2000-07-25
MOUND HOUSING AND REDEVELOPMENT AUTHORITY
2020 COMMERCE BOULEVARD
MOUND, MINNESOTA 55364
......................................................
.....................................................
DATE :': ~~ ~~€~~~:~PM
LOCATION: COUNCIL CHAMBERS, MOUND CITY HALL
ROLL CALL:
A. INDIAN KNOLL MANOR CONSENT AGENDA
1. Monthly Bills ~ g,~~-
2. Minutes -JUNE 27, 2000 a~~~;~~
B. ACCOUNTING ITEMS
1. Accountant Reports
2. Bank Accounts
B. H.RA ACTION ITEMS
1. Resolution # 00-15, Loan Forgiveness
2. Resolution # 00-16, Tenant Appointment
C. INFORMATION ITEMS
1. Annual and Five Year Housing Plan
2. Audit for y/e 9/30/99 (commissioners only)
D. TENANT REPRESENTATIVE REPORT
G. ADJOURNMENT
NEXT INDIAN KNOLL MANOR MEETING -AUGUST 22, 2000
U7/U6i 00 21 ::55 FA). CITI' AF MOUND
HRA A'IINUrES -REGULAR MEETING -JUNE 27, 2000
The Housing and Redevelopment Authority of the City of Mound, Hennepin County,
Minnesota, met on Tuesday, June 27, 2000, at 7:00 p.m., in the Council Chambers at 5341
Maywood Road, in said City.
Those present: Acting Chairperson Mark Hanus; HRA Board Members: Andrea Ahrens,
Bob Brown, and Leah Weycker. Absent and excused: Chairperscm Meisel. Also in
attendance were HRA Director Pinky Charon, City Manager Kandis Hanson, City Attorney
John Dean, City Engineer John Cameron, Mound Visions Coordinator Brune Chamberlain,
and Recording Secretary Diara Mestad. Others present: Jo Longpre, Ken Custer, Steven
Coddon, Don Richazd, Barr Engineering; Louie Ham, The Laker; Martin Miller, Milton
Hentges, Peter Meyer, Tony Clapp, John Volgstrom, John Volgstrom, Tom and Dene
Fabick, Bill and Dorothy Netka, and Liquor Store Manager, Joel Krumm.
Consent Agenda: All items listed under this Consent Agenda are considered to be routine by
the Housing and Redeve~oprnent Authority. There will be no separate discussion of these
items unless a HRA Board Member or citizen so request, in which event the item will be
removed from the Consent Agenda and considered in normal sequence.
Acting Chairperson Hanus called the meeting to order at 7:00 p.m.
7~7AN K1vnT,i. vrq~tOR CONSENT AGENDr~
A. MONTHLY BII.LS
B. MINUTES -MAY 23, 2000
Brown, Weycker, unanimously.
~~['OUNTLhTG ITEMS
A. ACCOUNTANT REPORTS
B. BANK ACCOUNTS
The HRA Director stated that the bank account information was included in the packet for
review. No action was required on this.
RRA CTION ITEMS
A. tlPPROVAI, OF OPERATIN~UDGET FOR YEAR 9f30101
Cool
The HRA Director stated that the budget was for the year end 9130/0: and there wac not
much change from last year. She further stated that additional capital improvement money is
expected after the first of the yeaz.
_~ 07!06..00 21,35 FAX CITY OF MQUND I~j002
Mound HRA Minutes June 27 2000
Bro~vn moved and Weycker seconded the following resolution:
RESOLUTION X00-14 RESOLUTION APPROVING OPERATING BUDGET FOR
YEAR 9!30/01.
The vote was unanimously in favor, 144otion carried 4-0.
INFORMATION ITEMS
A. SECRETARY COM1VlENDATON FROM HUD
B. LETTER FROM HAROLD LUCAS
The HRA Director stated that the HRA had received a commendation from the U.S.
Department of Housing and Urban Development recognizing the HRA as a successful
performer. The HRA Director stated that she expected this trend to continue.
In addition, Harold Lucas, Assistant Secretary of the U.S. Department of Housing and Urban
Development has sent the HRA a congratulatory letter.
The HRA Director stated that a new caretaker has been hired and is doing a great job.
Marybeth was introduced to the HRA.
TENANT REPRESENTATIVE REPORT
The tenant representative was absent.
~SCELLANEO~7S
The next Indian Kno11 Manor meeting is July 25, 2000.
TA, X INCREMENT FINANCING.
1.0 APPROVE ~'IINL'TES OF JUNE 13. 2000.
MOTION by Hanus, seconded by Brown, to approve the Minutes of June 13,
2000. The vote was unanimously in favor. Motion carried. 40.
1.1 l:a~~WELL 5TRUCTURAL AND E1ITVIR 1yMENTAL STUDIES COST
FSTIMATF.S.
Brace Chamberlain, Mound Visions Coordinator spoke on this issue. He referred to the
nr,emo in the meeting packet regarding the structural integrity of the site and the pollution
:hat has been discovered. He stated that he wanted to discuss the exploration and quotes.
The possibilities to consider were;
2
07!06; OU 21:36 FAl CITY OF AtOUnD C~J003
IViound HRA Minutes. June 27. 2000
1. Stctural mitigation due to poor soils needed for a proposed hotel building;
2. Soil stabilization to support a parking lot;
3. Soil investigation/remediation needed through the Petroleum Fund and
Voluntary Investigation and Clean-up Program (VIC).
The Mound Visions Coordinator stated that the cost for reviewing the first two items would
be approximately $2,000 to $3,000 each. The cost for the consulting fees on item 3 is about
$15,000 to review and install monitoring wells. This cost is in addition to the cost of clean
up. All costs for item 3 are reimbursable through the Petroleum Fund.
Because volatile organic compounds have been found, the VIC program is necessary. The
Mound Visions Coordinator suggested reviewing the neighboring Lost I.akc property at the
same time. The costs aze in the $25,0()0 to $50,000 range depending on the level of
pollution found on the site.
The Mound Visions Coordinator suggested doing items 1 and 2 in order to get a handle on
the building costs for the site. After those costs have been determined, the City could decide
on whether to look into grant programs far site cleanup.
Acting Chairperson Hanus asked what the point of spending money on this site was unless
the City knew this would go forward. He questioned the idea of spending money on a parcel
of land the City does not own. The Mound Visions Coordinator stated that this is a property
that the City will want to link with other properties in the future.
Acting Chairperson Hanus asked about doing the clean up on one parcel and not both. The
Mound Visions Coordinator stated that the VIC program should be done on all of the parcels
so that the area can be developed.
HR.A Board Member Weycker asked about the option of talking with the current property
owner before pushing this through. Acting Chairperson Hanus stated that the City already
knows where the property owner stands.
The Gity Attorney stated that the price of the property has been discussed for a long time and
the problem at the moment is the preliminary cost for structural use. He stated that the
desire at this point is to determine if this cost was realistic.
Acting Chairperson Hanus asked if doing lust item 1 was feasible. The Mound Visions
Coordinator suggested that both items 1 and 2 be addressed, as the parking lot is also a
problem.
The City Attorney stated that the parking lot may be as big of an issue as a building or
possibly even worse.
3
__ 07/06/00 21:3? F9X CITY OF !~QL~ND [{~j004
r' '
Mound HRA Minutes. June 27. 2000
HRA Board Member Ahrens stated that the original numbers were astronomical and wanted
to know if the Mound Visions Coordinator was now saying they were too high. The Mound
Visions Coordinator stated that the numbers were put together quickly and that the City
Engineer wanted to be safe and so quoted a high range. The plan now was to have a
structural engineer explore the actual costs involved.
HRA Board Member Weycker stated that she was concerned that the property owner would
not sell and wondered if someone should be talking to him during the process. The City
Attorney stated that the property owner was in the $400,00 range and the City was looking at
about $250,000 and so he was not sure what the conversation should be.
HRA Board Member Weycker stated that she wanted to let the property owner know that the
City is looking at the options because she is afraid that he will sell the property while the
investigation is in progress. The City Attorney stated that it would not hurt to ask about any
immediate prospects for a new buyer.
HRA Board Member Ahrens stated that this might be a chance the City has to take in order
to move forward.
The Mound Visions Coordination stated that he liked HRA Board Member Weycker's ideas
and that he is in contact with Mr. Maxwell.
MOTION by Brown, seconded by Weycker to move forward with items 1 and 2
in the Mound Visions Coordinator's plan including a recommendation to stay in
touch with the property owner during the process. Motion carried 4-().
1.2 ]€IOTEL DISTRICT DEVELOPMENT RECOMMENDATION.
The Mound Visions Coordinator stated that the City had originally entered into a preliminary
agreement with Country Inns who decided that they were not interested in Mound. That
meant the City was now looking at the possibility of an American or Super S motel chain.
The City decided that was not the type of facility they were interested in and the agreement
was dropped. Recently Rick and Sue Bloomquist have expressed an interest in developing a
hotel. Staff fells that the Bloomquist's can put this project together. Staff does have a
concern that the hotel is a very critical component in the overall redevelopment and feels it is
too early to enter into an agreement because Mound needs more development elsewhere in
order to get the level of a facility that the City wants. Staff recommends holding on this
agreement and re-evaluating this in six months or so.
HRA Board Member Brown disagreed with waiting because a hotel chain would be a basic
building whereas he felt there was an opportunity with the Bloomquists to have a hotel that
blends with the Visions plan and that the Bloomquists have an interest in the community.
The Mound Visions Coordinator agreed with this point, but also stated that Mr. Bloomquist
has mentioned bringing in a national franchise for his hotel proposal which again would bring
4
07/06/00 2'_:39 FAQ CITT OF MOUND I~J00~
Mound HRA Minutes. June 27. 2QOU
a ,;oncern as to whether it was too soon to qualify the type of hotel the City was looking for.
He stated that a better result might be obtained in six rnonihs.
The Mound Visions Coordinator stated that the hope is to keep the Bloomquists interested
until some other projects in Mound are underway. HRA Board Member Brown stated that
this might give the Bloomquists false hope. The Mound Visions Coordinator stated that this
was a corcem, but that alternatively, the Bloomquists would be asked to invest in market
research and design resulting in the same type of facility that has already been turned down.
IIRA Board Member Weycker stated that because the property is still uncertain, it is too
early to make a commitment, but that she would like to see the Bloomquists stay interested.
The City Attomey stated that this was a difficult decision and that Staff was impressed by the
Bloamquists, but the issue is the current marketplace. He wanted to clarify that the
Bloomquists were not the issue, but rather the timing of the decision was a concern.
Mr. Bloomquist addressed the Board stating that he and his wife have been talking to
structural people and that as of yet, they have no idea of what the market research will show.
He stated that he is currently not a hotel person, but that he will get what the City needs.
Mr. Bloomquist further stated that he wishes to be kept in the loop, but is not interested in a
bidding war.
HRA Board Member Brown asked if there was an opportunity to give the Bloomquists a first
right of refusal such as in the Dodd case. The City Attorney stated that this was a different
situation from the Dodds, as they owned traeir land. He was concerned that a right of first
refusal might create false hopes and might also have an artificial impact on inflating the value
of the property that the City is trying to purchase. The City Attomey stated that he had the
sense that HRA wil! keep the Bioomquists in the loop.
MOTION by Ahrens, seconded by Weycker, to accept Staffs recommendation
not to enter into an agreement but to continue to keep the Bloomquists informed
and to re-evaluate this in six months.
Ayes: 3
Nay: 1 (BroR~n)
Motion carried. 3-1.
1.3 ADDITIONAL MATTERS REGARDING RAY MAR PROPERTIF~
DEVE~#'MENT.
The City Attorney stated that more information has come in. The title company is requiring
the City to provide an indemnity with respect to the property. T'he City acquired the railroad
i>roperty in fee simple and stated the purpose was a municipal parking lot. Because the City
is now selling this property for another purpose, the title company wants indemnity. The
5
f+7;08100 21:40 FAX CITT' OF :NOII~D I~j008
~ -
Mound HRA Minutes. June 27, 2000
City Attorney feels there is nothing to this issue and that it is not a problem to recommend
that the City do this.
Additionally, there is a disbursement agreement in the contract that prodded that net
procceds of about $70,000 would be parceled out in increments of 25°,b. The SPA did not
approve this. Because they need to collateralize their loan, the SPA asked that the whole
amount be deposited with them at closing to pay for construction billings as they come in.
This is not subject to discussion. Because the SPA will be disbursing the money to cover
validated construction costs, the City is still in the same position and he recommends the
IiRA agree with this.
A third issue is the easement area across the land laying north of the portion of property
conveyed to the Dodds. This is an access easement and also a walkway easement 6. feet
wide. Agreement was not successfully put together and the Dodds are still interested in a b-
foot easement. The City Attorney has added this to the agreement. As part of the same
scenario, there was discussion of building up to the property line on the north, which
requires that the Dodd btulding be slightly redesigned to cover the snow load. An agreement
was in mind to reimburse the Dodds to cover additional cost up to $10,000. It has now been
concluded that the cost is $7,900. The cost of this will be offset by the cost of the geo
technical work ($3,050), and 112 the cost of the planning of the entire property ($2,500).
The City Attorney recommends that the amount of $2,500 be paid by the City rather than the
HRA. He is recommending an agreement on behalf of the Gity and the Dodds to settle up
when costs are knov~m, probably in July. This will allow the City to gait, better utilization of
the property to the north.
Finally, is the issue of drainage and utility easements. The City Engineer and the Mound
Visions Coordinator have opened up the possibility that when a sanitary sewer force main is
relocated, if alternative route is provided, the City will not have to pay any money. The
City Attorney has drafted a dumpster agreement with the Dodds whereby the City will
construct and move the dumpster during the construction of this sewer arrangement. The
City is suggesting a wooden type of structure.
Acting Chairperson Hanus confirmed that none of the information above was contained in the
meeting packet. The City Attorney said that only the dumpster agreement was included.
HRA Board Member Weycker asked whether the Dodds were asking to keep the b-foot
easements and how that would be possible with the abutting building. The City Attorney
said that the walkway would remain and the new building will be built around the walkway;
perhaps with an enclosed walkway with a 2nd floor tie in; i.e., a mall type passage.
MOTION by Ahrens, second by Brown to approve the changes. Motion carried
40.
6
.. 1
07/06/00 '11:41 FAY CITY OF AfOUND l¢]00?
Mound HRA Minutes. June 27, ~,QO~
MOTION by Ahrens, seconded by Brawn to adjourn the meeting at 7:50 p.m.
The vote was unanimously in favor. Motion carried. 4-0.
Kandis Hanson, City Manager
Attest: Acting Chairperson Hams
7
MOUND HOUSING AND REDEVELOPMENT AUTHORITY
Indian Knoll Manor
# Check No. VendorlMerchant Amount Comments
1 4166 Verified Credentials $20.00
2 4167
3 4168 Glenwood Inglewood 13.42
4 4169 Karol Charon 25.30
5 4170 Ruth Spector 108.33
6 4171 Brissman Kennedy 32.61
7 4172 Four M Fund 500.00
8 4173 Mary Beth Niccum 1,134.84
9 4174 Karol Charon 933.47
10 4175 GTE 336.99
11 4176 C 8~ H Distributors 317.28
12 4177 Mary Beht Niccum 46.48
13 4178 MSI 1,114.15
14 4179 Daniels Carpets 539.00
15 4180 City of Mound 1,070.61
16 4181 Budget Lighting 106.11
17 4182 R .E. Electric 80.00
18 4183 Sterns Electric 120.88
19 4184 AI's Master Plumbing 475.75
20 4185 N S P 2,158.10
21 4185 Reliant Energy 912.14
22 4187 Park Supply 72.89
23 4188 BFI 288.46
24 4189 J.R. Optics 229.60
25 4190 I R S 650.00
26 4191 M E I 284.84
27 4192 MinnComm 38.50
28 4193 Coast to Coast 975.26
29 4194 A T 8 T 1,376.98
30 4195 C. Naber 8 Assoc 255.00
31 4196 Adams Pest 52.87
32 4197 1.O.S. 99.37
33 4198 IKON 188.48
34
35
TOTAL: $14,557.71
TOTAL ACC. PAYABLE $14,557.71
Begining Bank Bal. $69,189.98
Deposits MTD $8,500.00
ENDING BANK BALANCE $63,132.27
Signature: AccPay
07/1212000
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~~~~~ Norwest
i+roRwESrBANKS Bank
~~~®~
Sta temen t
.
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NORWEST BANK MINNESOTA, N. A. Page 1 673 IN
!DS CENTEI? OFFICE
'`POST'OFFlCE BOX B 514
Statement Date:
.MINNEAPOLIS, MN 55479 June 27, 2000
042-0023739
HOUS"LNG AND DEVELOPMENT AUTHORITY
OF MOUND
2020'COMMERCE BLVD
MOUND MN 55364
if you have-any questions about this statement or your accounts, ca//: 612-667.0281.
Your Accounts at a Glance
Account Number
Current Balance
Choice l-Plus 042-0023739 + 933.04
Choice 1-Plus
Housing And Development.Authority
'
Of Mound
Account No. 042-0023739
Summary of your account --_------------------------------------ ------------------------------_-----= ------------------------ --------------------
Previous Balance on May 25
+$ 932.55
49
0
Deposits, other additions - .
00
0
Total checks posted, other withdrawals = .
04
933
.Ending balance on Jun 27 .
Summary of interest Information --_ _~~~-------= ----------------------------------- ------------------- ----------------------
Annual percentage yield earned
$ 0.58%
932.55
Average collected°balance this period $ 0.49
Interest earned during this period $ 2.73
Interest and'bonuses pa-d to date this year.
Daily Balance Summary --------- --~~~_---- ----------------- ------------------- ----------------------- ------------------
Date `Balance Date Balance' Date Balance
May 25 932.55 Jun 27 933.04
D®tails of your account ~~~_~r _----------~~~~---------_- ------------------- ---------------------
Date Description Amount
May 25 Precious Balance $ 932.55
Deposits + 0.49
Jun 27 Interest Payment
Jun 27 Ending Balance = 933.04
Thank you for banking with'Norwest.
I~lARQUETTE BANK, N • A
MOUND OFFICE
PO BOX 1000 _
MINNEAPOLIS MN 55480-1000
. Marquette
~.3 8~ MEMBER FDIC
Page 1
6-30-00
33530
g - 115
29 HOUSING & REDEVELOPMENT AUTHORITY
SPECIAL ACCOUNT
2020 COMMERCE BLVD
MOUNII MN 55364-1.575
1444 I~I~In~~l~ullnlliiiluln~llil~l~l~nlilil~l~lul~luu~lll
nueoer- u, . ~~~... 770 .55
72
Previous Balance 2 ,
~ 9,043
+ Deposits .00
+ Electronic Deposits 1 45
00
+-Other Deposits/Credits :
- Electronic Withdrawals 2 204.00
- Other .Withdrawals/Debits 27 12,464.82
- Checks Paid 69,189.89
Current Balance
Interest Summary 5/ 31 / 0 0 t o 6/ 3 0 300 0
Interest Earned: From
in Period
DaYS
45
,
.Interest Earned
Annual Percentage Yield .Earned .75
247.90
t Paid this Year .00
Interes
Interest Withheld. this Year
Deposits Description
..Date CUSTOMER DEPOSIT
6-12 CUSTOMER DEPOSIT
6-15
2
Total Deposits
Other Deposit/Credit Activity
Date Description
6-30 INTEREST PAYMENT
-Total .Other Deposits~Credits 1
Continued on Next. Page.
,;
E?.!'D
Amount
8803.00
240.00
9,043.00
Amount
45.16
45.16
M•:au
it ! 1 11 '~'~ ,. .. t
DATE: 07/14/100 TIM : 12:43 PM TO: Karol K. Cturon - 2579r~23 p 1~(DLL)9YZ-nvro -^-•`• "' "-
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Minnesota ~M Plus Fund
Transaction Notification
Fax To: Karol K. Charon Fax From: MIIlA Client Services
Phone: {(12)472-5078 Phone: X800)395.5505
Fax: (b1Z)472-SQ78 Fah: (800)765-7600
Transaction Date> 07/14!2000
Transaction Number: 15797513
Pariicipant Name:
i
Mound Housing and Kedevelopment Authority
Participant Code: MN-O1-0258
i Participant Acct. #: 2001
~ Pariicipant Acct. Name: GENERAL FL1iD
i Bank Name:
Bank Acct. #:
Transaction Type:
, Contribution
I
Transaction Amount:
X500.00
Authorized By: Karel K. Charon
Posted balance as of 07/13(2000: ~208,476.SS
i
I
i
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M[31A
Summary Statement
June 2000
`~S~~~l
i =
~~
~.
,, oW
tif~I M,~M
For more information, call MBIA Client Services at (800)395-5505
Fax: (800)765-7600
~~~
Mound Housing and Redevelopment Authority
Account Number: MN-O1-0258-2001
Account Name: GENERAL FUND
Beginning
Balance Contributions Withdrawals Income
Earned Average Daily
Balance Month End
Balance
$206,475.50 $500.00 $0.00 $1,042.01 $207,095.19 $208,017.51
Account Number: MN-O1-0258-2002
Account Name: MOUND HLJD
Beginning
Balance Contributions Withdrawals Income
Earned Average Daily
Balance Month End
Balance
$10,257.40 $0.00 $0.00 $51.77 $10,284.05 $10,309.17
Total of all accounts
June 2000
Beginning Contributions Withdrawals Income Average Daily Month End
Balance Earned Balance Balance
$216,732.90 $500.00 $0.00 $1,093.78 $217,379.24 $218,326.68
Page: 1
DATE: 06/26/1V0 73MC: Vim: 72 PM iv: naroa n. ernew~ - aaa>c Ica a i, ova e~+rc-~...~ ~.--.-• -------
~ s
Minnesota 411 Plus Fund
Transaction Notification
Fax To: Karol K. Charon Fax From: MBIA Client Sen~ices
I
~ Phone: (6121472-Q~78
Phone: x;8011}395.5505
I
Fax: (6121472-5078
Fax: 1;800}765-7600
Transaction Date: 06/26/2000
Transaction Number: 15592721
Pariicipant Name:
i Mound Housing and Rede~~elupment Authority
Pariicipant Code:
I MN-O1-0258
Participant Acct. #: 2001
Pariicipant .Acct. Name: GENERAL Fi1ND
~ Bank Name:
I
~ Bank Accx. #:
Transaction Type: Contribution
Transaction Amount: $500.00
Authorized By: Karo) K. Charon
Posted balance as of 06/Z5/2000:
I $207,342.09
i
I
• , f
Mound, MN Public Housing
2020 Commerce Boulevard
Mound, MN 55364
For The Period Ended
4/30100
BUDGET PROGRESS REPORT
Percent
nD Of
Balance Budget Budget
REVENUES
3110.00 Dwell. Rental
(65,532.45)
(118,390.00)
55.00
00
3120.00 Excess Utilities (39.00)
00)
(06 0 (750.00)
(1.200.00) 5.
50.00
3190.00 Nondwell Rental .
171.45)
(66 (120,340.00) 55.00
Total Rental Income ,
3610.OOInvest.lnterest (216.03)
303.50)
(67 (850.00)
(80.00) 25.00
84,129.00
3690.00 Other Income
00 Operating Subsidy
8020 ,
(500.00) (500.00) 100.00
.
Other Operating Receipts (68,019.53) (1,430.00) 4,757.00
TOTAL RECEIPTS (134.190.981 (121.770.00) 110.00
EXPENSES
4110.00 Admin. Salary
7,969.72
15,110.00
53.00
00
0
0°
/
4150.00 Travel 0.00
00
948 800.00
1,300.00 .
73.00 o
4170.00 Accounting Fees .
00
0 500.00 0.00
4171.00 Auditing Fees
4190.00 Sundry-Admin. .
3.586.34 3,550.00 101.00
59
00
Total Administrative Exp. 12,504.06 21,260.00 .
4310.00 Water 1,343.52 4,920.00
00
600
12 27.00
62.00
4320.00 Electricity 7,850.42
847.00
5 .
,
12,370.00 47.00
4330.00 Gas
4390.00 Other Utility Exp. ,
4,694.14 11,490.00
200
00
2 41.00
82.00
4391.00 Garbage Removal 1.799.99
535.07
21 .
.
43,580.00 49.00
Total Utilities Exp. ,
4410.00 Maint. Labor 11,153.01 19,310.00
00
570
4 58.00
73.00
4420.00 Materials 3,336.21
67
623
8 .
,
7.800.00 1 1.
4430.00 Contract Costs .
,
89
112
23 31,680.00 73.00
Total Maintenance Expense .
,
r ~ ~
4510.00 Insurance
4520.00 Pmts In Lieu Of Tax
4540.00 Emp. Benefit Contr
4570.00 Collection Losses
Total General Exp.
Total Routine Exp.
4610.03 Extra Maint Cont.
7540.00 Betterments & Addition
Total Nonroutine Exp.
TOTAL EXPENSES
Increasel(Decrease) To
Retained Earnings
Mound, MN Public Housing
BUDGET PROGRESS REPORT CONTINUED
Percent
nD Of
Balance Budaet Budcet
3,591.69 4,920.00 73.00
2,231.82 3,840.00 58.00
1,296.97 2,630.00 49.00
(325.00) 0.00 0.00
6.795.48 11.390.00 60.00
63.947.50 107.910.00 59.00
779.96
6 6,000.00 113.00
,
800.34 0.00 0.00
7.580.30 6,000.00 126.00
71,527.80 113.910.00 63.00
r ~ ~ t
July 20, 2000
Mound H RA Board of Commissioners
Dear Commissioners:
In November of 1998 the Board of Commissioners allowed this housing
authority to borrow from the levy money fund $ 23,322.85 for emergency roof
repair. At that time it was decided that the housing authority pay that loan
back at $ 500.00 a month. This money could have been used to repair the roof
from the levy fund and legally did not have to be paid back but we wanted to
make a statement to HUD about the desperate state we were in when they
refused to give us any capital improvement funds. Beginning this year they are
going to give us a capital improvement amount every year in the approximate
amount of ~ 63,000 per year. That amount is contingent on our PHAS rating
part of that rating is our financial score. In that score we are rated on the
amount of our reserve money. If we do not have enough reserve we get a lower
score. Now HUD has decided that if we are not a HIGH PERFORMER we
will be docked 3% of our capital improvement money.
I am proposing that you forgive the balance of this loan to Indian Knoll Manor
to improve our reserve amount. This would raise the reserve because we would
eliminate this debt from our books and therefore raise our reserve. This
remaining balance due is ~ 12,822.85. If you approve then please pass the
attached resolution.
Sincerely,
Karol Charon
~ ' ~
THE HOUSING AND REDEVELOPMENT AUTHORITY
OF THE CITY OF MOUND
RESOLUTION # OU ' ~ 5
RESOLUTION FORGIVING THE BALANCE DUE ON A LOAN FROM
THE HRA LEVY FUND IN THE AMOUNT OF ~ 12,822.85.
WHEREAS, the Mound Housing and Redevelopment Authority has a loan
borrowed from the it's levy fund; and
WHEREAS, that amount is a debt against the housing authority therefore is
an amount deducted from the amount considered it's reserve amount; and
WHEREAS, HUD has stated that starting next year a lower reserve amount
will cause a penalty in the amount the housing authority receives for capital
improvements; and
WHEREAS, this loan from the levy fund can be legally used by Indian Knoll
Manor and does not have to be paid back.
NOW THEREFORE BE IT RESOLVED by the Board of Commissioners that
the balance of this loan in the amount of ~ 12,822.85 be forgiven for all time.
Pat Meisel, Chairperson
Karol Charon, Executive Director
Date
Date
~ ~ f
July 21, 2000
Mound H RA Board of Commissioners
Dear Commissioners:
When the new Quality Housing and Work Responsibility Act was passed it
stated that a tenant had to be on the H.R.A. board. I have not acted on that
requirement because it was stated the the next vacancy be filled on the board
with this tenant. That could not happen on our board because you are the city
council and elected officials and there will never be a vacancy. Our by laws
say that the city council is the HRA board. So I have been waiting for a ruling
on our specific case. That has now come from Washington. We are allowed to
appoint an additional person to the board making it a six person board when
you are dealing with matters relating to Indian Knoll Manor. That person will
only be allowed to vote on matters pertaining to Indian Knoll Manor and
nothing else.
Pauline Payne, our tenant representative, has agreed to serve in this capacity.
Please pass the attached resolution placing her on the H.RA. Board for
matters pertaining to Indian Knoll Manor.
Sincerely
Karol Charon
r
THE HOUSING AND REDEVELOPMENT AUTHORITY
OF THE CITY OF MOUND
RESOLUTION # ~O~i L
RESOLUTION APPOINTING A TENANT TO THE H.RA BOARD OF
COMMISSIONERS THAT WILL BE A VOTING MEMBER IN MATTERS
DEALING WITH INDIAN KNOLL MANOR ONLY.
WHEREAS, the Mound Housing and Redevelopment Authority must fulfill it
responsibilities as mandated in the Quality Housing and Work Responsibility
Act by appointing a tenant of Indian Knoll Manor to the H.R.A Board for the
next vacancy; and
WHEREAS, the Board of Commissioners for the Mound H.R.A is also the City
Council for the city of Mound and are elected officials and therefore there will
not be vacancy; and
WHEREAS, it is now legal to appoint a six member to the H.R.A. Board of
Commissioners in matters pertaining to Indian Knoll Manor.
NOW THEREFORE BE IT RESOLVED by the Board of Commissioners that
they will appoint Pauline Payne, a tenant of Indian Knoll Manor, as the six
voting member of the H.RA. Board in matters concerning Indian Knoll Manor
only.
Pat Meisel, Chairperson Date
Karol Charon, Executive Director Date
r ~~s
i
July 21, 2000
Board of Commissioners
Dear Commissioners:
Another part of the Quality Work and responsibility Act was that we have a
annual and a five year housing plan. This plan is due September 15, 2000. I
have been working on it for several months. It is complete. I must publish in
the local paper that it is available for comment until the board meeting of
September 12, 2000. I have not given you a copy yet because it is 55 pages
long and until I have the final draft, I will not put it in your agenda. So if you
are asked about this plan or you would like to see a copy, a copy is available at
the city offices and the office at Indian Knoll Manor for comment.
Sincerely yours,
Karol Charon