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HRA BUSINESS Case #1: Consider Parking Easement Agreement with Ramsey Professional Center LLC (PSD) HRA Executive Director Nelson and Development Manager Lazan presented the staff report. Commissioner Ramsey clarified that Mr. Deal has never provided proof of ownership over the 60-foot strip of land. Development Manager Lazan stated the ownership was subject to a mortgage and the lead bank foreclosed and took possession. He agreed that Mr. Deal has not provided evidence of fee title and staff could trace that paperwork. Commissioner Ramsey stated he is not opposed to the parking easement agreement but would not be interested in supporting it until Mr. Deal addresses the master declaration issues. Commissioner McGlone stated his agreement, noting the HRA had granted access off Sunwood Drive yet Mr. Deal has not been willing to resolve the master declaration issue. Commissioner Strommen stated her perspective that the parking easement agreement and master declaration are two separate issues, noting Mr. Deal had stepped up and been an early investor by constructing several buildings when the City badly needed it. In addition, there had been a lot of title issues with this property and if this is another one, Mr. Deal may be a victim of that. Commissioner Strommen stated she is willing to move forward on the easement agreement and consider the other issue separately. Commissioner Tossey stated it is known that Ramsey's taxpayers paid for this 60 feet. The HRA has dealt in good faith with Mr. Deal and is willing to offer this easement, but would like to see that same good faith in return on the other issues. He agreed they are separate issues but sometimes it takes leverage, which Mr. Deal has also been using. Commissioner Ramsey stated this is purely a business deal and the HRA is giving but not receiving. Commissioner Strommen stated her objection to linking any of the issues. She noted Mr. Deal has put improvements on this property, it is being used as parking, and she supports approval of the parking easement agreement and continuing to work on the other issue. Commissioner Wise noted the master declaration has not been resolved for over two years and if the HRA were a private development company, it would use leverage. Development Manager Lazan reviewed past negotiations to resolve the property titles and Mr. Deal's decision to not deal with all of the issues at one time or to resolve the master declaration until the HRA answers his questions on the Special Service District (SSD.) Housing and Redevelopment Authority / November 15, 2011 Page 2 of 6