HomeMy WebLinkAboutJuly 21, 1998
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- CITY of ANDOVER
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\.- 1685 CROSSTOWN BOULEVARD NW.. . ANDOVER, MINNESOTA 55304 . (612) 755-5100
Economic Development Authority Meeting - Tuesday, July 21, 1998 agenda
Call to Order - 7:00 PM Bookmark
Name
Approval of Miimtes minutes
Discussion Items
1. Discuss Financial Assistance - Rental Units/Grey Oaks rentalunits
2. Award Bid/97-2/Andover Commercial Park (Phase II) bid972
3. Other Business
Adjournment
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(j CITY of ANDOVER
ANDOVER ECONOMIC DEVELOPMENTAUTHORITY MEETING
JULY 21,1998 - MINUTES
A Meeting of the Andover Economic Development Authority was called to order by Mayor Jack
McKelvey on July 21, 1998, 7:00 p.m., at the Andover City Hall, 1685 Crosstown Boulevard NW,
Andover, Minnesota.
Present: Councilmembers Mike Knight, John Kunza, Ken Orttel
Resident members Bill Hupp and Robert Nowak
Absent: Councilmember Bonnie Dehn
Also present: City Attorney, William G. Hawkins
City Engineer, Scott Erickson
Community Development Director, Dave Carlberg
City Administrator, Richard Fursman
Others
0 APPROVAL OF MINUTES
July 28, 1998 - Correct as written.
July 7, 1998 - Correct as written.
Motion by Knight, Seconded by Orttel, approval of the July 29 Minutes. Motion carried on a 5- Yes,
I-Present (Kunza), I-Absent (Dehn) vote.
Motion by Orttel, Seconded by Kunza, approval' of the July 7 Minutes. Motion carried on a 3- Yes,
3-Present (Knight, Hupp, Nowak), I-Absent (Dehn) vote.
DISCUSS FINANCIAL ASSISTANCE - RENTAL UNITS/GREY OAKS
Mr. Carlberg stated he met with Mr. Windschitl, the developer, and Mary Ippel of Briggs and
Morgan, bond counsel for the City. The request is for financial assistance for the two 64-unit
buildings and possibly one 24-unit building. Ms. Ippel has stated the only option is to create a Tax
Increment Financing Housing District in that area. If that is done, the City can regulate by contract
that the buildings be for seniors only. There are very strict guidelines relating to the rental units
themselves based on the income of the seniors. The scope of the project was not discussed. The
developer wanted to know if the EDA was interested in pursing it.
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(~ Mr. Carlberg explained the proposal would be very similar to the Farmstead project where increment
financing is being paid back to the developer over a 16-year period for improvements done up front
and financed by the developer. The proposal is that that same method would be used for the Grey
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Andover Economic Development Authority Meeting
\ Minutes - July 21, 1998
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(Discuss Financial Assistance - Rental Units/Grey Oaks, Continued)
Oaks project. It would only apply to the rental units, and a certain number of the units would have
to be affordable. There really would be no financial risk to the City. He estimated about one-third
of the Andover PUD would be a part of the TIF project.
In briefly discussing the concept, the EDA members were interested in pursing it further, wanting
more information. Councilmember Orttel thought the intent of the developer was that the entire
development would be for senior housing; but apparently the TIF assistance to the rental units is the
only way to guarantee a minimum age of clientele. The rest of the units will be privately owned.
Charlie Veiman - asked about the number of units that would be affected and whether or not the
renters would be paying dues to an association. Mr. Carlberg explained about IS4 units would be
affected by this project. The rest would be built for sale. He didn't know if an association is being
formed for the development or if the renters would contribute.
Mayor McKelvey noted a letter received from Mr. Windschitl asking that all of his items on the
agendas this evening be tabled to August 4. The EDA acknowledged the request, stating they were
) not adversed to the proposal and asked that more information be brought back to them.
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A WARD BID/IP97-2/ANDOVER COMMERCIAL PARK (PHASE II)
Mr. Erickson reviewed the bids received for Phase II of the Andover Commercial Park, which is
basically the grading of the Park. The low bid also includes the cleanup, excavation and wetland
replacement for the M. R. Olson site, plus the grading for a stormwater ponding area to the east of
. the City Hall. The material from the pond will be utilized for some of the fill needed for the
Commercial Park. Because the bid is considerably lower than the engineer's estimate, Staff is
recommending the alternate to clean up the M. R. Olson site be done at this time.
Motion by Knight, Seconded by Kunza, the Resolution as prepared awarding the bid to E. H. Earth
Movers, Inc. (Resolution EDA 004-98) Motion carried on a 6- Yes, I-Absent (Dehn) vote.
OTHER BUSINESS
Andover theater - Mr. Carlberg stated the developers have started to prepare the dirt work for the
site. A purchase agreement has been signed, and Staff will be reviewing the site and landscaping
plan. The intent is still to open by Thanksgiving.
, Excess dirt in Commercial Park - Mr. Erickson stated that whenever there is excess dirt in a project,
) it is being hauled to the Commercial Park site. The dirt under the plastic has low levels of
contamination and will be used in paving projects around the City.
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\ Andover Economic Development Authority Meeting
) Minutes - July 21, 1998
Page 3
(Other Business, Continued)
Moving expenses for C. Mistels/d - Attorney Hawkins stated the City is under no legal obligation to
pay Mr. Mistelski moving expenses for cars that are being crushed and sold. The inventory has
basically been sold. If tires, etc., are moved and relocated, then the City would be obligated to pay
relocation expenses. The building belongs to the City and can be taken down by the City. Mr.
Fursman stated he will make one more contact with Mr. Mistelski to see ifhe wants the building.
If so, he will be given a specific period of time in which to remove it. Otherwise, the City will
consolidate the items and remove it.
County property south of the WDE site - Mr. Fursman stated he has not received a response from the
county regarding the City's request to review the purchase price of the property.
Motion by Knight, Seconded by Kunza, to adjourn. Motion carried on a 6- Yes, I-Absent (Dehn)
vote.
\ The meeting adjourned at 7:30 p.m.
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Respectfully submitted,
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Mar lla A. Peach
Recording Secretary
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