9. HRSR 02-06-2012REQUEST FOR ACTION
TO ITEM NUMBER
Housin and Redevelo ment Authori 9.
AGENDA SECTION MEETING DATE PREPARED BY
February 6, 2012 Clay Wilfahrt, Assistant Director of
Economic Develo ment
ITEM DESCRIPTION REVIEWED By
Authorize staff to obtain quotes for a housing study Annie Deckert, Director of Economic
Develo ment
REVIEWED BY
ACTION REQUESTED
Authorize staff to obtain quotes for a housing study.
BACKGROUND/DISCUSSION
Staff has conducted several housing studies in the past, with the most recent study being conducted in
2003. In the Vision and Goals approved by the City Council, a goal for the Housing and Redevelopment
Authority is to "monitor the City's housing market, inventory and condition to identify needs." A
housing study will assist in achieving this goal. The purposes of the housing studies have been to
determine the availability of different segments of housing in Elk River and to plan for the future of the
housing market in Elk River. By conducting a study in 2012, staff will be able to better plan for future
housing growth and address any current needs we may have.
The anticipated outcome of the 2012 study is the development of a number of actionable strategies the
City can employ to promote a balanced housing stock for our residents. The 2003 study outlined a dozen
goals covering rehabilitation, multi-family housing, single-family housing, and other housing. Following
the study, staff created a work plan for housing initiatives that included educational presentations to the
public, and an informal survey of businesses in the area to further study the housing climate. The study is
also made available on the city's website, provided to area developers and discussed with development
prospects.
The 2003 informal survey of businesses uncovered that employers saw a need fox more affordable homes
in Elk River. Staff then incorporated affordable and first-time home buying strategies into the public
educational presentations. Additionally, staff partnered with local non-profits (Central MN Housing
Partnership, Tri-CAP, etc.) to promote their affordable housing programs through our housing finance
tool-kit brochure and website.
The housing market has changed drastically since 2003. A quick glance at building permit figures
between 2000 and 2010 illustrates this. In 2000 there were 172 building permits issued for single family
homes. This number rose to 300 by 2004 and dropped to 11 in 2010. Multi-family dwellings experienced
a similar incline from 2000 to 2004 increasing from 86 permits issued to 235 permits issued. In 2010,
there were none issued for multi-family dwellings.
P®^EAE® ®r
N:\Depaztments\Community Development\Economic llevclopment\1-lousing\Housing Studies\2012 Study\Housing ~~~~~~
Study Request Eor Auth2012
New Residential Construction Permits
^ Single Family Detached
^ Condo/ Townhome/ Duplex
^Apartment/Multifamily
In the past, the HRA has worked with a consultant to complete the housing study. Staff recommends
working with a consultant to complete the 2012 study. If approved, staff will begin soliciting quotes for
the study in February with a goal of having the study completed in May. Updates will be provided to the
HRA as we move forward with the study.
After review of the 2003 housing study, staff has determined that there is potential to replicate some of
the study in-house. Staff plans to identify information that can be obtained in-house to uncover any
possibilities to lower the cost of the study.
FINANCIAL IMPACT
The Housing and Redevelopment Authority budgeted $15,000 for this study in 2012, and staff anticipates
that this amount should be adequate to cover the entire cost of the study. Further, staff is researching
potential grant opportunities to aid with the cost of the study
Action Motion by Second vy Vote
Follow Up
N:ADepartments\Community Development\Economic Development\I lousing\1 lousing titudies\2012 5ttidy\I lousing Stud}' Request for Auth2U12
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