2004-10-12PLEASE TURN OFF AT CELL PHONES & PAGERS IN COUNCIL CHAMBERS.
AGENDA
Page
4. 3
5. 4
Open meeting
Action approving agenda, with any amendments
3. Action approving minutes: September 28, 2004 1-2
Action amending the Contract for Private Redevelopment by and
between BFL2 and the Housing and Redevelopment Authority
in and for the City of Mound
Action extending preliminary agreement with Mound Harbor
Renaissance to November 24, 2004
Adjourn
MOUND HOUSING AND REDEVELOPMENT AUTHORITY
SEPTEMBER 28, 2004
The Housing and Redevelopment Authority of and for the City of Mound, Minnesota,
met in regular session on Tuesday, September 28, 2004, at 7:00 p.m. in the council
chambers of city hall.
Members Present: Chairperson Pat Meisel; Councilmembers Bob Brown, Mark Hanus,
David Osmek and Peter Meyer.
Others Present: City Attorney John Dean, Executive Director Kandis Hanson, City
Clerk Bonnie Ritter, Community Development Director Sarah Smith, Susan and Rick
Bloomquist, Mike Specht, Peter Johnson, Sue Eskedahl, Mary Sells, Tom Stokes, Cindy
Reiter
1. Open Meeting
Chair Meisel opened the meeting at 7:02 p.m.
2. Approve Aqenda
MOTION by Brown, seconded by Osmek to approve the agenda. All voted in favor.
Motion carried.
3. Approve Minutes
MOTION by Brown, seconded by Hanus to approve the minutes of the September 15,
2004 meeting. All voted in favor. Motion carried.
4. Report by Westport Properties on Indian Knoll Manor
Cindy Reiter of Westport Properties presented her report as follows:
1. August Bank Statement
2. July Income Statement
3. Review of Bills: MOTION by Hanus, seconded by Osmek to approve payment of
the bills for August, 2004.
4. Managers Report: Lobby Design Update and Ideas on disposing of old furniture
5. Resident Council Report- none.
5. Contract for Private Redevelopment between HRA and BLF2, LLC.
John Dean reviewed the proposed contract and said parties were in agreement on all
but one item. The unresolved issue involves permitted uses by BLF2, other than the
hotel/restaurant/banquet hall.
Discussion followed between Rick Bloomquist of BLF2, David Newman of MHRD, and
the Council. A consensus was arrived at that all parties felt they could life with.
Mound HRA Minutes September 28, 2004
MOTION by Osmek, seconded by Brown to approve the Contract for Private
Redevelopment by and between the Housing and Redevelopment Authority in and for
the City of Mound, and BFL2, LLC, with an amendment to Article X, Section 13 inserting
wording to the affect that the developer may devote space to retail services, not to
exceed an aggregate of 1000 sq. ft, with no single use to exceed 500 square feet. All
voted in favor. Motion carried.
6. Adjourn
MOTION by Osmek, seconded by Brown to adjourn at 8:00 p.m. All voted in favor.
Motion carried.
Mayor Pat Meisel
Attest: Bonnie Ritter, City Clerk
5341 Maywood Road
Mound, MN 55364
(952) 472-3'190
Memorandum
To:
From:
Date:
Re:
Mound Housing and Redevelopment Authority (HRA)
Sarah Smith, Comm. Dev. Director
October 8, 2004
Contract for Private Redevelopment with BFL 2
Summary
At its September 28, 2004 meeting, the HRA approved the Contract for Private
Development with BFL 2 subject to revision of Paragraph 13 included in Section
10.7 Additional Developer Undertakings regarding the amount of allowable retail
space and uses for the hotel property.
The revised language is outlined below:
13. (a) Any uses as a hotel, sit-down restaurant and banquet hall are
permitted uses. Any Except as provided in subDara_oraph lb) any additional
uses shall be subject to the approval of the Authority and the MHR for the
duration of the TIF District, which approval shall not be unreasonably withheld.
There will be a presumption of reasonableness as to any use which does not
duplicate a use or a tenant planned elsewhere for the Redevelopment Project=
(b) Notwithstanding subparaora0h (a) the Redeveloper ma.v devote the
Redevelopment Property to up to five additional uses of not more than 1000 oross
square feet in the aoore_oate~ and with no single use to exceed 500 gross square
feet.
These restrictions will be memorialized on appropriate instruments so as to
run with the land and be binding on successors in interest in the hotel parcel
for the term of the tax_increment district.= Such instrument shall also provide,
to the fullest extent allowed by_law, that the parcel may not become tax-exempt for
the duration of the TIF District.
Members of the HRA are advised that Staff was notified on October 7, 2004 that the
agreement, including the proposed language referenced above, was deemed
acceptable by the BFL 2 Team subject to a few housekeeping changes suggested by
Attorney Marc Kruger.
-3-
CHARTERED
470 Pillsbury Center
200 South Sixth Street
Minneapolis MN 55402
(612) 337-9300 telephone
(612) 337-9310 fax
http://www.kennedy-graven.com
Memorandum
10/01/04
To: HRA Commissioners
From: John Dean
Subject: Extension of Preliminary Agreement with Mound Harbor Renaissance.
The preliminary agreement with Mound Harbor Renaissance will expire on or about
October 13 unless the HRA and Mound Harbor Renaissance consent to an extension.
As you know, a draft final development agreement is essentially complete. Remaining to be
resolved are technical wording issues that are important fi.om the standpoint of assuring our ability
to issue tax exempt notes, and to issue a final note to the developer. Resolution of those issues has
taken considerably longer than was anticipated; and is not due to any actions or inactions of the
developer.
Mound Harbor Renaissance has consented to an additional extension to the agreement
through November 24, 2004. It is my recommendation that the HRA, by motion, also consent to the
extension. Following such action, I will notify MHR in writing of the extension. No further action
is required.
JBD-253951vl
MU195-15 -4-