the home with upgrades to be installed. The
homeowner will save $100 or more per year, in utility bills, which will offset the cost of the
visit.
Ms. Boots-Camp
replied that the low end of savings is $81 per household and the high end
is $121 per household. This savings is due to installation of upgrades such as door weather
stripping, water heater blanket, programmable thermostats and compact fluorescent light
bulbs.
Chairperson Commers
asked if this was all installed at no cost to homeowner.
Ms. Boots-Camp
replied that the homeowner would pay $50 for the visit, but the upgrades
are included in that fee.
Commissioner Eggert
asked if this also involved an attic insulation inspection.
Ms. Boots-Camp
replied that they do an inspection of insulation if the home is older than
1970. They don’t install insulation but would connect the homeowner with a contractor, if
interested. They would also give the homeowner a ball park estimate as to what it would
cost to add additional insulation.
Commissioner Backlund
asked if they use a blower to cut off the air intake coming in to
offset the oxygen used by the furnace and water heater; otherwise the air goes to the vent.
Ms. Boots-Camp
replied that they use a combustion air tube and that air intake should be
part of every household and is taken into account as a design of the formula.
Commissioner Backlund
didn’t think it made sense that it only cost $50 from the
homeowner and $70 from the HRA for this large expense.
Housing and Redevelopment Authority Meeting of April 3, 2014 4
Ms. Boots-Camp
said that it is a big expense but the program is highly subsidized by Xcel
and Center Point and is one way to re-coup the saving of energy.
Commissioner Backlund
asked if they do infrared heat loss.
Ms. Boots-Camp
replied no.
Commissioner Eggert
asked if they install LED lights.
Ms. Boots-Camp
replied that they sell them but this program doesn’t pay for them.
MOTION
by Commissioner Holm to approve to offer the Home Energy Squad to residents
through CEE. Seconded by Commissioner Gabel.
UPON A VOICE VOTE, ALL VOTING AYE, CHAIRPERSON COMMERS
DECLARED THE MOTION CARRIED UNANIMOUSLY
Informational Items
1.Update on Northern Stacks Project
Paul Bolin
, HRA Assistant Executive Director, stated that Mr. Hyde is re-platting the
property into three separate lots, allowing him to begin construction of the first building early
this summer. He anticipates that the first building will be completed by December of this
year. The utility work and installation of a new traffic light will also be completed this
ndrd
summer. Mr. Hyde anticipates that starting construction on the 2 and 3 building, yet this
year, is a real possibility based on discussions he has had with potential tenants.
Mr. Bolin
stated that Mr. Hyde is receiving so much interest with people looking for space
that it is causing staff to make changes to the redevelopment agreement. Right now the
market is better than anticipated so Mr. Hyde would like to come to the Authority in May and
provide an update on some of the tenants he has been working with.
Chairperson Commers
asked if the changes would have an effect on the TIF funding.
Jim Casserly,
Development Consultant, replied that when the project goes along faster then
there is a problem with the grant. So much of the work has to be done and grant funds would
need to be released earlier. The banks are looking for revenue notes to be used as security
for some of the notes. The changes are concentrated on the time periods, not the values.
These are good changes.
2.Housing and Loan Program Update
Paul Bolin
, HRA Assistant Executive Director, stated that the loan program started fairly
slow this year. One loan closed last month making a total of three year to date and there have
Housing and Redevelopment Authority Meeting of April 3, 2014 5
been no remodel advisor visits so far this year. The Home Energy Squad program has no
income limit so anyone can participate in that new program.
Chairperson Commers
noted that the Rosenberg Rules of Order was adopted by the City
Council but HRA is established under a separate statute. He asked if this applied to the
HRA.
Wally Wysopal
, City Manager, replied that the HRA would be able to adopt the Rosenberg
Rules of Order or decide what parliamentary procedures the HRA would like to use.
Chairperson Commers
asked staff to put that on the agenda for consideration at the next
meeting for discussion.
ADJOURNMENT\
MOTION
by Commissioner Gabel to adjourn. Seconded by Commissioner Backlund.
UPON A VOICE VOTE, ALL VOTING AYE, CHAIRPERSON COMMERS
DECLARED THE MOTION CARRIED UNANIMOUSLY AND THE MEETING
ADJOURNED AT 7:40 P.M.
Respectfully Submitted,
Krista Peterson, Recording Secretary