2025-09-23 HRA Agenda PacketPLEASE TURN OFF CELL PHONES & PAGERS IN COUNCIL CHAMBERS.
AGENDA
MOUND HOUSING & REDEVELOPMENT AUTHORITY
REGULAR MEETING
TUESDAY, SEPTEMBER 23, 2025 6:00 P.M.
MOUND CENTENNIAL BUILDING CITY COUNCIL CHAMBERS
Page
1. Open the meeting
2. Action approving agenda, with any amendments
3. Action approving minutes: September 24, 2024 1-2
4. Finance Director Noah Iverson requesting action 3-5
on Resolution Authorizing the Levy of a Special Benefit 5
Levy Pursuant to Minnesota Statutes, Section 469.033, Subdivision
6, and Approval of a Budget for Fiscal Year 2026
5. Adjourn
MOUND HOUSING AND REDEVELOPMENT AUTHORITY
Tuesday, September 24, 2024
The Mound Housing and Redevelopment Authority in and for the City of Mound, Minnesota, met in
regular session on Tuesday, September 24, 2024, at 7:30 p.m. in the Council Chambers.
Members present: Chair Jason Holt, Commissioners, Kathy McEnaney and Kevin Castellano.
Members absent: Commissioners Paula Larson and Sherrie Pugh.
Others present: City Manager Jesse Dickson, Deputy City Manager Maggie Reisdorf, Finance Director
Noah Iverson, and City Attorney Scott Landsman.
1. Open meeting
Chair Holt called the meeting to order at 7:30 p.m.
2. Approve agenda
MOTION by Commissioner Castellano, seconded by Commissioner McEnaney, to approve the agenda.
All voted in favor. Motion carried.
3. Approve minutes
MOTION by Commissioner Castellano, seconded by McEnaney, to approve the minutes of the
September 26, 2023 regular meeting. All voted in favor. Motion carried.
4. Deputy City Manager Maggie Reisdorf requesting action on Resolution Authorizing the Levy
of a Special Benefit Levy Pursuant to Minnesota Statutes, Section 469.033, Subdivision 6 and
Approval of a Budget for Fiscal Year 2025
Reisdorf introduced this item to the Housing and Redevelopment Authority (HRA). She stated that the
Mound HRA exists to support redevelopment activity within the City of Mound. She informed that State
Statute allows for the HRA to levy a special tax (not to exceed 0.0185 percent) of the city's taxable
market value. Reisdorf explained that the City has levied funds for Fund 285 (HRA) that supports
payments for a debt service on the transit center bonds (2015B Tax Abatement Bonds) and for other
operating and capital expenses for the Transit/Harbor District.
Reisdorf said that staff is recommending approval of a resolution that would authorize the special levy
in the amount of $250,000; the same as the 2024 levy.
MOTION by McEnaney, seconded by Castellano, to approve the following resolution. All voted in
favor. Motion carried.
RESOLUTION NO. 24-01 H: AUTHORIZING THE LEVY OF A SPECIAL BENEFIT LEVY PURSUANT
TO MINNESOTA STATUTES, SECTION 469.033, SUBDIVISION 6 AND APPROVAL
OF A BUDGET FOR FISCAL YEAR 2024
5. Deputy City Manager Maggie Reisdorf requesting action on a Resolution Authorizing the
Partial Call of Certain Outstanding Bonds
MOTION by Castellano, seconded by McEnaney, to approve the following resolution. All voted in favor
Motion carried.
RESOLUTION NO. 24-02H: RESOLUTION AUTHORIZING THE PARTIAL RECALL OF CERTAIN
OUTSTANDING BONDS
6. Adjourn
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HRA Minutes—September26, 2023
MOTION by Castellano, seconded by McEnaney, to adjourn at 7:40 PM. All voted in favor. Motion
carried.
Attest: Kevin Kelly, City Clerk
Chair Jason R. Holt
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n
1091 Biel M MW flO)61
Date:
September 18, 2025
To:
BRA Board Chair and Commissioners
From:
Noah Iverson, Finance Director
Subject:
Special Benefit Levy for BRA activities
BACKGROUND
The Housing and Redevelopment Authority (HRA) in and for the City of Mound exists to
support redevelopment activitywithin the City of Mound.
State Statute, specifically the BRA Act, allows for a special tax to be levied in an amount not to
exceed 0.0185 of a city's taxable market value.
Mound utilizes these levied funds for two purposes:
1. Debt service on the transit center bonds 2015B Tax Abatement Bonds
2. Operating and maintenance expenses: Fund 285 Transit/Harbor DistricVHRA
Faiiii uesoi - I T zm za¢a zags z6z6
285 Has, Operating HRA 72405 71,150 69550 67,300 66200
350 Has, Transit 20158 Tax Abate HRA 176,150 178,850 181450 182,700 183800
TOTAL LEW 248,555 2 g(100 250,000 251 250,000
LESS: FlSCAL wSPARmES LEW (iT 621) (15 825) (12166) (12 062) (11 T54)
NEf LEW 230,93T Zr4J75 231,631 237,938 2382"
CHANGE FROM PRIOR YEAR 0 63% 1 C0% 1 %% O W% 013%
Fund 285's purpose is to support the ongoing maintenance and operations of city owned assets
that were developed as part of the Harbor District redevelopment. These assets include the
parking deck, the Lost Lake slips and navigation, the greenway, the pier, and the Veterans
Memorial.
To make the Harbor District redevelopment possible, the city established a Tax Increment
Financing (TIF) District and issued debt to fund the improvements. The expectation was that
new private development within the district would increase property values, generating
additional property tax revenue known as tax increment revenue. This revenue, which is
restricted, is designated to repay the debt and other eligible costs.
However, following the financial crisis, new development in the area was delayed. As a result,
the tax increment revenues were not sufficient to cover the debt service. To meet these
obligations, the city had to rely on unrestricted revenues, including funds from the general
property tax levy and revenue generated from the Lost Lake slips.
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Tax increment revenue from the Villas and Artessa has since grown to a level that now fully
supports the debt service from the redevelopment completed by the city. As tax increment
continues to grow, there could be satirical funds available to support navigation maintenance
Fund 285 operated at a deficit formany years. Ie 2019, the City Council approved the inclusion
of Lost Lake slip revenues in the fund and increased the HRA levy to support the operaron of
public assets is the Harbor District.
1n 2024, Lost Lake slips generated $90,650 is revenue Approximately $16,000 was spent on
maintenance for the slips and navigation. This left more Ran $74,000 in net revenue to help
build reserves within the fund
The Lost Case area has a total of4] slips for rent There are 23 slips designated for Villa
residents . The Artessa Co-op Condominium has use of 10 slips, which are reserved exclusively
for Artessa residents. The general public is eligible to rent a minimum of 10 slips, including any
extra slips not rented by Villa residents.
B Dow is a historyofthe Lost LAKE
SUP slip fees since 2014.
Itegory ESIIP FEE HISTORY
Category ID16IDIl Z$ D3
Mounonlndents hoa rend $ 1,148 $ 1,3W
Mountl undr si enoare noNllla resltlen6 $ 1,950 $ 2,"
Non-Mountl resltlen6 $ 2,050 $ 2,&p
The City has eotrented a Lost Lake slip to aeon-Mouedresident since 2021. The City expects
this Frenetic, conjure into the future
Sigeiftcarrtreserves will eeedto be built is this fuedto cover future rawntemance comforthe
parking deck andeavigatoe.
Below is a history of 285's Fund Balance
M FUND BALANCE HISroRr
AURAL ARUAL ARUAL PROIERED PROIERED
2019 1 2019 12824 2825 2826
$Im,nDl $ Iv,aezl $328,581 $ 395wP $ 2154,3w
1n 2024, Fund 285 covered the cost of repairs to the Transit Center parking lot, marking the Cast
major repair project completed within the Transit District is many years. The updated Capital
Improvemert Plan does not identify any significant projects in the district suggesting that the
fund Imance is expected to continue grow.
RECOMMENDATION
Staff is recommending that the HRA Board approve the attached resolutron authorizing the levy
of a special benefit levy pursuant to Minnesota Statutes Sectron 469 033, Subdivision 6 with no
increase from the pnoryear's amount
HOUSING AND REDEVELOPMENT AUTHORITY
IN AND FOR THE CITY OF MOUND
RESOLUTION NO. 25-01 H
AUTHORIZING THE LEVY OF
A SPECIAL BENEFIT LEVY PURSUANT TO MINNESOTA STATUTES,
SECTION 469.033, SUBDIVISION 6 AND APPROVAL
OF A BUDGET FOR FISCAL YEAR 2026
WHEREAS the Housing and Redevelopment Authority in and for the City of Mound (the
"HRA") has been duly established and operates under Minnesota Statutes, Sections
469.001 to 469.047 (the "HRA Act'); and
WHEREAS, Section 469.033, Subdivision 6, of the HRA Act permits the HRA to levy and
collect a special benefit levy of up to .0185 percent of taxable market value in the City upon
all taxable real property within the City in order to finance housing and redevelopment
activities authorized under the HRA Act; and
WHEREAS, the HRA has reviewed a budget for its operations for fiscal year 2026, which
budget earmarks the special benefits levy to pay debt service for the Mound Transit Center
bonds and any other costs related to HRA administrative, operating and/or capital expenses;
NOW, THEREFORE BE IT RESOLVED by the Board of Commissioners of the Housing and
Redevelopment Authority in and for the City of Mound as follows:
1. The budgets for the Mound Transit Center debt service and maintenance costs for
fiscal year 2026 are hereby in all respects approved.
2. Staff of the HRA are hereby authorized and directed to file the budget with the City in
accordance with Minnesota Statutes, Section 469.033, Subdivision 6.
3. The Board approves a special benefit levy for taxes payable in 2026 pursuant to
Minnesota Statutes, Section 469.033, Subdivision 6, in an amount not to exceed
$250,000, subject to the consent of the City Council of the City.
4. Staff of the HRA are hereby authorized and directed to seek the approval
by resolution of the City Council of the City of the levy of special benefit taxes in
2026, certify such proposed special levy with the Hennepin County Auditor by
September 30, 2025, certify the final levy with the County Auditor by the specified
date and take such other actions as are necessary to levy and certify such levy.
Approved this 23rd day of September, 2025 by the Board of Commissioners of the Housing
and Redevelopment Authority in and for the City of Mound.
Attest: Kevin Kelly, City Clerk
Chair. Jason R. Holt
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