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HRA Packet for March 3, 2025 Housing and Redevelopment Authority Regular Meeting & Work Session Agenda Monday, March 3, 2025 5:30 PM Elk River City Hall ▪ Regular meeting in Council Chambers ▪ Work Session meeting in Upper Town Conference Room immediately following regular meeting 1. CALL MEETING TO ORDER 2. PLEDGE OF ALLEGIANCE 3. CONSIDER AGENDA 4. CONSENT AGENDA Considered to be routine and noncontroversial and will be approved by one motion. There will be no separate discussion of these items unless there is a request to remove the item from the consent agenda to the regular agenda. 4.1 Draft Minutes - February 3, 2025 4.2 Check Register 4.3 Balance Sheet 4.4 Revenue/Expenditure Reports 5. OPEN FORUM An opportunity to provide comments and feedback regarding items not on the agenda. Information provided in Open Forum will not be discussed at this meeting; rather, the information will be referred to staff and/or scheduled for discussion at a future meeting. 6. GENERAL BUSINESS Items in which the information is presented by city staff or consultants, then deliberation and action occur. General Business items are not opportunities to receive or provide public input. However, the presiding officer may, at its sole discretion, solicit public feedback. 6.1 Housing Rehabilitation Loan Program Update 6.2 General Updates 7. MOTION TO ADJOURN REGULAR MEETING 8. WORK SESSION Work Sessions are less formal meetings to encourage dialog. Official action or votes are not typically taken. At the conclusion of a discussion, a simple consensus provides staff direction for execution of the item. This portion of the agenda is audio recorded but not video recorded or broadcast. Work Sessions are open to the public; however, visitors who wish to provide input must be invited by the presiding officer, assume a seat at the discussion table and provide their full name and address for the official record. 8.1 Summary of Sherburne County Housing Study Page 1 of 28 The Elk River Vision A welcoming community with revolutionary and spirited resourcefulness, exceptional service, and community engagement that encourages and inspires prosperity 8.2 Discuss Statewide Affordable Housing Aid Program 9. MOTION TO ADJOURN Page 2 of 28 Meeting of the Housing and Redevelopment Authority Held at the Elk River City Hall Monday, February 3, 2025 Members Present: Commissioner Dennis Chuba, Commissioner Lynn Caswell, Commissioner Mel Beaudry, Mayor John Dietz Members Absent: Commissioner Nate Ovall Staff Present: Economic Development Director Brent O'Neil, Economic Development Specialist Joshua Mollan, and Recording Secretary Jolene Richter 1.CALL MEETING TO ORDER Pursuant to due call and notice thereof, the meeting was called to order at 5:30 p.m. 2.PLEDGE OF ALLEGIANCE The Pledge of Allegiance was recited. 3.CONSIDER AGENDA Moved by Commissioner Beaudry and seconded by Commissioner Dietz to approve the agenda. Motion carried 4-0. 4.ANNUAL MEETING BUSINESS 4.1 Annual Election of Officers Commissioner Caswell nominated Commissioner Chuba for Chair and was seconded by Commissioner Dietz. Motion Carried 4-0. Commissioner Beaudry nominated Commissioner Ovall for Vice Chair and was seconded by Commissioner Dietz. Motion Carried 4-0. Commissioner Dietz nominated Commissioner Beaudry for Secretary and was seconded by Commissioner Caswell. Motion Carried 4-0. 4.2 Committee Appointments Commissioner Dietz nominated Commissioner Ovall and Commissioner Caswell and seconded by Commissioner Beaudry to continue on the Joint Finance Committee. Motion Carried 4-0. 4.3 Annual Review of Bylaws and Enabling Resolution DRAFTPage 3 of 28 Housing and Redevelopment Authority Minutes February 3, 2025 --------- Page 2 of 3 The staff report was presented. Moved by Commissioner Caswell and seconded by Commissioner Dietz to approve an amendment to the Housing and Redevelopment bylaws changing the annual meeting month from February to January. Motion carried 4-0. Moved by Commissioner Beaudry and seconded by Commissioner Caswell to approve a recommendation to the city council that compensation for Housing and Redevelopment Authority members be set at $75 monthly. Motion carried 4-0. 5.CONSENT AGENDA Moved by Commissioner Dietz and seconded by Commissioner Caswell to approve the following consent items as outlined in their respective staff reports. Motion Carried 4-0. 5.1 Draft Minutes - January 6, 2025 5.2 Check Register 5.3 Balance Sheet 5.4 Revenue/Expenditure Reports 5.5 2025 Meeting Schedule 6.OPEN FORUM No one appeared for Open Forum. 7.GENERAL BUSINESS 7.1 Housing Rehabilitation Loan Program Update The staff report was presented. Commissioner John Dietz asked if all the interest rates were similar for all three groups. Mr. O'Neil stated that the Minnesota Housing is competitive and the main difference is in the amount of money they are willing to loan, which is larger than ours. He stated they could get back to them with the exact rate, but it is a favorable rate. 7.2 General Updates The staff report was presented. DRAFTPage 4 of 28 Housing and Redevelopment Authority Minutes February 3, 2025 --------- Page 3 of 3 Mr. O'Neil explained they have been discussing the State Affordable Housing Aid funds from 2023 and are trying to work through the best ideas for use of the funds. He explained that Commissioner Beaudry has reached out to the local Faith In Action group to find out what partnership opportunities they have available. Mr. O'Neil stated that more than likely we will talk more about recommendations next month. Commissioner Dietz asked how much money they had received from the state. Mr. O'Neil stated $190,000. Commissioner Dietz asked if that was money they were going to get more of each year. Mr. O'Neil stated yes, about $42,000 per year now, which is a perpetuity amount. Commissioner Dietz asked if there were certain rules it could be spent on. Mr. O'Neil stated yes there can be and explained there has to be an affordability review based on the entity or the person's income. Mr. O'Neil updated the board regarding the downtown plan, stating that they are participating with the Planning Department on the plan. He explained they are within a month or so of being in a good place. They are looking at what the future of downtown will look like and stated that there will most likely be redevelopment opportunities and that the board will take a lot from the plan where the next projects will be. Commissioner Dietz asked if they were going to do a deeper dive into the housing study prepared by Sherburne County. Mr. O'Neil stated yes, March would be a good time to go over the study and they plan on doing a staff summary and possibly invite Sherburne County staff. Mr. O'Neil stated he does not have an update regarding 555 Railroad Drive. Mr. Mollan shared they did a Development Minute video on the Medical on Main project that has been published on the EDA YouTube and Facebook page. Mr. Mollan stated if the entire HRA is in attendance, they will take a group photo at next month's meeting. 8.MOTION TO ADJOURN REGULAR MEETING Moved by Commissioner Dietz and seconded by Commissioner Caswell to adjourn the meeting. Motion Carried 4-0. The meeting adjourned at 5:48 p.m. Minutes prepared by Jolene Richter. 9.WORK SESSION 10.MOTION TO ADJOURN _________________ Denny Chuba, Chair ___________________ Tina Allard, City Clerk DRAFTPage 5 of 28 CITY OF ELK RIVER Unpaid Invoice Report - HRA Page: 1 Posting period: 03/25 Feb 27, 2025 02:00PM Report Criteria: Invoice Detail.GL account = {>=} "910" Invoice Detail.GL account = {<=} "920" Invoice Sequence Description Type Invoice Due Invoice Net Invoice GL Account Number Number Date Date Amount Check Amount Number CITY OF ELK RIVER 910 1-2025 HRA 1 HRA SALARIES - JAN 2025 Invoice 02/25/2025 03/03/2025 9,851.17 9,851.17 910-4-6100-4101 1-2025 HRA 2 HRA SALARIES - JAN 2025 Invoice 02/25/2025 03/03/2025 738.84 738.84 910-4-6100-4104 1-2025 HRA 3 HRA SALARIES - JAN 2025 Invoice 02/25/2025 03/03/2025 610.77 610.77 910-4-6100-4105 1-2025 HRA 4 HRA SALARIES - JAN 2025 Invoice 02/25/2025 03/03/2025 142.84 142.84 910-4-6100-4107 1-2025 HRA 5 HRA SALARIES - JAN 2025 Invoice 02/25/2025 03/03/2025 1,683.60 1,683.60 910-4-6100-4108 Total 17440 CITY OF ELK RIVER: 13,027.22 13,027.22 Total 910: 13,027.22 13,027.22 ELK RIVER ECONOMIC 910 10-22007 1 REIMB EDA - ECKERTS GREENHOU Invoice 02/14/2025 12/31/2024 42.95 42.95 910-4-6100-4219 Total 17500 ELK RIVER ECONOMIC: 42.95 42.95 Total 910: 42.95 42.95 CENTER FOR ENERGY & ENVIRONMENT 910 26038 1 ANNUAL ADMIN FEE - HRA Invoice 02/15/2025 03/17/2025 5,000.00 5,000.00 910-4-6100-4409 Total 13846 CENTER FOR ENERGY & ENVIRONMENT: 5,000.00 5,000.00 Total 910: 5,000.00 5,000.00 Total : 18,070.17 18,070.17 Grand Totals: 18,070.17 18,070.17 Summary by General Ledger Account Number GL Account Number Debit Credit Net 910-4-6100-4101 9,851.17 .00 9,851.17 910-4-6100-4104 738.84 .00 738.84 910-4-6100-4105 610.77 .00 610.77 910-4-6100-4107 142.84 .00 142.84 910-4-6100-4108 1,683.60 .00 1,683.60 910-4-6100-4219 42.95 .00 42.95 910-4-6100-4409 5,000.00 .00 5,000.00 Grand Totals: 18,070.17 .00 18,070.17 Summary by General Ledger Posting Period Page 6 of 28 CITY OF ELK RIVER Unpaid Invoice Report - HRA Page: 2 Posting period: 03/25 Feb 27, 2025 02:00PM GL Posting Period Debit Credit Net 12/24 42.95 .00 42.95 02/25 18,027.22 .00 18,027.22 Grand Totals: 18,070.17 .00 18,070.17 Report Criteria: Invoice Detail.GL account = {>=} "910" Invoice Detail.GL account = {<=} "920" Page 7 of 28 CITY OF ELK RIVER Balance Sheet February 28, 2025 Fund 910 - HRA Assets 910-1000 Cash - HRA 1,423,221.22 910-1010 HRA Fund Cash 10,863.97 910-1190 Loans Receivable 197,154.00 910-1193 Forgivable Loan 75,000.00 910-1194 Allow for Forgivable Loan (75,000.00) 910-1195 Note Receivable 400,000.00 910-1310 Due From Other Funds 152,710.43 Total Assets 2,183,949.62 Fund Equity 910-2400 Fund Balance 2,174,776.05 Revenues over Expenditures - YTD 9,173.57 Total Fund Equity 2,183,949.62 Total Liabilities & Equity 2,183,949.62 Page 8 of 28 CITY OF ELK RIVER Revenues with Comparison to Budget For the Month Ending February 28, 2025 Fund 910 - HRA Period Actual YTD Actual Budget Unearned PCNT 910-3-0000-3111 Property Taxes - 8,757.16 439,950.00 (431,192.84) 2% 910-3-0000-3621 Interest Income - 568.41 5,000.00 (4,431.59) 11% Total Fund Revenue - 9,325.57 444,950.00 (435,624.43) 2% Page 9 of 28 CITY OF ELK RIVER Expenditures with Comparison to Budget For the Month Ending February 28, 2025 Fund 910 - HRA Period Actual YTD Actual Budget Unearned PCNT 910-4-6100-4359 Publishing - 86.00 300.00 (214.00) 29% 910-4-6100-4409 Contractual Services - 66.00 27,000.00 (26,934.00) 0% Total Fund Expenditures - 152.00 27,300.00 (27,148.00) 1% Net Revenue Over Expenditures - 9,173.57 417,650.00 (408,476.43) 2% Page 10 of 28 The Elk River Vision A welcoming community with revolutionary and spirited resourcefulness, exceptional service, and community engagement that encourages and inspires prosperity Request for Action To Housing and Redevelopment Authority Item Number 6.1 Meeting Date March 3, 2025 Prepared By Joshua Mollan, Economic Development Specialist Item Description Housing Rehabilitation Loan Program Update Reviewed by Brent O'Neil Cal Portner Action Requested Receive updates on the Housing Rehabilitation Loan Program. Background/Discussion The HRA's portfolio is performing as expected. $150,000 is available for new loan disbursements in 2025. Financial Impact N/A Mission/Policy/Goal Improve housing stock by offering incentives or programs to repair or maintain residential properties. Attachments 1. CEE Monthly Loan Servicing Report 2. CEE Monthly Loan Activity Summary Page 11 of 28 Page 12 of 28 Page 13 of 28 Page 14 of 28 Page 15 of 28 Page 16 of 28 Page 17 of 28 Page 18 of 28 Page 19 of 28 Page 20 of 28 Page 21 of 28 Page 22 of 28 Page 23 of 28 Page 24 of 28 CEE Monthly Loan Activity Summary 3/3/25 Page 25 of 28 The Elk River Vision A welcoming community with revolutionary and spirited resourcefulness, exceptional service, and community engagement that encourages and inspires prosperity Request for Action To Housing and Redevelopment Authority Item Number 6.2 Meeting Date March 3, 2025 Prepared By Joshua Mollan, Economic Development Specialist Item Description General Updates Reviewed by Brent O'Neil Cal Portner Action Requested This item is presented for information and discussion purposes. Background/Discussion This item is an opportunity to discuss relevant topics and other non-action items of the board. Financial Impact N/A Mission/Policy/Goal The goal of the HRA is to facilitate certain housing and redevelopment activities. Attachments None Page 26 of 28 The Elk River Vision A welcoming community with revolutionary and spirited resourcefulness, exceptional service, and community engagement that encourages and inspires prosperity Request for Action To Housing and Redevelopment Authority Item Number 8.1 Meeting Date March 3, 2025 Prepared By Brent O'Neil, Economic Development Director Item Description Summary of Sherburne County Housing Study Reviewed by Cal Portner Action Requested This item is presented for information and discussion purposes. Background/Discussion Following the presentation to the HRA last fall during the final draft period of the housing study prepared by Maxfield Research and Consulting for Sherburne County, the plan has been finalized and adopted by the county in late 2024. As the plan's scope was county-wide, we are focusing on the elements of the study most relevant to Elk River and will have a presentation on those parts. The findings and recommendations of the plan can help guide the housing-related decisions of the HRA and the city. This work session is an initial step looking deeper into the report and updating strategies around housing in Elk River. Financial Impact N/A Mission/Policy/Goal The HRA supports maintaining and developing adequate housing in Elk River. Attachments None Page 27 of 28 The Elk River Vision A welcoming community with revolutionary and spirited resourcefulness, exceptional service, and community engagement that encourages and inspires prosperity Request for Action To Housing and Redevelopment Authority Item Number 8.2 Meeting Date March 3, 2025 Prepared By Brent O'Neil, Economic Development Director Item Description Discuss Statewide Affordable Housing Aid Program Reviewed by Cal Portner Action Requested This item is presented for information and discussion purposes. Background/Discussion We will provide an update and have further discussions on how to best allocate the city's allotted funds from the Statewide Affordable Housing Aid program. Financial Impact N/A Mission/Policy/Goal The HRA supports maintaining and developing adequate housing in Elk River. Attachments None Page 28 of 28