04-08-08 HRA Agenda
AGENDA
GOLDEN VALLEY HOUSING AND REDEVELOPMENT AUTHORITY REGULAR MEETING
Golden Valley City Hall
7800 Golden Valley Road
Council Chamber
April 8, 2008 - 6:30 PM
Paqes
1. Roll Call
2. Approval of Minutes - Regular HRA Meeting - January 15,
2008 and Special Workshop - February 12, 2008
3. Approval of Bills:
City of Golden Valley
TOTAL
Bill Summary:
General Fund - 2008
23.634.55
$23,634.55
803.80
Valley Square -
Capital Project Fund - Area B
Tax Increment Fund
-0-
1,321.47
Golden Hills -
Capital Project Fund - Central Area
Tax Increment Fund
17,967.99
3,206.49
North Wirth -
Capital Project Fund - District #3
334.80
Housing Program Fund
TOTAL
-0-
$23.634.55
4. Receive and File April Financial Reports
5. Upcoming HRA Activities
6. Other Business
7. Adjournment
This document is available in alternate formats upon Please call
763-593-8006 (TTY: 763-593-3968) to make a request. Examples of alternate formats
may include large print, electronic, Braille, audiocassette, etc.
SPECIAL WORKSHOP
OF THE
HOUSING AND REDEVELOPMENT AUTHORITY
February 12, 2008
Pursuant to due call and notice thereof, a special workshop of the Housing and
Redevelopment Authority of the City of Golden Valley, Hennepin County, Minnesota, was
held at 7800 Golden Valley Road in said City on February 12, 2008, at 5 pm, in the Council
Conference Room.
The following members were present: Chair Paula Pentel and Commissioners Mike
Freiberg, Linda Loomis, DeDe Scanlon and Robert Shaffer. Also present were HRA
Director Thomas Burt, Assistant HRA Director Jeanne Andre, Director of Planning and
Development Mark Grimes, City Planner Joe Hogeboom and Finance Director Sue Virnig.
Golden Hills Redevelopment Area
Tom Burt and Jeanne Andre reviewed the plan and geographic area for the existing Golden
Hills Redevelopment Area. The current redevelopment area is concurrent with the current
tax increment financing (TIF) district (except for the portion south of 1-394), which ends in
2015. Opus has requested TIF for its new project on Xenia at Golden Hills Drive, which
would involve removing two parcels from the existing TIF district to create a new district.
Staff noted that the recent 1-394 Corridor Study incorporated a larger geographic area and
expressed a broader mission than the existing Golden Hills Redevelopment Area. As both
documents serve as planning guides for the City, staff recommended that these
documents be parallel in their vision. Another decision the Commissioners discussed was
whether to expand the redevelopment area to encompass all or a larger portion of the
Corridor Study Area. The Commissioners directed staff to develop a completely new
Golden Hills Redevelopment Plan that reflects the mission and geographic area of the
1-394 Study Area.
Other Redevelopment Obiectives
Valley Square and North Wirth - Staff reported on the Valley Square and North Wirth
Redevelopment Areas and Tax Increment Financing (TIF) Districts. North Wirth TIF District
#3, a single parcel soil correction district, is open with tax increment available on a pay-as-
you-go basis. The development is meeting the phasing requirements of the development
agreement, but is not moving forward as quickly as the developer anticipated. The original
North Wirth TIF District has been closed. Most of the original Valley Square TIF District is
closed except for parts of Area B which provide increment to payoff outstanding bonds.
The Valley Square District will close in 2011.
Douglas Drive - Staff inquired about Commissioner interest in considering a new
Redevelopment Area and Tax Increment Financing (TIF) District along Douglas Drive. It is
anticipated that United Properties will apply for TIF for senior housing at the northeast
corner of the intersection of Douglas Drive and Golden Valley Road. In addition the
Commissioners have expressed interest in encouraging updating or redevelopment of the
Douglas Drive Apartments. The City has recently been awarded a grant for a non-
Special Workshop of the Housing and Redevelopment Authority
February 12, 2008 - Page 2
motorized transportation study for the corridor, which will also involve study of adjacent
land uses. Recommendations for road improvements that might come out of that study are
not currently included in the City's Capital Improvement Project. Staff recommended that a
new redevelopment area and tax increment financing district might be a way to finance
some of the Council objectives. The Council requested staff to set up a working group
including HRA Commissioners and Planning Commissioners to consider this issue and
identify the appropriate geographic area for further study.
Adiournment
The meeting was adjourned at 6: 15 pm.
Paula Pentel, Chair
ATTEST:
Jeanne Andre, Assistant Director
REGULAR MEETING
OF THE
HOUSING AND REDEVELOPMENT AUTHORITY
January 15, 2008
Pursuant to due call and notice thereof, a regular meeting of the Housing and
Redevelopment Authority of the City of Golden Valley, Hennepin County, Minnesota, was
held at 7800 Golden Valley Road in said City on January 15, 2008, at 6:30 pm, in the City
Council Chambers.
The following members were present: Chair Paula Pentel and Commissioners Mike
Freiberg, Linda Loomis, DeDe Scanlon and Robert Shaffer. Also present were HRA
Director Thomas Burt, Assistant HRA Director Jeanne Andre, Finance Director Sue Virnig
and Administrative Assistant Carol Broermann.
Approval of the Minutes
MOVED by Loomis, seconded by Freiberg, and motion carried to approve the minutes of
the October 9,2007 regular HRA meeting.
Approval of Aaenda
MOVED by Loomis, seconded by Freiberg and motion carried unanimously to approve the
HRA agenda.
Approval of Bills
MOVED by Freiberg, seconded by Loomis and motion carried unanimously to approve the
bills as submitted, reimbursing City expenditures for the HRA.
Receive and File December Financial Reports
MOVED by Shaffer, seconded by Loomis and motion carried to receive and file the
December Financial Reports.
Election of Officers
The HRA ByLaws provide for the annual election of the HRA Chairperson and Vice
Chairperson to serve a one year term.
Chair Pentel opened nominations for HRA Chair.
Commissioner Shaffer nominated Chair Pentel for the office of Chair of the HRA and
Commissioner Freiberg for the Vice Chair of the HRA. There were no further nominations.
Chair Pentel and Commissioner Freiberg accepted the nominations.
Regular Meeting of the Housing and Redevelopment Authority
January 15, 2008
Page 2
Election of Officers - Continued
MOVED by Shaffer, seconded by Loomis and motion carried to re-elect Chair Pentel as
Chair of the HRA and Commissioner Freiberg as Vice Chair of the HRA for 2008.
Set 2008 HRA Meetings
MOVED by Loomis, seconded by Shaffer and motion carried to set the dates for the 2008
HRA quarterly meetings as follows: April 8, July 8, and October 14; and set the Special
Workshop date for Tuesday, February 12.
Adoption of 2008 General Fund Budget - HRA: Resolution 08-01
Finance Director Sue Virnig presented the 2008 HRA General Fund Budget and answered
questions from the Commissioners.
Commissioner Loomis introduced the following resolution and moved its adoption:
RESOLUTION 08-01
ADOPTION OF THE 2008 GENERAL FUND BUDGET
The motion for the foregoing resolution was seconded by Commissioner Scanlon, and upon
a roll call vote being taken thereon, the following voted in favor thereof: Freiberg, Loomis,
Pentel, Scanlon and Shaffer; the following voted against the same: none; whereupon said
resolution was adopted, signed by the Chair and her signature attested by the Director.
Designation of Depositories - HRA: Resolution 08-02
Finance Director Sue Virnig presented the 2008 Designation of Depositories.
Commissioner Freiberg introduced the following resolution and moved its adoption:
RESOLUTION 08-02
DESIGNATING DEPOSITORIES FOR HRA FUNDS
The motion for the foregoing resolution was seconded by Commissioner Loomis, and upon
a roll call vote being taken thereon, the following voted in favor thereof: Freiberg, Loomis,
Pentel, Scanlon and Shaffer; the following voted against the same: none; whereupon said
resolution was adopted, signed by the Chair and her signature attested by the Director.
Regular Meeting of the Housing and Redevelopment Authority
January 15, 2008
Page 3
Review of TIF Policy
No changes to the existing policy were suggested by the Commissioners. Assistant HRA
Director Jeanne Andre asked Commissioners to consider amending the initial TIF
application fee to $10,000 in order to accurately reflect necessary expenditures at this
stage in the process.
MOVED by Loomis, seconded by Shaffer and motion carried to amend the initial
application fee to $10,000.
Adiournment
The meeting was adjourned at 6:50 pm.
Paula Pentel, Chair
ATTEST:
Carol Broermann, Administrative Assistant
Memorandum
Housing & Redevelopment
Authority
763-593-8002/763-593-8109 (fax)
alley
7800 Golden Valley Rd. Golden Valley, MN 55427
763-593-8014
Date: April 8, 2008
To: Housing and Redevelopment Authority Commissioners
From: Sue Virnig, Finance Director
Through: Thomas D. Burt, Director
Subject: Reimbursement of City Expenditures for the HRA
As of March 31, 2008 the following expenditure amounts were owing to the City by the HRA:
City Expenditures:
1000 LHB (blight study-Opus)
1000 LHB (blight study-final-Opus)
1000 Best & Flanagan (December legal)
1000 Best & Flanagan (December legal-Opus)
1000 Hennepin County Treasurer (TIF Administration)
1000 Best & Flanagan (January legal)
1000 Best & Flanagan (January legal-Opus)
Amount
3,068.50
1,728.25
178.70
8,317.80
4,862.76
625.10
4,853.44
23,634.55
HRA Expenditures:
9000 General Fund
9120 Valley Square Tax Increment Fund
9160 Golden Hills Tax Increment Fund
9250 North Wirth Tax Increment Fund #3
9280 Golden Hills Capital Projects
803.80
1,321.47
3,206.49
334.80
17,967.99
$23,634.55
This reimbursement should be approved by the HRA as part of the normal bill paying
process.
Check
#
90814
90997
91058
91058
91140
91380
91380
Fund Balance
HRA of Golden Valley
General Fund
March 2008 Budget Report
Percentage Of Year Completed 25%
Over %Of
2008 Jan-Mar YTD (Under) Budget
Budget Actual Actual Budget Received
$10,000 0.00 0.00 (10,000.00) 0.00%
150,000 0.00 0.00 (150,000.00) 0.00%
0 128.38 128.38 128.38
9,000 0.00 0.00 (9,000.00) 0.00%
$169,000 128.38 128.38 (168,871.62) 0.08%
Revenue
Transfer from TIF Funds:
Valley Square (3)
Golden Hills (3)
Interest Earnings (2)
Totals
Over %Of
2007 Jan-Mar YTD (Under) Budget
Expenditures Budget Actual Actual Budget Expended
Legal Services (1) $6,000 625.10 625.10 (5,374.90) 10.42%
Audit 12,000 0.00 0.00 (12,000.00) 0.00%
City Overhead (3) 150,000 0.00 0.00 (150,000.00) 0.00%
Miscellaneous 1,000 0.00 0.00 (1,000.00) 0.00%
Totals $169,000 625.10 625.10 (168,374.90) 0.37%
Notes:
(1) Includes January to date billings from Best & Flanagan.
(2) Interest is through 02/08.
(3) Transfers will be made in July 2009.
City of Golden Vallev - HRA - Tax Increment District Proiections
Vallev Sauare Tax Increment Fund:
2008 2009 2010 2011
Projected Cash Balance @ 1/1 $1,352,806 $1,193,231 $1,041,275 $904,842
Plus:
Non-Area B Increment - Applied To 1994 Bonds
Area B Increment 693,809 674,854 656,417
Interest Earnings @ 2% of Beg. Ba!. 27,056 23,865 20,825
Less:
Transfer to HRA General Fund (10,000) (10,000) (10,000)
Debt Service:
2003 Tax Increment Bonds (3.47%) (602,875) (583,000) (561,800) (540,600)
2003 Taxable Tax Increment Bonds (4.49%) (267,565) (257,675) (241,875) (230,625)
$1,193,231 $1,041,275
$904,842
$133,617
Projected Cash Bal. @ 12/31
Bond Principal & Interest Outstanding @ 12/31
$2,415,575 $1,574,900
$771,225
$0
City of Golden Valley - HRA - Tax Increment District Proiections
Golden Hills Tax Increment Fund:
(Includes Tax Increment Fund and Debt Service)
2008 2009 2010 2011 2012 2013 2014 2015
Projected Cash Bal. @1/1 $3,442,070 $3,864,804 $4,372,931 $4,962,296 $5,624,202 $7,451,988 $8,303,188 $7,235,285
Plus:
Estimated Tax Increment 3,500,000 3,535,000 3,570,350 3,606,054 3,642,114 3,678,535 3,715,321
Interest Earnings (2% of Beg. Bal.) 68,841 77,296 87,459 99,246 112,484 149,040 166,064
Less:
Transfer to HRA General Fund (150,000) (150,000) (150,000) (150,000) (150,000) (150,000) (150,000)
Debt Service:
1999 C Tax Incr. Bonds (5.09%) (Callable 02/01/08) (871,495) (869,120) (869,470) (866,970)
2004 A Tax Incr. Refunding Bonds (2.27%) (225,387) (226,287) (226,562) (231,187)
2005 B Taxable Tax Incr. Refunding Bonds (4.69%) (423,704) (420,641 ) (411,841) (412,766) (407,991) (402,710) (1,759,910) (1,686,475)
2005 A Tax Increment Refunding Bonds (3.50%) (104,521) (107,871) (116,071) (123,971 ) (126,571) (128,915) (546,877) (533,282)
2006 A Taxable Tax Incr. Refunding Bonds (5.12%) (1,371,000) (1,330,250) (1,294,500) (1,258,500) (1,242,250) (2,294,750) (2,492,500) (2,950,500)
Projected Cash Bal. @ 12/31 $3,864,804 $4,372,931 $4,962,296 $5,624,202 $7,451,988 $8,303,188 $7,235,285 $2,065,028
Bond Principal & Interest Outstanding @ 12/31 $22,995,060 $20,062,785 $17,165,545 $14,293,355 $12,535,035 $9,755,255 $5,065,439 $0
HRA Of Golden Valley
2008 Financial Report
9280
Golden
Hills
Capital Proiect Funds
9220
Valley
Sauare
9250
North
Wirth #3
Cash Balance @ 01/01/108
Add:
Receipts:
Interest
Reimbursement of Appraisal-Webb
Less:
Expenditures:
City of Golden Valley (1)
Cash Balance @ 03/31/08
$272,493.04
2,637.04
4,800.00
$279,930.08
(1) Breakdown on City Expenditures Memo
$743,661.36
6,006.03
$749,667.39
$17,390.43
140.45
(334.80)
$17,196.08
alley
Memorandum
Housing & Redevelopment
Authority
763-593-8002/763-593-8109 (fax)
7800 Golden Valley Rd. Golden Valley, MN 55427
763-593-8014
Date: April 4, 2008
To: Housing and Redevelopment Authority Commissioners
From: Jeanne Andre, Assistant Director
Through: Thomas D. Burt, Director
Subject: Upcoming HRA Activities
This is an update on planned or possible upcoming HRA activities.
Saturday, April 26, 8:30 to 11 :30 am - Proposed tour of City with focus on existing and
possible new HRA projects
Tuesday, May 13,6:30 pm - Possible special HRA meeting to consider the Opus Xenia
Ridge mixed-use project
Tuesday, June 10, 6:30 pm - Possible special HRA meeting to consid~r the United
Properties Applewood Point senior housing project
Please mark these meetings on your calendar. The tour has already been set by the HRA.
The other meetings will be noticed if a special meeting is called the chair.
In planning for the tour, staff has discussed possible participants. Staff members Tom Burt,
Jeanne Andre, Mark Grimes and Jeannine Clancy anticipate attending. It would be possible
to also invite members of the Planning Commission if the Commissioners support their
involvement at this time. The number of participants will impact the size of the vehicle needed
for the tour, so feedback on desired participants is needed now.