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