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HomeMy WebLinkAboutCity Council - 04/04/2023 - HRAAPPROVED MINUTES HOUSING AND REDEVELOPMENT AUTHORITY TUESDAY, APRIL 4, 2023 7:00 PM, CITY CENTER Council Chamber 8080 Mitchell Road HOUSING AND REDEVELOPMENT AUTHORITY MEMBERS: Chair Ron Case, Council Members Mark Freiberg, PG Narayanan, Kathy Nelson, and Lisa Toomey CITY STAFF: City Manager Rick Getschow, Public Works Director Robert Ellis, Parks and Recreation Director Jay Lotthammer, Community Development Director Julie Klima, Finance Manager Tammy Wilson, and Acting City Attorney Joshua Dorothy I. ROLL CALL / CALL THE HRA MEETING TO ORDER Chair Case called the meeting to order at 7:00 PM. All HRA members were present. II. APPROVE MINUTES OF HRA MEETING HELD ON DECEMBER 6, 2022 MOTION: Toomey moved, seconded by Narayanan to approve the HRA minutes from December 6, 2022. Motion carried 5-0. III. ADOPT MODIFICATION TO TIF PLAN AND APPROVE AMENDED AND RESTATED TIF AGREEMENT FOR GTS HOUSING (BLUE STEM NORTH) (Resolution HRA No. 2023-01) Getschow explained the Tax Increment Financing (TIF) Plan for TIF District No. 26 is being modified to change the date of receipt of first increment to 2025. In 2022, the HRA approved the Developer’s TIF request, with receipt of first increment to occur in 2024. The delay to 2025 will allow the developer adequate time to secure all funding commitments necessary to begin construction. The Modification conforms in all respects to the requirements of the TIF statutes, and will help fulfill a need to provide housing opportunities, to improve the tax base and to improve the general economy of the State and thereby serves a public purpose. Getschow added the Tax Increment Financing Development Agreement for the project was also initially approved in 2022, but has not yet been fully signed or recorded. An Amended and Restated TIF Agreement has been prepared that reflects the delay of receipt of first increment to 2025, and also revises the initial agreement to increase the amount of TIF assistance to $17.4 million over the term of the TIF district, from the original amount of $12.9 million. This increase is within the original TIF budget and does not require modification of the TIF plan. Developer has requested this additional funding from the City a result of increased construction costs due to changing market conditions. MOTION: Narayanan moved, seconded by Toomey, to adopt Resolution HRA No. 2023- 01 Adopting a Modification to the Tax Increment Financing Plan for Tax Increment HRA MINUTES April 4, 2023 Page 2 Financing District No. 26 - GTS Housing and to approve and authorize execution of Amended and Restated Tax Increment Development Agreement for GTS Housing. Motion carried 5-0. IV. ADJOURNMENT MOTION: Freiberg moved, seconded by Nelson, to adjourn the HRA meeting. Motion carried 5-0. Chair Case adjourned the meeting at 7:06 PM. Respectfully submitted, ________________________ Nicole Tingley, City Clerk