2.0. HRSR 08-02-2021 �__ty
Elk
River - Request for Action
To Item Number
Housing and Redevelopment Authority 2.0
Agenda Section Meeting Date Prepared by
Budget Discussion August 2,2021 Colleen Eddy, Economic Development Specialist
Brent O'Neil, Economic Development Director
Item Description Reviewed by
Discuss 2022 HRA Budget&Budget Goals Lori Ziemer,Finance Director
Reviewed by
Cal Portner, City Administrator
Action Requested
Review and provide direction for inclusion in the September 6, 2021, Preliminary Levy.
Background/Discussion
The draft budget addresses several of the goals outlined in the strategic plan, anticipated updates to the
Comprehensive Plan,the city's vision worksheet, and recent HRA discussions. HRA bylaws require budget
approval and a Council recommendation at the September meeting for inclusion into the preliminary levy.
The proposed 2022 budget is similar to 2021with a net increase of$15,650. It includes new funding for
hanging planters and downtown maintenance and decreases Advertising and Marketing and Building
Repair/Maintenance Services. Staff will discuss some changes to the accounting method for the loan program
as well begin a discussion on the HRA's fund balances.
In consideration of HRA levy options, as presented in the proposed budget, a levy of$331,600 would balance
expenditures and revenues. Other considerations are the previous levy amount of$321,450 or a maximum
levy not to exceed 0.0185 percent of Sherburne County's estimated market value.
All levy options are applied against the Estimated Market Value obtained from the county which is not yet
available. In addition to the tax levy,we also estimate revenue from interest income of$6,500.
Financial Impact
N/A
Mission/Policy/Goal
HRA Bylaws require the Executive Director to prepare a budget and present it to the Commissioners of the
Authority for consideration in August of each year.
Attachments
■ Draft HRA 2022 Budget Worksheet
■ Draft HRA 2022 Goals
The Elk River Vision
A welcoming community with revolutionary and spirted resourcefulness, exceptional service,and commum_q
engagement that encourages and inspires prosperity P U w E A E U 8 T
w'iAURE
2022 BUDGET DETAIL
Dept: Housing&Redevelopment Authority D RAR
Acct. Explanation/Detail of Supplies or Services 2018 2019 2020 2021 2022
No. Actual Actual Actual BUDGET BUDGET
REVENUES:
3111 Property Taxes 290,054 315,352 369,901 321,450 331,600
3322 MV Credit 152 163 177 - -
3414 Development Fee - 589 - - -
3621 Interest Income 10,200 11,608 8,825 5,500 6,500
3629 Miscellaneous Revenue - 35 10,167 - -
TOTAL HRA REVENUES 300,406 327,747 389,070 326,950 338,100
EXPENDITURES:
PERSONAL SERVICES
4101 Regular Pay 65,184 67,200 68,173 74,950 75,400
4104 PERA 4,889 5,040 4,733 4,650 5,650
4105 FICA 4,035 4,168 4,232 4,650 4,700
4107 Medicare 944 975 990 1,100 1,100
4108 Insurance 10,292 10,637 9,816 11,750 12,300
4109 Workers Comp 315 302 293 350 350
TOTAL PERSONAL SERVICES 85,659 88,322 88,237 97,450 99,500
SUPPLIES
4219 Operating Supplies - 4,420 5,938 5,000 5,000
Downtown permanent fixtures 5,000 5,000
TOTAL SUPPLIES - 4,420 5,938 5,000 5,000
SERVICES&CHARGES
4304 Legal Fees 3,394 5,523 6,380 6,000 6,000
Misc. 6,000 6,000
4319 Professional Services 23,016 13,024 10,734 - -
4322 Postage 20 11 6 100 100
Postage 100 100
4331 Travel,Conferences&Schools 596 44 - 200 200
MREJ-Housing Seminars 200 200
4349 Advertising/Marketing 10,512 10,430 11,160 11,200 10,400
Housing Program Marketing Materials-printing 2,500 2,500
Holiday Cards-Expanded Area 1,800 1,000
HRA/EDA Shared Website 5,700 5,700
Lead Forensics-Split between HRA/EDA 1,200 1,200
4359 Publishing 637 312 72 300 300
Public hearing notices 300 300
4361 Insurance 924 2,682 4,534 - -
Property insurance
4389 Utilities 243 68 21 - -
4401 Building Maint.Services 3,930 5,380 6,360 4,000 2,000
Lawn/snow removal 4,000 2,000
4409 Contractual Services 11,675 4,021 127,919 157,000 30,800
Elk River HRA Rehab Program 150,000
CEE Administrative Fee 7,000 5,800
Hanging planters/downtown maintenance 25,000
4433 Dues&Subscriptions 237 236 247 300 300
Downtown Spotlight 300 300
4437 Property Taxes 5,761 4,746 6,564 - -
4440 Miscellaneous 354,197 156,501 286,941 145,500 145,000
Property acquisition 145,500 145,000
TOTAL SERVICES&CHARGES 415,142 202,978 460,938 324,600 195,100
TRANSFERS OUT 45,400 38,500
4721 General Fund 30,000 31,500 32,700 33,700 35,000
General Fund-plant maintenance - - 8,000 8,200 -
4735 Economic Development Authority(shared expenses) 3,500 3,500 3,500 3,500 3,500
TOTAL HRA EXPENDITURES 534,301 330,720 599,313 472,450 338,100
A A
REVENUES OVER/(UNDER)EXPENDITURES (233,895) (2,973) (210,243) (145,500) -
7/30/2021
Performance Measures & Goals for 2022
Division: Housing and Redevelopment
Completed by: Colleen Eddy, Brent O'Neil DRAFT
Date: TJ-uly 27, 2021
Performance Measure 2019 Actual 2020 Actual 2021 Estimated 2021 YTD 2022 Projected
Number of HRA Rehab Loan
applications 2 0 2 0 6
Blighted Properties Residential
and Commercial/Industrial
Forgivable Loan Program 0 0 1 0 1
Division Goal Goal Objective/Task
Promote Preservation of HRA Housing Stock Promote investment in residential properites within Elk River and target individuals interested
in the blighted properties program and the HRA Rehab Loan Program.Work with Sherburne
County to identify tax forfeited properties.Protect and strengthen rental properties.
Participate in the Downtown Rivers Edge meetings.Work with the Downtown Elk River
Business Association to develop a beautification plan for the Main Street Corridor.Continue
Promote a Vital Downtown to promote the permanent fixture policy on behalf of the HRA to install and maintain
permanent public fixtures downtown.Promote the Downtown Facade Improvement
microloan program. Pursue strategic acquisition and sale of downtown redevelopment
property.
Target business owners interested in redevelopment blighted C/I properties.Work with the
Enhance redevelopment opportunities for C/I properties building department to identify properties eligible for the blighted properties C/I program.
Hold quarterly worksessions with various departments(police,building,and planning)to
discuss potential redevelopment opportunities.
Implement housing and development goals in the new With the planned adoption of the new comprehensive plan in Fall 2021,work to achieve the
comprehensive plan goals and benchmarks set out in the plan,specifically those in the housing and economic
development sections.