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89-290 WHITE - UTV CLERK �. PINK - FINANCE GITY OF SAINT PAUL COU�ICll /� � CANARV - OEPARTMENT �7 �`� BI.UE - MAVOR File NO• . Counci esol 'on . ��� . �,, �- Presented By ✓ � ` Referred To i ee: Date Out of Committee By Date WHEftEAS, the overnor established the Commission on Affordable Housing for t e 1990 ' s; and WHEREAS, the bjective of the Commission was to develop a legislative a enda for the 1990 session; and WHEREAS, the ommission considered demographic changes that would take pl ce in Minnesota in the 1990' s and the need for affordable ho sing by Minnesotans with special needs; and WHEREAS, the ommission adopted basic principles such as "all Minnesotans h ve a right to decent, affordable housing" ; and WHEREAS, the ommission maintains that Minnesotans must have equal access o high quality housing; and WHEREAS, the ommission recommendations in the following areas - homeless revention - preservat on of existing subsidized housing - sin�le-fa ily home financing - home impr vement financing - property ax incentives - abandoned housing - rent escr w - housing c urt - stricter enalties for non-compliance with court order. THEREFORE, BE ' IT ftESOLVED, that the City of Saint Paul supports legi lation and directs staff to assist in the passage of th s legislation. COUNCIL MEMBERS Requested by Department of: Yeas Nays Dimond �ng [n Favor ca��� � Rettman s�he;n�i _ Against BY Sonnen Wilson � Adopted hy Council: Date FEB Z � ��� Form Approved by City Attorney �� ,L� i��A�C� Certified Ya Counc.il Se ar BY '��'�'�� 2"-� ��� l By , tlpproved Mav �ED Approve by Ma ubmission to Council , � v � �iki� - 4 i989 � � � � ��-��a _ - � 'I COMMITTEE REPORT - ity Council Legislation Committee Page Two January 23, 1989 ,' ,�,�'���or's Commission on Affordable-Housing ��� � t,,�l C��`�:i1��iG?'GAL Interest Re uction Program COMMITTEE COMMENDED APPROVAL Mortgage Re istry and Deed Tax COMMITTEE COMMENDED APPROVAL Fiscal Disp rities COMMITTEE R�ECOMMENDED APPROVAL Category: Environment and Quality of Life Regional Pa�rk Operation and Maintenance Funding COMMITTEE R�ECOMMENDED APPROVAL I Regional Pa k Capital Improvement Funding COMMITTEE R�ECOMMENDED APPROVAL CSO Funding� COMMITTEE R�ECOMMENDED APPROVAL Solid Waste COMMITTEE RECOMMENDED APPROVAL Water Rates' COMMITTEE RECOMMENDED APPROVAL Category: Tran�sportation i Airport Lan�d-Banking COMMITTEE RJECOMMENDED APPROVAL, AS AMENDED Transportatl'on, Transit and Light Rail Transit Funding COMMITTEE R�COMMENDED APPROVAL, AS AMENDED (4-1 vote) Category: Misclellaneous Saint Paul School Board COMMITTEE COMNIENDED APPROVAL Comparable orth COMMITTEE COMMENDED APPROVAL Fingerprint'ng of Firefighters COMMITTEE COMMENDED APPROVAL THE FOLLOWING MATTE S LISTED FOR CONSIDERATION AT THE MEETING WERE LAID OVER AND WILL BE DISCUSS�D AT THE FEBRUARY 6, 1989, MEETING OF THE COMMITTEE: I i �' ` ��. C'.,I7`Y O F �Aii�TT PAUL tiie�Ils:fl � ; OFFICF OF TJ3E CITY COIINCIL James Scheibel, Chair Committee-of-the-Whole JAMES SCHEIBEL Council President Date: January 23, 1989 COMMITTEE REPORT To: SAINT PAUL CITY COUNCIL From: CITY COUNCIL LEGISLATION COMMITTEE 1. "A" Priority Issue Fire Protection Sprinklers COMMITTEE RECOMMENDED NO ACTION BE TAKEN 2. Support Issues Category: Health and Human Services Community Health Services Funding COMMITTEE RECOMMENDED APPROVAL Community Residential Facilities COMMITTEE RECOMMENDED APPROVAL Child Care COMMITTEE RECOMMENDED APPROVAL Alternate Test Site Funding (AIDS) COMMITTEE RECOMMENDED APPROVAL Minnesota Health Care Access COMMITTEE RECOMMENDED APPROVAL Ma.ternal Child Health Funding COMMITTEE RECOMMENDED APPROVAL Category: Economic Development and Housing Arts High School Funding COMMITTEE RECOMMENDED APPROVAL CITY HALL SEVENTH FLOOR SAINT PAUL, MINNESOTA 55102 612/298-5679 s a�a ae T ' c ItIEF .NG PAnFR: _PECO�iME?�llATIO:�S OF `I'HE GOVF,RtiOFt'_S �i'� -�,,�,` �U - CO^1MISS_ION Oti_ .tirl'ORDi1PLr I�OL'S_ING BACkGI�,OUND In 1988 , th Governor estaUlislied a Commission on Affordable I�ousing for the 1990 ' s . T}�e objective of the Commission saas to develop legislative agenda for the 1990 session which wotild be de �eloped in Lhe context of tlie demograpliic chan�E�s t;hat t.ould al:e place in hfinnesot;a in tlie 1990 ' s , and the need for af forda le ho�ising by l��oi�seholds in Minnesota witli si�ecial problems an lower incomes . The commission adopted basic principles , such as the following , in the conLext of developin� pecific programs : - Al1 Min�esotans have a right to decent, affordable housing , - Al1 Min esotans must have equal access to housing regardl ss of race, creed, color, religious beliefs , disabil ty, family type , or status with regard to public assista ce. - The sta e should first assist L-hose who need the most help. - The sta e must recognize the needs of both renters and homeown rs. - The sta e government must take a more active role in providi g decent and affordable housing in coordination with lo al governments and developers . - Long-te$�m affordability should be an objective of all of the act�.vity. The followi#�g Commission recommendations are those that staff believes ar� most vital to the City of Saint Paul . The recommendat ' ons are focused in the following areas: Rental housing , ho elessness prevention, preservation of existing subsididzed housing, single-family home financing, home improvement financing, property ta� and abandoned housing. Rental Hous ' n for Low Income Families Recomme dation: A state appropriation of $60 million to provide write-down funds and direct rental subsidies for housing for low-income families. The program would be focused upon families with incomes up to 60% of the area median ' ncome and priority would be given to projects that served amilies with the lowest incomes. Rental Hous ' n for Low Income Individuals and the Chronicall I11 Recomme�dation: A state appropriaL- ion of $6 . 0 million is r � ��:;�C' '� � �eq��est-�d to �>>:�o�-ide �,-r•it�e-doc.n furi�is and direct rent,a.l subsidi s for. liousin�.; for low-income indi�•iduals . S2 . 0 mi]_lionl of the appropriatioii or ap��i•u�irnate]yo une-tliird of the uni�t.s , woul.d Ue set aside l�ousing for i;he mentally il_l . H using for the mentall�� ill would k�e coordin3ted wit;h >>r�viding social services to tenants . Reni:�il_ Sul�s � �i�` Linl:ed t.o Lhe PATHS Pro�r.am Recornme dation: The PATHS Program is a st�.te inii.iative wl►icli e courages �rnc recipient:s tio obtain educati.on and trainin in order to avoid long-term dependence on public assista ce. Tlie rental subsidy program would provide a rental �ubsid�r on a monthlv basis to eligible recipients. A sL-ai:e appropriation of $9 . 0 million for the initial start-u , which is two vears, is requested. Ca acit Bu ldin for I�1on-Profit Or anizations and Local Governments Recomme dation: $1 . 0 million is requested to provide funds f r staff support , training and predevelopment costs for non profit and local government development entitie's. The fun ing would be for both a revolving loan fund and expansi n of the community development corporation. Homeless Pr vention Transit onal and Permanent Housin Recomme dation: $1 . 0 million is requested to appropriate funds t the Minnesota Housing Finance Agency for the creatio of additional transitional and low-income housing units. The proposed program would work with three , existin� programs, which would be combined into a ' newly-c nsolidated program that has the flexibility to better se the housing stock of a given area of the state. hiort a and Rental Assistance Demonstration Pro ram Recomme dation: The Commission recommends $800,000 for the cre tion of a demonstration program for individuals ineligi le for emergency assistance or general assista ce. These are individuals who have lost their housinglor are in danger of losing their housing, as a result c�f a short-term disruption or decrease in their income. I The income of such individuals must not exceed 80% of tlhe area median income during the previous two years . IThe program �aould assist with payments for the securit deposit , monthly rent, or both. Preservatio of Existin� Subsidized Housin� Funds for the Preservation of Ehistin Subsidized Housin Recomme dation: $15 million is recommended in order to provide a pool of funds to preserve and maintain the stock of existing privately-owned and publicly-owned subsidized housing. The funds could be used for a variety of I I , � �'y�-�,? �v ��a;e 3 � j�urposel iricludin� : Secondar� mort��age firiarici.u<„ wiiic]i would a�low private owners of sutisidized housin� to tal:e some ofl the equitv out of ttie project if tlie�' a;ree Y,o mainLai� federal subsidie.s for the remainder of t,he cont,rac ; low interesL loans for acqusition of properi;ies ; propert tax relief , wliich jaould be targeted to developients where an owner agrees to maintain long-term afforda ilit�- of t17e units ; public housing modernization; and eqta tv loar►s , would provide secondar,y financin� t,o a non-pro it or for-profit ent:it}� based upon the appreciated �.�alue o the propertp and its ability to amortize the second oan. Home Im �rovlment Financin Low Int rest Rehabilitation Loan Pro ram Recomme dation: $2 .0 million is targeted to provide affordal�le financing to low and moderate income persons and fam�.lies with an adjusted family income not etceeding $12 ,000 who do not qualify for financing under the Minneso a Housing Finance Agency' s home improvement loan program because they are considered a high risk, or und�r the Min�esota Housing Finance Agency rehabilitation loan programibecause their incomes are too high. Nei�hborhood Preservation Loan Pro�ram Recomme dation: A state appropriation of �2 . 0 million for an insu ance reserve and interest write-down on loans is recomme ded. This program would provide property improve ent financing as an incentive for neighborhood preserv tion activities. Eligible neighborhoods would be designat�ed by cities. ! Pro ertv Ta Lower T x Rates for Rent Re ulated Pro erties Recomme dation: The proPerty tax law should be amended in order t provide Title II classification preferential tax treatme t to any development where there are restrictions enforce by public agencies to insure the affordability of rents. Such projects which are financed by local govermm �ts as well as federal tax credit projects would be incl ded under this classification. The 1988 property tax law did provide some assistance for these types of propertiles, but was limited in scope. Lower Properllty Tax Rate for Residential Non-Homestead Properties I _ Recommenkiation: Property tax capacity rate, or assessment rate , shlould be reduced for residential non-homestead dwellings. The current tar. system discriminates between non-homellstead and homestead tax rates , and acts as a disincenitive for maintaining rental dwellings with three or fewer units . I v , ��a;_;,� .� ,:���I,i_ll<j011i'cj_ I��Utiltly St,t_en��t }�eni_r�_� tFic__Itecei��ers_iii��_ Statul,� Iiecommq�ndation: Piinnesota StaLutes �G6 . �'9 would be amende� in order to: - Ad non-Profit organiz�itions , rieighborhood ;roups , fiiancial institutions , and local authoriti�s of a mu�i.cipal_i.t,y to be e]_i.�ible to be receivers . - Redeivers should be empowered l�y couri; action to relabilit:ate the property to make it safe and ►�ak�iLable . - R.e��olving loan fund of �250 , 000 would be established fo� use in receivership projects . - Re eivers ' expenses should be the first lien on the pr�perty after taxes and assessments. - Th receivers will not be held personally liable unless misfeasence, malfeasence , or non-feasence or of ice is involved. � Shorte in the Notice and Redem tion Period for Vacant Sin le-Famil Mort a e Foreclosed Pro erties Recomm ndation: The notice and redemption period for vacant single-family and mortgage foreclosed properties would e accelerated. The public notice requirement will be cha ged from eight weeks to four weeks, and the redemption period changed from six months to one month. This chjange would minize the vandalism to the property and put itlon the market before the structure would require substa tial rehabilitation to make it habitable and would no lon.�ger be a viable mortgagable property. Jud�men�t A�ainst Owner for Hazardous Buildin� Recommendation: Amend Minnesota Statute 453 . 21 to make the cost of removing a hazardous condition of a building a judgme t against the owner of a property and not a lien against the property. Under the hazardous building statute, may demolish a hazardous building and assess the cost aga.inst the property. Cities rarely recover the costs because the owners walk away from the properties . STATUS Bill introd ction is pending . CITY OF SAI T PAUL POSITION The City of Saint Paul supports legislation which addresses the issues roposed b�� the Commission on Affordable Housing for the 199 ' s. r = � ' �9-� �'� WHEREAS , th� Governor established the Commission on Affordable Housing for the 1990 ' s; and WHEREAS , th objective of the Commission was to develop a legislative agenda for the 1990 session; and WHEREAS, th Commission considered demographic changes that would take lace in Minnesota in the 1990' s and the need for affordable ousing by Minnesotans with special needs; and WHEREAS, th Commission adopted basic principles such as "all Minnesotans have a right to decent, affordable housing" ; and WHEREAS , th Commission maintains that Minnesotans must have equal acces to high quality housing; and WHEREAS, th Commission recommendations in the following areas - homeles prevention - preserv tion of existing subsidized housing - single- amily home financing - home im rovement financing - propert tax incentive - abandon d housing. THEREFORE, E IT RESOLVED, that the City of Saint Paul supports le islation and directs staff to assist in the passage of his legislation. WMITE - CITV CIERK Plf�(A( - FINANCE � COIlI�C1I �j.�//+ CANAAV -t,9EPAf7TMENT �� G I TY OF SA I NT PAU L 1 X /���/ BLUE - MAVOR '� Flle NO. (' ' �, , Cou 'l e tio q Presented By � Referred To Committee: Date Out of Committee By Date WHEftEAS, poli y changes and resource reallocation are essential to hanging the way all Minnesotans fundamentally think about t eir waste; and WHEREAS, chan e will come through leadership, education, and thoughtful st te and local funding; and WHEREAS, new olicies and priorities can and will affect change in beh vior from disposal to recycling, reduction and reuse; and I, WHEREAS, ther is a need for the state and local governments to provide le dership in educating citizens on the true costs of their disp sal practices and in setting an example through recycling, waste reduction and procurement; THEREFORE, BE IT RESOLVED, that the City of Saint Paul supports legislation which facilitates the following: 1 . Increased funding for solid waste control efforts for local gov rnments. 2 . Beasonabl and achievable goals, standards and timelines for recycling and abatement. I, COUNCIL MEMBERS Requested by Department of: Yeas Nays Dimond Lo� [n Favor coswitz Rettman sche;n�i _ Against By Sonnen Wilson Form Approved by City Attorney Adopted by Council: Date ,��� � Ceriified Passed by Council Secr tary By '��"Q �� ��v�f'"���- Z=� "-�9' By t#pproved by Mavor: Date �_ Approved by Ma or ubmission to Council , By �. � ..