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Development Manager Lazan advised that Mr. Deal has been cooperative in drafting the easement agreement and staff can now say the HRA wants to move in an expeditious manner to resolve the master declaration issue. Commissioner Ramsey stated that point has already been made yet the HRA still had to spend $100,000. Commissioner McGlone stated the HRA had treated Mr. Deal as a partner since the beginning yet he has not been willing to cooperate. Motion by Commissioner Ramsey, seconded by Commissioner McGlone, to postpone consideration of the parking easement agreement with Ramsey Professional Center LLC indefinitely. Further discussion: Chairperson Elvig stated his preference to move forward and use the parking easement agreement as leverage. Commissioner Tossey supported a postponement but noted the temporary easement expires today. City Administrator Ulrich advised the expiration presents no bigger liability than with the City's parking ramp or public street. However, if Mr. Deal abandons maintenance the City would have to assume that responsibility. HRA Executive Director Nelson explained if the easement expires, it would be no different than the condition that existed prior to having the temporary easement. She noted Mr. Deal has access from Sunwood Drive; however, may be short on the parking requirement. It was noted that Mr. Deal has indicated he is unwilling to make any declaration until he finds out what is happening on the SSD. At its December meeting, the HRA will be considering the SSD's scope, budget, and level of maintenance in public rights -of -way. Commissioner Ramsey felt nothing can be done until the HRA knows who has voting rights in the master declaration. Chairperson Elvig again stated his support to move the parking easement agreement forward as a tool for negotiating. Commissioner Ramsey stated the two attorneys involved can decide who has majority vote instead of requiring the HRA to go before a judge. Chairperson Elvig asked whether Mr. Deal is aware that the HRA is asking for his opinion. Development Manager Lazan stated there are several different issues and Mr. Deal is saying he is unwilling to resolve the master declaration, until the HRA spells out the SSD. However, the HRA currently has a motion on the floor to postpone the parking easement agreement, though all have indicated they agree with it. Commissioner McGlone felt that Mr. Deal could easily give the HRA voting rights in the association, which Attorney Tom Bray of Briggs and Morgan has made clear to Mr. Deal. Commissioner Strommen stated there are a lot of aspects to this conversation and trying to talk about them together confuses the issue. She noted Mr. Deal is tying the master declaration to the SSD and the HRA is tying the parking easement agreement and the master declaration together. Commissioner Strommen urged the HRA to start working through the issues in which agreement can be reached to foster a partnership, then to work on issues that are currently not agreed upon. Commissioner Ramsey stated he is unsure why Mr. Deal does not "kill" the master declaration and decide to not participate in the SSD. Commissioner Backous stated his intent to oppose the motion and preference to give Mr. Deal an opportunity to work with the City. Chairperson Elvig stated support for staff's proposal because it gives staff a stronger position in which to negotiate. Commissioner Tossey stated he agrees to a certain extent and wants to resolve this issue; however, the City has tried to do so but there seems to be little urgency on PSD's part to resolve Housing and Redevelopment Authority / November 15, 2011 Page 4 of 6