HomeMy WebLinkAbout04-27-2009PROCEEDINGS OF THE MOUNDS VIEW EDA
CITY OF MOUNDS VIEW
RAMSEY COUNTY, MINNESOTA
Regular Meeting
April 27, 2009
Mounds View City Hall
2401 Highway 10, Mounds View, MN 55112
6:34 P.M.
1. CALL MEETING TO ORDER
2. ROLL CALL: President Flaherty, Vice President Stigney, Commissioner Hull,
Commissioner Mueller, Executive Director Ericson, Community Development Director
Roberts, and Economic Development Specialist Steinmetz.
NOT PRESENT: Commissioner Gunn
3. APPROVAL OF AGENDA
MOTION/SECOND: Mueller/Hull. To Approve the April 27, 2009, Agenda as presented.
Ayes – 4 Nays – 0 Motion carried.
4. PUBLIC INPUT
None.
5. APPROVAL OF MINUTES
None.
6. CONSENT AGENDA
None.
7. EDA BUSINESS
A. Consider a Request from the Homeowner of 2949 Highway 10 for the EDA to
Acquire the Property for Redevelopment Purposes.
Economic Development Specialist Steinmetz presented the request of Mark Schnor to purchase
his .26-acre property at 2949 Highway 10 for redevelopment purposes. She reviewed the
surrounding property uses and advised that this property is on the EDA’s property acquisition
list. The zoning of this site is Single Family but surrounding properties are a mix of Medium
Mounds View EDA April 27, 2009
Regular Meeting Page 2
Density Residential, Limited Business, and High Density Residential. The future land use of this
property is Mixed Use PUD. She noted the Council’s #2 goal is the redevelopment of the
County Road 10 corridor and a plan prepared by Bonestroo notes addresses that each opportunity
should be considered to further redevelopment along the corridor.
Mark Schnor, 2949 Highway 10, stated they had not planned to move but because of his wife’s
health problems, they are having difficulty living on a fixed income. He stated if they can
eliminate the mortgage payment with a City buyout, he would be able to meet medical and living
expenses and the house would not sit empty. Mr. Schnor stated he would return the buyout
money to the City at whatever interest rate the City believes is fair.
Duane Waldock, 2935 Highway 10, stated he lives next door and supports Mr. Schnor’s request.
He stated he does not know what his own property is worth but is also willing to consider
reasonable offers for the purchase of his property.
Commissioner Hull asked about the corner lot owned by the State of Minnesota. Executive
Director Ericson stated it is a storm water management pond and cannot be developed.
Economic Development Specialist Steinmetz asked if the two State-owned parcels could handle
more storm water should higher density development occur on adjacent sites. Executive Director
Ericson stated that is a possibility.
President Flaherty stated the EDA’s job is to open discussion and look at options. He stated he is
intrigued with the option of paying off the mortgage at an interest rate, which may be considered
an investment since there would be a rate of return. President Flaherty expressed caution about
setting a precedent and noted there are other programs that could offer assistance to the Schnors.
Economic Development Specialist Steinmetz stated her understanding that Mr. Schnor has
researched all other assistance programs. In addition, Mr. and Ms. Schnor were interested in
rental options but most programs require the occupant to be in a wheelchair so they do not meet
that qualification.
Commissioner Mueller asked if it would be a rental program if the EDA bought the mortgage
and the resident remained in the dwelling. Mr. Schnor stated he is unsure how it would be
arranged but he would be willing to return the payoff to the City and pay interest.
Commissioner Mueller asked how long he had lived on the property. Mr. Schnor stated he has
lived 12 years in this house and 7 years in the neighboring house. He stated he has a credit rating
of 808, which means he has not missed payments. However, his income is no longer high
enough to support that rating. They are currently on the assistance program for Xcel Energy
Excel and telephone service.
Mounds View EDA April 27, 2009
Regular Meeting Page 3
Mr. Schnor stated most realtors were not interested in his property because of the PUD zoning
and it is currently listed with Eagle Realty. He believed his property would be difficult to sell as
it is the only residential home left in that section and there is heavy traffic on Highway 10.
Commissioner Hull asked if buying the house and renting it to the Schnors is an option.
Economic Development Specialist Steinmetz stated she is unsure whether it would work since
the rent amount would probably be higher than what Mr. Schnor is currently paying as a
mortgage payment. She noted that if the City owns the property, it would go off the tax rolls but
a development package would be easier to assemble if City owned.
Vice President Stigney stated the EDA needs to consider all options including whether there is a
development opportunity for this property. He stated there are a lot of foreclosures in Mounds
View so he would be reluctant to consider the option being discussed. Vice President Stigney
noted that in the past the City bought some properties and rented them out but the results were
not successful.
Mr. Schnor stated his belief it would be dangerous to put a family with children into his house
because of the traffic on Highway 10. He stated he is able to pay his taxes and insurance and
maintain the house. However, if the house sits empty, the City would have to pay someone to
keep it up.
President Flaherty asked staff to research the options, finances, and determine potential
development.
8. REPORTS
None.
9. NEXT EDA MEETING: Monday, May 11, 2009, at 6:30 p.m.
10. ADJOURNMENT
President Flaherty adjourned the meeting at 7:04 p.m.
Respectfully submitted,
Recorded and transcribed by:
Carla Wirth
TimeSaver Off Site Secretarial, Inc.