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6.2. SR 11-01-2004 Item I 6.2. MEMORANDUM TO: Mayor and City Council FROM: Heidi Steinmetz, Assistant Director of Economic Development tr5 DATE: November 1,2004 SUBJECT: Consider Resolution Designating HRA as Local Development Organization Attachment . City Council Resolution Designating HRA as a Local Development Organization Issue The City received a Small Cities Development Program (SCDP) federal funds grant from the MN Department of Employment & Economic Development (DEED) this past April. The grant will assist in the funding of the Jackson Block housing portion of the Downtown Revitalization Project. Only DEED approved eligible Local Development Organizations (LDOs), such as EDAs or HRAs, may use SCDP funds for actual housing construction costs. Therefore, the City Council may consider requesting, via the attached resolution, that the HRA be designated as the LDO for the Downtown Revitalization Project. The resolution will be submitted to DEED for approval. Recommendation Staff recommends that the City Council consider adopting the attached resolution requesting DEED to designate the Elk River Housing & Redevelopment Authority in the City of Elk River as a Local Development Organization (LDO). CITY OF ELK RIVER RESOLUTION RESOLUTION OF THE CITY OF ELK RIVER REQUESTING DESIGNATION OF THE HOUSING AND REDEVELOPMENT AUTHORITY OF THE CITY OF ELK RIVER AS A LOCAL DEVELOPMENT ORGANIZATION WHEREAS, the City of Elk River (the "City") would like to better utilize the Small Cities federal funds; and, WHEREAS, the City by resolution, can request from the Minnesota Department of Employment and Economic Development (DEED), authorization to transfer federal Small Cities Development Program (SCDP) funds to a Local Development Organization (LDO); and, WHEREAS, the Housing and Redevelopment Authority of the City of Elk River (the "HRA") is interested in being designated as an LDO and is a non-profit organization serving the housing and community development needs of the City of Elk River; a non- entitlement area; and, WHEREAS, the HRA shall adopt procedures and guidelines for the use and/or reuse of the federal funds, any recapture of the federal funds, plus interest accrued, earned or paid thereon, if any. NOW, THEREFORE BE IT RESOLVED by the City Council of the City of Elk River that the City hereby requests approval from DEED to designate the HRA as a Local Development Organization (LDO), serving the housing and community development needs of the City. I CERTIFY THAT the above Resolution was adopted by the City Council of the City of Elk River on the 151 day of November, 2004. SIGNED: WITNESSED: Mayor Date City Clerk Date S:IDowntown RevitalizalionlDEED GrantlLDOILDO Resolutlon.doc