HomeMy WebLinkAbout2017/09/18 - ADMIN - Minutes - Economic Development Authority - Regular11ISt. Louis Park OFFICIAL MINUTES
MINNESOTA ECONOMIC DEVELOPMENT AUTHORITY
ST. LOUIS PARK, MINNESOTA
SEPTEMBER 18, 2017
1. Call to Order
President Mavity called the meeting to order at 7:15 p.m.
Commissioners present: President Anne Mavity, Tim Brausen, Steve Hallfin, Thom Miller,
Susan Sanger, and Jake Spano.
Commissioners absent: Gregg Lindberg.
Staff present: Executive Director (Mr. Harmening), Economic Development Coordinator (Mr.
Hunt), City Attorney (Mr. Mattick), Deputy City Manager/Human Resources Director (Ms.
Deno), Chief Financial Officer (Mr. Simon), Assistant Zoning Administrator (Mr. Morrison),
Engineering Director (Ms. Heiser), and Recording Secretary (Ms. Pappas).
2. Roll Call
3. Approval of Minutes
3a. Economic Development Authority Meeting Minutes September 5, 2017
It was moved by Commissioner Hallfin, seconded by Commissioner Miller, to approve
the EDA minutes as presented.
The motion passed 6-0.
4. Approval of Agenda
It was moved by Commissioner Hallfin, seconded by Commissioner Spano, to approve
the EDA agenda as presented.
The motion passed 6-0.
5. Reports - None
G. Old Business — None
7. New Business
7a. 2018 Preliminary HRA Levy Certification and Budget Adoption. EDA
Resolution No. 17-19
Mr. Simon presented the staff report. He stated that the HRA levy was originally
implemented in St. Louis Park due to legislative changes in 2001, which reduced future
tax increment revenues. The city council elected at that time to use the levy proceeds for
future infrastructure improvements in redevelopment areas. By law, these funds could
also be used for other housing and redevelopment purposes. However, they are
cormnitted to repaying the development fund via an interfund loan for the Highway 7 and
Economic Development Authority -2- September 18, 2017
Louisiana Avenue project until 2019 or 2020 based on the current Long Range Financial
Management Plan. Given this obligation, staff recommends the HRA levy continue at the
maximum allowed by law for the 2018 budget year.
Mr. Simon added that the HRA levy cannot exceed 0.0185% of the estimated market
value of the city. Therefore, staff has calculated the maximum HRA levy for 2018 to be
$1,172,786 based on valuation data from Hennepin County. This is an increase of
$86,325 or 7.95% from 2017.
Mr. Simon noted that the EDA is allowed to authorize the HRA levy and then forward
this recommendation to the city council. Council action is required before certification,
which is also scheduled to occur following this action.
It was moved by Commissioner Brausen, seconded by Commissioner Miller, to adopt
EDA Resolution No. 17-19, authorizing the proposed levy of a special benefit levy
pursuant to Minnesota Statutes Section 469.033. Subdivision 6, and approval of'the 2018
Preliminary HRA Levy and Budget fbr fiscal year 2018.
The motion passed 6--0.
7b. Revised Redevelopment Contract with 36th Street, LLC. EDA Resolution No.
17-20
Mr. Hunt presented the staff report. He noted that the developer has requested to reduce
the size of the recently approved Elmwood mixed-use project from 6 stories and 85 units
to 5 stories and 70 units, due to higher than anticipated final construction cost estimates.
The developer also requested that the project's required start and completion dates be
revised to be no later than February 15, 2018 and August 15, 2019 respectively.
Commissioner Brausen appreciated the developer being forthright in this matter, adding
that he still believes this is a good project and a good investment for the city because of
the light rail station being in the neighborhood and the affordable housing being
provided.
It was moved by Commissioner Spano, and seconded by Commissioner Brausen, to adopt
EDA Resolution No. 17-20, approving the Redevelopment Contract between the EDA
and 36'h Street, LLC as revised.
The motion passed 5-1. (Commissioner Miller opposed).
8. Communications — None
9. Adjournment
The meeting adjourned at 7.22 p.m.
Melis Kcnned , Secretary
Anne Mavity, President