HomeMy WebLinkAboutEDA AGN 07-16-02CITY OF COLUMBIA HEIGHTS
590 40th Avenue N.E., Columbia Heights, MN 55421-3878 (763) 706-3600 TDD (763) 706-3692
Visit Our Website at: www. ci. cohonbia-heights, mn. us
EDA COMMISSIONMERS
Robert W. Ruettimann
Palricia Jindra
Marlaine Szurek
Julienne Wyckoff
Gary L. Peterson
Bruce Nawrocki
Bobby Williams
ECONOMIC DEVELOPMENT AUTHORITY
July 16, 2002
The following is the Agenda for the regular meeting of the Columbia Heights Economic Development
Authority (EDA) to be held IMMEDIATELY FOLLOWING THE HRA MEETING on Tuesday, July
16, 2002, at Parkview Villa, 965 40th Avenue N.E., Columbia Heights, MN 55421
The EDA does not discriminate on the basis of disability in the admission or access to, or treatment or employment in, its
accommodation will be provided to allow individuals with disabilities to participate in all EDA services, programs, and
activities. Auxiliary aids for handicapped persons are available upon request when the request is made at least 96 hours in
advance. Please call the EDA Secretary at 706-3669 to make arrangements (TDD 706-2806) for deaf or hearing impaired only.
CALL TO ORDER/ROLL CALL.
PLEDGE OF ALLEGIANCE.
CONSENT AGENDA.(These items are considered to be routine by the EDA Board of Commissioners and
will be enacted as part of the Consent Agenda by one motion.)
A. Move to adopt the consent agenda items as listed below:
1) Approval of Minutes.
a. The Regular Meeting of June, 2002.
2)
Financial Report and Payment of Bills.
a. Financial Statement for June, 2002.
b. Payment of Bills for June, 2002.
ITEMS FOR CONSIDERATION.
1. Financial Review by Bill Elrite, Director of Finance
2. Appointment of Business Revolving Loan Fund Committee
ADMINISTRATIVE REPORTS
Report of the Deputy Executive Director -Robert Streetar.
Report of the Executive Director - Walt Fehst.
OTHER REPORTS (Informational Only-No Discussion) 1. Resident Council Minutes
2. Housing Update
ADJOURNMENT
Walter R. Fehst, Executive Director
H:\edaAgenda2002\7-16-2002
The mission of the Columbia 7feights Bconomic Development Authority is to provide fi'nancial and technical assistance and
resources to residentia6 commercia6 and industrial interests to promote health, safety, welfare, economic development and
redevelopment.
THE CITY OF COLUMBIA HEIGHTS DOES NOT DISCRIMINATE ON THE BASIS OF DISABILITY IN EMPLOYMENT OR THE PROVISION OF SERVICES
rZ'-QUAL OPPORTUNITY I---MPLOYER
COLUMBIA HEIGHTS ECONOMIC DEVELOPMENT AUTHORITY (EDA)
REGULAR MEETING MINUTES OF JUNE 18, 2002
CALL TO ORDER - The Regular Meeting of the Columbia Heights Economic Development
Authority (EDA) was called to order by President Ruettimann at 6:34 p.m., Tuesday, June 18,
2002, in the City Hall, Conference Room 1,590 40th Avenue NE, Columbia Heights, Minnesota.
ROLL CALL '
Commission Members Present:
Commission Members Absent:
StaffPresent:
Robert Ruettimann, Patricia Jindra, Marlaine Szurek, Gary
Peterson, Julienne Wyckoff, and Bruce Nawrocki
Bobby Williams
Walt Fehst, Executive Director
Bob Streetar, Deputy Executive Director
Randy Schumacher, Community Development Assistant
Cheryl Bakken, Secretary
Mark Nagel, Housing Assistant
CONSENT AGENDA
Approval of Minutes
Move to adopt the minutes of the May 20, 2002, regular meeting as presented in writing.
Financial Report and Payment of Bills
Move to approve Resolution 2002-09, Resolution of the Columbia Heights Economic Development
Authority (EDA) approving the financial statements for May, 2002 and approving payment of bills for
May, 2002.
MOTION by Nawrocki, second by Jindra, to adopt the consent agenda items as listed amending
the minutes as follows:
Page 3, Industrial Center Request for Qualifications, paragraph three, should read:
Nawrocki questioned if Awsumb has Industrial Development experience and maybe should
not be considered because of the way he treated the business owners of the 49th and Central
(Hilltop) strip mall unfairly.
Page 4, Kmart Update should read: Fehst indicated he recently spoke with Gerry
Herringer. McComb recommended Herringer look at the whole eleven plus acres and
what can be done with it. The letter enclosed in the EDA packet outlines the steps to be
taken in the next two months by Herringer.
All ayes. Motion Carried.
ITEMS FOR CONSIDERATION
REQUEST FOR QUALIFICATION INTERVIEWS
Streetar indicated there is a total of seven developers will give a 20-minute presentation by each,
followed by a lO-minute question period at the end.
Economic Development Authority Meeting Minutes
June 18, 2002
Page 2 of 5
UNITED PROPERTIES
United was represented by Dale Glowa, Senior Vice President, along with Todd Hanson, Vice
President and Jason Sell, Associate. Glowa indicated United Properties is one of the oldest, full
service real estate companies in the area owned by the Pohlad family. In the last year they have
developed over 350 million in real estate, have approximately 450 employees made up of' 1) a
real estate developers; 2) a brokerage division; 3) a property management team; 4) a
construction division; 5) a corporate real estate services division; and 6) an investment group.
United specializes in office, industrial, research and development, health care, retail, multi-
family, and business park developments. They have developed and acquired land, dealt with
land environmental problems, and easement issues for many years. They are affiliated with
Oncor International, a group with rem estate companies throughout the world. Glowa stated the
.first step to their approach would be to develop the plan. They would bring their development
team in to work with the City.
Hanson stated the second step would be a marketing step. They would look for land available,
communicate with businesses, look at relocating businesses, and use their experience, resources
and capabilities to market the redevelopment area.
Welsh Companies
Bob Long, Development/Brokerage Services for Welsh Companies stated they would work
closely with Columbia Heights to develop a project to meet the needs of not only the Board, but
the residents of the community. Long presented a two step approach to the redevelopment
process: 1) identify what are the highest and best uses for the development area; and 2) acquire
and development of the land.
Dennis Doyle, Chief Executive Officer stated Welsh Companies has been in business for 24
years, is a 125 million dollar corporation specializing in working with intercity and first string
suburbs.
Dan Blomquist, Sr Vice President of their development team indicated they handle the legal and
financial part of Welsh developments. They have developed 4.5 million square feet over the
years and currently, are working on developments totaling $55 million. The architect firm of
Genesis will work with them to develop a plan. Blomquist indicated they have worked with
Genesis on a Phase 4project involving a 30-acre site in Arden Hills and another Phase 4project
in St. Louis, Missouri involving a 724, 000 square foot development. Welsh uses Wells Fargo
and Premier Financial companies.
Lynn Sloat, Vice President of Genesis Architect firm, explained that 50% of their time is spent
working with the development group and 50% working with outside developers to come up with
a Comprehensive Plan. Sloat indicated for the Crossroads of Roseville project, they acquired
property, did environmental testing and developed the plan.
Bill Krake, President of Welsh Construction explained he works with a team to make sure the
projects can be accomplished. Krake gave the example of Vicksburg Village in Plymouth, and a
200 unit, apartment complex called Avalon at Edinburgh in Brooklyn Park.
Economic Development Authority Meeting Minutes
June 18, 2002
Page 3 of 5
Nawrocki asked what Welsh's involving was in the 49th and Central development. Long
indicated they were hired to do property management on the site.
INDUSTRIAL EQUITIES
John Allen, Managing Partner for Industrial Equities, LLP expressed his interest in the large
industrial project. He indicated he has a portfolio of 3, 000, 000 square feet, including the cities
of New Brighton, Crystal and Roseville, is well established with Wells Fargo Bank and for long-
term financing uses Teacher Insurance and New York Insurance Companies. He has a good
working relationship with both City and State agencies, owns all of the properties he has
redeveloped, worked with environmental issues on land, has eight employees, owns property in
all of the cities surrounding Columbia Heights and has local market knowledge. There would be
three documents required for the redevelopment area: 1) a development agreement; 2) a
minimum assessment agreement; and 3) an equity contribution for land. Allen felt Columbia
Heights is a first string suburb with great opportunities for redevelopment.
Wyckoff asked if Industrial Equities would work with businesses to relocate them. Allen
explained he would gladly rent to any of the businesses, but would not work on relocating them.
The City would need to float TIF Bonds to acquire properties then sell the land to him for
redevelopment.
SCHAFER-RICHARDSON INC.
Kit Richardson, Principal of Schafer-Richardson Inc. and George Sherman, Sherman Associates,
Inc. gave the presentation. Richardson indicated they are a commercial real estate project
company and have been in business for 28 years. They partnership with Sherman Associates,
Inc., to develop, renovate, syndicate construction, lease, property management, marketing,
business relocation and design. Richardson listed some of the projects they were involved in: 1)
land and brown fills in the downtown area; 2) seniorprojects; 3) the old banks building; 4) the
old Holman project and they currently, own the old Honeywell site.
Sherman stated, they use the firm of Elness Swenson Graham Architecture, which is located in
25 states, with 75people on staff. Elness works 70percent on housing and 30percent on
commercial redevelopment projects. They work with principal goals of high quality, public
openspace, high streetscape, urban landscaping, and mixed-use developments. Examples of
their work are the Richfield Urban Village, Excelsior and Grand, Brooklyn Park, Little Canada,
Burnsville and the townhome and senior building between 41~t and 42na and Central in Columbia
Heights for Real Estate Equities.
Nawrocki questioned why Sherman was working with Schafer-Richardson, as it would seem they
would be competitors. Richardson explained the two companies actually complement each other
and they would be signing into the project with the City as a joint venture.
Streetar asked if the project takes three to five years to develop, are they willing to stay with the
project. Richardson stated they are very interested in the Columbia Heights project.
Economic Development Authority Meeting Minutes
June 18, 2002
Page 4 of 5
AWSUMB AND ASSOCIATES~ INC.
Gordon Awsumb, President, along with Harland Jacobs, President of Genesis Business Centers,
Inc., Mike Krafi, Architect for Shea, Inc., gave the presentation. Awsumb indicated they have
developed the Holland Townhomes in northeast Minneapolis, the Columbia Heights Business
Center, BMC Industrial in St. Paul, Mankato Place, and the Robbinsdale Shops.
Harlan recommended developing another Business Center in Columbia Heights just like the one
at 39th and Central to prevent high tech businesses from moving out of Columbia Heights due to
their growth in business.
Krafi indicated Shea, Inc. has been in business for approximately 25 years and that they focus on
municipal and redevelopment planning. Krafi gave examples of their work: 1) Robbinsdale City
Center; 2) Whittier in South Minneapolis; 3) Grain Belt Landing; 4) Milwaukee Road Depot; 5)
City of Centerville; 6) Grand Marais Development; and 7) Seward Place in Minneapolis.
Awsumb indicated they would focus on housing on the park with industrial sites around it. He
also stated they would be willing to consider options for financing the project if they were chosen
to develop the plan.
KLODT INCORPORATED
Paul Klodt, President of Klodt Incorporated indicated they have been in business for
approximately 40years, tore down over 100 buildings, most of their projects were in the
downtown area, developed close to 400, 000 square feet of commercial and industrial projects
and over 400 apartment units. They hire outside architects for the hotels and building
development projects. The firm is.financially backed by, Heitman Financial Corporation. Klodt
presented a drawing of a proposed plan for the industrial center including townhomes,
apartments, and some industrial. He recommended using 1.8 million in TIF bonds at 5 percent
for a 20-year period of time.
Schumacher asked how much he would pay for the land on the industrial area project and do
they have any experience with DTED or any other clean up procedures. Klodt stated he could
pay approximately 5 million for everything and that he has some experience with the clean up
process of contaminated land.
BANCOR GROUP~ INC.
Paul Robinson, Development Manager for Bancor Group Inc. and Peter Pflaum, President and
CEO of Plum Investment gave the presentation. Robinson indicated the Bancor Group was
started in 1994 and is made up of management partners of Bancor, Plum Investment and VKO
Enterprises, which provides, .financial support and expertise. Projects consist of single-family
developments and blighted or abandon property. Robinson gave an example of their latest
project at the old Bailey Nursey in Woodbury where they converted it to townhomes with an
arboritium at the entrance.
Pflaum indicated he started Lunden Brothers Construction in 1970, which was the largest
private construction business in the metro area producing townhomes, condos, and single-family
Economic Development Authority Meeting Minutes
June 18, 2002
Page 5 of 5
homes until two years ago when he started Plum Investment. His background is mainly in
residential projects predominately in the western suburbs.
Following the presentations, the Boardmembers discussed the seven candidates.
Schumacher reminded the Boardmembers to pick a firm that will help us determine what to build
on the industrial site, not the.firm that will build what you think should be on the site, which will
be determined when a plan is developed and RFP's are sent out.
Nawrocki felt John Allen talked at our level, had a good approach, liked the fact that he owns all
of his properties, would build a quality building, and has developed expertise in his business.
Wyckoff felt Alien should be partnered up with Awsumb & Associates, but felt United was the
firm to do the plan.
MOTION by Ruettimann, second by Szurek, to recommend to the Columbia Heights City
Council the selection of United Properties as the preferred development team for master
planning, and determining the highest and best use for all properties in the industrial project area.
In addition, authorize staff to develop a letter of understanding setting forth the scope of work,
timelines and division of costs for City Council consideration.
Upon vote: Jindra- Aye, Peterson- Aye, Nawrocki- Nay, Szurek- Aye, Wyckoff- Aye,
Ruettimann- Aye. Motion Carried.
Ruettimann directed staff to send out a letter to the other candidates indicating the EDA Board
had chosen United to do the master plan and that all development companies interviewed would
be considered for future RFP's after the plan is developed.
JOURINMENT
President, Ruettimann, adjourned the meeting at 11:15 p.m.
Respectfully submitted,
Cheryl Bakken
Recording Secretary
H:\EDAminutes2002\6-18-2002
COLUMBIA HEIGHTS ECONOMIC DEVELOPMENT AUTHORITY (EDA)
Meeting of: July 16, 2002
AGENDA SECTION: Consent Agenda ORIGINATING EXECUTIVE
NO: DEPARTMENT: EDA DIRECTOR
APPROVAL
ITEM: Financial Report and Payment of Bills BY: Bob Streetar BY:
DATE: July 8, 2002
BACKGROUND:
The bound Financial Report for June 1, 2002 Check Listing (green sheets), and draft Resolution 2002-10
are attached for review. The enclosed Financial Report lists the Revenue Guideline (pink sheets), the
Expenditure Guideline (yellow sheets), Expenditure Guideline with Detail (white sheets), and Balance
Sheet (blue sheets), for each fund and department. The report covers the activity in the calendar (fiscal)
year from January 1 through June 30, 2002.
The Check History shows each fund with an expenditure history during the month of June, 2002. The
total disbursements by fund are shown at the top of the listing.
RECOMMENDATION:
Staff will be available to answer specific questions. If the report is satisfactorily complete, we
recommend the Board take affirmative action to receive the Financial Report and approve the payment
of bills.
RECOMMENDED MOTION:
Move to approve Resolution 2002-10, Resolution of the Columbia Heights Economic Development
Authority (EDA) approving the Financial Statement for June, 2002 and Payment of Bills for the month
of June, 2002.
EDA ACTION:
H: \Consent2002\June FinRep2002
EDA RESOLUTION 2002-10
RESOLUTION OF THE COLUMBIA HEIGHTS ECONOMIC DEVELOPMENT
AUTHORITY (EDA) APPROVING THE FINANCIAL STATEMENT FOR JUNE, 2002
AND PAYMENT OF BILLS FOR THE MONTH OF JUNE, 2002.
WHEREAS, the Columbia Heights Economic Development Authority (EDA) is required by
Minnesota Statutes Section 469.096, Subd. 9, to prepare a detailed financial statement which
shows all receipts and disbursements, their nature, the money on hand, the purposes to which the
money on hand is to be applied, the EDA's credits and assets and its outstanding liabilities; and
WHEREAS, said Statute also requires the EDA to examine the statement and treasurer's
vouchers or bills and if correct, to approve them by resolution and enter the resolution in its
records; and
WHEREAS, the financial statement for the month of June, 2002 and the list of bills for the
month of June, 2002 are attached hereto and made a part of this resolution; and
WHEREAS, the EDA has examined the financial statement and the list of bills and finds them
to be acceptable as to both form and accuracy.
NOW,THEREFORE BE IT RESOLVED by the Board of Commissioners of the Columbia
Heights Economic Development Authority that it has examined the attached financial statements
and list of bills, which are attached hereto and made a part hereof, and they are found to be
correct, as to form and content; and
BE IT FURTHER RESOLVED the financial statements are acknowledged and received and
the list of bills as presented in writing are approved for payment out of proper funds; and
BE IT FURTHER RESOLVED this resolution and attachments are to be made a part of the
permanent records of the Columbia Heights Economic Development Authority.
Passed this __ day of ,2002.
MOTION BY:
SECONDED BY:
AYES:
NAYS:
Robert Ruettimann, President
Attest by:
Cheryl Bakken, Secretary
H:~Re$olutions2002L2002-10
CITY OF COLUMBIA HEIGHTS
DATE:
TO:
FROM:
JUNE 10, 2002
BOB STREETAR
FINANCE DIRECTOR
SHEFFIELD LOAN INFORMATION
When the Sheffield project was started, the City's portion of the cost to redevelop that
neighborhood and the primary block was covered by a loan from the sewer construction fund and
the City liquor fund. It was the intent that this loan would be paid back by utilization of the
I-IRA levy, the sale of other City-owned land and homes, and TIF revenue fi.om the new
development. As of December 31~t the inter-fund loan balance due to the sewer construction
fund is $520,720 and the inter-fund loan balance due to the liquor store is $169,000 for a total
outstanding loan of $689,720. The cash balance reserve dedicated for loan repayment in the
Sheffield fund is $560,559.95. This leaves a net loan balance of $129,160.10. Although it is
uncertain what we will receive in TI~ revenue for the balance of the TIF project, it could be at
least this amount. If we were to continue s~tting aside the HRA levy for loan repayment, we
would have a full reserve for the loan with the next two years levy at which time the HRAJevy
could definitely be re-appropriated. It should be noted that the purpose of setting aside the HRA
levy in a reserve for loan payment rather than actually using it to pay offthe loan at this time is
that as long as there is an outstanding loan we can continue to collect TIF revenue for this
project. If the loan were paid off in full our TIF revenue for the project would also end. The
reserve, in essence, is simply a backup to ensure that there is adequate capital available to pay off
the loan if we do not receive adequate TIF money. As you are aware, each year TIF rules,
regulations and what we receive in revenue fluctuates greatly depending on the action of the state
legislature in relationship to property taxes. As years go by, if TIF revenue continues at the same
rate for the Sheffield project, we will be able to free up some of this cash reserve to also be used
for other projects. If you would like any additional information regarding this, please let me
know. -
I have also attached a fund balance sheet that was requested by one or more EDA members
which shows available cash and fund balance for the various BDA funds. Ifyou need any further
explanation or information on this, again, let me know.
W~:STnS
0206101CD
City of Columbia Heights
Shefield Loan Information
FYE: 12/31/2001
Prepared:
6/17/02
JLineI
Interfund Loans (12/31/01)
Sewer Construction Fund
Liquor Fund
Total loans payable (12/31/01)
Reserve for Loan (From HRA Levy)
Loan BaI.Not Funded 12/31/01
HRA 2002 Levy
52O,720
169,000
689,720
560,560
129,160
77,000
COLUMBIA HEIGHTS ECONOMIC DEVELOPMENT AUTHORITY (EDA)
Meeting of: July 16, 2002
AGENDA SECTION: Items for Consideration ORIGINATING EXECUTIVE
NO: ~ DEPARTMENT: EDA DIRECTOR
APPROVAL
ITEM: Appointment of Business Revolving BY: Mark Nagel BY:
Loan Fund Committee DATE: July 5, 2002
BACKGROUND: With the approval of the BRLF revisions in April, staffwas directed to advertise
for two additional members to the Loan Review Committee, which will make recommendations on
loan packages to the entire EDA Board. At this time, the three present members of the Loan Review
Committee are: Councilmember Wyckoff, EDA President Ruettimann, and former local banker Erv
Bernard. Since that meeting, staff has received two applications for the remaining vacancies: Mr.
Joseph Schmidt and Ms. Terry Watts. Their applications are attached for your review. If the two
vacancies are filled, the BRLF Program can proceed to be implemented.
RECOMMENDATION: Staff recommends the appointment of the two applicants to the BRLF Loan
Review Committee.
RECOMMENDED MOTION: Move to Appoint and
as members of the BRLF Loan Review Committee.
Attachments
EDA ACTION:
h:\BRLF2OO2/Appointment of two more members
CITY OF COLUMBIA HEIGHTS
APPLICATION FOR APPOINTMENT
TO BOARD OR COMMISSION
BOARDS(S) OR COMMISSIONS(S) ON WHICH YOU WOULD LIKE TO SERVE: (INDICATE
PREFERENCE: 1, 2, 3, IF MORE THAN ONE)
TELECOMMUNICATIONS COMMISSION
__ CHARTER COMMISSION (Not,: If applying for this
commission, please indicate if you are a qualified voter: __Yes m No
ECONOMIC DEVELOPMENT AUTHORITY
FYtYMAN SERVICES COMMISSION
LIBRARY BOARD
TRAFFIC COMMISSION
PARK & RECREATION COMMISSION
PLANNING & ZONING COMMISSION
__POLICE/FIRE CIVIL SERVICE COMMISSION
~BUSINESS REVOLVING LOAN FUND
REVIEW COMMITTEE
HOME PHONE:
HOME ADDRESS: ZIP CODE:
f
LIVED IN COLUMBIA HEIGHTS SINCE: (,t rq
PROPERTY OWNED IN COLUMBIA HEIGHTS (OTHER THAN RESIDENCE)
PRESENT EMPLOYER:
,.3'~,~ ~-~,~. WORK PHONE:
POSf£1ON Tfl'LE:
t
EDUCATIONAL BACKGROUND:
CIVIC EXPERIENCE:
PLEASE STATE BRIEFLY WHY YOU ARE INTERESTED IN SERVING ON THIS
BOARD/COMMISSION FOR WHICH YOU ARE SUBMITTING THIS APPLICATION
AND WHY YOU FEEL YOU ARE QUALIFIED:
I AM NOT AVAILABLE FOR BOARD/COMMISSION MEETINGS ON THE FOLLOWING
THURSDAY ~
EVENINGS (CIRCLE)~,.....~ ~.~
MONDAY
J
PLEASE LIST THREE REFERENCES:
NAME ADDRESS PHONE
1.
~ ze~z~r~y 173o
2. ~,~
dou~? g
I HEP~BY CERTIFY THAT THE FAC'rS WITHIN THE FOREGOING APPLICATION ARE TRUE
AND CORRECT TO THE BEST OF MY KNOWLEDGE.
Return application to:
Deputy City Clerk
City of Columbia Heights
590 40th Avenue NE
Columbia Heights, MN 55421
(763) 706-3611 TDD (763) 706-3692
For Office Use Only:
Date received:
12-17-01
CITY OF COLUMBIA HEIGHTS
APPLICATION FOR APPOINTMENT
TO BOARD OR COMMISSION
BOARDS(S) OR COMMISSIONS(S) ON WHICH YOU WOULD LIKE TO SERVE: (INDICATE
PREFERENCE: 1, 2, 3, IF MORE THAN ONE)
TELECOMMUNICATIONS COMMISSION LIBRARY BOARD
CHARTER COMMISSION 0~ote: ~f aoo~ing for ~his TRAFFIC COMMISSION
commission, pleas~ indicate if you are a qualified voter: __Yes __ No
ECONOMIC DEVELOPMENT AUTHORITY
HUMAN SERVICES COMMISSION
___POLICE/FIRE CIVIL SERVICE COMMISSION
'PARK & RECREATION COMMISSION
PLANNING & ZONING COMMISSION
RBUSINESSLOAN FUND
REVOLVING
EVIEW COHMITTEE
NAM~.~ HOME PHONE:
ZIP CODE:
/~o~-~~ ~ ~' , d~/ I~r~ ~~/
um~v m cou~~ ~azs smc~5 / ~
P~OV~zv omv m co[~~ ~a~rs (oza~ z~ ~Sm~NC~)
PRESENT EMPLOYER: WORK PHONE:
POSiT~ TITLE:
EDUCATIONAL BACKGROUND:
CIVIC EXPERIENCE:
PLEASE STATE BRIEFLY WHY YOU ARE INTERESTED IN SERVING ON THIS
BOARD/COMMISSION FOR WHICH YOU ARE SUBMITTING THIS APPLICATION
AND WHY YOU FEEL YOU ARE QUALIFIED:
I AM NOT AVAILABLE FOR BOARD/COMMiSSION MEETINGS ON THE FOLLOWING
EVENINGS (CIRCLE):
PLEASE LIST THREE REFERENCES:
NAME ADDRESS
2. -
PHONE ,.
3.-- .-
I HEREBY CERTIFY THAT THE FACTS WITHIN THE FOREGOING APPLICATION A.RETR[,~
AND CORRECT TO THE BEST OF MY KNOWLEDGE.
Signature
Return application to:
Deputy City Clerk
City of Columbia Heights
590 40th Avenue NE
Columbia Heights, MN 55421
(763) 706-3611 TDD (763) 706-3692
For Office Use Only:.
Date received: ~[e~211..2~.~
12-17-01
cum~onuc ~evelopment Authority Meeting Minutes
April 16, 2002
Page 3 of 5
Motion by Peterson, second by Williams, to Adopt Resolution 2002-04, a Resolution Approving
and Ratifying the terms of an Interfund Loan Policy and Memorandum in connection with
Housing Redevelopment TIF District No. 1 (P3); and furthermore, to authorize the President and
Executive Director to enter into an agreement for the same.
Upon Vote: Peterson- Aye, Nawrocki- Nay, Szurek- Aye, Will/ams- Aye, Wyckoff- Aye.
Motion Carried.
Aoorove Business Revolving Loan Fund Revisions
Nagel stated at the October ! 7, 2001 EDA meeting, a committee of Bob Ruettimann, Julienne
lVyckoff, Err Bednard and himself was set up to review and update the BRLF materials. The
committee met on April 8~ and made the revisions to the Plan, Bylaws, Participation Agreement,
Guidelines and Loan Application forms. At this time, according to the Bylaws, the EDA Board
needs to appoint two more committee members and then a meeting will be held with the Finance
Department to establish an exact amount in the BRLF account.
Nawrocki felt the members of the Board should be residents of Columbia Heights only, not
business owners. Peterson indicated we have always had business owners and residents on all
of the commissions or committees.
Fehst stated advertisement for committee members, will be done through the Deputy City Clerk
and recommendations from Boardmembers.
Motion by Williams, second by Szurek, to approve the revised BRLF Bylaws, Plan,
Participation Agreement, Guidelines and Loan Application forms and direct staff to implement.
Amended Motion by Nawrocki, second by Wyckoff, to change the Bylaws, Section 4, Members
of the Committee, the second sentence should read: Three at large members to be appointed who
have financial expertise and are residents in the City of Columbia Heights. Upon Vote:
Peterson- Nay, Nawrocki- Aye, Szurek- Nay, Williams- Nay, Wyckoff- Aye. Motion failed.
Upon Vote of'the Original Motion: Peterson- Aye, Nawrocki- Aye, Szurek- Aye, Williams-
[~..e, Wyckoff- ~ye. All ayes. Motion Carried.
ADMINISTRATIVE REPORTS
Report of the Acting Deputy Executive Director
Sullivan Lake Settlement Agreement
Schumacher indicated last fall, the City was notified, by the State Auditor that we received too
much money for the district. The EDA voted to deny the allegations; therefore, the City will be
going to court to determine a settlement amount sometime in the next month or so..
..Status of 322 & 325 Summit Avenue
Schumacher stated the property at 325 Summit has been purchased for $144,000 and staff'is in
the negotiation stages with the property oWner of 322 Summit Avenue. A business owner
contacted staff.after we purchased 325 Summit, with concerns if the City we closes off.the 40~
Avenue access, it would create problems for his business. Community Development staff.and
engineering will meet with the owner to look over options for the alley access.
ECONOMIC DEVELOPMENT AUTHORITY (EDA) OF COLUMBIA HEIGHTS, MN
BUSINESS REVOLVING LOAN FUND
LOAN REVIEW COMMITTEE BYLAWS/FUNCTIONS
Updated 4-8-2002
Section 1.
Name of Committee: The name of the committee shall be the "Business
Revolving Loan Fund Loan Review Committee (BRLF Loan Review
Committee). Hereinafter referred to as the "Committee".
Section 2.
Office of the Committee: The Committee shall have its office at the Economic
Development Authority (EDA) office at 590 40th Avenue N.E., Columbia Heights,
MN.
Section 3.
Section 4.
Section 5.
Section 6.
Section 7.
Section 8.
Section 9.
Powers of the Committee: The powers of the Committee shall be limited to review
of applications for BRLF program loans and the making of recommendations to the
EDA Board of Commissioners on which loan applicants should be granted loans under
the BRLF program and in what priority. Also, see Section 10.
Members of the Committee: There shall be five members of the Committee.
Members shall be appointed by the EDA Board of Commissioners. Three at large
members to be appointed who have financial expertise and are either residents, or
business persons, in the City of Columbia Heights. One member shall be appointed
from the EDA Board of Commissioners and one member from the City Council. All
Committee members shall serve at the pleasure of the EDA Board of Commissioners.
Vacancies on Committee: Vacancies due to resignations, non-reappointment to the
EDA Board, or non-re-election to City Council position shall be filled by
appointments by the EDA Board of Commissioners.
Removal: Committee members may be removed from the Committee by the EDA
Board of Commissioners for just cause (e.g. nonattendance at Committee meetings).
Officers: A Chair and Vice Chair shall be elected initially at the first meeting of the
Committee. Then annually in May of each year (or the first meeting thereafter if no
meeting is held in May) a Chair and Vice Chair shall be elected. The EDA shall
provide a staff person to record the minutes of the meeting and maintain records for
the Committee.
Meeting Dates/Places/Coordination: The Committee will meet as often as necessary
to perform the fimctions of the Committee. The Community Development Director or
his/her designee shall coordinate the dates, times and places for the meetings with the
Chair of the Committee. Committee meeting notices are to be mailed by the EDA
office to the home or office address of the Committee member at least three (3) days
prior to the meeting time.
Quorum for Meetings: Two Committee members shall constitute a quorum for
conducting business of the Committee. When a quorum is in attendance, action may
be taken by the majority of the Committee members present.
PARKVIEW VILLA RESIDENT COUNCIL MEETING MINUTES JULY 8, 2002
The meeting was called to order at 7:00 p.m.
Anita gave her Management Report: · Fumiture for the lobby area will be delivered soon.
· The State Health Insurance for Anoka County Seniors and others in Anoka County test score
came back and Parkview scored high.
· Dogs should be walked in the area across from the parking lot and not close to the building.
· The new surge protectors are working well.
· Anita introduced the new manager, William Jones, who will take her position over around
September 1st. William has been a Crest View employee for several years.
Leo Mullenmaster gave the Secretaries Report. Jackie Osvak gave the Treasurers Report.
John Super gave the Welcome Report and welcomed back Helen Mhyre and Donna Paterson. Billy
Sheldon gave the Sunshine Report. Dorothy Gillette gave the Entertainment Report stating that
there will be a St. Croix Cruise on the 7th. She send out cards and $5.00 to Joe Kuras, Barb
Camp,Dorothy Larson, and Donna Paterson. Sympathy cards and $10 was sent to the Shirley
Pearson family.
At the Bazaar there will be drawings for 1st Place of $200 and 2nd Place of $100, was voted on and
passed.
The $5.00 drawings went to Janina Jeworki, Opal Baker, Carroll Henficks and Dianne Powell.
MOTION by Helen Smith, second by Marion Johnson, to adjourn at 7:55 p.m. All ayes. Motion
Carried.
Respectfully Submitted,
Leo Mollenmaster
Resident Council Secretary 2002
EDA Update- July 2002
By: Mark Nagel
Housing Assistant
1. In the May issue of Affordable Housing Finance, there was a nice article on the company that the HRA recently
sold it's 2 remaining home loans to in November, 2001. Before Community Reinvestment Fund began operations
in 1998, it would likely be impossible for the HRA to sell these mortgages, as no company would have probably
been interested in just two. The article is attached for your information.
2. The final program statistics for the HOME Grant from HUD and Anoka County for 4401 Quincy Street. Both of
the twinhomes have been sold by Habitat for Humanity to first-time homebuyers from Columbia Heights. Both
families are large, so they are VERY happy to buy their own home. This report completes the requirements for
the $70,000 in HOME funds received for the acquisition of 4401 Quincy Street.
3. A postcard was sent to Columbia Heights residents in late June advertising the Discount Loan Program from
CEE. A total of 10 loans through the Discount Loan Program have been made in 2002 adding up to nearly
$180,000 more in home improvements to Columbia Heights residences. The attached report shows that the
Discount Loan Program, which remains the most popular of the HRA's housing rehab program portfolio
4. Columbia Heights residents are using the services of the Housing Resource Center. The attached report shows
that 27 Columbia Heights households have received either housing information or construction consultations as of
the end of May.
5. The First-Time Homebuyers Program started on April 9th. Already one Columbia Heights family has taken
advantage of these low interest rates to purchase their first home here in the city.
6. MHFA has upgraded their website and city staff now has access to forms, manuals, program updates and news
alerts on-line. It works well, so if you're interested in taking a peek the web address is www.mhfa.state.mn.us.
7. The City of Columbia Heights and the Greater Minneapolis Metropolitan Housing Corporation were successful in
obtaining a $25,000 grant, which will be matched by another $25,000 from MHFA, for a Housing Rehab
Incentives Program. The Program was introduced at the July 8th City Council meeting by GMHC Program
Director, Jennifer Bergrnan, began on Julyl st. The goal is to generate 27 grants and about $340,000 in private
home rehab dollars, or about a 6-to- 1 dollar ratio in private to public dollars.
8. The Housing Resource Center located at 1170 County Road I in Shoreview will be having an Open House on
Saturday, August 3~a in the morning. Columbia Heights will still be served out of GMHC's Minneapolis office.
9. On June 27th, Bob Streetar and I met with Bill Schatzlein, President of Affordable Suburban Housing Partnership,
on 4607 Tyler Street. His non-profit company is willing to purchase the 4-plex and meet the HUD restrictions.
We hope to have a final proposal shortly. Once we do, I will work with the City Attorney to draft a Purchase
Agreement for consideration by the I-IRA.
10. The attached letter from TIF Consultant Shelly Eldridge, Ehlers & Associates, all of the documents related to the
revisions to the Scattered Site Housing TIF District have been submitted to the appropriate state and local
agencies. Approvals from each are expected by the end of July. It is a good time to be adding the additional 12
parcels, because 15 parcels from the original 56 no longer qualify due to the "Four year knockdown" rule, which
eliminates parcels with no activity after four years. The end result is that the "pool" of potential homes for
purchase with the $187,000 available under this program remains about the same. I will be watching the papers to
see if any go up for sale for possible purchase.
11. The Community Development Department added another program to its growing portfolio of small business
assistance programs on June 1st called the Small Business Lighting Retrofit Program. The program offers up to
60% of installed costs with financing at 3.9% for lighting upgrades. The program is funded by Xcel Energy and
administered by the Center for Energy and Environment. More information is attached and brochures are
available at City Hall.
12. Staffmet with Gordon Awsumb on Friday, May 24th regarding three potential Business Revolving Loan Fund
applicants currently located in his business incubator. The three are as follows: Cardial Care, a biomedical
Company, and Provis a producer of fault simulation technology, and Dymedix another biomedical company. The
U of M Physicians billing department is also looking to expand.
13. The Liveable Communities Demonstration Account Opportunities grant for Mady's Bowl site near 39th and
Central was submitted to the Metropolitan Council on May 15th. The grant awards will be announced around July
25~.
14. I have attached a memo regarding the Economic Development Laws from the 2002 Legislature for your
information.
XcelEnergy
One-Stop Efficiency Shop
414 Nicollet Mall
Minneapolis, Minnesota §540%1993
Improve Your Lighting and Cut Your Electric Bill
The One-Stop Effden~y Shop program offers small business owners:
· FREE lighting evaluation and cost saving recommendations
· Rebates at 15 - 60% of installed costs with financing at 3.9%
· Referrals to pre-qualified contractors and standard pricing
· Start-to-finish oversight of your lighting upgrade
Our non-profit organization helps hundreds of building owners each year improve
their lighting quality while lowering operating costs. As a One-Stop Effden~y Shop
customer you'll receive a free assessment of your existing lighting system and learn
how newer, proven technologies can save you money. We'll provide unbiased
information and assistance in choosing the right high-efficiency lighting for your
needs. We will also recommend a qualified contractor to install your new lights when
it is convenient for your busine,ss.
Your One-Stop representative will:
· Determine your eligibility (electric demand between 10 kW and 200 kW)
· Offer suggestions to improve your lighting and cut costs
· Explain the recommendations, savings and financing options
· Serve as a liaison between you and your contractor
· Complete and submit all rebate and financing paperwork
During the site visit your One-Stop representative will provide easy to understand
information to help you decide if a lighting upgrade will benefit your business. You
decide which recommendations make the most sense. If you choose to implement
those changes, the One-Stop program will help you by coordinating the services of an
approved electrical contractor.
There is no obligation for this service.
To determine your eligibility and schedule a free audit contact: Kristen Funk 612-335-3487
Center for Energy and Environment, 211 North 1'~t Street, Suite 455, Minneapolis, MN 55401
From:
To:
Date:
Subject:
Mark Nagel
Bob Streetar; Randy Schumacher; Wait Fehst
6/12/02 4:00PM
Economic Development Laws From the 2002 Legislature
I attended the AMM Legislative Wrap-Up on Tuesday, June 11th, so I thought I would update you on some
of the info passed along at the meeting:
1. $91 million cut from the TIF Grant Program.
2. $ 9 million cut from the LCA Program through Met Council. 3. EDA is now allowed to
adopt special deficit authority for TIF Districts w/o pooling.
4. Allows 20 year abatements for businesses where at least half of the payroll is for employees engaged
in mfg.,R & D, warehousing, or qualified high technology.
5. Cities are now granted the authority to bond for street reconstruction w/o going to referendum. The
work has to be part of a 5-year ClP and approved by City Council. It is subject to reverse referendum.
6. There was no new legislation for financing housing rehab, homeownership programs, or even
affordable housing.
7. Cities no longer have to approve a Resolution to participate in the Metro Council's LCA Program every
year. Cities can "opt out" of the program with notice at nay time.
8. A word of caution: If the economy continues to slide and deficits are over $300 million, then second
half LGA payments may be in jeopardy, so watch the state revenue forecasts closely over the next few
months.
This is all that seemed to pertain to our CD Department. I can get more info if anyone is interested.
Mark
CC: Tim Johnson
oyageurs' Montessori School
825 51~ Avenue N. E.
Columbia Heights, MN 55421
763-788-0889
dUl',l I 7 2002
June 14,2002
Dear Bob Streetar and Mark Nagel,
Thank you for the time you gave us today. We greatly appreciate your support for our
school. Your suggestions were very helpful. Our goal is to remain in Columbia Heights
and we are so pleased that you want us to stay.
We will be in touch with you as we follow up on your suggestions and look forward to
continue working with you.
We invite you to visit our school. Please call to let us know when you can come. Thank
you again for your time and help.
/Karen Smith, AdministratOr
Anne McLaughlin, Montessori Teacher
Gail Hoffman, Grandparent of Student and resident of Columbia Heights
May 21, 2002
I EHLERS
& ASSOCIATES INC
Randy Schumacher
City of Columbia Heights
590 40a Avenue N.E.
'Columbia Heights, MN 55421-3878
Request for Certification of the Modification to Housing Redevelopment Tax Increment Financing
District No. 1.
This letter is to confirm that Ehlers & Associates, Inc. has delivered the following documents to the
appropriate state and county agencies regarding the modification to the Downtown Central Business District
(CBD) Revitalization Plan for the CBD Redevelopment Project and the modification to the Tax Increment
Financing Plan for Housing Redevelopment Tax Increment Financing District No. 1, as approved by the City
Council on December 17, 2001. The following action was taken:
(1)
A letter dated May 21, 2002 was sent to Anoka County accompanied by a copy of the City
Council resolution approving the modification of Housing Redevelopment TIF District No. 1;
a copy of the minutes from the December 17, 2001 City Council meeting; the EDA resolution
adopting the Modified TIF Plan for Housing Redevelopment TIF District No. 1 and the
Downtown CBD Revitalization Plan for the CBD Redevelopment Project; a copy of.the
Modified TIF Plan and the Downtown CBD Revitalization Plan; the County Auditor's Certificate
as to Original Net Tax Capacity and Original Local Tax Rate; a list of the parcels included in
Housing Redevelopment TIF District No. 1; and a copy of the Tax Increment Financing
Certification Request Supplement Form;
(2)
A letter dated May 21, 2002 was sent to the Minnesota Department of Revenue along with a
copy of the City Council resolution; a copy of the City Council minutes; a copy of the EDA
resolution; a copy of the Modified Plan and the Downtown CBD Revitalization Plan; and a copy
of the Tax Increment Financing Certification Request Supplement Form.
Enclosed is a compilation of all the documents related to the modification of Housing Redevelopment TIF
District No. 1 and the Downtown CBD Revitalization Plan. If you have any questions on this or any other
matter, please contact me at 651-697-8504.
Sincerely,
EHLERS & ASSOCIATES, INC.
Shelly Eldridge
Financial Advisor
Enclosures
cc: Walt Fehst, City of Columbia Heights
Mark Nagel, Columbia Heights Economic Development Authority
Dan Greensweig, Kennedy & Graven, Chartered
Equal Opportunity Employer
LEADERS IN PUBLIC FINANCE
Charter Member of the National Association
of Independent Public Finance Advisors
3060 Centre Pointe Drive, Roseville, MN 55113-1105 651.697.8500 fax 651.697.8555 www.ehlers-inc.com
Fixing Up Your House?
6% loans from the City of Columbia Heights can help you get started.
Owner-occupied cape cod or rambler style hames (1 - 1.5 story)
built before 1970 may qualify/for a 6% Iow-interest loan. Most
pro,acts are eligible for funding: interior or exterior, maintenance
or general remodeling.
Community_ Fix-Up Fund
~tterest Rate:
Maximum loon:
Maximum Term:
Annual Household
Zncome Limit:
6%
$35,ooo
20 year's
$8~.ooo
Apply now. this interest rate is o~ly available until ~Tuly 32. 2002.
Call (6].2) 335-5884 for more information or to request an application.
fiMINNEiiYTA
COMMUIdTY
~rVITALJZA'ri(xt fiNANCE
Community Revitalization Resources
211 North 1st Street, Suite 455
Minneapolis, MN 55401
Att
06/11/02 11:25 FAX 612 335 2650 CENTER FOR ENERGY & ENVI ~002
Community Revitalization Resources
www.mnc~.org
211 North 1~ Street, Suite 455 · Mim~,apolls, Minnesota 55401 · Phone: (612J 335-5880 · Fax; (612) 335.2650
TO:
FROM:
SUBJECT:
DATE:
/MORANDUM
Mark Nagel, City~Columbia Heights
Dave King, CEE~
Program Update ~
June 11,2002
Below is an update of the Columbia Heights Home Improvement Program totals to date:
Closed Loans:
Program Number of Loans Dollnrs
MH~A Community. Fix-up 49 $633,858
MI-IFA Fix-up 28 $328,350
MI-IFA Home Energy 4 $6,961
MI-IFA i~ental Rehab 6 $136,197
CEE Rental Energy Loan 5 $41,531
CDBG Loans/Grants 19 ~242,517
ACORN 1 $487
TOTAL 112 $1,389,901
Of the 77 loans originated through the MHFA Fix-up Fund and Community Fix-up Fund
programs, 56 of them utilized Columbia Heights Discount Loan Program funds totaling
$34,920.12.
Currently, there are 11 loan applications in process.
If you have any questions or comments, please contact me at (612) 335-5889.
Thank yom
~ EQU~L. HOUSJN~ LENO~R
,4 div~ion of the Center for Energy' and Environment · Equat Opportunity Employer
CITY OF COLUMBIA HEIGHTS
590 40th Avenue N.E., Columbia Heights, MN 55421-3878 (763) 706-3600 TDD (763) 706-3692
Visit Our Website at: www. ci. columbia-heights, mn. us
HRA COHHISSIONERS
HarLaine Szurek
Dennis Ecktund Jr.
Jutienne Wyckoff
Gary L. Peterson
Bobby W~t[Jams
Bruce #aurockJ
HOUSING & REDEVELOPMENT AUTHORITY (HRA)
June 19, 2002
Diane C. Cmiel, Director
Office of Public Housing
U.S. Dept. of Housing and Urban Development
920 Second Avenue South
Minneapolis, MN 55402
Subject: FFY 2000 Capital Funds Program
Project MN46P 10550100
Dear Ms. Cmiel:
Thank you very much for the reminder letter regarding the above subject. The HRA is currently
working with the engineering finn of TKDA to update the CFP in time for the July 18~, HRA
meeting. Based on the results of the CFP update, outlining priorities for capital expenditures, the
HRA will enter into a contract(s) to begin work by the September 30~ deadline. As always, we
will keep Mr. Kowalcyzk, who has been of great assistance to us, informed of the progress.
If you have any questions, please contact Mark Nagel, Housing Assistant at (763)706-3677.
Again, we look fonvard to utilizing the funds to make Capital Improvements to Parkview Villa
North.
Sincerely,
Walt Fehst
City Manager
CC.
Bob Streetar, Community Development Director
Mark Nagel, Housing Assistant
H:\Parkview Villa\Capital Fund Program Ltr 6-19-2002
THE C1TY OF COLUMBIA HEIGHTS DOES NOT DISCRIMINATE ON THE BASIS OF DISABILITY IN EMPLOYMENT OR THE PROVISION OF SERVICES
EQUAl OPPORTUNITY EMPLOYER
MEMORANDUM
DATE: July 10, 2002
TO: &'~/2t Board of Commissioners
FROM: Mark Nag~ousing Assistant
RE: Anoka County Housing Needs Report
As you can see from the attached report, Anoka County I-IRA has released the
preliminary findings of a study conducted by Max field Research, Inc. of housing needs in Anoka
County. The study was done by the premier housing market analysts in the Metro Area, yielded
some very interesting statistics and trends for both Anoka County and Columbia Heights.
The study notes that county-wide housing redevelopment is becoming a more critical
issue, as housing begins to be concentrated in those areas that have sewer and water. They also
note a strong opportunity to combine housing with the proposed Northstar Commuter Rail
system. It's no surprise to you that housing prices are increasing rapidly, but what you may not
have known is that the average sale price of a home in Columbia Heights has jumped nearly
$50,000 in 5 years to just under $150,000. As for the rental market, overall vacancy rates
county-wide are at 4.8%, but in Columbia Heights it is at 1.5% at the fn'st quarter mark of 2002.
It is no wonder rents for a 1BR apartment in Columbia Heights has jumped 27.8%, or
$693/month over the past 5 years. This remains a bargain, when compared to $777/month in
Anoka County and $841/month metro-wide. Finally, the report says there is still strong interest
in senior housing of varying products county-wide, since the market penetration rate is only
12%.
Specifically in Columbia Heights, both rents and home values can be expected to increase
in the near future; although below metro-wide averages, as the housing stock is older with fewer
amenities. New rental housing would have to achieve rents of $900/month for a 1BR and
$1,100/month for a 2BR apartment in order to be profitable, which means there will continue to
be strong demand for affordable housing for all incomes and ages. Low vacancy rates being
experienced in Columbia Heights are reducing the availability of product for all market segments
and increasingly those who have income/larger size household constraints, which provides a
good market for landlords and sellers for at least the near future.
The summary that is attached provides you with a capsule review of the findings. I do
have the entire report, if anyone would like more information. Let me know if you have any
further questions or comments. This information will be useful, as the EDA and HRA look at
redevelopment proposals in the next few years.
H:~lemos2002~Anoka Cty Hsg Needs Report
Metropolitan Urban Service Area
1998
7-County Twin Cities Metro Area
2,975 sq. mi.
925 sq. mi. within the MUSA
(3~%)
Ca-'rve r
:'9-sq.-mi:-(8%)----
Scott
36 sq. mi. (10%)
Sources: Metropolitan Council
Maxfieid Research Inc.
i Anoka
(2~%)
Dakota
~ sq. mi. %)-
Fashington_'.
sPlOqosnoH
sqor ~o JeqtunN
~eliOO