HomeMy WebLinkAbout2006.08.21 EDA MinutesMINUTES FOR THE EDA MEETING OF AUGUST 21, 2006
EDA President Fran Miron called the meeting to order at 8:30 am.
PRESENT: Jan Arcand, Jim Bever, Tom Denaway, Mike Granger, Phil Klein, Fran
Miron, and Brian Thistle
City Administrator Mike Ericson, CD Director Bryan Bear, CD Intern Rachel Simone
APPROVAL OF MINUTES
Arcand made motion, Granger seconded, to approve the minutes for the EDA meeting of July 17,
2006 as presented.
All aye. Motion Carried.
POA-SCHERER & COLLABORATIVE DESIGN GROUP — POSTAL CREDIT
UNION
POA -Scherer, LLC and Postal Credit Union requested approval of a Preliminary Plat and
PUD General Plan to construct a 5,000 -square foot bank with drive-through tellers on a
1.62 acre lot located west of Festival Foods across Victor Hugo Boulevard. The Planning
Commission held the public hearing at its August 10, 2006 meeting and voted
unanimously to recommend approval.
Staff will showed elevations of the building and the Postal Credit Union representatives
were present to talk about the bank and answer any questions the EDA had. CD Intern
introduced the President of the Postal Credit Union, Russel Plunkett. Mr. Plunkett talked
about the bank and why they decided to located the credit union in Hugo. Patricia Kamas
the business development manager of the credit union gave a power point presentation
and talked about the community involvement of the credit union.
The EDA welcomed the Postal Credit Union as a new business in Hugo and liked the
involvement that the Postal Credit Union in other communities. Granger asked if the
credit union would only be for postal workers. Mr. Plunkett stated that it is open to the
public.
Arcand made a motion, Klein seconded to recommend approval of the Preliminary Plat
and PUD General Plan for Postal Credit Union.
All ayes. Motion carried.
DISCUSSION ON TIF DISTRICT ESTABLISHMENT
Staff has been working closely with Paul Steinmen of Springsted and Mary Ippel on the
calculations to establish a TIF District. Staff attached a map of the proposed TIF District
that highlights the buildings that meet and do not meet the required 15% code deficiency
threshold determined by building inspections. The buildings were highlighted blue if they
qualify and were highlighted red if they do not qualify. Staff gave an update at the
meeting on the coverage test and requested direction from the EDA related to proposed
TIF boundary.
CD Intern gave an overview of the TIF district establishment process and the building
inspections. CD Intern stated we are in the process of calling the people that sent the
return card stating they did not want the city to do a building inspection of their property
and the people that had not responded to the letters. Miron asked about having a
community meeting with the people that have let us do a building inspection and the ones
that are not going to let us, to inform them of the TIF district and downtown
development. CD Director stated we had meetings on downtown development in the past
and if the EDA would like we could do more.
Denaway asked if we inspected the Stock Lumber site yet. CD Intern stated they have not
responded to the letters.
CD Director stated he has been in contact with Mike Anderson about Carpenters
restaurant and there has been a development group interested in the property. He also
discussed the building inspection and coverage tests. He talked about the Lavalle
property being large and not being considered occupied for the coverage test and that this
is an important piece.
Bever stated that he Lavalle property is important for the downtown redevelopment plan.
Klein asked about the time line of establishing the TIF district and if there was a
deadline. CD Director stated it will probably be 2-3 months and there is not deadline to
apply.
Arcand asked if the district had to be contiguous. CD Director stated it needs to be, but
we could propose to separate districts.
Miron stated that we should go ahead and call the residents that have not responded, do
some assumptions buildings for inspections, and find out what you can about he Lavalle
property.
Granger asked if we could have a map that would include the properties that qualify for
the building inspection test, properties that do not qualify, and show properties that may
or may not qualify by doing assumptions.
Staff agreed to bring the information request at the next EDA meeting on September 18,
2006.
UPDATE ON EMINENT DOMAIN LAW
Staff attached an update from the League of Minnesota Cities of the current legislation on
eminent domain. The City Administrator gave an overview of the new law and how it can
affect cities. Miron asked if the EDA could receive the League of Minnesota Cities
Bulletin with EDA packets.
UPDATE ON THE SCHOELLER PROPERTY
Staff was successful in reaching an agreement for the purchase of Schoeller house at
5399 Street for $135,000. The City will be responsible for demolition costs in excess of
the $15,000 agreed to by the Schoeller family. Because the Schoeller family was selling
the property, Council agreed to purchase the house for the future extension of Finale
Avenue, north from the new CSAH 8. Staff attached the final purchase agreement
between the City of Hugo and the Schoeller family.
CD intern gave background on the purchase of the property. The City Administrator
talked about the demolition costs and date.
UPDATE ON THE END ZONE PROPERTY
In mid-July 2006, City staff inspected the End Zone restaurant and motel and observed a
condition of slum and blight, including the open doors at the motel revealing refuse,
debris, and junk. City staff sent property owner Alex and Zena Minich a certified letter
requesting that the property be cleaned up and secured by Friday, July 28, 2006. Alex
and Len Minich met with City staff on Friday, July 28, 2006, at City Hall, and discussed
the issue and staff provided them a demolition application. To date, the Minich's have
not done anything to clean up or secure the motel buildings. Under Minnesota Statute,
the City's chief building official has the jurisdiction under which to request the
immediate removal of a public health, safety hazard, of which staff has determined that
this property has presented itself as. Alex and Len Minich were present at the August 7,
2006 City Council meeting stating that they had filed for a demolition permit with the
City for the two motel buildings and the house. The bar/restaurant building will remain.
Staff attached the letters sent to the Minich's including the letter stating they have 30
days to remove the buildings.
CD intern gave an update on the End Zone property. Bever asked about the clinic that
was interested in the property. CD Director stated that they gave the Minich's a purchase
agreement, but we have not heard from them at all.
ADJOURNMENT
Granger made motion, Klein seconded to adjourn the meeting at 10:00 am
All aye. Motion carried.