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4.3. SR 11-08-2004 Item 4.3. MEMORANDUM TO: Mayor and City Council FROM: Heidi Steinmetz, Assistant Director of Economic Development ~ DATE: November 8, 2004 SUBJECT: Overview of Greater MN Housing Fund Growth Corridor Initiative Conference and Consider Pre-application Submittal of Initiative Program Attachment . Planning & Building Better Communities in Minnesota's Growth Corridor - Pilot Counties: Wright, Sherburne, Isanti, and Chis ago . Revised Growth Corridor Initiative Program Guidelines & Pre-Application Background At the September HRA meeting, Commissioner Motin provided information on the Greater Minnesota Housing Fund's (GMHF) Growth Corridor Initiative program. He explained that Elk River might want to consider participating in the program. Staff gathered more information at the GMHF Growth Corridor Initiative conference on October 20, 2004. At the November HRA meeting, the HRA discussed the program and whether or not the HRA should consider submitting a Pre-Application for the program. It was HRA consensus that the City Council consider the submittal due to the Council's position on affordable housing, and the City's current "monitoring" mode regarding housing. Program Description The program will respond to issues affecting high-growth communities located at the edge of the seven-county metro area. Initially, the program will include four pilot counties: Wright, Sherburne, Isanti, and Chisago. Four elements to the program include: . Coordinated planning . Land use . Housing . Community participation & local control Overview of Greater MN Housing Fund Growth Corridor Initiative Conference & Consider Pre-application Submittal for Initiative Program November 8, 2004 City Council Meeting Page 2 of2 There are two examples of the types of projects that might occur as part of the program in the attached "Planning & Building Better Communities..." pamphlet. The two projects are located in Cambridge and North Branch and include master planning oflarge sites, inclusionary housing, cost controls, and permanent housing affordability. Both cities have received monies for land acquisition. Issue A Request for Proposals (RFP) to participate in the program was announced at the October 20'h conference. Further described in the attached Program Guidelines & Pre-Application, the purpose of the RFP is to choose two communities within the four-county area that will receive financial and technical support from GMHF for "model" projects similar to the Cambridge and North Branch projects. Model projects will include: . Area-wide master plans . Life cycle housing (different housing styles) . Efficient land use . Increased citizen participation Financial and technical support is available for site selection and site design, public infrastructure planning, home designs, and reducing regulatory barriers to affordable housing. Program goals are oudined on Page 14 of the attached Pre-Application. Applicants to the program should be interested in "pursuing cost-reduction strategies" to housing such as modest-size lots and narrow street widths as examples. Minimum program requirements are specified on Pages 15 & 16. The Pre-Application deadline is December 15, 2004. Applicants will then be invited to submit a formal application by February 4, 2005. Staff Request Given the City Council's position on affordable housing, and the City's current "monitoring" mode regarding housing; an application to the GMHF program would require the City to take an active role in promoting/encouraging affordable housing. Staff requests the City Council's direction regarding the submittal of an application. m...L~'.'-~_.,~_... .._m _m......__m. ._..~~~....... - . "-'"'-----G-'R'E-A'T' 'E--R'- 'M"'INN- ESOTA HOUSING FuND'S www.gmhf.com ~ Growth Corridor Imtmtlve ,._._,-,.~_._._-_..._- --,",-,.'---'.-"."'- r. ! I I .--.........- - ----- Greater Minnesota Housing Fund's Growth Corridor Initiative (GCI) - - -- --._~_. t:JI.~ Contents Page Growth Corridor Initiative (GCI) Program Overview.............. 1 Gel Program Description and Resources............................... 2 Gel Case Study: North Branch, Minnesota............................ 3 Recommended Community-Based Planning Process............. 4 Eligible "Growth Corridor" Community Characteristics........ 6 Gel Case Study: Cambridge, Minnesota...................:............ 8 GREATER MINNESOTA HOUSING FUND Founded in 1996 by The McKnight Foundation and Blandin Foundation, Greater Minnesota Housing Fund (GMHF) is a private, nonprofit organization that supports the creation of affordable housing in areas of economic vitality throughout the 80 counties outside of the Twin Cities metro area. GMHF serves as a housing intermediary, providing important funding, as well as bringing people, money and expertise together to support the development of affordable housing in greater Minnesota's communities. To date, the organization has provided over $62 million to support the development of over 5,500 affordable housing units worth almost $606 million in greater Minnesota. GMHF's Growth Corridor Initiative Introduction With over $62 million in capital funds awarded to date, Greater Minnesota Housing Fund (GMHF) has been supporting the creation of affordable housing in the 80 counties outside the Twin Cities metro area since 1996. Launched as ajoint effort of The McKnight Foundation and Blandin Foundation, GMHF is an intermediary through which foundations, corporations and local employers contribute to affordable housing through gap loans, technical assistance, public education and research, advocacy and special initiatives. Catalyst for Progress and Innovation: GMHF serves as a catalyst for progress and innovation, specializing in creating strategically important programs that promote livable neighborhoods through wise use ofland, mixed-income housing, cost reduction techniques, traditional neighborhood design and employer involvement. A Broad and Ambitious New Initiative: Building on the success and lessons of GMHF's Building Better Neighborhoods (BBN) starter home program, GMHF is laun~hing the Growth Corridor Initiative, a new, broad and ambitious initiative designed to meet the needs of high-growth cities along the growth corridors of greater Minnesota. While high population growth and rapid development offer tremendous economic opportunities, acute challenges remain for preserving the quality of life for both long-time residents and newcomers. Ensuring that the rich natural resources, small-town charm, local employment and affordable housing opportunities do not fall victim to metropolitan sprawl is critical to the long-term vitality of these high growth communities. Beyond a Single, Residential Subdivision: GMHF's new Growth Corridor Initiative will provide funding support for area-wide integrated planning efforts, capacity-building for planning and implementation staff, and capital funding to foster large scale model projects in greater Minnesota's growth corridors. Although GMHF's primary focus will continue to be the creation of affordable housing, the Growth Corridor Initiative is intended to go beyond a single residential subdivision. Broad and flexible support will ~ ~,,::,","~i1~ ....~.... .....,~_.. --""".. ~~[~....,.. .'t;;i~l .... I [IRT""EI" _ '--',,- -m _ .-:-- -, 1)-;-:: ID.......lJI- ____.,.,...._.:c:; "__~' -". I .:t::~'''' g'Il,1Iio ,,.,,,_,,.,0;1 ~ ~O. mU,,,",,,,,,.,,,,.! assist communities to comprehensively plan for the range of other opportunities and challenges before them, including natural resource conservation, recreation, transportation, economic development, zoning and public financing. In its pilot year (2005-2006), Growth Corridor Initiative funding will be available to municipalities in Chisago, Isanti, Sherburne and Wright Counties. Program Overview and Principles GMHF is launching the Growth Corridor Initiative at a critical moment in time for high-growth communities on the edge of the seven county metropolitan area. While development pressures have been steadily increasing, communities have not yet lost the opportunity to conduct careful, community-driven decision making that will focus on results and the implementation of projects that will set the stage for future growth. Through partnerships with interested communities, and by serving as the catalyst for other philanthropic and local investment, GMHF's Growth Corridor Initiative program is committed to supporting: II Planning: Support effective, area-wide planning that addresses needs in growing communities for affordable housing, economic development, transportation infrastructure, community facilities, open space and recreation, and the conservation and enlargement of natural systems. II Land Use: Promote efficient land use patterns that support the growth of economically, environmentally, and socially healthy cities. II Housing: Encourage development of a variety of housing types, styles and price points that meet the affordability and life-cycle housing needs of growing communities and reduce distances which workers must travel to reach employment. II Community Participation & Local Control: Increase meaningful citizen participation throughout the community planning process to facilitate greater public education and awareness of local development issues. Gn"art'r I\liIlneSr)tu HOUSllj)2. f;..dld Growth Corridor Inititative (GCI) Phases of Program Support Maximum GMHF Funding Available Program Description and Resources Frequently, when communities undertake a comprehensive planning process, they have limited resources and staff capacity. Consequently, resulting plans often fail to engage citizens in a meaningful way and may lack effective implementation strategies. The Gel program will help communities plan and build better communities through: Better Land Use Planning: By accessing higher quality data, GIS mapping and assessment, and market research tools, communities will be able to make more strategic and informed decisions about managing growth. Enhanced Community Participation: By incorporating principles and methods of community- based planning, more creative and complete community participation will inform the planning process and develop local leadership and knowledge. Type of Assistance Match Required Phase 1 Community Planning Assistance ltol Hol Program Phases The Growth Corridor Initiative (GCI) is a four phased program that helps communities plan for future development through a community-based planning process. Phase 1 I Resources for Area-Wide Planning Support. The community planning process will address: . Growth forecasts: Population, households and jobs . Land use inventory utilizing GIS technology (Supply and intrinsic suitability for development) . Community and neighboring community participation . Goals and policies related to growth management . Community vision and master planning Growth Corridor Jnitiative Actionable Goals: Practical goals and new resources will result in the implementation of strong projects that demonstrate the new vision for the community. Funding for Staff to Implement Plan: Participating communities will receive access to funding to add planning or community development staff for a two-year period following the completion of the plan. Capital Funding for Model Projects: Participating communities will receive priority funding for technical assistance grants, plus loans for site assembly, construction financing and homebuyer assistance to complete one or more demonstration-quality developments. Required Outcome , Up to $50,000 Up to $25,000/year for two ears Phase 2 I Resources for Implementation through "capacity-building" grants to cities. GMHF will provide two years of support for local planning and development staff or contract personnel to manage the implementation of pending housing projects and policy initiatives in selected communities. Phase 3 and 4 I Technical Assistance and Capital Funding for Model Projects in each community. One or more model projects that include at least 70 affordable housing units must be identified as part of the larger planning process. Affordable housing must be part of a larger mixed-income and/ or mixed-use development. ~:;t'J'J . 'R~f CASE STUDY North Branch: ESSBY Development Area The City of North Branch is currently planning for the development of a 400-acre site adjacent to Interstate Highway 35 for a large-scale mixed-use project that will include housing, commercial and industrial uses. The city's master plan provides a community growth strategy for the next ten years. The community's vision for growth includes inclusionary housing and permanent affordability policies. The housing project is planned to begin construction in spring of 2005. North Branch envisions an exceptionally well designed, master-planned development with a mix of business and residential uses, housing choices that will serve families of all income levels, community facilities and open space components- all in a planned area that utilizes proven cost reduction techniques and the best in community planning and design. The development and growth' strategy includes liJ:lkages to!!,ajor .ar~a~\Vide infrastructure improvemimts. . -....... . ...." " . GMHF is assisting the City of North Branch with technical assistance and funding for planning, and has awarded interim financing for land acquisition and homebuyer gap financing to this exciting project. This model project demonstrates excellent planning and design, innovative city policies, public- private partnerships and the creation of a range of housing choices, including the development of permanently affordable housing. r~rf'Cirl'r ]VIinnesutz. ]-hn151!lg F11l1d Greater Minnesota Housing Fund SMi2J@~s{lY:dJ (Ct/U'J!P'1'3JJ3 STEP 1: CONVENE, ENVISION, INVENTORY & ANALYZE 'I EXPLORE GOJ "', -1'" .,."'~.."., ,"'''''..... "'"<^",,-."","., Month 1 ] Project Initiation .~~L. /. , [ ~j; v:!'" r " zi2. crill rA~ tit'!: ,,:, 1& " 'it . l .- r.~ If!! L'litl 11::1< m..,c-., .. :"- . :, .. ,-, "'~' .. ~:'~'tt ~""'...~ ' ';-0..:.... '':J :.J Month 4 I Review existing plans & studies ~wt'"j -q! ~ Ji ~1 . t; -- ~r ~ " L,o_ R::)- :) Develop R,eVlew_ prellmlnorv . goals & pollcl I _~~f__) m:/ _1-_ ~7 \ rE>\liew . Inventory, Map & Analyze: 1, Demogrophics 2. Existing Land use 3. Natural! Environmental features 4 . Transportation Systems 5, Community taclllties 6, 1 O.year housing study 7. Economic conditions ,___L___ , Natural I resources I inventory & I assessment }"~ ~'~ Background study report ~<~r~'. ", "\IisIr:';In!ng _ ,".. -", , , , ,..,., .- ~~ Synthesis report fo. "l~~~s:~- ,'~ Cil~ Luuncilllll"4.'lings \ " h.t'ling!!. \Yilh Phmllin~ J\d"i"HI"~ CUllIl11itll'(.' / I'uhlie Opt'n lIuuscs/~ ~^, Optinnul PuhJic OIJl'n ',/ lIousl'sr:'lt,.~l'lings :\1l'l'tin~s \\'ith SI:IIT/S1t.'l'rill~ CUlI1l11irtCl' I'tanning ('ummissinn _/r\1l'l'tillgs .. Gro\'i'th Corridor Initiative 5 Growth Corridor Initiative (GCI) i:il~la 'P~ilJJ:nJ:FJfJ P'.rbf;a2i~ STEP 2: S, POLICIES & ALTERNATIVES ..;a",C'-'-" ~ _'~'""_.~,'~'''_'.'\_-~'--"",'",'~:;-r,"",,,,.,.-.c.-- 'ChT .._.._,...,.,~...."",,,..,__.,,,.,,,'o_.,, .. -=- I ' ~ Refine gools. r Review generale plan alternatives -1. m:9 ._.L. ,~#j 1:~;~J I? c.nv.... C. au.' .., I review .1iO ,,.,it; ",.",..---'-,."..,.",,' ...".' ~: .....~~. 't :. ,'j;)., if . I.~ . - '~~1 .' :' ;..;N.::# ,. jJ if! . - , '7 ~..,~ ~$~"- % , , , 1 STEP 3: REVIEW, ADOPT & IMPLEMENT Month 8 I Prepare dra" plan 1, Land use plan 2. Environmental features 3. Transportation plan 4. Community facilities 5. 1 a-vear housing plan 6. Economic development plan 7. Implementation ~1t~ ~~~~~ '->'V\,. ,~"~, '\~. -~ ~~:.31t .~ t:.'~ ".. l>'", ;'1':, t~~;'i>,,,. ", ;::~,-...: " ," , -" -~. 'j '. '\:, ..... O . I ngalng . I :;) Implementation: . - Update zoning Review & subdivision . _ Capital Improvements Program ~,_ :_-. .. .. . Orderly annexation .:9- - Official map PAC - Regular plan review m. eeflng - Resource Deveiopment . - Project Planning & ~ 'm_"~~ _Ju '.~ ',. c.:":~;' ~ ~~~ .:~ .t ~ Q.J .-,~ -. ..'~ S' '-:':"-!cyl tin~s ~ T~Hiks to hl' Cnrnl11ctcd h~ Consultant Tellm ur Shtrf' : - -1 OpricH1OI1 Ta~ks tu IH' CUII1IIIl-Il'd 1- hy Cnnsultanl h::lnt Uf- St:11l 1-:0 ,.... '.--11 s- ;,;'! ~ ;;;' ...:....,,~ -,,".:. . ,,-c. '.I...'--k; DAHLGREN, SHARDLOW, & UBAN, INC. '" - . :~; ~ \., - ,;; :! .. ., Greatn tvIinnesota Housing Fund \iEiII Eligible Communities Local city and county govemment agencies in Chisago, Isanti, Sherburne and Wright Counties are eligible to apply for GMHF Growth Corridor Initiative funding in the pilot year 2005- 2006. Special consideration will be given to cities that plan collaboratively with surrounding townships and neighboring communities. Communities who can positively answer the following questions will be most competitive for funding: II Growth: Is your community experiencing rapid growth and projected to continue to develop rapidly? iii Community Process: Is the community willing to conduct an integrated master planning process with broad-based community participation, timely and meaningful involvement of stakeholders, and sustained communication with all the participants? II Planning Principles: Is the community willing to consider the benefits that are available through TRENDS! .,.:'-;.........._...... ......,..'". ..... , 'C' " JOt? ~rowth Strong Along Transportation Corridors Facts, . Growth corridor counties are experiencing significantly higher job growth than the typical Minnesota county. . .. The highest growth rates in counties adjacent to the seven-county metro are in Chisago and Wright Counties. \":;.;'i:!'~\';>"':'" ..,<". ,e,"";,, ""_,0',.:.",, Implications: . As the price ofland skyrockets in rapidly developing communities, it is increasingly difficult to match a growing workforce with an adequate supply of affordable housing. Growth Corridor lnitiative the use of GMHF technical assistance and funding to achieve the following community planning principles: a. Development Patterns: Promotion of compact development patterns, including the provision of a diverse housing stock and well-planned transportation options. b. Public Infrastructure & Community Facilities: Efficient and cost-effective provision of public infrastructure and community facilities, including the consideration of environmental and social costs. c. Economic Development: Advancement and retention of sustainable economic development strategies, including the development of local resources. d. Natural Resources: Conservation and enhancement of natural resource systems, including agricultural land, forests, water resources, open spaces, recreational areas, and scenic resources. II Site Control: Does your community have, or can it obtain, site control for a large-scale residential or mixed-use development? SOUTce: 1990 and 2000 Census Data Interstate Highways Percent Change in labor Force (1990-2000) :--, .10 18 - 0% d 0.01 -10% _101.35% C-.J 351. 62 77% TRENDS More Households Added in Growth ,:,',,'",' . Corridor Counties '.'-' ., The number of households in many growth corridor counties grew by at least 25% between 1990 and 2000; Sherburne county grewby more than 58%. "C,'" -.",:;"'.'-, r,"",";" ~ . .. Household growth is strong in counties that have good access to transportation and a growing job base."'" .", ......:',..:...., ;,i~;uiiiti~~~.t~oIi;;.~ ';.Jc",,:.;"!j:;wil~~";.~ ;~:'c .' ,'.'i"" .'iI, ..... ..:...'.......::-:.'...........'..'...:.'..:...:.::,....., ......'.:-...',-...:...'.:.'-:-.'...'..:...... :.,.... High gro~ .~~;;s<U'o$dthe .~ev~n.couIlty metro are popular areas to build, but land and development costs often price fmishedunits well outside of es!ablished lev~l~ ?f .uro~.dability. gBBN Objectives: Is the site suitable to accomplish GMHF's Growth Corridor Initiative and Building Better Neighborhoods (BBN) objectives, including: a. Master Planning: Providing impetus for a master planning effort. b. Model Project: Serving as a positive model to influence future development choices and opportunities in the area. c. Planning Beyond the Project Boundaries: Striving to achieve community planning objectives beyond the project boundaries (e.g. extension of essential infrastructure; key roadway, trail and pedestrian linkages; natural resource system conservation and enhancement; strategic linkages of housing with jobs; expansion of parks and open space; or the improvement of market conditions for local businesses). d. Ten-Year Housing Action Plan: Preparing and adopting a Ten-Year Housing Action Plan, which contains goals for housing diversity, affordability and the relationship between proposed housing and employment opportunities. e. Municipal Utility Service: Avoiding the expansion of large-lot, private well and septic development patterns. SOUTce: 1990 and 2000 Cl:nsus Data Interstate Highways Percent Change In Number of Households D -5.39.0% I!ZflI01 -10% .,0.1.25% 025_1-58.5% Commitment for Implementation: Will the community commit to implement the community plan, including the Ten-Year Housing Action Plan, and be willing to devote local resources to ensure effective implementation? Application Process GMHF will provide Growth Corridor Initiative (GCI) program resources for up to two communities in 2005. Awards will be made through a competitive Request for Proposal (RFP). The Pre-Application RFP will be available on October 20, 2004. Pre-Application responses are due by 5 P.M. on December 15, 2004. Highly competitive communities will be asked to submit a formal application in January, 2005. Candidate communities will be interviewed by members of the selection committee as part of the selection process. Awards wiD be announced in early 2005. C;n~:lJcr hllnnesnt;-:\ Housing Fund .. CASE STUDY City of Cambridge: Heritage Green Development The Chy of Cambridge is developing 86 acres in the central city asS. mixed-use project that ",ill. ir,.<;luqe, 292 mixed-income units. -.," ,.' " " ,'.0', '~'; ....; ,_', ,," ",', Located on the old state hospital site, the highlights of this model project include: . Combination of single-family homes, andfor-sale and rental townhomes for families and seniors; . High-q\1a1ity home designs on <;omps.ct Iqts witl1alleys. , " ~. Pedestrian-friendly streetscape 'with street trees,sidewalks a.n~ linkages to . surrounding neigJ?,borhoods"..: ~ Inq()rporation of open space and , acentral J:>l3.1'k~ ~~~munity;,:nter ....~dli~r~.......,.. ,'. ..' . . Connections to the central city "i..nd existirig infrastructure. . -;~~t:~"',U:~'ti(;X:'~:_"'0,:\,<~' ',:;-'" .. '-':,:r:::,,': >'<:'.-y -- ,C~";' -",'" . . Th~.<;olIlmtlnity, .9ambridge city officials and the development teaniare committed to features of traditional neighborhood design,iJ:J.qluding the design . priJ:J.cip~e~...of GMHF's Building Better'Neighborhoods (BBN) .~ program. With a commitment to making a substantial number qf uJ:J.its. affordable, the City will incorporate a new Community 'Land TTust to keep a percentage of the owner-occupied units permanently affordable. >, M:9reVthanISO community members have participated in a communitycplanning process that began in April 2001. GMHF is . assisting Heritage Green with "BEN Technical Assistance, funding for planning, and a $1 million loan of McKnight Foundation Challenge Grant Growth Corridor Iniliatiyp funds for construction, financing. land acquisition, and homebuyer gap Heritage Green models best practices in community par- ticipation, mixed-use development planning, home design and partnerships among many philanthropic funders to help achieve a community vision for growth. City leaders participated in the Central Minnesota Initiative Foundation's Healthy Communities Program and the Blandin Community Investment Program. The city ultimately received funding from the Blandin Foundation for further leadership development training and grant funds to purchase the site. Development Team: City of Cambridge, MetroPlains Development, Central Minnesota Housing Partnership, Lumber One, Bright Keys Development, and Hoisington Koegler Group. ..._w...... ~..,...~-_. I- I ------,- '- .......HcI.....J .~- fI....._M..1 , ,I --. .---- -- - ~-- . ". The Greater.Minnesota Housing Fund seeks community partners interested in: . Affordable Life-Cycle Housing . Compact and Walkable Neighborhoods . Conservation-Based Design Strategies . Environmental Stewardship . Sound, Long-term Public Investments Greater Minnesota Housing Fund (GMHF) is launching its Growth Corridor Initiative (GCI) program through a competitive Request for Proposals (RFP). Interested communities should complete the GCI Pre-Application RFP by December 15, 2004. For more information, call GMHF at 651-221-1997, or visit us online at www.gmhfcom. Valuable Outcomes for Your Community: Through GMHF's Growth Corridor Initiative program, communities will achieve: Growth Management Strategies: Development of local and regional strategies to effectively plan and manage growth. .~' .;./ Area-Wide or Comprehensive Plan: Completion of an Area-Wide Master Plan or Comprehensive Plan, depending on the current needs and goals of the community. Ten-Year Housing Plan: Completion of a Ten-Year Housing Plan with action steps for implementation including policy issues, production goals and fmancing plan. Improved Local Policies: New or revised city policies to better guide development and implement the goals of the Comprehensive Plan, Area-Wide Master Plan and IO-Year Housing Plan. This may include development of new methods or sources to permanently increase local funds for affordable housing. Local Staff Development: Funding support for increased staff capacity to respond to development pressures and implement priority projects. Master Plan: Site selection and site design, public infrastructure planning and home designs for a high-quality, master-planned, mixed-income and mixed-use development. New Capital for Development: GMHF debt or equity financial participation in a large-scale, integrative model project for land acquisition, infrastructure, and construction, and GMHF assistance to broker other public and private financing. GMHF can assist with early site assembly where it will minimize costs, improve affordability and provide better leverage for communities to implement planning goals. GREATER MINNESOTA HOUSING FUND 332 Minnesota Street, Suite 1310-East. Saint Paul, MN 55101 main (651) 221-1997 I tf (800) 277-2258 I fax (651) 221-1904 I gmhf@gmhf.com I www.gmhf.com GIVlEF is a special project of Tbe TvIcKnight Founctc,tion 3116 BIc:',ndin Foundc\tion. THE MCKNIGHT FOUNDATION 151.,\'\111\ F'iH''\[HTH)\ '~jj';;1~;Z~fT::'~.'B'~'t;;1 .... ,. I.: v,. .;, ,......< ,,- .M'l'~ . ': '."'d~~::,/~,t-~~;:, --tiC: l-c" ' 0 \:':'<~1'\'~"{ ....,.:.",~,;~.. ,\~ ,J~ ", " ~~:_.:/:;,:-':-":t'" :;t~!~ - i ~~,;:,~-:'h.... ''''.; "': t~l,j /. , ".""" ~ , ... '.:'>'.' ~(' A.' C,,,- ,,c' . ';~. '.~' . . .: ii!N,,'.. '-. ..~, A._,,~/ 'It -" GREATER MINNESOTA HOUSING FUND'S GROWTH CORRIDOR INITIATIVE REVISED GCI Program Guidelines & Pre-Application Pre-Application Due December 15, 2004 Greater Minnesota Housing Fund 332 Minnesota Street, Suite 131 O.East Saint Paul, Minnesota 55101 651.221.1997 1.800.277.2258 Rc\'iseJ to/25j04 ;:~.:::,~;:~,,:...(~:.:,,~~~'i:: GREATER MINNESOTA HOUSING FUND'S ~ ., .,-1 II _ ~~...... ~ ~ .r:: ~ .11 .... .(i' ,~ .., _) ~-,.q ../~;'!~ ,,;\,\,,~\~-"~ GROWTH CORRIDOR INITIATIVE ~;. .'~" ~ 1 . .'" ~ ." , ~ Growth Corridor Initiative Goals Support area-wide planning that addresses pressing needs in growing communities for affordable hous111g, eco~offi1c development, transportation infrastructure, commuruty facilities 0 en s ace and reservation of natural systems. Encour~ge development of a range of life-cycle housing to meet the housing needs of growing commun1t1es, reduce distances workers must travel to employment, and stabilize the re . on's workforce. Promote efficient land use patterns that support the balanced growth of cities and towns in ways that are economicall ,environmentall , and social! health', Increase citizen engagement throughout the planning process to facilitate greater public awareness and involvement in local develo ment. GREATER MINNESOTA HOUSING FUND II "1-.'1' Ii I, I j'" Ii.,; I' j 01 : () ~,~~.,...:AA_ ~ Introduction A Broader Response to Local Planning and Development Needs While high population growth and rapid development offers tremendous economic opportunities for municipalities in the growth. corridors of Minnesota, acute challenges remain for preserving the quality of life for both long- time residents and newcomers. Ensuring that the rich natul:al resources, small-town chann, local employment and affordable housing opportunities do not disappear under metropolitan sprawl is critical to the long-term vitality of high-growth communities. Greater Minnesota Housing Fund's primary focus is creation of affordable housing; however, the Growth Corridor Initiative is intended to move beyond project planning to provide broad and flexible support to help communities plan for broader and longer term opportunities and challenges. New Resources to Plan and Implement Greater Minnesota Housing Fund's new Growth Corridor Initiative will provide funding support for area-wide integrated planning efforts, capacity-building for planning and implementation staff and capital funding to foster large scale, integrative model projects in greater 1v1innesota's growth corridors. In its pilot year (2005-2006), Growth Corridor Initiative funding will be offered to two Planning Goals Housing Goals Land Use Goals Community Participation & Local Control !'W!l1 F municipalities in Chis ago, Isanti and Sherburne and Wright Counties. Special consideration will be given to cities and counties that have planned cooperatively with surrounding townships and neighboring communities GMHF is launching the Growth Corridor Initiative at a critical moment in time for high- growth communities beyond the edge of the seven county metropolitan area. \X1hile development pressures have been steadily increasing, conununities have not yet lost the opportunity to conduct careful, community- driven decision making that will focus on results and the implementation of projects that will set the stage for future growth. New Local and Regional Partnerships Through a working partnership the Central Initiative Foundation and its Healthy Communities Program (HCP) , GMHF will work with interested communities to support community based planning and provide resources to implement parts of those plans. GMHF will also assist in packaging other public, philanthropic and private investment for model demonstration projects. Local dollars will be required to leverage these new GtvfHF resources. Program Goals The goals of GMHF's Growth Corridor Initiative program are described below: '(h >,if ......~' .,"\.......f,~~"":"'''''Yt "--"~:.~/i,: ;.';=:~;:f,~;~~?;,S; GREATER MINNESOTA HOUSING FUND'S ,:,~{, ;?;r :.~t"", J ,~",:";; GROWTH CORRIDOR INITIATIVE :. , ~~"t&..,~;:A 'L~,/.'~~" Program Criteria GMHF will require GCI pilot program applicants to meet the following cri teria: . Rapidly Growing Community. The selected community will be experiencing tapid gtowth and will be ptojected to continue to develop rapidly. Positive consideration will be given to candidate communities where the ptoposed development could serve to avoid the expansion of large-lot, private well and septic development patterns, and where the ptoject could serve as a positive model to influence future development choices and opportunities in the area. . Willingness to Adopt a Ten-year Housing Action Plan. The community will prepare and adopt a Ten-year Housing Action Plan. The Housing Action Plan should first assess the existing inventoty and current housing stock in the community to include information on the existing housing conditions, current stakeholders, and existing financing options for affordable housing, current land capacity and others. In addition, local development policies, funding resources and the tole of key stakeholders and model ptoject specifics will be identified. . Commitment to Sustainable Development Principles. The community must be committed to utilizing GMHF resources to maximize its opportunities to achieve sustainable development principles such as o Compact development patterns; including affordable and life-cycle housing choices; transportation options, including transit, pedestrian and bicycle ways; and green space and enhanced aesthetics. o Conservation and enhancement of natural resource systems including agricultural land, forests, water resources, open spaces and recreational areas, scenic resources, and other significant resources. o Efficient and cost-effective public infrastructure and community facilities, including the consideration of environmental and social costs. . Use of Community Based Planning Process. The community must conduct a planning ptocess consisting of the following characteristics: o Broad-based community participation, including a variety of means for citizens and interested parties to ptovide input thtoughout the ptocess. o Timely and meaningful involvement of representatives of surtounding jurisdictions, school districts, key governmental agencies and other stakeholders, and efforts to cooperate on issues of mutual importance. o Strong and sustained communication with all of the participants, by multiple means, throughout the process, as well as a commitment to public education regarding the issues surtounding gtowth management and decision making. GREATER MINNESOTA HOUSING FUND , " III \!,.I; I'll I, "ii, ! I)' 1;; 2 dr I (I ~i~~Yit~r~2;~;?~~Jj~;~~ ",',,'e', tt>,..~. .11,....., ~~1~iZtj'/~'Z~~~ Program Instructions GREATER MINNESOTA HOUSING FUND'S GROWTH CORRIDOR INITIATIVE ELIGIBILITY: In its pilot year (2005-2006), Growth Corridor Initiative funding will be available to municipalities iu Chis ago, Isanti, Sherburne and Wright Counties. PROGRAM FUNDING AsSISTANCE: Phase I Community Planning Assistance Phase II Staff/ Capacity Building Phase III GCI Model Project Technical Assistance Phase IV Capital Funding in-kind* Up to $50,000 Creation or Update of Comprehensive Plan and Housing Action Plan 1:1 Up to $25,000/year for two years Implementation of Community Plan and Housing Action Plan in-kind Up to $25,000 Model Project Plan including secured site and local financing commitments 10: 1 (including public and private funding) Up to $I5,000/per affordable unit Affordable Housing Development as part of a mixed income, mixed use development *If the planning assistance contract exceeds $50,000, communities will be expected to provide the additional funding necessary. 1\" 11Ii!,-:!.,."1 Please see next page for application Process and forms. GREATER MINNESOTA HOUSING FUND I.',' :.I',i,:'11 I,,: 1',11 k.'.!<. I i-tJi '",\1 ;' ,,):', ".'-i I' \( J of I () ) 1''- ;:~~~j'~:i~1~itfi~'~.';1Y'~~: . ~. ..... i~ .",.,.",. <c' R)':jj ~ .(I'. ',~_,:;,.:.):. ""'::i't,-,"', ",...- ,1-'" h ..c" ..,..-;A' '~ "~ ,j~"_ .. h ., . :~\'~iP~ty:~ ';~1/~1~',~ c. . .~.,.~. ."A L,Ce' "'1X~ GREATER MINNESOTA HOUSING FUND'S GROWTH CORRIDOR INITIATIVE GCI Application Process 1. Pre-applicarion: (Attachment 1) Pre-applications will be due on December 15, 2004. All interested applicants will be required to complete the GCI Planning and Capacity Building Pre.-application. 2. Pre-Application Review: GMHF staff and the GCI Selection Committee will review the pre-applications and determine which community(ies) best meet the criteria for the GCI Pilot Program. 3. Full Application: Communities invited to submit a fmal Application will be notified by January 7, 2005. The full application will be due on February 4, 2005, and will consist of the following components: a. Community's GCI goals b. Resolution of Support for program participation from elected bodies c. Letters from community stakeholders expressing support for program participation d. Description of current political pressures and challenges related to growth management and affordable housing development e. Description of current development patterns and potential model project sites f. Assessment of staff needs for Phase 2 of the GCI Program g. Memorandum of Understanding from participating entities 4. Interview: Candidate communities will be interviewed by members of the selection committee as part of the selection process in mid~late February. REVIEW AND SELECTION: A staff team from GMHF and an Advisory Selection Committee will review all full applications. GMHF Board approval of the 2005 pilot communities will take place in late March and selected communities will be notified by March 25, 2005. Awards will be judged based on: . Communities most likely to fully implement the model project(s) . Communities committed to the principles of the GCI Program . Communities experiencing the most rapid growth Special Consideration for Cooperative Plans: Special consideration will be given to cities and counties that have planned cooperatively with surrounding townships and neighboring communities. CONTACT: For questions and additional infonnation contact: Heidi Rathmann, Program Officer hrathmann(~DYlllhf.com Greater I'vIinnesota Housing Fund 332 Minnesota Street, 1310E Saint Paul, MN 55101 \\.;\.\.;\.v.g-mhLcom (651) 221-1997 x103 or toll free: 1(800) 277-2258 GREATER MINNESOTA HOlJSINGFUND 'I'" i':u .';, III f,.'111 I" ,.j ui I () ili " . ::J{; ,~'.'~),;-;i..~:.~7~~'/,' ,;-~';:',\'~~,;: .. ,. _:~,~1;':,,:-:~'''''.~..... ~""',,,,;:~,, ~.~' t'J;/;.,~~,(~:;'~:fif ~',,;~:' ~~,~~\t~ '., "". '."..,",Qti.,... .~. .....A. .~..... " .~~.. t .1"', ,~l ;\jQ-..---.,:.. '. , ''" \':~~({' :- ,Y{r"j' /.;'" ,-::,~'\ -,:;.:: .,..,,<',J.. CA.,;,,' .,; .'oA.' ';:""- J.;'-~c,,~ .".- "iN,. A..;",....," ~.'''::' GREATER MINNESOTA HOUSING FUND'S GROWTH CORRIDOR INITIATIVE Attachmcnt I 2005 Pilot Program GCI Pre-Application Form Cover Sheet A licant Contact Information DIsanti DSherburne (Please attach additional page with primary contact information in multiple partner communities if appHcable.) Completed pre.applications are Due to GMHF no later than 5:00 P.M., Friday, December 15,2004 An electronic version of this pre.application can be downloaded from www.gmhf.com. Please Submit GCI Pre-Application Forms by 5:00 P.M. Friday, December 15, 2004 to: Greater Minnesota Housing Fund 332 Minnesota Street, Suite 1310-East Saint Paul, MN 55101 (651) 221-1997 1 (800) 277-2258 (651) 221.1904 fax GREATER MINNESOTA HOUSING FUND 1'0, III \i' k 1(.11 j<;; ',!J i ,j, ) I'J :>-, ')ut!(, :~~'.'~1~~~';I;'0t~~/~~' '~~."':'i~~ .~, ,~.i, I" - ~i;;""^.;..;/ R ~ -_01': '.::~:.:'/., -~)" \~t, f~'~ ",~" \ _" )1(~"' -. .. ;', ;.,.;;t:... 'r'~ ..1 'J ., ~~:~~."r!;j~. '~~5~~,~ GREATER MINNESOTA HOUSING FUND'S GROWTH CORRIDOR INITIATIVE GCI Applicant Information A licant Contact Information DIsanti DSherburne 1. Type of Applicant: D City D County DMulti-jurisdictional If this is a multi-jurisdictional application, list other partners below. In addition, describe how each jurisdiction will cooperate in the planning and other activities of program. 2. Stakeholders: List the stakeholders you plan to engage within and outside of the community and describe their potential roles. (Examples of potential stakeholders might include business and civic leaders, community organizations, government agencies, neighboring townships, ere.) Include letters of interest/participation from stakeholders if available. GREATER MINNESOTA HOl~SJNG FUND ! I", 'II II; \1(f., il 1-"",) i i: ,1" i.; (\oll() :.:: ~:::~:';'~~:'~~!~z~.1';::;'::". ~:x~: :/i~ -.'" .,"f",_,~;t,"1,~,~~~__/ :":",,'Il>..~~t....^,,,~,.(::" ~-~ ~,.?,:. ~~:.>~,:,~~~t:n,~' "'..,;.'Ji~"::i "':;,t~'75!(~--~~?' <r" ' . '~". -"::,, "....;......'K._,.:t...;:.I.~,J.,., ,,7:'jQo..::~,:~, .'.... "'~~~. ,~, {.._~~ /._ ,'_ '.,<~' Ir)';.:; : ~"'~.. ~.,.~,"" ,'. . .~. . ........" ~",...~^'.~....-A~..A._ ,_.,7""1C"~' GREATER MINNESOTA HOUSING FUND'S GROWTH CORRIDOR INITIATIVE 3. Status of Local Planning Needs: What is the date of your community's latest Comprehensive Plan revision? Do you intend to update the plan as part of the Growth Corridor Initiative planning process? If so, what factors are contributing to the need for an update to the plan? List any other planning documents currently used by the city. 4. Citizen Engagement: Has your community participated in a formal citizen-based planning effort? 0 Yes 0 No If so, indicate the name of the planning effort. o Healthy COITU11unities Program Date: Outcome: (Initiative Foundation) o Minnesota Design Team Planning Program Date: Outcome: o Other: Date: Outcome: GREATER MINNESOTA HOUSING FUND ! II -', h. I, II I, -ofl{) :3~,~f..::?:'~~)::~V;":;;:,;".,' ~-..::;\~~: \ '-':;""'..' "i """. ,,...., -.1.( ~~:..'v: ~>'.~4)j;_,l:~~-{~~~::;~~.~~-'~~:' h~'~~i~ -;i-Y,---....i:t'>.. 'I~ . . It, " ..~..:'~" r _'IY{!" ' . ".jQ ,~-, ,",'~ '. 7""..'i{" ;J:~ !",,'. ..: ,~"~ ._ ...-'II.t;...".,~, A~',1._..~,. ~"~, GREATER MINNESOTA HOUSING FUND'S GROWTH CORRIDOR INITIATIVE 5. Housing Demand: Does your community have a current housing market study? (please attach a copy of the study to this application.) 0 Yes D No Do you believe the study accurately reflects the market and housing needs in your community? If not, why? 6. Existing Planning and Development Staff: List the positions and the names of staff involved in corrununity development, planning and housing in your community. Provide the name and title of the community's (or team's) lead staff person that would engage in this 9-12 month comprehensive planning process with GMHF and its consultant team. 7. Staffing Needs: If you were to expand your staff capacity to better assist in planning and implementing development, what position(s) would be most timely and critical for your community? GREATER MINNESOTA HOUSING FUND I""!II i,' III \:: k I'I! ,I I: 'I'; I' \( Sol I() :..,:'J!J;. _~-~'-:"~\~.;i. !:~'~:;-'\';-i" ,:"''':-\-:j:;~ \ ',<;--. < '-' -'.:"\"''"\~~~ ".: : ~. ,:~~~;,._j,::~~':~:.~.:/:::.:'-~~; _ f:.'f_~~~~ ."--_"'~__-_1-~:-":'t._~_'-" ~,II~ . . A'~,_ \,,:, '11-;"";'\...", < . ;<.1,_,,_ _ ' '\~":,~:' >.< ..... "~v"~' 4~' ::r-~,~_ '_,',m -:'II:.!' ~ .,:~ _.<;~~,:' ;./ ~t:^->"-"'~"''';'';'il\j ....;. J.., ~",.'#:.... ,"~, "'_.....".. ~,..... GREATER MINNESOTA HOUSING FUND'S GROWTH CORRIDOR INITIATIVE 8. Previous Planning Assistance Obtained: List any consulting Erms that have previously worked with your community on planning or housing issues. (Note: Selected communities must be willing to work with G:MHF staff and its consultant team on the planning phase of the project. Other consultants may be engaged as needed.) 9. Local Growth Trends: \Xlhat are the most dramatic trends driving growth in your community? Please describe the key factors (e.g., population, demographics, housing, employment, etc.) and how you believe participation in this program could help you plan for and manage them more effectively. I", GREATER MINNESOTA HOUSING FUND I!! f, Ii I 'Ii i'., t) ut I() I~ Ii, ~ ;~1..5:'T;~~1';T:~.;~":~i: "'-!.I".- .'.'^ ,...>..p,p. i"li :.:~::"*7'_,.::~~~",{\~,. A'.)k~') ':;"z":(~'~~"",,-+r':""..')'~ ' '~~""'';'A''~'' ~s:~;~(),.;:"i'}li'~/, ~1O,,';'j~~~.~:" i:; ~ :~,-~;:;,~ ,~.'1..' _>><:;;,>-~-~" GREATER MINNESOTA HOUSING FUND'S GROWTH CORRIDOR INITIATIVE 10. Opportunities Ahead: State your conununity's three largest opportunities (i.e. related to housing, business community, government, infrastructure, transportation, etc.) associated with growth. Provide a brief description of the key issues, urgency of addressing them, political challenges/ environment, fmancial/ cost concerns, and how taking advantage of them could positively affect qualify of life in the community. a. b. c, 11. Challenges Facing Your Community: State your community's three largest challenges related to growth. Provide a brief description of the key issues, urgency of addressing them, political challenges/ environment, financial/cost concerns, and how not addressing them could negatively affect qualify of life in the community. a. b. c. ').1 GREATER MINNESOTA HOUSING FUND ill "')-,1' II J'I I' j!jdt'I() . <-~:,~\,~:,}~~,):;:'- ::';:"j - "....:,::"~~~ji~ .....' '':':''.'" . :.If'- __~c".-- .......... '. .._.' '-,;;.c.' J ~'_ _, .",,; "':"1'~:): b,J - _ .,,, ,d' I' -. ,.,,, ..... """"~ :~"~~~"':A;)) '~:-,~~:,--" \-,'.:J,t.~,-; 'C,:~.".:."~.,,,~ ,I ,'c." .:r:'-~-~:~' t;~l~~',~:;"_ '/.~~-".'--~f~,'.~ ,,, , ":~;:cC" '. 11 L .".' "%'1'\ GREATER MINNESOTA HOUSING FUND'S GROWTH CORRIDOR INITIATIVE 12. Affordable Housing Issues: List current funding sources, policies and regulatory tools used in your community to promote the development of affordable housing, 13. Potential Mfordable Housing Policies and Tools: Is the community interested in using any of the following tools to promote affordable housing development? Yes No Need more information Inclusionary Housing 0 0 0 Community Land Trusts 0 0 0 Density Bonuses 0 0 0 Planned Unit Developments 0 0 0 Tax Increment Financing 0 0 0 Subdivision Covenants 0 0 0 ,t'} "1 GREATER MINNESOTA HOlTSING FUND i'II'li I i) III k i( : I'" i!i I' II ()flfj ~j~i~}'~':~f::>~):~~:,?~,;j,~~-t;:'~ .. "'.' l' " ..,...... 1;: jI. "'Z!. :.~: '<",: .,,;.:;.,,> "'i\" "'\' .. ~"i~ c' ?'''''(''''-';.-<!i,~...tJl'' 1.,..- ,,~ ':;;~;;< '. ~,?I;,., "_' ~:~,--:>:,,~ ,~'" \"". "^-~ y,! ('" -"<'~! ,;:.;,: ''Ge. >" e ~ ''''.,'<,_;~' -..'. .. J..'~.,--, .... '*~:_A_,'.;~4 -~_ GREATER MINNESOTA HOUSING FUND'S GROWTH CORRIDOR INITIATIVE I. Demographic Information Note: Please attach additional page(s) with demographic information for each community if it is a multi-jurisdictional application. POPULATION 1990 2000 Estimate for 2010 GROWTH City County HOUSEHOLD GROWTH City County JOB GROWTH City County HOUSING INFORMATION City County 2003 Home Starts 2003 # of Existing Home Sales 2003 Median Sales Price (existing homes) 2003 Median Sales Price (new homes) Total Number of housing rental units Current rental vacancy rate GREATER MINNESOTA HOUSING FUND !'.:'.)II I i'lll \:,,1<,.,< 11"1'," " i }]>:'"I) '.! i I :" j I', ',~ ,.- I 'I I) '., 12 or 1(, . ::~~i'~c"i(f;';(~~~:~~~'.;~'\ ~~;:~~ ~. ,'. -. ,-^ '.... <c. j!. "'.tI :,"^~'~', ~~~,'.Li/:J-:::>r,;,' ,"J\c':_:;i~/' "','."",, ':~d,~.:L'._~I\\tfI..,uY'" .,. ,;:~1~;~ii~t!'i4 ,~':i;~':'~:~~ GREATER MINNESOTA HOUSING FUND'S GROWTH CORRIDOR INITIATIVE II. LOCAL / REGIONAL EMPLOYER BASE Please list the largest employers in the community, number of full-time employees at each and the average wage of its typical worker (excluding management positions). NAME OF EMPLOYER Numbcr of Full-timc Average \Vagc pcr Emplo)ccs Hour 1. $ 2. $ 3. $ 4. $ IV. OTHER Bricfly dcscribc any current growth conditions that may not be reflected in the data above (e.g. new, large employers, ). v. Authorization of Pre-application Submittal To Be Signed by City or County Administrator Signature: I Date: Name: Tide: Phone number: I Fax number: Email: GREATER MINNESOTA HOUSING FUND ", Ji" II(1il(, . .,J,;.'-........ "'~';'~~~7;,.J),, . "'~",;~:;-..:,. "',# .:^._~...;'+"'""bi1.'i''''';: ,. ,.", '~~,:~" ;,.;..~' ~'(~;l'\ '}:' '~1." J- ;f;; +: ;,' '~'-'I'~"C.M"'" ~- jt,,,:c :',';- <~.':\.~.,~.~".r:,~ "___" -~,~:T ;i "'r.",I..--_,,_~,_.,.. e~, , J~ _", \,C" ~ ;;>,.'~" f /'r~'- .. -_' "-,'f:;;::,:"~~: .~ ~,'_':'-~'~~:". !"'~ /'~r'-"-"'~~', ~ ;~T ~..,...~~~~.it ~.'.1__.,:~""'t;~ GREATER MINNESOTA HOUSING FUND'S GROWTH CORRIDOR INITIATIVE Attachment II Model Project Technical Assistance (Building Better Neighborhoods Program Guidelines) PROGRAM GOALS . Create vital, well-planned neighborhoods . Encourage mixed-income developments by providing a range of housing types . Encourage a mix of compatible uses including community facilities, recreational space, retail and others . Minimize subsidies needed to create affordable homes . Reduce development costs through the most efficient use of land . Reduce home construction costs . Work with local public officials to reduce regulatory barriers to affordable housing . Work collaboratively with communities to meet their housing needs ELIGIBLE APPLICANTS Non-profit developers, for-profit developers, and local government agencies TYPES OF ASSISTANCE AVAILABLE Greater Minnesota Housing Fund awards a technical assistance grant to qualified projects to cover the costs of professional services related to: . site selection and site design . public infrastructure planning . home designs . working with local public officials to reduce regulatory barriers to affordable housing The assistance is provided by GMHF staff and GMHF contract architects, MINIMUM REQUIREMENTS When applying for technical assistance funding, it is helpful for the applicant and the city in which the development is proposed to understand the minimum requirements for full project funding. Applicants for technical assistance should be interested in pursuing cost-reduction strategies, such as modest-sized lots and narrower street widths, and in implementing one or more value-added strategies, such as basic neighborhood landscaping and more traditional home designs, Applicants will be asked to sign a Techni",/ Assistance Agreement before technical assistance funding is committed to a project, Please refer to the following pages for the requirements of the model project program, 1''' GREATER MINNESOTA HOlJSING FUND I " . I Ii, I i \ ~ I" l.:tof'lfj I;' " "" j . --~ :-: . ~;"1.,-:')/' ~:'\.;'~.: ! .-::;'t_'7:;'~ ~J.R,;;': GREATER MINNESOTA HOUSING FUND'S ~,~ -~ 'k' \ c.~ -._'~ ;~~ :\"..' ~~'~ GROWTH CORRIDOR INITIATIVE _ _ .....~.t:: "'~;.~ ~ ?'"'il,1\ MINIMUM REQUIREMENTS 1) NEIGHBORHOOD DESIGN a) Site i) Proposed neighborhood shall be located near or adjacent to existing infrastructure, connected to city sewer and water, and be within a reasonable distance to neighborhood amenities, e.g. schools, parks, libraries and retail. ii) Site design shall preserve and enhance existing natural amenities and should integrate the new neighborhood development with the surrounding area. b) Lot Sizes i) The lot frontage for Building Better Neighborhoods lots shall be within the range of 40,65 feet. Market-rate lots can be larger. c) Streets i) The streets in the neighborhood shall be within the range of 18-34 feet. ii) The street layout shall make efficient connections with the surrounding area and be efficiently designed. d) Homes i) Homes shall have a minimum of 2 bedrooms. Additional finished bedrooms and batbrooms are encouraged to attract families with children. ii) Homes shall have attractive facades and home plans should have direct connections to the front and rear yard. iii) Home designs shall minimize the impact of the garage on the streetscape (setback from the front of home or where feasible utilizing service alleys at the rear of homes). e) Landscape Systems i) Boulevard trees and individual lot landscaping shall be provided for in the development package. 2) PROJECT a) In order for the project to be eligible for full funding (i.e. interim fmancing and/ or gap assistance to homebuyers), the Local Government shall participate fmancially, providing 3,5% of the total development costs through tax increment fmancing or financial equivalent. b) Community shall have a demonstrated need for affordable starter homes, documented through a recent market study or housing needs assessment. c) Developer shall utilize volume building to maximize economies of scale (construct a minimum of 5 homes per year). d) Homebuyers receiving GMHF gap fmancing must have household incomes equal to or less than 80% of the statewide median income and must be families with children. However, mixed-income neighborhoods are strongly encouraged and a wide range of other financing resources are available to help households with different income levels and family types. " GREATER MINNESOTA HOUSING FUND III "II: 1<'.1, Ii j., 1'\, 15o(I() ~~~:-;.'. \1'.,:r.~ -\' ..--...;:.... "'.: "~ .:::;'f ~:~,:'1}JjI:~~~ GREATER MINNESOTA HOUSING FUND'S ~ ~,.. ~ '", " ... G C I <-~.:-- t"'rt "I "', .~ ~ ROWTH ORRIDOR NITIATIVE - " ~~' ; , ,J~, '. "~"1~) _ _ _."i\...". ......~ ...._ e) Homes must be connected to city sewer and water. I) Homebuyer Acquisition Cost Limit (ACL) is not to exceed the GMHF ACL. The ACL is revised annually. 2004 Income Limits (80% of Statewide Median) ADJUSTED FOR FAMILY SIZE F amilv Size GMHF Income Limits 1 $37,000 2 $42,200 3 $47,500 4 $52,800 5 $57,000 6 $61,200 7 $65,500 8 $69,700 Funding sources such as tax increment financing, HRA levy and/or funding from the Minnesota Housing Finance Agency will allow for a broader range of incomes to be served. Market rate homes will be priced according to the market demand. Please refer to other funders' guidelines for other income requirements. Additional Model Project Priorities In addition to meeting the minimum requirements, projects will be given additional consideration if their final application evidences that one or more of the following will be a part of the development. This list is for reference purposes only and does not constitute an agreement or obligation on the part of the Greater Minnesota Housing Fund to provide funding to any particular project. . Employer involvement through fmancial contributions; . Reduced fees for developer, realtor, and/or tide company; . Reasonably priced site based on comparable land sales in the area; . Mixed-income development, providing a range of housing styles and lot widths; Use of innovative building techniques that reduce costs or improve livability; Inclusion of neighborhood public space to promote resident interactions. " ,I" '" j GREATER MINNESOTA HOUSING FUND III ",I, il! P', I (I oi I ()