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Motion carried. Voting Yes: Chairperson Backous, Commissioners Riley, Tossey, Kuzma, and LeTourneau. Voting No: None. Absent: Commissioners Johns and Strommen. 5. HRA BUSINESS 5.01: Review Draft Purchase / Development Agreement between the City of Ramsey HRA and CommonBond Executive Director LaFrance reviewed the staff report and indicated the HRA received a Purchase/Development Agreement from CommonBond to develop affordable housing on a portion of Parcel #47, between Coborn's and The Residence at The COR. The project is estimated to require roughly two acres on the easterly side of Parcel #47, which is about 6.5 acres in size. CommonBond is seeking site control by the end of May with construction to start, contingent upon grant award funding, in the spring of 2015. Executive Director LaFrance noted the HRA requested the support of the Anoka County HRA in the amount of $250,000 and the Management Committee will be bringing forward a positive recommendation. He advised that under Minnesota Statutes 13D.05, Subd. 3, the meeting can move into Closed Session to consider adjustments to the draft Purchase Agreement. Chairperson Backous noted the main function of the HRA is acting to negotiate the sale of parcels of HRA-owned land. He explained the purpose of holding Closed Sessions to give direction to staff to negotiate the sale of property. Commissioner Tossey expressed his concern and that of a constituent with the HRA holding Closed Sessions, especially when public subsidy (tax dollars) are requested, and need to assure transparency. He stated support for making documentation relating to this item available in the HRA's electronic packet. Executive Director LaFrance stated a copy of the documentation is available for the public and it will be posted to the City's website. He stated CommonBond had come forward with a full price offer to purchase this property and requested a subsidy of $250,000, which the HRA in turn requested of the Anoka County HRA. Executive Director LaFrance noted the alternatives as detailed in the staff report and explained that no decision is requested tonight if the HRA supports more time for review. He then detailed the revisions made to the Purchase/Development Agreement and explained the rationale for each. Executive Director LaFrance advised that this transaction involved compensation to Landform Professional Services, which is outlined in the staff report. This compensation is estimated at $152,000, less site improvement costs. Twenty percent is due at signing of the Purchase Agreement; however, is not to exceed the earnest money/down payment, which in this case is $5,000. Staff proposes paying Landform $5,000 with the remainder of the 20% due at closing along with the other 60% that would be due at that time. The remaining 20% is due to Landform when the Certificate of Occupancy is issued. Executive Director LaFrance presented staff' s finding that the Purchase/Development Agreement is reasonable and recommendation to authorize entering into a Purchase Agreement Housing and Redevelopment Authority / May 13, 2014 Page 2 of 5