04-26-1999 - Laserfiche WebLink

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Mayor Coughlin stated that is correct and all he has seen in documentation and verbal comments made indicate the golf course is self sufficient. He noted that there is a potential, if the weather was very bad, that it could change that situation but with past history the golf course is meeting and exceeding its requirements under its separate budget and rt has, to this date, paid off the bonds. Mr. Jahnke asked how the pickup will be funded. Mayor Coughlin stated it is scheduled in the golf course equipment budget. Council Member Marty stated that with the escalating bond debt, the golf course will be very close as far as covering expenses for several years which is the reason the billboard project is being considered, to gain a bit of "cushion." Dick Hanson, Realife Cooperative Developers, stated the Realife Cooperative is totally sold out, will introduce 65 new residents to Mounds View, and this has been a very good project. He stated they have cash to close on May 3, 1999, but the Development Agreement has a error that the lender and HUD will not accept. Mr. Hanson asked the Council to consider their request to correct this error. Cindy Davis, representing Realife Cooperative, explained that there was an underlying Development Agreement defining the improvements as primarily infrastructure and the first amendment that was entered into substituted the Co-Op for Silverview Estates and pertained to only one parcel. She explained HUD has indicated they must have clarification that this Development Agreement pertains only to the senior housing element, not to the gas station or office buildings. She explained they are asking for an amendment to state they will be developing a 74-unit senior cooperative housing project and that will be the definition for the improvements for the PUD. Ms. Davis also requested the deletion of Paragraph 202 relating to obtaining the permits that were pertinent for the infrastructure development and to eliminate the financial guarantee for the infrastructure improvements, performance bond, the maintenance bond, and park land dedication fee. She noted all those items have been performed by Silverview Estates so eliminating that reference would not result in relinquishing those requirements. Ms. Davis advised that without these clarifications, HUD will refuse to fund the loan. Planning Associate Ericson stated that he received a fax requesting this second amendment to the Development Agreement for Silverview Estates which he forwarded to the City's legal team. He reported they reviewed the Agreement and expressed serious misgivings on the requested amendment. Planning Associate Ericson explained that HUD has requirements that may not be in sync with what the City has already required and included in the Development Agreement. He stated he does not think the City would want a separate Development Agreement for this single parcel. He stated that some requirements have been met so he does not understand why there is a SN:~DATA~USERS~JOANB~SHARE~MINUTES~CC~1999~04-26-99.WPD