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HomeMy WebLinkAbout1995 10-17 HCM MINUTES OF THE PROCEEDINGS OF THE HOUSING COMMISSION OF THE CITY OF BROOKLYN CENTER IN THE COUNTY OF HENNEPIN AND THE STATE OF MINNESOTA I REGULAR SESSION OCTOBER 17, 1995 CONFERENCE ROOM B BROOKLYN CENTER CITY HALL CALL TO ORDER The Brooklyn Center Housing Commission was called to order by Chairperson Robert Torres at 7:00 p.m. ROLL CALL Chairperson Robert Torres, Commissioners Todd Cannon, Lloyd Deuel, Henry Yang and Jonathan Carter. Also present were Council Liaison Kathleen Carmody and Community Development Specialist Tom Bublitz. Vice Chairperson Ernie Erickson and Commissioner Vince Opat were absent and excused from the meeting. Commissioners Maria Olek and Amy Gonyea were also absent from the meeting. APPROVAL OF AGENDA There was a motion by Commissioner Carter and seconded by Commissioner Cannon to approve the agenda, as submitted. The motion passed. DISCUSSION ON METROPOLITAN LIVABLE COMMUNITIES ACT For the benefit of the new Housing Commission member and those members not present at the September meeting, the Community Development Specialist briefly reviewed the Livable Communities Act. He explained the Act was passed by the 1995 legislature to address affordable housing in the seven county metropolitan area. The primary goal of the Act is to provide a mechanism whereby each community in the seven county metropolitan area addresses the issue of affordable housing. He pointed out the mechanism is a negotiated agreement with the Metropolitan Council on affordable housing goals in each community. The definition of affordability used by the Metropolitan Council is a housing unit is considered affordable if it is no more than 30% of a family's income. The homeownership afforability level of $115,000 is based on 80% of median income for a family of four, which is approximately $41,000 based on 1994 data. The rental affordability amount is based on 50% of median income for a family of four, which in 1990 was approximately $20,000, or an affordability of $500 per month, and in 1994 dollars this amount would be approximately $25,000 for income and $637 for an affordable rent. He explained the Metropolitan Council has drafted a housing goals agreement for each 10 -17 -95 -1- community and has requested them to consider adopting the goals specified in that agreement. The housing goals agreement specifies the "city index g g g P tY which is the current breakdown of affordable housing in the city and a "benchmark which is the goal recommended by the Metropolitan Council for the City. According to the draft housing goals agreement, the City of Brooklyn Center currently meets all the benchmark goals set forth by the Metropolitan Council with regard to affordable housing in the City. The Community Development Specialist noted that by November 15, 1995, the City must pass a resolution of intent in order to participate in the Livable Communities Act. The charge for the Housing Commission at this meeting will be to make a recommendation with regard to the Livable Communities Act to the City Council in time for the November 15 deadline set by the Metropolitan Council. The Community Development Specialist explained he had recently attended a meeting where Mr. Craig Rapp, representing the Metropolitan Council, had done a presentation on the Livable Communities Act, and had used the Maple Grove housing goals agreement as an example. In Maple Grove, there is currently only four percent (4%) of the rental housing in the City of Maple Grove that is considered affordable under the Act. The benchmark goal set for Maple Grove by the Metropolitan Council is 35-41 and the goal currently being considered by Maple Grove is 35 with regard to affordable rental housing. The percentage being discussed for achieving results in the year 2010 in the City of Maple Grove is 22 of the rental housing to be affordable. The Community Development Specialist pointed out that the meeting in which Maple Grove's agreement was discussed was at a meeting of the North Metro Mayors Association, which represents numerous cities in the northern metro area, including Blaine, Spring Lake Park, Ramsey, Anoka, Crystal, Robbinsdale, Fridley, New Hope and Brooklyn Center. He pointed out that at that meeting, the representatives of those cities expressed a concern about the Act in that they believe that the benchmark goals may do more to exacerbate the division between the cities with great amounts of affordable housing and those with very little affordable housing. It was discussed that the benchmarks may tend to maintain the current imbalance of affordable housing within the metropolitan area and in fact do very little to change the composition of the mix of affordable housing in the metro area. Also, it was pointed out at the North Metro Mayors Association meeting that the Act provides very little financial incentive for cities with great amounts of affordable housing, since it was apparent the focus of the funding will be to encourage the creation of new affordable housing in those suburban areas with very low percentages of existing affordable housing. In the end, the cities at the North Metro Mayors meeting agreed to recommend participation in the Act, but their recommendation was tempered with a great deal of concern for the effect of the Act on the northern tier of suburbs. The Community Development Specialist pointed out that, in summary, the City of Brooklyn Center already meets the goals set forth in the proposed housing goals agreement, but that there may be little financial incentive to do so; however, the City may qualify for some of the 10 -17 -95 -2- demonstration account funds. Councilmember Carmody suggested that the Housing Commission focus on the goals as a starting point. Chairperson Torres stated that he wanted to make sure the City has a high enough number in affordable housing to allow for removing of some of the blighted properties in the normal course of redevelopment. Councilmember Carmody stated that the Housing Commission needs to get a list of things to direct staff and to clear up any uncertainties in the city index numbers. For example, she pointed out the rental index of 46 affordable rental housing appears to be significantly lower than what she believes is the reality of affordable rental housing in the City. Commission members continued to discuss the pros and cons of participating or not participating in the Livable Communities Act. Commissioner Cannon suggested that the commission consider specifically what is the benefit to joining in the Livable Communities Act. Commissioner Carter stated that the City of Brooklyn Center has met the benchmarks as set out by the Metropolitan Council, and the City's goal is in some respects the reverse of the outer -ring suburbs; instead of constructing affordable housing to achieve a balance, the City must construct higher value housing. The Community Development Specialist pointed out that the benefits of joining the program would seem to be that perhaps the City would be eligible for some funding, either now or in the future, and that also the legislature is monitoring those cities that participate in the program and it will be reported to the legislature as to who is participating and who is not. Additionally, if a voluntary program like the Livable Communities Act does not work, the legislature can always move to more punitive measures. Councilmember Carmody stated she wants to go further into the goals for the City's housing makeup, and to have the Housing Commission look at what goals they want with regard to affordable housing and to make this part of the Comprehensive Plan process. The Housing Commission continued to discuss the Livable Communities Act and generally agreed that they would support the Act. The Community Development Specialist presented a draft resolution prepared by staff regarding the City of Brooklyn Center participation in the Metropolitan Livable Communities Act. The Housing Commission members reviewed the resolution and there was a motion by Commissioner Cannon and seconded by Commissioner Deuel to approve a resolution regarding City of Brooklyn Center participation in the Metropolitan Livable Communities Act and to forward the resolution to the City Council for their consideration. The motion passed unanimously. 10 -17 -95 -3- UPDATE ON HENNEPIN COMMUNITY WORKS PROGRAM The Community Development ment S cialist explained ed the Hennepin Comm t3' P um Works Program Pe P P o tY g committee has received nine responses to the Request for Qualifications (RFQs) for the consultant/design team work for the Hennepin Community Works Program. Based on the RFQs, a smaller group of firms will be selected to submit Request for Proposals (RFPs), and one of the firms will be selected to do the work for the Hennepin Community Works Program in the project area which consists of the southeast neighborhood and a large portion of the City of Minneapolis north neighborhood, including the Shingle Creek neighborhood. The task for the consulting firm selected would be to develop a program that complies with the goals of the Hennepin Community Works Program and to assist the planning committee in preparing a report for the legislature which is due in February of 1996. He explained he would keep the commission informed as to the progress of the Hennepin Community Works Program as it develops. ADJOURNMENT There was a motion by Commissioner Cannon and seconded by Commissioner Carter to adjourn the meeting. The motion passed. The Brooklyn Center Housing Commission adjourned at 8:45 p.m. Chairperson 10 -17 -95 -4-