HomeMy WebLinkAboutHousing & Redevelopment Authority Packet 06-27-1977AGENDA
PLYMOUTH HOUSING AND REDEVELOPMENT AUTHORITY
June 27, 1977
I. Roll Cal
II.. Minutes of May 231, 1977 Regular HRA Meeting.
III. 197148 Minnesota Housing Finance Agency Honor Improvement
Grant Program
A. Dollars Allocated for 1977-78
B. Allocation Formula
C. Changes in Program as adopted by -State Legislature.
D. Advantages to Joining with Metro HRA
IV. Section 8 Rent Assistance Program Status. Report
V. Emergency Rehabilitation Project at 1601 west MedicineLake Drive '
VI. Diseased Tree Removal Program for Elderly and Low Income Home Owners
VII. Adjournment
CITY OF PLYMOUTH
3025 HARBOR LANE, PLYMOUTH, MINNESOTA 65441
TELEPHONE (612) 559-2800
DATE: June 22, 1977
MEMO
TO: Housing and Redevelopment Authority
FROM: Milt Dale
SUBJECT: 1977-78 Minnesota Housing Finance Agency (M.H.F.A.) Home Improvement Grant
Program
On June 17, 1977 staff received a memo from the Metro Council regarding the M.H.F.A.
Home Improvement Grant Program allocation and guideline changes for 1977-78 as adopted
by the state leglslatOre. The amount allocated for the upcoming year (beginning Sept.
I, 1977) for the Metro Area is $3.,6309000. By comparison last year's allocation -was
2,970,000. Of the $3,630,000 P1'ymouth has been alloted $13,194 while last year it
received $11,206 (not excluding an administration fee of 5S). Consequently Plymouth
received'a dollar increase of 2,508: In terms of percentages, Plymouth's cut of
the "pie" stayed the same,..i.o. 0.38% for both years. It is anticipated that in
1978-79 Plymouth will be allocated approximately the same amount of money as for 1977-78.
The allocation formula used in 1976 -hat been used again to determine how much money
each community would receive. This formula considers the number of owner occupied
housing units built before 1.9.39 and valued at $20400 or less and the number of home
owners with annual incomes of $5,000 or less (as per 1970 census data).
Some changes were made by the 1917 Minnesota State legislature in the Grant Program.
These changes are shown on pages .1 and 2 of the attached memo from the Metro Council.
Staff is recommending to the City Council that it adopt a resolution allowing the Metro
HRA to act as a "clearing house" for the Home Improvement Grant Program for 1977-78.
The Metro HRA would act in the same capacity as it has this past year, i.e. as a
review agency prior to the M.H.F.A.'s review and approval of grant requests. Staff
wishes to note that one distinct advantage of working with the Metro Housing and
Redevelopment Authority is the opportunity of garnering "extra" funds should some of
the other communities not use up all their allotment. This year the City of Plymouth
should be getting about $4,000 over its allocation or about a 37% increase.
Attached is a resolution authorizing the Metro Housing and Redevelopment Authority to
apply for grant funds to be used in the City of Plymouth. This resolution will be
before the council on Monday, June. 27.
Attachments:
1. Resolution
2. Memo from Metro Council Housing Division 6-13-77
S •
CITY OF PLYMOUTH
3025 HARBOR LANE, PLYMOUTH, MINNESOTA 55441
TELEPHONE. 1612! 559-2800
WE:. tune 22, 1977 MEMO
TO: isms G. Hillis. city Manager
FROW Charles E. Dillerud. Planning Director
SUBJECT: Resolution Requesting and Authorizing the (Metro Housing'and Redevelopment
Authority to Apply for Rehabilitation Grant Funds for the City of Plymouth
This resolution is similar to the resolution adopted by the council last year. The
adoption of the resolution would continue the same relationship the Plymouth Housing
and Redevelopment Authority now has with the Metro Housing and Redevelopment Authority
in the administvition of Minnesota Housing Finance Agency (M.H.F.A.) home improvement
g{ant monies. The relationship has proven to be a'highly satisfactory one. As well,
if the City is interested in ,continuing to receive MHFA grant funds, it happens to
be the only ball game in, t . -
For the upcoming year of Septe*er 2, 1977 -August 31, 1978, the City of Plymouth has
been allocated $13,794 or $2,608 over the 1976-77 total. in terms of percentage of
the total amount allocated to the Nitro Area, Plymouth is receiving the same percentage
as last year. This is the case with almost all communities in the Metro Area.
Attachments:
1. Resolution
2. Previously adopted Resolution ;for 1976-77 program)
3. Memo to Housing and Redevelopment Authority, 6-22-77 and attachments
r] CITY OF PLS
pw cant to due cal1 sad notice thereof a
i+ i"sois"
Meeting`gof
the CitCityCo M11 of the City of tiyenutfi0 was the
day of June 19a. The following members were
he foil were
A!A A.Ae e!e
introduced the following Resolution and caved
RESOLUTION f17-
Requesting and -Authorizing the Metropolitan Council Housing grid Redevelopment
Authority to Apply for Rehabilitation Grant Funds for Implementation of the Home
Ipprovement Grant Program Within the City of Plymouth, Minnesota.
WHEREAS, the Minnesota Housing Finance Agency, State of Minnesota, has been
authorized to undertake a prograde to provide grants of funds to property owners
for the purpose of'housln$'rehabilitation;
WHEREAS, the City of Plymouth desires to assist low income homeowners in making
repairs to their homes for the purpose of correcting defects directly affecting
the safety, habitability, and/or energy usage of the property;
WHEREAS, the Minnesota Housing Finance Agency, State of Minnesota. will accept
applications from housing and redevelopment authorities desiring to administer
these home improvement grant program funds;
WHEREAS. the Metropolitan Council has all the powers and duties of a housing and
redevelopment authority pursuant to Minnesota Statutes, 1976, Section 473.193 to
473.201 under the provisions of the Minnesota Housing Redevelopment Act, Minne-
sota Statutes, 1976, Sections 462.411 to 462.711; and
WHEREAS. the Citj of Plymouth desires to participatg in the Minnesota Housing
Finance Agency Home Improvement Grant Program through the Metropolitan Council
Housing and Redevelopment Authority;
NOW THEREFORE BE IT RESOLVED: That the Metropolitan Council is hereby requested
to include the City of Plymouth in an application for state Home Improvement Grant
Program funds and that upon approval of such appii.:wtion, the City and the Mctro-
politan Council are authorized to enter into an agreement for operating the program
within the City.
The motion for the adoption of the foregoing Resolution was duly seconded
by 1, and upon vote being taken there=, the
fOIRWOW Voted In Morthereof:
ft
ISL DT =314 UU; .
was declared duly pass .
A!e eee
s
CITY OF PLYMOUTH
Pursuant to due call and notice thereof, a regular meetin of the Cit
CounCi t of the City of Plymouth, , f Si nneso to , was a on the 826th day
of July 19 76 The fol Iv.1ing members were presen :
were
Councilman Neils introduced the following Resolution and
moved its a opt on:
RESOLUTION #76} 378
REQUESTING THE METORPOLITAN.COUNCIL HRA TO APPLY FOR REHABILITATION GRANT FUNDS FOR
IMPLEMENTATI.OH WITHIN THE CITY OF PLYMOUTH
WHEREAS, the City of Plymouth desires to assist low income homeowners in making
repairs to their homes for the purpose of correcting defects affecting directly the
safety, habitability,. or energy usage of the property; and.
WHEREAS, the Minnesota Housing Finance Agency has funds to be used for such purposes,
and will accept applications from housing and redevelopment authorities desiring to
administer these Home Improvement Grant Program Funds; and,
WHEREAS, t5e W.!tropolitan Council has beer duly organized .pursuant to Minnesota Statutes
473.06, Subd. 3 and Minnesota Laws 1975; Chapter AW Section 6, Subd. 3; Section 21,
Subd. 1; and Section 24, and has all of the powers and duties of a housing and redevelop-
ment authority pursuant to Laws 1975, Chapter 13, Section 24 under the provisions of
the Municipal Housing and Redevelopment Act, Minnesota Statutes Section 462.411 to
462.711, and acts amendatory thereof.
NOW, THEREFORE,. BE IT RESOLVED that the Metropolitan Council is hereby requested to
include the City of Plymouth in an application for state Home Improvement Grant
Program funds, and that upon approval of such application, the City and the Metro-
politan Council will enter into an agreement for operating the program within the
ty.
The motion for the adoption of the foregoing Resolution was duly seconded by
Oullci1_man Seib ld , and upon vote being taken thereon, the
fol lowIng voted n favoF Erere0 f4aver Mi lde . Councilmen Runt_ Npi l c _
Ine T9119wing vozea against or abstained: None
Whereupon.the Resolution was declared duly passed and a opte .
CITY OF PLYMOUTH
3025 HARBOii LANE, PLYMOUTH, MINNESOTA 86441
TELEPHONE (612) 559.2800
DATE; June 22, 1976
MEMO
TO: Housing and Redevelopment Authority
FROM: INitt 4410
SUBJECT: Section 8 Rent Assistance Program -Status Report
As of this date the long awaited contract frofa HUD is still unavailable for signing.
in a recent letter from HUD area office (8-1677) via Senator Humphrey's office,
it is estimated that the contract w1ll be .ready for signing within a week. Upon
the signing of that contract by the Plymouth Housing and Redevelopment Authority
and the federal government, tenant selection can proceed and contracts with Plymouth
apartment owners can be executed.
Another tetter from HUD -area office (6-3-77) notifies the Plymouth Housing and
Redevelopment Authority of an increase in our reserve account for section 8 activity
from the initial $67.752 to $115,712. This revision was made to reflect the increase
in Fair Market Rents.
Presently the situation regarding Fair Market Rents has not been resolved. (Fair
Market Rents are those established by HUD as the upper rent limits allowed for an
apartment unit to qualify under the Section 8 program.) In OW conversation with the
HUD area office it still requires the Washington D.C. office to approve the HUD area
office rent schedule. Following is the rent schedule as published by HUD in
Washington and up for comment by local HUD area offices and the rents recommended by
the Minneapolis -St. Paul HUD office:
Calculations reveal that the Minneapolis -St. Paul HUD area office is requesting
anywhere from 9 to 1.0% increase in Fair Market Rents over the rents proposed by
the Washington office. Local HUD officials indicate that the higher rent figures
likely will prevail. This would be good news for Plymouth as apartment.rents seem
to be significantly higher in our community than in those communities with,a
considerable quantity of older apartments. By the time our rent assistance program
ggets rolling, a decision should be reached regarding the Fair Market Rents that will
be used.
Rents/Month
Non -Elevator Unita Elevator Units
Unit Size HU,_ as _ n RUP-Ninneag2lis HUD -Washington inneapolls
1 Bedroom 186- 202- 206- 224-
2 Bedroom 222- 244- 245- 269-
3 Bedroom 258- 283- 284- 311 -
Calculations reveal that the Minneapolis -St. Paul HUD area office is requesting
anywhere from 9 to 1.0% increase in Fair Market Rents over the rents proposed by
the Washington office. Local HUD officials indicate that the higher rent figures
likely will prevail. This would be good news for Plymouth as apartment.rents seem
to be significantly higher in our community than in those communities with,a
considerable quantity of older apartments. By the time our rent assistance program
ggets rolling, a decision should be reached regarding the Fair Market Rents that will
be used.
NRA
June 22.9 1877
Page .2
Staff wishes to report that progress is being made with our Housing and 'Redevelopment
Authority in regards to "physical improvements", i.e. the creation of a "new" Housing
and Redevelopment Authority office by the addition of walls and a door (courtesy of
the Eberhardt Company)., typewriter stand, calculator and a part-time clerk/typist.
The tatter is Tonya Holleschav, an Armstrong High School student in the office
education work-study program at the school. She wfll be working Monday, Wednesday and
Thursday mornings through the summer and likely in the afternoons come fall. Her
primary duties will be to type, file, answer the phone and copy materials.
Attached is a brochure for general distribution briefly explaining our Section 8
rent assistance program. This 1s an in -office p%duct and.will be used to aquaint.
the public in a simp11f1ed Mary what Section 8 is all about.
Attachments:
I. Letter from Senator Humphrey, 6-17-77
2. Letter from HUD area office, 6-16-77
3. Letter from HUD area office, 6-3-77
4. Brochure
CITY OF PLYMOUTH
3026 HARBOR LANE, PLYMOUTH, MINNESOTA 55441
TELEPHONE (612) 5.59.2800
MEMODATE: June 22, 1977
TO: Housing and Redevelopsent Authority
FROM: Milt bale
SUBJECT: Emergency Rehab Project at 1601 Nest Medicine Lake Drive
At the June 6th Council meeting, approval was granted to the staff request that
SAC charges be paid for a Mrs. Marjorie Purinak at 1601 Nest Medicine Lake Drive.
This request came about as a result of a dry well at the Purinak residence, Staff
investigated, informed Dors. Purinak of the grant money available to provide her
with sewer and Nater, accepted her application for grant assistance, took bids on
the work, submitted her application to the Metro Housing and Redevelopment Authcrity
and received approval from the WA to commence the work,. At present the project
is underway and it appears t1 st by the 23rd or 24th, Mrs. Purinak should be hooked
up to city sewer and water.
Attached is information relative to this request for the Housing and Redevelopment
Authority's information..
Attachments:
1. New to Council regarding: Emergency Request for water and sewer 6-3.77
2. Location map
3. Resolution passed by council 6-6-77
4. Procedure for Emergency request as per adopted Guidelines
S. Bid for water/sewer project
f
CITY OF PLYMOUTH
3025 HARBOR LANE, PLYMOUTH, MINNESOTA 55441
TELEPHONE 16121 558-2800
DATE: June 3, 1977
MEMO
TO: Mayor and City Council
FROM: Milt Dale
SUBJECT: EMERGENCY REQUEST FOR WATER AND SEWER INSTALLATION
AT 1601 WEST MEDICINE LAKE DRIVE
On May 230 19719 staff was informed of a dry well at Marjorie Purinak's residence
at 1601 West Medicine Lake Drive. Efforts to repair the well failed and Rehab
Ccnmittee Chairman Mac McCaughey and Milt Dale visited Mrs. Purinak to explain
the MHFA Now Improvement Grant Program.. Mrs. Purinak completed the application
and signed the Repayment Agreement. The next day Rudy Kamman and Milt Dale in-
spected the site and twoplumbers were contacted to submit bids. Bids were re-
ceived on June 2, 1977 and staff now is awaiting the Social Security verification
of applicant's income prior to submmitting the complete application package to the
Metro HRA and the MHFA for their approval.
Conversation with the Metro HRA's staff leads City .staff to believe this request
will be approved. It appears that sufficient monies are available to pay .the
plumber's charges, however, MHFA grant guidelines prohibit the expenditure of
funds for assessments, REC and/or SAC charges. Presently Mrs. Purinak, a widow
of very limited means, is paying off REC charges levied sometime ago. SAC
charges would have to be paid should she be hooked up to public sewer. A septic
tank system now serves the residence and it would be desirable to have it re-
placed by public sewer service.
At the HRA meeting of May 23, 1977, the HRA did pass a resolution recommending
the Council's adopting a procedure to follow and money to be made available for
emergency requests. Staff has followed the adopted City Home Improvement Grant
Guidelines regarding such emergency requests. It should be stressed that whether
the City pay the SAC charge or'not. staff will request MHFA funding for the
plumbing work to bring water into the residence. It would just appear prudent to
hook-up with City sewer at the sane time as a trench is dug for a water line.
Staff's polling of HRA member Maria Vasiliou found her in favor of the City's
paying the SAC charge for Mrs. Purinak. HRA member Harold Bakke was out of town
and unavailable for comment. Rehab Chairman Mac McCaughey was polled and also
was favorable towards the City's picking up the SAC charge.
Staff therefore is recommending the payment of Mrs. Purinak's SAC charge of
375.00 due to her limited income should .public sewer be approved by the MHFA.
ATTACHMENTS:
Resolution
Location Map
HRA Resolution 011
City Home Improvement Grant Guidelines
Cost :Estimates
CITY OF PLYMOUTH
3025 HARBOR LANE, PLYMOUTH, MINNESOTA 55441
TELEPHONE (612) 559.2600
PATE: June 23, 1977 MEMO
TO; NRA
FROW Milt Dole and Greg Franzen
SUBJECT: DISEASED TREE REMOVAL PROGRAM FOR ELDERLY AND LOW INCOME HOMEOWNERS
Staff has been confronted reeently with the problem of elderly and
low income homeowners wanting to know how they can pay for the cost
of removing diseased trees from their property. For many low income
homeowners the additional cost of tree removal becomes a heavy
financial burden. The Home Improvement Grant Program through the
Minnesota Housing finance Agency does- not provide for -tree removal
expenses to be paid. However, it would be possible for the City's
own Home improvement Program to make allowances for these expenses
where a homeowner is eligible for the picogram. Staff suggests that
a 30-50 approach be used, with the homeowner paying 50% of the cost
and the City paying 50% through the CORS money in the Home Improvement
Grant Program to a maximum of $250.00.
The. 50% cost incurred by the City would be eligible for a 45% grant
from the State of Minnesota under new legislation S.F. No. 32 Chapter 090.
Example.: Mrs. Smith removes a diseased tree and the bill is 1300.00;
Mrs. Smith pays the contractor $150.00 and the City pays the contractor
150.00; The City then bills the State of Minnesota for 45% of the
150.00 or $67.50. The City's actual cost from the CDR$ funds is $52.50.
It is recommended that the Hone Improvement Guidelines be amended as
follows:
11. Eligible Improvements
F. The cost of diseased tree removal and disposal shall
be considered as eligible for grant funding provided
the homeowner assumes 50% of the cost of such removal
and disposal while the remaining SO% be assumed by
the City through its grant monies. A maximum grant
of $250 per homeowner for tree removal and disposal
would be made available.
MD/GF.jw
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DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT
AREA.OfNCE
6400 FRANCE AVENUE SOUTH
MINNEAPOW, MINNESOTA SIA35
ter. Milton Dale
Plymou*h HRA
3025 Harbor Lane
Plymouth, Minnesota
Dear W. Dale:
JUN 31977
55441
Subject: Project Number M46 -E170-001
Plymouth, MUmesota
IN ASPA.Y WIPICN Tot
EMM EM
Your notification of prOject applicatfcm appowal dated September
29, 1976 is hereby 1.1 led to that Annual Omtributicns Cm*xact
authority in the amount of 11.5,712 has been reserved for the subject
devel opm°t. This revision w made to comply with your request
for a change in the bedroom distributions.
Sincerely,
qw.644. I . . -A- . -0% Llfr+a+ 1ltolma5 T.Feeney
Area Director
40
June 8, 1977
Ms. Trudy McFall,, Housing Director
Metropolitan Council
300 Metro Square Building
7th and Robert Streets
St. Paul , SAN 55101.
Dear Ms. McFall:
In response to your assaa dated May, 269 1977 on "Guidelines for Evaluating Performance
in Achieving Three Year subsidi.ted Housing Goals of Community Development Recipients",.
I wish to "input" the following:
1. Plymouth did not appear to have received credit (as per Tables I and II) for an
approved: subsidized housing proposal of the Mission Partnership, developers of
an RPUD In the City. This proposal, was approved by the Plymouth City Council
on March 22, 1976. The resolution granting: approval and the minutes from that
meeting are attached (as per your memo on page 4, Section IV, third paragraph).
A total of 144 units is involved, i.e. 34 family and 110 elderly.
2. Plymouth also did not receive credit for 14 units of scattered family housing as
part of the Mission Partnership proposal. These 14 units are part of the 34
family units (see #1 above). Approval by the Metro Council was granted to'Ply-
mouth's request for Community Development Block Grant Area -wide Discretionary
Funds. (See Metro Council Referral Fite 04162).
3. .My review of Tables I and II would provide the following amended figures:
Family Units EiderIX Units
Willow Creek Apartments 24 Sectt m 8 Rent Assistance 16
Section 8 Rent Assistance 34 Mission Farms RPUD (Mission
Section 8 Scattered Partnership) 110.
Dominion Proposal) 40 TOTAL '196
Mission Farms RPUD (Mission. 6043 121
Partnership) 34 Percentage 104%
TOTAL 206
Goal 178
Percentage 116%
Our revised figures for Table 1 would be as follows:
3025 HARBOR LANE. PLYMOUYK FOINNOSOTA 65"1. TELEPHONE ON) 09 -2800
Ka. MCFall •2- June 8, 1977
T.. btal. Fami 1y
Plymouth
Indicates achievement of acceptable performance it terms of total and/or
family goals.
Thank you for the opportunity to review your tables prior to the Human Resources
Cortmittee Meeting of June 20th.
Sincerely, '
Milton L. Dale
Associate Planner
Housing and Redevelopment Authority
Enclosures
c4: John Doyle, Metro Council
8#9101 V
00 80a b E`agw Woo
chl"46, lubials 40606
QEPARTMENT OF HOUSING AND URIPAN DEVELOPMENT
AREA OFFICE
6400 FRANCE AV90O.F SOUTH
MINNEAPOLIS. MINNESOTA 55435
J --JN 16 1971
The Honorable Huber'. H. Humphrey
United States Senate
Washington, D.C. 20011
Dear Senator Humphrey:
Subject:, Section 8 Assistance
Plymouth, Minnesota.
IN RBPLY RSVBR TOt
5.6FTMR:DM:ph
01242) FINAL
We have now approved the appIfication for Section 8 existing
housing submitted by the City of Plymouth and have begun to
prepare an ACC contract. This contract should be offered to
the Housing Authority within one ;week. After the Housing
Authority executes them contract it will be returned to HUD
for execution by the government. We would estimate that HUD
will execute the contract before the end of the month, allowing
the Housing Authority to begin tenant selection..
Please do not hesitate to contact us again if we can be of
any assistance.
Si rely,
f
r
T T. BeneY
Dire torr
N1 BCRT M. NI MPNRBFY
MINNt p1A
WABO#INOTONt O.t. too,*
June 17, 1977ti
143
ga
Mr. Milton L. Dale
Associate Planner
City of Plymouth.
3025 Harbor Lane
Plymouth, Minnesota 515441
Dear Mr. Dale:
I want to share with you the report containing
information.which relates to your inquiry.
If I can be of further help, please do not
hesitate to call on me.
with very best wishes.
Sincerely,
Hubert H. Humph