HomeMy WebLinkAbout2009-017 EDAR Commissioner Kay Lasman introduced the following resolution and
moved its adoption:
EDA RESOLUTION NO. 2009 -17
RESOLUTION AUTHORIZING AUTHORITY STAFF TO ACQUIRE CERTAIN
FORECLOSED HOMES WITHIN THE CITY AND TO EXECUTE ALL
INSTRUMENTS AND CONTRACATS RELATED THERETO
WHEREAS, the Economic Development Authority of Brooklyn Center "EDA
has established various housing programs including its Remove and Rebuild Program, an
acquisition and demolition program to remove blighted, distressed and unmarketable properties
and return the properties to an enhanced condition and use, compatible with the neighborhood
(the "Program and
WHEREAS, the Program is funded with funds from the Tax Increment District #3
"TIF Funds and
WHEREAS, in order to expand the effectiveness of the Program, the EDA wishes to
directly purchase certain foreclosed properties to demolish and hold the lots for future development,
rehabilitate or resell to private entities for development or rehabilitation; and
WHEREAS, it is the desire of the EDA to establish certain standards and conditions
for such acquisitions and to authorize its Executive Director to proceed therewith without specific
EDA approval of each transaction.
NOW, THEREFORE, BE IT RESOLVED by the Economic Development Authority
in and for the City of Brooklyn Center:
1. That the Executive Director, with the assistance of EDA's legal counsel, is
hereby authorized to enter into purchase agreements and acquire in the name
of the EDA up to ten (10) single family, vacant, foreclosed homes (the
"Properties on the conditions that:
a. All properties are registered as vacant properties with the City of
Brooklyn Center; and
b. The Properties are each acquired with Neighborhood Stabilization
Program Stabilization Program "NSP Funds or TIF Funds, and are
eligible for use of such funding; and
C. Each property is a foreclosed property acquired from a lender or a
lender's designee; and
d. The Properties have been vacant for at least 30 days prior to entering
into a purchase agreement; and
i
EDA RESOLUTION NO. 2009 -17
e. The Property is determined to be blighted as defined by the
Minnesota Housing Finance Agency in its application to the US
Department of Housing and Urban Development (HUD) for NSP
funding as follows:
A blighted structure is one which b reason of dilapidation,
g Y
obsolescence, overcrowding, faulty arrangement or design,
lack of ventilation, light, and sanitary facilities, excessive
land coverage, deleterious land use, or obsolete layout, or
any combination of these or other factors, is detrimental
to the safety, health, morals, or welfare of the community: and
f. The purchase price is not more than 65 percent of Hennepin County's
latest Estimated Market Value for the Property and does not exceed
$80,000; and
g. Prior to the acquisition of each property, staff conducts appropriate
due diligence to protect the EDA's interest.
2. That for purposes of this resolution, "single family" includes any property
with fewer than three units.
3. That the Executive Director is authorized to execute such documents as shall
be required in order to carry out the delegation provided in paragraph 1
hereof.
4. That the Executive Director shall report the acquisition of any Property
pursuant to this Resolution at the next regular EDA meeting.
5. That disposition of acquired Properties shall be only by action of the EDA.
6. That the authority to enter into new purchase agreements granted hereby shall
expire twelve (12) months from the date of this Resolution.
October 26, 2009
Date President
The motion for the adoption of the foregoing resolution was duly seconded by Commissioner
Dan Ryan
and upon vote being taken thereon, the following voted in favor thereof:
Tim Willson, Kay Lasman, Tim Roche, Dan Ryan, and Mark Yelich;
and the followin g g voted against the same: n one;
whereupon said resolution was declared duly passed and adopted.