Laserfiche WebLink
1 <br />of Mounds View .Staff R <br />Item No: 02 <br />Meeting Date: February 5, 2018 <br />Type of Business: Work SeAsion <br />Administrator review: <br />To: Honorable Mayor and City Council <br />From: Brian Beeman, Business Development Coordinator <br />Item Title/Subject: Discuss LHIA Grant, Land Acquisition, & Contamination <br />Grant for MWF Properties <br />Introduction: <br />MWF Properties approached the City in the summer 2017 about serving as a conduit for <br />the Local Housing Incentives Account (LHIA) grant through the Met -Council's Livable <br />Communities Fund to help fund certain aspects of their project. MWF applied to the grant <br />and has been informed that the Met -Council has awarded $500,000 for the project. The <br />City has received an award letter from the Met -Council and an agreement that will need <br />to be approved by the City Council before moving forward with the participation of the <br />grant. In addition, MWF is considering applying for a soils contamination grant through <br />the Met -Council due to a finding of contamination from the former gas station. Last, the <br />MWF and the City Attorney will provide an update on the land acquisition process for the <br />two tax forfeiture properties. <br />Background: <br />The LHIA grant requires that the City serve as the conduit to administrator the grant and <br />also requires the City to match the $500,000. The Housing TIF counts towards the <br />matching funds and since the Council has agreed in concept to the MWF Housing TIF of <br />up to $546,000 and assuming the Council approves the Housing TIF for that amount, then <br />the City would not be required to put forth any additional matching funds. The City <br />Attorney has reviewed the grant agreement and because the City has not participated in <br />this type of grant program in the past, City staff has requested that the City Attorney and <br />MWF Properties attend the City Council work session to explain in detail how this program <br />works, what the funds can be used for, and what the City's obligation is. Additionally, <br />MWF is applying to a soils remediation grant through the Met -Council and they will be <br />present to discuss that grant process. Last, the City is acquiring the two tax forfeiture <br />parcels from the County which is necessary for MWF's development. A resolution must <br />be approved by the Council to the Ramsey County Board of Commissioners to acquire <br />the property. The City would then transfer the land back to MWF Properties. This is <br />approximately a three month process. <br />Discussion: <br />Because the City has not participated in this type of grant program in recent history, staff <br />believes that a discussion should take place before the Council considers signing and <br />sending in the grant approval forms to the Met -Council. In addition, MWF and the City <br />Attorney will review the land acquisition process and MWF will review the soils <br />contamination grant process for the land that the old gas station sat on. <br />Recommendation: <br />Staff would like some input and feedback from the City Council as to how it would like to <br />proceed. Attached is the grant agreement and supporting documents for your <br />consideration. If the Council comes to a consensus to proceed, staff will either place this <br />