05-20-2003 HRAMHutchinson Housing & Redevelopment Authority
Regular Board Meeting — May 20, 2003
Minutes
CALL TO ORDER: Chairman Joel Kraft called the meeting to order at 7:30 a.m. Members
Present: Duane Hoversten, Ian McDonald, and John Houle. Staff Present: Jean Ward, and
Judy Flemming.
2. MINUTES OF HRA BOARD MEETING ON APRIL 15, 2003 & MINUTES OF SPECIAL
HRA BOARD MEETING ON MAY 1, 2003
John Houle moved to approve. Duane Hoversten seconded and the motion carried
unanimously.
3. FINANCIAL REPORTS
Duane Hoversten moved to approve the Financials. John Houle seconded and the motion
carried unanimously.
4. PARK TOWERS UPDATE
Jean Ward updated the HRA Board on the completion of the apartment renovation project at
Park Towers. John Houle moved to approve the Final Change Order. Ian McDonald
seconded and the motion carried unanimously.
Jean updated the Board on the proposed changes to the PHAS Rule. She also reviewed a draft
comment letter in response to the proposed changes. Duane Hoversten felt that the letter
should be signed, the HRA Board. Ian McDonald moved to approve the Comment Letter.
John Houle seconded and the motion carried unanimously.
5. SUBORDINATION POLICIES & LOAN REVIEW COMMITTEE RESOLUTION
Jean presented to the Board the revised subordination policies for Rehab Loans and New
Construction Equity Gap Loans. John Houle moved to approve the revised subordination
polices. Duane Hoversten seconded and the motion carried. Ian McDonald asked that the
newly subordination policies be sent out to the lenders in community.
Jean reviewed the open meeting laws explained to her by Marc Sabora, the City Attorney.
Duane Hoversten moved to approve the Resolution for the Loan Review Committee to
Review and Make Recommendations to the HRA Board. Ian McDonald seconded and the
motion carried unanimously.
6. CONSIDERATION OF FRANKLIN -GROVE NEIGHBORHOOD SCDP LOAN #8680 -02
Judy Flemming presented the recommendation for approval from the Loan Review
Committee. Duane Hoversten moved to approve SCDP Loan 8680 -02. Ian McDonald
seconded and the motion carried unanimously.
7. CONSIDERATION OF RECOMMENDATION FOR CITY COUNCIL APPROVAL OF
REVISED HOUSING REHABILITATION REVOLVING LOAN FUND PROCEDURAL
GUIDELINES
Jean presented to the Board the proposed changes to the Housing Rehabilitation Revolving
Loan Fund Procedural Guide. The Board agreed with the changes. Ian McDonald moved to
recommend for the City Council to approve the revised Housing Rehabilitation Revolving
Loan Fund Procedural Guidelines. John Houle seconded and the motion carried unanimously.
In addition the HRA will be brainstorming in the near future for ideas on how to use the funds
for the Revolving New Construction Equity Gap Loan.
CONSIDERATION OF HRA FEE SCHEDULE
Duane Hoversten moved to approve the HRA Fee Schedule. John Houle seconded and the
motion carried unanimously.
9. CONSIDERATION OF APPROVAL TO EXECUTE 2003 MHFA HOME RENTAL
REHAB AGREEMENT
John Houle moved to execute the 2003 MHFA Home Rental Rehab Agreement. Ian
McDonald seconded and the motion carried unanimously.
10. HUTCHINSON 2003/2004 SCHOOL CONSTRUCTION PROGRAM UPDATE
Judy presented to the Board four options of homes for the 2003/2004 School construction
program. Ian McDonald moved to approve the Candlelight floor plan (Option B). Duane
Hoversten seconded and the motion carried unanimously.
Jean also informed the Board that a second purchase agreement for the asking price was
issued with no contingencies. A notice of removal of contingency was issued for the first
purchase agreement. The new closing date will be June 20, 2003.
11. CONSIDERATION OF DRAFT AUDIT
Jean presented to the Board the draft audit prepared by Babcock, Langbein and Company.
John Houle moved to approve the audit. Ian McDonald seconded and the motion carried
unanimously.
12. UPDATE ON ROLLING MEADOWS EAST
There is a question regarding the ability of the City to Bond for the project. Duane Hoversten
said that we would have to wait until the state legislature makes a decision if cities are
allowed to bond.
13. CONSIDERATION OF CHANGE OF DATE FOR THE JUNE BOARD MEETING
The Board agreed to change the date of the June Board meeting to Thursday, June 19, 2003.
Duane Hoversten reminded staff to change the date on the City Calendar too.
14. FYI
Jean Ward informed the Board that MHFA has new rates for the first time homebuyers funds.
15. ADJOURNMENT
There being no other business, Chairman Joel Kraft declared the meeting adjourned.
Recorded by Jean Ward, HRA Executive Director
John Houle, Secretary /Treasurer