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89-662 �� WMITE - CITY CLERK PINK - FINANCE GITY OF S INT PAUL Councit �f CANARV - DEPARTMENT �.J BLUE - MAVOR File NO. o �- � � � Counci esolu ion �j'� � Presented By . ' Referred To,�� '� �� --�� Committee: Date �-i/��;"' Out of Committee By Date BE IT RESOLVED that the Cit o St. Paul hereby establishes the following policy statement pertaining to ep acement housing: I. Intent. The City of Saint Paul finls hat it is in the public interest to promote the production and pr servation of an adequate supply of decent, sanitary, safe and af ordable rental housing for low-income residents. The City desir s o effect a policy whereby the potential loss of such rental housin d e to a City assisted development project will be reviewed in relati n o the overall supply of affordable rental housing in the City, a d, where appropriate, based upon the determination of the City ou cil of the City of St. Paul, or the Board of Commissioners of th Housing and Redevelopment Authority of the City of Saint Paul, M' n sota, a p�an will be developed to replace lost rental housing with ou ing that meets the current needs of the City's low income residen s. II. Definitions. 1) Affordable Rental Hous n Residential rental housing units which: (a) have not b en vacant for more than two years: (b) are a legal zoning use; a d c) have gross rents now or at any time in the previous twelv m nths which are not more than 30 percer.t of 60 percent of the et opolitan statistical area median as such income may be re or ed by the U.S. Department of Housing and Urban Development (" SA Median Income") , adjusted for family size. (Please see Ex'bi A for 1989 rent thresholds.) 2) Aftordable Rents. Gr' ss rents which are not more than 30 percent of 60 percent of the MSA Median Income. COUNCIL MEMBERS Requested by Department of: Yeas Nays Dimond Long n Fav r Goswitz r Rettman B scne�ne� _ A ga i n s Y Sonnen �/ Wilson Form Approved by City Attorne Adopted by Council: Date Certified Passed by Council Secretary By � � sy t�pproved by iNavor: Date _ Approved y Mayor for Submission to Council By - - By � � @F��i-�� Z. 3) A enc . Any departme t division of the City of Saint Paul, the Port Authority of the City of Saint Paul, or the Housing and Redevelopment Authorit . 4) City Assisted Project. A housing, commercial, office, or industrial real estate de elopment project in which the City or the Saint Paul Port Au ho ity provides financial assistance or aid in securing public fi ancial assistance including any federal grant administ re by the City, or any agency or body under its control, rev nu bond financing, tax increment financ- ing, tax levies, funds or revenues controlled by the Saint Paul Port Authority or the it , or the issuance of any debt obligation or security by any age cy or body controlled by the City, except, however, projects whic e ther: (a) have a value of less than $1,000,000, or (b) res lt in a loss of fewer than five Affordable Rental Housing units s al not be considered "City Assisted Projects" for the purposes of th s olicy Statement. III. Development of an Affordab e ental Housing Analysis. Prior to action by the Cou ci of the City of Saint Paul (the "City Council") or the Hou ing and Redevelopment Authority of the City of Saint Paul, Mi es ta (the "HRA") to approve finan- cial assistance to a City si ted Project, which includes either the demolition or the conve si n of Affordable Rental Housing, there shall be prepared by he agency proposing the Project, an Affordable Rental Housing A al sis (the "Analysis") . The Analysis shall include: 1) A description of the n mb r of total ental units, including Affordable Rental Hous ng units, to be demolished or converted to a differe t se including rhe following information: a) number of bedroo s b) current contract re t �'`'"� c) unit size (squar f et) 2) A statement of current va ancy r� and market rents for rental units of simila s'ze in f e City of Saint Paul. 3) A statement of the num er f Affordable Rental Housing units produced in the City o S 'nt Paul from January l, 1988, through the date of the A lysis. 4) A statement of the numb r f Affordable Rental Housing units lost in the City of Sai t aul as a result of City Assisted Projects from January 1, 1 88 through the date of the Analysis. 5) A statement of the net ai or loss of Affordable Rental Housing units, based up n tems Number 3 and 4 above. 6) A statement regarding w et er the proposed City Assisted Project is consistent w th the Saint Paul Comprehensive Plan. �� -i�-��' . . ��-�� 2. 3) Agency. Any departme ' o division of the City of Saint Paul, the Port Authority of he City of Saint Paul, or the Housing and Redevelopment Authorit . 4) City Assisted Project. housing, commercial, office, or industrial real estate de elopment project in which the City or the Saint Paul Port Au ho ity provides financial assistance or aid in securing public fi ancial assistance including any federal grant administ re by the City, or any agency or body under its control, rev nu bond financing, tax increment financ- ing, tax levies, funds or revenues controlled by the Saint Paul Port Authority or the it , or the issuance of any debt obligation or security by any age cy or body controlled by the City, except, however, projects whic e'ther: (a) have a value of less than $1,000,000, or (b) res lt in a loss of fewer than five Affordable Rental Housing units s al not be considered "City Assisted Projects" for the purposes of th's olicy Statement. III. Development of an Affordab e ental Housing Analysis. Prior to action by the Cou ci of the City of Saint Paul (the "City Council") or the Hou in and Redevelopment Authority of the City of Saint Paul, Mi ne ota (the "HRA") to approve finan- cial assistance to a City ss sted Project, which inc.ludes either the demolition or the conv rs on of Affordable Rental Housing, there shall be prepared by th agency proposing the Project, an Affordable Rental Housing na ysis (the "Analysis") . The Analysis shall include: 1) A description of the um er of total ental units, including Affordable Rental Hou in units, to be demolished or converted to a differ nt use including the following information: a) number of bedro ms b) current contrac r nt c) unit size (squa', e eet) 2) A statement of curren v cancy rates and market rents for rental units of simil r ize in the City of Saint Paul. 3) A statement of the nu be of Affordable Rental Housing units produced in the City f aint Paul from January l, 1988, through the date of t e nalysis. 4) A statement of the nu be of Affordable Rental Housing units lost in the City of S in Paul as a result of City Assisted Projects from January 1, 1988 through the date of the Analysis. 5) A statement of the ne g in or loss of Affordable Rental Housing units, based po items Number 3 and 4 above. 6) A statement regarding wh ther the proposed City Assisted Project is consistent wi h the Saint Paul Comprehensive Plan. ��,/;C�Gp/�--�,GV`_�J �--��9 . . ��-�� 2. 3) A enc . Any departme t r division of the City of Saint Paul, the Port Authority of th City of Saint Paul, or the Housing and Redevelopment Authori y. 4) City Assisted Project. housing, commercial, office, or industrial real estat d elopment project in which the City or the Saint Paul Port A th rity provides financial assistance or aid in securing publi f'nancial assistance including any federal grant adminis er d by the City, or any agency or body under its control, re en e bond financing, tax increment financ- ing, tax levies, fund o revenues controlled by the Saint Paul Port Authority or the Ci y, or the issuance of any debt obligation or security by any ag nc or body controlled by the City, except, however, projects whi h ither: (a) have a value of less than $1,000,000, or (b) re ul in a loss of fewer than five Affordable Rental Housing units ha 1 not be considered "City Assisted Projects" for the purposes of t is Policy Statement. III. Development of an Afforda le Rental Housing Analysis. Prior to action by the Co nc 1 of the City of Saint Paul (the "City Council") or the Ho si g and Redevelopment Authority of the City of Saint Paul, M nn sota (the "HRA") to approve finan- cial assistance to a City As isted Project, which includes either the demolition or the con er ion of Affordable Rental Housing, there shall be prepared b t e agency proposing the Project, an Affordable Rental Housing An lysis (the "Analysis") . The Analysis shall include: 1) A description of the 'nu ber of total ental units, including Affordable Rental Ho si g units, to be demolished or converted to a diffe en use including the following information: a) number of bedr om b) current contra t ent c) unit size (squ�re feet) 2) A statement of curre t acancy rates and market rents for rental units of simi ar size in the City of Saint Paul. 3) A statement of the n mb r of Affordable Rental Housing units produced in the City of Saint Paul from January l, 1988, through the date of he Analysis. 4) A statement of the n mb r of Affordable Rental Housing units lost in the City of ai t Paul as a result of City Assisted Projects from Januar 1 1988 through the date of the Analysis. 5) A statement of the n t ain or loss of Affordable Rental Housing units, based up n items Number 3 and 4 above. 6) A statement regardin w ether the proposed City Assisted Project is consisten w'th the Saint Paul Comprehensive Plan. ��_�/�"-'Y`'-�Y/,�tP--G�f��i ��/��/ . �� z. 3) Agency. Any department� or division of the City of Saint Paul, the Port Authority of e ity of Saint Paul, or the Housing and Redevelopment Authorit . 4) City Assisted Project. A ousing, �ommercial, office, or industrial real estate e lopment project in which the City or the Saint Paul Port Au , o 'ty provides financial assistance or aid in securing public fi ncial assistance including any federal grant administ re by the City, or any agency or body under its control, rev nu bond financing, tax increment financ- ing, tax levies, funds ,or evenues controlled by the Saint Paul Port Authority or the it , or the issuance of any debt obligation or security by any age cy or body controlled by the City, except, however, projects whic e'ther: (a) have a value of less than $1,000,000, or (b) res lt in a loss of fewer than five Affordable Rental Housing units s al not be considered "City Assisted Projects" for the purposes of th's olicy Statement. III. Development of an Affordab e ental Housing Analysis. Prior to action by the Cou ci of the City of Saint Paul (the "City Council") or the Hou in and Redevelopment Authority of the City of Saint Paul, Mi ne ota (the "HRA") to approve finan- cial assistance to a City ss sted Project, which includes either the demolition or the conv rs on of Affordable Rental Housing, there shall be prepared by th agency proposing the Project, an Affordable Rental Housing na ysis (the "Analysis") . The Analysis shall include: 1) A description of the um er of total ental units, including Affordable Rental Hou in units, to be demolished or converted to a differ nt use including the following information: a) number of bedro ms b) current contrac r nt c) unit size (squa e eet) 2) A statement of curren v cancy rates and market rents for rental units of simil r ize in the City of Saint Paul. 3) A statement of the nu be of Affordable Rental Housing units produced in the City f aint Paul from January 1, 1988, through the date of t e nalysis. 4) A statement of the nu be of Affordable Rental Housing units lost in the City of S in Paul as a result of City Assisted Projects from January 1, 1988 through the date of the Analysis. 5) A statement of the ne g in or loss of Affordable Rental Housing units, based po items Number 3 and 4 above. 6) A statement regarding �wh ther the proposed City Assisted Project is consistent wi h the Saint Paul Comprehensive Plan. �.�Y iC�/�2�'��G`-J� .�-/�-�''`l . ��'y�-��' 3. The Analysis shall be rev'ew d by the Executive Director of the HRA (the "Executive Direc or' ) in order to ensure that the items set forth are addressed. Th Executive Director's review shall also include, but not be im'ted to: (a) a summary of the recent progress made by the City in eeting its current goals for the production and preservati n f Affordable Rental Housing as such goals are set forth withi t e annual housing production plan filed with the HRA by the Ex cutive Director by, or no later than, January 31 of each year, nd such other policies as may from time to time be adopted b t e City or HRA; and (b) an assessment of current market conditi ns as they may relate to the cost of developing additional Aff rd ble Rental Housing. The Executive Director sh 11 then make a recommendation to the City Council or the HRA, s ppropriate, regarding how the potential loss of Afforda le Rental Housing due to the City Assisted Project relates o he overall supply of and demand for Affordable Rental Housing in the City. If it is determined that the Affordable Rental Hou in to be lost should be replaced, the Executive Director shall o tate and shall further identify the type of Affordable Rental Ho sing which should be developed (size of unit, number of units, ta get market, time period for develop- ment, which in no event s al be longer than three years after the commencement of demol ti n or conversion of the Affordable Rental Housing units to b 1 st due to the City Assisted Project) . The Executive Director sh 11 make a recommendation to replace units to be lost due to a Ci y Assisted Project when any of the following circumstances a e resent: 1) If the Affordable Ren al Housing Analysis shows that there has been a net loss o A fordable Rental Housing units; or 2) If (a) the type of Af or able Rental Housing units related to the proposed City ss sted Project are currently the type of units which the Ci y as determined, through its housing production and preser at on goals, to be needed in the City; and (b) the number of 'un ts to be lost due to the proposed City Assisted Project eq als or exceeds twenty units; or 3) If Affordable Rental ou ing is lost due to an activity which is directly funded fr m: (a) the Community Development Block Grant Entitlement Pro ra ; or (b) the Section 108 Loan Guarantee Program; or (c the Urban Development Action Grant Program, on or after ep ember 30, 1988. In recommending a plan to re lace Affordable Rental Housing units to be lost due to a Ci y Assisted Project, the Executive Director shall ensure tha t e replacement housing will be: 1) located within the Ci y f Saint Paul or East Metro Region in a manner consisten w th the City's adopted Housing Assistance Plan and n ig borhood redevelopment plans. 2) sufficient in number nd size (number of bedrooms) to house at least the same num er of occupants as could have been, ��'-�i�t�'��-u/�� /�� ; � ��-��z.. 3. The Analysis shall be r vi wed by the Executive Director of the HRA (the "Executive Dir ct r") in order to ensure that the items set forth are addressed he Executive Director's review shall also include, but not b 1 mited to: (a) a summary of the recent progress made by the Ci y n meeting its current goals for the production and preserva io of Affordable Rental Housing as such goals are set forth wit in the annual housing production plan filed with the HRA by t e xecutive Director by, or no later than, January 31 of each year a d such other policies as may from time to time be adopted 'by the City or HRA; and (b) an assessment of current market condi io s as they may relate to the cost of developing additional A fo dable Rental Housing. The Executive Director ha 1 then make a recommendation to the City Council or the HRA a appropriate, regarding how the potential loss of Affor ab e Rental Housing due to the City Assisted Project relate t the overall supply of and demand for Affordable Rental Housi, g n the City. If it is determined that the Affordable Rental H us ng to be lost should be replaced, the Executive Director shal s state and shall further identify the type of Affordable Rent 1 ousing which should be developed (size of unit, number of unit' , arget market, time period for develop- ment, which in no event sh 11 be longer than three years after the commencement of dem li ion or conversion of the Affordable Rental Housing units to be lost due to the City Assisted Project) . The Executive Director ha 1 make a recommendation to replace units to be lost due to a ity Assisted Project when any of the following circumstances ar present: 1) If the Affordable ' nt 1 Housing Analysis shows that there has been a net loss of Affordable Rental Housing units; or 2) If (a) the type of ff rdable Rental Housing units related to the proposed Cit sisted Project are currently the type of units which the it has determined, through its housing production and pre rv tion goals, to be needed in the City; , and (b) the number f nits to be lost due to the proposed City Assisted Proj � t quals or exceeds twenty units; or 3) If Affordable Rent 1 using is lost due to an activity which is directly funded fr : (a) the Community Development Block Grant Entitlement ro am; or (b) the Section 108 Loan Guarantee Program; or (c) the Urban Development Action Grant Program, on or aft r eptember 30, 1988. In recommending a plan �to replace Affordable Rental Housing units to be lost due t a City Assisted Project, the Executive Director shall ensure ha the replacement housing will be: 1) located within the 'Ci y of Saint Paul or East Metro Region in a manner consis en with the City's adopted Housing Assistance Plan an n ighborhood redevelopment plans. 2) sufficient in numb r nd size (number of bedrooms) to house ,'/ at least the same um er of occupants as could have been, Gf/�CT�/'��% �T_/�-�9 : ' �� 3, The Analysis shall be revi we by the Executive Director of the HRA (the "Executive Direct r" in order to ensure that the items set forth are addressed. he Executive Director's review shall also include, but not be 1 mi ed to: (a) a summary of the recent progress made by the City n eeting its current goals for the production and preservatio o Affordable Rental Aousing as such goals are set forth within th annual housing production plan filed with the HRA by the xe utive Director by, or no later than, January 31 of each year, a d uch other policies as may from time to time be adopted by th City or HRA; and (b) an assessment of current market conditio s s they may relate to the cost of developing additional Affo da le Rental Housing. The Executive Director sha 1 hen make a recommendation to the City Council or the HRA, a a propriate, regarding how the potential loss of Affordab e ental Housing due to the City Assisted Project relates t t e overall supply of and demand for Affordable Rental Housing n he City. If it is determined that the Affordable Rental Hous ng to be lost should be replaced, the Executive Director shall s s ate and shall further identify the type of Affordable Rental ou ing which should be developed (size � of unit, number of units, ar et market, time period for develop- ment, which in no event sh ll be longer than three years after the commencement of demoli io or conversion of the Affordable Rental Housing units to be lo t due to the City Assisted Project) . The Executive Director sha 1 ake a recommendation to replace units to be lost due to a it Assisted Project when any of the following circumstances ar p esent: 1) If the Affordable Rent l ousing Analysis shows that there has been a net loss of Af ordable Rental Housing units; or 2) If (a) the type of Aff rd ble Rental Housing units related to the proposed City A si ted Project are currently the type of units which the Cit h s determined, through its housing production and preserv ti n goals, to be needed in the City; , and (b) the number of ni s to be lost due to the proposed City Assisted Project qu ls or exceeds twenty units; or 3) If Affordable Rental H us ng is lost due to an activity which is directly funded fro : a) the Community Development Block Grant Entitlement Prog am or (b) the Section 108 Loan Guarantee Program; or c) the Urban Development Action Grant Program, on or after S pt mber 30, 1988. In recommending a plan to ep ace Affordable Rental Aousing units to be lost due to a it Assisted Project, the Executive Director shall ensure that th replacement housing will be: 1) located within the Cit o Saint Paul or East Metro Region in a manner consistent wi h the City's adopted Housing Assistance Plan and ne gh orhood redevelopment plans. 2) sufficient in number a d ize (number of bedrooms) to house o�L��u�x� at least the same numb r f occupants as could have been, y� ,j"/�l �� . . �-O 7�,(�°�- 3. The Analysis shall be re 'e d by the Executive Director of the HRA (the "Executive Direc or ') in order to ensure that the items set forth are addressed. Th Executive Director's review shall also include, but not be im'ted to: (a) a summary of the recent progress made by the City in meeting its current goals for the production and preservati n f Affordable Rental Housing as such goals are set forth withi t e annual housing production plan filed with the HRA by the Ex cutive Director by, or no later than, January 31 of each year, nd such other policies as may from time to time be adopted b t e City or HRA; and (b) an assessment of current market conditi ns as they may relate to the cost of developing additional Aff rd ble Rental Housing. The Executive Director sh 11 then make a recommendation to the City Council or the HRA, s ppropriate, regarding how the potential loss of Afforda le Rental Housing due to the City Assisted Project relates o he overall supply of and demand for Affordable Rental Housing in the City. If it is determined that the Affordable Rental Hou in to be lost should be replaced, the Executive Director shall o tate and shall further identify the type of Affordable Rental Ho sing which should be developed (size of unit, number of units, ta get market, time period for develop- ment, which in no event s al be longer than three years after the commencement of demol ti n or conversion of the Affordable Rental Housing units to b 1 st due to the City Assisted Project) . The Executive Director sh 11 make a recommendation to replace units to be lost due to a Ci y Assisted Project when any of the following circumstances a e resent: 1) If the Affordable Ren al ousing Analysis shows that there has been a net loss o A fordable Rental Housing units; or 2) If (a) the type of Af r ble Rental Housing units related to the proposed City s' ted Project are currently the type of units which the Cit s determined, through its housing production and preser ti n goals, to be needed in the City; , and (b) the number of ni s to be lost due to the proposed City Assisted Project qu ls or exceeds twenty units; or 3) If Affordable Rental H us'ng is lost due to an activity which is directly funded fro : a) the Community Development Block Grant Entitlement Prog am or (b) the Section 108 Loan Guarantee Program; or c) the Urban Development Action Grant Program, on or after S pt mber 30, 1988. In recommending a plan to ep ace Affordable Rental Housing units to be lost due to a it Assisted Project, the Executive Director shall ensure that th replacement housing will be: 1) located within the Cit o Saint Paul or East Metro Region in a manner consistent wi h the City's adopted Housing Assistance Plan and ne gh orhood redevelopment plans. . 2) sufficient in number a d ize (number of bedrooms) to house ��,t��u��J at least the same numb r f occupants as could have been, �/"_-/��/� � � l��'-�� 4. under local codes, h us d in Affordable Rental Housing units which will be lost; 3) provided in standard co dition, including compliance with all applicable housi g nd building codes; 4) affordable rental ho si g units for at least ten (10) years from the date of ini ia occupancy; 5) either newly constru te or rehabilitated. The Executive Director s al further set forth estimates of the total cost to develop th r placement housing which is being recommended and any subs'dy cost. Subsidy cost is defined as total development cost 'nu costs which can be financed by an amortizing loan and/or e st which can be paid by private equity dollars. IV. Approval of Replacement H s' Plan The City Council or the H oard of Commissioners, as appropriate, shall have the final resp ns' ility for approving, amending, or rejecting the Executive D're tor's recommendations. If the City Council or th H Board of Commissioners determines that the Affordable Renta H using units to be lost should be replaced, adequate funds o ay for the total development cost, including any subsidy cos o the replacement units, shall be identified and approved b t e Agency proposing the City Assisted Project prior to City Cou ci or HRA Board of Commissioner's action approving the project. V. Implementation of Re lace en Housing Plan Upon approval of both a p an and financing for replacement housing units, the Executive Dire to shall oversee and monitor the implementa- tion of the plan. This policy shall take ef ec upon its approval by the City Council. Projects or developments hi h have received approval by the City Council, the HRA Board of Co missioners, or an Agency, shall not be subject to the provisions of this Policy Statement. ��=�.-�.��-� �"-i�-�� . .. ��--G�� 4. under local codes, ou ed in Affordable Rental Housing units which will be lost; ' 3) provided in standar c ndition, including compliance with all applicable hous ng and building codes; 4) affordable rental h us' g units for at least ten (10) years from the date of in'ti occupancy; 5) either newly constru te or rehabilitated. The Executive Director s al further set forth estimates of the total cost to develop th r placement housing which is being recommended and any subs dy cost. Subsidy cost is defined as total development cost m nu costs which can be financed by an amortizing loan and/or e st which can be paid by private equity dollars. IV. Approval of Replacement Ho si Plan The City Council or the H B ard of Commissioners, as appropriate, shall have the final respo 'si ility for approving, amending, or rejecting the Executive Di ect r's recommendations. If the City Council or the Board of Commissioners determines that the Affordable Rental ou ing units to be lost should be replaced, adequate funds to pa for the total development cost, including any subsidy cost f he replacement units, shall be identified and approved by he Agency proposing the City Assisted - Project prior to City Counc 1 r HRA Board of Commissioner's action approving the project. V. Implementation of Re laceme t ousin Plan Upon approval of both a pla a d financing for replacement housing units, the Executive Direct r hall oversee and monitor the implementa- tion of the plan. This policy shall take effe 't on its approval by the City Council. Projects or developments wh" h ave received approval by the City Council, the HRA Board of Co mi sioners, or an Agency, shall not be subject to the provisions of th's Policy Statement. ��lc�-�� -��% . .. ��Ga" 4. under local codes, h us d in Affordable Rental Housing units which will be lost; 3) provided in standard co dition, including compliance with all applicable housi g nd building codes; 4) affordable rental ho si g units for at least ten (10) years from the date of ini ia occupancy; 5) either newly constru te or rehabilitated. The Executive Director s al further set forth estimates of the total cost to develop th r placement housing which is being recommended and any subs dy cost. Subsidy cost is defined as total development cost m nu costs which can be financed by an amortizing loan and/or e st which can be paid by private equity dollars. IV. Approval of Replacement Ho si Plan The City Council or the H B ard of Commissioners, as appropriate, shall have the final respo si ility for approving, amending, or rejecting the Executive Di ec or's recommendations. If the City Council or the H Board of Commissioners determines that the Affordable Rental Ho sing units to be lost should be replaced, adequate funds t p y for the total development cost, including any subsidy cost of the replacement units, shall be identified and approved by' th Agency proposing the City Assisted - Project prior to City Coun' il or HRA Board of Commissioner's action approving the project. V. Implementation of Re lacem nt Housing Plan Upon approval of both a pl n nd financing for replacement housing units, the Executive Direc or shall oversee and monitor the implementa- tion of the plan. This policy shall take eff ct upon its approval by the City Council. Projects or developments w ic have received approval by the City Council, the HRA Board of om issioners, or an Agency, shall not be subject to the provisions f his Policy Statement. ��,�'jL�2�/%.c�'•<,U`X� .�=ik-d�'% �. � ��y'-G��- 4. under local codes, hous d 'n Affordable Rental Housing units which will be lost; 3) provided in standard c d' ion, including compliance with all applicable housing �an building codes; 4) affordable rental hous' g nits for at least ten (10) years from the date of initi 1 ccupancy; 5) either newly construct 'd r rehabilitated. The Executive Director sha 1 urther set forth estimates of the total cost to develop the ep acement housing which is being recommended and any subsid c st. Subsidy cost is defined as total development cost min s osts which can be financed by an amortizing loan and/or cos s hich can be paid by private equity dollars. IV. Approval of Replacement Hous n Plan The City Council or the HRA oa d of Commissioners, as appropriate, shall have the final respons bi ity for approving, amending, or rejecting the Executive Dire to 's recommendations. If the City Council or the H oard of Commissioners determines that the Affordable Rental H us ng units to be lost should be replaced, adequate funds to ay for the total development cost, including any subsidy cost o t e replacement units, shall be identified and approved by t e gency proposing the City Assisted - Project prior to City Counci o HRA Board of Commissioner's action approving the project. V. Implementation of Re lacemen H usin Plan Upon approval of both a plan an financing for replacement housing units, the Executive Directo s all oversee and monitor the implementa- tion of the plan. This policy shall take effec u on its approval by the City Council. Projects or developments whi h ave received approval by the City Council, the HRA Board of Co mi sioners, or an Agency, shall not be subject to the provisions of th's Policy Statement. ��G . .J �-�� wHiTE — c�rr CLERK COUIIC11 (//'� / /� PINK — FINANCE G I TY O A I NT PA U L XR (/�/� CANARV - DEPARTMENT File NO• " • �*' I ' - BIUE - MAVOR Counc l esolution Presented By Referred To Committee: Date Out of Committee By Date 5 . City of St. Paul Re la ement Housing Policy Statement COUNCIL MEMBERS� �.��A�,�if�l�L Requested by Department of: Yeas Nay��'0' �,�/�9 Dimond Long In F vor Goswitz ' Rettman B �6Q1�i Agai st Y Sonnen Wilson Form Approved b 'ty Attorne Adopted by Council: Date Certified Passed by Counc.il Secretary By ! � By Approved by Mavor: Date Approved by Mayor for Submission to Council By By .� .. WMITE — C�TV �LEqK PINK — FINANCE + COLLI�C11 �— ` r"_� CANqRV — OE�ARTMENT G I TY OF A NT �L1 U L File NO. � `�?(•o BLUE — MAVOR Council solution Presented By Referred To Committee: � Date Out of Committee By Date BE IT RESOLVED that the City f t. Paul hereby establishes the following policy statement pertaining to re la ement housing: I. Intent. The City of Saint Paul finds th t it is in the public interest to promote the production and p es rvation of an adequate supply of ' decent, sanitary, safe and a fo dable rental housing for low-income residents. The City desires to effect a policy whereby the potential loss of such rental housing u to a City assisted development project _ will be reviewed in relatio t the overall supply of affordable rental housing in the City; an , where appropriate, based upon the determination of the City C un il of the City of St. Paul, or the Board of Commissioners of t e ousing and Redevelopment Authority of . the City of Saint Paul, Min es ta, a pl,an will be developed to replace lost rental housing with ho si g that meets the current needs of the City's low income residents II. Definitions. 1) Affordable Rental Housin . Residential rental housing units which: (a) have not bee v cant for more than two years: (b) are � a legal zoning use; and (c have gross rents now or at any time in the previous twelve on hs which are not more than 30 percer.t of 60 percent of the me ro olitan statisticaZ area median as . such income may be repo te by the U.S. Department of Housing and Urban Development ( 'M Median Income") , adjusted for family size. (Please see Exi it for 1989 rent thresholds.) 2) Affordable Rents. Gro s ents which are not more than 30 percent of 60 percent f he MSA Median Income. COUNCIL MEMBERS Requested by Department of: Yeas Nays Dimond ' �,o�g In Favor Goswitz Rettman B Scheibel _ Against y Sonnen Wilson Form Approved by City Attorney Adopted by Council: Date — B : G�.� Certified Passed by Council Secretary Y B� �� Approved y Mayor for Submission to Council Appruved by Vtavor. Date . — — = - ., . �� 2. 3) Agency. Any department r ivision of the City of Saint Paul, the Port Authority of th C"ty of Saint Paul, or the Housing and Redevelopment Authority. 4) City Assisted Project. using, commercial, office, or industrial real estate ev lopment project in which the City or the Saint Paul Port Aut or'ty provides financial assistance or aid in securing public in ncial assistance including any federal grant administe ed by the City, or any agency or body under its control, reve ue bond financing, tax increment financ- ing, tax levies, funds r evenues controlled by the Saint Paul Port Authority or the C ty or the issuance of any debt obligation or security by any agen y r body controlled by the City, except, however, projects which ei her: (a) have a value of less than $1,000,000, or (b) resu t 'n a loss of fewer than five Affordable Rental Housing units sh 11 not be considered "City Assisted Projects" for the purposes of th' P licy Statement. III. Development of an Affordab e ental Housing Analysis. Prior to action by the Cou ci of the City of Saint Paul (the "City Council") or the Hou in and Redevelopment Authority of the City of Saint Paul, Mi ne ota (the "HRA") to approve finan- cial assistance to a City ss sted Project, which includes either the demolition or the conv rs on of Affordable Rental Housing, there shall be prepared by th agency proposing the Project, an Affordable Rental Housing na ysis (the "Analysis") . The Analysis shall include: 1) A description of the u er of total ental units, including Affordable Rental Ho i units, to be demolished or converted to a diffe en use including the folloiaing information: a) number of bedr om b) current contra t ent c) unit size (squ re feet) 2) A statement of curre t acancy rates and market rents for rental units of simi ar size in the City of Saint Paul. 3) A statement of the n mb r of Affordable Rental Housing units produced in the City of Saint Paul from January l, 1988, through the date of he Analysis. 4) A statement of the mb r of Affordable Rental Housing units lost in the City of �a' t Paul as a result of City Assisted Projects from Janua y , 1988 through the date of the Analysis. 5) A statement of the et gain or loss of Affordable Rental Housing units, base u on items Number 3 and 4 above. 6) A statement regardi g hether the proposed City Assisted Project is consiste t ith the Saint Paul Comprehensive Plan. � ' � � ��Ci_��,� 3. The Analysis shall be re iewed by the Executive Director of the HRA (the "Executive D're tor") in order to ensure that the items set forth are address . The Executive Director's review shall also include, but not e imited to: (a) a summary of the recent progress made by the "ty in meeting its current goals for the production and preser ti n of Affordable Rental Housing as such goals are set forth wi hi the annual housing production plan filed with the HRA by he Executive Director by, or no later than, January 31 of each yea , nd such other policies as may from time to time be adopte b the City or HRA; and (b) an assessment of current market cond'ti ns as they may relate to the cost of developing additional ff rdable Rental Housing. The Executive Director sh 11 then make a recommendation to the City Council or the H , s appropriate, regarding how the potential loss of Affo da le Rental Housing due to the City Assisted Project relat s o the overall supply of and demand for Affordable Rental Hous ng in the City. If it is determined that the Affordable Rental ou ing to be lost should be replaced, the Executive Director sha 1 o state and shall further identify the type of Affordable Ren al Housing which should be developed (size of unit, number of uni s, target market, time period for develop- ment, which in no even s all be longer than three years after the commencement of de ol'tion or conversion of the Affordable Rental Housing units t b lost due to the City Assisted Project) . The Executive Director sh 1 make a recommendation to replace units to be lost due t a ity Assisted Project when any of the following circumstance ar present: 1) If the Affordable nt 1 Housing Analysis shows that there has been a net loss of Affordable Rental Housing units; or 2) If (a) the type of ff rdable Rental Housing units related to the proposed Cit .A sisted Project are currently the type of units which the it has determined, through its housing production and pres rv tion goals, to be needed in the City; and (b) the number f nits to be lost due to the proposed City Assisted Proje t quals or exceeds twenty units; or 3) If Affordable Renta H using is lost due to an activity which is directly funded ro : (a) the Community Development Block Grant Entitlement P og am; or (b) the Section 108 Loan Guarantee Program; r c) the Urban Development Action Grant Program, on or afte S ptember 30, 1988. In recommending a plan' o eplace Affordable Rental Housing units to be lost due to a ity Assisted Project, the Executive Director shall ensure t at the replacement housing will be: 1) located within the it of Saint Paul or East Metro Region in a manner consist t ith the City`s adopted Housing Assistance Plan and ei hborhood redevelopment plans. 2) sufficient in number an size (number of bedrooms) to house at least the same nu be of occupants as could have been, : G'� � �� 4. under local codes, hou ed in Affordable Rental Housing units which will be lost; 3) provided in standard c nd tion, including compliance with all applicable housing an building codes; 4) affordable rental hous'ng units for at least ten (10) years from the date of initi 1 ccupancy; S) either newly construct d r rehabilitated. The Executive Director sh 11 further set forth estimates of the total cost to develop the re lacement housing which is being recommended and any subsi y ost. Subsidy cost is defined as total development cost mi us costs which can be financed by an amortizing loan and/or co ts which can be paid by private equity dollars. IV. Approval of Replacement Hou in Plan The City Council or the HRA Bo rd of Commissioners, as appropriate, shall have the final respon ib lity for approving, amending, or rejecting the Executive Dir ct r's recommendations. If the City Council or the RA Board of Commissioners determines that the Affordable Rental ou ing units to be lost should be replaced, adequate funds to pa for the total development cost, including any subsidy cost f he replacement units, shall be _ identified and approved by he Agency proposing the City Assisted Project prior to City Coun '1 r HRA Board of Commissioner's action approving the project. V. Implementation of Re lacem nt ousin Plan Upon approval of both a pl n nd financing for replacement housing units, the Executive Direc or shall oversee and monitor the implementa- tion of the plan. This policy shall take eff ct upon its approval by the City Council. Projects or developments w ic have received approval by the City Council, the HRA Board of om issioners, or an Agency, shall not be subject to the provisions f his Policy Statement. . . . WMITE - C�TY CIENK '� PINK - FINANCE � COUIICII / CANARV - DEPARTMENT G I TY � F SA I NT PA U L File NO. �! _VG� BI.UE - MAYOR - Coun i Resolution Presented By Referred To Committee: Date Out of Committee By Date 5 . City of St. Paul Re 1 cement Housing Policy Statement COUNCIL MEMBERS Requested by Department of: Yeas Nays Dimond ��s [n Favo Goswitz ' Rettman B Scheibel _ A ga i n S t Y Sonnen Wilson Form Approved b ity Attorney Adopted by Council: Date Certified Passed by Council Secretary BY ` � "`.. � gy. Approved by 1�lavor: Date _ _ Approved by Mayor Eor Submission to Council BY - - — BY Members: (�'��1`�i�eZ Bill Wilson, chair ` '� GITY OF A NT PAUL Tom Dimond 2ia1'��=�� ` Kiki Sonnen OFFICE OF T E ITY COUNCIL . Date: May 10, 1989 WILLIAM L. WILSON COCT�R�I t e Report MARK VOERDING Councilman Legislacive Aide • To: �aint Paul City Council From : Housing and Econo i Development Committee Biil Wilson, Chair 1. Approval of Minutes Minutes of APRIL 12, 1989, meeting we e APPROVED. 2. Ordinance amending the Legislative Co e by adding a new chapter pertaining to replacement housing (C.F. 89-5 1) COMMITTEE RECOMMENDED WITHDRAWAL 0 T E ORDINANCE 3. Resolution establishing policy sta em nt pertaining to replacement housing (C.F. 89-662) COi�fITTEE RECOMMENDED WITHDRAWAL 0 T E RESOLUTION 4. Administrative Ordinance enacting r placement housing policp and providing procedures for its imple en ation (C.F. 89-760) COMMITTEE RECOMMENDED APPROVAL, WI Ii NDMENTS (amended ordinance attached) SUSPENSION ITEM: Resolution asking the HRA and Port Au hority to consider adopting replacement housing policies and p oc dures COMMITTEE RECOMMENDED APPROVAL (original resolution and green she t ttached) � S. Resolution amending the 1989 budge b adding $9,000 to the Financing & Spending Plans for PED to hire con ul ant to conduct intensive survey of the Lower B1uff and Swede Hollow a ea to determine eligibility for possible national register and/.or oc 1 heritage preservation district � designation. (C.F. 89-498) COMMITTEE RECOMMENDED APPROVAL - CON IN ED - CITY HALL SEVENTH FLOOR SA NT PAUL, MINNESOTA 55102 612/295-4646 B 46 COMMITTEE REPORT - Housing and Economic Development Committee May 10, 1989 Page Two 6. Resolution supporting the location of future state office expansion to be in and near the Capitol area and central core, requesting City administration work with state officials to foster said expansion into the targeted area and requesting the State to formally establish policy giving priority consideration to locating state offices in the target area (C.F. 89-572) COMMITTEE RECOMMENDED LAYOVER 7. Resolution amending the CDBG Years XI and XII programs by transferring $288,000 from Year XII Rental Rehabilitation to Year XI Housing Development Opportunity for the acquisition of property for low income rental housing (C.F. 89-664) COMMITTEE RECOMMENDED APPROVAL 8. Approval of Revenue Bond Issue for General Pump/U.S. Inc. Referred by Port Authority 4/26/89 COMMITTEE RECOMMENDED APPROVAL (original resolution attached)