1988 04 21HOUSING AND REDEVELOPMENT AUTHORITY MINUTES
APRIL 21, 1988
CALL TO ORDER: Chairman Whitehill called the meeting to order at
7:39 p.m. Members present: Commissioners Robbins, Swenson and
Horn. Commissioner Bohn was absent. Also present were Don
Ashworth, City Manager and Todd Gerhardt, Administrative
Assistant.
APPROVAL OF MINUTES: Motion by Swenson, seconded by Robbins to
approve the March 24, 1988 minutes as presented. All voted in
favor and the motion carried.
CITY HALL LANDSCAPING AND EXPANSION PLAN: Don Ashworth presented
the previously approved parking lot modification plan which
achieved the "straightened" Market Boulevard (Plan Sheet No.
31.75). The work was not included in the original feasibility
study as the assurance that amicable negotiations could be
achieved with the Postal Service was unknown (a city cannot con-
demn federal property). The next item on tonight's agenda
completes that acquisition process and assures the City/HRA that
the plan modification prepared in the fall of 1987 could in fact
become a reality. Work encompassed through the "straightened"
Market Boulevard includes the expansion of the existing parking
lot area, continuation of lighting/boulevard treatment up to and
around City Hall. All work functions would be exactly as con-
tained in the municipal parking areas within the downtown area.
In re-looking at the previous detail plan for "straightened"
Market Boulevard, the Manager noted that the work called for
adjacent to the new addition of City Hall was extensive, but
necessary to assure reasonable/safe access to that new addition.
Of concern was the fact that the ultimate building plans would
reconstruct much of the work currently proposed (the plan sheet
noted above was used to show areas of reconstruction). The
Manager noted that the long range building plan called for a
"courtyard" to exist in the area abutting the existing City Hall
and new addition to the south. Eventually, there would be
building construction to the west and north of the proposed
"courtyard". The courtyard could be considered at this time, but
some form of wall construction would be required on the north
side to support the skylight roof design proposed over the cour-
tyard area. The Manager presented an alternate plan prepared by
EOS (architect for the new City Hall addition). The alternate
design showed a new conference room area on the north side of the
courtyard. The Manager noted that tax increment money could not
be used for municipal building areas, i.e. those areas where
business would be transacted, offices or personnel housed, etc.
By contrast, the courtyard itself was a valid tax increment func-
tion in that its primary purpose would be to serve as an amenity
and would be designed using materials similar to those proposed
within Heritage Park. The Manager recommended that the alternate
plan be considered by the Housing and Redevelo~ent Authority as
an amendment to the downtown project and the costs of such be
paid for by the HRA instead of expending the dollars previously
outlined as a part of the "straightened" Market Boulevard plan.
HRA Minutes
April 21, 1988
Page 2
Commissioner Horn asked what the additional cost would be for
this modification. The Manager responded approximately $70,000
to $90,000.
After further discussion, Chairman Whitehill moved, seconded by
Commissioner Swenson, that the proposed courtyard, as depicted in
Sketch Plan No. 31-75, be approved as an amendment to the pro-
posed downtown redevelopment project. Motion was approved unani-
mously.
APPROVAL OF PURCHASE AGREEMENT WITH RICHARD STEINER AND POSTAL
SERVICE: Todd Gerhardt stated that a draft of a purchase
agreement between the HRA and Richard Steiner, owner of the post
office, and the United States Postal Service was included in the
packet. The acquisition of the property would allow a smoother
transition of traffic off of Chan View to Market Blvd. Gerhardt
further explained that the agreement also included a waiver of
any special assessment assistance for either of the two parties.
Commissioner Horn moved, seconded by Commissioner Swenson, to
approve the purchase agreement and authorize its execution by the
Chairman and Executive Director.
EASEMENTS/AGREEMENTS - CHANHASSEN STATE BANK: Don Ashworth
stated that all of the agreements the HRA and the Chanhassen
State Bank have entered into as a part of roadway easement,
driveway entrance and sidewalk construction were included in the
packet. Staff further explained that no specific action needs-to
be taken on this item but was placed on the agenda as a infor-
mational item. No further action was taken.
OPTION AGREEMENT WITH BLOOMBERG COMPANIES: Don Ashworth
explained that due to the lateness of receiving this item, staff
has not had enough time to review the attached agreement. No
specific action is needed from the HRA tonight. Ashworth further
explained that this item has also been passed on to John Dean for
his review and recommendation. The request will be on the next
HRA agenda outlining option available under this agreement. No
other action was taken.
BRW PRESENTATION ON LOCATION OF RAILROAD DEPOT AND DESIGN
ALTERNATIVE FOR HERITAGE PARK: Don Ashworth introduced Jim
Lasher from BRW to present several alternatives for the
relocation of old City Hall within the Downtown Redevelopment
project. Mr. Lasher presented two alternatives, the first being
setting the old City Hall back approximately 20 feet from its
original site. The second alternative was to move old City Hall
over to the Klingelhutz site. Chairman Whitehill asked if staff
has a purchase agreement from Mr. Klingelhutz for the property.
Ashworth explained that he has had discussions with Mr.
Klingelhutz about the acquisition of the property and trying to
redevelop the area.
HRA Minutes
April 21, 1988
Page 3
Chairman Whitehill also asked what is planned for the Pony, Pauly
and Pryzmus sites. Ashworth explained that we have made offers
to Mr. Pryzmus for his property and have just started to work
with Mr. Pauly and Mr. Kallestad in either acquisition of their
property or the placement of a new facia. Chairman Whitehill
then asked what would occur in the area if the City acquired
those properties. Ashworth replied by saying that property could
be redeveloped or turned into a park. Mr. Whitehill then
commented that due to the uncertainty of the area we should stay
with our original plan.
Commissioner Swenson stated that we should still move the
building back 20 feet to open the park up and provide more room
in the area.
Chairman Whitehill moved, seconded by Commissioner Horn, to stay
with the original plan for the location of old City Hall until
definite plans have been outlined for the Pony, Pauly, Pryzmus
and Klingelhutz area. All voted in favor with the exception of
Commissioner Swenson who voted against the original location and
perferred the building be set back 20 feet. The motion carried.
NEW BUSINESS - JOHN PRYZMUS ACQUISITIONr WEST 78TH STREET: The
Manager noted that he had met with Mr. Pryzmus to consider the
potential acquisition of his property on West 78th Street. This
alternative was being pursued on two bases; i.e. 1) general
discussion from the previous meeting as to the desirability of
having the entire block on which Heritage Park sits become a
park; and 2) the recognition of any new facia plans for
Pauly/Pony/Pryzmus (also a priority from the previous meeting)
would be difficult if not impossible given Mr. Przymus's current
financial position.
The Commission reviewed the proposed option agreement as pre-
sented by the Manager. After discussion, it was the concensus of
the HRA that the HRA did not wish to become a building owner
without knowing the long-range plans of the property owners on
either side. If the proposed acquisition would help to
accomplish building expansion plans for either the Pony or
Pauly's, the acquisition may have merits. Similarly, if the
acquisition of Pryzmus would enhance the ability to cause facia
improvements to the Pony/Pauly's, such may also have merits.
Finally, should Pony and/or Pauly desire to sell their proper-
ties, the proposal may again have merits. This latter option may
lead to an expanded green area in the present location of
Pony/Pryzmus; a municipal park for this entire park; or a site
for new commercial/office development. The HRA concluded that
the Manager should pursue all of the options noted above before
reconsidering the Pryzmus purchase option agreement. No motion
was required/made.
HRA Minutes
April 21, 1988
Page 4
APPROVAL OF BILLS: Motion by Commissioner Robbins, seconded by
Commissioner Swenson to approve the bills as presented. All
voted in favor and the motion carried.
AUTHORIZE BIDSw CHANHASSEN CLOCK TOWER AND ENTRY MONUMENT: Don
Ashworth explained that staff has received seven (7) bids for the
construction of the clock tower and entry monument. The results
are as follows:
Reynolds Construction Company
Lakeland Nursery
Monette Construction Company
Roy Nordenstrom & Sons
Lover ing Associates
Morcon Construction
Metro Building Systems
$ 159,648
$ 163,637
$ 167,600
$ 193,847
$ 153,300
$ 135,700 *
$ 143,485
*low bid
Staff recommended that the HRA award the contract to Morcon
Construction for the bid of $135,700.
Motion by Commissioner Robbins, seconded by Commissioner Horn to
approve a resolution awarding the contract for the construction
of the clock tower and entry monument to Morcon Construction
Company in the amount of $135,700. All voted in favor and the
motion carried.
ADJOURNMENT: Motion by Commissioner Horn, seconded by
Commissioner Robbins, to adjourn the meeting at 10:15 p.m.
voted in favor and the motion carried.
Prepared by: Todd Gerhardt, May 27, 1988~ ~_..
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