HomeMy WebLinkAboutHousing & Redevelopment Authority Packet 07-25-1977ti.
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AGENDA.
PLYP" HOUSING AND REDEVELO"W AUTHORITY
July 25, 1977
I. RolI Calll.
II. Minutes of June 27. 1977 RegulAr Housing and Redayelopment.Authority
meeting
contracts for Sectipn S Rent Assistance Program
IV. Diseased Tree Removal Program for Low Income Homeowners
A. Experiences of Other Communities
0. Proo6sed Procedures
Y. Adjournment
CITY OF PLYMOUTH
3025 HARBOR LATHE, PLYMOUTH, MINNESOTA 55441
TELEPHONE (812) 559.2800
DATE: July 20, 1977
MEMO
TO: Housing and Redevelopment. Authority
FROM: Milt Dale, Associate Planner
SUBJECT: Contracts for Section 8 Rent Assistance program
On Monday July 18th the city staff received the much sought-after Annual Contributions
Contracts from HUD for our Section 8 Rent Assistance Prooram. As is the case with
most federal programs, the documentation is extensive and there is a total of seven
copies of the main contract.
The attached letter is from the local HUD area Office and it explains the procedures
to be followed to initiate execution of the contract.,copies-of the Annual Contributions
Contract and related documentation have been forwarded to the City Attorney for -his
perusal,
Foliowing are the procedural steps the Housing and Redevelopment Authority and staff
are to take in regards to the Section 8 contract:
1. Approval of the attached resolution authorizing the signing of the Annual
Contributions Contract by Chairman Hilde.
2. Signing and sealing of three contracts.
3. Certification of the minutes of the Housing and Redevelopment Authority
meeting.
4. Signing if a General Certificate relating to the organization and composition
of the Housing and Redevelopment Authority by the Executive Director, James
Willis.
S. Mailing of the above documentation with previously completed budget
information (HUD forms 52672 and 52673) to the HUD Area Office.
Upon HUD's receipt of the above documents, thefr approval that al is in order, and
their signing the contracts, staff can enter -into contractural arrangements with
Interested apartment owners and other owners of rental residential units.
At last mdnth's Housing and Redevelopment Authority meeting a memo presented indicating
the Fair Market Rent structure for Section 8 rental units in Plymouth. Following are the
Fair Market Rents as adopted for our area by HUD:
Unit Size Non -Elevator Units Elevator Units
1 Bedroom .186- 206-
2 Pedroom 222 2a5-
3 Dedriom $258- $284-
Page: 2
The. local HUD Area. Office is,sttVl attempting: to raise.. the above rents sortanfiat and are
looking fof an August or September date to receive conformation of their higher rent
schodule.
ATTACHMENTS:
I. Letter from HUD Area Office. 7-15-77
2... Resolution with Annual Contributions Contract
3. _ General Certificate -
4. HUD forms 52672 and 52673
I
GTY OF PLYMOUTH
3025 HARBOR LANE, PLYMOUTH, MINNESOTA 55441
TELEPHONE (612) 559-2800
GATE: July 21, 1977
MEMO
TO: Housing and Redevelopment Authority
FROM:. Milt Dale, Associate Planner
SUBJECT: DISEASED TREE REMOVAL PROGRAM FOR LOW INCOME HOMEOWNERS
Staff has contacted the communities of Minneapolis,. Golden Valley, Bloomington, St.. Louis
Park, Mirhetonka, Eden Prairie and Edina in an effort to determine what other communities
are doing relative to diseased tree removal for lower income homeowners. As well, the
atter.t was made to find out what kinds of costs were incurred by those communities that
give lower income persons a reduced charge or else made no charge to this group.
Following is a chart prepared by staff to compare the contacted communities.
1977 1977
1977 Program For Program For Tree Removal Tree Removal
Estimated All Low Income Budget-- Budget--
City Population Homeowhe rs Homeowners. Both Programs* Low Income Only
Minneapolis 3789900 Yes No 6009000 None
Bloomington 78.,440 Yes. Yes 194,600 68,500
St. Louis Park 46,240 Yes No 10,000 None
Minnetonka 40,700 Yes Yes 5400000 No Breakdown)
Golden Valley 23,680 Yes No 33,000 None
Edina 48,960 Yes No 30,000 None
Eden Prairie 10,840 Yes No 271,000 None
All communities are also counting on an additional 459 allrrration from the State of
Minnesota for tree removal. This is not included in the zo,we amounts.
All programs are for residential private properties only all ,ommercial and industrial
landowners must pay their own costs.
Specifically, the programs operate in each community as follows:
Minneapolis - Dave DeVoto, Forester
The City program is for everyone regardless of income. For example, the City of
Minneapolis pays 458 of the cost of each tree removed up to $150/tree. The City is
expecting some 300,000 back from the State of Minnesota on the 45%-55% matching program.
Housing and Redevelopment Authority
July 21, 1977
Page 2
Blooming_ tan - Kent Michaelson, Administrator of Block Grant Program
The City presently pays 50% of tree removal costs for all homeowners, while for low income
homeowners it will pay anywhere from anr•her 25% to the total amount. Lower income limits
are determined by using the Section 8 rent assistance income limits and the City pays off
on a graduated basis. This year $68,500 is budgeted for the program, although it is ex-
pected that only $50.000 will be used. For 1978 the City has allocated $48,000. This
money is all. CDRS money.
St. Louis Park
The City subsidizes tree removal cost for any homeowner regardless of income on a graduated
basis. City pays 25% of cost for a tree costing $100 or less to remove and up to 40% on
a tree costing $250 or more. The City has a maximum ceiling of $200 that they will pay.
Approximately $8,000 has been spent on this program so far this year with 381 trees removed
for 270 homeowners as of July 1, 1977.
Minnetonka - Lloyd Pauly, Forpster
This City has the most ambitious program
any homeowner who has diseased trees. So
and it is expected another 3,000 will be
5 full-time tree inspectors. Should the
would have a total of $783,000 to expend
Golden Valley Mike Volpe, Forester
of any .surveyed as the City pays all .costs for
far 3,000 trees in the City have been removed
removed by the end of the year. The City employs
state provide the 45% payback, then the City
on a diseased tree program.
Golden Valley has no special program for low income homeowners but they do allow a hkme-
owner to has -e tree removal costs assessed over a 2 or 3 year period. All homeowners are
eligible for a payback on the following basis:
Tree removal cost under $100, City pays 25%
Tree removal cost between $100-150, City pays 30%
Tree removal cost between $150-250, City pays 35`t
Tree removal cost over $250, City pays 40%
Edina - Ken Rausland, Parks
Again, no special program for low income homeowners but a sibsidy is paid to the amount
of $50 per tree. The City had anticipated in its budget only $5,000, but it now appears
they will be expending nearly 5 or 6 times that amount, i.e., $30,000.
Eden Prairie - Marty Jesson, Parks Director
This community has already used up most of its budgeted amount for this year. Of its
budget of $271,000, approximately $150,000 is being paid in its subsidy program. All
residents are eligible for they ;idy and the subsidy is a flat $50/tree over 18 in.
caliper and $25/tree under 18 4r. ;.w-iper irregardless whether the homeowner removes
the tree or contracts out to do -t.
A*
Housing and Redevelopment Authority
July 2T9 7977
Page 3
Utilizing the experiences of the surveyed communities, staff foresees that the $2,000
proposed in dfrect subsidies for 'Tow income homeowners could easily be expended in
PlymoutIV over the period September 1, 1977 - September 1, 1978. This finding is based
primarily on the Bloomington experience. This community is using a much more "liberal"
income schedule for their program and has a population nearly triple Plymouth's. Con-
sequently, staff would anticipate that a $10,00041.2,000 budget for the 1977-78 period
would likely be more realistic.
Staff suggests that the following procedure be used to process applications for diseased
tree removal subsidy:
1. gpplicat.ton (same one as used for Home Improvement Grant Program) filled out
by homeowner and sent. to City.
2. Staff reviews application to see if applicant qualifies.
3. Staff submits qualified applications to Housing Rehab Committee for their review.
4. Housing Rehab Committee selects recipients.
5. Recipients are informed of Committee's decision:.
6. City is bitted 50% of cost up to $250.maximum s4bsi, per homeowner.
7. Homeowner is billed 50% of cost up to $250 subsidy and 100% of cost over
500 total cost.
MD; Ig.
CITY OF
PLYMOUTR
July 1, 1977
Mr. John Boland
Chairman
Metropolitan Council
300 Metro Square Building
7th & Robert Streets
St. Paul, NN 55102.
Dear John:
AL HILDE, JR.
MAYOR'
I am enclosing a copy of letters we have sent to Senator Humphrey
and. Representative Frenzel regarding the lengthy delays we have
faced in our attempt to implement a Section 8 Rent Assistance
Program in the City of Plymouth. I wish to note as well that
we have made i;iany other attempts to bring low and moderate
income housing opportunities into our City. At this time,
many of our attempts have been delayed or side-tracked. f
Recently the. Minnesota Housing Finance Agency discouraged an
interested developer in constructing an elderly project of 110
units on his site due to the lack of a convenience grocery store
within a block or two of the site. We have earnestly promoted
the construction of this type of housing in Plymouth as a strong
need for such a facility seems very evident.
The City Council did approve the development proposal of the
Mission Partners in March of 1976 whereby 1.44 units of family
and elderly housing would be constructed as part of' an.overall
development of 823 dwelling units. In southeast Plymouth, a
proposal for an apartment complex of 120 units, with 24 units
of Section 8 apartments included, has been approved by the City
and. is scheduled for constriction this summer. Please find
enclosed a. letter to Ms. Trudy McFall sof your staff addressing
our 'performance In the area of subsidized housing.
T wish to reiterate that Plymouth. has made substantial efforts
to bring.low and moderate income housing, into our community,
but outside circumstances have not always been favorable to
our efforts. We will continue trying and we thank you for
any efforts you put forth in our behalf.
Si ely,
ide, Jr.
Enc.
302S HARBOR LANE. PLYMOUTH, MINNESOTA 55441, TELEPHONE (612) S59 -2800
CITY C
PLYMOUTR
July 19. 1977
The Honorable Bill Frenzel,
U.S. Representative
1026 Inngworth House Office Bldg.
Washington, D.C. ?0515
Dear Bill:
AL HILDE, JR.
MAYOR.
The Plymouth Housing and Redevelopment Authority desires your
assistance. For over one year we have been actively pursuing
the establishment of a Section 8 Rent Assistance Program in the
City of Plymouth, but so far with no success. While we have had
many assurances that the long-awaited contract between HUD and
the Plymouth Housing and Redevelopment Authority will soon be
ready, we are still waiting.
Briefly, the history of our request is as follows:
June 14, 1976 Subrittal of our preliminary application
to HUD for 50 units of Section U housing.
September 29,_ 1976 Notification by HUD of tentative approval
of our application.
November 30, 1976 Notification by HUD of their approval of
our organization transcrip4,
January 4, 1977 Submittal of our Administr tl.'e Plan,
revised Section 8 applicatior ori sup-
portive data, as required, to HUD for
their final approval.
May 12, 1977 Notification by HUD of approval of our
operating budget.
June 16, 1977 Notification by HUD of approval of our
final application and the preparation of
the contract between HUD and the Plymouth
lousing and Redevelopment Authority.
3025 HARBOR LANE, PLYMOUTH, MINNESOTA 55441, TELEPHONE (612) 559.2%*
Hon. BX11 Frenzel
July, 1., .1977
age 2
Progress towards our goal of realizing a Section 8 program in
Plymouth has been. painfully slow. Our Housing and Redevelopment
office has been getting calls since January asking_ when apart-
ments in Plyfiouth would be available. In the fall of 1976.our
Housing and Redevelopment Authority staff had been given verbal
assurance by HUD staff that the rent assistance program in
Plymouth would likely start in January or February of 1977.
January and February came and still no contract was ready.
Telephone calls to HUD produced a variety of reasons why
Plymouth's contract still was not ready. Either they were
under -staffed, another HUD department had some questions un-
answered, there was more "paperwork" to be done, etc. In
the meantime, the Metro HRA application which had been sub-
mitted on May 20, 1976 was subsequently approved and a contract
signed on August 31, 1977• By comparlson,Plymouth has waited
over 12 months.
Our next step is unsure. We are enlisting your assistance to
find out where our much delayed contract may be .so that our
rent assistance program may finally become a .reality.
Sincerely,
1 Pilde , Jr..
Chairman.
Plymouth:Hous.ng and. Redevelopment Authority
AH:lg
Att.
ia #
t
4
CITY OF
PLYMOUTR
July 19 1977
The Honorable Hubert K6 H wphrey
U.S. Senator
2113 Dirksen Offiee Building
Washington, D.C. 20510
Dear Senator Humphrey:
AL HILDE, JR.
MAYOR'
The Plymouth Housing andBed.evelopment Authority desires your
assistance. For over one year we have been actively pursuing
the establishment of a Section 8 Rent Assistance Program in the
City of Plymouth, but so far with no success. While we have had
many assurances that the long-awaited contract between. HUD and
the Plymouth Housing and. Redevelopment Authority will soon be
ready, we are still waiting.
Briefly, the history of our request is as follows:
Jure 14, 1976 Submittal of our application
to HUD for 50 unit of Section 8 housing.
SeW Qaoer 29, 1976 Notification by HUD of tentative approval
of our application.
November 30,. 1976 Notification by HUD of their approval of
our organization transcript.
January 4, 1977 Submittal of our Administrative Plan,
revised Section 8 application and sup-
portive data, as required, to HUD for
their final approval.
May 12, 1971 Notification by HUD of approval. of our
operating budget.
June 16, 1977 Notification by HUD of approval of our
final application and the preparation of
the contract between HUD and tate Plymouth
Housing and Redevelopment Authority.
3025 HARBOR LANE, PLYMOUTH. MINNESOTA 55441. TELEPHONE 16121559 -2600
Hon. Hubert H. Humphrey
July 1, 1977
Page 2
As Senator Humphrey's office is aware, progress towards our goal
of realizing a Section 8 program in Plymouth has been painfully
slow. Our Kausing and Redevelopment office has been getting -
calls since January asking when apartments In Plymouth would be
available, ra the .fall of 1976 our Housing and Redevelopment.
Authority staff had been given verbal assurances by HUD staff
that the rent assistance program in Plymouth would likely start
in January or February of 1977. January and February came and
still no contract was ready. Telephone calls to HUD produced
a variety of reasons why Plymouth's contract sill was not ready.
Elther they were under -staffed, another HUD department had some
auestions unanswered, 'there was more "paperwork" to be done, etc.
In the meantime, the 4etro HRA application which had been sub-
mitted on May 20, 1976 was subsequently aporoved and a contract
signed on August 31, 1977. By comparison, Plymouth has waited
over 12 months.
Our next step is unsure. We are enlisting your assistance to
find out where our much delayed contract may be so that our
rent assistance program may finally become a reality.
Sincerely, %
C(:-.:2' r1*_
Al Hilde, Jr.
Chairman
Plymouth Rousing and Redevelopment Authority
AH: 1g
Att.
91U. PROOM do'
r 101 P1 of tt ankeb fit
A.. ...m.o oas t+oi 'b a
WI...,
ji igl ALC
sem, V o.n cion.. Daman. -
July 13, 3977 &T. 4Ws•
G.VNIAMO,
Yte Honorable Al Hilde, Jr.
Mayor
City of Plymouth
3025 Harbor Lane
Plymouth: Minn. 55441
Caar Al:
Thank you for your letter regarding MD's delay in finalizing
your Section 8 housing agreement.
I can understand your frustration with MD on the delay. The
area office has informed me that they will be sending you the
final agreement on July lath or 15th. Please let me know if you
don't receive it by next week. HUD claims the reason for the
recent delay in finalizing the contract was d;Ae to 'bureaucratic
bungling."
l If I can be of further assistance, please let me know. o
st,regards,
B Frenzel
6F:mar
Member of Congress
a.n uo or nrn soN.wa y.a a.reu A a.
a
DEPARTMENT Off' .HOUSING AND URBAN DEVELOPMENT
e * AREA OFFICE
644 FRANCE AVENUE SOUTH
MINNEAPOLIS. MINNESOTA 55435
RROWX V
so swam Watkft °'`v
C%ft"6,.JUL 15197% W1ftD4-am" IN PJJPLY R6FBR TOO
ETM:DK
Mr6 Milton We
Plymouth HM
3025 Harbor Line
Plymouth, Minnesota 55441
Dear Mr. Vale:
abject: Project Nt>rrlber MN46-F.170-001
Annual Contributions Contract M. C-4070
Plymouth, Minnesota
W- are pleased to enclose seven separately bound, undated =.Mau0 pacts
of the proposal AMrml. Contributlws Contract for Section 8 Assisted
housing. Three copies of the Amual Oontributums Oontract should
be signed and sealed by yanr Authority and returned, together with
two conformed copies. PLEASE DO Wr DATE. After execution by HUD, a
fully executed copy will be returned to your Authority. The remaining
two copies are to be inserted, unexecuted,. as " FacP ibit AN to the pro-
s -
Return two certified copies of the eKtracts of the minutes of the
praeedings of your Authority evidencing the adaption of the resolution
authorizing execution of the Ammnal Contributions Contract. A copy
of the contract. undated and unsigned, should be insertedin the resole
tion as an exfnibit.
Return two copies of a General Certificate (Fbun HUD 9009) urian has
been signed and sealed. Fcums HUD 52672 and 52673 sent to you with
year applimticn approval letter, areto be omopleted and returned with
the executed ACC's and other docr1nlentation above for HUD .review and
appwiaL
if yca have any questions, Please contact Steve 13ronewold at 725-4708.
Since y.
Thotmas T; Feeney
Area Director
C
K
CITYOf
NYMOUTR
July 19, 1977
Mr. Herbert P. Lefler, Sr.
Lefevere, Lefler, Pearson, O'Brien 8 Drawz
1100 First National Banc Building
Minneapolis, MN 55462
Dear Herb,
Enclosed are documentsfor your review. The items will be discus:.ed and the Annual
Contributions Contract will be signed at the. upcoming HRA meeting. of Monday, July 25,
1977 should you find the documents in order.
Please do not hesitate to contact me if you hay.-, any questions.
Sincerely,
r 4C= -:f
Tilton L. Dale
Associate Planner
MLD/km
Enclosures
3025 HARBOR LANE. PLYMOUTH. MINNESOTA 55441, TELEPHONE (6121559-2800
METROPOLITAN COUNCIL
300 Metro Square Building, Saint Paul, Minnesota 55101
MEMORANDUM July 1, 1977
TO: HRA Advisory Committee ...
PROM: Nancy Reeves
SUBJECT: Survey of Residency Preferences of HRA's in the Metro-
politan Area O
In response to the Committee's request, a survey of Admission Policies
of all HRA's in the Area was conducted.to determine which HRA's
employed residency preferences. The survey included both public
housing and Section 6 programs operated by the various HRA -1s.
Summary of Survey. ;Results
Definition. There appear to be two basic types of residency
preferences in use in the area, strong and weak. A strong residency
preference is one whichis high on the list of preferences of the HRA
and the result of which could be the selection of few, if any, non-
residents. As an example of a strong residency preference, the South
St. Paul HRA lists preferences in this order:
1. Applicant is displaced by public action.
2. Applicant's residency.
a. South St.. Pawl resident for more than five years.
b. South St.. Paul resident for one to five years.
c. Dakota County residentfor more than one year.
d. South St. Paul or Dakota County resident for less than
one year.
e. Non-resident.
3. Veterans are given preference within each category.
There are several additional HRA's having similarly strong residency
preferences. An example of a weak residency preference is the St.
Louis Park HRA, with the following order of preferences:
1. Applicant is displaced or about to be displaced by urban renewal
or other public action.
2. The date the applicant completed the application.
3. The applicant's disability or handicap.
4. The urgency of housing need. In determining the urgency of
need, the following are considered:
a. The degree of substandard factors present in the existing
housing of the applicant.
b. The gross rent being paid by the applicant for present housing
as it related to his/her annual income.
S. Location of employment and source of income.
6. Applicant's community roots in St. Louis Park
7. Age of the applicant.
S. Need for social integration and exercise of freedom to change
one's domicile.
9,.' Applicant is a veteran or serviceman, or the relation of the
applicant to a veteran or serviceman.
10. Individuals and families displaced by a disaster are auto-
matically moved to the top of the preference list..
In this example, time and date of application, along with a.number of
other factors, take precedence over community roots. The Bloomington
HRA also has a weak residency preference.
Section 8 'Existing Housing Pr ram. There are 8 HRA's operating this
Program. Four HRAs nave no residency preferences whatsoever. Two
HRA's have weak residency preferences, and two HRA's have strong
residency preferences..
Public Housing. There are ten HRA's operating public housing. Four
of the HRAs have no residency preferences. whatsoever. Two HRA's have
weak residency preferences, and four have strong residency preferences.
The HRA's operating the largest Section 8 Existing Housing programs
do not have residency preferences. Of the 5222 units currently
authorized for the Section 8 existing program, only 855 units (16%)
are operated by HRA's with residency preferences. However, an over-
whelming majority of the public housing units are in communities
employing strong residency preferences. Of the 13,066 public housing
units in the Area, only 209 (28) are available to non-residents on an
equal basis with residents.
Discussion
Because of the large number of subsidy units involved, it must be
concluded that HRA residency preferences have a substantial negative
impact on opportunities for mobility among lower-income households.
Most often affected are non-residents of Minneapolis and St. Paul,
because of the long waiting lists for public rousing, almost all of
which is located in either Minneapolis or St. Paul. To a lesser
extent, non-residents of the few suburbs having residency preferences
are affected, for both public housing and the Section 8 Enisting Housing
program.
The recently adopted Housing Chapter of the Metropolitan Development
Guide discusses residency preferences and includes the following
policy:
RESIDENCY PREFERENCES USED BY LOCAL HOUSING AUTHORITIES TO GIVE
PREFERENCE TO THEIR OWN RESIDENTS SHOULD NOT BE USED FOR THE
SELECTION OF APPLICANTS IN ANY SUBSIDIZED HOUSING PROGRAM. PREFERENCE
FOR PRCGRAM SELECTION SHOULD BE BASED ONLY ON FACTORS OF NEED, SUCH
AS VERY LOW INCOME, DISPLACED STATUS, OR CURRENT RESIDENCE IN A SUB-
STANDARD OR OVERCROWDED HOUSING UNIT. HOUSING AUTHORITIES CURRENTLY
USING A RESIDENCY PREFERENCE SHOULD BE ENCOURAGED TO DISCOUNTINUE THE
PRACTICE."
3 -
in keeping with this policy, Metro HRA and a number of county and local
HRA's have never used residency preferences. In fact,, Metro HRA
is presently implementing a special preference for Minneapolis and
St. Paul residents for 376 of its Section 8 Existing units. In contrast,
the 7000000 residentsof the 50 Metro HRA participating communities,
along with thousands of other suburban residents, receive no preference
from any HRA for any housing program. In the interests of equal
opportunity and mobility, and because of the special Metro -HRA efforts
to serve cent.4r city residents, residency preference should be weakened
or, discontinued in Minneapolis and St. Paul as well as the suburban
HPA I s:.
Ak
Alk
Residency Preferences Survey
HRA Section 8
Total Residency
Units Preference
Public Housing..
Total Residency
Units Preference
Bloomington 40 yes 13 yes
Columbia Heights -- 100 yes -strong
Dakota County 94.8 no Ift--
Forest Lake -- 42 no
Hopkins -- 86 no
Metro SRA 2569 no
Minneapolis* 800 no 6811 yes -strong
Mound -- 50 no
Plymouth 50 no
St. Paul* 665 yes -strong 5385 yes -strong
St. Louis Park* -- yes 250 yes
South St. Paul 150 yes -strong 298 yes -strong
Waconia 31 no
TOTAL 5222 TOTAL 13066
does not include conversions from the Section 23 program