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HomeMy WebLinkAboutHousing & Redevelopment Authority Minutes 02-27-2014APPROVED MINUTES PLYMOUTH HOUSING AND REDEVELOPMENT AUTHORITY FEBRUARY 27, 2014 PRESENT: Chairman Jeff Kulaszewicz, Commissioner Jim Willis, Commissioner Toni Jelinek, Commissioner Paul Caryotakis, and Commissioner Adam Schmitt ABSENT: none STAFF PRESENT: Housing Program Manager Jim Barnes, HRA Executive Director Steve Juetten, City Manager Dave Callister, Housing Specialist Spencer Agnew, and Office Support Representative Tina Beckfeld OTHER: Grace Management Representative Jodi Bodigheimer 1. CALL TO ORDER Chairman Kulaszewicz called the Plymouth Housing and Redevelopment Authority meeting to order at 7:00 p.m. 2. CONSENT AGENDA A. Approve HRA Meeting Minutes for January 23, 2014 B. Plymouth Towne Square. Accept Monthly Housing Reports C. Vicksburg Crossing. Accept Monthly Housing/Marketing Reports MOTION by Commissioner Willis, seconded by Commissioner Caryotakis to approve the consent agenda. Vote. 5 Ayes. MOTION passed unanimously. 3. PUBLIC HEARING A. Community Development Block Grant. Consider 2014 Action Plan. Chairman Kulaszewicz introduced HRA Specialist, Spencer Agnew, who gave an overview of the Community Development Block Grant program allocations staff report. Housing Manager Barnes contributed additional information from the staff report. Chairman Kulaszewicz asked the reason for minimal use of the First Time Homebuyer (FTHB) program over the past two years. Housing Manager Barnes Plymouth responded there are a number of factors influencing the use of the FTHB program: limited availability of affordable housing in Plymouth, tight mortgage lending practices, and higher unemployment rates. With bank regulations loosening and unemployment rates improving, owning a home is becoming more feasible. Approved Plymouth Housing and Redevelopment Authority February 27, 2014 Page 2 Commissioner Caryotakis added potential homebuyers are risk averse, citing housing values do not always increase. Homebuyers must have enough income, but not too much, to qualify for the FTHB program and must be interested in investing in a home. Commissioner Jelinek asked how HUD views our lack of funding used for the FTHB program. Housing Manager Barnes responded HUD has not mentioned it in their review. Over past years Plymouth has used more FTHB funds so overall we are still on track with our five year plan. HUD is concerned that we spend down our allocation, but not necessarily tied to a particular program. We are tested yearly to confirm we have spent enough of the allocated funds. Commissioner Caryotakis asked if it would be beneficial to meet with financial institutions to make them aware of the FTHB program. Housing Manager Barnes stated staff will reach out to the professional community that utilizes the programs such as lending institutions, realtors as well as posting information at community gathering places. He complimented Communications Manager Helen LaFave on doing a great job of marketing our programs by including them occasionally in the Plymouth News. Chairman Kulaszewicz opened the public hearing. Chairman Kulaszewicz introduced John Estrem representing Hammer. Hammer is funded through the CDBG Affordable Housing Account. Mr. Estrem thanked the HRA and the City of Plymouth for a longstanding and ongoing relationship. Hammer has provided services for the disabled in the western suburbs since 1923. Currently they operate 36 group homes in a community setting and 10 integrated apartments, one in Vicksburg Village, focusing on residential life skills. Hammer supports 101 Plymouth residents with developmental disabilities. Support is provided 24/7 365 days a year. Each residence is unique as our residents are each unique. The goal is to support individual independence and integration for each resident using a person -centered approach. Residents, unless already retired, work in a workshop or out in the community. All 101 residents in Plymouth that Hammer supports are adults. Funds provided to Hammer are primarily used to update or maintain the Hammer residences. In the coming year they plan to update the Ives residence by remodeling the small kitchen to make it more accessible. Commissioner Willis asked how many homes will be remodeled this year. Mr. Estrem says they will spend a half million dollars this year maintaining several of the 36 Commissioner Willis asked if other communities use CDBG funds for Hammer residences. Mr. Estrem stated Wayzata has inconsistently provided funds to Hammer. Hammer has approached other communities without success. Plymouth has been Hammer's most consistent funding contributor. Approved Plymouth Housing and Redevelopment Authority February 27, 2014 Page 3 Chairman Kulaszewicz introduced Kate Frerich representing Tree House. Ms. Frerich thanked the HRA for their continued support. Tree House serves at risk teens from their location in Plymouth at Peace Lutheran Church on highway 101. This past year Tree House served 179 teens at their Plymouth location of which 97 were Plymouth residents. Tree House serves teens that may not be served through other programs and may fall through the cracks. Of the 179 teens served, 44% have been the target of a bully, 38% had suicidal thoughts, 35% cut themselves, 27% use alcohol or drugs, and 63% come from low income households. Tree House provides one-on-one mentoring to support teens with their variety of issues. Peer -based support groups are held once a week on Tuesdays. Other group sessions provided offer learning of life skills. Transportation is provided to and from the meetings. Ninety-eight percent of Tree House teens have seen a decrease in at least one at -risk behavior. Eighty-one percent have seen improved relationship with themselves or others. Ninety-three of 10th through 12th graders have started making plans for after high school. Twenty-four percent of Tree House teens are more likely to graduate from high school than their peers. Chairman Kulaszewicz asked if Tree House provides shelter for at -risk teens. Ms. Frerich replied no, however they do provide referrals. Commissioner Jelinek asked how the requested funds will be used. Ms. Frerich stated the funds will be used to provide weekly support services and one-on-one mentoring to approximately 200 at -risk youth. Chairman Kulaszewicz introduced Carol Watson representing Community Action Partnership of Suburban Hennepin (CAPSH). Ms. Watson said they provide service for a full -cycle home ownership program and make a significant difference for people buying their first home, maintaining and holding on to their home, repair services, and providing seniors information to make financially sound decisions about reverse mortgages. Ms. Watson encouraged the HRA to continue offering the FTHB program citing the Minnesota Homeownership Center has seen a decline in foreclosures and an increase in FTHB workshops. FTHB pre -purchase counseling has increased 20% in Minnesota. The trend is heading toward first-time home ownership and away from crisis management. One of the goals of CAPSH is to get first-time homebuyers mortgage - ready by helping them improve their credit rating. CAPSH serve 58 households in Plymouth last year of which 24 of those households were in foreclosure prevention, 21 were in the first-time home buyer education program, and 9 utilized the homebuyer counseling. CAPSH provides reverse home mortgage counseling however they do not promote it. They also provide a home repair program where they connect homeowners with reputable contractors to provide home maintenance. The majority of CAPSH participants are elderly or disabled. Ms. Watson said other services include energy assistance, legal services, and tax filing services. New this past year was financial training for seniors addressing scams and identity security. Approved Plymouth Housing and Redevelopment Authority February 27, 2014 Page 4 Chairman Kulaszewicz introduced Lisa Jacobson representing People Responding in Social Ministry, (PRISM). PRISM serves the Plymouth area east of 494. Ms. Jacobson explained the transportation program was shut down due to the high cost taking a toll on the entire program. This year they are requested funding for two programs: Homelessness Prevention and Ways to Work. Homelessness Prevention provides a wide variety of assistance based on needs i.e. food, short-term rent assistance, and/or transportation. Ways to Work is a national program that provides vehicles with no -interest or low-interest loans for individuals with low income or bad credit. This is not a handout; it is a hand -up. Participants must attend financial literacy classes. PRISM is seeing the "new poor" suburban poverty classification: those in need due to lost jobs, divorce, or medical reasons. Last year one-on-one counseling services were provided to 121 Plymouth residents based on their individual needs. Commissioner Jelinek asked if other means of transportation has been substituted for the PRISM's canceled transportation program. Ms. Jacobson replied there are other programs they refer their clients to. Regular riders were provided with other available services. Chairman Kulaszewicz introduced Valerie Anderson representing Senior Community Services SCS). Ms. Anderson thanked the HRA for the opportunity to be present and for their long- standing relationship with the City of Plymouth and the HRA. SCS provides the H.O.M.E Program, the largest chore -program in the state of Minnesota, that services the elderly with minor home maintenance i.e. lawn mowing, snow shoveling, minor repairs, painting, and home making services. Seniors contact SCS when they have difficulty maintaining their homes due to aging. SCS combined their North and South H.O.M.E. program into one for efficiency. In 2013 SCS had 75 volunteers which provided 200 hours of service to seniors in the City of Plymouth. Volunteers came from Plymouth Covenant Church, Breck School, and Speak the Word International Church. Background checks are performed on volunteers to provide safety. Chairman Kulaszewicz asked what percentage of the funding is for administration. Ms. Jacobson replied approximately 10% of funding is used for administrative fees. Chairman Kulaszewicz introduced Beth Yodluboy representing HOME Line. HOME Line gives tenants the tools they need to solve their own rental problems. HOME Line is requesting funding for their Community Services Hotline which provides quick, easy answers to how they can resolve their rental problems. This hotline is open to all Plymouth residents regardless of income however statistics show that 90% of callers from Plymouth are low-income. The most frequent calls pertain to repairs, eviction, or security deposit issues. Last year 216 Plymouth families were helped with the hotline service that helped with 18 possible evictions and saved residents $31,000 in retained security deposits and rent abatements for repairs. Chairman Kulaszewicz asked how their request for $8,351.00 was determined. Approved Plymouth Housing and Redevelopment Authority February 27, 2014 Page 5 Ms. Yodluboy answered the budget was divided by the number of calls and then multiplied by the number of calls from Plymouth equaling $8,351.00. Commissioner Caryotakis thanked the representatives for presenting. Commissioner Willis asked if all the organizations that were notified are being funded. Housing Manager Barnes answered no however all organizations that submitted an application were recommended for approval with one adjustment noted in the staff report. Commissioner Willis thanked the speakers for presenting their programs and the important work they do to make the lives of our citizens easier. Regarding HRA Resolution 2014-02, Commissioner Schmitt asked if there were any other options rather giving the entire overage amount to PRISM. Housing Manager Barnes replied PRISM was allocated the entire amount for continuity and for ease of tracking. He stated this could be changed by making an amendment to the resolution. MOTION by Commissioner Willis, seconded by Chairman Kulaszewicz, to adopt HRA Resolution 2014-2. Vote. 4 Ayes. 1 Abstained. Commissioner Schmitt abstained. MOTION approved. MOTION by Commissioner Willis, seconded by Commissioner Jelinek, to adopt HRA Resolution 2014-3. Vote. 4 Ayes. 1 Abstained. Commissioner Schmitt abstained. MOTION approved. 4. NEW BUSINESS A. HRA Development Opportunities Housing Manager Barnes gave an overview of the HRA Development Opportunities staff report considering entering into discussions with the City Council to acquire City owned parcels. Housing Manager Barnes stated staff has identified three city owned properties for possible HRA development. The intent for parcel #1 would be combining the properties for a single-family home, parcel #2 would be a single-family home and parcel #3 would be developed as a 4-6 multi -family dwelling project. Commissioner Jelinek asked if staff has investigated cost to develop these properties and whether they would be developed all at one time or staggered through multiple years. Housing Manager Barnes responded the HRA's contribution would mainly be the land and possibly a small amount of funds to assist with construction costs. His thought was to first talk Approved Plymouth Housing and Redevelopment Authority February 27, 2014 Page 6 to the board and then the city council to determine their interest. Then plan for the future, doing one project at a time over multiple years. Commissioner Caryotakis asked how the City would dispose of properties such as these. Commissioner Willis responded if the property were buildable then the City would sell it. He stated single family scattered site housing aligns with the HRA's mission. Commissioner Caryotakis like the idea of the 3rd parcel as workforce housing that would deliver a product in need and also aligns with the HRA's goals. He asked how much staff time would be used to develop the single family lots. Housing Manager Barnes responded no new staff would be required; it would be absorbed with current work responsibilities. Chairman Kulaszewicz stated all three properties were worth looking at developing. He suggested staff contact the city council to get their interest. Commissioner Jelinek said if the council was interested then the HRA and City Council should have a joint meeting to discuss the options. B. Election of Officers. Chair, Vice -Chair, Secretary. MOTION by Commissioner Jelinek, seconded by Commissioner Willis, nominating Chairman Kulaszewicz as chair. Vote. 5 Ayes. MOTION passed unanimously. MOTION by Commissioner Jelinek, seconded by Chairman Kulaszewicz, nominating Commissioner Caryotakis as vice-chairman. Vote. 5 Ayes. MOTION passed unanimously. MOTION by Chairman Kulaszewicz, seconded by Commissioner Caryotakis, nominating Commissioner Jelinek as secretary. Vote. 5 Ayes. MOTION passed unanimously. C. Funding HOME Line program through HRA reserves of the general fund Housing Manager Barnes asked the HRA board to fund the HOME Line program that educates high school student on renting responsibilities. The HRA stopped funding this program 3 years ago due to CDBG regulations. Housing Manager Barnes asked the board fund $1,000.00 toward this program to be used in our local high schools for the 2014 fiscal year. Each session costs approximately $250.00. Commissioner Willis asked if any other programs are funded as a line item in lieu of being budget through the CDBG. Housing Manager Barnes replied no. Approved Plymouth Housing and Redevelopment Authority February 27, 2014 Page 7 Commissioner Willis cautioned this could open the HRA to more requests for funding in this manner and it would set precedence going forward. He recommended establishing criteria for evaluating this type of funding and the satiability of such funding. HRA Executive Director Juetten reiterated the need for criteria to determine when and how organizations can request funding from the general fund. Commissioner Willis felt there could potentially be many valid programs that do not fit the CDBG criteria that may seek finding from the general fund and the HRA should be prepared. Chairman Kulaszewicz stated he was in favor of funding $1,000.00 from the general fund for the HOME Line educational program on the condition that parameters were established for funding going forward. Commissioner Willis asked if a decision must be made tonight. Housing Manager Barnes stated no. Staff could draft program guidelines, more information could be brought to the HRA board about this program, or it could be discussed at next year's HRA budget meetings. Chairman Kulaszewicz suggested the directive to be: get additional data on the specifics of this program and how the program could be funded going forward. 5. ADJOURNMENT MOTION by Chairman Kulaszewicz, seconded by Commissioner Willis, to adjourn the meeting at 8:45 p.m.