HomeMy WebLinkAboutHousing & Redevelopment Authority Packet 03-20-1997PLYMOUTH LIRA
STAFF REPORTS
MARCH, 1997
AGENDA
PLYMOUTH HOUSINGAND REDEVELOPMENTAUTXORITY
Mardi 20, I9ff7AT 7:00 P.M.
Medkdire Lake Chorencae Room, ftawadh CIV Hag
1. Call to Order
2.. Approval of February 20,1997 Minutes
3. Resolution Honoring Former HRA Commissioner Madie McFarland
4. Plymouth Towne Square Monthly Housing Reports
5. Request from the Plymouth Housing Alliance for Funding to Purchase a Single Family Lot for
Affordable Handicapped Housing
6. Request from Hennepin County to Participate in the 1997.98 Suburban Hennepin Fair Housing
Initiative.
7.. State Legislative Proposals
S. Nomination and Election of Officers
9. HRA 19% Annual Report
10. TRAILS Monthly Report
11. Supplemental Information from Greater Minneapolis Day Care Association (GMDCA) and
Westonks Community Action Network (WeCan)
12. Other Business
13. Adjournment
Prior to the meeting, at 6:00pm the HRA Commissioners have basis Invited by Hammer
Residences to a bur of the War House, 2611 Black Oaks Lane North whish was recently
renovated with the assistance of Community Development Block Grant funds provided by
J the City and HRA.
44 0
MINUTES
PLYMOUTH HOUSING AND REDEVELOPMENT AUTHORITY
FEBRUARY 20,1997
A meeting of the Plymouth Housing and Redevelopment Authority was culled to order by Chair
David Crain at 7:03 pm. on Thursday, February 20,1997.
PRESENT: Chair David Crain, Commissioner Brian Hehnken, Commissioner Pat
Pelstring, and Commissioner Brad Brown
ABSENT: Commissioner John Edson
STAFF PRESENT: Executive Director Anne Hurlburt, HRA Supervisor Ed Goldsmith,
Housing Specialist Milt Dale, Senior Clerk/Typist Michelle Rompf
OTHERS PRESENT: Council Member Ginny Black, Melody Bumham, PTS Manager
INTRODUCTION OF NEW HRA COMMISSIONER
Chair Crai.t introduced Brad Brown, the newest HRA Commissioner appointed by the City
Council. He has replaced Ma4ie McFarland who resigned in December.
APPROVAL OF M1riI1TE
MOTION by Chair Crain, seconded by Commissioner Pelstring to recommend approval of the
November 21,1996 Minutes.
Vote 4 Ayes. MOTION unanimously carried.
PUBLIC HEARING ON THE COMMUNITY DEVELOP NT BLOCK GRANT
flMMI PROGRAM FOR 1997 AND RE50LUTION rt[`naRaUi MNG A 1997 CDBG
PROGRAM TO THE CITY COUNCIL., 97-01
Chair Crain opened the Public Hearing and invited comments from the public on the proposed
1997 CDBG Program.
Jon Thompson, Executive Director of Hammer Residences addressed the Board. He thanked the
Board for the HRA's previous assistance to Hammer Residences. He outlined the work that
would be done to the property at Black Oaks Lane to improve handicapped accessibility with the
26,000 proposed for 1997.
Grace Norris, Executive Director of the Greater Minneapolis Day Care Association (GMDCA)
thanked the 9 -.rd for its previous support. She described the assistance that GMDCA has
Provided to S Plymouth families during 1996. She explained that the Plymouth funding is usedJtoprovidesubsidiestofamiliesduringthe18monthsthattheymustwaitbeforetheycanreceive
Plymouth Housing and Redevelopment Authority
February 20, 1997
Page 2
day care assistance from Hennepin County. Commissioners voiced concems regarding the lack
of residents currently receiving assistance. Ms. Norris advised the Board that she woald provide
the HRA with additional information regarding current demand for assistance from Plymouth
families. [information has been provided showing that there are 88 Plymouth clients on the
Hennepin County waiting Wt. One Plymouth client is currently being served. Additiomal
applicants will be contacted by GMDCA. A copy of Ms. Norris' response is included In the
March 20m Board Agemda.1 HRA Supervisor Goldsmith commented on the assistance that
GMDC would be providing at the Plymouth Commute West Job Fair on March 13'.
Sharon Johnson, Executive Director of Community Action for Suburban Hennepin (CASH)
thanked the Board for its previous support. She described how their Home Line programs served
300 Plymouth residents during 1996, assisted 85 with foreclosure prevention servicr provided
renter education to 1,000 high school students, and pre -purchase counseling to first time home
buyers. CASH has also taken over the energy assistance program formerly run by Suburban
Alliance. Chair Crain commended CASH for do! contributions that it has made to the
community.
Kiki Sonnen, Executive Director of Westonka Community Action Network (WeCAN) thanked
the Board for its previous support. She described WeCAN's employment program and its work
with Plymouth residents. Their job .etention rates have been 71% after 3 months and 50% after _
6 months. The average hourly wage rate has been SI0.22 per hour. Commissioners questioned
WeCAN's extension of its services into Plymouth and asked for information on Plymouth
businesses where WeCAN had placed clients. (Information on placements with Plymouth
businesses has been provided and is Included in the March 20' Board Ageada.1 Ms.
Somnen presented a draft of an agreement with Interfaith Outreach 8i: Community Partners
TOCP) and Employment Action Centers (EAC) regarding the coordination of employment
services in Plymouth. Stab's recommendation requires that WeCAN coordinate its employment
services with those provided by TOCP and EAC.
Rhonda Ferran, Acting Executive Director of Community Builders, thanked the Board for its
previous support. She described their program to buy and renovate hones to be sold to low
income first time homebuyers. Commissioners stated that they would like to see the CDBG
funds seamed by a soft second mortgage on the property.
Mary Bisek, Recreation Supervisor for the Plymouth Park and Recreation Department, thanked
the Board for its previous s4 -port and described the recreation scholarships provided to residents.
During 1996, 66 children from 40 households received scholarships averaging S32 per person.
HRA Supervisor Goldsmith indicated that because of the increased demand for public service
funds and the relatively lower CDBG ranking for this service, this would probably be the last
year of CDBG flmding for this activity. He indicated that the success of this program warranted
additional funding from the City or another source.
At this point Chair Crain closed the Public Hearing. .J
Plymouth Housing sud Redevelopment Authority
February 20, 1997
Page 3
MOTION by Commissioner Pelstring to adopt the proposed HRA Resolution 97-01, adding theconditionsthatWeCANeaterintothememorandumofagreementwithTOCPandEACandthat
Community Builders explore the inclusion of a soft second mortgage to secure the CDBG Zds
contributed to their project. Commissioner Helmken seconded the motion. The mW,,n wasopenedtodiscussion.
HRA Supervisor Goldsmith commented that since the HRA is the administering ag..ney for theCity's CDBG program, it was not necessary to include the additional items in the Resolution. He
suggested that these items be considered in a. separate motion from the Resolution.
Commissioners Pelstring and Hehnken agreed to a division of the question. Chair Crain calledforavoteonthemotiontoadoptHRAResolution97-01, Recommending the Application For
and Allocation of Fiscal Year 1997 Community Development Block Grant Funds.
Vote 4 Ayes by roll call. RESOLUTION 97-01, unanimously adopted.
Chair Crain requested that GMDCA provide clarification of the apparent lack of current
applicants for the Plymouth funding before funds from the 1997 allocation are released. Commissioners Pelstring and Hehnken agreed to this addition to their motion.
MOTION to require that WeCAN enter into the memorandum of agreement with IOCP andEAC, that Community Builders explore the inclusion of a soft second mortgage to secure theCDBGfundscontributedtotheirproject, and that GMDCA provide clarification of the apparentlackofcurrentapplicantsfo; the Plymouth funding before funds fiom the 1997 allocation arereleasedforeachoftheseactivities.
MOTION unanimously passed.
Chair Crain thanked all of the groups present for their efforts
PLYMOUTH TOWN>E SQUARE MONTHLY HOUSING Rgrm
Melody Burnham, PTS Housing Manager presented her report. The end of year financial reporthasnotyetbeenreleased. It will be presented at the March HRA meeting.
There have been problems with ice dams and condensation in the attic. It is suspected that this
may be due to a lack of ventilation in the attic. This is related to the City not allowing soffitventstobeinstalledduetotheCityinspectors' interpretation of the fire codes. $3,000 has been
spent to remove the ice dams, snow, and ice on the roof. INSPECT, Inc., a consulting firmspecializinginroofproblemshasbeenhiredtoinvestigatethisandmakearecommendation. As
part of this investigation, Mimtegasco will be doing a free energy audit of the building. ChairJ
Plymouth Housing and Redevelopment Authority
February 20, 1997
Page 4
Crain indicated concern that the HRA was required to do work at PTS that went well beyond thefirecodeandthattheCityshouldberesponsibleforthecorrections.
RFLOLUTIONS Irnsnrlr = THE HENNEPIN CO tN7'V HOUSING ANDREDEVELOP _ .NT AUTHORITY TO INCLrmt+' TEE CITY OF PLMOi:TH IAPP 'CATIONS FOR THE uMI ELMA HO tMNG EMUKE AGENCY'S
CIPATION PROGRAM—AND HO MPOVFMENTwAlYFROGAML97.02 &97.03
HRA Supervisor Goldsmith explained that state statute requires that for the Hennepin CountyHousingandRedevelopmuentAuthority (HCHRA) to provide programs in Plymouth, thePlymouthHRAmustrequestthattheHCHRAdoso. The HCHRA "as proposed to make
application to the Minnesota Housing Finance Agency (MHFA) to provide the Minnesota CityParticipationProgrambelowmarketratefirsttimehomebuyer
Low and the MHFA Home
Improvement LoPrograms to communities in suburban Hennepin County. Requesting theHCHRAtoProvidetheseprogramsinPlymouthwouldmakeadditionalresourcesavailabletoPlymouthresidentswithoutaffectingprogramsprovidedbythePlymouthHRA.
MOTION by Commissioner Pelstring, seconded by Commissioner Hehnken to adopt HRA
Resolution 97-02 and HRA Resolution 97-03, requesting the HCHRA to include the City ofPlymouthinapplicationsfortheMHFA's Minnesota City Participation Program and HomeImprovementLouPrograms, respectively.
Vote 4 Ayes by roll can. HRA RESOLUTIONS 97-02 and 97-03 unanimously adopted.
STATUS REPORT ON FRANSEN AND t> OTF trateW- MENT PRA OS i S
HRA Supervisor Goldsmith presented a report on the status of these two proposed developments. Both of these proposals. will be seeking financial assistance Som a number of sources and
various approvals from the Plymouth. Planning Commission and City Council. A draft letter ofsupportwasdistributed, discussed and revised.
MOTION made by Chair Crain, seconded by Commissioner Pelftft authorizing the Chair oftheHRABoardtorepresenttheHRA's support for these proposals before the PlymouthPlanningCommissionandCityCouncilandauthorizinglettersofsupporttopotentialfindingsourcesfortheseproposals.
Vote 4 Ayes. Motion unanimously carried.
Plymouth Housing and Redevelopment AuthorityFebruary20, 1997
Page 5
I F T10N 8 aNNUar. H!'RIBUTIONI CONTRACM HRA RESO "''ION 97-04HERBUSINESS
Chair Crain asked if this was anything more than a housekeeping item, that was needed to keeptheSection8Programrunning. HRA Supervisor Goldsmith replied that was correct.
MOTION was made and seconded to adopt HRA RESOLUTION -04, authorizing executionofaSection8AnnualContributionsContractwiththeUnitedStatesofAmerica
I LS MONTHLY REPORT
The TRAILS report was presented indicating that the program continues to operate successfully.
MER BUSINESS
No Other Business was presented.
The meeting was adjourned by Chair Crain at 9:50 pm.
CNYY y
J
3.
DATE: March 12,1997 for Houssiing and Redevelopment Authority Meeting of March 20,1997
TO: Acne W. Hurlbut
i.—I"
Director
FROM: Edward J. Goldsmith, HRA Supervisor f `
SUBJECT: Resolution Honoring Former HRA Commi`Vssi_oner Medic McFarland
Medic McFarland served as an HRA Commissioner from January, 1994 until her resignation in
December, 19%. During her tenure on the Board she participated in the development of Plymouth
Towne Square, the City's first housing exclusively for senior residents. She also served as Board
Secretary during 19%. The attached resolution has been drafted to honor Medic McFarland for bar
service on the Board.
I recommend that the Board adopt the attached resolution honoring Merjie McFarland for
her service on the HRA Board of Commissioner.
yl—
HRA. HRA RESOLUTION 9745
HONORING MARRE MCFARLAND FOR HER SERVICE AS A PLYMOUTH HOUSING
AND REDEVELOPMENT AUTHORITY COMMISSIONER
WHEREAS, Commissioner Marjle McFarland has served since January, 19% as a
Commissioner for the Housing and Redevelopment Authority In and for the City of Plymouth,
Minnesota; and
WHEREAS, Commissioner McFarland has lent her time and talents to the work of the Board
of Commissioners of the Authority; and,
WHEREAS, during Commissioner McFarland's tenure on the Authority's Board of
Commissioners, Plymouth's first housing hr low income senior eiticauh Plymouth Towne
Square, was developed; and,
WHEREAS, Commissioner McFarland has served as Secretary of the Board of
Commissioners; and,
WHEREAS, Commissioner McFarland has demonstrated her sensitivity and concern for the
citizens of Plymouth while serving on the Board of Commissioners; and,
WHEREAS, Commissioner McFarland ended her term a a Commissioner in December,
19%;
NOW, THEREFORE, BE IT HEREBY RESOLVED BY THE HOUSING AND
REDEVELOPMENT AUTHORITY IN AND FOR THE CITY OF PLYMOUTH that it
wishes to thank and recognize Commissioner McFarland for her contributions as a member
of the Board that have increased the quality of We for residents of the City of Plymouth; and,
BE IT FURTHER RESOLVED that the Authority atend its beat wishes to Commissioner
McFarland for her future endeavors.
Adopted by the Plymouth Housing and Redevelopment Authority on March 20,1997.
MEMO I
CITY OF PLYMOUTH
3400 PLYMOUTH BOULEVARD, PLYMOUTH, MN 55447
DATE: March 14,1997 for Housing & Redevelopment Authority Meeting of March 20,1997
TO: Anne Hudsil Eicecutive Director
FROM: Milt Dale, ousing Specialist through Edward Goldsmi&A Supervisor
SUBJECT: Request from the Plymouth Housing Alliance for Funding to Purchase a Single
Family Lot for Affordable Handicapped Housing
Recently we received a request for funding from the Plymouth Housing Alliance (PHA) to assist in
the purchase of a vacant lot for construction of a handicapped accessible home. Founded in 1993 by
former Plymouth mayor Kim Bergman, the PHA is a non-profit community-based housing
det,eloper.
The funding proposal is outlined in a letter from Jay Nelson, president of the PHA. Initial estimates
are that the cost of the lot would be $55,000, with the HRA contributing 50% and the other two
partners 25% each. The cost of construction is estimated to be $93,000 which is the anticipated sale
price of the house. The proposal is summarized as follows:
The PHA would form a partnership with Interfaith Outreach & Community Partners (IOCP) and
the HRA to assume ownership of the property on which the house will be built.
The HRA would own h interest in the property while TOCP and the PHA will each own'/. shares.
of the land at time of resale based on their ownership percentage.
Each partner would receive the appreciated value
The specific lot in question is currently zoned Future Restricted Development (FRD) and guided for
townhouse density. Rezoning to single family use would be required for this property. Planning
Department staff would not recommend this rezoning based on the current land use guiding. Made
aware of this prospect, PHA President Jay Nelson would like the request for fuming not to be site
specific as he believes an alterative lot can be found in the next several months.
Should the HRA elect to assist with the project for this specific individual, the assistance will have
to come from local funds. The proposed home buyer does not qualify for assistance under the
Community Development Block Grant (CDBG) program because his income is over the annual
income limits set by HUD, and only $80 over 80% of the metropolitan annual median income for a
single person. The proposed buyer is a quadriplegic who has lived in Plymouth for over ten years
and is a former recipient of rent assistance through the HRA's Section 8 program. His situation is
J quite similar to that of the Peniata family, who were assisted by both the HRA and the PHA three
years ago, in the sense that the usual avenues of assistance do not provide an opportunity for him to
reach his goal of home ownership. His current income, the MHFA maximum sales price limitation
of $95,000, and the fact that handicap accessible housing is more expensive to construct than
traditional housing, hamper his ability to qualify 'for many homeownership programs that would
enable him to purchase a home in Plymouth.
n
One of the PHA board members. Dale Hallen, secured a commitment from Tony Eiden Homes to
construct a handicapped accessible house just prior to Dale's unfortunate death last month. Tony
Eiden will be requesting his subaxmtnathms to provide reduced labor or material costs in the
construction of the home in order to keep the cost of the home affordable. One of Dale's last
volunteer efforts was to assist someone he felt would benefit by becoming a Plymouth homeowner.
I wish to add that Dale was a major contributor in providing a house for the 12 member Peniata
family.
In considering this request, staff wishes to address the following issues:
The PHA's interest in forming a partnership for ownership of property needs further
clarification as to how such a partnership would operate. To simplify the ownership, it may be
preferable to have one of the three organizations own the property with an agreement with the
other two in the form of an equity participation mortgage.
Presently, the HRA has established a maximum of $20,000 of financial assistance per eligible
recipient for its First Time Home Buyer Program while this request is for $27,500. Since the
HRA does provide additional funding for handicap improvements for its housing rehabilitation
clients, I believe an additional $5,000 over the $20,000 maximum is justifiable.
The proposal, as submitted, would maintain the atTordability of the property until such time as
the proposed buyer would sell his residence. However, there is a benefit in maintaining the
property as affordable indefinitely rather than having each partner recapturing its assistance at
the time of sale.
I believe this request has mer'.t as the PHA is exploring a unique method of providing affordable
housing by retaining ownership of the land to facilitate long term affordability. The HRA has
funding available in its Fox Forest affordable housing fund. Last year $10,000 of the $30,000
available was allocated to the Hammer Residences to make improvements on one of their group
homes. Currently there is $10,000 available from last year with another $30,000 to be paid to the
HRA in 1997.
I recommend that discussions be entered into with the PHA and IOCP to investigate the use of
mechanisms such as community land trusts and subsidy re -capture mortgages to promote long-term
housing affordability. Such mechanisms could be used to ensure that future lower income
handicapped first time home buyers would have the opportunity provided to this prospective
homebuyer. Provision could be made to require any future owner of the residence to be an income
eligible handicapped homebuyer.
I therefore recommend that the HRA llaard approve the use of up to $25,000 from the Fox
Forest affordable housing funds' account to assist the Plymouth Housing Alliance (PHA) and
Interfaitlt Outreach fib Community Partners (IOCT) in the purchase of property for a single
family+ lot in a location to be determined within the liettt al: months, subject to Board approval
of the specific development. Further, that dipasOoes be hold with the PHA and IOCP to
determine the appropriate ownership and mark le beebata%v for this type of development
to assure the long term affordability of the housing.
Mr. Ed Goldsmith
HILA Supervisor
City of Plymouth
3400 Plymouth Boulevard
Plymouth, MN. 55447-1482
Dear Mr. Goldsmith;
The Plymouth Housing Alliance, teamed with Interfaith Outreach and Community Partners, Is starting so
affordable home for an individual with a disability who lives in Plymouth. We are writing to ask the
Plymouth HRA for help with funding so we car move forward with this project.
Mr. Bill Hitz is a long time Plymouth resident who has a disability that confines him to a wheelchair. He
moves to and from his job at NSP by a specially adapted van. He is a productively employed resident and
contributes to our community through his active participation as a board member of Community Byilders.
Bill is unable to afford a home that meets hl' special needs. His income is slightly over the annual income
limits act by HUD to assist a single person household. The MHFA funded programs place a maximum sakes
price on a house that is unrealistically low In the current Plymouth housing market. Mr. Hitz's special Maeda
for accessibility adds to his basic home cost. The Plymouth Housing Alliance is planning to change this
situation. We have planned a house for him on a lot near Rockford Road and County Road 9.1 have alladwd
a biography of Mr. Hitz, the realty listing, proposed house puns, our proposed financing plan, and a
construction cost breakdown prepared by Hallen Homes.
Mr. Hitz can afford a house, but no, the land to build it on. I am writing to propose that the Plymouth HRA
team with the PHA and Interfaith Outreach to purchase that lot. We expect a lot cost of S35,000.00
maximum. TY.e budgeted home cost is 593,000.00. Construction money is available through Norwest Banka
Bill has qualified for a 597,000.00 home loan from Norwest Banks. An investment from the HRA of
527,500.00 with 513,750.00 from both the PHA and interfaith Outreach can purchase the land. We propose
that these three entities own the lot as a partnership. This partnership will give Mr. Hkz a no interest
mortgage on the lot for the time he owns the property. Our agreement will require reimbursement of the lend
owning partnership for the appraised value of the land at the time of the sale. In this way none of the partners
will lose the value of their investment dollars. During and after the project we will use all the extra money we
can raise to buy out the Interfaith outreach share in the project. Interfaith wishes to have the money back as
soon as possible so they can invest in other projects.
With your help, this project is clearly feasible. We would like to thank the HRA for its assistance to our last
project, a home the Peniata family. That partnership proved that together we can make an investment in our
community by extending an affordable home ownership opportunity to a valued resident of the City of
Plymouth. l am available at 373-4626w. nr 478-2325 h. for questions, suggestions, or comments.
incerelyi
0 4--.
Telson, President of the Plymouth Housing Alliance
i
DATE: March 12. 1997 for Housing and Redevelopment Authority Meeting of March 20,
1997,-
TO: Ase W. Hurlburt, Executive Director
FROM: Edward). Goldsmith. HRA Supervisor
SUBJECT: Request From Hennepin County To Participate In Funding For the 1997-98 Suburban
Hennepin Fair Housing Initiative
As stated in the attached letter from Mark Hendrickson of Hennepin County's Office of Planning
and Development, the County is preparing to solicit proposals to continue the suburban fair
housing initiative begun last year through December 31. 1998. 'T"- would continue the initiative
activities of education, outreach, enforcement and other fair housi.. rices. As members of the
Hennepin Housing Consortium, Plymouth and the City of Bloomington allocated $1.700 and
2.700, respectively, for this activity for 1997. The County has requested that the same amounts
be allocated for 1998 to extend the initiative through December 31, 1998. Thur Plymouth and
Bloomington allocations for 199748 would be combined with $80.000 from Hennepin County for
the 1997-98 initiative. The annual funds allocated by the HRA will not be expended until after all
County funds allocated for that year have been expended.
Under the terms of the Consolidated Plan submitted to HUD, and requirements of the CDBG
program. the City has an obligation to work with the County in promoting fair housing activities.
The alternative would be for the City and HRA to undertake our own fair housing activities.
Through December 31. 1996 the suburban Hennepin fair hosing initiative recruited and trained 37
new housing discrimination testers; conducted 80 hosing discrimination tests; served 90 low
income persons with complaint intake/referral, investigation, and advocacy; established a fair
housing information clearinghouse, and initiated a number of fair hosing educational programs.
Reports describing specific program activities are available upon request.
While Hennepin County and Bloomington have elected to use CDBG foods for these activities.
Plymouth has no uncommitted CDBG funds available. However, as was done in the two previous
years, funds would be available from the consultant services account in the HRA's General Fund
Budget.
I recommend that the Board of Commissioners audmise the HRA's participadw in the
Hennepin County Fair Hosing bdtWve through December 31, 1998, including nonuai
expenditures of up to $1,700 frau the Consultant Services Account of the HRA General Fund
J for Fair Housing Iol"we activities.
Attachment:
Letter from Mark Hendrickson, Hennepin County
Hennepin County
February 18, 1997
Ed Goldsmith
Plymouth HRA
3400 Plymouth Blvd.
Plymouth, MN 66447
RE: Fair Housing Funding
Dear Ed:
I ._ 1 u )y9•r' III
By
As we recently discussed, Hennepin County will be combining 1996 & 1997 fair
housing funding into a single Request for Proposal. We acknowledge the 01,700 your
city contributed last Fall and are now requesting a similar contribution for 1997.
Plymouth's contribution would be included in grants to be awarded under this RFP for
services from 7-1-97 to 12-31-98. Proposals will be solicited to continue Initiative
activities Including education and outreach, enforcement, and fair housing services.
Use of previously awarded funds was last reported through June 30, 1998. During the
last half of 1996 the remaining tester recruitment and training was accomplished,
twenty-five additional tests of housing discrimination were conducted and thirty-three
low income persons were served through complaint intake/referral; Investigation; and
advocacy. The Minnesota Fair Housing Center developed a catalog of clearinghouse
materials and publicised its availability In their newsletter. Next month Hennepin
County will be requesting the funds contributed by your city for these grants.
Plymouth's continued participation In this initiative will help assure fair housing
services are available to all residents of suburban Hennepin. Please let me know at
your earliest convenience if your city will be making a contribution.
If you have any questions, please call me at 641.7084.
Sincerely,
Xftll
Mark Hendrickson
Senior Planner
Office Of Planning & Development
Development Planning Unit
10709 Wayzata Boulevard, Suite 260
Minnetonka, Minnesota 55305
612) 541.7080 FAX (612) 541.7090
MEMO /.
CiITY OF PLYMOVfH
3400 PLY90UTH BOULEVARD, PLYMOUTH, MN 55447
DATE: March 12, 1997 for Housing and Redevelopment Authority Meeting of March
20, 1997 ,,,,
TO: Anne W. ti1 r1bureExecutive Director
FROM: Edward J. Goldsmith, HRA Supervisor 'I
SUBJECT: Proposed State Legislative Actions
VUU _
The Minnesota Chapter of the National Association of Housing and Redevelopment Officials
NAHRO) recently urga! local housing agencies in Minnesota, to join other organizations in
the state in opposing the Froposal, as part of welfare reform. at the legislature to reduce by
100 per month public assi:rance payments to families receiving subsidized housing assists=.
A copy of NAHRO's notice to member agencies is attached.
I Because federal housing assistance is based upon each participant contributing 30% of their
income toward their rent, the net effect of this proposal would reduce each participant's rear
payment by $30, effectively decreasing their monthly income by $70. To offset this decrease
in rent, the housing subsidy programs would have to increase their payments by $30 per
month. This would effectively reduce the number of how income families who can be assisted
by thane programs and potentially result in decreased maintenance of subsidized housing in the
SM.
Currently '21 clients on the MRA's Section 8 Housing Assistance program wand be affected
by this proposal. This additional cost world require that the HRA reduce its program by 2
clients and lox $1.187 in annual administrative funds from HUD. For Minnesota as a whole,
the U.S. Department of Housing and Urban Development (HUD) estimates that this propoad
will cost the assisted arousing programs approximately $8.9 million in increased subsidies.
Another proposal recently introduced at the legislature would eliminate the HRA's discretion
in adopting subsidy standards. Ibis proposal would require loc9l housing agencies to provide
housing and housing subsidies on the basis of separate bedrooms for siblings of the opposite
sex for all but "very young" children. The HRA's current subsidy standards specifically
attempts to maximize housing utilization and subsidy finds by giving the family the option of
having siblings share bedrooms, regardless of gender, or use the living room as a sleeping
room or have a child share a bedroom with a parent. Passage of this legislation would void
J the MRA's subsidy standard and preclude it from implementing an alternative standard. The
proposal would also have the effect of increasing the cost of providing housing assistance,
reducing the number of families that can be assisted, and nuking it more difficult for Families,
especially larger families to obtain affordable housing.
NAHRO has been researching the State Human Rights Department's determination that a
bowing preference for persons working iq:! community (such as has been.adoptod by the
HRA) is a violation of die State human Rights statute that prohibits discrimination against
persons receiving public assistance. As the result of such research NAHRO may support
legislation to permit local housing agencies to implement such preferences for persons
working, in a community.
I recommend that the HRA authorise the Chair and Executive Director of the HRA to
take such reacenable steps that they deem necessary to advise the 1997 State Legislators
of the MA's opposition to the proposed $100 reduction In crib payments to families
re dit p d& sslatance, its uppoddon to proposed legddation to restrict Meal bowing
anenclesdiscretion In adoptingbowing subsidy oc arpnocy standards and its support.d
legislation that wouhl permit local housing a to implement housing prderenoes for
iPp' m a commumily.
J
HROMinnesotaANationsil Association of Housing and Redevelopment Official
2496 145th Street West, Rosemount, MN 55068 • Telephone: (611) 4234145 Toll Fla: (800) 142.6804 Fax: (612) 42381E
E C E I V E
N 1 o OrrMemorandum
CIEY Ot FlYY0111N I
MMMIINITY EYEIOP.";.rli nE!"SfllfN'
Date: March 6. 1997
To: Agency Members
From: Patricia Gustafson, Executive Director
Re: Urgent Request
Welfare Reform Legislative Sign -0n Letter
Attached please find a SIGN -0N LETTER, TO BE DISTMUTED TO KEY
MEMBERS OF THE hi1NNESOTA HOUSE AND SENATE. As many of you keww,
dw'SI00 Provision' is still in the bill and alive and going Strong in Welfiue Rdorm
discussions at the State laud. Critical decisions will be made within the next two weeks.
This Letter is.pre eBort.to peaaprt a unused 6rora on the iawe, to h:t legidatom know how
MOW organimk um aro opposed to the provision. Please let Kirttea Bassen know a: aeon
U poSMe 16%u Can sign oeeto the letter. She can be readied at MN HousingPartttersNp, 61V 874-0112, extemion 108. A first dmR will be ddivaW to the CA;" later this week.
We will go be attempting to have an amendment introduced to eliimbste the'5100
Pnm a " langu qA however, your voice is hnportam
Any questions phase fed ft to Contact nue at 800-242.6804 or 612.4234145.
Servir w9:s;-p', Housft and Community Development Needs
Letter to Legislators: Welfare Reform Must Not Reduce Housing
Opportunities for Low -Income Minnesotans
We die under signed organizations and individuals urge the Minnesota Legislature to fully consider
the impact of welfare reforms on housing opportunities for low - e households. Housing is a
f nidmnental element of family and community stability. As such, On state should construct a
family support system which fully funds housing opportunities for lowest-incame Minnesotans.
State welfare reform efforts must not adversely affect either to housing prospects of recipients or
the state's overall stock of affordable lousing. We oppose any effort to count a portion of a
household's housing subsidy against its cash grant. Such a proposal is a short-sighted attempt to
save money, at a direct and long-term cost to welfare recipients as well as housing authorities.
Recipients whow cash grants are cut by $100 will realize a net loss of $70 in cash each month.
Although this sum might seem negligible, it amounts to a significant percentage of the total
monthly grant. As these families return to work, they will realize increased transportation, child
care, clothing. and other costa. A loss of disposable income will be a loss of "start-up" costs in
each family's effort to successfully begin work.
The "5100 provision" will adversely impact the agencies which administer federally -subsidized
housing, as well. The federal regulations which govern die Section 8 and Public Housing
programs require that tenants pay 300,6 of gross adjusted mondhhy income toward housing costs.
When these incomes drop $100 each monk die housing authorities will be required to refigure
the subsid:• shat each family receives. Subsidies will increase as family incomes decrease.
HUD's latest estimate is that in Minnesota 58.9 million in increased subsidies will be required
annually.
Federal housing assistance is not an entitlement—operation and preservation of federally -assisted
properties are subject to Federal appropriations. Over the past two years, federal housing
appropriations have been cut by over 25%. Minnesota has no guarantee that Congress will make
up any of the $8.9 million deficiency.
The long tern costs of this proposal are too great to justify the immediate savings. Deferred
maintenance on assisted units will decrease property values in surrounding communities. Income.
mixing in units (which will become necessary if marry housing projects are to remain viable) will
mean that fewer low-income families with be served. Many families receiving public assistance
will be forced to use up more of their five-year lifetime limit as they try to move to work with
decreased resources.
For all of these reasons, we oppose the "5100 provisiod". Minnesota must not overlook housing
as a fimdamemal component of its family support system, and it must not ask a portion of welfare
recipients to fmance its welfare reform efforts.
MEMO V i
CITY OF PLYMOUTH
3400 PLYMOUTH BOULEVARD, PLYMOUTH. MN 55"7
DATE: March 12, 1997 for Housing and Redevelopment Authority Mating of
March 20, 1997
TO: Anne W. Hurlbut, Executive Director
FROM;. Edward J. Goldsmith, HRA Supervisor ( ,
SUBJECT: NOMINATION AND ELECTION OF OFFICERS
According to the HRA bylaws, the election of officers is to take place at the time of the
annual mating in March of each year.
Currently. the ofiaers for the Housing and Redevelopment Authority are held by the
following:
Chair David Crain
Vke•Chair John Edson
Secretary Vacant
I recommend that the Board nomloate and elect new officers.
r
N
DATE: March 12, 1997 for Housing and Redevelopment Authority Meeting of March
20, 1997
TO: Anne Hurlburt, Community Development Director
FROM: Edward Goldsmith, HRA Supervisor Oe
SUBJECT: 1996 Annual Report of Housing and Redevelopment Authority Activities
The following is the report of 1996 activities undertaken by the Plymouth Housing and,
Redevelopment Authority:
SECTION 8 HOUSING ASSISTANCE PROGRAM
During the cause of 1996, there has been a number of exciting and challenging changes in the
administration of the Section 8 Housing Assistance program by the Plymouth HRA.
At the Federal level, HUD developed a variety of changes to the Section 6 prop,.. -Pm
regulations which affected the administration of Section 8 in Plymouth. Stats has incorly -, !-4
these regulation changes into its Section 8 Administrative Plan (only two other metre
housing agencies have accomplished this). Staff spoke at a Plymouth Apartment Ma:,b.
Association meeting and a Minnesota CrunL-Free Multi -Housing Association training
explain and discuss how the Federal changes affect their tenants. Material explaining the nrw
changes was developed and sent to all landlords participating in the Section 8 program in the
City.
The Plymouth HRA took over the
administration of 29 Section 8
Vouchers being used in Plymouth
which were formerly administered
through the Metropolitan HRA. As of
December, 1996 the number of
voucher holders in Plymouth increased
to 34 clients. Administering vouchers
has both increased the client load and
increased the number of eligible
landlords (as some unit rents are
ineligible for the certificate program
but, eligible for the voucher program).
Staff also saw a slight increase in the
1
Porting to other jurisdictions of from nine in 1995 to four in 1996. This has caused a slight
urease in the number of certificates Plymouth HRA is actually administering. This significant
increase in workload was absorbed by existing HRA staff with minimal additional administrative
cost.
As the number of portable clients residing in Plymouth has creased and the cumber of Plymouth
Mems residing elsewhere has decreased, the number of administrative foes paid to the Plymouth
HRA has increased. In 1996. Plymouth was paid $45,693.13 for portable clients administered by
Plymouth and Plymouth paid $3,127.08 to other housing agencies for administering our portable
clients. Compared to 1995, in which $29.629.46 was received by Plymouth and $7,412.60 was
paid out.
The combination of the HUD regulation changes that have made it easier for laodlorda to
discontinue their participation in the Section 8 program while rental vacancies have decreased and
rents have creased has made it .more difficult for staff and clients to find affordable housing in
Plymouth. In order to maintain the number of units eligible for the program, staff made an
application for exceptions to the Section 8 certificate program's Fair Market Rent (FMR) limits for
Plymouth. HUD can approve such requests up to 20% over the FMR. HUD approved that
request in November 1996. The current rent limits are:
Unfit Size HUD Metro FMR Exception Rem Percent over FMR
1 Bedroom 486 575 18%
2 Bedroom 621 745 20%
3 Bedroom 841 984 17%
4 Bedroom 932 096
Too few qualhft tour bedroom uft exit in Plymaah toiutdy neo exception ram. HUD will eomider
iedividud exeepdam on a cue by ase basis up m 20% over the Ftd9t.
As of December 1, 1996, there were 18 apartment complexes and 7 single property owners with
active Section 8 tenants. In December 1, 1993 there were 13 apartment complexes and 7 single
Property owners Participating. Only three of the single property owners were participants in both
1995 and 1996. The increase in the number of complexes that are current participants is due to
our assumption of the administration of the Metropolitan HRA's Section 8 vouchers; however,
only 8 complexes are currently accepting new Section 8 tenants. Two of the participating
complexes have limited their participation to no more than 25% of their units being leased to
Section 8 tenants. It is anticipated that more complexes will choose to limit the muriber or percent
of units under rem to Section 8 clients.
Our average rent subsidy has creased for each bedroom size. Housing Assistance Payments
HAP) for December 1996 averaged $481 while the average HAP in December 1995 was $445.
This is consistent with the average gross rent of the assisted units which creased from $657 in
December of 1995 to $684 in December of 1996. The average Total Tenant Payment (TTP)
towards rem and utilities remained constant with a slight drop from $205 in December, 1995 to
199 in December, 1996.
2
Average Rent 19921998
5•
roe
eW •
200
AAI
0, TTP
During 1996, Plymouth HRA did not accept any new applications for the Section 8 program. Stats
made selections for the program from the waiting list of 179 households that was established in
September, 1993. As of December 31, 1996 the waiting list for assistance contains 75 households.
The decrease in W-.icants is due to selections made from the waiting list and households removed
from the waiting list because they were no longer interested or in need of rental assistance. During
1996, 27 certificates were turned over to new clients as other clients "a the program.
In July, 1995, Plymouth HRA in
Cooperation with the St. Louis Park 1999 TRAILS Padkipaut Aadvlttee
Housing Authority and tie Employment nsaaem M
Action Center established a family self- 13%
sufficiency program for housing rau seam
assistance recipients of the two housing 7S% Jj t q"W
agencies. The program is entitled voeasaw
m%
i TRAZW (Training and Resources to Tmkft tat%
Attain Individual Long-term Success).
Employment ACtton Center rs provudmg
case management for the TRAITS clients, the two agencies renewed the contract with Employment
Action Center for case managementservices in July, 1996. There are currently 23 clients
participating from the Plymouth Section 8 program. The goal is to keep 24 Plymouth clients
engaged in the program. Once there are 24 active clients, a waiting list will be formed.
The TRAELS program provides a financial incentive to participants to obtain living wage
employment. The incentive is that as clients' incomes increase and their housing assistance
decrease, the HRA will contribute funds to an escrow account. Once the client has completed their
family self-sufficiency contract.• the escrow account may be released to them. The program has
shown to be very successful. One Plymouth client has already completed the Contract of
Participation after accumulating $918.00 in their escrow account. As of December 31. 1996,
eleven clients were contributing to an escrow account with monthly contributions between $14.00
and $361.00.
3
Average ttlonmry Eeerow conteibudoaa IM
8 eo.ao ,
8,40.00
8,20.00
00.00
MAD
40.00
loan
s•
Section 8 Program Goals for 1997
Continue to operate the program within budget.
Comply with all applicable federal rules and regulations.
Maintain a 10096 certificate utilization rate.
Develop activities to encourage more Plymouth landlords to participate in the program.
PMIINT BLOCK GRANT (CDBG) PROGRAMS
The Plymouth Housing and Redevelopment Authority (HRA) is responsible for administering the
Federal Government's Community Block Gram Program for the City of Plymouth. Each year. the
U.S. Department of Housing and Urban Development (HUD) provides financial assistance to the
City of Plymouth in the form of an annual federal grant. The grant amount varies from year to
year. depending on both the formula established by HUD as well as the amount of flmding
approved by Congress and the President. In 1996 the City of Plymouth was awarded a total of
323,000, which was equal to the amount awarded in 1993.
In 1996, the Plymouth City Council approved a funding schedule proposed by the HRA,
rccommendiog the following prograi.: appropriations:
1. Housing Rehabilitation Program 103.000
2. Affordable Housing Assists= 73.300
3. Hammer Residences 30,000
4. Greater Minneapolis Day Can Association (GMDCA) 23.500
3. West Tonka Community Action Network (WeCAN) 7.500
6. Community Action for Suburban Hennepin (CASH) 7,300
7. City of Plymouth Park and Recreation Scholarships 5.000
B. TRAILS 2.000
9. Administration 52.000
The City Council approved this funding schedule prior to HUD's determination of the final award
amount. The total amount of CDBG program funds was estimated at $304.000, including an
anticipated $4,000 in program income. The Council approval provided that 85 percent of all E
CDBG funds in excess of $300,WD would be allocated to the Affordable Housing Assistance
4
program and 15 percent would be allocated to the TRAILS program. Funding to these two
programs was thus increased by $19.550 and $3,450 respectively.
The tems-•ider of this report briefly summarizes the functions and accomplishments of the eight
activities listed above.
In 1975 the City of Plymouth issued a grant to an elderly couple living in a converted cabin within
30 feet of Medicine Lake. Their well had gore dry and the City grant helped to pay for the cost of
book -up to City water. This assistance marked the emergence of the Hone Rehabilitation Program
and it has run contimrously ever since. Approximately 175 homes have been improved since that
first grant was awarded.
Demsod for assistance has varied from year to year with 1996 having the largest number of
applicants processed for assistance. This was due to an excess demand for assistance that started in
the summer of 1995. Applications received in 1995 were held over for nearly a year until the next
year's funding became available in early 1996. A total of 29 applications have been received since
February 1995 and many of these applicants have now been approved for assistance. Work is
being completed on seven homes where repairs were started in late 1994 and early 1995 but were
delayed due to the excess demand. Applications for emergency repairs are given a first priority
with other applications approved based upon date of application.
During 1996 eleven homeowner received funding for a variety of bome improvements. A total of
52,841 was expended through the end of 1996. With a balance of $61,094 available. the City has
adequate funding available through June 30, 1997, the end of the .1996 finding year. Program
income received in 1996 was $11.865.
Considerable effort was put into revising the Housing Rehabilitation Guide in 1996. This revised
guide was approved by the HRA on November 19. 1996. One of the major features of the revised
guide is its emphasis on encouraging homeowner applicants to utilize other funding sources where
available and appropriate before the City's fulls. This will allow the HRA and City to assist more
residents.
Affordable HmIsill Amistartee
This activity is also referred to as the Plymouth First Time Homebuyer Program and has provided
financial assistance to first time homebuyers since 1990. For the last two years the HRA has made
an effort to combine this assistance with programs sponsored by the Minnesota Housing Finance
Agency MWA). In 1995 the City of Plymoutht< participated in the MHFA Minnesota City
Participation Program (MCPP) and in 1996 we began participating in the MHFA Community
Activity Set -Aside (CASA) Program.
Under the CASA program a total of one million dollars in mortgage financing at 6.8% interest has
been set-aside by MHFA for first time homebuyers in the City of Plymouth. Five area lenders
have been approved by MHFA to qualify buyers under this program. The lenders are Residential
Mortgage Group of St. Louis Park, Family Mortgage of Plymouth, Inland Mortgage of St. Louis
Park, Bell Mortgage of St. Louis Park and Norwest Mortgage of Maple Grove. A total of seven
homebuyers have closed on Plymouth residences in 1996 utilizing $563,467 in MHFA mortgage
money. There is a total of $436,533 remaining to be utilized by April 26, 1997.
Two of the homebuyers wbo received CASA mortgage money have also received City First Time
Homebuyer Program assistance, while another homebuyer needed only City assistance. As of year
end. a total of $30,849 of CDBG funding has been expended on this activity. The program
generated $9,000 in income in 1996. ending the year with a balance of $72,037 available to
provide additional assistance.
One of the most challenging aspects of making this program worm in Plymouth is the high cost of
housing in the City. The MHFA programs limit the purchase price of a horse to under $95.000.
Every year housing under this amount in Plymouth becomes less and less available. Rarely will a
first time homebuyer find a single family detached home selling for under $95,000. We have
encouraged MHFA officials to raise the maximum sale price but they have responded that state-
wide the limit is reasonable and their funding is fully expended each year. The CDBG program
heads do not have this price limitation but potential Plymouth itonebuyers still face the very
serious shortage of hones priced at an affordable level.
This non-profit corporation nerves developmentally disabled and other special needs persons by
providing group horsing accommodations in the communities of Plymouth, Wayzata and
Minnetonka. Hammer Residences have provided this service for over 70 years. Currently. 13 of
time group hones are located in Plymouth. In 1995. the City allocated $30.000 toward
handicapped accessibility improvements at the Tyler Residence to provide for a wheelchair lift to a
physical therapy area in the basement. This work has been completed and residents are now able
to enjoy access to a large open ares for physical therapy.
Greg Minneapolis Daffy Care Association (GMDCA)
The GMDCA provides financial assistance to qualifying families to cover the cost of day care for
their children. Subsidy payments are based on family income. This activity has been funded with
City CDBG funds for the last 13 years. During the last ten years the HRA has provided from
20,000 to $25,000 annually. In 1996 this activity received $23,500. As of the end of December,
12,164 has been expended leaving a balance of $11,338. By December 31, a total of 8
households with 13 children receiving child care services have been assisted with sliding scale
assistance payments to their day care providers.
West Tonics Community Action Network (WeCAN)
This year was the first time the HRA provided a grant award to WeCAN, a non-profit agency
serving thirteen western Hennepin County suburbs. A total of $7,500 was allocated to this agency
to assist unemployed and under -employed Plymouth residents to find jobs or to receive job
training. WeCAN has served 26 residents in 1996 and 13 residents were placed in jobs or career
training programs. The average wage at placement for the 10 persons placed in jobs was $9.95 per
hour. WeCAN used its funding allocation from tie HRA for job counseling, outreach and job
development along with the cost of printing. mailing and supplies for the Plymouth component of
the Jobs Program Job Link computer services.
1
6
Commuoky Adion for Suburban Hennepin (CASH)
The HRA has provided funding for this non-profit agency in the past and reallocated funds for
1996. In 1996 die HRA awarded $7,300 to CASH to fund two of its programs offered through its
HOME Line program: tenant counseling services and mortgage foreclosure prevention counseling.
As yet a final request for rem has not been made by CASH but an earlier release
showed that the Tenant Hotline bad taken 181 unduplicated calls and die Homeowner Counseling
service had conducted 13 unduplicated counseling sessions during the first six months of 1996.
We anticipate this fulling will be fully expended within the next two months.
City of Plymouth Parc and Retireetlon Scholarships
1996 marks the third year the HRA has provided funding to this City sponsored program. This
prograut is designed to enable youngsters from lower income families to enjoy Park and Recreation
Department programs at a reduced cost. A total of $3,000 was made available for scholarships for
the 1996 program year. As of December 31, 1996, $3,039.93 had been expended to provide
assistance to 66 individuals from 40 households to attend 96 activities.
Traidug and Resources to Attain Individual Long-term Success (TRAILS)
A report on this activity is part of the 1996 Annual Report on the Section 8 Housing Assistance
Program. bddally $2,000 in 1996 CDBG assistance was allocated for this activity but an
additional $3,430 was made available when die final 1996 gram award was dere mined by HUD,
bringing the total allocation amount to $3,430. These funds are being applied toward the cost of
administering the program in Plymouth. See the preceding report on die 'ERA's Section 8
Program for additional information.
Total Number of Plymouth How Served Through CDBG Programs Administered
TWouab the Plymouth HRA.
Prole Number of Number of
Households Served Individuals Served
Housing Rehabilitation Program I 1 households
Affordable Housing Assistance 8 households
Hammer ResidencesMler Residence
Greater Minneapolis Day Can
Association (GMDCA)
West Tonka Community Action Network
WeCAN)
Community Action for Suburban
Hennepin (CASH)
City of Plymouth Park'and Recreation
Scholarships
6 individuals
8 households 13 children
26 individuals
214 individuals
66 individuals
TRAILS 27 individuals
Total Number of households served 27 households
Total Number of h0viduals served 392 Individuals
Pn nrodoo of Fair Homing Activities
Under the CDBO regulations the HRA is required to promote fair housing activities to address
issues of housing discrimination. To this end the HRA elected to continue its participation in the
Suburban Hennepin County Fair Housing Initiative. The initiative provides funding to promote
fair homing choice, testing, enforcement, information -annd referral in suburban Hennepin County.
The $1,300 allocated from the HRA General Fund for 1996. was matched with $2,000 from the
City of Bloomington, and $33.000 from the Hennepin County CDBG program. Services for the
Fair Homing Initiative are provided by The Suburban Hennepin Anti -Racism Coalition, the
Minnesota Fair Homing Center, and the Housing Discrimination Law Project of the Legal Aid
Society of Minneapolis under contract to Hennepin County.
CDBG Program Goals for 1997
Operate the Program within budget.
Comply with all applicable federal rules and regulations.
Develop revised guidelines for the First Time Homebuyer Program.
Have 80% of 1996 fading spent or committed by the rad of 1997.
During 1996 Plymouth Towne Square (FTS) completed its second year of occupancy. The year
began with all 99 units tally occupied. Walker Management contin rd as manager of the property
under a management contract with the HRA. The HRA conducted a review of Walker's
management of the property and compared it to management available from a number of other
private management frons. The conclusion of the review was that Walker Management was
providing an exceptionally high level of management services to the MRA and the Plymouth Towne
Square residents at the most reasonable cost. As a result the management agreement with Walker
was extended for an additional year.
A prune focus of operations at Plymouth Towne Square during the year las been the continuing
development of a spirit of community among the residents and providing residents with opportu-
nities to be involved in activities that encourage both emotional and physical health. Activities at
Towne Square during the year have included building celebrations for St. Valentine's Day, St.
Patrick's Day, Older Americans Month (May). National Night Out. FTS's second anniversary
October). Halloween. Thanksgiving, and Christmas. There were monthly pancake breakfasts
open to all residents, their families and friends; monthly resident get-&Wthas; monthly
celebrations of residents' birthdays, movies on Saturday nights; and weekly toffee hours, one for
all residents and one for men only. Money and labor were contributed by the residents to
construct garden plots that were used by I 1 residents. An .outdoor gas barbecue grill and picnic
table were installed for the use of the residents. Money was raised by the residents to purchase a
pool table for the activities room. In spite of some initial concerns, the pool table has become
quite an attraction for residents. A munber of women residents have taken up the sport for the first
time. Monthly wellness clinics that include blood pressure checks by a Walker nurse and wellness
seminars with speakers on health topics have been available at the building. The Greater Lake
Country Food Bank provides donated foods to help residents to stretch their budgets.
Congressman Ranatad and County Commissioner Penny Steele each paid visits to the building
sponsored by the Food Banc. Congressman Ramstad donated a United States flag for the building.
8
The flag had been flown above the Capital building in Washington. DC before it was presented to
Towne Square.
r-1 The year ended with a number of construction issues being resolved. A solution was found for the
fasciathat had blown off of the building and it was replaced by the contractor. The cause for
water seepage near the electrical panel in the basement was identified and corrected. The
settlement cracks in the abeetrock were patched. All of this work was done at no cost to the HRA
by the building contractor. Some additional work was paid for by the HRA. Roof gutters were
added in a munber of areas with poor drainage to eliminate water seepage into the basement.
Snow/ice diverters were installed over the entranceway to reduce the possibility of falling ice at the
drive-up and entrance to the building. It was determined that winter ceiling leaks could be related
to the attic ventilation. These will be further investigated in 1997 and a solution proposed.
The year ended with one vacancy at the building. Occupancy at the end of the year included:
Average
Total 1 Person 2 Person Average Average MonthlyHouseholdsHouseholdsHouseholdsWomenMenAgeIncomeSubsidy
96 71 25 90 29 75 years $13,311 $206
64 tenant households received low income subsidies averaging $131 per month.
33 tenant homeholds received very low income subsidies averaging $352 per month.
27 very low income tenant housebolds, receiving low income subsidies, were on a waiting list for
very low income subsidies at the end of the year.
279 eligible senior households were on a waiting list for apartments at PTS at the end of the year.
Of three households 166 were low income ($17,351 for a single person / $19,831for a couple to
27,80 / $31,750) and 113 were very low income (less than $17,350 / $19,850).
Plymouth Townie Square Program Coals for 1997
Operate the facility within budget.
Continue to monitor Walker Management's operation of the facility..
Resolve remaining construction issues
HOUSING REVENUE BONDS
During 1996 HRA staff continued to use the City's authority to issue tax-exempthousing revenue
bonds to leverage additional resources for affordable housing in Plymouth. Parkside Apartments at
Medicine Labe completed occupancy of the 21 fruits that were required to be set-aside at affordable
rents at 60% of metropolitan area medium income as a condition of the City's issuance of tax-
exempt housing revenue refunding bonds in 1995. Sixteen (76%) of these units were occupied by
persons with incomes below 50% of metropolitan area medium income, the remaining five units
24%) are occupied by persons between 50% and 60% of area medium income. One of these units
houses a participant in the ERA's Section 8 rent assistance program.
Tax-exempt refunding bonds totaling $11,500,000 were issued for Fox Forest Apartments during
1996. Staff attempted to negotiate rents for a small portion of these units that would be affordable
to low income persons. However, during these negotiations it became apparent that it would be
economically infeasible to provide affordable rem because of the existing rent structure. As an
alternative, an annual bond fee of $30,000 to be paid to the HRA to support affordable housing in
9
Plymouth was agreed upon with the owners. The fee is to be paid send-atmually, for the term of
the bonds. The bond tenn is a minimum of ten to a maximum of twenty years.
Tax exempt bonds totaling $7,685,000 were also issued for the purchase and rehabilitation of the
At the Lake Apartments. Federal statutes and regulations require that 20% of the units at this
property must be occupied by Persons with household Pncomes no higher than 50% of the
metropolitan area median income, but with no rental or affordability restrictions. As a condition
of the issuance of these bonds, HRA staff required that an additional 20 (10%) of the units in At
the Lake Apartments must be affordabb to and occupied by persons with incomes no higher than
50% of the area median. At the aid of 1996, At the Lake was in the process of renting -up these
affordable units.
Rewsme Bond Program Goals for 1997
Continue to utilize City's ability to issue revenue bonds for private development to encourage
and support affordable housing.
Develop City revenue bond policies that will support affordable housing.
UAPLEMENTA77ON OF THE METROPOLITAN LIVABLE COM MUNITITS ACT
During 1996, HRA staff took the lead in developing the City's response to die requirements of the
Metropolitan Livable Communities Act (MLCA). Development of the near Housing Plan and
Housing Implementation Program that was adopted by the City Council as the City's MLCA
Housing Action Plan was primarily accomplished by HRA staff. The Plan was fust presented to
the HRA for review and then the Planting Commission before its submission to the City Councilforadoption. The Plan was subsequently given favorable reviews by the Metropolitan Council
staff and housing advocacy groups in the metropolitan area.
HRA staff have- talon the initiative in implementation of the City's Housing Plan. This has
Included working with private developers, City staff, local organizations and other government
agencies to promote development that supports the City's housing goals. The twenty units of
affordable housing that was included as part of the At The Lake Apartments revenue bond issue
were part of this initiative. Discussions with The Roulund Company, Inc., ComnmonBond
Communities, and Ftansen Real Estate regarding their housing development proposals in Plymouth
have focused on meeting the City's Livable Communities housing goals.
At the end of 1996, HRA staff presented a recommendation that the City continue its participation
in the MLCA for 1997. This recommendation was presented to the HRA and Planning
Commission for their support before it was presented to .the City Council for adoption.. On
November 6, 1996, the Council elected to continue participation in the MLCA for 1997.
Metropol tan Livable Canmtioifhe Program Goals for 1997
Continue impkmemation of the City's Housing Plan.
Encourage private developers to include affordable and lifecycle housing development that
meets the City's Housing Goals.
Work with the Rottlund Company and Finasen Real Estate on development of their proposals
to encourage quality development that will be well managed and contribute to meeting the
City's Housing Gosh.
As appropriate utilize available resources including opportunities to apply for Minnesota
Housing Fins uoe Agency (MHFA). Metropolitan Council, U.S. Department of Housing and
Urban Development (HUD) and other funding sources to support development that mats the
City's Housing Goals.
10
Respond appropriately to other opportunities for affordable and lifecycle housing as they
occur.
Work with individuals and groups within the City to develop support within the community for
implementation of the City's Housing Goals.
HOUSING DeROVE302U AREA
On August 1, 1996. new state legislation went into effect that authorizes cities to create Housing
Improvement Areas (HIA) for the purpose of making improvements to private residential property
in a specific arra and charging the costs to the affected properties. The statute requires that a
minimum of 25% of the owners of the property in the area must petition the City to create the
HIA. Objections from either 3396 of the residents or residential property owners in the arra can
pervert establishment of the HIA. Establishment of the HIA is solely at the discretion of the City
subject to the preceding actions.
Representatives of two homeowner associations contacted HRA staff during 1996 regarding City
assistance in financing improvements to their townbomes. They were made aware of the new,
Housing Improvement Area legislation. On December 18, 1996, petitions were received from
homeowners in the Shenandoah Townhomes to establish a HIA for the purpose of installing new
siding on their building.
Houslmg Impirovennul; Area Program Goals for 1997
Work with Shenandoah Townhomes to process their petition and perform any necessary follow-
up.
Respond to inquiries regarding use of the Housing wnprovement Area legislation
HRA REPRESENTATION IN LOCAL, STATE AND NATIONAL AFFORDABLE
HOUSING DISCUSSIONS
HRA staff have been active in representing the HRA and the City in a number of local, state-wide
and regional initiatives for affordable housing. As members of the National Association of
Housing and Pedevelopmett Officials (NAHRO) and the Minnesota Association of Local Housing
Finance Agencies the HRA staff is kept up to Gxc on activities at the state and federal levels. In
addition staff have participated in meetings with County. Metro, State. and Federal officials and
elected representatives to discuss programs and legislation that affect local activities related to
housing development.
HRA staff have also been active in a number of metropolitan initiatives to improve the
administration of affordable housing programs in the region. Staff meets quarterly with officials
front the local office of the U. S. Department of Housing and Urban Development (HUD) and staff
from other housing agencies in the metropolitan area to discuss administration of the Section 8 and
Public Housing programs. Staff are participating in meetings Meld by HUD to discuss and resolve
issues that have been raised by local housing officials in the administration of the Public Housing
units that are to be disbursed among suburban communities as part of the settlement of the Holhman
vs. Cisneros at al lawsuit brought against HUD, the City of Minneapolis. Minneapolis Public
Housing Authority, Minneapolis Community Development Agency, and the Metropolitan Council
by Minompolis Legal Aid and the National Association for the Advancement of Colored People
NAACP). Staff is participating in an initiative of the Minneapolis -St. Paul Family Housing FundJandtheMcKnightFoundationtodevelopmechanismsthatsupportthedevelopmemofwell
designed and managed affordable housing in suburban communities. Staff is also actively involved
11
in the development of "The HousingLink, a metropolitan affordable housing clearinghouse 'and
information center that is being established to work with affordable housing providers, social
service agencies, low and moderate income renters, and other government agencies to improve the
system of linking those in need of affordable housing to available resources.
HRA Rep on at Affordable Housing Discussions Goals for 1997
Contimte to participate as appnortiate in local meetings on affordable housing. to represent the
City's interests and to maintain recognition of Plymouth as a connmumity concerned about
meeting demonstrated needs for affordable and life -cycle housing.
Continm. to maintain knowledge about affordable and life -cycle housing including local,
regional, state, and federal resources and programs.
Keep the appropriate City officials advised about any policies. programs, legislation. or other
activities that would affect the City.
PLYMOUTH ECONOMIC DEVELOPMENT FUND
In 1996. the HRA was designnpted by the City Council to administer the Plymouth Economic
Development Fund (PERF). During the year the HRA participated in the development of the
guidelines for the Fund. The Fund will be capitalized from the first $1110.000 in principal plus
interest tubba paid by Value R. in repayment of a loan from the Minnesota Department of Trade
and Economic Development's (DIED) Economic Recovery Program (ERP). Over a two year
period, beginning in 1997. approximately $125,000 in repayments are expected to be deposited
into the PEDF. The ERP loan to Value R. was approved by DTED in December. 1996.
The PEDF is intended to provide loans at favorable terms for business activities in Plymouth that
would make feasible projects, which create new jobs, increase the tax base. or leverage other
needed economic development funds. Once the fund has been capitalized. the HRA will be able to
publicize the availability of funding.
Plymouth Eeonomk Development Funtd Program Goals for 1997
Develop administrative procedures for operation of the Fund.
Develop a publicity strategy for the Fund.
HOME REMODELING FAIRS
For the forst time, the HRA participated in two area home remodeling fairs as a means of
encouraging Plymouth homeowners to improve and upgrade their homes. The City of Plymouth
staved as a sponsor of the Northwest Suburban Remodeling Fair, along with the cities of
Robbitnadale, Crystal, New Hope, Brooklyn Center, and Brooklyn Park. CO-OP Northwest and the
Northwest Hennepin Human .Services Council. HRA staff was actively involved in the planning.
promotion. and operation of rhe Fair. The Fair was held on Saturday, March 16,1996, at the Park
Center High SchoA. The HRA also promoted the Hots Remodeling Fair sponsored by the cities
of St. Louis Put, Golden Valley, Hopkins and Minnetonka at the Eisenhower Community Center
held on Sunday February 25, 1996.
Heme Remodeling Fairs ProWam Goals for 1997
Participate with other cities in remodeling fairs for 1997.
Increase proaotional.efform to encourage Plymouth bomeowners to attend these fairs.
12
MVAI 0Kel" ,14;kNA4i[•];cN4;rd4
w mwe were. March 12, 1997
FAST IWK
Mmmm Fanny Im aW
Regon .
MAP Fah-o1
11A.R s. . Mr. Edward J. Goldsmith
vim$
Wag a Amaro Now Supervisor
ftwvlknrimmb en Housing and Redevelopment Authorityei. M
paw Meq.were City of Plymouth
cep« 3400 Plymouth Blvd.
aroom.a waw: mgbn,
Moyle ww*« pmr" Plymouth, Mn. 55447
SOM 2M
Subr,ban Ab" PA
wti, cAN Job ecu Dear Ed:
re1M ee...
Hw1i'm Wiga hawF.ndosed is the monthly outcome report for the T.R.A.I.L.S. Program for February.
No. chwm
SAurbon VOA PA
As the report shows, Tracy has 65 participants wrreruly enrolled, and we will be
continuing our rwuitment efforts in Plymouth both to fill current slots and to replace
participants that successfully complete the program or leave for other reasons.
Next months quarterly report will provide more detailed information on."'the progress of
participants in the T.R.A.I.L.S. program.
Than you and please contact rum at 9241272 if you have any questions or concerns.
T. Meehan
Program Director
J6715 Minnetonka Boulevard, Suite 212
Minneapolis, Minnesota 55426
612) "S-9195 FAX 924.1295 TDD 924.1297
An EqW OwwWwyrAlrwWwe Acton wAOow
T.R.A.I.L.S.
FSBRyARY,1997 Outcome Report
Py 096 ( July 1,1996 - June 30, 1997)
current Cummulative
Month P!! 1996
t1lO1RAGINLIA
Plymouth 0
St..Louis Park Q
ZOtal 0
Employed
Vocational Training
English as a Second Language
Job Search
Assessment
M"
W
Elm A=
18-24 1 0
25-30 10 15
31-40 10 19
41-50 1 5
50+ 2 2
Ram
24
Al
65
PY96
Man
B m z=
35 13 22
12 5 7
1 0 1
11 4 7
A a 4
65 24 41
African Americanlx8 X19
European Americanl6 22
Z@ZMLOdtidna,l (Cumulative)
Hot Self -Sufficiency Goals i
Withdrawal by Participant 3
Administrative termination 4
Sec.S portability transfer i
Eli® A=
13 13
Elm SLE
1
2 1
3 1
i
24
60
am
Female E23® A35
hale 1 6
e
GMDCA..
F=3 l GREATER MINNEAPOLIS
DAY CARE ASSOCIATION
1628 Elliot Avenue South
Child Care Leadership and Services Tel. (612) 41-1177
04-1657
En (612)341.4356
February 24,1997.
Vo w'TDD (612) 341-2066
David Crane,Chair of the Housing and Redevelopment Authority
Members of the Housing Authority
City of Plymouth
3400 Plymouth Blvd.
Piymouth,MN 55447
Dear Mr. Crane and Housing Authority Members,
Thank you for all the time you gave me to explain the GMDCA
child care sliding fee program Thursday night. I apologize
that I was not better informed. Today I met with Laurie
Poesin, director of the subsidy program here at GMDCA.
First of all Laurie reminded me that your funding cycle
changed last year,so that GMDCA was trying to spread last
year's allotment over 18 montha,not 12 months. Then she
stated that late last November Hennepin County took 500
families off the waiting list on to the subsidy program.
This meant that all the Plymouth families were moved on to
county funding. So applications were sent out to the topsixPlymouthfamiliesonthewaitinglist. None of these
families responded. So another ten applications were sent
out to the next Plymouth families on the waiting list.
There is now one Plymouth family being served with your
money. Laurie said that her staff will immediately send out
more applications to Plymouth families on the waiting list. As you pointed out,and Laurie concurred,vith 88 Plymouth
families on the waiting list,there are surely other families
that should be served.
I asked Laurie about statistics on how many PlymouthfamiliesalsoworkinPlymouth. That information is not on
the computer,but they could get it from the information forms. Laurie said that about 5% of all those families on the
subsidy program drop off because they lose/leave their jobs.
I am enclosing the evaluation of the subsidy programs that
GMDCA did last summer,to give you more information abouttheprogram.
Thank you again for your past support of the program. I
hope this letter answers your questions. If not -please call
and I will get more information for you.
Sincerely,
Warrts
Community Lia igp PUBLIC EDUCATION AND ADVOCACY
Kf:FtRRALS • CAREGIVER TRAINING • FEE SUBSIDIES
Greater Minneapolis Day Care Association - 1996 Subsidy Program Summary /,%
Total Number of children served = 1607
Total Number families served = 994
Total Dollars spent on direct service = $3,505,808
Total Number of families placed on the waiting list = 1436
Minneapolis Emergenry Fund served 138 children from 83 families. $51,816 wan spent oa services thisEmerlyMethodistHospitalFoundation), to be able to serve families in the western suburbs. This year weed11childrenfrom17familieswithemergencychildcarefromthisfund.
American Indian Scholarship Fund served 22 children from 20 families. Fundutg for this program isprovidedbytheO.P. and W. E. Edwards Foundation, with $44,926 spent in FY 19%.
Increased [unding became available for the State Sliding Fee Program because the State Legislaturesupportedincreasesfortheprogrambothin1996andintheupcoming1997FiscalYear.In partnership withHennepinCounty, an additional 500 families will be served because of the new finds available. GMDCAservedatotalof1064childrenfrom636families, spending $2,920,760 on the State A(Basic) Sliding FeeProgram.
i
Suburban Parent's Assistance Funds helped 121 families and 172 children during Fiscal Year 1996. Wedisbursed $179,244 in assistance to child cage providers on behalf of parents living in communities wheretheaelectedofficialswantedtoassistparentswhowereonthecounty -wide waiting list. This moneyslwrtensthewaitingperiodbyatleasttwomonthsforfamiliesinthosecontmumties. The participating citieswere; Brooklyn Park, Crystal, Edina, Eden Prairie, Golden Valley, Hopkins, Maple Grove, Minnetonka, New Hope, Plymouth, Richfield, Robbiesdale and St. Louis Park.
Minneapolis Parent's Assistance Fund'served 89 families and 143 children with $199,623 spent on childcareassistance. In addition, there were 34 families and 51 children served by Minnapoii—Employment andTrainingagreements, totalling $104,532 for services.
Subsidy Program Clients were surveyed by mail in June, 19% to assess the satisfaction level o[ theirexperienceswhilegettingassistancefromouragency. 95 % of parents rated our services as very effectiveandtheyfeelweareheretoservetheminthemostusefulwaypossible. Their concerns were the longwaitinglistandtherepetitivepaperworktheyhavetodotokeepre -applying for services.
When asked how this program helps them, they gave the following responses:
Able to fund good quality, safe child care (24%)
Allows for meeting basic costs of living (19%) Kept a 'ob (1796)
Kept o of welfare (1396)
Improved rurality of life for family (9%)
Ratstd paractpant'a self-esteem (7%)
Relieved signtfrcant emotional stress due to debt (7%)
Found abetter job (6%)
Started or able to stay in school (6%)
Able to afford better housing (495)
Kept family from being split a art (3%)
Able to purchase or fix car (3' )
Finished school and found job (3 95)
Got off public assistance or unemployment (3 ;''o)
Kept children from being left .alone (2'%)
Covers what child support does not (2 %) r%
Dip FEB 7 V99-1
wrstonka lulllmty
Action Netwo&
Eswpmy Assidanco • Meals on Wheels • Human Semim • job Dealopawnt & PlwmuM
ad
M=ouna, MN SX
612) 02 -OM
612) 6728389 (EA>n
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February 25,1997
Mr. Ed GW mkh
Plymouth HRA
City of PWnouthRand
P"wul . MN 55447
Dear Mr. Goldsmith.
At the HRA meeting lad week. the Co nmissloners warted to know
about lob a80gmw t° at Plymouth budnesses. E d Is a Rd Of 00
Jobs15W*mses In Plymoulh that hired participants
You may also be interested to know that CWwO I our Job LinkcomputersystemisNsong95jobordersonfileBrombusinesses In
Plymouth, 83 of #me are tar full time posiham These job orders
represent 348 open poeili m.
Please share this mtonnmm with the CommmeWisrs when you get a
diance. Thsnksl
Sincerely,
LIM
mm Sonnen
WeCAN Executive Director
PLYMOUTH JOB PLACEMENTS
EMPLOYER POSITION FILLED PLACEMENT DATE IWAGE PER HOUR
Anssfdate Ino. Collections spedelid AmMi 10
Carlson Comporw Customer Service OC1451 SS
Cookies by DoWy Cookie Decorator Oeml is
EnWtakrment Publications 011ioa AdmkdsbM r Dec -061 10
Everween Lawns S7
Olden StdWw Qenerd OF= Ju185 71
MeaSB 11.50
Mot oorn Solea Mares 17
Mimrtedr P r6s 6.50
Peterson Hama Care Hama Hes*i Aide JurnS6 SS
Polaris kduwies Wad Processor 10.50
Radisson lHowdumong 1 56.25
SWonwWW-homo=wsVon jHWw IOd-S:i S7
Wayzift High SdrodLead fo-d—ndsn I Odm 11.50
Water Tech Corporabon IAsssmWJul-9.'i 57.50
Pape 1