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89-708 WHITE - CITV CLERK COUflCll 7 PINK - FINANCE CANARV - DEPARTMENT G I TY OF SA I NT PA U L -/D BLUE - MAVOR File NO. _Coun i Resolution �� Presented B !/ Ref}erred To � � � Committee: Date �O�`s�� Out of Committee By Date WHEREAS, the housing needs of lower i co e households in Saint Paul are among the central concerns of this Council nd the City of Saint Paul ; and WHEREAS, the proposed Housing Assista ce Plan (1988-1991) includes updated information as to the housing assist ce needs of the population, identifies programs for meeting those needs and st blishes goals to guide public action; and WHEREAS, the Housing Assistance Plan (19 8-1991) has been developed to meet federal requirements established und r e Community Development Block Grant Program; and WHEREAS, the Housing Assistance Plan (1 8-1991) has been received and approved by the Planning Commission f he City of Saint Paul ; therefore NOW BE IT RESOLVED, that the Housing As istance Plan (1988-1991) is adopted by the City Council of the City of Sain P ul ; and BE IT FURTHER RESOLVED that in the p oc ss of developing a new housing plan element of the Comprehensive Plan, t e ity further explore policies regarding the distribution of lower income hou in opportunities throughout the City; and BE IT FURTHER RESOLVED that followin a option of a new housing plan, the Housing Assistance Plan be amended a n cessary. COUNCIL MEMBERS Requested by Department of: Yeas Nays Dimond � Planning and Eco mic Develo ment �.ong [n F vor coswitz Rettman t� BY �ir�--_-- Scheibel _ A gai s t Sonnen Wilson �N — � Form Appr City Atto y, ' Adopted by Council: Date Certified Pas e b unc.il S t $y d By Approve y avor: at _ Appr ved by Mayor for S iss' n�.to Council BY v �t18LiSli� J U N 1 � 1 9 / � �� 7a� MEMORANDtTM DATE: May 31, 1989 TO: City Councilmembers FROM: Tom Harvey, Planning RE: Amendments to Housing As is ance Plan Some minor amendments to the Hou in Assistance Plan are attached, with pages to show where changes are made a on with the new, corrected pages. Changes include: Three Year Goal Table, Row 18, C 1. L: Change 459 to 609. The 150 PHA scattered site were inadvertantl o itted here, but not at 16-L. Map 1. Location Plan for Family ni s. 1�vo census tracts changed to "Conditionally Permitted." Thes t en match the previous HAP category, and now accurately reflect the number of su sidized units in those tracts. Map 2. Location Plan for Elderl ' U its. Two tracts changed to "Conditionally Permitted." Also to reflect sub id zed unit counts. ��,o� 0ti�8 vac�^.a 2`_'a.iu7c-�e.� .. - -- . '_ S �E��pTMEy�OF MOUS�NG 4VO UpBA�J EV Li.�N�•.' j • VJME Ji COMN�,N�Tr CO��MU!HIT� DEVEIOPMEM1T g�p�K�AAN PA GR�': ' Sai nt Paul Mi nnesota ENTITLEMENT VqOGpAM � HOUSING ASSiSTANCE P� N 2'GAO�T tiUMBEQ 6 - � - - - _ °E�1�CD C� ao „�C48i1�7v c FpoM October 1, 1988 To Sept mb r 30, 1991 HUD APPROVAL a��TE �c g_g��iSS�Cti Aa 1 4-ZO-$9 � _ p�:g:,,ai � Rev,son _ A•�?�Cme�: lS�ynarv•tolAuMO�.te00!f,ra�l --,Ca•. t PAR 1 HOUSiNG ASSIS7ANCE NEEDS TABL t HOUSING STOCK CONDITIONS STANDoRD UNiTS SUSSTaVDARD VNITS SuBSTANDARO UNiTS Su�TABLE FOR RE��= 'ENURE . • -- T�'VE OCCUPIEO OCCUP�£D UNITS VACANT OCCUP�E'� VACANT Vn►CAK� � UNITS , UNITS Uh1T5 . UNITS T UA��S i otsi Lowe�Into�+e � A B , C O E p G e � Ow�e� i 54� 90 � 1 2 ± 0,481 ' 19 10�215 3,371 235 7 , Renter � TABLE 11 - RENTA SU SiDY NEEDS OF LOWER INCOME HOUSEHOLDS ELDER�Y � SMALL FAMILV �ARGE FAMILY � TOTAL ~ � � K e ver low Income � 4 502 � 4 19 781 10 002 9 Perant . � 46. � . � � 1�°p to Other �ower�ncome 93p � 2 61 » ETR 5G 209 564 � g�29 �2 To be Dis Isced �3 Total � 5 603 ! 6 093 1 641 13 337 ta Percent °6 ' 9f, ! � . °� • 100`: AR 11-THREE YEAR GOAL 7A LE I - UNITS TO BE ASSISTED � REM B�1 ATIOh �►Eyy CONVERSIONIO MOME �� CONSTRUCTION STANDARD UNITS ; IMPROVfti/E�': 15 I Owner N o : 1 04 150 0 250 t6 : Renter � 1 50 600 100 I 100 tUN1T5 EXPECT 0 ASS15T LOWER INCOME HOUSEHOIDSi � Ow�er 30 ' 0 ' 194 �R Rerte� 59 550 90 51 TABLE 11 - LOWER I USEHOIDS TO RECEIVE RENTAL SUBSIDIES j � _ ' ELCERLY SMALIFAMI_v �AFGEfAMILY TOTa� � O1 � n p /� �9 Housenolds to be Ass�steo ---'I'� ,-�� --� �� 20 Perce��; °0 8. 90 ��°0 10C`: TABLE ill - GOALS FOR HIJp ES URCcS:•S:JBJECT TO IOCAL�EVIEW AtiD COMb1ENT ' ; • � � ELi.�FiY � SMALL FAf:l:�Y �,:r,G� fAM1�Y T��„-� ?t � Housenolds to be Assisted 75 555 1�3 KO __ HOUSING TY?E PREf RE CE (ti!a�;mum Number o!Units tnar will pe,4,;reprec� ' Z2. NEN� REMAB EX�e-+,�G --- - —� 81� 81� 81� � --- --- --— � . — �� C'•P�� Th'S bOr ;f the ap�lica�r wish�t0�tv� W$t :B HCUS:rC A02nC/D�OD052/S R "rn t5/L�'_<�.;:•;D^ � PART iil GENERAL LOCATlONS :� .+:��c� �^av �cent:.`ying rhe gene-ar iocat�ons o/ ra �ass;teo housiny. --- - - --- - - - �ua�og• • -- ;20�fA =-:;� ��o� QM8�DC�C�d VC Z�CE-Ql� �@a� '� .. _. '_' S �E��aTMENT OF MOUS�NG�NO URBAN DE ElJ W�EtiT � ' V4ME OF CJMIA�NITV COA!MUN1T� DEVELOPMENT BLOCK GRANT P OG a�� ' Sai nt Paul , Mi nnesota ENTITLEMENT PROGRAM 2.Ga4tiT VUMBEA HOUSING ASSISTANCE PLA 6 _ _ _ _ ? °ER�ODOF qvo,�CABII�T� �_ -- .-- FROM October 1, 1988 ro: Septe be 30, 1991 HUD APPROVAL a Jnrc OF 5..9'��SS!O'v 4a. t 4—��-89 _ �r.9mdl � Rev�z�o �mNnCmZn; /S�gr,a:✓-^ol Aurnor,red O!f�nail �Ca.° I PART - OUSING ASSISTANCE NEEDS TABLE I - OUSING STOCK CONDITIONS STANDARD UNITS SU85TAYDAqD UNITS Su$STANDAfiO UNITS SUITABLE fOR RE--= � TENURE � ' -- T�'PE OCCUPIEO � OCCUP�£D UNITS VACANT CUPIED VACAN7 VACAti- i UNITS UNITS UNITS . UNITS � uti�7c Totsl Lower In�ome G e � Owne� " 54�740 B 122 ' 1 �481 ! 319 i 10�215 3�371 �235 7 � flenter � � � TABLE II - RENTAL UB IDY NEEDS OF LOWER INCOME HOUSEHOLDS � ELDERLY SMALLfAMILY LARGEfAMILY TOTAL s ver 1.ow I�come ! 4 602 4 619 781 � 10 002 9 Percent . % 46. 96 9r, �ppq, �o Other Lower Income ' 930 1 250 2 4 1 „ ETR � 56 209 564 829 t2 To be ois laced _ ; 1 �s Totai 5 603 6 093 1 641 ' 13 337 ta Percent °.'6 1 96 °; � 100`= AR 11-THREE YEAR GOAL T �E I - UNITS TO BE ASSISTED i REH BIOL ATION NEyy CONVERSION l0 , HOME p�� ' CONSTRUCTION $TANDARD UNITS ; IMPROVEME�'S O �5 I Owner � 1 20 150 � N 0 250 �e ! Renter 1 05 600 100 i 100 IUNITS EXPEC ED 0 ASSIST �OWER INCOME NOUSEHOLDSi » Owne� ' 93 30 ' 0 194 �e Renter 550 90 51 TABLE II - LOWER IN OM HOUSEHOLDS TO RECEIVE RfNTAL SUBSIDIES ELDERLY SMALI FAM�_V �AFG'c FAMI!V _ TOTt_ ' _ D ° _" _ ` � �o Nouse�olds to�e Assisted —"—��— , ---�� 2o Percert % $.5'b 22. '.0 100�= ?ABLE 111 - GOALS FOR HU RE OURCES: SUBJECT TO LOCAL �EVIEW AtvD COMMENT i ELCERL�' SMALL FAM:.Y Gc FAMILY T^�•• � L:.fi �.�..� 2t ; Housenolds to be Assisted � T 75 � 555 180 810 _ _ HOUSiNG TYPE PR FE ENCE (Maximum Number of Units rhar will pe q�tepteui _� 22 : NEW REliAB � ---— - -- EX ST�tiG ' 81� � 81� 810 � 23 g C.`:e�- rh s bex ;f the appl;cant weshes to r vie State Housing Aoency pr000safs w-�r^ -ts;��'so�;o- i PA T 1 1 - GENERAL IOCATlONS 2� At:acr. Tap :oentrfying[he generai iocarions f posed assis:ed housing, �uo-�os� • - isa cFA=_-__� \ ` - - � � _ � � � �� .-.-. . 1 �:::. I`i �:. 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PART I - OU ING ASSISTANCE NEEDS TABLE I - O ING STOCK CONDITIONS � STANDARD UNITS SU8 TAVDAFp UNITS SUBSTANOARD UNITS SUITABLE FOR fl�-._ � TENURE �— ' -- TVPE OCCUPIED OCCUPtED UNiTS VACANT CCli iED VACANT � ypCq�- � , UNITS ! UNITS � ��UNI S . UNITS TOtal LOwCr I�COmE V~� � I • A 8 C D E f � e � Owne. ' S4�740 122 1 ,4 1 ' 319 : 10�215 3�371 235 7 Renter � ; � TABLE 11 - RENTAL SUB IDY NEEDS OF LOWER INCOME HOUSEHOIDS EL ERLY � SMALL FAMILV LARGE FAMILY � TOTAL � ~ � J K s ver �ow Income ! 4 02 � 4 619 781 � 10 002 9 Percent ,096 46.2 9G .8 9r, : �pp�; to Other �ower Income � 30 � 1 25 2 461 �, ETii 5F) 209 564 i 829 t2 To be Dis laced _ � � 5 �3 Tote� 5 03 —�� ——6�.0�9,3. 1 641 13 337 ta Percent qb ' 45.T9G , � . °0 100`: PAR II- HREE YEAR GOAL 7ABLE � - NITS TO BE ASSISTED REHABILI ATI N '' NEyy CONVERSION l0 HOME ' O CONSTRUCTION STANDAROUNITS : IMPROVE6IE�": SUBSTAN O ITS • � M N O �s � Owne� 20 150 0 1,254 ts : Renter 50 600 250 I 500 , lUNITS EXPECTED 0 A StST LOWER INCOME HOUSEHOLDSi i » Owne� 16 30 0 972 � __ �e Rente� 25 550 140 255 � TABLE ii - LOWER �NCOM HO SEHOIDS TO RECEIVE RENTAL SUBSIDIES E DERLY SMA��FAMI'�V LA.FGc FAMILY TOT�: � __ — � Q p - �g House^+olds to be Assisted , --�� zo Perce�t ' 9. �0 68.5� 2�.—'��,o ' 10C�—� TABLE lii - GOALS FOR HUD RE U ES: SUBdECT TO LOCAi REVIEW AND COMh1ENT ! c CER:" SMALL FAf.1��y Li.?aG� FAMILY Tp�:,� ; z� ! 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Q1 > � •r i r p\1 �� ro C C N > �1+�� d Ir y f = , 6 � .V� p �6 •r � O C �O Rf c O !C � ! C � r- +� i O �n L �r �t O� d' � �6 G. � a1 Vf a �/f-r N C < � 2 ?l � +� O C � E � ��-'- L' � I C �i Z7 d•r � S•r Rf O'r � o V � r i�-� � N � L N O rt r Q � Q `-°I Vl E •G C � E O O E G• •r � � \ C x l •r O �d N Q' O = � � = O'fCm . p � a `i ` tn U L 0-' � r N �6 t[f +� � � ¢ Q � O�C i �O� t0 i i L Q1+� C O O � +� +� n� a� N ++ �n � ¢ �" Z _ p 3o s c 3 c C c c i� t� '+� O - ti� � O� +� a� o N 3 3 3 O 7 ra ° ¢ ^ = J2 O� J � O Oftn � n Y � � � � � ��y-y�� HOUSING ASSISTANCE PLAN (1988-199 ) 1.0 IN R DUCTION The purpose of the Housing Assistance Pla ( AP) for 1988-1991 is two fold. First, the plan will include an assessment of the need for ou ing assistance among Saint Paul households. Secondly, it will set forth a series of objec 've , policies and program initiatives intended to guide the expenditure of federal, state and loc 1 housing assistance funds. 2.0 HOUSING AS ISTANCE NEEDS 2.01 DEFINITIONS OF HOUSING COND TI NS The City of Saint Paul conducted a housin co ditions survey in 1988, updating a 1981 survey. The survey used a pictorial compa iso method which rated six exterior structural elements of each building in a 1596 citywid s ple. A mathematical model transformed the ratings into an overall condition score for he uilding. Residential structures and units were characterized on the basis of a numb o externally observable conditions as being in one of the following conditions: -- Condition 1: Sound. Adequately m int ined requiring no, or very little, restoration. -- Condition 2: Needin¢ Minor Renair R quiring repairs to surfaces of the structural elements, usually painting of windo f ames, eaves and porches. -- Condition 3: Needing Maior Renair O ten requiring roof replacement and painting of eaves, walls, window frames and or hes; having deterioration of some structural elements. -- Condition 4: Dilaoidated. Damage ro ted or missing structural elements, having extensive deterioration. Overall conditions of St. Paul's housing sto k ve improved since 1981. Despite these findings, the number of vacant residential tr tures has increased since 1981. For the purposes of this plan, those units classified as ondition 1 are defined as "standard units" with the remaining units considered "subst nd rd." Those which are described as needing - - minor or major repair, however, are consid re "suitable for rehabilitation." 2.02 LOWER INCOME HOUSEHOLDS EX E TED TO RESIDE IN SAINT PAUL An assessment of the number of households ne ding rental assistance should include those which can be expected to move into the are . UD guidelines suggest that an estimate of the number of new lower income househol w o can be "expected to reside" (ETR) in the area should be based on levels of current e pl yment, planned employment and anticipated immigration of elderly persons. In additio , St Paul can expect to see a dramatic increase in the number of Southeast Asian households xp cted to reside in the city. (Complete documentation of the methods used to deri e E R figures are on file with the City of St. Paul.) 1 . - � �� 74� Based on methods developed in the Ramse C nty Housing Assistance Plan, current employment figures show approximately 8 lo -income households that currently live outside of the city that have a preference o li e in St. Paul if housing was available. Of these, 8096 -- or 71 -- are estimated to be s all families. The remaining 18 are large family. The Metropolitan Council estimates that p an ed employment can be expected to be 1000 new jobs during in 1989-1991. About half of hese new jobs may be filled by non-residents of the city. Based on current figures, abo t 2 °16 -- or 146 -- of the jobs would be low-income. These new jobs may represen 1 new households. Housing preference surveys show that approximately 5.496 -- or 7 hous ho ds ( 5 small family and 2 large family) -- may want to reside in the city if low-cost hous ng as available. There are currently 240 elderly househol o waiting lists for public housing. Of these, 56 households live outside of the city and m y expected to move to available housing in St. Paul. The city's public and low-income housing sto k is more likely to attract Southeast Asian refugee families expected to move to the re . These households are not included in HUD's definition of "expected to reside." Howe er, he anticipated impact on St. Paul is large, so the household estimates are included in TR numbers. Social relief agencies predict an immigration to St. Paul of approximately 18 0 persons in 1989, with declines in the rate of migration in 1990 and 1991. Based on es im tes of 3600 new residents over three years, an average household size of 5.3 persons, th cit can anticipate 677 naw Southeast Asian households in the coming three years. H usi g demand will be disproportionately for large-family housing. It is expected that 20 of these will be small family and 8096 will be large family households. The expected to reside estimates are incl de as reasonable maximum demand estimates. Actual demand may be far tess. This co cl ion is grounded in three basic demographic and economic trends shaping the city: (I) th o rall population of the city has been declining for some time; (2) the total number of j s i the city has remained almost steady for the past 10-15 years; and (3) an increasing p rc ntage of those who work in the city live outside its limits. Survey results show that the u er of current St. Paul residents who both work and show a preference for a move to an th r municipality would more than offset anticipated moves into the city. Much of the anticipated increase in the ove all level of housing need experienced in the city will, in all likelihood, come from the pr se t population. Changing economic conditions, rising unemployment, an increase in th nu ber of single parent families in the city, and a growing proportion of the population b in classified as elderly are all likely to change the face of the city's housing need. From 1 88 1991, the anticipated increase is expeeted to come from single parent families and a in of the population into an elderly classification. 2.03 IMPACT OF CONVERSION OF E TAL HOUSING TO OWNERSHIP STATUS Although it can be expected there will be ome conversion of rental housing, the rate of conversion is expected to be significan ly lower than that in the early part of the decade. From 1984 to 1987, an average of 90 u its ere converted each year -- in contrast to one three month period in 1980 which saw the conversion of 125 units. The impact of conversions is expected to be further el orated by an increase in the construction of moderate cost rental housing in the cit , r sing apartment vacancy rates, and a general softening of the market for existing c nd s. 2 . � � � ��v74� 2.04 SPECIAL HOUSING NEEDS Minoritv Households 'The Metropolitan Council in its "Housing ev lopment Guide" for 1986-1995 estimates that there are 1,735 lower income renter minori y h useholds of two or more persons that are inadequately housed in Saint Paul. Most o th m are so characterizcd because they are paying more than 30 percent of their inco es or housing. They represent 28 percent of the seven-county region's 6,172 such household . he number of minority homeowning households in substandard housing and wit h using needs is not readily available. Of all low-and-moderate income households that re nadequately housed, some 27 percent are owners. Seventy-one percent of these households ar c racterized as very low income with household incomes less than SO percent of e rea median. About 40 percent of them are Black, 27 percent are Asians, and 21 perce t a Hispanic. Clearly, the arrival of Southeast Asian refugees has been the most significa t c ange in the profile of minority housing needs over the past decade. As of July, 1988, 75 er nt of the families living in the city's four congregate public housing developments an S percent of the families on the waiting list were Indochinese. The minority population, in general, and t ere ore, in all likelihood the lower income minority population, is dominated by hous hol s with children. Indeed, almost 43 percent of the total minority population in the city is n r 18 -- a percentage that can be expected to increase when one isolates the proportion o m nority households which are lower income. This only underscores the need to conserve xi ting rental housing and to provide to the extent possible, additional rental housing f r s all and large families. Phvsicallv Challen�ed Households Comprehensive data is not available on the nu ber of disabled persons who need housing assistance. Estimates compiled by the Metr po 'tan Council based on data from the Minnesota Department of Revenue's compil ti n of property tax refund statistics indicate that there are 1,241 renter households in th ci y defined as disabled. Forty-one percent of them are characterized as lower income, pa in more than 30 percent of their incomes for housing. Almost all (96 percent) of those a e i deed very low income households. Information on housing assistance needs fo di abled homeowners is even sketchier than that for renters. - Sin�le Parent Households According to the Metropolitan Council esti at s, there are 6,869 female headed households with children in the city. Eighty-eight per ent of them are characterized as lower income while 76 percent of the total or 5,200 house ol s -- are both lower income and inadequately housed. One in every five such households 'n e metropolitan area is located in Saint Paul. The severity of the problem is underscored y he fact that 77 percent of the 5,200 lower income households identified above are cla sif' d as very low income, living at an income level which makes participation in the priv te ental market particularly difficult. These households have traditionally depended on ed ral rental assistance, the absence of which in the latter part of this decade increases the em nd on local housing resourcos. 3 . � ��r�� The Homeless Estimates as to the size of this popula io are necessarily rather imprecise, but the numbers range from 6,000 to 10,000 in this reg on. Of the total, one-fourth are estimated to depend on Saint Paul shelters and other emer en y housing. --- Surveys indicated that 80 percent of e omeless population is made up of single individuals who generally cannot qua if for federally subsidized housing, making them entirely dependent on the public and ri ate resources available at the local level. Single women are an increasing proportion f t e homeless population. Most of the homeless have incomes below 3096 of the median inc m 3.0 H EE YEAR GOAL 3.01 GOALS FOR RENTAL ASSIST N E TO ELDERLY AND FAMILY HOUSEHOLDS The City requests a waiver from the eq irement that its goals directly reflect the needs as defined by HUD regulations primaril b cause of the relative over supply of elderly housing produced in prior years. The general ov rsupply is confirmed by a 1987 H.U.D. housing market report. The City's three-year oa s include 75 elderly units, or 9.396 of the lower income households to receive subsidi s, r ther than the 4296 suggested by the estimate of needs. These 75 units are expected t re lt from housing programs that are not directly targeted to families or the elderly, b h ppen to serve elderly households. In Saint Paul, small and large famili a count for about 58 percent of the need for rental subsidy us particular, however, is greater than t eir proportion of the population may suggest inasmuch as there are very few large rental un ts ailable and affordable to lower income households. Thirty-nine percent of Saint Paul's p bli housing stock is designed for families and the waiting list for a family unit stretch s t over 800 households. In 1988, the turnover among family units in the city's public hous ng tock was over 20 percent. Still, the wait for a very low income family -- especially a lar e f mily -- for rental housing or assistance may exceed five years. Migration of large South ast Asian households to Saint Paul over the next three years will increase the large-family ous ng unit shortage. At the same time, housing produced ve the past three decades for lower income elderly households comes closer to meeting ost of the demand for such units in the city. Sixty-one percent of Saint Paul's public housin st ck is devoted to older households. There are presently 225 households on the wait ng ist (about half of the 1985 list) for one of the city's over 2,600 units in high rise apartme t ildings for elderly persons and there are about 45 vacant units. It is, therefore, the policy of the Cit to mphasize families, particularly large families, in allocating available resources for re tal ssistance or the construction of additional rental housing. The difficulty in targeting ren al assistance funds for large families, however, is that at the present time, there are no a ufficient number of units available to rent. Therefore, while every effort is bein de to construct additional housing for such households, the bulk of the City's re tal assistance funds will continue to go to small families. 4 � - � ��-- ,a�' 3.02 DEMOLITION AND DISPLACEMENT It is expected that there will be little displa em nt caused by government action in the coming three years. It is anticipated that o ly 5 lower income households will be involuntarily displaced over the next three ea s. These are evenly divided between elderly, small family, and large family households. t i anticipated that fifteen of these units might now be owner-occupied, and that thirty are ren al units. Few -- perhaps five -- of these units would be standard nnits demolished a a esult of broad clearance in an area. The greatest likelihood of displacement inv lv s rental buildings which may be involved in the Rental Rehab Loan Program. To the e ten they are occupied, require extensive rehabilitation and/or a significant increase in ent, tenants may be asked to move. In most cases, Section 8 certificates will be availab f r those households. In all cases, displacement will be governed by federal or local reloca 'on guidelines. Some losses from Section 8 expiration are expected in 1991. Additionally, displacement may occur as a es lt of the City's initiatives with the Urban Revitalization Action Program (URAP). T is edevelopment effort funded with State and local funds is a comprehensive revitalizati n fort within the City's most distressed neighborhoods. Funded projects include s lec 've demolition, rehabilitation of vacant and substandard buildings, and new constructi n. he acquisition and rehabilitation or demolition of substandard buildings may qu re the displacement of existing tenants. Only one project plans larger scale clearance. I th t project, 45 households are to be displaced, but only six are involuntary disp(acement. Se en of the 45 households are minorities. Only a half-dozen of the households are expect d t need rental assistance. Based on those figures and on other experience in the city, invol nta y displacement is expected to be small. Minority households will make up perhap on -fourth of involuntary displacement households in need of assistance based on re ious projects and planned projects. 3.03 ACTIONS TO MINIMIZE DISPLAC M NT OF LOW-INCOME PERSONS The displacement needs anticipated in St. Pa 1 are small. Available programs can alleviate problems arising from displacement. The Ci of St. Paul will use available funds primarily on programs which create standard low-a d- oderate income housing units, which provide rehabilitation assistance to projects whic d not involve displacement, which treat vacant structures, and which promote economic ev lopment. These actions will minimize the - � displacement of persons of low-and-mod rat income. Specific programs are listed in Section 3. 4 llowing. In addition: - The City's Urban Revitalization Ac io Program, under which households will be displaced, includes projects that to pr vi e rental and ownership opportunities for low-and-moderate income households. Se ected demolition and rehabilitation requires displacement in some instances. - Saint Paul will continue to pursue o po tunities to provide SRO housing in downtown and the neighborhoods. - The City will work with the Public o sing Agency of St. Paul to develop a moderate rehabilitation program accessing fun s a ailable under the Section 8 Moderate Rehab Program. 5 . - - ��7��' - All persons subject to displacem t ill be provided benefits and services as required under the Uniform Relocation Ac (S b-Sec. 104d of the 1987 Community Development Act). They will also receive a pri it for and be encouraged to apply for assisted housing. The City will enforce the 104J Antid spl cement policy currently in force to assure that tenants are not displaced by private ha ilitation or redevelopment without consideration of their housing needs. 3.04 IMPLEMENTATION OF THE T R E YEAR GOALS Major program initiatives expected t de ine Saint Paul's housing effort are generally those which have been in operation for the'pas three years. In some cases, where federal resources are being cut back or elimi ate , efforts are being made to finance the same programs with local resources. Progr ms will include rehabilitation of substandard units, new construction, rental subsidies, an m rtgage financing. Specific actions are listed below. Low Income Public Housina efforts ill ontinue to add large family units to the Public Housing Agency's inventory. These a di ions will occur through direct Federal grants for a combination of new construction and the acquisition of existing scattered site buildings. ' n xi in rtifi V h P r m. The City will continue to support the use of Section 8 certificates as implement d y the Public Housing Agency. Th R n 1 R ha ilitation Loan Pr m combines funds from the CDBG and HUD's Rental Loan Program to provide rehab funds fo existing rental units. The program is designed to provide public and private funds for eh bilitation loans at an annual effective interest rate approximately one-half of the conven io al rate as an incentive for owners to upgrade existing rental housing in Saint Paul. Un ts rehabilitated under the program must be maintained as rental units for eight y ar or the outstanding period of the public financing, whichever period is greater. A certai p centage of the initial occupants of any project must be lower income and the owner us tender at least a one-year lease to each initial tenant. The Enerav Resource Center will con 'nu to process loans to homeowners and landlords of multi-unit rental buildings wishing to ma e energy related improvements. Low Income Housin� Develooment wi 1 c ntinue to be a major priority to encourage the development of new units for larger f mi ies. Programs include the utilization of the Federal Low Income Housing Tax Cre it rogram, Section 8, and Section 202 funding. The Home Rehab Fund financed with fe eral, state and other funds, is intended to assist homeowners with the rehabilitation o th ir homes, largely through low interest or deferred loans. Nearly all households assisted nd r the program have incomes below 80 percent of the area median. T Minn li in Pa 1 F mil H u ' F n will continue to assist the City in providing rental and ownership housi g f r lower income households. Additional public and private sources will be vigorously pur e T e N i h rh d P rtner hi Pr r ill continue to play an important role in the City's neighborhood revitalization effort. U de the program, neighborhoods submit competitive applications for funding in which the pr pose particular activities for meeting identified 6 . � � - ��`�o� - needs. The programs designed by the neigh or oods may or may not directly address housing needs though it is anticipated that ve al neighborhoods will develop home improvement or rehabilitation loan and gra t p ograms. In any case, all kinds of activities which strengthen neighborhood confidence e.g. crime prevention, street lighting, commercial rehabilitation) can be argued to have a posi 've impact on private investment decisions. The Urban Revitalization Action Proaram ill e a major redevelopment initiative over the next few years. Neighborhoods and City ag nci s submit applications for funding for comprehensive redevelopment activities tar te to distressed neighborhoods. The program will address major housing deficiencies and ro ide incentives for new housing developments. Vacant Housina Proaram: The Department f anning and Economic Development (PED) of Saint Paul is working with the Departme t o Community Services to support aggressive code enforcement to alleviate blighting infl en es of vacant properties. PED works with non-profit organizations in the development of acant properties to provide new ownership opportunities. Eligible properties include d tac ed single family structures and duplezes, including repossessed properties offered for al by HUD or the Veteran's Administration. The program works in conjunction with oth r p ograms to bring new and eaisting resources to bear on the problem of vacant houses. Mort�a�e Financing Pro�rams will continue o fer individually designed financial assistance for the construction of owner oce pi homes, generally through the sale of tax-exempt bonds and other mortgage finan ing programs. Mortgage programs assist low and moderate income first-time homebuyers to p rc ase existing or newly constructed homes, with below-market interest rates. 3.05 COMPREHENSIVE HOMELESS ASSIS A CE PLAN Saint Paul's "Comprehensive Homeless Assis nc Plan" (January 20, 1989) states the City's intent to expand where appropriate facilitie fo homeless individuals and families. The City will continue to work with non-profits, the United Way, PHA, Ramsey County, and the State to meet the needs of homeless groups ith n the city. The "Comprehensive Housing Assistance Plan" is incorporated here by ref ren e. As the Chap shows, although a considerable base of facilities and services e ist to assist homeless persons, the need for housing/supportive services continues to exi t. Included in the plan is an inventory of facil tie . In the past three years, the City has initiated considerable effort to rehabilitate nd add units to the transitional housing and permanent housing stock. Since the Fall of 98 a total of 51 new transitional units have been made available to women with childre ' I new permanent single room occupancy have been added to the supply downtown an i the neighborhoods, 67 single room occupancy units have been rehabilitated for in le adults, and 107 new, two-, three-, and four-bedroom affordable permanent housing un ts for families were developed. The success of future efforts to be undertak n i the City depends upon additional funds becoming available through the following pr gr ms: Tr n i i n 1 Hou in D m nstr i n Pr r The City hopes to use funds available throu t is program for capital development needs for acquisition and rehab of transitional fac liti s. 7 � � � � � (��-�o� . P rm in f r 1 Funds available through this progra w uld be used to incrcase the supply of affordable, appropriate housing for mentally-, e ot onally-, and physically-handicapped persons who are eith�r homeless or "at risk" of be om ng homeless. 1 n 1 A i f r F ili i A i t h H mel Supplemental Program funds potenti lly available would be used to assist projects and programs being financed with funds fro the Supportive Housing Demonstration Program, or the Permanent Housing for Hand' ap ed Homeless Program. The City hopes to use funds from the Supplemental Program to a sis in financing projects or programs directed toward families with children, elderly perso s, nd other subgroups who are identified as having special needs. in R M rt Rhbili n r rm The City will work with the Public ou ing Agency of the City of Saint Paul to develop a moderate rehabilitation program to res rve and expand the stock of SRO housing so that funds potentially available under th Se tion 8 SRO Mod Rehab Program can be accessed. 4.0 AN U L GOAL NARRATIYE Saint Paul will initiate several speci ic ctions to meet its projected Annual Goal for units to be assisted. (Descriptions of progra s a e provided in Section 3.04 above). The PHA will continue to accept additional new Se ti 8 Certificates and Vouchers, and to expand the number of public housing scattered ite nits. The City will continue to administer the HUD Rental Rehabilitation Loan Pr gr m, along with its locally funded rental rehab program. The City will continue to gg ssively utilize the Federal Low Income Housing Tax Credits in the development of a fo able rental housing. A variety of ownership programs will be administered to ass st e development and rehabilitation of housing for owner occupancy, including a major e Vacant Building Initiative. Additional actions will be initiated to provide housing for v ey low income households in participation with a variety of non-profit and local hous' g dvocates. All rehabilitation loan programs ad ini tered by the City are governed by approved program guidelines which include in o e limits to ensure the programs benefit low and moderate income households. Displa e nt occurs only as a last resort in the administration of all housing programs and is gover ed by appropriate federal or local relocation guidelines. - Obstacles to attaining the projected nn al Goal for assisted housing include the lack of adequate federal resources and local su idy funds. The available Federal Low Income Housing Taa Credit program is com ex and difficult to apply to the development of new housing. The present cost of needed reh bilitation improvements is high, and often times owners, including absentee owners, a e luctant to invest in their properties. These obstacles will in part be reduced by n gressive housing development staff working in partnership with eaperienced for-pr fit nd non-profit developers to provide needed affordable housing. 8 - � � � �� o� 5.0 O TION PLAN 5.01 PURPOSE The purpose of the location plan is to p om te a greater range of housing opportunities for low income households and to avoid co en ration of assisted persons in a few neighborhoods. Toward this end the pl n i entifies areas where additional projects are to be encouraged or discouraged. Areas whic p sently have few assisted housing opportunities are given priority for the construction, eh bilitation, or acquisition of additional subsidized housing units. Location priorities are based on a propo tio al share concept with regard to housing assistance. Census tracts having less tha a average share of the City's subsidized housing (3.196 for family units and 3Z96 for elde ly nits) are considered high priority locations for additional subsidized development or p ch se of scattered site subsidized units. Tracts which already have a greater than avera e are of subsidized units are discouraged but may be allowed on a case-by-case revie ps are included for both family and elderly housing. Included in the count of subsidized hou ng units are conventional public housing units, scattered site public housing, Section 8 u its and other federally subsidized units. Also included are city-financed units targete fo households with less than 6096 of the median metropolitan income. The Section 8 exis ing certificate program, which provides rental assistance to participants at the location of heir choice, is not included. 5.02 AREAS WHERE ADDITIONAL S SI IZED UNITS ARE ENCOURAGED Ist Prioritv: The highest priority locatio s f r assisted housing are those higher income census tracts with few existing low inco e using opportunities. These are areas where the existing level of subsidized housing falls bel w the city average and where 1980 median household incomes are above 8096 of the et opolitan median. 2nd Prioritv: Additional subsidized ho sin is also encouraged in lower income areas where the amount of subsidized housing all below the city average. The need for assisted housing in these areas is as great as that ' t e lst Priority areas, but the availability of low income housing opportunities is generall gr ater. 5.03 AREAS WHERE SUBSIDIZED HO SI G IS CONDITIONALLY PERMITTED Census tracts in this group have a higher ha average share of existing subsidized housing. No distinction is made based on househol in omes. Proposals for additional assisted housing development in these areas must e c osely evaluated for their potential impact and their proximity to existing subsidized uni s. preference will be given to those projects where the ratio of subsidized to market r te nits is small, where the project itself is small, or where location within the tract has litt e i pact on concentration within a small area. . - � � ��,o� REFERENCES City of St. Paul, "Comprehensive Homeless sis ance Plan," September 24, 1987 and January 20, 1989. Metropolitan Council, "Housing Developmen G ide: Appendix D. Ten-Year Housing Needs in the Twin Cities Metropolitan Area 1986-1 95. December, 1985. Minnesota Center for Survey Research, "Twi C ties Area Survey and Low Income Survey 1984: Summary of Findings on Housing." rch 29, 1985. "Ramsey County Housing Assistance Plan: 1 87- 989." Hubert H. Humphrey Institute, Spring, 1987. Sherlock, Donna L., "Southeast Asian Refug s i Minnesota." The Saint Paul Foundation, October, 1987. I ' • , � �•\fAft��'�M��R��• •�• R�RfR�t*t�ft�t��R�ft��f�fttttttR�f 1 Q � ° °° E ° - � � . o "' `•' � � � . - - - - �. � �• N .. O � o (� W . -_ . � . � . .:. .. .I ch __ � ♦,,, �' Q . � � � e O p . — N... . --1 � �� Q • � � � �� i..iQ •...�• •� . s� C � i r� � ' t Z � � r —� • Wu��.aa.�.��.0 uall...��' i �� ., _. . . ��' •..y�� i � ^O � •` 'I � ,,\ i ��A��• 1�� ,\ O �� _ _ _ � �,� .,� � ��' •�� f' � i _ —_ � r- (a '� , �— ,., 'g � �� N � i I•` � W � � � N � ''� � �---�_�' _ � V ,'� � � : � � O i , � �' ' r �� ' Q � - C� V � . � . : co �� : .. 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'��^�" - ..��.• ` - \ ..i...��• , ,��• " � ��=70� Members: `�----- Biil Wiison, chair -GITY OF INT PAUL Tom Dimond ��'�►��a � t Kiki Sonnen �. OFFICE OF H CITY COIINCIL - Date: May 24, 1989 WILLIAM L. WILSON ' COCTI Itt e Report �cErv�o MARK VOERDI�lG COt1IICilman Legislative Aide MAY 2 5 i989 To: Saint Paui City Councii c�TY c�ERtc From : Housing and Econo i Development Committee Bifl Wilson, Chair 1. Approval of Minutes MINUTES of the APRIL 26, 1989, comm tt e meeting were APPROVED 2. Resolution approving the reappointm nt by the Mayor of Gerald Beedle, Robert Reistad, Thomas Delaney and ' am s Yannarely to serve on the Examining Board of Truth-in-Housing Ev luators (C.F. 89-602) COMMITTEE RECOMMENDED APPROVAL 3. Resolution adopting the amended Rec ea ion Section of the District 14 Plan as part of the St. Paul Comprehensi e lan (C.F. 89-628) CO?�iiMITTEE RECOMMENDED APPROVAL 4. Resolution authorizing proper City ff'cials to execute an agreement with the City of Minneapolis agreeing t co perate in the participation with the Twin City Area Urban Corps Program ( .F. 89-690) COMMITTEE RECOMMENDED APPROVAL 5. Resolution authorizing proper City of icials to execute an agreement with Ramsey County agreeing to cooperat i the participation with the Twin City Area Urban Corps Program and appro ri ting funds to the adninistration of said program (C.F. 89-691) COMMITTEE RECOMMENDED APPROVAL . esolution adopting the 1988-1991 ou ing Assistance Plan and providing for the development of a new Iiousing P an element of the Comprehensive Plan (C.F. 89-708) . � COMMITTEE RECOMMENDED APPROVAL, WI H NDMENTS (AMENDED PLAN TO BE AVAILABLE BY C UN IL MEETING FOR APPROVAL) (Continued - 2 Suspen io Items) CTTY HALL SEVENTH FLOOR SAINT PAUL, MINNESOTA 55102 6l2/298-4646 3 46 _ � Page Two Committee Report - May 24, 1989 HOUSING AND ECONOMIC DEVELOPMENT COMMITTEE Bill Wilson, Chair SUSPENSION ITEMS: Resolution for referral of Highwood Task Force Report to Planning Commission COMMITTEE RECOMMENDED APPROVAL Resolution approving Port Authority action on $3,375,000 revenue bond issue for the H.M. Smyth Company, Inc. COMMITTEE RECOMMENDED APPROVAL . _ � . ��y=7Dd� o��rrrro�c�couNa� o��iNmn P��- P�a�� GREEN SH No. 718 CONTACT PERSON 3 PHONE I INITIAUDATE PARTMENT DIRECTOR �GTY OOUNpI A�✓Ey 3��/ � c�A�� p cm c�� MUST BE ON OOUNpL AQENDA BY(DAT� ROUTIN(i BUDOET DIRECTOR �flN.3 MOT.BERVICEB DIR. MAVOR(OR A8&ST ��/� TOTAL N OF SIGNATURE PAOES � (CLIP ALL IONS FOR SI�iNATUR ACTION REWESTED: fldoPt ��o�uf�� aPp�� G.� ' �usl�9 As�;sf�.�� PJ.,� (i�d�-��. � /Q�s e l`e�iA'� �.c� ta '�� a N a a G1 � - RECOMMENDnTyoNS:MD►�(�a Rele�(� COUNGL M E/RESEARCFI I�PORT OPTIONAL ',,,? �PLANNIN(i COMMISSION _CIViI SERVICE COMMISSIOM A�Y� EC - PHONE NO. _qB COMMITTEE _ q h _3TAFF _ OOAAMENTS: � f, � rJ I J�!', _DISTRICT�URT — �I T� �, TT G� r.t�i we �� suPao�TS vuHicH couNa�osrECnvE� �A ��'c� ��°�`1;;;� ON INITIATINO PFIOBIEM,ISSUE,OPPORTUNITY(Who,Whet,When,Where,VWry): �j� �� /lQ�G�A✓�Q �bN S%r S�'LG 7�C.�. �IArt r.0 ,/J�J^(0 bvK/�'�� /u D. T1�-� �01�ti ou�Gi,•.�e fl�.o !.� 's 3-y«.r a,t�e d.� �►• �a �./s.t a f f pc�t�.�.P, s�a�, aMa� / �.ausi,� �useds. ADVANTAOEB IF APPROVED: s�b�s s�:� � a��,�.�.� e ��P 9u,t.��, fi�. G.�j �✓ �GI D Ar,�N�i w�s�c1 �v, w s, i.1 G�(,w,'� Q�o G a.�z� Of �.0�'rfN�G�s�C�y ,�uG�v uro�.�' �e GY� �w�.d3. / D18ADVANTAOES IF APPROVED: �� DISADVANT/�OES IF NOT APPflOVED: �Qn.l�u.c �a �w�-� fl�c ft.�! 'C/ ti� w� �idu.�.� ��ds �� ld• � , e L G�!��:�;�:! �� Y�o� �n�A� n�� 1 '�' ��'�.�� l�ir '� TOTAL AMOUNT OF TRANSACTION : � COST/REVENUE BUDOETED(CIRCLE ON� YES NO FUNDING SOUF�E ACTIVITY NUMSER Flruwan�iN��u►noH:�ocPwM r , . . � NOTE: COMPLETE DIRECTIONS ARE INCLUDED IN THE GREEN SHEET INSTRUCTIONAL MANUAL AVAILABLE IN THE PURCHASING OFFlCE(PHONE NO. 298-4225). ROUTING ORDER: Below are preferced routings for the flve most frequent types c�f documents: CONTRACTS (assumes authorized COUNCIt RESOL.UTION (Amend, BdgtsJ budget exists) Axept. Cirants) 1. Outside Agency 1. Depertment Director 2. Initiating Department 2. Bud�et Director 3. City Attorney 3. dty Attomey - 4. Mayor 4. MayodAse�tM ; 5. Finance 8�Mgmt Svcs. Director 5. City Council 6. Finance Accounting 6. Ch(ef Axountant, Fin&Mgmt Svcs. ADMINISTRATIVE ORDER (Budget COUNCIL RESOLUTION (all others) Revision) end ORDINANCE 1. Activity Manager 1. Initiating DepartmeM Director 2. Depa�tment Accountant 2. City Attomey 3. Department Director 3. Ma�roNAseistant 4. Budget Director 4. Ciy Council 5. City Clerk 6. Chief Axountant, Fn 8 Mgmt Svcs. ADMINISTRATIVE ORDERS (all others) 1. Initiating Department 2. City Attomey 3. MayodAssistant 4. City Clerk TOTAL NUMBER OF SIGNATURE PAGES , Indicate the#of pages on which signatures are required and ap pe prcli each of these pages. ' ACTION REQUESTED , Describe what the proJect/request seeke to accomplish in eiEher chronologi- cal order or order of importance,whichever is most appropriate for the issue. Do not write complete seMences.Begin each item in your Iist with a verb. RECOMMENDATIONS Compiete if the issue in question hes been presented before any body, public or private. SUPPORTS WHICH COUNCIL OBJECTIVE? indicate which Council objective(s)your project/request supports by IisUng the key word(s)(HOUSING, RECREATION, NEIGHBORHOOOS, ECONOMIC DEVELOPMENT, BUDGET, SEWER SEPARATION).(SEE COMPLETE LIST IN INSTRUCTIONAL MANUAL.) COUNCIL COMMITTEEIRESEARCH REPORT-OPTIONAL AS REQUE3TED BY COUNCIL INITIATING PROBLEM, ISSUE,OPPORTUNITY Explain the situation or conditions that created a need for your project � or request. ADVANTAOES IF APPROVED Indicate whether this is simply an annual budget procedure required by law/ charter or whether there are specific ways in which the City of Saint Paul and its citizens will benefit from this pro�ecUaction. DISADVANTAGES IF APPROVED What negative effects or major changes to existing or past processes mfght this projecUrequest produce if it is passed(e.g.,traffic delays, noiae, tax increases or essessments)?To WhomT When? For how long? DISADVANTAGES IF NOT APPROVED What will be the negative consequences if the promised action is not approved? Inabfllty to deliver service?Continued high traffic, noise, accident rate? Loss of revenue? FINANCIAL IMPACT Although you must tailor the information you provide here to the issue you are addressing, in general you must answer two questions: How much is it going to cost7 Who is going to pay?