HomeMy WebLinkAbout01-27-2020 EDAPROCEEDINGS OF THE MOUNDS VIEW EDA 1
CITY OF MOUNDS VIEW 2
RAMSEY COUNTY, MINNESOTA 3
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Regular Meeting 5
January 27, 2020 6
Mounds View City Hall 7
2401 Mounds View Boulevard, Mounds View, MN 55112 8
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1. CALL MEETING TO ORDER 11
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President Mueller called the meeting to order at 6:30 p.m. 13
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2. ROLL CALL: President Mueller, Vice President Gunn, Commissioner Hull, 15
Commissioner Meehlhause and Executive Director Zikmund. 16
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NOT PRESENT: Commissioner Bergeron (excused). 18
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3. APPROVAL OF AGENDA 20
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MOTION/SECOND: Meehlhause/Hull. To Approve the January 27, 2020, Agenda as 22
presented. 23
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Ayes – 4 Nays – 0 Motion carried. 25
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4. CONSENT AGENDA 27
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A. November 25, 2019, EDA Minutes. 29
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MOTION/SECOND: Meehlhause/Gunn. To Approve the Consent Agenda as presented. 31
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Ayes – 4 Nays – 0 Motion carried. 33
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5. PUBLIC COMMENT 35
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None. 37
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6. EDA BUSINESS 39
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A. Resolution 20-EDA-334, Electing and Appointing Officers to the Mounds 41
View Economic Development Authority (EDA). 42
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Assistant City Administrator Beeman requested the EDA elect and appoint officers for 2020. He 44
noted in 2019 the President was Carol Mueller, the Vice President was Sherry Gunn, the 45
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Regular Meeting Page 2
Treasurer was Gary Meehlhause and the Secretary was Al Hull. 1
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Vice President Gunn recommended Al Hull serve as the Vice President for 2020. She noted she 3
would be willing to serve as the EDA Secretary. 4
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Commissioner Meehlhause reported he would be willing to serve as the EDA Treasurer for 2020. 6
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MOTION/SECOND: Meehlhause/Hull. To Waive the Reading and Adopt Resolution 20-EDA-8
334, Electing and Appointing Officers to the Mounds View Economic Development Authority 9
(EDA). 10
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Ayes – 4 Nays – 0 Motion carried. 12
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B. Confirm EDC Chair and Vice Chair Appointments. 14
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Assistant City Administrator Beeman requested the EDA confirm the EDC Chair and Vice Chair 16
appointments. He reported Dennis Farmer would be serving as the Chair and Dan Larson would 17
be serving as the Vice Chair in 2020. 18
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President Mueller requested further information on the role of the EDC. Assistant City 20
Administrator Beeman reported the EDC or Economic Development Commission had seven 21
members, four residents and three business representatives. He explained the EDC served as an 22
advisory group to the EDA. 23
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MOTION/SECOND: Gunn/Meehlhause. To Confirm EDC Chair and Vice Chair 25
Appointments. 26
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Ayes – 4 Nays – 0 Motion carried. 28
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C. MWF Properties Skyline Redevelopment. 30
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Assistant City Administrator Beeman provided the EDA with an update on the MWF Properties 32
Skyline Redevelopment project. He reported this project was proposed to have workforce and 33
senior housing. Since this project was designed, MWF has learned the State has run out of tax 34
credits, which were required for the workforce housing portion of the development. He indicated 35
this would delay the project. He stated MWF Properties could apply for more tax credits in 2021. 36
He indicated the developer has requested the EDA allow for the project to have a contingency 37
date of February 2023. He stated he wanted to make the EDA aware of this project delay and 38
asked for comments or questions. 39
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Commissioner Meehlhause asked how this would impact Augusta. Assistant City Administrator 41
Beeman explained the developers had discussed sharing costs on the development site plan. He 42
Mounds View EDA January 27, 2020
Regular Meeting Page 3
reported if the EDA decides to not move forward with MWF the City could sign an agreement 1
with Augusta. This meant one portion of the development could be completed and the southern 2
portion would be developed at a future date. 3
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Commissioner Meehlhause stated he would like to see MWF have some skin in the game in 5
order for the EDA to justify the property sitting vacant for several years. Assistant City 6
Administrator Beeman explained he had requested MWF put $100,000 in escrow for the property 7
and staff received no response from MWF. He commented further on how the market may 8
change in the next two or three years. 9
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Vice President Gunn asked if MWF was committed to completing the workforce housing project. 11
Assistant City Administrator Beeman reported this was the case if the EDA would support 12
waiting it out, until State tax credits were available. 13
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President Mueller questioned if the contingency could run through February of 2022 and offer an 15
extension to 2023. Assistant City Administrator Beeman stated this could be proposed to MWF. 16
He reviewed the grant schedule for State tax credits. 17
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President Mueller inquired if the City could set up an escrow fund with MWF. Finance Director 19
Beer indicated this could be completed and if MWF were to walk away from the project, the 20
EDA would retain these funds. 21
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President Mueller asked what would be a logical request for an escrow amount. Assistant City 23
Administrator Beeman commented this amount could be determined by the EDA. 24
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President Mueller indicated she could support the EDA holding onto the land but wanted to see 26
MWF provide earnest funds. City Attorney Riggs advised the EDA could set this up many 27
different ways. He reported MWF was willing to participate in the shared costs to develop the 28
site. He discussed how MWF fulfilled their agreements on The Boulevard project. He 29
anticipated it would be difficult for the EDA to get earnest money out of MWF for this property. 30
He commented it would be more valuable to have MWF assisting with the shared costs to 31
develop the site than for the EDA to have earnest money. He questioned this decision was a 32
matter of how long the EDA was willing to have the property sit vacant. 33
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Finance Director Beer explained lost interest on the sale of the land would be $24,000 per year 35
and lost property taxes would be another $30,000 to $35,000 per year. 36
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Vice President Gunn thanked City Attorney Riggs for his comments and stated MWF was putting 38
money down on this project in order to complete the site improvements. She believed this was 39
showing her MWF was willing to continue on with this project and that they were not walking 40
away. She understood that the Governor and Met Council were both committed to finding more 41
funds for affordable housing. For this reason, she supported an extension for MWF to February 42
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of 2022. 1
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Commissioner Meehlhause explained the EDA would still be receiving some funds for the sale 3
of land for the Augusta project noting Augusta would still like to get this project in the ground in 4
2020. He supported the EDA offering MWF an extension to February of 2022. 5
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Commissioner Hull agreed. 7
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President Mueller commented on the income the EDA would be receiving from the Augusta 9
portion of the development. She questioned if an extension to MWF would impact the expansion 10
Bio Clean was proposing. Assistant City Administrator Beeman reported the EDA would still 11
own this land and could set lot lines accordingly to ensure the Bio Clean expansion could move 12
forward. 13
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Commissioner Meehlhause noted the Bio Clean expansion was a major portion of this entire 15
development and must be able to proceed. 16
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City Attorney Riggs reported he would be coming back to the EDA at either the first or second 18
meeting in February with agreements for Augusta and MWF putting all of the matters discussed 19
into play. 20
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President Mueller asked if the EDA would like to require MWF to provide earnest money at this 22
time. The EDA did not support requiring earnest money. 23
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7. REPORTS 25
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None. 27
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8. NEXT EDA MEETING: Monday, February 10, 2020 at 6:00 p.m. 29
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9. ADJOURNMENT 31
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President Mueller adjourned the meeting at 7:10 p.m. 33
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Respectfully submitted, 35
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Recorded and transcribed by: 38
Heidi Guenther 39
Minute Maker Secretarial 40