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HomeMy WebLinkAbout1991/08/05 - ADMIN - Minutes - Economic Development Authority - Regular' I MINUTES MICROFILMED ECONOMIC DEVELOPMENT AUTHORITY ST. LOUIS PARK, MINNESOTA AUGUST 5, 1991 1. Call to order The meeting was called to order by President Meland at 6:00 p.m. 2. Ro 11 call The following commissioners were present at roll call: Jeff Jacobs, George Haun, Lyle Hanks, Keith Meland. Allen Friedman arrived at 6:02 and Larry Mitchell at 6:07 p.m. Also present were the Executive Director (Bill Dixon), City Attorney (Jim Steilen), Director of Community Development (Dave Hagen), Director of Finance (Harlan Syverson) and City Assessor (Bruce Stepnick). 3. Approval of minutes of July l, 1991 meeting I ) J It was moved by Commissioner Hanks, seconded by Commissioner Jacobs, to approve the minutes. The motion passed 4-0. 4. Approval of agenda for August 5, 1991 It was moved by Commissioner Hanks, seconded by Commissioner Jacobs, to approve the agenda. The motion passed 4-0. Item 7b removed by the Exec. Dir. Commissioners Friedman and Mitchell in attendance. 5. Reports a. Possible "cleanup" of T.H.. 25/France Ave./Minnetonka Blvd. public areas. l ? The Executive Director provided a brief background. Barry Warner from Barton-Aschman was present as well. He felt it would be helpful to share with the Authority some front-end tasks that would make clear what options are available - from a minimal approach including improving the maintenance of the area and undertaking what the County now does as part of the roadway to something more intensive such as a significant vertical element to act as a gateway feature, additional landscaping, etc. Commissioner Haun said it was the consensus of the people attending the neighborhood meeting that the area needed to be spruced up and he fe 1t the Authority should proceed to do that. It was moved by Commiss i oner Haun, seconded by Commissioner Mitchell, to engage Barton-Aschman to provide a plan for implementing urban and landscape design improvements in that area. E c o n o m i c D e v e l o p m e n t A u t h o r i t y A u g u s t 5 , 1 9 9 1 MICROFILMED Councilmember Friedman asked where funding was coming from. Mr. Hagen responded it would be from the Hwy. 7 fund, specifically some of the proceeds from the bonds sold in 1985. Counci lmember Friedman. asked if there were any reason to wait until it is known what the plans are coming in from Minneapolis at France/Hwy. 25/Minnetonka Blvd. Mr. Warner said they intended to remain sensitive to what MnDOT has planned and that they were in possession of the MnOT intersection improvement plans. Commissioner Friedman said the area in question was France Ave. to Joppa, a long stretch, part of which is City-owned, part is State-controlled. He asked what can the City do and not do and what can be done for the relatively modest sum of $123,000. Mr. Warner said it was B-A's intention to show some varying concepts from a mini to a maxi approach which would allow the EDA to select whatever is most consistent with their feelings. Commissioner Haun felt if this project were done, the City would be maintaining it once it is done. Commissioner Friedman agreed and asked staff to provide cost figures for the City to maintain this area. Commissioner Hanks wondered about the possibility of a planter being installed with interested corporations in the City picking up the costs, given appropriate credit, of course. Commissioner Mitchell asked staff to research to see if any State funding might still be available to assist with this project. Commissioner Hanks suggested looking at the potential yearly funding by MnDOT if the Authority maintained it. The motion passed 6-0. 5b. Proposed Suburban Plumbing redevelopment Mr. Dixon noted this was a status report with no action required of the Authority. Items 5c. Wilkins Pontiac and 5d. Discussion re former landfill site were discussed in a closed session due to pending/threatened litigation. 6. Unfinished business a. Parkshore request for property tax relief (tabled June 3, 1991). Mr. Dixon noted this item was a request from Mike Gould, Park Blvd. Housing Ltd. Partnership requesting a deferral in taxes which have been calculated significantly higher than anticipated. It was moved by Commissioner Hanks, seconded by Commissioner Friedman, to remove the item from the table. The motion passed 6-0. 2. Economic Development Authority minutes August 5, 1991 M IC R O F IL M ED ) I T ) Commissioner Hanks was interested in seeing if this deferral could legally be done feeling the developer had gotten caught in an unfortunate Catch 22 situation, tax-wise. Commissioner Haun addressed questions to Mr. Gould who was present. Relative to Mr. Gould's letter that rents would be raised prior to 1994, Mr. Gould responded Parkshore rentals fall about in the middle of high/low comparable rentals. His projection of a 5% increase doesn't mean that would occur necessarily. He said they were very sensitive to their residents and their ability to pay. Cammi ssioner Haun asked if a precedent was being set, i.e., would other senior rentals be coming in looking for tax deferral. Commissioner Jacobs said he would certainly want the City Attorn ey to take Mr. Haun's comment into consideration when rendering an opinion. Commissioner Friedman said he had gained new information on this matter. He noted the funds the Authority will not be receiving because of deferred taxes will not be coming out of taxpayers' pockets - those fu nds are within the TIO and the deferred taxes will be paid back within the lifetime of the District. Instead of an additional mortgage, the Authority would accept a letter of credit with tangible assets immediately retreivable in a form acceptable to the Authority and City Attorney. e felt it enlightening to compare the taxes at Parkshore with a non-homestead situation. Mr. Stepnick provided the figures: taxes at Parkshore are $1646 per unit; a comparably priced non-homesteaded residence pays $1372, a differential of $274. It was moved by Commissioner Hanks, seconded by Commissioner Friedman, to consider the request, refer it to the City Attorney for research and implementation of whatever would work the best for all concerned and that the partnership pay all legal fees whether or not it is granted. Councilmember Jacobs said that he was in support, but he wanted to make it clear that by voting in the affirmative he did not want it to appear that we are necessarily making any statement one way or another on whether or not the taxes are to be deferred. He would reserve judgment until receipt of the City Attorney's opinion. He emphasized that the Authority was not voting on the tax deferral this evening; rather the City Attorney's opinion on whether the Authority can or not. The motion passed 6-0. 7. New business a. TPAP (Trkla) proposal for Phase 11 re Tower Place It was moved by Commissioner Hanks, seconded by Comnmi ss ioner Mi tche 11, to accept the TPAP proposal. Commissioner Friedman asked that the Authority be given a brief one-page weekly update so that they can keep up with what is going on. The maker of the motion accepted that as an amendment to the motion. The motion passed 6-0. 3. Min u te s Eco nom ic Deve lo pm ent Author it y Augu st 5, 19 9 1 MICROFILMED In answer to a question from the Executive Director, Commissioner Friedman said he would prefer such a weekly written report be prepared or cul led from Mr. Trkla's reports rather than from a staff member. That way, the Authority is receiving comments directly from the individual in charge. 8. Communications and bills a. July financial statement It was moved by Commissioner Jacobs, seconded by Commissioner Haun, to receive for filing. The motion passed 6-0. b. Claims It was moved by Commi s sioner Jacobs, seconded by Cammi s sioner Haun, to approve the claims and authorize payment. The motion passed 6-0. 9. Adjournment The meeting adjourned at 6:40 p.m. Executive Director -4,