Approval of Meeting Agenda
Approved unanimously
Dissent: None
Moved by Commissioner Pierce [5:05] · Seconded by Commissioner Jackson [5:05]
Chair Huband asked if anyone wished to modify the agenda. No modifications were proposed. Motion made to adopt agenda as published.
Approval of Consent Agenda (Excluding December 19, 2024 Minutes)
Approved unanimously
Dissent: None
Moved by Commissioner Pierce [7:44] · Seconded by Commissioner Jackson [7:44]
Commissioner Risser removed the December 19, 2024 minutes from the consent agenda for discussion. All other consent items were approved in a single motion.
December 19, 2024 HRA Meeting Minutes - Discussion and Approval
Approved unanimously
Dissent: None
Moved by Commissioner Risser [16:43] · Seconded by Commissioner Jackson [16:48]
Commissioner Risser raised two concerns: (1) the use of generic 'the board' language in minutes obscures which individual made specific suggestions, and (2) a proposal for City Council members to have office hours at 7201 Metro Boulevard (a private office building) was characterized as a board request when it was actually a suggestion from another entity's board. After discussion clarifying that the proposal was merely reported and that City Hall office space exists, commissioners agreed the minutes were accurate. Commissioner Risser noted a broader concern about minute-taking methodology and referenced prior discussions about adopting Minnetonka's more specific approach to attribution.
Election of HRA Officers for 2025
Approved unanimously
Dissent: None
Moved by Commissioner Jackson [18:05] · Seconded by Commissioner Pierce [18:05]
Executive Director Neil Scott presented the recommendation to continue the same slate of officers from the prior year: Mayor Huband as Chair, Commissioner Jackson as Vice Chair, and Commissioner Pierce as Secretary. No discussion or opposition was raised.
5146 Eden Avenue Redevelopment - Request for Proposal Strategy Discussion
Discussion only - no formal vote. Staff directed to prepare draft RFP incorporating commissioner feedback for presentation at next meeting.
Dissent: No formal dissent, but significant discussion of trade-offs between policy requirements and market flexibility.
Bill Noor, Economic Development Manager, presented a comprehensive framework for marketing the city's long-vacant public works site (5146 Eden Avenue) for redevelopment. The presentation outlined critical decision points the HRA must resolve before issuing an RFP: (1) Speed vs. Price - whether to prioritize quick sale or optimal project/price combination; (2) Policy Compliance - whether to enforce existing affordability and sustainability policies or offer waivers; (3) Ownership vs. Rental - whether to mandate for-sale housing (town homes, condos, co-ops) or accept rental proposals; (4) Amenities - whether to require a public park and restaurant or accept alternative uses like plazas and other commercial uses; (5) Zoning Approach - whether to pre-zone to PCD2 or maintain flexibility through post-sale PUD process; (6) Financing - whether to allow public financing (SPARK, TIF) or require private financing; (7) Revenue Disposition - whether sale proceeds go to HRA (for housing purposes) or City (for general fund/capital spending). Staff noted that market testing revealed strong interest in luxury town homes and rental apartments, modest interest in co-ops, and continued interest from Jester restaurant. Commissioners discussed balancing the desire for creative, mixed-use development with the practical need to close a deal and monetize the asset. Key tensions emerged between maintaining policy requirements and attracting developers, and between pre-zoning for certainty vs. maintaining flexibility for market-driven proposals.
HRA Year-End Review 2024 and Redevelopment Finance Analysis
Discussion and presentation only - no formal vote required. Commissioner Risser requested updated affordable housing compliance report at next meeting.
Dissent: None
Executive Director Neil Scott and Stephanie Hawkinson presented the annual HRA year-end review covering 2024 activities and financial performance. Key highlights included: (1) Completed Projects: Messan Green Apartments (conversion of vacant commercial to residential, demonstrating significant tax base growth and conversion from commercial to residential use reducing fiscal disparities impact) and First Bank and Trust (Pentagon Village). (2) Ongoing Challenges: Pentagon Village Lots 2 and 5 remain vacant and pending; hotel site mired in litigation with no start date and recently listed for sale. (3) TIF District Analysis: City maintains 12 active TIF districts representing 1.6% of tax base (low compared to peer communities); map showing district locations and school district boundaries to be posted on website. (4) Affordable Housing: Presentation showed dramatic increase in affordable housing units delivered after mandatory affordability policy was implemented and made enforceable through PUD process. (5) Long-term TIF Impact Analysis: Detailed case studies of Centennial Lakes (1988-2013, tax base grew from $250K to $3.6M), Nolan Mains (property was tax-exempt for 40+ years, now generates $1.2M annually), and Laurent (tax base grew 900% in 4 years) demonstrating that TIF-funded redevelopment generates substantial long-term tax revenue for schools and local government despite temporary revenue reduction during TIF period. (6) 7250 France Update: Office building project closed financing December 31, 2024; construction expected to begin in coming weeks with groundbreaking anticipated in spring. (7) Richfield School District Relationship: Clarified that only 2 of 12 TIF districts are in Richfield School District; HRA maintains good working relationship with Richfield superintendent; Richfield schools have been supportive of development.