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09-15-2009 HRAMHutchinson Housing & Redevelopment Authority Regular Board Meeting Tuesday, September 15, 2009, 7:00 AM Minutes CALL TO ORDER: Chairman Joel Kraft called the meeting to order. Members Present: Bill Arndt, and LaVonne Hansen. Staff Present: Jean Ward and Judy Flemming. 2. MINUTES OF THE HRA BOARD MEETING ON AUGUST 18, 2009 Bill Arndt moved to approve the Minutes as written. LaVonne Hansen seconded and the motion carried unanimously. 3. FINANCIAL REPORTS Bill Arndt moved to approve the City Center General Fund payments of $21,568.09 for checks 7484 to 7494 and August 31, 2009 Financial Statements and Park Towers July Financial Statements and payments of $49,755.54 for checks 10844 to 10875. LaVonne Hansen seconded and the motion carried unanimously. 4. CONSIDERATION OF RESOLUTION 409 -09 TO APPROVE 2010 PARK TOWERS BUDGET LaVonne Hansen moved to approve Resolution 409 -09 to Approve 2010 Park Towers Budget. Bill Arndt seconded and the motion carried unanimously. 5. OTHER UPDATES PARK TOWERS PROJECT a. Parking Lot Project - Jean Ward reviewed with the Board the timeline. The goal is to bid out in December or January so we can execute the contract and start in the early spring. b. 2009 Capital Fund Program Award — LaVonne Hansen moved to accept the 2009 Capital Fund Program Award of $116,999. Bill Arndt seconded and the motion carried unanimously. c. FYI — Invitation to the Park Towers Open House Ice Cream Social. d. Other projects: Upcoming boiler repairs and ventilation balancing. Bill Arndt moved to approve the estimate of $3,400 for the ventilation project. LaVonne Hansen seconded and the motion carried unanimously. 6. FUNDING REQUESTS a. Bill Arndt moved to approve the execution of the contract for the MHFA Rehab loan. LaVonne Hansen seconded and the motion carried unanimously. b. September 3rd the SCDP pre- application was submitted to DEED. c. LaVonne Hansen moved to approve the submission of a CRV application to MHFA for owner match for the SCDP rehab program and for value gap for foreclosed homes program. Bill Arndt seconded and the motion carried unanimously. 7. LOAN ADMINISTRATION a. Consideration of Request to forgive a portion of an HRA Entry Cost Assistance Loan due to a short sale —Karg loan: The Board discussed a short sale forgiveness strategy where the goal is to partner to prevent foreclosure in hardship situations. It was decided that if there is a hardship due to job loss or medical expenses the HRA would offer to forgive the loan at the same percentage as the first mortgage is forgiving and that the Loan Review Committee has the authority to review the short sale request and negotiate and approve short sale loan forgiveness. A Satisfaction of Mortgage will be executed at the time the Loan Review Committee approves the short sale request. A policy will be presented at the next Board meeting. LaVonne Hansen moved to approve authorization for the Loan Review Committee to negotiate the Karg loan forgiveness request. Bill Arndt seconded and the motion carried unanimously. September 15, 2009 Minutes Page 1 of 2 b. Bill Arndt moved to approve the Stammer City Revolving Rehab loan. LaVonne Hansen seconded and the motion carried unanimously. c. Bill Arndt moved to approve Pulkrabek EFG Loan 486996 contingent to the Loan Review Committee approval. LaVonne Hansen seconded and the motion carried unanimously. 8. OTHER/FYL a. Jean Ward reviewed with the Board the Foreclosure Sale Report. b. FYI: City Planning Agenda 9. 2009/2010 SCHOOL CONSTRUCTION HOUSE UPDATE a. Bill Arndt moved to approve the Addendum to the Purchase Agreement for 1116 Lewis Avenue. b. Tour of 1116 Lewis Avenue. 10. ADJOURNMENT There being no other business, Chairman Joel Kraft declared the meeting adjourned. Recorded by Jean Ward, HRA Executive Director Becky Felling, Secretary /Treasurer September 15, 2009 Minutes Page 2 of 2