HRA 06/04/2020
PUBLIC NOTICE
City of Fridley HRA Meeting
Notice of Meeting by Telephone or Other Electronic Means
NOTICE IS HEREBY GIVEN that the HRA of the City of Fridley will hold its regularly scheduled meeting
on June 4, 2020 at 7:00 pm via telephone or other electronic means.
In accordance with the recommendations of Gove
which recommends remote meetings whenever possible, the June 4, 2020 HRA meeting will be held
via Zoom meeting.
Public Comment Before a Meeting
If you have public comments to submit before a meeting, please send your comments to
paul.bolin@fridleymn.gov
received up until noon on the day of the meeting. Comments will be compiled and delivered to the
HRA.
Public Comment During a Meeting
During the meeting, members of the public that wish to comment may join the meeting on the Zoom
webinar platform. Attendees will be able to click the "raise hand button" and alert City staff that they
wish to comment. When it is time for comments, individuals will be recognized, and their
microphones will be enabled, allowing them to comment. Zoom meeting information may be found
on the first page of the meeting agenda.
Link to the HRA meeting: https://zoom.us/j/96134095705.
If you do not have comments for the HRA, but wish to watch the meeting you may do so online at:
https://fridley.vod.castus.tv/vod. Fridley residents with Comcast may watch the live meeting on
Channel 17.
Posted: May 29, 2020
June 4, 2020
HRA Meeting
Regular Meeting Agenda
7:00 p.m.
Call to order
Roll call.
Action Items
1. Approval of Expenditures
2. Approval of May 7, 2020 Meeting Minutes
3. Annual Election of Officers
4. Amendment to Fridley Investments LLC
Informational Items
1. Housing Program Update
Adjournment
CITY OF FRIDLEY
HOUSING AND REDEVELOPMENT AUTHORITY COMMISSION
May 7, 2020
Chairperson Holm called the Housing and Redevelopment Authority Meeting to order at 7:00
p.m.
MEMBERS PRESENT: William Holm
Elizabeth Showalter
Gordon Backlund
Kyle Mulrooney
Rachel Schwankl
OTHERS PRESENT: Paul Bolin, HRA Assistant Executive Director
Wally Wysopal, City Manager
Dan Tienter, Finance Director
Jim Casserly, Development Consultant
Action Items:
1. Approval of Expenditures.
MOTION by Commissioner Backlund to approve the expenses as submitted. Seconded by
Commissioner Showalter.
UPON A VOICE VOTE, ALL VOTING AYE, CHAIR HOLM DECLARED THE MOTION
CARRIED UNANIMOUSLY
2. Approval of the March 5, 2020 Meeting Minutes.
MOTION by Commissioner Backlund to approve the minutes as presented. Seconded by
Commissioner Mulrooney.
UPON A VOICE VOTE, ALL VOTING AYE, CHAIR HOLM DECLARED THE
MINUTES APPROVED.
3. Approval of Amendment to Holly Center Terms Sheet.
Paul Bolin, HRA Assistant Executive Director, stated that in January the Authority approved a
term sheet with Roers Investment. There was a delay from when this was approved to when they
were able to make a deal with the property owner. Staff is asking for an extension of the timeline.
Changes since we last met include building 260 housing units with 13,000 sq. ft. of retail on the
site. This site has been a high propriety for redevelopment in the last two Comprehensive Plans.
Staff recommends the Authority adopt a motion amending the termination date in the terms
agreement so that it shall terminate September 15, 2020.
HousingandRedevelopmentAuthorityMeetingofMay7,20202
Commissioner Schwankl asked what type of retail would be developed and which ones might
stay.
Mr. Bolin replied this would be a complete demolition and a few tenants said they may have
interest in coming back to this site. There is a daycare wanting to be on the site and a coffee shop
drive through.
Commissioner Backlund asked how high the building would be and if there would be
underground parking.
Mr. Bolin replied that preliminary plans are looking at
And yes, there will be underground parking and the
large surface lot would include more landscaping and green areas and less surface parking.
MOTION by Commissioner Backlund to approve the Amendment to Holly Center Terms Sheet.
Seconded by Commissioner Showalter.
UPON A VOICE VOTE, ALL VOTING AYE, CHAIR HOLM DECLARED THE MOTION
CARRIED UNANIMOUSLY.
4.
Paul Bolin, HRA Assistant Executive Director, stated that there have been two requests from
people using our loan products for deferrals due to COVID-19. CRF and CEE have noted that a
number of cities have developed similar policies. The policy would read as follows: COVID-19
Loan Deferment Policy: The Authority will defer repayments of its senior loan and home
improvement loan products for borrowers that can demonstrate the need for relief, for up to six
months. During this time, interest will not accrue. The mature date of the loan will be extended
by the number of months the loan payments are deferred. Requests for deferment will be reviewed
by the Community Reinvestment Fund (CRF) then forwarded to HRA staff for final approval.
Applicants may be required to provide documents supporting their deferment request. Staff
recommends that the HRA approve the proposed COVID-19 Loan Deferral Policy.
Commissioner Showalter asked why the seniors were included as their payments can be deferred
until the property is sold.
Mr. Bolin replied that some seniors are making payments and want something more formal from
us.
Commissioner Schwankl asked if the policy should have a time limit.
Mr. Bolin noted that deferments have to be COVID related. When the governor lifts the Peace
Time Emergency issues with customers may not end right away. The thought was to keep this
policy simple and open ended.
HousingandRedevelopmentAuthorityMeetingofMay7,20203
Jim Casserly, Development Consultant, added that customers must have a real need for this
deferment, and it is unknown how long this will go on. Interest will not be charged during
deferment and the maturity of the loan would be extended up to six months providing relief for
those who need it. Staff can report monthly on how many are using this deferment.
Commissioner Showalter
Mr. Casserly said it could go through the end of this year.
MOTION
Seconded by Commissioner Showalter.
UPON A VOICE VOTE, ALL VOTING AYE, CHAIR HOLM DECLARED THE MOTION
CARRIED UNANIMOUSLY.
Informational Items:
Housing and Loan Program Update
Paul Bolin, HRA Assistant Executive Director, reported that there were no loans closed in April
making a total of 8 year to date. Also no Remodel Advisor Visits in April (4 year to date) and no
Home Energy Squad Visits in April (27 year to date).
Adjournment:
MOTION by Commissioner Showalter to adjourn. Seconded by Commissioner Backlund.
UPON A VOICE VOTE, ALL VOTING AYE, CHAIR HOLM DECLARED THE MOTION
CARRIED UNANIMOUSLY AND THE MEETING ADJOURNED AT 7:28 P.M.
Respectfully submitted,
Krista Peterson
Recording Secretary
HRA AGENDA ITEM
Date: 5/29/2020
To: Wally Wysopal, Executive Director
From: Paul Bolin, Assistant Executive Director
RE: Annual Election of Officers
requires the Board of Commissioners to annually
elect a Chair and Vice Chair. The election is typically held in June. Below is a list of the
commissioners and the length of their current appointments.
Commissioner End of Term
Elizabeth Showalter June 2023
Bill Holm June 2022
Gordon Backlund June 2021
Rachel Schwankl June 2025
Kyle Mulrooney June 2024
Recommendation
Staff recommends that the Authority elect a Chair
by-laws, to serve through June 2021.
HRA AGENDA ITEM
Date: 5/29/2020
To: Wally Wysopal, Executive Director
From: Paul Bolin, Assistant Executive Director
th
RE: Amendment to Development Contract
Due to extremely slow response times from the Minnesota Pollution Control Agency (MPCA) in
financing, we are seeking a seventh amendment to the development contract extending the closing
st
date to November 6, 2020. The assurance letter was issued by the MPCA on May 21.
Old City
The developer submitted building plans last week, applied for their permit from the Rice Creek
Watershed District. As has been previously shared, the developer has over $700,000 invested into
development expenses and Amcon Construction is ready to start upon closing. We are working
towards an August closing date but have built in additional time for unforeseen issues that may arise.
Staff Recommendation:
Staff recommends the Authority approve the attached resolution to adopt this Seventh Amendment
to the development contract with Fridley Investments, LLC.
HOUSING AND REDEVELOPMENT AUTHORITY
IN AND FOR THE
CITY OF FRIDLEY
COUNTY OF ANOKA
STATE OF MINNESOTA
RESOLUTION NO. 2020 - 06
A RESOLUTION AUTHORIZING EXECUTION AND DELIVERY OF A SEVENTH
AMENDMENT TO THE CONTRACT FOR PRIVATE REDEVELOPMENT BY AND
BETWEEN THE HOUSING AND REDEVELOPMENT AUTHORITY IN AND FOR THE
CITY OF FRIDLEY MINNESOTA AND FRIDLEY INVESTMENTS LLC
BE IT RESOLVED by the Board of Commiss
Redevelopment Authority in and for the City of Fr
Section 1. Recitals.
1.01. It has been proposed that the Authority enter into a Seventh Amendment to the Contract for
Section 2. Findings.
2.01. The Board hereby finds that the Seventh Amendment promotes the objectives as outlined in
its Development Program established pursuant to Minnesota Statutes, Section 469.001 et seq.
2.02. The Board hereby finds that it has approved and executed a Contract for Private
Redevelopment between the Authority and the Redeveloper dated as of January 3, 2019, a First Amendment
to that Contract dated as of April 4, 2019, a Second Amendment to that Contract dated as of June 6, 2019, a
Third Amendment to that Contract dated as of June 10, 2019, and a Fourth Amendment to that Contract dated
as of August 1, 2019., a Fifth Amendment to that Contract dated as of December 5, 2019, and a Sixth
Amendment to that Contracted dated as of March 5, 2020.
Section 3. Authorizations.
3.01. The Chair and the Executiv
deliver the Seventh Amendment to the Contract when the following condition is met:
Substantial conformance of a Seventh Amendment to the Seventh Amendment presented to
the Authority as of this date with such additions and modifications as the Officers may deem
desirable or necessary as evidenced by the execution thereof.
PASSED AND ADOPTED BY THE HOUSING AND REDEVELOPMENT AUTHORITY IN AND
FOR THE CITY OF FRIDLEY THIS ____ DAY OF JUNE, 2020.
________________________________________
ATTEST: WILLIAM B. HOLM - CHAIRPERSON
_____________________________________________
Execution: June 4, 2020
________________________________________________________________________
SEVENTH AMENDMENT
TO THE
CONTRACT
FOR
PRIVATE REDEVELOPMENT
By and Between the
HOUSING AND REDEVELOPMENT AUTHORITY
In and For
THE CITY OF FRIDLEY, MINNESOTA
And
FRIDLEY INVESTMENTS LLC
________________________________________________________________________
This document was drafted by:
James Casserly, Esq.
Monroe Moxness Berg PA
7760 France Ave South, Suite 700
Minneapolis, Minnesota 55435
952-885-1296
SEVENTH AMENDMENT
TO THE
CONTRACT FOR PRIVATE REDEVELOPMENT
th
THIS SEVENTH AMENDMENT is made on or as of this 4
day of June, 2020, by
and between the Housing and Redevelopment Authority in and for the City of Fridley,
Minnesota (the "Authority") and Fridley Investments LLC, a Minnesota limited liability
company (the "Redeveloper").
WITNESSETH:
WHEREAS, the Authority and the Redeveloper entered into a Contract for Private
Redevelopment dated as of January 3, 2019, a First Amendment to the Contract dated as
of April 4, 2019, a Second Amendment to the Contract dated as of June 6, 2019, a Third
Amendment to the Contract dated as of June 10, 2019, a Fourth Amendment to Contract
dated as of August 1, 2019, a Fifth Amendment to the Contract dated as of December 5,
2019, and a Sixth Amendment to the Contract dated as of March 5, 2020 (collectively, the
"Contract") (Capitalized terms not defined in this Agreement are defined in the Contract);
and
WHEREAS, the Redeveloper is performing all of its obligations in accordance with
the Contract; and
WHEREAS, the Authority is performing its obligations in accordance with the
Contract; and
WHEREAS, the Authority and Redeveloper desire to amend the Contract to further
the purposes set forth therein;
NOW, THEREFORE, in consideration of the premises and the mutual obligations of
the parties hereto, the parties hereby agree as follows:
Section 1. Closing Date. The Closing Date of July 1, 2020 in Section 1 of the Sixth
Amendment is hereby changed to November 6, 2020.
Section 2. Agreement Supersedes Contract. The terms and conditions contained in
this Seventh Amendment shall supersede any conflicting provisions contained in the
Contract.
IN WITNESS WHEREOF, the Authority has caused this Seventh Amendment to the
Contract for Private Redevelopment to be duly executed in its name and behalf and the
Redeveloper has executed this Seventh Amendment to Contract for Private
Redevelopment on or as of the date first above written.
\[Signature Pages Follow\]
2
HOUSING AND REDEVELOPMENT AUTHORITY IN
AND FOR THE CITY OF FRIDLEY, MINNESOTA
By _____________________________________
Its _______________________________
By _____________________________________
Its _______________________________
STATE OF MINNESOTA )
)ss
COUNTY OF __________ )
On this _____ day of June, 2020 before me, a notary public, personally appeared
______________________ and _______________________ to me personally known who
by me duly sworn, did say that they are the _______________________ and
_________________________ respectively, of the Housing and Redevelopment Authority
in and for the City of Fridley, Minnesota, and acknowledged the foregoing instrument on
behalf of said Authority.
___________________________________
Notary Public
Authority Signature Page
Seventh Amendment to Contract for Private Redevelopment
3
FRIDLEY INVESTMENTS LLC
By
Its
STATE OF MINNESOTA )
) ss.
COUNTY OF )
On this _____ day of _____________________________, 2020 before me, a notary
public, personally appeared ___________________________________________ of
Fridley Investments LLC, a Minnesota limited liability company, and acknowledged the
foregoing instrument on behalf of said company.
__________________________________
Notary Public
Redeveloper Signature Page
Seventh Amendment to Contract for Private Redevelopment
4831-6331-0013, v. 1
4
May 21, 2020
Steve Dunbar
Fridley Investments LLC
5000 Glenwood Ave Ste 300
Fridley MN 55422
RE: No Association Determination
City of Fridley Municipal Garage, 6431 University Ave NE, Fridley
MPCA Site ID: BF0001383
Billing ID: 47406
PINs: 14-30-24-31-0102, 14-30-24-31-0103, and 14-30-24-31-0104
Dear Steve Dunbar:
This letter is in response to the request from Mark Keefer of Braun Intertec, Corp. for a determination
under Minn. Stat. § 115B.178, that certain actions proposed to be taken by Fridley Investments, LLC at
the City of Fridley Municipal Garage site, located at the address referenced above (the Site), will not
constitute conduct associating Fridley Investments, LLC with the release or threatened release of
hazardous substances, pollutants, or contaminants at the Site for the purpose of Minn. Stat. § 115B.03,
subd. 3(4).
The Minnesota Pollution Control Agency (MPCA) staff in the Voluntary Investigation and Cleanup (VIC)
Program has reviewed the documents submitted for the Site. The Site is comprised of three parcels
(recently replatted from 11 parcels) totaling 4.54 acres. From the 1940s until the mid-1960s, the
eastern portion of the Site was used for residential purposes. The Site was used by the City of Fridley for
various municipal services including a fire station, police station, indoor shooting range, jail, meeting
hall, and government offices from 1952 until the buildings were demolished in 2019. Only the garages
and indoor shooting range remain at the Site. Fridley Investments, LLC plans to redevelop the Site into a
senior living facility with one level of underground parking.
A limited environmental investigation was completed at the Site in October 2018 to investigate
potential impacts at the Site near two abandoned fuel oil tanks (Leak #8863). Five borings were
advanced for the collection of soil and groundwater samples. One soil sample was collected and
analyzed for volatile organic compounds (VOCs), polynuclear aromatic hydrocarbons (PAHs), and eight
Resource Conservation and Recovery Act (RCRA) metals. Only petroleum-related VOCs were detected in
the soil samples and metals were within the range of typical background concentrations. One
groundwater sample was collected and analyzed for VOCs and PAHs. Only petroleum-related VOCs and
PAHs were detected in groundwater.
Soil vapor samples were collected at six locations at the Site in June 2019 (non-heating season) and
March 2020 (heating season) in the vicinity of the former fuel oil tanks. During the second round of
t-rem-vic2-09 ħ LB 1528 ħ 5/10/19
Steve Dunbar
Page 2
May 21, 2020
sampling, two soil vapor samples were collected along the southern boundary of the Site to rule out
possible impacts from a former drycleaner at the south-adjacent property. Several non-petroleum
VOCs, including tetrachloroethene (PCE), were detected in soil vapor at concentrations less than the
MPCA action level of thirty-three times (33X) their respective residential intrusion screening value (ISV).
For the purpose of this letter, the identified release consists of PCE and other non-petroleum VOCs in
soil vapor (Identified Release). This letter does not address petroleum-related contaminants. Petroleum
contamination detected at the Site is under the o
Program.
Based upon a review of the information provided to the MPCA VIC Program, and subject to the
conditions set forth in this letter, a determination is hereby made pursuant to Minn. Stat. § 115B.178,
subd. 1 that the proposed actions (Proposed Actions) listed below will not associate Fridley
Investments, LLC with the Identified Release for the purpose of Minn. Stat. § 115B.03, subd. 3(4). This
determination applies only to the following Proposed Actions:
Purchase of the Site;
Redevelopment of the Site with a senior living facility, in accordance with an MPCA-approved
Response Action Plan/Construction Contingency Plan;
Operation and maintenance of the Site building, grounds, and related infrastructure.
This determination is made in accordance with Minn. Stat. § 115B.178, subd. 1, and is subject to the
following conditions:
1. The Proposed Actions shall be carried out as described herein.
2. Fridley Investments, LLC shall cooperate with the MPCA, its employees, contractors, and others
actions at the Site to address the Identified Release or any other as yet unidentified release or
threatened release of a hazardous substance, pollutant, or contaminant, including, but not limited
to, granting access to the Site so that response actions can be taken.
3. Fridley Investments, LLC shall avoid actions that contribute to the Identified Release or that
interfere with response actions required under any MPCA-approved response action plan to
address the Identified Release.
4. In the event that any suspected hazardous substances are encountered during Site activities (i.e.,
demolition, grading, redevelopment, etc.), Fridley Investments, LLC shall notify the MPCA project
staff immediately in order to determine appropriate handling, sampling, analysis, and disposal of
such wastes.
Pursuant to Minn. Stat. § 115B.178, subd.1, when Fridley Investments, LLC takes the Proposed Actions
in accordance with the determination in this letter, subject to the conditions stated herein, the
Proposed Actions will not associate Fridley Investments, LLC with the Identified Release for the purpose
of Minn. Stat. § 115B.03, subd. 3(4).
Steve Dunbar
Page 3
May 21, 2020
The determination made in this letter applies to Fridley Investments, LLC
successors and assigns: 1) are not otherwise responsible for the Identified Release at the Site; 2) do not
engage in activities with respect to the Identified Release which are substantially different from the
activities which Fridley Investments, LLC proposes to take, as described herein; and 3) comply with the
conditions set forth in this letter.
Please be advised that the determination made in this letter is subject to the disclaimers found in
Attachment A and is contingent on compliance with the terms and conditions set forth herein.
If you have any questions about the contents of this letter, please contact Mark Ostby, Hydrologist, at
651-757-2283 or by email at mark.ostby@state.mn.us.
Sincerely,
Amy K. Hadiaris
ŷźƭ ķƚĭǒƒĻƓƷ ŷğƭ ĬĻĻƓ ĻƌĻĭƷƩƚƓźĭğƌƌǤ ƭźŭƓĻķ͵
Amy K. Hadiaris, P.G.
Supervisor
Redevelopment Unit
Remediation Division
AKH/MO:ah
Enclosure
cc: Mark Keefer, Braun Intertec, (electronic)
Jonelle Hubbard, Anoka County (electronic)
Jon Lennander, City of Fridley (electronic)
Attachment A
Disclaimers
City of Fridley City Hall
MPCA Site ID: BF0001383
1. Reservation of authorities
The Minnesota Pollution Control Agency (MPCA) Commissioner reserves the authority to take any
appropriate actions with respect to any release, threatened release, or other conditions at the Site.
The MPCA Commissioner also reserves the authority to take such actions if the voluntary party does
not proceed in the manner described in this letter or if actions taken or omitted by the voluntary
party with respect to the Site contribute to any release or threatened release, or create an
imminent and substantial danger to public health and welfare.
2. No MPCA assumption of liability
The MPCA, its Commissioner, and staff do not assume any liability for any release, threatened
release or other conditions at the Site or for any actions taken or omitted by the voluntary party
with regard to the release, threatened release, or other conditions at the Site, whether the actions
taken or omitted are in accordance with this letter or otherwise.
3. Letter based on current information
All statements, conclusions, and representations in this letter are based upon information known to
the MPCA Commissioner and staff at the time this letter was issued. The MPCA Commissioner and
staff reserve the authority to modify or rescind any such statement, conclusion or representation
and to take any appropriate action under his authority if the MPCA Commissioner or staff acquires
information after issuance of this letter that provides a basis for such modification or action.
4. Disclaimer regarding use or development of the property
The MPCA, its Commissioner, and staff do not warrant that the Site is suitable or appropriate for
any particular use.
5. Disclaimer regarding investigative or response action at the property
Nothing in this letter is intended to authorize any response action under Minn. Stat. § 115B.17,
subd. 12.
6. This approval does not supplant any applicable state or local stormwater permits, ordinances, or
other regulatory documents.
Page 1 of 1
Fridley HRA
Housing Program Summary
Cover Page
June 4, 2020 HRA Meeting
ReportDescription
Loan Summary Report Loan application activity (e.g. mailed
out, in process, closed loans) for year-
to-date.
Also shows the number of field
appointments scheduled and completed
for the Remodeling Advisor Services
administered by Center for Energy and
Environment.
K:\\HRA\\HRA Agenda Packets\\2020 Agenda Packets\\5 June 4 2020\\6 - Housing Program Cover June 4, 2020.docx
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