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SPECIAL MEETING OF THE ELK RIVER <br />HOUSING AND REDEVELOPMENT AUTHORITY <br />HELD AT THE ELK RIVER CITY HALL <br />MONDAY, MAY 16, 2005 <br />Members Present: Chair Wilson, Commissioners Kuester, Toth, Lieser, and Motin <br />Staff Present: Director of Economic Development Catherine Mehelich, City <br />Administrator Pat Klaers, and Recording Secretary Tina Allard <br />Call Meeting To Order <br />Pursuant to due call and notice thereof, the meeting of the Elk River Housing and <br />Redevelopment Authority was called to order at 5:30 p.m. by Chair Wilson. <br />2. Consider May 16, 2005 HRA Agenda <br />MOVED BY COMMISSIONER TOTH AND SECONDED BY COMMISSIONER <br />KUESTER TO APPROVE THE MAY 16, 2005, HRAAGENDAAS PRESENTED. <br />MOTION CARRIED 5-0. <br />3. Consider Small Cities Development Program (SCDP) Loan Agreement <br />Director of Economic Development Catherine Mehelich introduced Vern Hanson and John <br />Errigo with MetroPlains, who would be explaining the provisions regarding rent limits and <br />income limits in the loan agreement between the HRA and MDI Limited Partnership #70 <br />regarding the Jackson Place project. <br />Commissioner Motin expressed concerns regarding the income limitations relating to the <br />$400,000 grant. He stated the provision that surprised him in the agreement was the one <br />stating that space can't be rented by someone making more than 60% of the Sherburne <br />County Median Income. He stated the Commission's intent with the Jackson Place project <br />was to have affordable housing and not low income housing. He stated that the <br />Commission's intent was to not have Jackson Place be Section 8 housing. <br />Mr. Hanson stated the income limits for low income are different than they are for <br />affordable housing. He stated that residents of Jackson Place will be making over $16.00 an <br />hour and will have to go through an extensive background check before they will be allowed <br />in the building. Mr. Hanson stated that new Section 8 vouchers are no longer available in <br />Sherburne County. He further stated that the HRA has been made aware all along that <br />MetroPlains would be partially financing the downtown revitalization project with a Small <br />Cities Development Program grant, which would require affordable income limits. <br />Mr. Errigo stated that the majority of the workforce residing in Elk River would qualify by <br />their income level to live in Jackson Place. He stated the main groups living in Elk River <br />work in the retail, construction, manufacturing, and services industries. <br />Chair Wilson requested a profile of the type of resident that would be living in Jackson <br />Place. <br />