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CITY OF COLUMBIA HEIGHTS
590 40th Avenue N.E.. Columhia Heights, MN 55421.3878 (763) 706.3600 TDD (763) 706.3692
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AGENDA
COLUMBIA HEIGHTS ECONOMIC DEVELOPMENT AUTHORITY
7:00 PM
January 23, 2008
Parkview Villa, 965 40lh Avenue NE, Columbia Heights
1. Call to Order/Roll Call
Gary L. Peterson, President
Position Open, Vice President
Bruce Kelzenberg, Secretary/Treasurer
Tammera Diehm
Bobby Williams
Bruce Nawrocki
Marlaine Szurek
2. Pledge of Allegiance
CONSENT AGENDA
3. Election of Officers
President
Vice President
Secretary/Treasurer
4. Approve Minutes of November 27, 2007 and financial report and payment of bills for
November and December 2007, on Resolution 2008-01.
Motion: Move to Approve the minutes and Resolution 2008-01, approving the
Financial Report and payment of bills for the months of November and December,
2007.
BUSINESS ITEMS
5. Adopt Resolution 2008-02, 2008 CDBG Application
Motion: Move to Adopt Resolution 2008-02, a Resolution of the Economic
Development Authority of the City of Columbia Heights, Minnesota authorizing
Application for the 2008 Anoka County Community Development Block Grant
(CDBG) funding for the purpose of subsidizing the acquisition of the Commercial
properties at 3700 and 3706 Central Avenue (Chutney Indian Grill) in the amount of
$300,000, to submit said application to Anoka County.
6. Other Business
7. Adjournment
The next regular EDA meeting will be Tuesday, 26, 2008 at City Hall.
THE CITY OF COLUMBIA HEIGHTS DOES NOT DISCRIMINATC ON THE BASIS OF DISABILITY IN EMPLOYMENT OR THE PROVISION OF SERVICES
EQUAL OPPORTUNITY EMPLOYER
ECONOMIC DEVELOPMENT AUTHORITY (EDA)
REGULAR MEETING MINUTES
NOVEMBER 27, 2007
CALL TO ORDER- by President, Gary L. Peterson at 7:02 p.m.
ROLL CALL
Present: Gary L. Peterson, Bobby Williams, Bruce Nawrocki, Tammera Diehm,
Marlaine Szurek and Bruce Kelzenberg
PLEDGE OF ALLEGIANCE
CONSENT AGENDA
Approve Minutes of October 23, 2007 regular meeting and the Financial Report and
Payment of Bills for the month of October on Resolution 2007-25.
Motion by Nawrocki, second by Williams, to approve the consent agenda. All ayes.
Motion Carried.
EDA RESOLUTION 2007-25
RESOLUTION OF THE COLUMBIA HEIGHTS ECONOMIC DEVELOPMENT AUTHORITY (EDA) APPROVING THE FINANCIAL
STATEMENT FOR OCTOBER 2007 AND PAYMENT OF BILLS FOR THE MONTH OF OCTOBER 2007.
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 EOA'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 October 2007 and the list of bills for the month of October 2007 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 27th day of November 2007.
BUSINESS ITEMS
Resolution 2007-26, Contract for Private Redevelopment
Kirsten Partenheimer stated before you is a Contract for Private Redevelopment of the
property located at 3805 2nd Street. Bill Beulow from GMHC is here tonight to answer
any questions the board may have. The rental property currently contains a small
single-family home, which was deemed uninhabitable by the building official due to a
fire on September 7, 2007. The owners, Lisa and Steve Peterson came to the City for
help as they realized it wouldn't be profitable to repair the home and were unable to find
new investors. The home was built in 1922, is approx. 732 sq feet of living space, lot
size of 80 x 130 feet, zoned R-2A (one and two family residential), and is comprised of
two legal lots of record, facing 2nd Street. Upon acquisition, GMHC would demolish the
home to build two new single-family homes similar to the ones they are building at 4141
Economic Development Authority Meeting Minutes
November 27, 2007
Page 2 of 4
Jefferson Street. Each home would be two stories, three bedrooms, have two one and
a half baths, approximately 1,650 square feet and would sell for a targeted price of
$235,000. Cost to acquire and construct two new homes on the property would be
approximately $556,647 and would require an estimated $86,647 offunding assistance.
The gap would be funded from the Anoka County HRA levy that was approved on
September 10, 2007. City Council would pass a resolution requesting the funds from
Anoka County HRA, which was approved last night.
Nawrocki asked if the owners have been paid for the fire damages from their insurance
company. Streetar stated he believed they did receive some money, but he didn't know
how much. Nawrocki stated he would not support this motion at this time.
Motion by Diehm, second by Kelzenberg, to Adopt Resolution 2007-26, a Resolution
Approving a Contract for Private Redevelopment between the Columbia Heights
Economic Development Authority and the Greater Metropolitan Housing Corporation
(GMHC); and furthermore, to authorize the President and Executive Director to enter
into an agreement for the same.
Upon Vote: Szurek-aye, Kelzenberg-aye, Diehm-aye, Williams-aye, Nawrocki-nay, and
Peterson-aye. Motion Carried.
RESOLUTION NO. 2007-26
RESOLUTION APPROVING A CONTRACT FOR PRIVATE REDEVELOPMENT BETWEEN THE COLUMBIA
HEIGHTS ECONOMIC DEVELOPMENT AUTHORITY AND GREATER METROPOLITAN HOUSING CORPORATION
BE IT RESOLVED By the Board of Commissioners ("Board") oftha Columbia Heights Economic DevelopmentAulhority("Authority")
as follows:
Section 1. Recitals.
1.01. The Authority has determined a need to exercise the powers of a housing and redevelopment authority, pursuant to Minnesota
Statutes, Sections. 469.090 to 469.108 ("EDA Act"), and is currently administering the Downtown CaD Redevelopment Project
("Redevelopment Project") pursuant to Minnesota Statutes, Sections 469.001 to 469.047 ("HRA Act").
1.02. The Authority and the Greater Metropolitan Housing Corporation (the "Redeveloper") have proposed to enter into a Contract
for Private Redevelopment (the "Contract"), setting forth the terms and conditions of redevelopment of certain property within the
Redevelopment Project located at 3805 Second Street and described as Lots 19 and 20, Block 71, Columbia Heights Annex to Minneapolis
(the "Redevelopment Property").
1.03. Pursuant to the Contract, the Redeveloperwill acquire the Redevelopment Properly from a third party owner, divide the
property into two lots and construct two single family homes with a target price of $235,000 each, and the Authoritywill provide certain financial
assistance in that effort.
1.04. The activities of the Authority under the Contract implement housing goals of the City's Comprehensive Plan: "Promote
and preserve the single-family housing stock as the community's strongest asset." and "Provide a variety of life~cycle housing opportunities
within the community."
1.05. The Board has reviewed the Contract and finds that the execution thereof and performance of the Authority's obligations
thereunder further the goals of the Comprehensive Plan and are in the best interests of the City and its residents.
Section 2. Authoritv Aooroval' Further Proceedinas.
2.01. The Contract as presented to the Board is hereby in aU respects approved, SUbject to modifications that do not alter the
substance of the transaction and that are approved by the President and Executive Director, provided that execution ofthe documents by such
officials shall be conclusive evidence of approval.
2.02. The President and Executive Director are hereby authorized to execute on behalf of the Authority the Contract and any
documents referenced therein requiring execution by the Authority, and to carry out, on behalf of the Authority its obligations thereunder.
2.03. Authority and City staff are authorized and directed to take all actions to implemenlthe Contract.
Approved by the Board of Commissioners of the Columbia Heights Economic Development Authority this 2ih day of November 2007.
Economic Development Authority Meeting Minutes
November 27, 2007
Page 3 of4
Resolution 2007-27. GMHC Consultina Services Aareement for 2008
Partenheimer stated the Greater Metropolitan Housing Corporation has been providing
services to the residents of Columbia Heights since 2002. The services provided are:
information on home rehabilitation or mortgage foreclosure prevention, construction
consultation, access to funds through MHFA Fix-Up loans, the Rebah Incentive Funds
or the new single-family Deferred Loan Program. The cost of the program for 2008 is
$15,000, the same as in previous years. Suzanne Snyder of GMHC is here tonight to
answer any of your questions.
Diehm stated she was aware of these programs, thinks it's vety important and
beneficial for the residents of Columbia Heights and would like to commend them on
the work they have done for our City.
Peterson asked if Snyder could tell them a little about what services they provide.
Snyder stated she brought with her Denise London, program coordinator at the
northeast Housing Resource Center. Snyder stated she wanted to share a few numbers
with you. They have been working with the City of Columbia Heights for about five and
a half years. During that time they have provided services to 908 households, a total of
over 1,800 services have been provided, 512 construction management services, over
145 site visits, and 56 scopes of work. The rebate program is one of the most
successful programs in the Twin City area. Since the program started we have given
back a total of $115, 000 to residents, which comes out to $1,145,000 of improvements.
It has been their pleasure to work with the City.
Motion by Diehm, second by Kelzenberg, to Adopt Resolution 2007-27, a Resolution
Approving the 2008 Consultant Services Agreement with the Greater Metropolitan
Housing Corporation (GMHC); and furthermore, to authorize the President and
Executive Director to enter into an agreement for the same. All ayes. Motion Carried.
EDA RESOLUTION NO. 2007-27
A RESOLUTION APPROVING THE 2008 CONSULTANT SERVICES AGREEMENT WITH THE GREATER METROPOLITAN HOUSING
CORPORATION (GMHC) AND APPROPRIATING $15,000 FROM FUND 207 - HOUSING MAINTENANCE FUND FOR THE SAME.
WHEREAS, the Greater Metropolitan Housing Corporation (GMHC) has agreed to provide consulting services.
WHEREAS, the Columbia Heights Economic Development Authority through its Comprehensive Plan has established as a goal the
preservation of the single~family housing stock.
WHEREAS, the Greater Metropolitan Housing Corporation has provided housing preservation services since 2002.
WHEREAS, the residents have found these services to be a significant assistance to help preserve and maintain their homes.
THEREFORE, BE IT RESOLVED, that the EDA approves the 2008 Consultant Services Agreement with the Greater Metropolitan Housing
Corporation and appropriates $15,000 from Fund 207 - Housing Maintenance Fund for the same.
Passed this 2ih day of November 2007.
Economic Development Authority Meeting Minutes
November 27, 2007
Page 4 of 4
Resolution 2007-28, GMHC Rehab Incentives and Deferred Loan Aqreements
Partenheimer stated the EDA is being asked to provide funding for these programs.
Staff is requesting authorization of $45,137 of funding for the Columbia Heights Rehab
Incentive Program and $30,643 for the new single-family home Deferred Loan Program.
The Rehab Incentive Program is designed to assist homeowners in maintaining and
improving their homes by providing rebate payments of 10%, 12% or 15%, up to
$3,000.
Another program is the Single-Family Home Deferred Loan Program would provide no
or low interest loans to homeowners of lower income to complete structural
improvements, such as exterior improvements related to the health and safety, code
violations or energy efficiency, such as windows, siding and roofs would be eligible.
Repayment of the loan, plus interest of two percent would be required upon sale or
transfer of the home, which would be returned to the funds for use by another
homeowner. Owners are eligible for up to $7,500. A lien applied to the property by
Anoka County ensures that the loan will be repaid.
Motion by Kelzenberg, second by Szurek, to Adopt Resolution 2007-28, a Resolution
Approving funding for the Rehab Incentive Program in the amount of $45,137 and the
Single-Family Home Deferred Loan Program in the amount of $30,643 to the Greater
Metropolitan Housing Corporation (GMHC) from Fund 207- Housing Maintenance
Programs.
Upon Vote: Szurek-aye, Kelzenberg-aye, Diehm-aye, Williams-aye, Nawrocki-aye, and
Peterson-aye. Motion Carried.
EDA RESOLUTION NO. 2007-28
A RESOLUTION APPROVING FUNDING FOR THE REHAB INCENTIVE PROGRAM ($45,137) AND THE SINGLE-FAMILY HOME
DEFERRED LOAN PROGRAM (SFHD) ($30,643) TO THE GREATER METROPOLITAN HOUSING CORPORATION (GMHC)
WHEREAS, the Columbia Heights Economic Development Authority (EDA) through its Comprehensive Plan has established as a
goal the preservation of the single-family housing stock.
WHEREAS, the EDA approved the Housing Maintenance Plan 2008-2017 to improve and maintain the residential homestead
housing stock.
WHEREAS, the Greater Metropolitan Housing Corporallon has agreed to provide consulting services.
WHEREAS, the Greater Metropolitan Housing Corporation has provided housing preservation services since 2002.
THEREFORE, BE IT RESOLVED, that the EDA allocates $45,137 for the Rehab Incentive Program and $30,643 for the Single-
Family Home Deferred Loan Program to the Greater metropolitan Housing Corporation from Fund 207 - Housing Maintenance
Programs.
Passed this 27th day of November 2007.
ADJOURNMENT
President, Peterson, adjourned the meeting at 7:39 p.m.
Respectfully submitted,
Cheryl Bakken
Community Development Secretary
H:\EDAminutes2007\ 11-27 -2007
COLUMBIA HEIGHTS ECONOMIC DEVELOPMENT AUTHORITY (EDA)
Meeting of: January 23, 2008
AGENDA SECTION: Consent Agenda ORIGINATING EXECUTIVE
NO: 3 DEPARTMENT: EDA DIRECTOR
APPROVAL
ITEM: Election of Officers BY: Cher Bakken BY:
DATE: January 14, 2008
BACKGROUND: The Bylaws of the Columbia Heights EDA specify in Article II-Section 1, that
the offices of President, Vice-President, Secretary, and Treasurer be elected annually.
We have attached a Transcript of Proceedings outlining the process for nomination of persons
to the various offices.
According to Article III-Section 4 four commissioners constitutes a quorum, and as such,
election of officers may be held.
RECOMMENDATION: Move to cast a unanimous ballot nominating and appointing
for President, for
Vice President,
for Secretary;
for Treasurer.
RECOMMENDED MOTION: Move to cast a unanimous ballot nominating and appointing
for President; for Vice President;
for Secretary; for Treasurer.
Attachment
EDA ACTION:
H:\consent Form2008\EDA Election of Officers
EDA ELECTION PROCEDURES
. We will know have the Election of Officers.
. Nominations are know being taken for the office of (Office).
(After a nomination is made)
1.
has been nominated.
2. Are there any other nominations?
3. Are there any other nominations?
4. Are there any other nominations?
5. If NONE - All those in favor say aye. Opposed nay.
6. The chair declares
elected as (Office).
COLUMBIA HEIGHTS ECONOMIC DEVELOPMENT AUTHORITY (EDA)
Meeting of January 23, 2008
AGENDA SECTION: Consent Agenda ORIGINATING EXECUTIVE
NO: 4 DEPARTMENT: EDA DIRECTOR
APPROVAL
ITEM: Financial Report and Payment of Bills BY: Cher Bakken BY:
DATE: Januarv 14, 2008
BACKGROUND:
The bound Financial Report for the months of November and December 2007 draft Resolution 2008-01
is attached for review. The enclosed Financiai Report lists the Summary (white), the Check History
(Green), the Expenditure Guideline with Detail (blue) and Revenue Guideline with detail (yellow) for
each fund. The reports cover the activity in the calendar (fiscal) year from January 1 through
December, 2007.
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 2008-01, Resolution of the Columbia Heights Economic Development
Authority (EDA) approving the Financial Statement and Payment of Bills for the months of November
and December 2007.
EDA ACTION:
H:\EDAConsent2008\November December Fin Rep 2007
EDA RESOLUTION 2008-01
RESOLUTION OF THE COLUMBIA HEIGHTS ECONOMIC DEVELOPMENT AUTHORITY
(EDA) APPROVING THE FINANCIAL STATEMENT FOR NOVEMBER AND DECEMBER 2007
AND PAYMENT OF BILLS FOR THE MONTHS OF NOVEMBER AND DECEMBER 2007.
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 November and December 2007 and the list
of bills for the months of November and December 2007 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
,2008.
MOTION BY:
SECONDED BY:
AYES:
NAYS:
President
Attest by:
Cheryl Bakken, Assistant Secretary
H:\Resolutions2008\EDA2008-01 fin November December 2007
COLUMBIA HEIGHTS ECONOMIC DEVELOPMENT AUTHORITY (EDA)
Meeting of: January 23, 2008
AGENDA SECTION: Business Items ORIGINATING EXECUTIVE
NO.5 DEPARTMENT: EDA DIRECTOR
APPROVAL
ITEM: Adopt Resolution 2008-02, Authorizing BY: Kirsten Partenheimer BY:
Application for 2008 Community DATE: January 17, 2008
Development Block Grant Funding
BACKGROUND: The CDBG program is the federal government's primary program for promoting
community revitaiization throughout the country and provides annual grants on a formula basis to Anoka
County. The objective of the US Department of Housing and Urban Development-administered program is
to develop viable urban communities that provide decent, safe, and sanitary housing, a suitable living
environment and expanded economic opportunities primarily for persons of low and moderate incomes.
In January 2002, the City Council identified the area at the corner of 3ih Avenue and Central as a
redevelopment priority. The properties included the Beecroft building, two non-conforming single-family
homes, and the Chutney Indian Grill (and adjacent parking lot). The City used CDBG funds to acquire and
demolish the single-family homes and the Beecroft building.
At its October 23, 2007 meeting, the EDA entered into a predevelopment agreement with Chris Little of
CRO.S. Companies LLC to redevelop the properties (excluding Puerta Del Sol). Mr. Little has proposed
building five retail outlets, totaling approximately 10,000 square feet of commercial space. A site plan will
be presented to the Planning Commission on February 6, 2008 and the City Council on February 11,2008.
Staff recommends the EDA authorize submission of an application for Community Development Block
Grant funds in the amount of $300,000 for subsidizing the acquisition of the Chutney Indian Grill (and
adjacent parking lot). If the redevelopment project does not come to fruition, the EDA would be able to
reallocate these funds to other qualifying projects. Anoka County will notify approved projects in April
2008.
RECOMMENDATION: Staff recommends submitting the 2008 Community Development Block Grant
Program Application for subsidizing the acquisition of the Chutney Restaurant at 3700 and 3706 Central
Avenue NE.
RECOMMENDED MOTION: Move to Adopt Resolution 2008-02, a Resolution of the Economic
Development Authority of the City of Columbia Heights, Minnesota authorizing Application for the 2008
Anoka County Community Development Block Grant (CDBG) funding for the purpose of subsidizing the
acquisition of the Commercial properties at 3700 and 3706 Central Avenue (Chutney Indian Grill) in the
amount of $300,000, to submit said application to Anoka County.
EDA ACTION:
RESOLUTION 2008-02
A RESOLUTION OF THE ECONOMIC DEVELOPMENT AUTHORITY OF THE CITY OF
COLUMBIA HEIGHTS, MINNESOTA AUTHOIUZING APPLICATION FOR 2008 ANOKA
COUNTY COMMUNITY DEVELOPMENT BLOCK GRANT (CDBG) FUNDING FOR THE
PURPOSE OF SUBSIDIZING THE ACQUISITION OF TI-IE COMMERCIAL PROPERTIES
AT 3700 AND 3706 CENTRAL AVENUE (CHUTNEY INDIAN GRILL) IN THE AMOUNT OF
$300,000, TO SUBMIT SAID APPLICATION TO ANOKA COUNTY
WHEREAS, the City identified the area including the former Beecroft property, two non-conforming,
single-family homes, and the Chutney Indian Grill as a redevelopment priority in January 2002; and,
WHEREAS, the use ofCDBG grants for acquisition is consistent with the program's national objective
of aiding in the prevention and elimination of slums or blight; and,
NOW, THEREFORE BE IT RESOLVED that the Columbia Heights EDA acts as the legal sponsor
for the 2008 Community Development Block Grant Program to be submitted on January 14,2008; and,
BE IT FURTHER RESOLVED that the Columbia Heights EDA has the legal authority to apply for
financial assistance, and the intuitional, managerial and financial capability to ensure adequate project
administration; and,
BE IT FURTHER RESOLVED that the Columbia Heights EDA has not violated any federal, state, or
local laws pertaining to fraud, bribery, graft, kickbacks, collusion, connict of interest or unlawful or
corrupt practice; and,
BE IT FURTHER RESOLVED that the mayor and city manager are herby authorized to execute such
agreements as are necessary to implement the project(s) on behalf of the applicant; and,
NOW, THEREFORE BE IT RESOLVED that the Columbia Heights Economic Development
Authority has authorized staff to submit an application for $300,000 for subsidizing the acquisition of
properties at 3700 and 3706 Central Avenue (Chutney Indian Grill).
I certify that the above resolution was adopted by the Columbia Heights Economic Development
Authority.
PASSED TI-llS DAY OF
OFFERED BY:
SECONDED BY:
ROLL CALL:
,2008
President
Walter R. Fehst - Executive Director