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HomeMy WebLinkAboutHEDRA Packet 20120112HASTINGS ECONOMIC DEVELOPMENT & REDEVELOPMENT AUTHORITY . January 12, 2012, 6:00 pm City Hall Council Chambers I. Quorum A.Oath of Office - Keena II. Minutes – December 8, 2011 meeting III. Bills IV. Business A.Election and Appointment of Officers B.Resolution – Dakota CDA Redevelopment Grant – Hudson C.Authorize Signature – Mortgage Satisfaction –Biermann D.Schedule Special HEDRA Workshop – February 16, 2012 E.Review Special HEDRA Workshop Agenda V. Reports and Information A.Hudson Redevelopment – National Historic Register Nomination B.Hudson Redevelopment – Environmental Update C.Fire Alarm Installation Update D.Marketing Plan Update VI. Adjourn Next Meeting: Special WorkshopMeeting – February 16, 2012 HEDRA AGENDA NOTES FOR JANUARY 12, 2012 OATH OF OFFICE On December 19, 2011 the City Council unanimously approved the reappointment of HEDRA Commissioner Kurt Keena until December 31, 2017. The Oath of Office will be administered at the meeting. Please see attached Oath of Office Form for further information. MINUTES Please see attached HEDRA Meeting minutes from the December 8, 2011 regular meeting for your review and approval. BILLS DecemberBills Alarm Express*$24,728.09Fire Alarm Installation-6buildings Himle Rapp$3,023.13Marketing Services -November Centerpoint Energy$1,938.40Heat -Hudson Hastings Star Gazette$610.00Industrial Park Ad –Community Guide HEDRA Commissioners$62.002011 Meeting Compensation *Reimbursable Expense Please see attached general ledger detail for further information. BUSINESS A.Election and Appointment of Officers The following annual elections and appointments are due: Appoint President, Vice-President, and Treasurer, to be electedfrom citizen commissioners. Reappoint Shannon Rausch as Secretary Reappoint Charlene Stark, Finance Director as Assistant Treasurer Designate Dan Fluegel, City Attorney; and Robert Deike as Legal Counsel. B.Dakota County CDA Redevelopment Incentive Grant Staff is preparing to submit the following applications for the Dakota County Community Development Agency’s Redevelopment Incentive Grant: 1) Redevelopment Grant - $110,000. Funding to be used for demolition of the 1974 portion of the Hudson building. If the grant is successful, HEDRA would have the entire estimated demolition cost of $250,000 in grant funding. 2)Planning Grant - $15,000. Funding to be used for future market study of Hudson redevelopment concepts. ACTION: Adopt HEDRA Resolution No. 2012-01 authorizing submittal of the applications Please see the attached Resolutionfor further information. C.Mortgage Satisfaction – Biermann Marcia Biermann, owner of 1413 Maple Street seeks execution of a mortgage satisfaction statement. She has agreed to pay $1,500 of the remaining balance of her HEDRA Residential Rehabilitation Loan. The outstanding balance of the loan as of January 2, 2012 is $6,034.At the August 11, 2011 meeting, HEDRA discussed forgiveness of the loan if $250 per month was paid during the foreclosure redemption period. Ms. Biermann has agreed to make the $1,500 payment. The foreclosure notice was delivered on December 27, 2011. On August 9, 2011 Ms. Biermann submitted a letter requesting forgiveness of a Residential Rehabilitation Loan. The letter reiterates the nature and reasons for the original loan. Ms. Biermann experienced an unexpected replacement of a private sewer service to her home at 1413 Maple Street. The cost of repair was assessed against her property. The $9,100 repair was greater than the typical cost of $3,000 - $5,000 and was not eligible for assessment abatement. In 2009 Ms. Biermann shared that she is experiencing financial difficulties and was filing for bankruptcy in order to modify the principal loan on her home. The loan modification was approved in May 2010, but was not financial feasible for her. In July, 2011 she received a mortgage foreclosure letter. She anticipates foreclosure th notice to be delivered anytime after August 15 . HEDRA authorized the loan on September 10, 2009. The secondary mortgage, agreement and promissory note were executed on November 2, 2009. The original loan amount was $7,589.41. $4,000 of the original loan was to be repaid upon sale of the property. The remaining $3,589.41 was a five year forgivable loan, decreasing 20% annually. $1,555.41 of the original loan has been forgiven as of January 2, 2012. The remaining $6,034 consists of the $4,000 to be repaid on sale, and $2,034 of the outstanding forgivable loan. ACTION: Authorize signature of the Mortgage Satisfaction Agreement. Please see the attached Mortgage Satisfaction Agreement for further information. D.HEDRA Workshop – February 16, 2012 At the December HEDRA meeting Commissioners discussed holding a special HEDRA workshop in early 2012. Staff has tentatively scheduled the meeting for th Thursday, February 16 at 6:00pm in the Volunteer Room at City Hall. Jessica Cook from Ehlers, our financial\TIF consultant would be available to attend the th meeting. Due to the proximity with the regular HEDRA meeting on February 9, th HEDRA may consider cancelling the February 9 meeting. Any items needing immediate attention in February could be done during a quick regular meeting on th the 16 prior to the workshop. ACTION: Schedule a Special HEDRA Workshop Meeting for February 16, thth 2012, and consider rescheduling the regular February 9meeting to the 16, for items of immediate attention. E.HEDRA Workshop Agenda Please see the attached draft agenda for the HEDRA Workshop. Hudson Redevelopment and Marketing Plan next steps are on the agenda. ACTION: Review and comment at the meeting REPORTS A.Hudson Redevelopment – National Historic Register Nomination th At their December 20 meeting, the Heritage Preservation Commission (HPC) voted 5-0 (2 abstentions) to recommend nomination of the Hudson property to the National Register of Historic Places. John Hinzman attended the meeting on behalf of HEDRA and asked that the HPC consider delaying any recommendations until further economic and market data is available for the site. th The HPC will likely review the final nomination form at their January 17 th meeting, and may submit the request to the City Council as early as February 6 B.Hudson Redevelopment – Environmental Update Dakota County will be conducting a survey of all wells, boring points, and test th pits on January 9. A more accurate survey of bedrock depth and soil thickness is also being conducted; initial borings have shown the depth to vary between 2 and 24 feet. The additional data is necessary to better target the extent of contamination on the site. All environmental costs continue to be paid for via the Dakota County EPA Grant. C.Fire Alarm Installation Update During the month of Decemberthe following hard wire alarms systems were completed: 113East 2 nd Street$5,334.47 nd 208 East 2Street$3,380.91 nd 214\216 East 2Street$4,259.02 nd 218 East 2Street$3,846.66 405 Vermillion Street$3,698.53 411 Vermillion Street$4,208.50 Only ten systems remain to be installed. Works should be completed in the next few months. D.Marketing Plan Update Now that the plan has been completed and approved and the final bill has been submitted here is a recap of what HEDRA budget for and where it came inat. HEDRA had a two-part budget; one part was for the base research and plan itself. That was to not exceed $18,000 (8,000 in 2010 and 10,000 in 2011.) The second part of the budget was for the marketing audit in-depth analysis that Himle Horner did. That was to not exceed $13,000. HEDRA’s total budget for both parts was not to exceed $31,000 and our final bill totaled right at $30,250 which put us under budget by not quite $1,000. ATTACHMENTS Oath of Office Form - Keena HEDRA Minutes –December 8, 2011 General Ledger Detail –December, 2011 Resolution – Dakota CDA Grant Submittal Mortgage Satisfaction Agreement - Biermann Draft Special Workshop Agenda éÈÛÈ×ÍÖïÓÎÎ×ÉÍÈÛ ùÓÈÃÍÖôÛÉÈÓÎÕÉ éé ùÍÇÎÈÃÍÖøÛÑÍÈÛ   íÛÈÔÍÖíÖÖÓÙ×   óñÇÊÈñ××ÎÛØÍÉÍÐ×ÏÎÐÃÛÖÖÓÊÏÈÔÛÈóÅÓÐÐÉÇÌÌÍÊÈÈÔ×ÙÍÎÉÈÓÈÇÈÓÍÎÍÖÈÔ×çÎÓÈ×ØéÈÛÈ×É ÍÖûÏ×ÊÓÙÛÈÔ×ÙÍÎÉÈÓÈÇÈÓÍÎÍÖÈÔ×éÈÛÈ×ÍÖïÓÎÎ×ÉÍÈÛÛÎØÈÔ×ÍÊØÓÎÛÎÙ×ÉÍÖÈÔ×ùÓÈÃÍÖ ôÛÉÈÓÎÕÉÛÎØÈÔÛÈóÅÓÐÐÖÛÓÈÔÖÇÐÐÃØÓÉÙÔÛÊÕ×ÈÔ×ØÇÈÓ×ÉÍÖ÷øêû¦÷ÙÍÎÍÏÓÙ ø×Æ×ÐÍÌÏ×ÎÈÛÎØê×Ø×Æ×ÐÍÌÏ×ÎÈûÇÈÔÍÊÓÈÃùÍÏÏÓÉÉÓÍÎ×ÊÍÖÈÔ×ùÓÈÃÍÖôÛÉÈÓÎÕÉ ùÍÇÎÈÓ×ÉÍÖøÛÑÍÈÛÛÎØåÛÉÔÓÎÕÈÍÎÛÎØéÈÛÈ×ÍÖïÓÎÎ×ÉÍÈÛÛÙÙÍÊØÓÎÕÈÍÈÔ×Ú×ÉÈÍÖÏà ÛÚÓÐÓÈÃÛÎØÇÎØ×ÊÉÈÛÎØÓÎÕ      éÇÚÉÙÊÓÚ×ØÛÎØÉÅÍÊÎÈÍÚ×ÖÍÊ×Ï×ÈÔÓÉÝÝÝÝÝÝÝÝÝÝØÛÃÍÖÝÝÝÝÝÝÝÝÝÝÝÝÝÝÝ ÝÝÝÝ   ùÍÏÏÓÉÉÓÍÎùÔÛÓÊùÓÈÃùÐ×ÊÑÍÖÈÔ×ùÓÈÃÍÖôÛÉÈÓÎÕÉ     Hastings Economic Development and Redevelopment Authority 6:00 pm Hastings City Hall Minutes of December 8, 2011 HEDRA CommissionersPresent:Ron Toppin, Michael Kelley, Kurt Keena, and Danna Elling Schultz HEDRA Commissioners Absent: Dennis Peine, Pam Holzem and Tony Alongi Staff present: Community Development Director John Hinzmanand Community Relation Specialist Shannon Rausch. Others present: Chuck Tombarge, Himle Horner Q: UORUM A quorum was establishedand the meeting was called to order, by Chair Toppinat 6pm with four members present. I. M INUTES Commissioner Kelley motioned to approve the minutes from the November 9, 2011 meetings, Commissioner Elling Schultz seconded the motion. Motion approved 4-0 III.B ILLS Commissioner Keena moved to pay the bills. Commissioner Kelley seconded the motion. Motion Passed 4-0 IV.B USINESS A. Presentation of Marketing Plan by Himle Horner Communication Specialist, Shannon Rausch,introduced Mr. Chuck Tombarge from Himle Horner who gavea 25 minute presentation on the final draft of the HEDRA Marketing Plan. Following the presentation the Commission was asked to approve the plan as presented. Commissioner Elling Schultz motioned to approve the plan as presented. Commissioner Keenan seconded the motion. Motion passed 4-0. B. Authorize Signature - Met Council Grant Agreement Amendment - Block 16 Metropolitan Council has agreed to extend the grant agreement to fund construction of the Block 16 Red Rock Commuter Parking lot until December 31, 2012. The Commission is asked to Authorize Signature of the 1st Amendment to the Grant Agreement. Commissioner Keena motioned to approve Authorization of Signature of Agreement. Commissioner Kelley seconded the motion. Motion passed 4-0. V. R&I EPORTSNFORMATION A. Hudson redevelopment - Reuse Plan Discussion The Commission discussed the recent findings of the Hudson Reuse Study conducted by Stark Preservation. The Commission agrees that before anything can be done with the Hudson site the market needs to be tested for variables and feasibility. Also the Commission suggested that the Heart of Hastings plan be reexamined and determine what the Community “wants”to do and what the “vision” isfor the site. The Commission also understands, and wants the public to understand, that most importantly everyone needs to bepatientwith this project. This is a huge site and a great opportunity for the community. HEDRA doesn’t wantto just rush into things unprepared. HEDRA agreed that the first step most likely will be for the Commission toconsider demolishingthe 1974 portion of the facility soonerrather than later based on the understanding that this portion of the building holds no historic value or other value to the site.A benefit of demolishing the 1974 addition nowwould be that the site could then bepreparedto “show off”during any event surrounding the construction of the new bridge. The Commissioners also agreed that holdingonto the 1946 addition fornow and not making any decision on keeping or demolishing it until a developer is on board would be in the projects best interest. This way the developer is the one thatismakingthe decisionsbased on actual market tests and feasibility studies. The Commissioners agreed that HEDRAand the City brought the property into public ownership so that more funding opportunities would be available. HEDRA Chair Toppin suggested the Commissionschedule a workshop in mid- February to discuss Hudson concepts as well as next steps with the marketing plan. B. Hudson - Environmental Update Everything is on track to be ready for spring environmental grant deadlines. HPC has long recognized the Hudson Building's significanceto Hastings and they are considering nominating the facility for the national historic registry. HEDRAwould like to encourage the HPC to be patient. C.Mixed Use Hard Wire Alarm Update The installation of the Hard Wire Alarm Systems in mixed use building continues moving along well and are about a third done with their installation. D. Downtown Hastings -Block 1; Senior Housing Developerhas shown interest in the site and has inquired as to what price range HEDRA would be looking for on the property. Staff has estimated the value of the site to be about $8/sq ft, but has not yet sought an official appraisal to be done yet. Staff reminded the Commission that there has been no marketing of the sitein the past few years and questioned ifHEDRA isinterested in developing an RFP for this company andothersto respond to? Commissioners discussed and agreed that rental properties are barely coming back at this time. They suggested that staff compare multiple sitesaround townand decided if this is where we want a senior housing developer to build? Do we want them in downtown, on the river front? Perhaps suggest other sites that might fit their. budget. E. 1101 Vermillion Street Demolition and Redevelopment The houseat 1101 Vermillion Streethas now be demolished and the site along with the brown house next door (next to the Dairy Queen,) the city-owned property that was formerly 11th Street, as well as another residential site behind these, are all being considered for a one acre development that would be a 24hourr fast-food drive-through operation. The commissions not excited aboutthis prospect and have concerns due to the proximity to the residentialneighborhood directly behind this potential site. A: DJOURNMENT Commissioner Elling Schultzmoved to adjourn at 7:15pm, Commissioner Keenaseconded. Motion Passed 4 - 0 January 12, 2012 Next meetingis scheduled forat 6:00pm in the Council Chambers. Shannon M. Rausch, HEDRA Secretary HASTINGS ECONOMIC DEVELOPMENT AND REDEVELOPMENT AUTHORITY RESOLUTION NO. 2012-01 PPROVAL TO SUBMIT APPLICATION FOR FUNDING TO THE DAKOTA COUNTY CDA A REDEVELOPMENT INCENTIVE GRANT PROGRAM Commissioner ______________ introduced the following resolution and moved its adoption: WHEREAS , the Hastings Economic Development and Redevelopment Authority (HEDRA)has identified a proposed project within the City of Hastings that meets the Dakota County Community Development Agency (CDA) Redevelopment Incentive Grant program’s purposes and criteria; and WHEREAS ,The City and HEDRAhaveestablished a Redevelopment Plan of which the proposed project is a component; and WHEREAS ,HEDRAhas the capability and capacity to ensure the proposed project be completed and administered within the Redevelopment Incentive Grant program guidelines; and WHEREAS ,HEDRA has the legal authority to apply for financial assistance; and WHEREAS ,HEDRAis supportive of affordable housingand of the CDA’s mission, to improve the lives of Dakota County residents through affordable housing and community development. NOW THEREFORE BE IT RESOLVED that HEDRAapproves the application for funding from the Dakota County CDA Redevelopment Incentive Grant program. BE IT FURTHER RESOLVED that upon approval of its application by the Dakota County CDA, John Hinzman, Executive Director,is hereby authorized to execute such agreements as are necessary to receive and use the funding for the proposed project. Commissioner _____________ seconded the resolution and upon being put to a vote it was adopted: Ayes: Nays: Absent: By:_______________________________ Its: President ATTEST: _______________________________ John Hinzman, Executive Director SATISFACTION OF MORTGAGE Date: January 12, 2012 THAT CERTAIN MORTGAGE owned by the undersigned, dated November 2, 2009, executed by Marcia L. Biermann, a single person, as Mortgagor, to the Housing and Redevelopment Authority In and For the City of Hastings, Minnesota, a public body politic and corporate, as Mortgagee, and filed for record November 3, 2009, as Document No. 131322, in the Office of the (County Recorder) (Registrar of Titles) of Dakota County, Minnesota, is, with the indebtedness thereby secured, fully paid and satisfied. HASTINGS ECONOMIC DEVELOPMENT AND REDEVELOPMENT AUTHORITY By _________________________________ Its _________________________________ STATE OF MINNESOTA ) ) ss. COUNTY OF DAKOTA ) The foregoing instrument was acknowledged before me this ___ day of _____________, 20__, by _______________________, the __________________ of the Hastings Economic Development and Redevelopment Authority, a public body politic and corporate under the laws of the State of Minnesota, on behalf of the authority. ______________________________________________ NOTARIAL STAMP OR SEAL (OR OTHER TITLE OR RANK) SIGNATURE OF PERSON TAKING ACKNOWLEDGMENT THIS INSTRUMENT WAS DRAFTED BY: (NAME AND ADDRESS) Bradley & Deike, P.A. th 4018 West 65Street, Suite 100 Edina, MN 55435 (952) 926-5337 Ü®¿º¬ ß¹»²¼¿ ØÛÜÎß É±®µ­¸±° ó Ú»¾®«¿®§ ïêô îðïï Ø«¼­±² λ¼»ª»´±°³»²¬ ï÷ ͬ¿¬«­ Ë°¼¿¬» ¿òÛ²ª·®±²³»²¬¿´ Ý´»¿²«° ¾òÓ¿·²¬»²¿²½» ½òÙ®¿²¬­ ¼òØ·­¬±®·½ Ò±³·²¿¬·±² î÷×­­«»­ ¿òͬ¿®µ λ«­» д¿² ·òλ¿½¬·±² ¾§ ØÛÜÎß Ó»³¾»®­ ··òλ¿½¬·±² ¾§ Ü»ª»´±°»®­ ···òͬ¿¬«­ ±º ïçìë ß¼¼·¬·±² ·ªòλ«­» ª»®­«­ ¬±¬¿´ ¼»³±´·¬·±² ±º °®±°»®¬§ ªòÒ»© Ü»ª»´±°³»²¬ ݱ²½»°¬­ ¾òÜ»³±´·¬·±² ±º ïçéì ß¼¼·¬·±² ·òÌ·³»´·²» ··òÍ¿´ª¿¹»¿¾´» ·¬»³­ ½òÓ¿®µ»¬·²¹ ±º Í·¬» ·òɸ»² ··òÌ·» ·²¬± Ó¿®µ»¬·²¹ д¿² ···òÌ·» ·²¬± Þ®·¼¹» Ю±¶»½¬ ¼òÚ·²¿²½·¿´ ß²¿´§­·­ ó Û¸´»®­ ·òß²¿´§­·­ ±º ᬻ²¬·¿´ Ë­»­ ··òÌ×Ú ¹»²»®¿¬·±² »òݱ²º±®³¿²½» ¬± Ý·¬§ д¿²­ ·òØ»¿®¬ ±º Ø¿­¬·²¹­ ··òݱ³°®»¸»²­·ª» д¿² ···òƱ²·²¹ ·ªòп®µ·²¹ ºò窻®º®±²¬ Ô·²µ ·òп®µ´¿²¼ ··òÒ¿¬·±²¿´ п®µ Í»®ª·½» ﮬ·½·°¿¬·±² ···òܱ½µ·²¹ í÷Ò»¨¬ ͬ»°­ ¿òß¼¼·¬·±²¿´ ײº±®³¿¬·±² Ò»»¼»¼ ¾òЮ·±®·¬·»­ ½òÙ±¿´­ ¿²¼ ²»¨¬ ­¬»°­ Ó¿®µ»¬·²¹ д¿² ï÷Ю·±®·¬·¦» ¾«­·²»­­ ´±½¿¬·±²­ñ¬§°»­ º±® »½±²±³·½ ¼»ª»´±°³»²¬ î÷Ü»ª»´±° ØÛÜÎß Ó»­­¿¹»­ ¿òλ¿½¸ ¿¹®»»³»²¬ñ®»º·²» ØÛÜÎß ¿²¼ ¹»²»®¿´ ³»­­¿¹»­ ¼»°»²¼·²¹ ±² ¬¿®¹»¬ ¿«¼·»²½»­ ø­»» Õ»§ Ó»­­¿¹»­÷ ¾òÜ»ª»´±° ¾±·´»®°´¿¬» ´¿²¹«¿¹» ¿¾±«¬ ØÛÜÎß º±® ²»©­ ®»´»¿­»­ ¿²¼ ±¬¸»® ½±³³«²·½¿¬·±²­ ¾¿­»¼ ±² Õ»§ Ó»­­¿¹»­ ½òˬ·´·¦» ³»­­¿¹»­ñ¸·¹¸´·¹¸¬ ½±³°±²»²¬­ ±º ³»­­¿¹»­ ¼»°»²¼·²¹ ±² µ»§ ¾«­·²»­­ ¬¿®¹»¬­ò Ú±® »¨¿³°´»ô ·º ØÛÜÎß ·­ ­»»µ·²¹ ¬±«®·­¬ ±®¹¿²·¦¿¬·±²­ô Ø¿­¬·²¹­ ®·ª»®­·¼» ¿²¼ ±°»² ¿®»¿­ ­¸±«´¼ ¾» °®·±®·¬·»­ò ׺ ØÛÜÎß ·­ ­»»µ·²¹ ¾·¹ ¾±¨ ®»¬¿·´ ½±³°¿²·»­ô °®·±®·¬·¦» «­» ±º ¬¸» ¹¿¬»©¿§ ³»­­¿¹»­ò í÷ß­­»³¾´» ½¿­» ­¬«¼·»­ñ­«½½»­­ ­¬±®·»­ ì÷Ü»ª»´±° Ю±³±¬·±² Õ·¬ ë÷Ü·®»½¬ Ñ«¬®»¿½¸ ¬± Û¨·­¬·²¹ Þ«­·²»­­»­ ¿òÞ®·»º ²»©­´»¬¬»®ñ»³¿·´ «°¼¿¬»