Title
Approving the June 12, 2019 HRA Board meeting minutes
Body
ROLL CALL
Present 6 - Commissioners Brendmoen, Busuri, Jalali Nelson, Noecker, Thao and Chair Tolbert
Absent 1 - Commissioner Prince
CONSENT AGENDA
1. Approving the April 24, 2019 HRA Board meeting minutes
Adopted as set forth in MIN 19-24
2. Approving the May 8, 2019 HRA Board meeting minutes
Adopted as set forth in MIN 19-25
3. Approving the May 22, 2019 HRA Board meeting minutes
Adopted as set forth in MIN 19-26
Moved by Commissioner Thao, Consent Agenda Adopted
VOTE: Yeas - 6 Nays - 0
FOR DISCUSSION
4. Authorizing a loan up to $120,000 from the HRA Business Assistance fund to Upsie, 370 Wabasha St. N., District 17, Ward 2
Dr. Bruce Corrie, HRA Executive Director, stated that Upsie is a well-known local start-up tech company interested in locating in Osborn 370 especially with the energy we are focusing around Full Stack. The founder, Clarence Bethea, received a lot of attention locally ranging from the Minnesota Cup to Target Techstars program.
Recently Upsie announced a $5 million in Series A capital funding from investors in Minneapolis and Silicon Valley. He is very much interested in mentoring the next generation of tech leaders. In addition to locating in Osborn 370, Upsie will help build an emerging cluster of insurance based tech companies in Saint Paul. Earlier this year, the OnRamp Insurance Accelerator launched in Osborn 370 and will be investing $100,000 in 5 companies related to the insurance industry. Our Project Manager, Mary Rick, has worked hard on this project and brings the recommendation to offer a forgivable loan of $120,000 contingent on job creation.
Chair Tolbert shared his excitement for this project. And thanked Mary Rick for all her hard work on this project.
Clarence Bethea, Upsie Founder, shared history and plans of Upsie.
Moved by Commissioner Noecker, Resolution Adopted and set forth in RES 19-950
VOTE: Yeas - 6 Nays - 0
5. Amend the 2019 HRA Parking Enterprise fund budget for World Trade Center parking ramp revenue and expenditures, District 17, Ward 2
Dr. Bruce Corrie, HRA Executive Director, stated that Principal Life Insurance Company had initially decided to exercise its option to purchase the World Trade Center Ramp and then later decided not to. As a result, the WTC ramp budget needs to be adjusted to incorporate two changes - a budget for routine structural repairs and funding of the emerald ash borer program.
Commissioner Noecker asked for clarification regarding if this request changes the amount of money that was planned on spending for capital, rather it just puts into the budget something that wasn’t there before. Dr. Corrie said that is correct.
Moved by Commissioner Noecker, Resolution Adopted and set forth in RES 19-951
VOTE: Yeas - 6 Nays - 0
Commissioner Prince Arrived
6. Resolution approving fifth amendment to the West Side Flats Phase III development agreement with WSF Phase III LLC, District 3, Ward 2
Dr. Bruce Corrie, HRA Executive Director, stated that the West Side Flat Phase 3 project is located on 5.3 acres of HRA land. This is a complex project that has taken a lot of time to come off the ground, such that we are today recommending the 5th amendment to the development agreement as the developer has a financing and design concept in place and is ready to move forward. Staff is requesting the designation period be extended to December 15, 2019 with specific benchmarks set for site plan and Army Corp submittals; detailed construction pricing; and completion and submission of permit drawings. The developer anticipates an October 2019 closing date. This project is reflective of a question we often ask in PED - how deep and how wide are we going in our investments such that it reaches people with less access to power and resources. In this project we can see a number of elements; such as, units focusing on larger families, the developer has committed to an unprecedented 40 years of affordability with 32 units at 50% of median income and 50 units at 60% of median income, and the building will be a model passive house apartment building which will help reduce energy costs by 70% over standard construction and combined with the community solar garden it will bring the project close to net zero.
Commissioner Noecker thanked Mr. Sherman and his team for their work on this project and shared her excitement for this project.
Moved by Commissioner Noecker, Resolution Adopted and set forth in RES 19-952
VOTE: Yeas - 7 Nays - 0
7. Resolution giving host approval to the issuance by the City of Coon Rapids of conduit multifamily housing revenue bonds on behalf of CommonBond Communities, authorizing and approving a $250,000 CDBG loan and CDBG loan agreement, approving a joint powers agreement, approving a bond compliance and fee agreement and authorizing the execution of documents relating thereto, all for the Community Plaza project, 709 Central Ave, Saint Paul, District 8, Ward 1
Dr. Bruce Corrie, HRA Executive Director, stated that Commonbond owns a 40-unit townhome community located at 709 Central Avenue where 100 percent of the units are assisted with Project based Section 8 funding and are available to people at the lowest level of affordability and four of these units are targeted for people experiencing homelessness with supportive services associated with them. This project is also attractive because of the larger townhome layout. There is also another similar project tied to this that Common Bond owns in Coon Rapids; both projects are in dire need of repair. The City of Coon Rapids has agreed to issue conduit bonds to fund this project. This project is attractive because we are bringing in resources from outside the City to assist in our affordable housing challenges. Diane Nordquist, lead staff on this project along with Housing Director, Ms. Schuchman have played a role in bringing these resources to the City of Saint Paul.
Moved by Commissioner Thao, Resolution Adopted and set forth in RES 19-953
VOTE: Yeas - 7 Nays - 0
ADJOURNMENT
Moved by Chair Tolbert, the HRA Board Meeting is Adjourned
VOTE: Yeas - 7 Nays - 0