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HRAM 05/02/2019 CITY OF FRIDLEY HOUSING AND REDEVELOPMENT AUTHORITY COMMISSION May 2, 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 Kyle Mulrooney MEMBERS ABSENT: Gordon Backlund OTHERS PRESENT: Paul Bolin, HRA Assistant Executive Director Jim Hasnik, CEE Action Items: 1. Approval of Expenditures MOTION by Commissioner Mulrooney to approve the expenses as submitted. Seconded by Commissioner Showalter. UPON A VOICE VOTE, ALL VOTING AYE, CHAIRPERSON HOLM DECLARED THE MOTION CARRIED UNANIMOUSLY 2. Approval of April 4, 2019 Meeting Minutes MOTION by Commissioner Showalter to approve the minutes as presented. Seconded by Commissioner Ostwald. UPON A VOICE VOTE, ALL VOTING AYE, CHAIRPERSON HOLM DECLARED THE MINUTES APPROVED. 3. Approval of Land Transfer – 6911 University Avenue – City Well House MOTION by Commissioner Mulrooney to open the public hearing. Seconded by Commissioner Showalter. UPON A VOICE VOTE, ALL VOTING AYE, CHAIR HOLM DECLARED THE MOTION CARRIED AND THE PUBLIC HEARING OPENED AT 7:03 PM. Paul Bolin, HRA Assistant Executive Director, stated that in order to facilitate construction of the new Municipal Campus and surrounding private development, the City and Authority exchanged Housing and Redevelopment Authority Meeting of May 2, 2019 2 some properties in 2017. The Authority transferred the former Columbia Arena site to the City. The City transferred property, South of City hall to the Authority in order to maximize the amount of land available for private development. Mr. Bolin said that as part of Pulte patio home project, Outlots E & F were further divided by the Locke Pointe 2018 Plat. The City’s well house is no on Lot 1. AS the City is preparing to make major improvements to the well house, the property should be returned to them at this time for liability and funding reasons. Staff recommends that the Authority approve this resolution authorizing transfer of the well house parcel back to the City. Chairperson Holm asked if the basin would be located on this site or elsewhere on the property. Mr. Bolin replied that the basin is contained within the building. It is about 27’wide by 84’ long and is located on the south side of the existing water treatment plant. MOTION by Commissioner Ostwald to close the public hearing. Seconded by Commissioner Mulrooney. UPON A VOICE VOTE, ALL VOTING AYE, CHAIRPERSON HOLM DECLARED THE MOTION CARRIED AND THE PUBLIC HEARING CLOSED AT 7:09 PM. MOTION by Commissioner Showalter to approve the land transfer, 6911 University Avenue, City Well House. Seconded by Commissioner Mulrooney. UPON A VOICE VOTE, ALL VOTING AYE, CHAIRPERSON HOLM DECLARED THE MOTION CARRIED UNANIMOUSLY Informational Items: 1. CEE Housing Programs & Services Jim Hasnik, Director of Lending Services Center for Energy and Environment, has been employed with CEE since 1994, all the time partnered with the City of Fridley. CEE is a non- profit 501C3 and they have offices in Minneapolis and St. Paul. They have 150 employees that includes 9 full time staff. The Home Energy Squad visits on behalf of the utilities and is located in the St. Paul office. CEE currently is working with 16 different cities. He provided a summary sheet on CEE and engineering services available. The loan process has changed and it is now a paperless process. Since 2013 Fridley has closed 83 loans for $1.5M, six loans this year and 13 loan applications are in process. Half of the loans are for the senior deferred program. They are working to help increase participants in this program. More people have access to do these types of improvements with lower income and energy bills take up a large part of their income. Applicants must have a 600 credit score, be in good standing with CenterPoint and they are approved. There is no income verification, it is an unsecured loan and payments show up on their utility bill. Chairperson Holm asked if CenterPoint is coordinating this project. Housing and Redevelopment Authority Meeting of May 2, 2019 3 Mr. Hasnik replied it is for rebate eligible improvements like heating, water heater, insulation or replacement of air conditioning unit. It does not include solar. Loans can be up to $20,000 based on credit score thresholds. Chairperson Holm asked who is responsible for the loan after they move out. Mr. Hasnik replied that if they fall three payments behind, they are removed from the program and the payments fall back to the lender for collections. Default rates on these loans very low. Remodel advisor visits are free to Fridley residents and there have been 57 visits since 2013 and four year to date. Mr. Bolin added that there are 17 more visits scheduled this year. Mr. Hasnik noted that the Home Energy Squad Visits are booked out for several months and applications keep coming in. They received 291 loan applications in April and 199 in March. Commissioner Showalter asked what other programs are available in other cities that Fridley doesn’t offer. Mr. Hasnik replied that there is a down payment assistance program and a program for regular loans where cities make the interest rate more tied to their income. The programs Fridley offers are well used. 2. Housing Program Update Paul Bolin, HRA Assistant Executive Director, reported that there were 2 loans closed in April for a total of 6 year to date. Remodel Advisor visits were two making four year to date. There was one Home Energy Squad visit for a total of 13 year to date. Adjournment: MOTION by Commissioner Showalter to adjourn. Seconded by Commissioner Ostwald. UPON A VOICE VOTE, ALL VOTING AYE, CHAIRPERSON HOLM DECLARED THE MOTION CARRIED UNANIMOUSLY AND THE MEETING ADJOURNED AT 7:35 PM. Respectfully submitted, Krista Peterson Recording Secretary