07-14-09 HRA Minutes
REGULAR MEETING
OF THE
HOUSING AND REDEVELOPMENT AUTHORITY
July 14, 2009
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 July 14, 2009 at 6:30 pm, in the City
Council Chambers.
The following members were present: Chair Paula Pentel and Commissioners Mike
Freiberg, Linda Loomis, De De Scanlon and Robert Shaffer. Also present were HRA
Director Thomas Burt, HRA,Assistant HRA Director Jeanne Andre and Administrative
Assistant Christine Columbus.
Approval of the Minutes
MOVED by Freiberg, seconded by Loomis, and motion carried to approve the minutes of
the April 14, 2009 HRA meeting.
Approval of Bills
MOVED by Loomis, seconded by Freiberg and motion carried unanimously to approve the
bills as submitted, reimbursing City expenditures for the HRA.
Receive and File June Financial Reports
MOVED by Loomis seconded by Shaffer and motion carried to receive and file the June
Financial Reports.
North Wirth Redevelopment Area
Commission Shaffer asked to be recuse from this issue because of a conflict of interest.
Assistant Director Andre addressed the Authority with the history of the private agreement
between HRA and GVEC Properties, LLC in 2006 and explained why the staff did not feel
the HRA should penalize GVEC Properties, LLC for failing to meet the provisions stated in
the 2006 agreement due to the current market conditions.
The new agreement would modify the schedule for completion of Phase II, waive the
existing Event of Default and amend the Tax Increment Note with respect to the payment
of interest.
Commissioner Scanlon asked if GVEC Properties, LLC was in favor of the agreement and
if precedent had previously been set with any other corporations defaulting on agreements.
Assistant Director Andre stated that GVEC Properties, LLC was willing to agree to the
terms of the new agreement. City Attorney Barnard stated that in the past there were no
Regular Meeting of the Housing and Redevelopment Authority
July 14, 2009
Page 2
pay as you go agreements where the situation was exactly the same and corporations
defaulted.
Commissioner Loomis stated that she felt the agreement was a good solution and thanked
staff for working with GVEC Properties, LLC to amend the private development agreement.
MOVED by Loomis, seconded by Pentel and and motion carried to approve First
Amendment to GVEC Properties, LLC Private Development Agreement and Commissioner
Shaffer abstained from voting.
Other Business
There was no other business at this time.
Adiournment
The meeting was adjourned at 6:42 pm.
7~~~
Paula Pentel, Chair
ATTEST:
ll~~
Christine Columbus, Administrative Assistant