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HomeMy WebLinkAbout07-16-2010 Minutes of the Economic Development Commission City of Mounds View Ramsey County, Minnesota Regular Meeting July 16, 2010 City of Mounds View, Council Chambers 2401 Highway 10, Mounds View, MN 55112 1. CALL TO ORDER Chair Gary Meehlhause called the meeting to order at 7:34am. 2. ROLL CALL Members Present: Chair Gary Meehlhause, Vice Chair Wagner-Harkonen, Commissioners Jackie Entsminger & Dan Larson Members Absent: Commissioners Greg Belting, Jason Helgemoe & Torri Johnson Staff Present: Community Development Director Ken Roberts & Economic Development Specialist Heidi Steinmetz 3. APPROVAL OF JULY 16, 2010 AGENDA Motion/Second: Commissioner Entsminger moved and Commissioner Larson seconded the approval of the July 16, 2010 EDC agenda. Motion Carried: 4 Ayes 0 Nays 4. APPROVAL OF APRIL 16, 2010 EDC MINUTES Chair Gary Meehlhause noted two corrections to the April 16th minutes: 1) clarify Anoka & Ramsey Counties on page one and 2) add Ken Roberts's name to item 8A on page two. Motion/Second: Vice Chair Wagner-Harkonen moved and Commissioner Larson seconded the approval of the amended April 16, 2010 EDC minutes. Motion Carried: 4 Ayes 0 Nays 5. SPECIAL BUSINESS There was no Special EDC business. 6. EDC BUSINESS A. Review Housing Rehabilitation Program Options Economic Development Specialist Heidi Steinmetz summarized her staff report prompted by a recent application for the EDA's Housing Replacement Program. This is a program that offers financial assistance to home owners or developers that want to replace blighted homes in Mound View with new, higher valued homes. Ms. Steinmetz provided background on the EDA/Council's recent discussions about refocusing the program to serve Mounds View residents better. She also included past EDC Minutes July 16,2010 Page 2 of 4 EDC meeting minutes from 2008, which was the last time the EDC discussed Mounds View's housing programs. Staff asked the EDC to discuss and provide feedback on the City Council's recent housing program discussions and requested ideas for structuring a housing program or programs that the EDC thinks would fill a need for Mounds View residents while not repeating an existing program. Commissioner Larson said that he attended the EDA's meeting this past Monday and has since driven around the City comparing the neighborhoods where the EDA had purchased homes vs. the neighborhoods where the EDA had denied Housing Replacement Program applications. He said that he noticed a big difference in the housing stock between the neighborhoods he compared,therefore does not think that the EDA should back away from acquiring blighted homes within the City. He thinks that newer or updated homes will provide much more tax base for the City. He mentioned that the EDA could provide demolition assistance to property owners that would rather sell an empty lot vs. a lot with a dilapidated home on it. Vice Chair Wagner-Harkonen agreed with Commissioner Larson's input. She said people are not building new homes right now but some people are purchasing property for investment purposes. She said neighbors would rather have an empty lot next door rather than a blighted property in the neighborhood. Chair Meehlhause agreed. Vice Chair Wagner-Harkonen added that an empty lot would be more attractive to buyers than a lot with a blighted home on it. Chair Meehlhause said that he agrees that the EDA should not drop the option of possibly purchasing blighted residential properties because the only other option of removing extremely blighted properties is eminent domain. Commissioner Entsminger agreed that the City should demolish blighted properties. She also asked that if the City were to establish a code enforcement rehabilitation loan program (like the example of the Tallahassee, FL program that was included in the EDC's packet), what type of code violations would qualify for improvement under the program. Ms. Steinmetz answered that improvements would relate to life safety issues and structural issues rather than debris cleanup. Commissioner Entsminger added that she is not in favor of a deferred loan program because a deferred loan is a grant and the taxpayers should not have to pay for other people's home improvements. Community Development Director Roberts added that the Tallahassee program is for exterior improvements that would improve the image of a neighborhood. The program is not for the rehabilitation of a kitchen or a bathroom. He said the program is just one idea of a program that Mounds View residents might need. Commissioner Entminger said that the City should get involved in issues like this, especially to correct electrical problems because those are life safety issues. Motion/Second: Commissioner Larson moved and Commissioner Entsminger seconded a recommendation that the EDA consider implementing a program like Tallahassee, Florida's Code Enforcement Rehabilitation Program. Motion Carried: 4 Ayes 0 Nays EDC Minutes July 16,2010 Page 3 of 4 Motion/Second: Vice Chair Wagner-Harkonen moved and Commissioner Larson seconded a recommendation that the EDA retain the option of purchasing blighted residential properties (both the land and the structure) in their Economic Development toolbox. Motion Carried: 4 Ayes 0 Nays Motion/Second: Commissioner Entsminger moved and Commissioner Larson seconded a recommendation that the EDA allow more flexibility in how they allocate the $150,000 that has previously been budgeted for the EDA's Housing Replacement Program. Motion Carried: 4 Ayes 0 Nays Motion/Second: Vice Chair Wagner-Harkonen moved and Commissioner Entsminger seconded a recommendation that the EDA offer an option to pay for the demolition of blighted residential structures without purchasing the land. Motion Carried: 4 Ayes 0 Nays Commissioner Entsminger stated that she hopes the City Council will discontinue their discussions about City staff layoffs. She said that she does not think that City staff should have to hear about those discussions repeatedly because it's not productive for staff to have to walk on eggshells. She feels that the economy is going to turn around and if the Council removes staff, the City will be behind the eight ball and will have to spend more time and money looking for staff replacements. Commissioner Entsminger left the meeting at this time (8:21 am). 7. REPORTS OF COMMISSIONERS Commissioner Larson mentioned that he heard the Council say during this past Monday's meeting that they do not want to get into the real estate business but he believes that the City is losing money by allowing non-sellable lots sit vacant or blighted for too long. He said that Mounds View's large lots would be even more valuable in years to come due to Mounds View location near the Twin Cities. Vice Chair Wagner-Harkonen added that the City is losing out on opportunities to improve neighborhoods by not using the EDA's allocated housing funds. Chair Meehlhause added that a dilapidated housing stock creates a negative impression of the community and negative impressions are difficult to change. 8. REPORTS OF STAFF • Ms. Steinmetz provided verbal updates for Items 8A-F(adding a name County Road 10, Select Senior Living, farmers market, Mounds View business news, available business sites in Mounds View and upcoming events). • Finance Director Mark Beer provided additional information about the Select Senior Living project. • Community Development Director Ken Roberts provided a verbal update about the City's street project (area B/C) and the Coventry Senior Living project. 9. UPCOMING EDC MEETING The next regular EDC meeting is scheduled for Friday, August 20, 2010 at 7:30am. EDC Minutes July 16,2010 Page 4 of 4 10. ADJOURNMENT There being no further business, the July 16, 2010 meeting adjourned at 8:58am. Respectfully submitted, Heidi Steinmetz, Economic Development Specialist