HRA 09/06/2007 - 29537CITY OF FRIDLEY
HOUSING � REDEVELOPMENT AUTHORITY
SEPTEMBER 6, 2007
CALL TO ORDER:
Chairperson Commers called the regular meeting of the Housing & Redevelopment Authority to
order at 7:30 pm.
MEMBERS PRESENT: Larry Commers, William Holm, Steven Billings
OTHERS PRESENT: Paul Bolin, HRA Assistant Executive Director
Scott Hickok, Community Development Director
William Burns, City Manager
Mike Jeziroski, City Accountant
Julie Jones, Planning Manager
APPROVE OF MINUTES:
1. Approval of August 9, 2007, HRA meeting minutes
MOTION by Commissioner Holm to table the approval of the minutes until the October 4, 2007,
meeting. Seconded by Commissioner Billings.
UPON A VOICE VOTE, ALL VOTING AYE, CHAIRPERSON COMMERS DECLARED THE
MOTION CARRIED UNANIMOUSLY.
ACTION ITEMS:
1. Approve of Expenses
MOTION by Commissioner Holm to approve the HRA expenditures as presented. Seconded by
Commissioner Billings.
UPON A VOICE VOTE, ALL VOTING AYE, CHAIRPERSON COMMERS DECLARED THE
MOTION CARRIED UNANIMOUSLY.
2. Approval of 2007 Tax Levy
Paul Bolin, HRA Assistant Executive Director, said that since 1996 the HRA tax levy supported
various housing rehabilitation programs in Fridley. The bulk of the revenue is used to make the
payment on the $1.5M loan that was given by the City to the HRA in order to fund our initial
revolving loan fund. The balance of that loan is now $348,441. The tax levy is equal to .0144%
of the taxable market value of each property in Fridley. In 2008, the levy will generate $377,000
for the HRA to spend on housing programs. The impact this has on the tax payer in Fridley is
$28.80 on a$200,000 value home per year per household. For an industrial property valued at
$1 M the amount payable would be approximately $144.
Mr. Bolin said that staff recommends approval of the resolution consenting to the tax levy. The
levy must be certified and delivered to the County by September 15, 2007. The City Council will
also take action on this item on Monday Night.
Commissioner Billings asked how this levy presented compares to the levy presented in 2006.
Mr. Bolin answered that they collected at the same percentage for the past four years and this is
not something that is new to the taxpayers of Fridley.
Chairperson Commers asked what portion of that would be used to pay down the money that is
owed to the city.
Mike Jeriorski, Accountant, answered that about $86,000 annually is paid to the principal and
interest for the loan. The payment is made in finro installments.
Chairperson Commers asked why HRA doesn't pay the City in full.
Mr. Bolin said that the tax levy needs to be discussed as a group to designate essential function
and purpose for the tax levy. Since 1996 the focus and major portion of the tax levy has went
towards paying off this City loan. The loan value has little principal to pay and in the next year or
two we will discuss what future needs the levy can address.
MOTION by Commissioner Billings to approve the 2007 Tax Levy collectible in 2008. Seconded
by Commissioner Holm.
UPON A VOICE VOTE, ALL VOTING AYE, CHAIRPERSON COMMERS DECLARED THE
MOTION CARRIED UNANIMOUSLY.
COMPREHENSIVE PLAN UPDATE:
Julie Jones, Planning Manager, said that this will be discussed in further detail at the October 4�'�
meeting. Staff has provided HRA with the first five draft chapters of the Comprehensive Plan.
Chapters four and five pertain to the HRA activities and chapters one through three were included
as background information. There are more chapters being drafted, 14 in all. If anyone would
like to see the other chapters, just let staff know and they will make sure you get a copy.
Ms. Jones stated that they are looking for review of the goal and action steps in the draft plan.
The key parts in chapters four and five are the conclusion and actions steps. Staff has combined
the input from the neighborhood planning meetings from this past spring along with the staff
knowledge of City needs to draft the chapters. Staff wants to make sure the draft plan is in line
with the HRA goals. There is a tight time line to complete the Comprehensive Plan and it will be
discussed in detail at the October 4�'� HRA meeting and a public hearing is scheduled for
November 7th.
Commissioner Holm asked about the 2030 Regional Development framework that was
developed by the Metropolitan Council and he wondered if the plan was developed based on
those guidelines.
Ms. Jones answered that is correct. One key piece is the housing chapter regarding the
affordable housing numbers that the City needs to meet. This is in the Metropolitan Council
guidelines and it was not in the previous Comprehensive Plan. There are unit numbers by city
that need to be incorporated with the Comprehensive Plan and explain how Fridley can
accommodate those housing needs in our community.
Commissioner Holm asked if there was information on the internet that he could access
regarding the Metropolitan Council guidelines.
Ms. Jones answered that there is a volume of information on their website. It can be difficult to
navigate but people should be able to locate the framework on the website.
Chairperson Commers asked how the standards compared to the consent agreement that the
City is obligated to meet.
Scott Hickok, Community Development Director, said that the consent decree is a commitment
on the part of the City to integrate affordable housing into developments as the City moves
forward. In the past the City was to replace on a one-to-one basis if they were to redevelop, for
example, a 12-unit apartment complex to replace it with a 12-unit complex. The commitment in
the Metropolitan Council is structured that the City would commit to integrating affordable housing
into the redevelopment projects to the best of their ability.
Chairperson Commers wanted to make sure the City didn't do anything contrary to what the City
has committed to do.
HOUSING REPORT:
Paul Bolin, HRA Assistant Director, said that in August there was one loan and four other loans.
Recently the interest rates were checked on private sector home equity loans and the City is at
6.25 % and the home equity loans were at 7.5%. It is a good deal for residents to borrow money
on this program.
Mr. Bolin said that the Remodel Advisor had finro visits and Operation Insulation had no visits.
William Burns, City Manager, said that an article will be in the October newsletter regarding the
Housing Rehabilitation Program.
Chairperson Commers said that business should pick up because people are doing more
remodeling than relocation these days.
OTHER BUSINESS:
Paul Bolin, HRA Assistant Director, said that tonight at 7:00 p.m. at the Community Center is the
third of four meetings regarding the planning for the future of University Avenue. There will be a
panel there to look at ideas for Fridley and feedback will be discussed from the last meeting. In
finro weeks, the last meeting will be held and that will be a chance to wrap up the different ideas
that were developed and then they will be presented to HRA and City Council.
ADJOURN:
MOTION by Commissioner Holm to adjourn. Seconded by Commissioner Billings.
UPON A VOICE VOTE, ALL VOTING AYE, CHAIRPERSON COMMERS DECLARED THE
MOTION CARRIED UNANIMOUSLY AND THE MEETING ADJOURNED AT 6:30 P.M.
RespectFully Submitted,
�i�> rCL�GC� �
Krista Monsrud
Recording Secretary
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CITY OF FRIDLEY
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