HomeMy WebLinkAbout01-09-2012PROCEEDINGS OF THE MOUNDS VIEW EDA
CITY OF MOUNDS VIEW
RAMSEY COUNTY, MINNESOTA
Regular Meeting
January 9, 2012
Mounds View City Hall
2401 Highway 10, Mounds View, MN 55112
6:00 P.M.
1. CALL MEETING TO ORDER
2. ROLL CALL: President Flaherty, Vice President Stigney, Commissioner Hull,
Commissioner Mueller, Commissioner Gunn, and Executive Director Ericson.
NOT PRESENT: None.
3. APPROVAL OF AGENDA
MOTION/SECOND: Mueller/Hull. To Approve the January 9, 2012, Agenda as presented.
Ayes – 5 Nays – 0 Motion carried.
4. PUBLIC INPUT
None.
5. APPROVAL OF MINUTES
A. December 12, 2011, EDA Minutes.
MOTION/SECOND: Mueller/Stigney. To Approve the December 12, 2011, Minutes as
presented.
Ayes – 5 Nays – 0 Motion carried.
6. CONSENT AGENDA
None.
7. EDA BUSINESS
A. Resolution 12-EDA-268 Electing and Appointing Officers for 2012 to the
Mounds View Economic Development Authority (EDA).
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Economic Development Specialist Steinmetz explained the EDA bylaws state the Authority shall
elect a President, Vice President, Treasurer and Secretary at the first meeting of each year. If the
same roles are filled as was done in 2011, the President would be Joe Flaherty, the Vice President
would be Roger Stigney, the Treasurer would be Carol Mueller and the Secretary would be Al
Hull.
The Authority was in agreement with these recommendations.
MOTION/SECOND: Gunn/Hull. To Waive the Reading and Approve Resolution 12-EDA-268
Electing and Appointing Officers for 2012 to the Mounds View Economic Development
Authority (EDA).
Ayes – 5 Nays – 0 Motion carried.
B. Consider Demolition Assistance for 8379 Red Oak Drive.
Economic Development Specialist Steinmetz stated a representative for the property owner at
8379 Red Oak Drive contacted City Staff in November regarding demolition assistance. Staff
provided the rep with information on the Home Demolition Program. The City has a loan
program providing up to $10,000 at 3% with fixed monthly payments.
Economic Development Specialist Steinmetz indicated the homeowner felt this may be too much
at this time and wished to delay pursuing the loan.. Staff then suggested a deferred loan at 0%
interest which would assist the property owner with demolishing the home. She stated this
would be a diversion from the current loan standards.
Economic Development Specialist Steinmetz explained the home at 8379 Red Oak Drive was
built in 1938, was a one-story structure, and was currently vacant. The home was declared unfit
for habitants by the City. She indicated the property has a history of code violations and police
calls. The demolition of the structure would eliminate these concerns. Staff recommended the
$10,000 loan at 0% to assist the property owner with the demolition.
Commissioner Mueller questioned if the property was in foreclosure. Economic Development
Specialist Steinmetz stated Staff was not aware of any foreclosure actions.
Commissioner Mueller asked for the size of the lot. Economic Development Specialist
Steinmetz did not have the exact size of the lot but reported the value of the structure and land to
be $94,900 for 2012.
Vice President Stigney asked if the existing $10,000 loan program at 3% was deferred.
Economic Development Specialist Steinmetz indicated this loan program was not deferred, the
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3% was paid each month until the loan was paid in full.
Commissioner Mueller supported the loan request as the structure had become a nuisance and the
property had become blighted. She did not want the neighboring property values to be reduced
because of this structure.
Vice President Stigney recommended the loan be deferred, but that the 3% interest rate remain.
This would allow the structure to be removed and for the site to be sold. The loan would then be
repaid at the time of the sale and the City would capture interest in the meantime. He was not in
favor of a free loan.
Commissioner Hull supported the loan option presented by Staff.
Commissioner Gunn agreed with the 0% deferred loan.
Mayor Flaherty supported Commissioner Mueller’s comments were correct. He wanted the
blighted property to be improved and for the neighboring property values to be unaffected. He
felt in the long run this would save the City money through reduced police calls and code
enforcement issues.
Vice President Stigney felt it was wrong that the loan would be deferred until the property sold.
He cautioned the EDA from setting precedence with this request as no hardship was found.
Mayor Flaherty indicated a hardship was not demonstrated, but he still supported the request to
improve the site. The consensus of the Council was to proceed with the deferred loan.
8. REPORTS
A. Update on Potential Sale of 2832 County Road 10 (PAK Building)
Economic Development Specialist Steinmetz stated the PAK Building at 2832 County Road 10
has been vacant since 2005. The listed price of the property was $100,000 less than the County’s
estimated market value. She indicated the City could potentially purchase this property to
remove the blight in the community and bring about future redevelopment.
Economic Development Specialist Steinmetz explained a private offer has been made for the
PAK Building however, one of the property owners did not agree to the offered price made. A
judge would now have to hear the case as the property is in receivership. She reviewed the
potential timeline for this transaction stating it would be several months before the transaction
could be completed.
Commissioner Gunn questioned if the potential auto-body vendor has spoken with the City as
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this was not an allowed use in this district. Economic Development Specialist Steinmetz
indicated the buyer has spoken with Planning Associate Heidi Heller and herself. Both Staff
members made the potential buyer aware of the fact a Conditional Use Permit was required.
Executive Director Ericson indicated the City could still submit an offer on the property and if
the pending offer were to fall through, the owners would have something viable to consider.
President Flaherty explained the Council discussed the PAK Building last Tuesday in work
session. This property was located at a gateway entrance to the City and was in need of
redevelopment.
Commissioner Gunn was in favor of putting in an offer on the building.
Commissioner Hull agreed that it benefited the City greatly to put in an offer.
Vice President Stigney did not support purchasing the PAK Building. He felt no real
redevelopment could take place until the neighboring property was available. He suggested the
City sit back and allow the process to continue with the current bidder.
Commissioner Mueller stated she received a great number of calls regarding the PAK Building.
She was encouraged that an offer was pending, but was discouraged the site was in receivership.
She indicated if the City were to make an offer, this would create an open door for potential
redevelopment. Commissioner Mueller recommended the Council discuss the matter further and
submit a fair offer on the PAK Building.
President Flaherty commented there was EDA consensus to proceed with submitting an offer on
the PAK Building. He suggested Staff arrange a Closed Executive Session meeting for this
purpose. The EDA recommended holding this discussion prior to the February 6th work session
meeting.
B. St. Paul Area Association of Realtors Speaker for January 23rd EDA Meeting
Economic Development Specialist Steinmetz stated last month the Mounds View Business
Council meeting had a speaker from the St. Paul Area Association of Realtors discuss the home
sales and values in Mounds View. She questioned if the EDA would be interested in hearing this
presentation.
Commissioner Gunn and Commissioner Mueller were in favor of having this presentation on
January 23rd.
Mayor Flaherty also supported the speaker stating it would greatly benefit the EDA and the
residents in Mounds View. However, he would not be in attendance at the January 23rd meeting.
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Executive Director Ericson stated this item could be revisited at a future meeting.
9. NEXT EDA MEETING: Monday, January 23, 2012, at 6:30 p.m.
10. ADJOURNMENT
President Flaherty adjourned the meeting at 6:37 p.m.
Respectfully submitted,
Recorded and transcribed by:
Heidi Guenther
TimeSaver Off Site Secretarial, Inc.