The most notable outcome of the meeting was the resolution concerning Ray and Carolyn Collins’ property in Ward 1, District 8. This resolution emerged from a settlement agreement after a contractor failed to fulfill the terms of a rehabilitation project funded by a forgivable loan of $33,230. Director Nicolle Newton presented the item, emphasizing its unusual nature. An independent construction consultant confirmed the contractor’s non-compliance, prompting both the homeowners and the Housing and Redevelopment Authority (HRA) to agree on a settlement. This agreement will cancel the original loan and provide the homeowners with funds to hire a new contractor to address the deficiencies left by the previous contractor. The resolution passed unanimously, with the funding drawn from the HRA’s general fund, effectively releasing the HRA and the City of St. Paul from future claims related to this issue.

Another agenda item was the introduction of a conduit bond project for NOVA Classical Academy, a charter school located on Victoria Way. The school sought up to $25 million in conduit revenue bonds to refinance existing debt and fund the expansion of its facilities. The expansion plan includes a new two-story building with a storm shelter, locker rooms, office space, and flexible classroom space. This project also necessitates amendments to the Victoria Park master plan and six variances, which have been approved by the zoning committee. Debt manager Ginny Wolf clarified that these bonds would not impose financial risk on the HRA, as they would be repayable solely from the academy’s revenues. The HRA stands to collect fees from the bond issuance, including a closing fee based on the amount issued. A public hearing is expected before the board and city council consider resolutions related to the bond issuance.

Dr. Brett Wedland, the executive director of NOVA Classical Academy, provided insights into the school’s history in St. Paul and the rationale behind the expansion. Operating since 2012, the school has long planned to utilize an adjacent parcel of land acquired in 2016. The expansion aims to enhance services for current students rather than increase enrollment, which stands at approximately 1,000 students. Dr. Wedland highlighted safety improvements such as a storm shelter and better parking to ease drop-off and pick-up times. He also emphasized the need for renovations to address overcrowding and the growing number of students with special needs, which has more than doubled in recent years. The expansion project is seen as an opportunity to better serve the existing student body without altering the school’s educational model significantly.

The meeting also addressed the refinancing of conduit revenue bonds for Twin Cities Academy, another charter school located on Birmingham Street. The HRA was asked to issue up to $15 million in bonds to refinance debts originally issued in 2015 for the school’s current facilities. The refinancing aims to reduce annual payments by extending the maturity date of the bonds. The proposal includes issuing bonds in minimum denominations of $25,000, aligning with the city’s conduit bond policy. A representative from the Planning and Economic Development department noted the importance of a high credit rating in securing favorable interest rates, which impacts the overall borrowing costs. Twin Cities Academy serves 540 students, with a large majority from the East Side of Saint Paul.

The executive director of Twin Cities Academy confirmed that the school’s maximum capacity is 620 students, and no significant enrollment changes are expected. The school focuses on providing comprehensive support services, including mental health and college application assistance. The board invited representatives from both schools to return for a public hearing scheduled for the following week, where further discussion and potential action on the bond proposals would occur.