HomeMy WebLinkAbout1992/09/21 - ADMIN - Minutes - Economic Development Authority - RegularM IN U T E S
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
S P E C I A L M E ET IN G
S e p t e m b e r 2 1 , 1 9 9 2
1 . C a l l t o o r d e r
P r e s i d e n t M e l a n d c a l l e d t h e m e e t i n g t o o r d e r a t 6 :4 5 p .m .
2 . R o 1 1 c a l l
T h e f o l l o w i n g C o m m i s s i o n e r s w e r e p r e s e n t : J e f f J a c o b s , G e o r g e H a u n , L y l e
H a n k s , L a r r y M i t c h e l l , G a i l D o r f m a n a n d K e i t h M e l a n d .
A l s o p r e s e n t w e r e t h e E x e c u t i v e D i r e c t o r , C i t y A t t o r n e y , a n d D i r e c t o r
o f C o m m u n i t y D e v e l o p m e n t .
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3. Approval of September 8, 1992 minutes
It was moved by Counci lmember Jacobs, seconded by Commission Hanks, to
approve the minutes. The motion passed 4-0-2. Commissioners Meland and
Mitchell abstained.
4. Approval of agenda for September 21, 1992
It was moved by Commissioner Hanks, seconded by Commissioner Jacobs,
to approve the agenda for September 21, 1992. The motion passed 6-0.
5. Reports
None.
6. Unfinished business
None.
7. New business
None.
8. Park Nicollet Medical Center - Public hearing to consider conveyance
of Tower PTace site/Resolution approving contract for private development
Randy McKay, Frauenshuh Companies, addressed the Authority. He said that
as of Fri day, Sept. 18, full agreement had not been reached on the proposed
redevelopment agreement. A list of issues in the development agreement
that he feels need to be discussed further is being prepared and will
be given to the Authority's attorney when prepared.
President Meland felt the agreement could be approved this evening with
amendments added later on.
Phil Eder, 4100 Cedarwood Rd., spoke. He wondered if the preliminary plan
on the table reflected the closure of W. 39th St. Or would a site plan
be coming back? He had a lot of questions about the process.
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EDA minutes
September 21, 1992
Page 2
The Executive Director said there were unresolved elements of the agreement,
traffic amongst them. He said a recent traffic study has not been conducted
and concerns have been raised by AAA. No final determination re traffic
has been settled.
Mr. Eder felt approving an agreement that the public has not been al lowed
to view was irresponsible. People have a right to know what's in the agreement.
EDA attorney Steilen said it had always been the intent to make the agreement
available to anyone interested in seeing it when it was finalized. It was
felt it was inappropriate to make the agreement available while negotiations
were still going on. After discussing the agreement with the developer,
he did not think they could get it wrapped up by Oct. 5.
Doug Franzen, attorney for Frauenshuh/Park Nicollet development team, said'their
preference was that the draft redevelopment agreement not be approved this
evening. He briefly discussed the internal process they are going through
complicated by the recent merger with Methodist Hospital. Nothing can be
signed without approval from Methodist's board of directors.
Commissioner Hanks expressed his disappointment with the process. He was quite
concerned about the number of people being included in the process which
seemed to be dragging it out unnecessarily.
Commissioner Haun said he was having a difficult time determining where
the project stands as of this moment and was unable to answer that question
when his constituents call.
In response to a question from Commissioner Dorfman, Mr. Franzen said they
were looking to finalize the agreement at the end of October.
Councilmember Mitchell asked for clarification as to why the Authority
couldn't move forward with approval this evening and take up changes or
amendments later.
Mr. Mc Kay said if they took the agreement to their lenders as it stands,
it simply could not get financed. They were very hesitant to reach a conclusion
on something that we know is not fully accomplishable.
Attorney Steilen said he would feel a little uncomfortable with the Authority
approving the agreement this evening if only for the reason, as expressed
by Mr. Eder, that the public has not viewed it. He felt it important that
the public have adequate access to any agreement and is prepared therefore
to voice its concerns and their issues before the Authority so they may
be taken into account before final approval.
President Meland said it appeared, based on attorney Steilen's comments,
that the Authority had little choice but to continue the hearing. He suggested
as much possible work be done on the agreement by the developers and
EDA staff between now and Oct. 5. On Oct. 5 barring the fact an agreement
is ready he would like to see representatives of all the participants in
the project -- law firms, developers, lenders, Methodist Hospital -- and
any one who has a problem with the agreement so they can tell the Authority
exactly what those problems are so the public can hear them. We should
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EDA minutes
September 21, 1992
Page 3
r I know on October 5 if we have an agreement that can be approved on Nov. 2.
It was moved by Commissioner Hanks, seconded by Commissioner Jacobs, to
continue the public hearing and that all parties appear before the Authority
on Oct. 5 bringing any unresolved issues to the table. If an agreement
is not ready at that time, the unresolved items be worked on and it be
released to the public so they can give input on Oct. 19 and set final
public hearing for Nov. 2.
The motion passed 6-0.
9. Adjournment
The meeting adjourned at 7:20 p.m.
Executive Director
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