Loading...
HomeMy WebLinkAbout2025.03.18 HCMMINUTES OF THE PROCEEDINGS OF THE HOUSING COMMISSION OF THE CITY OF BROOKLYN CENTER IN THE COUNTY OF HENNEPIN AND STATE OF MINNESOTA REGULAR SESSION MARCH 18, 2025 CALL TO ORDER The Brooklyn Center Housing Commission was called to order by Chair Florence Williams at 7:00 p.m. MEETINGATTENDEES Chair Florence Williams Vice Chair Natalie O'Connor Commissioner Laura Freund Commissioner Alyssa Kuglin Commissioner Jamal Said Commissioner Landon Straub City Staff present: Associate Planner Krystin Eldridge Also present: Nahid Khan APPROVAL OFAGENDA There was a motion by Commissioner Freund and seconded by Commissioner O'Connor to approve the agenda as submitted. The motion passed. APPROVAL OFMINUTES There was a motion by Commissioner Freund and seconded by Commissioner Said to approve the November 19, 2024, minutes as submitted. The motion passed. CHAIR AND VICE CHAIR ELECTIONS Associate Planner Krystin Eldridge explained the election process. Chair Williams asked if anyone wanted to nominate themselves or someone else for Chair or Vice Chair. Commissioner O'Connor pointed out she was interested in the co-chair position. She asked Chair Williams if she was interested in serving as the Chair. Chair Williams confirmed she was interested in serving as the Chair. Chair Williams nominated herself to serve as Chair. Commissioner O'Connor noted she was more interested in co-chair. 3/18/25 -1- Ms. Eldridge asked who supported Chair Williams to serve as the Chair of the Housing Commission. Commissioner Said asked if they would pick the Chair and then the Vice Chair. Ms. Eldridge confirmed that was correct. There was a motion by Commissioner O'Connor and seconded by Commissioner Said to elect Florence Williams as Chair of the Housing Commission. The motion passed. Chair Williams asked if anyone wanted to serve as Vice Chair. Commissioner O'Connor stated she would like to serve as Vice Chair. Chair Williams nominated Commissioner Freund to serve as Vice Chair. Ms. Eldridge asked Commissioner Freund if she would like to serve as Vice Chair. There was a motion by Commissioner Freund and seconded by Commissioner Straub to elect Natalie O'Connor as Vice Chair of the Housing Commission. The motion passed. There was a motion by Commissioner Williams and seconded by Commissioner O'Connor to close the election. The motion passed. There was a motion by Commissioner O'Connor and seconded by Commissioner Freund to accept the results of the election of Chair and Vice Chair for 2025. The motion passed. LOCAL AFFORDABLE HOUSING AID Ms. Eldridge explained in 2023, the Minnesota Legislature established the Local Affordable Housing Aid (LAHA) program, funded through a Metro Area Sales and Use Tax for Housing. The first allocations arrived in late 2024. Brooklyn Center was awarded $188,983.33 in LAHA funds. Staff have reviewed options for the LAHA funds and anticipate a higher amount to be received in 2025, but that amount has yet to be determined. Ms. Eldridge pointed out the role of the Housing Commission is to provide recommendations to the Council, and the Council is seeking input regarding the LAHA program. Chair Williams asked if the Trust is in place to receive the funds. Ms. Eldridge stated the Trust is not in place, but LAHA is a separate issue. The Council meetings have been extremely full lately, so Staff hasn't been able to present the Trust to the Council. Ms. Eldridge noted the program aims to address housing challenges by providing emergency rental assistance, building or rehabilitating affordable housing, reducing homeownership disparities, and supporting nonprofit affordable housing owners and developers. There are income requirements. Ms. Eldridge added that the City's aging housing stock requires significant maintenance. The current Home Repair Program has nearly 400 households on the waitlist. There is a need for additional funding to address the backlog and an opportunity to create a streamlined home improvement loan program. 3/18/25 -2- Ms. Eldridge stated the proposed home improvement loan program would be administered through the Center for Energy and Environment (CEE). It provides additional resources for homeowners on the waitlist, lowers barriers compared to federally funded programs, and is designed to be flexible and accessible for Brooklyn Center residents. CEE offers in -person home assessments and recommendations. Chair Williams pointed out a CEE representative visited her home and pointed out issues that needed to be addressed. Commissioner Said asked if CEE is a nonprofit organization. Ms. Eldridge stated CEE is funded through the State. Ms. Eldridge explained Fridley offers a home improvement loan with two percent interest, Coon Rapids offers a home improvement loan with three to five percent interest, and down payment assistance with zero percent interest. Ms. Eldridge added the County's Rehab Program offers zero percent interest with no monthly payments, loans up to $30,000 for essential repairs, and there are nearly 400 applicants on the waitlist. The Brooklyn Center Fix -Up Fund offers low -interest home rehabilitation loans up to $50,000 with a three percent fixed interest rate. It is administered through CEE and the Minnesota Finance Housing Agency (MHFA). There are restrictions based on income. Commissioner Kuglin asked if there are restrictions based on household size. Ms. Eldridge confirmed there are restrictions based on household size. Ms. Eldridge stated Community Development Director Jesse Anderson will likely be the one to present the recommendations to the Council. If the Council wants to move forward with the home rehab forgivable loan program, Staff will work with CEE to develop program guidelines. Final program details will be presented for approval by the Housing Commission and City Council. Future funding options will need to be explored for 2025 and beyond. Ms. Eldridge explained the interest subsidy program would buy down the rates for the loans from the seven to ten percent range to around three percent. There would be monthly loan payments. The loan is a minimum of $2,000 and a maximum of $50,000. There is also an option for multi- family homes or other property types. For the deferred loan program, the minimum is $5,000 and the maximum is $25,000 with a 15-year loan. The deferred loan program is intended for owner - occupied residences only. Commissioner Said noted the programs mostly help people who already own a property. Chair Williams stated she would like the program to build equity and support first-time homebuyers. Commissioner O'Connor pointed out the guidelines are similar to the FHA's guidelines. Ms. Eldridge agreed they are similar. 3/18/25 -3- Commissioner Said stated that 580 is an acceptable standard. Chair Williams stated 620 at 115 percent Area Median Income (AMI) would be good. Commissioner Straub noted the maximum $50,000 of a loan seems counterintuitive. Fixing an unsalvageable home in comparison to fixing some electrical issues is a broad range of costs. There is an identity crisis regarding whom the services would be targeting. Chair Williams stated that $50,000 could be necessary to fix major plumbing issues. Commissioner Straub stated the amount of money could fix something severe such as a structural issue. Commissioner O'Connor stated $50,000 is the cost of a new roof. Chair Williams noted her home would cost over $30,000 for new windows, but she paid $10,000 to replace the roof. Commissioner O'Connor pointed out the State should be setting the LAHA guidelines. Ms. Eldridge explained Brooklyn Center can set local -level requirements. The interest rate and the loan maximum can change. Chair Williams stated the interest rate is reasonable in the current economy. They may want to decrease the maximum loan amount to help more households. Commissioner Said noted a lot of people would benefit from repairs that would cost around $5,000. Ms. Eldridge pointed out that the minimum loan for the third program is $5,000. The subsidy program, however, has a higher maximum. Chair Williams explained a homeowner may have more than one loan, but the loan offered through the program is forgivable. Commissioner Straub stated the program could allow folks to double -dip in the program. Commissioner Said stated there isn't a lot of money to give out. Commissioner Straub stated it doesn't matter if someone tries to get a second loan because there is such a backlog of requests that would be met first. Commissioner Said noted you have to go to the bank after receiving a low forgivable loan that doesn't cover the project then get back in line with the program again. Ms. Eldridge pointed out that the County calls out the item because it is a safety issue. There are multiple things people put into categories that are related to repairs. She added she isn't sure how Mr. Anderson will process the applications. 3/18/25 -4- Commissioner O'Connor asked where the money is. Chair Williams stated the City has the 2024 funds, but they are getting more for 2025. Commissioner Freund stated she read an article about the importance of keeping the housing stock up-to-date. Commissioner O'Connor noted the buy -down is a great idea. Commissioner Straub noted his agreement with Commissioner O'Connor Also, there is a low overhead. Chair Williams pointed out only one bid was received. It is important to seek out newer bids and find smaller contractors. She suggested they seek out at least three bids. Commissioner Straub noted his agreement. Ms. Eldridge explained Minneapolis usually seeks out three bids. They take the lowest bid, which isn't always the best fit. She provided an example of bidding out lawnmowing projects. Sometimes City Staff will end up with contractors who may not finish the job well enough to City standards, or have a hard time carrying out the project. Chair Williams stated they tried to do that with her as well. Commissioner Straub noted they should consider if there are enough emergencies that would need a $50,000 loan. He asked how the maximum was selected. It was the consensus of the Housing Commission to seek out three bids. Ms. Eldridge noted there is a requirement to submit bids to the cities. She asked if there should be a requirement to submit the bid to the City. Chair Williams stated it is important for the bids to be submitted for proper documentation. Commissioner Straub added it would be difficult to seek out three bids in an emergency situation. If they require three bids, then there may be other programs Brooklyn Center could refer applicants to. Ms. Eldridge agreed some applications could be funneled elsewhere. The applications for the program are focused on home rehabilitation. Chair Williams pointed out the Trust could be another resource for residents. Ms. Eldridge stated an emergency situation would require a separate program. She shared her experience with a plumbing emergency, and she was able to receive $2,500 through an external program. It was through the Greater Minnesota Housing Corporation (GMHC). 3/18/25 -5- Chair Williams stated the resource should be added to the City's website. Ms. Eldridge stated that GMHC doesn't exist anymore. Ms. Eldridge noted she isn't an expert on the program. She offered to do more research on emergency repairs. Commissioner Said asked when the Council would receive the presentation. Ms. Eldridge stated it is scheduled for the next meeting. Commissioner O'Connor pointed out their input isn't too important. Ms. Eldridge stated the Council may ask for input from the Housing Commission. The Commission doesn't always have time to review all documents, and they may be focused on higher -level items. Therefore, they rely on commissions for recommendations. Commissioner Said asked if the forgivable loans would be secured with the mortgage. Chair Williams stated the forgivable loan would drop off once it came to term. Ms. Eldridge stated the loan security term is only on the subsidy program. Commissioner O'Connor asked if the tax is new. Ms. Eldridge stated the tax just went through the legislature. Brooklyn Center received $188,000 in 2024, and they are expecting around $400,000 in 2025. Each loan will cost $1,000 to process. Ms. Eldridge confirmed she would send a follow-up email to the Commission since there were so many questions. CITY COUNCIL LIAISON REPORT Chair Williams asked who will present the Liaison Report. Ms. Eldridge stated the Liaison is Councilmember Lawrence -Anderson, but she isn't present. OTHER BUSINESS BRAINSTORMNEW TOPICS Ms. Eldridge asked the Commission if they would like to move the meeting to another date because it meets at the same time as the Parks and Recreation Commission. Chair Williams asked if a Parks and Recreation Commissioner has ever attended a Housing Commission meeting. Ms. Eldridge stated she isn't aware of a Parks and Recreation Commissioner attending a Housing Commission meeting. Chair Williams asked why the Parks and Recreation Commission would ask the Housing Commission to move their meeting. Ms. Eldridge stated it was a suggestion from the community. Chair Williams asked if the Housing Commission conflicts with other meetings. Commissioner Said suggested the Housing Commission meet on Wednesdays. 3/18/25 -6- Commissioner Freund stated she is unable to meet on Wednesdays. Commissioner O'Connor stated she could do Tuesday. Chair Williams stated she could meet on Wednesdays. Commissioner Said stated he would prefer Wednesdays. Chair Williams stated they are stuck on Tuesdays. Ms. Eldridge stated they meet on the third Tuesday of each month currently. Commissioner Said asked when the Council meets. Ms. Eldridge stated the Council meets on the second and fourth Mondays. Ms. Eldridge stated there is availability on the first Tuesday, first Wednesday, first Thursday, third Monday, and third Thursday. Commissioner O'Connor stated there isn't a good reason to change their meeting date. It was the consensus of the Commission to keep the current meeting schedule. Commissioner Freund stated she is open to moving the meeting, but there doesn't appear to be a reason for moving it. Chair Williams stated the request was made to allow folks to visit their meeting. Commissioner O'Connor suggested they set a special meeting on a different date to allow for more visitors. Commissioner O'Connor asked if someone from the Parks and Recreation Commission would be presenting to the Housing Commission. Ms. Eldridge stated no one from the Parks and Recreation Commission would be presenting to the Housing Commission. Ms. Eldridge explained the Housing Commission has overseen the neighborhood bags for several years. The bags are for new residents with coupons and local resources. The process was started in 2024, but it wasn't completed. The existing bags are outdated and would need work to ensure the resources are relevant. Commissioner Straub stated the bags are a good opportunity to welcome new folks and to promote local businesses. Ms. Eldridge stated the bags haven't been consistently delivered in the last couple of years, so the Housing Commission would need to be aware of the commitment. Commissioner Freund pointed out the delivery is by a Commissioner to someone's door. 3/18/25 -7- Chair Williams explained each Commissioner could oversee a region of the City for deliveries. Commissioner Straub stated he would be willing to deliver bags. Commissioner Said asked if only single-family homes would receive the bags. Chair Williams stated there is still a lot to deliver. Ms. Eldridge stated interns compiled the bags and Staff gathered the addresses. It is a large commitment. Commissioner O'Connor asked who gathered the coupons. Ms. Eldridge stated she didn't know who gathered the coupons. Chair Williams stated it is a lot of work for Staff. Ms. Eldridge pointed out there are comments from Nahid Khan. Chair Williams asked who Nahid Khan was. Ms. Eldridge explained Ms. Khan is an active community member who serves on the Cultural and Public Arts Commission and the Hwy 252 Task Force. Ms. Khan stated she wanted to learn about how other Commissions operate and what they are working on. She explained she noticed that the Housing Commission and the Parks and Recreation Commission meet at the same time each month. She suggested one of the commissions change their meeting times so community members could attend both meetings if they wanted to. The Parks and Recreation Commission already set its schedule in January and they have met in January and February. She made the request to the Housing Commission because it was their first meeting for 2025. The Cultural and Public Arts Commission moved its meeting date to avoid conflict with the Charter Commission. Chair Williams stated the Housing Commission has already decided to keep their meeting schedule as -is. Commissioner O'Connor asked if there were any updates on developments in the City. Ms. Eldridge stated the C. Alan Homes development began in 2020, but they ran into financial issues and went into foreclosure. The neighboring developer of Wangstad Commons has shown interest in the site. Chair Williams stated the six units have been empty for three years. Ms. Eldridge explained there aren't any utilities connected to the sites. Commissioner Said stated there are lights at the site. Ms. Eldridge stated the lights are a safety requirement. There aren't any public utilities such as water or sewer, so the units are uninhabitable. Ms. Eldridge pointed out the same developer proposed a project on Brooklyn Boulevard and 69tn, 3/18/25 -8- but it was opposed by the neighborhood. Ms. Eldridge stated the Bark and Brew proposal is still seeking funding support. It will be difficult to find funding support because it isn't a housing project. Staff is trying to find an alternative funding strategy. Ms. Eldridge added the Council wants the Housing Commission to provide feedback on the just cause non -renewals and eviction process they implemented in recent years. Chair Williams stated they need to keep a 30-day eviction notice instead of a 14-day notice. Ms. Eldridge explained there are different types of rental licenses a landlord can obtain depending on their compliance with the City's regulations. The Housing Commission may discuss the licenses in the future. Ms. Eldridge noted the Council receives a weekly update from Staff, and some topics discussed by the Housing Commission may be added to the update. Commissioner O'Connor asked if other cities are doing anything interesting related to housing. Chair Williams stated she would like there to be more family -friendly entertainment options in Brooklyn Center. Commissioner Freund added she would like to discuss mixed housing opportunities and to make neighborhoods more walkable. For example, she would like a hardware store or restaurant mixed in with her neighborhood. Commissioner Straub agreed it is a huge burden to cross Brooklyn Boulevard, especially with his children in tow. Chair Williams noted she has to leave Brooklyn Center to find entertainment for her family. Commissioner Said asked what mixed housing means. Commissioner Freund stated there could be more useful businesses within her neighborhood. For example, there is a large storage facility near her home, but it is not useful for day-to-day needs. She goes to Minneapolis for food, shopping, and recreation. There aren't options for families in Brooklyn Center. Chair Williams stated any new housing developments should be mixed -use. She has to drive to Minneapolis for a hardware store. Ms. Eldridge stated Brooklyn Boulevard is a mixed -use area, as is the Opportunity Site. Other areas are transit -oriented and allow for denser housing. Chair Williams asked if the City has received any family -oriented proposals. Ms. Eldridge stated Staff has spoken with the owner of the Shingle Creek development to add family -oriented uses. He was interested, but he has had difficulty finding a business interested in Shingle Creek 3/18/25 -9- Crossing. It is difficult to get outsiders interested in Brooklyn Center. Ms. Eldridge added cannabis businesses will be entering Brooklyn Center and may take up some of the retail spaces. The City doesn't have any say in the matter as it is a State licensure. Brooklyn Center has to allow at least three cannabis retailers. The Council has implemented buffer zones for retailers. The City cannot limit cannabis manufacturing. Commissioner Freund suggested the cannabis businesses go to industrial areas. Ms. Eldridge stated the Planning Commission and Council have both recommended buffers be implemented. Chair Williams suggested the City have a chocolate shop or ice cream shop. Ms. Eldridge added Staff has continued to seek out funding alternatives for the Opportunity Site, but there are very few programs available to fund the project. Commissioner O'Connor stated they may shut the whole thing down. Commissioner Freund pointed out there have been many open forums and Attorney General meetings, and there are more scheduled. It has been helpful to learn about State rights in comparison to Federal rights. Commissioner Said asked if the Commission reviews development proposals. Ms. Eldridge stated any potential developments with housing will be reviewed by the Housing Commission. Most of the mixed -use projects will be on Brooklyn Boulevard. There are some mixed -use developments that may not include housing. Ms. Eldridge noted that CAPI has proposed a project involving the expansion of a building, tenant space for nonprofits, and a community garden is being considered. Ms. Eldridge stated Ms. Khan provided a comment in the chat. The Cultural and Public Arts Commission's upcoming meeting will include a presentation from Economic Development Manager Ian Anderson about the Opportunity Site. The agendas are available on the Brooklyn Center website's calendar. Ms. Khan suggested the Housing Commission consider artist housing within Brooklyn Center. There is artist housing in Northeast Minneapolis, but there is more of a need. Brooklyn Center would benefit from more creatives. Chair Williams noted her agreement with Ms. Khan. She has heard about the need for vocation - specific housing, and it is very popular. Commissioner O'Connor stated the arts would increase tourism within Brooklyn Center. Chair Williams noted her agreement and stated the City has great event venues. 3/18/25 -10- Chair Williams thanked Ms. Khan for her comments. Ms. Khan stated it is beneficial for Commissions to collaborate. Chair Williams agreed. ADJOURNMENT There was a motion by Chair Williams and seconded by Commissioner Straub to adjourn the meeting. The motion passed. The Brooklyn Center Housing Commission adjourned at 8:38 p.m. ® fi CI air 3/18/25 -11- Election of Planning Commission Chairperson for Year 2025 • Motion/Second to Nominate Commissioner(s) to serve as Chairperson; • Motion/Second to close all nominations; • Conduct election; and Motion/Second to Accept the Results and Election of Chair for Year 2024. If Vice Chair is running an amendment can only be taken by majority vote to include a vacation of the Chair position and vice chair and appointment of Vice Chair