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HRAM 05/07/2015 CITY OF FRIDLEY HOUSING AND REDEVELOPMENT AUTHORITY COMMISSION May 7, 2015 CALL TO ORDER: Chairperson Commers called the HRA Meeting to order at 7:00 p.m. ROLL CALL: MEMBERS PRESENT: Larry Commers William Holm Pat Gabel Gordon Backlund MEMBERS ABSENT: Stephen Eggert OTHERS PRESENT: Paul Bolin, HRA Assistant Executive Director ACTION ITEMS: 1.Approval of Expenditures MOTION by Commissioner Gabel to approve the expenditures. Seconded by Commissioner Backlund. UPON A VOICE VOTE, ALL VOTING AYE, CHAIRPERSON COMMERS DECLARED THE MOTION CARRIED UNANIMOUSLY 2.Approval of March 5, 2014 Meeting Minutes MOTION by Commissioner Gabel. Seconded by Commissioner Holm UPON A VOICE VOTE, ALL VOTING AYE, CHAIRPERSON COMMERS DECLARED THE MOTION CARRIED UNANIMOUSLY 3.Approval of Demolition Contract: 581 Ironton St. – Housing Replacement Program Paul Bolin, , HRA Assistant Executive Directorstated that the City Public Works Department ran a formal bidding process on the Authority’s behalf. Quotes opened up on April 21, 2015. Four different contractors bid and staff recommend the contract be awarded to Buberl Recycling in the amount of $9,800. The bid was within staff estimates, past work with Buberl has resulted in positive experiences and Buberl is able to complete the demolition in the desired timeframe. Commissioner Gabel asked the size of the lot. City of Fridley Housing and Redevelopment Meeting of May 7, 2015 2 Mr. Bolin replied 50x110. Commissioner Gabel asked how much the Authority paid for the house and how much the lot will be sold for. Mr. Bolin replied the house was purchased for $67,000 and the lot will be sold for approximately $40,000. Chairperson Commers asked if the contamination items were removed. Mr. Bolin replied yes; there was an old heating fuel oil tank removed. MOTION by Commissioner Backlund to approve the Demolition Contract at 581 Ironton Street and award the contract to Buberl Recycling. Seconded by Commissioner Gabel. UPON A VOICE VOTE, ALL VOTING AYE, CHAIRPERSON COMMERS DECLARED THE MOTION CARRIED UNANIMOUSLY 4.Approval of Resolution Adding Phase XII to Housing Replacement Program Paul Bolin, HRA Assistant Executive Director, stated that in 2010 the Authority approved an amended Housing Replacement Program. Homes can now be added to the program by HRA Resolution, provided the parcels meet required criteria. Once in the program, the Authority is able to collect increment for 15 years on improvements. Phase XII parcels include 581 Ironton Street. Staff recommends approval of Phase XII of the Housing Replacement Program. MOTION by Commissioner Backlund to approve the Resolution Adding Phase XII to Housing Replacement Program. Seconded by Commissioner Gabel. UPON A VOICE VOTE, ALL VOTING AYE, CHAIRPERSON COMMERS DECLARED THE MOTION CARRIED UNANIMOUSLY Informational Items 1.Housing Loan Program Update Paul Bolin, HRA Assistant Executive Director, reported that there have been no loans to date yet this year. The number of people borrowing from cities is down in all communities that CEE is working in. Banks have made borrowing money easier and people can refinance and get a second mortgage at low interest rates. These trends have been seen in the past when the economy improves. A meeting will be held with the Authority in mid-July to talk about these programs to see if any changes should be made to make these programs more attractive. There has been one remodel advisor visit making one, year to date. There were nine Home Energy Squad visits last month resulting in 36, year to date. City of Fridley Housing and Redevelopment Meeting of May 7, 2015 3 Other Updates Mr. Bolin reported that the Columbia Arena planning workshops were held and Gretchen Nickels will present a recap of the meetings at the June meeting. Staff is working with Braun to discuss demolition specs. A small pilot study of about 200 yards of Freon vapor containing soils will be done to see if picking up and dropping the soils will be enough to release the vapors. This pilot study is needed for bid specifications and MPCA will be part of this process. A schedule will be put together for the demolition with bids going out in July to begin demolition in August. Staff would like a short meeting on July 16 at 7pm to award a demolition contract for the arena. Prior to that meeting staff would like to have a workshop starting at 5-5:30 to look at the loan programs and other HRA programs. This will tie in with the city updating the comprehensive plan in the future. th Mr. Bolin noted that the next meeting is scheduled for June 4. A recap of the Columbia Arena planning meetings will be presented along with a request to approve the sale of 581 Ironton Street. Commissioner Holm asked how many cubic yards of soil staff estimated was in the Columbia Arena. Mr. Bolin replied that 200 yards is a small sample compared to what is in the arena. Test borings have been done to identify where the Freon is located. Dirt will be taken from the newer arena because that is where there is an overhead door to get equipment in. Commissioner Holm asked if the Freon would be taken care of before the buildings are demolished. Mr. Bolin replied that the plan is to go in after the contract is awarded, remove all hazardous materials, remove the soils from where the rinks were to the parking area and spread it out to release the Freon. When Freon vapors have escaped, the soil is clean and will be used to fill the holes back in, and then the rest of the building demolition will be completed. Some side walls will need to be removed to get equipment in the older rink to remove the soils. Commissioner Backlund asked if MPCA is okay with venting the Freon into the atmosphere. Mr. Bolin replied yes. Chairperson Commers asked if this was a standard procedure to disperse Freon into the atmosphere. Mr. Bolin replied that the Freon vapor compounds are so volatile that scraping the dirt will release the vapor. There is no way to capture the Freon; it has to be released into the atmosphere. MPCA doesn’t require Freon to be contained. City of Fridley Housing and Redevelopment Meeting of May 7, 2015 4 Commissioner Gabel asked if the soils would be tested to ensure all the Freon has been released. Mr. Bolin replied yes; soils will be tested at different times as the Freon is released. This soil is a nice sandy material so it should escape quickly. Adjournment MOTION by Commissioner Backlund to adjourn. Seconded by Commissioner Gabel. UPON A VOICE VOTE, ALL VOTING AYE, CHAIRPERSON COMMERS DECLARED THE MOTION CARRIED UNANIMOUSLY AND THE MEETING ADJOURNED AT 7:28 P.M. Respectfully Submitted, Krista Peterson, Recording Secretary