02/28/12 Work Session - Laserfiche WebLink

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Commissioner Elvig asked Ms. Kvilvang for her professional opinion on this project and whether the City is in a good and safe position. Ms. Kvilvang stated the HRA is entering into a real estate transaction that has risks, which were always outlined, and the HRA still decided to move forward. She explained that what the HRA is doing is not unusual and has been done by other HRAs, some successfully and some not. Ms. Kvilvang stated it depends on the goal of the community, the HRA determined to move this forward, and the consultants have done all they can to protect the City and place it in the best position. Commissioner Elvig asked if other cities have put in this much with such little protection. He stated he had talked with others and all indicated they have never seen this unprecedented level of investment. Ms. Kvilvang indicated she has seen it in a Brooklyn Park project where they determined to change and transform an apartment complex, hoping to be in and out in three to four years but it took 17 years to get the majority of money back. Commissioner Ramsey stated he has always known this was a risk, as was buying The COR, but he has always looked at the rewards, which the City is already reaping in the train stop. He stated he understands this risk is too big for some Commissioners to be comfortable with, but not too big • for other Commissioners. He believed it was a catalyst project and structured as good as the HRA can get. EXECUTIVE DIRECTOR'S REPORT None. COMMISSIONER INPUT None. ADJOURNMENT Motion by Commissioner Ramsey, seconded by Commissioner Wise, to adjourn the Work Session meeting of the Housing and Redevelopment Authority. Motion carried. The regular meeting of the Housing and Redevelopment Authority adjourned at 6:07 p.m. Housing and Redevelopment Authority / February 28, 2012 Page 7 of 8