00:00:07.767 --> 00:00:14.100 ahead and call the meeting to order. Commissioner Kloofsky. 00:00:14.100 --> 00:00:20.200 Commissioner McGarvey. Here. Commissioner Tran. Commissioner 00:00:20.200 --> 00:00:28.000 Jong. Commissioner Eriksson. He will not be here today. 00:00:28.000 --> 00:00:31.767 President Winston. Winston, you have a quorum. Thank you. So if 00:00:31.767 --> 00:00:36.000 we can just go ahead and uh jump right into this with 00:00:36.000 --> 00:00:54.400 approval of the agenda. Is there a motion? So I’m, I’m 00:00:54.400 --> 00:01:07.467 sorry, what are you requesting again? What Uh, because the 00:01:07.467 --> 00:01:11.767 resident at the Huntington, uh, they asked us to give them uh 00:01:11.767 --> 00:01:16.100 their representative to be here and vote for that. I, I guess 00:01:16.100 --> 00:01:20.233 I’m asking what, what’s the ask? Are you asking us to discuss it 00:01:20.233 --> 00:01:25.000 or are you asking to it? OK, that would be something we 00:01:25.000 --> 00:01:27.767 would actually discuss during the actual item itself, so it’s 00:01:27.767 --> 00:01:31.634 a bit out of order, so we’ll discuss it during the actual 00:01:31.634 --> 00:01:37.400 item itself. That’s on the agenda. All right, so, I’m 00:01:37.400 --> 00:01:41.734 sorry, is there a motion to approve the agenda. So, uh, 00:01:41.734 --> 00:01:47.500 Casimir Kanowski. Uh, and seconded by, um, council member 00:01:47.500 --> 00:01:52.867 or Commissioner Tran. All those in favor say aye, I, any nays, 00:01:52.867 --> 00:01:57.634 any abstentions? All right, the agenda is improved. We next 00:01:57.634 --> 00:02:01.100 move to public uh involvement, so we’ll start with response to 00:02:01.100 --> 00:02:04.166 prior public comment. Thank you, Mr. President, members of the 00:02:04.166 --> 00:02:08.867 EDA, we had one, comment at the last meeting, which was from, 00:02:08.867 --> 00:02:13.100 uh, Ms. Colette Guyet Hempel, um, generally speaking, the 00:02:13.100 --> 00:02:17.367 comment was in opposition to forgiving the loan for 00:02:17.367 --> 00:02:20.734 Huntington Place, um, that is on the agenda for tonight, um, 00:02:20.734 --> 00:02:24.300 and there were some other thank yous, um, included in that 00:02:24.300 --> 00:02:28.033 written report as well. That’s all we have from last month. 00:02:28.033 --> 00:02:30.867 All right, wonderful. So I guess we’ll go ahead and head 00:02:30.867 --> 00:02:33.500 into public comment. Now, I’m not sure if people want to have 00:02:33.500 --> 00:02:35.667 their public comment upfront, or do you want to wait till the 00:02:35.667 --> 00:02:49.900 actual item that you’re going to comment on. Um No wait, OK, 00:02:49.900 --> 00:02:53.667 all right, so we’ll have folks speak, um, during the actual 00:02:53.667 --> 00:02:57.200 item when it comes up, uh, those who have, uh, who have 00:02:57.200 --> 00:02:59.867 signed up to speak. So if you have not got, if you wanna 00:02:59.867 --> 00:03:04.033 speak, please get your forms in so that we can have you, uh, be 00:03:04.033 --> 00:03:08.367 on the record. All right, they’re being no. Uh, let me 00:03:08.367 --> 00:03:28.467 see. So give me a second to look through these. So it 00:03:28.467 --> 00:03:32.166 doesn’t really say the item, but there’s a William Fin Fin 00:03:32.166 --> 00:03:37.000 Cannon. So you want to wait, OK. All right. And then Great. All 00:03:37.000 --> 00:03:41.734 right, so we will go ahead and we will move to, uh, there 00:03:41.734 --> 00:03:45.533 being no public presentations, no public announcements. We’ll 00:03:45.533 --> 00:03:52.033 move to uh the consent agenda. Is there a motion to approve 00:03:52.033 --> 00:03:55.934 the consent agenda. OK, motion was made by, um, commissioner 00:03:55.934 --> 00:03:58.400 Kanowski, seconded by Commissioner McGarvey. All 00:03:58.400 --> 00:04:02.800 those in favor say aye. I, are there any nays, any abstentions? 00:04:02.800 --> 00:04:07.000 All right, there being no nays or abstentions, the motion 00:04:07.000 --> 00:04:11.367 passes, the agenda is passed. So there being no public 00:04:11.367 --> 00:04:17.033 hearings, we will now go to item 6.1, the review of 00:04:17.033 --> 00:04:21.233 Huntington Place apartments, loan forgiveness, uh, request. 00:04:21.233 --> 00:04:25.133 So we’re going to have Director Gladhill, uh, lead us off with 00:04:25.133 --> 00:04:28.734 the, um, some, I guess some talking points regarding this. 00:04:28.734 --> 00:04:32.667 Yes. Thank you, Mr. President, members of the EDA, um, gonna 00:04:32.667 --> 00:04:35.800 take this opportunity to kind of step back to some previous 00:04:35.800 --> 00:04:38.900 presentations. We’ve gotten to this point where maybe a 00:04:38.900 --> 00:04:42.033 summary version of the presentation I want to get into 00:04:42.033 --> 00:04:46.367 a little bit more detail since we have some interest around a 00:04:46.367 --> 00:04:48.634 potential decision at this point. So some of this is gonna 00:04:48.634 --> 00:04:52.233 be a little bit repetitive, uh, for all of you that have been 00:04:52.233 --> 00:04:55.200 on this journey since October. Um, but I think it’s really 00:04:55.200 --> 00:04:58.266 important for the public record as we consider some final 00:04:58.266 --> 00:05:04.634 decision points. And what we do with our EDA loan and for some 00:05:04.634 --> 00:05:14.233 reason, I am. OK. Here we go. So tonight I just wanna really 00:05:14.233 --> 00:05:18.367 clarify what it is we are due here to do this evening, which 00:05:18.367 --> 00:05:24.767 is really only focused on the $3.5 million loan, which is 3.8 00:05:24.767 --> 00:05:27.900 million with accrued interest. So you have a decision, uh, 00:05:27.900 --> 00:05:31.834 request in front of you to forgive that loan, which would 00:05:31.834 --> 00:05:35.500 help facilitate a sale of Huntington Place, uh, to an 00:05:35.500 --> 00:05:39.200 investment group known as Mass Capital Group out of New York, 00:05:39.200 --> 00:05:42.400 New Jersey area. Throughout this journey we’ve had a lot of 00:05:42.400 --> 00:05:45.200 conversations about what does the future of Huntington Place 00:05:45.200 --> 00:05:51.000 look like? Is it continuing to be 834 1 bedroom units. Is it 2 00:05:51.000 --> 00:05:54.300 to 3 bedroom units. Um, are there additional performance 00:05:54.300 --> 00:05:57.834 standards that we should be deploying as part of this, and 00:05:57.834 --> 00:06:01.200 we have some but very limited opportunity to really have 00:06:01.200 --> 00:06:04.233 those discussions. We’re not approving a development. We’re 00:06:04.233 --> 00:06:07.500 not, um, approving a construction project, so really 00:06:07.500 --> 00:06:10.166 what starts the conversation is that loan forgiveness request. 00:06:10.166 --> 00:06:14.033 And then we’ll talk about what scenarios might come out of 00:06:14.033 --> 00:06:17.834 that decision itself. We’re gonna get into a lot of detail 00:06:17.834 --> 00:06:21.533 here today, and this can get lost in that discussion. Really 00:06:21.533 --> 00:06:25.734 wanna focus that the primary lens of all of our review has 00:06:25.734 --> 00:06:29.467 been to limit the displacement of existing tenants at 00:06:29.467 --> 00:06:31.900 Huntington. We’re gonna go through some scenarios that 00:06:31.900 --> 00:06:35.300 might seem like it’s the opposite of that, but as we 00:06:35.300 --> 00:06:39.634 know about the current deal might actually be just that, um, 00:06:39.634 --> 00:06:43.233 so we’ll take the time to answer any questions you might 00:06:43.233 --> 00:06:46.100 have and walkthrough scenarios and alternatives, um, and the 00:06:46.100 --> 00:06:48.867 risk. associated with all of that, I would encourage you all 00:06:48.867 --> 00:06:52.934 to really look at this from a risk management standpoint, um, 00:06:52.934 --> 00:06:56.200 all these decisions, all these options you have, have some 00:06:56.200 --> 00:06:59.000 degree of risk, um, and now we have to figure out what is best 00:06:59.000 --> 00:07:02.734 for the tenants of Huntington, what is best for the community 00:07:02.734 --> 00:07:07.900 as a whole, um, and looking at our fiduciary responsibility as 00:07:07.900 --> 00:07:11.133 an EDA. We do also want to protect our EDA investments, so 00:07:11.133 --> 00:07:15.467 we put $3.5 million into this project to stabilize it back in 00:07:15.467 --> 00:07:19.100 2020. And again during the COVID pandemic, the state and 00:07:19.100 --> 00:07:23.000 the county and the federal government also have assistance 00:07:23.000 --> 00:07:27.734 in this project as well. Uh, we have now moved into an element 00:07:27.734 --> 00:07:31.834 of defaults. We know that Aon has not been able to make 00:07:31.834 --> 00:07:36.133 payments on principal or interest in September of 2021, 00:07:36.133 --> 00:07:39.467 uh, with their lending group, um, and there was a balloon 00:07:39.467 --> 00:07:43.567 payment due on our loan of $1 million due at the end of 00:07:43.567 --> 00:07:46.300 January, which obviously hasn’t, um, come forward at this. Point 00:07:46.300 --> 00:07:50.033 as we’ve been having these discussions as well. There have 00:07:50.033 --> 00:07:52.233 been improvements made to the property. I’ll go through some 00:07:52.233 --> 00:07:56.033 data and how that helped stabilize the property and this 00:07:56.033 --> 00:07:59.100 one does have some regional importance to the region, to 00:07:59.100 --> 00:08:03.400 the state for affordable housing, what we do here today, 00:08:03.400 --> 00:08:05.634 uh, will impact other communities as well. That 00:08:05.634 --> 00:08:09.233 doesn’t mean that we should make our decision based off of 00:08:09.233 --> 00:08:11.634 what the impact statewide will be, and it’s really important 00:08:11.634 --> 00:08:15.233 to focus on Brooklyn Park. I just want to lay that out, um, 00:08:15.233 --> 00:08:18.467 based off of what we have heard, uh, from a number of 00:08:18.467 --> 00:08:22.100 conversations over the last several months. I’ll give a 00:08:22.100 --> 00:08:25.800 high level summary of the alternatives you have here 00:08:25.800 --> 00:08:29.500 today, um, and then later in the slides, I’ll go into some 00:08:29.500 --> 00:08:32.934 more detail on each of these, and what the scenarios might be. 00:08:32.934 --> 00:08:37.000 Um, there’s also the option to take no action or table, so I 00:08:37.000 --> 00:08:40.734 don’t wanna gloss over that, um, but in terms of the actual 00:08:40.734 --> 00:08:44.567 alternatives when we do have a chance to make a decision are 00:08:44.567 --> 00:08:48.767 this alternative one, which is the current proposal from Aon 00:08:48.767 --> 00:08:53.100 and its lending partner group, which is forgive the loan. Um, 00:08:53.100 --> 00:08:59.367 but Nef National Equity Fund has agreed to convey $450,000 00:08:59.367 --> 00:09:03.300 instead of $0 forgive the rest of the loan and interest, um, 00:09:03.300 --> 00:09:07.100 if we’re able to do that. Again, what we’re looking at right now 00:09:07.100 --> 00:09:11.734 is either we forgive the loan or it goes into foreclosure and 00:09:11.734 --> 00:09:14.367 a foreclosure situation results in us not getting paid back as 00:09:14.367 --> 00:09:21.834 well. Alternative 2 is the same thing except for the 450,000 is 00:09:21.834 --> 00:09:26.133 now redirecting an existing $4 million federal grant, uh, that 00:09:26.133 --> 00:09:30.900 was awarded to Aon for purposes of transforming Huntington 00:09:30.900 --> 00:09:34.100 Place and redirecting that to the Zanewood Teen Center, which 00:09:34.100 --> 00:09:37.834 is about to break around um soon here. So that project has 00:09:37.834 --> 00:09:41.634 been awarded, however, we will be issuing upwards of $10 00:09:41.634 --> 00:09:45.100 million in debt to pay for that investment, and so this would 00:09:45.100 --> 00:09:48.567 be able to. come off of that $10 million and we would have 00:09:48.567 --> 00:09:53.900 that capacity to use elsewhere. So it’s not directly related to, 00:09:53.900 --> 00:09:57.200 um, Huntington Place, but you know it’s adjacent, it 00:09:57.200 --> 00:10:01.033 transforms Huntington, and it’s a good fiduciary uh move for 00:10:01.033 --> 00:10:05.767 the city, um, overall. Alternative 3A, which is just 00:10:05.767 --> 00:10:09.900 simply not forgiving the loan. Um, and I’ll go into what that 00:10:09.900 --> 00:10:14.734 could entail moving forward if we were to do that and then 00:10:14.734 --> 00:10:18.467 alternative 3B is still not forgiving the loan, um, but in 00:10:18.467 --> 00:10:22.233 fact, we would attempt to interject before it goes into 00:10:22.233 --> 00:10:25.467 foreclosure and purchase it ourselves with assistance from 00:10:25.467 --> 00:10:28.266 the state, from the county and some other funding partners. 00:10:28.266 --> 00:10:32.233 I’ll tell you before I get into the details of that in our 00:10:32.233 --> 00:10:35.533 preliminary conversations with state and County officials, 00:10:35.533 --> 00:10:38.734 probably not a valid solution for us at this point, um, but 00:10:38.734 --> 00:10:41.900 nonetheless, we were getting these questions from 00:10:41.900 --> 00:10:45.100 policymakers, from residents, from tenants, uh, so we had to 00:10:45.100 --> 00:10:49.467 explore it anyway. So I want to talk a little bit about the 00:10:49.467 --> 00:10:54.166 history of why we got involved and the benefit that um our 00:10:54.166 --> 00:10:57.934 $3.5 million dollar loan did, um, to stabilize property 00:10:57.934 --> 00:11:01.100 management, property maintenance, and public safety. 00:11:01.100 --> 00:11:05.467 Uh, so again, this deal came forward at the end of 2019 and 00:11:05.467 --> 00:11:09.867 2020, the owner at the time uh was Dominion. um, and we were 00:11:09.867 --> 00:11:13.467 hearing many of the same concerns about property or 00:11:13.467 --> 00:11:18.734 property maintenance and public safety, um, so many public 00:11:18.734 --> 00:11:21.467 funding partners got together to try to stabilize that and 00:11:21.467 --> 00:11:27.233 advance the sale to Aon. That, that deal was approved in 00:11:27.233 --> 00:11:30.800 December of 2019 in January 2020, the sale occurred and 00:11:30.800 --> 00:11:33.467 I’ve got some slides in a second here that later that 00:11:33.467 --> 00:11:36.800 year, just a couple months later, COVID hit and a couple 00:11:36.800 --> 00:11:39.667 months after that, there was a significant amount of civil 00:11:39.667 --> 00:11:43.767 unrest coming out of the George Floyd uh murder. So that was 00:11:43.767 --> 00:11:46.233 when we came forward with additional dollars, so did the 00:11:46.233 --> 00:11:50.867 county, so did the state, and that investment did have a 00:11:50.867 --> 00:11:53.467 positive impact. You see the number of property and 00:11:53.467 --> 00:11:56.634 maintenance complaints that dropped significantly from its 00:11:56.634 --> 00:12:01.000 peak at 2022, um, and just one year into 2023 in terms of 00:12:01.000 --> 00:12:04.100 public safety calls. Now these are numbers back from October 00:12:04.100 --> 00:12:08.467 of last year, so we need to update those as well. There’s 00:12:08.467 --> 00:12:11.867 been a 59% reduction in total calls and a 65% reduction in 00:12:11.867 --> 00:12:16.900 Syria. crime calls for service in this area. Again, these are 00:12:16.900 --> 00:12:19.800 a little bit dated numbers. We haven’t run those um recently 00:12:19.800 --> 00:12:23.834 for a year to date, um, but I think the numbers will still 00:12:23.834 --> 00:12:26.634 tell that overall things are improving. That doesn’t mean 00:12:26.634 --> 00:12:30.233 that there aren’t issues within Huntington Place. There are 00:12:30.233 --> 00:12:33.367 still calls for service, there are still some things we need 00:12:33.367 --> 00:12:36.767 to help stabilize, um, but we’ve definitely helped improve 00:12:36.767 --> 00:12:40.367 the conditions in that area. So I talked about this a little 00:12:40.367 --> 00:12:45.367 bit as well, um, the efforts between 2019 and today have 00:12:45.367 --> 00:12:48.166 really improved, um, generally the conditions with more work 00:12:48.166 --> 00:12:53.233 to be done. Um, I mentioned this already, so, um, bigger 00:12:53.233 --> 00:12:57.500 picture for this lawn. I mentioned $3.5 million. We 00:12:57.500 --> 00:13:02.367 actually allocated up to $5 million as part of this deal, 00:13:02.367 --> 00:13:06.734 um, and only access $3.5 million of that original loan. 00:13:06.734 --> 00:13:09.767 Post COVID, uh, there was another a million dollars in 00:13:09.767 --> 00:13:13.500 grants that were provided to the project because of the of 00:13:13.500 --> 00:13:16.367 the additional destabilization that occurred, um, and so 00:13:16.367 --> 00:13:19.166 that’s where we are today. How this deal is supposed to work 00:13:19.166 --> 00:13:23.200 is that. at the end of January of this last year of this this 00:13:23.200 --> 00:13:27.900 year itself, uh,,, $1 million was due and then annually they 00:13:27.900 --> 00:13:32.734 had to show that they had 15% cash flow uh before they were 00:13:32.734 --> 00:13:37.500 obligated to continue to make annual payments. And the reason 00:13:37.500 --> 00:13:41.266 that it was structured that way as the staff at the time, 00:13:41.266 --> 00:13:45.033 council at the time knew that this was going to be a risk. Um, 00:13:45.033 --> 00:13:48.634 there was lots of discussion about a foreclosure could 00:13:48.634 --> 00:13:52.567 happen. We were deeply subordinated, number 3 in the 00:13:52.567 --> 00:13:55.266 subordination agreement and that in the event of 00:13:55.266 --> 00:13:58.900 foreclosure, uh, we acknowledge that we would not get paid back 00:13:58.900 --> 00:14:01.767 at that time. So it was no secret that there was a risky 00:14:01.767 --> 00:14:05.900 lawn. uh, we were trying to stabilize Huntington, um, at 00:14:05.900 --> 00:14:09.000 the time, um, I don’t think anyone predicted what was going 00:14:09.000 --> 00:14:12.900 to happen in 2020, uh, so a lot of those things rapidly advance 00:14:12.900 --> 00:14:17.133 much quicker than anyone could have predicted and has had some 00:14:17.133 --> 00:14:21.300 long term effects after COVID as well, which we see here. As 00:14:21.300 --> 00:14:24.667 part of that deal, there was a set of restrictive covenants 00:14:24.667 --> 00:14:28.867 that were placed on the property, this instituted rent 00:14:28.867 --> 00:14:32.567 and income limits, um, right now you see where those income 00:14:32.567 --> 00:14:36.266 limits would be under the covenants, and those are then 00:14:36.266 --> 00:14:40.000 below that you see the current Huntington rents, which might 00:14:40.000 --> 00:14:43.200 have been adjusted recently. Long to say that even with 00:14:43.200 --> 00:14:47.000 those restrictive covenants, there is room to increase rents 00:14:47.000 --> 00:14:50.767 in the buyer is planning on doing that to help fund certain 00:14:50.767 --> 00:14:55.500 renovations. in there. The one caveat I will state for this is 00:14:55.500 --> 00:14:58.166 if there are tenants at Huntington Place that have a 00:14:58.166 --> 00:15:03.500 section 8, rent voucher, um, their income is capped at 30% 00:15:03.500 --> 00:15:08.467 of their income, so even if you move, um, that rent up or down, 00:15:08.467 --> 00:15:12.567 their income stays the same at that 30% of their income, so 00:15:12.567 --> 00:15:16.300 those that are in very much need still have some additional 00:15:16.300 --> 00:15:19.000 protections, even if the base rents are raised. I’m not going 00:15:19.000 --> 00:15:22.166 to read all this detail, but we have spent many, many months 00:15:22.166 --> 00:15:26.567 looking at dozens of proposals, counter proposals, learn more 00:15:26.567 --> 00:15:29.800 information, making sure that we are making the best decision 00:15:29.800 --> 00:15:33.467 for the city. Uh, what we’ve learned even as recent as 00:15:33.467 --> 00:15:36.033 Friday is that these discussions have been important. 00:15:36.033 --> 00:15:40.300 Uh, we’ve learned more about our abilities, our levers, and 00:15:40.300 --> 00:15:43.000 opportunities for additional assistance moving forward, so 00:15:43.000 --> 00:15:46.800 it has been time well spent, uh, that led to many of the 00:15:46.800 --> 00:15:52.133 alternatives you see here today. Uh, so I really want to 00:15:52.133 --> 00:15:55.934 highlight there was quite a bit of movement since our February 00:15:55.934 --> 00:16:00.667 EDA meeting, uh, where we moved on for more info gathering to 00:16:00.667 --> 00:16:03.300 seeking direction from you all, and at that time, it was clear 00:16:03.300 --> 00:16:08.100 that there was not enough support to just Forgive the 00:16:08.100 --> 00:16:10.734 loan as presented. So that really advanced a lot of 00:16:10.734 --> 00:16:13.667 conversations we’ve had in the last 30 days, um, could 00:16:13.667 --> 00:16:17.166 probably use a little bit more time to advance those 00:16:17.166 --> 00:16:20.467 discussions, provided additional clarity. Um, what we 00:16:20.467 --> 00:16:24.634 did coming out of that February meeting is to start a 00:16:24.634 --> 00:16:28.367 conversation, we said, let’s offer a settlement to the 00:16:28.367 --> 00:16:32.100 lenders. Let’s just to get the conversation going, let’s agree 00:16:32.100 --> 00:16:35.867 to forgive the interest, um, and have them pay back the, the 00:16:35.867 --> 00:16:38.634 principle on the lawn. We knew that they weren’t going to 00:16:38.634 --> 00:16:41.634 accept that, but our hope was that we would see a 00:16:41.634 --> 00:16:44.100 counteroffer to that, which they did. We were hopeful that 00:16:44.100 --> 00:16:47.166 we would see something a little bit higher, but they’re 00:16:47.166 --> 00:16:52.367 counteroffer would be to settle at 45,000. 00 $0. Um, our 00:16:52.367 --> 00:16:55.100 conversations in the last 30 days have actually got us 00:16:55.100 --> 00:16:58.767 further with the HUD local office on that $4 million 00:16:58.767 --> 00:17:01.734 federal loan. We were really uncertain, really uncomfortable 00:17:01.734 --> 00:17:05.233 about our ability to do that at the time, even when we met with 00:17:05.233 --> 00:17:09.500 you in February, we’re feeling better today. We’re feeling 00:17:09.500 --> 00:17:13.734 confident. I can’t tell you with 100% certainty that we can 00:17:13.734 --> 00:17:17.000 redirect those dollars, but we feel much better than we did 30 00:17:17.000 --> 00:17:19.834 days ago and staff has had those direct conversations with 00:17:19.834 --> 00:17:25.033 HUD as well. Last Friday, we had a conversation with some uh 00:17:25.033 --> 00:17:27.734 state and county officials at the state Capitol talking about 00:17:27.734 --> 00:17:31.834 this is a pretty significant statewide issue. It’s hard for 00:17:31.834 --> 00:17:35.100 Brooklyn Park to shoulder this one on our own, if it’s gonna 00:17:35.100 --> 00:17:38.834 have a statewide impact, um, Aon is a large provider of a 00:17:38.834 --> 00:17:42.567 lot of housing units across the region, across the state and 00:17:42.567 --> 00:17:45.367 beyond, you know, what happens here can impact a lot of that, 00:17:45.367 --> 00:17:50.367 so we wanted to talk about this regional, uh, significance. Not 00:17:50.367 --> 00:17:52.400 necessarily the direction we had. hope going into it, but we 00:17:52.400 --> 00:17:55.634 learned a little bit more about our ability around the 00:17:55.634 --> 00:17:58.634 restrictive covenants. We learned a little bit more about 00:17:58.634 --> 00:18:01.300 some potential additional funding that might take that 00:18:01.300 --> 00:18:04.767 mass capital of investment of $18 million which is pretty 00:18:04.767 --> 00:18:08.567 minimal, and maybe take that to another level. We definitely 00:18:08.567 --> 00:18:12.000 need more time to evaluate that, if that’s an alternative you 00:18:12.000 --> 00:18:17.300 want us to explore further. And I just wanna uh close off the 00:18:17.300 --> 00:18:20.000 long conversation with just reminding you, and this is 00:18:20.000 --> 00:18:23.734 coming from our legal counsel at the time that the loan was 00:18:23.734 --> 00:18:26.934 really a subsidy for public benefit and it did just that. 00:18:26.934 --> 00:18:30.300 The numbers that I showed you earlier had a benefit. So 00:18:30.300 --> 00:18:33.533 regardless of the repayment, it’s still, if we converted 00:18:33.533 --> 00:18:36.634 this loan to a grant essentially or forgive it, it 00:18:36.634 --> 00:18:40.800 would still meet that public benefit test, um, that is in 00:18:40.800 --> 00:18:44.734 state statute for these types of assistance. So here’s what 00:18:44.734 --> 00:18:49.033 mass capital is proposing to do, um, about $18 million in 00:18:49.033 --> 00:18:53.634 renovation, uh, somewhere between 14,000 and 24,000 per 00:18:53.634 --> 00:18:57.900 unit per door to renovate all units and quite a bit of the 00:18:57.900 --> 00:19:01.367 exterior and common areas, um, fix the pool, fix the community 00:19:01.367 --> 00:19:05.467 building, um, do some other things. At the same time that 00:19:05.467 --> 00:19:08.533 they would plan to do that renovation, they would 00:19:08.533 --> 00:19:11.734 re-screen all tenants at the time of your lease expiration. 00:19:11.734 --> 00:19:17.233 Um, and you would go through a new re-screening process, um, 00:19:17.233 --> 00:19:19.834 tenants would not stay in their current unit. So what they’re 00:19:19.834 --> 00:19:24.567 gonna do is start renovating units or as proposed, renovate 00:19:24.567 --> 00:19:28.867 vacant units, so new covers, new appliances, new finishes, 00:19:28.867 --> 00:19:33.634 uh, fresh coats of paint, um, do what they can in that 14 to 00:19:33.634 --> 00:19:38.367 $24,000 per unit cost. When those are completed as your 00:19:38.367 --> 00:19:42.634 lease is expired, you would be, if you were invited to stay at. 00:19:42.634 --> 00:19:45.900 Huntington Place, not the city’s decision, by the way, 00:19:45.900 --> 00:19:49.100 the property owner’s decision. If you were invited to stay at 00:19:49.100 --> 00:19:52.300 Huntington, you’d be moved into one of those newly renovated 00:19:52.300 --> 00:19:57.900 units. Um, base rents would increase, uh, we understand 00:19:57.900 --> 00:20:03.567 that the target is about 1100 per month is mass capital’s 00:20:03.567 --> 00:20:06.767 proposal at this point that is still below that covenant that 00:20:06.767 --> 00:20:10.166 I showed you earlier, and again, the section 8 rental vouchers, 00:20:10.166 --> 00:20:13.800 the idea is to stabilize the community from a cash flow 00:20:13.800 --> 00:20:16.900 perspective. So potentially down the road, we could have 00:20:16.900 --> 00:20:20.634 further conversations about market rate introduction and 00:20:20.634 --> 00:20:22.834 mixed income and 2 to 3 bedrooms right now, the 00:20:22.834 --> 00:20:29.166 proposal would be. Just renovate 834 1 bedroom units as 00:20:29.166 --> 00:20:35.000 834 1 bedroom units, um, at a uh affordable threshold. On the 00:20:35.000 --> 00:20:40.400 screen here is just a snapshot of properties that, uh, mass 00:20:40.400 --> 00:20:43.834 capital owns across the country. This would be the first in 00:20:43.834 --> 00:20:47.834 Minnesota, they would hire a local property management 00:20:47.834 --> 00:20:51.567 company to operate on behalf they would manage the financial 00:20:51.567 --> 00:20:56.934 side of the portfolio, um, from their offices in New Jersey. I 00:20:56.934 --> 00:21:02.834 want to mention that the city is not the only, um, per entity 00:21:02.834 --> 00:21:07.667 that invested in this community, um, Pennnepin County invested 00:21:07.667 --> 00:21:11.867 $3.5 million. That was a direct grant, not to be repaid. Uh, 00:21:11.867 --> 00:21:16.133 the state of Minnesota allocated $10 million to this 00:21:16.133 --> 00:21:21.367 endeavor, and then you see some of that math off on the side, 00:21:21.367 --> 00:21:25.934 um, about 5.2 $5.3 million has been spent so far. There’s 00:21:25.934 --> 00:21:29.467 still 4.7 or so. uh, to be spent. Those are rounded 00:21:29.467 --> 00:21:32.634 numbers don’t quote me on accuracy, but it gets you in 00:21:32.634 --> 00:21:35.834 the ballpark. You see how a lot of the city and the county 00:21:35.834 --> 00:21:39.567 grants were used for some capital investments, whereas 00:21:39.567 --> 00:21:42.834 the how the state investment was used for things such as a 00:21:42.834 --> 00:21:47.166 little bit of concrete repair replacement, but mainly 00:21:47.166 --> 00:21:52.033 property taxes, uh, repaying Aon for the acquisition of, um, 00:21:52.033 --> 00:21:54.767 acquisition and some operating costs as well. And I’ll let Aon 00:21:54.767 --> 00:21:57.734 get into that a little bit more if you want some additional. 00:21:57.734 --> 00:22:02.033 detail, and then you see the $4 million federal loan, which is 00:22:02.033 --> 00:22:04.667 known as congressionally directed spending, formerly 00:22:04.667 --> 00:22:07.367 known as earmarks. Uh, we are trying to see how we could 00:22:07.367 --> 00:22:11.667 repurpose that for purposes of the Zanewood expansion. If not, 00:22:11.667 --> 00:22:16.500 we would want to see that used in some physical improvements 00:22:16.500 --> 00:22:23.367 on Huntington to make that move forward. The EDA had asked some 00:22:23.367 --> 00:22:27.266 questions about what if we started a mixed income approach 00:22:27.266 --> 00:22:31.400 to this whereby we would retain a good portion as affordable, 00:22:31.400 --> 00:22:34.634 uh, but we would introduce some market rate, um, and the buyer 00:22:34.634 --> 00:22:39.300 is open to that, but one of the big things that is being 00:22:39.300 --> 00:22:43.166 evaluated at the time is right now the property uh qualifies 00:22:43.166 --> 00:22:47.634 for what is known as 4D1 low income residential 00:22:47.634 --> 00:22:50.266 classification, you have a work session topic on this after 00:22:50.266 --> 00:22:52.300 this meeting. So because we provide added assistance and 00:22:52.300 --> 00:22:56.500 because we have the restrictive covenants, they qualify for 00:22:56.500 --> 00:23:00.934 this reduced property tax rate. If you, if you bring in market 00:23:00.934 --> 00:23:03.834 rate, um, that could potentially go away depending 00:23:03.834 --> 00:23:07.266 on the amount that we do, it’s gonna have a tax implication, 00:23:07.266 --> 00:23:10.467 you know, close to a million dollars annually, that’s not 00:23:10.467 --> 00:23:14.734 all city share, that’s total taxes between city, county and 00:23:14.734 --> 00:23:18.367 school district. Um, and so that restrictive covenant is 00:23:18.367 --> 00:23:21.900 the driver that allows them to retain that property tax 00:23:21.900 --> 00:23:27.467 classification. It could also impact that $4 million loan, it 00:23:27.467 --> 00:23:29.634 could impact the the county grant, I don’t think the county 00:23:29.634 --> 00:23:32.567 would try to claw that back, but the federal government 00:23:32.567 --> 00:23:35.467 could easily say, well, if it’s gonna go market rate, we’re not 00:23:35.467 --> 00:23:39.934 gonna allocate that $4 million and what we continue to hear is 00:23:39.934 --> 00:23:44.100 that, you know, if we feel that the project is in default of 00:23:44.100 --> 00:23:46.767 those restrictive covenants, we could have those removed as 00:23:46.767 --> 00:23:49.367 well. We’re not looking at doing that today, but just want 00:23:49.367 --> 00:23:53.100 to illustrate the importance of those restrictive covenants to 00:23:53.100 --> 00:23:56.467 that balance sheet, um, that we see. here today. What we know 00:23:56.467 --> 00:24:00.200 about the deal and I forgot to update the slide earlier. We’ve 00:24:00.200 --> 00:24:03.867 heard ranges of 40 to $44 million. Recently we’ve heard 00:24:03.867 --> 00:24:08.200 the sale price is $30 million with mass capital, um, there 00:24:08.200 --> 00:24:11.233 are other offers have been in the range of 10 to 15. And so 00:24:11.233 --> 00:24:14.000 just want to put that out there as we look at options moving 00:24:14.000 --> 00:24:19.767 forward. All right, so here’s the alternatives, the focus of 00:24:19.767 --> 00:24:24.567 our discussion here tonight. Alternative law one is the EDA 00:24:24.567 --> 00:24:28.834 agrees to forgive the loan, principal and interest in 00:24:28.834 --> 00:24:32.100 exchange for a $40,050,000 settlement offer from the 00:24:32.100 --> 00:24:36.467 National Equity Fund. In that scenario, the property likely 00:24:36.467 --> 00:24:39.634 can’t guarantee, but the property likely sells the mass 00:24:39.634 --> 00:24:42.166 capital, as we’ve heard over the last several months. And 00:24:42.166 --> 00:24:46.533 again, their plans are the $18 million of investments. There’s 00:24:46.533 --> 00:24:49.166 no performance guarantees that they’ll do that, but that’s the 00:24:49.166 --> 00:24:54.100 current proposal. It remains 834 1 bedroom units, those 00:24:54.100 --> 00:24:56.033 affordability protections remain still allows for an 00:24:56.033 --> 00:24:59.300 increase in rent. All tenants would need to reapply at the 00:24:59.300 --> 00:25:02.100 end of their lease, and there would be a new tenant screening, 00:25:02.100 --> 00:25:05.734 um, that would be part of that. I can’t stress enough that the 00:25:05.734 --> 00:25:09.634 city in this scenario cannot guarantee that there will not 00:25:09.634 --> 00:25:14.233 be displacement. In fact, we expect that there will be some 00:25:14.233 --> 00:25:18.000 degree of displacement in this scenario, even keeping at 00:25:18.000 --> 00:25:21.133 affordable level, so we hope that that that this 00:25:21.133 --> 00:25:23.834 displacement is minimal, but I don’t want to overpromise and 00:25:23.834 --> 00:25:26.000 several months from now start to hear comments that, well, 00:25:26.000 --> 00:25:28.800 the city said there’s going to be no displacement cause I can 00:25:28.800 --> 00:25:32.467 tell you that there is going to be some displacement and 00:25:32.467 --> 00:25:36.166 hopefully minimal, um, I don’t wanna overstate 00:25:36.166 --> 00:25:40.300 anti-displacement in this scenario. Alternative 2 is 00:25:40.300 --> 00:25:44.133 forgive the loan in exchange for securing the federal grant. 00:25:44.133 --> 00:25:48.834 So same as alternative one instead of the 450,000. We 00:25:48.834 --> 00:25:53.367 don’t get both. Instead of that 450,000 there’s the $4 million 00:25:53.367 --> 00:25:57.000 federal grant that comes to the city as a sub-grantee to Aon 00:25:57.000 --> 00:26:02.233 moving forward. Alternative 3A is the option that just simply 00:26:02.233 --> 00:26:06.533 does not forgive the loan. Um, and again, can’t guarantee that 00:26:06.533 --> 00:26:10.233 these scenarios play out, but I’ll just talk about what the 00:26:10.233 --> 00:26:14.133 likelihood of this outcome is. Since it likely will involve a 00:26:14.133 --> 00:26:17.266 foreclosure. There’s not many lenders that would have allowed 00:26:17.266 --> 00:26:21.467 no payment on, uh, principal and interest for this many 00:26:21.467 --> 00:26:25.166 years and not foreclose. We feel that a foreclosure is 00:26:25.166 --> 00:26:28.467 likely imminent, um, if we don’t forgive this loan in the 00:26:28.467 --> 00:26:33.233 near future, if not sooner. In that scenario, so we would 00:26:33.233 --> 00:26:37.467 receive $0 the foreclosure for sure would terminate our lawn 00:26:37.467 --> 00:26:41.166 because of the subordination agreement that we signed, so we 00:26:41.166 --> 00:26:44.500 get $0 in this scenario where we just simply do not forgive 00:26:44.500 --> 00:26:49.734 the loan. The buyer of Huntington Place becomes 00:26:49.734 --> 00:26:53.533 unclear. It could be another buyer that does better than 00:26:53.533 --> 00:26:56.800 mass capital for our vision for our goals. It could be a buyer 00:26:56.800 --> 00:27:01.100 that comes in and does less and has a worse proposal, it could 00:27:01.100 --> 00:27:04.800 still be sold to Mass Capital at a different rate. Um, so it 00:27:04.800 --> 00:27:07.900 doesn’t mean that mass capital doesn’t buy it, they could just 00:27:07.900 --> 00:27:12.467 buy it at a different offer or as part of the foreclosure 00:27:12.467 --> 00:27:15.934 process. In the short term, it likely stays 834 1 bedroom 00:27:15.934 --> 00:27:20.767 units. at least in the short term and the affordability 00:27:20.767 --> 00:27:23.467 protections may terminate. So what foreclosure does and what 00:27:23.467 --> 00:27:27.200 the covenants say is that foreclosure terminates that 00:27:27.200 --> 00:27:29.900 restrictive covenants, and we’ve heard from Minnesota 00:27:29.900 --> 00:27:34.033 Housing that administers the 4D1 program that they would 00:27:34.033 --> 00:27:36.734 lose that classification. However, what we know about 00:27:36.734 --> 00:27:40.033 many of these covenants is that typically there has to be an 00:27:40.033 --> 00:27:44.367 affirmative action from the buyer or the lender that does 00:27:44.367 --> 00:27:47.467 the final termination. The buyer, the lender might choose. 00:27:47.467 --> 00:27:51.734 Not to terminate those restrictive covenants, the uh 00:27:51.734 --> 00:27:56.000 rent maximum so they can keep that 41 tax classification. 00:27:56.000 --> 00:28:00.934 More importantly, what is makes staff uh very uncomfortable in 00:28:00.934 --> 00:28:04.500 this scenario is that there’s a significant amount of 00:28:04.500 --> 00:28:07.300 uncertainty and risk, we simply don’t know what the outcome 00:28:07.300 --> 00:28:10.300 would be, um, we don’t fully know what the outcome will be 00:28:10.300 --> 00:28:13.667 in the other scenarios, but this provides even more 00:28:13.667 --> 00:28:16.900 uncertainty and risk, and if you’re willing to take on that 00:28:16.900 --> 00:28:20.634 risk and see what happens in this scenario, um, staff will 00:28:20.634 --> 00:28:26.000 chart that out for you all as well. Alternative 3B, it’s 3B 00:28:26.000 --> 00:28:30.100 because it’s still do not forgive the loan, um, was this 00:28:30.100 --> 00:28:33.834 discussion about if the city intervenes before foreclosure 00:28:33.834 --> 00:28:37.033 with some acquisition partners of the county and the state 00:28:37.033 --> 00:28:40.300 attempts to purchase Aon to reposition it, sell it back to 00:28:40.300 --> 00:28:44.100 a buyer that we think will do a better job, um, than what we 00:28:44.100 --> 00:28:47.233 currently see on the table, not a lot of support for this 00:28:47.233 --> 00:28:50.000 across the board right now, but it is an option in front of you. 00:28:50.000 --> 00:28:53.634 Um, it would not be our plan to operate and maintain this law. 00:28:53.634 --> 00:28:57.367 long term. It would be simply to reposition, find the right 00:28:57.367 --> 00:29:01.567 buyer on our own. Um, and again, staff. Isn’t necessarily 00:29:01.567 --> 00:29:05.367 recommending this. In fact, it should not be construed as the 00:29:05.367 --> 00:29:08.100 city is considering this. We were asked questions. We did 00:29:08.100 --> 00:29:11.233 our due diligence and research and are reporting back to you 00:29:11.233 --> 00:29:14.567 here today. I promise I’m wrapping up and ready to take 00:29:14.567 --> 00:29:18.734 questions in a minute, but just want to talk through a few 00:29:18.734 --> 00:29:22.467 other considerations we’ve learned along the way. Um, if 00:29:22.467 --> 00:29:25.634 we feel, aside from the loan itself, which is already in 00:29:25.634 --> 00:29:28.900 default, if we look at the document that is the 00:29:28.900 --> 00:29:31.033 restrictive covenants itself. We, we don’t know the answer to 00:29:31.033 --> 00:29:35.300 that, but it’s been asked EDA could terminate the restrictive 00:29:35.300 --> 00:29:38.000 covenants aside from all the other things, if we think the 00:29:38.000 --> 00:29:41.800 terms um are not being met within the document that is 00:29:41.800 --> 00:29:45.467 restrictive covenants. We’ve learned that there are some 00:29:45.467 --> 00:29:49.166 potential NOAA, um, preservation dollars, NOAA is 00:29:49.166 --> 00:29:52.400 naturally occurring affordable housing coming from a state 00:29:52.400 --> 00:29:55.667 allocation of past. We understand that that 00:29:55.667 --> 00:29:57.767 competitive process request for proposals will be coming up 00:29:57.767 --> 00:30:02.500 soon. We understand that we could look at some county funds, 00:30:02.500 --> 00:30:06.767 the retro wide sales tax, Laha funds, those won’t be available 00:30:06.767 --> 00:30:11.100 until early next year. The county does annual allocations, 00:30:11.100 --> 00:30:14.233 not a rolling allocation. I would also note that the 00:30:14.233 --> 00:30:17.934 current state of affordable housing. is very difficult at 00:30:17.934 --> 00:30:21.767 the moment. If you look at finance and commerce and the 00:30:21.767 --> 00:30:26.000 business journals and lots of different uh media outlets, 00:30:26.000 --> 00:30:30.767 insurance, inflation, cash flow, vacancy, nonpayment. This is 00:30:30.767 --> 00:30:33.667 hitting the affordable housing sector very hard. So there’s a 00:30:33.667 --> 00:30:38.767 very limited pool of investors that are ready to do the scale 00:30:38.767 --> 00:30:41.467 of renovation, partial redevelopment that has been 00:30:41.467 --> 00:30:45.166 talked about for Huntington, at least in today’s market. Um, so 00:30:45.166 --> 00:30:47.834 just, we’ve been mentioned that several. times throughout this 00:30:47.834 --> 00:30:51.634 process and just wanted to put that out there as well. Uh, 00:30:51.634 --> 00:30:54.200 we’ve received more and more public comment, especially over 00:30:54.200 --> 00:30:57.467 the last week since we published the agenda. There’s a 00:30:57.467 --> 00:31:00.634 lot of opposition in the community for for giving the 00:31:00.634 --> 00:31:03.467 loan, just wanna remind you it’s not as simple as don’t 00:31:03.467 --> 00:31:06.500 forgive the loan, you’ll get paid back in the future if you 00:31:06.500 --> 00:31:08.634 don’t forgive the loan, it’s likely to go into foreclosure 00:31:08.634 --> 00:31:12.834 and we get $0 so there’s a level of risk there. Uh, we 00:31:12.834 --> 00:31:15.800 have had a request from Acer, which you have in writing here 00:31:15.800 --> 00:31:19.100 again today, uh, to. delay the vote for additional community 00:31:19.100 --> 00:31:24.734 engagement. Um, and recently there has been this proposal 00:31:24.734 --> 00:31:27.900 that um Huntington residents themselves worked together to 00:31:27.900 --> 00:31:31.567 purchase the property under a co-ownership or co op ownership, 00:31:31.567 --> 00:31:34.000 um, we’re not sure what the feasibility of that would be 00:31:34.000 --> 00:31:38.000 and how long it would take. There are organizations that 00:31:38.000 --> 00:31:42.834 specialize in this and provide uh some uh guidance and funding 00:31:42.834 --> 00:31:46.166 for this type of activity, um, but we haven’t spent any amount 00:31:46.166 --> 00:31:49.233 of time exploring this any further. So the policy question 00:31:49.233 --> 00:31:51.467 at the end of the day, other than the are you going to 00:31:51.467 --> 00:31:55.567 forgive the loan or not is really is the EDA comfortable 00:31:55.567 --> 00:31:58.467 with mass capital group as a buyer and what their plans for 00:31:58.467 --> 00:32:02.667 that are, knowing that we can’t tie performance to that, so 00:32:02.667 --> 00:32:05.900 we’re taking them at their word. And then we ask you the 00:32:05.900 --> 00:32:10.567 question in terms of what are your goals, what are your, uh, 00:32:10.567 --> 00:32:13.734 foc focus areas priorities, protecting existing tenants, 00:32:13.734 --> 00:32:16.900 the necessary investment in the site, safety and security of 00:32:16.900 --> 00:32:20.100 the community, um, especially Huntington Place. Specifically. 00:32:20.100 --> 00:32:23.467 Do you want a note for the audience here to do today 00:32:23.467 --> 00:32:27.834 because I do know we have several tenets of uh Huntington 00:32:27.834 --> 00:32:31.300 Place here today. We have a whole team focused on renter 00:32:31.300 --> 00:32:33.734 resources, whether that’s you needing help with rent or we 00:32:33.734 --> 00:32:37.767 need to help guide you to another organization or in the 00:32:37.767 --> 00:32:40.100 event of displacement, uh, what are some of the engagement 00:32:40.100 --> 00:32:44.166 activities that we’re gonna do moving forward to help find new 00:32:44.166 --> 00:32:47.533 housing if tenants are not invited back to be part of 00:32:47.533 --> 00:32:50.033 Huntington Place. And I’ll leave this on the screen here 00:32:50.033 --> 00:32:54.000 today, our requested action is simply forgive the loan or not 00:32:54.000 --> 00:32:56.667 forgive the loan, and at this point, staff will stand for any 00:32:56.667 --> 00:33:03.400 questions. So I say before we go to questions for staff, we, 00:33:03.400 --> 00:33:07.166 um, I don’t know, uh, we can have residents or not residents, 00:33:07.166 --> 00:33:09.166 but folks who want to make comment around this and then I 00:33:09.166 --> 00:33:12.000 don’t know, Doctor Johnson, did you want to make comments? So 00:33:12.000 --> 00:33:14.767 if you wanted to go uh give your perspective, then we’ll 00:33:14.767 --> 00:33:18.233 have a resonance after that, then we’ll go into questions 00:33:18.233 --> 00:33:29.000 from the council. Um, thank you, Mr. President, uh, 00:33:29.000 --> 00:33:33.000 commissioners, um. Doctor Eric Anthony Johnson presid CEO at 00:33:33.000 --> 00:33:36.367 AON. I have a couple of comments I wanna make but 00:33:36.367 --> 00:33:41.033 before let me, let me just say this. Aon 2020 acquired 00:33:41.033 --> 00:33:46.266 Huntington. Property. At the request of the city of Brooklyn 00:33:46.266 --> 00:33:50.367 Park at the request of foundation, request at the 00:33:50.367 --> 00:33:53.567 request of multiple entities. Everything Aon has done has 00:33:53.567 --> 00:33:57.834 always been about the residents. So when I tell you, and I need 00:33:57.834 --> 00:34:01.033 people to really understand the extent to which we have gone so 00:34:01.033 --> 00:34:04.367 there’s really no disconnect and misunderstanding. Um, from 00:34:04.367 --> 00:34:08.000 the time we bought this property from the George Floyd, 00:34:08.000 --> 00:34:12.367 um, murders and everything that basically took place. Uh, we 00:34:12.367 --> 00:34:16.500 personally raised $4.7 million to help residents pay rent. We 00:34:16.500 --> 00:34:20.233 personally put $5.3 million into security. So when you see 00:34:20.233 --> 00:34:24.000 that slide, when it talks about impact, that has a lot to do 00:34:24.000 --> 00:34:26.800 with Aeon’s investment in terms of dealing with those issues 00:34:26.800 --> 00:34:30.233 and we’ve heard from the residents specifically how they 00:34:30.233 --> 00:34:35.634 feel. I need to say that. Secondly, The amount of work. 00:34:35.634 --> 00:34:39.467 That has gone into play to try and hold this problem I need 00:34:39.467 --> 00:34:42.166 everybody to understand this. So, over the last 3 years I’ve 00:34:42.166 --> 00:34:46.166 been CEO for the last 3 years. We have tested every strategy 00:34:46.166 --> 00:34:51.266 known to man. From creating a massive transformation plan, 00:34:51.266 --> 00:34:54.900 pitch it to the lender, OK, that’s not gonna work from 00:34:54.900 --> 00:34:57.233 teaming up with Capital One and others and scouring the country 00:34:57.233 --> 00:35:01.400 from east, west, north, south to try and find investments, 00:35:01.400 --> 00:35:04.100 right? So then moving to, you want to understand how we got 00:35:04.100 --> 00:35:09.533 the 10 million, the 10 million was designed. Not to correct 00:35:09.533 --> 00:35:14.667 for the property, but to help us hold this property as we 00:35:14.667 --> 00:35:17.367 continue to find solutions. There’s this misbelief that the 00:35:17.367 --> 00:35:20.533 10 million was gonna solve the problem, but it was designed to 00:35:20.533 --> 00:35:25.367 try and hold this property as we find solutions, right? So, 00:35:25.367 --> 00:35:28.567 When we talk about offers, yes, we had an offer for $10 million 00:35:28.567 --> 00:35:30.734 coming in, you know what we said? I don’t think so. It’s 00:35:30.734 --> 00:35:33.133 not gonna happen. So I just want everybody to understand 00:35:33.133 --> 00:35:37.133 that it wasn’t like Aon was not giving everything we had, and I 00:35:37.133 --> 00:35:42.000 will tell you this. It is unheard of. That you have 00:35:42.000 --> 00:35:47.367 investors willing to walk away from 55+ billion dollars to 00:35:47.367 --> 00:35:51.667 sell this property to maintain the covenants. It is literally 00:35:51.667 --> 00:35:54.900 unheard of. There are nonprofits across the country 00:35:54.900 --> 00:35:58.000 collapsing because they can’t figure it out. I just need to 00:35:58.000 --> 00:36:01.834 say that because that is really important, in particular, the 00:36:01.834 --> 00:36:05.934 amount of money we spent on security, guys, that is 5+ 00:36:05.934 --> 00:36:08.100 million dollars we could have put back into the property. I 00:36:08.100 --> 00:36:10.000 just want you to know that because we heard from the 00:36:10.000 --> 00:36:13.467 residents that That was something they were very 00:36:13.467 --> 00:36:16.300 serious about. 5 meetings with the residents in 2025. I don’t 00:36:16.300 --> 00:36:19.467 want there to be any mistake to think that we have not spoken 00:36:19.467 --> 00:36:23.667 to the residents, our very first meeting. Very first 00:36:23.667 --> 00:36:27.834 meeting after getting off of a call. With the lenders was to 00:36:27.834 --> 00:36:30.200 rush to have a meeting with the tenants. We didn’t want to hear, 00:36:30.200 --> 00:36:33.734 we didn’t want them to hear from anybody else but us in 00:36:33.734 --> 00:36:37.500 terms of what the scenarios were going to take place. So, 5 00:36:37.500 --> 00:36:40.467 meetings in 2024 with the residents, some city members 00:36:40.467 --> 00:36:43.300 were at some of those meetings as as well so I just want you 00:36:43.300 --> 00:36:46.734 to know and personally if you know my story, I come from this 00:36:46.734 --> 00:36:50.367 world, so I’m not gonna ever do anything to put residents in a 00:36:50.367 --> 00:36:54.567 bad situation. I just want people to know this has always 00:36:54.567 --> 00:36:58.300 been about the residents, right? So I just need say that. But 00:36:58.300 --> 00:37:01.000 There’s something I need everybody to understand. I’m 00:37:01.000 --> 00:37:05.266 gonna read something to you. So you understand. What we’re 00:37:05.266 --> 00:37:09.000 dealing with. So, listen at this. The crux of the problem 00:37:09.000 --> 00:37:14.467 is this. The average income of the residents of HP is 29,000. 00:37:14.467 --> 00:37:21.767 29,000. Or, or 24% of the area median income of 124,000. Think 00:37:21.767 --> 00:37:25.500 about that guys. While Aon personally, we work to keep the 00:37:25.500 --> 00:37:29.266 rents low. That’s not the norm. That 900 plus number you see, 00:37:29.266 --> 00:37:33.000 that is what we have done to keep that number low, right? 00:37:33.000 --> 00:37:37.367 That number It’s actually Even higher than what residents can 00:37:37.367 --> 00:37:40.567 really afford. Residents in Huntington really can afford 00:37:40.567 --> 00:37:44.367 about $745 a month. That’s the real range in terms of what 00:37:44.367 --> 00:37:48.467 they can pay, right? At this level, guys, think about this, 00:37:48.467 --> 00:37:52.900 at this level, Huntington will never ever get stabilized 00:37:52.900 --> 00:37:57.567 because in the world of real estate, you need rent in order 00:37:57.567 --> 00:37:59.767 to take care of the properties, right? So think about that for 00:37:59.767 --> 00:38:03.734 a minute. So, when you really think about Huntington, let me 00:38:03.734 --> 00:38:08.867 give you some numbers. 834 units, 18% vacant, right? 150 00:38:08.867 --> 00:38:15.734 units, right? Of the 640 units, uh, paying rent. 164, 24% are 00:38:15.734 --> 00:38:18.000 economic vacancies, which means they still don’t pay rent. Well 00:38:18.000 --> 00:38:23.166 if they do, they pay some of the rent, right? Of The 314, or 00:38:23.166 --> 00:38:29.734 about 3 314 or 337, 38% are economic distractors or holders 00:38:29.734 --> 00:38:34.500 onto the property, which means 62% of the units are carrying 00:38:34.500 --> 00:38:37.033 the bulk of the weight at Huntington. I need you to 00:38:37.033 --> 00:38:40.266 understand that. These are economic drags on the property 00:38:40.266 --> 00:38:44.500 that is continuing to be a problem, right? So when we talk 00:38:44.500 --> 00:38:47.233 about non-payment of rent, eviction moratoriums on and on 00:38:47.233 --> 00:38:50.100 and on. This is what we’ve really been facing. So I just 00:38:50.100 --> 00:38:55.166 need to just really state that because When you think about 00:38:55.166 --> 00:38:56.634 dislocation and having residents truthfully guys in 00:38:56.634 --> 00:39:00.033 the world of affordable housing, the real world is really about 00:39:00.033 --> 00:39:02.367 80/20 split. How do you create sort of environment where you 00:39:02.367 --> 00:39:04.467 have a blend and I don’t know if that’s gonna be a future 00:39:04.467 --> 00:39:06.266 Huntington or not. But let me read the statement and I’ll 00:39:06.266 --> 00:39:11.767 move on, Mr. President. Um, As you’re aware, the city is a 00:39:11.767 --> 00:39:14.100 party to a subordination agreement together with Aeon, 00:39:14.100 --> 00:39:17.634 the senior lender and other junior lender. This agreement 00:39:17.634 --> 00:39:20.300 is designed to recognize the rights and entitlements of the 00:39:20.300 --> 00:39:23.500 lenders and the city designed to specifically address the 00:39:23.500 --> 00:39:26.767 situation we face today. Importantly, in addition to 00:39:26.767 --> 00:39:30.467 putting a proposal before the ADA that would generate 00:39:30.467 --> 00:39:33.166 additional capital investment via a Huntington Place, the 00:39:33.166 --> 00:39:37.567 proposed biomass capital has agreed to maintain, maintain 00:39:37.567 --> 00:39:39.500 the affordable housing covenants, not go away. To 00:39:39.500 --> 00:39:43.767 maintain the affordable housing covenants owners worked 00:39:43.767 --> 00:39:47.033 tirelessly in cooperation with all stakeholders and attempt to 00:39:47.033 --> 00:39:50.200 find certainty in a direction forward to provide clarity to 00:39:50.200 --> 00:39:52.900 the residents. We did not want to have another meeting with 00:39:52.900 --> 00:39:56.634 the residents until we could say what was going to be going 00:39:56.634 --> 00:39:59.767 on, right? As to what the future path would be and to 00:39:59.767 --> 00:40:01.867 work to preserve the affordability at Huntington 00:40:01.867 --> 00:40:05.767 Place. Now, are the covenants Absolute? Are they solid? Do 00:40:05.767 --> 00:40:09.734 they need work? I would argue yes, right. The proposal for 00:40:09.734 --> 00:40:12.734 you today is not only to not only supported by two senior 00:40:12.734 --> 00:40:16.567 lenders. But by other stakeholders. You saw on the 00:40:16.567 --> 00:40:20.634 screen, further the senior Linda is offered 450,000 00:40:20.634 --> 00:40:22.266 towards outstanding loan provided that the city forgive 00:40:22.266 --> 00:40:26.000 the remaining balance of the loan and consent to the 00:40:26.000 --> 00:40:28.734 assignment of declaration of affordability requirements. 00:40:28.734 --> 00:40:32.367 Additionally, Aon has worked with EDA staff and HUD on a 00:40:32.367 --> 00:40:36.233 proposal that will permit the city to utilize the $4 million 00:40:36.233 --> 00:40:38.300 in federal grant dollars originally awarded to Aeon. Aon 00:40:38.300 --> 00:40:41.400 with the support of many stakeholders firmly believe 00:40:41.400 --> 00:40:44.300 that the proposals were for the EDA today is the best path 00:40:44.300 --> 00:40:50.667 forward in light of the facts and circumstances. Today Taking 00:40:50.667 --> 00:40:54.233 action today provides a decision today. Will provide 00:40:54.233 --> 00:40:56.900 clarity to the residents of Huntington Place and permit all 00:40:56.900 --> 00:41:00.200 of us to go forward. So in other words, we need a decision 00:41:00.200 --> 00:41:02.934 we have to move our lenders have held that doesn’t mean 00:41:02.934 --> 00:41:06.100 they’re gonna hold forever, guys. So, I just wanted to read 00:41:06.100 --> 00:41:08.634 the statement and I, and I’m looking at residents here as 00:41:08.634 --> 00:41:12.400 well and to the commissioners. We see this as a collective 00:41:12.400 --> 00:41:17.166 effort. We don’t know what else is left to do. We’re running 00:41:17.166 --> 00:41:20.367 out of time, our lender investor has been patient, and 00:41:20.367 --> 00:41:22.500 I’ll tell you this, if they wanted this thing to crash, 00:41:22.500 --> 00:41:25.300 guys, this thing would have crashed 3 years ago. When I 00:41:25.300 --> 00:41:27.900 tell you they are walking away from millions and millions of 00:41:27.900 --> 00:41:30.734 dollars to make this deal happen. That’s what they’re 00:41:30.734 --> 00:41:33.467 doing because they want to try and work to preserve the 00:41:33.467 --> 00:41:36.100 covenants. So I’ll just conclude with that, but I’m 00:41:36.100 --> 00:41:40.667 gonna ask George From Aon quickly just come up and make a 00:41:40.667 --> 00:41:43.667 quick statement related to time, so we understand what we’re 00:41:43.667 --> 00:41:52.467 dealing with. Thank you, Mr. President. Good evening. My 00:41:52.467 --> 00:41:56.734 name is George Singer. I’m an attorney with Holland Hart and, 00:41:56.734 --> 00:42:01.166 uh, my, my background and specialty is on restructuring 00:42:01.166 --> 00:42:04.734 and corporate finance and risk management. I’ve been working 00:42:04.734 --> 00:42:07.634 with Aon in this project for the last probably about 22 00:42:07.634 --> 00:42:13.300 years now. And what I would really want to stress. I, I 00:42:13.300 --> 00:42:17.467 think, uh, that what, what you have before you is a decision 00:42:17.467 --> 00:42:21.233 that in my view as the company’s council and being 00:42:21.233 --> 00:42:24.900 involved with negotiating with NEFF and negotiating with the 00:42:24.900 --> 00:42:29.767 buyer. It is nothing short of a miracle that we’re able to get 00:42:29.767 --> 00:42:33.500 the buyer and enough to go along with the proposal that 00:42:33.500 --> 00:42:36.734 results in the substantial write-down of debt as Dr. 00:42:36.734 --> 00:42:42.033 Johnson articulated, but also preserves the Affordability 00:42:42.033 --> 00:42:46.834 covenants in a transaction. The buyer, there are other ways to 00:42:46.834 --> 00:42:50.200 structure this transaction in which the buyer would not have 00:42:50.200 --> 00:42:54.367 to do that in which NAF’s foreclosure could certainly 00:42:54.367 --> 00:42:59.734 wipe those things out. You have before you today. Uh, and you 00:42:59.734 --> 00:43:03.033 know, an opportunity to obtain value that would otherwise 00:43:03.033 --> 00:43:05.734 because of the agreements that you’ve already entered would 00:43:05.734 --> 00:43:11.900 not be available to you. And I would we’d urge you to consider 00:43:11.900 --> 00:43:14.266 the importance of acting tonight because the 00:43:14.266 --> 00:43:19.467 consequences, you’re playing with fire. Nef uh and the 00:43:19.467 --> 00:43:22.767 lenders have been patient. They have worked with us to get to 00:43:22.767 --> 00:43:27.467 this point. You have a buyer that has to arrange for its own 00:43:27.467 --> 00:43:31.734 financing that is losing uh patience and may very well lose 00:43:31.734 --> 00:43:35.467 interest. I dare say if this transaction doesn’t get 00:43:35.467 --> 00:43:39.367 approved tonight or or or in short order the consequences of 00:43:39.367 --> 00:43:42.634 this can be very, very, uh, very, very different scenario 00:43:42.634 --> 00:43:45.166 and you’ll be talking about very, very different things. I 00:43:45.166 --> 00:43:47.867 would urge you to take action tonight and approve this 00:43:47.867 --> 00:43:59.734 transaction. So we’ll go, uh, we’ll have residents, uh, well 00:43:59.734 --> 00:44:03.734 not residents, but, um, folks who, uh, wanted to share public 00:44:03.734 --> 00:44:06.467 comment. We’re going to ask folks to live in it 23 minutes. 00:44:06.467 --> 00:44:38.000 So we will start with um Uh, to meta gains. Hello, I’m Tamita 00:44:38.000 --> 00:44:46.100 Gaines. And I’m about pissed about everything that’s been 00:44:46.100 --> 00:44:51.900 going on because I’m a healthcare worker. So to me 00:44:51.900 --> 00:44:56.100 this whole ordeal is interfering in patient care, so 00:44:56.100 --> 00:44:58.934 it’s more than just this apartment building and then me 00:44:58.934 --> 00:45:04.266 not having a place to live and I’m working 100 hours every 2 00:45:04.266 --> 00:45:12.634 weeks to keep up with rent. And. I just got the rug pulled from 00:45:12.634 --> 00:45:16.300 under my feet cause I’m Well, we have a meeting, the building 00:45:16.300 --> 00:45:23.300 is gonna be sold like what? So now I have to take some more 00:45:23.300 --> 00:45:29.734 time off to deal with this issue. And then, I’m getting 00:45:29.734 --> 00:45:31.900 every type of resource that they gave me, I’ve reached out 00:45:31.900 --> 00:45:36.100 to and I didn’t hear back from nothing. I finally got my job 00:45:36.100 --> 00:45:38.734 to at least try to help me catch up with some of the bills. 00:45:38.734 --> 00:45:47.467 Because groceries is like a car payment now. Then to come to 00:45:47.467 --> 00:45:54.934 find out that After all these 100 hour every two weeks. Work 00:45:54.934 --> 00:45:58.634 schedule. That that money wasn’t even going to the 00:45:58.634 --> 00:46:07.767 investors and I might lose my housing anyway. So now I’ve 00:46:07.767 --> 00:46:13.100 been working like it’s a like it’s a job doing all kinds of 00:46:13.100 --> 00:46:17.800 research to try to See if we can come up with some other 00:46:17.800 --> 00:46:23.634 type of solution because personally, I can’t afford to 00:46:23.634 --> 00:46:28.133 pay $1000 in rent. That’s my whole paycheck. I wouldn’t even 00:46:28.133 --> 00:46:35.900 have money for a bus fare to get to work. So, now I have to 00:46:35.900 --> 00:46:40.734 look at other options. And I’ve already went through the, the 00:46:40.734 --> 00:46:45.567 homeless thing and had to work my way back into an apartment. 00:46:45.567 --> 00:46:48.500 If this happens again, this will be the 5th time in this 00:46:48.500 --> 00:46:57.100 state. Because of things like this. Landlords don’t wanna do 00:46:57.100 --> 00:46:59.934 repairs and if you complain about the repairs, then now 00:46:59.934 --> 00:47:07.900 you’re the problem. So I don’t think this is fair to the 00:47:07.900 --> 00:47:13.300 tenants because we were kind of surprised by this. A lot of us 00:47:13.300 --> 00:47:19.834 were sitting back talking. Nobody knew anything. And now 00:47:19.834 --> 00:47:23.667 it’s trying to be rushed and we don’t even have a chance to 00:47:23.667 --> 00:47:30.100 prepare. For what’s gonna happen next. I don’t think 00:47:30.100 --> 00:47:43.367 that’s right. That’s wrong. So next we have William Fin 00:47:43.367 --> 00:47:49.166 Fincannon. OK. If you, if you could state it up there and 00:47:49.166 --> 00:47:58.166 then we’ll have it on the record correctly. Thank you. 00:47:58.166 --> 00:48:03.500 Good evening. I’m William Finanning Grosvenor, and I am a 00:48:03.500 --> 00:48:08.834 resident at Huntington Place, um. I only, um, really became 00:48:08.834 --> 00:48:14.166 aware of this through some news reports and uh I had gotten 00:48:14.166 --> 00:48:19.000 some vague text messages from Aon and whatnot and lot of 00:48:19.000 --> 00:48:25.000 people knows how that sometimes goes. Um I would like to say I 00:48:25.000 --> 00:48:29.634 give credit where it’s to Aon has done a tremendous amount of 00:48:29.634 --> 00:48:32.834 amazing work with this property. I’ve been familiar with this 00:48:32.834 --> 00:48:38.100 property for over 10 years. From what it was, I think they 00:48:38.100 --> 00:48:42.467 have really poured. A whole lot more than just their money into 00:48:42.467 --> 00:48:47.834 it, which is big enough, but they really put the effort. And 00:48:47.834 --> 00:48:54.400 I thank you for that. Um As we all know, the world that we 00:48:54.400 --> 00:49:00.133 live in right now is going to be increasingly difficult. Um, 00:49:00.133 --> 00:49:05.000 but it’s always even more difficult on people who are um 00:49:05.000 --> 00:49:11.300 under income and retired, retired like myself. I, um, 00:49:11.300 --> 00:49:16.734 with most like. Be so gracious grateful if I could just stay 00:49:16.734 --> 00:49:22.000 in my apartment. I don’t, I’m hearing all these things they 00:49:22.000 --> 00:49:24.667 wanna to check people’s credit, they want to do this, they 00:49:24.667 --> 00:49:32.033 wanna do that. You’re gonna display so many more people. 00:49:32.033 --> 00:49:35.800 And to be honest, if I had to vote with you, I would go for 00:49:35.800 --> 00:49:40.634 the last option. Because this is going to be, and I mark my 00:49:40.634 --> 00:49:47.100 words, this will be In the future, a problem for you all. 00:49:47.100 --> 00:49:51.900 Over and over because this is a game of kick the can to me. 00:49:51.900 --> 00:49:57.800 Until you take this property yourself. Whether it’s partly 00:49:57.800 --> 00:50:03.100 or you have to own a piece of this in order to control this. 00:50:03.100 --> 00:50:06.867 It’s social housing. It’s just the way it is, it’s the way it 00:50:06.867 --> 00:50:14.834 needs to be. And I know that can’t happen now. So I am in 00:50:14.834 --> 00:50:20.233 favor of forgiving this loan. I am in favor of what needs to 00:50:20.233 --> 00:50:26.567 happen because economics is just the way it is. But I am 00:50:26.567 --> 00:50:31.900 also in favor of everyone doing what they can to restrict these 00:50:31.900 --> 00:50:35.367 people from displacing my community. And I thank you very 00:50:35.367 --> 00:51:00.300 much for your time. So Nelima. Uh. Thank you, Mr. President. 00:51:00.300 --> 00:51:04.467 Uh, my name is Nalimaitate Monee. I’m the executive 00:51:04.467 --> 00:51:08.266 director of ACA. AA is the African Career Education and 00:51:08.266 --> 00:51:14.867 Resources Inc. um. I’ll make it real quick. So Almost 20 years 00:51:14.867 --> 00:51:20.567 ago. I was a college student. And I was living in an 00:51:20.567 --> 00:51:25.767 apartment building. In Brooklyn Park. And one day there was a 00:51:25.767 --> 00:51:29.000 knock on the on my door in the evening, and there was a lady 00:51:29.000 --> 00:51:35.367 at my door. And she came and asked me what I thought about 00:51:35.367 --> 00:51:39.100 the city’s proposal to demolish all the apartments along the 00:51:39.100 --> 00:51:42.834 Zen corridor by the then council. I was very shocked 00:51:42.834 --> 00:51:46.567 because we didn’t know anything about it. I asked my neighbors 00:51:46.567 --> 00:51:50.533 and we didn’t know anything about it. And we came to 00:51:50.533 --> 00:51:52.734 council meeting and I asked the council member, and they said, 00:51:52.734 --> 00:51:56.767 Oh. The apartment buildings on the design corridor are unsafe. 00:51:56.767 --> 00:52:00.634 And so on and so forth. Don’t you want to live in a better 00:52:00.634 --> 00:52:06.900 place? I didn’t see anything wrong with my community. I know 00:52:06.900 --> 00:52:09.667 my neighbors would get together on Sunday afternoons. Our kids 00:52:09.667 --> 00:52:13.834 would play in the playground, and I realized that a lot of 00:52:13.834 --> 00:52:18.634 decisions had been made about our lives around us without 00:52:18.634 --> 00:52:21.033 necessarily asking us whether we’re loved, where we lived, or 00:52:21.033 --> 00:52:24.500 if there was a problem, even though we were part and parcel 00:52:24.500 --> 00:52:29.900 of the community. And so Over time that has been come the 00:52:29.900 --> 00:52:36.233 passion of mine. Life and the passion of my work. is to 00:52:36.233 --> 00:52:40.100 ensure that we create opportunities for people to 00:52:40.100 --> 00:52:42.367 participate in their communities to be included in 00:52:42.367 --> 00:52:44.500 their communities and also to have a voice and to be 00:52:44.500 --> 00:52:49.200 self-determinant. When it comes to Huntington. It has been a 00:52:49.200 --> 00:52:52.367 multi-led issue for a long time. I know we have been in front of 00:52:52.367 --> 00:52:54.367 this council before. A lot of city staff have been here for a 00:52:54.367 --> 00:52:58.634 long time, are very familiar. It was owned by Dominion, and I 00:52:58.634 --> 00:53:04.500 just want to be clear that Huntington was purchased by Ion 00:53:04.500 --> 00:53:07.767 because the residents of Huntington. Walked with us and 00:53:07.767 --> 00:53:11.467 we went to look for buyers. And so it was not just a city thing. 00:53:11.467 --> 00:53:17.367 In fact, we came and petitioned the city council to support the 00:53:17.367 --> 00:53:21.634 residents of Huntington and to add money. So it was about 00:53:21.634 --> 00:53:25.367 people. It was about being people centered. I think a lot 00:53:25.367 --> 00:53:28.100 of times when we talk about these things, we’re talking 00:53:28.100 --> 00:53:30.200 about the infrastructure. We’re talking about the housing, 00:53:30.200 --> 00:53:32.467 which is important. It should be in a good, it should be in a 00:53:32.467 --> 00:53:37.567 good state. I cannot overstate the burden that happens. I 00:53:37.567 --> 00:53:40.467 think it’s easy to talk about, oh, some people are just going 00:53:40.467 --> 00:53:44.100 to be screened out and displaced. Well, who in 00:53:44.100 --> 00:53:46.467 particular are we saying? Which of our members in our community 00:53:46.467 --> 00:53:50.734 are we saying is OK for them to be displaced. When folks get 00:53:50.734 --> 00:53:55.834 displaced from their housing, it sets them back. Right? 00:53:55.834 --> 00:54:01.734 Almost 10 years back, and some people may never recover. Then 00:54:01.734 --> 00:54:06.100 no easy solutions to this to this issue, but our role here 00:54:06.100 --> 00:54:10.467 is just to make sure that decisions are not happening 00:54:10.467 --> 00:54:14.033 around the community members of Huntington and that people are 00:54:14.033 --> 00:54:17.734 the people who are most impacted do get to have a say. 00:54:17.734 --> 00:54:21.467 We know that Huntington is a multilayered issue, and I think 00:54:21.467 --> 00:54:25.734 we emphasize that toon from the very beginning, the need to 00:54:25.734 --> 00:54:29.000 build this collaborative effort from the moment the the 00:54:29.000 --> 00:54:32.166 property was purchased and to be included. Inclusive of 00:54:32.166 --> 00:54:36.367 everybody in the community and the residents included in order 00:54:36.367 --> 00:54:39.634 to address this multi-layered issue. So mine is very simple, 00:54:39.634 --> 00:54:42.800 it’s just to say, I know they no easy solutions. We’re not 00:54:42.800 --> 00:54:47.567 really taking a position in this. Our position was to 00:54:47.567 --> 00:54:51.567 ensure that, you know, the most impacted folks in our community 00:54:51.567 --> 00:54:55.567 had a say in what is going to have a huge impact in their 00:54:55.567 --> 00:55:06.467 life. Thank you. Next we have. LaShawn I’m not gonna do the 00:55:06.467 --> 00:55:19.634 last name. I apologize. OK It is La Shawn Perkins Hankton. Um, 00:55:19.634 --> 00:55:24.100 I guess I will just start by saying um that I am not from 00:55:24.100 --> 00:55:28.166 Brooklyn Park. Um, I’ve lived in like Hopkins, St. Louis Park 00:55:28.166 --> 00:55:35.033 for like, uh, maybe 20 years. Um, I grew up in Birmingham and 00:55:35.033 --> 00:55:41.500 um I went there for like the last 4 years and then just 00:55:41.500 --> 00:55:47.467 moved back in 2021. Um, so, Uh, Brooklyn, this is my first 00:55:47.467 --> 00:55:52.200 Brooklyn Park apartment. Um, I like the city. I think there’s 00:55:52.200 --> 00:56:00.266 um a lot of different cultures here, um, shops, uh, foods, um, 00:56:00.266 --> 00:56:05.567 nationalities of people. Um, and the schools I think are 00:56:05.567 --> 00:56:12.133 very diverse. Um. So the first time I heard about this selling 00:56:12.133 --> 00:56:19.000 a property was in December. Um, I was just told that, uh, maybe 00:56:19.000 --> 00:56:23.734 the property would be purchased by another company. Um, I did 00:56:23.734 --> 00:56:29.634 go back and ask, uh, What our options would be, which is kind 00:56:29.634 --> 00:56:35.467 of like some of my questions. Um, What, what do we do, you 00:56:35.467 --> 00:56:40.934 know, if we have a subsidy here at the apartment. How do we go 00:56:40.934 --> 00:56:45.133 about, uh, putting in our applications to move, like, 00:56:45.133 --> 00:56:49.533 what is our timetable, um, Those are some of my questions 00:56:49.533 --> 00:56:57.367 about moving, but um I did go back and ask. Um What would be 00:56:57.367 --> 00:57:02.300 done with the purchase, and we were just kind of told to, um, 00:57:02.300 --> 00:57:06.467 wait, see what happens, um, that there might not be a 00:57:06.467 --> 00:57:13.300 purchase. Um, so I’m just kind of uh I guess some questioning 00:57:13.300 --> 00:57:18.834 on the residents in what’s uh A good standpoint, so. Um, my 00:57:18.834 --> 00:57:24.166 lease would be up, uh, in June this year, this summer. So I’m 00:57:24.166 --> 00:57:30.133 supposed to renew. Um And I guess I’m just wondering what 00:57:30.133 --> 00:57:35.734 to do. So, um, I’ve kind of looked at other options like to 00:57:35.734 --> 00:57:43.367 move, uh, application processes and um I’m not sure how, how 00:57:43.367 --> 00:57:48.634 much information you guys are taking tonight on furthering 00:57:48.634 --> 00:57:54.000 your decision, but um, I do think that Aeon is a good 00:57:54.000 --> 00:57:59.834 company, um, the Uh, fence that they’ve put up is very helpful. 00:57:59.834 --> 00:58:04.734 It keeps people out of the community. Um, I know a lot of 00:58:04.734 --> 00:58:10.567 the families that do live in Huntington Place, um, go to the 00:58:10.567 --> 00:58:19.033 Zane Wood school, um. I know that we were given like a A 00:58:19.033 --> 00:58:27.033 garden kind of um Uh, to promote, to grow our own 00:58:27.033 --> 00:58:30.367 vegetables and uh fruits, um, I know we have little meetings 00:58:30.367 --> 00:58:35.734 every now and then for like Christmas or like holiday 00:58:35.734 --> 00:58:41.533 parties, um, And I think it’s just really kept up. So since 00:58:41.533 --> 00:58:46.300 I’ve been there, I would say it’s just really quiet, um. 00:58:46.300 --> 00:58:49.467 People are respectful, responsible. They like go to 00:58:49.467 --> 00:58:54.867 work, come home, and it’s um it’s a good community. So, if 00:58:54.867 --> 00:58:58.734 you’re trying to decide on what to do, I would say like, give 00:58:58.734 --> 00:59:03.900 it a chance, um, maybe you’ll make back some of the money in 00:59:03.900 --> 00:59:08.367 the end, um. If you guys feel like you’ve already made your 00:59:08.367 --> 00:59:12.500 decision. Um, I would just wonder what the timetable is 00:59:12.500 --> 00:59:17.834 for some of the residents and um what are our options like do 00:59:17.834 --> 00:59:22.033 we have an option to move to other Aon properties or um are 00:59:22.033 --> 00:59:27.367 we just going to get kind of like a 60 day notice and What 00:59:27.367 --> 00:59:32.100 should we do? So. I’m just kind of wondering, I want to throw 00:59:32.100 --> 00:59:35.900 that out there. All right, well, well, thank you. We we’ll take 00:59:35.900 --> 00:59:40.634 that into account. I appreciate it. Um, and I get that it’s a 00:59:40.634 --> 00:59:45.667 tough situation, uh, for all involved. Uh, so I, I, uh, does, 00:59:45.667 --> 00:59:52.000 um. Arun Dati Sai Kumar, did you want to say a few words or? 00:59:52.000 --> 00:59:57.500 OK, so, uh. I know there’s a few folks that, uh, Submitted, 00:59:57.500 --> 01:00:00.100 they just, they wanted their comments put on the record. I’m 01:00:00.100 --> 01:00:04.266 not going to read the whole comment, but um uh it seems 01:00:04.266 --> 01:00:08.000 like you wanted to, you wanted us not to vote and include 01:00:08.000 --> 01:00:11.266 residents of decision-making table, uh, and then we have, uh, 01:00:11.266 --> 01:00:14.467 Collette Gay Hempel, uh, who is saying, do not forgive the 01:00:14.467 --> 01:00:20.834 Huntington loan, uh, giving to A, um, so, uh, we, we, we can 01:00:20.834 --> 01:00:24.000 start going into, you know, questions and comments, but I, 01:00:24.000 --> 01:00:26.166 I will say my piece and then we’ll go ahead and we’ll open 01:00:26.166 --> 01:00:30.033 it up from there. Um To the residents, you know, I think, 01:00:30.033 --> 01:00:34.100 uh, My heart goes out because I know that not knowing what’s 01:00:34.100 --> 01:00:38.934 going to happen has got to be in cream incredibly stressful. 01:00:38.934 --> 01:00:43.233 Um, my family, By way of Chicago went through much of 01:00:43.233 --> 01:00:48.100 this, uh, and when I talk to folks, um, at Huntington Place, 01:00:48.100 --> 01:00:53.300 um, reminded of family quite often. I know that when I first 01:00:53.300 --> 01:00:57.634 got in, um, we don’t talk about this often, but You know We 01:00:57.634 --> 01:01:02.900 went hard at the Capitol to try to support and getting $10 01:01:02.900 --> 01:01:07.734 million. Uh, that was nobody else but Aon and the city. 01:01:07.734 --> 01:01:10.900 Those two entities. I want to make that very clear. Um, we’re 01:01:10.900 --> 01:01:13.834 the only folks that went and we used a fair amount of political 01:01:13.834 --> 01:01:17.867 capital, we could ask for other things as a city, but this, 01:01:17.867 --> 01:01:20.500 this was a priority for us. And then I think when, when, when 01:01:20.500 --> 01:01:23.867 federal people came and asked our city, where can we, what do 01:01:23.867 --> 01:01:26.900 you want this to go towards Aon or do you want it to go, you 01:01:26.900 --> 01:01:29.367 know, towards Huntington Place, or do you want to go towards 01:01:29.367 --> 01:01:34.367 something else for the city, we consistently said, what can we 01:01:34.367 --> 01:01:37.400 do to shore up, um, Huntington Place. So I don’t want anybody 01:01:37.400 --> 01:01:42.467 to think that this is not um important to me personally, but 01:01:42.467 --> 01:01:47.767 also important to the council because we have Uh, we have put 01:01:47.767 --> 01:01:51.000 skin in the game with this, uh, and even before I got into 01:01:51.000 --> 01:01:55.200 office, I was at Huntington Place advocating for folks 01:01:55.200 --> 01:01:58.634 trying to, to help folks get resources, um, behind the 01:01:58.634 --> 01:02:01.734 scenes. I’m not the most public uh when it comes to doing that 01:02:01.734 --> 01:02:05.567 stuff, but we, we had a number of things to to support it. Um, 01:02:05.567 --> 01:02:10.800 I know. Um Doctor Johnson, I know that you are in a 01:02:10.800 --> 01:02:14.100 difficult position. I know that you inherited something 01:02:14.100 --> 01:02:16.800 extremely difficult, and I, I know your background, um, and I 01:02:16.800 --> 01:02:22.934 know. I know that there is a, a real care for the residents of 01:02:22.934 --> 01:02:25.734 Huntington Place, and I know that in this economy, it has 01:02:25.734 --> 01:02:28.800 not been easy and you’ve dealt with a number of things that 01:02:28.800 --> 01:02:32.867 you need to overcome. So, you know, so from my perspective, 01:02:32.867 --> 01:02:36.300 you know, we’ve been working at this quite some time and you 01:02:36.300 --> 01:02:39.000 know, we’ve had meetings with the county. We’ve had meetings 01:02:39.000 --> 01:02:41.634 with the state, and we’ve made it clear to them that 01:02:41.634 --> 01:02:45.567 Huntington Place is a, is a priority for our city. Um, and 01:02:45.567 --> 01:02:49.467 the county and the state have asked us to support forgiving 01:02:49.467 --> 01:02:55.634 this loan. Um If people know kind of my personality when it 01:02:55.634 --> 01:02:59.300 comes to entities outside of Brooklyn Park. I’ll, I’ll take 01:02:59.300 --> 01:03:02.667 your input, but we’re going to do, uh, what we think Brooklyn 01:03:02.667 --> 01:03:05.767 Park needs to do, need what we think we need to do. But the 01:03:05.767 --> 01:03:10.100 reason the county and the state Really want To forgive this 01:03:10.100 --> 01:03:13.300 loan is because they want to play the odds and say that, um, 01:03:13.300 --> 01:03:20.100 loan is forgiven, mass capital assumes this property. Um, and 01:03:20.100 --> 01:03:24.367 They, meaning the county and the state often use Huntington 01:03:24.367 --> 01:03:27.033 Place as critical infrastructure. So when certain 01:03:27.033 --> 01:03:30.300 folks come to Hennepin County when the state deals with 01:03:30.300 --> 01:03:32.000 certain things. Huntington Place has been a go to place 01:03:32.000 --> 01:03:35.533 where they say, OK, we’re going to have residents go there, uh, 01:03:35.533 --> 01:03:40.367 so it is a facility that serves people far beyond, uh, Brooklyn 01:03:40.367 --> 01:03:47.467 Park because people come to use that particular resource. But 01:03:47.467 --> 01:03:52.233 there’s also some other considerations. So for me, I’m 01:03:52.233 --> 01:03:56.033 not going to point out the entity, but there’s an entity 01:03:56.033 --> 01:03:58.567 that talked 100% about displacement, and I’m concerned 01:03:58.567 --> 01:04:00.100 about displacement because housing has not always been 01:04:00.100 --> 01:04:04.467 easy for, was not easy for me when I was younger either. It’s 01:04:04.467 --> 01:04:07.634 not just about displacement. It is also about the quality of 01:04:07.634 --> 01:04:10.367 living living that people have to deal with at. Huntington 01:04:10.367 --> 01:04:13.500 Place. And that is also a concern of mine. And I know 01:04:13.500 --> 01:04:18.834 that What Aon took on was quite a bit. And I thank Aon for 01:04:18.834 --> 01:04:21.734 taking it on because You took something out that other people 01:04:21.734 --> 01:04:25.734 were trying to get out of, and you tried to do what you could 01:04:25.734 --> 01:04:29.634 to stabilize it, but there’s some still some very real 01:04:29.634 --> 01:04:33.233 health issues that folks are facing at Huntington Place. And 01:04:33.233 --> 01:04:36.000 when you’re when you’re fearful of displacement, and you’re 01:04:36.000 --> 01:04:38.634 facing the issues that you’re facing as residents, you may 01:04:38.634 --> 01:04:42.400 not consider that, but when it comes to the mold situation, uh, 01:04:42.400 --> 01:04:46.100 as a city, that is something that we look into. When you 01:04:46.100 --> 01:04:49.300 talk about asbestos, that is something that the state needs 01:04:49.300 --> 01:04:52.000 to look into, and they need to begin to take responsibility 01:04:52.000 --> 01:04:55.734 when it comes to that, and they need to consider looking at 01:04:55.734 --> 01:05:00.000 resources to put into that. So it’s not just about 01:05:00.000 --> 01:05:03.734 displacement, it’s also about quality of life and overall. 01:05:03.734 --> 01:05:08.734 Investment. And I think Now that the county and the state 01:05:08.734 --> 01:05:12.767 have showed their hand. Because you’re not gonna lean on the 01:05:12.767 --> 01:05:17.000 city of Brooklyn Park, and you’re not going to simply talk 01:05:17.000 --> 01:05:19.400 about displacement because you see there’s a see this as a 01:05:19.400 --> 01:05:23.000 numbers game. I wanted them to state and I wanted let the 01:05:23.000 --> 01:05:27.734 county know. That because many of the folks at Huntington 01:05:27.734 --> 01:05:31.000 Place come from the same place that my family comes from. That 01:05:31.000 --> 01:05:35.166 you don’t get to simply talk displacement, but ignore 01:05:35.166 --> 01:05:39.900 quality of life and health issues as irresponsible, is 01:05:39.900 --> 01:05:41.667 disrespectful. You’re picking winners and losers when it 01:05:41.667 --> 01:05:45.567 comes to quality of life. I don’t like that. I don’t really 01:05:45.567 --> 01:05:49.100 respect that. So what I’m gonna tell the city and the state is 01:05:49.100 --> 01:05:54.000 that You think this is incredibly important. I know 01:05:54.000 --> 01:05:58.166 that um Aon and, and Doctor Johnson I think had a much more 01:05:58.166 --> 01:06:02.533 credible approach, um, we’d like for this to be solved for 01:06:02.533 --> 01:06:06.166 today. But if the city and the state, I mean, if the county 01:06:06.166 --> 01:06:09.467 and the state think this is just as important as we do at 01:06:09.467 --> 01:06:13.634 Brooklyn Park. They need to be involved. They need to help 01:06:13.634 --> 01:06:16.000 understand the different levers that we can pull to make sure 01:06:16.000 --> 01:06:20.266 that whomever is the buyer. Uh, is taken into account many of 01:06:20.266 --> 01:06:23.233 the things that we’re talking about in Brooklyn Park, because 01:06:23.233 --> 01:06:28.100 here’s my concern, um, when you talk about $15,000 a door at 01:06:28.100 --> 01:06:30.900 Huntington Place. You were talking about cosmetic 01:06:30.900 --> 01:06:34.000 improvements. I get it. I’ve, I’ve lived in apartments, so 01:06:34.000 --> 01:06:35.734 you’re talking about how the place is gonna look. You’re 01:06:35.734 --> 01:06:39.233 talking about some of the usability of, of the toilets 01:06:39.233 --> 01:06:43.033 and the different things that you use, it’s important. I get 01:06:43.033 --> 01:06:46.233 it’s incredibly important. But when we talk about some of 01:06:46.233 --> 01:06:50.133 those in inner health issues that are present. In Brooklyn 01:06:50.133 --> 01:06:53.367 Park, 15K a door, 14K a door isn’t really going to get to 01:06:53.367 --> 01:06:58.667 that. And so if this is a priority for The county and the 01:06:58.667 --> 01:07:02.200 state. If it’s truly a priority. Now if it’s not a priority. 01:07:02.200 --> 01:07:05.533 Don’t blow smoke up, Mike, right? Um, just say, hey, we 01:07:05.533 --> 01:07:08.233 want this to be expediently handled. Just tell me that. I, 01:07:08.233 --> 01:07:12.467 I respect that as well. But if it’s truly a priority, then we 01:07:12.467 --> 01:07:15.567 need to get together and we need to determine what are the 01:07:15.567 --> 01:07:18.367 leverage points, what are the different things that we can do 01:07:18.367 --> 01:07:22.500 to come out with a with a situation where we’re not just 01:07:22.500 --> 01:07:26.166 passing the buck once more. folks are living in a location 01:07:26.166 --> 01:07:28.100 where it isn’t healthy. They can’t get the things they need, 01:07:28.100 --> 01:07:31.300 and I haven’t even mentioned, um, because I’ve always tried 01:07:31.300 --> 01:07:33.734 to be respectful of the residents at Huntington Place, 01:07:33.734 --> 01:07:37.100 but on this one, I just have to be honest. No one mentions the 01:07:37.100 --> 01:07:40.634 pest control issues. That folks have to deal with. No one talks 01:07:40.634 --> 01:07:43.934 about that. That’s a cost. That’s something that people 01:07:43.934 --> 01:07:47.634 shouldn’t have to live with, right? Um, but I understand 01:07:47.634 --> 01:07:52.467 because I’m not gonna throw salt at Aon because Aon came in 01:07:52.467 --> 01:07:58.266 and said, hey, we got this. Maybe before Doctor Johnson 01:07:58.266 --> 01:08:01.634 came on, more was bit off than should have been bit off, and 01:08:01.634 --> 01:08:05.300 now you’re dealing with this particular situation, um, I get 01:08:05.300 --> 01:08:09.000 it. Folks want us to decide today. I don’t want to kick the 01:08:09.000 --> 01:08:12.266 can down the road too much longer anyways, but I also 01:08:12.266 --> 01:08:16.467 don’t think that as a city, we know all the lovers and all the 01:08:16.467 --> 01:08:18.734 partners who are affected by this, have not been at the 01:08:18.734 --> 01:08:21.533 table the way they should be at the table. That means the 01:08:21.533 --> 01:08:24.800 council, I mean, that means the county and that means the state 01:08:24.800 --> 01:08:27.634 because the city is here. We’re at the table. We’ve been having 01:08:27.634 --> 01:08:31.467 the meetings. We’ve been discussing with people, uh, Uh, 01:08:31.467 --> 01:08:35.166 and I know there’s residents that even when they were with 01:08:35.166 --> 01:08:38.867 food insecurity, I grabbed some people. We got them 500 to $600 01:08:38.867 --> 01:08:41.567 of groceries. So council members have been doing what we 01:08:41.567 --> 01:08:46.500 can to help at Huntington Place, uh, both quietly and publicly. 01:08:46.500 --> 01:08:50.634 So I think the county and the state need to come forward and 01:08:50.634 --> 01:08:52.834 talk about these various resources. I don’t want to go 01:08:52.834 --> 01:08:57.667 to another meeting. Um And folks from the states say, well, 01:08:57.667 --> 01:08:59.767 we’ve got this bucket and we’ve got this bucket. Maybe we can 01:08:59.767 --> 01:09:03.634 play around with these dollars and it’s, well, let’s have 01:09:03.634 --> 01:09:06.734 another meeting. There needs to be a meeting where we say these 01:09:06.734 --> 01:09:08.367 dollars are realistic. This is what we’re gonna do. This is 01:09:08.367 --> 01:09:11.467 the will we put together. This is how this is going to be 01:09:11.467 --> 01:09:14.300 allocated to, to, to address the situation. Now I understand 01:09:14.300 --> 01:09:18.867 that folks are organizing and say that, um, we really want to 01:09:18.867 --> 01:09:23.800 hear the voices of residents from Huntington Place. I think 01:09:23.800 --> 01:09:26.634 that’s incredibly important, but I think what Trump’s even 01:09:26.634 --> 01:09:29.667 that is, what are the resources that the people that are 01:09:29.667 --> 01:09:33.000 relying on Huntington Place. Because people shouldn’t look 01:09:33.000 --> 01:09:37.133 at Huntington Place as a problem. Huntington plays for 01:09:37.133 --> 01:09:39.900 many people at the county and the state level has been a 01:09:39.900 --> 01:09:43.567 solution. So now you don’t get to turn around and say, well, 01:09:43.567 --> 01:09:48.800 it’s a problem. And you deal with it. Nope. If it was your 01:09:48.800 --> 01:09:52.634 solution then, then you come to the table and you come to the 01:09:52.634 --> 01:09:56.300 table quickly because some people made, made it very clear, 01:09:56.300 --> 01:09:59.133 uh, perhaps not the most polite language that we’re on a clock 01:09:59.133 --> 01:10:04.467 here. And so my challenges to the county, my challenge to the 01:10:04.467 --> 01:10:07.533 state. I know that the staff will reach out probably in a 01:10:07.533 --> 01:10:09.634 much kinder tone than I am right now, but they’ll reach 01:10:09.634 --> 01:10:12.266 out and, and we’re we’re making those meetings happen, but they 01:10:12.266 --> 01:10:16.634 need to be at the table stat quickly. It’s an emergency. 01:10:16.634 --> 01:10:19.734 This is very important. It’s a priority for us and I know we 01:10:19.734 --> 01:10:23.000 have a, uh, I’m not calling you out, but we have someone from 01:10:23.000 --> 01:10:26.734 the house here, our, our wonderful representative, um, 01:10:26.734 --> 01:10:29.900 pulled up. Healy has been involved from day one with this, 01:10:29.900 --> 01:10:32.667 so I’m not throwing you under the bus, um, but we need 01:10:32.667 --> 01:10:36.266 everybody else to be here with her. Uh, and we need them to 01:10:36.266 --> 01:10:39.000 start helping to make these decisions. So that would be my 01:10:39.000 --> 01:10:42.000 thing is I don’t think that we are prepared to make that 01:10:42.000 --> 01:10:45.867 decision. Um, right now. I know that we’ve heard from a ton of 01:10:45.867 --> 01:10:49.133 residents who don’t, who say, don’t forgive it. I would say, 01:10:49.133 --> 01:10:51.834 you may want to look at the details of what’s actually in 01:10:51.834 --> 01:10:54.000 front of you. That doesn’t mean I’m saying go one way or the 01:10:54.000 --> 01:10:57.734 other, but look at the details of what are in front of you 01:10:57.734 --> 01:11:00.467 versus how you feel this assaults your dignity or how we 01:11:00.467 --> 01:11:04.634 spend the money or this and that, because if we The reality 01:11:04.634 --> 01:11:09.834 is this, if we forgive the loan, Um, we don’t see the money 01:11:09.834 --> 01:11:12.667 clearly, but if we don’t forgive the loan, We’re not 01:11:12.667 --> 01:11:15.800 gonna see the money. I’m just being upfront with people, 01:11:15.800 --> 01:11:19.634 right? So that’s the reality we exist, however, not forgiving 01:11:19.634 --> 01:11:22.266 you loan gives us a little bit more leverage, but how long 01:11:22.266 --> 01:11:26.533 that leverage lasts against the clock. I don’t quite know. And 01:11:26.533 --> 01:11:30.166 so I think, again, I’m speaking a lot on this because it is 01:11:30.166 --> 01:11:35.266 near and dear to my heart. County, state needs to come to 01:11:35.266 --> 01:11:39.266 the table. They need to make some real decisions about this, 01:11:39.266 --> 01:11:43.100 um, and so I’m not prepared to make a decision right today, uh, 01:11:43.100 --> 01:11:46.233 but I know we have other council members up here and I 01:11:46.233 --> 01:11:52.100 know they may have questions around this as well. 01:11:52.100 --> 01:12:04.467 Councilmemb Tran. Thank you, Mayor. Um, I just um want to 01:12:04.467 --> 01:12:09.734 share with you, um, Many email that we got from the resident 01:12:09.734 --> 01:12:18.767 regarding to this uh Um Matter, uh, one of the, the resident is 01:12:18.767 --> 01:12:27.300 a a community leaders. And she was the African socialjeed 01:12:27.300 --> 01:12:34.900 African career education uh resort. ACER. Um She suggest 01:12:34.900 --> 01:12:45.667 that um Um We see they should give. Uh, young resident 01:12:45.667 --> 01:12:50.367 representative to get involved into uh voting for this matter, 01:12:50.367 --> 01:12:58.834 uh, for a democracy. Um I support that and I hope my caso 01:12:58.834 --> 01:13:03.800 colleagues also support this, um, and that’s why we don’t 01:13:03.800 --> 01:13:10.100 want to vote anything today. Uh, and another thing, um, we got a, 01:13:10.100 --> 01:13:17.567 I got a lot of uh my, my caso college um Tony and I, we and 01:13:17.567 --> 01:13:23.367 is in the West District, we got a lot of uh resident call and 01:13:23.367 --> 01:13:29.233 write to us about this. And um I want to share with you one of 01:13:29.233 --> 01:13:35.667 the the writing that majority uh go with this. Um This 01:13:35.667 --> 01:13:43.667 resident Um, wrote to us. I am asking you to vote no to any 01:13:43.667 --> 01:13:47.667 forgiving Huntington Place loan. This is not just about the 3.8 01:13:47.667 --> 01:13:54.900 million. It is also about quality new affordable rental 01:13:54.900 --> 01:14:00.266 home with better roar, the resident, especially families, 01:14:00.266 --> 01:14:05.033 uh Bob Curran and Futures. Um That’s not reflecting the fact 01:14:05.033 --> 01:14:09.300 that between the steak and Hanain County based on more 01:14:09.300 --> 01:14:15.734 tribal that amount of 13.4 million total toon. That would 01:14:15.734 --> 01:14:20.000 mean every home, town home and on other apartments should get 01:14:20.000 --> 01:14:32.767 a grand total of 16,000 plus the 7200 of 23, um, 200 based 01:14:32.767 --> 01:14:38.033 on roughly 22,000 total living housing units for our 86,000 01:14:38.033 --> 01:14:47.133 residents. Um And uh on the next paragraphs, this resident, 01:14:47.133 --> 01:14:55.233 uh, say that I encourage every one of you to view the work 01:14:55.233 --> 01:15:03.800 section and meeting from July, uh,,,,,,, 1720, 23, Johnny 01:15:03.800 --> 01:15:08.100 Barra company presented as an outstanding use of their own 01:15:08.100 --> 01:15:15.000 century court complex. Uh, and then next thing, uh, take that. 01:15:15.000 --> 01:15:21.033 I for one totally ashamed of the extortion tactics of saying 01:15:21.033 --> 01:15:27.233 2500 people. Maybe homeless. If we don’t keep giving them money. 01:15:27.233 --> 01:15:33.767 Uh, will we face the 200 to 250,000 repair cost to, uh, 01:15:33.767 --> 01:15:40.033 that would be another 200,000 per unit. Oh yes, literally 01:15:40.033 --> 01:15:46.233 twice as much as our to have 2400 square foot house when we 01:15:46.233 --> 01:15:53.500 view it. Um, so that is, uh, Majority of opinion that uh 01:15:53.500 --> 01:15:57.233 resident that I want to share with you, and I support the 01:15:57.233 --> 01:16:02.133 idea that, you know, Huntington resident should have a 01:16:02.133 --> 01:16:06.834 representative and be here and vote on this matter. Um, thank 01:16:06.834 --> 01:16:12.100 you for all that present today to let us know how to serve you. 01:16:12.100 --> 01:16:25.467 Thank you. To the McGarvey. Thank you, Mayor. Excuse me. 01:16:25.467 --> 01:16:30.800 I’m, I’m just curious, and I got the letter from Acer. Oh, 01:16:30.800 --> 01:16:34.467 Thursday or Friday and over the weekend as well, and I keep 01:16:34.467 --> 01:16:40.867 hearing this. Hearing from the community. And what I want to 01:16:40.867 --> 01:16:47.900 ask is, Doctor, Doctor Johnson mentioned coming to, coming to 01:16:47.900 --> 01:16:50.000 Huntingdon Place as soon as they knew this was going to go 01:16:50.000 --> 01:16:57.033 down. That was October 17th. Of last year 5 months ago from 01:16:57.033 --> 01:17:02.467 today, 5 months ago today. Um, and I’m, so my curiosity, what 01:17:02.467 --> 01:17:09.400 I’m asking is, is what more Can we do to engage the residents 01:17:09.400 --> 01:17:12.900 of Huntington Place. I mean, they’ve had 5 months. This was 01:17:12.900 --> 01:17:21.133 talked about. At Huntington Place. Um, why didn’t everyone 01:17:21.133 --> 01:17:24.734 run and spread the word or, you know, you know what I’m saying? 01:17:24.734 --> 01:17:29.567 I, I don’t understand what more we can do. To engage the 01:17:29.567 --> 01:17:35.300 residents. That’s my question. If that makes sense to anybody. 01:17:35.300 --> 01:17:42.800 Can you guys define what that means? Is that OK? So I’m, I 01:17:42.800 --> 01:17:46.100 just think so one second. So if you want to finish and then 01:17:46.100 --> 01:17:47.800 we’re gonna have one representative answer the 01:17:47.800 --> 01:17:49.867 question. We’re not gonna have everybody answer it. So y’all 01:17:49.867 --> 01:17:54.100 pick the person you want, but you can get like 2 to 3 minutes. 01:17:54.100 --> 01:17:57.834 Thank you, Mayor. So this is according to, if you look at 01:17:57.834 --> 01:18:02.834 the blue sheet, it, it defines our rules for uh I am asking 01:18:02.834 --> 01:18:06.533 for clarification. I’m not asking for a debate. I’m asking 01:18:06.533 --> 01:18:10.800 for clarification. Um, and what more community member 01:18:10.800 --> 01:18:19.166 engagement means. Thank you. Thank you, Mr. Mayor. So if 01:18:19.166 --> 01:18:21.100 y’all have somebody that you wanted to answer that for 2 to 01:18:21.100 --> 01:18:28.867 3 minutes. But it’s gonna be 3 minutes, so. Um You, you, you 01:18:28.867 --> 01:18:32.500 might wanna go up there because they, the camera can’t pick up 01:18:32.500 --> 01:18:34.867 your voice if, uh, or the mic can’t pick up your voice unless 01:18:34.867 --> 01:18:50.166 you’re in front of that. OK, my response to that is you have 01:18:50.166 --> 01:18:55.567 the majority of the People that live in the building are 01:18:55.567 --> 01:18:59.900 working people. We’re not checking emails at work. And my 01:18:59.900 --> 01:19:05.100 job, you can’t even have your phone anywhere near you because 01:19:05.100 --> 01:19:10.100 it’s a HIPA violation. So when I find out about these things, 01:19:10.100 --> 01:19:15.233 it’s when I get off of work. I look at my phone, there’s a 01:19:15.233 --> 01:19:19.567 text message, but the meeting was 2 hours before I get off 01:19:19.567 --> 01:19:24.300 work, so I can’t make it there, unless I know ahead of time so 01:19:24.300 --> 01:19:29.634 I can schedule a day off to come. A lot of us working 01:19:29.634 --> 01:19:34.000 people sat there and discussed that at the meeting. That we 01:19:34.000 --> 01:19:40.367 didn’t know about it because we’re at work. So, the reason 01:19:40.367 --> 01:19:45.934 why we wasn’t showing up, the reason why we weren’t there is 01:19:45.934 --> 01:19:50.100 because a lot of the meetings were taking place while we were 01:19:50.100 --> 01:19:54.233 at work and we didn’t find out until after we got off work. 01:19:54.233 --> 01:19:59.200 And then we didn’t even get an email from Aon or nobody else 01:19:59.200 --> 01:20:04.934 about what was going on. The first time I heard about 01:20:04.934 --> 01:20:09.400 anything, was the meeting in December. So if this been going 01:20:09.400 --> 01:20:17.300 on ever since. October I didn’t know nothing about it. That’s 01:20:17.300 --> 01:20:31.000 all I have to say. Commissioner Kleanowski. Thank you, Mayor. 01:20:31.000 --> 01:20:36.467 Um, or president. I have a couple questions. The first is 01:20:36.467 --> 01:20:41.166 to director Gladhill. the restrictive covenants, do we 01:20:41.166 --> 01:20:47.567 have an idea if What, what the tax benefit to the city of 01:20:47.567 --> 01:20:51.400 Brooklyn Park would be fully if we didn’t have restrictive 01:20:51.400 --> 01:20:55.133 covenants on the property, I assume that is. Up and down 01:20:55.133 --> 01:20:58.567 depending on the sale price. Was it the $300,000 that you 01:20:58.567 --> 01:21:03.567 had in the Correct, Mr. President, Commissioner, super 01:21:03.567 --> 01:21:06.233 ballpark don’t hold me to this quote me on it, but it would be 01:21:06.233 --> 01:21:10.734 in the range of 300,000 for the city share of taxes annually 01:21:10.734 --> 01:21:18.166 annually. OK. Um, can you explain how the $4 million 01:21:18.166 --> 01:21:23.867 towards Zane would, would work, who administers that. Yeah, so, 01:21:23.867 --> 01:21:29.233 uh, Mr. President, commissioner, both the, the remainder of the 01:21:29.233 --> 01:21:35.567 state allocation in the federal grant are Aon is the recipient 01:21:35.567 --> 01:21:39.634 for purposes of Huntington, so the federal grant simply says, 01:21:39.634 --> 01:21:43.567 as it was allocated from Congress was for the 01:21:43.567 --> 01:21:46.300 transformation of Huntington Place. That’s all it said. And 01:21:46.300 --> 01:21:51.367 so HUD then gets to decide what’s defined as transforming 01:21:51.367 --> 01:21:54.300 Huntington Place. Uh, we feel we have a good argument that 01:21:54.300 --> 01:21:57.533 being directly adjacent to and serving many of those youth, 01:21:57.533 --> 01:22:00.734 the expansion of Zanewood would certainly help transform 01:22:00.734 --> 01:22:04.367 Huntington Place. Now, mechanically how that works 01:22:04.367 --> 01:22:07.934 because how the grant was allocated. Aon will still be 01:22:07.934 --> 01:22:11.900 involved in the project in a very limited partnership. We’re 01:22:11.900 --> 01:22:15.734 talking less than 1%. That way they can continue to be the 01:22:15.734 --> 01:22:20.000 grantee. We can be the sub-grantee, um, in that 01:22:20.000 --> 01:22:23.734 scenario. We’ve been trying to figure out how could we change 01:22:23.734 --> 01:22:27.467 that around to the buyer, to the city, it gets more 01:22:27.467 --> 01:22:31.634 complicated, so for ease, it would be they stand as a 01:22:31.634 --> 01:22:34.367 limited partner for purposes and so long as we can access 01:22:34.367 --> 01:22:38.634 those dollars. OK. Is there any level of guarantee that if we 01:22:38.634 --> 01:22:43.934 go with that option, we’ll. Have those resources. Uh, 01:22:43.934 --> 01:22:46.500 president, commissioner, as of today, I can’t give you full 01:22:46.500 --> 01:22:51.133 certainty. I can give you hope, um, some good, uh, discussions 01:22:51.133 --> 01:22:54.634 on that, uh, front. I couldn’t tell you today that there’s 01:22:54.634 --> 01:22:57.834 certainty that we’ll get the, that we will get those $4 01:22:57.834 --> 01:23:01.500 million. I, I can tell you I’ve personally had conversations 01:23:01.500 --> 01:23:05.367 with the local field office rep for HUD and asking a lot of 01:23:05.367 --> 01:23:08.000 good questions. We have some work to do with our rec and 01:23:08.000 --> 01:23:11.834 Parks team to essentially develop a new grant proposal, 01:23:11.834 --> 01:23:14.900 but we’re we’re feeling good. about the opportunities but we 01:23:14.900 --> 01:23:18.100 have to move quick, you know, also on this time frame for 01:23:18.100 --> 01:23:22.367 this $4 million is the federal policies going on at the moment. 01:23:22.367 --> 01:23:26.567 There’s potential cuts to HUD staff. We don’t know if this 01:23:26.567 --> 01:23:28.300 allocation gets pulled back even though it was 01:23:28.300 --> 01:23:31.533 congressionally directed. There’s uncertainty in how long 01:23:31.533 --> 01:23:37.300 those dollars will really be available. Director, um. We 01:23:37.300 --> 01:23:40.500 have put significant money towards the Zainwood project 01:23:40.500 --> 01:23:43.233 that has ribbon cutting coming up shortly in April. So how 01:23:43.233 --> 01:23:48.100 would this money be allocated and what it Uh, just be 01:23:48.100 --> 01:23:51.767 limiting the money that we’ve already indebted ourselves to 01:23:51.767 --> 01:23:54.634 with hunting. Therefore, freeing up 4 million to be used 01:23:54.634 --> 01:23:58.133 somewhere else in the city, and I’ll look to the city manager 01:23:58.133 --> 01:24:01.467 and Rein Park’s director if I say this incorrectly. I think 01:24:01.467 --> 01:24:05.834 the plan is to incur upwards of $10 million in debt, um, for 01:24:05.834 --> 01:24:08.800 that project or some degree of debt on that project. This 01:24:08.800 --> 01:24:12.734 would write that down. So we would have bond debt capacity 01:24:12.734 --> 01:24:16.000 for other projects. Maybe it’s the CAC maybe there’s other 01:24:16.000 --> 01:24:19.033 public improvements. We need to do. We have a fire station 01:24:19.033 --> 01:24:22.200 coming up. We have a lot of debt obligations at some point, 01:24:22.200 --> 01:24:25.367 we’re gonna hit that cap and we’re gonna run out of deck 01:24:25.367 --> 01:24:28.100 capacity. So this reduces what we’re going to borrow for other 01:24:28.100 --> 01:24:32.767 projects. OK. Thank you for answering that. It seems like 01:24:32.767 --> 01:24:36.567 the only option really listed that gives us any actual money 01:24:36.567 --> 01:24:40.834 back I mean 450,000 is nothing to shake a stick at, but it’s 01:24:40.834 --> 01:24:46.533 not anywhere near the millions. I have a, um, Question perhaps 01:24:46.533 --> 01:24:54.834 for um A on itself, uh, a resident had asked about the 01:24:54.834 --> 01:24:59.033 timeline for her, other families living there, um, if 01:24:59.033 --> 01:25:03.834 there are other Aon properties if they have a route to access 01:25:03.834 --> 01:25:06.500 that through AM directly. Our city would of course be 01:25:06.500 --> 01:25:10.867 stepping in to help people if they’re displaced or choose to 01:25:10.867 --> 01:25:13.033 leave Huntington in anticipation of a sale. Could 01:25:13.033 --> 01:25:18.166 you explain it and perhaps, Doctor, um, Johnson about what 01:25:18.166 --> 01:25:21.100 that would look like. Yeah, so President, Commissioner, I can 01:25:21.100 --> 01:25:25.166 point to like our typical resources that we provide um in 01:25:25.166 --> 01:25:28.634 these situations and they’re on the screen here. The attorney 01:25:28.634 --> 01:25:31.867 general’s landlord and tenant rights and responsibilities 01:25:31.867 --> 01:25:36.900 handbook, Homeline and LawHelp MN. Those are good resources to 01:25:36.900 --> 01:25:39.734 start chatting about now, um, so those are out there plus we 01:25:39.734 --> 01:25:43.900 have lots of great nonprofits, uh, mission-driven 01:25:43.900 --> 01:25:45.867 organizations right here in Brooklyn Park in the Brooklyns, 01:25:45.867 --> 01:25:49.300 uh, we have. are here tonight, that is advocating on their 01:25:49.300 --> 01:25:53.500 behalf and continue uh to provide resources. Our staff 01:25:53.500 --> 01:25:57.233 has put our rental rental resources flyers on the back 01:25:57.233 --> 01:26:01.100 table that people can grab on their way out. I think our next 01:26:01.100 --> 01:26:04.166 phase of engagement is gonna have, and I, we’ve mentioned 01:26:04.166 --> 01:26:07.900 this before is really that now about tenant advocacy so we 01:26:07.900 --> 01:26:10.667 know that displacement is likely to occur. So what sort 01:26:10.667 --> 01:26:14.400 of mini housing fairs can we do on site at Zane Wood, in 01:26:14.400 --> 01:26:17.500 addition to what we talked about here today that We can 01:26:17.500 --> 01:26:20.266 help people find housing that suits their needs. And we would 01:26:20.266 --> 01:26:25.033 commit to doing that in the future as well. So. Those are 01:26:25.033 --> 01:26:28.200 the pieces that we can help, you know, we can’t necessarily 01:26:28.200 --> 01:26:31.934 stop eviction. We do have a tenant notification ordinance, 01:26:31.934 --> 01:26:36.166 that’s our only regulatory tool in this regard. So once mass 01:26:36.166 --> 01:26:39.367 capital purchases, if that’s a scenario that occurs, they have 01:26:39.367 --> 01:26:43.367 to notify every resident. And if residents are displaced 01:26:43.367 --> 01:26:46.900 within 90 days of that notification mass capital would 01:26:46.900 --> 01:26:50.100 have to provide relocation benefits other cities go 01:26:50.100 --> 01:26:52.767 further than that, such as Minneapolis, a lot of cities 01:26:52.767 --> 01:26:57.000 don’t go as far as we do, but that’s a tool, um, that we have 01:26:57.000 --> 01:27:01.467 as well that’s currently on the books. Could you, uh, outline 01:27:01.467 --> 01:27:05.133 briefly what the relocation benefits are. I would have to 01:27:05.133 --> 01:27:07.634 look back on that unless one of our staff knows what that 01:27:07.634 --> 01:27:13.033 amount is, but I will get back to you on that one. OK. Alright, 01:27:13.033 --> 01:27:17.834 uh, I appreciate that. And then can we add on to come up and 01:27:17.834 --> 01:27:21.634 And to the residents question about, um, access to other Aon 01:27:21.634 --> 01:27:24.233 properties. Seems like you have some Aon fans in the room that 01:27:24.233 --> 01:27:30.634 might want to continue living living in. Commissioner, um. 01:27:30.634 --> 01:27:34.033 Let me ask you the question about um Aeon will always be 01:27:34.033 --> 01:27:39.800 open to In the units we have if it came to something like that, 01:27:39.800 --> 01:27:43.567 that’s really in our DNA so if we have units available, of 01:27:43.567 --> 01:27:47.834 course we’ll be offering those units, but let me also add uh 01:27:47.834 --> 01:27:51.100 some additional comment to Tim’s piece on the uh HUD grant 01:27:51.100 --> 01:27:53.233 just by way of background I used to work in that policy 01:27:53.233 --> 01:27:57.400 office. I’ve probably done 7 or 8 of these grants in my career, 01:27:57.400 --> 01:28:00.133 so just to simplify this because I don’t wanna make it 01:28:00.133 --> 01:28:02.634 super complicated, uh, according to what HUD has 01:28:02.634 --> 01:28:06.467 described to me. said he would basically repair a narrative at 01:28:06.467 --> 01:28:09.166 a budget to it, it will be submitted to us. We put it in 01:28:09.166 --> 01:28:12.834 the system. I’ve been told by her to take them 2 or 3 days to 01:28:12.834 --> 01:28:15.133 review it. After review it, city does an environmental 01:28:15.133 --> 01:28:18.266 review on their site. Grant is approved. So I just want to say 01:28:18.266 --> 01:28:21.900 that even under the under the existing continued resolution 01:28:21.900 --> 01:28:24.133 that just was adopted by Congress we still have space 01:28:24.133 --> 01:28:27.767 and time. I talked to her probably at least once or twice 01:28:27.767 --> 01:28:31.000 a week because of my relationship with HUD so if. 01:28:31.000 --> 01:28:34.734 That route were to happen, I think we have a path forward to 01:28:34.734 --> 01:28:37.900 go down that road, so I just wanted to add, add that to 01:28:37.900 --> 01:28:42.166 Tim’s comments. Thank you. So can I ask another just follow 01:28:42.166 --> 01:28:47.133 up in regards to the one of your Huntington residents, how 01:28:47.133 --> 01:28:51.467 can they access, um, information about property 01:28:51.467 --> 01:28:54.133 availability at other, um, and locations. You know what I’m 01:28:54.133 --> 01:28:58.767 glad you mentioned that because our new website is gonna launch, 01:28:58.767 --> 01:29:00.900 um, actually early next month and it is totally redesigned. 01:29:00.900 --> 01:29:05.634 where you will be able to see specific properties, so it’s 01:29:05.634 --> 01:29:08.400 different than the current website totally redesigned so 01:29:08.400 --> 01:29:10.500 all residents, people in the community will not be able to 01:29:10.500 --> 01:29:14.033 go to the site and they can isolate and see what’s what’s 01:29:14.033 --> 01:29:18.100 directly available. Um, based on our portfolio. Well, the 01:29:18.100 --> 01:29:21.734 staff on site at Huntington be able to work directly with some 01:29:21.734 --> 01:29:25.500 of your residents to stay in a property. OK, so you can go 01:29:25.500 --> 01:29:28.734 talk directly to the office staff and then get some out 01:29:28.734 --> 01:29:36.667 there, OK, appreciate that. Thank you. I. Just want to 01:29:36.667 --> 01:29:40.567 respond to the question about what is the tenant relocation 01:29:40.567 --> 01:29:45.233 benefit. It’s 3 months’ rent is the benefit if they’re 01:29:45.233 --> 01:29:48.033 Displaced within 3 months of the notification, um, so 01:29:48.033 --> 01:29:52.634 that’ll take some time and then I’m forgetting um our staff, 01:29:52.634 --> 01:29:57.166 our housing staff is looking at a tool to help find housing in 01:29:57.166 --> 01:29:59.734 Brooklyn Park, so it’s kind of like apartments.com, but it 01:29:59.734 --> 01:30:02.767 lives on our website and provides more information. 01:30:02.767 --> 01:30:05.000 We’re just getting demos right now. I don’t know when that’s 01:30:05.000 --> 01:30:07.467 available, maybe not in time for that, but we do hear this 01:30:07.467 --> 01:30:10.300 quite a bit, so we’re trying to find a better tool for our 01:30:10.300 --> 01:30:13.166 residents, for our community, and that’s a, a future 01:30:13.166 --> 01:30:17.266 consideration. See, I, I, I wanted to lean into that a 01:30:17.266 --> 01:30:21.000 little bit because I know that it has properties in other 01:30:21.000 --> 01:30:24.367 cities and other places, but I know that we discussed maybe 01:30:24.367 --> 01:30:27.367 some even some more robust resources. We haven’t really 01:30:27.367 --> 01:30:30.767 fleshed that out yet. But for folks who live in Brooklyn Park 01:30:30.767 --> 01:30:34.400 or who have jobs that are close by, you know, it’d be nice to 01:30:34.400 --> 01:30:40.867 see what resources we have available to help with um that 01:30:40.867 --> 01:30:47.667 potential displacement, um. Commissioner McGarvey. Thank 01:30:47.667 --> 01:30:51.033 you, Mr. President. I was calling you mayor before. I 01:30:51.033 --> 01:30:56.166 apologize. And I also want to apologize to all the people I 01:30:56.166 --> 01:31:00.000 clearly upset with my question earlier, and so I’d like to 01:31:00.000 --> 01:31:04.266 restate my question. Because I did not get an answer. Uh, to 01:31:04.266 --> 01:31:09.467 my question, And so I’d like to restate it with as much 01:31:09.467 --> 01:31:13.767 neutrality in my voice as possible and in my facial, my 01:31:13.767 --> 01:31:18.567 body language, everything, and I was going to ask Miss, um, 01:31:18.567 --> 01:31:22.300 Sesa Kumar to answer the question, but she’s not in here 01:31:22.300 --> 01:31:27.467 that I know of. So, so Nelima Saate, the executive director 01:31:27.467 --> 01:31:31.900 of Acer, could you answer the question for me. Uh, from the 01:31:31.900 --> 01:31:37.233 letter that we received from you guys. So the question is, 01:31:37.233 --> 01:31:41.000 And I, so I, I went into this without having been prepared 01:31:41.000 --> 01:31:45.300 enough. My question, that is. Community-centered approach 01:31:45.300 --> 01:31:52.200 that includes the residents. A OK. Miss Susakumer is back. May 01:31:52.200 --> 01:31:55.033 I ask you these questions specifically. I, I, I should 01:31:55.033 --> 01:31:58.100 have been more prepared. You didn’t hear my ramble on intro 01:31:58.100 --> 01:32:01.734 here, but, so you’re gonna want to go up, uh, after he asks 01:32:01.734 --> 01:32:03.166 that you’re going to want to go up there so we can hear you. 01:32:03.166 --> 01:32:07.133 I’m trying to ask this with more neutral neutrality, 01:32:07.133 --> 01:32:11.000 because my question is about what Acer’s asking for. I was 01:32:11.000 --> 01:32:14.834 not trying to, uh, indemnify the residents of Huntington 01:32:14.834 --> 01:32:18.867 Place or any of that. My concern is for the residents of 01:32:18.867 --> 01:32:23.166 Huntington Place. But my question regarding the letter 01:32:23.166 --> 01:32:27.734 you sent is threefold. One, you said a community-centered 01:32:27.734 --> 01:32:31.634 approach that includes the residents. Uh, it, you know, 01:32:31.634 --> 01:32:34.367 give that some context. It is clear that the residents are 01:32:34.367 --> 01:32:38.100 calling for a seat at the decision-making table, a 01:32:38.100 --> 01:32:41.834 community-centered approach that includes the residents. 01:32:41.834 --> 01:32:47.834 who are most impacted by this issue. Second part, Under 2 in 01:32:47.834 --> 01:32:52.567 your letter. Had there been continued community engagement 01:32:52.567 --> 01:32:56.300 and resident-led decision making from the start. We 01:32:56.300 --> 01:33:00.033 firmly believe this situation could have been avoided. And 01:33:00.033 --> 01:33:03.233 then the final part of the letter, I have a question about 01:33:03.233 --> 01:33:06.934 is we respectfully request that you pause the vote till you’ve 01:33:06.934 --> 01:33:12.467 engaged with the residents at Huntington. It And ensured 01:33:12.467 --> 01:33:16.767 their full participation in this process. So, in a nutshell, 01:33:16.767 --> 01:33:25.166 my question is, How do we do any of that? Thank you. Uh, 01:33:25.166 --> 01:33:31.634 thank you for, um, clarifying the question, um. Firstly, um, 01:33:31.634 --> 01:33:34.166 especially in the past several engagements we have had with 01:33:34.166 --> 01:33:37.300 our tenants during intense door knocking and multiple tenant 01:33:37.300 --> 01:33:40.000 meetings, uh, just to clarify, tenants have been at Huntington 01:33:40.000 --> 01:33:42.000 have been meeting every other Thursday, and that’s something 01:33:42.000 --> 01:33:48.100 they’ve committed to. Um, and nobody but tenants can express 01:33:48.100 --> 01:33:50.867 explicitly what is that they hope to get, but I can best 01:33:50.867 --> 01:33:54.100 represent what I’ve been hearing from them is that they 01:33:54.100 --> 01:33:58.834 feel the information has not been transparent and even I can 01:33:58.834 --> 01:34:01.634 testify to that fact like there is, it’s, it’s a, it’s a 01:34:01.634 --> 01:34:05.734 complicated problem. There are a lot of details coming and 01:34:05.734 --> 01:34:08.900 they come slowly, and one meeting in December held by the 01:34:08.900 --> 01:34:12.634 city doesn’t cut it, and that’s what the tenants are requesting 01:34:12.634 --> 01:34:16.367 for more series of conversation. And tenants can best tell you 01:34:16.367 --> 01:34:19.200 how those conversations need to be held, whether it could be 01:34:19.200 --> 01:34:22.233 tenant meetings, whether it could be door knocking sessions, 01:34:22.233 --> 01:34:25.000 having attendant representative at tables again, I’m not here 01:34:25.000 --> 01:34:30.233 to speak for the tenants because they have been very 01:34:30.233 --> 01:34:32.467 clearly expressing even alternate options to the 01:34:32.467 --> 01:34:34.767 situation other than the 4 alternatives that was here on 01:34:34.767 --> 01:34:39.367 the road that was shown on the screen. So long story short, 01:34:39.367 --> 01:34:41.467 we’re here requesting for you to listen to the tenants on. 01:34:41.467 --> 01:34:45.266 How is it that they want engagements and um Sean 01:34:45.266 --> 01:34:48.667 couldn’t talk today, but she was mentioning um also main 01:34:48.667 --> 01:34:51.634 options is a great form of communication like Tamita 01:34:51.634 --> 01:34:54.834 mentioned, people have work and 1 December meeting doesn’t cut 01:34:54.834 --> 01:34:58.033 it, so that could be multiple meanings or male forms, but 01:34:58.033 --> 01:35:02.300 they have a list of ideas. It’s just a matter of sitting down 01:35:02.300 --> 01:35:04.734 with just like 2 minutes speaking like Tamita did today, 01:35:04.734 --> 01:35:07.767 but like a more intense conversation on it. And number 01:35:07.767 --> 01:35:10.834 2, you’re more than invited to come to the tenant meetings 01:35:10.834 --> 01:35:14.567 that are already happening. And number 3, I feel the 01:35:14.567 --> 01:35:19.400 conversations even beyond as to the loan forgiveness. This this 01:35:19.400 --> 01:35:23.033 huge problem. The biggest impacted community is the 01:35:23.033 --> 01:35:26.000 residents, and I believe they even have alternate 01:35:26.000 --> 01:35:28.100 possibilities of what the future could look like. It’s 01:35:28.100 --> 01:35:31.867 just a matter of listening intentionally and uh actually 01:35:31.867 --> 01:35:37.567 having them part of the decision making process. For 01:35:37.567 --> 01:35:45.033 clarification if I, if I may, Mr. President. So are the 01:35:45.033 --> 01:35:48.266 monthly meetings still happening at Huntington Place. 01:35:48.266 --> 01:35:55.166 So So specifically regarding this. Yeah, so the meetings 01:35:55.166 --> 01:35:59.467 that I’m referring to here are the meetings that tenants are 01:35:59.467 --> 01:36:03.734 running specifically when they heard about the sale. So it has 01:36:03.734 --> 01:36:06.200 been happening since last month and then it’s decided that they 01:36:06.200 --> 01:36:09.033 want to meet every other Friday, and the tenants who are here 01:36:09.033 --> 01:36:11.834 today are the very people who have been attending, and they 01:36:11.834 --> 01:36:16.100 are also the ones who have been um asking for a more 01:36:16.100 --> 01:36:18.467 transparent process, like, like the folks who testify today, 01:36:18.467 --> 01:36:20.900 many of them didn’t even know that the sale is happening and 01:36:20.900 --> 01:36:25.000 here we are deciding about the voting process today. So I 01:36:25.000 --> 01:36:28.667 believe that’s the disconnect, um, tennis Warner have these 01:36:28.667 --> 01:36:32.500 conversations, but more frequently and um more 01:36:32.500 --> 01:36:34.734 intentionally to in the idea to listen to tenants and what is 01:36:34.734 --> 01:36:38.367 it that they hope to get from this process. Thank you. I 01:36:38.367 --> 01:36:42.033 would just like to state for the record that I did attend. 01:36:42.033 --> 01:36:47.500 All of those meetings uh during 2023 and 2024 until I was 01:36:47.500 --> 01:36:50.734 assigned to the planning commission, which meets every 01:36:50.734 --> 01:36:54.000 Wednesday night, every other Wednesday night, which is when 01:36:54.000 --> 01:36:58.734 those meetings were held was Wednesday night. I was present 01:36:58.734 --> 01:37:04.200 at the October 17th meeting. I was very clear then. Um, I’m 01:37:04.200 --> 01:37:08.300 sorry that all of the residents were not somehow made aware. Um 01:37:08.300 --> 01:37:16.233 But thank you, thank you for clarifying that. Absolutely. So 01:37:16.233 --> 01:37:19.133 this, this may not be a popular response but thank you for that 01:37:19.133 --> 01:37:24.300 question, uh, Commissioner McGarvey. I will say that, um, 01:37:24.300 --> 01:37:33.900 The Onus or the duty or the responsibility of uh The 01:37:33.900 --> 01:37:37.100 overall, right, of what’s going on in the apartments at 01:37:37.100 --> 01:37:40.367 Huntington Place or any other apartment complex within 01:37:40.367 --> 01:37:44.100 Brooklyn Park is generally going to be between residents 01:37:44.100 --> 01:37:47.367 and the owners or the investors in that particular building. Uh, 01:37:47.367 --> 01:37:51.634 and so I want to kind of level set there that the city has 01:37:51.634 --> 01:37:56.467 been involved to a great extent, uh, but I think to uh 01:37:56.467 --> 01:38:00.667 Commissioner McGarvey’s point, this was laid out. In October, 01:38:00.667 --> 01:38:06.634 uh, and To give AI credit, they were upfront, uh, and they were 01:38:06.634 --> 01:38:11.834 there, uh, dealing with the stress of the residents in that 01:38:11.834 --> 01:38:18.767 moment and continue to so to come now and to say, well, The 01:38:18.767 --> 01:38:23.033 city hasn’t really heard residents’ voices or Aon hasn’t 01:38:23.033 --> 01:38:27.300 heard resident’s voices, uh, there is some onus of 01:38:27.300 --> 01:38:31.367 responsibility. On the community on residents to 01:38:31.367 --> 01:38:37.367 organize. And to communicate to to the uh ownership or to 01:38:37.367 --> 01:38:41.400 communicate to the city, but to do it when you see something 01:38:41.400 --> 01:38:45.100 now that says, hey, uh, you were told about this in October. 01:38:45.100 --> 01:38:49.367 But now a real decision is getting ready to be made, and 01:38:49.367 --> 01:38:53.467 then you say, well, we need more input. Right? Doesn’t, 01:38:53.467 --> 01:38:56.734 doesn’t seem to align with the timeline that has been 01:38:56.734 --> 01:39:00.467 established by quite a few people here. Um, so that is a 01:39:00.467 --> 01:39:04.667 little concerning that it would be that narrative would be 01:39:04.667 --> 01:39:08.100 created when that is not the actual narrative that exists in 01:39:08.100 --> 01:39:11.734 that this was laid out in October. Now, maybe not 01:39:11.734 --> 01:39:16.500 everybody was there to organize that. But this was laid out and 01:39:16.500 --> 01:39:21.834 the city has been looking to Make, uh, to address this and 01:39:21.834 --> 01:39:25.100 has been working at this for quite some time. So I’m gonna, 01:39:25.100 --> 01:39:29.266 I’m going to leave it at that for this, uh, commissioner Page. 01:39:29.266 --> 01:39:38.300 I know you wanted to speak. Got it. Thank you, President. 01:39:38.300 --> 01:39:42.734 appreciate you. Well, let me start by saying there’s a 01:39:42.734 --> 01:39:46.900 couple of us that are new on council, so we had a deep dive 01:39:46.900 --> 01:39:54.467 into this, um. So. I’m going to do my best to speak clearly. So 01:39:54.467 --> 01:39:59.667 it’s transparent. And what I think the residents need to 01:39:59.667 --> 01:40:02.934 know first and foremost, we are only here for you. That is the 01:40:02.934 --> 01:40:10.467 reason. We have delayed, delayed, delayed. Your passion 01:40:10.467 --> 01:40:18.834 when Aon came in. is very strong. was very forceful. And 01:40:18.834 --> 01:40:24.300 very desperate, and I understand that. But this is 01:40:24.300 --> 01:40:26.900 what matters is the group over here and a couple of you are on 01:40:26.900 --> 01:40:30.100 that side. It’s like at a wedding, someone’s picking the 01:40:30.100 --> 01:40:33.467 groom. Someone’s picking the bride, but we pick you for the 01:40:33.467 --> 01:40:38.734 residents. This is one of the most complicated things that 01:40:38.734 --> 01:40:43.634 I’ve ever been involved in. And I know personally speaking to 01:40:43.634 --> 01:40:48.767 each one of the council members, most of the council members. We 01:40:48.767 --> 01:40:53.000 have dissected this to understand what does it mean? 01:40:53.000 --> 01:40:56.800 In fairness to our nonprofits that are helping our residents. 01:40:56.800 --> 01:41:00.500 I was invited to a camp, all of us were actually who were 01:41:00.500 --> 01:41:04.300 running were invited to a forum in the summer. And that very 01:41:04.300 --> 01:41:08.166 question came in and it was co-sponsored by Acer about 01:41:08.166 --> 01:41:11.233 Huntington. So they did know about it. They did understand 01:41:11.233 --> 01:41:14.834 the concern. People do know it’s a problem. But nobody 01:41:14.834 --> 01:41:20.367 knows what to do with it. Right? And we keep asking for more 01:41:20.367 --> 01:41:24.634 time and that’s, you know, a problem for you guys and we’re 01:41:24.634 --> 01:41:27.166 so thankful that the lenders waiting, they don’t know what 01:41:27.166 --> 01:41:30.033 to do either. The reality is, is none of us knew exactly what 01:41:30.033 --> 01:41:36.300 to do, but I think through the extra time. I think through the 01:41:36.300 --> 01:41:39.100 extra layers being peeled, and I think through the, the 01:41:39.100 --> 01:41:45.367 understanding. We have experts in housing on this council. We 01:41:45.367 --> 01:41:52.367 have experts in life, in displacement, in trades, um. I 01:41:52.367 --> 01:41:55.133 don’t know everyone’s background, but I, I grew up in 01:41:55.133 --> 01:41:58.200 the same situation. We didn’t have money. You had to pick, 01:41:58.200 --> 01:42:01.467 was it going to be the rent or was it going to be food? We did 01:42:01.467 --> 01:42:04.734 all of that, right? And that creates fire, that creates 01:42:04.734 --> 01:42:07.634 motivation, and we’re all hard workers, so no one’s saying 01:42:07.634 --> 01:42:12.634 that no one isn’t. But we have to understand that this problem 01:42:12.634 --> 01:42:15.834 that has been following us for years and years and years is 01:42:15.834 --> 01:42:18.500 going to follow the next generation and the generation 01:42:18.500 --> 01:42:26.467 afterwards. Simply staying in your apartment. Tells some 01:42:26.467 --> 01:42:29.667 people that you accept substandard conditions. It 01:42:29.667 --> 01:42:33.367 tells some people that you’re OK with the bare minimum, and 01:42:33.367 --> 01:42:36.100 it tells some people that it’s way better than it was before, 01:42:36.100 --> 01:42:40.367 so we’re OK. And that isn’t how it is. Those aren’t the other 01:42:40.367 --> 01:42:44.634 calls and emails that we’re getting. We are hearing about 01:42:44.634 --> 01:42:52.634 pests, rodents, crime. Domestic violence. Theft Every day So we 01:42:52.634 --> 01:42:55.533 want you to know that we’re thinking about you and that you 01:42:55.533 --> 01:42:59.767 deserve more. And I think that some people just got into it 01:42:59.767 --> 01:43:03.300 for the right reasons, but it was too big of a project. And 01:43:03.300 --> 01:43:07.300 people didn’t make tough decisions before. So, that 01:43:07.300 --> 01:43:11.300 being said, I didn’t appreciate laughing when the slides came 01:43:11.300 --> 01:43:14.467 up from this side over here. I did not appreciate that because 01:43:14.467 --> 01:43:16.900 we all deserve respect. It’s not funny, and I take it very 01:43:16.900 --> 01:43:19.500 seriously. So I want to say that first and foremost. If you 01:43:19.500 --> 01:43:22.734 want to see me afterwards and explain why you were laughing, 01:43:22.734 --> 01:43:26.767 very happy to see the misunderstanding. That’s number 01:43:26.767 --> 01:43:32.033 12, forceful. This, this, this, and talking loud. Just because 01:43:32.033 --> 01:43:34.000 you talk loud doesn’t mean the problem’s going to go away or 01:43:34.000 --> 01:43:37.200 we’re going to go in a certain direction. We’re going to talk 01:43:37.200 --> 01:43:40.934 loud and fight hard for you guys and what you deserve, and 01:43:40.934 --> 01:43:44.100 everyone here has talked over and over and over about it. 01:43:44.100 --> 01:43:46.400 There’s so much we’ve discovered. There’s so much 01:43:46.400 --> 01:43:51.200 we’ve learned, but there’s more to learn. We do need more time. 01:43:51.200 --> 01:43:55.834 We do need to figure out because no decision is going to 01:43:55.834 --> 01:43:59.200 go great for everybody. That’s just the way it is. So you have 01:43:59.200 --> 01:44:02.767 people on your side that are paid to limit your liability. 01:44:02.767 --> 01:44:06.567 That’s our job. We’re not paid that much, but we’re here to 01:44:06.567 --> 01:44:10.834 limit your liability, limit your displacement. Is it a bad 01:44:10.834 --> 01:44:14.567 thing if it’s displacement if you’re in a better living 01:44:14.567 --> 01:44:18.400 situation, a safer living situation. We have to have 01:44:18.400 --> 01:44:22.133 those real conversations. So, All of this says I don’t have 01:44:22.133 --> 01:44:26.300 the answers, but I do know that I would like a little bit more 01:44:26.300 --> 01:44:31.634 time to talk about those other branches, we’ll say, right? 01:44:31.634 --> 01:44:35.000 Where a city of trees, we need a lot of branches to keep our 01:44:35.000 --> 01:44:38.667 roots down. I’ll use all the analogies here. I do think we 01:44:38.667 --> 01:44:40.734 need just a little bit more time, but I do not believe we 01:44:40.734 --> 01:44:44.500 need a lot of time because I think most of it is on the 01:44:44.500 --> 01:44:50.467 table. Um And everyone who’s emailed the last two weeks, we 01:44:50.467 --> 01:44:55.266 hear you, we see you. I can go on and on about Blue Line like 01:44:55.266 --> 01:44:58.900 I did the last meeting, this one will be about um. 01:44:58.900 --> 01:45:04.233 Huntington It’s not a good answer for anyone, but I need 01:45:04.233 --> 01:45:09.233 you guys to know. It took me 3 months to like even sort of 01:45:09.233 --> 01:45:12.767 catch up to what’s going on. I don’t expect you guys who are 01:45:12.767 --> 01:45:16.000 working really hard, who aren’t getting clear communication to 01:45:16.000 --> 01:45:20.767 understand it because it’s complicated at best. So I think 01:45:20.767 --> 01:45:25.634 um it would be my thought that we need to Really set a date to 01:45:25.634 --> 01:45:29.266 this, but we do need a little time to explore some of the 01:45:29.266 --> 01:45:35.133 options, um, On the, there’s new information we just got 01:45:35.133 --> 01:45:37.934 yesterday in regards to or in within the last couple of days 01:45:37.934 --> 01:45:43.166 in regards to some possible repayment, um, I. I think like 01:45:43.166 --> 01:45:48.634 One of our council members says $450,000 that’s a lot of money, 01:45:48.634 --> 01:45:51.867 um, we’re not getting paid most of our stuff anyway, and I will 01:45:51.867 --> 01:45:56.100 say, Brooklyn Park assisted in putting that fence around, that 01:45:56.100 --> 01:46:00.400 property. Brooklyn Park. The police, our chief and that 01:46:00.400 --> 01:46:02.533 whole department stepped up and said, we’ve got to get a hold 01:46:02.533 --> 01:46:05.400 of this. We are going to community engage. Brooklyn Park 01:46:05.400 --> 01:46:09.500 did that. So I want to give credit to those folks, you’re 01:46:09.500 --> 01:46:14.667 still in Brooklyn Park and we’re still here for you. So, 01:46:14.667 --> 01:46:16.467 We can’t control who buys it, what they’re going to do, how 01:46:16.467 --> 01:46:19.734 they’re going to do it. We can’t control what’s going to 01:46:19.734 --> 01:46:23.834 happen from here. But just know we are thinking about all of 01:46:23.834 --> 01:46:27.567 those options. And it’s going to put some people in a bad 01:46:27.567 --> 01:46:31.834 mood. But we understand how serious it is. We know it 01:46:31.834 --> 01:46:36.567 affects your lives, um, and we are thinking of you. And I know 01:46:36.567 --> 01:46:38.834 we have other residents over here so I’m looking at you guys 01:46:38.834 --> 01:46:43.000 as well. We We’re working really hard to understand all 01:46:43.000 --> 01:46:55.300 of it, and so. That is all that I have for today. Commissioner. 01:46:55.300 --> 01:46:59.634 Thank you, President. Oh man, I haven’t. spoken this whole day, 01:46:59.634 --> 01:47:04.467 so my throat’s kind of dry, but um, I really wanted to just say 01:47:04.467 --> 01:47:06.767 for the record, I know that I’ve been really quiet today, 01:47:06.767 --> 01:47:14.467 but that’s because I really don’t know. What to do. As of 01:47:14.467 --> 01:47:18.233 right now, um, and so I just really wanted to be honest with 01:47:18.233 --> 01:47:21.567 everyone here. That’s why I’ve been really quiet, um. But it 01:47:21.567 --> 01:47:26.867 just because I don’t know where I currently stand, um, and what 01:47:26.867 --> 01:47:29.467 route to follow through with doesn’t mean that I’m not 01:47:29.467 --> 01:47:31.634 thinking about it, OK? I think about this when I’m in the 01:47:31.634 --> 01:47:34.934 shower, literally. I think about this before I go to sleep 01:47:34.934 --> 01:47:42.734 and I’m being very, very honest with that statement. Um, And I 01:47:42.734 --> 01:47:47.767 think I am. Very much in the same spot as where the council 01:47:47.767 --> 01:47:54.033 is, um, in which I really don’t feel confident in making a 01:47:54.033 --> 01:47:58.900 decision tonight, um, I would appreciate tabling it, um. And 01:47:58.900 --> 01:48:04.734 I know that, you know, we are on a limited time, um. But I 01:48:04.734 --> 01:48:09.033 will be very honest that Every single time, Huntington gets 01:48:09.033 --> 01:48:13.400 brought up. So does new information about it. And it 01:48:13.400 --> 01:48:19.734 takes me a while to digest it each time. um, and so As of 01:48:19.734 --> 01:48:23.467 right now, today, the new information is coming from the 01:48:23.467 --> 01:48:26.567 tenants and residents, and so I’m taking time to digest that 01:48:26.567 --> 01:48:32.000 as well now too, um. And so I just wanted to be very 01:48:32.000 --> 01:48:35.100 completely honest and firm that as of right now, if you were to 01:48:35.100 --> 01:48:38.400 ask me what my decision is, I will tell you flat out I do not 01:48:38.400 --> 01:48:43.133 know, and I hope that that is something that, um, you know, 01:48:43.133 --> 01:48:45.867 we could all respect is that it’s OK to not know, and I 01:48:45.867 --> 01:48:51.834 promise you, no one knows right now. How to resolve this, but 01:48:51.834 --> 01:48:56.000 my hope is that We could walk out of it with a win-win 01:48:56.000 --> 01:48:59.900 situation. Who knows? We can’t read into the future, um, but 01:48:59.900 --> 01:49:02.533 then that’s exactly why I do not feel confident in making a 01:49:02.533 --> 01:49:05.000 decision tonight. And so I just wanted to really make that 01:49:05.000 --> 01:49:08.934 clear and let you guys know that although I’m not speaking 01:49:08.934 --> 01:49:11.567 much right now. Um, this is what’s currently going through 01:49:11.567 --> 01:49:15.533 my mind, um, and that I am not just, you know, sitting up here 01:49:15.533 --> 01:49:19.500 just to sit up here. I am hearing you all. I am listening 01:49:19.500 --> 01:49:24.266 and my brain. is turning right now, OK, I am trying my best. 01:49:24.266 --> 01:49:30.767 So I just wanted to state that at least. Um, so I see, uh, 01:49:30.767 --> 01:49:34.100 Commissioner Klinowski, I would say this, I think um it’s gonna 01:49:34.100 --> 01:49:37.166 get table, I would say there needs to be aggressive timeline 01:49:37.166 --> 01:49:42.000 because we are up against the clock, and I understand that um 01:49:42.000 --> 01:49:44.634 I’m just gonna to level set with residents and um at 01:49:44.634 --> 01:49:47.367 Huntington Place. I get that you want to have a ton of 01:49:47.367 --> 01:49:51.000 feedback. I don’t know if the clock. takes in a week, I don’t 01:49:51.000 --> 01:49:55.233 know if it’s 2 weeks, right? I don’t know if it’s a month, um. 01:49:55.233 --> 01:49:59.100 Uh, the input is going to be secondary to what that reality 01:49:59.100 --> 01:50:01.900 is regarding the, the investor and the folks that hold the 01:50:01.900 --> 01:50:04.867 loan, that’s just the reality of the situation that we are 01:50:04.867 --> 01:50:09.200 existing in and what we are, uh, looking to make a decision 01:50:09.200 --> 01:50:14.233 within that very realistic, um, uh, uh, within that time frame. 01:50:14.233 --> 01:50:18.767 Uh, the other piece I will say is that, um, from my 01:50:18.767 --> 01:50:23.567 perspective, I don’t have an issue if um we are getting an 01:50:23.567 --> 01:50:30.100 assurance of 450K, but Plus, when we talk about the, um, the 01:50:30.100 --> 01:50:34.300 HUD funding. I know that there’s Some skepticism around 01:50:34.300 --> 01:50:37.467 whether that’s real or not. What we’re hearing is that, you 01:50:37.467 --> 01:50:40.233 know, from Doctor Johnson is that it seems like it’s quite 01:50:40.233 --> 01:50:43.233 possible. The staff is saying we want to make sure we have 01:50:43.233 --> 01:50:47.100 some more assurances around that. I think that piece is, um, 01:50:47.100 --> 01:50:51.867 much more of a win, but I think, again, there has to be some 01:50:51.867 --> 01:50:56.000 real understanding of Is this a very real possibility that we 01:50:56.000 --> 01:50:58.367 can get that funding back because then that puts us, that 01:50:58.367 --> 01:51:02.000 makes, that makes the city whole, right? Uh, but I think 01:51:02.000 --> 01:51:06.734 even if that is a reality, the 450 and then the 4 was the 4 01:51:06.734 --> 01:51:12.033 million with HUD. I think there’s a uh situation where 01:51:12.033 --> 01:51:14.767 county and state needs to come forward and say, if that goes 01:51:14.767 --> 01:51:20.634 through, Um, to commissioner Page’s point to other people’s 01:51:20.634 --> 01:51:24.300 points, that quality of living has to go up. It’s got to go up 01:51:24.300 --> 01:51:28.100 You know, when I, when I went and advocated for dollars when, 01:51:28.100 --> 01:51:31.767 when, when I supported dollars from the feds, right? Part of 01:51:31.767 --> 01:51:34.367 my understanding was that was going to be invested in. I 01:51:34.367 --> 01:51:36.567 understand a very real economic reality that AM was dealing 01:51:36.567 --> 01:51:39.233 with. But my understanding was that some of those basic things 01:51:39.233 --> 01:51:42.900 were going to be um improved and addressed that quality of 01:51:42.900 --> 01:51:46.233 living means a lot to me. Because y’all think I’m, I hope 01:51:46.233 --> 01:51:48.867 you don’t think I’m BSing but when I look at some of y’all 01:51:48.867 --> 01:51:52.100 out there in the crowd, you literally look like my cousins. 01:51:52.100 --> 01:51:58.634 artists. You know, it’s a reality, right? So it’s very 01:51:58.634 --> 01:52:05.133 much close to what I knew, uh, Uh, what I saw, um, Growing up, 01:52:05.133 --> 01:52:09.166 and I, I don’t want to see some of that repeated. Uh, and so 01:52:09.166 --> 01:52:12.900 that quality of life piece from the county and from the state 01:52:12.900 --> 01:52:16.634 has to be addressed. They can’t just be about displacement. It 01:52:16.634 --> 01:52:20.467 has to be addressed otherwise you are saying you are state 01:52:20.467 --> 01:52:23.767 sponsoring how people get to live and you are creating 01:52:23.767 --> 01:52:26.367 policies that say you’re OK with it, and it needs to go in 01:52:26.367 --> 01:52:29.734 this direction. And then if that’s what the state is saying, 01:52:29.734 --> 01:52:33.166 they need to be very clear. Yeah, this is the choice we’re 01:52:33.166 --> 01:52:35.867 making. We’re comfortable with it, but don’t run away from it. 01:52:35.867 --> 01:52:39.767 Just say who you are. Political aspirations, whatever political 01:52:39.767 --> 01:52:43.367 aspirations folks have in the future, be very clear stating 01:52:43.367 --> 01:52:45.500 that you’re comfortable with people having a certain quality 01:52:45.500 --> 01:52:49.767 of life, or Make it different. So that piece is going to be 01:52:49.767 --> 01:52:54.033 important. Whatever particular deal or understanding we come 01:52:54.033 --> 01:52:56.734 through and y’all’s voices need to be very clear about that and 01:52:56.734 --> 01:53:00.900 the impact it has on your family, and the future health 01:53:00.900 --> 01:53:03.166 implications of that, that y’all may be dealing with. 01:53:03.166 --> 01:53:07.100 You’re gonna have to advocate for that piece. That’s, that’s 01:53:07.100 --> 01:53:08.734 incredibly important for you to know that piece. So I’m not 01:53:08.734 --> 01:53:12.367 gonna Uh, I’m not gonna belabor this, but I would say from 01:53:12.367 --> 01:53:15.900 staff, that seems like the thing that would make people 01:53:15.900 --> 01:53:19.200 the most happy, but to Commissioner Page’s point to a 01:53:19.200 --> 01:53:24.200 lot of the other council, um, no, uh, definitive decision 01:53:24.200 --> 01:53:26.734 should not be made today until those things, whether it’s 3 01:53:26.734 --> 01:53:29.033 days from now or 1 week from now, because I get on the clock. 01:53:29.033 --> 01:53:34.033 Right? Those things need to be looked into fairly quickly to 01:53:34.033 --> 01:53:39.467 to to make this happen. Um, commissioner Kanowski. Thank 01:53:39.467 --> 01:53:45.300 you, President. Um, I did want to say to, um, the president’s 01:53:45.300 --> 01:53:50.233 point earlier regarding the state. Being more present in 01:53:50.233 --> 01:53:54.867 future solutions, there’s been a lot of investment in the past, 01:53:54.867 --> 01:53:58.734 obviously been impactful, um, but there are NOA funds, as was 01:53:58.734 --> 01:54:01.834 discussed, that, that we’ve been told there could be a 01:54:01.834 --> 01:54:05.500 pathway to put towards this project or this, this complex. 01:54:05.500 --> 01:54:09.834 So really like to hold those, the housing commissioner’s feet 01:54:09.834 --> 01:54:12.533 to the fire in regards to that and find a pathway to do that. 01:54:12.533 --> 01:54:15.734 That money has been out there. It was bonded for ages ago and 01:54:15.734 --> 01:54:19.500 hasn’t been allocated to anybody. So it’d be great to 01:54:19.500 --> 01:54:22.634 get a significant investment in Huntington. Again, as to a lot 01:54:22.634 --> 01:54:25.367 of people are saying for the quality of life for the people 01:54:25.367 --> 01:54:30.767 that will reside there. I also just want to say too, uh, 01:54:30.767 --> 01:54:34.100 behind the scenes there has been a lot of our homework done 01:54:34.100 --> 01:54:38.100 rapidly. There’s been a lot of meetings to try to figure out 01:54:38.100 --> 01:54:41.000 the best possible solution to limit displacement, to limit, 01:54:41.000 --> 01:54:49.000 um, The default option because it is, it is not a good 01:54:49.000 --> 01:54:52.133 solution for the city of Brooklyn Park if that property 01:54:52.133 --> 01:54:55.467 goes into default, we don’t know who would buy it. It would 01:54:55.467 --> 01:54:58.567 be a, a completely unknown, um, the, the group looking to 01:54:58.567 --> 01:55:02.133 purchase it could get it for even cheaper, a different 01:55:02.133 --> 01:55:05.000 entity could come in. The current buyer has indicated 01:55:05.000 --> 01:55:08.233 that they intend to maintain the security presence to have 01:55:08.233 --> 01:55:11.867 the, the gate as has been and to invest in the property. We 01:55:11.867 --> 01:55:15.000 don’t have that assurance from Anybody else. We don’t know who 01:55:15.000 --> 01:55:16.634 would come in to buy it. It could be someone that comes in 01:55:16.634 --> 01:55:22.533 to buy it and wants to leave it as is invest no dollars, not 01:55:22.533 --> 01:55:26.166 have security. So we talk about postponing a vote and I 01:55:26.166 --> 01:55:30.133 understand the, the desire to do that. I don’t think that’s 01:55:30.133 --> 01:55:33.767 prudent. Um, we have some options on the table that I 01:55:33.767 --> 01:55:39.000 think are in the best interests of the city, they’re pragmatic. 01:55:39.000 --> 01:55:41.634 They help the residents that are there and will be staying 01:55:41.634 --> 01:55:45.567 there to get the investment in their quality of living on the 01:55:45.567 --> 01:55:51.834 property. I do think we should be considering strongly the 01:55:51.834 --> 01:55:54.467 $450,000 offer, as well as the HUD. We don’t know what’s going 01:55:54.467 --> 01:55:58.367 to happen with the federal government. I feel, I fear that 01:55:58.367 --> 01:56:02.533 taking too long is going to put this potential for foreclosure, 01:56:02.533 --> 01:56:04.567 way closer than anyone’s comfortable with, and then no 01:56:04.567 --> 01:56:08.900 one has a say in anything. And we’re a passenger, the city 01:56:08.900 --> 01:56:12.634 loses all of our ability to have a say in anything at that 01:56:12.634 --> 01:56:17.900 point. We get no money, we get no HUD. And we just get to live 01:56:17.900 --> 01:56:20.100 with the consequences of that, as do the residents. I don’t 01:56:20.100 --> 01:56:23.634 think that’s a viable option. I had seen some conversation 01:56:23.634 --> 01:56:28.734 about a co op. We’re in discussions with a group that 01:56:28.734 --> 01:56:32.367 develops co-ops intentionally, the financing for a co op is 01:56:32.367 --> 01:56:38.767 extremely complicated. 36 acres, 800 and some units to go co op 01:56:38.767 --> 01:56:42.500 would probably take years and not even happen. We don’t have 01:56:42.500 --> 01:56:46.467 that luxury to do it, um, and, and that’s unfortunate because 01:56:46.467 --> 01:56:49.000 I think co-ops are one of the best ways for people living in 01:56:49.000 --> 01:56:51.100 the buildings to have the most say over their living 01:56:51.100 --> 01:56:54.100 conditions and to build equity. I honestly just don’t think 01:56:54.100 --> 01:56:58.033 that that’s even a remote possibility. Coming up with the 01:56:58.033 --> 01:57:01.367 the capital to buy this property is going to be an 01:57:01.367 --> 01:57:08.166 enormous lift. For any investor. I do believe Aon spent months 01:57:08.166 --> 01:57:11.367 Searching for an investor to buy this property, to keep it 01:57:11.367 --> 01:57:15.233 out of a default. Us sitting here and saying we don’t have 01:57:15.233 --> 01:57:17.300 enough information and we have been talking about this for 01:57:17.300 --> 01:57:20.133 months and have now been presented with an actual 01:57:20.133 --> 01:57:23.834 opportunity to get our money back in some way. Actually 01:57:23.834 --> 01:57:28.634 making a little bit of money on the deal with $450,000 01:57:28.634 --> 01:57:31.634 potentially along with the 4 million. I don’t know what else 01:57:31.634 --> 01:57:35.033 we’re waiting for, um, so I think we should have an honest 01:57:35.033 --> 01:57:37.133 discussion about calling a vote on this tonight. What’s, why 01:57:37.133 --> 01:57:40.734 are we kicking this conversation further down when 01:57:40.734 --> 01:57:45.100 we’re not being presented with anything better than This. So 01:57:45.100 --> 01:57:48.367 the only thing I would say to the 450 plus the HUD, right, is 01:57:48.367 --> 01:57:51.467 that I just want to make sure that if we put that forward, 01:57:51.467 --> 01:57:55.667 they are assurances around that hu. Um, and so when we and 01:57:55.667 --> 01:57:57.500 attorney sat there I know that you speak, but I think, and 01:57:57.500 --> 01:58:00.500 maybe if you could speak to this, but I think for me, I 01:58:00.500 --> 01:58:03.800 don’t have an issue voting on that piece. I, but I don’t want 01:58:03.800 --> 01:58:09.033 to say 450. We vote on it. Now we’re held to that vote and 01:58:09.033 --> 01:58:11.367 then we don’t have any insurances around leveraging 01:58:11.367 --> 01:58:15.367 and making sure that that HUD, if it is, if it is able to be 01:58:15.367 --> 01:58:17.634 allocated to us that it is allocated. I think that is my 01:58:17.634 --> 01:58:21.834 my one hang up, which is I just want to make sure that that 01:58:21.834 --> 01:58:25.033 language or that possibility is there. And maybe that’s maybe 01:58:25.033 --> 01:58:28.367 that’s a, uh 2 to 3 day, I don’t know, sad thing might say, 01:58:28.367 --> 01:58:32.100 Are you crazy? But, but, um, but I think that would be my 01:58:32.100 --> 01:58:34.166 concern is I don’t want to vote on something, be held to that, 01:58:34.166 --> 01:58:37.467 and then we lose our leverage to ensure that that HUD will 01:58:37.467 --> 01:58:40.467 come back to the city. So attorneys said that, uh, 01:58:40.467 --> 01:58:44.300 President Winston, I was hoping to earn my uh fee here today by 01:58:44.300 --> 01:58:46.467 uh suggesting basically exactly what you just said, you just 01:58:46.467 --> 01:58:50.266 hopped in right before I did. Um, so I would, I was just 01:58:50.266 --> 01:58:55.000 gonna bring up the the two things. One, you know, the two 01:58:55.000 --> 01:58:58.133 kind of procedural actions moving forward. take no action, 01:58:58.133 --> 01:59:01.634 just direct staff. So no action on the resolution doesn’t do 01:59:01.634 --> 01:59:04.000 anything, um, and you would direct them to come back or you 01:59:04.000 --> 01:59:08.834 can table to a date certain, um, to come back, you know, the 01:59:08.834 --> 01:59:11.100 city has meets weekly. We can call special meetings to do 01:59:11.100 --> 01:59:16.934 that. Uh, the thing that I, uh, as you’ve sort of alluded to, 01:59:16.934 --> 01:59:22.166 including some forgiveness of the loan contingent upon X and 01:59:22.166 --> 01:59:24.467 X being some relationship with the HUD loan. I would want to 01:59:24.467 --> 01:59:28.567 include that in the approval and I would not want to come up 01:59:28.567 --> 01:59:31.233 with that language on the fly, uh, here tonight, so I’d want 01:59:31.233 --> 01:59:34.500 to bring that back in the res in a resolution that looks. You 01:59:34.500 --> 01:59:39.400 know, very similar to this just with an additional. provision 01:59:39.400 --> 01:59:43.000 in there regarding the HUD or the the money that we’re 01:59:43.000 --> 01:59:44.867 talking about here at they say the hi bunny, but I want to 01:59:44.867 --> 01:59:47.834 make sure that the director Gladhill’s comfortable with 01:59:47.834 --> 01:59:51.500 that phraseology as well, um, so that would be my 01:59:51.500 --> 01:59:54.367 recommendation and again, the city can move quickly, uh, 01:59:54.367 --> 01:59:56.900 being call special meetings if necessary to approve those 01:59:56.900 --> 01:59:59.800 things and the city meets weekly already as you obviously 01:59:59.800 --> 02:00:04.934 know, so. And Mr. President, if I could add, I agree with that, 02:00:04.934 --> 02:00:08.734 and if we can make that happen, I agree and Don’t like to do 02:00:08.734 --> 02:00:11.834 too much designing at the das, so if we have time to kind of 02:00:11.834 --> 02:00:14.634 bring that back. A couple things come to mind though, the 02:00:14.634 --> 02:00:18.367 primary lender did make it known to me anyway that if you 02:00:18.367 --> 02:00:22.100 get the $4 million the $450 is off the table. That doesn’t 02:00:22.100 --> 02:00:24.734 mean we have to accept that, but I just want you to be aware 02:00:24.734 --> 02:00:28.934 that it was either or, not both, um, at least from their 02:00:28.934 --> 02:00:32.200 perspective now, we can make that our offer and see how they 02:00:32.200 --> 02:00:36.367 react. I, I don’t know how they will react. Secondly, for 02:00:36.367 --> 02:00:39.000 scheduling, um, just so you were aware. Maybe we can turn 02:00:39.000 --> 02:00:42.867 that around for a special meeting next week, um, which is 02:00:42.867 --> 02:00:47.133 a regular council meeting we could quick meet as EDA. Um, 02:00:47.133 --> 02:00:51.400 March 31st, a lot of our staff is out for a conference, not in 02:00:51.400 --> 02:00:54.033 town, myself included. Now we can have others do it. I can 02:00:54.033 --> 02:00:56.667 try to join remotely, I just want you to be aware. I will 02:00:56.667 --> 02:01:00.533 not be here on March 31st, if you want to be there for that 02:01:00.533 --> 02:01:03.000 type of decision, but if we get the right direction we need 02:01:03.000 --> 02:01:05.166 tonight, and it’s more procedural, that’s OK. We’ve 02:01:05.166 --> 02:01:14.233 got plenty of staff that can stand in my place. OK, I, I 02:01:14.233 --> 02:01:18.133 would, you know, um, well, I’ll say my piece after Commissioner 02:01:18.133 --> 02:01:26.000 Page. OK, so I don’t know how to ask this, so I’m just going 02:01:26.000 --> 02:01:29.767 to say it. So it’s either or of the 450 or the 4 million. But 02:01:29.767 --> 02:01:34.033 yeah, you want to put the 4 million to Zane wood. Yeah, so 02:01:34.033 --> 02:01:38.834 there’s option 1 and option 2. Option 2 is you take that $4 02:01:38.834 --> 02:01:40.867 million federal grant apply it to Zanwood. Why wouldn’t we put 02:01:40.867 --> 02:01:45.900 it back into the property? That that’s a choice this commission 02:01:45.900 --> 02:01:49.200 can make if we found an opportunity to repurpose that 02:01:49.200 --> 02:01:52.100 we, we could look at that, how we were directed in the past to 02:01:52.100 --> 02:01:55.834 look at that as an opportunity and continue to explore it and 02:01:55.834 --> 02:01:59.200 that’s not a term of like forgiveness of the. Majority of 02:01:59.200 --> 02:02:04.033 the loan. To put those funds into, I mean, they’re. Run by 02:02:04.033 --> 02:02:08.166 Aon, right? Or how does that work now? The dollars are from 02:02:08.166 --> 02:02:11.367 the federal government administered by HUD. And so it 02:02:11.367 --> 02:02:15.100 was a very broad term. It’s transforming Huntington. So if 02:02:15.100 --> 02:02:18.834 we can make the argument, HUD staff seems to think we’ve got 02:02:18.834 --> 02:02:23.533 a good case that improving Zanewood helps transform 02:02:23.533 --> 02:02:27.367 Huntington. Now, if you want us as an EDA to explore not doing 02:02:27.367 --> 02:02:31.734 that but use the $4 million directly in Huntington, we can 02:02:31.734 --> 02:02:34.300 explore that as well, but that’s not been our previous. 02:02:34.300 --> 02:02:39.567 Has anyone thought about that or is there, and again, 02:02:39.567 --> 02:02:45.533 learning so that. Mr. President, commissioners, we haven’t 02:02:45.533 --> 02:02:48.734 reviewed that in great detail, um, based off of previous 02:02:48.734 --> 02:02:58.367 conversations. And I, I I don’t feel confident with the 02:02:58.367 --> 02:03:04.767 information, um. And I’m concerned that some of our 02:03:04.767 --> 02:03:07.567 representatives are not here now to hear this entire 02:03:07.567 --> 02:03:11.233 discussion because it’s who we need help from, so. I don’t 02:03:11.233 --> 02:03:16.033 know that I have enough information. I’m gonna let this 02:03:16.033 --> 02:03:19.734 go. So what I would say is that the reason that that the 4 02:03:19.734 --> 02:03:22.900 million would go to Zanewood is that we, we want the money back. 02:03:22.900 --> 02:03:26.634 So if we give it directly back to, yeah, that’s how we get it 02:03:26.634 --> 02:03:28.767 back. We get it back and we can do something with it. Whereas 02:03:28.767 --> 02:03:35.166 if it goes directly to to uh Huntington Place. We don’t know, 02:03:35.166 --> 02:03:38.500 right? So that, that’s the best way I can say it, um, 02:03:38.500 --> 02:03:43.767 commissioner Klolowski. Thank you, President, and thank you 02:03:43.767 --> 02:03:47.500 for the let’s draft it properly, get it done, have a special 02:03:47.500 --> 02:03:50.166 meeting if required, um, but I do think the direction should 02:03:50.166 --> 02:03:55.533 be to Talk about getting the 450,000 as well as the 4 02:03:55.533 --> 02:03:58.233 million and perhaps Doctor Johnson can put some of his 02:03:58.233 --> 02:04:03.634 weight in there, um. If we have some of that money, we also 02:04:03.634 --> 02:04:07.100 have some reserves to help with, uh, future improvements or 02:04:07.100 --> 02:04:10.800 things that may be needed down the road at Huntington as well, 02:04:10.800 --> 02:04:15.300 but I would like us to explore, seeing if we can negotiate to 02:04:15.300 --> 02:04:19.367 get those two. As part of an agreement contingent for any 02:04:19.367 --> 02:04:25.467 loan forgiveness. That we are that’s my direction of the 02:04:25.467 --> 02:04:30.734 council wants to get your name that. Thank you. Mm I, I would 02:04:30.734 --> 02:04:37.033 agree with that direction, um. But Commissioner McGarvey. 02:04:37.033 --> 02:04:43.500 Thank you, Mr. President. I was just gonna ask if we can um We 02:04:43.500 --> 02:04:48.867 can postpone this for 72 hours. Instead of waiting till next 02:04:48.867 --> 02:04:54.767 Monday or having a special call meeting, um. We’d need that 02:04:54.767 --> 02:04:58.533 amount of time to post it, right? That, that’s correct. 02:04:58.533 --> 02:05:01.467 You need to post, if you posted it today, it could be the 3rd 02:05:01.467 --> 02:05:07.033 day. Counting tomorrow’s day one. I’m, um, and the reason I 02:05:07.033 --> 02:05:14.634 bring that up is simply because You know, this is a very, this 02:05:14.634 --> 02:05:18.734 has been beaten to death, but it’s a very complicated 02:05:18.734 --> 02:05:25.767 situation, very For us. Not for Aon, not for mass capital. But 02:05:25.767 --> 02:05:33.266 for us, And um, I, I, I do understand the lenders’s 02:05:33.266 --> 02:05:37.734 position, and I don’t want to continue to tax. Their patience 02:05:37.734 --> 02:05:46.166 because $450,000 while not even close to the loan amount is a 02:05:46.166 --> 02:05:52.567 substantial. Um Olive branch in trying to expedite this. And so 02:05:52.567 --> 02:06:00.533 I, I, I Yeah, if we could do it in ’72 or 4 days, whatever 02:06:00.533 --> 02:06:03.667 number that is, math, not my strong suit, that’s why I’m a 02:06:03.667 --> 02:06:10.533 painter. Um, But Yeah, that’s my question. Can we do, can, 02:06:10.533 --> 02:06:14.767 can that be an option that we have? Thank you. So, Mr. 02:06:14.767 --> 02:06:18.500 President, so if we did, I mean, we got to get our our staff to 02:06:18.500 --> 02:06:21.634 be able to post and pull things together. So we’re talking 02:06:21.634 --> 02:06:27.100 mid-morning. By the time we get fast tracked. 72 hours is gonna 02:06:27.100 --> 02:06:30.934 push us into Friday afternoon. It’s the difference between 02:06:30.934 --> 02:06:34.133 Friday afternoon and Monday night. going to be the piece 02:06:34.133 --> 02:06:38.300 that makes this deal happen or not happen. I question if we’re 02:06:38.300 --> 02:06:41.100 gonna get a quorum on a Friday afternoon and spend the staff 02:06:41.100 --> 02:06:44.767 time to do it right. We would rather, or I should say I would 02:06:44.767 --> 02:06:48.000 rather do it Monday night as a special EDA meeting when we’re 02:06:48.000 --> 02:06:50.734 already meeting as a group for us to try to get it Friday 02:06:50.734 --> 02:06:53.300 afternoon. We can do virtual meetings, but that’s a lot of 02:06:53.300 --> 02:06:56.734 logistics, and I, I appreciate the offer. I just worry that 02:06:56.734 --> 02:07:02.867 we’re not gonna be able to pull that off. Yeah, I, I would lean 02:07:02.867 --> 02:07:07.166 towards that just because also I think uh. If we want to get 02:07:07.166 --> 02:07:10.634 the city and state, I mean the county and the state, um, some 02:07:10.634 --> 02:07:14.100 feedback from them or Amy, maybe even some assistants, we 02:07:14.100 --> 02:07:16.800 would probably need the the remainder of this week, uh, 02:07:16.800 --> 02:07:19.467 given that many of them are in session as well. Uh, 02:07:19.467 --> 02:07:30.100 Commissioner Page. Thank you, President. So. met with Small 02:07:30.100 --> 02:07:33.233 Business Center today to talk about business because I am in 02:07:33.233 --> 02:07:37.800 a way different business. So is it, we were at $0 and now we’re 02:07:37.800 --> 02:07:42.033 at 450,000, so. How do we get that number up so we can get 02:07:42.033 --> 02:07:48.834 this done. Mr. President, Commissioner, we can submit 02:07:48.834 --> 02:07:53.667 another counteroffer to what’s on the table right now, um. Not 02:07:53.667 --> 02:07:57.367 super confident in my conversations with both lenders, 02:07:57.367 --> 02:08:00.533 I think they feel that they extended already. Now whether 02:08:00.533 --> 02:08:03.300 or not we agree with that, that’s not the point, um, I, I 02:08:03.300 --> 02:08:05.934 don’t know how much room there is, but we can certainly ask, 02:08:05.934 --> 02:08:09.634 and I think what I’m hearing as a potential outcome here is 02:08:09.634 --> 02:08:13.533 that instead of upping that 450,000 instead of it being 02:08:13.533 --> 02:08:17.200 either or, it’s got to be both. So if consensus of this group 02:08:17.200 --> 02:08:20.867 is for staff to go back and counter offer with, OK, it’s 02:08:20.867 --> 02:08:24.166 gotta be both the 4 million and the 450. that should be the 02:08:24.166 --> 02:08:27.300 counter offer. I don’t you we can ask for anything else, but 02:08:27.300 --> 02:08:29.867 that might be the most palatable at this point. Is the 02:08:29.867 --> 02:08:42.900 lender here? No. OK They’re not local. Mhm I If you want to 02:08:42.900 --> 02:08:49.166 speak, you gotta come up here. Yeah. So, I guess if you wanted 02:08:49.166 --> 02:08:51.834 to say a few words, but a few minutes. I mean, I don’t know 02:08:51.834 --> 02:08:57.734 if you have capacity to negotiate on their behalf, but 02:08:57.734 --> 02:09:09.100 OK. So So I know Uh This is a lot. I don’t think that we want 02:09:09.100 --> 02:09:14.233 to kick this down the road and I’m not talking about the 02:09:14.233 --> 02:09:16.367 That’s necessity to create this language. I’m talking about 02:09:16.367 --> 02:09:18.500 long term. I don’t think we want to be revisiting this a 02:09:18.500 --> 02:09:23.300 year from now. I think that it makes sense to say to 02:09:23.300 --> 02:09:26.500 counteroffer with the 450K and the HUD loan and some 02:09:26.500 --> 02:09:29.266 assurances around that I being told that we can create some 02:09:29.266 --> 02:09:33.367 language that, that, uh, that can make that happen. So I 02:09:33.367 --> 02:09:36.634 think that would be uh the general direction that I would 02:09:36.634 --> 02:09:42.166 give for the special meeting to occur on Monday. And uh the 02:09:42.166 --> 02:09:45.367 folks to go to that meeting and disagree with it they vote it 02:09:45.367 --> 02:09:48.934 down, but that would be what I would say look into for that 02:09:48.934 --> 02:09:51.634 meeting on Monday because we are up against the timeline, um. 02:09:51.634 --> 02:10:00.233 And I think that if The Lender slash investor can can 02:10:00.233 --> 02:10:04.000 negotiate, right? Well, we can negotiate. And I think that 02:10:04.000 --> 02:10:09.233 allows us to get at least some assurance of 450, but it also 02:10:09.233 --> 02:10:12.467 says if that HUD comes through, we’re actually making out 02:10:12.467 --> 02:10:15.100 better as a city, and we’re able to do some of the things a 02:10:15.100 --> 02:10:18.300 little bit easier as a city that we were looking for and I 02:10:18.300 --> 02:10:21.000 from a resident perspective, I think that’s much more 02:10:21.000 --> 02:10:25.367 palatable as a resident to have that particular outcome. And Mr. 02:10:25.367 --> 02:10:29.000 President, so some of the extra funding that we heard about 02:10:29.000 --> 02:10:31.734 recently, I don’t think we’re going to hear definitively on 02:10:31.734 --> 02:10:35.467 those until after, so that’s future and seeing more 02:10:35.467 --> 02:10:38.667 investment from that buyer, so I, what we can control is 02:10:38.667 --> 02:10:42.367 hopefully a better answer in the 4 million, um, and then if 02:10:42.367 --> 02:10:45.000 the lender, the primary lender, sorry, I didn’t mean to 02:10:45.000 --> 02:10:47.133 discount the the secondary lender and the affiliation 02:10:47.133 --> 02:10:49.900 there, but the primary lender who initially made the counter 02:10:49.900 --> 02:10:53.567 offer, if they would allow those to be packaged together 02:10:53.567 --> 02:10:56.800 and we’ll expedite that as as best as possible, and we will 02:10:56.800 --> 02:10:58.467 draft the resolution because we probably won’t have the final 02:10:58.467 --> 02:11:04.266 answer on that $4 million that we are forgiving conditioned 02:11:04.266 --> 02:11:07.033 upon receiving those funds. So if that doesn’t happen, we have 02:11:07.033 --> 02:11:13.233 to come back. Commissioner Page, thank you. Thank you, President. 02:11:13.233 --> 02:11:16.467 Will you explain to me one more time the communication that 02:11:16.467 --> 02:11:25.533 you’ve had in regards to. The 450,000 and the Possible 4 02:11:25.533 --> 02:11:28.734 million. Yeah, so after the last Mr. President, 02:11:28.734 --> 02:11:33.000 Commissioner, after the last uh EDA work session where we got 02:11:33.000 --> 02:11:35.667 some good direction that based off what we knew at the time, 02:11:35.667 --> 02:11:38.900 we weren’t comfortable forgiving the lawn. Um, we did 02:11:38.900 --> 02:11:42.100 discuss about make our first offer, which was forgive the 02:11:42.100 --> 02:11:45.834 interest, keep the principal. That’s where they went back to 02:11:45.834 --> 02:11:48.100 the drawing board and started looking at what their 02:11:48.100 --> 02:11:50.634 counteroffer would be, and they said, you know what, this seems 02:11:50.634 --> 02:11:53.934 like more than what we should do, but we’re willing to do 02:11:53.934 --> 02:11:57.734 450,000 to have a quick settlement on that. Um, they 02:11:57.734 --> 02:12:00.266 had explained that if we look at what they were called 02:12:00.266 --> 02:12:04.500 capital stacks and magnitude of lost, you know, primary lender 02:12:04.500 --> 02:12:08.233 had far more than, you know, our 3.5 million, so they felt 02:12:08.233 --> 02:12:12.000 that our percentage should be less, but they were willing to 02:12:12.000 --> 02:12:15.834 extend beyond that to get, just get a resolution. They weren’t 02:12:15.834 --> 02:12:20.000 necessarily the primary lender wasn’t as aware of the $4 02:12:20.000 --> 02:12:22.734 million until that conversation, I said, by the way, we are 02:12:22.734 --> 02:12:26.367 looking at this other alternative that secure $4 02:12:26.367 --> 02:12:29.900 million that’s already been awarded to Aon for transforming 02:12:29.900 --> 02:12:33.834 Huntington, if we can get that, I think that’ll get our staff 02:12:33.834 --> 02:12:38.100 or our EDA closer to yes in this scenario. They’re coming 02:12:38.100 --> 02:12:41.834 at that point was, OK, we weren’t aware of that, but if 02:12:41.834 --> 02:12:45.100 that happens, we probably rescind our offer the 4450. 02:12:45.100 --> 02:12:48.300 They feel we’re better off with the 4 million, we come out too 02:12:48.300 --> 02:12:52.567 far ahead if we get the 4 million plus the 450. So that 02:12:52.567 --> 02:12:55.800 was their initial reaction on the fly. Now they’ve had some 02:12:55.800 --> 02:12:59.000 time to digest it, the worst they can say to this 02:12:59.000 --> 02:13:01.133 counteroffer that you’re all suggesting is no, and we’ll 02:13:01.133 --> 02:13:06.467 deal with that on Monday when we meet on this topic. Yeah, 02:13:06.467 --> 02:13:11.233 yeah, I think. You know, I’m not in their head, but if I can 02:13:11.233 --> 02:13:18.133 give some $100 and $450 to Close this deal which is. Some 02:13:18.133 --> 02:13:21.533 people emphatically made a point that this was so critical, 02:13:21.533 --> 02:13:24.100 right? That that’s what seemed like a, a pretty good deal to 02:13:24.100 --> 02:13:28.400 get that off their hands, um, and minimize that loss somewhat. 02:13:28.400 --> 02:13:32.567 So to me, it makes sense, um, and, and hopefully they’ll 02:13:32.567 --> 02:13:35.400 consider it, uh, otherwise it seems like they maybe they’re 02:13:35.400 --> 02:13:39.533 not as serious, right? So, um, I think we’ll leave it at that, 02:13:39.533 --> 02:13:44.900 with that piece. Um, so thank you, uh, um, thank you, Doctor 02:13:44.900 --> 02:13:48.100 Johnson. Thank you, residents for coming out. I know. that 02:13:48.100 --> 02:13:49.934 this can be stressful to sit through this and listen through 02:13:49.934 --> 02:13:54.467 it and go through it. So thank you. Um, Ayer, thank you, uh, 02:13:54.467 --> 02:13:57.734 for your work on this, uh, and then, um, Director Gladhill, 02:13:57.734 --> 02:14:02.634 thank you for going through the multiple, multiplicity of, of 02:14:02.634 --> 02:14:04.900 options on this piece as well. And then, uh, thank you too, 02:14:04.900 --> 02:14:09.100 she’s not here now, but um to our representative, um, Holder 02:14:09.100 --> 02:14:11.567 Hillsley for showing up and listening in on as much as this 02:14:11.567 --> 02:14:14.834 as she can during a busy session, uh, where she probably 02:14:14.834 --> 02:14:16.634 has to get home and take care of some things, so I appreciate 02:14:16.634 --> 02:14:22.734 that. As well. So, um, Uh, I think, uh, how, how important 02:14:22.734 --> 02:14:30.400 is it for us to get through um item. Uh, 7.1 today. 7.1 is 02:14:30.400 --> 02:14:33.467 that, we can skip the update. What I would suggest, Mr. Mayor, 02:14:33.467 --> 02:14:38.300 and the rest of the agenda is that we postpone action on the 02:14:38.300 --> 02:14:41.000 discussion on the small business support. We do have a 02:14:41.000 --> 02:14:44.734 guest speaker for the 41. Um, it was suggested that we just 02:14:44.734 --> 02:14:48.000 stay in this room at this point to kind of clear up that 02:14:48.000 --> 02:14:51.100 conversation. So if you’re OK with that, we’ll move to that 02:14:51.100 --> 02:14:54.100 41 conversation, which was a work session topic in here. So 02:14:54.100 --> 02:14:58.000 do we need to make a motion to, to, to skip those other items 02:14:58.000 --> 02:15:01.900 and move to 8.1. Uh, no, you as the parliamentarian can decide 02:15:01.900 --> 02:15:04.634 that you’re, you’re moving on. All right, so again, thanks 02:15:04.634 --> 02:15:09.767 everybody for showing up. We’re going to move to A to Adam to 02:15:09.767 --> 02:15:14.000 item, um, 8.2 just for full disclosure. I know that, uh, we 02:15:14.000 --> 02:15:16.200 have a special guest that’s gonna make, be making a 02:15:16.200 --> 02:15:18.867 presentation, so we may listen to the presentation and then we 02:15:18.867 --> 02:15:22.734 may come back for the remainder of this, um, out of respect for