HRAM 08/01/2019
CITY OF FRIDLEY
HOUSING AND REDEVELOPMENT AUTHORITY COMMISSION
August 1, 2019
Chairperson Holm called the Housing and Redevelopment Authority Meeting to order at 7:00
p.m.
MEMBERS PRESENT: William Holm
Elizabeth Showalter
Dave Ostwald
Gordon Backlund
MEMBERS ABSENT: Kyle Mulrooney
OTHERS PRESENT: Paul Bolin, HRA Assistant Executive Director
Jim Casserly, Development Consultant
Zach Kramka, HRA Summer Intern
Action Items:
1. Approval of Expenditures
MOTION by Commissioner Showalter to approve the expenses as submitted. Seconded by
Commissioner Ostwald.
UPON A VOICE VOTE, ALL VOTING AYE, CHAIRPERSON HOLM DECLARED THE
MOTION CARRIED UNANIMOUSLY
2. Approval of July 11, 2019 Meeting Minutes
Chairperson Holm noted a correction on page 2, MOTION for item 3, should read “MOTION by
Commissioner Ostwald to approve the amendment to the Sherman Agreement – Fridley Station
Village.”
MOTION by Commissioner Backlund to approve the minutes as amended. Seconded by
Commissioner Showalter.
UPON A VOICE VOTE, ALL VOTING AYE, CHAIRPERSON HOLM DECLARED THE
MINUTES APPROVED AS AMENDED.
3. Award of Locke Parkway Street Lighting Project
Paul Bolin, Assistant Executive Director, stated that as part of the new municipal campus in
former Columbia site a tax increment district was created to pay for extraordinary costs. One of
the larger expenses is the parkway. The last part to finish the project is the street lighting which
Housing and Redevelopment Authority Meeting of August 1, 2019 2
was bid out separately from the road construction. A total of 32 lights will go along the parkway
consisting of a combination of single and double head lights to match what is around the municipal
center. The city’s public works department went through a formal bidding process opening on
July 11 and Parsons Electric in Fridley was the lowest bidder at $227,652. Parsons plans to have
these installed by mid-November. Staff recommends the Authority move to receive the bids and
award the Locke Parkway Street Lighting Project to Parsons Electric in the amount of $227,652.
Commissioner Backlund asked if these were led lights.
Mr. Bolin replied yes, the same as the other lights around the municipal campus.
MOTION by Commissioner Backlund to award the Locke Parkway Lighting Project to Parsons
Electric. Seconded by Commissioner Ostwald.
UPON A VOICE VOTE, ALL VOTING AYE, CHAIRPERSON HOLM DECLARED THE
MOTION CARRIED UNANIMOUSLY.
4. Approval of Amendment to Parking Lease Agreement – Fairview (Old City Hall)
Paul Bolin, Assistant Executive Director, stated that last month Fairview moved forward and
purchased the buildings to the south of the city hall site and along with the purchase wanted to
ensure there would be adequate parking into the future. What had been an easy negotiation with
the former owners of the site became a little more difficult. The last five weeks staff have been
working with Fairview and Steve Dunbar, developer to rebuild old city hall site. An agreement
was reached to move forward with removing the parking deck and in return Fairview will take
ownership of some parking lots they had previously been leasing from the city. Mr. Dunbar will
transfer those properties to them.
Staff is asking to take $300K from the Dunbar payment from the old city hall site to go into an
escrow account. If in the next five years Fairview needs additional parking stalls, Mr. Dunbar can
take that money to put more stalls on his site for patients and staff. A copy of the lease amendment
allows the Authority to move forward with the demolition of the parking deck. This provides
Fairview consent to demolish the parking deck. Staff recommends approval of resolution
amending the lease.
Chairperson Holm asked if once the amendments are approved and proceed with the approval
for construction of the senior living facility, the City of Fridley and HRA will be removed from
any further responsibility for that entire site of the old city hall.
Mr. Bolin replied yes, everything will be transferred to Mr. Dunbar and his group.
Chairperson Holm asked if the $300,000 would be returned if there is no need for additional
parking.
Mr. Bolin replied correct.
Housing and Redevelopment Authority Meeting of August 1, 2019 3
Commissioner Backlund asked if the parking areas would go back on the tax rolls.
Mr. Bolin replied yes, once we close on Mr. Dunbar’s group
MOTION by Commissioner Backlund to approve the Amendment to the Parking Lease
Agreement – Fairview (Old City Hall). Seconded by Commissioner Ostwald.
UPON A VOICE VOTE, ALL VOTING AYE, CHAIRPERSON HOLM DECLARED THE
MOTION CARRIED UNANIMOUSLY.
5. Approval of Amendment to Development Contract – 6431 University Avenue NE
Paul Bolin, HRA Assistant Executive Director, stated that this amendment memorializes a change
to the contract resulting from delays caused by the Fairview purchase. This is the fourth
amendment, but the only change is Section 1 changing the closing date from August 1, 2019 to
December 1, 2019. Mr. Dunbar doesn’t want to take ownership until the demolition is completed.
Demolition is likely to happen in the next month. Staff recommends the Authority approve the
resolution to adopt this fourth amendment to the development contract with Fridley Investments,
LLC.
MOTION by Commissioner Showalter to approve the amendment to the development contract –
6431 University Avenue NE. Seconded by Commissioner Ostwald.
UPON A VOICE VOTE, ALL VOTING AYE, CHAIRPERSON HOLM DECLARED THE
MOTION CARRIED UNANIMOUSLY.
Adjournment:
MOTION by Commissioner Backlund to adjourn. Seconded by Commissioner Showalter.
UPON A VOICE VOTE, ALL VOTING AYE, CHAIRPERSON HOLM DECLARED THE
MOTION CARRIED UNANIMOUSLY AND THE MEETING ADJOURNED AT 7:20 PM.
Respectfully submitted,
Krista Peterson
Recording Secretary