Title
Resolution approving the acquisition of 415 Clarence Street and the relocation of its contract for deed holder, 415 Clarence St, District 4, Ward 7
Body
WHEREAS, the Housing and Redevelopment Authority of the City of Saint Paul, Minnesota (“HRA”) is a public body corporate and politic organized, existing, and operating under the laws of the State of Minnesota, Minn. Stat. Sec. 469.001, et seq. (the “Act”); and
WHEREAS, the HRA has the power to engage in development and redevelopment activities under the Act and when needs cannot be met through reliance solely upon private initiative, which can also be undertaken in targeted neighborhoods, and is authorized to create redevelopment projects as defined in the Act, and said activities include but are not limited to: (a) providing adequate, safe and sanitary dwellings, remedying housing shortages for low and moderate income residents, and providing housing for persons of all incomes through housing projects and development, (b) removing and preventing blight or deterioration, (c) bringing substandard buildings and improvements into compliance with public standards, (d) performing duties according to the comprehensive plan, (e) disposing of land for private redevelopment, and (f) improving the tax base and the financial stability of the community; and
WHEREAS, in Spring 2023 construction of Metro Transit’s Gold Line, a ten-mile bus rapid transit (BRT) line running between downtown Saint Paul and Woodbury along the north side of Interstate 94, began, with transit service scheduled to start in March 2025; and
WHEREAS, the Metropolitan Council’s construction of the Gold Line’s Etna Station and dedicated bus lane have adversely impacted the property at 415 Clarence St (“the property”) and its contract for deed owner by creating consistent disturbances throughout construction, by removing the naturalistic barriers that previously separated the private property from the freeway corridor, and by reducing the distance between the private property line and new transit infrastructure; and
WHEREAS, the Metropolitan Council and Metro Transit determined that they were not legally required to acquire the property nor relocate its resident(s); and
WHEREAS, the HRA, recognizing the unique circumstances of the disruption caused by the Gold Line project to the property and finding a public purpose for acquiring the property for a future redevelopment opportunity for building higher-density housing near a high-frequency transit line and station, determined there is a public purpose in acquiring the private property for such redevelopment purposes; and
WHEREAS, although the HRA is not required to acquire the property and acquisition by the HRA does not constitute a taking, State Relocation Law, as detailed in MN Statutes 117.50 – 117.57, is applicable; and
WHEREAS, the HRA has contracted with SRF Consulting to guide the HRA and the resident through the process of relocation, which includes, among other things, compensation to the seller for obtaining comparable housing, paying for moving expenses, incidental expenses, and mortgage interest differential expenses; and
WHEREAS, a purchase agreement has been drafted and is in a form agreeable to the City Attorney’s Office and the attorney of the property’s contract for deed owner; and
WHEREAS, subject to the approval of the HRA Board, the HRA may execute a purchase agreement with Dawn Starr Keller (the “Seller”) and pay a lump sum of the appraised property value of $125,000, plus up to $84,900 for a comparable housing differential payment, and additional expenses to the Seller as outlined by relocation law; now, therefore, be it
RESOLVED by the Board of Commissioners of the Housing and Redevelopment Authority of the City of Saint Paul, Minnesota:
1. that the HRA hereby approves and authorizes entering into a Purchase Agreement with the Seller consistent with applicable compliance requirements and terms herein and acquiring title to the property.
2. that the HRA hereby approves and authorizes staff, under the direction of the Executive Director, to take all actions necessary to carry out the activities authorized by this Resolution, including finalizing all documents and agreements necessary to effectuate the activities to be undertaken by this Resolution, subject to approval by the City Attorney’s Office.
3. that the only signature that shall be required on any and all documents in connection with this Resolution, subject to approval by the City Attorney’s Office, is that of the Executive Director who is hereby approved and authorized to execute all said documents and instruments, which shall be sufficient to bind the HRA to any legal obligations therein.
4. that this Resolution does not constitute a binding legal agreement; rather, the action taken herein shall not be effective until said documents are executed by the appropriate official(s) of the HRA.