HomeMy WebLinkAbout09-16-10 minutesHastings Economic Development and
Redevelopment Authority
6:00 p.m. Hastings City Hall
Minutes of September16, 2010
HEDRA Commissioners Kurt Keena, Pam Holzem, Dennis Peine,Bob Hollenbeck, Anthony Alongi
Danna Elling Schultz,and Ron Toppin,present
Staff present: Community DevelopmentDirector John Hinzmanand Community Relations
Specialist Shannon Rausch,
Q:
UORUM
A quorum was establishedand the meeting was called to order at 6pm with sevenmembers
present.
I. M
INUTES
CommissionerToppin motioned to approve the minutes from the August 12, 2010
meetings, Commissioner Hollenbeck seconded the motion.
Motion approved 7-0
III.B
ILLS
Commissioner Alongi moved to pay the bills. Commissioner Holzem seconded the motion.
Motion Passed 7-0
IV.B
USINESS
A. Signature of TIF Note – Linn Investment Properties.
HEDRA agreed to pay Linn a principal amount of $128,000, together with simple non-
compounding interest on the outstanding principal amount at the rate of 5.75% per annum,
said amounts to be paid on February 1 and August 1 of each year commencing on August
1, 2013 and terminating on February 1, 2029, or until the entire principal amount of and all
accrued interest under this Note has been paid, whichever is earliest.
Commissioner Elling Schultz motioned to adoptthe resolution.Commissioner Alongi
seconded the motion.
Motion passed 7– 0
B.Guardian Angels Term Note – Amendment No. 4
At the August meeting, HEDRA directed staff to prepare an amendment to the Guardian
Angels Term Note on behalf of Sherman and Associates. The current term note was due
on June 30, 2010. The proposed amendment extends the principal amount owed only
($150,000) for an additional two years (June 30, 2012) and requires immediate payment of
all interest accumulated until September 30, 2010 ($50,641.05). Interest at a rate of 7% per
annum would accrue on the principal between now and 2012.
Commissioner Toppin Moved to authorize approval of signatures of the term noted as
presented. Commissioner Hollenbeck secondedthe motion.
Motion passed 7-0
C. DARTS Sublease Agreement of Former UBC Building
The City of Hastings has agreed to sublease a portion of the former UBC Building located
at 415 4th Street E to DARTS for the storage of two busses. DARTS has assumed the dial
a ride transit service previously operated as Hastings TRAC. As owner of the property, the
City is asking HEDRA toconsent to the sublease. The terms of the sublease are similar to
the primary lease and would continue until April 30, 2015, unless otherwise terminated. The
lease may be terminated upon a 90 day notice of either party. DARTS would pay a $300
per month rent.
Elling Schultz movedto authorize signature of this Sublease Agreement with DARTS as
presented by staff, Commissioner Hollenbeck seconded the motion.
Motion passed 7-0
D. Review Marketing RFQ Submittals
The deadline for responses to HEDRA Marketing RFQ was August 20. We received only
one response from Local Pigeon, Inc.
Next steps could include:
1. Hold further discussions with Local Pigeon to try and work with them.
2. Repost the existing RFQ to try and obtain additional responses
3. Contact the firms that didn’t respond and solicit information pertaining to why they
didn’t respond and what might entice them to respond to HEDRA’s RFQ.
HEDRA directed staff to continue conversations with Local Pigeonto see if they are able
to meet all of the requirements listed in the RFQ. Commission also directed staff to
contact Mn/DOT and their consultants working on the Bridge, HimleHorner and see if
there is a way we can partner with them in their marketing efforts. Staff will report back at
the October meeting.
E.Reschedule November HEDRA Meeting to Tuesday, November 9th?
The November HEDRA Meeting falls on November 11th, Veterans Day.
Rescheduling the meeting for another day of that week will keep on schedule for the
planned Hudson bond sale. Commissioners rescheduled the November meeting for
Tuesday, November 9,at 6:00pm.
F. Amendment to Exchange of Property Agreement with Hudson
Due to a couple of typosin the original agreement with Hudson, they have provided a
corrected agreement. Staff is seeking permission to authorize signature of this new
agreement.
Commissioner Hollenbeck authorize signature of the new agreement, Commissioner
Topping seconded the motion.
Motion Passed 7-0
IV.R
EPORTS
A. Hudson Manufacturing Update
Community Development Director Hinzman reported that the due diligence work continues
at H.D. Hudson Manufacturing plant in order to meet the October 25th deadline to satisfy
contingencies per the purchase agreement.Also the Initial title examination work has been
completed and the City Attorney is working with DCA to insure coverage for gaps identified
in the legal description. ALTA survey work will be starting shortlyon the property. The
Phase I Environmental Analysis is complete and identifies potential areas for further
examination. Phase II Analysis hasalsobegun and includes installation of monitoring wells
and soil samples from the site. The lab work is expected in early October. Ehlers and
Associates is preparing for the bond sale in November upon authorization by HEDRA at the
October meeting.
B.Mann Property Update
The closing for the Mann property went well onSeptember 15th. All of Mr. Mann’s stuff has
been removed from the property and Community Development Director Hinzman is
coordinating with City Parks Department to make sure it is on the maintenance/mowing
schedule.
C. TH 61 Bridge Update:
The groundbreaking for the new TH 61 Bridge is scheduled for 11:00am on September
nd
22in Levee Park. MN/DOTwill also hold an open house to review concept plans later that
day at City Hall from 12- 6:30pm.
D. Red Rock Update:
Red Rock Commission has $600,000 to build a nextpark and ride parking lot in Downtown
Hastings on Block 16. Next step of the City to get Transit buses from Hastings into the
Metro will be to opting into Met Transits Taxing district. One option under consideration is to
conduct a three year demonstration, which would cost an estimated $1 million.
A:
DJOURNMENT
Commissioner Elling Schultz moved to adjourn at 6:45 p.m., Commissioner Alongiseconded.
Motion Passed 7-0
Thursday,October 14, 2010
Next meeting is scheduled for at 6:00pm in the Council Chambers.
Shannon M. Rausch,
HEDRA Secretary