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HomeMy WebLinkAboutEDA MIN 02-19-03COLUMBIA HEIGHTS ECONOMIC DEVELOPMENT AUTHORITY (EDA) REGULAR MEETING MINUTES OF FEBRUARY 19, 2003 CALL TO ORDER - The Regular Meeting of the Columbia Heights Economic Development Authority (EDA) was called to order by Executive Director, Walt Fehst at 6:34 p.m., Wednesday, February 19, 2003, in the City Hall, Conference Room 1,590 40th Avenue NE, Columbia Heights, Minnesota. ROLL CALL Commission Members Present: Commission Members Absent: Staff Present: Patricia Jindra, Julienne Wyckoff, Bruce Nawrocki, Tammera Ericson, Bruce Kelzenberg and Don Murzyn Jr. Bobby Williams Walt Fehst, Executive Director Bob Streetar, Deputy Executive Director Randy Schumacher, Community Development Assistant Cheryl Bakken, Community Development Secretary Oath of Office Fehst administered the Oath of Office to Ericson, Kelzenberg and Wyckoff. Election of Officers Fehst opened the election of office for President. After the President, Don Murzyn Jr. was elected, Murzyn then took over with the rest of the elections and meeting. MOTION by Nawrocki to nominate Jindra for President. Jindra declined. Motion Not Considered. MOTION by Kelzenberg to nominate Ericson for President. Ericson excepted the nomination. Wyckoff stated she would like to see a resident elected for both the President and Vice President positions as it has been for the last few years. Motion failed for lack of second. MOTION by Wyckoff, second by Ericson, to nominate Don Murzyn Jr. for President. All ayes. Motion Carried. MOTION by Nawrocki, second by Wyckoff, to nominate Patricia Jindra for Vice President; Bruce Kelzenberg for Secretary; Tammera Ericson for Treasurer; designate Cheryl Bakken, Community Development Secretary, as Assistant Secretary; and Bill Elrite, Finance Director, as Assistant Treasurer. All ayes. Motion Carried. CONSENT AGENDA Approval of Minutes of January 28~ 2003 and Financial Report and Payment of Bills~ Resolution 2003-02 Nawrocki asked what two of the January invoices were for: 1) Encompass Invoice l O1950 for $878.64 and Parkview Villa Resident lnvoice 101702 for $807.50. Streetar stated, staff will check into this and get back to him. Econom/c Development Authority Meeting Minutes February 19, 2003 Page 2 of 3 MOTION by Nawrocki, second by Wyckoff, to adopt the consent agenda items as listed. All ayes. Motion Carried. ITEMS FOR CONSIDERATION Resignation of Ruettimann Streetar stated the formal resignation for Bob Ruettimann is enclosed in the packet for informational purposes only. ADMINISTRATIVE REPORTS 4607 Tyler Street Sale Streetar stated staff has received three purchase proposals for the property. Curt Bennett, an employee of GMHC offered, $100, 000, Agape New Life Ministries offered $102,000 and Minnesota Housing Resources in St. Paul offered $160,000. All three would raise the rents to maintain affordability. As of January 1, 2003 the current rent is at $380 per month. Staff will be recommending at the next HIM meeting approval of the proposal from Minnesota Housing Resources. Dave Engstrom, Vice President of the Minnesota Housing Resource company was a Washington County Commissioner and involved with the HIM for years. Nawrocki asked what the market value is for Tyler. Streetar stated he did not have the actual figures with him, but could provide them at a later date and that the value of the property is based on the net operating income, not current market value because of the rent structure. Murzyn stated Agape, will probably use the building for their congregation, but felt the $160,000 offer was very impressive from Minnesota Housing Resource. Fehst stated there is no action necessary tonight as this is an HRA function and that he asked Streetar to provide the Board with an update. CDBG Funding for 2003 Schumacher stated he attended a meeting in Anoka County today on this years CDBG funding. Columbia Heights requested $186,500 to purchase the fifth and final property for redevelopment on the corner of 40th & University, MGS. Anoka County HIM has approved $160,000 in CDBG funds for the project. Nawrocki questioned how the property wouM qualify for low to moderate income to meet CDBG funding requirements. Schumacher stated the property purchase would eliminate blight and that it will support low-income jobs, such as a fast food restaurant. The funds cannot be used until June, which will give staff enough time to provide information on the low to moderate, income requirements. Anoka County to Establish an Economic Development Authority Schumacher stated Anoka County wants to establish an EDA. The county will be submitting a bill in regards to the establishment. If they establish an EDA, they would not have a taxing authority in Columbia Heights unless the City Council approves it. Streetar stated there is a resolution by the City of Anoka stating "Such taxing and development authorities not subject to approval with municipalities within the County" is incorrect. Under 469.107 which gives Columbia Heights its power to tax, it refers to special districts under 469. 003 Subd. 6, states Economic Development Authority Meeting Minutes February 19, 2003 Page 3 of 3 "Subject to consent by the resolution of the governing body in and for which, it was created, an authority may levy a tax upon all taxable property within the taxing district, therefore, it is subject to council approval. Nawrocki stated he talked to the City Manager, Mayor and a couple of Council members from the City of Anoka, and felt that he agreed with the City of Anoka 's position to oppose the creation of the Anoka County EDA. Fehst directed staff to obtain more information and provide to the EDA and City Council members at a later date. Industrial Area $chumacher stated sta. ff will be meeting with the land use planner next Thursday to see what they are going to recommend for the Industrial Area at the special meeting with City Council on March 17th. Schaeffer Richardson Meeting Streetar stated staff met with Schaeffer Richardson this week, where they informed staff they are going to be putting their lndustrial Area property up for sale. Schaeffer will keep staff informed of any developments. OTHER BUSINESS Wyckoff asked if staff is working on the bids for the Parkview Villa Management Contract as requested last year by the Board. Streetar stated with his past experience of being a senior building administrator, the first year the bid was low and the next year there was always a large increase in the contract. Streetar recommended taking a look at what other cities with housing units are payingfor management, meet with Crest View and try to lower their rates for the coming year. Fehst stated he regards Crest View very highly, but requested staff go out for bids anyway. Nawrocki asked the status of the alley problems by the Surtek building. Fehst indicated he had not met with staff on this issue yet and would keep him informed. Schumacher stated he had met with the owners, which stated they would take care of the problem. ADJOURNMENT President, Murzyn, adjourned the meeting at 7:42 p.m. Respectfully submitted, Cheryl Bakken Recording Secretary H:\EDAminutes2003\2-19-2003