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HomeMy WebLinkAboutHousing & Redevelopment Authority Minutes 06-22-2023APPROVED MINUTES PLYMOUTH HOUSING AND REDEVELOPMENT AUTHORITY JUNE 22, 2023 MEMBERS PRESENT: Chair Michelle Soderberg, Commissioners Wayne Peterson, Joel Spoonheim, Ronald Kelner, and Kim Vohs ABSENT: Commissioner James Williams STAFF PRESENT: HRA Executive Director Grant Fernelius, Housing and Economic Development Coordinator Kenny Niemeyer, and Permit Technician Jenny Bailey OTHERS PRESENT: 1. CALL TO ORDER Chair Soderberg called the Plymouth Housing and Redevelopment Authority meeting to order at 7:00 p.m. Chair Soderberg acknowledged Commissioner Whitfield's service to the Plymouth HRA Bard following her resignation. Chair Soderberg introduced new Commissioner Kim Vohs. 2. PUBLIC FORUM Chair Soderberg opened and closed the Public Forum as there was no one present to speak. 3. APPROVE AGENDA MOTION by Commissioner Spoonheim, seconded by Commissioner Kelner to approve the Agenda. Vote. 4 Ayes. MOTION passed unanimously. 4. CONSENT AGENDA 4.1. Approved minutes from March 23, 2023. 4.2. Plymouth Towne Square. Accept Monthly Housing Reports. 4.3. Vicksburg Crossing. Accept Monthly Housing Reports. MOTION by Commissioner Kelner, seconded by Commissioner Peterson to approve the Consent Agenda. Vote. 4 Ayes. MOTION passed unanimously. Approved Minutes Plymouth Housing and Redevelopment Authority June 22, 2023 Page 2 5. PUBLIC HEARINGS No public hearings. 6. NEW BUSINESS 6.1. General Amendment to the 2022 C01mnunity Development Block Grant Annual Action Plan - Tree House Housing and Economic Development Coordinator Kenny Niemeyer gave an of the staff rep01i. Tree house rep01ted to HRA staff that the usage of their services by the individuals in Plymouth had decreased and as a result they do not expect to utilize their full allocation of $15,000 from the 2022 CDBG program year. By the end of the program year of June 30, 2023, they would only use $7,221.25. Staff recommends decreasing Tree House's allocation of funds to $7,650.00; this will free up $7,350.00 for reallocation. Commissioner Peterson has asked if the money needs to be spent by a certain date. Housing and Economic Development Coordinator Kenny Niemeyer responded the funds need to be expended only with a timeliness restriction. We have a ratio of unexpended funds for the grant entitlement for the program year. There is no explicit deadline the funds it must be spent by; the timeliness ration will be applied. Commissioner Vohs asked-if the funding can only be used for CDBG funded programs. Housing and Economic Development Coordinator Kenny Niemeyer replied that the fw1ding can be used for any existing CDBG activities, fund a new activity or identified other use. That would require an amendment to the annual action plan. This is the first step to making this funding available. Commissioner Vohs asked if the CDBG funds fund home rehab programs and first-time home buyer assistance. Of those two programs is there normally more demands exceeding ow- CDBG allocation. Housing and Economic Development Coordinator Ke1my Niemeyer replied looking over previous years, the homeowner rehabilitation program has the most demand of the two programs. There have been some years that all the CDBG funding allocated for one program was expended. HRA will allocate the general fi.md to cover additional applicants who are determined eligible, so no one goes unserved. MOTION by Commissioner Spoonheim, seconded by Commissioner Peterson, to approve a General Amendment to the 2022 Community Development Block Grant Annual Action Plan -Tree House. Vote. 5 Ayes. MOTION passed unanimously. Approved Minutes Plymouth Housing and Redevelopment Authority June 22, 2023 Page 3 Commissioner Vohs asked if the CDBG funds are on the normal federal fiscal year which ends June 30, 2023 or is it a different year. Housing and Economic Development Coordinator Kenny Niemeyer stated the current program year of 2022 started July 1, 2022 and ends June 30, 2023. Then the subsequent year will start July 1, 2023 and ends June 30, 2024. He said this is HUD's timeline. Commissioner Vohs suggested allocating funds tonight since the fiscal year is ending in almost a week. Housing and Economic Development Coordinator Ke1my Niemeyer replied to the timeliness ratio deadline is May 4111. He stated for the 2022 program year the deadline has passed. Housing and Economic Development Coordinator Kenny Niemeyer added this allocation has only been considered at this point. 6.2 Plymouth Towne Square - CDBG Fund Usage for Elevator Modernization Housing and Economic Development Coordinator Kenny Niemeyer explains that HRA staff gave an overview of the staff report. MOTION by Commissioner Spoonheim, seconded by Commissioner Kelner, to approve CDBG Fund Usage for Elevator Modernization. Vote. 5 Ayes. MOTION passed unanimously. 6.3 First-Time Homebuyer Program- Update Asset Limit Requirements Housing and Economic Development Coordinator Kenny Niemeyer gave an overview of the staff report. MOTION by Commissioner Peterson, seconded by Commissioner Vohs, to approve to Update Asset Limit Requirements for the First-Time Homebuyer Program. Vote. 5 Ayes. MOTION passed unanimously. Commissioner Kelner asked for clarification that $60,000 is the number to go to versus $12,000. Housing and Economic Development Coordinator Ke1my Niemeyer responded there are three examples within the agenda. MN Housing Finance Agency has the recommended direction. The $60,000 was Dakota County's CDA current asset limit. HRA staff are recommending changing our asset limit at closing to allow applicants to have money in savings to contribute to the purchase of the home. Chair Soderberg expressed how the program is underutilized and is very supportive of the change recommendation. She said HRA staff will monitor and revisit in the future. Approved Minutes Plymouth Housing and Redevelopment Authority June 22, 2023 Page 4 Commissioner Peterson asked that instead of focusing on assets the buyers have at the beginning of the process, are we focusing on the assets remaining after the purchase of the home. Housing and Economic Development Coordinator Kenny Niemeyer confirmed that is the goal of the change. Commissioner Kelner agreed the change allows the applicant to make a bigger down payment which makes it easier to live in cost wise. Commissioner Vohs stated the homeowner's income matches the CDBG requirement of 80% AMI. Housing and Economic Development Coordinator Kenny Niemeyer replied affirmatively. Commissioner Vohs asked if financing is a grant or deferred loan. Housing and Economic Development Coordinator Kenny Niemeyer replied it is a zero percent deferred loan, with no forgiveness. After 30 years, or sale of the home prior to 30-years, the homeowner would pay back the CDBG loan. 7. UPDATES HRA Executive Director Grant Fernelius provided updates on the HRA vacancy and staffing. He also relayed housing news about funding provided by the legislature and some opportunities may be available for Plymouth. One program that Plymouth has shown interest in is the Metro Wide Sales Tax. This is a new sales tax that will be collected in the seven-county area and distributed in the form of housing-aide. This will be distributed on a formula that looks at the percentage of housing cost burden households' community. Plymouth could obtain around $700,000 a year. There will be future discussions about this. Chair Soderberg suggested that once staffing vacancies have been filled and staff have had the chance to get up to speed, that the HRA commission revisit the Moderate- Income Housing Policy. Commissioner Spoonheim asked that the conversation of the draft policy be put on the agenda for further discussion in August. Commissioner Spoonheim added that stakeholder input is critical to finalize the policy and can be done with a public hearing at any time. 8. ADJOURNMENT MOTION by Chair Soderberg, with no objection, to adjourn the meeting at 7:43 p.m.