HRA 11/02/2017 NOVEMBER 2,2017
HRA Meeting
Regular Meeting Agenda
7:00 p.m.
Call to order
Roll call.
Action Items
1. Approval of Expenditures
2. Approval of October 5, 2017 Meeting Minutes
3. Approval of 2018 HRA Regular Meeting Dates
4. Approval of Preliminary 2018 HRA Budget
5. Locke Park Pointe—Exclusive Negotiations Contract Expiration
6. Locke Park Pointe—Authorization to Issue Requests for Proposals
7. Sherman Rail Station Housing—Redevelopment Contract Expiration
Informational Items
1. Comprehensive Plan Update
2. CEE Housing Programs Update
Adjournment
I
Check Report
City of Fridley, MN By Check Number
Date Range: 09/27/2017 - 10/18/2017
x f:tidicv
Vendor Number Vendor Name Payment Date Payment Type Discount Amount Payment Amount Number
Bank Code:APBNK-HRA-APBNK-HRA
PPT:107738 FRIDLEY HRA ICMA 401 10/04/2017 EFT 0.00 320.52 218
PPT:307066 FRIDLEY HRA ICMA 457 10/04/2017 EFT 0.00 115.38 219
PPT:107738 FRIDLEY HRA ICMA 401, 10/18/2017 EFT 0.00 320.52 220
PPT:307066 FRIDLEY HRA ICMA 457 10/18/2017 EFT 0.00 115.38 221
hra-1601 PASSAU LANDCARE INC. 10/04/2017 Regular 0.00 540.00 30060
hra-623 FRIDLEY,CITY OF 10/04/2017 Regular 0.00 64.33 30061
hra-623 FRIDLEY,CITY OF 10/18/2017 Regular 0.00 61.45 30062
hra-1113 MONROE MOXNESS BERG PA 10/18/2017 Regular 0.00 941.25 30063
hra-1601 PASSAU LANDCARE INC. 10/18/2017 Regular 0.00 540.00 30064
hra-1933 SEVENICH,BUTLER,GERLACH&BRAZIL 10/18/2017 Regular 0.00 446.25 30065
hra-238 BUST OUT SOLUTIONS 10/18/2017 Regular 0.00 339.00 30066
hra-311 CENTER FOR ENERGY&ENVIRONMENT 10/18/2017 Regular 0.00 300.00 30067
hra-329 CLEAR CHANNEL OUTDOOR 10/18/2017 Regular 0.00 2,000.00 30068
I Bank Code APBNK-HRA Summary
Payable Payment
Payment Type Count Count Discount Payment
Regular Checks 12 9 0.00 5,232.28
Manual Checks 0 0 0.00 0.00
Voided Checks 0 0 0.00 0.00
Bank Drafts 0 0 0.00 0.00
EFT's 4 4 0.00 871.80
16 13 0.00 6,104.08
10/18/7017 1.7.:39:01 AM
CITY OF FRIDLEY
HOUSING AND REDEVELOPMENT AUTHORITY COMMISSION
OCTOBER 5,2017
Chairperson Gabel called the Housing and Redevelopment Authority meeting to order at 7:00
p.m.
MEMBERS PRESENT: Pat Gabel
William Holm
Stephen Eggert
Kyle Mulrooney
Gordon Backlund
OTHERS PRESENT: Paul Bolin, HRA Assistant Executive Director
Action Items:
1. Approval of Expenditures
MOTION by Commissioner Holm to approve the expenditures. Seconded by Commissioner
Eggert.
UPON A VOICE VOTE, ALL VOTING AYE, CHAIRPERSON GABEL DECLARED
THE MOTION CARRIED UNANIMOUSLY.
2. Approval of September 7,2017 Meeting Minutes.
Chairperson Gabel asked for correction on page 1, "Chairperson Gabel asked what IMCA
stood for."
MOTION by Commissioner Eggert to approve the minutes as amended. Seconded by
Commissioner Holm.
UPON A VOICE VOTE, ALL VOTING AYE, CHAIRPERSON GABEL DECLARED
THE MOTION CARRIED UNANIMOUSLY AND THE MINUTES WERE APPROVED
AS AMENDED.
3. Approval of Administrative Contract—Home & Garden Show
Paul Bolin, HRA Assistant Executive Director, stated that Fridley has been fiscal agent for the
Home & Garden Show for 20 years. (Blaine, Mounds View & CH). Revenues from booth rental
cover expenses for the show. Since 2005, the H&G Show has contracted with Marsha Wagner
of Castle Visions to perform administrative tasks. Staff recommends approval of the contract
authorizing Castle Visions to perform admin work for the 2018 Home and Garden Show.
Housing and Redevelopment Authority Meeting of April 6, 2017 2
Commissioner Eggert asked if the show was in February.
Mr. Bolin replied yes, but the dates were not confirmed yet. There may be conflicts with the
Super Bowl. A meeting is scheduled next week to finalize dates and then the information will be
posted on the website.
Chairperson Gabel questioned information on "Schedule 1" with the contract increasing hours,
etc.
Mr. Bolin replied that Marsha is retiring after this show and has offered to help us find a
replacement which is why that language is in the contract.
MOTION by Commissioner Backlund to approve the administrative contract for the Home and
Garden Show, changing the date to commence to September 21, 2017. Seconded by
Commissioner Holm.
UPON A VOICE VOTE, ALL VOTING AYE, CHAIRPERSON GABEL DECLARED
THE MOTION CARRIED UNANIMOUSLY.
4. Approval of DEED Grant Application—Northern Stacks
Paul Bolin, HRA Assistant Executive Director, stated the Northern Stacks project is seeking a
$105,000 grant for contamination cleanup of the "boiler room/stacks" building. It is anticipated
that building will be used for a brew pub. The Redeveloper and Authority will cooperate and use
their best efforts to seek grants. Staff recommends that the Authority adopt the resolution,
approving application to enter into a funding agreement with DEED and act as project sponsor
for Contamination Cleanup Grant funds necessary to redevelop the former boiler room at
Northern Stacks.
Chairperson Gabel toured the area last week and it looks amazing. She said they thought it
would take a decade to develop this area and we are on year four and moving very quickly.
Commissioner Eggert asked if this was the final piece of this project or if more applications for
other parts of the property were coming forward.
Mr. Bolin replied all property owned by Mr. Hyde will be redeveloped by next summer. There
is always the possibility of developing buildings to the north. If they become available for sale,
they may be incorporated into this development.
MOTION by Commissioner Backlund to approve the DEED Grant Application — Northern
Stacks. Seconded by Commissioner Mulrooney.
Housing and Redevelopment Authority Meeting of April 6, 2017 3
UPON A VOICE VOTE, ALL VOTING AYE, CHAIRPERSON GABEL DECLARED
THE MOTION CARRIED UNANIMOUSLY.
Informational Items:
1. CEE Housing Program Update.
Paul Bolin, HRA Assistant Executive Director, noted that one loan closed in September which
makes 13 year-to-date which is about where we were last year at this time. The remodel advisor
visits had one in September making five year-to-date. The Home Energy Squad had six
appointments for September making 40 year-to-date. Today was National Energy Day so some
information went out on this program.
Commissioner Eggert asked if any changes have been made to these programs and if CEE
should come to a meeting in the future.
Mr. Bolin replied the biggest change was going with LED lights, and there is no change in
pricing. He will check if Stacy Camp is available to do a presentation for the November meeting.
Adjournment:
MOTION by Commissioner Eggert to adjourn. Seconded by Commissioner Backlund.
UPON A VOICE VOTE, ALL VOTING AYE, CHAIRPERSON GABEL DECLARED
THE MOTION CARRIED UNANIMOUSLY AND THE MEETING ADJOURNED AT
7:18 P.M.
Respectfully submitted,
Krista Peterson
Recording Secretary
ACTION ITEM
CiJJnuej)
HRA REGULAR MEETING
NOVEMBER 2, 2017
Date: October 24, 2017
To: Wally Wysopal, Executive Directo%
From: Paul Bolin, Assistant Executive HRA Director
Subject: 2018 HRA Meeting Dates
Below are the suggested meeting dates for 2018.<Staff recommends approval of these dates.
January 4, 2018
February 1, 2018
March 1, 2018
April 5, 2018
May 3, 2018
June 7, 2018
July 5, 2018
August 2, 2018
September 6, 2018
October 4, 2018
November 1, 2018
December 6, 2018
ACTION ITEM
Fn�ey HRA REGULAR MEETING
NOVEMBER 2, 2017
Date: October 25, 2017
To: Wally Wysopal, Executive Directo
loi
From: Shelly Peterson, Finance Director
Paul Bolin, Asst. Executive HRA Director
Subject: Preliminary Budget for 2018
On Thursday night, staff will present a draft of the 2018 budget for the HRA to review.
Shelly Peterson and Paul Bolin will be available to answer any questions that the
Commissioners may have on the proposed budget. Staff will take the HRA's input
and recommendations from this preliminary meeting and use it to develop a final
version for consideration at the December 7th HRA meeting.
The budget includes the General Fund and Housing Loan Program Fund. The
General Fund covers the bulk of the administrative and overhead costs of the HRA.
It's also used to provide internal loans to tax increment development projects. The
Housing Loan Program Fund covers the housing related programs and services
(CEE programs, etc.).
Also included are the projected fund balances for the Tax Increment Financing Funds
(TIF). These funds all had budgets established when the districts were created and
do not require an annual budget. Although TIF fund balance projections are provided
annually in the first half of the year, we have included a summary to provide the
commission with a better picture of what staff anticipates fund balances to be at the
end of 2018.
Staff recommends approval of the preliminary budget. Commission comments and
suggestions will be incorporated into a final budget which will be presented for
approval on December 7th
Fridley Housing & Redevelopment Authority
2018 Budget
2015 2016 2017 2017 2018
Account Description Actual Actual Budget Revised Budget
001 -General Fund
Beginning Fund Balance As of January 1 9,999,006 9,479,020 10,328,115 10,328,115 10,728,815
Revenues
City Revenues
Tax Levy 357,968 395,955 408,400 412,900 477,000
Tax Levy-Delinquent Years - - - 5,000 -
357,968 395,955 408,400 417,900 477,000
Other Miscellaneous Revenue
Interest on Investment Earnings 46,021 42,134 20,000 39,700 39,700
Rent and Royalties(Fairview-parking lot rental) 10,400 9,600 9,600 9,600 9,600
Sale of Miscellaneous Property (Medtronic Land Ref 123,983 117,537 124,000 118,400 120,800
Interfund loan interest 696,911 206,800 206,800 241,200
Miscellaneous Revenues(TIF Admin Fees) 90,417 127,038 120,000 156,000 156,200
Development Grants(Deed&Met Council) 999,973 2,670,406 2,000,000 2,000,000 100,000
1,270,794 3,663,626 2,480,400 2,530,500 667,500
Expenditures
Salaries and Benefits
Full Time 143,513 128,690 142,900 130,400 133,000
Part Time/Temporary 8,776 13,567 14,000 17,000 15,900
152,289 142,257 156,900 147,400 148,900
Supplies and Materials
Operating Supplies 200 86 200 200 200
Purchased Services
Professional Services(Krass Monroe,Ehlers,Sevenich) 620,001 103,126 82,400 102,500 96,000
Insurance-Non Personnel (Allocation) 4,693 4,393 4,200 5,900 6,000
Administration Charges(Allocation) 214,000 218,000 218,000 218,000 226,800
Dues and Subscriptions(NAHRo,AICP) 3,968 1,335 3,000 1,100 3,000
Transportation (Mileage Reimbursement) - 8 600 600 600
Conferences/Seminars/Training 560 3,676 2,000 2,000 2,000
Advertising 648 702 1,000 1,000 1,000
Printing and Binding (Allocation) 90 137 800 800 800
Communication (Allocation) 3,227 482 800 800 800
Services Contracted 13,998 9,805 8,000 8,000 8,000
Miscellaneous Other Services&Charges 421 315 500 500 500
861,606 341,979 321,300 341,200 345,500
Capital Outlay
Payments to Other Gov'ts(Solid Waste Fees/Col.Arei 81,538 1,262 2,500 2,500 2,500
Transfer Out to other funds 489 - - - -
82,027 1,262 2,500 2,500 2,500
Developer Assistance
Hyde Development Outside Grant Funds 999,973 2,670,406 2,000,000 2,000,000 100,000
Debt Service
Interest(Columbia Arena Loan from City) 52,653 54,496 56,400 56,400 58,300
Total Expenditures-General Fund 2,148,748 3,210,486 2,537,300 2,547,700 655,400
Net Income-General Fund (519,986) 849,095 351,500 400,700 489,100
Projected Ending Fund Balance As of Dec.31 9,479,020 10,328,115 10,679,615 10,728,815 11,217,915
K:\HRA\HRA Budgets\2018 Budget\2018 HRA Budgets.xlsx
Fridley Housing & Redevelopment Authority
2018 Budget
2015 2016 2017 2017 2018
Account Description Actual Actual Budget Revised Budget
020-Housing Loan Programs
Beginning Fund Balance As of January 1 2,959,113 3,013,847 3,013,537 3,013,537 3,022,837
Revenues
Other Miscellaneous Revenue
Interest on Investment Earnings 18,606 17,395 18,000 17,400 17,400
Interest on Mortgages(Pool0, 1,2) 37,748 34,756 33,300 33,300 33,300
Miscellaneous Revenue(H&G Show) 21,631 21,345 21,400 21,400 21,400
77,985 73,496 72,700 72,100 72,100
Expenditures
Supplies and Materials
Operating Supplies 155 222 200 200 200
Purchased Services
Professional Services (Castle Vision-Home Show) 32,298 24,938 23,000 23,000 26,700
Advertising (Clear Channel-Home Show) 3,276 4,935 5,000 7,500 7,500
Services Contracted (CEE,Home Energy Visits,etc.) 17,368 20,440 30,000 20,700 30,000
Charges/Rentals(NSC/Cenaiko-Home Show) 5,970 11,370 13,000 11,400 13,000
Uncollectible Accounts (35,814) 11,901 - - -
23,098 73,584 71,000 62,600 77,200
Other Financing Uses
Transfer Out to General Fund - - - - -
Total Expenditures-Housing Programs 23,252 73,806 71,200 62,800 77,400
Net Income- Housing Programs 54,734 (310) 1,500 9,300 51309
Projected Ending Fund Balance As of Dec. 31 3,013,847 3,013,537 3,015,037 3,022,837 3,017,537
K:\HRA\HRA Budgets\2018 Budget\2018 HRA Budgets.xlsx
Fridley Housing & Redevelopment Authority
2018 Estimated Fund Balances for all funds
2017 2018 2018 2018
Estimated Estimated
Ending Estimated Estimated Ending
Fund Description Fund Balance Revenues Expenditures Fund Balance
001 -General Fund $ 10,728,815 $ 1,144,500 $ 655,400 $ 11,217,915
Special Revenue Fund
020 - Housing Loan Programs $ 3,022,837 $ 72,100 $ 77,400 $ 3,017,537
Capital Projects Funds
045-Lake Pointe(1985-2025) $ (326,409) $ 596,468 $ 565,613 $ (295,554)
047-University/Osborne(1992-2018) 358,217 54,275 5,248 407,244
048 - McGlynn (1992-2019) 188,574 43,049 4,210 227,413
049-Satellite Lane Apts (1995-2023) 210,694 43,038 4,198 249,534
051 -Gateway East(2001-2028) (318,602) 37,690 - (280,912)
052-Gateway West(2005-2032) (359,489) 30,871 - (328,618)
053-Main Street(2009-2034) (4,823) 121,189 120,970 (4,604)
' 054-Gateway Northeast(2017-2042) (3,979,101) 233,124 393,468 (4,139,445)
055-BAE-Superfund Site (78,333) 863,324 862,872 (77,881)
056 -BAE- Hazardous Subdistrict (3,434,961) 325,024 152,726 (3,262,663)
057-Northstar Station 131,698 159,043 15,838 274,903
065-Housing Replacement(1997-2029)Scattered Site 215,775 33,766 3,268 246,273
Total Capital Projects Funds $ (7,396,760) $ 2,540,861 $ 2,128,411 $ (6,984,310)
{
Total All Funds $ 6,657,004 $ 3,757,461 $ 2,861,211 $ 7,553,254
t
AGENDA ITEM
eFhirl°�idley HOUSING & REDEVELOPMENT AUTHORITY
F
NOVEMBER 2, 2017
TO: Wally Wysopal, Executive Director of HI-ii ..6"
FROM: Paul Bolin, Assistant HRA Director
SUBJECT: End of Contract for Exclusive Negotiations — Locke Park Pointe
Last winter, through a formal Request for Qualifications, the Authority chose to work with the
Flaherty & Collins/Landform group ("Redeveloper") in developing housing around the City Hall
campus. On May 4th, a Contract For Exclusive Negotiations ("Contract") was approved by the
Authority and subsequently executed by the Authority and Redeveloper. The Contract spelled
out a number of tasks for the Redeveloper to complete, including market studies, site design
work, financial analysis and engineering. These tasks were meant to put the Redeveloper and
Authority in a position to draft a redevelopment agreement for the entire site.
The contract was to remain in effect until a Contract for Private Redevelopment was developed,
or until November 2, 2017. We have not been able to reach a development deal with Flaherty &
Collins/Landform for the entire site. Flaherty & Collins were seeking $8M+ in TIF for their multi-
family building. The project simply does not generate enough increment to provide that level of
assistance.
Over the past few weeks, the Flaherty & Collins group became much less engaged in putting a
project together. Darren Lazan, from Landform, has worked hard to bring other ideas forward.
However, we are nowhere near being able to move forward with a redevelopment contract for
the overall site.
STAFF RECOMMENDATION:
Staff recommends the Authority approve a motion allowing the Contract for Exclusive
Negotiations to terminate in accordance with its Sections 5.1 and 5.2 (shown below).
Section 5.1. Termination. This Agreement shall terminate November 2, 2017,
unless both parties agree in writing to extend this Agreement.
Section 5.2. Effect. This Agreement outlines the Parties' understanding that
they intend to negotiate in good faith and that such negotiations may lead to the
execution of a definitive Redevelopment Contract. Each Party retains throughout the
course of this Agreement complete and unfettered discretion to conduct its negotiations
and perform its responsibilities in the manner it sees fit. The Parties agree that upon
termination of this Agreement they shall have no further obligation to each other except
as provided for in this Agreement and the Parties further agree to execute any
document reasonably necessary to evidence termination.
ACTION ITEM
Fridley HOUSING & REDEVELOPMENT AUTHORITY
NOVEMBER 2, 2017
TO: Wally Wysopal, Executive Director of HRA fes`"
FROM: Paul Bolin, Assistant HRA Director ; '
SUBJECT: Locke Park Pointe — Authorization of RFP Issuance
Over the past year, the Authority has spent a great deal of time working to find and then put
together a development agreement with a single, master developer. Despite a strong effort by all
parties, we were not able to reach an overall redevelopment agreement.
As we look to the future of the Locke Park Pointe site, both City and HRA Staff feel that going
out to builders with two separate Requests for Proposals (RFP), is the best way to move
forward. One RFP will be for the patio-home site, south of the yet to be installed parkway. The
second RFP will be for the multi-family/senior site, north of the parkway. Next year, after the
existing Public Works building is demolished, a third RFP can be issued for that parcel.
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The RFP's will be sent out to housing builders, asking them to tell us what product and how
many units they would build, when they would build, where they would build (site layout), what
they would pay for the land and what if any assistance they would need/anticipate. The RFP's
will be tightly drafted and incorporate comments from the neighborhood meetings,
environmental reports, soils reports, site limitations and extent of land available for
redevelopment. The HRA will have the right to reject any and all proposals.
The potential timeline is:
• Issue RFP— Mid-November
• RFP's Due — Mid-December
• Staff review— Mid/Late December
• Recommendations to HRA—January 4
• Develop contract/ refine proposal — February
• Building plan development- February/ March / April
• Potential Construction Start—June 2018
Staff recommends the Authority approve a motion authorizing staff to move forward with a
Request for Proposals process to select builders to construct the private development at Locke
Park Pointe.
1
AGENDA ITEM
� °� HOUSING & REDEVELOPMENT AUTHORITY
Fridley
NOVEMBER 2, 2017
TO: Wally Wysopal, Executive Director of HRA
FROM: Paul Bolin, Assistant HRA Director
SUBJECT: Sherman NS Rail Station Housing Development Agreement
This past June, the Authority approved entering in to a contract with Sherman Development, to
construct a mixed income rental building at the North Star Station site. The agreement was
conditioned upon Sherman receiving tax credits from Minnesota Housing Finance Agency
(MHFA).
The MHFA announced the awards on October 19th and Sherman was not selected. There were
a total of 48 metro area projects, seeking close to $80M in assistance. MHFA awarded only 5
tax credit projects for a total of$4.8M. Sherman had been seeking $1M in tax credits.
While the agreement signed in June is now terminated, per section 9.1, Sherman would like to
continue to pursue a project on the Northstar Station site. When they have a proposal put
together, we will present the idea to the Authority and a new agreement would be developed.
STAFF RECOMMENDATION:
Staff recommends the Authority approve a motion terminating the Contract for Private
Redevelopment in accordance with its Section 9.1.
ARTICLE IX
Termination of Agreement
Section 9.1. Termination. This Agreement shall terminate the earlier of
co Notice from Minnesota Housing Finance Agency that low income housing tax credits
have not been awarded to the Project; or (ii)May 1, 2018. However, if a closing has
occurred in accordance with Article II[ of this Agreement, then this Agreement shall
terminate upon the discharge of all of the Authority's and Redeveloper's respective
obligations hereunder including the issuance of a Certificate of Completion for the
Minimum Improvements, but no such termination shall terminate any indemnification or
other rights or remedies arising hereunder due to any Event of Default which occurred
and was continuing prior to such termination.
INFORMATIONAL ITEM
`F;.;die, HRA MEETING OF NOVEMBER 2, 2017
To: Walter T. Wysopal, Executive Director of HRA
From: Annie Leibel, HRA Intern
Julie Jones, Planning Manager
Date: October 24, 2017
Re: Comprehensive Plan Draft
Over the last year, staff has been preparing an update to the City's Comprehensive Plan.
Minnesota law requires cities to develop long-range plans every 10 years as a guideline for
future planning. The Comprehensive Plan is made up of nine components.
.1. Land Use
2. Housing
3. Transportation
4. Parks and Trails
5. Water Supply
6. Local Surface Water
7. Wastewater
8. Economic Competitiveness
9. Critical Area
In addition, the City is required in this Plan update to weave components of resiliency into each
chapter of the Plan. Due to the construction of a new Civic Campus, Fridley has decided to
continue our tradition of including a Public Facilities section in the Plan also.
Staff is asking that the Commission review three chapters of the Comprehensive Plan, including
Housing, Economic Competitiveness, and Land Use. The Housing and Economic
Competitiveness Sections are attached for your review. The Land Use Chapter will be discussed
at the December HRA meeting. Please keep in mind that the attached chapters are a draft, so that
you can review and make comments. The chapters have not been formatted into a final design
yet, so you may notice pictures and graphs that may be missing.
The purpose of this review is to receive Commission feedback before the public meeting on
December 20, and Council adoption of the plan. Next Thursday night, Staff will provide an
overview of the chapters and take any comments/questions that you may have at that time. City
Planning Staff will also take comments via email or phone over the next few weeks.
Chapter 4
Housing Plan
4.0 Introduction
Housing is a critical and essential component of the quality of life in Fridley.Since a majority of Fridley's
housing was built in the 1950s and 1960s,the City has struggled to provide the variety of housing types
and price points that allow residents to move through the life cycle housing chain while staying in
Fridley. Providing a variety of housing types and price levels is key to maintaining stability in the
community. It is also key to reducing traffic;giving Fridley's extensive working population the
opportunity to live where they work.
The City of Fridley has focused a great deal of its resources on maintaining the housing stock we have.
For several decades now,the Fridley Housing and Redevelopment Authority has spent funds on housing
replacement and rehabilitation programs, removing blight and encouraging reinvestment in older
housing.The City also has strong rental inspection and code enforcement programs as an effort to
preserve housing values.
Since the last Comprehensive Plan update,the Fridley Housing and Redevelopment Authority has
initiated two significant housing redevelopment projects-Cielo Apartments and Gateway West.
Gateway West provided 16 new, larger single family homes valued higher than the average Fridley home
price point.Cielo Apartments is providing 256 market rate apartments at a price point that is higher
than any other apartment complex in the City.The successful marketing of both of these projects has
proven the need for this type of housing.The City continues to lack other housing choices, however,so
more housing types need to be explored,and the City is planning for new housing options in several
proposed developments, including Locke Park Point and the Northstar TOD Zoning District.While many
residents have voiced concern about so much proposed housing being rental housing, low vacancy rates,
rising rents, and demographics of higher divorce rates and single parent households in Fridley appear to
be driving the need for more rental housing in the community.
4.1 Existing Housing Assessment
In order to develop a plan for housing in Fridley,an analysis of existing housing types was performed.
The breakdown of housing structure types has not changed much over the past two years except for
more apartments due to the construction of Phase I and II of Cielo Apartments. New single-family
homes have been built, but a home was torn down in most cases to make room for the new home.One
structure type that is not separately listed is cottage home.The City has a few cottage homes(one-level
living without a basement), but there has been many requests for more of this type of housing for
seniors who want to sell their single-family home and be able to live in an accessible structure.There
have also been requests for more owner-occupied multi-family structure options,which is
understandable as only 11%of existing housing structures are this type of housing.
(Insert table of Residential Structure Type)
Residential Structure Type Number of Percent of
Structures Total
Rambler 4,303 52%
Split Foyer 914 11%
Split Level 560 7%
Other 547 7%
Townhouse 602 7%
Manufactured Home 416 5%
Two-Story 320 4%
Condominium 360 4%
Duplex/Double Bungalow 186 2%
Apartment Building 169 2%
Twin Homes 14 0%
Total Structures 8,301 100%
(Insert table of Housing Unit Type)
Housing Unit Type No.of Units %of Total
Single-Family Detached 6,643
Townhomes 658
Manufactured Homes 405
Total Single Family Units 7,706 65%
Twinhome, Duplex 370
Condominium 360
Multi-family Apartment(10 or less units) 576
Multi-family Apartment(11 or more units) 2,931
4,237 35%
Total Housing Units 11,943 100%
Source of data:Anoka County Property Tax records, Fridley Utility Billing records, and Fridley Rental
Licensing records
4.2 Age of Housing Stock
(Insert map of Age of Housing Stock)
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Fridley Community Development
Fridley Public Works
/11
f Metropolitan Council
Map Date:1/13/2017
City of Fridley
6431 University Ave NE f C-
Fridley,Minnesota 5543204303
Phone(763)572-3566 ` ---
4.3 General Occupancy
The new data shows that the ratio of the amount of Fridley's housing stock being rented increased one
percent in the past ten years.This is not surprising considering that many single-family homes that went
into foreclosure over the past ten years were purchased as investments as a rental property. In addition,
the first phase of Cielo Apartments was completed in 2016,which added 101 new apartments to the
City's rental inventory.
(Insert table on Housing Occupancy)
Tenure 1970 1980 1990 1998 2006 2016
Type
Ownership 5,922 (74%) 6,941 (67%) 7,364 (67.5%) 7,658(66%) 7,520(65%) 7,609 (64%)
Rental 2,081 (26%) 3,475 (33%) 3,545 (32.5%) 3,945 (34%) 4,107 (35%) 4,294(36%)
Total Units 8,003 10,416 10,909 11,603 11,627 11,903
Since there continue to be many comments from residents that there is too much rental housing in the
community, staff decided to do some research and see how Fridley compared to other first ring suburbs
of Minneapolis in the ratio of owner occupied to rental housing statistics. It was interesting to see that
Fridley falls in the middle of the list.Continued concern about the level of rental housing and
construction of more apartments in the Cielo project are especially puzzling since the demand for this
type of housing is exhibited in the current low vacancy rates and the reality of how quickly the new units
are being leased, months ahead of expectations.
(Insert table on Rental Percentage Comparison)
Rental Housing Percentage Comparison to other first-ring suburbs of Minneapolis
City %Ownership %Rental
Hopkins 33.8% 66.2%
New Hope 53.4% 46.6%
St. Louis Park 57.3% 42.7%
Brooklyn Center 61.7% 38.3%
Fridley 63.9% 36.1%
Columbia Heights 64.9% 35.1%
Robbinsdale 67.3% 32.6%
Crystal 71.9% 28.1%
Golden Valley 76.1% 23.9%
4.4 Housing Affordability
(Insert Met Council's Map of Value of Owner Occupied Housing) **Missing Map**
(Insert table of Housing Values)
2016 Assessed Valuation of Single Family Housing
Est.Assessed Value Range Number of Units %of Total
Less than $60,000 556 6.8%
$60,000 to$99,999 237 2.9%
$100,000 to$149,999 1,570 19.3%
$150,000 to$199,999 4,165 51.2%
$200,000 to$249,999 1,107 13.6%
$250,000 to$349,999 428 5.3%
$350,000 to$499,999 58 .7%
$500,000 or more 9 .1%
Total 8,130 100%
Cost of Home Ownership
Ten years ago, in 2006, nearly 13%of Fridley's single family homes were valued over$249,999.The 2016
assessing data shows that Fridley has not recovered from the recession completely, because only 6%of
Fridley single family homes are currently valued over$249,999.The median home value in 2006 for
homes with tax codes: homestead (1A), partial homestead (.51A, .51AB, and .51B), blind homestead (1B)
and non-homestead (4BB)was$209,116.This did not include manufactured homes.
In 2016,the median home value was$184,044. If you include manufactured homes, it is$178,800.The
average Fridley home sale in 2016, based upon 379 sales, was$187,800, which is down$30,537 from
ten years ago.Actual sales from MLS data for SOLD homes,therefore, are also demonstrating that
values have not yet recovered from where they were at the time of the last comprehensive plan update.
(Insert map of Median Home Values)
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Fridley Community Development
Fridley Public VVorks
/AI Z — a Metropolitan Council
Map Date:1/17/2017
City of Fridley
6431 University Ave NE _= -
Fridley.Minnesota 5543204303 i `
Phone (763)572-3566
Rental Rates
While the cost of home ownership has declined in the past ,en years,the cost to rent has significantly
increased. This is likely the result of supply and demand. While Fridley has experienced the construction
of 202 rental apartments over the past two years,vacancy rates are still currently very low in the City.
(insert table of Average Monthly Rents over the Past Decade)
Unit Type 2006 2017 Percent Increase
Studio $580 $625 7.8%
1 BR $706 $813 15.2%
2 BR $810 $933 15.2%
3 BR $1007 $1052 4.5%
4 BR $1459 $1634 12.0%
Source: Metropolitan Council HRA; Marquette Advisors (both decades)
Subsidized Housing
While 10 subsidized units were lost at Banfill Crossing (the only market rate senior highrise in Fridley)
due to the expiration of special financing, Fridley still has 427 Section 8 rental units and vouchers.These
units account for 4%of Fridley's housing units. All of the project-based Section 8 buildings in Fridley are
concentrated in a one block stretch of the City.This is contrary to goals of dispersing low-income
housing throughout the community, but the location of this housing is beneficial to its residents due to
the fact that this is the only area of the City that has key services, including bus transit, a library, clinic,
City Hall,community center, and drug store,within walking distance.
(Insert table and map of Subsidized Housing) **Notes not included** **Missing map**
Subsidized Housing in Fridley Number of Units
Section 8 Vouchers 160
Brandes Place-Project Based Section 8 16
Norwood Square-Project Based Section 8 51
Village Green- Project Based Section 8 Senior 103
Village Green-Project Based Section 8 Disabled 80
Lutheran Social Services vouchers 4
Total Publicly Assisted Housing Units 414
Manufactured homes have traditionally been classified separately from single-family housing data, but
the 405 manufactured housing units in two separate manufactured home parks in Fridley provide an
essential unsubsidized, affordable, homeownership option for low-income residents. According to the
organization All Parks Alliance for Change, approximately 1,050 people live in those 405 manufactured
home units in Fridley.This organization also reports that lot rent in Fridley's manufactured home parks
averages$510.50/month currently, compared to the average rent for a two-bedroom apartment of
$1,000.
To advance affordability,one of Fridley's parks, Park Plaza, recently became one of seven resident-
owned park cooperatives in Minnesota.While management of the new Park Plaza Cooperative has
struggled to handle problems of vandalism and private maintenance,the concept appears to benefit the
resident owners.
Allocation of Affordable Housing Need
According to Metropolitan Council projections,the Minneapolis/St. Paul region's total need for
affordable housing for 2021—2030 is 37,900 dwelling units.The projected affordable housing need
reflects what share of forecasted regional household growth will make less than a set threshold of
income and therefore need affordable housing.The Allocation is the determination of each community's
share of this regional need and the first step in helping to determine the housing goals and objectives in
local comprehensive plans. Fridley's 2021—2030 Allocation of Need is 268 housing units,which is
further broken down as follows:
Affordable Housing Need Allocation for Fridley
At or below 30%AMI 135
31 to 50%AMI 11
51to80%AMI 122
Total Number of Units 268
AMI =Area median income
Source: Metropolitan Council
There are three significant new housing developments with approved master plans in the City of Fridley
at this time:
1. Cielo Apartments on University Avenue with 54 new apartments yet to be completed
2. Northstar TOD Master Plan area with 950-1,150 new multi-family units proposed in plan
3. Locke Park Point on University Avenue with approximately 500 new housing units anticipated
Proposed densities for all three of these developments far exceeds the guidelines for affordable housing
measures in Metropolitan Council guidelines with unit per acre ranging from 28 units/acre for Locke
Park Point to 40.5 units/acre for the Northstar TOD area.The Cielo Apartments density is 35 units/acre.
Only 16%of the housing units in these three planned housing developments would need to be
affordable to meet the affordable housing goals set for the City. However, it is unlikely that the entire
TOD Master Plan area will be built out by 2030. But, it is anticipated that more than 16%of the units
built in the next ten years will be affordable. In addition there will likely be other small housing
redevelopment projects occurring in the City over the next ten years that will also meet affordable
measures.
4.5 Existing Housing Programs
The Fridley HRA provides a variety of home rehabilitation programs for a variety of housing types as a
means for everyone in the community to have a safe,stable place to live. In order to stretch their
limited funding,the HRA has the Center for Energy,a non-profit organization, administer these
programs,which include:
Home Remodeling Advisory
In order to maximize the funding available,the HRA provides a free advisory service to property owners,
so they can get advice on necessary repairs,what program may work best to address their needs,and
assist with the review of bids.
Home Improvement Loans
Whether or not it is internal or external repairs,the HRA offers home improvement loans to single-
family homeowners, manufactured home owners,and 2-4 unit multi-family homeowners. Income limits
on this loan program were removed in 2016, making 20-year loans available to all homeowners. In 2016,
the HRA also added apartment buildings up to 10 units in size to the loan program, limiting
improvements covered to exterior improvements.The HRA is also able to help with emergency deferred
loans for situations like a sewer line break.
Home Energy Squad Enhanced Visits
The HRA partners with CenterPoint Energy, Excel Energy,and the Center for Energy and the
Environment to help homeowners conserve energy and save money on their utility bills through the
installation of energy-saving materials,following a blower door test and insulation inspection.
Housing Replacement Program
Since this program's creation by the State Legislature in 1995,the Fridley HRA has purchased 31 blighted
properties and 23 new homes have been built to encourage neighborhood reinvestment.This program
continues, but it is rare to find a property that is blighted to the point that it meets the purchase price
limitations of the program.This program's success is demonstrated by the fact that few blighted
properties remain in the City.
Remodeling Ideas/Demonstrations
For people owning the typical Fridley rambler,the HRA has developed remodeling idea handbooks and
completed demonstration projects to show owners changes that can be made to simply expand their
rambler or make changes that modernize the existing space or make the existing space accessible for
older residents to age in place.
Senior Services
Fridley's Recreation Department staffs a Senior Center in the Fridley Community Center, providing
senior dining,activities and educational opportunities for seniors.The Senior Center staff partners with
the Anoka County Community Action Program (ACCAP)to help seniors meet their housing needs. Most
seniors want to stay in their single-family home as long as they can, so programs like Chores and More,
are key to provide financial assistance to low income seniors to help with physically-demanding
maintenance like raking leaves and shoveling snow.The Chores and More program is now administered
by ACCAP,and residents pay for services on a sliding fee scale.
Another program that the Senior Center staff use to help senior residents stay in their home is Lions
Share.This program offers financial support to low income seniors by providing funding to the Friends of
Fridley Senior Program Foundation. Fridley seniors that need to make retrofits, like adding a ramp or
moving a laundry room upstairs can apply to get financial support to make modifications to their home.
The average grant,which is paid directly to contractors, is only about$1,000, but the staff works with
ACCAP to get senior's additional financial assistance if needed.
4.6 Existing Housing Conditions and Needs
In the summer of 2017,the Fridley HRA financed a windshield housing conditions survey. Single family
homes were ranked on a three-point scale on the condition of the roof,soffit/fascia,siding/paint,
windows/doors,and foundation.The findings reported 97%of Fridley homes being in good to excellent
condition. Scores were slightly improved from the same process followed for a housing conditions
survey ten years earlier.This was expected,as the City had tightened up the Zoning Code language
regarding exterior home maintenance and had proactively pursued getting all homes into compliance
with the new code standards once they were in place.
Five years ago,City staff was inspecting rental housing once every four years. However, housing
conditions indicated a need for more frequent inspections, so the City's policy was changed to inspect
licensed rental properties once every three years.This change was made in addition to moving the
rental licensing duties from the Fire Department into the Community Development Department with
staff dedicated to solely inspect rental properties.The Fire Department continues to inspect rental
building common areas, however.
Metropolitan Council's Existing Housing Assessment for Fridley shows that while 92%of Fridley's
housing meets affordability standards and 4%of Fridley's housing units are publicly subsidized units,
25%of households are considered cost-burdened households.What the data does not disclose is how
many residents could afford move-up housing.The recent success of full lease-out of the Cielo
Apartments has confirmed a long perceived demand for higher value rental housing in the community.
As was the situation a decade ago, Fridley still lacks a wide variety of housing and higher price points.
There are still no options in the City for senior cooperative housing, high-rise condominiums,or large,
high value,single family homes. Many of these types of housing are anticipated to be added to the
community's portfolio as various master planned areas of the City are built out.While the City nor the
HRA have financed a recent market study of housing need in the City, residents continue to comment
that they want affordable senior housing options. Meeting the diverse life-cycle housing needs of Fridley
residents continues to be a priority for the community.
4.7 Housing Policies
There are several policies that have been agreed upon related to the vision of keeping Fridley's housing
safe, vibrant,friendly,and stable:
• Maintain City Code requirements and related procedures that preserve affordable housing
without driving up costs
• While enforcing code requirements,treat homeowners and renters equitably
• Use the procedures and authority granted staff in City Code to maintain safe and stable
residential neighborhoods
• Encourage developers of new housing to build types of housing that meets the market needs
of the population of the City
• Monitor population trends and market changes that may affect the type of housing needed
in the community in the future
• When warranted,the City will help determine market options for redevelopment of large
sites through the funding of public engagement events similar to the Housing Corridor
Initiative.
• When special funding exists,the City/HRA will pursue subsidy options from other agencies to
accommodate affordable housing needs within market rate developments.
• Master Plan anticipated areas of redevelopment to guide future land use choices, preserve
the stability of surrounding neighborhoods, and provide for the types of housing needed in
the community.
• Partner with other governmental agencies like ACCAP and the MHFA to accommodate
affordable housing needs in the community.
• Besides supporting affordable housing,also support affordable living for residents of
affordable housing units by supporting access to affordable transit options, healthy food,
and recreation.
• Follow Critical Area and Shoreland Overlay Zoning District guidelines for building setback,
but encourage the density levels that will create the building heights needed to support
views of natural amenities and affordability of dwelling units.
• The City will strive to provide special services to seniors to help them have the option to
remain safe in their home as they age.
4.8 Action Steps and Summary
Due to code changes and purposeful staff efforts to enforce zoning and rental licensing codes,the
housing stock in the City ranks as well-maintained. However,due to the age of the City's housing stock,
the City needs to continue to concentrate a significant effort on proactive inspections to maintain
housing condition standards.
Action Step:Continue to conduct systematic code enforcement inspections throughout the City.
Action Step:Continue to inspect all rental housing units in a three-year rotation to ensure rental
housing is meeting minimum safety standards.
One type of housing that is no longer being inspected and licensed by the County or State is group
homes without food services.Staff fears vulnerable populations will not be provided safe housing
options without this licensing.
Action Step:City staff will now license and inspect these types of housing units as rental units when they
become aware of them and will partner with the City Assessors and other agencies to locate such units
in the City.
Data shows that almost all of the owner-occupied housing in Fridley is affordable which means the City
is lacking higher-valued, move-up housing. Particularly lacking is one-level living units for seniors. Having
this type of housing would lead to more single-family homes to be available for larger families.The
Locke Park Point development and the Northstar TOD overlay zoning district offer possibilities for these
housing types.A location in the City that could serve the need of future higher-valued,detached owner-
occupied housing could be the Girl Scout Camp that was recently purchased by the Metropolitan Council
for sewer management purposes.
Action Step:Guide the zoning of the Girl Scout Camp for single-family housing.
Survey data has shown a safety concern over the management of rental housing.
Action Step:The Police Department and Community Development Department will continue to work
together on a Crime-Free Rental Housing initiative, enforcing the requirements of Chapter 220 of City
Code.
Mapping out access to fresh produce(see Land Use chapter) has shown that most areas of the City do
not offer the benefit of walking access to a grocery store within a half mile walk shed. In addition,
Fridley does not have a thriving farmers market.There are many convenience store options in the City,
but they do not offer fresh produce.
Action Step: Expand the size of the existing City-sponsored community garden area near the Public
Works Garage and amend zoning code to allow community gardens as a principal use in all zoning
districts with a special use permit(the City could wave the fee for a non-profit agency?).
Action Step:Offer the plaza area of the new Civic Campus as an area for a seasonal,weekly farmers
market.
The cost and limited availability of affordable senior housing has resulted in many senior residents
wanting to remain in their single-family home as they age.
Action Step:The Fridley Senior Program will continue to partner with other agencies and services like
the Senior Outreach Worker from ACCAP to connect seniors with available services that meet their
needs to safely live independently in their home.
Economic Competitiveness
4.0 Introduction
The City of Fridley is a bustling community with an abundance of employment opportunity.
Fridley's proximity to Minneapolis, as a first ring suburb, and convenient transportation options
make it a strong business community. The City thrives on employment sectors in manufacturing,
research, and design. Looking forward, Fridley will need to focus on retaining advanced
employment opportunities, continuing to build relationships with businesses, connecting
educational institutions with business needs, revitalizing underused sites, and building a
sustainable environment to maintain and improve Fridley's position as an economic competitor.
4.1 Fridley's Economic
Profile
Commuting Patterns
The City of Fridley has an Ramsey , Mover
abundance of employment _
opportunities; in fact jobs
outpace the number of people in Fridley
the workforce by almost 4,000.
While there are 22,709 jobs only
Coon Rapp
1,388 are held by Fridley ame
residents. Most Fridley
employees come from
surrounding suburbs. Residents ►
leaving the City to get to work maple Grov Brooklyn Park y
/-►_, '
travel an average of 23 minutes s,
which is equal to the state Fa,*_
average. The average commute
time in Anoka County is 5
minutes longer. ,,,I 'Piymoub -
• 1/ NI +,Roseville
• 4 • re -748.\\
• inneaoolis
Incoming Workers
The distance people are 281-500 Wad
5°°_'000
commuting to work and where
woo-1500
they are commuting from has an 1500-1904
impact on the transportation N
demands of the community.
Outgoing Commuters 6,
This also poses a challenge for — 281-500
1000
public transportation which - 1000-1 0
0 1 2 3 4 miles
focuses on getting workers to ENE MEI 1500-2000
2000 2500 . . fin.
and from central cities. _ 2500-2844
IGIS is working on creating two legends."Inbound Commuters"and"Outbound
Commuters"
Fridley Industries
The number of jobs in Fridley is a result of the vast business footprint the City has.
NW MIEC Manufacturing plays a key role in Minnesota industry and especially in Fridley
L._ where 35% of the jobs in the City are in manufacturing. Currently this sector is
1 facing a workforce shortage as many workers begin to retire. There is also a
negative perception of manufacturing which inhibits the younger generation from
pursuing jobs in this field. Over the next 10 years Minnesota is expected to see 6.3% growth in
machinist positions.
Illustration:
State of MN filled 13%the
state's share and City of
Fridley 35% share of mnfg
The business dynamic in Fridley is also shaped by large employers such as Medtronic, BAE
Systems, Minco, General Mills, and Cummins which continue to attract complementary business
to the community. Businesses contribute to the day-time population of the City and increase
spending at nearby retail centers. Businesses choose Fridley because of the proximity to the
Twin Cities, multimodal transportation options, including a robust roadway network, business
friendly environment, and strong community vibe. Despite Fridley's success in attracting
industry, there is a lack of retail employment. More residents are employed in retail, than jobs
offered in Fridley. The City also faces outdated retail buildings and vacancies.
1. 3,464 %Fm„,a
I -
. 1,138
:'a
rtI MR;
r
Rank Employer Employees
2. 1, 0 1 Medtronic 3,464
2 Cummins Power 1,210
3 Unity Medical Center 1,138
' 4 Target 696
0
5 S BAE Systems 600
6 ISD#14 (Fridley Schools) 580
r 7 Minco Products 515
c 8 Walmart 312
e 9 Park Construction 300
10 Kurt Manufacturing 295
City of Fridley 2016 CAFR
Employees of Fridley Businesses
Public Administration
2% In addition to a strong manufaturing
Finance,Insurance,Real base, Fridley has a variety of other
Estate,Rental,teasing
3% , �: industries which serve the community.
Construction—,
Educational services,health care, and
social assistance make up a large sector
Transportation,
Warehousing,Utllitie5� >. of jobs and account for 14%of Fridley
4% employers.
Arts,entertainment, -
recreation, -
accommodation,food _'
services -,;
5% .,:,
Professions I,Scientific, Educational serdr.
Management,
Administrative and waste,! Health Care,Soda`-:%
Management Services Assistance
6% 14%
Other servic
Ail"
Wholesale Trade
11%
Fridley Workforce Population
Fridley Workforce LChait Area 1 Mts.entertainment.
recreation.accommodation.
food services_se
Educational attainment in Fridleyis Allrert.:1Z `onsuucson
consistent with the state average. In Uses
;%
fact, 90%of residents over age 25 Real Estate..Rtntal, •
Wholesale Trade
have a high school diploma or Le9., Other Seniee<_
higher. Also, 26.6% of residents ,
eminent,Scientific, ?abbe?Anises nation
over age 25 have a Bachelor's Administrative _ r
Degree. The jobs Fridley residents dWasteManagement A ,Nine Forestry.-..
Services .china.Hunane.Min
have pursued, correlate with higher Int l°° =e
educational levels.
.._ lll"---.._Information
1
69.2%of Fridley residents age 16 l=°=
and over are in the workforce. This
number is higher than the national —_
average of 63.3%. Manufacturing,
Connecting Workplace and
Home Place 2 All Charts will have better resolution/larger text in final layout
Despite a robust selection of industries in Fridley, only 1,388 residents work and live in the City.
This contributes to congested streets, and impacts the sense of community between residents and
businesses.
1,388 residents live and work in Fridley
22,709 jobs in Fridley
27,476 people in Fridley
(Illustration)
Opportunity in Fridley
Over 90% of Fridley's housing stock meets affordability standards;
enabling more of the population to find a home that matches their
budget. Despite cost, Fridley has a high rental population. Rental
options often fill a temporary housing need. Without more housing
Locke Pointe Plan opportunties,residents are forced to look elsewhere for"move-up"
housing. In addition, Fridley has many high tech industries with
higher paying jobs. Redevelopment projects like Cielo Apartments,
Gateway West, and Locke Pointe have focused on addressing
higher-end and lifecycle housing needs.
There are a multitude of educational opportunties in Fridley. There are four school districts in
Fridley including Fridley Public Schools. Fridley School District offers open enrolment with an
emphasis on college prepatory,
enriched, IB Diploma
t
Programme, and Project Lead the
Way courses. In addition, the 4 .
City has a number of reputable ),if,`!•:, •7� •.•"•—. '
private schools offering an 7"-'7 "."--":„.41
alternative educational ,' + 'i "- --1 — --
opportunity including Al Amal -
School, Calvin Christian High
School, Grace Lutheran School,
and Totino-Grace High School.
There are recreational opportunities for all ages in Fridley. The Community Center has senior
programming and Tiger Club Care for preschool aged children. Springbrook Nature Center
offers three miles of hiking trails and an interpretive center with
, = `k interactive exhbits, and a variety of native snakes, turtles and
1. amphibians. The Anoka County, Fridley-Mississippi Library
„,a)rBranch is a tranquil location to find reading materials. Banfill-
Locke Center for the Arts is a nonprofit organization providing
inspiration, enrichment, and education through the arts. Fridlley's
38 neighborhood parks, 5 county parks, and 8 public school
facilities ensure there is always an open space to enjoy. The trails throughout Fridley including
the Rice Creek Regional Bike Trail, and the Mississippi River Regional Trail all provide
alternative transportation nodes and additional recreation opportunities.
Fridley is a Greenstep City. The Minnesota Pollution Control Agency
operates the Greenstep City program, and awards ratings to Cities who
fit the criteria. Fridley has been awarded step one of the five step
program, and is working towards the second step.
4.2 Business Retention and Expansion Program
In 2014, Fridley established a Business Retention and Expansion Program (BR&E). Fridley's
BR&E Program helps local businesses stay competitive by addressing some of their key needs
and concerns. Since 2014,the City has gone on over 200 business visits, and this has resulted in
changes to City Code,better communication between businesses and City staff, and a stronger
community connection.
As a result of the BR&E program the City has made efforts to recognize small businesses,
independent retailers, and manufacturers.
Small Business Saturday: The Saturday after Black Friday celebrates shopping small, and
encourages consumers to consider the impact of their dollar when spent at a small business. The
City advertises Small Business Saturday on the cable program, Community Connections each
year.
Independent Retail Month: The month of July is celebrated as Independent Retailer Month. It is
important to consider the impact all businesses have in the community and to recognize their
efforts. The City sent thank you letters offering support and reminding businesses of the
opportunity for a BR&E visit to all of the independently owned retail stores throughout Fridley.
Manufacturing Week: Held the first week in October, Manufacturing Week celebrates the
industry and works to change the perception of manufacturing. The City of Fridley began
working with Minnesota Dream it. Do it. in 2017. This organization is part of a national
organization that promotes tours of industries encouraging students to consider a career in
manufacturing. Manufacturing makes up 35% of the employers in Fridley, and through BR&E
visits the City learned of the difficulty manufacturers face in filling open positions. In 2017, the
City led a Manufacturing Week initiative to help connect local schools with local businesses to
encourage partnerships.
Short-Term Objectives
To demonstrate support for local businesses
To help solve immediate business concerns
Long-Term Objectives
To increase local businesses' ability to compete in the global economy
To retain and attract new jobs
To build community capacity to sustain growth and development
To create a business friendly community that nurtures business' potential
Future BR&E Actions
Continue meeting with businesses to establish more connections
Maintain business relationships with an outreach program
Continue progress with the Fridley business e-newsletter and keep businesses in the know of any
community related changes.
Continue to accurately respond to business needs.
4.3 City Tax Base
`44 The City has a large commercial and industrial tax base making Fridley a
contributor to the Fiscal Disparities Program. Fridley's contribution reduces large
differences in property tax wealth between communities with a high commercial-
,- industrial tax base and those with a smaller tax base. Tax-base sharing spreads the
fiscal benefits of commercial-industrial growth across the seven county metro area. In 2015,
Fridley contributed just over$4.5 Million to the Fiscal Disparities Program. With efforts to retain
and attract new businesses, Fridley will likely continue to be a contributor to the Fiscal
Disparities Program. {TALK ABOUT TAX RATES}
3 Finance is helping compile tax data to include.
Fridley Tax Base Composition Metro Area Tax Base Composition
Other Other
3% =oc.
� a
Commercial Industrial
18%
Cornmerciallndnstrial Residential
3 °a Homestead
46% Non-Residential
Resizlem.al Homestead
Homestead 61%
18%
Non-Residential
Homestead
17%
Source: League of Minnesota Cities, Metropolitan Council
4.4 Building Permit Activity
Building Permits
6000
The City of Fridley is a built
community experiencing 5000
redevelopment and expansion of 141
existing facilities. Since the 4000 - —
recession in 2008, permit activity 3000
has been increasing, and saw a 2372 2734 2669 2466
jump in 2015. This influx of 2000 z/I'"""'s-*292
activity in 2015 was due to roof 1985 2015
1000
repairs from storm damage. 1071
0
2007 2008 2009 2010 2011 2012 2013 2014 2015
Residential Building Permit Revenue
$18,000,000
$16,000,000
$14,000,000
$12,000,000 The residential development
$10,000,000 of Cielo Apartments and
$8,000,000 — — storm repairs in 2015
$6,000,000 contributed to additional
$4,000,000 residential permit revenue.
$2,000,000
$0
2007 2008 2009 2010 2011 2012 2013 2014 2015
Commercial, Industrial and Other Building
Permit Revenue
$50,000,000 --
Commercial and $45,000,000
industrial $40,000,000
development is $35,000,000
rising steadily. In $30,000,000
2015 the industrial ■ . . . .
development of $25, 11.1
25,000,000 1.1 . . MI . . .
Northern Stacks $20,000,000 . . . . .
increased additional $15,000,000 . . . . . .
industrial permit $10,000,000 ■ . . . . . ■
revenue. $5,000,000 . .
El
$0 — - _
2007 2008 2009 2010 2011 2012 2013 2014 2015
4.5 Economic Competitiveness Policy
The City of Fridley will continue to maintain affordable tax rates for all residents and businesses.
The City of Fridley will continue to redevelop blighted and underutilized properties. The City
will also continue to offer incentives to businesses for making enhancements to their property.
The City of Fridley will continue to improve communication to and with Fridley businesses.
The City of Fridley will continue to promote business partnerships with local schools to fill the
labor gap and create jobs for Fridley students.
The City of Fridley will continue to be a top provider of high tech jobs throughout the region.
The City of Fridley will continue to advocate for public transportation to businesses, especially
where there are gaps.
The City of Fridley will continue to make Fridley a desirable place to live by considering
opportunities that provide evening entertainment.
The City of Fridley will find ways to match residents with employment by addressing the
opportunities Fridley has and the weaknesses the City faces in attracting new development.
The City of Fridley will investigate electric vehicle networks including the implementation of
charging stations in retail parking lots.
The City of Fridley will identify opportunities for public art throughout the City especially along
central corridors. A potential area to encourage public art may be along the Mississippi River in
conjunction with future redevelopment. The City will also promote fine arts centers like Banfill-
iI
Locke Center for the Arts.
The City of Fridley will examine accessibility to the Mississippi River to encourage recreational
usage. A potential opportunity to revitalize 49ers days as a Mississippi River Celebration should
be investigated.
4.5 Summary and Action Steps
The City of Fridley offers not only a convenient business location,but a community of
opportunities. Understanding the needs of Fridley businesses and workforce enables the City to
consider ideas that maximize potential. Analyzing job sector data helps target promotional
efforts and improves communication. BR&E visits help address business concerns, and align
future visions. In addition to business support, Fridley offers residents a variety of housing,
education,recreation, and environmental opportunity.
Through the Comprehensive Plan, Fridley will strive to maintain a coordinated relationship with
our local residents and businesses and in doing so strengthen the community by assisting
industries to find workers that match their needs.
Action Step: Development Review Committee Meetings (DRC) will continue to offer
businesses and residents the opportunity to meet with staff and discuss plans before proceeding
to Commission and Council review. This will help identify potential issues and create a more
streamlined process.
Action Step: Development Review Committee(DRC)will continue to review and advance
recommendations on ordinance amendments to assure City regulations are current and in step
with industrial and commercial owner desires, needs, and technology advances.
Action Step: The City of Fridley will investigate gaps in public transportation. Currently 90%of
residents have transportation access within a Y2 mile of their home,but businesses in Fridley face
larger public transportation gaps. Commercial and industrial areas including the northern and
southern edge of the City should be included in this analysis.
Action Step: The City of Fridley will continue Business Retention and Expansion(BR&E)
efforts to create a more business friendly environment.
Action Step: The City of Fridley will inform schools about programs for students considering a
job in Manufacturing and share their willingness to partner with outside companies to match
students with jobs.
Action Step: Manufacturing Week will continue to be an opportunity to renew and continue
efforts to connect local schools with local businesses.
Action Step: The City will demonstrate the importance of public art through placement on the
Civic Campus and throughout the City.
Fridley HRA
Housing Program Summary
Cover Page
November 2, 2017 HRA Meeting
Report Description
Loan Summary Report Loan application activity (e.g. mailed
out, in process, closed loans) for year-
to-date.
Also shows the number of field
appointments scheduled and completed
for the Remodeling Advisor Services
administered by Center for Energy and
Environment.
Home Energy Squad E-mail detailing recent activity and year
to date.
K:\HRA\HRA Agenda Packets\2017 Agenda Packets\11 November 2,2017\Housing Program Cover November 2017.docx
Fridley Loan Summary Report
Activity for Period 9/16/17 - 10/15/17
cee
Center for Energy and Environment
Application packets requested/mailed: This period: 1 Year-to-Date: 15
Residential Advisor Visits: This period: 1 Year-to-Date: 5
Loans currently in process for residents in your City/Neighborhood: 12
Closed Loans This period: Year-to-Date:
Fridley Units Units
0 0
Closed End 0.00 0 259,035.19 12
Last Resort 0:00 0 0.00 0
I
Last Resort Emergency 0.00 0 0.00 0
Deferred
Mobile Home Closed End 0.00 0 0
Total 0.00 0 259,035.19 12
Leveraged Funds This period: Units Year-to-Date: Units
CEE 0.00 0 10,353.00 1
Total 0.00 0 10,353.00 1
Types of Improvements Financed YTD #of Projects %of Total Types of Properties Financed YTD # %of Total
Single Family Residence 12 92.31
Additions/Finishing off unused space 1 5.88 Townhouse 1 7.69
Garage 2 11.76
Heating System 4 23.53
Kitchens 1 5.88
Other Interior Improvements 1 5.88
Plumbing 1 5.88
Roof 1 5.88
Siding,Stucco,Exterior Paint 1 5.88
Windows,Doors,Storm Windows,Storn 5 29.41
1
Bolin, Paul
From: Stacy Boots Camp <sbootscamp@mncee.org>
Sent: Tuesday, October 24, 2017 1:24 PM
To: Bolin, Paul
Subject: Re: Fridley HES Visits October
Hi Paul,
Sadly, we've not had any HES visits in October. I do see that there are seven scheduled
in upcoming months though. CenterPoint just sent out an email a few minutes ago to all
of their metro area customers, so I'm almost positive we'll pick up a few more visits
from that too.
Please let me know if you have any questions.
Thanks,
Stacy
Stacy
Stacy Boots Camp i ECM
c Coordinator 1612-244-2429
;OC E :v;renment
i_nlversiTy Avevvest ( St. Paul, MN-551,04;
(cell)952-657-4411 I(fax) 612-244-2429 I www.inicee.org
On Tue, Oct 24, 2017 at 1:06 PM,Bolin,Paul<Paul.Bolin@fridleymn.gov>wrote:
Stacy,
Just checking in to see how many visits over the past month?
Sincerely,
pad
Paul Bolin,ACCP
Assistant Executive Director
City of Fridley Housing& Redevelopment Authority
6431 University Avenue NE
1