Loading...
HomeMy WebLinkAbout1982-02-01 HRA Regular Meeting MINUTES OF REGULAR MEETING OF HOUSING AND REDEVELOPMENT AUTHORITY OF EDINA FEBRUARY 1, 1982 The Housing and Redevelopment Authority of Edina met at 7:00 p.m. in the Edina City Council Chambers. Present were Members Bredesen, Richards, Turner and Courtney. MINUTES of January 18, 1982, were approved as submitted by motion of Member Bredesen, seconded by Member Turner. Ayes: Bredesen, Richards, Turner, Courtney Nays: None Motion carried. COMMUNITY DEVELOPMENT CORPORATION (YORK AVENUE SENIOR CITIZEN HOUSING) PROJECT APPROVED. Recalling that the Community Development Corporation project had been continued from January 18, 1982, Mr. Hughes reviewed the efforts of the Commu- nity Development Corporation to construct Senior Citizen Housing (SR-5) on a site generally located North of Parklawn Ave. and West of York Ave. He recalled that, because of increased interest rates without corresponding in- creases in allowed rents, the H.R.A. was reluctant to commit to subsidizing the project by an additional $250,000 over the original estimate of $600,000.00. Mr. Hughes explained that HUD has now agreed to process the project with the 1981 interest rate of 9.25%, but has also decreased the allowed rents for the project, necessitating a higher cash requirement at the onset of the project. He advised also that the general contractor has agreed to reduce his price by nearly $220,000, thus reducing the cash requirement by the H.R.A. Under the new agree- ment, the H.R.A. would be required to acquire the land for approximately $435,000 (including interest) and provide approximately $180,000 of street, utility and other improvements to the property. In exchange, the sponsor would contribute a $33,940 subdivision dedication to the City. Mr. Hughes pointed out that, from a total cost standpoint, this financial participation by the H.R.A. is nearly identical to that provided to the 90 unit Ryan townhouse development located East of York Ave. and North of W. 76th St. , and that the H.R.A. 's participation would be composed of approximately $250,000 of Community Development Block Grant Funds, with the balance from tax increment funds. He explained that, because the garages would have to be funded by Community Development Block Grant Funds, • neighborhood bases, non-profit corporation would have to be formed to receive • portion of the Community Development Block Grant funds and pass them on to the sponsor. Articles and by-laws for this corporation have been drafted which pro- vide that 1) the members will be appointed by the Mayor; 2) their sole source of funding will be the City, and 3) the corporation will cease to exist after this project is undertaken. Mr. Foster Dunwiddie, representing Edina Community Lutheran Church, a sponsor of the project, expressed the continued support of the church and urged that the project be approved. Some twenty other members of the church were also present. In response to a question of Member Richards, Mr. Hughes said that the redevelopment cannot occur without H.U.D. funds which are expected in March, and that there will be no on-going commitments on the part of the City. Mr. Hughes also advised that the Council cannot act as the corporation, since the corporation must be a niehgborhood based group. No further discussion being heard, Member Turner offered the following resolution and moved its adoption: Housing and Redevelopment Authority Minutes February 1, 1982 Page Two RESOLUTION BE IT RESOLVED that the Housing and Redevelopment Authority authorize execution of the Sale Agreement and Redevelopment Contract with, and Deed of Conveyance to, Eden Place, Inc. , which documents will commit the Housing and Redevelopment Authority to acquire the site needed for the property for construction of gar- ages and other improvements, and to convey the site to Eden Place, Inc. Motion for adoption of the resolution was seconded by Member Bredesen. Rollcall: Ayes: Bredesen, Richards, Turner, Courtney Nays: None Resolution adopted. HOUSING AND REDEVELOPMENT RESPONSIBLE AUTHORITY APPOINTED. Member Richards offered the following resolution and moved its adoption: RESOLUTION BE IT RESOLVED that Florence B. Hallberg, Edina City Clerk, be and is hereby appointed the. Responsible Authority under the Minnesota Data Practices Act for the Housing and Redevelopment Authority. Motion for adoption of the resolution was seconded by Member Turner. Rollcall: Ayes: Bredesen, Richards, Turner, Courtney Nays: None Resolution adopted. No further business appearing, the meeting was declared adjourned. Respectful submitt , i� Cordon L. Hughes Executive Director