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99-90��i 1� �� b � f�'�^-" S, \ 1 1 1 Council File # � q� Q� o � � ^ � (� ( ^ � � p _ „ � Resoluii 1J � Y H v �� tita�, � ��„��,�� 3� �- �a�,�`�� Sheet # G 3S RESOLUTION CITY OF SAINT PAUL, MINNESOTA �� dl� � z� Presented By Referred To Committee: Date Saint Paul Housing Plan WfIEREAS, the Planning Commission has recommended the Saint Paul Housing Plan as a chapter of the updated Saint Paul Comprehensive Plan, and WHEREAS, the Saint Paul Housing Plan was the subject of a public hearing before the City Council and the Plamiiug Commission on December 7, 1998, and 9 WHEREAS, the Saint Paul Housing Plan outlines the City's policy related to the maintenance, preservation 10 and production of its housing stock in order to meet the needs of households of all incomes who currently live 11 in the city or who may be attracted to move here; and 12 � WHEREAS, under Minnesota Statutes Chapter 473.864, Subd. 2, Saint Paul is required to update its Comprehensive P1an regularly and to submit an updated P1an by the end of 1498 (or to an extended date); 15 16 NOW, 'I`IlEREFORE, BE IT RESOLVED, that the City Council of the City of Saint Paul adopts the Saint 17 Paul Housing P1an as an amendment to the Saint Paul Comprehensive Plan contingent on further review by 18 adjacent communities and the Metropolitan Council; and 19 20 BE IT FURTHER RESOLVED, that the Saint Paul Housing Plan replaces the Housing Policy for the 1990s, 21 adopted on September 20, 1990, as the housing chapter of the Saint Paul Comprehensive Plan. Requested by Department of: Xarris Date ��_�� by Council SeCretary Plannin E nomic Deve o met � By: � Form ApF Approvec 9 � Council File # 9 q - �Q Green Sheet # 35 RESOLUTION CITY OF SAINT PAUL, MINNESOTA Presented Referred To Committee Date �� o � l�a` aJJ °-�, � ��.-s � � �------�, � "R"�.o.�.,�� y \ � � �_ ��°-^�� '��5� �, w�-�,�, � 6.,�4._� ."� ��' � \ �-;�-�, �-- 1 �\ , \��1.`t , \l Requested by Deparhnent of: � Form Approved by City Attomey � Adopfion Certified by Council Secxetary Appioved by Mayor foT Submission to Council By: , � ---�BY� Approved by Mayor: ate � Adopted by Council: Date -�-�„ ,_�. c�. �� and TOTAL#OFSIGNATUREPAGES Mayor Reco�endation �S�tn-f �G4-i.�-� City Council Adoption HDIJS � hGj �� J A PLANN�NG CAMMISSION CIB CAMMRTEE CIVIL SERVICE CAMMISSION A Staff Update of the Saint Paul Comprehensive Plan . GREEN SH ,J�'�M� ( � . . , � qq,_9a No ��5� ��..�,.�.� � u ��._ Q �.,,�, !3 �� ❑ �,� _ ❑ ..�,�, �. ❑ �.,�,.�� Q �,��.,�..w.� ❑ (CLIP ALL O�iS FOR StG _ ) �� Has a,is cersoMUn Hes this ''fL'9 Dnesthis n Isthis rtne uMer a contract far tfus departmeM't ver been a cnY emPbyee9 � a sKll � ortnaltypossessed by any curreM city employee7 ventloYl Additional major portions of the new Comprehensive Plan will be completed and these will meet update requirements in state 1aw. �� y�; �'�Z �: � i '�'" LT � None �� 12 1999 � 110UNT OF TRANSACTION S COSTfREYENUE BUDGETED (CIRCLE ON� YES NO SoURCE ACTNITVNUMBER p � INFORMflTON (IXPWN) °'�� JAN 131999 . � NR� �rne�l,�� o � � ( ay t� CITY COUNCIL AMENDMENTS TO THE HOUSING PLAN q`t -`�° ADOPTED 3/24199 1. Author Councilmember Blakey; Location page 10, insert fouRh paragraph: 6. Discrimination continues. Despite continuin¢ efforts on the �zrt of federal, state and local goveniments, bias continues to act as an impediment to a si�nificant number of home seekers in Saint Paul. 2. Authors Councilmembers Coleman and Lantry; Location page 12, insert fznal paragraph: 43 d. Additional resoittces she� must be idenfified and used in partnership with those code enforcement efforts to assist property owners to make the necessary repairs and improvements before there is significant deteriorarion. 3. Author Councitmember Benanav; Location page 13, insert at end: 4.6 Priorit�hall be given to projects that commit to the long-term affordabilityof housingunits. 4. Authors Councilmembers Coleman and Lantry; Location page 14, insert final paragraph: 5.1 a. [to encourage the construction of new units, the City should) make assistmg potential developers a riori , when necessary, in the assembly and clean up of land and the construcfion of infrastructure. This should include devising mechanisms to more easily transfer the ownership of taY=forfeited properties to community development corporations or other community-based organizations for development. 5. Authors Councilmembers Coleman and Lantry; Location page 16, insert fcnal paragraph: 5.3 b. Stron I encourage raajer local employers to invest in the production of rental housing to serve their workforce, on their own or in narinership with other businesses, government aeencies and nonprofit oreanizations. 6. Author Councilmember Blakey; Location page 19: 6.1a. �etts�ng: Encourase the Minnesota Leeislature to rnovide adequate fundin�for communities to meet Livable Communiries goals for affordable housin¢ and to adopt the other provisions of the Metropolitan Council's Housine Reform Initiative includine an incenfive pr�am for communiries to lower housingconstruction costs associated with local requirements, a reassessment of the state buildine code, rental housing_resources for replacement housin¢ and rehabilitation, new rental housine resources, fundin� for homeless assistance, preservation of existine federallv assisted rental housine and sup�ort for new and rehabilitated ownershio housine. The Ciri also insists that the Metro 00 litan Council enforce a11 agreements to Urovide low-income housine in the municioalities that utilized public funds for infrastructure expansion since 1973. � � _�,o 7. Auihor Councilmembers Coleman and Lanfry; Location page 20, insert new ferst paragraph: b. The City and its oartners should encoura�e the Minnesota Leaislature to strengthen the Livable Communities Act to make it more likelv to have a real im�ct on the availabilitv of affordable housine for the metropolitan re¢ion. This is important eiven the results of ffie recent study bv the University of Minnesota Center for Urban and Re�ional Affairs which indicates that even if all the production goals of the Liveable Communities Act are met, the retion will still fall behind in affordable housingprovision b�comQetion of Livable Communitv Plans. [This amendment will cause the renumbering ofthe current 6.I.b-e to 6.I.c-f.J 8. Authors Councilmembers Coleman and Lantry; Location page 20: 6.2 [With its partners, the City should:] a. Lobby for the expansion of federal and, especially, state financing for the conshuction and preservation of affordable housing throughout the region. S�ecificallv the Citv will prouose for current and future legislative aeendas that the state double. thereby achievin� 1% of the state budget for housin , i� ts expenditures on housina bv sienificantly increasin� its appropriations for the Minnesota Housin� Finance Agenc�and for implementation of the Livable Communities Act. 9. Authors Councilmembers Coleman and Lantry; Location page 20: 6.2 [With its partners, the City should:] b. Identify new local resources that can be used to leverage additional public and private financing. HRA resources represent flexible fund sources that can and should be tapped by City policy makers. Additionallv. the CitY should dedicate one half of its Neighborhood STAR Proz�am revenue for housing development for at least the next two }�ears. 10. Author Councilmember Blakey; Location page 2I, insert second paragraph: d. The citv will lobby the Public Housing Asency�PHA) to create a nosition of ombudsmanladvocate at PHA, connected with communitv oreanizations. who can work with PHA clients to full explain their ri ts, responsibilities and housing options. The Housin� Information Office should work with appronriate service providers to develop and distribute�rinted materials or on-line resources related to available emergencv shelter and transitional housing services as well as to services available from the wide variety of advocacyor�anizations. 11. Author Councilmember Benanav; Location page 22: 6.4 Among the 300-400 units of housing to be constructed, a minimum of 20% or 60-80 should be affordable to households with incomes below 8A% 50% of the regional median, with at least half going to those to be affordable to households with incomes below 36% 30% of the regional income. In the event that the total number of units constructed falls short of 300-400, affordable units should represent 20% of those that aze constructed. While the high cost of new construcrion, the limited availability of subsidy funds and the City's need to expand its ta�c base mean that much of the housing built in Saint Paul will be rented or sold at mazket rates, the City and its partners should commit themselves to adding .- •,. to the supply of decent, safe and affordable housing through new construcrion. To that end, the City should encourage the development of housing affordable to households with incomes below 50;�8�-88 percent of the regional median income by a. Investing public financing o211�' in developments where �t�a a minimum of 20% of the units aze reserved for households with incomes below $8 50 ep rcent of the regional median income, with half of those for households with incomes below 36 30 percent of the regional median. Developments in neighborhoods with little affordable housing and strong housing markets should be encouraged to provide a minimum of 20 percent of their units to lower income households while tttose in weaker mazkets should be asked to provide a smaller shaze. 12. Author Councilmember Blakey; Location page 23: 6.5 The City shall follow the Replacement Housing Policy ouflaned in Chapter 93 of the Administrative Code. Existing policy requires that City agencies proposing the demolition of conversion of affordable rental housing shall provide the City Council with an affordable rental housing analysis outlining the impact of the proposed project on the availability of such housing in the City. Under certain circumstances, including when there has been a net loss of affordable rental housing units (those affordable to households with incomes below 55% of the regional median), the director of PED shall recommend the replacement of units slated to be lost. The City Council has fmal responsibility for approving, amending or rejecting that recommendation. If the Council determines that units should be replaced, adequate funds to finance the construcfion of those replacement units within three yeazs shall be approved by the agency proposing the project. Inasmuch as the ordinance was adopted in 1989 and has not been revised since then, any issues relarive to its implementation should be identified and addressed as part of the process of implementing the plan. 13. Author Councilmember Blakey; Location page 26, at end.• 6.10 Work to overcome bias in the housine mazket. The Citv recoe�izes that over thirt�vears have passed since the ori�inal enacrinent of the Federal Fair Housine Act prohibiting discrimination in housin� andyet bias continues to affect Saint Paul's racial and ethnic minorities, the disabled and families with minor children. The task of overcomingbias must be accepted as the joint responsibilitv of federal, state, countv and City_governments in coo�eration withprivate and non�rofit sectors. To this end the City will supnort: 1. Svstemic testina in the housina mazket to identify bias 2. Enforcement of Saint Paul's human ri�hts ordinance in respect to housing discrunination 3. Educational and outreach pro�rams directed towards housin�providers, including landlords, rental aeents, real estate sales personnel, mortgage lenders, nronertv annraisers and pronertv insurers 4. Outreach pro�rams directed towards neiQhborhood oreanizations and district r-t.`� -�D planninst councils to �romote,�assroots awareness of the Qroblem 5. Creation of a Saint Paul Fair Housine Council comprised of re�resentarives of citv �overnment, the private sector, communitv a�encies and the Minnesota Fair Housing Center which shall advise the City in its on�e, work to idenrify and overcome unlawful bias throu testing., enforcement, planning educarion and outreach. 14. Authors Councilmembers Coleman and Lantry; Location page 26, insen at end: 6.12 The Citv and its partners should fiirther explore �olicXoprions used by other major metronolitan azeas such as residential hotels, local trust funds develo�ed from a stream of revenues from real estate transacrion fees; zonin�chanQes like inclusionaryzoning or density requirements. 15. Author Councilmember Btakey; Location page 28, at end: 73 Fair Housin� Plannine. Staff assig,ned to convene the Housin� Coordination Team shall also be assimed to the Saint Paul Fair Housine Council, as idenrified in 6.10 above, and shall in cooperation with the Fair Housine monitor and evaluate the ci �'s proeress on an annual basis. The Council shall in cooperarion with assigned staff present its findings for inclusion in the Housing Action Plan and make such recommendations as mav be necessar� nrouer to fulfill the plan and meet obLctives towards buildine an inclusive communitv. � q4- Ro 3 CITY OF SAINT PAUL Norm Coleman, Mayor Apri15, 1999 Council President Dan Bostrom and Members of the City Council 310 and 320 City Hall 15 West Kellogg Boulevard Saint Paul, Minnesota 55102 Dear Council President Bostrom and Members of the City Council: l�e'�i� ., ,.��3.� Regarding: Veto ofyour resolution approving the Saint Paul Housing Plan with amendments (Couttcil File 99-90) I am returning to you, with my veto, Council Pile 99-90. I do so with considerable reluctance, because I believe we are in substantial agreement on most elements of the plan. However, those areas of the plan that substantially increase spending as a singular solution to the affordable housing issue are simply not acceptable. This administration has remained consistent in its belief that the solution to every problem is not to spend more money, but to become more creative and effective with the money we do spend. When I transmitted the Plan to you in January, I noted that it had been the subject of broadly based community discussions and that it recognized the importance of addressing the housing needs of households of all incomes — those who live here now and those who might be attracted to move into the City. The Plan is based on the premise that the City of Saint Paul has the opportunity to capitalize on a time of growth and change — a twenty year period of time that holds the opportunity of adding 2Q000 people to our population, 12,OOQ jobs to our employment base and 6,000 new units to our housing stock. I believe this future holds the promise of enhancing and preserving the character of our neighborhoods while acknowledging the changing demographics of our new millennium. The Plan emphasizes the importance of enhancing, maintaining and restoring the traditional charm of our neighborhoods, but suggests that new housing will be of a somewhat different character — a variety of smaller housing types that will prove attractive to young families starting out and older people wishing to downsize their lives as they approach and reach retirement. In other words, we can provide housing that will allow both our children and our parents to live in Saint Paul. 390 CiTy Hall Telepiwrse: 651-266-8510 ISWestKelIoggBoutevard Facsimite:651-26b-8513 Saint Paul, MN SSIO2 ,.,._ _ , ` . '^ ."'d:� , � g4-�b Members of the City Council Page Two Apri15, 1999 At the same time, the Plan emphasizes the importance of maintaining our commitment to affordable housing and making reasonable additions to the supply of affordable housing in our communiries. Although Saint Paul is home to only 13 per cent of our region's population, we provide 20 per cent of our region's affordable housing. By suggesting that 20 per cent of new units constructed in our City should be affordable, the proposed Plan represents a significant step beyond the policy adopted by the City ten years ago without unreasonably increasing the financial and social burdens of building and maintaining affordable housing. The proposed Plan recommended that half of the additional affordable housing constructed should be affordable to households with incomes at or below 80 per cent of regional median income ($43,000 for a family of three) and half should be at or below 50 per cent of regional median income ($28,600). Staff estimates that the additional cost of constnxcting these additional affordable housing units will total some $900,000 per yeaz. Furthermore, we estimate t}tat preserving and maintaining eatisting affordable units will cost about $2,000,000 per year. Thus, implementing the Plan as proposed would cost approacimately $3,000,000 per year. (Please note that these numbers represent direct City expenditures, not total development costs.) At your meeting March 24, you amended the proposed Plan to suggest that ten per cent of our new housing units be made available to households at or below 50% of inedian income and ten per cent should be made available to households at or below 30% of inedian income. The City Council's proposal increases spending of more than $3 million per year to somewhat more than $5 million. This is not acceptable. Affordable housing is an important issue, however, I take exception to your position that other housing issues in the City should, be viewed as less critical than affordabie housing. Quite frankly, affordable housing is not a"crisis" issue at this time in Saint Paul that requires massive public spending to "fix" it. Other housing issues are critically important, too. Yet, as I look upon the horizon as to other issues which may impact our community, I believe we must be wiser in our investment of funds and recognize the long-term concerns of our City as opposed to an oveneaction that will cost taxpayers millions of dollars. As I explained in my State of the City address last month, I have been convinced by former Mayor George Latimer and other housing advocates that the income levels proposed by the Planning Commission were too high. I suggested that we make 20 per cent of our new housing units available to households with incomes at or below 60 per cent of regional median income ($34,320). I propose this as a compromise to you as well. R 9-go Members ofthe City Council Page Three Apri15, 1999 In place of your amendment 11 (see copy attached) I would propose the following language: 6.4 Among the 300 - 400 units of housing to be constnxcted, 20 %, or 60 - 80 units, should be affordable to households with incomes below 60% of the regional median. In the event that the total number of units constructed falls short of 300- 400, affordable units should represent 20% of those units that are constructed. While the high cost of new construction, the limited availability of subsidy funds and the City's need to expand its taac base mean that much of the housing built in Saint Paul will be rented or sold at market rates, the City and its partners should corrunit themselves to adding to the supply of decent, safe and affordable housing through new construction. To that end, the City should encourage the development of housing affordable to households with incomes at or below 60% of the regional median income by a. Investing public financing only in developments where 20% of the units are reserved for households with incomes at or below 60% of regional median income. Developments in neighborhoods with little affordable housing and strong housing markets should be encouraged to provide ZO of their units to lower income households while those in weaker markets should be asked to provide a smaller share. I believe this change will give us a Plan that we can be proud of— and that we can afford as well. And, if you make this change to the Plan as you adopted it, I will sign it and forward it to the Metropolitan Council. Sincerely, � N`� sA I� Norm Cole an Mayor Attachment 7AY BENANAV Councilmember Apri16, 1999 TO: Housing Advocates CITY OF SAINT PAUL OFFICE OF THE CITY COUNCIL 310 CITY HALL IS WEST KELLOGG BOULEVARD SAINT PAUL, MN 55102-1615 PHONE: (651) 266-8640 FAX: (651) 266-8574 FR: Councilmember Jay Benanav Councilmember Kathy Lantry Councilmember Jerry Blakey Councilmember Chris Coleman RE: Mayor's Veto of Saint Paul Housing Plan ��b By now you know that Mayor Coleman has vetoed the city council resolution approving the Saint Paul Housing Plan. It is important that you, as an advocate for affordable housing development, have a copy of the full text of his veto message. The mayor has taken issue with the council's amendment establishing the affardable income threshold at 30 and 50 percent of inedian income. The mayor has proposed a compromise that would set that threshold at 60 percent of the azea median. The mayor indicates that the city council's amendment costs $2 million too much. The projected costs of the current housing plan set forth in the second paragraph of page 2 were never brought before the council during its deliberations. The source of the $3 million in direct city expenditures is unclear. In the mayor's proposed compromise, he gives no analysis of the cost or source of funds. In any case, the council just approved the allocation of $3 million in Neighborhood STAR funds for housing which we hope will be matched by the state legislature. Further, the McKnight Foundation has just committed $b million over four years to Saint Paul for the development of housing serving incomes from $18,000 to $35,000. This is over and above the city's current expenditures for housing. We aze also intent upon challenging business, labor unions, churches and foundations to get involved in affordable housing development. Our friends in organized labor are excited about creating new affordable housing. And many of you are probably awaze that House of Hope Presbytarian Church has set a goal of raising $4.5 million for affordable housing development. Seventy percent of the jobs we are creating through city economic development programs pay from $9 to $14 per hour, or appro�mately 30 to 50 percent of area median. Providing safe, decent and affordable housing for our workforce is a housing issue — and an economic development issue. Thank you for your support. 6 48 Printetl on Aerycled Paper ��' I � CITY OF SAINT PAIJI, 390 Ciry Ha!! Tetephnrse: 651-26b-8510 Norm Ca[eman, Mayor IS West Kellogg Boulevard Facsimile: 651-266-8513 Saint Paut. MN 55102 Apri15, 1999 Council President Dan Bostrom and Members of the City Council 310 and 320 City Hall 15 West Kellogg Boulevard Saint Paul, Minnesota 55102 Dear Council President Bostrom and Members ofthe City Council: Regarding: Veto of your resolution approving the Saint Paul Housing Plan with amendments (Council File 99-90) I am retuming to you, with my veto, Council File 99-90. I do so with considerable reluctance, because I believe we are in substantia] agreement on most elements of the plan. However, those areas of the plan that substantially increase spending as a singular solution to the affordab(e housing issue are simply not acceptable. This administration has remained consistent in its beliefthat the solution to every problem is not to spend more money, but to become more creative and effective with the money we do spend. When I transmitted the Plan to you in January, I noted that it had been the subject of broadiy based community discussions and that 'st recognized the importance of addressing the housing needs of households of all incomes — those who live here now and those who might be attracted to move into the City. The Plan is based on the premise that the City of Saint Paul has the opportunity to capitalize on a time of growth and change — a twenty year period of time that holds the opportunity of adding 20,000 people to our population, 12,000 jobs to our employment base and 6,000 new units to our housing stock. I believe this future holds the promise of enhancing and preserving the character of our neighborhoods while acknowledging the changing demographics of our new millennium. The Plan emphasizes the importance of enhancing, maintaining and restoring the traditional charm of our neighborhoods, but suggests that new housing wil] be of a somewhat different character — a variety of smaller housing types that will prove attractive to young families starting out and older people wishing to downsize their lives as they approach and reach retirement. In other words, we can provide housing that will allow both our children and our parents to live in Saint.Paul. � Members of the City Council Page Two April 5, 1999 �jq-q� At the same time, the Ptan emphasizes the importance of maintaining our commitment to affordable housing and making reasonable additions to the supply of affordable housing in our communities. Although Saint Paul is home to only 13 per cent of our region's population, we provide 20 per cent of our region's affordable housing. By suggesting that 20 per cent of new units construcced in our City should be affordable, the proposed Plan represents a significant step beyond the policy adopted by the City ten years ago without unreasonably increasing the financial and social burdens of building and maintaining affardable housing. The proposed Plan recommended that half of the additional affordable housing constructed should be affordable to households with incomes at or below 80 per cent of regional median income ($43,000 for a family ofthree) and haif should be at or below 50 per cent of regional median income ($28,600). Staff estimates that the additional cost of constructing these additional affordabie housing units will total some $900,000 per year. Furthermore, we estimate that preserving and maintaining existing affordable units wi11 cost about $2,000,000 per year. Thus, implementing the Plan as proposed would cost approximately $3,000,000 per year. (Please note that these numbers represent direct City expenditures, not total development costs.) At your meeting March 24, you amended the proposed Pian to suggest that ten per cent of our new housing units be made available to househoids at or below 50% of inedian income and ten per cent shouid be made avaiVable to households at or below 30% of inedian income. The City Council's proposal increases spending of more than $3 million per year to somewhat more than $5 million. This is not acceptable. Affordable housing is an important issue, however, I take exception to your position that other housing issues in the City should, be viewed as less critical than affordable housing. Quite frankly, affordable housing is not a"crisis" issue at this time in Saint Paul that requires massive pubiic spending to "fix" it. Other housing issues are critically important, too. Yet, as I look upon the horizon as to other issues which may impact our community, I believe we must be wiser in our investment of funds and recognize the long-term concerns of our City as opposed to an overreaction that will cost taxpayers millions of dollars. As I explained in my State of the City address last month, I have been convinced by former Mayor George Latimer and other housing advocates that the income levels proposed by the Planning Commission were too high. I suggested that we make 20 per cent of our new housing units availabfe to households with incomes at or below 60 per cent of regional median income ($34,320). I propose this as a compromise to you as well. q�G�� Members of the City Council Page Three April 5, 1999 In place of your amendment 11 (see copy attached) I would propose the following language: 6.4 Among the 300 - 400 units of housing to be constructed, 20 %, or 60 - 80 units, should be affordable to households with incomes below 60% of the regional median. In the event that the total number of units constructed falls short of 300- 400, affordable units should represent 20% of those units that are constructed. While the high cost of new construction, the limited availability of subsidy funds and the City's need to expand its tax base mean that much of the housing built in Saint Paul will be rented or sold at market rates, the City and its partners should commit themselves to adding to the supply of decent, safe and affordable housing through new construction. To that end, the City should encourage ihe development of housing affordable to households with incomes at or below 60% of the regional median income by a. Investing public financing only in developments where 20% of the units are reserved for households with incomes at or below 60% of regional median income. Developments in neighborhoods with little affordable housing and strong housing markets should be encouraged to provide 20 of their units to lower income households while those in weaker markets should be asked to provide a smalier share. I believe this change wili give us a Plan that we can be proud of— and that we can afford as well. And, if you make this change to the Plan as you adopted it, I will sign it and forward it to the Metropolitan Council. Sincerely, (V eA I��...---- Norm Coleman Mayor Attachment • •� City of St. Paul Office of the City Council 320 City Half Saint Paul, MN 55102 (651) 266-8570 INTER-DEPARTMENTAL MEMORANDUM DATE: March 24, 1999 TO: Councilmembers and Legislative Aides FROM: Marcia Moermond, Policy Analyst �A��"' � SUBJECT: Additionai Housing Plan Amendments (3/24/99 Council Meeting, Agenda Item # 24) Attached aze two amendments: ❑ A revised l lc.from Councilmember Benanav which makes the first and third paragraphs consistent in the proportion of affordable housing to be set as a goal: now both pazagraphs indicate that 20% of the added units should be affordable to people at 30% of the median income. ❑ a new amendment, number 17. I am also attaching some additional information on affordable housing from the Housing Information Office (paper form only, I don't have an electronic version to send) on affordability of rental units to augment data in Appendix S of the Housing Plan. Please contact me with any questions or comments on these plans. Also note that this memo and attachment has been emailed to you. attachtnent cc: Ken Ford and Nancy Homans, PED Gerry Strathman and Nancy Anderson, Council Research Phil Byrne and Peter Warner, City Attorney's Office t • • � CITY COUNCIL PROPOSED AMENDMENTS - ADDDENDUM TO THE HOUSING PLAN l lc. Author Councilenember Benanav; Location page 22: 6.4 Among the 300-400 units of housing to be constructed, 20% 69-88 should be affordable to households with incomes below 88% 30°l0 of the regionai median. In the event that the total number of units constructed falls short of 300-400, affordable units should represent 20% of those that are constructed. While the high cost of new construction, the limited availability of subsidy funds and the City's need to expand its tax base mean that much of the housing built in Saint Paul will be rented or sold at market rates, the City and its partners should commit themselves to adding to die supply of decent, safe and affordable housing through new conshuction. To that end, the City should encourage the development of housing affordable to households with incomes below 3A; 68-a�i-S8 30 percent of the regional median income by a. Investing public financing only in developments where �p�e 20% of the units aze reserved for households with incomes below S9 30 ep rcent of the regional median incom , ��. ..:ms�_7..""'�_ "'��hAllsti �` t.] t't L 1 1 L 1.1 L 1 .� . In order to accomplish this �oal the Citv of Saint Paul, on an annual basis, shall reguire that at least 20 nercent of all publiclv assisted housin dg evelopments of 5 units or more either rental or ownershin shall be affordable to families at or below 30 nercent of the metropolitan median income. Onlv develoaments of 5 units or more are subject to the 20 percent re_quirement. 17. Author Councilmember Benanav; Location page 13, insert at end: 4.6 Enhance the efficiencv and longevitv of the public's investment in housing bv i�v'm_g,prioritv in the disbursement of discretionary funds to projects and nroarams that "recycle" those subsidies for uresent and future penerafions Discretionarv funds available to the City from federal, state, and other sources for use in subsidizing the �roducrion rehabilitarion or oneration of housing are in short sup� — and likelv to remain so for the foreseeable future To the extentpossible�prioritv in disbwsing these scarce resources should eo to vroiects and nroerams in which the housine benefits nurchased with these funds are preserved for as long as nossible (subsidy retention� Where the long term retenrion of housinQ benefits nurchased by the nublic is not possible prioritv should ¢o to proiects and nroerams in which the funds themselves aze recautured b the City in order to purchase new housin� benefits in the future (subsidy recanture) 1998 Income Standards - HUD 1I20i98 � 7his is the mid point of income fU�a "�anJr�co�e indexed bv_the Peo21e in Income Hourly Affordable � househotd ---- Wage Rent 1 person 2persons 3persons 4persons 5persons 6persons 7persons 8persons 5az,soa $48,600 $54,700 560,800 565,700 $�o,soo �75,400 �80,300 60% Median Income indexed by famiiy size 1 person 2persons 3persons 4persons 5persons 6persons 7persons 8persons 25560 29160 32820 36480 39420 42300 45240 48180 50% Median income Indexed by family size �person 521,300 2persons �24,300 3persons �27,350 4persons $30,400 5persons $32,850 6persans $35,25Q 7persons $37,700 8persons 540,150 30% Median Income Indexed by family size ? person �12,780 2persons $14,580 3persons 516,410 4persons S18,240 Spersons $19,710 6persons $21,150 7persons 522,620 8persons 524,090 20.48 23.37 26.30 2923 31.59 33.89 36.25 38.61 Houriy Wage 12.29 14.02 15.78 17 54 18.95 2�,34 2'i .75 23.16 ��,oss $1,2'15 51,368 $1,520 51,643 �1,763 �1,885 �2,008 Affordable Rent 639 729 820.5 912 985.5 1057.5 1131 1204,5 9g-90 Housing Information Ofiice 1998 Reference tables on incomes and affordable rents Weifare Income : 1997 standard Ind'exed lncome Hourf Affordable family si ----- Wage Rent 1 person 2persons 3persons 4persons 5persons 6persons 7persons 8persons $3,900 $7,74D $9,696 $11,484 $13,056 $14,856 $16,236 $18,660 $1.88 $3.72 54.66 $5.52 $6.28 �7.14 $7.81 $8 97 $98 $194 5242 $287 $326 $371 $406 5457 (Known as "Low Income") Hourly Affordable Wage Rent S10 24 S11 68 S13 �5 S14.62 S15 79 S'16.°5 S18 13 S19 30 $533 $608 $6S4 5760 $821 $881 �943 51,004 {KnDwn as "Very Low Income") Hourly Affordabie Wage Rent S6 i� 57.0' S7 89 S8.77 S9 48 S10.17 510.88 S11 58 5320 $365 $41� a456 �493 $529 $566 $602 � "� r i � t � pJ��"T� .Lvt Cv% 1 person 2persons 3persons 4persons 5persons 6persons 7persons 8persons hourly wage 6 7 8 9 10 11 12 13 annuai $7,890.00 � 10,610.00 �13,330.00 516,050.00 518,770.00 ^�21,490.00 524,210.00 $26,930.00 worhhours 2080 2080 208D 2080 2080 2080 2080 2080 hourly $3.79 $5.10 $6.41 $7.72 $9.02 $10.33 $11.64 $12.95 annuai income �12,480 $14, 560 $16,640 518,720 $20, 800 �22, 880 $24,880 $27,040 monthly $658 5884 $1,111 51,338 $1,564 $1,791 $2,0�8 $2,244 Povertyincome - Nc x r r�;:� �- k � �� 0 '. Supply of Units for Rental St. Paul Md Afordabiifij to 50% 8 30% of Median income 300 250 v N ZOO � d > v R c 150 � w 0 d a � 100 Z � [�] ■ Advertized �f� 11 Uni9 �� 50%median can afford ■ 30% median can afford Jan Feb Mar Apr f}Ii 161 193 213 214 so� H•d 138 94 185 183 3o'�M�d 8 5 2 4 May Jun Jul Aug Sep 211 242 148 174 173 179 209 122 149 140 7 8 5 15 9 Oct Nov Dec 167 147 169 141 112 147 6 6 4 Data is irom the Saint Paul Pioneer Press renta! ciassifieds January '98 - December 98 Data Applies to Saint Paul Proper and not to the Metro Area Data compifed by the Saint Paul Fiousing information Office (851)266-6000 Jan Feb Mar Apr May Jun Jul Aug Sep Oct P1ov Dec Monthly sample Study �r � � � , � � U � O O � � N � C .� � � U t0 w �D O � � � � X � Y N � C � � .� (� .� �1-+ � � a L � �O •� � � `o � � � � � £ � _ L '"' N L if y � c � Z N � � � Q � � � T � °� m c � `o c ' U � � Q � m ¢ � m O O O f0 R N ;ua� �o� sy,un;o �aqwnu a6e�ane x ¢ � m v x � m N � � a o � � � �n �' v o c w � � d N � N L a y N � � O O � O � a N (0 n � � � `"' a N m � u in � �n = � U (� � CO .�.. O. N Q r � .«i U � N O � y �� C '`� C O sr :«. 3 O L � . '++ w. � �° u c O N E _ � � O ' � j m w I� � � � � Q (6 � � '� -� � � � � � o u � _ �� o� � o ` L � w' "a `�- CJ �., C T d � C � � V � N � � N 'C U N � Q � N O �� ... U m 7 � >. W >o�o� QUOY w C N r � � rn � m C m .-� f0 � N r U � �� L M 19 �� c�rir couNCi� PROPOSED AMENDMENTS - ADDDENDUM 2 TO THE HOUSING PLAN For Item #24 on 3/24199 Council Agenda l ld. Author Councilmembers Coleman, Lantry and Benarzav; Location page ll: 6.4 Among the 300-400 units of housing to be constructed, 20% 6A-88 should be affordable Q � to households with incomes �ela�-&�% between 30 and 55% of the regional median. In �� (� the event that the total number of units constructed falls short of 300-400, affordable �C � units should repres�nt 20% of those that are constructed. i 9.��_ While the high cos of ne�tt'construction, the limited availability of subsidy funds and the City's need to expand its taY base mean that much of the housing built in Saint Paul will be rented or sold at market rates, the City and its partners should commit themselves to adding to the supply of decent, safe and affordable housing through new construction. To that end, the City should encourage the development of housing affordable to households with incomes , between 30 and 55% percent of the regional median income by a. Investing public financing o� in developments where a�-te 20% of the units are reserved for households with incomes belerv-8A between 30 and 55% ep rcent of the regional median incom , ' � � r r �.. t� y a O � � � � \ � � 0 U � �.L � C .� � O � U � � � � � U D m V .` m m `e � 3 � � � � °n � m N � C d a� w � M L �` d N a C .� � •.�.r V . m d L O 7 v � � O C �a ° m� �� d o� � 0 0 ` e � ` N a C .� T U � � o�. t6 N C. � � � � m � � r " � N O O c. a � � � m � m C�J .` N d m � 3 u m� c �� ° m� N Q N r O d �g O p � W 0 C M v NC C .� a « Ci .` « d d C � 7 v � C � C �� ° m� � � m �� e M t�1 N 0. C .� p6 -bb O O O O O O O O O aD 1� (D it! � M N � 6uisnoH nnaN �ua��ad O�Otimt� �MN 6wsnoH nnaN;ua�ad 0 0 0 0 0 0 0 0 0 CD t� tD �n � M N �- 6wsnoH nnaN �uaa�ad 0 0 0 0 0 0 0 0 0 aD t� t0 N sh M N e- 6uisnoN MaN;uaalad 99-90 CITY COUNCIL ALL PROPOSED AMENDMENTS TO THE HOUSING PLAN 1. Author Councilmember Blakey; Location page 10, insert fourth paragraph: 6. Discrimination continues. Desnite continuing efforts on the �art of federal state and local �ovemments bias conrinues to act as an imnediment to a sienificant number of home seekers in Saint Paul T'he Institute on Race and PovertY of the Universitv of Minnesota concludes that the Twin Cities metro area is amone the nation's most residenrially segregated A fair housin� audit bv the Minnesota Fair Housin¢ Center has found that racial bias is a significant factor in rental housing �PED STAFF COMMENT: Policies related to addressing discrimination and enforcement of the Federal �� Fair Housing Act are important additions to the Housing Plan. .�ALTERNATE LANGUAGE FROM PED 6. Discrimination continues. Desnite continuina efforts on the o � nart of federal, state and local qovernments, bias continues to act as an imoediment to a sianificant � number of home seekers in SaiRt Paul. n HUMAN RIGHTS STAFF COMMENT: Requested by Council Research, forthcoming. l. �uthors Councilmembers Coleman and Lantry; Locatinn page 12, insert fina! paragraph: 4.3 � d. Additional resowces sHec� mnst be identified and used in partnership with those code y` p enforcement efforts to assist property owners to make the necessary repairs and improvements b �.'� before there is significant deterioration. 3. ll �� (' ,° �� Authors Counci[members Coleman and Lantry; Location page 14, insert final paragraph: 5. I a. [to encourage the construcrion of new units, the City should] make assist� potential developers a riori , when necessary, in the assembly and clean up of land and the construction of infrastructure. This should include devising mechanisms to more easily transfer the ownership of tax-forfeited properties to community development corporations or other community-based organizations for development. 4. �Authors Councilmembers Coleman and Lantry; Location page 16, insert final paragraph: 5.3 �� f a. Advocate for additional reforms of those State tax provisions that discourage the construction � and�� ership pf rental housing, includin decreasin the taJt rate on residential rental ro e. 5. Authors Cou��nci members Coleman and Lantry; Location page 16, insert final paragraph: 5.3 � Stronelv encourage tna�er local employers to invest in the production of rental housing to serve � their workforce, on their own or in nartnershin with other businesses government agencies and � nonprofit organizarions. 6. � �� 1 Author CounciLmember Blakey; Loration page 19: 6.1a. The Legislature should commit additional funds to the Metropolitan Livable Communities Demonstration and housing accounts as an incentive for suburban and stronger central city communiries to produce affordable housing. The citv also insists that the Metropolitan Council enforce all aareements to provide low income housine in ttte municivalities that utilized public funds for infrastructure exoansion since 1973 .. .� �� l � 7. �� , a PED STAFF COMMENT: The Iink behveen low-income housing and infrastructure improvements that was made by the Metropolitan Council in the 1970s was related to the Counal's role in reviewing appiica6ons made 6y cities for federal parks and open space funds. Posfive reviews on tfiose appiica6ons was related to the city's performance in providing affordable housing. That review mechanism was eliminated during the Reagan administration. There are no outstanding "agreements." As federat funding programs have changed, the Metropolitan Councii no longer has a role in leveraging Iocai participation in the production of affordable housing. Instead, the Council is the Iead impiementing agency for the Metropolitan Livable Communities Accounts that offer incentives for the production ot affordabfe housing. To more tuNy address the issues raised by this proposed amendment, planning staff recommends the following plan amendment: ALTERNATE LANGUAGE FROM PED 6.1.a. atfordable housina and to adoot the other orovisions of the Metr000litan Council's Housinq Reform Initiative includinq an incentive oroqram for communities to lower housinq construction costs associated with local reauirements a reassessment of the state buildinq code rental housinq resources for realacement housinq and rehabilitation new rentat housina resources fundinq for homeless assistance oreservation of existinq federaliv assisted rental housinq and su�oort for new and rehabilitated ownershi� housina �,�„_�, o q,,� �� g�__ __ , X � � Author Councilmembers Coleman and Lantry; Location page 20, insert new f:rst paragraph: b. The Citv and its nartners should encourage the Minnesota Legislature to strengthen the Livable Communities Act to make it more likely to have a real imnact on the availabilitv of affordable housine for the metronolitan repion. This is imnortant given the results of the recent study bv the Universitv of Minnesota Center for Urban and Reeional Affairs which indicates that even if all the rnoduction eoals of the Liveable Communiries Act are met the region will still fall behind in affordable housin¢ provision by completion of Livable Communitv Plans [This amendment will cause the renumbering of the current 6.1. b-e to 6.1. c-f. J 8. Authors Councilmembers Coteman and Lantry; Location page 20: 6.2 [With its partners, the ' should:] a. Lobby for the expansion of federal and, especially, state financing for the construction and preservarion of affordable housing throughout the region. Specifically the Citv will nronose for current and future legislative agendas that the state double therebv achievinQ 1% �� of the state hud�et for housing its expenditures on housing by sipuficantiv increasin¢ its approoriarions for the Minnesota Housine Finance Agencv and for implementarion of the Livable Communities Act. 9. �;,�� Authors Councilmembers Coleman and Lantry; Location page 20: 6.2 [With its partners, the City should:] b. Identify new locai resources that can be used to leverage additional public and � rivate financing. HIZA resources represent flexible fund sources at can and should be tapped by City policy makers. Additionally, the Citv should dedicate one two vears. COUNCIL RESEARCH COMMENT: This makes the plan consistert with the City Gouncil action taken in CF# 99-237 directing that the STAR guidelines be revised to accomplish this on March 10, 1999. c�C1' q � 10. � O n' � � f�_ Author Councilmember Blakey; Location page ll, insert second paragraph: d. The city will lobbv the Public Housing A¢encv (PHA) to create a posirion of ombudsman/advocate at PHA. connected with communitv organizarions, who can work with PHA clients to full explain their ri¢hts. responsibilities and housing oprions. PED STAFF COMMENT: The concems that led to this proposed amendment relate to difficulties faced by people Iooking for housing or emergency shelter. In too many instances, housing advocates tell us, people have a hard time getting good information. That issue is bigger than the Public Nousing Agency and the PHA is not now in a position to assume responsibility for such a service. The nature of the issue suggests, rather, a series of recommendations retated to irrter-agency communication and better attention to public information. PED ALTERNATIVE 1�1NGUAGE: The Housina informafion Office should work with aoprooriate emerqencv shelter and transitio�al housino services as well as to services available ftom the wide varietv of advocacv orqanizations. l la. Authors Councilmembers Coleman and Lantry; Location page 22, amend: 6.4 Among the 300- 400 units of housing to be constnxcted each year, 60-80 should be affordable to households with incomes below 89% 55% of the regional median, ' . In the event that the total number of units constructed falls short of 300-400, affordable units should represent 20% of those that are constructed or rehabilitated While the high cost of new construction, the limited availability of subsidy funds and the City's need to expand its taJC base mean that much of the housing built in Saint Paui wiil be rented or sold at mazket rates, the City and its partners should commit themselves to adding to the supply of decent, safe and affordable housing through new construcrion. To that end, the City should encourage the development of housing affordable to households with incomes below 3A� 68-a�-89 55 percent of the regional median income by Investing public financing in developments where t�e 20% of the units are reserved for households with incomes below S8 55 ep rcent of the regional median income, wit�rha�€e€ . Developmems in neighborhoods with little affordable housing and sirong housing mazkets should be encouraged to provide more than 20 percent of their units to lower income households while those in weaker mazkets should be asked to provide a smaller shaze. 116. Author Councilmember Blakey; Location page 22: 6.4 Among the 3AA- 400 units of housing to be constructed or rehabilitated and retumed to the mazket each year, 69-88 200 should be affordable to households with incomes below 30% of the regional median, with at least hal£ or 100 going to those to be affordable to households ' � earnine minimum wage, and annual income of $ I 1.000. In the event that the total number of units constructed falls short of 300-400, affordable units should represent 20% of those that are constructed or rehabilitated While the high cost of new construction, the limited availability of subsidy funds and the City's need to expand its ta�c base mean that much of the housing built in Saint Paul will be rented or sold 3 gG-qo at mazket rates, the City and its partners should commit themselves to adding to the supply of decent, safe and affordable housing through new construction. To that end, the City should encourage the development of housing affordable to households with incomes below 3A�8-an�89 30 percent of the regional median income by a. Investing public financing in developments where �p-te �A% 50% of the units aze reserved for households with incomes below S9 30 percent of the regional median income, with half of those for households ' eamine minimum wage, and annual income of $11 000. Developments in neighborhoods with little affordable housing and strong housing markets provide more than �9 50 percent of their units to lower income households while those in weaker markets should be asked to provide a smailer share. llc. Author Councilmem6er Benanav; Loration page 22: 6.4 Among the 300-400 units of housing to be constructed, 20% H8-8A should be affordabie to households with incomes below 8A% 30% of the regional median. In the event that the total number of units constructed falls short of 300-400, affordabie units should represent 20°l0 of those that are constructed. While the high cost of new construction, the limited availability of subsidy funds and the City's need to expand its tax base mean that much of the housing buiit in Saint Paul will be rented or sold at mazket rates, the City and its partners should commit themselves to adding to the supply of decent, safe and affordable housing through new construction. To that end, the CiTy should encourage the development of housing affordable to households with mcomes below 3�-�9�x�-88 30 percent of the regionai median income by (/ �� a. Investing public financing onlv in developments where �rte 20% of the units are reserved � ^ A 1 ' ' L L.�1C r � �� for households with incomes below $8 30 ercent of the regional median incom°� \� ��, � � � Q . In order to accom Ip ish � this eoal, the Citv of Saint Paul. on an annuai basis shall require that at least 20 percent of � all nublicly assisted housingdevelopments of i units or more either rental or ownership, shali be affordable to families at or below 30 �ercent of the metronolitan median income ' p Y1lir�:m••m o� lld. Author Councilmembers Coleman, Lantry and Benanav; Location page 22: 6.4 Among the 300-400 units of housing to be constructed, 20% g9-88 should be affordable to households with incomes �e�ew-S8% between 30 and Si% of the regional median. In the event that the total � �n umber of units constructed falls short of 300-400, affordable units should represent 2Q% of those `Y that are constructed. V �, yi � rnu ,�,I� ,� While the high cost of new construction, the limited availability of subsidy funds and the City's 6 � need to expand its taY base mean that much of the housing built in Saint Paul will be rented or sold at mazket rates, the City and its partners should commit themselves to adding to the suppiy of decent, safe and affordable housing through new construction. To that end, the City should encourage the development of housing affordable to households with incomes , between 30 and 55% percent of the regional median income by 4 99- g� u r �:..:,,�..+.�. d � a Investing public financing onlv in developments where xg-t�20°l0 of the units are reserved for households with incomes �eleia-89 between 30 and 55%percent of the regional median incom , �e�iatt. 5 Y ^ --__... _r.t,._- "-n` - '- PED STA�F COMMENT ON 11a and 11b: [Piease nate that PED Staff comment was prepared prior to the Benanav proposai, and therefore there are no PED staff comme�ts on 1 tc.] The Planni�g Commission's plan recommends the construction of 300-400 units a year with 60.80 being affordable to households with incomes below 80% of the regional median and half of those being affordable to households with incomes befow 50% of the regionaf inedian. If totaf production does not reach 300- 400, the Commission proposes ihat the City's goal for the production of affordable units should be 20 percent of total production. In establishing its goal, the Commission's concems were two: (1) that the goal be achievable with identifiable resources that are Iikely to be available over Gme; and (2) that the goal be in the context of expanding the suppiy of units for households at ali income levels. It is important to note that the plan does not assume that the city's major initiative in the area of affordabte housing will be in new production. The plan, rather, hopes to promote a modest addition to the city's affordable stock each year-to compensate both for demolitions a�d improving market conditions that have resulted in higher rents. The high cost of new construction and the limited availability of land mean that most of the housing needs of lower income households-especially those that need family-size units--wifl confinue to be met by the existing housing stock. A second important caveat is that production goals do not assume City/HRA will be substantially invoived in the construction of aA 6,�00 units. lndeed, it is the expectation that many of the market units will be privately constructed-perhaps with pub�ic assistance in the assembly and clean-up of the land. The lower the income group the housing is expected to serve, of course, the higher the public investment that will be required. The impact of the Blakey amendment wouid be to significantly shift the proportions of new units proposed by the plan, increasing the level of public investment that will be required. Instead of 20 percent of the units consfructed each year being subsidized to the ievel required to make them affordabte to lower incomes households, fifty percent or two hundred of the four hundred units constructed each year would require the level of subsidy (for construction and on-going maintenance) comparable to that required for pub{ic housing. StafF supports an increase in the goal for the production of affordabie units and a reduction in the income threshold provided that: a. The goal remains "in scale' with the production goal for market rate housing; b. The goal is linked to actual production so that ff market conditions result in fewer than 300-400 total new units per year, the goal for the construc6on of affordable urtits is proportionately reduced; and c. The higher goal is linked with the identificaUon of a new funding source. In establishing a goal for the percentage of any given project that should be affordable to lower income �/9-9a households, a minimum project size for applicable projects (e.g. 4, 8, or 12 units) should be established. COUNCIL RESEARCH COMMENTS ON 11c. Cou�ciimember Benanav's proposa� is parallel to one adopted in Minneapolis �ast summer. The Minneapolis policy reads: " that the City of Minneapolis, on an annuai basis, shalf require that at teast 20 percent of alf publicly assisted housing devefopments of l0 units or more, either rental or ownership, shall be affordable to families at or below 30 percent of the metropolitan median income. All publidy assisted rental projects must accept the use of Section 8 rental assistance either by site-based or portable certificate. Only developments of 10 units or more are subject to the 20 percent requirement." � 12. Author Councilmeenber Blakey; Location pag¢ 23: 6.5 The City skt ula'�eg reaffirm its commitment to the Replacement Housing Policy outlined in Chapter 93 of the Administrative Code�ns��that thete are units�sonstrue�d�to replace-all bed�'aom�st to d8mal�idn: Existing policy requires that City agencies proposing the demolition of conversion of affordable rental housing shall provide the City Council with an affordable rental housing analysis outlining the impact of the proposed project on the availability of such housing in � the City. i3nder certain circumstances, including when there has been a net loss of affordable ,� rental housing units (those affordable to households with incomes below 55% of the regional median), the d'uector of PED shall recommend the replacement of units slated to be lost. The City � Council has final responsibility for approving, amending or rejecting that recommendation. If the n �., Council determines that units should be replaced, adequate funds to finance the construction of � �� those replacement units within three yeazs shall be approved by the agency proposing the project. �, Inasmuch as the ordinance was adopted in 1989 and has not been revised since then, any issues � �� relative to its impiementation shouid be identified and addressed as part of the process of implementing the plan. PED STAFF COMMENT: Chapter 93 of the Administrative Code ouUines the City's current � Replacement Housing Policy. The basic provisions of that po�icy include: a. Any request to the City Council for approvai of a city-assisted project that would involve the demotition or conversion of affordable rental housing must be accompanied by an affordabfe rental housing analysis that describes the balartce of units produced a�d units demolished since 1989 as well as market conditions such as vaCancy rates and prevailing rents for units of similar size in the city. b. The PED director shaii review the analysis against the goals for the production and preservation of affwdable rental housing that are to be set forth in an annuai housing production plan fifed with the city derk by January 31 of each year. c. The PED director shail make a recommendation as to whether repiacement shall be required and, if so, what kind of units shall be constructed. d. The director shail make a recommendation to repiace units under any of the fotlowing circumstances: i. If the analysis shows there has been a net loss of affordable rental units; ii. If the type of affordabfe rental units to be demolished are the type of units that the city has determined through its housing production and preservaiion goafs to be needed in the city and the rtumber of units to be lost equals or exceeds 20. iii. if the affordable rental housing lost is due to an activity funded from one of three federal programs. e. The director shail propose means by which the repiacement housing will be constructed and financed. 59-9a 13. �� S' � �� f. The city council shall have final responsibility for approving, amending w rejed"+ng the director's recommendation. The principie benefit of the existing ordinance in addressing the demolitioNreplacement housing issue is that decision makers, whose responsibility it is to balance competing policy objectives, have good information on the impact of the proposed demolition and a recommendation on how reptacement pn be achieved. It dces �ot, however, tie the council's hands whe� specific circumstances might suggest repiacing fewer than 100 perceM of the units to be iost. - It is good policy and staff recommends that we continue to rely on it-and be more diligent in meeting its requirements-as the most appropriate response to this issue. COUNGIL RESEARCH COMMENT: Councilmembers Co�eman and Lantry have introduced a separate resolution, CF# 99-260, addressing this point. It 1) reaffirms commitment to maintaining the needed level of affordable housing in the City of Saint Paul; and 2) requests that the Director of the Planning and Economic Deveiopment Department prepare and present an afFordable fiousing analysis per Chapter 93 of the Administrative Code by May 26, 1999 for discussion by the City Council. Author Councilmember Blakey; Location page 26, at end: 6.10 Work to overcome bias in the housine market. The Citv recomizes that over thiriy�eazs have nassed since the ori 'nal enactment of the Federal Fair HousinQ Act prohibitin,�discrimination in housingand vet bias continues to affect Saint Paul's raciai and ethnic minoriries the disabled and families with minor children. The task of overcoming bias must be accepted as the ioint responsibiliri of federal, state. countv and City govemments in cooneration with private and nonprofit sectors To this end the Citkwill support: i. Systemic testin¢ in the housing market to identi bias 2. Enforcement of Saint Paul's human rights ordinance in respect to housin¢ discrimination 3. Educational and outreach pro�rams directed towards housine nroviders. includin� landlords, rental aeents real estate sales�ersonnel mortgaee lenders,�pronerty annraisers and �ronerty insurers 4. Outreach pro�sams directed towards neighborhood arsanizations and district nlanning councils to promote gFassroots awazeness of the problem 5. Creation of a Saint Paul Fair Housing Council comnrised of renresentatives of citv Qovernment, the private sector, communitv aEencies and the Minnesota Fair Housin¢ Center which shall advise the City in its on oin� work to identifv and overcome unlawful bias through testms, enforcement,plannine education and outreach. PED STAFF COMMENT: Policies related to addressing discrimination and enforcement of the Federat Fair Housing Act are important additions to the Housing Plan. Planning staff, however, is hesitant to recommend policies related to the establishment of a Saint Paul Fair Housing Councit and systematic testing to identify bias without a better understanding of the City's Department of fiuman Rights' existing efforts related to Fair Housing and the budget implications of these recommendations. At the time this report was prepared, that informa6on was not yet available. ALTERNATE LANGUAGE FROM PED 6.1� Work to overcome bias in the housinq market The Citv recoqnizes that over thirtv vears have aassed since the oriQinal enactment of the Federal Fair Housinq Act prohibitinp discrimination in housinq and vet bias continues to affect Saint Paul's racial and ethnic minorities. the disab{ed and famiiies with minor children. The task of overcominq bias must be accepted as the ioint responsibilitv of federal state counb and Citv qovemments in c000eratipn with private and nonprofit sectors. To this end, the Citv will suo�ort: 1. Enforcement ofi Saint Paul's human riqhts ordinance in resoect to housina discrimination 99 2. Educational and outreach oroq�ams directed towards housinq providers includinq landlords rental aqents reaf estate sales nersonnel mortaaqe lenders procertv aonraisers and �rooertv insurers 3. Outreach oroqrams directed towards neiahborhood orqanizations and disVid oianninq counci{s to promote qrassroots awareness of the oroblem HUMAN RiGHTS STAFF COMMENT: Requested by Council Research, forthcoming. 14. Autho� Councilmember Blakey; Location page 26, at end: 61 I The City must olace a moratorium on demolition of structurall sound rental housing units unril the citv's rental vacancv rate exceeds 5%. P STAFF COMMENT: One goal shared by almost everyone involved in discussions about the ousing Plan is the consfruction of a significant number of new housing units in the city. Without new roduction, vacancy rates wifl continue to decline and rents wifl continue to increase. The issue raised by this proposed amendment is whether it will encourage, discourage or have no effect on our � ability-and the ability of our private and non-profit partners-to produce new housing. ._ v �7 Because of the limited supply of vacant land-especia�ly in the neighborhoods-the production of new ` i units will likely involve some amount of redevelopment and the demolition of existing units. The HRA �� 1�j Board, it seems, shouid have the flexibility to decide that the demoGUon of one or more "structurally � sound" units is justified when new units are being produced. A moratorium would reduce the Board's flexibility and, in the long run, may siow down the process of getting to the point where vacancy rates reach 5%. 15. Authors Councilmembers Coleman and Lantry; Location page 26,insert at end: 6.12 The Citv and its partners should further explore nolicv ontions used bv other major metropolitan areas such as residential hotels, local trust funds developed from a stream of revenues from real estate �� transaction fees: zoning changes like inclusion zoning or density reauirements. 16. Author Councilmember Blakey; Location page 28, at end: 73 Fair Housing Plannin¢. Staff assigned to convene the Housine Coordination Team shall also be assigned to the Saint Paul Fair 0 recommendations as mav be necessarv and prover to fulfill the plan and meet objectives towards building an inclusive communitv. ��l� PED STAFF COMMENT: See comments for previous amendment. PED recommends not adopting this amendmerrt without thorough consultafion of Human Rights staff. HUMAN RiGHTS STAFF COMMENT: Requested by Councii Research, forthcoming. 17. Author Councilmember Benanav; Location page l3, insert at end: 4.6 Enhance the efficiencv and loneevitv of the publids investment in housing by 'givin p� riority in the disbursement of discrerionarv funds to projects and pro¢rams that "recYCle" those subsidies for present and future �enerarions. Discretionarv funds available to the Citv from federal state and other sowces for use in subsidizin¢ the nroduction rehabilitation or oDeration of housin¢ are in short sup�lv — and likelv to remain so for the foreseeable future To the extent possible oriority in disbursing these scazce resources should ¢o to proiects and programs in which the housinQ benefits purchased with 5 �. � ��,�-- ,� � � � �.,,� r ,. ...� �,�- 99-9� these funds aze nreserved for as lon�25 possible (subsidy retention). Where the long-term retenrion of housine benefits nurchased b�,the public is not nossible prioritv should o¢ YO Drojects and proecams in which the funds themselves aze recaptured bv the Citv in order to„purchase new housing benefits in the future (subsidv recauturel. G7 °t9 -qo � CTI'Y OF SE1INT PAUL Norm Coleman, Mayor 390 Ciry Hall IS West Kellogg Boulevard Saint Paul, MN 55102 Tetephone: 651-266-85I0 FaCSimife: 65I-22&8�73 C� 3anuary 12, 1999 City Council President Dan Bostrom Councilmembers Dear Council President Bostrom and Councilmembers: I am pleased to transmit and recommend for your adoption two chapters for the updated Saint Paul Comprehensive Plan which the Planning Commission has prepared: the Housing Plan, and the Summary and General Policy. The Summary and General Policy will provide a brief and broad statement of City development policy and will help to clarify the interrelationship among the plan chapters. Tt sets out the important themes for our next several years of progress that underlie the entire plan. As you know, considerable community discussion lies behind this draft of the Saint Paul Housing Plan. Some earlier drafts, and, before these, an issue paper were the subject of discussion at numerous community meetings and at the public hearing whicn you sponsored jointly with the Planning Commission. I believe the new draft provides significant direction for our community effort and recognizes well the broad range of partnership efforts that progress on our housing objectives requires. Most importantly, it recognizes the importance of addressing the housing needs of households of all incomes—those who live here now and those who tnight be attracted to move into the city. I commend it for your careful consideration. I recommend that the City Council adopt both of these contingent on the Metropolitan Council and adjacent community reviews still to come. i erely, o � /�s Norm Coleman Mayor • 99-q� � city of saint paul planning commission resolution file number 99-03 (late Januarv 8. 1999 A RESOLUTION APPROVING AND RECOMMENDING ADOPTION OF THE SAINT PAUL HOUSING PLAN WHEREAS, a new housing policy plan is a key component of an updated Saint Paul Comprehensive Plan needed to both inform City development policy and meet the requirements of the Metropolitan Land Planning Act, Minnesota Statutes Sections 473 and 473H; and WHEREAS, an issue paper entitled Saint Paul Housing Plan: Framing the Discussion published in June 1998 provided for extensive community discussion of housing policy issues; and WHEREAS, a draft Saint Paul Housing Plan published on October 9, 1998 has been discussed in numerous community meetings; and • WHEREAS, a pubfic hearing was held jointly by the Saint Paul Planning Commission and the Saint Paul City Council on December 7, 1998, notice of which was published in the Saint Paul Legal Ledger November 24 and 25, 1998; and WHEREAS, the Commission finds broad community support for the policy directions recommended by the plan and has made revisions to the draft in response to specific concerns raised and information provided in the course of the community discussion and pubiic hearing; NOW, THEREFORE, BE IT RESOLVED, that the Pianning Commission of the City of Saint Paul approves the Saint Pau! Housing P/an as an element of The Saint Paul Comprehensive Plan, contingent on review by adjacent communities and the Metropolitan Council; and BE IT FURTHER RESOLVED, that the Planning Commission recommends the Saint Paul Housing Plan to the Mayor and to the Saint Paul City Council for preliminary adoption and for inclusion in The Saint Pau/ Comprehensive P/an to be forwarded to the Metropolitan Council. moved by �A; ��Ar seconded by in favor Unanim°us • against 9�-�d City of St. Paul O�ce of the City Council 320 City Hall . Saint Paul, MN 55102 (651) 266-8570 INTER-DEPARTMENTAL MEMORANDUM DATE: March 15, 1999 TO: Councilmembers and Legislative Aides G FROM: Marcia Moermond, PolicyAnalyst �VIGU"" SUBJECT: Summary and Generai Plan Amendments (3/17/99 Policy Session, Agenda Item # 35) and Housing Pian Amendments (3l17/99 Policy Session, Agenda ltem # 36) Attached is a list of ali proposed Summary and Housing Plan amendments that have been forwarded to me by Councilmembers over the last two weeks. The items are listed in page number order, according to the page being amended. Ken Ford, Nancy Homans and I have compiled and discussed the amendments. Where appropriate, comment has been provided on specific amendments. The Council is currently scheduled to amend the Summary and Housing Plans on Wednesday Mazch 17`" and lay ffiem over to Mazch 24�' for final adoption. Please contact me with any questions or comments on these plans. Piease note that this memo and attachments have also been emailed to you. attactunents cc: Ken Ford and Nancy Homans, PED Gerry Strathman and Nancy Anderson, Council Research Phil Byme and Peter Warner, City Attorney's Office . � 0 U h Q.�t r � �� r ��ti� � � 19- 90 CITY COUNCIL PROPOSED AMENDMENTS TO THE SUMMARY AND GENERAL PLAN 1. Author Councilmember Coleman, Location page 12, General Policy 3, Water Resources, add bullet: Protection of surface water resources from inapprooriate discharges from waste disposal and contaminant release sites. PED Staff requested this amendment, see Ken Ford memo in packet. 2. Author Councilmember Coleman, Location page 19, General Policy IS. River Corridor, add to fourth bullet. Conrinuation of industrial uses in portions of the corridor identified in the Land Use Chapter, with corrective actions wherever neces to miti�ate adverse environmental imvact of existine industrv includin�pnropriate dischar¢e from waste disposal and contaminant release sites. PED Staff requested this amendment, see Ken Ford memo in packet. 3. Author Councilmember Bostrom, Location page 20, General Policy 18 amendment, Open space and River Connections: Neighborhood connections to the Mississippi River Corridor will be enhanced , through appropriate trail and road connecrions, infrastructure design, and land use planning and regulation. River tributaries such as the Phalen Corridor offer narticulaz opportunities for enhanced connections. PED Staff requested this amendment, see Ken Ford memo in packet. 4. Author Councilmember Benanav, Location page 24, General Policy 24 amendment: Intensive Use of Industrial Land. Increasine density of living-wage jobs will be a primary factor in determination of appropriate reuse of City sites with industrial and/or business potential. Factors to be considered are the number of iobs ner sauare foot and ner acre and the coveraee of building to land. Office uses may offer greater potential than industrial development at some previously-industrial sites. PED Staff Comment: This is an appropriate definition of density. 5. Author Jerry Blakey; Location page 26: GP32. Inclusive Community. We have no tolerance for racism and intend to provide the broadest access possible to all benefits of community life in Saint Paul, free from barriers based on race or ethnicity. The City, in partnershin with the Minnesota Fair Housin¢ Center and other interested communitv oreanizations will coonerate to idenhfv and eliminate unlawful discrimina6on in residential sales and mortgaee lendine PED Staff Comment: it is appropriate to add this emphasis here. We suggest just a tittle revision to eiiminate some redundancy. PED ALTERNATE LANGUAGE: The Citv will c000erate with the Minnesota Fair Housina Center and other interested communitv orqanizations to identify and eliminate unlawful discnmmation m the Saint Paul housinq market includinq the rental market the for sale market. and mortaaae lendinq. �19-90 CITY COUNCIL PROPOSED AMENDMENTS TO THE HOUSING PLAN 1. Author Councilmember Blakey; Location page 10, insert fourth paragraph: 6. Discrimination continues. Desoite continuine efforts on the nart of federal state and local govemments bias continues to act as an impediment to a si�ficant number of home seekers in Saint Paul The Institute on Race and Povertv of the Universitv of Minnesota concludes that the Twin Ciries metro area is among the nation's most residentiallv seereeated A fair housine audit bv the Minnesota Fair Housine Center has found that racial bias is a sienificant factor in rental housine PED STAFF COMMENT: Policies related to addressing discrimination and enforcement of the Federal Fair Housing Act are important additions to the Housing Plan. ALTERNATE LANGUAGE FROM PED 6. Discrimination continues Desoite conGnuinq efforts on the part of federal. state and Iocal qovernments. bias continues to act as an imcediment to a siqnificant number of home seekers in Saint Paul. HUMAN RIGHTS STAFF COMMENT: Requested by Council Research, forthcoming. l. Authors Councilmembers Coleman and Lantry; Location page 12, insert final paragraph: 4.3 d. Additional resources shea�� mnst be identified and used in partnership with those code enforcement efforts to assist property owners to make the necessary repairs and improvements before there is significant deterioration. 3. Authors Councilmembers Coleman and Lantry; Location page 14, insert fna[ paragraph: 5.1 a. [to encourage the construction of new units, the City shouldj make assist� potential developers a riori , when necessary, in the assembly and clean up of land and the construction of infrastructure. This should include devising mechanisms to more easily �ansfer the ownership of ta�t-forfeited properties to community development corporations or other community-based organizations for development. 4. Authors Councilmembers Coleman and Lantry; Location page 16, insert fina[ paragraph: 53 a. Advocate for additional reforms of those State 4vc provisions that discourage the construcrion and ownership of rental housing, includine decreasine the tax rate on residenrial rental pronertv 5. Authors Councilmembers Coleman and Lantry; Location poge 16, insert final paragraph: 5.3 b. Stronelv encourage �ajer local employers to invest in the production of rental housing to sErve their workforce, on their own or in narinersh� with other businesses �ovemment agencies and nonorofit oreanizations. 6. Author Counei[member Blakey; Location page 19: 6.1a. The Legislahue shouid commit additional funds to the Metropolitan Livable Communities Demonstration and housing accounts as an incentive for suburban and stronger central city communities to produce affordable housing. T'he citv also insists that the Metronolitan Council enforce ail agreements to nrovide low income housine in the municipalities that utilized nublic funds for infrastructure exnansion since 1973 99-90 PED STAFF COMMENT: The link between low-income housing and inftastructure improvements that was made by the Metropolitan Councii in the 1970s was related to the Council's role in reviewing appliptions made by cities for federal parks and open space funds. Positive reviews on those appliqtions was related to the city's perFormance in providing affordable housing. That review mechanism was eliminated during the Reagan administration. There are no outstanding °agreements " As federal funding programs have changed, the MeVopolitan Counal no longer has a role in leveraging locai participation in the production ofi affordabfe housing. instead, the Council is the lead implementing agency for the Metropolitan Livable Communities Accounts that offer incentives for the production of affordable housing, To more fuliy address the issues raised by this proposed amendment, planning staff recommends the following plan amendment: ALTERNATE LANGUAGE FROM PED 6.1.a. . Encoureae the Minnesota Leqislature to orovide adeauate fundinq for communities to meet Livable Communities qoals for affordable housinq and to adoot the other orovisions of the Metr000litan Councii's Housinq Reform Initiative includinq an incentive oroqram for communities to lower housina construction costs associated with locai reauirements, a reassessment of the state buildinq code rental housinq resources for re�lacement housinq and rehabifitation new re�tai housinq resources fundinq for homeless assistance oreservation of existino federallv ass+sted rental housina and suaaort for new and rehabilitated ownershio housinq. 7. Author Councilmembers Coleman and Lantry; Location page 20, insert new first paragraph: b. The Citv and its nartners should encourage the Minnesota Le�islature to strenethen the Livable Communities Act to make it more likelv to have a real imnact on the availability of affordable housine for the mettonolitan region This is important given the results of the recent studv bv the Universitv of Minnesota Center for Urban and Re�onal Affairs which indicates that even if all the producrion goals of the Liveable Communities Act are met the region will still fall behind in affordable housin�provision bv completion of Livable Community Plans [This amendment will cause the renumbering of the current 6.1.b-e to 6.I.c-f.J 8. Authors Councilmembers Coleman and Lantry; Location page 20: 6.2 [With its partners, the City shoutd:] a. Lobby for the expansion of federal and, especially, state financing for the construction and preservation of affordable housing throughout the region. Specificallv the Citv will nr000se for current and future legislative a�endas that the state double therebv achieving 1°!0 of the state budeet for housins, its exoenditures on housine bv significantiv inereasing its avnronria6ons for the Minnesota Housin� Finance Agenc,y and for im,plementafion of the Livable Communiries Act. 9. Authors Counci[members Coleman and Lantry; Location page 20: 6.2 [With its partners, the City should:] b. Idenrify new local resources that can be used to leverage additional public and private financing. HRA resources represent flexible fund sources that can and should be tapped by City policy makers. Additionally�the Citv should dedicate one half of its Neiehborhood STAR Proeram revenue for housing develonment for at least the next two yeazs. COUTJCiL RESEARCH COMMENT: This makes the pfan consistent with the City Council action taken in CF# 99-237 directing that the STAR guidelines be revised to accompiish this on March '10, '1999. 99- 90 10. Author Councilmember Blakey; Location page 21, insert second paragraph: d. The city will lobbv the Public Housin�Aeency_(PHAI to create a position of ombudsman/advocate at PHA. connected with community organizarions, who can work with PHA clients to full explain their ri ts_ responsibiliries and housine oprions. PED STAFF COMMENT: The concems that led to this proposed amendment relate to difficultles faced by people looking for housing or emergency shelter. in too many instances, housing advocates tell us, peopie have a hard time getting good information. That issue is bigger than the Public Housing Agency and the PHA is not now in a position to assume responsibility for such a service. The nature of the issue suggests, rather, a series of recommendations related to inter-agency communication and better attention to public ir�formation. PED ALTERNATIVE LANGUAGE: The Housinq Information Office should work with aoorooriate service aroviders to develoo and distribute orinted materials or on-line resources reiated to available emeraencv shelter and transitional housinq services as well as to services available from the wide varietv of advocacv organizations. l la. Authors Councilmembers Coleman and Lantry; Location page 22, amend: 6.4 Among the 300- 400 units of housing to be constructed each year, 60-80 should be affordable to households with incomes below 88% 55°l0 of the regional median, ' . In the event that the total number of units constructed falls short of 300-400, affordable units should represent 20% of those that aze constructed or rehabilitated While the high cost of new construction, the limited availability of subsidy funds and the City's need to expand its ta7t base mean that much of the housing built in Saint Paul will be rented or sold at market rates, the City and its partners should wmmit themseives to adding to the supply of decent, safe and affordable housing through new construction. To that end, the City should encourage the development of housing affordable to households with incomes below 38; 69�8A 55 percent of the regional median income by 1. Investing public fmancing in developments where n�e 20°l0 of the units aze reserved for households with incomes below SA 55 ercent of the regional median income, �a€ . Developments in neighborhoods with little affordable housing and strong housing markets should be encouraged to provide more than 20 percent of their units to lower income households while those in weaker markets shouid be asked to provide a smailer share. lib. Author Councilmember Blakey; Locadon page 22: 6.4 Among the 399- 400 units of housing to be constructed or rehabilitated and retumed to the mazket each_year, 6A-88 200 should be affordable to households with incomes below 30% of the regional median, with at least hal£ or 100 going to those to be affordable to households ' � earning minimum wage, and annual income of $11.000. In the event that the total number of units constructed falls short of 300-400, affordable units should represent 20% of those that are constructed or rehabilitated While the high cost of new construction, the limited availability of subsidy funds and the City's need to expand its tax base mean that much of the housing built in Saint Paul will be rented or soid 99-50 at market rates, the City and its partners should commit themselves to adding to the supply of decent, safe and affordable housing through new construcrion. To that end, the City should encourage the development of housing affordable to households with incomes below 39; 68-an��89 30 percent of the regional median income by a. Investing pub2ic financing in deveiopments where np-ta �8% 50% of the units are reserved for households with incomes below $9 30 cent of the regional median income, with half of those for househoids ' e� minimum wage. and annual income of $11 000 Developments in neighborhoods with little affordable housing and strong housing mazkets provide more than �8 50 percent of their units to lower income households while those in weaker markets should be asked to provide a smaller share. 12c. Asthor Councilmem6er Benanav; Loeatian page 22: 6.4 Among the 300-400 units of housing to be constructed, 20% 69-8A should be affordable to households with incomes below 89% 50% of the regional median, with at least half going to those to be affordable to households with incomes below 38% 30% of the regional median. In the event that the total number of units constructed falls short of 300-400, affordable units should represent 20% of those that aze constructed. While the high cost of new construction, the limited availability of subsidy funds and the City's need to expand its tax base mean that much of the housing built in Saint Paul will be rented or sold at market rates, the City and its partners should commit themselves to adding to the supply of decent, safe and affordable housing through new construcrion. To that end, the Ciry should encourage the development of housing affordable to households with incomes below 39; 6A-an�86 30 percent of the regional median income by a. Investing public fmancing o� in developments where tt�r�e 20% of the units are reserved for households with incomes below SA 30 en rcent of the regional median incom-� chfi+�]d ti -- - - -- - �n .. r.L-=- ---'. i �b� Y •f. ___ _ 1 / L t • L,. ..t...J �' ___ •J _ tt - "� ° r In order to accomplish this eoal. the Citv of Saint Paul, on an annua] basis shall reauire that at least 20 oercent of all publiclv assisted housin developments of 5 units or more either rentai or ownershi� shall be afFordable to families at or below 30 nercent of the metronolitan median income Oniv develonments of 5 units or more aze subject to the 20 nercent reauirement PED STAFF COMMENT ON 11 a and 11 b: [Please note that PED Staff comment was prepared prior to the Benanav proposal, and therefore there are no PED staff comments on 11 c.] The Planning Commission's plan recommends the construction of 300-400 units a year with 60-80 being affordable to households with incomes below 80% of the regionai median and half of those being aifordable to households with incomes below 50% of the regionai median. if totai production does not reach 300- 400, the Commission proposes that the City's goal for the production of affordable units should be 20 percent of total production. In establishing its goal, the Commission's concerns were two: (1) that the goal be achievable with identifiable resources that are Iikeiy to be available over time; and (2) that the goai be in the context of expanding the suppiy of units for households at all income levels. tt is imporiant to note that the plan does not assume that the city's major initiative in the area of 9y-90 affordable housing will be in new production. The plan, rather, hopes to promote a modest addition to the aty's affordable stock each year-to compensate both for demolitions and improving market conditions that have resulted in higher rents. The high cost of new construction and the limited availability of land mean that most of the housing needs of lower income households-�specially those that need family-size units-wilt continue to be met by the existing housing stock. A second important caveat is that production goals do not assume City/HRA will be substantially involved in the construction of all 6,000 units. Indeed, it is the expectation that many of the market units will be privately constructed-perhaps with public assistance in the assembly and clean-up of the land. The lower the income group the housing is expected to serve, of course, the higher the public investrnent that will be required. The impact of the Blakey amendment would be to significantly shift the proportions of new units proposed by tl�e plan, increasing the level of pubiic investment thaf wiit be required. Instead of 20 percent of the units constructed each year being subsidized to the levet required to make them affordable to lower incomes households, fifty percent or two hundred of the four hundred units consVucted each year would require the level of subsidy (for construction and on-going maintenance) comparable to that required for public housing. Staff supports an increase in the goal for the production of affordable units and a reduction in the income threshold provided that: a. The goal remains "in scale" with the production goal for market rate housing; b. The goal is linked to actual production so that if market conditions result in fewer than 300-400 total new units per year, the goal for the construction of affordable units is proportionately reduced; and c. The higher goal is linked with the identification of a new funding source. In establishing a goal for the percentage of any given project that should be affordable to lower income households, a minimum project size for applicable projects (e.g. 4, 8, or 12 units) should be estabiished. COUNCIL RESEARCH COMMENTS ON 11c. Councilmember Benanav's proposal is parallel to one adopted in Minneapolis last summer. The Minneapolis policy reads: " that the City of Minneapolis, on an annual basis, shall require that at least 20 percent of ali publicly assisted housing developments of 10 units or more, either rental or ownership, shall be affordable to families at or below 30 percent of the metropolitan median income. All publiGy assisted rental projects must accept the use of Section 8 rentai assistance either by site-based or portable certificate. Only developments of 10 units or more are subject to the 20 percent requirement " 12. Author Councilmember Blakey; Location page 23: 6.5 The City should �ke�ineF reaf£uni its commitment to the Replacement Housing Policy outlined in Chapter 93 of the Administrarive Code, enswe that there aze units constructed to re lan ce all housine units lost since January1998 and ensure that those units contain the net number of bedrooms lost to demolition. E�sting policy requires that City agencies proposing the demolition of conversion of affordable rental housing shall provide the City Council with an affordable rental housing analysis outlining the impact of the proposed project on the availability of such housing in the City. Under certain circumstances, including when there has been a net loss of affordable rental housing units (those affordable to households with incomes below 55% of the regional median), the director of PED shall recommend the replacement of units slated to be lost. The City Council has final responsibility for approving, atnending or rejecting that recommendation. If the Council determines that units should be replaced, adequate funds to finance the conshuction of those replacement units within three yeazs shall be approved by the agency proposing the project. Inasmuch as the ordinance was adopted in 1989 and has not been revised since then, any issues 5 r 7 relative to its implementation should be identified and addressed as part of the process of implementing the plan. PED STAFF COMMENT: Chapter 93 of the Administrative Code outlines the City's current Replacemerrt Housing Policy. The basic provisions ofi that policy inGude: a. Any request to the Gity Council for approvai of a aty-assisted project that would invo{ve the demolition or conversion of affordable rental housing must be acxompanied by an affordable rental housing analysis that describes the baiance of units produced and units demolished since 1989 as wel{ as market conditions such as vacancy rates and prevailing rents for units of similar size in the city. b. The PED director shall review the anaiysis against the goals for the production and preservation of affordable rentai housing that are to be set forth in an annual housing production plan filed with the aty clerk by January 31 of each year. c. The PED director shall make a recommendation as to whether replacement shall be required and, if so, what kind of units shall be constructed. d. The director sha{I make a recommendation to replace units under any of the foitowing circumstances: i. If the analysis shows there has been a net foss of affordable rental units; ii. If the type of affordabie rental units to be demolished are the type of units that the city has determined through its housing production and preservation goals to be needed in the city and the number of units to be lost equais or exceeds 20. iii. If the affordable rental housing lost is due to an activity funded from one of three federal programs. e. The director shall propose means by which the replacement housi�g will be constructed and financed. f. The city councit shali have final responsibility for approving, amending or rejecting the director's recommendation. The principle benefit of the existing ordinance in addressing the demolitionlrepiacement housing issue is that decision makers, whose responsibility it is to balance competing policy objec6ves, have good information on the impact of the proposed demoiition and a recommendation on how replacement pn be achieved. It does not, however, tie the councif's hands when speafic circumstances might suggest replacing fewer than 100 percent of the units to be lost. lt is good policy and staff recommends that we continue to refy on it—and be more di{igent in meeting its requirements—as the most appropriate response to this issue. COUNCIL RESEARCH COMMENT: Councifinembers Coleman and Lantry have introduced a separate resolution, CF# 99-260, addressing this point. lt 1) reaffirms commitment ta maintaining the needed level of affordable housing in the City of Saint Paul; and 2) requests that the Director of the Pianning and Economic Development Department prepare and present an affordabie housing analysis per Chapter 93 of the Administrative Code by May 26, 1999 for discussion by the City Council. 13. Author Councilmember Blakey; Location page 26, at end.• 6.10 Work to overcome bias in the housine mazket. The City recognizes that over thartv vears have nassed since the oriQinal enachnent of the Federal Fair Housing Act prohibiting discriminarion in housine and vet bias continues to affect Saint PauPs raciai and etlusic minorities the disabled and families with minor children. The task of overcomin� bias must be accented as the joint responsibilitv of federal state countv and Citv eovernments in cooberation with urivate and nonDrofit sectors To this end the Citv wiil sunnort: 1. Svstemic testine in the housin¢ market to identifv bias 2. Enforcement of Saint Paul's human rights ordinance in respeet to housinq discrimination ��i - 50 3. Educational and outreach pro�ams directed towazds housing nroviders includingiandlords rental a�ents real estate sales personnel mort�age lenders pronerty apnraisers and pronertv insurers 4. Outreach vrograms directed towazds nei¢hborhood organizations and district plannin2 councils to nromote erassroots awazeness of the nroblem 5. Creation of a Saint Paul Fair Housine Councii comprised of representarives of citv government, the nrivate sector. communitv agencies and the Minnesota Fair HousinQ Center which shall advise the Citv in its on¢oing work to idenrifv and overcome unlawful bias throu�h testin¢, enforcement. nlanning education and outreach. PED STAFF COMMENT: Policies related to addressing discrimination and enforcement of the Federal Fair Housing Act are important additions to the Housing Plan. Planning staff, however, is hesitant to recommend policies related to the establishment of a Saint Paul Fair Housing Council and systematic testing to identify bias without a better understanding of the City's Department of Human Rights' existing efforts related to Fair Housing and the budget implirations of these recommendations. At the time this report was prepared, that information was not yet available. ALTERNATE LANGUAGE FROM PED 6.10 Work to overcome bias in the housinq market. The Citv recoqnizes that over thirtv vears have oassed since the oriqinal enactment of the Federal Fair Housing Act rohibitin discrimination in housin and et bias continues to affect Saint Paul's racial and ethnic minorities. the disabied and families with minor children The task of overcominq bias must be accepted as the ioint resaonsibiliN of federal state countv and Citv qovernments in cooperation with private and nonorofit sectors. To this end. the Citv witi su000rt: 1. Enforcement of Saint Paul's human riqhts ordinance in res�ect to housinq discrimination 2. Educational and outreach oroqrams directed towards housinq providers includinq landlords rental aaents real estate sales oersonnel mortqaae lenders �rooertv aoaraisers and oropertv insurers 3. Outreach �roarams directed towards neiqhborhood orqanizations and district planninq councils to promote qrassroots awareness of the oroblem HUMAN RIGHTS STAFF COMMENT: Requested by Council Research, forthcoming. 14. Author Councilmember Blakey; Location page 26, at end: 6.11 The City must nlace a moratorium on demolition of structurallv sound rental housins units until the citv's rental vacancy rate exceeds 5%. PED STAFF COMMENT: One goal shared by almost everyone involved in discussions about the Housing Plan is the construction of a significant number of new housing units in the city. Without new production, vacancy rates will continue to decline and rents will continue to increase. The issue raised by this proposed amendment is whether it will encourage, discourage or have no effect on our ability-and the abiiity of our private and non-profit partners-to produce new housing. Because of the limited suppiy of vacant land-especialiy in the neighborhoods-the production of new units will likely involve some amount of redevelopment and the demolition of existing units. The HRA Board, it seems, should have the flexibility to decide that the demolition of one or more "structurally sound" units is justified when new units are being produced. A moratorium would reduce the Board's flexibility and, in the long run, may slow down the process of getting to the point where vacancy rates reach 5°/a. 15. Authors Councilmembers Coleman and Lantry; Location page 26,insert at end: 6.12 The Citv and its nartners should further explore ontions used bv other major metropolitan areas such 7 y9-90 as residential hotels. local trust funds developed from a stream of revenues from real estate transaction fees: zonine changes like inclusion�rv zonine or densitv reauirements 16. Author Councilmember Blakey; Location page 28, at end: 73 Fair Housing Plannin�. Staff assiEned to convene the Housina Coordinarion Team shall also be assigned to the Saint Paul Fair HousinQ Council. as idenrified in 610 above and shall in cooneration with the Fair Housing monitor and evaluate the cit�.pro¢ress on an annual basis The Council shail in cooneration with assigned staff Dresent its findines for inclusion in the Housing Acrion Plan and make such recommendations as may be necessarv and proper to fulfill the_plan and meet obiectives towazds building an inctusive communitv. PED STAFF COMMENT: See comments for previous amendment. PED recommends not adopting this amendment without thorough consultation of Human Rights staff. HUMAN RIGHTS STAFF COMMENT: Requested by Council Research, forthcoming. E:3 •� •� �� Draft Housing Plan Pub4ic Hearing December 7, 1998 Summary of Testimony Major Themes of the Testimony Specifics, measurabie goals. The plan vision is good; needs to be more specific, have measurable goals. Crisis Now. Lack of affordable housing is a crisis now. Very low vacancy rate. Don't deal with a crisis through modest actions; 814 sheltered197 turned away 16,000 are homeless (TC), 8,000 are children 16,000 today will be 30,000 in a few years There's real anger in the community over the affordable housing crisis. Less than 1/4 of poor households have affordable housing. 1n the central cities and first-ring suburbs now there is a shortage of 35,000 units of affordable housing. Regional and City Effort Needed. Support regional etfort, but this shouldn't detract from � importance of City effort to meet low income housing need. "Core cities that have the knotivhow should say that �ve are going to do our share and we expect s�burban communities to do the same." Don't Remove Affordable Units. Seventh Place in particular is a current issue. Many spoke against demolishing any units when the vacancy rate is sa I.o�� and the need for afsordab{e Units so great. Recommendations for the Plan , 1. Add measurabfe goais for affordable housing production/preservation Add measurable goais for households with incomes below 80°/a of regional median Build 400 units per year for a broad '+ncome range Half of the 20 percent that is affordable to households belo�� 80 percent of median shouid be affordabie to households below 50 percent and 30 percent. add an expiicit goal to deal �vitn homelessness Insist on mi�ed income: 20°b afrordable to households belo« 80°,0 of inedian. 2. Add demolition polic}•; preserve ra:her than demolish. Require replacement units in pizce beiore demolition ot atsordable units � 3. lncorporate permanent, lonb term attordability principles (mechanisms such as a land trust or limited-equity coop protect prices from inflationary pressure.) 4. Replace pian's "should," "ought" language with stronger statements. 5. Plan should note role of housing in famiiy stabifity. 6. insist on regional compliance There s(�ou(d be tax penalties for exclusion Offer staff expertise to suburban communities 7. Lead the regional effort required by setting the example: apply fair share to Saint Pauf neighborhoods. Some SP neighborhoods h�ave less affordabfe housing than some suburban communities. No more subsidized housing where current supply exceeds city average. 8. Set meaningful standards (i.e., an income level that is meaningful for the SP population. (Area median $60,000; SP median $36,000} Maximum income of $20,000 would be a meaningfui standard for affordable housing 9. 10. t1. 12. 13. Don't use regional income standards. Strengthen CDCs: front-end admin costs once a pian is approved. Inventory all development resources that couid be used for housing. STAR $ should be designated for housing PED/City should have a director of housing or housing division. Legislative agenda: Need sTrong legislative agenda: 5 for affordab(e housing Make changes in Tax lncrement Firancing to facilitate redevelopment 1z. Diversify and integrate housing types. 75. Encouraje high quafity business and housing environments. Other Comments It ��ill take a lot to rehab the James ) Hill Bldg. That will put more people on the streets. The people �vho need the help ou�ht to be on The panels designing the solutions. Housing availability has sufrered a double evhammy: soaring costs and very low vacancy rate for rental housing. Resources could be better used: apartments can be bought direcrly for less money than is spent on a complicated subsidized rehab like Selby-Dayton. Create jobs, promote development of the urban core, promote business ownership. Don't repea± mistakes of he past: avoid hi�n density/low income, concentrations of poor. � � � qg •.� Draft Housing Plan . Community Review Comments � COMMENT PERSON/ORGANIZATION GROWTH OBJECTiVE - Disagree with the goal of population District 2 Community Council growth. We should concentrate on taking care of the existing housing stock and not "buy" into the Met Council growth management strategy-especially since the Met Council isn't offering any money to assist in the construction of new units. The goal of 6000 new housing units constitutes an "unfunded mandate." DEMOLITION/REPLACMENT - Plan should state a clear policy on LISC demolition of housing; one which places value on preservation of existing housing. This is particularly important given the serious housing shortage that currently exists. - Plan should include a 1 for 1 CSP replacement policy Vic Grossman - There should be a moratorium on CSP demofition of structurally sound rental housing unti� the vacancy rete reaches 6°l0. , - There should be a moratorium on Tenants Union a{f demolitions until adequate repiacement housing is built, until there is evidence that the city has a plan and resources, and untif an impact statement shows that units at ine szme rent are available in the same general area. � - Saint Paul fias a limited amounf of Summit Hili Association housing available for low-income people. Situation is exacerbated by demolition of tow-income housing without replacement. -Moratorium on Yhe demolition of CapitolRiver Council affordable housing until replacement Council of Churches housing is constructed. - Rehabilitation standards for vacant CSP buildings must be revised, with , participation of communiry expertise, to favor preservation of the existing stock rather than demolition (e.g. occupation should be allowed after life and safety codes are met?. L-OWER INCOME HOME OWNERSHIP � Design ways to offer mortgages for CSP people who have either no credit District Seven history or rovho have previous credit problems. - bVhile home o�vnership is part of the Summ'rt Hifl Association ( equation for providin� lo�v cost housing, it is over-rated. Mortgage interest rates may noi remain low. PRODUCTtO��' OF AFFORDABLE HOUSiNG - Should be a clear, measurable goa! for LISC the production of aftordable housing. NEAR . - There should be a commitment to Tenants Union build a specified number of aiiordable housing units. Creation oi aftordable housing needs to be as high a priority as preservation of federallv financed afiordable housin�. '- Gt� needs to activel� seeh funds Summit Hiil Association � a�d deveiop nousinQ ror people with ! ;' lo« mcomes, e_peciai!� ramilies. � � � � �iy-�o � � There should be a significant CSP increase in the production of new rental units, affordable to a range of incomes. At least 50% should be affordable to families making $15,000-$20,000. - Establish a measurabte goal for the LISC production of rental housing. Enlist all area housing players to focus Jim Gabler on national policy and program reform. Adjust and better fund Rental Rehab Jim Gabler Program Offer city staff expertise, and in some Jim Gabler cases fund allocations, to suburban efforts. Address fong-term affordability (i.e., NEAR land trust, limited equity) Rond Community Land Trust Use standards meaningful for city Coalition for the Homeless population-80°!o of regional income Mary Helen Inskip too high Others REGiONAt STRATEGY - While it is important to encourage Summit Hill Association the re;ion to do more, the plan LISC should not imply that St. Paul has done its part. St. Paul needs to do more than point its fingers at other localities. Objective of increasing affordabie housing in the suburbs shoufd not undercut or be used as an excuse for `' St. Paul not to preserve or developm housing that is affordable to iower income residents. - language about work+ng with our Council of Churches regional partners sounds like a license to demolish loev income houslna and dispesse res+dents io i otner communities. � OTNER AfFORDABILITY ISSUES Missing from the vision statement is a Council of Churches commitment that there will be Rondo Community Land Trust sufficient affordable housing to meet the needs of all city residents-that no one or no family will be left hom(eless. In addition to new construction of Summit Hill Association affordable housing, City should seek incentives for landlords to reduce apartment costs, Public funding for projects that witl Tenants Union require additional housing should provide funding for that housing and guarantee that a certain percentage of the jobs are created for St. Paul residents. i�,ny housing development or CSP redevelopment using subsidy of any kind must offer units affordable to households of various incomes-30% of median and above. Good recoonition of value of mixed LISC income housing. 20°'a/80°o mix is somewhat arbitrary and untested in tfiis market. Communit}• expertise should be tapped to determine the appropriate mix. Address supportive housing (mental Mike Castle i H ness) Don't repeat past mistakes of high Ann Woods � density/low income. Don't put affordabie housing in Yseff Mgeni neighborhoods with more than city average. Not enough in the draft to alleviate or Dist 2 Community Council discourage "concentrations of poverty." �tiiore atientior to homeless Johnny Green � Others � � �� G�- ro � � OTHER BARRIERS - Twin Cities is racially segregated. Vic Grossman Housing Plan doesn't make recommendations that would change that. - Integration of incomes would foster CSP integration of races and this must be encouraged. - Plan doesn't address other barriers to Councii of Churches hosuing: racism, application fees, large damage deposits etc. SENIOR HOUSING - Every neighborhood should have � some small ownership housing (condos) for people 55 and over. -Need for housing for seniors selling East Side Seniors modestly priced homes. About haff prefer rental/half some form of ownership or cooperative. Generally preter all-senior building; . Need access to trz�sit and otner services. -Emp[y nestersJseniors want to five in Hamline Midwat CoalitionlN- the neighborhood, but find few MARC options. Seniors don'i �vant to live in hi-rises-�vant to maintain connections 4vith the street and neighborhood activity. -Not clear how City came to Summit Hili Association conclusion that seniors (or others) will �' prefer townhouses and other shared wail options. Market research? Plan should emphasize a mix of housing styles attractive to people of all ages. � ARCHITECTURAL COMPATIBILITY/ DESIGN -Shoutd be more emphasis on H-M Coalition/H-MARC architectural compatibility-ensuring that new construction (and the residents of newly constructed housing) fits in with the existing neighborhood. - What specific strategies will the city Summit Hill Association employ to preserve a mix o{ land uses, a sufficient housing density and qualiry architedure? Changes in the zoning code or design guidelines? - Should be a stronger emphasis on Summit Hill Association historic preservation. Text should say that the City and its partners will significantly increase their efforts.... - Plan should encourage some incentives for private property owners to make existing structures accessible to wheeichairs. - Concern about accessory units Summit HiII Association threatening the stabilih� oi single family neighborhoods. CODE ENFORCEMENT,� h1AiNTENANCE - Emphasize working with properiy H-M Coalition/H-MARC owners before implementing aggressive code enforcement measures. Use carrot �, rather than stick. - Increased fines will only take away Summit Hill Association financial resources that couid be used to fix up properties (esp. for lower income owners). Absentee landlords I ��•ill �ust pay fines and i�nore + problem�-hearingc are a titiay to ; encourage landlord to make repairs. � Reducin� code compliance stafr will ' noc get better compiiance. j � � � �i r- 90 � � � - Plan Vacks recommendations on Fi-M Coalition/H-MARC working with tenants to improve rental housing. - What would weil managed rental Summit Hill Association property look like? How would financial incentives for well managed property be determined? -Strategically focusing rehab efforts in Summit Hitl Association certain neighborhoods may result in deterioration through the rest of the city. Opportunities for public investment should be available in neighborhoods throughout the city. iNFORMATiONISPECIFiCITY - Plan needs to track specific needs and Tenants Union make specific recommendations Vic Grossman (including goals, timelines and St. Paul Council of Churches resources) for more income brackets: LISC minimum wage, 30°!0, 50°l0, 60°/o and 80 �o ot the regional median. - Goals should reflect the demographic and economic realities ot St. Paul residents. - The resources required to produce or preserve these units should be identified. - With greater speciticity comes greater accountability and a� enhanced ability for the City, workin� with its various partners, to secure the public and '` private resources necessary to carry out the plan. - Set goals for 50% of regional median USC rather than 80°'0 of regional median. � - hiissin� data on homelessness and the Council of Churches � � g-oti� in� gap between minimum/actual , � I�. aQes and l i� in� �vages ior tne working � pooc Working poor are working more and able to afrord less. - Lack of emphasis on positive housing Summit Hill Association trends: well built hosuing with historidarchitec[ural significance or interest that are increasingly in demand: moderate income househoids willing to pruchase and rehab existing homes. Plan lacks pertinent info on loss of .. LISC housing units, vacancy rates at various levels of affordability, economic trends etc. MEETING NEW MARKET DEMAND fn area of new production, plan should H-M Coalition/H-MARC emphasize the improtance of buiiding capaciry of residents to understand devetopment options and figure out where opportunities for new construction exist. The City's plan emphasizes bigger developers rather than a neighborhood-driven process. Reinstitue PED Director of Housing Jim Gabler Focus on larger opportunities (Koch )im Gabler Mobil) Dedicate STAR 5 to housing )im Gabler development Recommend needed Tax-Increment }im Gabler Financing and Tax-Exempt Nousing Bond �aw changes. Mandate Income Mix Jim Gabier Inventory all financial resources [hat Jim Gabter could help; put a priorih� on them for hoUSing. Establish Non-Project Administrative Jim Gabler Inducement Fund � � � 99-50 �� OTHER Advisory body should be convened to heip the City Council craft the final housing pian. !-lousing needs to become a high priority in PED. Senio� level leadership and adequate staff resources need to be in piace � �.��sc Local (nitiatives Support Corporation December 9, 1998 The St. Paul Pianning Commission c(� Ms. Nancy Homans City of St. Paul Department of Planning and Economic Deveiopment � 500 City Hall Annex, 25 West Fourth Street St. Paul, MN 55102 Dear Nancy: Enclosed please find a copy of my comments on the draft St. Paul Housing Plan. I appreciate the opportunity to provide input on the ptan. Piease call me if you have any questions. Sincerely, `� t�-�-�-_-�. Steve Peacock Senior Program Officer cc: St. Paul City Council Members Twin Cities Office Hamline Park Plaza, 570 Asbury Street, Suite 101, St, Paul, MN 55704 - TeL (657) 649-1109 • Fau: (657) 649-] 7 72 - �J LJ � 99-qo � �� Local initiatives Support Corporation Testimony on the St. Paul Housing Pian December 7, 1998 Good Evening: My name is Steve Peacock. I am a resident of St. Paul and I am here in my capacity as a Senior Program Officer with the Local Initiatives 5upport Corporation (LISC) in St. Paul. LISC is a national nonprofit community development support organization that provides financial and technical assistance to community development corporations (CDCs) working t� revitalize their neignborimoods. LiSC has been operating in St. Paul for ten years. During that time, we have supported numerous housing improvement and development activities undertaken in St. Paui's neighborhoods — from providing low interest construction financing to CDCs that are acquiring and renovating vacant houses and buiiding new homes on vacant lots - to financing, through the syndication of the low income housing tax credits, attractive, affordable rental housi�g - to working with the City and private lenders to encourage purchase with rehabilitation lending activity in some of the City's � most distressed neighborhoods. { thank you for the opportunity to share some thoughts with you on the draft Housing Plan. Let me start by commending PED staff, particularly Nancy Homans, for the good work that has been done on this plan. I know that Nancy has made herself availabie all over the City for forums and discussions of the plan. I have tracked this plan as various drafts have come out and, from my perspective, it has become stronger over time in large part because of the range of community conversations that have occurred. I'd like to first talk briefly about what I see as some of the strengths of this plan. � (1) The plan articulates a clear understanding of the importance of quality, affordable housing to the health of our City and the stability of families. Framing housing, particularly the provision of affordable housing, as key to the vitality of a City as a place to do business and raise a family, is absolutely right. The Vision Statement is right on target when it speaks to the need for there to be housing options and choices for St. Paul residents across a range of income levels. I encourage you to regularly go back to that vision statement during your deliberations on the pfan to make sure that the final product is consistent with this vision. Twin Cities Office Hamline Park Pfaza, 570 Asbury Street, Suite 101, St. Paui, MN 55104 - TeL (651) 649-1709 • Fax: (657) 649-1112 (2) Within the context of the strategy of "Taking Care of What We Have" I was pleased to see support for focused, strategic, neighborhood based � approaches to residential rehabilitation with CDCs and other neighborhood based organizations playing key roles in identifying target areas and implementing appropriate strategies (Sect. 4.4). From LISC's perspective, recognizing the role of neighborhood based pianning and priority setting with respect to maintaining our existing housing is very positive and is essential to making good fiousing investments in neighborhoods. (3) The high priority given to preserving existing federally subsidized housing is very positive (Sect. 6.3). Given the shortage of affordable rental housing that exists in St. Paul, we need to view these developments as community assets that we simply cannot afford to lose. (4) The plan recognizes the regional context in which St. Paul's housing policies and plans need to be made (Sect. 6.2, 6.2). St. Paul needs to play a leadership role with regard to regional housing issues, particularly working on a regional replacement housing policy. That being said, however, the objective of increasing affordable housing in the suburbs should not be used to undercut or weaken St. Paul's own commitment to preserve or develop housing that is affordable to lower income residents. There are a number of areas where I feel the plan should be strengthened. � (1) Throughout the plan, specific, measurable goafs should be established to �� address housing needs at various affordability levels (from 30% of area median to 80%). These goals should reflect the demographic and economic realities of St. Paul residents — that is, who will be living in this community and what incomes they will have. I urge you to be clear on what standards of atfordability you use whert setting these goals. Housing affordable at 80% of the metropolitan area median income is out of reach to many St. Paul residents. With greater specifieity around goals comes increased accountabitity for implementation. In addition, specific goals enhance the ability of the City, working with its partners like USC, to ieverage resources for affordable housing development. It is hard for LISC to help coalesce support from the corporate and phifanthropic sectors around a goa( of stimu(ating a"modest increase" of new affordable housing units. It is easier if there is a specific, measurab(e goal that reflects a high tevel of commitment on the part of the City to providing affordable housing for St. Paul residents. � 9�-�0 � (2) When setting those goals, there is some pertinent information that needs be assessed. In particular, infiormation on the loss of housing units (the . numbers, affordability levels, and types) and economic trends such as wage levels and job growth should be considered when setting housing production goais to ensure that the plan reflects the needs of St. Paul residents. (3i The plan should address housing demolition. A clear housing policy related � to demofition is needed to ensure that vafue is placed on preserving the existing housing stock. This is particularly important given the serious housing shortage that currently exists. (4) The recognition in the plan of the importance of mixed income housing development is positive. There are many communities across the country where mixed income strategies have been done successfu(ly. However, the 20% at 80% mix is somewhat arbitrary and should be explored further to make sure it works for the St. Paul environment. Let me close where I began my comments. You have in front of you a plan with the stated vision of "meeting the needs of both those who have considerable economic choice and those who have fewer choices." This is the right vision for St. Paul. But without setting more specific goals, particularly related to preserving � and devefoping housing that is affordable to lower income residents, I'm concerned that this vision will not be realized. Thank you again for this opportunity. � _ � G Fro�;to Comm Deve lopuient Co ozation � -�—. _ _ .�_.. — sas ntarm �o�e sueet re�eano�e �ss�129e-ssao St. Pau4 n�W 551p3 MEMORANDi1M To: St Paul Planniog Coaunission St_ Panl City Council From bawn Goldschmitz, Executive Dsector Date: December i l, 1998 Re: GFCDC Commerns on the Draft St. Paul $ovsing Plan As a piovider of affordable hoe�smg and home $nproveaieet resources m the Thomras Dale District � neighbozhoods, the Greater Frogtowa Co�y Developmeat Corporation is acutelY iaterested in the discussions revolving azound the Drafc St. Pcul Housi�rg Plan. We see this piam►ing process as a tiarely opportunity for the citizens of St. Paut to take stock of the city's current housing environn�ent, the social pressures affectinS hous,rog (svch as welfate reform and population growth) wtuch are coming to a boil, and the poteniial b+ousing demands � of the coming decade. We have the aPportunity, wbich we should not squander, to create a blueprurt for our fitttu�e — one w�ich will realistically laq out the methods ihrou�lt which St. Paul can provide housing optiwns for a wide range of markets. We co� the thou�htful work of the Planning Conomission on tHis politicaliy "hoY' issue_ We apptaud the tireless efforts of Nancy Homans as the Planaiog Comm;��;�,�'S ambassador to the nrighborhoods, and as the author of the document. She has attended countless �nama►ity meetimgs, most of them during the evenmg haurs, ard has served tbe City welL We have some connneats on the plan which we hope the Plnnning Commission and the City Cow�cil will find conisttnctive. These commeats are s�arizcd in the following eigtrt recommeadations: �. I) 3'hroughout the plan, specific aieasurabie goats should be added to address h4using needs at various affordabiliry levels. The plan should state specific goals for Imus'v�g ava�7ab�ty ro families aad 'mdividuals with incomes at 30 peiceat, 50 percem, and 80 percetrt of madiau income. 3'he �oals shoutd rtflect the malities of St. Paul; ie. Ss. Paui's median income <ro,ighYy ss7,000) is oonsiaerabry Iess than che brcuopolicaa scaaaara Inoomc (s6o,1 so). rhe resourees required to produce these units should be identified. Without this kvel o£speciScitY there is a lack of accowntab�ty for delivering on the suategy. With it, the citizens of St. Pau7. can 1io1d firtvre administrations accountable for imp�memation of the plaa This levet of specificitY wi�l atso s�n�gt�ii-• t° secure pubhc and pnvate i�ousmg � resources. � � DEC 1 1 1998 PCANNING & ECONOMIr ry�vE�OPMENT 59 2) The plaa should ackxwwledge the zegiaasl nature of St. Pau!'s housing sit�xa.tioq but not m a way that undercuts the needs of St. Paul's residents. In other words, looking to the suburban � � commimities to build hovsing thai is affordable to poor St. Paul residents is a weak strategy, a� one which St. Paul kias no authoriiy to en£o�ce. It is unlikely thax the suburbaa cou�unities will build housing at the scale and affordability levels necessary to house St Paul's poor residents; it is also unreatistic to be]ieve that a majority of these famiaies well want to kav� the city for subvrban life. 3) The plan should state a clear policy on demolition of housmg; one which places value on preservation of erdsting ho»� while the city suffers from a serious kousin� shortage. �� Methods shouid be explored zo lighten the code enforcement requir�a�ents foz raoccupation of vacaut ho end very 9ex9ble sources of fimding should be made available for conection of code violarions, at least tmbl such time as the vacancy tates Ioosea up. 4) The suggested mix of affordabHity leveLs in n�ew devebpment should be explored. The plan suggests that developments m neishborhoods with little affoxdable housin� and strong bousing markets should be encouraged to provide 20 percent of thea imits to lower income households w}ri1e those in weaker markets shou]d be asked to provide a sma)ler share. The tweaiy percent figure is arbitrary aad untested in the St. Pau! mazket; m some cases this mix of housing could create class conflict or cost more in public subsidy dollazs for both the lower income and the higher income umts. Community expertise shouTd be sought in mak"vag decisioas about tbe appropriate mix of i�oas�s. S) The piaa lacks certain pertineirt information. How many units of housing haae we lost in �`� the past decade, and at what affordabitity leveLs? Are the units lost through public heatth enforcement being courned? �Tow mazry have been replaced (1: l) tluough new construction? Are rehabbed emits bemg wimted as �w or as preservation? What is the net loss of affozdable uniu? And how are economic trends (such as job creation and wage levels) impacUng to ability of residents to access housing? A thorough assessment of these treads will enlighten t6e discussion and produce a aare mfom�ed plan. , � TLe plan should state a clear, measurable goai to step up the produclion ofaffordable housing to meet tBe existing and growing needs of the communiry. Ia iu cuaeat form, the plaa is �a-committal on this issue, stating that the city should "stimolate construction of a modest munber of new affordable units each year." A possible benclm�ark for progness ioward this goal is a change m the vacancy rate. 'n The City Counc� should name an advisory body, n�presentative of a broad base of irrterests but with a sigadficant level of housing expertise, ta help craft the dra8 plan mto a more spacific plau for imglemcauation. 8) Iiousing must become a high priority within �ED. Seirior leve! 7eadership and adequate staff resowces should be x�aa�d to imglament ttbe plan — kvels of expectstions should be stressed. Without this level of commitment St. Paul will faii to meei the housing demands of its growung and chanP�'g PoPulation a�d social st�esses wiII mushroom. r ��EIVEQ, oEC � t 19g8 p�pN}�� g �rp*t(?MiC �EVELOPMENT, � � ��sc Local �nitiatives Support Corporation December 9, 1998 The-St. Paui Planning Commission c/o Ms. Nancy Homans City of St. Paul , Department of Planning and Economic Development 1500 City Hall Annex, 25 West Fourth Street St. Paul, MN 55902 - Dear Nancy: Enclosed please find a copy of my comments on the draft St. Paul Housing Plan. I appreciate the opportunity to provide input on the plan. Please call me if you have any questions. Sincereiy, `�l�� Steve Peacock Senior Program Officer cc: St. Paul City Council Members Twin Cities Otfice Hamline Park Plaza, 570 Asbury Street, Suite 7O1, St-Paul, MN 55704 - -Tel:(657}644-i709•fax:{65i}649-tt12- � � � 99-�0 � �� Local Initiatives Support Corporation Testimony on the St. Paul Housing Plan December 7, 1998 Good Evening: My name is Steve Peacock. I am a resident of St. Pau� and I am here in my capacity as a Senior Program Officer with the Local Initiatives Support Corporation (LISC) in St. Paul. LISC is a national nonprofit community development support organization that provides financial and technical assistance to community development corporations (CDCs) working to revitalize their neighborhoods. LiSC has been operating in St. Paul for ten years. During that time, we have supported numerous housing improvement and development activities undertaken in St. Paul's neighborhoods — from providing low interest construction financing to CDCs that are acquiring and renovating vacant houses and building new homes on vacant lots - to financing, through the syndication of the low income housing tax credits, attractive, affordab4e rental housing - to working with the City and private lenders to encourage purchase with rehabilitation lending activity in some of the City's most distressed neigfiborhoods. • I thank you for the opportunity to share some thoughts with you on the draft Housing Plan. Let me start by commending PED staff, particularly Nancy Homans, for the good work that has been done on this plan. 1 know that Nancy has made herself available all over the City for forums and discussions of the plan. I have tracked this plan as various drafts have come out and, from my perspective, it has become stronger over time in large part because of the range of community conversations that have occurred. I'd like to first talk briefly about what I see as some of the strengths of this plan. � (1) The plan articulates a ciear understanding of the importance of quality, affordab4e housing to the health of our City and the stabifity of families. Framing housing, particularly the provision of affordable housing, as key to the vitality of a City as a piace to do business and raise a family, is absolutely right. The Vision Statement is right on target when it speaks to the need for there to be housing options and choices for St. Paui residents across a range of income levels. I encourage you to regularly go back to that vision statement during your deliberations on the plan to make sure that the finaf product is consistent with this vision. Twin Cities Office Hamline Park Plaza, 570 Asbury Street, Suite 707, St. Paul, MN 55104 _ Tel: (6511 649-1109 • fax: t651) 649-1112 (2) Within the context of the strategy of "Taking Care of What We Have" I was � pleased to see support for focused, strategic, neighborhood based approaches to residential rehabilitation with CDCs and other neighborhood based organizations playing key roles in identifying target areas and implementing appropriate strategies fSect. 4.4?. From lISC's perspective, recognizing the role of neighborhood based planning and priority setting with respect to maintaining our existing housing is very positive and is essential to making good housing investments in neighborhoods. (3) The high priority given to preserving existing federally subsidized housing is very positive (Sect. 6.3). Given the shortage of affordable rental housing that exists in St. Paul, we need to view these developments as community assets that we simply cannot afford to lose. (4) The plan recognizes the regional context in which St. Paul's housing policies and plans need to be made (Sect. 6.2, 6.2). St. Paul needs to play a leadership role with regard to regional housing issues, particularly working on a regional replacement housing policy. That being said, however, the objective of increasing affordable housing in the suburbs should not be used to undercut or weaken St. Paul's own commitment to preserve or develop housing that is affordable to lower income residents. There are a number of areas where I feel the plan should be strengthened. � (1) Throughout the plan, specific, measurable goals should be established to ° address housing needs at various affordability levels (from 30% of area median to 80%). These goals should reflect the demograpfiic and economic realities of St. Paut residents — that is, who will be living in this community and what incomes they will have. I urge you to be clear on what standards of affordability you use when setting these goals. Nousing atfordable at 80% of the metropolitan area median income is out of reach to many St. Paul residents. With greater specificity around goals comes increased accountability for implementation. In addition, specific goals enhance the ability of the City, working with its partners fike LISC, to leverage resources for affordable housing development. It is hard for LISC to help coalesce support from the corporate and philanthropic sectors around a goal of stimulating a"modest increase" of new affordable housing units. It is easier if there is a specific, measurable goal that reflects a high tevel of commitment on the part of the City to providing af#ordable housing for St. Paul residents. � 9s-�o � (2) When setting those goals, there is some pertinent information that needs be assessed. In particular, information on the loss of housing units (the � numbers, affordability leveis, and types) and economic trends such as wage levels and job growth should be considered when setting housing production goals to ensure that the plan reflects the needs of St. Paul residents. (3) The plan should address housing demolition. A clear housing policy related �, to demolition is needed to ensure that value is placed on preserving the existing housing stock. This is particulariy important given the serious housing shortage that currently exists. (4) The recognition in the plan of the importance of mixed income housing \, development is positive. There are many communities across the country where mixed income strategies have been done successfully. However, the 20% at 80% mix is somewhat arbitrary and should be explored further to make sure it works for the St. Paul environment. Let me close where 1 began my comments. You have in front of you a pfan with the stated vision of "meeting the needs of both those who have considerable economic choice and those who have fewer choices." This is the right vision for St. Paul. But without setting more specific goals, particularly related to preserving � and developing housing that is affordabie to lower income residents, I'm concerned that this vision will not be realized. Thank you again tor this opportunity. � FROM : PHOn� rio : ��. ii i99e ii:3�Ari Fi FAX COVER SHEET Great� Frog[own Commumity Dava/opmenf Corporation 684 North Dale SYreet SL Pauf, MN 5510.? Phona (65t)298-898Q Fax (651) 224-7348 �uryMt D ReWYASA�' ❑ P(sueeommmt � Plasaereview � Foryowinfomwfion TotBfPeges. bcWdm9 cover � COMMEMS ............................................................ ............................................................................................................................................................... .....,.......� ................................................................_..................................._.............----`----._....-------_.._..__ _..... _---__ . ____ _ __. ............... ........ ......_................................................. . . ..... ..... ,........ ..........._.........................._......................----.................................................................. ................................... ... . . . . . . ....... ....... ....... .................. ................................................... . ........... .............................................._.._......_.........._.... . .. ... ........... ..................................__.................................._..................... ........ ......................__............__.............................................................. .. ......... .................. ..... ............ .................................................................................... . ............_`..............................._........_...........................................,., _ ......................................................._........ .,,..........................................._.........._..................................... .... . . ... . ...... . ................................... ........ ..................................._.._.._......_._........_.............._......................... .. . . . . .. . . ...................................................................................... .._........_ .......................... ... . . . . . . .. ... . ............. ..................................._........... ...........,..........,............_.......__........................................ ....,, � ................. ...............................................,.......................... ............., , . ...... ............................................................................................... ..::-::::� � :........:....:: -:�:::::::::.::::��EG��UE� :: -:::::�::::::� :::::::::::::::.:::-::_::::::: �::::::::::::::::-: ::: :-� �:�::::::::� �::::::::::-:_::::: :::�: .... ........................... .................... . .......................... .......................... .............................. ......................... ........... ....... ......... _..........................._........ ..........._......... ..... .... .................................... ....................,.. ......._............_......_......._ ....................o�c... �....�...�s�:�::_:::::��::.::�:_:.:..::...... .............................. ..._. .... ..................................... ............. .......... ................................................................................................................................................................................................. ..._ ............ ........................... .. .. .. .... ..... ........ ... .... ..... . . ............ ...... .... vi nNNING & ECONOMIC D�. ................................................................... � � � FROM : PHONE Np. : Dec. 11 1998 11:37AM P2 � ' �f9-90 � _� Gr Frogto Conun Deve Iopment Co zation t __ _�___ sav rt«n, �o�a sueet re�ano�e �ss�} Zse-s9eo St PoN. lvw 55103 MEMORANDITM To: St Paul Plannmg Coamnission St. Paui Ciry CouncH Prozn: Dawn Goldschnutz, Executive Dssector Date: December 11, I998 Re: GFCDC Comments on the DraR St. Paul I�ousing P1an As a provider of affordable housing and home impmvement resources m ihe Thomas Dale District 7 neighborhoods, the Greater Frogtowa Community Developme� Corporation is acutely imferested im the discussions revolving around the Drafr St. Paul Houri�rg Plan. We see this planning process as a timely oppoztunity for the citizens of St. Paul to take stock of the city's currern housing environment, the social pressures affecting honsing (such as welfare � reform and populaCion growth) which are commg to a boil, and the poteaiial housing dewaads of the coming decade. We bave the opportunity, wlrich we should not squaader, to create a blueprim for our future — one which will real'utically lay out the methods through which St. Pau! can provide housing options for a wide range of markets. We co�end the thoughtful work of the Planning Comusission on this politically "hoY' issue. We applaud the tirekss efforts of Nancy Homans as the Planning Commusion's ambassador to the neighborhoods, and as the author of the docuiaent. She has attended coundass coaurnmity mee2ings, most of them duting the evening hours, and has served the City well. We have some comments on the plan which we hope the Planning Commissiom sad the City Council will5nd aonstruCCive. The9e Comments are c„mma'i��d i'n ihe following eight recommendations: � i) Throughout the plan, specific mea�surable goaLs should be added to address honsing needs at various affozdability levels. The plan shouid state specific goais for housing availability to families and 'sadividuals with incomes at 30 percent, 50 perceat, and 80 percent of inedian income. The goals should reflect thc x+ealities of St. Paui; ie. St. Paul's median income (rougtily $37,000) is eonsidesably less than the Metropolitaa Staadard Tnconnc (560,180). The zesources reQuired to pmduce these units should be identified. Without tLis level of specificity, these is a iack of accountability for delivering on t}re suategy. With it, tiie citizens of St. Paul can hold futtue administrations accountable for im�pkmemation o£ the plan. 7'his tevel of � specificity witl atso s� �tF'i�eii �abil�iy to secure public and piivate ho �v resources. r �..v. DEC 1 1 1998 PCANNING & ECONOMIC pNELOPMENT FR0t�1 : PHONE N0. : Dec. 11 1998 11:38AM P3 2) The P1an shQUld acknowledge the zegional natute of St. PauPs housin� sitaation, but not m � a way that undercuts the needs of St Paui's residents. Tn other wozds, looldng to the suburban communities to build hovsing ihat is a&ordabk to poor St. Pau2 raidents is a weak strategy, and o�e which St. Paul has no authority to enforce. It is unlikely thai the suburban cox�n►ties wilI buiid housu� at the scale and a$ordability kvels necessary to house St. Paul's poor residents; it is atso unrealistic to believe that a majoziry of these families will want to kave the city for suburban life. 3) The ptan shouid state a cleaz po&cy on deraolition of housmg; one which places value on preservation of existiag hoiismg while the city suffers from a serious hovsing shortage. �• Methods should be explored to lig�uea the code enforcezaern sequiremems for reoccupation of vacaat housing and very 9exSble sources of fimding shouid be made availabie for coaection of code violatioas, at kast � such tinxe as the vacancy cates loosen up- 4) The suggested m»c of affordab�ty levels m new development should be explored The plan suggests thai developments m neighborhoods with ]ittle affocdable hovsing aad mong bousiag mazkets should be encouraged to provide 20 porcent of theu units to lower in,come households while those � weaker markets should be asked to provide a smatter share. The ��Y P�t fib'� is arbitcary and uniested 'm the St Paul mazket; m some cases this mix of fiousing could create class conflict or cost more ion public subsidy dollazs for both the lower income and the tagfier income umxs. Commuaity expettise shoukl be sought in making dec'sions about the appropriaYe mix of inco�s. 5) The plan lacks certain peitiuent infoimation How maay units of housing have we lost in � the past decade, and at what a$ordability kvels? Are the unats lost through pubfic heahh enforcement being wiurted? How n�ry have been replaced (1: I) ttnrough new conswctioa? Arc rehabbed units being coimted as new or as preservation? Wliat is the net loss of affordable imits7 Arsd how az�e ecorwmic trends (such as job creation aad wage kvels) impacting to ability of residems to access housing? A thorough assessment of thesc treads will enlightea the discussion and produce a more mformed p1an. 6} Ihe plan should state a clear, measurable goal to step up the production of affordable ho"�+*�g to meei tbe eJastiag and growing aeeds of the commuaity. In iu curreat foim, tbe plan is non-committal on this issue, statmg tl�at the city should "stimulate construction of a modest munber of new affordable imits each year." A possi�le beaclm�ark for progE�ess toward this goal is a change in the vacaacy raie. 'n The City Couac� s�uld nsme an advisorY bodY npresentative of a broad base of interescs but with a signiScant Ievel o£housing expertise, to help cta$ the dcaft plan mto a more specific pl� for anplementaiion. 8) Honsing must become a high priority within �ED. Seaior level ieadenhip mad adequate sta$msources shov}d be rlaa�d to implement the p�an —]evels of expectations should be stressed. Without this level of commitmcnt St. Paul w�l fail to meet the housing demands of its growung and chanSmg PoPulation and social sttesses wiII mustaoom. R�CEIVED; DEC t t �$ �J � r 1 u PlAFINIfl6 & ESO"lOM1C 9EVELOPMENT �- 9U � METROPOLITAN INTERFAITH COUNCIL ON AFFORDABLE HOUSING MICAH L�` 'Do Justice, love me�cy, walk humbly wfth your God.' December 8, 1998 The St. Paul Planning Commission Attn: Housing Plan Task Force 25 W. Fourth St., Suite 1300 St. Paui, MN 55102 Dear Members of the Housing Plan Task Force: Micah b:8 Thank you for allowing MICAH the opportunity to respond to the 1998 St. Paul Housiag Plan draft, both through our pubiic testimony at the December 7, 1998 hearing and now in writing. The Metropolitan Interfaith Council on Affordahle Housing (MICAH) is an inter-faith organization that works to promote public policies that ensure decent, safe and affordable housing for everyone in the Twin Cities region. Our membership consists of over one hundred congregations of all faiths from across the metropolitan area. In addicion to its public polic}� work. MICAH has advocated for the development of new affordable housing in several suburban communities, including Maple Grove, ?vlinnetonka, and New HoFe. In general, MICAH believes fr,at the St. Pau1 Housing Plan is well concentualized and we appreciate the hard work incolved in developing this dra8. ��e particularly appreciate the � recognition of housing as critical regional issue and the plaa's focus on housin� pre;ervat:on. However, we do have some specific observations and concems about the plan as it stands. While we applaud the plan's emphasis on the preservation of cunent housing stock, we are troubled by the fact that the plan fails to delineation what resources the city will direct towards housing rehabilitation and maintenance. We would like to see a specific proactive plan to preserve the city's existing housing stock, which includes a concrete commitment of city resources. � i) MICAH would like to see the plan outline a policy on the demolition of housin� units which includes a moratorium on the demolition of structural3y sound affordable housing and a . policy which ei�sures that affordablc hcusina units are replaced before demolition, to ensure that tenants are not unnecessarily dispiaced. This is a necessary step towards closing the gap between the demand and supply of affordable housing in St. Paul. 2) Although the plan states that St. Pau; will encouza�e the development oF some 300-400 housing units per year, half of which will be in city-promoted azeas of development along the river and near doivntown, the draf; does not offer sufficient numeric goals as to how many o£ these new units will be affordable to low-income residents of the city. With the gap between low-income household� and affordable units �rowing, it is imyerative that the city target an adequate amount of its new� housing development to people with very low incomes. RECEIVED � . OEC i 4 1998 Minnesota Church Center, Suite 310 122 West Frnnklin Avenue Minneapolis, MN 55404 ��ttac & �coxoMic uEVp.oeM�¢ Phone: (612) 877-5980 Fax: (612) 813-9501 www.micah.org 3) � According to the current plan, a portion of new housing units will be affordable to households with incomes below 80% of the regional median ($48,600 per yeaz). Unfortunately, there aze thousands of households in Saint Paul whose needs will be entirely unmet by this goal. The city must include specific goals to meet the housing needs of those households who earn at and below 50% and 30% of the regionai median income. 4) The plan draft "chailenges" the entire metso community to ensure low-income housing and � acknowledges ihe increasing centralization of affordable housing in the central cities. The plan states that Saint Paul wIll support a deconcentration and region-wide sharing of affordable units. Although the affordable housing crisis is a regional issue, MICAH feels that the city cannot exempt itself from its responsibility to provide affordable housing for its current residents. The pIan currentiy offers no commitment to the construction of affordable iini within the city limits. 5) As written, the plan is ambiguous about the ciry's acivat commitment to the construction, � rehabilitation, and preservafion of affordable housing. This ambiguity should be clarified with specific numeric goals reflecting the demographic and economic make-up of the city. The plan should also outline specific strategies for construction, rehabilitation, and _ preservation. In order to ensure that the city develops a solid commitment to housing, we recommend that a task force be created to provide a mechanism for commvnity iaput in the final development of the plan. We ask that this task force include substanrial representation from low income people, housing advocates, and mearbers of the faith community. There are three fundamental moral beliefs joinfly affumed by Cluistian, Jewish & Islamic faith communities in Minnesota: • Every person has God-given dignity and worth. • Human dignity is protected and realized in community. • Poor and vulnerable members of society deserve economic and social justice. Because all people have dignity and worth, no one, regazdless of income, race, or where they live in ihe region, should be deprived of adequate opportunity to obtain decent shelter, work, or meet o:her basic needs. I: is our rasponsibility to buld an3 shape the r�gion and its many com.munities to ensure that all who live here have such opportunity. Thank you for your consideration of our comments. We will look forwazd to your response. Sincerel r Joy Sorensen Navarre Executive Director RECEIVED DEC 14 1998 � � � el�Nruac & EcoNOMic n�vE:nebtENt �19-9L� � Rondo Community Land Trust TO: St. Paul City Council and St. Paul Planning Commission Members FROM: Zula Young, on behalf of The Rondo Community Land Trust Board of Directors RE: Draft Affordable Housing Policy Paper. Written comments for St. Paul City CounciUPlanning Commission public hearing on Monday, December 7` DATE: December_7, 1998 . . Thank you for your time this eveninD. My name is Zula Yaung and I am the Vice Presicient for the Rondo Community Land Trust Board of Directors. I am speaking on behalf of the Board this evening. The Rondo CLT provides affordable housing in the Summit-University and Lexington-Hamline neighborhoods here in St. Paul. The draft Housin� Policy Plan before you is a very good start. There are however some areas that should be expanded and � stren�thened. St. Paul has the opportunity with this report to create the framework to provide safe, decent and affordable housina for all of the residents of St. Paul, now and future residents. It is imperative that the City Council and PlanninQ Council first insure that all residents live in safe and affordable housing, currently they do not. Every person deserves to live in the same decent, safe housing that you and I live in. The Rondo CLT has developed an affordable housing paper that will be submitted to the City Council and Plannina Commission. Tonight, I wi11 address the recommended changes to the draft plan. Page 1. The Vision. A paragraph needs too added that talk about the role of housinQ in family stability. � � Page 2, Draft Housing Policy Remarks for December 7� Public Hearing The Introduction. One other theme within the plan must be the: � _ 1 Z, Re�lacement before demolition and disnlacement. Page 2. St. Paul part of regional system. Add the following: St Paul o�cials need to �ush for a tnte re�ional policv that requires compliance throuahout the region for a fair share of affordable housina throu�hout the region, St. Paul policv makers must work with Minnea�olis officials in forcinQ the Metropolitan Council to in force �olicies that ensure atl suburban municipalities complete low-income housin� proiects or repav the funds used to extend raads. sewers and water lines into the corn fields. Page 5. Key Trends Add the followin�: � d One to one replacement of low-income. No unit demolished until its r�lacement is complete. Page 6. Meet I\Tew Market Demand. Insert low-income housin� in the first section so it would read: Encoura ihe production of 300-400 bf low income housinQ units a vear that can be sold or rented to smaller households- either new vounQ households or older emptv nest and senior citizen households. Page 7. Add to Section c. Provide gap fmancing when necessary to_ iii. Ensure that 300-400 units annuallv are affordable to households ��ith incomes below 80% of re�ional median. � %q-90 � j \\r (o� a11 � e A �; � < - � , Healt� Care �or tlie Homeless ancl HouseCal�s �\ 4 �aer the S� December 10, 1998 -}�� lain �Jtreet �aint �au�, �iiiinesota 7�1�2 (6] 2) 290-651-� (612) 290-681 S (fax) RECEIVED DEC i 1 tigg$ The Saint Paul Planning Commission Attn: Housing Plan Task Force 25 W. 4th Street, Suite 1300 Saint Paul, Minnesota 55102 Deaz Members of the Planuiug Commission of the City of Saint Paul: r, �� 41.��'�� :�� As current and former residents of the City of Saint Paul and heahh caze professionals serving the home- less population of the City we wish to comment on the proposed Saint Paul Housing Plan. Housing is a health care issue. Unavailable and unaffordable housing aze major reasons our clients aze shelteied and iesheltered in homeless shelters. Unsheltered members of our community suffer from extremes of weather, frostbite, hypothermia and dehydration. Children in substandard housing aze more at risk of lead poisoning and asthma which is triggered by rodent droppings. The mental and emotional health o£ men, women and children are affected by the lack of affordable housing. Stable communities �\� address the need for stable housing at all economic levels. How does the plan addrnss the need forspecial vulneiable populatiors in need of specialized housing? The tmmeless clieAts we serve aze in immiediate need of decent, affordable housug. They are not abshact , figiues and their incomes fall way below even the city's median income let alone the �egional median � incame. We encourage the Plazmu�g Conmussion ta set clear, definable objecNves for the City of St, Paul to connnit to in regaed to building more affoidable umis which ieflect the lower median income of the city's population. We welcome the City of Saint PauYs efforts to affect regional housing policies sup- porting more low income housing for which our client population has a critical need. We aze very much aware of the NIMBY attitude in neighborhoods where affordable housing is under represented. How will the city add�ess these attitudes? We ask that you engage the creative energies of those worldng in the low-cost housing, health and social service arenas to assist you in planning to meet the growing need for low-cost housing in the City of Saint Paul. Sincerely, � �c��y�!CG��r�w-- R/L�G� iu,�� resided in city for IS years Mady Jean erin / Karen Bollmann �ce Manager Clinic Assistant UoIunteer and Donations Coordinator 2190 Mailand Road � �su�.�. Ma�-�,e�. Susan Mather Public Health Nurse 958 Aurora Avenue U'Y^C� Stacy Zitnmer Social Services Coordinator resided in city for 3ll2 years _ a program of �cst sic�e � ommuniErJ Hea�t�i il�ernices METROPOLITAN INTERFAITH COUNCIL ON AFFORDABLE HOUSING 'Do justice, love mercy, walk humbly with your God." Micah 6:8 �� December 8, 1998 The St. Paul Planning Commission Attn: Housing Plan Task Force 25 W. Fourth St., Suite 1300 St. Paul, MN 55102 Dear Members of the Housing Plan Task Force: Tkank you for allowing MICAH the opportunity to respoad to the 1998 St. Paul Housing Plan draft, both through our public testimony at the December 7, 1498 hearing and now in writing. The Metropolitan Inierfaith Com.ci; on Affordable Housing (MIC1`.H) is an inter-faith organizaiion tl,at works to promote public policies that er,sure dzcent, safe and afiordable housina for everyone in the Twin Cities region. Our membership consists of over one hundred congregations of all faiths from across the metropolitan area. In addicion to its public polic}� work. MICAH has advocated for the deveIopment of new affordabie housing in severzl suburban comur.uiities, including Maple Grove, �vIinnetonka, and New Hope. In general, MICAH believes ti-.at the St. Paul Housing Plan is well conceptualized and we appreciate the hard work incolved. in developing this drafr. We particulazly appreeiate the receg�vtion of housing as criticaJ regional issue and the plan's focus on housing preservation. However, we do have some specific observations and concems about the plan as it stands. While we applaud the plan's emphasis on the preservation of current housing stock, we aze troubled by the fact that the plan fails to delineation what resources the ciTy will direct towazds housing rehabilitation and maintenance. We would like to see a specific proacrive plan to preserve the city's existing housing stock, which includes a concrete commihnent of city resources. � 1) MICAH would like to see the plan outline a policy on the demolition of housing units which includes a moratorium on the demolition of structurally sound affordable housing and a .zplacemeai �olicy whicii ci,�ures sha? altardabie hcusiaa unirs are replaced befo: e demolition, to ensure that tenants are not unnecessarily displaced. This is a necessary step towazds closing the gap between the demand and supply of affordable housing ut St. Paut. 2) Aithough the plan states that St. Paul wilI encourage the devetopment of some 300-4d0 � housing units per yeaz, half of which will be in city-promoted azeas of development along the river and near downtown, the draf: does not offer su�cient ntuneric goals as to how many of these new units will be affordable to low-income residents of the city. With the gap between low-income households and affordaole units growing, it is imperative that the city target an adequate amounY of its neu� housing development to people with very low incomes. RECEIVED DEC 1 4 1998 Minnesota Church Center, Suite 310 Phone: (612) 877-8980 722 West Franklin Avenue Fae: 672 813-4501 �INING & ECONOMIC DEVELOPMENS ( ) Minneapolis, MN 55404 - _ www.mfcah.org s � � 9q- �c� , � 3) \ According to the current plan, a portion of new housing units will be affordable to households with incomes below 80% of the regional median (�48,600 per year). Unfortunately, there are thousands of households in Saint Paul whose needs will be entirely unmet by this goal. The city must include specific goals to meet the housing needs of those households who eam at and below 50% and 30% of the regional median income. � 4) The plan draft "challenges" the entire metro community to ensure low-income housing and aclrnowledges the increasing centralization of affordable housing in the central cities. The plan states that Saint Paul will support a deconcentration and region-wide sharing of affordable units. Although the affordable housing crisis is a regional issue, MICAH feels that the city cannot exempt itself from its responsibility to provide affordable housing for its current residents. The pl�n curently offers no commitment to the construction of afferdable units within the city limits. 5) As written, the plan is ambiguous about the city's actual commihnent to the construction, � rehabilitation, and preservation of affordable housing. This ambiguity should be clarified with specific numeric goals reflecting the demographic and economic make-up of the city. The plan should also outline specific strategies for construction, rehabilitation, and preservation. In order to ensure that the city develops a solid commihnent to housing, we recommend that a task force be created to provide a mechanism for community input in the fmal development of the pian. We ask that this task force include substantial representation from low income people, housing advocates, and members of the faith community. There are three fundamental moral beliefs jointly affirmed by Christian, Jewish & Islamic faith communities in Minnesota: • Every person has God-given dignity and worth. • Human dignity is protected and realized in community. • Poor and wlnerable members of society deserve economic and social justice. Because all people have dignity and worth, no one, regazdless of income, race, or where they live in the region, should be deprived of adequate opportunity to obtain decent shelter, work, or meet ott:er basic r.eeds. It is our:espcns:bilitp te bUi:d an� shape uhe :egien and its mar.y com.r.zunities to ensure that all who live here have such opportunity. Thank you for your considerarion of our comments. We will look forwazd to your response. Si cerel � Joy Sorensen Navarre Executive Director RECEiVED DEC 1 4 1998 Bl'Al'1NING & ECONOMIC DEVELOEME�LL Rondo Community Land Trust TO: St, Paul City Council and St. Paul Planning Commission Members FROM: Zula Young, on behalf of The Rondo Community Land Trust Board of Directors ItE: Drafi Affordable Housing Policy Paper. Written comments for St. Paul City CouncillPlanning Commission public hearing on Monday, December 7` DATE: December 7, 2998 Thank you for your time this evening. My name is Zula Young and I am the Vice Presicient for the Rondo Community Land Trust Board of Directars. I am speaking on behalf of the Board this evening. The Rondo CLT provides affordable housing in the Summit-University and Lexington-Hamline neighborhoods here in St. Pau1. � The draft Housing Policy Plan before you is a very �ood start. There are however some areas that should be expanded and strengthened. St. Paul has the opportunity with this report to create � the framework to provide safe decent and affordable housing for all of the residents of St. Paul, now and future residents. It is imperative that the City Council and Planning Councit first insure that all residents live in safe and affordable housing, currently they do not. Every person deserves to live in the same decent, safe housing that you and I live in. The Rondo CLT has developed an affordable housing paper that will be submitted to the City Council and Planning Commission. Tonight, I will address the recommended changes to the draft plan. Page 1. The Vision. A para�raph needs too added that taIk about the role of housing in family stability. � • •� � Page 2, Draft Housing Policy Remarks for December ��' Public Hearing The Introduction. One other theme within the plan must be the: __ 1�placement before demolition and displacement. Page 2. St. Paul part of regional system. Add the following: St Paul officials need to push for a true re�ional nolicv that requires com�liance throu�hout the region for a fair share of affordable housin� throuehout the re�ion. St. Paul policv makers must work with Minneapolis ofFicials in forcin� the Metropolitan Council to in force policies that ensure all suburban municipalities comnlete low-income housin�..projects or repav the funds used to extend raads. sewers and water lines into the corn fields. Page 5. Key Trends � Add the followin�: d One to one replacement of low-income. No unit demolished until its re�lacement is complete. Page 6. Meet 1�Tew Market Demand. Insert low-income housing in the first section so it would read: Encouraae the production of 300-4Q0 of low income housinQ units a year that can be sold or rented to smaller households- either new voun� households or older emptv nest and senior citizen households. Page 7. Add to Section c. Provide gap financing when necessary to; iii. Ensure that 300-400 units annuallv are affordable to households w°ith incomes below 80% of re�ional median. � Page 3, Draft Housing Policy Remarks for December 7�' Pub]ic Hearing Page 10. Ensure Availabiiity of Affordable Housing. � Change the word chal�enge to demands in number 1.) so it wonld read The Citv demands the re�ion to ensure each metropolitan community�rovides a full ranee of housin� choices in order to meet the needs of households at all income levels. Page 11. Specific measures that the city will support include; Under letter b. it should be changed to read: Successful a�plicants for regional funds shall contract for production of housina units affordable to households with incomes below 50 percent of the re�ional median. L�nder letter d. change the word should to shali. So as to read_, to the extent that incentives axe not successful in encouraain� the production of additional affordable units in suburban communities. � the Ciiv of St. Paul shall support tt�e design of re�ionai requirements and/or metropolitan resources sharin4 mechanisms to simulate production... 2. The City shall work with its public, private and philanthropic partners to identify and secure si�ificant additional resources to enable the preservation and construction of affordable housing, both within the city and throughout ihe region. Page I2. First paragraph, last sentence sltould be changed to read; The need for states and local Qovernments_ then_ is to seek new federal commitments and identifv alternative sources of ftznds-or both. � 9�-9� � Page 4, Draft Housing Policy Remarks for December 7�' Public Hearing And ne� section the word should be changed to must, to read: With its partners, the City must: Page 13. Number 4. Should be changed to read: Stimulate the construction of an adequate number of new affordable housin� units each year. �2rticularlv in neishborhoods where affordable housin� is in limited supplv. In the last sentence, the word should be changed to must. To that end_ the Citymust encourase the development af housin� affordable to households with incomes below 50°/o. 60% and 80% of the reaional median income bv... � Page 14. Change the word should to must in the second part of sectian design to read: In encouraains and desi�inQ each praposed development, the citymust... Page. 15. Section 5. Support a variety of initiati��es that will allow lower income households to move into homeownership. Change the word should to must to read: Toward this end, the must support and strenathen. Under number 6. Pre-purchase counselin� and post purchasinQ mentorinQ to increase the �robabilitY that a first time homebu�r will be successful. Page 16. At the top of the page, To the end, the Ciri must... � Under number 8b. Development of 2�0 units of transitional housinQ and 1250 units of Qermanent sup�ortive housinQ throuQhout the countv. servina sinale adults. families and vouth. Page 5, Draft F3ousing Policy Remarks for December 7`� PubIic Hearing � Preserve and improve existing privately owned rental housing units. The sentence sta.ting that, "too often, condemnation and demolition throu the nuisance abatement process is the onlv available tool and the housina unit is lost", should be changed to read that this type of policv is wrong and that other policies must be developed to ensure that a policy that reIies on demolition of sound housin� units is not a policv the city can or will su�port in the future. In closing, it is imperative that the city of St. Pau1 be good stewards of the funds it receives towards building and rehabbing of affordable housing. Whether the funds are general fund, CDBG, HOME or from the Minnesota Housing Finance Agency, the city should ensure they are invested in developments that are affordable � far at least 20 years and should realIy be 99 years. There are limited local and federal dollazs, they must be used wisely and must benefit the larger community and not individuals. A commitment must be made by the city council, p�anning commission members and the mayor that funds will be committed towards long-term affordable housing that will ensure that every resident of St. Paul will have a safe, decent, clean and affordable place to live. The City Council and Planning Commission should direct PED staffto explore the use of more ion� term affordable housing, including limited equity coops, limited equity condominiums, community land trusts and deed restricted housina. Use of limited dollars wisely will ensure more housing is built and rehabbed. � y9 � Page 6, Draft Housing Policy Remazks for December 7`� Public Hearing The City Council and Planning Commission must commit to building at least 400 units a year of new affordable housing unit per year. The City Council and Planning Commission must commit to a one ' to one replacement policy. The City Council must commit to never converting housing rehab funds towards demolition of affordable housing units. NEVER. The City Council and Planning Commission must create a permanent Affordable Housing Fund, starting with the excess STAR monies. The City Council and Planning Commission should tal�e the lead in � first ensuring that every St. Paul resident has affordable shelter and then second, it should move for a comprehensive regional plan to ensure that no matter where you live in the metropolitan area, there will be affordable long term housing. On behalf of the Rondo CLT, Thank you for your time. � Summit Hill November 16, 1998 tion District 16 Planning Gouncil 860 Saint Ciair Avenue Saint Paul, Minnesota 551� Telephone 651-222-12 Fax 651-222-1558 e-mail summit.hiilC�tstpaui.gov Saint Pau( Pfanning Commission C/O Nancy Homans 13th �toor City Hall Annex 25 West Foucth Street Saint Pau(, Minnesota 55102 Dear Housing Plan 7ask Force: On behalf of the Summit Hiii Associationl Distr'ict 16 Flanning Council (SHA), I am wrifing to submit formai comments on the Saint Paul Nousing Plan Draft for Community Review. The SHA has been following the discussions on the draft plan and members of the SHA have carefully reviewed the documsnt. The SHA Board of Directors also discussed the pian a# its meeting on November 12, 7998 and passed a motion in support of the following commenfs. �`, Overall,_the pian is vague, with very few specifics about flow the city witl accomplish the vision described in #he documenYs opening paragraphs. The lack of specificity makes iYdifficult to commenf either positively or negatively on the proposed strategies, which on their face appear reasonable. The lack of speciticify is concerni»g, particularly when the fopic is so vitally important to the future of the city. There are, however, a few areas that stand out for us as requiring comment. . - . Key Trends � We are troubled by the tack of emphasis on some positive housing trends in this section. For � example, we have found that weli-built houses with historic significance or architectural interest are increasingiy in demand and are a significant city asset. We have aiso discovered thaf people of moderate incomes are purchasing existing homes and investing in their rehabilitation. ` Very (ittle of #he pfan centers on what the ciiy is doing right and takes for_granted areas of the city where housing stock is stable and investments are being made. Failing to see and record these irends may lead the city to fiorget about nurturing and supporting these positive trends .- and they may disappear. - ' 3.1 1t is well tcnown ihat our population is aging and thaf seniors will be a significant part of our population in the eady part of the next century. What is unclear; however, is how the ciry arrived at the conclusion that these peopfe wil! prefer the amenities associated with #ownhouse or other shared.wall housing types. Has"ihere been any market research to indica#e these preferences, or is this inforination anecdotal? We believe that some seniors may preter this style of housing, but others may prefer more traditionai housing styles. We are concemed that the eity may focus solely on developing townhouse siyle housing and neglect creating other varieties of housing that may be attractive to people at all age levels. A mixture of housing styles wi!! help atiraci and keep residents in ihe city. �. � 9�- 90 Saint Paui Planning Commission November 13, 1998 � Page 2 Strategy 1: Take Care of Wfiat We Have 4.1 We agree that the city should support the features that enhance traditionai neighborhood design. We agree that preserving the character of neighborhoods is wfiat wil{ encourage people to want to live in the city. \ What specific strategies will the city employ to preserve a mix of land uses, a sufficient housing density, and quality architecture? Will this come through changes in the zoning code or the development ofi design guidelines? We find this area intriguing, but short on specifics. 4.2 We believe that the city shoutd place an even stronger emphasis on historic preservation. In fact we wouid encourage the rewriting of the paragraph to say that the city, the Neritage ` Preservation Commission and their neighborhood partners shouid sigpificantly increase their efforts to identify and pursue opportunities for both the formal designation of significant structures and neighborhoods and general public education on the importance of conserving the traditional character of each neighborhood. , � This strategy is also short on specifics. How do we encourage the city to live up to this vision? !s it through changes in the zoning code or design guidelines? What commitment from the city is there to prevent 70's style split levels in a bungalow neighborhood? At this time there are no formal mechanisms to provide guidance io developers to confiorm to siyles and historic , characteristics, 4.3 It is unclear who is being targeted in this section. Is the focus on absentee landiords or homeowners? We have some concerns about increasing fines as a means to encourage compliance with the � housing code as fines may take away financiai resources that could be used to fix up a property. This would be particulariy true in cases where repairs are noi being made because a homeowner is low-income. Also, absentee landlords may just pay the fines and ignore the problems. The effort a landiord has to take to deal with the city and attend hearings is what LN;i� E.'I1C0lSi 2�° .�l@ �af:`�:OfG� ,o make Cilu�i'�8. �i^c'�UCiTi^y .IiS Si2� 3V3t�cZu�:^. iC C^viSC�.LiCt inspections will not get the city better compliance. 4.4 While we agree that certain neighborhoods may be in need of more intensive investment, we know ihat loosing infrastructure in any neighborhood is a possibility. Focusing resources only on selected neighborhoods could lead to deterioration throughout the rest of the city. Opportunities for public investment shouid be available across the city, if not at the intensive level required by some neighborhoods. 4.5 We agree that the city shouid play a role in encouraging well managed rental property. � Has the city developed criteria for what a well managed property wouid look like? How would financial incentives for weli managed properties be determined? � �_, Strategy 2: Meet New Market Demand ' 5.1 Once again, we need to ask if the city is Gsniting itself by seek+r+g to deve4op townhouse style housing instead of developing a mixture of housing options. Is there significant market research to confirm that people are looking for this style of housing? Saint Paul Ptanning Commission November 13, 1998 Page 3 5.2 We again agree that good designs that complirrient existing neighborhoods are a good �_- thing. Once again, we find the draft short on specifics to accomplish this goal. 5.5 As we commented upon in the Land Use P�an, we have concerns about streamlining the � zoning process for new types of development. As iT is currently, neighborhoods have uery little opportunity to comment upon proposed devetopments. If you are interested in having developments that fit with ihe character of the neighborhoods, some neighborhood invoivement in the zoning approval process is required. This section proposes amending the zoning code to allow an accessory ("mother-in-law") apartmeni in owner occupied, iarge single famiiy nouses. As we stated in our comments �r� the Land Use Plan, we have concerns that allowing this change in the zoning code wi!! lead the city to repeat development mistakes it made following World War II, where the use of accessory apartments threatened the stability of single family neighborhoods. At this time, there does not appear to be enough information on the allowable characteristics of these apartments for the SHA to support the inclusion of this city-wide zoning change in the comprehensive pian. We do nof befieve thaf a(iowing a zoning change of this nature is � warranted for the estimated 300 units of housing that woufd result. Therefore, the Planning v Commission shoald eliminate the proposal for accessory apartments until there is more specific information about their potential use, characteristics, and impact. Strategy 3: Ensure Availability of Affordable Housing 6.0 The introduction to this section states that relative to most communities in the metropolitan area, Saint Paul has a large supply of weil-managed, low cost housing. Relativelv speaking that might be the case. tiowever, the truth of the matter is that Saint Paul has a woefully limited amount of housing availabie for people who are low-income. This situation is exacerbated by choices to tear down buildings where low-income housing is available and not replace the units. The presenration of low-income housing is. important, but should not be our only focus. The city needs to actively seek funds and develop housing for people with low- incomes especially #amilies. 6, i We agree that the city shouid push to make sure thai surrounding communfties provide a �v full range of housing choices in their communities, but this section seems #o indicate that Saint Pau! has done its part. We believe ihat.the region should fake on a larger share of the burden, that we should lobby io ensure that other communities fiulfili their obligations and work to stop funding that makes it easy for Them to ignore their responsibilities. However, Saint Paul needs to do more than point the finger af other localities: ' �.� 6.2 In addition to iooking af new construction for affordabie housing options, the city could seek incentives for existing landlords.to reduce apattment costs. .- � � _ 6.4 The strategies addressed in this section are good, but not enough. The city needs to address the housing needs of low-income people with more vigor. � �� , Saint Paul Planning Commission November 13, 1998 � Page 4 �• 6.5 While homeownership shouid be part of the equation for providing low cost housing, it may be overrated. Rental housing continues to be most attraciive to people with low-incomes. Aiso, mortgage rates may be low now, but this may not be the case in 2020. it would be difficult to guarantee that this will remain an affordable housing option. � 6.8 We agree that providing incentives to existing landiords is a worthwhile strategy. Providing housing for people with low-incomes can be expensive and if we are to provide decent, low end housing, rental property owners wiil need encouragement. We appreciate the opportunity to comment on the draft Housing Plan and encourage the Saint Pauf Planning Commission to consider these matters carefully as tne draft moves forwara. If you have questions about these comments, piease feel firee to contact me at 291-0020, Charles Skrief, our Zoning and Land Use Committee Chair, at 292-0003, or Eilen Biales, SHA Executive Director, at 222-1222. 8incerely, /Y� �� (�-�r'zt�C„�-� � Molly Coskran President Summit Hill Association/District 16 Planning Council cc: Members of the Saint Paut C+ty Council � Saint Paul Area Council of Churches � 1671 Suinmit Avenue • Saint Paul, MN 55105-188-� •(612) 646-8805 • FAX; 6�6-6566 November 18, 1998 St. Paul Planning Commission �:�=,Atin: t'rtadys �vlortori, �air ' 1300 City Hatl Annex 25 W. Fourth Street Saint Paul, MN 55102 Re: Comments on the St. Paul Housing Plan Dear Members of the City Planning Commission, I attended a public hearing on the draft Saint Paul Housing Plan at the Cathedral of St. Paul eazlier this month, November 7, 1998. Nancy Homans, a city planner, reviewed the draf[ plan with us. She encouraged those in attendance to put our concerns in writing and mail them to you, What follows aze my concerns and suggestions for improving the plan. � 1.0 Vision. Missing in the vision statement is a commitment that there will be su�cient � affordable housing to meet the needs of all the Ciry's residents, i.e. no one or no family would be left homeless. 2.O Introduction. The statement `' SainY Paul w�ll continne to look to re�ion for — and will continue to work with our regional pazmers to develop — a shazed vision ..." sounds like a license to demolition low�-incame housing units and disperse their occupants to other communities, a variation of the "not in my backyazd" theme. I believe the City should propose housing options for aIl income groups and races throughout the metropolitan area. At the same time, low-income persons, just because they aze low-income and living in low cost housing, shouid not be forced out of their houses (through demolition) and forced to relocate outside their existing neighborhoods, unless that is there preference. I think there also needs to be a stronger statement on barriers to housing and the City's effort to deal with them. 3A Key trends. Missing is the trends in homelessness and the growing gap between minimum '` wages / actual wages and living wages for the workin� poor. The working poor aze warking more, but able to afford less. What about the conversion of section 8 units to mazket rents and the destrucrion of housing units with replacin� them with units of equaI cost (e.g. Phalen apartrnents)? � y 9- 9a . 4.0 Take Care of What We Have. We concur that the first strategy must be to preserve the CiTy's existing housing stock, particulaz for low income households. The cost of construction of even modest housing units is cost prohibitive to low income families with some kind of subsidy, e.g. section 8. However, the plan makes no commitment to preserve low-income housing units, i.e. using demolition only as a last resort and then with like-priced replacement units. 5.0 Meet new market demand. What about meeting the mazket demand of those 7,700 households that eam less than 30% of the regional median income and pay more than 56% of their income on rent; or what about meeting the needs of the homeless? 6.0 Ensure Availability of Affordabie Housing. The numeric goals of transitional housing and low income housing in The City and County's Five Year Plan for Housing and Homeless Services that is referenced on page 14 itseif does not fully address the needs that aze identified in that plan and repeated in this pian. There is no discussion of how racism affects the availability of housing. There is no real discussion of other barriers to housing, e.g. application fees, lazge damage deposits and so on. There are no real numeric goals, beyond 25 units per year through Habitat for Humanity. I believe that drafr plans needs to be re-written with more specific numeric goals and commitments, as well as address the needs of the low income and homeless. Let me use the story of one of the persons that stayed iast night at the emergency shelter that the � Saint Paul Area Council of Churches operates in azea churches. Her name is Alice (not her real name) and she has been without housing for two years. She wonders about the possibility of putting her four children into foster care. Moving from place to place has taken its toll on the family. Her spouse left them last summer, he said he could no longer live with the pain. The children's grades are slipping, they aze fearful that one day they will not remember where they are staying and loose their mother. There is no stability in their lives, there is nothing that is permanent. Many of the clothing items they receive from free closets is used and them discazded, it is difficult to carry extra clothing from place to place. Last night when Alice and her children entered the church shelter for the fifth night the youngest child ran down the steps to the basement room and shouted to the volunteer, "We're home!" Living without permanent housing means you cany no keys, your drivers license does not have your correct address. You don't plan meais for your children. During the holidays you rarely make the decision of which toy to give your child. Living poor means the majority of the everyday choices for yourself and your family are in the hands of someone else. That means the children do not have a say in the kinds of school supplies they want. It means your bed does not have your favorite blanket. Seldom do you have a regular schedule that you decide works for yourself and your family. The unknown robs you of the capacity to resist causing your self esteem to plummet. � Alice can still dream and she still has the energy to look for housing. She says her kids deserve to have a home and she deserves a fuiure. There aze lots of Alice's that need housing. In addition the problem of housing is becoming more acute for tiie working poor. There incomes, typically at or neaz minimum wage does not keep up with the costs of rent which puts them increasingly at � risk of becoming homeless. Society seems to argue that we cannot increase the minimum wage because it will put people out of work; I would say by not increasing the minimum wage you aze putting people at risk of becoming homeless and being put out on the street. If the Ciry does not implement living wage ordinances and does not support increasing the minimum wage, then the City needs to find solutions that will enable those households to have and retain affordable housing. In closing, we urge the City not to teaz down any more housing units until there is sufficient evidence that enough safe, adequate housing is available in the same azea and at the same price. We can not afford to deepen the housing crisis. Thank you for this opportunity for the Saini Panl Area Council of Churches to share our concerns and suggestions. Please keep me informed on the progress in adopting a new housing plan for Saint Paul. SincereIy, � �� — �rCS-�—'0 ��-f�'�. Robert G. Walz, MSW Director, Congregarions in Community Saint Paul Area Council of Churches cc Mazgazet Lovejoy, birector, Project Home. u � t � �. � November 19, 1998 Ms. Nancy Homans St. Paul Planning Commission 1500 Ciry Hall Annex 25 West Fourth �trEEt St. Paul, Mn 55102 Dear Ms. Homans: I am writing this letter to express my concern about the Draft Copy of the St�INT PAUL HOUSING PI.�1N dated October 9, 1998. While the Planning Department in its Draft may be well intentioned, the results are not targeted to St. Paul's need. This is because nowhere in this document is the need mentioned. The section on affardable housing like all the other sections merely mentions a series of activities the City should either � continue, update, expand or begin. Yet no baseline is included fi which barriers to meeting needs are identified and from which the following couid be developed: strategies, goals, time lines, activities periodic interim evaluations to determine if the goals are on schedule and if not what kind of corrective action to take, etc.. By baseline I mean for various income levels in each part of the city: the present need for housing stock and the projected need for specified future years. It is only when such a baseline is established can anything else in this Draft have any relevance and effect. Another series deficiency in this draft is the lack of a replacement policy. Thus even if the proposed activities could help alleviate the affordable housing problem, this could be somewhat offset by decent, safe and af�'ordable housing being torn down or the rental or sales price being reset at market rates. � �: There is much more at stake than any given neighborhood. As you are � probably aware, if housing racial segregation is--given the percentage of people of color, the degree of concentration or dispersion, then the Twin Cities Metropolitan Area is THE MOST RACIALLY SEGREGATED ARF.A IN THE COUNTRY. I feel the present form of St. Paul's Housing Plan would aIlow us to retain this dubious distinction. I would appreciate hearing your reaction to what I have written so far. On a reIated matter, a few weeks ago I heard on Minnesota PubIic Radio that St. Paul may establish a citizen's advisory committee to make recommendations concerning the Housing Plan. If such a committee is established, I would like to serve. (I would be glad to share with you or any appropriate person my previous and current housing background including but not limited to: having my first year's salary at the Minneapolis Civil Rights Department funded by an HUD Equal Housing Opportuniry Grant and even though I am a not a lawyer, chairing an�dvanced Legal Education Seminar on fair housing at Hamline University Law School.) � Very truly yours, ��L.0 /C��t.G ti�/Y�/h Vic Grossman 1747 Randolph Av�. St. Paul, Mn 55105 Office Telephone (612) 332-2339 Email address avigdor@prodigy.net � 9q- 9a Amherst H. Wilder Foundation � Since 1906 Executive Office 9191afond Avenue Saint Paul, MN 55104 (612) 642-4098 FAX (612) 642�068 December 10, 1998 Nancy Homans The Saint Paul Plamiing Commission Attn: Housing Planning Task Force 1500 City Hall Annex 25 West Fourth Sueet Saint Paul, MN 55102 Deaz Ms. Homans: Thank you for giving the Wilder Foundation the opportunity to review the Saint Paul Housing Plan. Such a plan is essential and, I believe, a good beginning blueprint that will meet the housing needs of Saint Paul over the next 20 yeazs. The decisions made through � this planning process will certainly influence future housing policy. I have asked Rod Johnson, Director of our Community Social Services, and his staff to review the plan on Wilder's behalf. A memorandum outlining their recommendations is attached. I endorse their suggestions and hope that they aze integrated into the final housing plan. Please don't hesitate to call me, or Rod, if there is any way that Wilder can help move these issues forwazd in ow community. Sincerely, i�.�� `�.�j5 � Thomas W. Kingstod President enclosures � President Thomas W. Kingston Board af Directors Kennon V. Rofficl�ild, Chair; Eliaabeth M. Kiernat, Fitsc Vice Chaic; Anthony L. Andersen, Second Vice Chau; Malcolm W. McDonald, Secre[ary. IJirecrors Charlton Die[z, Elisabeth W Dcermann, - - Charles M Osbome, Mary Thomron Phillips, Peter B. Ridder, Barbaza B. Roy MEMORANDUM DATE: December 10, 1998 TO: Nancy Homans Housing Task Force FROM: Rod Johnson Amherst H. Wilder Fo dation _ Community Social Services SUBJECT: SAINT PAUL HOUSING PLAN Thank you for providing Wilder with the opportunity to review the Saint Paul Housing Plan. It is a very important document, and the values and strategies contained in the document witt have implications far into fhe future as it is used as a decision making tool by policy makers and as a guide by housing providers, developers, government agencies and funders. The following aze our recommendations: DEFINITIONS � � J A definition section would be very heipful to the reader of the document. It would create � a sense of inclusiveness, as everyone would have the same basic uttderstanding of terms. Some terms that should be defined aze affordable housing, mazket rate, region, urban, median income, etc. MEDIAN fNCOME The issues of poverty and the needs of the resi@ents of Saint Paut will not be futly explored if the regional median income is used versus the median income for Saint Paul. We agree that a regional perspecrive is important. However, the crucial needs of low- income residents of Saint Paul will not receive the necessary focus if the regional median income is used as the basis for targeting resources. MEET NEW MARKET DEMAND ,, 1. Development of 3000 - 4000 units over the neat 20 years does seem essenfial. It would be helpful if the number and type of units that will be built each yeaz be clarified. Also the number of units for each income group should be specified and reflect the incomes of the "new market demand." For example: 1999-2000: 400 units 200 units will be market rate (50% rental and 50% owned) � 95-9v � Saint Paul Housing Plan December 10, 1998, Page 2 100 units wiil be 50% of inedian income (50% rental and 50% owned) 100 units will be 30% of inedian income (75% rental and 25% owned) � A plan for how these units will be financed and what dollars Saint Paul will target towazds achieving the housing goals would also enhance the plan. 2c. Saint Paul should commit to supporting landlords through training, assistance with rehabilitation, maintenance, and linkage with support services for tenants. Services that create more successful renters, landlords, and owners could be defined and 'unplemented as one of the strategies to building and maintaining new housing. Life span issues should be considered in the design of new construction or rehabilitation of existing housing. Each unit should be designed so that older adults/disabled do not have to move because of accessibility issues (e.g. door levers instead of doorknobs). In addition, the design of smaller units should be flexible to accommodate the needs of single individuals, young families starting out and elders. This would create housing that can be used by many as population shifts occur. ENSURE AVAILABILITY OF AFFORDABLE HOUSING The property taxes for many senior citizens and others living on reshicted, fixed and low incomes, force them out of housing that would otherwise be affordable. Saint Paul should endorse and advocate for a property tax siructure that does not force people out of their homes and creates oppomuZities for low income home ownership. Stronger statements could be made about Saint Paul's commitment to quality, affordable housing (both rental and owned). Increased emphasis should be placed on providing affordable housing for families making $7.50 to $9.00 per hour. The working poor do not seem to be identified as a primary target group in this plan. Such statements could be part of the text, and there should be numbers to back up the statements. For example: 1999-2000: 500 units of affordable rental housing will be built. 250 of the units will be subsidized and affordable to families with incomes between and � 2d. The Wilder ROOF Project is an example of using federal rent subsidies in coordination with supportive housing services to create opportunifies for residents to become successful tenants and for owners to become better landlords. Wilder endorses the eoncept that more supportive housing programs be created to assure that fanlilies have every opportunity for success in addressing their individual barriers to getting and maintaining housing. Saint Paul Housing Plan December 10, 1998, Page 3 Preserve and improve eausting privately owned rental housing units. Discussing partnerships with landlords would strengthen this part of the plan. By creating partnerships with landlords, Saint Paul would have a great oppornmity fo create safe and decent hoUSing. This section could contain information on resources Saint Paul is wilIing to commit to strengthening the skills of landlords and maintenance of e�sting housing. The ROOF Project has been working with landlords for the past three yeas and has found that most landlords are interested in doing a good job and want to maintain their properties. Many times landlords Iack the skills, experience, and resources to be successful. Saint PauI could use this plan as an opportunity to provide leadership with landlords and the entire ciTy would benefit. One principle that could flow throughout the plan is that well educated and informed landlords and tenants increase the chance that properties will be maintained and decent. PRODUCTION ALTERNATIVES � Does there have to be one altemaflve or another chosen? Isn't it possible to look at a combination of options? � 4.1 No expansion of affordable housing is not an acceptable option. There is well- documented need for well managed affordable housing and by not adding to t[ie affordable housing stock, we will eventually negatively affect economic development and Saint Paul's vitality. 4.2 Construction of new affordable housing units is very important and should be a part of the plan. T'he median income used should be for the ciry of Saint Paul and not for the region. In addition, 80 percent of inedian income is not specific enough. Specific numbers should be target for 40 percent of inedian income, 50 percent of inedian income, etc. Mixed income housing is very important and should continue to be emphasized. 4.3 In addition of 100 or more new units of affordable fiousing each yeaz for the ne� 20 years should definitely be part of the overall strategy. Habitat for Humanity strategies aze menfioned frequenfly in pages 11-14, The Saint Paul Housing Plan should make these Habitat for Humanity strategies the number one priority in an effort to make available a€fordabte, low income home ownership. � 9�-9a � Saint Paul Housing Plan December 10, 1998, Page 4 The Wilder Foundation is currently pattnering with Habitat for Humaniry and strongly agrees that 25 or more homes could be built annually in an effort to promote low income home ownership. Saint Paul should encourage this development of low income housing by creating an accessible process to acquire vacant lots or condemned properties as indicated in 43.b (Improve the process whereby vacant publicly owned....). Saint Paul, in supporting low income home ownership should not only support and strengthen the "purchaselrehab and refmance/rehab prograins" (page 13), but should prioritize that strategy and do it in partnership with groups such as Habitat for Humanity. 6. A partnership between the city of Saint Paul and Ramsey County is essential in order to leverage federal, state and local doliars to address affordable housing and support service needs. The Wilder Foundation endorses the Ramsey County Plan and has responded separately on how to strengthen that report. (See attached). 6b. Wilder endorses the development of creation of more transitional housing and long- term service enriched housing. We would place a special emphasis on long-term service � that wili assist tenants in addressing bartiers that prevent them from preparing for, finding, and sustaining affordable housing. T'hank you for providing the opportunity to reviaw the Housing Plan. If you have any questions, please contact me at 651-917-6206. Cc: Claudia Dengler George Stone Susan Marschalk Tom Schirber Nancy Starr Pat Teiken � pos!-H' Faz Note 7671 Saint Paul Planning Commission Attn: Nousing Plan Task Force 25 West Fourth Street, Suite 1300 Saint Paul, MN 55102 7 December 1998 N4embers of the City Council and Commissioners Thank you for the opportunity to comment on the Housing Chapter of the Comprehensive Ptan. For the pasf several months our community has had many opportunities to read and discuss the proposals before you this evening. The availability of housing in our City - both rental and home ownership - has sufFered a double whammy since our last Housing Plan was adopted a decade ago. The cost of housing is out of reach for many working families in our city while the availability of affordabfe rental units and home ownership opportunities _have all but disappeared. Young families find that thei� ir�comes simply don't go far enough to provide a basic need - the need for a stable, safe, decent ptace to live. Where the dollars don`t go far enough, families are doubling up or seeking refuge in our sbelfers. The plan drdft, which is under consideration here, recognizes these realities and makes some recommendations for remedy. ! agree with the three strategies which the plan puts forward - meet new market demand, ensure availabiliiy of affordabte housing and take care of what we have. 1 also think the plan lacks specificity, oversight provisions and goals for providing mixed income new construction. Where is the city's commitment of resources, production goals, business plan, ;mp(ementation schedule, etc? The elected and appointed officials who are responsible for amending the Comprehensive Plan must rectify this. By 2020 the City of Saint Paul must create 9000 new housing units. That means that the City must build 400 plus units ih addition to the 100 pius units on average that are demolished annually. We must atso to cxeate new housing rn every price range and provide for market-rate as well as subsidized units. We must dedicate at least 20% of the new and replace dunits to 6e affordable below 80°!0 of the area medium incame. That means for a farr►ily of four an income of $45,OQ0. Of this 20% we should set aside haif to meet the needs of those falling below 50% and 30% of area medium income. This is doable and will mean in reat tertns that 80 of 400 ntw uniis would be added to the hausing stock on an annual basis. Across the city this is not an unreasonable number. Setting this goal also puts the production of affordable units in perspective. Of the 9000 units to be produced by the y � qQQ,�ts would be affordable to famifies below 50% of area medi��`I� V`.D DEC i t 1998 � � ELIINNIN6 & ECpNOMIC DEVE�pp�� 12/10/1998 0B:09 6126030810 �� ROBERTA MEGARD � Preses�ation of our existing housing stock is cr�icaf. Housing that is not maintained often fat(s victim to the wrecking bail in Saint Paul. Demolition means vacant lots and reduced tax base as we41 as failing market values for adjacent properties. Reinvestmerrt in housing through rehabilitation is far more cost effective than new construction in today's market !n short, it is cheaper to rehab than to build new. Therefore, city policy should reflect this fact and dedicate more resources toward maintaining what we have. Historic preservation is also a vital part of our housing policy because it preserves the character of our neigfiborhaods. Old fiomes with historic character seli our neighborhoods as evidenced an Summit Avenue, Dayton's Bluff and in RamseytCathedrai Hilf. In addition, our policy must reflect the need to preserve subsidized units as wetl - Section 236 and Section 8 units are being converted to market-rate at an alarming rate. Other recommendations - � 1. Establish a housing division in PED to focus attention and resources on community deve{opment of housing. 2. Use GDSG resources to maintain what we have - Rehab rather than demalition those units that meet demolition guidelines. 3. Consider increasing our bonding authority to add new hous+ng - housing is economic development. 4. Use more federal tax credit as incentives to developers and seek increased tax credits at both the State and Federal levels. 5. Assure that replacement plans are in place before demolition takes place. � 6. Adopt guidelines for demolition similar to those of the Twin Cities Family Housing Fund. (Adopted 12123/97) 1. The units to be demolished must be substandard and not feasible to rehabilitate. 2. The project must include adequate relocation assistance for the tenants to be displaced. 3. The project must include a spec�c plan to replace, within a reasonable time; a reasonable number of the units to be demotished. (at a minimum one bedroom unft for one bedroom unit. 4. The project must maintain equivalent locational choice for low income persons and persons of color; i.e_ the project must not remove affordable housing from non-impacted areas. 7. Better coordinate housing inspections for both rentat and owner occup+ed properties, environmental health activities, and PED's housing development projects. We have a legal responsibility to enforce comp(iance with building a fire codes. /�qgressive intervention by our code enforcement staff and the housing court are esserrtial. 8. Move quickly to establish a phased certificate of occupancy program for one and two rental units in the city. 9. Usa more fiRA resources to maintain existing housing stock in the form of grants and higher risK ioans. Dc � Cf "�D RG L{ V DEC 1 1 t998 PtANNING & ECONOMIC DFICECOEME�A ,• � 10.Acknowledge the need for new rental units throughout the city. Change the 7Q% homeownership goals now eantained in the Capita! improvement Policy in order to focus resources on the reat housing needs in our city, This poiicy also curtails our etforts to maintain our current housing stock and historic preservation strategies. This ;s an extremely expensive policy which as insufficient resources attached to i� Currerrt policy, in fact, denies that for many decades more than half of city residents are renters. 11. City housing policy must change zoning laws to ailow for mixed-use developments requiring inciusive zoning (assuring a perce�tage of affordable units) and reduced parking standards. 12. Focus fiufure housing developments o� existing transportation corridors - Phaten Corridor, Downtown Core, University Avenue Corridor, etc. 13. City polioy must provide incentives to hetp develop joint commerciaUresidentiat buiiding e.g, density bonus. City must find ways to keep the cost of buildable lots down, reduce the cost of regutation and govemment fees for developers. 14. City Housing policy mus# commit to work with ail neighborhoods to set standards for property maintenance. We must have a common sense responsibility to maintain a high degree of canfidence in our neighborhoods. We must build community as we preserve or improve housing stock. We must listen ro our citizens throughout this process. When we do that, as I have tried to do by visiting every (district} in St. Pau1, we ieam what people want from their elected officials. 1. We hear that people want a City wifb a housing supply thai is affordabte to young families looking to purchase or rent their first bome. 2. We hear that people want a City that is home to working families striving to maintain or improve their most important financial investment. 3. We hear that people want a City that devotes a limited amount of it housing to the etderty or families in desperate need. 4. And, my friends, we hea� that people want a City thaf preserves housing opportunities far higher income famities as well. Our housing policy (including our tax policy) must be wise enough to encourage conGnuous investment in al! our ne;ghborhoods by citizens across all income spectrums. Our housing policy must be important enough to the Mayor and City Council so the utilize limfted resources to suppor[ rather than discourage investment in neighborhoods. I understand the wisdom and the importance of what the people have told me. i5. Change the focus of the STAR program to make more of it available for housPng in our ciry - both grants and loans. 16.Add to the Housing Plan a strategy to build and maintain housing in all price ranges throvghout the city. Acknowledge the need for affordatrle housing as an economic growth strategy. This strategy is sorely needed now ta assist in the supply of labor for St. Paul businesses. live where we work; families have mg�rpo@ey�tq�n�t in housing and wi11 result in building equity in our t7Lt�C1 Y G DEC 1 1 1998 � � s P[ANNING & ECONOMIC DEVEI.QE�6 � � 12/10/1996 08:09 6126036810 ROBERTA MEGARD neighborhoods. The Housing Plan must commit the city to esfab►ishing mixed income hous+ng in every neigfibofiood. 17. Commit to use public resources to ensure affordability. This is a proper ro�e of govemmerrt and one which will not be fiiled by the private sector and private foundations. We have a morat responsibility to address the unmet housing needs of some of our poorest residents. We have approximatety 4300 units of federally subsidized housing in our ciry, which represents less than 4% of our tata! housing stock. This provides affordable housing to approximately 12,000 peopte in a c�ty of 270,000. 2800 of these units house seniors and disabted individuals. No state or local tax dollars are used to support these public housing programs_ Our housing policy must commit to preserving fulf funding for these programs. 18. City policy must reflect a goal of aggressively pursuing Yax-forfeited properties throughout our city. Work with the County to speed up the process with better use of existing laws, e.g. "quick take" provisions. We must get these propert'ses back on the tax roles and make them avaiiabie fior housing our families. Currently, it takes about four years before public entities have access to these properties and even longer to get them back on the tax roles. This systems'glitch' affects our ability to maintain current housing stock. 19.Our housing policy must reflect a commitment to get waivers from fiUD to allow for reduced acquisition for their properties and assure that the city is able to acquire these properties before they are demolished. The future of our city - both downtown and in the neighborhoods - will be affected by the housing plan we adopt for the next decade. Let us be bold and recognize this basic human need - the prosperity of our city depends on it. It is time for us to adopt our vision for the future and exert the po4ifical will to impiement the vision Thank you. Bobbi Megard City Solutions, LLC Commun+ty Oevelopment Consu{tant RECEIVED DEC t 1 1998 94 9-�� QLANNING & ECONOA7fC 4EYELOPM�HI Comments Made To The St. Paul City Council And Plannin�Commission On St. Paul's "Draft" Housing Pian At The St. Paui Technical Colleae Ccil 6:30 P.M. Mondav. December 7. 1998. � By James F. Gab�er. President Gabler Housing Solutions Coraoration (Bio. Ref.: Mr. Gabter has worked in housing almost his whole adult life in both the private and public sectors. He has been a Commercial loan Officer with Knutson Mortgage & Financial Corporation in Minneapolis, President of TriState Service Corporation, a wholly-owned rea! estate development a�liate of St. Louis County Federal Savings & loan in Duluth, and Manager of Muitifamily Housing for the Minneapotis Community Development Agency from 1956-1995. He has served and been appointed to numerous civic efforts such as Vice Chairperson of the Duluth Housing & Redevelopment Authority, as a member of Mayor Latimer's Citywide Housing Task Force in St, Paul in the early 1980's, and as a Board Member of the National Housing Conference, the nation's oidest housing advocacy organization. At present he operates a housing consultancy, primarily assisting neighborhood non-profit Community Development Corporations (CDC's), is the Interim Executive Director of Community Neighborhood Housing Services, and is a Board Member of the Neighborhood Devetopment Aitiance on St. Paui's West Side.) � Dear Councilmembers and Planning Commission Members: Please forgive me. I witl attempt to be as quick and succinct as t can but feel I must comment on a coupie of items that are of significant import within the proposed St. Paul Housing Ptan. My comments are, however, intended to supplement points raised in the Plan. The overal! "Draft" Housing Plan is, l feel, very well done and those City Staff involved with the drafting should be complimented for their fine and ditigent work. All too frequently PED Staff s role is overlooked in these types of efforts and for this one they are to be applauded. My comments wil! be limited to addressing the last 2 of the 3 overail strategies outlined: the future new market demand and the future availabitity of affordable housing. St. Paul will never achieve the goals set out for it by the Metropolitan CoLnci! for new housing unless it gets m�ch more aggressive in its pursuit of those goals. Much more attention musf be paid and priority direction given to Staff if this sfrategy is to become a reatity. ('m aware, presently, of only a handful of efforts going on in the City that deal with this strategy and � 9'q-90 � that alone won't suffice. We need more. One major jump-start towards achieving this strategy could be provided by moving forward on one of those present efforts that will produce a significant number of varied units (around 500) and will only take a tax-increment subsidy. The RiverblufF development proposed for the old Koch-Mobil site on Otto and West 7 has just had its finaf pottution studies completed and the project stands to provide the greatest increase in living units in a neighborhood since the redevefopment of Energy Park in the Midway some 20 years ago. (As a footnote, most of you are probably now aware of the recent Minneapolis City Council action in which they have now imposed a temporary development moratorium on the upper-river area until they decide on whether or not they are going to continue to allow industrial development there versus housing.) I am of the opinion, if given the proper signals, directions, and game rules, the private sector will, just as in downtown, come to the fore much quicker than we think to assist us. But our City must first accept more aggressively its role as facilitator or conduit to redevelopment in the neighborhoods also. My recommendations to the City to assist in fulfilling this 2" Strategy are 7: Go back and reinstitute the position of Director of Housing for PED. � 2. Identify and focus on larger, more comprehensive possibilities for redevelopment of housing. 3. Allocate a significant portion of neighborhood STAR dollars to this Strategy and reduce the amount that must be repaid as loans. Repayment to the City wilf come in the form of an increased tax base and more stabie neighborhoods. (Also, I realize "Economic DevelopmenY' is a favorite political "catl-to-arms" these days, but if the City achieves better mixed housing efforts in its neighborhoods and stabilizes incomes by those eiforts the commercial/retait revitalization will follow, i.e. the Midway Area.) 4. Study what changes in the Tax-Increment and Tax-Exempt Housing Revenue Bond laws and others will assist in facilitating these larger redevelopments in the inner-cities and place those changes high on the City's State legislative agenda. (1'm sure Minneapolis and many inner-ring suburbs wouid join in this effort.) 5. Agree ahead of time on a successful mix of incomes that are to be achieved in these redevelopments and mandate a particular income mix as a requirement of a redeveloper. Mixed-income housing DOES work. We can no longer afford to have, especially in larger housing � redevefopment efforts, just ali high or all fow income options for new 2 residents. We must learn from our mistakes in the past. This recommendation witl also assist in successfully pursuing much- � needed legisfative changes to housing programs and funding amounts at the State and Federal levels. 6. Inventory all of the City's financial resources that could be spent on Flousing etforts, qualify them for development flexibility, and put a priority on utilizing these sources to develop and promote more market-rate housing first in the neighborhoods most experiencing concentrations of poverty. Too often and without thinking about it, we promote those concentrations by onlv making available financial resources that mandate expenditures on "affordable" housing efforts. On the other hand, we also need to have the political courage to assist in the detivery of "affordabie" housing options in those neighborhoods not affected by concentrations of poverty. Creative use of restricted funds, usualiy federal, can produce very acceptable "affordable" housing opportunities in those less-stressed neighborhoods. Your PHA has done a marvetous job with its scattered-site housing overall. 7. Establish a"Non-Profit Administrative Inducement Fund". This would be a fund capitalized with federal CDBG doilars which could assist neighborhood non-profits in their pursuit of creative, new housing developments by front-ending their admin costs. These � funds woutd be awarded on(y after the City has approved a project and they could be administered by LISC as an additional element to their support programs, thus causing no City overhead increase. The monies would be loan funds to be repaid by the non-profit out of project revenues if the project cioses. The empowerment of our valuable neighborhood community developers to assist the City will only come through efEective funding, not discussions. Affordable housing, its preservation, stabilization, and production have, unfortunately, become issues atmost beyond the reach of inner cities. No one of able mind these days would deny there is an extremely serious "affordable" housing crisis. tt's beert serious since the mid 80's and has continued to get worse. We are attempting to deal with a crisis caused by a continuing "watershed" series of budget decisions in Washington that continue to reward the rich and penailze and concentrate the poor. To address the long term future of affordable housing rationaily and realistically we need to address the tremendous dysfunction and budgetary unfaimess that has evolved in our state and national housing policies and programs and the situation they have created. And we need to do it soon or risk an ever increasing "affordable" housing crisis (one which formerly onty affected (ow-income famities and those with special needs) from further extending into the ranks of the elderly. � 3 • i � - � Tuvo excellent examples of defective housing policies are tfie nationat mortgage interest deduction and the state "homestead" property tax exemption. Do we realfy think we'il stop "sprawl" if those subsidies are continued for anyone of any income who wants to live anywhere, even outside the MUSA Line, in any type of housing as long as they "own" or "homestead" it? 1 know we want to encourage fiomeownership but do these current policies make any sense at all? Our housing fax policies are so fouled up we now extend better than 60% of ail federal housing subsidies to those in the top 20°10 income bracket! Taxation without representation still, as usuai, extends only to the poor and disadvantaged and victimizes especiaily the inner cities. Additionally, "affordable" housing finance and production programs are now to the point where they are in shambles. They represent only a fraction of the previaus nationai commitment and worse yet, are so purposely disconnected from each other they force those still in the business of affordable housing production to spend most of their time working "around" the overiy complex rules and regulations. The Section 8 Program has pretty much gone from project—based to portabie, mostiy in the 80's, under the pretense of "choice". Talk about another defective poticy and program! Now, especiaily with a Metropofitan � Council without teeth, we are in the unique position of having the Portable Section 8 Program become the latest major cause of poverty concentration in the inner-city and some first-ring su6urban neighborhoods. This because no real "choices" exist eisewhere when having that real "choice" woutd greatiy assist us in the urban areas with the deconcentration of poverty and provide more of what are now delicately termed "livable" communities. And, due to other fauity tax policies concerning rental housing which have almost totally stopped the production of any new rental housing, we are now even seeing portable Section 8 choices decline IN THE CORE CITIES! THIS HAPPENS BECAUSE OF A LACK OF LEADERSHIP IN HOUS�NG AT THE NATIONAL LEVEL. But we at the locaf tevef have let tfiat happen, mainly because there is also a lack of understanding at the this level of the implications of national housing policies. We haven't yet learned the hard lesson that when such national or state policies are defective, it is we at the local level who are most abused of them. It appears to me we have 2 choices at the local and municipal level to deal with the issue of "affordable" housing: we either work with diligence and in partnerships with other cities to change tfiese defective nationaf and state housing policies and programs or we wiil be constantiy holding � "affordable" housing forums and be unfairly pressuring municipalities to 4 take on t6e aimost totat responsibifity for the stabilization, preservation, and new development of all "affordable" housing efforts. This is clearly � impossible and pits the issues of housing the poor anywhere in any structure in any condition against the issues of community-buitding and bringing necessary reinvestment dollars back into some of our neighborhoods before they crumble. Ironically, these issues must be merged as one SINGLE issue under "community developmenf". That's what successful "community development" really is, isn't it? Either we master this concept or we ultimately and arrogantly will be doing the greatest disservice we can to those of lesser means whom we mean to serve. That disservice is insisfing that they continue to reside in structures and projects we wouldn't live in and attempt to raise their families in desolate pockets of poverty we wouldn't even consider driving through without the power-locks down on our cars. My recommendations to the City to assist in fulfilling this S` Strategy are 3: 1. Spearhead an immediate major effort to eniist ALL of the piayers in the Housing arena in the Twin Cities Metro Area, including the plethora of "affordable" housing advocacy groups, to focus on nationa! housing policy and program refomts that assist irt building communities and offer real choices for those of lesser means. The � ball has to begin ro((ing somewhere and the "Common Good" extolled by John Stuart Milts demands it. 2. Adjust and better fund the existing Rentat Rehab Program to give priority to those existing private rental buiidings that are not federally subsidized and currently house those who fall within the definition of requiring "atfordable" housing. Those buildings will most require some assistance that cannot be accessed through the normal private capital sources. 3. Offer City Staff expertise and, in some cases, City bond and federal fund attocations through joint powers agreements, to those suburbs who are genuinely interested in some "affordable" housing. i've discovered that many municipalities DO want to produce some "affordable" housiag but lack the trernendous expertise the inner cities Staffs have acquired. Thank you for this opportunity to discuss these e�ctremely timely housing issues with you. � � 99-�a /��-� � ��-� �-�� zs' !�� 9' ��id� �� . -�--`�- / 3 � �� i �.� �-�-� /� 199 � /� � �� . ��. 9 �y9 � 1.��- �.�:�-�- �.�, : y , 3 �✓� f s� ,� �. u��:�� , � �� ,5, / a . 5 � �� 1 .�Z�,.� �-�j' �.� � �?' �"��``�� /� �''d` - Y � .�iZ� � "� e.��f ' �' � /�'� ' S / 6, ��-� S °� .o�� .e. �e /�-�i��/ -'��.. �,.� � �.��G��, � s�C-� �� o�- �, �- s s�- � S� �-'�'�`.�`-�-�� 6,�`��1� � S ,.f � . 7�� .�..�� G-e. - -��. �� ..�� ' ..� � �.�...�.�.,� � � � �. � -G�eK ��-.�-�/ �-r 7�a� Y�� , ro � / e� ,D�- �� a� �/Pit �u...� ��1 ...� �,-e� .�` �'� � f� �� Ga ? . G . Z b S � �.-� �' � o'�� a� � ; �. 7� .��a,a�e� �� , .h �, Y 2 G�e �e �i�.. .< �w�. /k�rr �� G'�� G .�.�' s � �. .S � 7�0'P �OS�-�Gr/'c�sS2 h-e� /zc-cSf �t�,r(�.�..�,�� 0 �� %�. Td� GGG�G�Byvx. s�./�� r �i�� _ �� s 699-3 �.s'' • �- ..�.. ERECVfIVE DIRECTOR BRUCE A BENEI{E PRO BONO COORDINATOR PATR[CIA ANN BR➢MMER PARALEGALS SNERRY GARCIA ANN SIILGVAN sN �� .tEANNtES1.WILLIAMS HIMBERLY YOUNG Nancy Homans St. Pau! Plamiing Commission 1500 City Hall Annex 25 W. 4"' Street St. Paul, MN 55102 Re: St. Paul Housing Plan Comments Dear Ms. Homans: 300 MINNESOTA BUILDING 46 EAST FOURTH 3TREET ST. PAUL, MINNESOTA 55201 (651)222-5863 FAX {651) 29'7-fi457 December 11, 1998 LAW WORK MANAGER STEVE.Y WOLFE We aze writing these comments at the request of some of our clients who are concerned about the availability of safe, afFordable housing in the city of St. Paul. Southern Minnesota Regional Lega2 Services represents tow income individuals and families with legal problems including housing. Our lawyers work with clients on cases involving evictions, repair issues, condemnations, foreclosures and discrimination. Our office assists appro�mately 1,000 people per year with housing issues. Project HOPE, the Homeless Outreach Prevention and Education project, helps homeless people with civil legal problems. The project also helps these people fmd permanent housing. In the last yeaz Project HOPE assisted 357 individuals and 655 families that included 1,463 children, all of wkom were homeless or in imminent danger of hometessness. As a resuit of our work with homeless folks we have observed the following: - 90 phone calls to a landlord responding to a single ad in the paper - famiIies sleeping in cars LAW OFFICES OF SOUTHERN MINNESOTA REGIONAL LEGAL SERUICES, INC. - clients losing their Section 8 assistance because they cannot fmd an apartment -- clients, who are desperate, paying upwazds of 90% of their income for an apartment � � � ��-90 � - many clients encountering discriinination in the rental mazket. A tight rental market makes it easier for illegal discrimination to occur - families staying with other fanulies and both families losing housing when the landiord discovers the apartrnent is over-occupied - many clients who work, but lose theu job because they do not have stabie housing - many clients who aze going to work under the new welfaze program, MFIP, but even with an increased income they are unable to find affordable housing - clients whose houses aze being demolished as part of development projects on the east side, around west seventh and on the west side. - clients living in condemned buildings Based on these observations, it is cleaz there is a severe shortage of affordable housing in St. Paul. Many of these problems would not occur in a city where there is an adequate supply of rental housing. More and more of our clients aze homeless because of these problems. Even our clients with excellent rental histories are homeless because of the severe shortage of housing. � Because so many of our clients are affected by this shortage of housing we respectfully make the following comments to the St. Paul Housing Plan. General Comments The city has done a thoughtful job of stating broad goals to address the current housing situation. The broad categories outlined by the plan are an excellent way to categorize the housing needs of the citizens of St. Paul. There is no provision for setting specific objectives with time periods for achieving them. There needs to be a tool in the plan to set goals and time lines. There is nothing in the plan that specifies how the city will monitoz the implementation and achievement of the plan's goals. There is nothing in the pian that will monitor whether its objectives aze met. There needs to be a way to measure if the city has made progress towazds the goals it has set. We find that the city's housing plan is very vague. We wge the city to include actual and specific objectives, goals and targets for creating new units of affordable housing. We ask that words such as "encourage" and "support" be replaced with words such as "build" and "replace." Take Care of What We Have We agree, the ciTy must take caze of the housing it has. The language in this section should be stronger. The city should consider replacing demolished units with new units on a one for one basis. There should not be a net loss of housing. The city should adopt a one for one replacement policy. The city should make a commitment not to use Community Development Block Grant (CD$G) funds to demolish housing. � The city should combine efforts and continue its commitrnent to preserve historicaily and architecturatly significant buildings, that contain affordabie housing, with tas increment financing or set-aside for affordable housing. Again, specific projections as to the number of units to be created must be included so that one for one replacement is achieved. Meet New Market Demand There should be specific language that duects the city to produce 400 housing units per yeaz. These should include specific mandates to include housing that is affordable (defined by HUD as an expenditure of less than 30% of a families' gross income) to those making less than 50% of city, not area, median income. The term "mixed use" used in the ptan is not very informarive. Instead, the city should make a certain percent of a11 newly constructed units affordable to low and very low income families. We encourage the city to include a provision that directs CDBG funds be used to produce this housing. Ensure Availahility of Affordable Housing The city should create a city-wide ordinance requiring a 25% set aside for affordable housing with all new multi-unit construction. This could be combined with tax increment financing to give builders incentives. Instead of the term "mixed use" there should be specific reference to a � percentage of newly constructed housing that will be afFordable to those making less that 50% of the city's median income. � The ciiy should make a commitrnent to work with the Minnesota Housing Finance Agency �(MHFA) to keep federal subsidies coming to buildings where HiJD federal mortgages are in danger of being pre-paid by private landlords. The document should include a specific plan to retain the existing housing stock by developing an internal agency that could help the city enforce code viotations through civi2 court actions, such as the Minnesota Tenants Remedies Act or the Rent Escrow laws. The city should develop a�ant to contract tiiese services to outside organizations that could receive the inspec�ion reports of buildings in disrepair. This agency could take appropriate civil action to save the housing. Moreover, the city should mandate that their own Public Housing Authority (PHA), which has experience in maintaining property, may be appointed as administrator if necessary. In the narrative portion of the secfion there is a reference to the reduction in federal funding for affordable housing. Congress, however, has authorized an increase in the number of Section 8 cerYificate and vouchers thus increasing the number of tenant based subsidies. These subsidies will be lost to St. Paul residents and the city if recipients of this assistance cannot place the certifccates or vouchers. If there is not a specific plan to address the ability of Section 8 recipients to place their subsidies, the city will lose federal assistance. � `/ 9-y a � In the first pazagraph of page 11, the committee identifies a trend within the two central cities and characterizes it as "places where imu�igrants come to first settle into a new land..." Indeed, the vitality of cities depends on the mix of ages, incomes, family types, races and ethnic groups- and the mix of structures that house them--that isn't found in suburban communities. However, the city's stated policy (goal) of de-centralizing affordable housing and shifting development burdens to the suburbs contradicts the trend that the city has clearly identified. With a rental vacancy rate of 2% and a cleaz objective of reducing lower cost housing within the city, there wili be nowhere for these segments of the population to live. If the suburbs have no ability to house these people, and the city is pushing to have them move to the suburbs, we will create a class of permanently homeless families. Until the suburbs aze willing and able to accommodate persons within the low-income and affordable housing mazket, it is the city's obligation to accommodate them. "Freezing" out the members of the affordable housing mazket by encouraging de-centralization and non- developmenddemolition of existing affordable housing within the city is contrary to federal CDBG funding. Until the city has confirmed the developmeni of the affordable housing in the suburbs, it cannot continue de-centralization and demolition of its own affordable housing. ,: Along with the goal of challenging the region to do its part in deconcentrating poverry, the city must also deconcentrate poverty in its neighborhoods. Neighborhoods within the city of St. Paul � are as segregated as the suburbs. Thank you for the opportunity, on behalf of our clients to comment on this plan. We appreciate all the hard work that has gone into its creation. Sincerely, � ` �'1lN'V l:�V V� Laura Jelinek Attomey at Law � v 4 2 � � �� 4 0 . . ��, V � �� o O � ` '-� �a � � 2�' 2`� Q s Testimony To: Saint Paul City Council/Saint Paul Planning Commission CC: St. Paut LWV Board From: Karen Chaput, Action Chair, League of Women Voters St. Paul Date: <Date> Saint Paul Housing Plan Draft for Community Review, October 9, 1998 Due to a schedule conflict, I was unable to attend Monday's hearing, and respectfully submit this testimony on behalf of the League of Women Voters-St. Paul. The St. Paul League of Women Voters commends the Planning Staff and Commission for their diligent efforts in reseazching and preparing the Saint Paul Comprehensive Pian, specifically the most recent draft of the Housing Ptan chapter. The Metropolitan Council is predicting an area-wide housing shortage to accompany anticipated growth, and is subsequently asking the region's govemmentai enfiries to escalate plans for housing to accommodate this expansion. This chazge is one that the City of Saint Paul has taken seriously in the past, and one that we believe requires an equal, or even greater, response as we enter the neut century. Hisiorical Background Housing and community development is a concem that seems to be with us always, and the St. Paul League of Women Voters has studied these efforts periodically. Our £vst consensus position to support programs providing public and publicly-assisted housing was adopted in the 1950s. We also supported efforts to develop, rehabilitate, and conserve urban azeas. This was enlazged upon and reaffumed in 1972 and 1979. In 1992 we added support for progtams specifically supplying affordable housing. This is also the position of the League of Women Voters of Minnesota. Our housing position states that we believe that all people have arigfit to housing. The public and private sectors should work together to ensure that everyone has access to adequate, deceat, affordabte housing. for very low-, low-, and moderate-income households. We have these comments Yo offer on the proposed plan. Recommendations on Proposed Plan Key Trends We note the five key trends mentioned as introduction, and aze most concerned about the fifth point: the persistence of poverty. According to data supplied by city staff, fully one-third of the households in Saint Paul in 1996 had incomes less than $20,000. Another 22.5% have household incomes in the $20,000 to $34,999 range. It is these among us who are most affected by the lack of affordable housing, whether it be for apartment or house rental, a first home purchase, or housing that includes assistance in the latter yeazs of life. You have menrioned the rising numbers of immigrant families. According to city staff at an informational meeting this fall, these lazge families continue to have difficnity fmding housing of a suitable scale. Strategy I: Take Care of What We Have We laud your emphasis upon maintaining the sense of place, each i � � 99-90 � neighborhood, that is Saint Paul. This essence is, as you put it created by the pattern of our streets and blocks, the style and scale of our existing housing stock, the proximiTy and walkability of our neighborhood commercial districts and the beauty of our natural amenities that attracts new residents and inspires the loyalty of those who aze akeady here. Keeping our neighborhoods in good repair makes the most basic economic sense, and so we support your policy as stated in 42 Continue a commitment to the preservation of historically and architecturally sign�cant buildings and neighborhoods, 43 Step up code enforcement matched with additional resources for repair and rehabilitatior� 4.4 Strategically focus efforts to stem deterioration and declining values, and 4.5 Improve management and maintenance of rental property. Stepping up code enforcement, coupled with financial incentives for conscientious property owners, seem to hold promise as tools to support our existing housing stock. We believe that neighborhood-based planning will help focus efforts to stem deteriorating values. We would caution that you also keep this in mind when pursuing increased land use density, as cited in 4.1.b, as this additional density should aiso be in keeping with the existing neighborhood. ^ Sbategy 2: Meet New Mmket Demand /�� vIeeting new mazket demand in the city of Saint Pau] is a laudable goal, J �V � Q �`"�ut one that we believe the private housing sector can supply. If we were � A � o to prioritize your three housing strategies, this would receive our lowest R ` a � rating of the three strategies, as currently articulated. �� . �o Policy 5.1 encourages the production of 300-900 housing units a year that �l, r o� can be sold or rented to smaZler households-either new young households p` �c>� or older empty nest and senior citizen households. Points a, b, and c, � appear to chiefly support (through financing and land transfer) the private � development sector serving the high end of the mazket. Considering the s.�'' ongoing lack of affordable housing in Saint Paul, we suggest that point Q S.l.c.iii, be changed to guazantee a fixed number of the units (35%) be affordable to households at 40% of the regional median income. This wili help create new housing to fill the gap, and also assist the city in achieving diversity within the mazket unit mix (policy 5.4). Encouraging the production of renta! hausing, policy 53, includes advocacy for additional reforms of state taac provisions. We support this in terms of revising the tax system to narrow the taac disparity between rental and owner-occupied residential property, especially that available to very low-, low-, and moderate income households. We commend your goal in Point S.S.a in terms of streamlining the administrative process, but believe that the citizen participation portions of the zoning process must be maintained. Our consensus study would support Point S.S.b, if the lazger homes aze used only for additional, urban-style affordable housing. Strategy 3:Ensure Availability ofAffordable Housing As your initial description of the current housing situation so aptly puts it: The availability of safe and decent housing affordable to households who earn low or modest wages is critical to both the economic health of the � community and the welfare of those households and their neighborhoods. We concur that there is a need for affordable housing throughout the Q 2 � �� a o V w � ' � v �� c' � g � o O < v �' � � 2� 2 � metropolitan region and our �ocal, regional and state positions are used to suppoR and lobby for more affordable housing supply and options. While we support this goal, we do not believe that our own (St. Paul) success, and other's lack of will, relieves Saint Paul of its obligations. We agree with your suggested plans for action in 6.l.a.b.c.d. The League also supports the portion of the plan calling for collaboration with its public, private and philanthropic partners to identify and secure significant additional resowces to enable the preseroation and construction of affordable housing, both within the city and throughout the region. (6.2) Point b would allow neighborhood housing agencies additional revenue for affordable housing, while Point c could leverage partnerships. We would recommend, though, that the latter specificaity define affordable as 40% of the regional median income, before any partnerships be undertaken. Section 63, preserve existing federally assisted housing, includes several inuiguing ideas reguding property stabilization and Section 8linkages. We encourage the city to continue to work in these areas, as well as committing to modemizing and maintaining the city's own housing stock (63.c). Section 6.4 is a worthwhile strategy, but incomplete, wii3�out a specific numerical goal. We ask that you define modest and tie it to the goal cited in 5.1 of 300-400 new units per yeaz. Further, under 6.4.a, public financing should be used to support the modest wage eamer, and require that 40% of the units be affordable to those with incomes below 50% of the regional median. Likewise, in point c, we believe the goal of the 20% of the units affordable at 60% of the regional median does not address the target earnings population. Supporting the work of community-based development corporations in producing affordabte housing should be supported through transferring vacant public property, and we suggest that, in the experience of the city of Minneapolis, this will begin to be accomplished once a specific annual target is set. We also advocate housing policy that will Support a variety of initiatives that will allow Lower income households to move into homeownership. (6.5) Within that, points a-g aze all laudable, but lack definition of specific attainable goals or commihnents. Working with a problem in isolation is ineffective, and points 6.b and 6.7 acknowledge the targer picture of agencies and seroices that can be brought to beaz on this issue. Undertaking the problems, aad potenrial, associated with smaller, privateIy-owned rental housing units is a challenge we are happy to see you beginning to explore. There are responsible and irresponsible property owners, and the city should continue to work with both. Again, action is more likely to be taken, if specific attainable goals aze set for a-e, records kept, and results raported. Summary During our most recent housing study in 1992 we interviewed many people with special knowledge and e�cpertise in city and regional housing. We discovered that the housing programs in St. Paul were targeted towazd alleviating the economic housing pressures being experienced by the middle-class home owner. The ciTy was concerned tk�at after many yeazs � � i �9-90 � of federal programs supporting the lower-income citizen, that the middle class was being squeezed out of finding a home in, or even staying in, Saint Paul. Programs became geazed towazd supporting that economic sector. We think it may be time for the emphasis to once again shift. Federal housing programs and dollars have dried up, and we can't fill the gap alone. But we need to take a closer look at our priorities, and in addition to working toward additional regional, state, and federal solutions, pledge our own efforts to those in most need of affordable housing those who earn minimum wage, or even 30-50% of the regional median income. This draft housing plan appeazs to be a good beginning, and we challenge you to set specific numerical targets to spur achievement, as well as recognize and begin to ameliorate the lack of affordable housing in Saint Paul. We thank you for the opportunity to enter our comments. � � � w � o o V � �� "` O �" � � 4 '�V ��, � � � _� � Q s � � ST. PAUL TENA�LT,S,��T�ON t S �. ....: �. i" �.. t... St Paul Planning Cammission Attn: Crladys Morton, chair � .. . � 1300 City Hall Annex ` 25 W 4�' St St. P2u1, MN 55102 e ��t��UIY�i� UtVFJ.uPms(qj Dear members of the Planning Commission, 11 December, 1998 Thank you for the opportunity to give input on the Comprehensive Plan. I would like to take dus rime to share some commenu with you. We at the St Paul Tenants Union have some concems about the Housing Plan and a few suggesrions for its improvement. First, a word about how some St. Paul Tenants Union members aze personally affected by the lack of affordable housing. We receive about 8,000 calls per yeaz from tenants with a question about theu rights. One of the trends we noticed was that more families were being forced to seek otfier housing due to lazge—but IawfuI--rent increases. Several tenants who joined this yeaz have faced an increase in their rent of more than 15 % over one yeaz (Wages went up by an average of Z% in Minnesota last yeaz, according to tfie Department of Economic Se�curity). Two members who joined in November had their rent increased fow times this yeaz. The last rent increase proved too much for one of them. To find new fiousing, she paid seventeen applicarion fees totaling over $400. The other tenant fazed worse: she has an Unlawful Detainer on her record because she was late on her rent payment once while her mother fell ill. Because of the IInlawful Detainer, she cannot find housing and may soon become homeless. Another trend we noticed at the St. Paul Tenants Union is that, because tenanu aze aware of the housing shortage, they are more afraid to bring matters to the attenrion of managers or inspectors for feaz of retaliation. Reports of retaliation rose by 15% this yeaz, diserimination by 2 t%, and concerns over the lack of affordabte housing by 32%. The Ioss to the tenams is great: one African American woman is now sleeping on her living room floor with her two childreq because her bedrooms aze too cold She also deals with a kitchen with no working oven, stove or freezer, and her drain leaks, amacting roaches into her apartment. She feeLs thaY she must put up with these conditions because she has no other choices; she doesn't want to end up homeless like her cousin and her three kids. The net loss to the city, besides the suffering that residents endure, is that ow housing stock continues to deteriorate, faz more quickly than would be the case if the landlords were afraid of losing their tenants to a landlord with a better-maintained rental uaik � z z s�� n z 0 � 0 ° � c 2 s r.m z Ttte 1.8 percent vacancy rate (lower for larger apartments) means thai mazket conditions favor landlords and encourage those landlords who aze unscrupulous to ignore the conditions of their apamnents. Would tenants let a building contiaue ta dete�iorate beyond all hope of repair if market conditions, namely a healthy vacancy rate, were more in their favor? It would be been cheaper to maintain units if tenants enforced their rights when conditions began to deteriorate. The Housing Plan coaectly points out (page 13) that it is cheaper to maintain and preserve than to tear down and rebuild I propose a different conciusion than the one pmvided in the � Housing Plan (Page 11): preservation is the primary objective, but for the reasons mentioned 5Q0 Lau� AvEN�e ST. PAIIL, Mx 55102 (612J 224-6 - Fnx (612) 222-0931 s , a � r R A � � � � � � � 99-90 above, creation of new units of affordable housing should also be as high of a priority. The � desired effect of a well-maintained housing stock requires a more reasonable vacancy rate. Given the current labor shortage, it is unreasonable to move low-income tenants out of the metro area We need to build more housing units affordable to them. Strategy 3 in the Housing Plan, which deaLs with creation of affordable housing, pages 11-17, does not meet the needs of low-income tenants. Although on page 3, it is noted tha# 7700 families who aze making under 30 percent of the regional median income pay half or more of their income into rent, there is no numerical goal of new units anywhere in sections 6.1-6.6, except supporting non-profit or�anizarions in creating 25 uniu per year. Seventy-three percent o£ St. Paul Tenants Union members eam under $20,000 per yeaz (azound 30% of the regional median income, or RMI). Close to half of them (483%) aze on a fixed income, at or below minimum wage. Nothmg in the plan addresses their needs. At best, it mentions (on page 14) that 20 percent of new housing will be earmazked as affordable to people eaming 80 percent of RMI, which would be azound $48,800 per yeaz', half of which would be affordable to 50 percent of the RMI, or $30,500 per year. People who earn 80% of RMI could afford $1220 per month in rent, based on HLTD's standard. The most recent Apartment Search Profiles notes that average rent for a one-bedroom apartment is $521, and $916 for a three-bedroom! Cleazly, households making 50 percent of the RMI do not need a subsidy to afford adequate housing. Families earning less than 30 percent of the RMI, or at minimum wage, do need this assistance. This is why 3,000 people signed our peririon, calling for crearion of 1, 000 new units of rental housing affordable to people earning minimum wage. � The Comprehensive Plan should strive to meet the needs of people - like St. Paul Tenants Union members - on fixed incomes, earning minimum wage, ot less than 30 percent of the RMI. To do this, the Planning Commission, Planning and Economic Development and the Met Council need to assess the needs of these groups of people. Once we know how extensive the shortage is, the city needs to make a commitment to build enough units. And low-income tenants need to be part o£ this reseazch-and-planning process. It has been azgued that jobs aze moving to the suburhs, so thaYs where we should huild housing, not in St. Paul. However, there is a lack of information about lowest-income jobs. Apparently, neither the city, county, Met Council or state is keeping track of people after they move off the MFIl' program. Are they working? What jobs aze they working? Where? At what wage? Do they need public uansportation or child caze? Did they move? Where? For what reasons? The city cannot make action plan if it doesn't have this informarion. Second, if jobs aze the issue, we should create new jobs in St. Paul. We support the city's downtown development efforts. Whenever development money is used, it should go to help provide jobs to St. Paul residents. Every downtown development project should include funding to build housing in St. Paul. This way, when we spend our tax doilars, Si. Paul residents can work at these jobs, contributing to the ta�c pool. Finally, in the meantime, don't tear down any units of housing until there is sufficient evidence that enough safe, adequate housing will be built, in the same azea and with the same general rent We can't afford to deepen the crisis. p�C�tVE� i\ � ' Figure of $61,000 was given as RMI at December 7t Public Hearing �� 1gy p,�pflNING & ECONOMti� D�� We offer the following specific suggesrions for improvement of the Housing Plan: • Where the language says, "encourage" the creation of affordable housing, the city needs to � make a"commitment" to build affordable housing, with a • Numericat goat of a specific number of new units built (not rehabbed} per year. • Creation of affordable housing needs to be a high priority, the same as preservation. • Ptan needs to track specific needs and make specific suggestions for more income brackets. Specifically, add two brackets (minimum wage and 30% of RMI}: • Minimnm wage (—$I 1,000/ year) could afford �$275 per month in rent • 30% of RMI ($19,200/ yeaz) wuld afford $480 per month in rent • 50% of RMI ($32,000/ yeaz) could afford $800 per month in rent • 80% of RMI ($51,200/ yeaz) could afford $1280 per month in rent • Any public funding into development needs to provide funding for hoasing, and it needs to guaramee a certain percentage of the jobs created be for St Paul residents. • Moratorium on all demolitions until adequate reptacement housing is built, until there is sufficient evidence that the city has a plan and resources, and until an impact staYement shows that units at the same rents are available in the same general azea Specifically, the plan should be written and conceived in the following way. `' 1. Track information better, for the four income brackets listed 2. Have detailed, accurate needs assessments for each of the four income brackets. 3, Craft a policy which has specific goals and rimeline to meet the needs. 4. Oudine plan to secure resowces (private, foundation, non-profit, state, federal, city) We support Rondo Community Land Trust's suggestion that St. Paul commit to build 400 units per � yeaz. We think it should be divided among the various income groups as the need dictates. For exampie, if 20 percent of St. Paui's fanvlies who need hovsing eam at or betow minimum wage, 20 percent of the 400 built per yeaz need to be affordable to families eaming minimum wage, either through building more Public Hoeising, grivate housing with low rents or Section 8 vouchers. We want the city to have the flexibility to decide what Form the subsidy should take: up- front construcrion or Section 8 certificates. As 6 out of 7 Metro HRA Section 8 Certificaies were retumed unable to be used, ihe city needs to enforce acceptance of Section 8 Cer[ificates. As these aze rimes of a housing crisis, we stand ready to support the city in seeking bold solutions. For exaznple, the NaYional Alliance of HLJD Tenants reports that over 3 billion of federal dotlars were taken out of the Section 8 program and vsed for "disaster relief." We would enthusiasrically support a city effort to seek the retum of dvs funding. Thank you again for this opportunity to bring you our concerns. I look forwazd to a cvritten response to my comments. Please send them to the St Paul Tenants Union, 500 Laurel Avenue, St. Paul, MN 55102. D Sincerety R�CEIVE Mazk �� ! 199L Community Organizer ��ppNENT ouNlltil�� z Assuming a RMI of $64,000. This was given by Metropolitan Councif �seazch staff in October 1998. �� omen'� l��soci�t�on of Kmong �nd I��o, Inc. W.t1.�I.L. � A non-profit organization November 24, 1998 REC�IVED DEC 1 1 1998 Saint Paul Planning Commission 1300 City Hall Annex 25 West Fourth Street Saint Paui, MN 55102 Dear Members ofthe Planning Commission, f%►':t�� • !�� ia � ��„ , I had the opportunity to review the draft of the Saint Paul Housing Plan and would like to share some of my clients' concerns with you. Although the proposal addresses the issue of affordable housing with various objectives to pursue, its language, however, fails to convince me that the Planning Commission will, in reality, actively pursue a course that would "ensure [the} availability of affordable housing". 99-yo I work on issues of crime prevention and quality of life for a locai non-profit agency that services � the Hmong population of Saint Paul. Like other residents of the city, our clients have housing as one of their most important priorities. Many of them aze MFIP participants or SSI recipients and therefore live on an income of less than 50 percent of the regional median income (RMI). Affordabie housing, then, becomes an urgent need for them and especially for others who have lazger families. Also, with the influx of new Hmong families moving to the Twin Cities Metro Area, we frequently receive phone cails from people who are in dire need of adequate and affordable housing. Many of these new families live with relatives in overcrowded rental units, and all of them run the risk of eviction because of this situation. As you know, the vacancy rate for all rental units is hovering below 2 percent, making it very difficult for these in-migrant families to start a new life here. In addition, because of this tight market, rent has become incredibly high, causing additional stress on my clients' budget. i I think that the Planning Commission, Planning and Ecflnomic Development, and the Metropolitan Council should keep track of people like my clients, and come up with a needs assessment for people who are eaming minimum wage and for those earning under 30 percent of the RMI. Preservation of existing affordable housing is important, but the creation of new units is as high of a priority which also needs your commitment. T am particularly concerned that, without a numerical pledge for new and diverse housing units, the Planning Commission might rely on the fiitering effect to provide housing that is simply labeled "affordable". 506 Kenny Road • St Paul, MN 55101 • Tel: (612) T12-4I88 • Fax: (612) 'Z72-4Z91 • Email: wah]@future.net � I am urging you to craft a policy that would be attenrive to the economic and family needs of the residents of the City of Saint Paul. Developing downtown to meet the needs of "Empty Nesters" and reflect the market trends is a smart investment, but I caution you against downtown gentrification which will reduce the number of affordable housing available to lower income people. Again, I find the lack of committed language in the Housing Plan draft to be unsettling in this dialogue of affordable housing. It is imperative that the Planning Commission assumes responsibility for the preservation and development of housing that will be affordable to all segments of the population, whether that is done through building new housing units or throngh promoting greater access to hnm20��fi!?rgl�in. Thank you for your time. I hope that you will take these concems into consideration for the implementation of the Comprehensive Plan. Shall you have any questions regarding this letter, please feel free to contact me at 651-772-4788. i America R �eE�VED � � 1 1998 '��NlNG & ECONO�q1C0�VE�ppMENT � � Best regards, • i • � Ci � 8rom: GC COMPUTERS csolvex�nn@yahoo.com> To: PEDD.PED(homans) Date: 12/B/98 7:SSam I read with mixed feelings, various articles about "afforable" housing in St. Paul. z see our city in a no win,lose lose position. A question to be asked is what do we want for our city? Is it our desire to become a magnet for the poor, hungry, huddled masses yearning to be free. If that is the case we will be a city in perpetual crises similar to New York. We will never have enough "affordable" housing because the more we provide,the more who need it will come; from minneapolis,detroit,chicago and across the country, much as they did when it became general knowledge that our state had more generous welfare benifits than many other states. The poor will be with us always but our city and state governments must reconize that as we provide more and more taxpayer supported housing, food, shelter,medical care and jobs, the more sick/homeless/hungry/under and unemployed people we get. The more we get the greater the strain on the taxpayer to provide and pay for those services; and the more the recipiants of this come to view them as a right they are entittaled to. when do we reach the point when we realize that we are nolonger caring for just our fellow St. paulites or even minnesotians who have � fallen on hard times or are simply less fortunate but for the poor of dozens of other states who are not so generous with their tax money. That is wrong. The only way to correct this situation is to nationalize welfare, and make the rules and payments uniform across the country. This should include government sponcered housing and the percent of government housing per state, should be uniform as well. Our state should concider a simple residency xule acceptable to the courts. Would they accept a one year residency rule with no exceptions as part of eligibility for any assistance of any kind housing included?? When do we reach the point when we realize that high conoentrations of poor often equells a high concentration of crime and social problems which in turn encourage the flight of middle class families to the suburbs to get away from the crime. This is not a race issue as some claim. This is a money issue...and always will be. cliffton sanders St. Paul DO YOU YAHOO!? Get your free c�yahoo.com address at http://mail.yahoo.com � RECEIVED aEC 1 9 '49� P,LANNING & EC�NflMlC DEVEtOPMENS 22 Octoba 1998 To: Nancy Homans via Fax (652) 228-3220 Fmm: CIifton Brittain t980 GoodrichAveaue St Paul, MN 55105-1544 Voice (651) 690-12'7'7 Fax (651)698-6941 �Nia1: BrittCiif@aoLcom � CC: Mac/Groveland District Council ke: Saiat Paul Housing Plan T agee with most of the plan. However, I would like some clazifications and expaasions for my oum infarmauon so that I can develop a more infortned op9cripn. Wbere T most disagee is in the third stategy in wLich 8�e plea detaches iuelf from the currenr economic and poliucal situation. While some of the proposals are desirable and workable, the bulk do nnt engage reality as I see it Please clarify/provide additionat informarion to me on the following poiirts of the Draft: . 2.Q Ia�oducrion � Paragraph 3: "Secondty, the plan recommends that Saint Pavl aggressively work w capture its slurre of an emerging marKet of smaller households... ." I assume that yon mean by "eaphue its share" thaf you mean a% of a particular eohort ia relation to the region's pop�latian in to1a� or ia re]ation to thaz whort. Can you be more specific? 3.0 Key Trmds Item 4. Which neighborhoods are "characteri2ed by declining or srag�ant values.. " Item 5. May T conclude tfiat 7% of St Paul's population, by household, is below 30% of the re�onal median (7700/I17000)? How dces t4at compaze to the region as a whole? Can you refer me ta wncise demogaphic information of this iype? Does it get down to neighborhood detail? 5.0 Stretegy 2: Meet New Mazlcet Demaad It seems to me that the cohorts you enumereTe have very different hnusing needs, even t6oughthey are numericatly similac. Young farnities have a need for wide open recreational spaees (e.g. the azea around Mattocks Pazk). Older farai}ies have aneed far s6ort walking distanees aad securiry (e�g_ Galtier Piaza), plthaugh a neighborhood could be created that meets both needs, developers are (regrettably) segegating those markets. Unless you are creating an i�egated plan, I think you ne�d to segneP,ate tl�ese markets for Pj�B P�Poses. Point 5.3 Encou:age the production of reutal bousiag. — , . _, � 10/22/98 THU 20:41 /.- �� C_� � FA% 651 698 6941 BrittalniLadtter As a citizea aad �xpayer, I want property values to increase so that my propor6onete burden is lessened Your commeat "There are few incenrives for owners to hold down rents..." seeins economically wveasonable. Why would any owner warn to hold down rems? ALso, "._.adequately maintain their propertiu:' The incentive to maintain or enhance propeities is to get higher renu. The only ezception m this would be landlords w6o are cma6ng ghettos. These siwations should be dealt with in a regulatory and con5seatory manner, not by supply and demand. Point 5.4. In the eonsmuuon...meet the divecsity of the market You seem to be poiming in the direetion of what liave traditionally been tenemenu. Ls this what you mean? Is the objective to design livable ghettos and tenemeats7 Strategy 3: Ensure Availabitiry of Affordable Housing I thi�ilc the cart is before the hone here. Housing is not affnrdable because incomes are insufficient It is aot the fault of the }wusing, nor will affotdable housing relieve insufficieat income. It could be argued that affordabte, subsidized housing helps to peipetuate lower incomes by subsid;� low wages. lf the problems is low wages (and it must be, because we tiave close to fiill employment), affordable housing wilt do noUung to alleviate ihe problem. Regarding the eight specific proposals to implement flsis poIIcy, I could go on and discuss specific objections to each of the points, bvt they all fall into the category of objecaon to the premise that affordabie housing is a good thing to make our objective and that it can be achieved in our economy. if you were to subs6tute the phrase "adequate income" for "affordable housing" ia the preamble, you would be much closer to solving the problem. My thought is that the region needs w idenrify the minimal acceptable housing siivauon (people per room, people per square fnot people per toile; whatever), devdop costs and prices for such living situations, and then design living units that will accommodate those densities. If housing wdes do not support those densities, then tl�ey must be chenged. In an ewnomy in which there are such huge income differentials it does not seem to me that they can be single family dehched, or even attached, homes. My guess is that they will ]ook like dosmitories or barracks or shelters. These affordable units should be layered into new developments (e.g. u second floon to new commercial developmenu, like at Selby & Dale). They shouid not be ctustered together, as m a�etto or a high-rise. There is no doubt in my mind ttiat affordable housing is not equated with desirable housing. �thout subsidy, it cea't be. Inasmueh as the rucreat political cIimate will provide fewer and fewer subsidics, the options exploted must be more market driven. The whole S�ategy 2hree azgues with the eeonomic reality of the late Twemieth Century. Tn the end, you caa't azgue with the market @looi `� • r � RECEIVED DEC 0 9 f998 Saint Paul Area Colulcil of ��t�§"or�ic o�ve�oPn�� 16715ummit Acenue • Saint Paul, Ivf� 5510�-1SS� •(612) 6-66-SSO� • FAX: 6166SCti The Saint Paul Plannin� Commission Attn: Gladys Morton, Aousin� Plan Task Force 25 �uesi Foarth Street, Ste. 1300 Saint Paul, MN 55102 - Re: EresentaYion at Public Hearin� of Citv Council and Plannin� Commission on the Draft Saint Paul Housin� Plan D�ar iti:s. lYSortor: I arrived late to the public hearin� and was not able to make my presentation. I am therefore submitted nry remarks in wriYin�, as you indicated would be possible. I am the Director of Con�regations in Community for the Saint Paul Area Council of Churches. Our members aze indi��idual mainstream Christian congre�ations in the East Metro. There are over 550 con�reoations in the East Metro. The reason I«as late because I�vas attending an open house earlier in the evenin, in Maplewood on thz count�� proposal to locate its shelter for homeless families in tiSaple�cood. I�cas there to support that proposal. Ho« e� er, you should Icno�� that a number of �iaple«�ood rzsidents oppose � that site. One of the most frequeat reasons I heard « that it shoidd be locatecl ir� St. Paul where n:ost of tlie trsef•s of dte sefti•ire m�e fi-a�t. i�1}� response �cas that the �Iaple��ood site �ras d:temiined to be the hesr location bt th: Count�� site selection team. \e��ertheless. it does pose an interesting obsen�ation �chich speaks to thz heart of m� przsentation, that the Cit�• of Saint Pau! nezds to address the ne:ds of its citizens. and in panicular. its most ��ulnerabie citizens, the poor, the discriminated aQainst. and thz homeless. IL ma} sound nicz to sa� tha? th: suburbs need to pro�'ide their fair share of lo« and moderatz income housin�.1'ou ma}� b: committed to making that happen. It doesn't, ho«�ecer, lessen y�our responsibilitc to address thz needs of all of �'our citizens. R'hile the draft plan is a good start and the City should be commended for in�•itins public comments, the plan needs to be rz��ised to pro� ide for more specific numzrical housin� �oals and more fully address the e�isting housin� needs, particularly� of lo« income and homeless househo]ds. I�� ould also like to aclato«'ledse the «ork of \anc}� Homan. She did a very competent job in idzntif}�ing the problems and trends'in the City of St. Paul. She also �ti'orked hard to be a��ailable to the communit��. 1e�ertheless, �ou heard o��er and o��er from those that tescitizd that there «ere problems «ith the drzft plan. F,rs:. :i�� plar, snould use data on the Cin's median household income_ not the reeion's. The i2:_:- ro: o^I� distort; tn: estent e: the problem. but rzsult m stra:e_ies t�a: �� i![ not «�ork. J�cor:c. �n: p;a:, does no: address tne needs of lo«-income households o: hous�aolds leacinQ tn: shel[er. Aeain, as «as noted zt the hearinv, tne Cit� nezds to address the housine needs of � �19-90 � households that make less than 515,000, who cannot afford to pay more than $300-400 per month . As an a�ency �chich assists homeless families, �ve can clearly see the difficulty in findin� affordable housin� in Saint Paul. We have seen the demand for overflo�v shelter �o from a five month pro�ram to a year round pro�ram. We have also seen the vacancy rates drop to less than two percent and the cost of housin� increase. The City cleazly needs to �vork with the County and Met Council to provide an adequate supply oftransitional and lo«�-cost housing. I do take exception to the landlord �t•ho stated that the City should acquire existin� housin� units rather than rehabilitate i�ousin� units and construct ne�� housin�. He may not realize it, but he is contributing to the housin� problems by acquiring rental properties at a lo«' cost and then rentin� the units out at a higher cost. Acquirin� existin� units does nothin� to increase the supply of affordable units. Rehabilitatin� units maintains existing affordable housing units. Constructin� low income housin�, adds to the supply of affordable housin�, as does the sale of some housin� units w},en re;ired famiiies move oat of iarger iiomes io sma:ler nousin� :mits, e.�. apartmencs and condos. One of the other speakers su��ested that St. Paul needs to attract middle and upper income families into the City. You are not �oing to achie�re that �oal by i�norin� the needs of lo«� income and homeless families. Quite the opposite, by improving the li� ing conditions of the poor, you will make the City attracti�•e to ail. If nothin� else, I hope y�ou Qot the messaoe that you can not demolish existina housina units �� ithout hacing repiacement housing a��ailable £irst. Look at what happened «hen the � Lake��ood Housina Units «ere dzmolished. As a result of the demolition., there «ere fewer affordable housin� umts in the Cin of St. Paui. There also «as a net lost of housina. Some of the familizs displaced b}� the demolition ended up in ��•orse housing, but pa}•ing more. In closing, on behalf of the Council of Churches —«e see this as a moral issue — ��'e urge you to rz-��rit: the plan, inco�o:atz mor: specific numeric Qoals. use Cit} data and not rzgiona] date to establish affordablz hou_ia� standards, address the housine needs of io« income families, and take responsibilit}� for meetin� the housina needs of ali r'our citizens. rather than depznd on the suburbs or blame the suburbs for not meeting the needs of the Cit} of St. Pau1. At the same time, I«ould encourase you to �� ork ��'ith the Met Council and State Leeislaturz to open up the suburbs for ail t}pes of housin� and address the �ro�cin� problems or urban spra�cl, inereased searzgation, concentration of poor, and reaional disparities. Sincerely, t ��-�..�ZG� , I.t� - Robert G. ��'aiz, �1S�t� �� Dirzcto* of Coneresation> in Comm�mit� �ECEI�/�� DEC �J i 199� �1i'�N.�YtNG & ECO�Y�7b',tc D=�!_! O�M�`{; � Sherilyn Young 71 W. Isabel St. #1 Saint Paut, MN 55207 651-224-7308 Comments on draft St. Paul Housing Plan Housing on the �Vest Side flats 4.1 I appreciate the acknowledgment of the challenge the City faces to intearate significant redevelopment and netii� construction into Yhe existing city fabric. I am especiaIIy concemed about housing development on the West Side flats in the industrial district. It «11l be very easy to build housing on the riverfront that is not in any �vay connected (by architecture or sense of community) to the existin� residential area on the West Side. 5.1 The map of potential housing development sites indicates that the West Side may be the recipient of larger site housing development. I believe the placement of this potential development, in the middle of the industrial area and nearer to downtown, «zll isolate the new residents and make community connections extremely hard to build. I su�gest large site development be contiguous to the current residential area. I do support the actions indicated in a.-c. Cade Enforcement 4.� The Plan indicates the need to �vork nith property o�ti�ners on a resular basis rather than rel� on a complaint based system. I a�ree this is ven imponant and recommend that the pian state that thz Citc �iill take steps to c;�ork «�th the District Councils �i�hen properties are id:ntified as potential problems for code enforcement. District Councils ma� hatie helpful connectionc and resources to help facilitate this enforcement in the contest of community� buildim� 4.4 Good' Rentat Propem�/Housina 4.� Good! Ho�3�ever I�could like to see an equa] focus on the renters themseives. For e�ample_ the ptan should state that traininv for renters, as ��ell as landlords is a priorit}�. Welcome packets could be developed for new renters in the City, �vhich could be distributed throu�h the landlord connections made in this strate�c� �.=.c. Good. �.3.d. I don't understand w•ho �tirill share the responsibi(itt• for maintenance and upkeep of propem . Affordable Housing 6. I_ 6? I am conczmed that the Cin ��ill place too high a priorin on ti+o*kin�= to make sur: othzr re��ional communities protiid� affordable housm=. not concentratin_= or, S?. PauI. I don't beii:�: this stratz�_: should take precedence o�er anc other ctrate�n in this plan Thank �ou in ad�ancz for consid.nnU mc commentc' � � RECEIVEG� DEC 0 8 199€ PIANNIN� & ECONOMIC D'cV_��,=u� 99-9a RECEIVE� � Benita B. Tasselmyer 785 Aidine Street St. PauV, MN 55104-1105 (651)641-1037 (hJ (651-681-2196 (w) December 7, 1998 Please enter this letter into the official public testimony for the City of St. Paul Housing Plan. The draft document cails for adding housing density in afI parts of St. Paul as well as adding housing units that are "affordable" to households at various income Ieveis. Both of these ideas have merit and shouid be a part of our housing strategy, but the document isn't ciear enough on how to make this happen and ignores some important issues that must be resolved in order to get neighborhood buy-in of the plan. Issues that appear to be overlooked are: • Stretegies to determine the fair share of "affordable" units in specific neighborhoods • Strategies to attract high-income households to middle and Iow-income neighborhoods • Strategies to retain the high-income households that are already here • Providing the kinds of housing that senior citizens really want • Guidelines for creating accessory apartments that wiil not destroy neighborhoods • Programs to encourage "mom and pop" iandfords to purchase and maintain property • Neighborhood determination in deciding what kinds of housing to buiid and where to build it DEC 0 8 19gE ��81'IN1N6 & ECONOMIC DEVELOP�EN1 There is a Iot in the pian to make sure that housing is kept "affordable," but very littie on how much should be available at each income level. Also, there is no suggestion that the plan wiN heip break � up current pockets of poverty by spreading tne "afrordable° housing throuahou! th� city. People in neighborhoods want to know the total number of housing units th2y mus; plan to a�d and how many of those should b= priced to serve peopie who cannot afiord market-value housing. One important goai of thz housing plan mus: be Yhat "affordable" units blend into the:r s��rroundings +n such a way tnat a passerby cannot teil the "a`ordable" housina from tne marke: r=;e housing. The pfan lacks any strategies to a`tract hiah-income househoids to Cne Ci.y. par �ularly to middle 2nd low=r-income neig�borhoods While this idea may be considered to be a h��o s=11. it is important to mention a��racting hiah-income households throughou± St. Paui Also tne plan must define ways to retain the high-income people who are already here Th=se peop�= have the financial means to invast in their prop2rty and also the resources to become responsible landlords or business owners in their own neighborhoods. Most peopl= in this category we�t to maintai� the single-family appearance of their neighborhoods and will not weicome added density uniess it biends in with what is already there and doesn't crowd the streets with extre cars. Most senior citizens that 1 know do not wish to live in a high-ris=. They want to live �n low- maintenance, walk-up style housing that is ail on one floor. They want to be close enough to walk to neighborhood businesses and be located close to public transportation. Two cr three story buildings would be appropriate as lono as elevators are provided Aiso. senior=_ con't want to live in senior citizen ghettos. but want neiahbors m all age groups. They want to sta;i connected to th�ir communities Mar.y s=niors like a small aard=n to pl2n". 2 fzw flov�=rs or v=:�tabies. and that is not f�asibi= in a hioh-nse B2c�use hiah-nse buildmas isola±e res:den:s frorr ;-:= r<s: o` the ne!anuors tne Ci�� should not plan to budd th=_m A`=_� W�r�d Wa li :nc seve2 ncus r.c s�o!;2oe (25U�icC if ^l2^V 5"!_!c- cTl; �'�"'lE5 CcTC � C'�Oppctl 11 1'IIO STch c:'cRTc'lI5 TT1I5 QEST,'OyEO t!lE c�C�IS2CiU'@: i2e;J"c< O` .'-c^.� �OTi25 811d drama:icaliy altered tne characte� o` neiqhborhoods It has taken m�ny y�a�s o conveRing houses back to singk-famdy to overcome much of this damage, but tnere ar s.,C lage numbers of homes with tower values due to these conversions. To prevent future mistakes, the ruies for creating an accessory apartment should: • Permit an accessory apartment to be created only in homes with 2,300 or more square feef of living space • Only permit accessory apartments with at least 900 square feet of living space • Require the addition of one off-street parking space for each bedroom of the accessory apartment • Require removal of accessory apartments before selling the property The City should find nvays to encourage "mom and pop° fand(ords to mainfain property, especially "affordabie" housing. One way is to greatly reduce the non-homestead property tax rate for landlords who agree to reguiar inspections to insure their properties are maintained at specified levefs. Give tax credits to tand(ords who own six or less unifs and are atso residents of St. Pauf fo encourage local ownership, Create a City office to provide free legal assistance to landlords who are willing to take Section 8 tenants. There are a lot of things that would help current landlords to stay in business and encourage more residents to become tand(ords. These ideas betong in our housing plan. �inally, the housing plan witi not work without neighborhood buy-in. fVeighborhoods should develop design guidelines and determine where housing should be built and what it will look like. The City should encourage neighborhoods to become the developers, or at teast allow neighborhoods to select the developers who wi(I buitd what the neighborhoods want. The currenf system of reacting to mitigate undesireble elements after a developer makes a proposal does not build community - it only buiids distrust. In order for the housing pian to move off of paper and into reality, it must be �eighborhood-driven. The City sfiould serve fhe neighborhoods, not fhe other way around. --> -- -> i-'' � .� ��,� �� ..__,t4 ,.��_.: _ Benit2 B Tasselmyer RECE[VED Q�� 0 $ 1998 FzANNING & ECONOMIC DEVEtOP.�AE�� _ r 1 � � ►_.J ` J � � .KtcEivED � � : U � i998 Deaz Ms Morton, �EtANNfNG & ECONOMIC DEVELOPM� December 8, 1998 I am Christy Shisler, and I am homeless. I was at the City Planning Public Hearing at the St. Paul Technical College on December 7"'. The woman speaker for ihe council Gladys Morton, outraged me. She kept talking about their time limit. Their time is up at 8:30. At ihe end of the meeting she said "you people". I am one of those people. �Vhat did she mean by that? By 830 I am hoping and praying to God that I have found a safe place for my children to sleep and was able to get them something to eat. But for `you people" by 8:30 you are ready to go home and eat your dinner. I would bet you each a hundred dollars you don't have to look for a safe place to sleep or worry about what you aze going to eat. For "you people" have to do is dig in your pockets and take out the keys to yout home. Then turn on your lights and go to the kitchen to find something to eat. Do me a favor and watch your icebox for 30 days and I will guarantee you it will never be empty. If it gets low all you do is go get into your caz and drive to the grocery store. All you have to do is go to the grocery store and pay for it. All the time I was there only two people spoke to the council besides myseif that know what it was like no to be able to afford a descent home. The rest of the people that talked to the panei have descent homes to go to. They probably don't even know how it feels to go to bed hun�ry, feeling of sadness. shamefulness or anLry that comes within you when you are unable to feed your children and sending them to bed hungry. Also hopina they will be safe when putting your children to bed. Don't get me wrone the people that spoke want the same thina we do. We need homes that are affordable for all peopte including mysel£ �k�e desperately need people to tall; to '��ou people'� that can speal: your lanQuase. Wh}� would you listen to a person like me that doesn't have a good job or good standino in the community? �T�hen you have people in front of y with a good job. good standina in the community, and say w�hat you �cant to hear. Except there is a whole lot of'vou oeoole" lil:e me that has somethins to sa�. Usually I don't get im�olved in go��ernment issuzs. but I did go to this meetino and the cioman speaking for the council made me angry. Her main concem was her time deadline and her feelines about `'you people". For I have a time limit set upon my family and myself right now. At the present tune we aze 'sn a family shelter, and the}� hace gi��en us tune limited of 30 days to find and obtain affordable housins. I understand there has to be time limit, but how can you put time limit on homelessness. None of you that are goina to receive this letter can give me a tune limit on how long myself and my children are goin� to be homeless. Vdhy «ould you care about that unless we found something in a condemned or sleeping in our car b} yrour home? Then you miaht get involved, trying to get us out of your neighborhood. NO WAY! You aze so willino to help us when you are sitting up there �rith your store bou_ht clothes. your secured homes, drivins your cazs. shoppine when �ou need somethin�. But helping the people that need help is now. Just to sa} w�e are proposin_ a plan that ��iil hace this situation changed b�� the }ear 20?0. SO CO�1E Oi�i PEOPLE: lool: z* it T�om our position. I ha�e enclosed some rental papzr tha*, the family shelter gz�e us to look for zftordable housins. Look a2 the numbers: for mos: of cou there won t ix an}' problem and still tx able to afford e�'erything you and �ou* family needs and wants. But that isn't possible for us. �h'hy don't }'ou tn to suni�e each month 99-qo on what we get? See we lived here last year and we had the same problem We finally found a one-bedroom duplex that would let us live there �vith five children. But guess what; the city came in and told us we had to move because there wasn't enough square footage for that many people. So we were homeless again. You se when �ve moved back here we had a place to live. We both have jobs, even though I gotten seriously ill there for a while that I was in the hospital for a week. I had a surgery on October 29'�, released on the 31�`, and was back at work November 4�`. Even though I was in much pain I worked 4Q hours that week. So my chitdren couid have a safe home and be abte to eat. So there is no way you can say I don't try and care. On November 22, when we became homeless again, we not only lost our home; we lost our jobs and daycaze. Since we don't have a caz of our own we couldn't get to work because not even a bus goes out to our job site. Plus where we were living thai was our daycaze. We lost everything in one shot. So now we have a time iimit. We on2y have 30 days to get back on our feet and fmd affordable housina. And that isn't easy, as it seems. You can look at the prices for yourself. More than likely we will spend all the money we get to get into a home. So what do you tell an 8, 6, 4, 3 and 1 yeaz olds that Christmas isn't coming to our home this yeaz. When all of them believe in Santa Clause. Tell me how would you handle it? So please take a real good took at what needs to be done. The Reverend who spoken about the elderly woman on the bus; had a real good idea. Get up, get out of your council's chairs and do something that will count today not the year 2020. We need the help today not tomorrow. Please try to do what you think is best for the people like me. Thank you for your time. Since v Yours �� ,.�..,...vLS-1 � V�� 0 �� p� �� E � N ph � . � i y9-9c� � � TO ALL THAT DOESN'T KNOW: For "you people" that do�sn't have a clue on �vhat a homeless shelter is like this letter will inform you of Ihis. .I am residing at Catholic Chazities Family Shelter. You are allowed to stay 30 days per quarter. So they understand on how hazd it is to find affordable housing. They give us a safe place to sleep and give us three mezis a day. Pam James who is the Housing Advocate that assist you to fmd qualified programs that assist your in affordable housing. She is the reason we might be getting into the R.O.O.F. Program. That �vill help us get into affordable housin�. If it wasn't for her, we probably stili are homeless on December 22. If the R.O.O.F. Program doesn't accept us, I don't know what we are going to do. But the staffat the family shelter assists us in every chance that they get. Tr}� to be homeless, jobless and unable to find affordable housing . on whst we get without help. �� ,�gg�• �� oNON 1\�� EV �� e � \E �� N\0�'�'' . . � d°� �,f2rd � f _ t �t��rd � DEPARTMENT OF HUMAN RIGH"CS CITY OF SAINT PAUL Norm Coleman, Mayor W. H. Tyrone Terrill, Director 900 City Hall 1� W KelloggBoulevard Saint Pau1, tLLV »702-168/ �q-qd Telephone: 6/2-266-8966 Facsimile: 612-266-8962 TDD: 612-266-8977 To: Councilmembers Benanav, Blakey, Bostrom, Coleman, Harris, Lantry, and Reiter From: W.H. Tyrone Terrill, Director � � Date: April 1, 1999 Re: The Saint Paul Housing Plan As requested, this Department is submitting the following response to the City's proposed Housing Plan and Summary and General Plan. CITY COUNCIL AMENDMENTS TO THE HdUSING PLAN ADOPTED 3/24l99 1. AuthorCounci[memberBlakey:Locationpagel0,insertfourthparagraph: Discrimination continues. Des�te continuing efforts on the part of federal, state. and local eovernments, bias continues to act as an impediment to a sienificant number of home seekers in Saint Paul. HUMAN RIGHTS STAFF COMMENT: While an audit by the MN Fair Housing Center shows that home seekers in the rental mazket face an inordinate amount of discrimination, the bulk of the housing discrimination complaints that the Human Rights Departrnent receives aze terms and conditions and/or eviction charges. ALTERNATE LANGUAGE FROM HUMAN RIGHTS Discrimination continues. Desoite continuin� efforts on the oart of federal, state, and local ^overnments, bias continues to act as an impediment to a sienificant number of residents and home seekers in Saint Paul. 13. Author CouncilmemberBlakey: Location page 26, at end: 6.10 Work to overcome bias in the housine mazket. The Citv reco¢nizes that over thirty_yeazs have passed since the ori�_inal enactment of the Federal Fair Housine Act prohibitin¢ discrimination in housine and yet bias continues to affect Saint PauPs racial and ethnic minorities. the disabled and families with minor children. The task of overcomin�bias must be accepted as the joint resnonsibititv of federal. state, county and Citv govemments in cooperation with private and nonprofit sectors. To this end, the Citv will support; 1. Systemic testin� in the housing mazket to identifv bias 2. Enforcement of Saint Paul's human riehts ordinance in resoect to housine discrimination 3. Educational and outreach proerams directed towards housina including landlords. rental aeents, real estate sales �ersonnel, mortga�e lenders. prooertv aporaisers and An Affim�ative AcLOn, Equal Opportunity Employec pronerty insurers. ` / � / V 4. Outreach uro�rams directed towards neiehborhood oreanizations and district plannine councils to promote �rassroots awareness of theproblem 5. Creation of the Saint Paul Fair Housin�Council comprised of reoresentatives of citv govemment. the private sector. communitv a�encies. and the Minnesota Fair Housine Center which shall advise the Citv in its oneoin¢ work to identifv and overcome unlawful bias throush testing, enforcement. plannin�. education. and outreach. H[JMAN RIGHTS STAFF COMMENT: The City of Saint Paul began confronting housing discrimination in 1964 with the creation of the Human and Civil Rights Commission. In 1967, the present Human Rights Ordinance was created which, as amended, currently prohibits housing discrimination on thirteen bases. Responding to the specific proposals: 1. The Human Rights Department supports regulaz systemic testing in the housing market. Although over the past yeaz the Department has more than doubied the amount ofhousing discrimination complaints it investigates, the dearth ofcomplaints from those seekine housing indicates that more than a complaint-based response is needed for effective enforcement in this azea. Just as LIEP's testing program has resulted in increased compliance with laws prohibiting the sale of tobacco to minors, the Department believes regulaz testing in the housing mazket and enforcement of discovered violations will result in similaz rates of increasing compliance with fair housing laws. The Department is currently not prepazed to address the budget implications of this recommendation. 2. The Department will continue to increase its efforts to enforce the fair housing provisions of the Human Kights Ordinance. Amending the Ordinance to make it "substantially equivalenY' with the Federal Fair Housing Act, would entitle the Department to receive federal funding to aid in these efforts. 3& 4. The Department would like to increase its educational and outreach programs. Federal funding from "substantial equivalency,"as discussed above, would also aid in this azea. 5. The Department supports the creation of a Saint Paul Fair Housing Council provided representatives from this Department and PED are included. This Departrnent has developed relationships with a number of organizations who should be specifically cited as potential members of this council. ALTEItNATE LANGUAGE FOR FROM HUMAN RIGHTS: 6.10 Work to overcome bias in the housine mazket The Citv reco�nizes that over thirtv five years have�assed since it first beean combatinghousing discrimination with, first the creation of the Human and Civil Ri2hts Commission and subsequentiv the ado�tion of the Saint Paul Human Ri¢hts Ordinance. Yet bias continues to affect Saint Paul's racial and ethnic minorities the disabied and families with minor children, and members of the other e�ht protected classes included in the City's Human Rights Ordinance. The task ofovercomina bias must be acceoted as the ioint responsibilitv of federal, state countv and Citv govemments in cooperation with private and nonDrofit sectors. To this end the Citv will support• 1. Systemic testin� in the housing mazket to identi_ bias 2 Enforcement of Saint Paul's human ri ¢hts ordinance in resoect to housin discrimination 3. Educational and outreach oro�rams directed towazds housSn�providers includine landlords. rental aeents real estate sales oersonnel mortgaQe lenders oropertv appraisers and An Aftirtna[ive Action, Equal Opportuniry Empioyer pro�ertv insurers. �� D 4. Outreach oroerams directed towards neighborhood oreanizations and district plannina councils to promote 2rassroots awareness of the problem 5. Creation of the Saint Faul Fair HousinQ Councii com�rised of representatives of citv Qovemment (indudine PED and Human Riahtsl the private sector communitv aeencies legal services a2encies, the Saint Paul Tenant's Union the Communitv Stabilizafion Proiect, and the Minnesota Fair Housin Center which shall advise the Citv in its on eoinQ work to identifv and overcome unlawful bias throuah testina enforcement olanning, education, and outreach. 1�. Author Councilmember B[akey: Location page 28, at end: 73 Fair Housin� Planning Staff assi2ned to convene the Housin� Coordination Team shall also be assi�ned to the Saint Paul Fair Housine Council, as identified in 6.10 above and shall in cooneration with the Fair Housine monitor and evaluate the citv's proeress on an annual basis The Council shall in cooperation with assi¢ned staffDresent its findin�for inclusion in the Housing Action Plan and make such recommendations as mav be necess�rv and �roQer to fulfill the nlan and meet objectives towazds buildine an inclusive communit� HiJMAN RIGHTS STAFF COMMENT: The Department wholly supports this provision. CITY COUNCIL AMENDMENTS TO THE SUMMARY AND CrENERAL PLAN ADOPTED 3/24/99 5. Author Councilmember Blakey: Location page 26: Inclusive Community, We have no tolerance for racism and intend to Drovide the broadest access nossible to all benefits of communitv life in Saint Paul, free from barriers based on race or ethnicity The Citv will cooperate with the Minnesota Fair Housine Center and other interested community o�r anizations to identify and eliminate unlawful discrimination in the Saint Paul housing mazket, includina the rentai market, the for sale-mazket and morteaee lendi� HUMAN RIGHTS STAFF COMMENT: See above comments for Amendment 13 of the Housing Plan. ALTERNATE LANGUAGE FROM HUMAN RIGHTS: GP32, Inclusive Communirv. We have no tolerance for racism or discrimination of anv kind and intend to provide the broadest access nossible to all benefits of communitv life in Saint Paul free from barriers based on race or ethnicity or any of the thirteen nrotected classes provided for in the Citv's Human Rights Ordinance The City will coonerate �vith le�al services a�ncies the Saint Paul TenanYs Union, the Communitv Stabiliaation Project the Minnesota Fair Housina Center and other interested communitv or¢anizations to identifv and eliminate unlawful discrimination in the Saint Paul housin�mazket includine the rental mazket the for sale-market, and mortQaee lendine. If you are in need of fixrther assistance, please contact me at 6-8964. cc: Gerry Strathman Marcia Moermond An A�rtnative Action, Equal Opportuniry Employer � � �� HOUSING PLAN A Chapter of the Saint Paul Comprehensive Plan Draft for City Council Review January 1999 Recommended by the Saint Paul Planning Commission January 8, 199g CTI'Y OF 5AINT PAUL DEPeIRTMENi OF PLANMNG AND ECONOMIC DEVELOPMEp'i' qq _q� 99- 90 � • � SAINT PAUL HOUSIIVG PLAN A Chapter of the Comprehensive Plan Draft for City Council Review January 8, 1999 Recommended by the Saint Paul Planning Commission CITY OF SAINT PAITL DEPARTMENC OF PLANNING AND ECONObt[C DEVELOPMENT Comprehe�isive PIars 1 •� �� Contents � The vsion 1.0 � 2 .O �ntroduction , 3 , o Key Trends 9 4 0 Strategy 1: Take Care of What We Have 11 . 5 , o Sffate�ay 2: Meet New Market Demand 14 6 , o Strategy 3: Ensure Availability of AHordable Housing 18 1 , 0 ImplemenWtion 27 8 , o Appendix L J • 29 Comprehensive Pian g The Vision � �� y the ye�r 2ff2�J, the Ciiy of Sc�ir! Praui i-sri�I ha�.�e enjeyed t�vo decades ofsignificar�t phusical and ecanomze grot-vtl� and t be cr ��tcal pl�zce for �eaple v_ f crll cr¢es to live ivo�k and plcnr. �s cr ��e.sult �f cz reQional clecision mtrde b;j the 1Vletropolitar� Cvuncil ii� 199b to lirrlit �roi�,�ih ert tlre �nges o`th� T�ti�i�� Citi�.s metro��zlitar� areu, Sctint Paul �ti=111 h�ave czdde��i over 20,t�0�i i� its pnpulation, P2,000 jc�I�s tc� its em�lc��y%rri�nt I�as� rzncF 6�it3� crc�ditiortctl unt�s tv its hnusir�g stock (.�,�<.?C� r�eu� housel�olcjs will live in �a�istin5 h�rr�es th�at t•vere t��rcur�t ii� 199Q,�. Nei con � structed homes �-t�ill hm�e been plcazmed �nd cit sn thcrt t1�e;� eni�crnce th� t�udrtzon�zl chczracterofau� �; E?OC�S, Sil"GP7 EI? tI1 � CI Pr''S SE't1SE' C�f . �luce a12ci brrrt�* uc�c�it�onal t�it�lrtv ta Saint I�aul's cioz-t,�nta��n und r�vejfrc�nt. In adc�ltion to tl�e pt�oduct�c?n o�`r�e� hc�trsin�?, the City azid i:s paz�tner_s � have rrain�ulnec�' � strong eommlfnaenf to the rehabilitc�tion, rnc�intenrarrce ant� �.'?��.'.$F.'�"��1�� 3f1�$ f.''�S�]?�FIiU�$]�If J � st�ck ar�d rt �-v�ll hcn;e increcrser' zts code �nforcernc:nt crnct compIiunce efjorts in vrcaer �0 lncrecase tl�e �ener�l f��el �f �ousin� g�aalitv thza�ughc?�zt the citv. Comprehensii>e Plan 5 The majority of the city's new housing units will not be traditional detached single family homes, but a variety of smaller housing types--often "com- mon wall" types—that wiil prove attractive to young families starting out • and older people wishing to downsize their lives as they approach and reach retirement. In addition, there will have been a renaissance of mixed use developments along transit routes that combine retail businesses and professional offices on the street level with housing on upper levels. Housing density in the city will have increased slightly as a full menu of housing options are made available. As a result, as their incomes and fami- lies eacpand, residents are not forced to look outside of Saint Paul for the type of housing they prefer. The city's neighborhoods and housing stock will meet the needs of both those who have considerable economic choice and those who have fewer choices. Households with higher incomes will be able to find housing with the amenities they value and witi be confident that the investments they make in their homes and neighborhoods will be secure. For households with lower incomes, the availability of quality affordable housing will mean greater stability and, in turn, better health, stronger community ties and more success in preparing for and securing permanent employment. Perhaps most importantly, family stability will enable Saint Paul's children to achieve the academic and sociai successes that are the building blocks of a strong community. � The variety of housing options in Saint Paul will, in sum, contribute to the strength and vitality of the whole community as well as the well-being of each individual household. � 6 Cisy af sr. Pcrut Introduction + � Along with every city in the region, Saint Paul is preparing its comprehen- sive plan for the next decade and beyond. While addressing the full range of local issues and concems, each city is focusing specifically on its role in a region that will need to house 330,000 additional households and provide space for 410,000 new jobs without converting acres of farmland to subdi- visions or building miles of additional highway or sewers. Saint Paul's Comprehensive Plan is being buiit around three themes: • Saint Paul is growing; regional growth provides new opportunity for vitality in our city and in our neighborhoods. • We cherish qualities of the place we have as a city and intend that places throughout Saint Paul will offer beauty and delight and will enhance community life. •• The well-being we intend for Saint Paul communities, families and citi- zens requires economic growth and life-supporting jobs, as well as cul- tural, educational, and recreational opportunity and the community ser- vices that nurture family and individual life. Within that context, Saint Paul's Housing Plan for the first decade of the twenty-first century rests on three distinct—but highly inter-related— strate- gies. The first is that we should take care of what we have. Most oF the households in Saint Paul will continue to live in the 117,000 housing units that presently exist in the city in neighborhoods widely recognized for being well designed, attractive and active centers of community life. The plan includes strategies for preserving both the physical structures and the neighborhood character they define. Secondly, the plan recommends that Saint Paul aggressively work to capture its share of an emerging market of smaller households, both new young households and older empty-nest households, many of whom have moderate or higher incomes, want to live in an urban environment and are currently unable to find suitable options in Saint Paul. Finally, the plan details a strategy for ensuring an adequate supply of safe, decent affordable housing to meet the needs of the city's • lower income workforce as well as those who need temporary or on-going community support. Comprehensiti>e Plan 7 ��-�o As does each chapter of the comprehensive plan, the Housing Plan explicit- ly acknowledges that Saint Paul is part of a regional system. The city both contributes to and draws from the strength of the regional ecology, econo- � my and housing market. As such, it depends on strong regional policy. Saint Paul will continue to look to the region for—and will continue to work with our regional partners to develop—a shared vision of the future and an equitable distribution of resources to be invested in making that vision a realiry. • • 8 ci%y rrJ sr. Pcrui Key Trends � � The major trends that shaped the discussion of and underlie the recom- mendations in this plan are as follows: Empty nest households flood the market. The baby boom is aging. Their nests are emptying and they are nearing retirement. In 2000, the leading edge of this population group wiil be 55. By 2010, projections are that there wiil be 210,000 more households over the age of 55 in the metropolitan region than there were in 1990. Their housing preferences include smaller units, less yard space, and higher security—all features associated with townhouse or other shared wall housing types. They are also demonstrating a taste for the conve- nience and vitality of urban living—being within walking distance of shopping, restaurants, parks, transit and cultural attractions. . 2. Rising numbers of young households and immigrant families cre- ate a sustained demand for modest cost housing. The combined effects of the "echo-boom," and continued in-migration of younger households suggest that there will continue to be a strong market for the city's rental housing and starter homes. Saint Paul's stock of historicaliy and/or architecturally significant older housing, much of it suitable for larger families, will continue to be in high demand. Compre�ensive Plan 9 �. -� 3. Rising values in many neighborhoods. Rental vacancy rates at an all time low. A strong economy, growing numbers of younger house- holds and no net growth in the number of housing units in the city for several years have already resulted in rising property values and the low- . est rental vacancy rate in recent history in many outstanding neighbor- hoods, whose value is well-recognized in the regional market. 4. Property values in some neighborhoods stagnant or falling. Data from the Ramsey County Assessor indicate that, while some neighbor- hoods have posted steadily increasing property values, other neighbor- hoods have been characterized by declining or stagnant values over most of the past decade. 5. Poverty is persistent. Despite the strongest economy in a generation, a significant number of househoids continue to depend on subsistence level wages or public assistance. The Department of Housing and Urban Development estimates that there are just over 7700 renter households in Saint Paul with incomes below 30 percent of the regional median ($16,988 for a family of four) who pay more than 50 percent of their incomes for rent. Half of them are non-elderly family households while the other half are either elderly househoids, single persons or unrelated persons living together. � �� 10 Ci�j,F Qf 3d. I'QVl 99-90 Strate�y 1: Take Care of ` � What We Have Most of the current and future residents of Saint Paul will live in the city's existing housing stock. While it is aging, on-going investment has resulted in a generally high level of quality in many neighborhoods across the city. In other neighborhoods, however, a pattem of disinvestment has yielded deterioration of the housing stock and declining values. Maintaining—and, where necessary, repairing—what is here now may be the most important thing the City and its partners can do to encourage new investment in existing housing and the production of new units. It is, in large measure, the sense of place created by the pattem of our streets and blocks, the style and scale of our existing housing stock, the proximity and walkability of our neighborhood commercial districts and the beauty of our natural amenities that attracts new residents and inspires the loyalty of those who are already here. � To affirm and strengthen its existing neighborhoods and their housing stock, Saint Paul should: 4.1 Continue and eacpand efforts to enhance the city�s �aditional neighborhood design. Much of what attracts people to live in Saint Paui relates to the physical features of its neighborhoods. They value and want to retain its charac- ter as a traditional city. Preserving that character is especially challeng- ing when there is likely to be significant redevelopment and new con- struction that needs to be integrated into the existing city fabric. The City's Land Use Plan includes a series of policies designed to support these efforts. Key neighborhood features that should be strengthened through the preservation and production of housing include: a. A mix of land uses and a broad range of housing types; b. A sufficient density of housing and related land uses to support mass transit; and • c. Quality architecture and landscaping to define the streets and other public spaces. Camprehensive Plan 1 i 4.2 Continue a commitinent to the preservation of historically and architecturally significant buildings and neighborhoods. The City, the Heritage Preservation Commission and their neighborhood � partners should continue to identify and pursue opportunities for both the formal designation of significant sttuctures and neighborhoods and general public education on the importance of conserving the traditional character of each neighborhood. 4.3 Step up code enforcement matched with additional resources for repair and rehabilitation. Saint Paul knows what works when it comes to maintaining the physical condition of a neighbarhood. When resources are available for intensive, consistent and universal inspection and enforcement and to assist owners in making necessary improvements, the condition of properties in a neigh- borhood is improved. A complaint-based system that relies on the initia- tive and persistence of a neighboring property owner is less effective. Therefore: a. Additional resources should be devoted to the existing code enforce- ment unit to be used in partnership with neighborhood based improve- ment efforts such as sweeps, Weed and Seed, and residential street � paving. b. The use of administrative fines, rather than the current staff-intensive system that involves a series of wamings and re-inspections, to enforce the provisions of the Housing Code should be explored. c. City staff should work with the Housing Court to determine how best to achieve a higher success rate in achieving compliance with the Housing Code. d. Additional resources should be identified and used in partnership with those code enforcement efforts to assist property owners to make the necessary repairs and improvements before there is significant deteriora- tion. � 12 Crty� rt}`St. Pcrul -�j�i- 40 4.4 Strategically focus efforts to stem deterioration and declining values. • To the extent possible, funds available for residential rehabilitation should be focused on specific neighborhoods and coordinated with pub- lic infrastructure investments in order to achieve the masimum possible impact and leverage the greatest possible private investment. Through neighborhood-based planning processes, district councils, CDCs, busi- ness associations, block clubs and other key stakeholders should be invoived in both the selection of focus areas and the development of the capital investment program. 4.5 Improve management and maintenance of rental property. Among the most wlnerable residential structures in the city's housing stock are its rental properties. Strategies to identify, train and support quality property management services in order to ensure ongoing maintenance and systematic investment should include: a. Financial incentives (e.g. rental rehab funds) or reduced inspection fees for well managed properties. b. Additional certificate of occupancy requirements associated with � management practices. c. Mechanisms to place vulnerable properties under community man- agement and to build the capacity of community based organizations to provide that management. d. Training and mentoring for new and prospective landlords. �� Comprehensive Plan 13 Strate�y 2: Meet New �t Market Demand � � Those older households from which the children have moved on, and the younger ones that they haven't yet joined, represent the most active, expanding segment of the area housing market for at least the next decade. Households in this market are looking for altematives to the single family home with its own yard: townhouses, condominiums and other properties more easily maintained or left for a week of travel. A portion of this market, particularly at the younger-household end, is a rental market. Housing of these types fits well in the urban environment, an environment that many Saint Paul households don't want to leave, and that more and more new households and older suburban households are finding attractive. This mar- ket represents a significant opportunity to increase and further diversify city and neighborhood populations in Saint Paul, improve the tax base, gener- ate consumer support of neighborhood and city business districts and enhance the potential for good public transit. 5.1 Encourage the production of 300-400 housing units a year i that can be sold or rented to smaller households�ither new young households or older empty nest and senior citizen house- holds--in both the downtown/riverfront azea and on sites throughout the city. Major redevelopment sites in the river corridor and in the downtown represent the best opportunity for the construction of about half of these units — a total of up to 3000 units over the next 20 years. These sites have the unique advantages of providing immediate access to natural and cultural amenities as well as existing and proposed transit services. In both cases, a significant number of new households would balance the high visitor population with a 24-hour a day community, support existing and new retail seroices, and enhance the security and vitality of the area. The remaining units could be constructed on smaller sites within each of the city's neighborhoods or created within existing larger structures. To encourage the construction of new units, the City should: a. Assist potential developers, when necessary, in the assembiy and . clean up of land and the construction of infrastructure. This should include devising mechanisms to more easily transfer the ownership of 14 Cl�y o}' St. Piti71 9� -90 • tax-forfeited properties to community development corporations or other community based organizations for redevelopment. � b. Work with potential developers and the surrounding neighborhoods to ensure that the new structures contribute to the overall quality of the neighborhood. Through its participation, the City will encourage compact and mixed use development with ready access to transit and in proximity to employ- ment, retail services, parks and open space. c. Provide gap financing when necessary to: i. Address extraordinary costs associated with the development of a particular site; ii Support particular amenities of concem for the neighborhood or the City; or iii Ensure that a portion of the units are affordable to households with incomes at various levels below 80 percent of the regional median (e.g. 30%, 50%, 60%). d. Identify and allocate resources to neighborhood-based non-profit . developers to support their efforts to produce or rehabilitate housing. Funds should be made available for soft costs such as architectural fees, market studies and environmental analyses under agreements that Figure A Potential Housing Development Sites Comprehensive Plcxn �y would require that the funds be repaid when permanent project financ- ing is secured. 5.2 Promote good design solutions for housing that meets newer • mazket needs and complements eldsting Saint Paul neighbor- hoods, designs that use the smaller development sites creatively and that provide for housing in mixed-use neighborhood centers. The City and its neighborhood development partners should promote quality architecture and urban design that result in appropriate scale, relationship to the street, meaningfui open spaces, and careful treatment of parking. 5.3 Encourage the production of rental housing. Rental vacancy rates hovering below 2 percent betray a housing market where the price of rentai housing is constantly being bid up by demand that outstrips the available supply. This has the greatest impact on those with the least amount of economic choice, but it has some impact on virtually everyone looking for rental housing in today's market. There are few incentives for owners to hold down rents or to invest in or even ade- quately maintain their properties. Adding to the supply of standard quali- ty units wili give consumers the option of choosing something other than � a poorly maintained unit. That will, in tum, encourage property owners to invest in upgrading their properties and/or reduce rents in order to successfully compete in the marketplace. Specifically, the City shouid: a. Advocate for additional reforms of those State tax provisions that dis- courage the construction and ownership of rental housing. b. Encourage major employers to invest in the production of rental hous- ing to serve their workforce. c. Seek commitments from developers and owners to ensure that prop- erties will be designed, constructed, maintained and managed as assets to the surrounding neighborhood. d. Promote the establishment of management cooperatives that encourage shared responsibility for the maintenance and upkeep of the properry. • 16 Clty� of St. PcFUI r/�i- 40 5.4 In the conshuction of ownership and rental housing, encour- age a diversity of building and unit types to meet the diversity of � the mazket. Paxticulaz attention should be paid to assessing and meeting the needs of a growing numbee af older persons who aze looldng for alternative housmg in their own neighborhoods. The aging of the population, the continuing growth and diversity in the immigrant communiry and the increasing numbers of people workin� out of their homes all point toward a demand for different types of hous- ing. Working with its partners in the design and development communi- ties, the City should actively encourage innovations that will allow Saint Paul to meet the needs of new and growing segments of the housing market. Households over the age of 65 represents a particularly important market segment. Designing living spaces that will be adaptable to changing physical abilities will extend the usefulness of the housing stock over the entire life cycle. 5.5 Encourage innovative development through regulatory reforms. • Higher density mixed use developments of the kind envisioned by this plan and the Land Use Plan are not always supported by the City's cur- rent regulatory policies. Therefore, in addition to participating in the planning process, the City, in discussion with the district planning councils, should explore the follow- ing regulatory measures: a. Streamlining the zoning approval process for new types of develop- ment. This might involve the use of overlay zoning districts with provi- sions that make high-quality attached housing easier to provide. Such districts would be applied to appropriate sites or areas as a result of neighborhood planning and would provide both safeguards for a neigh- borhood in design guidelines and quality standards, and a more work- able approval process for builders. b. Amending the zoning code to allow for more efficient use of existing larger single family owner-occupied homes and lots by allowing the establishment of accessory residentia] units or structures, offices or small commercial enterprises. � Corng�rehensii�e Plcan 17 5t�ate�y 3: Ensure � Availability of Affordable � Housing A generally stronger housing market, the almost total absence of any new production of rental housing in any price range, and the reduction in federal funding for rentai assistance are all putting pressure on the portion of the city's housing stock that is affordable to lower income households. In some instances, the price of that housing is being bid up to the point where it is no longer affordable. In others, lack of continuing investment has resulted in physical deterioration and demolition. The production of new affordable housing units has been limited in recent years to for-sale units affordabie to only a fairly narrow segment of the lower income popu- lation. The availability of safe and decent housing affordable to households who earn low or modest wages is critical to both the economic health of the community and the welfare of those households and their neighborhoods. Businesses, to be successful, need ready access to a pool of potential . employees. The absence of safe, decent and affordable housing nearby— especially in a tight labor market—mitigates against their being able to find and attract those employees. Furthermore, there is clear and convincing evidence that individuals and families who have stable housing are healthier and are more successful at work. Their children do better in school. As a result, the neighborhoods they live in are safer, stronger and more likely to be strong centers of com- munity ]ife. The need for such affordable housing exists throughout the metropolitan region. Relative to most communities, Saint Paul has a large supply of well-managed low cost housing. Since there are challenges to that supply, preservation is the City's primary objective, though the construction of new low-cost units will be required as weil if redevelopment is to meet the needs of Saint Paul neighborhoods. Saint Paul's strategy relative to affordable housing rests on a series of inter-related initiatives that emphasize preservation, provide for new con- struction, and encourage much more adequate provision of housing opportunities throughout the region. Encouragement of new rental hous- � ing generally, as discussed above, aiso will contribute to meeting the need. 18 cisy� csf sf. Paul �l�'r- �l0 � Specifically: � 6.1 The City challenges the region to ensure that each metropoli- tan coaununity provides a full range of housing choices in order to meet the needs of households at all income levels. The two central cities will always have more than a proportionate share of the region's lower cost housing. It is to the cities that young people come to go to school, get their first job or buy their first home. It is to the cities that immigrants first come to settle into a new land. It is in the cities that people who rely on public transportation find the best service. Indeed, the vitality of cities depends on the mix of ages, incomes, family types, races and ethnic groups—and the mix of structures that house them—that isn't found in suburban communities. In recent years, however, the share of the region's lower cost housing that is located in the central cities has been growing. That has meant fewer choices for lower income households and fewer workers for sub- urban businesses. It is the trend of increasing centralization—and fewer choices—that should be reversed. Specific measures that the City will support include: a. The Legislature should commit additional funds to the Metropolitan • Livable Communities Demonstration and housing accounts as an incen- tive for suburban and stronger centra] city communities to produce affordable housing. Comprehensi��e Pfan �g b. Successful applicants for regional funds should demonstrate a plan to produce housing units affordable to households with incomes below 50 percent of the regionai median. . � c. The Saint Paul HRA shouid seek partnerships with suburban commu- nities to offer their e�cpertise in the production of quality affordable hous- ing. Federai funds allocated to implement the Hollman Consent Decree represent a valuable means of financing such development and should be tapped. d. To the extent that incentives are not successful in encouraging the pro- duction of additionai affordable units in suburban communities, the City of Saint Paul should support the design of regional requirements and/or metropolitan resource sharing mechanisms to stimulate production. e. Under the leadership of the Metropolitan Council, efforts are being made to develop—and securing funding to support—a regional replace- ment housing policy and program. Saint Paul supports these efforts. 6.2 The City should work with its public, private and plulanthropic pamiers to identify and secure significant additional resources to enable the preservation and construction of affordable housing, both within the city and throughout the region. � The process of financing the construction, rehabilitation, maintenance and management of affordable housing has undergone a fundamental change over the past two decades. Between World War II and the mid- 1980s, the federal government played the central role in either construct- ing or stimulating the market to construct affordable housing. Today, except for a modest number of federal tax credits allocated to each of the states, the federal role is confined largely to maintaining a limited Section 8 rental subsidy program and supporting existing public housing developments. The challenge far states and local governments, then, is to either seek new federal commitments or to identify alternative sources of funds—or both. with its partners, the City should: a. Lobby for the e�cpansion of federal and, especially, state financing for the construction and preseroation of affordable housing throughout the region. b. Identify new local resources that can be used to leverage additionai public and private financing. HRA resources and the STAR program both • represent flexible fund sources that can and should be tapped by Ciry policy makers. 20 Cft� of Si. Pnul c. Leverage private and philanthropic financing of either individual developments or of a development fund devoted to the preservation and • construction of affordable housing. 6.3 Preserve eaasting federally assisted housiag. Federal govemment programs that encouraged the production of lower income housing since the 1950s have been very successful in Saint Paul. The 4300 units built, owned and managed by the Public Housing A�ency are an important component of the city's housing stock as are the almost 7000 units constructed over the last three decades by private developers with various federal incentives. The agreements whereby many of the privately developed units were constructed, however, included provi- sions that allow an owner to prepay the balance of the mortgage after a specified number of years and convert the units to market rate. As the rental market in the "Itvin Cities has heated up, more owners are indicat- ing their interest in pursuing that option. To preserve and improve federally assisted housing units in Saint Paul, the City will: a. Continue to partner with the MHFA, Metropolitan Council Family . Housing Fund and Home Loan Bank in the Interagency Stabilization Group to improve and preserve the affordability of all of the privately- owned federally assisted units—at least until such time as there is suffi- cient production of new rental units to make up for the loss. Indeed, the preservation of these units represents the highest priority for the use of federa] lower income tax credits allocated to Saint Paul. b. Update its standards for the operation and maintenance of the afford- able housing projects it supports through stabilization activities. In the majority of cases, these projects are owned and operated by a third party—either a nonprofit organization or a for-profit corporation. In order to be successful over the long-term, management of these proper- ties must be highly professional. The Saint Paul Public Housing Agency (PHA)—nationally recognized for its high quality management and oper- ations—follows strict policies for tenant screening and behavior. The City should do the same. The City, with advice from the PHA, needs to devel- op a similar set of policies for the projects it underwrites and provide technical assistance to help managers enforce them. c. Continue to support the Public Housing Agency's efforts to secure the necessary resources to modemize and maintain the city's stock of public i housing. �I Compreherisive Plan pi �i�-9c7 d. Support the Public Housing Agency in its efforts to secure additional Section 8 certificates and vouchers from the federal govemment. e. Eaplore mechanisms to make better use of Section 8 subsidies by � linking them with both community based efforts to improve existing housing and with various human services programs designed to promote self-sufficiency. 6.4 Among the 300-400 units of housing to be constructed each year, 60-80 should be affordable to households with incomes below 8o percent of the regional median, with at least half of those to be affordable to households with incomes below 50 percent of the regional median. In the event that the total num- ber of units constxucted falls short of 300-400, affordable imits should represent 20 percent of those that aze constructed. While the high cost of new construction, the limited availability of sub- sidy funds and the City's need to eacpand its tax base mean that much of the housing built in Saint Paul will be rented or sold at market rates, the City and its partners should commit themselves to adding to the supply of decent, safe and affordable housing through new construction. To that end, the Ciry should encourage the development of housing � affordable to households with incomes below 50, 60 and 80 percent of the regionai median by: a. Investing public financing in developments where up to 20 percent of the units are reserved for households with incomes below 80 of the regional median, with half of those for households with incomes below 50 percent of the regional median. Developments in neighborhoods with little affordable housing and strong housing markets should be encour- aged to provide 20 percent of their units to lower income households while those in weaker markets should be asked to provide a smaller share. b. Supporting the efforts of Habitat for Humanity and other philanthropic organizations in their production of 25 homes a year affordable to households with incomes below 50 percent of the regional median. c. Seeking out—and providing addi6onal incentives to--developers will- ing to take advantage of federal revenue bond programs that offer four percent tax credits in return for the construction of rental projects in which at least 20 percent of the units are affordable to households with incomes below 60 percent of the regional median. � 22 City� oJ St. Paui 99-90 d. Promote altemative ownership and financing mechanisms such as community land trusts, limited equity cooperatives and condominiums, � nonprofit ownership of rental housing, mutual housing associations and deed restrictions that are designed to ensure that the housing remains affordable for an extended period of time. e. Improve the process whereby vacant publicly owned land is trans- ferred to community-based development corporations with plans to pro- duce housing affordable to lower income households. In encouraging and designing each proposed development, the City should: a. Encourage the carefut integration of the affordable and market rate units in the earliest stages of financing and design. b. Work with interested partners to develop innovative designs for affordable housing that will ensure that it both meets the needs of lower income households and makes a positive contribution to the surrounding neighborhood. Including a mix of housing types, to include traditional— and less expensive—apartment buildings, may allow for the production of more units than does the current reliance on 3-bedroom townhouses. . c. Reconsider with our funding partners policies that reserve public financing exclusively for housing designed for families. The aging of the city's population and the value in encouraging older households to make their larger homes available to larger family households merits a re- examination of those policies. 6.5 The city should make minor amendments to and reafPum its commitment to the Replacement Housing Policy outlined in Chapter 93 of the Administrative Code. Existing policy requires that city agencies proposing the demolition of conversion of affordable rental housing shall provide the city council with an afordable rental housing analysis outlining the impact of the pro- posed project on the availability of such housing in the city. Under cer- tain circumstances, including when there has been a net loss of afford- able rental housing units (those affordable to househotds with incomes below 55% of the regional median), the director of PED shall recommend the replacement of units slated to be lost. The city Council has final responsibility for approving, amending or rejecting that recommenda- tioin. If the Council determines that units should be replaced, adequate funds to finance Yhe consYruction of those replacement units within three � years shall be approved by the agency proposing the project. Compreherrsia�e Plan 23 Inasmuch as the ordinance was adopted in 1989 and has not been revised since then, any issues relative to its implementation should be identified and addressed as part of the process of implementing this � plan. 6.6 Support a variety of mitiatives that will allow lower income households to move into homeownership. While not all households may want to or be suited to be homeowners, with historically low mortgage interest rates, homeownership may be both the most affordable housing option and the best altemative for overall neighborhood stability. Both the City and the Public Housing Agency have been successful in administering federally-funded rent-to- own programs that provided a full range of supports to lower income households as they moved into homeownership. Toward this end, the City should support and strengthen: a. Purchase/rehab and refinance/rehab programs b. Programs to encourage owner occupied duplexes c. Philanthropic and self-help efforts such as Habitat for Humanity and the Builders Outreach Foundation � d. Mortgage assistance and high risk lending pooLs—especially those that are designed to allow current residents of neighborhoods undergo- ing redevelopment to remain in their neighborhoods. e. Alternative economic models (cooperatives, land trusts and the like) that preserve affordability beyond the first owner of the property. f. Pre-purchase counseling and most-purchase mentoring to increase the probability that a first time homebuyer will be successful. g. Services to those contemplating the use of contract for deed financing to encourage them to explore alternatives for converting contracts for deed into conventional financing at the earliest point in time. 6.7 Link services with affordable housing. Among the ways of making more efficient use of a limited supply of affordable housing is working with residents to help them achieve a level of economic and social well-being that enables them to secure market � rate housing as quickly as possible. When they do, the affordable unit is available to another household. 24 Cit;� c�j St. Ptaul g�-�o To that end, the City should: a. Encourage partnerships between providers of affordable housing with • providers of education, job training, parent and early chiidhood educa- tion, and health care. The Wilder Foundation's Roof Project is a �ood model. b. Continue to make inkind contributions such as space and recreation, library and public health services where appropriate. c. Encourage churches and civic organizations to offer mentoring oppor- tunities to their members and residents of affordable housing. 6.8 In partnership with Ramsey County and other private and non- profit agencies, nnplement the provisions of the Saint Paul/Ramsey County FYve Housing and Homeless Services Plan as it is adopted by the City Council. Key recommendations of the Plan include: a. Establishment of a St. Paul/Ramsey County Landlord-Tenant Education and Dispute Resolution Center. b. Development of 250 units of transitional housing and 650 units of per- � manent supportive housing throughout the county, serving single adults, families and youth. c. Creation of a Funders Council to coordinate and streamline services for those who are or are at risk of being homeless. 6.9 Expand the options available to the City and its par�ners in responding to the issues presented by privately-owned reniai housing units. Many of the structures that provide rental housing affordable to lower income households in Saint Paul are smaller (1-4 unit) buildings owned by landlords who own relatively few buildings. They are the kinds of structures that are at highest risk of becoming "problem properties" or vacant buildings and, yet, maintaining them in good condition represents the most cost effective way of providing affordable housing. The City and its partners have very few tools, however, that are successful in stem- ming the deterioration of these buildings when the owner, for whatever reason, can't or won't any Ionger adequately maintain them. In some instances, when the structures themselves have outlived their useful life, demolition and redevelopment is the best option. In other cases, howev- � er, condemnation and demolition through the nuisance abatement Comprehensit�e Plan 25 process is the only available tool and housing units are needlessly lost. For those, additional tools that allow an intervention earlier in the disin- vestment process should be developed. . • The Plan, specifically, recommends the following: a. The City should work with various partners to e�cplore the dynamics of small rental buildings and determine the most effective incentives and sanctions to ensure continuing maintenance and upkeep. The analysis should include an assessment of why current rental rehab programs are generally under subscribed by property owners. b. Particular effort should be devoted to identifying ways to support owners of both large and small rental buildings who are successful in maintaining and managing their buildings. Reduced inspection fees and additional tax incentives merit exploration. c Additional resources for the rehabilitation of rental properties should be identified and invested in ways that encourage property owners to provide units that are suitable for and affordable to lower income house- holds. d Current efforts to provide and require tenant and landlord training should be expanded. That training should include an introduction to • community human service providers who are prepared to support lower income tenants in their efforts to achieve financial self sufficiency. e. Incentives that encourage owner occupancy of small rental buildings should be designed. � 26 c�ry ojs£. Paul Implementation � � Qs a policy plan with a 10-20 year horizon, this plan does not and cannot offer specific direction on how many of what kind of units should be con- structed or rehabilitated in what neighborhood with what type of funds. Market conditions change rapidly. Funding sources come and go. Opportunities arise. And, most importantly, the City is not the only imple- mentor of housing policy. Housing policy, indeed, is in the hands of public and private agencies and organizations at the neighborhood, city, regional and state ]evels. The chailenge is to draw together a cotlective effort-on an on-going basis-toward meeting the community goals and strategies articu- lated in this plan. The following procedure for developing annual implentation plans is rec- ommended: 7. i In collaboration with its partners, the City should develop an annual Housing Action Plan. • The Department of Planning and Economic Development, with the assis- tance of the Local Initiatives Support Corporation (LISC), should annually convene a task force with balanced representation from public agencies, private funders, for-profit and non-profit developers, and housing and neighborhood advocates. The task force should be responsible for devel- oping and recommending to the City Council by October 1 of each year a HousingAction Plan that shall include at least the following: a. Goals for the production of housing units by price range; b. Goals for the rehabilitation of existing housing units; c. Goals for the provision of mortgage financing by the City; d. Identification of expiring Section 8/236 contracts and plans for their preservation; e. Identification of lead implementing organizations and funding sources for each of the above; � f. Identification of key zoning studies that should be initiated by the Planning Commission; Camprehensive Plan 27 99-9z� g. Identification of neighborhood plans or studies that should be under- taken in anticipation of potential development or redevelopment; h. Federai, state and city legislative initiatives related to housing policy; • i. Report on the e�tent to which the previous year's goals were met; and j. Appropriate amendments to this plan. 7.2 Convene the Housing Coordination Team A senior staff person in the Department of Planning and Economic Development shall be named to convene the Housing Coordination Team, composed of representatives from the key public agencies with housing responsibilities, on a monthly basis. The Housing Coordination Team shall be responsible for monitoring the City's progress toward meeting its goals, as identified in the Housing Action Plan, and for identi- fying and addressing key issues as they arise. The Team, through its members, shall also be responsible for maintaining appropriate data for the purpose of developing the Action Plan. � U � 28 c�t� of st. Paul �i9-9d Appendix � � Biaseline data that have informed the process of preparing this Housing Plan include: • Saint Paul is growing. The size of its population grew slightly (+2,005) between 1980 and 1990. Conversations with the school districYs demog- rapher in 1997 revealed that there had been a 50 percent increase in the school age population on the near east side since the beginning of the decade while numbers in the city�s westem neighborhoods remained constant, suggesting a continuing increase in population since 1990. • Most of the anticipated changes in Saint Paul's population will be deter- mined by the aging of the baby boom (the leading edge of the twenty- year population bulge will be reaching 55 in the year 2000), the tendency of young people to come to Saint Paul to go to college and find their first job, and by the continuing impact of the in-migration over the past two decades of people originally from Southeast Asia. The substantially � younger age profile of the Southeast Asian community suggests a signifi- cant natural population increase over the next twenty years. Saint Paul's Southeast Asian Population 1990 Census (Asian and Pacific Islander) 18,996 1997 Ramsey County Estimate (Hmong/Vietnamese/Cambodian) 30,500 L � Total Population by Age - 1990 Age Persons Pct 0-9 42,561 15.6% 10-19 32,309 11.9% 20-29 52,946 19.4% 30-39 49,905 18.3% 40-49 28,971 10.6% 50-59 18,364 6.7% 60-69 19,913 7.3/ 70-79 16,939 6.2% 80+ 10,327 3.8% 272,235 Source:1990 Census Comprshensive Plan 29 Asian/Pacific Islanders by Age - 1990 Age Persons Pct 0-9 7,043 37.1% 10-19 3,658 19.3% 20-29 3,133 16.5% 30-39 2,347 12.4% 40-49 1,175 6.2% 50-59 774 4.1% 60-69 511 2.7% 70-79 295 1.6% 80+ 62 0.3% I 8,998 Source: 1990 Census • Metropolitan growth management strategies are designed to direct antic- ipated regional growth to the central cities. By 2020, Saint Paul's popu- lation is expected to increase by 9000 households over its 1990 level, assuming that the city is prepared to accommodate it. It is anticipated that 3000 of those households will be housed in the existing units (in units that were vacant in 1990) while the remaining 6000 will be housed in newly constructed units. � • The city is almost fuily developed. All but fourteen percent of the city's � 56 square miles are already developed and will likely retain their current uses over the neact twenty years. Many of the remaining 5000 acres are characterized by poor or contaminated soils, steep slopes or other impediments to development. It is projected that the 6000 new units to be added to the housing stock before 2020 will be built on about 230 acres of vacant land, aimost half of which are in the downtown and the e�ended river valley. • About half of the city's existing housing units are single family structures, while the remaining half are spread equally among small, mid-sized and larger multi-family structures. Number and Percent of Dwelling Units by Type Type of Structure Units Percent Single family 60,754 52% lbvo family 11,480 10% 3-4 family 5,982 5% 5-9 family 5,330 5% 10-19 family 11,471 10% 20-49 family 8,906 8% � 50 or more family 12,577 I 1% Source:1990 Census `�� L1Z3� O�' SC. PCI[I� �/9 9d Because of the limited availability of land for development, and the growing demand for smaller attached units, it is projected that about 80 percent of • the 6000 new units to be constructed will be either added to existing struc- tures or will be in structures of two or more units. • Though aging (half of the city's housing units were built before 1944) the condition of the city's housing stock appears fairly stable. There are few indicators of significant disinvestment. The percentage of units that are owner occupied remains fairly constant-53.9% in 1990; there are rela- tively few vacant and boarded buildings and the level of reinvestment remains constant. • Rental housing is becoming less affordable for Saint Paul residents—and less available. The rental vacancy rate has remained below 3 percent for at least two years. Median rent, adjusted for inflation, rose 27.3% between 1980 and 1990. Renters paying at least 30 percent of their incomes for rent increased from 38.5% to 45.8% over the same period. Renter Household Income by Rent as a Percentage of Income - 1989 Households with Households with Households with Rent Less than Rents 20-30% Rent More than xousehold income 20% of income of income 30% of income Less than $10,000 S $10,000-19,999 $20,000-34,999 $35,000-49,999 $50,000 and over All Renter Households Source:1990 Census 430 893 4735 3808 2723 12,589 3.0% 6.5% 35.3% 76.0% 93.1% 25.5% 2303 3903 6701 1069 203 14,179 16.2�0 28.2% 49.9% 21.3% 6.9% 28.7% 11,490 9025 1980 137 0 22,632 80.8% 65.3% 14.8% 2.7% 0% 45.8% • The inventory of assisted rental housing units in Saint Paul includes: Public housing units: q,298 Tenant based Section 8 Certificates/Vouchers: 3,427 Privately owned/federally assisted 3,524 Privately owned/state and local assisted 6,846 TOTAL 14,746 Most of these are occupied by households with incomes below either 30% or 50% of the regional median. "I�pically, households pay no more than 30 percent of their incomes for rent. C� Comprehensis�e Plan 31 Credits The Saini Paul Pianning Commission Gladys Morton, Chair* Esperanza Duarte* )ennifer Engh* Carole Faricy Litton Field, Jr. Anne Geisser, Chair, Comprehensive Planning Committee� Dennis Gervais Steve Gordon GeorgeJohnson Soliving Kong Richard Kramer* 'IYmothy Mardeil" Michaei Margulies David McDoneil* Cathy Nordin*, Co-chair, Housing Plan Committee Dick Nowlin* Michael Sharpe* Imogene Treichel*, Co-chair, Housing Pian Committee Mark Vaught Barbara Wencl* *Comprehensive Planning Committee Norm Coleman, Mayor The City of St. Paul City Council )ay Benanav )erry Blakey Dan Bostrom, President Chris Coleman Mike Harris Kathy Lantry Jim Reiter Department of Planning and Economic Development Pamela Wheelock, Director Tom Hanen, Northwest Team Leader Ken Ford, Planning Administrator Beth Barte, Planner Nancy Homans, Planner Report Production Jean Birkholz, Secretary Kristi Kuder �� LJ a 32 Cit�� of St. Pcrul ��i 1� �� b � f�'�^-" S, \ 1 1 1 Council File # � q� Q� o � � ^ � (� ( ^ � � p _ „ � Resoluii 1J � Y H v �� tita�, � ��„��,�� 3� �- �a�,�`�� Sheet # G 3S RESOLUTION CITY OF SAINT PAUL, MINNESOTA �� dl� � z� Presented By Referred To Committee: Date Saint Paul Housing Plan WfIEREAS, the Planning Commission has recommended the Saint Paul Housing Plan as a chapter of the updated Saint Paul Comprehensive Plan, and WHEREAS, the Saint Paul Housing Plan was the subject of a public hearing before the City Council and the Plamiiug Commission on December 7, 1998, and 9 WHEREAS, the Saint Paul Housing Plan outlines the City's policy related to the maintenance, preservation 10 and production of its housing stock in order to meet the needs of households of all incomes who currently live 11 in the city or who may be attracted to move here; and 12 � WHEREAS, under Minnesota Statutes Chapter 473.864, Subd. 2, Saint Paul is required to update its Comprehensive P1an regularly and to submit an updated P1an by the end of 1498 (or to an extended date); 15 16 NOW, 'I`IlEREFORE, BE IT RESOLVED, that the City Council of the City of Saint Paul adopts the Saint 17 Paul Housing P1an as an amendment to the Saint Paul Comprehensive Plan contingent on further review by 18 adjacent communities and the Metropolitan Council; and 19 20 BE IT FURTHER RESOLVED, that the Saint Paul Housing Plan replaces the Housing Policy for the 1990s, 21 adopted on September 20, 1990, as the housing chapter of the Saint Paul Comprehensive Plan. Requested by Department of: Xarris Date ��_�� by Council SeCretary Plannin E nomic Deve o met � By: � Form ApF Approvec 9 � Council File # 9 q - �Q Green Sheet # 35 RESOLUTION CITY OF SAINT PAUL, MINNESOTA Presented Referred To Committee Date �� o � l�a` aJJ °-�, � ��.-s � � �------�, � "R"�.o.�.,�� y \ � � �_ ��°-^�� '��5� �, w�-�,�, � 6.,�4._� ."� ��' � \ �-;�-�, �-- 1 �\ , \��1.`t , \l Requested by Deparhnent of: � Form Approved by City Attomey � Adopfion Certified by Council Secxetary Appioved by Mayor foT Submission to Council By: , � ---�BY� Approved by Mayor: ate � Adopted by Council: Date -�-�„ ,_�. c�. �� and TOTAL#OFSIGNATUREPAGES Mayor Reco�endation �S�tn-f �G4-i.�-� City Council Adoption HDIJS � hGj �� J A PLANN�NG CAMMISSION CIB CAMMRTEE CIVIL SERVICE CAMMISSION A Staff Update of the Saint Paul Comprehensive Plan . GREEN SH ,J�'�M� ( � . . , � qq,_9a No ��5� ��..�,.�.� � u ��._ Q �.,,�, !3 �� ❑ �,� _ ❑ ..�,�, �. ❑ �.,�,.�� Q �,��.,�..w.� ❑ (CLIP ALL O�iS FOR StG _ ) �� Has a,is cersoMUn Hes this ''fL'9 Dnesthis n Isthis rtne uMer a contract far tfus departmeM't ver been a cnY emPbyee9 � a sKll � ortnaltypossessed by any curreM city employee7 ventloYl Additional major portions of the new Comprehensive Plan will be completed and these will meet update requirements in state 1aw. �� y�; �'�Z �: � i '�'" LT � None �� 12 1999 � 110UNT OF TRANSACTION S COSTfREYENUE BUDGETED (CIRCLE ON� YES NO SoURCE ACTNITVNUMBER p � INFORMflTON (IXPWN) °'�� JAN 131999 . � NR� �rne�l,�� o � � ( ay t� CITY COUNCIL AMENDMENTS TO THE HOUSING PLAN q`t -`�° ADOPTED 3/24199 1. Author Councilmember Blakey; Location page 10, insert fouRh paragraph: 6. Discrimination continues. Despite continuin¢ efforts on the �zrt of federal, state and local goveniments, bias continues to act as an impediment to a si�nificant number of home seekers in Saint Paul. 2. Authors Councilmembers Coleman and Lantry; Location page 12, insert fznal paragraph: 43 d. Additional resoittces she� must be idenfified and used in partnership with those code enforcement efforts to assist property owners to make the necessary repairs and improvements before there is significant deteriorarion. 3. Author Councitmember Benanav; Location page 13, insert at end: 4.6 Priorit�hall be given to projects that commit to the long-term affordabilityof housingunits. 4. Authors Councilmembers Coleman and Lantry; Location page 14, insert final paragraph: 5.1 a. [to encourage the construction of new units, the City should) make assistmg potential developers a riori , when necessary, in the assembly and clean up of land and the construcfion of infrastructure. This should include devising mechanisms to more easily transfer the ownership of taY=forfeited properties to community development corporations or other community-based organizations for development. 5. Authors Councilmembers Coleman and Lantry; Location page 16, insert fcnal paragraph: 5.3 b. Stron I encourage raajer local employers to invest in the production of rental housing to serve their workforce, on their own or in narinership with other businesses, government aeencies and nonprofit oreanizations. 6. Author Councilmember Blakey; Location page 19: 6.1a. �etts�ng: Encourase the Minnesota Leeislature to rnovide adequate fundin�for communities to meet Livable Communiries goals for affordable housin¢ and to adopt the other provisions of the Metropolitan Council's Housine Reform Initiative includine an incenfive pr�am for communiries to lower housingconstruction costs associated with local requirements, a reassessment of the state buildine code, rental housing_resources for replacement housin¢ and rehabilitation, new rental housine resources, fundin� for homeless assistance, preservation of existine federallv assisted rental housine and sup�ort for new and rehabilitated ownershio housine. The Ciri also insists that the Metro 00 litan Council enforce a11 agreements to Urovide low-income housine in the municioalities that utilized public funds for infrastructure expansion since 1973. � � _�,o 7. Auihor Councilmembers Coleman and Lanfry; Location page 20, insert new ferst paragraph: b. The City and its oartners should encoura�e the Minnesota Leaislature to strengthen the Livable Communities Act to make it more likelv to have a real im�ct on the availabilitv of affordable housine for the metropolitan re¢ion. This is important eiven the results of ffie recent study bv the University of Minnesota Center for Urban and Re�ional Affairs which indicates that even if all the production goals of the Liveable Communities Act are met, the retion will still fall behind in affordable housingprovision b�comQetion of Livable Communitv Plans. [This amendment will cause the renumbering ofthe current 6.I.b-e to 6.I.c-f.J 8. Authors Councilmembers Coleman and Lantry; Location page 20: 6.2 [With its partners, the City should:] a. Lobby for the expansion of federal and, especially, state financing for the conshuction and preservation of affordable housing throughout the region. S�ecificallv the Citv will prouose for current and future legislative aeendas that the state double. thereby achievin� 1% of the state budget for housin , i� ts expenditures on housina bv sienificantly increasin� its appropriations for the Minnesota Housin� Finance Agenc�and for implementation of the Livable Communities Act. 9. Authors Councilmembers Coleman and Lantry; Location page 20: 6.2 [With its partners, the City should:] b. Identify new local resources that can be used to leverage additional public and private financing. HRA resources represent flexible fund sources that can and should be tapped by City policy makers. Additionallv. the CitY should dedicate one half of its Neighborhood STAR Proz�am revenue for housing development for at least the next two }�ears. 10. Author Councilmember Blakey; Location page 2I, insert second paragraph: d. The citv will lobby the Public Housing Asency�PHA) to create a nosition of ombudsmanladvocate at PHA, connected with communitv oreanizations. who can work with PHA clients to full explain their ri ts, responsibilities and housing options. The Housin� Information Office should work with appronriate service providers to develop and distribute�rinted materials or on-line resources related to available emergencv shelter and transitional housing services as well as to services available from the wide variety of advocacyor�anizations. 11. Author Councilmember Benanav; Location page 22: 6.4 Among the 300-400 units of housing to be constructed, a minimum of 20% or 60-80 should be affordable to households with incomes below 8A% 50% of the regional median, with at least half going to those to be affordable to households with incomes below 36% 30% of the regional income. In the event that the total number of units constructed falls short of 300-400, affordable units should represent 20% of those that aze constructed. While the high cost of new construcrion, the limited availability of subsidy funds and the City's need to expand its ta�c base mean that much of the housing built in Saint Paul will be rented or sold at mazket rates, the City and its partners should commit themselves to adding .- •,. to the supply of decent, safe and affordable housing through new construcrion. To that end, the City should encourage the development of housing affordable to households with incomes below 50;�8�-88 percent of the regional median income by a. Investing public financing o211�' in developments where �t�a a minimum of 20% of the units aze reserved for households with incomes below $8 50 ep rcent of the regional median income, with half of those for households with incomes below 36 30 percent of the regional median. Developments in neighborhoods with little affordable housing and strong housing markets should be encouraged to provide a minimum of 20 percent of their units to lower income households while tttose in weaker mazkets should be asked to provide a smaller shaze. 12. Author Councilmember Blakey; Location page 23: 6.5 The City shall follow the Replacement Housing Policy ouflaned in Chapter 93 of the Administrative Code. Existing policy requires that City agencies proposing the demolition of conversion of affordable rental housing shall provide the City Council with an affordable rental housing analysis outlining the impact of the proposed project on the availability of such housing in the City. Under certain circumstances, including when there has been a net loss of affordable rental housing units (those affordable to households with incomes below 55% of the regional median), the director of PED shall recommend the replacement of units slated to be lost. The City Council has fmal responsibility for approving, amending or rejecting that recommendation. If the Council determines that units should be replaced, adequate funds to finance the construcfion of those replacement units within three yeazs shall be approved by the agency proposing the project. Inasmuch as the ordinance was adopted in 1989 and has not been revised since then, any issues relarive to its implementation should be identified and addressed as part of the process of implementing the plan. 13. Author Councilmember Blakey; Location page 26, at end.• 6.10 Work to overcome bias in the housine mazket. The Citv recoe�izes that over thirt�vears have passed since the ori�inal enacrinent of the Federal Fair Housine Act prohibiting discrimination in housin� andyet bias continues to affect Saint Paul's racial and ethnic minorities, the disabled and families with minor children. The task of overcomingbias must be accepted as the joint responsibilitv of federal, state, countv and City_governments in coo�eration withprivate and non�rofit sectors. To this end the City will supnort: 1. Svstemic testina in the housina mazket to identify bias 2. Enforcement of Saint Paul's human ri�hts ordinance in respect to housing discrunination 3. Educational and outreach pro�rams directed towards housin�providers, including landlords, rental aeents, real estate sales personnel, mortgage lenders, nronertv annraisers and pronertv insurers 4. Outreach pro�rams directed towards neiQhborhood oreanizations and district r-t.`� -�D planninst councils to �romote,�assroots awareness of the Qroblem 5. Creation of a Saint Paul Fair Housine Council comprised of re�resentarives of citv �overnment, the private sector, communitv a�encies and the Minnesota Fair Housing Center which shall advise the City in its on�e, work to idenrify and overcome unlawful bias throu testing., enforcement, planning educarion and outreach. 14. Authors Councilmembers Coleman and Lantry; Location page 26, insen at end: 6.12 The Citv and its partners should fiirther explore �olicXoprions used by other major metronolitan azeas such as residential hotels, local trust funds develo�ed from a stream of revenues from real estate transacrion fees; zonin�chanQes like inclusionaryzoning or density requirements. 15. Author Councilmember Btakey; Location page 28, at end: 73 Fair Housin� Plannine. Staff assig,ned to convene the Housin� Coordination Team shall also be assimed to the Saint Paul Fair Housine Council, as idenrified in 6.10 above, and shall in cooperation with the Fair Housine monitor and evaluate the ci �'s proeress on an annual basis. The Council shall in cooperarion with assigned staff present its findings for inclusion in the Housing Action Plan and make such recommendations as mav be necessar� nrouer to fulfill the plan and meet obLctives towards buildine an inclusive communitv. � q4- Ro 3 CITY OF SAINT PAUL Norm Coleman, Mayor Apri15, 1999 Council President Dan Bostrom and Members of the City Council 310 and 320 City Hall 15 West Kellogg Boulevard Saint Paul, Minnesota 55102 Dear Council President Bostrom and Members of the City Council: l�e'�i� ., ,.��3.� Regarding: Veto ofyour resolution approving the Saint Paul Housing Plan with amendments (Couttcil File 99-90) I am returning to you, with my veto, Council Pile 99-90. I do so with considerable reluctance, because I believe we are in substantial agreement on most elements of the plan. However, those areas of the plan that substantially increase spending as a singular solution to the affordable housing issue are simply not acceptable. This administration has remained consistent in its belief that the solution to every problem is not to spend more money, but to become more creative and effective with the money we do spend. When I transmitted the Plan to you in January, I noted that it had been the subject of broadly based community discussions and that it recognized the importance of addressing the housing needs of households of all incomes — those who live here now and those who might be attracted to move into the City. The Plan is based on the premise that the City of Saint Paul has the opportunity to capitalize on a time of growth and change — a twenty year period of time that holds the opportunity of adding 2Q000 people to our population, 12,OOQ jobs to our employment base and 6,000 new units to our housing stock. I believe this future holds the promise of enhancing and preserving the character of our neighborhoods while acknowledging the changing demographics of our new millennium. The Plan emphasizes the importance of enhancing, maintaining and restoring the traditional charm of our neighborhoods, but suggests that new housing will be of a somewhat different character — a variety of smaller housing types that will prove attractive to young families starting out and older people wishing to downsize their lives as they approach and reach retirement. In other words, we can provide housing that will allow both our children and our parents to live in Saint Paul. 390 CiTy Hall Telepiwrse: 651-266-8510 ISWestKelIoggBoutevard Facsimite:651-26b-8513 Saint Paul, MN SSIO2 ,.,._ _ , ` . '^ ."'d:� , � g4-�b Members of the City Council Page Two Apri15, 1999 At the same time, the Plan emphasizes the importance of maintaining our commitment to affordable housing and making reasonable additions to the supply of affordable housing in our communiries. Although Saint Paul is home to only 13 per cent of our region's population, we provide 20 per cent of our region's affordable housing. By suggesting that 20 per cent of new units constructed in our City should be affordable, the proposed Plan represents a significant step beyond the policy adopted by the City ten years ago without unreasonably increasing the financial and social burdens of building and maintaining affordable housing. The proposed Plan recommended that half of the additional affordable housing constructed should be affordable to households with incomes at or below 80 per cent of regional median income ($43,000 for a family of three) and half should be at or below 50 per cent of regional median income ($28,600). Staff estimates that the additional cost of constnxcting these additional affordable housing units will total some $900,000 per yeaz. Furthermore, we estimate t}tat preserving and maintaining eatisting affordable units will cost about $2,000,000 per year. Thus, implementing the Plan as proposed would cost approacimately $3,000,000 per year. (Please note that these numbers represent direct City expenditures, not total development costs.) At your meeting March 24, you amended the proposed Plan to suggest that ten per cent of our new housing units be made available to households at or below 50% of inedian income and ten per cent should be made available to households at or below 30% of inedian income. The City Council's proposal increases spending of more than $3 million per year to somewhat more than $5 million. This is not acceptable. Affordable housing is an important issue, however, I take exception to your position that other housing issues in the City should, be viewed as less critical than affordabie housing. Quite frankly, affordable housing is not a"crisis" issue at this time in Saint Paul that requires massive public spending to "fix" it. Other housing issues are critically important, too. Yet, as I look upon the horizon as to other issues which may impact our community, I believe we must be wiser in our investment of funds and recognize the long-term concerns of our City as opposed to an oveneaction that will cost taxpayers millions of dollars. As I explained in my State of the City address last month, I have been convinced by former Mayor George Latimer and other housing advocates that the income levels proposed by the Planning Commission were too high. I suggested that we make 20 per cent of our new housing units available to households with incomes at or below 60 per cent of regional median income ($34,320). I propose this as a compromise to you as well. R 9-go Members ofthe City Council Page Three Apri15, 1999 In place of your amendment 11 (see copy attached) I would propose the following language: 6.4 Among the 300 - 400 units of housing to be constnxcted, 20 %, or 60 - 80 units, should be affordable to households with incomes below 60% of the regional median. In the event that the total number of units constructed falls short of 300- 400, affordable units should represent 20% of those units that are constructed. While the high cost of new construction, the limited availability of subsidy funds and the City's need to expand its taac base mean that much of the housing built in Saint Paul will be rented or sold at market rates, the City and its partners should corrunit themselves to adding to the supply of decent, safe and affordable housing through new construction. To that end, the City should encourage the development of housing affordable to households with incomes at or below 60% of the regional median income by a. Investing public financing only in developments where 20% of the units are reserved for households with incomes at or below 60% of regional median income. Developments in neighborhoods with little affordable housing and strong housing markets should be encouraged to provide ZO of their units to lower income households while those in weaker markets should be asked to provide a smaller share. I believe this change will give us a Plan that we can be proud of— and that we can afford as well. And, if you make this change to the Plan as you adopted it, I will sign it and forward it to the Metropolitan Council. Sincerely, � N`� sA I� Norm Cole an Mayor Attachment 7AY BENANAV Councilmember Apri16, 1999 TO: Housing Advocates CITY OF SAINT PAUL OFFICE OF THE CITY COUNCIL 310 CITY HALL IS WEST KELLOGG BOULEVARD SAINT PAUL, MN 55102-1615 PHONE: (651) 266-8640 FAX: (651) 266-8574 FR: Councilmember Jay Benanav Councilmember Kathy Lantry Councilmember Jerry Blakey Councilmember Chris Coleman RE: Mayor's Veto of Saint Paul Housing Plan ��b By now you know that Mayor Coleman has vetoed the city council resolution approving the Saint Paul Housing Plan. It is important that you, as an advocate for affordable housing development, have a copy of the full text of his veto message. The mayor has taken issue with the council's amendment establishing the affardable income threshold at 30 and 50 percent of inedian income. The mayor has proposed a compromise that would set that threshold at 60 percent of the azea median. The mayor indicates that the city council's amendment costs $2 million too much. The projected costs of the current housing plan set forth in the second paragraph of page 2 were never brought before the council during its deliberations. The source of the $3 million in direct city expenditures is unclear. In the mayor's proposed compromise, he gives no analysis of the cost or source of funds. In any case, the council just approved the allocation of $3 million in Neighborhood STAR funds for housing which we hope will be matched by the state legislature. Further, the McKnight Foundation has just committed $b million over four years to Saint Paul for the development of housing serving incomes from $18,000 to $35,000. This is over and above the city's current expenditures for housing. We aze also intent upon challenging business, labor unions, churches and foundations to get involved in affordable housing development. Our friends in organized labor are excited about creating new affordable housing. And many of you are probably awaze that House of Hope Presbytarian Church has set a goal of raising $4.5 million for affordable housing development. Seventy percent of the jobs we are creating through city economic development programs pay from $9 to $14 per hour, or appro�mately 30 to 50 percent of area median. Providing safe, decent and affordable housing for our workforce is a housing issue — and an economic development issue. Thank you for your support. 6 48 Printetl on Aerycled Paper ��' I � CITY OF SAINT PAIJI, 390 Ciry Ha!! Tetephnrse: 651-26b-8510 Norm Ca[eman, Mayor IS West Kellogg Boulevard Facsimile: 651-266-8513 Saint Paut. MN 55102 Apri15, 1999 Council President Dan Bostrom and Members of the City Council 310 and 320 City Hall 15 West Kellogg Boulevard Saint Paul, Minnesota 55102 Dear Council President Bostrom and Members ofthe City Council: Regarding: Veto of your resolution approving the Saint Paul Housing Plan with amendments (Council File 99-90) I am retuming to you, with my veto, Council File 99-90. I do so with considerable reluctance, because I believe we are in substantia] agreement on most elements of the plan. However, those areas of the plan that substantially increase spending as a singular solution to the affordab(e housing issue are simply not acceptable. This administration has remained consistent in its beliefthat the solution to every problem is not to spend more money, but to become more creative and effective with the money we do spend. When I transmitted the Plan to you in January, I noted that it had been the subject of broadiy based community discussions and that 'st recognized the importance of addressing the housing needs of households of all incomes — those who live here now and those who might be attracted to move into the City. The Plan is based on the premise that the City of Saint Paul has the opportunity to capitalize on a time of growth and change — a twenty year period of time that holds the opportunity of adding 20,000 people to our population, 12,000 jobs to our employment base and 6,000 new units to our housing stock. I believe this future holds the promise of enhancing and preserving the character of our neighborhoods while acknowledging the changing demographics of our new millennium. The Plan emphasizes the importance of enhancing, maintaining and restoring the traditional charm of our neighborhoods, but suggests that new housing wil] be of a somewhat different character — a variety of smaller housing types that will prove attractive to young families starting out and older people wishing to downsize their lives as they approach and reach retirement. In other words, we can provide housing that will allow both our children and our parents to live in Saint.Paul. � Members of the City Council Page Two April 5, 1999 �jq-q� At the same time, the Ptan emphasizes the importance of maintaining our commitment to affordable housing and making reasonable additions to the supply of affordable housing in our communities. Although Saint Paul is home to only 13 per cent of our region's population, we provide 20 per cent of our region's affordable housing. By suggesting that 20 per cent of new units construcced in our City should be affordable, the proposed Plan represents a significant step beyond the policy adopted by the City ten years ago without unreasonably increasing the financial and social burdens of building and maintaining affardable housing. The proposed Plan recommended that half of the additional affordable housing constructed should be affordable to households with incomes at or below 80 per cent of regional median income ($43,000 for a family ofthree) and haif should be at or below 50 per cent of regional median income ($28,600). Staff estimates that the additional cost of constructing these additional affordabie housing units will total some $900,000 per year. Furthermore, we estimate that preserving and maintaining existing affordable units wi11 cost about $2,000,000 per year. Thus, implementing the Plan as proposed would cost approximately $3,000,000 per year. (Please note that these numbers represent direct City expenditures, not total development costs.) At your meeting March 24, you amended the proposed Pian to suggest that ten per cent of our new housing units be made available to househoids at or below 50% of inedian income and ten per cent shouid be made avaiVable to households at or below 30% of inedian income. The City Council's proposal increases spending of more than $3 million per year to somewhat more than $5 million. This is not acceptable. Affordable housing is an important issue, however, I take exception to your position that other housing issues in the City should, be viewed as less critical than affordable housing. Quite frankly, affordable housing is not a"crisis" issue at this time in Saint Paul that requires massive pubiic spending to "fix" it. Other housing issues are critically important, too. Yet, as I look upon the horizon as to other issues which may impact our community, I believe we must be wiser in our investment of funds and recognize the long-term concerns of our City as opposed to an overreaction that will cost taxpayers millions of dollars. As I explained in my State of the City address last month, I have been convinced by former Mayor George Latimer and other housing advocates that the income levels proposed by the Planning Commission were too high. I suggested that we make 20 per cent of our new housing units availabfe to households with incomes at or below 60 per cent of regional median income ($34,320). I propose this as a compromise to you as well. q�G�� Members of the City Council Page Three April 5, 1999 In place of your amendment 11 (see copy attached) I would propose the following language: 6.4 Among the 300 - 400 units of housing to be constructed, 20 %, or 60 - 80 units, should be affordable to households with incomes below 60% of the regional median. In the event that the total number of units constructed falls short of 300- 400, affordable units should represent 20% of those units that are constructed. While the high cost of new construction, the limited availability of subsidy funds and the City's need to expand its tax base mean that much of the housing built in Saint Paul will be rented or sold at market rates, the City and its partners should commit themselves to adding to the supply of decent, safe and affordable housing through new construction. To that end, the City should encourage ihe development of housing affordable to households with incomes at or below 60% of the regional median income by a. Investing public financing only in developments where 20% of the units are reserved for households with incomes at or below 60% of regional median income. Developments in neighborhoods with little affordable housing and strong housing markets should be encouraged to provide 20 of their units to lower income households while those in weaker markets should be asked to provide a smalier share. I believe this change wili give us a Plan that we can be proud of— and that we can afford as well. And, if you make this change to the Plan as you adopted it, I will sign it and forward it to the Metropolitan Council. Sincerely, (V eA I��...---- Norm Coleman Mayor Attachment • •� City of St. Paul Office of the City Council 320 City Half Saint Paul, MN 55102 (651) 266-8570 INTER-DEPARTMENTAL MEMORANDUM DATE: March 24, 1999 TO: Councilmembers and Legislative Aides FROM: Marcia Moermond, Policy Analyst �A��"' � SUBJECT: Additionai Housing Plan Amendments (3/24/99 Council Meeting, Agenda Item # 24) Attached aze two amendments: ❑ A revised l lc.from Councilmember Benanav which makes the first and third paragraphs consistent in the proportion of affordable housing to be set as a goal: now both pazagraphs indicate that 20% of the added units should be affordable to people at 30% of the median income. ❑ a new amendment, number 17. I am also attaching some additional information on affordable housing from the Housing Information Office (paper form only, I don't have an electronic version to send) on affordability of rental units to augment data in Appendix S of the Housing Plan. Please contact me with any questions or comments on these plans. Also note that this memo and attachment has been emailed to you. attachtnent cc: Ken Ford and Nancy Homans, PED Gerry Strathman and Nancy Anderson, Council Research Phil Byrne and Peter Warner, City Attorney's Office t • • � CITY COUNCIL PROPOSED AMENDMENTS - ADDDENDUM TO THE HOUSING PLAN l lc. Author Councilenember Benanav; Location page 22: 6.4 Among the 300-400 units of housing to be constructed, 20% 69-88 should be affordable to households with incomes below 88% 30°l0 of the regionai median. In the event that the total number of units constructed falls short of 300-400, affordable units should represent 20% of those that are constructed. While the high cost of new construction, the limited availability of subsidy funds and the City's need to expand its tax base mean that much of the housing built in Saint Paul will be rented or sold at market rates, the City and its partners should commit themselves to adding to die supply of decent, safe and affordable housing through new conshuction. To that end, the City should encourage the development of housing affordable to households with incomes below 3A; 68-a�i-S8 30 percent of the regional median income by a. Investing public financing only in developments where �p�e 20% of the units aze reserved for households with incomes below S9 30 ep rcent of the regional median incom , ��. ..:ms�_7..""'�_ "'��hAllsti �` t.] t't L 1 1 L 1.1 L 1 .� . In order to accomplish this �oal the Citv of Saint Paul, on an annual basis, shall reguire that at least 20 nercent of all publiclv assisted housin dg evelopments of 5 units or more either rental or ownershin shall be affordable to families at or below 30 nercent of the metropolitan median income. Onlv develoaments of 5 units or more are subject to the 20 percent re_quirement. 17. Author Councilmember Benanav; Location page 13, insert at end: 4.6 Enhance the efficiencv and longevitv of the public's investment in housing bv i�v'm_g,prioritv in the disbursement of discretionary funds to projects and nroarams that "recycle" those subsidies for uresent and future penerafions Discretionarv funds available to the City from federal, state, and other sources for use in subsidizing the �roducrion rehabilitarion or oneration of housing are in short sup� — and likelv to remain so for the foreseeable future To the extentpossible�prioritv in disbwsing these scarce resources should eo to vroiects and nroerams in which the housine benefits nurchased with these funds are preserved for as long as nossible (subsidy retention� Where the long term retenrion of housinQ benefits nurchased by the nublic is not possible prioritv should ¢o to proiects and nroerams in which the funds themselves aze recautured b the City in order to purchase new housin� benefits in the future (subsidy recanture) 1998 Income Standards - HUD 1I20i98 � 7his is the mid point of income fU�a "�anJr�co�e indexed bv_the Peo21e in Income Hourly Affordable � househotd ---- Wage Rent 1 person 2persons 3persons 4persons 5persons 6persons 7persons 8persons 5az,soa $48,600 $54,700 560,800 565,700 $�o,soo �75,400 �80,300 60% Median Income indexed by famiiy size 1 person 2persons 3persons 4persons 5persons 6persons 7persons 8persons 25560 29160 32820 36480 39420 42300 45240 48180 50% Median income Indexed by family size �person 521,300 2persons �24,300 3persons �27,350 4persons $30,400 5persons $32,850 6persans $35,25Q 7persons $37,700 8persons 540,150 30% Median Income Indexed by family size ? person �12,780 2persons $14,580 3persons 516,410 4persons S18,240 Spersons $19,710 6persons $21,150 7persons 522,620 8persons 524,090 20.48 23.37 26.30 2923 31.59 33.89 36.25 38.61 Houriy Wage 12.29 14.02 15.78 17 54 18.95 2�,34 2'i .75 23.16 ��,oss $1,2'15 51,368 $1,520 51,643 �1,763 �1,885 �2,008 Affordable Rent 639 729 820.5 912 985.5 1057.5 1131 1204,5 9g-90 Housing Information Ofiice 1998 Reference tables on incomes and affordable rents Weifare Income : 1997 standard Ind'exed lncome Hourf Affordable family si ----- Wage Rent 1 person 2persons 3persons 4persons 5persons 6persons 7persons 8persons $3,900 $7,74D $9,696 $11,484 $13,056 $14,856 $16,236 $18,660 $1.88 $3.72 54.66 $5.52 $6.28 �7.14 $7.81 $8 97 $98 $194 5242 $287 $326 $371 $406 5457 (Known as "Low Income") Hourly Affordable Wage Rent S10 24 S11 68 S13 �5 S14.62 S15 79 S'16.°5 S18 13 S19 30 $533 $608 $6S4 5760 $821 $881 �943 51,004 {KnDwn as "Very Low Income") Hourly Affordabie Wage Rent S6 i� 57.0' S7 89 S8.77 S9 48 S10.17 510.88 S11 58 5320 $365 $41� a456 �493 $529 $566 $602 � "� r i � t � pJ��"T� .Lvt Cv% 1 person 2persons 3persons 4persons 5persons 6persons 7persons 8persons hourly wage 6 7 8 9 10 11 12 13 annuai $7,890.00 � 10,610.00 �13,330.00 516,050.00 518,770.00 ^�21,490.00 524,210.00 $26,930.00 worhhours 2080 2080 208D 2080 2080 2080 2080 2080 hourly $3.79 $5.10 $6.41 $7.72 $9.02 $10.33 $11.64 $12.95 annuai income �12,480 $14, 560 $16,640 518,720 $20, 800 �22, 880 $24,880 $27,040 monthly $658 5884 $1,111 51,338 $1,564 $1,791 $2,0�8 $2,244 Povertyincome - Nc x r r�;:� �- k � �� 0 '. Supply of Units for Rental St. Paul Md Afordabiifij to 50% 8 30% of Median income 300 250 v N ZOO � d > v R c 150 � w 0 d a � 100 Z � [�] ■ Advertized �f� 11 Uni9 �� 50%median can afford ■ 30% median can afford Jan Feb Mar Apr f}Ii 161 193 213 214 so� H•d 138 94 185 183 3o'�M�d 8 5 2 4 May Jun Jul Aug Sep 211 242 148 174 173 179 209 122 149 140 7 8 5 15 9 Oct Nov Dec 167 147 169 141 112 147 6 6 4 Data is irom the Saint Paul Pioneer Press renta! ciassifieds January '98 - December 98 Data Applies to Saint Paul Proper and not to the Metro Area Data compifed by the Saint Paul Fiousing information Office (851)266-6000 Jan Feb Mar Apr May Jun Jul Aug Sep Oct P1ov Dec Monthly sample Study �r � � � , � � U � O O � � N � C .� � � U t0 w �D O � � � � X � Y N � C � � .� (� .� �1-+ � � a L � �O •� � � `o � � � � � £ � _ L '"' N L if y � c � Z N � � � Q � � � T � °� m c � `o c ' U � � Q � m ¢ � m O O O f0 R N ;ua� �o� sy,un;o �aqwnu a6e�ane x ¢ � m v x � m N � � a o � � � �n �' v o c w � � d N � N L a y N � � O O � O � a N (0 n � � � `"' a N m � u in � �n = � U (� � CO .�.. O. N Q r � .«i U � N O � y �� C '`� C O sr :«. 3 O L � . '++ w. � �° u c O N E _ � � O ' � j m w I� � � � � Q (6 � � '� -� � � � � � o u � _ �� o� � o ` L � w' "a `�- CJ �., C T d � C � � V � N � � N 'C U N � Q � N O �� ... U m 7 � >. W >o�o� QUOY w C N r � � rn � m C m .-� f0 � N r U � �� L M 19 �� c�rir couNCi� PROPOSED AMENDMENTS - ADDDENDUM 2 TO THE HOUSING PLAN For Item #24 on 3/24199 Council Agenda l ld. Author Councilmembers Coleman, Lantry and Benarzav; Location page ll: 6.4 Among the 300-400 units of housing to be constructed, 20% 6A-88 should be affordable Q � to households with incomes �ela�-&�% between 30 and 55% of the regional median. In �� (� the event that the total number of units constructed falls short of 300-400, affordable �C � units should repres�nt 20% of those that are constructed. i 9.��_ While the high cos of ne�tt'construction, the limited availability of subsidy funds and the City's need to expand its taY base mean that much of the housing built in Saint Paul will be rented or sold at market rates, the City and its partners should commit themselves to adding to the supply of decent, safe and affordable housing through new construction. To that end, the City should encourage the development of housing affordable to households with incomes , between 30 and 55% percent of the regional median income by a. Investing public financing o� in developments where a�-te 20% of the units are reserved for households with incomes belerv-8A between 30 and 55% ep rcent of the regional median incom , ' � � r r �.. t� y a O � � � � \ � � 0 U � �.L � C .� � O � U � � � � � U D m V .` m m `e � 3 � � � � °n � m N � C d a� w � M L �` d N a C .� � •.�.r V . m d L O 7 v � � O C �a ° m� �� d o� � 0 0 ` e � ` N a C .� T U � � o�. t6 N C. � � � � m � � r " � N O O c. a � � � m � m C�J .` N d m � 3 u m� c �� ° m� N Q N r O d �g O p � W 0 C M v NC C .� a « Ci .` « d d C � 7 v � C � C �� ° m� � � m �� e M t�1 N 0. C .� p6 -bb O O O O O O O O O aD 1� (D it! � M N � 6uisnoH nnaN �ua��ad O�Otimt� �MN 6wsnoH nnaN;ua�ad 0 0 0 0 0 0 0 0 0 CD t� tD �n � M N �- 6wsnoH nnaN �uaa�ad 0 0 0 0 0 0 0 0 0 aD t� t0 N sh M N e- 6uisnoN MaN;uaalad 99-90 CITY COUNCIL ALL PROPOSED AMENDMENTS TO THE HOUSING PLAN 1. Author Councilmember Blakey; Location page 10, insert fourth paragraph: 6. Discrimination continues. Desnite continuing efforts on the �art of federal state and local �ovemments bias conrinues to act as an imnediment to a sienificant number of home seekers in Saint Paul T'he Institute on Race and PovertY of the Universitv of Minnesota concludes that the Twin Cities metro area is amone the nation's most residenrially segregated A fair housin� audit bv the Minnesota Fair Housin¢ Center has found that racial bias is a significant factor in rental housing �PED STAFF COMMENT: Policies related to addressing discrimination and enforcement of the Federal �� Fair Housing Act are important additions to the Housing Plan. .�ALTERNATE LANGUAGE FROM PED 6. Discrimination continues. Desnite continuina efforts on the o � nart of federal, state and local qovernments, bias continues to act as an imoediment to a sianificant � number of home seekers in SaiRt Paul. n HUMAN RIGHTS STAFF COMMENT: Requested by Council Research, forthcoming. l. �uthors Councilmembers Coleman and Lantry; Locatinn page 12, insert fina! paragraph: 4.3 � d. Additional resowces sHec� mnst be identified and used in partnership with those code y` p enforcement efforts to assist property owners to make the necessary repairs and improvements b �.'� before there is significant deterioration. 3. ll �� (' ,° �� Authors Counci[members Coleman and Lantry; Location page 14, insert final paragraph: 5. I a. [to encourage the construcrion of new units, the City should] make assist� potential developers a riori , when necessary, in the assembly and clean up of land and the construction of infrastructure. This should include devising mechanisms to more easily transfer the ownership of tax-forfeited properties to community development corporations or other community-based organizations for development. 4. �Authors Councilmembers Coleman and Lantry; Location page 16, insert final paragraph: 5.3 �� f a. Advocate for additional reforms of those State tax provisions that discourage the construction � and�� ership pf rental housing, includin decreasin the taJt rate on residential rental ro e. 5. Authors Cou��nci members Coleman and Lantry; Location page 16, insert final paragraph: 5.3 � Stronelv encourage tna�er local employers to invest in the production of rental housing to serve � their workforce, on their own or in nartnershin with other businesses government agencies and � nonprofit organizarions. 6. � �� 1 Author CounciLmember Blakey; Loration page 19: 6.1a. The Legislature should commit additional funds to the Metropolitan Livable Communities Demonstration and housing accounts as an incentive for suburban and stronger central city communiries to produce affordable housing. The citv also insists that the Metropolitan Council enforce all aareements to provide low income housine in ttte municivalities that utilized public funds for infrastructure exoansion since 1973 .. .� �� l � 7. �� , a PED STAFF COMMENT: The Iink behveen low-income housing and infrastructure improvements that was made by the Metropolitan Council in the 1970s was related to the Counal's role in reviewing appiica6ons made 6y cities for federal parks and open space funds. Posfive reviews on tfiose appiica6ons was related to the city's performance in providing affordable housing. That review mechanism was eliminated during the Reagan administration. There are no outstanding "agreements." As federat funding programs have changed, the Metropolitan Councii no longer has a role in leveraging Iocai participation in the production of affordable housing. Instead, the Council is the Iead impiementing agency for the Metropolitan Livable Communities Accounts that offer incentives for the production ot affordabfe housing. To more tuNy address the issues raised by this proposed amendment, planning staff recommends the following plan amendment: ALTERNATE LANGUAGE FROM PED 6.1.a. atfordable housina and to adoot the other orovisions of the Metr000litan Council's Housinq Reform Initiative includinq an incentive oroqram for communities to lower housinq construction costs associated with local reauirements a reassessment of the state buildinq code rental housinq resources for realacement housinq and rehabilitation new rentat housina resources fundinq for homeless assistance oreservation of existinq federaliv assisted rental housinq and su�oort for new and rehabilitated ownershi� housina �,�„_�, o q,,� �� g�__ __ , X � � Author Councilmembers Coleman and Lantry; Location page 20, insert new f:rst paragraph: b. The Citv and its nartners should encourage the Minnesota Legislature to strengthen the Livable Communities Act to make it more likely to have a real imnact on the availabilitv of affordable housine for the metronolitan repion. This is imnortant given the results of the recent study bv the Universitv of Minnesota Center for Urban and Reeional Affairs which indicates that even if all the rnoduction eoals of the Liveable Communiries Act are met the region will still fall behind in affordable housin¢ provision by completion of Livable Communitv Plans [This amendment will cause the renumbering of the current 6.1. b-e to 6.1. c-f. J 8. Authors Councilmembers Coteman and Lantry; Location page 20: 6.2 [With its partners, the ' should:] a. Lobby for the expansion of federal and, especially, state financing for the construction and preservarion of affordable housing throughout the region. Specifically the Citv will nronose for current and future legislative agendas that the state double therebv achievinQ 1% �� of the state hud�et for housing its expenditures on housing by sipuficantiv increasin¢ its approoriarions for the Minnesota Housine Finance Agencv and for implementarion of the Livable Communities Act. 9. �;,�� Authors Councilmembers Coleman and Lantry; Location page 20: 6.2 [With its partners, the City should:] b. Identify new locai resources that can be used to leverage additional public and � rivate financing. HIZA resources represent flexible fund sources at can and should be tapped by City policy makers. Additionally, the Citv should dedicate one two vears. COUNCIL RESEARCH COMMENT: This makes the plan consistert with the City Gouncil action taken in CF# 99-237 directing that the STAR guidelines be revised to accomplish this on March 10, 1999. c�C1' q � 10. � O n' � � f�_ Author Councilmember Blakey; Location page ll, insert second paragraph: d. The city will lobbv the Public Housing A¢encv (PHA) to create a posirion of ombudsman/advocate at PHA. connected with communitv organizarions, who can work with PHA clients to full explain their ri¢hts. responsibilities and housing oprions. PED STAFF COMMENT: The concems that led to this proposed amendment relate to difficulties faced by people Iooking for housing or emergency shelter. In too many instances, housing advocates tell us, people have a hard time getting good information. That issue is bigger than the Public Nousing Agency and the PHA is not now in a position to assume responsibility for such a service. The nature of the issue suggests, rather, a series of recommendations retated to irrter-agency communication and better attention to public information. PED ALTERNATIVE 1�1NGUAGE: The Housina informafion Office should work with aoprooriate emerqencv shelter and transitio�al housino services as well as to services available ftom the wide varietv of advocacv orqanizations. l la. Authors Councilmembers Coleman and Lantry; Location page 22, amend: 6.4 Among the 300- 400 units of housing to be constnxcted each year, 60-80 should be affordable to households with incomes below 89% 55% of the regional median, ' . In the event that the total number of units constructed falls short of 300-400, affordable units should represent 20% of those that are constructed or rehabilitated While the high cost of new construction, the limited availability of subsidy funds and the City's need to expand its taJC base mean that much of the housing built in Saint Paui wiil be rented or sold at mazket rates, the City and its partners should commit themselves to adding to the supply of decent, safe and affordable housing through new construcrion. To that end, the City should encourage the development of housing affordable to households with incomes below 3A� 68-a�-89 55 percent of the regional median income by Investing public financing in developments where t�e 20% of the units are reserved for households with incomes below S8 55 ep rcent of the regional median income, wit�rha�€e€ . Developmems in neighborhoods with little affordable housing and sirong housing mazkets should be encouraged to provide more than 20 percent of their units to lower income households while those in weaker mazkets should be asked to provide a smaller shaze. 116. Author Councilmember Blakey; Location page 22: 6.4 Among the 3AA- 400 units of housing to be constructed or rehabilitated and retumed to the mazket each year, 69-88 200 should be affordable to households with incomes below 30% of the regional median, with at least hal£ or 100 going to those to be affordable to households ' � earnine minimum wage, and annual income of $ I 1.000. In the event that the total number of units constructed falls short of 300-400, affordable units should represent 20% of those that are constructed or rehabilitated While the high cost of new construction, the limited availability of subsidy funds and the City's need to expand its ta�c base mean that much of the housing built in Saint Paul will be rented or sold 3 gG-qo at mazket rates, the City and its partners should commit themselves to adding to the supply of decent, safe and affordable housing through new construction. To that end, the City should encourage the development of housing affordable to households with incomes below 3A�8-an�89 30 percent of the regional median income by a. Investing public financing in developments where �p-te �A% 50% of the units aze reserved for households with incomes below S9 30 percent of the regional median income, with half of those for households ' eamine minimum wage, and annual income of $11 000. Developments in neighborhoods with little affordable housing and strong housing markets provide more than �9 50 percent of their units to lower income households while those in weaker markets should be asked to provide a smailer share. llc. Author Councilmem6er Benanav; Loration page 22: 6.4 Among the 300-400 units of housing to be constructed, 20% H8-8A should be affordabie to households with incomes below 8A% 30% of the regional median. In the event that the total number of units constructed falls short of 300-400, affordabie units should represent 20°l0 of those that are constructed. While the high cost of new construction, the limited availability of subsidy funds and the City's need to expand its tax base mean that much of the housing buiit in Saint Paul will be rented or sold at mazket rates, the City and its partners should commit themselves to adding to the supply of decent, safe and affordable housing through new construction. To that end, the CiTy should encourage the development of housing affordable to households with mcomes below 3�-�9�x�-88 30 percent of the regionai median income by (/ �� a. Investing public financing onlv in developments where �rte 20% of the units are reserved � ^ A 1 ' ' L L.�1C r � �� for households with incomes below $8 30 ercent of the regional median incom°� \� ��, � � � Q . In order to accom Ip ish � this eoal, the Citv of Saint Paul. on an annuai basis shall require that at least 20 percent of � all nublicly assisted housingdevelopments of i units or more either rental or ownership, shali be affordable to families at or below 30 �ercent of the metronolitan median income ' p Y1lir�:m••m o� lld. Author Councilmembers Coleman, Lantry and Benanav; Location page 22: 6.4 Among the 300-400 units of housing to be constructed, 20% g9-88 should be affordable to households with incomes �e�ew-S8% between 30 and Si% of the regional median. In the event that the total � �n umber of units constructed falls short of 300-400, affordable units should represent 2Q% of those `Y that are constructed. V �, yi � rnu ,�,I� ,� While the high cost of new construction, the limited availability of subsidy funds and the City's 6 � need to expand its taY base mean that much of the housing built in Saint Paul will be rented or sold at mazket rates, the City and its partners should commit themselves to adding to the suppiy of decent, safe and affordable housing through new construction. To that end, the City should encourage the development of housing affordable to households with incomes , between 30 and 55% percent of the regional median income by 4 99- g� u r �:..:,,�..+.�. d � a Investing public financing onlv in developments where xg-t�20°l0 of the units are reserved for households with incomes �eleia-89 between 30 and 55%percent of the regional median incom , �e�iatt. 5 Y ^ --__... _r.t,._- "-n` - '- PED STA�F COMMENT ON 11a and 11b: [Piease nate that PED Staff comment was prepared prior to the Benanav proposai, and therefore there are no PED staff comme�ts on 1 tc.] The Planni�g Commission's plan recommends the construction of 300-400 units a year with 60.80 being affordable to households with incomes below 80% of the regional median and half of those being affordable to households with incomes befow 50% of the regionaf inedian. If totaf production does not reach 300- 400, the Commission proposes ihat the City's goal for the production of affordable units should be 20 percent of total production. In establishing its goal, the Commission's concems were two: (1) that the goal be achievable with identifiable resources that are Iikely to be available over Gme; and (2) that the goal be in the context of expanding the suppiy of units for households at ali income levels. It is important to note that the plan does not assume that the city's major initiative in the area of affordabte housing will be in new production. The plan, rather, hopes to promote a modest addition to the city's affordable stock each year-to compensate both for demolitions a�d improving market conditions that have resulted in higher rents. The high cost of new construction and the limited availability of land mean that most of the housing needs of lower income households-especially those that need family-size units--wifl confinue to be met by the existing housing stock. A second important caveat is that production goals do not assume City/HRA will be substantially invoived in the construction of aA 6,�00 units. lndeed, it is the expectation that many of the market units will be privately constructed-perhaps with pub�ic assistance in the assembly and clean-up of the land. The lower the income group the housing is expected to serve, of course, the higher the public investment that will be required. The impact of the Blakey amendment wouid be to significantly shift the proportions of new units proposed by the plan, increasing the level of public investment that will be required. Instead of 20 percent of the units consfructed each year being subsidized to the ievel required to make them affordabte to lower incomes households, fifty percent or two hundred of the four hundred units constructed each year would require the level of subsidy (for construction and on-going maintenance) comparable to that required for pub{ic housing. StafF supports an increase in the goal for the production of affordabie units and a reduction in the income threshold provided that: a. The goal remains "in scale' with the production goal for market rate housing; b. The goal is linked to actual production so that ff market conditions result in fewer than 300-400 total new units per year, the goal for the construc6on of affordable urtits is proportionately reduced; and c. The higher goal is linked with the identificaUon of a new funding source. In establishing a goal for the percentage of any given project that should be affordable to lower income �/9-9a households, a minimum project size for applicable projects (e.g. 4, 8, or 12 units) should be established. COUNCIL RESEARCH COMMENTS ON 11c. Cou�ciimember Benanav's proposa� is parallel to one adopted in Minneapolis �ast summer. The Minneapolis policy reads: " that the City of Minneapolis, on an annuai basis, shalf require that at teast 20 percent of alf publicly assisted housing devefopments of l0 units or more, either rental or ownership, shall be affordable to families at or below 30 percent of the metropolitan median income. All publidy assisted rental projects must accept the use of Section 8 rental assistance either by site-based or portable certificate. Only developments of 10 units or more are subject to the 20 percent requirement." � 12. Author Councilmeenber Blakey; Location pag¢ 23: 6.5 The City skt ula'�eg reaffirm its commitment to the Replacement Housing Policy outlined in Chapter 93 of the Administrative Code�ns��that thete are units�sonstrue�d�to replace-all bed�'aom�st to d8mal�idn: Existing policy requires that City agencies proposing the demolition of conversion of affordable rental housing shall provide the City Council with an affordable rental housing analysis outlining the impact of the proposed project on the availability of such housing in � the City. i3nder certain circumstances, including when there has been a net loss of affordable ,� rental housing units (those affordable to households with incomes below 55% of the regional median), the d'uector of PED shall recommend the replacement of units slated to be lost. The City � Council has final responsibility for approving, amending or rejecting that recommendation. If the n �., Council determines that units should be replaced, adequate funds to finance the construction of � �� those replacement units within three yeazs shall be approved by the agency proposing the project. �, Inasmuch as the ordinance was adopted in 1989 and has not been revised since then, any issues � �� relative to its impiementation shouid be identified and addressed as part of the process of implementing the plan. PED STAFF COMMENT: Chapter 93 of the Administrative Code ouUines the City's current � Replacement Housing Policy. The basic provisions of that po�icy include: a. Any request to the City Council for approvai of a city-assisted project that would involve the demotition or conversion of affordable rental housing must be accompanied by an affordabfe rental housing analysis that describes the balartce of units produced a�d units demolished since 1989 as well as market conditions such as vaCancy rates and prevailing rents for units of similar size in the city. b. The PED director shaii review the analysis against the goals for the production and preservation of affwdable rental housing that are to be set forth in an annuai housing production plan fifed with the city derk by January 31 of each year. c. The PED director shail make a recommendation as to whether repiacement shall be required and, if so, what kind of units shall be constructed. d. The director shail make a recommendation to repiace units under any of the fotlowing circumstances: i. If the analysis shows there has been a net loss of affordable rental units; ii. If the type of affordabfe rental units to be demolished are the type of units that the city has determined through its housing production and preservaiion goafs to be needed in the city and the rtumber of units to be lost equals or exceeds 20. iii. if the affordable rental housing lost is due to an activity funded from one of three federal programs. e. The director shail propose means by which the repiacement housing will be constructed and financed. 59-9a 13. �� S' � �� f. The city council shall have final responsibility for approving, amending w rejed"+ng the director's recommendation. The principie benefit of the existing ordinance in addressing the demolitioNreplacement housing issue is that decision makers, whose responsibility it is to balance competing policy objectives, have good information on the impact of the proposed demolition and a recommendation on how reptacement pn be achieved. It dces �ot, however, tie the council's hands whe� specific circumstances might suggest repiacing fewer than 100 perceM of the units to be iost. - It is good policy and staff recommends that we continue to rely on it-and be more diligent in meeting its requirements-as the most appropriate response to this issue. COUNGIL RESEARCH COMMENT: Councilmembers Co�eman and Lantry have introduced a separate resolution, CF# 99-260, addressing this point. It 1) reaffirms commitment to maintaining the needed level of affordable housing in the City of Saint Paul; and 2) requests that the Director of the Planning and Economic Deveiopment Department prepare and present an afFordable fiousing analysis per Chapter 93 of the Administrative Code by May 26, 1999 for discussion by the City Council. Author Councilmember Blakey; Location page 26, at end: 6.10 Work to overcome bias in the housine market. The Citv recomizes that over thiriy�eazs have nassed since the ori 'nal enactment of the Federal Fair HousinQ Act prohibitin,�discrimination in housingand vet bias continues to affect Saint Paul's raciai and ethnic minoriries the disabled and families with minor children. The task of overcoming bias must be accepted as the ioint responsibiliri of federal, state. countv and City govemments in cooneration with private and nonprofit sectors To this end the Citkwill support: i. Systemic testin¢ in the housing market to identi bias 2. Enforcement of Saint Paul's human rights ordinance in respect to housin¢ discrimination 3. Educational and outreach pro�rams directed towards housine nroviders. includin� landlords, rental aeents real estate sales�ersonnel mortgaee lenders,�pronerty annraisers and �ronerty insurers 4. Outreach pro�sams directed towards neighborhood arsanizations and district nlanning councils to promote gFassroots awazeness of the problem 5. Creation of a Saint Paul Fair Housing Council comnrised of renresentatives of citv Qovernment, the private sector, communitv aEencies and the Minnesota Fair Housin¢ Center which shall advise the City in its on oin� work to identifv and overcome unlawful bias through testms, enforcement,plannine education and outreach. PED STAFF COMMENT: Policies related to addressing discrimination and enforcement of the Federat Fair Housing Act are important additions to the Housing Plan. Planning staff, however, is hesitant to recommend policies related to the establishment of a Saint Paul Fair Housing Councit and systematic testing to identify bias without a better understanding of the City's Department of fiuman Rights' existing efforts related to Fair Housing and the budget implications of these recommendations. At the time this report was prepared, that informa6on was not yet available. ALTERNATE LANGUAGE FROM PED 6.1� Work to overcome bias in the housinq market The Citv recoqnizes that over thirtv vears have aassed since the oriQinal enactment of the Federal Fair Housinq Act prohibitinp discrimination in housinq and vet bias continues to affect Saint Paul's racial and ethnic minorities. the disab{ed and famiiies with minor children. The task of overcominq bias must be accepted as the ioint responsibilitv of federal state counb and Citv qovemments in c000eratipn with private and nonprofit sectors. To this end, the Citv will suo�ort: 1. Enforcement ofi Saint Paul's human riqhts ordinance in resoect to housina discrimination 99 2. Educational and outreach oroq�ams directed towards housinq providers includinq landlords rental aqents reaf estate sales nersonnel mortaaqe lenders procertv aonraisers and �rooertv insurers 3. Outreach oroqrams directed towards neiahborhood orqanizations and disVid oianninq counci{s to promote qrassroots awareness of the oroblem HUMAN RiGHTS STAFF COMMENT: Requested by Council Research, forthcoming. 14. Autho� Councilmember Blakey; Location page 26, at end: 61 I The City must olace a moratorium on demolition of structurall sound rental housing units unril the citv's rental vacancv rate exceeds 5%. P STAFF COMMENT: One goal shared by almost everyone involved in discussions about the ousing Plan is the consfruction of a significant number of new housing units in the city. Without new roduction, vacancy rates wifl continue to decline and rents wifl continue to increase. The issue raised by this proposed amendment is whether it will encourage, discourage or have no effect on our � ability-and the ability of our private and non-profit partners-to produce new housing. ._ v �7 Because of the limited supply of vacant land-especia�ly in the neighborhoods-the production of new ` i units will likely involve some amount of redevelopment and the demolition of existing units. The HRA �� 1�j Board, it seems, shouid have the flexibility to decide that the demoGUon of one or more "structurally � sound" units is justified when new units are being produced. A moratorium would reduce the Board's flexibility and, in the long run, may siow down the process of getting to the point where vacancy rates reach 5%. 15. Authors Councilmembers Coleman and Lantry; Location page 26,insert at end: 6.12 The Citv and its partners should further explore nolicv ontions used bv other major metropolitan areas such as residential hotels, local trust funds developed from a stream of revenues from real estate �� transaction fees: zoning changes like inclusion zoning or density reauirements. 16. Author Councilmember Blakey; Location page 28, at end: 73 Fair Housing Plannin¢. Staff assigned to convene the Housine Coordination Team shall also be assigned to the Saint Paul Fair 0 recommendations as mav be necessarv and prover to fulfill the plan and meet objectives towards building an inclusive communitv. ��l� PED STAFF COMMENT: See comments for previous amendment. PED recommends not adopting this amendmerrt without thorough consultafion of Human Rights staff. HUMAN RiGHTS STAFF COMMENT: Requested by Councii Research, forthcoming. 17. Author Councilmember Benanav; Location page l3, insert at end: 4.6 Enhance the efficiencv and loneevitv of the publids investment in housing by 'givin p� riority in the disbursement of discrerionarv funds to projects and pro¢rams that "recYCle" those subsidies for present and future �enerarions. Discretionarv funds available to the Citv from federal state and other sowces for use in subsidizin¢ the nroduction rehabilitation or oDeration of housin¢ are in short sup�lv — and likelv to remain so for the foreseeable future To the extent possible oriority in disbursing these scazce resources should ¢o to proiects and programs in which the housinQ benefits purchased with 5 �. � ��,�-- ,� � � � �.,,� r ,. ...� �,�- 99-9� these funds aze nreserved for as lon�25 possible (subsidy retention). Where the long-term retenrion of housine benefits nurchased b�,the public is not nossible prioritv should o¢ YO Drojects and proecams in which the funds themselves aze recaptured bv the Citv in order to„purchase new housing benefits in the future (subsidv recauturel. G7 °t9 -qo � CTI'Y OF SE1INT PAUL Norm Coleman, Mayor 390 Ciry Hall IS West Kellogg Boulevard Saint Paul, MN 55102 Tetephone: 651-266-85I0 FaCSimife: 65I-22&8�73 C� 3anuary 12, 1999 City Council President Dan Bostrom Councilmembers Dear Council President Bostrom and Councilmembers: I am pleased to transmit and recommend for your adoption two chapters for the updated Saint Paul Comprehensive Plan which the Planning Commission has prepared: the Housing Plan, and the Summary and General Policy. The Summary and General Policy will provide a brief and broad statement of City development policy and will help to clarify the interrelationship among the plan chapters. Tt sets out the important themes for our next several years of progress that underlie the entire plan. As you know, considerable community discussion lies behind this draft of the Saint Paul Housing Plan. Some earlier drafts, and, before these, an issue paper were the subject of discussion at numerous community meetings and at the public hearing whicn you sponsored jointly with the Planning Commission. I believe the new draft provides significant direction for our community effort and recognizes well the broad range of partnership efforts that progress on our housing objectives requires. Most importantly, it recognizes the importance of addressing the housing needs of households of all incomes—those who live here now and those who tnight be attracted to move into the city. I commend it for your careful consideration. I recommend that the City Council adopt both of these contingent on the Metropolitan Council and adjacent community reviews still to come. i erely, o � /�s Norm Coleman Mayor • 99-q� � city of saint paul planning commission resolution file number 99-03 (late Januarv 8. 1999 A RESOLUTION APPROVING AND RECOMMENDING ADOPTION OF THE SAINT PAUL HOUSING PLAN WHEREAS, a new housing policy plan is a key component of an updated Saint Paul Comprehensive Plan needed to both inform City development policy and meet the requirements of the Metropolitan Land Planning Act, Minnesota Statutes Sections 473 and 473H; and WHEREAS, an issue paper entitled Saint Paul Housing Plan: Framing the Discussion published in June 1998 provided for extensive community discussion of housing policy issues; and WHEREAS, a draft Saint Paul Housing Plan published on October 9, 1998 has been discussed in numerous community meetings; and • WHEREAS, a pubfic hearing was held jointly by the Saint Paul Planning Commission and the Saint Paul City Council on December 7, 1998, notice of which was published in the Saint Paul Legal Ledger November 24 and 25, 1998; and WHEREAS, the Commission finds broad community support for the policy directions recommended by the plan and has made revisions to the draft in response to specific concerns raised and information provided in the course of the community discussion and pubiic hearing; NOW, THEREFORE, BE IT RESOLVED, that the Pianning Commission of the City of Saint Paul approves the Saint Pau! Housing P/an as an element of The Saint Paul Comprehensive Plan, contingent on review by adjacent communities and the Metropolitan Council; and BE IT FURTHER RESOLVED, that the Planning Commission recommends the Saint Paul Housing Plan to the Mayor and to the Saint Paul City Council for preliminary adoption and for inclusion in The Saint Pau/ Comprehensive P/an to be forwarded to the Metropolitan Council. moved by �A; ��Ar seconded by in favor Unanim°us • against 9�-�d City of St. Paul O�ce of the City Council 320 City Hall . Saint Paul, MN 55102 (651) 266-8570 INTER-DEPARTMENTAL MEMORANDUM DATE: March 15, 1999 TO: Councilmembers and Legislative Aides G FROM: Marcia Moermond, PolicyAnalyst �VIGU"" SUBJECT: Summary and Generai Plan Amendments (3/17/99 Policy Session, Agenda Item # 35) and Housing Pian Amendments (3l17/99 Policy Session, Agenda ltem # 36) Attached is a list of ali proposed Summary and Housing Plan amendments that have been forwarded to me by Councilmembers over the last two weeks. The items are listed in page number order, according to the page being amended. Ken Ford, Nancy Homans and I have compiled and discussed the amendments. Where appropriate, comment has been provided on specific amendments. The Council is currently scheduled to amend the Summary and Housing Plans on Wednesday Mazch 17`" and lay ffiem over to Mazch 24�' for final adoption. Please contact me with any questions or comments on these plans. Piease note that this memo and attachments have also been emailed to you. attactunents cc: Ken Ford and Nancy Homans, PED Gerry Strathman and Nancy Anderson, Council Research Phil Byme and Peter Warner, City Attorney's Office . � 0 U h Q.�t r � �� r ��ti� � � 19- 90 CITY COUNCIL PROPOSED AMENDMENTS TO THE SUMMARY AND GENERAL PLAN 1. Author Councilmember Coleman, Location page 12, General Policy 3, Water Resources, add bullet: Protection of surface water resources from inapprooriate discharges from waste disposal and contaminant release sites. PED Staff requested this amendment, see Ken Ford memo in packet. 2. Author Councilmember Coleman, Location page 19, General Policy IS. River Corridor, add to fourth bullet. Conrinuation of industrial uses in portions of the corridor identified in the Land Use Chapter, with corrective actions wherever neces to miti�ate adverse environmental imvact of existine industrv includin�pnropriate dischar¢e from waste disposal and contaminant release sites. PED Staff requested this amendment, see Ken Ford memo in packet. 3. Author Councilmember Bostrom, Location page 20, General Policy 18 amendment, Open space and River Connections: Neighborhood connections to the Mississippi River Corridor will be enhanced , through appropriate trail and road connecrions, infrastructure design, and land use planning and regulation. River tributaries such as the Phalen Corridor offer narticulaz opportunities for enhanced connections. PED Staff requested this amendment, see Ken Ford memo in packet. 4. Author Councilmember Benanav, Location page 24, General Policy 24 amendment: Intensive Use of Industrial Land. Increasine density of living-wage jobs will be a primary factor in determination of appropriate reuse of City sites with industrial and/or business potential. Factors to be considered are the number of iobs ner sauare foot and ner acre and the coveraee of building to land. Office uses may offer greater potential than industrial development at some previously-industrial sites. PED Staff Comment: This is an appropriate definition of density. 5. Author Jerry Blakey; Location page 26: GP32. Inclusive Community. We have no tolerance for racism and intend to provide the broadest access possible to all benefits of community life in Saint Paul, free from barriers based on race or ethnicity. The City, in partnershin with the Minnesota Fair Housin¢ Center and other interested communitv oreanizations will coonerate to idenhfv and eliminate unlawful discrimina6on in residential sales and mortgaee lendine PED Staff Comment: it is appropriate to add this emphasis here. We suggest just a tittle revision to eiiminate some redundancy. PED ALTERNATE LANGUAGE: The Citv will c000erate with the Minnesota Fair Housina Center and other interested communitv orqanizations to identify and eliminate unlawful discnmmation m the Saint Paul housinq market includinq the rental market the for sale market. and mortaaae lendinq. �19-90 CITY COUNCIL PROPOSED AMENDMENTS TO THE HOUSING PLAN 1. Author Councilmember Blakey; Location page 10, insert fourth paragraph: 6. Discrimination continues. Desoite continuine efforts on the nart of federal state and local govemments bias continues to act as an impediment to a si�ficant number of home seekers in Saint Paul The Institute on Race and Povertv of the Universitv of Minnesota concludes that the Twin Ciries metro area is among the nation's most residentiallv seereeated A fair housine audit bv the Minnesota Fair Housine Center has found that racial bias is a sienificant factor in rental housine PED STAFF COMMENT: Policies related to addressing discrimination and enforcement of the Federal Fair Housing Act are important additions to the Housing Plan. ALTERNATE LANGUAGE FROM PED 6. Discrimination continues Desoite conGnuinq efforts on the part of federal. state and Iocal qovernments. bias continues to act as an imcediment to a siqnificant number of home seekers in Saint Paul. HUMAN RIGHTS STAFF COMMENT: Requested by Council Research, forthcoming. l. Authors Councilmembers Coleman and Lantry; Location page 12, insert final paragraph: 4.3 d. Additional resources shea�� mnst be identified and used in partnership with those code enforcement efforts to assist property owners to make the necessary repairs and improvements before there is significant deterioration. 3. Authors Councilmembers Coleman and Lantry; Location page 14, insert fna[ paragraph: 5.1 a. [to encourage the construction of new units, the City shouldj make assist� potential developers a riori , when necessary, in the assembly and clean up of land and the construction of infrastructure. This should include devising mechanisms to more easily �ansfer the ownership of ta�t-forfeited properties to community development corporations or other community-based organizations for development. 4. Authors Councilmembers Coleman and Lantry; Location page 16, insert fina[ paragraph: 53 a. Advocate for additional reforms of those State 4vc provisions that discourage the construcrion and ownership of rental housing, includine decreasine the tax rate on residenrial rental pronertv 5. Authors Councilmembers Coleman and Lantry; Location poge 16, insert final paragraph: 5.3 b. Stronelv encourage �ajer local employers to invest in the production of rental housing to sErve their workforce, on their own or in narinersh� with other businesses �ovemment agencies and nonorofit oreanizations. 6. Author Counei[member Blakey; Location page 19: 6.1a. The Legislahue shouid commit additional funds to the Metropolitan Livable Communities Demonstration and housing accounts as an incentive for suburban and stronger central city communities to produce affordable housing. T'he citv also insists that the Metronolitan Council enforce ail agreements to nrovide low income housine in the municipalities that utilized nublic funds for infrastructure exnansion since 1973 99-90 PED STAFF COMMENT: The link between low-income housing and inftastructure improvements that was made by the Metropolitan Councii in the 1970s was related to the Council's role in reviewing appliptions made by cities for federal parks and open space funds. Positive reviews on those appliqtions was related to the city's perFormance in providing affordable housing. That review mechanism was eliminated during the Reagan administration. There are no outstanding °agreements " As federal funding programs have changed, the MeVopolitan Counal no longer has a role in leveraging locai participation in the production ofi affordabfe housing. instead, the Council is the lead implementing agency for the Metropolitan Livable Communities Accounts that offer incentives for the production of affordable housing, To more fuliy address the issues raised by this proposed amendment, planning staff recommends the following plan amendment: ALTERNATE LANGUAGE FROM PED 6.1.a. . Encoureae the Minnesota Leqislature to orovide adeauate fundinq for communities to meet Livable Communities qoals for affordable housinq and to adoot the other orovisions of the Metr000litan Councii's Housinq Reform Initiative includinq an incentive oroqram for communities to lower housina construction costs associated with locai reauirements, a reassessment of the state buildinq code rental housinq resources for re�lacement housinq and rehabifitation new re�tai housinq resources fundinq for homeless assistance oreservation of existino federallv ass+sted rental housina and suaaort for new and rehabilitated ownershio housinq. 7. Author Councilmembers Coleman and Lantry; Location page 20, insert new first paragraph: b. The Citv and its nartners should encourage the Minnesota Le�islature to strenethen the Livable Communities Act to make it more likelv to have a real imnact on the availability of affordable housine for the mettonolitan region This is important given the results of the recent studv bv the Universitv of Minnesota Center for Urban and Re�onal Affairs which indicates that even if all the producrion goals of the Liveable Communities Act are met the region will still fall behind in affordable housin�provision bv completion of Livable Community Plans [This amendment will cause the renumbering of the current 6.1.b-e to 6.I.c-f.J 8. Authors Councilmembers Coleman and Lantry; Location page 20: 6.2 [With its partners, the City shoutd:] a. Lobby for the expansion of federal and, especially, state financing for the construction and preservation of affordable housing throughout the region. Specificallv the Citv will nr000se for current and future legislative a�endas that the state double therebv achieving 1°!0 of the state budeet for housins, its exoenditures on housine bv significantiv inereasing its avnronria6ons for the Minnesota Housin� Finance Agenc,y and for im,plementafion of the Livable Communiries Act. 9. Authors Counci[members Coleman and Lantry; Location page 20: 6.2 [With its partners, the City should:] b. Idenrify new local resources that can be used to leverage additional public and private financing. HRA resources represent flexible fund sources that can and should be tapped by City policy makers. Additionally�the Citv should dedicate one half of its Neiehborhood STAR Proeram revenue for housing develonment for at least the next two yeazs. COUTJCiL RESEARCH COMMENT: This makes the pfan consistent with the City Council action taken in CF# 99-237 directing that the STAR guidelines be revised to accompiish this on March '10, '1999. 99- 90 10. Author Councilmember Blakey; Location page 21, insert second paragraph: d. The city will lobbv the Public Housin�Aeency_(PHAI to create a position of ombudsman/advocate at PHA. connected with community organizarions, who can work with PHA clients to full explain their ri ts_ responsibiliries and housine oprions. PED STAFF COMMENT: The concems that led to this proposed amendment relate to difficultles faced by people looking for housing or emergency shelter. in too many instances, housing advocates tell us, peopie have a hard time getting good information. That issue is bigger than the Public Housing Agency and the PHA is not now in a position to assume responsibility for such a service. The nature of the issue suggests, rather, a series of recommendations related to inter-agency communication and better attention to public ir�formation. PED ALTERNATIVE LANGUAGE: The Housinq Information Office should work with aoorooriate service aroviders to develoo and distribute orinted materials or on-line resources reiated to available emeraencv shelter and transitional housinq services as well as to services available from the wide varietv of advocacv organizations. l la. Authors Councilmembers Coleman and Lantry; Location page 22, amend: 6.4 Among the 300- 400 units of housing to be constructed each year, 60-80 should be affordable to households with incomes below 88% 55°l0 of the regional median, ' . In the event that the total number of units constructed falls short of 300-400, affordable units should represent 20% of those that aze constructed or rehabilitated While the high cost of new construction, the limited availability of subsidy funds and the City's need to expand its ta7t base mean that much of the housing built in Saint Paul will be rented or sold at market rates, the City and its partners should wmmit themseives to adding to the supply of decent, safe and affordable housing through new construction. To that end, the City should encourage the development of housing affordable to households with incomes below 38; 69�8A 55 percent of the regional median income by 1. Investing public fmancing in developments where n�e 20°l0 of the units aze reserved for households with incomes below SA 55 ercent of the regional median income, �a€ . Developments in neighborhoods with little affordable housing and strong housing markets should be encouraged to provide more than 20 percent of their units to lower income households while those in weaker markets shouid be asked to provide a smailer share. lib. Author Councilmember Blakey; Locadon page 22: 6.4 Among the 399- 400 units of housing to be constructed or rehabilitated and retumed to the mazket each_year, 6A-88 200 should be affordable to households with incomes below 30% of the regional median, with at least hal£ or 100 going to those to be affordable to households ' � earning minimum wage, and annual income of $11.000. In the event that the total number of units constructed falls short of 300-400, affordable units should represent 20% of those that are constructed or rehabilitated While the high cost of new construction, the limited availability of subsidy funds and the City's need to expand its tax base mean that much of the housing built in Saint Paul will be rented or soid 99-50 at market rates, the City and its partners should commit themselves to adding to the supply of decent, safe and affordable housing through new construcrion. To that end, the City should encourage the development of housing affordable to households with incomes below 39; 68-an��89 30 percent of the regional median income by a. Investing pub2ic financing in deveiopments where np-ta �8% 50% of the units are reserved for households with incomes below $9 30 cent of the regional median income, with half of those for househoids ' e� minimum wage. and annual income of $11 000 Developments in neighborhoods with little affordable housing and strong housing mazkets provide more than �8 50 percent of their units to lower income households while those in weaker markets should be asked to provide a smaller share. 12c. Asthor Councilmem6er Benanav; Loeatian page 22: 6.4 Among the 300-400 units of housing to be constructed, 20% 69-8A should be affordable to households with incomes below 89% 50% of the regional median, with at least half going to those to be affordable to households with incomes below 38% 30% of the regional median. In the event that the total number of units constructed falls short of 300-400, affordable units should represent 20% of those that aze constructed. While the high cost of new construction, the limited availability of subsidy funds and the City's need to expand its tax base mean that much of the housing built in Saint Paul will be rented or sold at market rates, the City and its partners should commit themselves to adding to the supply of decent, safe and affordable housing through new construcrion. To that end, the Ciry should encourage the development of housing affordable to households with incomes below 39; 6A-an�86 30 percent of the regional median income by a. Investing public fmancing o� in developments where tt�r�e 20% of the units are reserved for households with incomes below SA 30 en rcent of the regional median incom-� chfi+�]d ti -- - - -- - �n .. r.L-=- ---'. i �b� Y •f. ___ _ 1 / L t • L,. ..t...J �' ___ •J _ tt - "� ° r In order to accomplish this eoal. the Citv of Saint Paul, on an annua] basis shall reauire that at least 20 oercent of all publiclv assisted housin developments of 5 units or more either rentai or ownershi� shall be afFordable to families at or below 30 nercent of the metronolitan median income Oniv develonments of 5 units or more aze subject to the 20 nercent reauirement PED STAFF COMMENT ON 11 a and 11 b: [Please note that PED Staff comment was prepared prior to the Benanav proposal, and therefore there are no PED staff comments on 11 c.] The Planning Commission's plan recommends the construction of 300-400 units a year with 60-80 being affordable to households with incomes below 80% of the regionai median and half of those being aifordable to households with incomes below 50% of the regionai median. if totai production does not reach 300- 400, the Commission proposes that the City's goal for the production of affordable units should be 20 percent of total production. In establishing its goal, the Commission's concerns were two: (1) that the goal be achievable with identifiable resources that are Iikeiy to be available over time; and (2) that the goai be in the context of expanding the suppiy of units for households at all income levels. tt is imporiant to note that the plan does not assume that the city's major initiative in the area of 9y-90 affordable housing will be in new production. The plan, rather, hopes to promote a modest addition to the aty's affordable stock each year-to compensate both for demolitions and improving market conditions that have resulted in higher rents. The high cost of new construction and the limited availability of land mean that most of the housing needs of lower income households-�specially those that need family-size units-wilt continue to be met by the existing housing stock. A second important caveat is that production goals do not assume City/HRA will be substantially involved in the construction of all 6,000 units. Indeed, it is the expectation that many of the market units will be privately constructed-perhaps with public assistance in the assembly and clean-up of the land. The lower the income group the housing is expected to serve, of course, the higher the public investrnent that will be required. The impact of the Blakey amendment would be to significantly shift the proportions of new units proposed by tl�e plan, increasing the level of pubiic investment thaf wiit be required. Instead of 20 percent of the units constructed each year being subsidized to the levet required to make them affordable to lower incomes households, fifty percent or two hundred of the four hundred units consVucted each year would require the level of subsidy (for construction and on-going maintenance) comparable to that required for public housing. Staff supports an increase in the goal for the production of affordable units and a reduction in the income threshold provided that: a. The goal remains "in scale" with the production goal for market rate housing; b. The goal is linked to actual production so that if market conditions result in fewer than 300-400 total new units per year, the goal for the construction of affordable units is proportionately reduced; and c. The higher goal is linked with the identification of a new funding source. In establishing a goal for the percentage of any given project that should be affordable to lower income households, a minimum project size for applicable projects (e.g. 4, 8, or 12 units) should be estabiished. COUNCIL RESEARCH COMMENTS ON 11c. Councilmember Benanav's proposal is parallel to one adopted in Minneapolis last summer. The Minneapolis policy reads: " that the City of Minneapolis, on an annual basis, shall require that at least 20 percent of ali publicly assisted housing developments of 10 units or more, either rental or ownership, shall be affordable to families at or below 30 percent of the metropolitan median income. All publiGy assisted rental projects must accept the use of Section 8 rentai assistance either by site-based or portable certificate. Only developments of 10 units or more are subject to the 20 percent requirement " 12. Author Councilmember Blakey; Location page 23: 6.5 The City should �ke�ineF reaf£uni its commitment to the Replacement Housing Policy outlined in Chapter 93 of the Administrarive Code, enswe that there aze units constructed to re lan ce all housine units lost since January1998 and ensure that those units contain the net number of bedrooms lost to demolition. E�sting policy requires that City agencies proposing the demolition of conversion of affordable rental housing shall provide the City Council with an affordable rental housing analysis outlining the impact of the proposed project on the availability of such housing in the City. Under certain circumstances, including when there has been a net loss of affordable rental housing units (those affordable to households with incomes below 55% of the regional median), the director of PED shall recommend the replacement of units slated to be lost. The City Council has final responsibility for approving, atnending or rejecting that recommendation. If the Council determines that units should be replaced, adequate funds to finance the conshuction of those replacement units within three yeazs shall be approved by the agency proposing the project. Inasmuch as the ordinance was adopted in 1989 and has not been revised since then, any issues 5 r 7 relative to its implementation should be identified and addressed as part of the process of implementing the plan. PED STAFF COMMENT: Chapter 93 of the Administrative Code outlines the City's current Replacemerrt Housing Policy. The basic provisions ofi that policy inGude: a. Any request to the Gity Council for approvai of a aty-assisted project that would invo{ve the demolition or conversion of affordable rental housing must be acxompanied by an affordable rental housing analysis that describes the baiance of units produced and units demolished since 1989 as wel{ as market conditions such as vacancy rates and prevailing rents for units of similar size in the city. b. The PED director shall review the anaiysis against the goals for the production and preservation of affordable rentai housing that are to be set forth in an annual housing production plan filed with the aty clerk by January 31 of each year. c. The PED director shall make a recommendation as to whether replacement shall be required and, if so, what kind of units shall be constructed. d. The director sha{I make a recommendation to replace units under any of the foitowing circumstances: i. If the analysis shows there has been a net foss of affordable rental units; ii. If the type of affordabie rental units to be demolished are the type of units that the city has determined through its housing production and preservation goals to be needed in the city and the number of units to be lost equais or exceeds 20. iii. If the affordable rental housing lost is due to an activity funded from one of three federal programs. e. The director shall propose means by which the replacement housi�g will be constructed and financed. f. The city councit shali have final responsibility for approving, amending or rejecting the director's recommendation. The principle benefit of the existing ordinance in addressing the demolitionlrepiacement housing issue is that decision makers, whose responsibility it is to balance competing policy objec6ves, have good information on the impact of the proposed demoiition and a recommendation on how replacement pn be achieved. It does not, however, tie the councif's hands when speafic circumstances might suggest replacing fewer than 100 percent of the units to be lost. lt is good policy and staff recommends that we continue to refy on it—and be more di{igent in meeting its requirements—as the most appropriate response to this issue. COUNCIL RESEARCH COMMENT: Councifinembers Coleman and Lantry have introduced a separate resolution, CF# 99-260, addressing this point. lt 1) reaffirms commitment ta maintaining the needed level of affordable housing in the City of Saint Paul; and 2) requests that the Director of the Pianning and Economic Development Department prepare and present an affordabie housing analysis per Chapter 93 of the Administrative Code by May 26, 1999 for discussion by the City Council. 13. Author Councilmember Blakey; Location page 26, at end.• 6.10 Work to overcome bias in the housine mazket. The City recognizes that over thartv vears have nassed since the oriQinal enachnent of the Federal Fair Housing Act prohibiting discriminarion in housine and vet bias continues to affect Saint PauPs raciai and etlusic minorities the disabled and families with minor children. The task of overcomin� bias must be accented as the joint responsibilitv of federal state countv and Citv eovernments in cooberation with urivate and nonDrofit sectors To this end the Citv wiil sunnort: 1. Svstemic testine in the housin¢ market to identifv bias 2. Enforcement of Saint Paul's human rights ordinance in respeet to housinq discrimination ��i - 50 3. Educational and outreach pro�ams directed towazds housing nroviders includingiandlords rental a�ents real estate sales personnel mort�age lenders pronerty apnraisers and pronertv insurers 4. Outreach vrograms directed towazds nei¢hborhood organizations and district plannin2 councils to nromote erassroots awazeness of the nroblem 5. Creation of a Saint Paul Fair Housine Councii comprised of representarives of citv government, the nrivate sector. communitv agencies and the Minnesota Fair HousinQ Center which shall advise the Citv in its on¢oing work to idenrifv and overcome unlawful bias throu�h testin¢, enforcement. nlanning education and outreach. PED STAFF COMMENT: Policies related to addressing discrimination and enforcement of the Federal Fair Housing Act are important additions to the Housing Plan. Planning staff, however, is hesitant to recommend policies related to the establishment of a Saint Paul Fair Housing Council and systematic testing to identify bias without a better understanding of the City's Department of Human Rights' existing efforts related to Fair Housing and the budget implirations of these recommendations. At the time this report was prepared, that information was not yet available. ALTERNATE LANGUAGE FROM PED 6.10 Work to overcome bias in the housinq market. The Citv recoqnizes that over thirtv vears have oassed since the oriqinal enactment of the Federal Fair Housing Act rohibitin discrimination in housin and et bias continues to affect Saint Paul's racial and ethnic minorities. the disabied and families with minor children The task of overcominq bias must be accepted as the ioint resaonsibiliN of federal state countv and Citv qovernments in cooperation with private and nonorofit sectors. To this end. the Citv witi su000rt: 1. Enforcement of Saint Paul's human riqhts ordinance in res�ect to housinq discrimination 2. Educational and outreach oroqrams directed towards housinq providers includinq landlords rental aaents real estate sales oersonnel mortqaae lenders �rooertv aoaraisers and oropertv insurers 3. Outreach �roarams directed towards neiqhborhood orqanizations and district planninq councils to promote qrassroots awareness of the oroblem HUMAN RIGHTS STAFF COMMENT: Requested by Council Research, forthcoming. 14. Author Councilmember Blakey; Location page 26, at end: 6.11 The City must nlace a moratorium on demolition of structurallv sound rental housins units until the citv's rental vacancy rate exceeds 5%. PED STAFF COMMENT: One goal shared by almost everyone involved in discussions about the Housing Plan is the construction of a significant number of new housing units in the city. Without new production, vacancy rates will continue to decline and rents will continue to increase. The issue raised by this proposed amendment is whether it will encourage, discourage or have no effect on our ability-and the abiiity of our private and non-profit partners-to produce new housing. Because of the limited suppiy of vacant land-especialiy in the neighborhoods-the production of new units will likely involve some amount of redevelopment and the demolition of existing units. The HRA Board, it seems, should have the flexibility to decide that the demolition of one or more "structurally sound" units is justified when new units are being produced. A moratorium would reduce the Board's flexibility and, in the long run, may slow down the process of getting to the point where vacancy rates reach 5°/a. 15. Authors Councilmembers Coleman and Lantry; Location page 26,insert at end: 6.12 The Citv and its nartners should further explore ontions used bv other major metropolitan areas such 7 y9-90 as residential hotels. local trust funds developed from a stream of revenues from real estate transaction fees: zonine changes like inclusion�rv zonine or densitv reauirements 16. Author Councilmember Blakey; Location page 28, at end: 73 Fair Housing Plannin�. Staff assiEned to convene the Housina Coordinarion Team shall also be assigned to the Saint Paul Fair HousinQ Council. as idenrified in 610 above and shall in cooneration with the Fair Housing monitor and evaluate the cit�.pro¢ress on an annual basis The Council shail in cooneration with assigned staff Dresent its findines for inclusion in the Housing Acrion Plan and make such recommendations as may be necessarv and proper to fulfill the_plan and meet obiectives towazds building an inctusive communitv. PED STAFF COMMENT: See comments for previous amendment. PED recommends not adopting this amendment without thorough consultation of Human Rights staff. HUMAN RIGHTS STAFF COMMENT: Requested by Council Research, forthcoming. E:3 •� •� �� Draft Housing Plan Pub4ic Hearing December 7, 1998 Summary of Testimony Major Themes of the Testimony Specifics, measurabie goals. The plan vision is good; needs to be more specific, have measurable goals. Crisis Now. Lack of affordable housing is a crisis now. Very low vacancy rate. Don't deal with a crisis through modest actions; 814 sheltered197 turned away 16,000 are homeless (TC), 8,000 are children 16,000 today will be 30,000 in a few years There's real anger in the community over the affordable housing crisis. Less than 1/4 of poor households have affordable housing. 1n the central cities and first-ring suburbs now there is a shortage of 35,000 units of affordable housing. Regional and City Effort Needed. Support regional etfort, but this shouldn't detract from � importance of City effort to meet low income housing need. "Core cities that have the knotivhow should say that �ve are going to do our share and we expect s�burban communities to do the same." Don't Remove Affordable Units. Seventh Place in particular is a current issue. Many spoke against demolishing any units when the vacancy rate is sa I.o�� and the need for afsordab{e Units so great. Recommendations for the Plan , 1. Add measurabfe goais for affordable housing production/preservation Add measurable goais for households with incomes below 80°/a of regional median Build 400 units per year for a broad '+ncome range Half of the 20 percent that is affordable to households belo�� 80 percent of median shouid be affordabie to households below 50 percent and 30 percent. add an expiicit goal to deal �vitn homelessness Insist on mi�ed income: 20°b afrordable to households belo« 80°,0 of inedian. 2. Add demolition polic}•; preserve ra:her than demolish. Require replacement units in pizce beiore demolition ot atsordable units � 3. lncorporate permanent, lonb term attordability principles (mechanisms such as a land trust or limited-equity coop protect prices from inflationary pressure.) 4. Replace pian's "should," "ought" language with stronger statements. 5. Plan should note role of housing in famiiy stabifity. 6. insist on regional compliance There s(�ou(d be tax penalties for exclusion Offer staff expertise to suburban communities 7. Lead the regional effort required by setting the example: apply fair share to Saint Pauf neighborhoods. Some SP neighborhoods h�ave less affordabfe housing than some suburban communities. No more subsidized housing where current supply exceeds city average. 8. Set meaningful standards (i.e., an income level that is meaningful for the SP population. (Area median $60,000; SP median $36,000} Maximum income of $20,000 would be a meaningfui standard for affordable housing 9. 10. t1. 12. 13. Don't use regional income standards. Strengthen CDCs: front-end admin costs once a pian is approved. Inventory all development resources that couid be used for housing. STAR $ should be designated for housing PED/City should have a director of housing or housing division. Legislative agenda: Need sTrong legislative agenda: 5 for affordab(e housing Make changes in Tax lncrement Firancing to facilitate redevelopment 1z. Diversify and integrate housing types. 75. Encouraje high quafity business and housing environments. Other Comments It ��ill take a lot to rehab the James ) Hill Bldg. That will put more people on the streets. The people �vho need the help ou�ht to be on The panels designing the solutions. Housing availability has sufrered a double evhammy: soaring costs and very low vacancy rate for rental housing. Resources could be better used: apartments can be bought direcrly for less money than is spent on a complicated subsidized rehab like Selby-Dayton. Create jobs, promote development of the urban core, promote business ownership. Don't repea± mistakes of he past: avoid hi�n density/low income, concentrations of poor. � � � qg •.� Draft Housing Plan . Community Review Comments � COMMENT PERSON/ORGANIZATION GROWTH OBJECTiVE - Disagree with the goal of population District 2 Community Council growth. We should concentrate on taking care of the existing housing stock and not "buy" into the Met Council growth management strategy-especially since the Met Council isn't offering any money to assist in the construction of new units. The goal of 6000 new housing units constitutes an "unfunded mandate." DEMOLITION/REPLACMENT - Plan should state a clear policy on LISC demolition of housing; one which places value on preservation of existing housing. This is particularly important given the serious housing shortage that currently exists. - Plan should include a 1 for 1 CSP replacement policy Vic Grossman - There should be a moratorium on CSP demofition of structurally sound rental housing unti� the vacancy rete reaches 6°l0. , - There should be a moratorium on Tenants Union a{f demolitions until adequate repiacement housing is built, until there is evidence that the city has a plan and resources, and untif an impact statement shows that units at ine szme rent are available in the same general area. � - Saint Paul fias a limited amounf of Summit Hili Association housing available for low-income people. Situation is exacerbated by demolition of tow-income housing without replacement. -Moratorium on Yhe demolition of CapitolRiver Council affordable housing until replacement Council of Churches housing is constructed. - Rehabilitation standards for vacant CSP buildings must be revised, with , participation of communiry expertise, to favor preservation of the existing stock rather than demolition (e.g. occupation should be allowed after life and safety codes are met?. L-OWER INCOME HOME OWNERSHIP � Design ways to offer mortgages for CSP people who have either no credit District Seven history or rovho have previous credit problems. - bVhile home o�vnership is part of the Summ'rt Hifl Association ( equation for providin� lo�v cost housing, it is over-rated. Mortgage interest rates may noi remain low. PRODUCTtO��' OF AFFORDABLE HOUSiNG - Should be a clear, measurable goa! for LISC the production of aftordable housing. NEAR . - There should be a commitment to Tenants Union build a specified number of aiiordable housing units. Creation oi aftordable housing needs to be as high a priority as preservation of federallv financed afiordable housin�. '- Gt� needs to activel� seeh funds Summit Hiil Association � a�d deveiop nousinQ ror people with ! ;' lo« mcomes, e_peciai!� ramilies. � � � � �iy-�o � � There should be a significant CSP increase in the production of new rental units, affordable to a range of incomes. At least 50% should be affordable to families making $15,000-$20,000. - Establish a measurabte goal for the LISC production of rental housing. Enlist all area housing players to focus Jim Gabler on national policy and program reform. Adjust and better fund Rental Rehab Jim Gabler Program Offer city staff expertise, and in some Jim Gabler cases fund allocations, to suburban efforts. Address fong-term affordability (i.e., NEAR land trust, limited equity) Rond Community Land Trust Use standards meaningful for city Coalition for the Homeless population-80°!o of regional income Mary Helen Inskip too high Others REGiONAt STRATEGY - While it is important to encourage Summit Hill Association the re;ion to do more, the plan LISC should not imply that St. Paul has done its part. St. Paul needs to do more than point its fingers at other localities. Objective of increasing affordabie housing in the suburbs shoufd not undercut or be used as an excuse for `' St. Paul not to preserve or developm housing that is affordable to iower income residents. - language about work+ng with our Council of Churches regional partners sounds like a license to demolish loev income houslna and dispesse res+dents io i otner communities. � OTNER AfFORDABILITY ISSUES Missing from the vision statement is a Council of Churches commitment that there will be Rondo Community Land Trust sufficient affordable housing to meet the needs of all city residents-that no one or no family will be left hom(eless. In addition to new construction of Summit Hill Association affordable housing, City should seek incentives for landlords to reduce apartment costs, Public funding for projects that witl Tenants Union require additional housing should provide funding for that housing and guarantee that a certain percentage of the jobs are created for St. Paul residents. i�,ny housing development or CSP redevelopment using subsidy of any kind must offer units affordable to households of various incomes-30% of median and above. Good recoonition of value of mixed LISC income housing. 20°'a/80°o mix is somewhat arbitrary and untested in tfiis market. Communit}• expertise should be tapped to determine the appropriate mix. Address supportive housing (mental Mike Castle i H ness) Don't repeat past mistakes of high Ann Woods � density/low income. Don't put affordabie housing in Yseff Mgeni neighborhoods with more than city average. Not enough in the draft to alleviate or Dist 2 Community Council discourage "concentrations of poverty." �tiiore atientior to homeless Johnny Green � Others � � �� G�- ro � � OTHER BARRIERS - Twin Cities is racially segregated. Vic Grossman Housing Plan doesn't make recommendations that would change that. - Integration of incomes would foster CSP integration of races and this must be encouraged. - Plan doesn't address other barriers to Councii of Churches hosuing: racism, application fees, large damage deposits etc. SENIOR HOUSING - Every neighborhood should have � some small ownership housing (condos) for people 55 and over. -Need for housing for seniors selling East Side Seniors modestly priced homes. About haff prefer rental/half some form of ownership or cooperative. Generally preter all-senior building; . Need access to trz�sit and otner services. -Emp[y nestersJseniors want to five in Hamline Midwat CoalitionlN- the neighborhood, but find few MARC options. Seniors don'i �vant to live in hi-rises-�vant to maintain connections 4vith the street and neighborhood activity. -Not clear how City came to Summit Hili Association conclusion that seniors (or others) will �' prefer townhouses and other shared wail options. Market research? Plan should emphasize a mix of housing styles attractive to people of all ages. � ARCHITECTURAL COMPATIBILITY/ DESIGN -Shoutd be more emphasis on H-M Coalition/H-MARC architectural compatibility-ensuring that new construction (and the residents of newly constructed housing) fits in with the existing neighborhood. - What specific strategies will the city Summit Hill Association employ to preserve a mix o{ land uses, a sufficient housing density and qualiry architedure? Changes in the zoning code or design guidelines? - Should be a stronger emphasis on Summit Hill Association historic preservation. Text should say that the City and its partners will significantly increase their efforts.... - Plan should encourage some incentives for private property owners to make existing structures accessible to wheeichairs. - Concern about accessory units Summit HiII Association threatening the stabilih� oi single family neighborhoods. CODE ENFORCEMENT,� h1AiNTENANCE - Emphasize working with properiy H-M Coalition/H-MARC owners before implementing aggressive code enforcement measures. Use carrot �, rather than stick. - Increased fines will only take away Summit Hill Association financial resources that couid be used to fix up properties (esp. for lower income owners). Absentee landlords I ��•ill �ust pay fines and i�nore + problem�-hearingc are a titiay to ; encourage landlord to make repairs. � Reducin� code compliance stafr will ' noc get better compiiance. j � � � �i r- 90 � � � - Plan Vacks recommendations on Fi-M Coalition/H-MARC working with tenants to improve rental housing. - What would weil managed rental Summit Hill Association property look like? How would financial incentives for well managed property be determined? -Strategically focusing rehab efforts in Summit Hitl Association certain neighborhoods may result in deterioration through the rest of the city. Opportunities for public investment should be available in neighborhoods throughout the city. iNFORMATiONISPECIFiCITY - Plan needs to track specific needs and Tenants Union make specific recommendations Vic Grossman (including goals, timelines and St. Paul Council of Churches resources) for more income brackets: LISC minimum wage, 30°!0, 50°l0, 60°/o and 80 �o ot the regional median. - Goals should reflect the demographic and economic realities ot St. Paul residents. - The resources required to produce or preserve these units should be identified. - With greater speciticity comes greater accountability and a� enhanced ability for the City, workin� with its various partners, to secure the public and '` private resources necessary to carry out the plan. - Set goals for 50% of regional median USC rather than 80°'0 of regional median. � - hiissin� data on homelessness and the Council of Churches � � g-oti� in� gap between minimum/actual , � I�. aQes and l i� in� �vages ior tne working � pooc Working poor are working more and able to afrord less. - Lack of emphasis on positive housing Summit Hill Association trends: well built hosuing with historidarchitec[ural significance or interest that are increasingly in demand: moderate income househoids willing to pruchase and rehab existing homes. Plan lacks pertinent info on loss of .. LISC housing units, vacancy rates at various levels of affordability, economic trends etc. MEETING NEW MARKET DEMAND fn area of new production, plan should H-M Coalition/H-MARC emphasize the improtance of buiiding capaciry of residents to understand devetopment options and figure out where opportunities for new construction exist. The City's plan emphasizes bigger developers rather than a neighborhood-driven process. Reinstitue PED Director of Housing Jim Gabler Focus on larger opportunities (Koch )im Gabler Mobil) Dedicate STAR 5 to housing )im Gabler development Recommend needed Tax-Increment }im Gabler Financing and Tax-Exempt Nousing Bond �aw changes. Mandate Income Mix Jim Gabier Inventory all financial resources [hat Jim Gabter could help; put a priorih� on them for hoUSing. Establish Non-Project Administrative Jim Gabler Inducement Fund � � � 99-50 �� OTHER Advisory body should be convened to heip the City Council craft the final housing pian. !-lousing needs to become a high priority in PED. Senio� level leadership and adequate staff resources need to be in piace � �.��sc Local (nitiatives Support Corporation December 9, 1998 The St. Paul Pianning Commission c(� Ms. Nancy Homans City of St. Paul Department of Planning and Economic Deveiopment � 500 City Hall Annex, 25 West Fourth Street St. Paul, MN 55102 Dear Nancy: Enclosed please find a copy of my comments on the draft St. Paul Housing Plan. I appreciate the opportunity to provide input on the ptan. Piease call me if you have any questions. Sincerely, `� t�-�-�-_-�. Steve Peacock Senior Program Officer cc: St. Paul City Council Members Twin Cities Office Hamline Park Plaza, 570 Asbury Street, Suite 101, St, Paul, MN 55704 - TeL (657) 649-1109 • Fau: (657) 649-] 7 72 - �J LJ � 99-qo � �� Local initiatives Support Corporation Testimony on the St. Paul Housing Pian December 7, 1998 Good Evening: My name is Steve Peacock. I am a resident of St. Paul and I am here in my capacity as a Senior Program Officer with the Local Initiatives 5upport Corporation (LISC) in St. Paul. LISC is a national nonprofit community development support organization that provides financial and technical assistance to community development corporations (CDCs) working t� revitalize their neignborimoods. LiSC has been operating in St. Paul for ten years. During that time, we have supported numerous housing improvement and development activities undertaken in St. Paui's neighborhoods — from providing low interest construction financing to CDCs that are acquiring and renovating vacant houses and buiiding new homes on vacant lots - to financing, through the syndication of the low income housing tax credits, attractive, affordable rental housi�g - to working with the City and private lenders to encourage purchase with rehabilitation lending activity in some of the City's � most distressed neighborhoods. { thank you for the opportunity to share some thoughts with you on the draft Housing Plan. Let me start by commending PED staff, particularly Nancy Homans, for the good work that has been done on this plan. I know that Nancy has made herself availabie all over the City for forums and discussions of the plan. I have tracked this plan as various drafts have come out and, from my perspective, it has become stronger over time in large part because of the range of community conversations that have occurred. I'd like to first talk briefly about what I see as some of the strengths of this plan. � (1) The plan articulates a clear understanding of the importance of quality, affordable housing to the health of our City and the stability of families. Framing housing, particularly the provision of affordable housing, as key to the vitality of a City as a place to do business and raise a family, is absolutely right. The Vision Statement is right on target when it speaks to the need for there to be housing options and choices for St. Paul residents across a range of income levels. I encourage you to regularly go back to that vision statement during your deliberations on the pfan to make sure that the final product is consistent with this vision. Twin Cities Office Hamline Park Pfaza, 570 Asbury Street, Suite 101, St. Paui, MN 55104 - TeL (651) 649-1709 • Fax: (657) 649-1112 (2) Within the context of the strategy of "Taking Care of What We Have" I was pleased to see support for focused, strategic, neighborhood based � approaches to residential rehabilitation with CDCs and other neighborhood based organizations playing key roles in identifying target areas and implementing appropriate strategies (Sect. 4.4). From LISC's perspective, recognizing the role of neighborhood based pianning and priority setting with respect to maintaining our existing housing is very positive and is essential to making good fiousing investments in neighborhoods. (3) The high priority given to preserving existing federally subsidized housing is very positive (Sect. 6.3). Given the shortage of affordable rental housing that exists in St. Paul, we need to view these developments as community assets that we simply cannot afford to lose. (4) The plan recognizes the regional context in which St. Paul's housing policies and plans need to be made (Sect. 6.2, 6.2). St. Paul needs to play a leadership role with regard to regional housing issues, particularly working on a regional replacement housing policy. That being said, however, the objective of increasing affordable housing in the suburbs should not be used to undercut or weaken St. Paul's own commitment to preserve or develop housing that is affordable to lower income residents. There are a number of areas where I feel the plan should be strengthened. � (1) Throughout the plan, specific, measurable goafs should be established to �� address housing needs at various affordability levels (from 30% of area median to 80%). These goals should reflect the demographic and economic realities of St. Paul residents — that is, who will be living in this community and what incomes they will have. I urge you to be clear on what standards of atfordability you use whert setting these goals. Housing affordable at 80% of the metropolitan area median income is out of reach to many St. Paul residents. With greater specifieity around goals comes increased accountabitity for implementation. In addition, specific goals enhance the ability of the City, working with its partners like USC, to ieverage resources for affordable housing development. It is hard for LISC to help coalesce support from the corporate and phifanthropic sectors around a goa( of stimu(ating a"modest increase" of new affordable housing units. It is easier if there is a specific, measurab(e goal that reflects a high tevel of commitment on the part of the City to providing affordable housing for St. Paul residents. � 9�-�0 � (2) When setting those goals, there is some pertinent information that needs be assessed. In particular, infiormation on the loss of housing units (the . numbers, affordability levels, and types) and economic trends such as wage levels and job growth should be considered when setting housing production goais to ensure that the plan reflects the needs of St. Paul residents. (3i The plan should address housing demolition. A clear housing policy related � to demofition is needed to ensure that vafue is placed on preserving the existing housing stock. This is particularly important given the serious housing shortage that currently exists. (4) The recognition in the plan of the importance of mixed income housing development is positive. There are many communities across the country where mixed income strategies have been done successfu(ly. However, the 20% at 80% mix is somewhat arbitrary and should be explored further to make sure it works for the St. Paul environment. Let me close where I began my comments. You have in front of you a plan with the stated vision of "meeting the needs of both those who have considerable economic choice and those who have fewer choices." This is the right vision for St. Paul. But without setting more specific goals, particularly related to preserving � and devefoping housing that is affordable to lower income residents, I'm concerned that this vision will not be realized. Thank you again for this opportunity. � _ � G Fro�;to Comm Deve lopuient Co ozation � -�—. _ _ .�_.. — sas ntarm �o�e sueet re�eano�e �ss�129e-ssao St. Pau4 n�W 551p3 MEMORANDi1M To: St Paul Planniog Coaunission St_ Panl City Council From bawn Goldschmitz, Executive Dsector Date: December i l, 1998 Re: GFCDC Commerns on the Draft St. Paul $ovsing Plan As a piovider of affordable hoe�smg and home $nproveaieet resources m the Thomras Dale District � neighbozhoods, the Greater Frogtowa Co�y Developmeat Corporation is acutelY iaterested in the discussions revolving azound the Drafc St. Pcul Housi�rg Plan. We see this piam►ing process as a tiarely opportunity for the citizens of St. Paut to take stock of the city's current housing environn�ent, the social pressures affectinS hous,rog (svch as welfate reform and population growth) wtuch are coming to a boil, and the poteniial b+ousing demands � of the coming decade. We have the aPportunity, wbich we should not squander, to create a blueprurt for our fitttu�e — one w�ich will realistically laq out the methods ihrou�lt which St. Paul can provide housing optiwns for a wide range of markets. We co� the thou�htful work of the Planning Conomission on tHis politicaliy "hoY' issue_ We apptaud the tireless efforts of Nancy Homans as the Planaiog Comm;��;�,�'S ambassador to the nrighborhoods, and as the author of the document. She has attended countless �nama►ity meetimgs, most of them during the evenmg haurs, ard has served tbe City welL We have some connneats on the plan which we hope the Plnnning Commission and the City Cow�cil will find conisttnctive. These commeats are s�arizcd in the following eigtrt recommeadations: �. I) 3'hroughout the plan, specific aieasurabie goats should be added to address h4using needs at various affordabiliry levels. The plan should state specific goals for Imus'v�g ava�7ab�ty ro families aad 'mdividuals with incomes at 30 peiceat, 50 percem, and 80 percetrt of madiau income. 3'he �oals shoutd rtflect the malities of St. Paul; ie. Ss. Paui's median income <ro,ighYy ss7,000) is oonsiaerabry Iess than che brcuopolicaa scaaaara Inoomc (s6o,1 so). rhe resourees required to produce these units should be identified. Without this kvel o£speciScitY there is a lack of accowntab�ty for delivering on the suategy. With it, the citizens of St. Pau7. can 1io1d firtvre administrations accountable for imp�memation of the plaa This levet of specificitY wi�l atso s�n�gt�ii-• t° secure pubhc and pnvate i�ousmg � resources. � � DEC 1 1 1998 PCANNING & ECONOMIr ry�vE�OPMENT 59 2) The plaa should ackxwwledge the zegiaasl nature of St. Pau!'s housing sit�xa.tioq but not m a way that undercuts the needs of St. Paul's residents. In other words, looking to the suburban � � commimities to build hovsing thai is affordable to poor St. Paul residents is a weak strategy, a� one which St. Paul kias no authoriiy to en£o�ce. It is unlikely thax the suburbaa cou�unities will build housing at the scale and affordability levels necessary to house St Paul's poor residents; it is also unreatistic to be]ieve that a majority of these famiaies well want to kav� the city for subvrban life. 3) The plan should state a clear policy on demolition of housmg; one which places value on preservation of erdsting ho»� while the city suffers from a serious kousin� shortage. �� Methods shouid be explored zo lighten the code enforcement requir�a�ents foz raoccupation of vacaut ho end very 9ex9ble sources of fimding should be made available for conection of code violarions, at least tmbl such time as the vacancy tates Ioosea up. 4) The suggested mix of affordabHity leveLs in n�ew devebpment should be explored. The plan suggests that developments m neishborhoods with little affoxdable housin� and strong bousing markets should be encouraged to provide 20 percent of thea imits to lower income households w}ri1e those in weaker markets shou]d be asked to provide a sma)ler share. The tweaiy percent figure is arbitrary aad untested in the St. Pau! mazket; m some cases this mix of housing could create class conflict or cost more in public subsidy dollazs for both the lower income and the higher income umts. Community expertise shouTd be sought in mak"vag decisioas about tbe appropriate mix of i�oas�s. S) The piaa lacks certain pertineirt information. How many units of housing haae we lost in �`� the past decade, and at what affordabitity leveLs? Are the units lost through public heatth enforcement being courned? �Tow mazry have been replaced (1: l) tluough new construction? Are rehabbed emits bemg wimted as �w or as preservation? What is the net loss of affozdable uniu? And how are economic trends (such as job creation and wage levels) impacUng to ability of residents to access housing? A thorough assessment of these treads will enlighten t6e discussion and produce a aare mfom�ed plan. , � TLe plan should state a clear, measurable goai to step up the produclion ofaffordable housing to meet tBe existing and growing needs of the communiry. Ia iu cuaeat form, the plaa is �a-committal on this issue, stating that the city should "stimolate construction of a modest munber of new affordable units each year." A possible benclm�ark for progness ioward this goal is a change m the vacancy rate. 'n The City Counc� should name an advisory body, n�presentative of a broad base of irrterests but with a sigadficant level of housing expertise, ta help craft the dra8 plan mto a more spacific plau for imglemcauation. 8) Iiousing must become a high priority within �ED. Seirior leve! 7eadership and adequate staff resowces should be x�aa�d to imglament ttbe plan — kvels of expectstions should be stressed. Without this level of commitment St. Paul will faii to meei the housing demands of its growung and chanP�'g PoPulation a�d social st�esses wiII mushroom. r ��EIVEQ, oEC � t 19g8 p�pN}�� g �rp*t(?MiC �EVELOPMENT, � � ��sc Local �nitiatives Support Corporation December 9, 1998 The-St. Paui Planning Commission c/o Ms. Nancy Homans City of St. Paul , Department of Planning and Economic Development 1500 City Hall Annex, 25 West Fourth Street St. Paul, MN 55902 - Dear Nancy: Enclosed please find a copy of my comments on the draft St. Paul Housing Plan. I appreciate the opportunity to provide input on the plan. Please call me if you have any questions. Sincereiy, `�l�� Steve Peacock Senior Program Officer cc: St. Paul City Council Members Twin Cities Otfice Hamline Park Plaza, 570 Asbury Street, Suite 7O1, St-Paul, MN 55704 - -Tel:(657}644-i709•fax:{65i}649-tt12- � � � 99-�0 � �� Local Initiatives Support Corporation Testimony on the St. Paul Housing Plan December 7, 1998 Good Evening: My name is Steve Peacock. I am a resident of St. Pau� and I am here in my capacity as a Senior Program Officer with the Local Initiatives Support Corporation (LISC) in St. Paul. LISC is a national nonprofit community development support organization that provides financial and technical assistance to community development corporations (CDCs) working to revitalize their neighborhoods. LiSC has been operating in St. Paul for ten years. During that time, we have supported numerous housing improvement and development activities undertaken in St. Paul's neighborhoods — from providing low interest construction financing to CDCs that are acquiring and renovating vacant houses and building new homes on vacant lots - to financing, through the syndication of the low income housing tax credits, attractive, affordab4e rental housing - to working with the City and private lenders to encourage purchase with rehabilitation lending activity in some of the City's most distressed neigfiborhoods. • I thank you for the opportunity to share some thoughts with you on the draft Housing Plan. Let me start by commending PED staff, particularly Nancy Homans, for the good work that has been done on this plan. 1 know that Nancy has made herself available all over the City for forums and discussions of the plan. I have tracked this plan as various drafts have come out and, from my perspective, it has become stronger over time in large part because of the range of community conversations that have occurred. I'd like to first talk briefly about what I see as some of the strengths of this plan. � (1) The plan articulates a ciear understanding of the importance of quality, affordab4e housing to the health of our City and the stabifity of families. Framing housing, particularly the provision of affordable housing, as key to the vitality of a City as a piace to do business and raise a family, is absolutely right. The Vision Statement is right on target when it speaks to the need for there to be housing options and choices for St. Paui residents across a range of income levels. I encourage you to regularly go back to that vision statement during your deliberations on the plan to make sure that the finaf product is consistent with this vision. Twin Cities Office Hamline Park Plaza, 570 Asbury Street, Suite 707, St. Paul, MN 55104 _ Tel: (6511 649-1109 • fax: t651) 649-1112 (2) Within the context of the strategy of "Taking Care of What We Have" I was � pleased to see support for focused, strategic, neighborhood based approaches to residential rehabilitation with CDCs and other neighborhood based organizations playing key roles in identifying target areas and implementing appropriate strategies fSect. 4.4?. From lISC's perspective, recognizing the role of neighborhood based planning and priority setting with respect to maintaining our existing housing is very positive and is essential to making good housing investments in neighborhoods. (3) The high priority given to preserving existing federally subsidized housing is very positive (Sect. 6.3). Given the shortage of affordable rental housing that exists in St. Paul, we need to view these developments as community assets that we simply cannot afford to lose. (4) The plan recognizes the regional context in which St. Paul's housing policies and plans need to be made (Sect. 6.2, 6.2). St. Paul needs to play a leadership role with regard to regional housing issues, particularly working on a regional replacement housing policy. That being said, however, the objective of increasing affordable housing in the suburbs should not be used to undercut or weaken St. Paul's own commitment to preserve or develop housing that is affordable to lower income residents. There are a number of areas where I feel the plan should be strengthened. � (1) Throughout the plan, specific, measurable goals should be established to ° address housing needs at various affordability levels (from 30% of area median to 80%). These goals should reflect the demograpfiic and economic realities of St. Paut residents — that is, who will be living in this community and what incomes they will have. I urge you to be clear on what standards of affordability you use when setting these goals. Nousing atfordable at 80% of the metropolitan area median income is out of reach to many St. Paul residents. With greater specificity around goals comes increased accountability for implementation. In addition, specific goals enhance the ability of the City, working with its partners fike LISC, to leverage resources for affordable housing development. It is hard for LISC to help coalesce support from the corporate and philanthropic sectors around a goal of stimulating a"modest increase" of new affordable housing units. It is easier if there is a specific, measurable goal that reflects a high tevel of commitment on the part of the City to providing af#ordable housing for St. Paul residents. � 9s-�o � (2) When setting those goals, there is some pertinent information that needs be assessed. In particular, information on the loss of housing units (the � numbers, affordability leveis, and types) and economic trends such as wage levels and job growth should be considered when setting housing production goals to ensure that the plan reflects the needs of St. Paul residents. (3) The plan should address housing demolition. A clear housing policy related �, to demolition is needed to ensure that value is placed on preserving the existing housing stock. This is particulariy important given the serious housing shortage that currently exists. (4) The recognition in the plan of the importance of mixed income housing \, development is positive. There are many communities across the country where mixed income strategies have been done successfully. However, the 20% at 80% mix is somewhat arbitrary and should be explored further to make sure it works for the St. Paul environment. Let me close where 1 began my comments. You have in front of you a pfan with the stated vision of "meeting the needs of both those who have considerable economic choice and those who have fewer choices." This is the right vision for St. Paul. But without setting more specific goals, particularly related to preserving � and developing housing that is affordabie to lower income residents, I'm concerned that this vision will not be realized. Thank you again tor this opportunity. � FROM : PHOn� rio : ��. ii i99e ii:3�Ari Fi FAX COVER SHEET Great� Frog[own Commumity Dava/opmenf Corporation 684 North Dale SYreet SL Pauf, MN 5510.? Phona (65t)298-898Q Fax (651) 224-7348 �uryMt D ReWYASA�' ❑ P(sueeommmt � Plasaereview � Foryowinfomwfion TotBfPeges. bcWdm9 cover � COMMEMS ............................................................ ............................................................................................................................................................... .....,.......� ................................................................_..................................._.............----`----._....-------_.._..__ _..... _---__ . ____ _ __. ............... ........ ......_................................................. . . ..... ..... ,........ ..........._.........................._......................----.................................................................. ................................... ... . . . . . . ....... ....... ....... .................. ................................................... . ........... .............................................._.._......_.........._.... . .. ... ........... ..................................__.................................._..................... ........ ......................__............__.............................................................. .. ......... .................. ..... ............ .................................................................................... . ............_`..............................._........_...........................................,., _ ......................................................._........ .,,..........................................._.........._..................................... .... . . ... . ...... . ................................... ........ ..................................._.._.._......_._........_.............._......................... .. . . . . .. . . ...................................................................................... .._........_ .......................... ... . . . . . . .. ... . ............. ..................................._........... ...........,..........,............_.......__........................................ ....,, � ................. ...............................................,.......................... ............., , . ...... ............................................................................................... ..::-::::� � :........:....:: -:�:::::::::.::::��EG��UE� :: -:::::�::::::� :::::::::::::::.:::-::_::::::: �::::::::::::::::-: ::: :-� �:�::::::::� �::::::::::-:_::::: :::�: .... ........................... .................... . .......................... .......................... .............................. ......................... ........... ....... ......... _..........................._........ ..........._......... ..... .... .................................... ....................,.. ......._............_......_......._ ....................o�c... �....�...�s�:�::_:::::��::.::�:_:.:..::...... .............................. ..._. .... ..................................... ............. .......... ................................................................................................................................................................................................. ..._ ............ ........................... .. .. .. .... ..... ........ ... .... ..... . . ............ ...... .... vi nNNING & ECONOMIC D�. ................................................................... � � � FROM : PHONE Np. : Dec. 11 1998 11:37AM P2 � ' �f9-90 � _� Gr Frogto Conun Deve Iopment Co zation t __ _�___ sav rt«n, �o�a sueet re�ano�e �ss�} Zse-s9eo St PoN. lvw 55103 MEMORANDITM To: St Paul Plannmg Coamnission St. Paui Ciry CouncH Prozn: Dawn Goldschnutz, Executive Dssector Date: December 11, I998 Re: GFCDC Comments on the DraR St. Paul I�ousing P1an As a provider of affordable housing and home impmvement resources m ihe Thomas Dale District 7 neighborhoods, the Greater Frogtowa Community Developme� Corporation is acutely imferested im the discussions revolving around the Drafr St. Paul Houri�rg Plan. We see this planning process as a timely oppoztunity for the citizens of St. Paul to take stock of the city's currern housing environment, the social pressures affecting honsing (such as welfare � reform and populaCion growth) which are commg to a boil, and the poteaiial housing dewaads of the coming decade. We bave the opportunity, wlrich we should not squaader, to create a blueprim for our future — one which will real'utically lay out the methods through which St. Pau! can provide housing options for a wide range of markets. We co�end the thoughtful work of the Planning Comusission on this politically "hoY' issue. We applaud the tirekss efforts of Nancy Homans as the Planning Commusion's ambassador to the neighborhoods, and as the author of the docuiaent. She has attended coundass coaurnmity mee2ings, most of them duting the evening hours, and has served the City well. We have some comments on the plan which we hope the Planning Commissiom sad the City Council will5nd aonstruCCive. The9e Comments are c„mma'i��d i'n ihe following eight recommendations: � i) Throughout the plan, specific mea�surable goaLs should be added to address honsing needs at various affozdability levels. The plan shouid state specific goais for housing availability to families and 'sadividuals with incomes at 30 percent, 50 perceat, and 80 percent of inedian income. The goals should reflect thc x+ealities of St. Paui; ie. St. Paul's median income (rougtily $37,000) is eonsidesably less than the Metropolitaa Staadard Tnconnc (560,180). The zesources reQuired to pmduce these units should be identified. Without tLis level of specificity, these is a iack of accountability for delivering on t}re suategy. With it, tiie citizens of St. Paul can hold futtue administrations accountable for im�pkmemation o£ the plan. 7'his tevel of � specificity witl atso s� �tF'i�eii �abil�iy to secure public and piivate ho �v resources. r �..v. DEC 1 1 1998 PCANNING & ECONOMIC pNELOPMENT FR0t�1 : PHONE N0. : Dec. 11 1998 11:38AM P3 2) The P1an shQUld acknowledge the zegional natute of St. PauPs housin� sitaation, but not m � a way that undercuts the needs of St Paui's residents. Tn other wozds, looldng to the suburban communities to build hovsing ihat is a&ordabk to poor St. Pau2 raidents is a weak strategy, and o�e which St. Paul has no authority to enforce. It is unlikely thai the suburban cox�n►ties wilI buiid housu� at the scale and a$ordability kvels necessary to house St. Paul's poor residents; it is atso unrealistic to believe that a majoziry of these families will want to kave the city for suburban life. 3) The ptan shouid state a cleaz po&cy on deraolition of housmg; one which places value on preservation of existiag hoiismg while the city suffers from a serious hovsing shortage. �• Methods should be explored to lig�uea the code enforcezaern sequiremems for reoccupation of vacaat housing and very 9exSble sources of fimding shouid be made availabie for coaection of code violatioas, at kast � such tinxe as the vacancy cates loosen up- 4) The suggested m»c of affordab�ty levels m new development should be explored The plan suggests thai developments m neighborhoods with ]ittle affocdable hovsing aad mong bousiag mazkets should be encouraged to provide 20 porcent of theu units to lower in,come households while those � weaker markets should be asked to provide a smatter share. The ��Y P�t fib'� is arbitcary and uniested 'm the St Paul mazket; m some cases this mix of fiousing could create class conflict or cost more ion public subsidy dollazs for both the lower income and the tagfier income umxs. Commuaity expettise shoukl be sought in making dec'sions about the appropriaYe mix of inco�s. 5) The plan lacks certain peitiuent infoimation How maay units of housing have we lost in � the past decade, and at what a$ordability kvels? Are the unats lost through pubfic heahh enforcement being wiurted? How n�ry have been replaced (1: I) ttnrough new conswctioa? Arc rehabbed units being coimted as new or as preservation? Wliat is the net loss of affordable imits7 Arsd how az�e ecorwmic trends (such as job creation aad wage kvels) impacting to ability of residems to access housing? A thorough assessment of thesc treads will enlightea the discussion and produce a more mformed p1an. 6} Ihe plan should state a clear, measurable goal to step up the production of affordable ho"�+*�g to meei tbe eJastiag and growing aeeds of the commuaity. In iu curreat foim, tbe plan is non-committal on this issue, statmg tl�at the city should "stimulate construction of a modest munber of new affordable imits each year." A possi�le beaclm�ark for progE�ess toward this goal is a change in the vacaacy raie. 'n The City Couac� s�uld nsme an advisorY bodY npresentative of a broad base of interescs but with a signiScant Ievel o£housing expertise, to help cta$ the dcaft plan mto a more specific pl� for anplementaiion. 8) Honsing must become a high priority within �ED. Seaior level ieadenhip mad adequate sta$msources shov}d be rlaa�d to implement the p�an —]evels of expectations should be stressed. Without this level of commitmcnt St. Paul w�l fail to meet the housing demands of its growung and chanSmg PoPulation and social sttesses wiII mustaoom. R�CEIVED; DEC t t �$ �J � r 1 u PlAFINIfl6 & ESO"lOM1C 9EVELOPMENT �- 9U � METROPOLITAN INTERFAITH COUNCIL ON AFFORDABLE HOUSING MICAH L�` 'Do Justice, love me�cy, walk humbly wfth your God.' December 8, 1998 The St. Paul Planning Commission Attn: Housing Plan Task Force 25 W. Fourth St., Suite 1300 St. Paui, MN 55102 Dear Members of the Housing Plan Task Force: Micah b:8 Thank you for allowing MICAH the opportunity to respond to the 1998 St. Paul Housiag Plan draft, both through our pubiic testimony at the December 7, 1998 hearing and now in writing. The Metropolitan Interfaith Council on Affordahle Housing (MICAH) is an inter-faith organization that works to promote public policies that ensure decent, safe and affordable housing for everyone in the Twin Cities region. Our membership consists of over one hundred congregations of all faiths from across the metropolitan area. In addicion to its public polic}� work. MICAH has advocated for the development of new affordable housing in several suburban communities, including Maple Grove, ?vlinnetonka, and New HoFe. In general, MICAH believes fr,at the St. Pau1 Housing Plan is well concentualized and we appreciate the hard work incolved in developing this dra8. ��e particularly appreciate the � recognition of housing as critical regional issue and the plaa's focus on housin� pre;ervat:on. However, we do have some specific observations and concems about the plan as it stands. While we applaud the plan's emphasis on the preservation of cunent housing stock, we are troubled by the fact that the plan fails to delineation what resources the city will direct towards housing rehabilitation and maintenance. We would like to see a specific proactive plan to preserve the city's existing housing stock, which includes a concrete commitment of city resources. � i) MICAH would like to see the plan outline a policy on the demolition of housin� units which includes a moratorium on the demolition of structural3y sound affordable housing and a . policy which ei�sures that affordablc hcusina units are replaced before demolition, to ensure that tenants are not unnecessarily dispiaced. This is a necessary step towards closing the gap between the demand and supply of affordable housing in St. Paul. 2) Although the plan states that St. Pau; will encouza�e the development oF some 300-400 housing units per year, half of which will be in city-promoted azeas of development along the river and near doivntown, the draf; does not offer sufficient numeric goals as to how many o£ these new units will be affordable to low-income residents of the city. With the gap between low-income household� and affordable units �rowing, it is imyerative that the city target an adequate amount of its new� housing development to people with very low incomes. RECEIVED � . OEC i 4 1998 Minnesota Church Center, Suite 310 122 West Frnnklin Avenue Minneapolis, MN 55404 ��ttac & �coxoMic uEVp.oeM�¢ Phone: (612) 877-5980 Fax: (612) 813-9501 www.micah.org 3) � According to the current plan, a portion of new housing units will be affordable to households with incomes below 80% of the regional median ($48,600 per yeaz). Unfortunately, there aze thousands of households in Saint Paul whose needs will be entirely unmet by this goal. The city must include specific goals to meet the housing needs of those households who earn at and below 50% and 30% of the regionai median income. 4) The plan draft "chailenges" the entire metso community to ensure low-income housing and � acknowledges ihe increasing centralization of affordable housing in the central cities. The plan states that Saint Paul wIll support a deconcentration and region-wide sharing of affordable units. Although the affordable housing crisis is a regional issue, MICAH feels that the city cannot exempt itself from its responsibility to provide affordable housing for its current residents. The pIan currentiy offers no commitment to the construction of affordable iini within the city limits. 5) As written, the plan is ambiguous about the ciry's acivat commitment to the construction, � rehabilitation, and preservafion of affordable housing. This ambiguity should be clarified with specific numeric goals reflecting the demographic and economic make-up of the city. The plan should also outline specific strategies for construction, rehabilitation, and _ preservation. In order to ensure that the city develops a solid commitment to housing, we recommend that a task force be created to provide a mechanism for commvnity iaput in the final development of the plan. We ask that this task force include substanrial representation from low income people, housing advocates, and mearbers of the faith community. There are three fundamental moral beliefs joinfly affumed by Cluistian, Jewish & Islamic faith communities in Minnesota: • Every person has God-given dignity and worth. • Human dignity is protected and realized in community. • Poor and vulnerable members of society deserve economic and social justice. Because all people have dignity and worth, no one, regazdless of income, race, or where they live in ihe region, should be deprived of adequate opportunity to obtain decent shelter, work, or meet o:her basic needs. I: is our rasponsibility to buld an3 shape the r�gion and its many com.munities to ensure that all who live here have such opportunity. Thank you for your consideration of our comments. We will look forwazd to your response. Sincerel r Joy Sorensen Navarre Executive Director RECEIVED DEC 14 1998 � � � el�Nruac & EcoNOMic n�vE:nebtENt �19-9L� � Rondo Community Land Trust TO: St. Paul City Council and St. Paul Planning Commission Members FROM: Zula Young, on behalf of The Rondo Community Land Trust Board of Directors RE: Draft Affordable Housing Policy Paper. Written comments for St. Paul City CounciUPlanning Commission public hearing on Monday, December 7` DATE: December_7, 1998 . . Thank you for your time this eveninD. My name is Zula Yaung and I am the Vice Presicient for the Rondo Community Land Trust Board of Directors. I am speaking on behalf of the Board this evening. The Rondo CLT provides affordable housing in the Summit-University and Lexington-Hamline neighborhoods here in St. Paul. The draft Housin� Policy Plan before you is a very good start. There are however some areas that should be expanded and � stren�thened. St. Paul has the opportunity with this report to create the framework to provide safe, decent and affordable housina for all of the residents of St. Paul, now and future residents. It is imperative that the City Council and PlanninQ Council first insure that all residents live in safe and affordable housing, currently they do not. Every person deserves to live in the same decent, safe housing that you and I live in. The Rondo CLT has developed an affordable housing paper that will be submitted to the City Council and Plannina Commission. Tonight, I wi11 address the recommended changes to the draft plan. Page 1. The Vision. A paragraph needs too added that talk about the role of housinQ in family stability. � � Page 2, Draft Housing Policy Remarks for December 7� Public Hearing The Introduction. One other theme within the plan must be the: � _ 1 Z, Re�lacement before demolition and disnlacement. Page 2. St. Paul part of regional system. Add the following: St Paul o�cials need to �ush for a tnte re�ional policv that requires compliance throuahout the region for a fair share of affordable housina throu�hout the region, St. Paul policv makers must work with Minnea�olis officials in forcinQ the Metropolitan Council to in force �olicies that ensure atl suburban municipalities complete low-income housin� proiects or repav the funds used to extend raads. sewers and water lines into the corn fields. Page 5. Key Trends Add the followin�: � d One to one replacement of low-income. No unit demolished until its r�lacement is complete. Page 6. Meet I\Tew Market Demand. Insert low-income housin� in the first section so it would read: Encoura ihe production of 300-400 bf low income housinQ units a vear that can be sold or rented to smaller households- either new vounQ households or older emptv nest and senior citizen households. Page 7. Add to Section c. Provide gap fmancing when necessary to_ iii. Ensure that 300-400 units annuallv are affordable to households ��ith incomes below 80% of re�ional median. � %q-90 � j \\r (o� a11 � e A �; � < - � , Healt� Care �or tlie Homeless ancl HouseCal�s �\ 4 �aer the S� December 10, 1998 -}�� lain �Jtreet �aint �au�, �iiiinesota 7�1�2 (6] 2) 290-651-� (612) 290-681 S (fax) RECEIVED DEC i 1 tigg$ The Saint Paul Planning Commission Attn: Housing Plan Task Force 25 W. 4th Street, Suite 1300 Saint Paul, Minnesota 55102 Deaz Members of the Planuiug Commission of the City of Saint Paul: r, �� 41.��'�� :�� As current and former residents of the City of Saint Paul and heahh caze professionals serving the home- less population of the City we wish to comment on the proposed Saint Paul Housing Plan. Housing is a health care issue. Unavailable and unaffordable housing aze major reasons our clients aze shelteied and iesheltered in homeless shelters. Unsheltered members of our community suffer from extremes of weather, frostbite, hypothermia and dehydration. Children in substandard housing aze more at risk of lead poisoning and asthma which is triggered by rodent droppings. The mental and emotional health o£ men, women and children are affected by the lack of affordable housing. Stable communities �\� address the need for stable housing at all economic levels. How does the plan addrnss the need forspecial vulneiable populatiors in need of specialized housing? The tmmeless clieAts we serve aze in immiediate need of decent, affordable housug. They are not abshact , figiues and their incomes fall way below even the city's median income let alone the �egional median � incame. We encourage the Plazmu�g Conmussion ta set clear, definable objecNves for the City of St, Paul to connnit to in regaed to building more affoidable umis which ieflect the lower median income of the city's population. We welcome the City of Saint PauYs efforts to affect regional housing policies sup- porting more low income housing for which our client population has a critical need. We aze very much aware of the NIMBY attitude in neighborhoods where affordable housing is under represented. How will the city add�ess these attitudes? We ask that you engage the creative energies of those worldng in the low-cost housing, health and social service arenas to assist you in planning to meet the growing need for low-cost housing in the City of Saint Paul. Sincerely, � �c��y�!CG��r�w-- R/L�G� iu,�� resided in city for IS years Mady Jean erin / Karen Bollmann �ce Manager Clinic Assistant UoIunteer and Donations Coordinator 2190 Mailand Road � �su�.�. Ma�-�,e�. Susan Mather Public Health Nurse 958 Aurora Avenue U'Y^C� Stacy Zitnmer Social Services Coordinator resided in city for 3ll2 years _ a program of �cst sic�e � ommuniErJ Hea�t�i il�ernices METROPOLITAN INTERFAITH COUNCIL ON AFFORDABLE HOUSING 'Do justice, love mercy, walk humbly with your God." Micah 6:8 �� December 8, 1998 The St. Paul Planning Commission Attn: Housing Plan Task Force 25 W. Fourth St., Suite 1300 St. Paul, MN 55102 Dear Members of the Housing Plan Task Force: Tkank you for allowing MICAH the opportunity to respoad to the 1998 St. Paul Housing Plan draft, both through our public testimony at the December 7, 1498 hearing and now in writing. The Metropolitan Inierfaith Com.ci; on Affordable Housing (MIC1`.H) is an inter-faith organizaiion tl,at works to promote public policies that er,sure dzcent, safe and afiordable housina for everyone in the Twin Cities region. Our membership consists of over one hundred congregations of all faiths from across the metropolitan area. In addicion to its public polic}� work. MICAH has advocated for the deveIopment of new affordabie housing in severzl suburban comur.uiities, including Maple Grove, �vIinnetonka, and New Hope. In general, MICAH believes ti-.at the St. Paul Housing Plan is well conceptualized and we appreciate the hard work incolved. in developing this drafr. We particulazly appreeiate the receg�vtion of housing as criticaJ regional issue and the plan's focus on housing preservation. However, we do have some specific observations and concems about the plan as it stands. While we applaud the plan's emphasis on the preservation of current housing stock, we aze troubled by the fact that the plan fails to delineation what resources the ciTy will direct towazds housing rehabilitation and maintenance. We would like to see a specific proacrive plan to preserve the city's existing housing stock, which includes a concrete commihnent of city resources. � 1) MICAH would like to see the plan outline a policy on the demolition of housing units which includes a moratorium on the demolition of structurally sound affordable housing and a .zplacemeai �olicy whicii ci,�ures sha? altardabie hcusiaa unirs are replaced befo: e demolition, to ensure that tenants are not unnecessarily displaced. This is a necessary step towazds closing the gap between the demand and supply of affordable housing ut St. Paut. 2) Aithough the plan states that St. Paul wilI encourage the devetopment of some 300-4d0 � housing units per yeaz, half of which will be in city-promoted azeas of development along the river and near downtown, the draf: does not offer su�cient ntuneric goals as to how many of these new units will be affordable to low-income residents of the city. With the gap between low-income households and affordaole units growing, it is imperative that the city target an adequate amounY of its neu� housing development to people with very low incomes. RECEIVED DEC 1 4 1998 Minnesota Church Center, Suite 310 Phone: (612) 877-8980 722 West Franklin Avenue Fae: 672 813-4501 �INING & ECONOMIC DEVELOPMENS ( ) Minneapolis, MN 55404 - _ www.mfcah.org s � � 9q- �c� , � 3) \ According to the current plan, a portion of new housing units will be affordable to households with incomes below 80% of the regional median (�48,600 per year). Unfortunately, there are thousands of households in Saint Paul whose needs will be entirely unmet by this goal. The city must include specific goals to meet the housing needs of those households who eam at and below 50% and 30% of the regional median income. � 4) The plan draft "challenges" the entire metro community to ensure low-income housing and aclrnowledges the increasing centralization of affordable housing in the central cities. The plan states that Saint Paul will support a deconcentration and region-wide sharing of affordable units. Although the affordable housing crisis is a regional issue, MICAH feels that the city cannot exempt itself from its responsibility to provide affordable housing for its current residents. The pl�n curently offers no commitment to the construction of afferdable units within the city limits. 5) As written, the plan is ambiguous about the city's actual commihnent to the construction, � rehabilitation, and preservation of affordable housing. This ambiguity should be clarified with specific numeric goals reflecting the demographic and economic make-up of the city. The plan should also outline specific strategies for construction, rehabilitation, and preservation. In order to ensure that the city develops a solid commihnent to housing, we recommend that a task force be created to provide a mechanism for community input in the fmal development of the pian. We ask that this task force include substantial representation from low income people, housing advocates, and members of the faith community. There are three fundamental moral beliefs jointly affirmed by Christian, Jewish & Islamic faith communities in Minnesota: • Every person has God-given dignity and worth. • Human dignity is protected and realized in community. • Poor and wlnerable members of society deserve economic and social justice. Because all people have dignity and worth, no one, regazdless of income, race, or where they live in the region, should be deprived of adequate opportunity to obtain decent shelter, work, or meet ott:er basic r.eeds. It is our:espcns:bilitp te bUi:d an� shape uhe :egien and its mar.y com.r.zunities to ensure that all who live here have such opportunity. Thank you for your considerarion of our comments. We will look forwazd to your response. Si cerel � Joy Sorensen Navarre Executive Director RECEiVED DEC 1 4 1998 Bl'Al'1NING & ECONOMIC DEVELOEME�LL Rondo Community Land Trust TO: St, Paul City Council and St. Paul Planning Commission Members FROM: Zula Young, on behalf of The Rondo Community Land Trust Board of Directors ItE: Drafi Affordable Housing Policy Paper. Written comments for St. Paul City CouncillPlanning Commission public hearing on Monday, December 7` DATE: December 7, 2998 Thank you for your time this evening. My name is Zula Young and I am the Vice Presicient for the Rondo Community Land Trust Board of Directars. I am speaking on behalf of the Board this evening. The Rondo CLT provides affordable housing in the Summit-University and Lexington-Hamline neighborhoods here in St. Pau1. � The draft Housing Policy Plan before you is a very �ood start. There are however some areas that should be expanded and strengthened. St. Paul has the opportunity with this report to create � the framework to provide safe decent and affordable housing for all of the residents of St. Paul, now and future residents. It is imperative that the City Council and Planning Councit first insure that all residents live in safe and affordable housing, currently they do not. Every person deserves to live in the same decent, safe housing that you and I live in. The Rondo CLT has developed an affordable housing paper that will be submitted to the City Council and Planning Commission. Tonight, I will address the recommended changes to the draft plan. Page 1. The Vision. A para�raph needs too added that taIk about the role of housing in family stability. � • •� � Page 2, Draft Housing Policy Remarks for December ��' Public Hearing The Introduction. One other theme within the plan must be the: __ 1�placement before demolition and displacement. Page 2. St. Paul part of regional system. Add the following: St Paul officials need to push for a true re�ional nolicv that requires com�liance throu�hout the region for a fair share of affordable housin� throuehout the re�ion. St. Paul policv makers must work with Minneapolis ofFicials in forcin� the Metropolitan Council to in force policies that ensure all suburban municipalities comnlete low-income housin�..projects or repav the funds used to extend raads. sewers and water lines into the corn fields. Page 5. Key Trends � Add the followin�: d One to one replacement of low-income. No unit demolished until its re�lacement is complete. Page 6. Meet 1�Tew Market Demand. Insert low-income housing in the first section so it would read: Encouraae the production of 300-4Q0 of low income housinQ units a year that can be sold or rented to smaller households- either new voun� households or older emptv nest and senior citizen households. Page 7. Add to Section c. Provide gap financing when necessary to; iii. Ensure that 300-400 units annuallv are affordable to households w°ith incomes below 80% of re�ional median. � Page 3, Draft Housing Policy Remarks for December 7�' Pub]ic Hearing Page 10. Ensure Availabiiity of Affordable Housing. � Change the word chal�enge to demands in number 1.) so it wonld read The Citv demands the re�ion to ensure each metropolitan community�rovides a full ranee of housin� choices in order to meet the needs of households at all income levels. Page 11. Specific measures that the city will support include; Under letter b. it should be changed to read: Successful a�plicants for regional funds shall contract for production of housina units affordable to households with incomes below 50 percent of the re�ional median. L�nder letter d. change the word should to shali. So as to read_, to the extent that incentives axe not successful in encouraain� the production of additional affordable units in suburban communities. � the Ciiv of St. Paul shall support tt�e design of re�ionai requirements and/or metropolitan resources sharin4 mechanisms to simulate production... 2. The City shall work with its public, private and philanthropic partners to identify and secure si�ificant additional resources to enable the preservation and construction of affordable housing, both within the city and throughout ihe region. Page I2. First paragraph, last sentence sltould be changed to read; The need for states and local Qovernments_ then_ is to seek new federal commitments and identifv alternative sources of ftznds-or both. � 9�-9� � Page 4, Draft Housing Policy Remarks for December 7�' Public Hearing And ne� section the word should be changed to must, to read: With its partners, the City must: Page 13. Number 4. Should be changed to read: Stimulate the construction of an adequate number of new affordable housin� units each year. �2rticularlv in neishborhoods where affordable housin� is in limited supplv. In the last sentence, the word should be changed to must. To that end_ the Citymust encourase the development af housin� affordable to households with incomes below 50°/o. 60% and 80% of the reaional median income bv... � Page 14. Change the word should to must in the second part of sectian design to read: In encouraains and desi�inQ each praposed development, the citymust... Page. 15. Section 5. Support a variety of initiati��es that will allow lower income households to move into homeownership. Change the word should to must to read: Toward this end, the must support and strenathen. Under number 6. Pre-purchase counselin� and post purchasinQ mentorinQ to increase the �robabilitY that a first time homebu�r will be successful. Page 16. At the top of the page, To the end, the Ciri must... � Under number 8b. Development of 2�0 units of transitional housinQ and 1250 units of Qermanent sup�ortive housinQ throuQhout the countv. servina sinale adults. families and vouth. Page 5, Draft F3ousing Policy Remarks for December 7`� PubIic Hearing � Preserve and improve existing privately owned rental housing units. The sentence sta.ting that, "too often, condemnation and demolition throu the nuisance abatement process is the onlv available tool and the housina unit is lost", should be changed to read that this type of policv is wrong and that other policies must be developed to ensure that a policy that reIies on demolition of sound housin� units is not a policv the city can or will su�port in the future. In closing, it is imperative that the city of St. Pau1 be good stewards of the funds it receives towards building and rehabbing of affordable housing. Whether the funds are general fund, CDBG, HOME or from the Minnesota Housing Finance Agency, the city should ensure they are invested in developments that are affordable � far at least 20 years and should realIy be 99 years. There are limited local and federal dollazs, they must be used wisely and must benefit the larger community and not individuals. A commitment must be made by the city council, p�anning commission members and the mayor that funds will be committed towards long-term affordable housing that will ensure that every resident of St. Paul will have a safe, decent, clean and affordable place to live. The City Council and Planning Commission should direct PED staffto explore the use of more ion� term affordable housing, including limited equity coops, limited equity condominiums, community land trusts and deed restricted housina. Use of limited dollars wisely will ensure more housing is built and rehabbed. � y9 � Page 6, Draft Housing Policy Remazks for December 7`� Public Hearing The City Council and Planning Commission must commit to building at least 400 units a year of new affordable housing unit per year. The City Council and Planning Commission must commit to a one ' to one replacement policy. The City Council must commit to never converting housing rehab funds towards demolition of affordable housing units. NEVER. The City Council and Planning Commission must create a permanent Affordable Housing Fund, starting with the excess STAR monies. The City Council and Planning Commission should tal�e the lead in � first ensuring that every St. Paul resident has affordable shelter and then second, it should move for a comprehensive regional plan to ensure that no matter where you live in the metropolitan area, there will be affordable long term housing. On behalf of the Rondo CLT, Thank you for your time. � Summit Hill November 16, 1998 tion District 16 Planning Gouncil 860 Saint Ciair Avenue Saint Paul, Minnesota 551� Telephone 651-222-12 Fax 651-222-1558 e-mail summit.hiilC�tstpaui.gov Saint Pau( Pfanning Commission C/O Nancy Homans 13th �toor City Hall Annex 25 West Foucth Street Saint Pau(, Minnesota 55102 Dear Housing Plan 7ask Force: On behalf of the Summit Hiii Associationl Distr'ict 16 Flanning Council (SHA), I am wrifing to submit formai comments on the Saint Paul Nousing Plan Draft for Community Review. The SHA has been following the discussions on the draft plan and members of the SHA have carefully reviewed the documsnt. The SHA Board of Directors also discussed the pian a# its meeting on November 12, 7998 and passed a motion in support of the following commenfs. �`, Overall,_the pian is vague, with very few specifics about flow the city witl accomplish the vision described in #he documenYs opening paragraphs. The lack of specificity makes iYdifficult to commenf either positively or negatively on the proposed strategies, which on their face appear reasonable. The lack of speciticify is concerni»g, particularly when the fopic is so vitally important to the future of the city. There are, however, a few areas that stand out for us as requiring comment. . - . Key Trends � We are troubled by the tack of emphasis on some positive housing trends in this section. For � example, we have found that weli-built houses with historic significance or architectural interest are increasingiy in demand and are a significant city asset. We have aiso discovered thaf people of moderate incomes are purchasing existing homes and investing in their rehabilitation. ` Very (ittle of #he pfan centers on what the ciiy is doing right and takes for_granted areas of the city where housing stock is stable and investments are being made. Failing to see and record these irends may lead the city to fiorget about nurturing and supporting these positive trends .- and they may disappear. - ' 3.1 1t is well tcnown ihat our population is aging and thaf seniors will be a significant part of our population in the eady part of the next century. What is unclear; however, is how the ciry arrived at the conclusion that these peopfe wil! prefer the amenities associated with #ownhouse or other shared.wall housing types. Has"ihere been any market research to indica#e these preferences, or is this inforination anecdotal? We believe that some seniors may preter this style of housing, but others may prefer more traditionai housing styles. We are concemed that the eity may focus solely on developing townhouse siyle housing and neglect creating other varieties of housing that may be attractive to people at all age levels. A mixture of housing styles wi!! help atiraci and keep residents in ihe city. �. � 9�- 90 Saint Paui Planning Commission November 13, 1998 � Page 2 Strategy 1: Take Care of Wfiat We Have 4.1 We agree that the city should support the features that enhance traditionai neighborhood design. We agree that preserving the character of neighborhoods is wfiat wil{ encourage people to want to live in the city. \ What specific strategies will the city employ to preserve a mix of land uses, a sufficient housing density, and quality architecture? Will this come through changes in the zoning code or the development ofi design guidelines? We find this area intriguing, but short on specifics. 4.2 We believe that the city shoutd place an even stronger emphasis on historic preservation. In fact we wouid encourage the rewriting of the paragraph to say that the city, the Neritage ` Preservation Commission and their neighborhood partners shouid sigpificantly increase their efforts to identify and pursue opportunities for both the formal designation of significant structures and neighborhoods and general public education on the importance of conserving the traditional character of each neighborhood. , � This strategy is also short on specifics. How do we encourage the city to live up to this vision? !s it through changes in the zoning code or design guidelines? What commitment from the city is there to prevent 70's style split levels in a bungalow neighborhood? At this time there are no formal mechanisms to provide guidance io developers to confiorm to siyles and historic , characteristics, 4.3 It is unclear who is being targeted in this section. Is the focus on absentee landiords or homeowners? We have some concerns about increasing fines as a means to encourage compliance with the � housing code as fines may take away financiai resources that could be used to fix up a property. This would be particulariy true in cases where repairs are noi being made because a homeowner is low-income. Also, absentee landlords may just pay the fines and ignore the problems. The effort a landiord has to take to deal with the city and attend hearings is what LN;i� E.'I1C0lSi 2�° .�l@ �af:`�:OfG� ,o make Cilu�i'�8. �i^c'�UCiTi^y .IiS Si2� 3V3t�cZu�:^. iC C^viSC�.LiCt inspections will not get the city better compliance. 4.4 While we agree that certain neighborhoods may be in need of more intensive investment, we know ihat loosing infrastructure in any neighborhood is a possibility. Focusing resources only on selected neighborhoods could lead to deterioration throughout the rest of the city. Opportunities for public investment shouid be available across the city, if not at the intensive level required by some neighborhoods. 4.5 We agree that the city shouid play a role in encouraging well managed rental property. � Has the city developed criteria for what a well managed property wouid look like? How would financial incentives for weli managed properties be determined? � �_, Strategy 2: Meet New Market Demand ' 5.1 Once again, we need to ask if the city is Gsniting itself by seek+r+g to deve4op townhouse style housing instead of developing a mixture of housing options. Is there significant market research to confirm that people are looking for this style of housing? Saint Paul Ptanning Commission November 13, 1998 Page 3 5.2 We again agree that good designs that complirrient existing neighborhoods are a good �_- thing. Once again, we find the draft short on specifics to accomplish this goal. 5.5 As we commented upon in the Land Use P�an, we have concerns about streamlining the � zoning process for new types of development. As iT is currently, neighborhoods have uery little opportunity to comment upon proposed devetopments. If you are interested in having developments that fit with ihe character of the neighborhoods, some neighborhood invoivement in the zoning approval process is required. This section proposes amending the zoning code to allow an accessory ("mother-in-law") apartmeni in owner occupied, iarge single famiiy nouses. As we stated in our comments �r� the Land Use Plan, we have concerns that allowing this change in the zoning code wi!! lead the city to repeat development mistakes it made following World War II, where the use of accessory apartments threatened the stability of single family neighborhoods. At this time, there does not appear to be enough information on the allowable characteristics of these apartments for the SHA to support the inclusion of this city-wide zoning change in the comprehensive pian. We do nof befieve thaf a(iowing a zoning change of this nature is � warranted for the estimated 300 units of housing that woufd result. Therefore, the Planning v Commission shoald eliminate the proposal for accessory apartments until there is more specific information about their potential use, characteristics, and impact. Strategy 3: Ensure Availability of Affordable Housing 6.0 The introduction to this section states that relative to most communities in the metropolitan area, Saint Paul has a large supply of weil-managed, low cost housing. Relativelv speaking that might be the case. tiowever, the truth of the matter is that Saint Paul has a woefully limited amount of housing availabie for people who are low-income. This situation is exacerbated by choices to tear down buildings where low-income housing is available and not replace the units. The presenration of low-income housing is. important, but should not be our only focus. The city needs to actively seek funds and develop housing for people with low- incomes especially #amilies. 6, i We agree that the city shouid push to make sure thai surrounding communfties provide a �v full range of housing choices in their communities, but this section seems #o indicate that Saint Pau! has done its part. We believe ihat.the region should fake on a larger share of the burden, that we should lobby io ensure that other communities fiulfili their obligations and work to stop funding that makes it easy for Them to ignore their responsibilities. However, Saint Paul needs to do more than point the finger af other localities: ' �.� 6.2 In addition to iooking af new construction for affordabie housing options, the city could seek incentives for existing landlords.to reduce apattment costs. .- � � _ 6.4 The strategies addressed in this section are good, but not enough. The city needs to address the housing needs of low-income people with more vigor. � �� , Saint Paul Planning Commission November 13, 1998 � Page 4 �• 6.5 While homeownership shouid be part of the equation for providing low cost housing, it may be overrated. Rental housing continues to be most attraciive to people with low-incomes. Aiso, mortgage rates may be low now, but this may not be the case in 2020. it would be difficult to guarantee that this will remain an affordable housing option. � 6.8 We agree that providing incentives to existing landiords is a worthwhile strategy. Providing housing for people with low-incomes can be expensive and if we are to provide decent, low end housing, rental property owners wiil need encouragement. We appreciate the opportunity to comment on the draft Housing Plan and encourage the Saint Pauf Planning Commission to consider these matters carefully as tne draft moves forwara. If you have questions about these comments, piease feel firee to contact me at 291-0020, Charles Skrief, our Zoning and Land Use Committee Chair, at 292-0003, or Eilen Biales, SHA Executive Director, at 222-1222. 8incerely, /Y� �� (�-�r'zt�C„�-� � Molly Coskran President Summit Hill Association/District 16 Planning Council cc: Members of the Saint Paut C+ty Council � Saint Paul Area Council of Churches � 1671 Suinmit Avenue • Saint Paul, MN 55105-188-� •(612) 646-8805 • FAX; 6�6-6566 November 18, 1998 St. Paul Planning Commission �:�=,Atin: t'rtadys �vlortori, �air ' 1300 City Hatl Annex 25 W. Fourth Street Saint Paul, MN 55102 Re: Comments on the St. Paul Housing Plan Dear Members of the City Planning Commission, I attended a public hearing on the draft Saint Paul Housing Plan at the Cathedral of St. Paul eazlier this month, November 7, 1998. Nancy Homans, a city planner, reviewed the draf[ plan with us. She encouraged those in attendance to put our concerns in writing and mail them to you, What follows aze my concerns and suggestions for improving the plan. � 1.0 Vision. Missing in the vision statement is a commitment that there will be su�cient � affordable housing to meet the needs of all the Ciry's residents, i.e. no one or no family would be left homeless. 2.O Introduction. The statement `' SainY Paul w�ll continne to look to re�ion for — and will continue to work with our regional pazmers to develop — a shazed vision ..." sounds like a license to demolition low�-incame housing units and disperse their occupants to other communities, a variation of the "not in my backyazd" theme. I believe the City should propose housing options for aIl income groups and races throughout the metropolitan area. At the same time, low-income persons, just because they aze low-income and living in low cost housing, shouid not be forced out of their houses (through demolition) and forced to relocate outside their existing neighborhoods, unless that is there preference. I think there also needs to be a stronger statement on barriers to housing and the City's effort to deal with them. 3A Key trends. Missing is the trends in homelessness and the growing gap between minimum '` wages / actual wages and living wages for the workin� poor. The working poor aze warking more, but able to afford less. What about the conversion of section 8 units to mazket rents and the destrucrion of housing units with replacin� them with units of equaI cost (e.g. Phalen apartrnents)? � y 9- 9a . 4.0 Take Care of What We Have. We concur that the first strategy must be to preserve the CiTy's existing housing stock, particulaz for low income households. The cost of construction of even modest housing units is cost prohibitive to low income families with some kind of subsidy, e.g. section 8. However, the plan makes no commitment to preserve low-income housing units, i.e. using demolition only as a last resort and then with like-priced replacement units. 5.0 Meet new market demand. What about meeting the mazket demand of those 7,700 households that eam less than 30% of the regional median income and pay more than 56% of their income on rent; or what about meeting the needs of the homeless? 6.0 Ensure Availability of Affordabie Housing. The numeric goals of transitional housing and low income housing in The City and County's Five Year Plan for Housing and Homeless Services that is referenced on page 14 itseif does not fully address the needs that aze identified in that plan and repeated in this pian. There is no discussion of how racism affects the availability of housing. There is no real discussion of other barriers to housing, e.g. application fees, lazge damage deposits and so on. There are no real numeric goals, beyond 25 units per year through Habitat for Humanity. I believe that drafr plans needs to be re-written with more specific numeric goals and commitments, as well as address the needs of the low income and homeless. Let me use the story of one of the persons that stayed iast night at the emergency shelter that the � Saint Paul Area Council of Churches operates in azea churches. Her name is Alice (not her real name) and she has been without housing for two years. She wonders about the possibility of putting her four children into foster care. Moving from place to place has taken its toll on the family. Her spouse left them last summer, he said he could no longer live with the pain. The children's grades are slipping, they aze fearful that one day they will not remember where they are staying and loose their mother. There is no stability in their lives, there is nothing that is permanent. Many of the clothing items they receive from free closets is used and them discazded, it is difficult to carry extra clothing from place to place. Last night when Alice and her children entered the church shelter for the fifth night the youngest child ran down the steps to the basement room and shouted to the volunteer, "We're home!" Living without permanent housing means you cany no keys, your drivers license does not have your correct address. You don't plan meais for your children. During the holidays you rarely make the decision of which toy to give your child. Living poor means the majority of the everyday choices for yourself and your family are in the hands of someone else. That means the children do not have a say in the kinds of school supplies they want. It means your bed does not have your favorite blanket. Seldom do you have a regular schedule that you decide works for yourself and your family. The unknown robs you of the capacity to resist causing your self esteem to plummet. � Alice can still dream and she still has the energy to look for housing. She says her kids deserve to have a home and she deserves a fuiure. There aze lots of Alice's that need housing. In addition the problem of housing is becoming more acute for tiie working poor. There incomes, typically at or neaz minimum wage does not keep up with the costs of rent which puts them increasingly at � risk of becoming homeless. Society seems to argue that we cannot increase the minimum wage because it will put people out of work; I would say by not increasing the minimum wage you aze putting people at risk of becoming homeless and being put out on the street. If the Ciry does not implement living wage ordinances and does not support increasing the minimum wage, then the City needs to find solutions that will enable those households to have and retain affordable housing. In closing, we urge the City not to teaz down any more housing units until there is sufficient evidence that enough safe, adequate housing is available in the same azea and at the same price. We can not afford to deepen the housing crisis. Thank you for this opportunity for the Saini Panl Area Council of Churches to share our concerns and suggestions. Please keep me informed on the progress in adopting a new housing plan for Saint Paul. SincereIy, � �� — �rCS-�—'0 ��-f�'�. Robert G. Walz, MSW Director, Congregarions in Community Saint Paul Area Council of Churches cc Mazgazet Lovejoy, birector, Project Home. u � t � �. � November 19, 1998 Ms. Nancy Homans St. Paul Planning Commission 1500 Ciry Hall Annex 25 West Fourth �trEEt St. Paul, Mn 55102 Dear Ms. Homans: I am writing this letter to express my concern about the Draft Copy of the St�INT PAUL HOUSING PI.�1N dated October 9, 1998. While the Planning Department in its Draft may be well intentioned, the results are not targeted to St. Paul's need. This is because nowhere in this document is the need mentioned. The section on affardable housing like all the other sections merely mentions a series of activities the City should either � continue, update, expand or begin. Yet no baseline is included fi which barriers to meeting needs are identified and from which the following couid be developed: strategies, goals, time lines, activities periodic interim evaluations to determine if the goals are on schedule and if not what kind of corrective action to take, etc.. By baseline I mean for various income levels in each part of the city: the present need for housing stock and the projected need for specified future years. It is only when such a baseline is established can anything else in this Draft have any relevance and effect. Another series deficiency in this draft is the lack of a replacement policy. Thus even if the proposed activities could help alleviate the affordable housing problem, this could be somewhat offset by decent, safe and af�'ordable housing being torn down or the rental or sales price being reset at market rates. � �: There is much more at stake than any given neighborhood. As you are � probably aware, if housing racial segregation is--given the percentage of people of color, the degree of concentration or dispersion, then the Twin Cities Metropolitan Area is THE MOST RACIALLY SEGREGATED ARF.A IN THE COUNTRY. I feel the present form of St. Paul's Housing Plan would aIlow us to retain this dubious distinction. I would appreciate hearing your reaction to what I have written so far. On a reIated matter, a few weeks ago I heard on Minnesota PubIic Radio that St. Paul may establish a citizen's advisory committee to make recommendations concerning the Housing Plan. If such a committee is established, I would like to serve. (I would be glad to share with you or any appropriate person my previous and current housing background including but not limited to: having my first year's salary at the Minneapolis Civil Rights Department funded by an HUD Equal Housing Opportuniry Grant and even though I am a not a lawyer, chairing an�dvanced Legal Education Seminar on fair housing at Hamline University Law School.) � Very truly yours, ��L.0 /C��t.G ti�/Y�/h Vic Grossman 1747 Randolph Av�. St. Paul, Mn 55105 Office Telephone (612) 332-2339 Email address avigdor@prodigy.net � 9q- 9a Amherst H. Wilder Foundation � Since 1906 Executive Office 9191afond Avenue Saint Paul, MN 55104 (612) 642-4098 FAX (612) 642�068 December 10, 1998 Nancy Homans The Saint Paul Plamiing Commission Attn: Housing Planning Task Force 1500 City Hall Annex 25 West Fourth Sueet Saint Paul, MN 55102 Deaz Ms. Homans: Thank you for giving the Wilder Foundation the opportunity to review the Saint Paul Housing Plan. Such a plan is essential and, I believe, a good beginning blueprint that will meet the housing needs of Saint Paul over the next 20 yeazs. The decisions made through � this planning process will certainly influence future housing policy. I have asked Rod Johnson, Director of our Community Social Services, and his staff to review the plan on Wilder's behalf. A memorandum outlining their recommendations is attached. I endorse their suggestions and hope that they aze integrated into the final housing plan. Please don't hesitate to call me, or Rod, if there is any way that Wilder can help move these issues forwazd in ow community. Sincerely, i�.�� `�.�j5 � Thomas W. Kingstod President enclosures � President Thomas W. Kingston Board af Directors Kennon V. Rofficl�ild, Chair; Eliaabeth M. Kiernat, Fitsc Vice Chaic; Anthony L. Andersen, Second Vice Chau; Malcolm W. McDonald, Secre[ary. IJirecrors Charlton Die[z, Elisabeth W Dcermann, - - Charles M Osbome, Mary Thomron Phillips, Peter B. Ridder, Barbaza B. Roy MEMORANDUM DATE: December 10, 1998 TO: Nancy Homans Housing Task Force FROM: Rod Johnson Amherst H. Wilder Fo dation _ Community Social Services SUBJECT: SAINT PAUL HOUSING PLAN Thank you for providing Wilder with the opportunity to review the Saint Paul Housing Plan. It is a very important document, and the values and strategies contained in the document witt have implications far into fhe future as it is used as a decision making tool by policy makers and as a guide by housing providers, developers, government agencies and funders. The following aze our recommendations: DEFINITIONS � � J A definition section would be very heipful to the reader of the document. It would create � a sense of inclusiveness, as everyone would have the same basic uttderstanding of terms. Some terms that should be defined aze affordable housing, mazket rate, region, urban, median income, etc. MEDIAN fNCOME The issues of poverty and the needs of the resi@ents of Saint Paut will not be futly explored if the regional median income is used versus the median income for Saint Paul. We agree that a regional perspecrive is important. However, the crucial needs of low- income residents of Saint Paul will not receive the necessary focus if the regional median income is used as the basis for targeting resources. MEET NEW MARKET DEMAND ,, 1. Development of 3000 - 4000 units over the neat 20 years does seem essenfial. It would be helpful if the number and type of units that will be built each yeaz be clarified. Also the number of units for each income group should be specified and reflect the incomes of the "new market demand." For example: 1999-2000: 400 units 200 units will be market rate (50% rental and 50% owned) � 95-9v � Saint Paul Housing Plan December 10, 1998, Page 2 100 units wiil be 50% of inedian income (50% rental and 50% owned) 100 units will be 30% of inedian income (75% rental and 25% owned) � A plan for how these units will be financed and what dollars Saint Paul will target towazds achieving the housing goals would also enhance the plan. 2c. Saint Paul should commit to supporting landlords through training, assistance with rehabilitation, maintenance, and linkage with support services for tenants. Services that create more successful renters, landlords, and owners could be defined and 'unplemented as one of the strategies to building and maintaining new housing. Life span issues should be considered in the design of new construction or rehabilitation of existing housing. Each unit should be designed so that older adults/disabled do not have to move because of accessibility issues (e.g. door levers instead of doorknobs). In addition, the design of smaller units should be flexible to accommodate the needs of single individuals, young families starting out and elders. This would create housing that can be used by many as population shifts occur. ENSURE AVAILABILITY OF AFFORDABLE HOUSING The property taxes for many senior citizens and others living on reshicted, fixed and low incomes, force them out of housing that would otherwise be affordable. Saint Paul should endorse and advocate for a property tax siructure that does not force people out of their homes and creates oppomuZities for low income home ownership. Stronger statements could be made about Saint Paul's commitment to quality, affordable housing (both rental and owned). Increased emphasis should be placed on providing affordable housing for families making $7.50 to $9.00 per hour. The working poor do not seem to be identified as a primary target group in this plan. Such statements could be part of the text, and there should be numbers to back up the statements. For example: 1999-2000: 500 units of affordable rental housing will be built. 250 of the units will be subsidized and affordable to families with incomes between and � 2d. The Wilder ROOF Project is an example of using federal rent subsidies in coordination with supportive housing services to create opportunifies for residents to become successful tenants and for owners to become better landlords. Wilder endorses the eoncept that more supportive housing programs be created to assure that fanlilies have every opportunity for success in addressing their individual barriers to getting and maintaining housing. Saint Paul Housing Plan December 10, 1998, Page 3 Preserve and improve eausting privately owned rental housing units. Discussing partnerships with landlords would strengthen this part of the plan. By creating partnerships with landlords, Saint Paul would have a great oppornmity fo create safe and decent hoUSing. This section could contain information on resources Saint Paul is wilIing to commit to strengthening the skills of landlords and maintenance of e�sting housing. The ROOF Project has been working with landlords for the past three yeas and has found that most landlords are interested in doing a good job and want to maintain their properties. Many times landlords Iack the skills, experience, and resources to be successful. Saint PauI could use this plan as an opportunity to provide leadership with landlords and the entire ciTy would benefit. One principle that could flow throughout the plan is that well educated and informed landlords and tenants increase the chance that properties will be maintained and decent. PRODUCTION ALTERNATIVES � Does there have to be one altemaflve or another chosen? Isn't it possible to look at a combination of options? � 4.1 No expansion of affordable housing is not an acceptable option. There is well- documented need for well managed affordable housing and by not adding to t[ie affordable housing stock, we will eventually negatively affect economic development and Saint Paul's vitality. 4.2 Construction of new affordable housing units is very important and should be a part of the plan. T'he median income used should be for the ciry of Saint Paul and not for the region. In addition, 80 percent of inedian income is not specific enough. Specific numbers should be target for 40 percent of inedian income, 50 percent of inedian income, etc. Mixed income housing is very important and should continue to be emphasized. 4.3 In addition of 100 or more new units of affordable fiousing each yeaz for the ne� 20 years should definitely be part of the overall strategy. Habitat for Humanity strategies aze menfioned frequenfly in pages 11-14, The Saint Paul Housing Plan should make these Habitat for Humanity strategies the number one priority in an effort to make available a€fordabte, low income home ownership. � 9�-9a � Saint Paul Housing Plan December 10, 1998, Page 4 The Wilder Foundation is currently pattnering with Habitat for Humaniry and strongly agrees that 25 or more homes could be built annually in an effort to promote low income home ownership. Saint Paul should encourage this development of low income housing by creating an accessible process to acquire vacant lots or condemned properties as indicated in 43.b (Improve the process whereby vacant publicly owned....). Saint Paul, in supporting low income home ownership should not only support and strengthen the "purchaselrehab and refmance/rehab prograins" (page 13), but should prioritize that strategy and do it in partnership with groups such as Habitat for Humanity. 6. A partnership between the city of Saint Paul and Ramsey County is essential in order to leverage federal, state and local doliars to address affordable housing and support service needs. The Wilder Foundation endorses the Ramsey County Plan and has responded separately on how to strengthen that report. (See attached). 6b. Wilder endorses the development of creation of more transitional housing and long- term service enriched housing. We would place a special emphasis on long-term service � that wili assist tenants in addressing bartiers that prevent them from preparing for, finding, and sustaining affordable housing. T'hank you for providing the opportunity to reviaw the Housing Plan. If you have any questions, please contact me at 651-917-6206. Cc: Claudia Dengler George Stone Susan Marschalk Tom Schirber Nancy Starr Pat Teiken � pos!-H' Faz Note 7671 Saint Paul Planning Commission Attn: Nousing Plan Task Force 25 West Fourth Street, Suite 1300 Saint Paul, MN 55102 7 December 1998 N4embers of the City Council and Commissioners Thank you for the opportunity to comment on the Housing Chapter of the Comprehensive Ptan. For the pasf several months our community has had many opportunities to read and discuss the proposals before you this evening. The availability of housing in our City - both rental and home ownership - has sufFered a double whammy since our last Housing Plan was adopted a decade ago. The cost of housing is out of reach for many working families in our city while the availability of affordabfe rental units and home ownership opportunities _have all but disappeared. Young families find that thei� ir�comes simply don't go far enough to provide a basic need - the need for a stable, safe, decent ptace to live. Where the dollars don`t go far enough, families are doubling up or seeking refuge in our sbelfers. The plan drdft, which is under consideration here, recognizes these realities and makes some recommendations for remedy. ! agree with the three strategies which the plan puts forward - meet new market demand, ensure availabiliiy of affordabte housing and take care of what we have. 1 also think the plan lacks specificity, oversight provisions and goals for providing mixed income new construction. Where is the city's commitment of resources, production goals, business plan, ;mp(ementation schedule, etc? The elected and appointed officials who are responsible for amending the Comprehensive Plan must rectify this. By 2020 the City of Saint Paul must create 9000 new housing units. That means that the City must build 400 plus units ih addition to the 100 pius units on average that are demolished annually. We must atso to cxeate new housing rn every price range and provide for market-rate as well as subsidized units. We must dedicate at least 20% of the new and replace dunits to 6e affordable below 80°!0 of the area medium incame. That means for a farr►ily of four an income of $45,OQ0. Of this 20% we should set aside haif to meet the needs of those falling below 50% and 30% of area medium income. This is doable and will mean in reat tertns that 80 of 400 ntw uniis would be added to the hausing stock on an annual basis. Across the city this is not an unreasonable number. Setting this goal also puts the production of affordable units in perspective. Of the 9000 units to be produced by the y � qQQ,�ts would be affordable to famifies below 50% of area medi��`I� V`.D DEC i t 1998 � � ELIINNIN6 & ECpNOMIC DEVE�pp�� 12/10/1998 0B:09 6126030810 �� ROBERTA MEGARD � Preses�ation of our existing housing stock is cr�icaf. Housing that is not maintained often fat(s victim to the wrecking bail in Saint Paul. Demolition means vacant lots and reduced tax base as we41 as failing market values for adjacent properties. Reinvestmerrt in housing through rehabilitation is far more cost effective than new construction in today's market !n short, it is cheaper to rehab than to build new. Therefore, city policy should reflect this fact and dedicate more resources toward maintaining what we have. Historic preservation is also a vital part of our housing policy because it preserves the character of our neigfiborhaods. Old fiomes with historic character seli our neighborhoods as evidenced an Summit Avenue, Dayton's Bluff and in RamseytCathedrai Hilf. In addition, our policy must reflect the need to preserve subsidized units as wetl - Section 236 and Section 8 units are being converted to market-rate at an alarming rate. Other recommendations - � 1. Establish a housing division in PED to focus attention and resources on community deve{opment of housing. 2. Use GDSG resources to maintain what we have - Rehab rather than demalition those units that meet demolition guidelines. 3. Consider increasing our bonding authority to add new hous+ng - housing is economic development. 4. Use more federal tax credit as incentives to developers and seek increased tax credits at both the State and Federal levels. 5. Assure that replacement plans are in place before demolition takes place. � 6. Adopt guidelines for demolition similar to those of the Twin Cities Family Housing Fund. (Adopted 12123/97) 1. The units to be demolished must be substandard and not feasible to rehabilitate. 2. The project must include adequate relocation assistance for the tenants to be displaced. 3. The project must include a spec�c plan to replace, within a reasonable time; a reasonable number of the units to be demotished. (at a minimum one bedroom unft for one bedroom unit. 4. The project must maintain equivalent locational choice for low income persons and persons of color; i.e_ the project must not remove affordable housing from non-impacted areas. 7. Better coordinate housing inspections for both rentat and owner occup+ed properties, environmental health activities, and PED's housing development projects. We have a legal responsibility to enforce comp(iance with building a fire codes. /�qgressive intervention by our code enforcement staff and the housing court are esserrtial. 8. Move quickly to establish a phased certificate of occupancy program for one and two rental units in the city. 9. Usa more fiRA resources to maintain existing housing stock in the form of grants and higher risK ioans. Dc � Cf "�D RG L{ V DEC 1 1 t998 PtANNING & ECONOMIC DFICECOEME�A ,• � 10.Acknowledge the need for new rental units throughout the city. Change the 7Q% homeownership goals now eantained in the Capita! improvement Policy in order to focus resources on the reat housing needs in our city, This poiicy also curtails our etforts to maintain our current housing stock and historic preservation strategies. This ;s an extremely expensive policy which as insufficient resources attached to i� Currerrt policy, in fact, denies that for many decades more than half of city residents are renters. 11. City housing policy must change zoning laws to ailow for mixed-use developments requiring inciusive zoning (assuring a perce�tage of affordable units) and reduced parking standards. 12. Focus fiufure housing developments o� existing transportation corridors - Phaten Corridor, Downtown Core, University Avenue Corridor, etc. 13. City polioy must provide incentives to hetp develop joint commerciaUresidentiat buiiding e.g, density bonus. City must find ways to keep the cost of buildable lots down, reduce the cost of regutation and govemment fees for developers. 14. City Housing policy mus# commit to work with ail neighborhoods to set standards for property maintenance. We must have a common sense responsibility to maintain a high degree of canfidence in our neighborhoods. We must build community as we preserve or improve housing stock. We must listen ro our citizens throughout this process. When we do that, as I have tried to do by visiting every (district} in St. Pau1, we ieam what people want from their elected officials. 1. We hear that people want a City wifb a housing supply thai is affordabte to young families looking to purchase or rent their first bome. 2. We hear that people want a City that is home to working families striving to maintain or improve their most important financial investment. 3. We hear that people want a City that devotes a limited amount of it housing to the etderty or families in desperate need. 4. And, my friends, we hea� that people want a City thaf preserves housing opportunities far higher income famities as well. Our housing policy (including our tax policy) must be wise enough to encourage conGnuous investment in al! our ne;ghborhoods by citizens across all income spectrums. Our housing policy must be important enough to the Mayor and City Council so the utilize limfted resources to suppor[ rather than discourage investment in neighborhoods. I understand the wisdom and the importance of what the people have told me. i5. Change the focus of the STAR program to make more of it available for housPng in our ciry - both grants and loans. 16.Add to the Housing Plan a strategy to build and maintain housing in all price ranges throvghout the city. Acknowledge the need for affordatrle housing as an economic growth strategy. This strategy is sorely needed now ta assist in the supply of labor for St. Paul businesses. live where we work; families have mg�rpo@ey�tq�n�t in housing and wi11 result in building equity in our t7Lt�C1 Y G DEC 1 1 1998 � � s P[ANNING & ECONOMIC DEVEI.QE�6 � � 12/10/1996 08:09 6126036810 ROBERTA MEGARD neighborhoods. The Housing Plan must commit the city to esfab►ishing mixed income hous+ng in every neigfibofiood. 17. Commit to use public resources to ensure affordability. This is a proper ro�e of govemmerrt and one which will not be fiiled by the private sector and private foundations. We have a morat responsibility to address the unmet housing needs of some of our poorest residents. We have approximatety 4300 units of federally subsidized housing in our ciry, which represents less than 4% of our tata! housing stock. This provides affordable housing to approximately 12,000 peopte in a c�ty of 270,000. 2800 of these units house seniors and disabted individuals. No state or local tax dollars are used to support these public housing programs_ Our housing policy must commit to preserving fulf funding for these programs. 18. City policy must reflect a goal of aggressively pursuing Yax-forfeited properties throughout our city. Work with the County to speed up the process with better use of existing laws, e.g. "quick take" provisions. We must get these propert'ses back on the tax roles and make them avaiiabie fior housing our families. Currently, it takes about four years before public entities have access to these properties and even longer to get them back on the tax roles. This systems'glitch' affects our ability to maintain current housing stock. 19.Our housing policy must reflect a commitment to get waivers from fiUD to allow for reduced acquisition for their properties and assure that the city is able to acquire these properties before they are demolished. The future of our city - both downtown and in the neighborhoods - will be affected by the housing plan we adopt for the next decade. Let us be bold and recognize this basic human need - the prosperity of our city depends on it. It is time for us to adopt our vision for the future and exert the po4ifical will to impiement the vision Thank you. Bobbi Megard City Solutions, LLC Commun+ty Oevelopment Consu{tant RECEIVED DEC t 1 1998 94 9-�� QLANNING & ECONOA7fC 4EYELOPM�HI Comments Made To The St. Paul City Council And Plannin�Commission On St. Paul's "Draft" Housing Pian At The St. Paui Technical Colleae Ccil 6:30 P.M. Mondav. December 7. 1998. � By James F. Gab�er. President Gabler Housing Solutions Coraoration (Bio. Ref.: Mr. Gabter has worked in housing almost his whole adult life in both the private and public sectors. He has been a Commercial loan Officer with Knutson Mortgage & Financial Corporation in Minneapolis, President of TriState Service Corporation, a wholly-owned rea! estate development a�liate of St. Louis County Federal Savings & loan in Duluth, and Manager of Muitifamily Housing for the Minneapotis Community Development Agency from 1956-1995. He has served and been appointed to numerous civic efforts such as Vice Chairperson of the Duluth Housing & Redevelopment Authority, as a member of Mayor Latimer's Citywide Housing Task Force in St, Paul in the early 1980's, and as a Board Member of the National Housing Conference, the nation's oidest housing advocacy organization. At present he operates a housing consultancy, primarily assisting neighborhood non-profit Community Development Corporations (CDC's), is the Interim Executive Director of Community Neighborhood Housing Services, and is a Board Member of the Neighborhood Devetopment Aitiance on St. Paui's West Side.) � Dear Councilmembers and Planning Commission Members: Please forgive me. I witl attempt to be as quick and succinct as t can but feel I must comment on a coupie of items that are of significant import within the proposed St. Paul Housing Ptan. My comments are, however, intended to supplement points raised in the Plan. The overal! "Draft" Housing Plan is, l feel, very well done and those City Staff involved with the drafting should be complimented for their fine and ditigent work. All too frequently PED Staff s role is overlooked in these types of efforts and for this one they are to be applauded. My comments wil! be limited to addressing the last 2 of the 3 overail strategies outlined: the future new market demand and the future availabitity of affordable housing. St. Paul will never achieve the goals set out for it by the Metropolitan CoLnci! for new housing unless it gets m�ch more aggressive in its pursuit of those goals. Much more attention musf be paid and priority direction given to Staff if this sfrategy is to become a reatity. ('m aware, presently, of only a handful of efforts going on in the City that deal with this strategy and � 9'q-90 � that alone won't suffice. We need more. One major jump-start towards achieving this strategy could be provided by moving forward on one of those present efforts that will produce a significant number of varied units (around 500) and will only take a tax-increment subsidy. The RiverblufF development proposed for the old Koch-Mobil site on Otto and West 7 has just had its finaf pottution studies completed and the project stands to provide the greatest increase in living units in a neighborhood since the redevefopment of Energy Park in the Midway some 20 years ago. (As a footnote, most of you are probably now aware of the recent Minneapolis City Council action in which they have now imposed a temporary development moratorium on the upper-river area until they decide on whether or not they are going to continue to allow industrial development there versus housing.) I am of the opinion, if given the proper signals, directions, and game rules, the private sector will, just as in downtown, come to the fore much quicker than we think to assist us. But our City must first accept more aggressively its role as facilitator or conduit to redevelopment in the neighborhoods also. My recommendations to the City to assist in fulfilling this 2" Strategy are 7: Go back and reinstitute the position of Director of Housing for PED. � 2. Identify and focus on larger, more comprehensive possibilities for redevelopment of housing. 3. Allocate a significant portion of neighborhood STAR dollars to this Strategy and reduce the amount that must be repaid as loans. Repayment to the City wilf come in the form of an increased tax base and more stabie neighborhoods. (Also, I realize "Economic DevelopmenY' is a favorite political "catl-to-arms" these days, but if the City achieves better mixed housing efforts in its neighborhoods and stabilizes incomes by those eiforts the commercial/retait revitalization will follow, i.e. the Midway Area.) 4. Study what changes in the Tax-Increment and Tax-Exempt Housing Revenue Bond laws and others will assist in facilitating these larger redevelopments in the inner-cities and place those changes high on the City's State legislative agenda. (1'm sure Minneapolis and many inner-ring suburbs wouid join in this effort.) 5. Agree ahead of time on a successful mix of incomes that are to be achieved in these redevelopments and mandate a particular income mix as a requirement of a redeveloper. Mixed-income housing DOES work. We can no longer afford to have, especially in larger housing � redevefopment efforts, just ali high or all fow income options for new 2 residents. We must learn from our mistakes in the past. This recommendation witl also assist in successfully pursuing much- � needed legisfative changes to housing programs and funding amounts at the State and Federal levels. 6. Inventory all of the City's financial resources that could be spent on Flousing etforts, qualify them for development flexibility, and put a priority on utilizing these sources to develop and promote more market-rate housing first in the neighborhoods most experiencing concentrations of poverty. Too often and without thinking about it, we promote those concentrations by onlv making available financial resources that mandate expenditures on "affordable" housing efforts. On the other hand, we also need to have the political courage to assist in the detivery of "affordabie" housing options in those neighborhoods not affected by concentrations of poverty. Creative use of restricted funds, usualiy federal, can produce very acceptable "affordable" housing opportunities in those less-stressed neighborhoods. Your PHA has done a marvetous job with its scattered-site housing overall. 7. Establish a"Non-Profit Administrative Inducement Fund". This would be a fund capitalized with federal CDBG doilars which could assist neighborhood non-profits in their pursuit of creative, new housing developments by front-ending their admin costs. These � funds woutd be awarded on(y after the City has approved a project and they could be administered by LISC as an additional element to their support programs, thus causing no City overhead increase. The monies would be loan funds to be repaid by the non-profit out of project revenues if the project cioses. The empowerment of our valuable neighborhood community developers to assist the City will only come through efEective funding, not discussions. Affordable housing, its preservation, stabilization, and production have, unfortunately, become issues atmost beyond the reach of inner cities. No one of able mind these days would deny there is an extremely serious "affordable" housing crisis. tt's beert serious since the mid 80's and has continued to get worse. We are attempting to deal with a crisis caused by a continuing "watershed" series of budget decisions in Washington that continue to reward the rich and penailze and concentrate the poor. To address the long term future of affordable housing rationaily and realistically we need to address the tremendous dysfunction and budgetary unfaimess that has evolved in our state and national housing policies and programs and the situation they have created. And we need to do it soon or risk an ever increasing "affordable" housing crisis (one which formerly onty affected (ow-income famities and those with special needs) from further extending into the ranks of the elderly. � 3 • i � - � Tuvo excellent examples of defective housing policies are tfie nationat mortgage interest deduction and the state "homestead" property tax exemption. Do we realfy think we'il stop "sprawl" if those subsidies are continued for anyone of any income who wants to live anywhere, even outside the MUSA Line, in any type of housing as long as they "own" or "homestead" it? 1 know we want to encourage fiomeownership but do these current policies make any sense at all? Our housing fax policies are so fouled up we now extend better than 60% of ail federal housing subsidies to those in the top 20°10 income bracket! Taxation without representation still, as usuai, extends only to the poor and disadvantaged and victimizes especiaily the inner cities. Additionally, "affordable" housing finance and production programs are now to the point where they are in shambles. They represent only a fraction of the previaus nationai commitment and worse yet, are so purposely disconnected from each other they force those still in the business of affordable housing production to spend most of their time working "around" the overiy complex rules and regulations. The Section 8 Program has pretty much gone from project—based to portabie, mostiy in the 80's, under the pretense of "choice". Talk about another defective poticy and program! Now, especiaily with a Metropofitan � Council without teeth, we are in the unique position of having the Portable Section 8 Program become the latest major cause of poverty concentration in the inner-city and some first-ring su6urban neighborhoods. This because no real "choices" exist eisewhere when having that real "choice" woutd greatiy assist us in the urban areas with the deconcentration of poverty and provide more of what are now delicately termed "livable" communities. And, due to other fauity tax policies concerning rental housing which have almost totally stopped the production of any new rental housing, we are now even seeing portable Section 8 choices decline IN THE CORE CITIES! THIS HAPPENS BECAUSE OF A LACK OF LEADERSHIP IN HOUS�NG AT THE NATIONAL LEVEL. But we at the locaf tevef have let tfiat happen, mainly because there is also a lack of understanding at the this level of the implications of national housing policies. We haven't yet learned the hard lesson that when such national or state policies are defective, it is we at the local level who are most abused of them. It appears to me we have 2 choices at the local and municipal level to deal with the issue of "affordable" housing: we either work with diligence and in partnerships with other cities to change tfiese defective nationaf and state housing policies and programs or we wiil be constantiy holding � "affordable" housing forums and be unfairly pressuring municipalities to 4 take on t6e aimost totat responsibifity for the stabilization, preservation, and new development of all "affordable" housing efforts. This is clearly � impossible and pits the issues of housing the poor anywhere in any structure in any condition against the issues of community-buitding and bringing necessary reinvestment dollars back into some of our neighborhoods before they crumble. Ironically, these issues must be merged as one SINGLE issue under "community developmenf". That's what successful "community development" really is, isn't it? Either we master this concept or we ultimately and arrogantly will be doing the greatest disservice we can to those of lesser means whom we mean to serve. That disservice is insisfing that they continue to reside in structures and projects we wouldn't live in and attempt to raise their families in desolate pockets of poverty we wouldn't even consider driving through without the power-locks down on our cars. My recommendations to the City to assist in fulfilling this S` Strategy are 3: 1. Spearhead an immediate major effort to eniist ALL of the piayers in the Housing arena in the Twin Cities Metro Area, including the plethora of "affordable" housing advocacy groups, to focus on nationa! housing policy and program refomts that assist irt building communities and offer real choices for those of lesser means. The � ball has to begin ro((ing somewhere and the "Common Good" extolled by John Stuart Milts demands it. 2. Adjust and better fund the existing Rentat Rehab Program to give priority to those existing private rental buiidings that are not federally subsidized and currently house those who fall within the definition of requiring "atfordable" housing. Those buildings will most require some assistance that cannot be accessed through the normal private capital sources. 3. Offer City Staff expertise and, in some cases, City bond and federal fund attocations through joint powers agreements, to those suburbs who are genuinely interested in some "affordable" housing. i've discovered that many municipalities DO want to produce some "affordable" housiag but lack the trernendous expertise the inner cities Staffs have acquired. Thank you for this opportunity to discuss these e�ctremely timely housing issues with you. � � 99-�a /��-� � ��-� �-�� zs' !�� 9' ��id� �� . -�--`�- / 3 � �� i �.� �-�-� /� 199 � /� � �� . ��. 9 �y9 � 1.��- �.�:�-�- �.�, : y , 3 �✓� f s� ,� �. u��:�� , � �� ,5, / a . 5 � �� 1 .�Z�,.� �-�j' �.� � �?' �"��``�� /� �''d` - Y � .�iZ� � "� e.��f ' �' � /�'� ' S / 6, ��-� S °� .o�� .e. �e /�-�i��/ -'��.. �,.� � �.��G��, � s�C-� �� o�- �, �- s s�- � S� �-'�'�`.�`-�-�� 6,�`��1� � S ,.f � . 7�� .�..�� G-e. - -��. �� ..�� ' ..� � �.�...�.�.,� � � � �. � -G�eK ��-.�-�/ �-r 7�a� Y�� , ro � / e� ,D�- �� a� �/Pit �u...� ��1 ...� �,-e� .�` �'� � f� �� Ga ? . G . Z b S � �.-� �' � o'�� a� � ; �. 7� .��a,a�e� �� , .h �, Y 2 G�e �e �i�.. .< �w�. /k�rr �� G'�� G .�.�' s � �. .S � 7�0'P �OS�-�Gr/'c�sS2 h-e� /zc-cSf �t�,r(�.�..�,�� 0 �� %�. Td� GGG�G�Byvx. s�./�� r �i�� _ �� s 699-3 �.s'' • �- ..�.. ERECVfIVE DIRECTOR BRUCE A BENEI{E PRO BONO COORDINATOR PATR[CIA ANN BR➢MMER PARALEGALS SNERRY GARCIA ANN SIILGVAN sN �� .tEANNtES1.WILLIAMS HIMBERLY YOUNG Nancy Homans St. Pau! Plamiing Commission 1500 City Hall Annex 25 W. 4"' Street St. Paul, MN 55102 Re: St. Paul Housing Plan Comments Dear Ms. Homans: 300 MINNESOTA BUILDING 46 EAST FOURTH 3TREET ST. PAUL, MINNESOTA 55201 (651)222-5863 FAX {651) 29'7-fi457 December 11, 1998 LAW WORK MANAGER STEVE.Y WOLFE We aze writing these comments at the request of some of our clients who are concerned about the availability of safe, afFordable housing in the city of St. Paul. Southern Minnesota Regional Lega2 Services represents tow income individuals and families with legal problems including housing. Our lawyers work with clients on cases involving evictions, repair issues, condemnations, foreclosures and discrimination. Our office assists appro�mately 1,000 people per year with housing issues. Project HOPE, the Homeless Outreach Prevention and Education project, helps homeless people with civil legal problems. The project also helps these people fmd permanent housing. In the last yeaz Project HOPE assisted 357 individuals and 655 families that included 1,463 children, all of wkom were homeless or in imminent danger of hometessness. As a resuit of our work with homeless folks we have observed the following: - 90 phone calls to a landlord responding to a single ad in the paper - famiIies sleeping in cars LAW OFFICES OF SOUTHERN MINNESOTA REGIONAL LEGAL SERUICES, INC. - clients losing their Section 8 assistance because they cannot fmd an apartment -- clients, who are desperate, paying upwazds of 90% of their income for an apartment � � � ��-90 � - many clients encountering discriinination in the rental mazket. A tight rental market makes it easier for illegal discrimination to occur - families staying with other fanulies and both families losing housing when the landiord discovers the apartrnent is over-occupied - many clients who work, but lose theu job because they do not have stabie housing - many clients who aze going to work under the new welfaze program, MFIP, but even with an increased income they are unable to find affordable housing - clients whose houses aze being demolished as part of development projects on the east side, around west seventh and on the west side. - clients living in condemned buildings Based on these observations, it is cleaz there is a severe shortage of affordable housing in St. Paul. Many of these problems would not occur in a city where there is an adequate supply of rental housing. More and more of our clients aze homeless because of these problems. Even our clients with excellent rental histories are homeless because of the severe shortage of housing. � Because so many of our clients are affected by this shortage of housing we respectfully make the following comments to the St. Paul Housing Plan. General Comments The city has done a thoughtful job of stating broad goals to address the current housing situation. The broad categories outlined by the plan are an excellent way to categorize the housing needs of the citizens of St. Paul. There is no provision for setting specific objectives with time periods for achieving them. There needs to be a tool in the plan to set goals and time lines. There is nothing in the plan that specifies how the city will monitoz the implementation and achievement of the plan's goals. There is nothing in the pian that will monitor whether its objectives aze met. There needs to be a way to measure if the city has made progress towazds the goals it has set. We find that the city's housing plan is very vague. We wge the city to include actual and specific objectives, goals and targets for creating new units of affordable housing. We ask that words such as "encourage" and "support" be replaced with words such as "build" and "replace." Take Care of What We Have We agree, the ciTy must take caze of the housing it has. The language in this section should be stronger. The city should consider replacing demolished units with new units on a one for one basis. There should not be a net loss of housing. The city should adopt a one for one replacement policy. The city should make a commitment not to use Community Development Block Grant (CD$G) funds to demolish housing. � The city should combine efforts and continue its commitrnent to preserve historicaily and architecturatly significant buildings, that contain affordabie housing, with tas increment financing or set-aside for affordable housing. Again, specific projections as to the number of units to be created must be included so that one for one replacement is achieved. Meet New Market Demand There should be specific language that duects the city to produce 400 housing units per yeaz. These should include specific mandates to include housing that is affordable (defined by HUD as an expenditure of less than 30% of a families' gross income) to those making less than 50% of city, not area, median income. The term "mixed use" used in the ptan is not very informarive. Instead, the city should make a certain percent of a11 newly constructed units affordable to low and very low income families. We encourage the city to include a provision that directs CDBG funds be used to produce this housing. Ensure Availahility of Affordable Housing The city should create a city-wide ordinance requiring a 25% set aside for affordable housing with all new multi-unit construction. This could be combined with tax increment financing to give builders incentives. Instead of the term "mixed use" there should be specific reference to a � percentage of newly constructed housing that will be afFordable to those making less that 50% of the city's median income. � The ciiy should make a commitrnent to work with the Minnesota Housing Finance Agency �(MHFA) to keep federal subsidies coming to buildings where HiJD federal mortgages are in danger of being pre-paid by private landlords. The document should include a specific plan to retain the existing housing stock by developing an internal agency that could help the city enforce code viotations through civi2 court actions, such as the Minnesota Tenants Remedies Act or the Rent Escrow laws. The city should develop a�ant to contract tiiese services to outside organizations that could receive the inspec�ion reports of buildings in disrepair. This agency could take appropriate civil action to save the housing. Moreover, the city should mandate that their own Public Housing Authority (PHA), which has experience in maintaining property, may be appointed as administrator if necessary. In the narrative portion of the secfion there is a reference to the reduction in federal funding for affordable housing. Congress, however, has authorized an increase in the number of Section 8 cerYificate and vouchers thus increasing the number of tenant based subsidies. These subsidies will be lost to St. Paul residents and the city if recipients of this assistance cannot place the certifccates or vouchers. If there is not a specific plan to address the ability of Section 8 recipients to place their subsidies, the city will lose federal assistance. � `/ 9-y a � In the first pazagraph of page 11, the committee identifies a trend within the two central cities and characterizes it as "places where imu�igrants come to first settle into a new land..." Indeed, the vitality of cities depends on the mix of ages, incomes, family types, races and ethnic groups- and the mix of structures that house them--that isn't found in suburban communities. However, the city's stated policy (goal) of de-centralizing affordable housing and shifting development burdens to the suburbs contradicts the trend that the city has clearly identified. With a rental vacancy rate of 2% and a cleaz objective of reducing lower cost housing within the city, there wili be nowhere for these segments of the population to live. If the suburbs have no ability to house these people, and the city is pushing to have them move to the suburbs, we will create a class of permanently homeless families. Until the suburbs aze willing and able to accommodate persons within the low-income and affordable housing mazket, it is the city's obligation to accommodate them. "Freezing" out the members of the affordable housing mazket by encouraging de-centralization and non- developmenddemolition of existing affordable housing within the city is contrary to federal CDBG funding. Until the city has confirmed the developmeni of the affordable housing in the suburbs, it cannot continue de-centralization and demolition of its own affordable housing. ,: Along with the goal of challenging the region to do its part in deconcentrating poverry, the city must also deconcentrate poverty in its neighborhoods. Neighborhoods within the city of St. Paul � are as segregated as the suburbs. Thank you for the opportunity, on behalf of our clients to comment on this plan. We appreciate all the hard work that has gone into its creation. Sincerely, � ` �'1lN'V l:�V V� Laura Jelinek Attomey at Law � v 4 2 � � �� 4 0 . . ��, V � �� o O � ` '-� �a � � 2�' 2`� Q s Testimony To: Saint Paul City Council/Saint Paul Planning Commission CC: St. Paut LWV Board From: Karen Chaput, Action Chair, League of Women Voters St. Paul Date: <Date> Saint Paul Housing Plan Draft for Community Review, October 9, 1998 Due to a schedule conflict, I was unable to attend Monday's hearing, and respectfully submit this testimony on behalf of the League of Women Voters-St. Paul. The St. Paul League of Women Voters commends the Planning Staff and Commission for their diligent efforts in reseazching and preparing the Saint Paul Comprehensive Pian, specifically the most recent draft of the Housing Ptan chapter. The Metropolitan Council is predicting an area-wide housing shortage to accompany anticipated growth, and is subsequently asking the region's govemmentai enfiries to escalate plans for housing to accommodate this expansion. This chazge is one that the City of Saint Paul has taken seriously in the past, and one that we believe requires an equal, or even greater, response as we enter the neut century. Hisiorical Background Housing and community development is a concem that seems to be with us always, and the St. Paul League of Women Voters has studied these efforts periodically. Our £vst consensus position to support programs providing public and publicly-assisted housing was adopted in the 1950s. We also supported efforts to develop, rehabilitate, and conserve urban azeas. This was enlazged upon and reaffumed in 1972 and 1979. In 1992 we added support for progtams specifically supplying affordable housing. This is also the position of the League of Women Voters of Minnesota. Our housing position states that we believe that all people have arigfit to housing. The public and private sectors should work together to ensure that everyone has access to adequate, deceat, affordabte housing. for very low-, low-, and moderate-income households. We have these comments Yo offer on the proposed plan. Recommendations on Proposed Plan Key Trends We note the five key trends mentioned as introduction, and aze most concerned about the fifth point: the persistence of poverty. According to data supplied by city staff, fully one-third of the households in Saint Paul in 1996 had incomes less than $20,000. Another 22.5% have household incomes in the $20,000 to $34,999 range. It is these among us who are most affected by the lack of affordable housing, whether it be for apartment or house rental, a first home purchase, or housing that includes assistance in the latter yeazs of life. You have menrioned the rising numbers of immigrant families. According to city staff at an informational meeting this fall, these lazge families continue to have difficnity fmding housing of a suitable scale. Strategy I: Take Care of What We Have We laud your emphasis upon maintaining the sense of place, each i � � 99-90 � neighborhood, that is Saint Paul. This essence is, as you put it created by the pattern of our streets and blocks, the style and scale of our existing housing stock, the proximiTy and walkability of our neighborhood commercial districts and the beauty of our natural amenities that attracts new residents and inspires the loyalty of those who aze akeady here. Keeping our neighborhoods in good repair makes the most basic economic sense, and so we support your policy as stated in 42 Continue a commitment to the preservation of historically and architecturally sign�cant buildings and neighborhoods, 43 Step up code enforcement matched with additional resources for repair and rehabilitatior� 4.4 Strategically focus efforts to stem deterioration and declining values, and 4.5 Improve management and maintenance of rental property. Stepping up code enforcement, coupled with financial incentives for conscientious property owners, seem to hold promise as tools to support our existing housing stock. We believe that neighborhood-based planning will help focus efforts to stem deteriorating values. We would caution that you also keep this in mind when pursuing increased land use density, as cited in 4.1.b, as this additional density should aiso be in keeping with the existing neighborhood. ^ Sbategy 2: Meet New Mmket Demand /�� vIeeting new mazket demand in the city of Saint Pau] is a laudable goal, J �V � Q �`"�ut one that we believe the private housing sector can supply. If we were � A � o to prioritize your three housing strategies, this would receive our lowest R ` a � rating of the three strategies, as currently articulated. �� . �o Policy 5.1 encourages the production of 300-900 housing units a year that �l, r o� can be sold or rented to smaZler households-either new young households p` �c>� or older empty nest and senior citizen households. Points a, b, and c, � appear to chiefly support (through financing and land transfer) the private � development sector serving the high end of the mazket. Considering the s.�'' ongoing lack of affordable housing in Saint Paul, we suggest that point Q S.l.c.iii, be changed to guazantee a fixed number of the units (35%) be affordable to households at 40% of the regional median income. This wili help create new housing to fill the gap, and also assist the city in achieving diversity within the mazket unit mix (policy 5.4). Encouraging the production of renta! hausing, policy 53, includes advocacy for additional reforms of state taac provisions. We support this in terms of revising the tax system to narrow the taac disparity between rental and owner-occupied residential property, especially that available to very low-, low-, and moderate income households. We commend your goal in Point S.S.a in terms of streamlining the administrative process, but believe that the citizen participation portions of the zoning process must be maintained. Our consensus study would support Point S.S.b, if the lazger homes aze used only for additional, urban-style affordable housing. Strategy 3:Ensure Availability ofAffordable Housing As your initial description of the current housing situation so aptly puts it: The availability of safe and decent housing affordable to households who earn low or modest wages is critical to both the economic health of the � community and the welfare of those households and their neighborhoods. We concur that there is a need for affordable housing throughout the Q 2 � �� a o V w � ' � v �� c' � g � o O < v �' � � 2� 2 � metropolitan region and our �ocal, regional and state positions are used to suppoR and lobby for more affordable housing supply and options. While we support this goal, we do not believe that our own (St. Paul) success, and other's lack of will, relieves Saint Paul of its obligations. We agree with your suggested plans for action in 6.l.a.b.c.d. The League also supports the portion of the plan calling for collaboration with its public, private and philanthropic partners to identify and secure significant additional resowces to enable the preseroation and construction of affordable housing, both within the city and throughout the region. (6.2) Point b would allow neighborhood housing agencies additional revenue for affordable housing, while Point c could leverage partnerships. We would recommend, though, that the latter specificaity define affordable as 40% of the regional median income, before any partnerships be undertaken. Section 63, preserve existing federally assisted housing, includes several inuiguing ideas reguding property stabilization and Section 8linkages. We encourage the city to continue to work in these areas, as well as committing to modemizing and maintaining the city's own housing stock (63.c). Section 6.4 is a worthwhile strategy, but incomplete, wii3�out a specific numerical goal. We ask that you define modest and tie it to the goal cited in 5.1 of 300-400 new units per yeaz. Further, under 6.4.a, public financing should be used to support the modest wage eamer, and require that 40% of the units be affordable to those with incomes below 50% of the regional median. Likewise, in point c, we believe the goal of the 20% of the units affordable at 60% of the regional median does not address the target earnings population. Supporting the work of community-based development corporations in producing affordabte housing should be supported through transferring vacant public property, and we suggest that, in the experience of the city of Minneapolis, this will begin to be accomplished once a specific annual target is set. We also advocate housing policy that will Support a variety of initiatives that will allow Lower income households to move into homeownership. (6.5) Within that, points a-g aze all laudable, but lack definition of specific attainable goals or commihnents. Working with a problem in isolation is ineffective, and points 6.b and 6.7 acknowledge the targer picture of agencies and seroices that can be brought to beaz on this issue. Undertaking the problems, aad potenrial, associated with smaller, privateIy-owned rental housing units is a challenge we are happy to see you beginning to explore. There are responsible and irresponsible property owners, and the city should continue to work with both. Again, action is more likely to be taken, if specific attainable goals aze set for a-e, records kept, and results raported. Summary During our most recent housing study in 1992 we interviewed many people with special knowledge and e�cpertise in city and regional housing. We discovered that the housing programs in St. Paul were targeted towazd alleviating the economic housing pressures being experienced by the middle-class home owner. The ciTy was concerned tk�at after many yeazs � � i �9-90 � of federal programs supporting the lower-income citizen, that the middle class was being squeezed out of finding a home in, or even staying in, Saint Paul. Programs became geazed towazd supporting that economic sector. We think it may be time for the emphasis to once again shift. Federal housing programs and dollars have dried up, and we can't fill the gap alone. But we need to take a closer look at our priorities, and in addition to working toward additional regional, state, and federal solutions, pledge our own efforts to those in most need of affordable housing those who earn minimum wage, or even 30-50% of the regional median income. This draft housing plan appeazs to be a good beginning, and we challenge you to set specific numerical targets to spur achievement, as well as recognize and begin to ameliorate the lack of affordable housing in Saint Paul. We thank you for the opportunity to enter our comments. � � � w � o o V � �� "` O �" � � 4 '�V ��, � � � _� � Q s � � ST. PAUL TENA�LT,S,��T�ON t S �. ....: �. i" �.. t... St Paul Planning Cammission Attn: Crladys Morton, chair � .. . � 1300 City Hall Annex ` 25 W 4�' St St. P2u1, MN 55102 e ��t��UIY�i� UtVFJ.uPms(qj Dear members of the Planning Commission, 11 December, 1998 Thank you for the opportunity to give input on the Comprehensive Plan. I would like to take dus rime to share some commenu with you. We at the St Paul Tenants Union have some concems about the Housing Plan and a few suggesrions for its improvement. First, a word about how some St. Paul Tenants Union members aze personally affected by the lack of affordable housing. We receive about 8,000 calls per yeaz from tenants with a question about theu rights. One of the trends we noticed was that more families were being forced to seek otfier housing due to lazge—but IawfuI--rent increases. Several tenants who joined this yeaz have faced an increase in their rent of more than 15 % over one yeaz (Wages went up by an average of Z% in Minnesota last yeaz, according to tfie Department of Economic Se�curity). Two members who joined in November had their rent increased fow times this yeaz. The last rent increase proved too much for one of them. To find new fiousing, she paid seventeen applicarion fees totaling over $400. The other tenant fazed worse: she has an Unlawful Detainer on her record because she was late on her rent payment once while her mother fell ill. Because of the IInlawful Detainer, she cannot find housing and may soon become homeless. Another trend we noticed at the St. Paul Tenants Union is that, because tenanu aze aware of the housing shortage, they are more afraid to bring matters to the attenrion of managers or inspectors for feaz of retaliation. Reports of retaliation rose by 15% this yeaz, diserimination by 2 t%, and concerns over the lack of affordabte housing by 32%. The Ioss to the tenams is great: one African American woman is now sleeping on her living room floor with her two childreq because her bedrooms aze too cold She also deals with a kitchen with no working oven, stove or freezer, and her drain leaks, amacting roaches into her apartment. She feeLs thaY she must put up with these conditions because she has no other choices; she doesn't want to end up homeless like her cousin and her three kids. The net loss to the city, besides the suffering that residents endure, is that ow housing stock continues to deteriorate, faz more quickly than would be the case if the landlords were afraid of losing their tenants to a landlord with a better-maintained rental uaik � z z s�� n z 0 � 0 ° � c 2 s r.m z Ttte 1.8 percent vacancy rate (lower for larger apartments) means thai mazket conditions favor landlords and encourage those landlords who aze unscrupulous to ignore the conditions of their apamnents. Would tenants let a building contiaue ta dete�iorate beyond all hope of repair if market conditions, namely a healthy vacancy rate, were more in their favor? It would be been cheaper to maintain units if tenants enforced their rights when conditions began to deteriorate. The Housing Plan coaectly points out (page 13) that it is cheaper to maintain and preserve than to tear down and rebuild I propose a different conciusion than the one pmvided in the � Housing Plan (Page 11): preservation is the primary objective, but for the reasons mentioned 5Q0 Lau� AvEN�e ST. PAIIL, Mx 55102 (612J 224-6 - Fnx (612) 222-0931 s , a � r R A � � � � � � � 99-90 above, creation of new units of affordable housing should also be as high of a priority. The � desired effect of a well-maintained housing stock requires a more reasonable vacancy rate. Given the current labor shortage, it is unreasonable to move low-income tenants out of the metro area We need to build more housing units affordable to them. Strategy 3 in the Housing Plan, which deaLs with creation of affordable housing, pages 11-17, does not meet the needs of low-income tenants. Although on page 3, it is noted tha# 7700 families who aze making under 30 percent of the regional median income pay half or more of their income into rent, there is no numerical goal of new units anywhere in sections 6.1-6.6, except supporting non-profit or�anizarions in creating 25 uniu per year. Seventy-three percent o£ St. Paul Tenants Union members eam under $20,000 per yeaz (azound 30% of the regional median income, or RMI). Close to half of them (483%) aze on a fixed income, at or below minimum wage. Nothmg in the plan addresses their needs. At best, it mentions (on page 14) that 20 percent of new housing will be earmazked as affordable to people eaming 80 percent of RMI, which would be azound $48,800 per yeaz', half of which would be affordable to 50 percent of the RMI, or $30,500 per year. People who earn 80% of RMI could afford $1220 per month in rent, based on HLTD's standard. The most recent Apartment Search Profiles notes that average rent for a one-bedroom apartment is $521, and $916 for a three-bedroom! Cleazly, households making 50 percent of the RMI do not need a subsidy to afford adequate housing. Families earning less than 30 percent of the RMI, or at minimum wage, do need this assistance. This is why 3,000 people signed our peririon, calling for crearion of 1, 000 new units of rental housing affordable to people earning minimum wage. � The Comprehensive Plan should strive to meet the needs of people - like St. Paul Tenants Union members - on fixed incomes, earning minimum wage, ot less than 30 percent of the RMI. To do this, the Planning Commission, Planning and Economic Development and the Met Council need to assess the needs of these groups of people. Once we know how extensive the shortage is, the city needs to make a commitment to build enough units. And low-income tenants need to be part o£ this reseazch-and-planning process. It has been azgued that jobs aze moving to the suburhs, so thaYs where we should huild housing, not in St. Paul. However, there is a lack of information about lowest-income jobs. Apparently, neither the city, county, Met Council or state is keeping track of people after they move off the MFIl' program. Are they working? What jobs aze they working? Where? At what wage? Do they need public uansportation or child caze? Did they move? Where? For what reasons? The city cannot make action plan if it doesn't have this informarion. Second, if jobs aze the issue, we should create new jobs in St. Paul. We support the city's downtown development efforts. Whenever development money is used, it should go to help provide jobs to St. Paul residents. Every downtown development project should include funding to build housing in St. Paul. This way, when we spend our tax doilars, Si. Paul residents can work at these jobs, contributing to the ta�c pool. Finally, in the meantime, don't tear down any units of housing until there is sufficient evidence that enough safe, adequate housing will be built, in the same azea and with the same general rent We can't afford to deepen the crisis. p�C�tVE� i\ � ' Figure of $61,000 was given as RMI at December 7t Public Hearing �� 1gy p,�pflNING & ECONOMti� D�� We offer the following specific suggesrions for improvement of the Housing Plan: • Where the language says, "encourage" the creation of affordable housing, the city needs to � make a"commitment" to build affordable housing, with a • Numericat goat of a specific number of new units built (not rehabbed} per year. • Creation of affordable housing needs to be a high priority, the same as preservation. • Ptan needs to track specific needs and make specific suggestions for more income brackets. Specifically, add two brackets (minimum wage and 30% of RMI}: • Minimnm wage (—$I 1,000/ year) could afford �$275 per month in rent • 30% of RMI ($19,200/ yeaz) wuld afford $480 per month in rent • 50% of RMI ($32,000/ yeaz) could afford $800 per month in rent • 80% of RMI ($51,200/ yeaz) could afford $1280 per month in rent • Any public funding into development needs to provide funding for hoasing, and it needs to guaramee a certain percentage of the jobs created be for St Paul residents. • Moratorium on all demolitions until adequate reptacement housing is built, until there is sufficient evidence that the city has a plan and resources, and until an impact staYement shows that units at the same rents are available in the same general azea Specifically, the plan should be written and conceived in the following way. `' 1. Track information better, for the four income brackets listed 2. Have detailed, accurate needs assessments for each of the four income brackets. 3, Craft a policy which has specific goals and rimeline to meet the needs. 4. Oudine plan to secure resowces (private, foundation, non-profit, state, federal, city) We support Rondo Community Land Trust's suggestion that St. Paul commit to build 400 units per � yeaz. We think it should be divided among the various income groups as the need dictates. For exampie, if 20 percent of St. Paui's fanvlies who need hovsing eam at or betow minimum wage, 20 percent of the 400 built per yeaz need to be affordable to families eaming minimum wage, either through building more Public Hoeising, grivate housing with low rents or Section 8 vouchers. We want the city to have the flexibility to decide what Form the subsidy should take: up- front construcrion or Section 8 certificates. As 6 out of 7 Metro HRA Section 8 Certificaies were retumed unable to be used, ihe city needs to enforce acceptance of Section 8 Cer[ificates. As these aze rimes of a housing crisis, we stand ready to support the city in seeking bold solutions. For exaznple, the NaYional Alliance of HLJD Tenants reports that over 3 billion of federal dotlars were taken out of the Section 8 program and vsed for "disaster relief." We would enthusiasrically support a city effort to seek the retum of dvs funding. Thank you again for this opportunity to bring you our concerns. I look forwazd to a cvritten response to my comments. Please send them to the St Paul Tenants Union, 500 Laurel Avenue, St. Paul, MN 55102. D Sincerety R�CEIVE Mazk �� ! 199L Community Organizer ��ppNENT ouNlltil�� z Assuming a RMI of $64,000. This was given by Metropolitan Councif �seazch staff in October 1998. �� omen'� l��soci�t�on of Kmong �nd I��o, Inc. W.t1.�I.L. � A non-profit organization November 24, 1998 REC�IVED DEC 1 1 1998 Saint Paul Planning Commission 1300 City Hall Annex 25 West Fourth Street Saint Paui, MN 55102 Dear Members ofthe Planning Commission, f%►':t�� • !�� ia � ��„ , I had the opportunity to review the draft of the Saint Paul Housing Plan and would like to share some of my clients' concerns with you. Although the proposal addresses the issue of affordable housing with various objectives to pursue, its language, however, fails to convince me that the Planning Commission will, in reality, actively pursue a course that would "ensure [the} availability of affordable housing". 99-yo I work on issues of crime prevention and quality of life for a locai non-profit agency that services � the Hmong population of Saint Paul. Like other residents of the city, our clients have housing as one of their most important priorities. Many of them aze MFIP participants or SSI recipients and therefore live on an income of less than 50 percent of the regional median income (RMI). Affordabie housing, then, becomes an urgent need for them and especially for others who have lazger families. Also, with the influx of new Hmong families moving to the Twin Cities Metro Area, we frequently receive phone cails from people who are in dire need of adequate and affordable housing. Many of these new families live with relatives in overcrowded rental units, and all of them run the risk of eviction because of this situation. As you know, the vacancy rate for all rental units is hovering below 2 percent, making it very difficult for these in-migrant families to start a new life here. In addition, because of this tight market, rent has become incredibly high, causing additional stress on my clients' budget. i I think that the Planning Commission, Planning and Ecflnomic Development, and the Metropolitan Council should keep track of people like my clients, and come up with a needs assessment for people who are eaming minimum wage and for those earning under 30 percent of the RMI. Preservation of existing affordable housing is important, but the creation of new units is as high of a priority which also needs your commitment. T am particularly concerned that, without a numerical pledge for new and diverse housing units, the Planning Commission might rely on the fiitering effect to provide housing that is simply labeled "affordable". 506 Kenny Road • St Paul, MN 55101 • Tel: (612) T12-4I88 • Fax: (612) 'Z72-4Z91 • Email: wah]@future.net � I am urging you to craft a policy that would be attenrive to the economic and family needs of the residents of the City of Saint Paul. Developing downtown to meet the needs of "Empty Nesters" and reflect the market trends is a smart investment, but I caution you against downtown gentrification which will reduce the number of affordable housing available to lower income people. Again, I find the lack of committed language in the Housing Plan draft to be unsettling in this dialogue of affordable housing. It is imperative that the Planning Commission assumes responsibility for the preservation and development of housing that will be affordable to all segments of the population, whether that is done through building new housing units or throngh promoting greater access to hnm20��fi!?rgl�in. Thank you for your time. I hope that you will take these concems into consideration for the implementation of the Comprehensive Plan. Shall you have any questions regarding this letter, please feel free to contact me at 651-772-4788. i America R �eE�VED � � 1 1998 '��NlNG & ECONO�q1C0�VE�ppMENT � � Best regards, • i • � Ci � 8rom: GC COMPUTERS csolvex�nn@yahoo.com> To: PEDD.PED(homans) Date: 12/B/98 7:SSam I read with mixed feelings, various articles about "afforable" housing in St. Paul. z see our city in a no win,lose lose position. A question to be asked is what do we want for our city? Is it our desire to become a magnet for the poor, hungry, huddled masses yearning to be free. If that is the case we will be a city in perpetual crises similar to New York. We will never have enough "affordable" housing because the more we provide,the more who need it will come; from minneapolis,detroit,chicago and across the country, much as they did when it became general knowledge that our state had more generous welfare benifits than many other states. The poor will be with us always but our city and state governments must reconize that as we provide more and more taxpayer supported housing, food, shelter,medical care and jobs, the more sick/homeless/hungry/under and unemployed people we get. The more we get the greater the strain on the taxpayer to provide and pay for those services; and the more the recipiants of this come to view them as a right they are entittaled to. when do we reach the point when we realize that we are nolonger caring for just our fellow St. paulites or even minnesotians who have � fallen on hard times or are simply less fortunate but for the poor of dozens of other states who are not so generous with their tax money. That is wrong. The only way to correct this situation is to nationalize welfare, and make the rules and payments uniform across the country. This should include government sponcered housing and the percent of government housing per state, should be uniform as well. Our state should concider a simple residency xule acceptable to the courts. Would they accept a one year residency rule with no exceptions as part of eligibility for any assistance of any kind housing included?? When do we reach the point when we realize that high conoentrations of poor often equells a high concentration of crime and social problems which in turn encourage the flight of middle class families to the suburbs to get away from the crime. This is not a race issue as some claim. This is a money issue...and always will be. cliffton sanders St. Paul DO YOU YAHOO!? Get your free c�yahoo.com address at http://mail.yahoo.com � RECEIVED aEC 1 9 '49� P,LANNING & EC�NflMlC DEVEtOPMENS 22 Octoba 1998 To: Nancy Homans via Fax (652) 228-3220 Fmm: CIifton Brittain t980 GoodrichAveaue St Paul, MN 55105-1544 Voice (651) 690-12'7'7 Fax (651)698-6941 �Nia1: BrittCiif@aoLcom � CC: Mac/Groveland District Council ke: Saiat Paul Housing Plan T agee with most of the plan. However, I would like some clazifications and expaasions for my oum infarmauon so that I can develop a more infortned op9cripn. Wbere T most disagee is in the third stategy in wLich 8�e plea detaches iuelf from the currenr economic and poliucal situation. While some of the proposals are desirable and workable, the bulk do nnt engage reality as I see it Please clarify/provide additionat informarion to me on the following poiirts of the Draft: . 2.Q Ia�oducrion � Paragraph 3: "Secondty, the plan recommends that Saint Pavl aggressively work w capture its slurre of an emerging marKet of smaller households... ." I assume that yon mean by "eaphue its share" thaf you mean a% of a particular eohort ia relation to the region's pop�latian in to1a� or ia re]ation to thaz whort. Can you be more specific? 3.0 Key Trmds Item 4. Which neighborhoods are "characteri2ed by declining or srag�ant values.. " Item 5. May T conclude tfiat 7% of St Paul's population, by household, is below 30% of the re�onal median (7700/I17000)? How dces t4at compaze to the region as a whole? Can you refer me ta wncise demogaphic information of this iype? Does it get down to neighborhood detail? 5.0 Stretegy 2: Meet New Mazlcet Demaad It seems to me that the cohorts you enumereTe have very different hnusing needs, even t6oughthey are numericatly similac. Young farnities have a need for wide open recreational spaees (e.g. the azea around Mattocks Pazk). Older farai}ies have aneed far s6ort walking distanees aad securiry (e�g_ Galtier Piaza), plthaugh a neighborhood could be created that meets both needs, developers are (regrettably) segegating those markets. Unless you are creating an i�egated plan, I think you ne�d to segneP,ate tl�ese markets for Pj�B P�Poses. Point 5.3 Encou:age the production of reutal bousiag. — , . _, � 10/22/98 THU 20:41 /.- �� C_� � FA% 651 698 6941 BrittalniLadtter As a citizea aad �xpayer, I want property values to increase so that my propor6onete burden is lessened Your commeat "There are few incenrives for owners to hold down rents..." seeins economically wveasonable. Why would any owner warn to hold down rems? ALso, "._.adequately maintain their propertiu:' The incentive to maintain or enhance propeities is to get higher renu. The only ezception m this would be landlords w6o are cma6ng ghettos. These siwations should be dealt with in a regulatory and con5seatory manner, not by supply and demand. Point 5.4. In the eonsmuuon...meet the divecsity of the market You seem to be poiming in the direetion of what liave traditionally been tenemenu. Ls this what you mean? Is the objective to design livable ghettos and tenemeats7 Strategy 3: Ensure Availabitiry of Affordable Housing I thi�ilc the cart is before the hone here. Housing is not affnrdable because incomes are insufficient It is aot the fault of the }wusing, nor will affotdable housing relieve insufficieat income. It could be argued that affordabte, subsidized housing helps to peipetuate lower incomes by subsid;� low wages. lf the problems is low wages (and it must be, because we tiave close to fiill employment), affordable housing wilt do noUung to alleviate ihe problem. Regarding the eight specific proposals to implement flsis poIIcy, I could go on and discuss specific objections to each of the points, bvt they all fall into the category of objecaon to the premise that affordabie housing is a good thing to make our objective and that it can be achieved in our economy. if you were to subs6tute the phrase "adequate income" for "affordable housing" ia the preamble, you would be much closer to solving the problem. My thought is that the region needs w idenrify the minimal acceptable housing siivauon (people per room, people per square fnot people per toile; whatever), devdop costs and prices for such living situations, and then design living units that will accommodate those densities. If housing wdes do not support those densities, then tl�ey must be chenged. In an ewnomy in which there are such huge income differentials it does not seem to me that they can be single family dehched, or even attached, homes. My guess is that they will ]ook like dosmitories or barracks or shelters. These affordable units should be layered into new developments (e.g. u second floon to new commercial developmenu, like at Selby & Dale). They shouid not be ctustered together, as m a�etto or a high-rise. There is no doubt in my mind ttiat affordable housing is not equated with desirable housing. �thout subsidy, it cea't be. Inasmueh as the rucreat political cIimate will provide fewer and fewer subsidics, the options exploted must be more market driven. The whole S�ategy 2hree azgues with the eeonomic reality of the late Twemieth Century. Tn the end, you caa't azgue with the market @looi `� • r � RECEIVED DEC 0 9 f998 Saint Paul Area Colulcil of ��t�§"or�ic o�ve�oPn�� 16715ummit Acenue • Saint Paul, Ivf� 5510�-1SS� •(612) 6-66-SSO� • FAX: 6166SCti The Saint Paul Plannin� Commission Attn: Gladys Morton, Aousin� Plan Task Force 25 �uesi Foarth Street, Ste. 1300 Saint Paul, MN 55102 - Re: EresentaYion at Public Hearin� of Citv Council and Plannin� Commission on the Draft Saint Paul Housin� Plan D�ar iti:s. lYSortor: I arrived late to the public hearin� and was not able to make my presentation. I am therefore submitted nry remarks in wriYin�, as you indicated would be possible. I am the Director of Con�regations in Community for the Saint Paul Area Council of Churches. Our members aze indi��idual mainstream Christian congre�ations in the East Metro. There are over 550 con�reoations in the East Metro. The reason I«as late because I�vas attending an open house earlier in the evenin, in Maplewood on thz count�� proposal to locate its shelter for homeless families in tiSaple�cood. I�cas there to support that proposal. Ho« e� er, you should Icno�� that a number of �iaple«�ood rzsidents oppose � that site. One of the most frequeat reasons I heard « that it shoidd be locatecl ir� St. Paul where n:ost of tlie trsef•s of dte sefti•ire m�e fi-a�t. i�1}� response �cas that the �Iaple��ood site �ras d:temiined to be the hesr location bt th: Count�� site selection team. \e��ertheless. it does pose an interesting obsen�ation �chich speaks to thz heart of m� przsentation, that the Cit�• of Saint Pau! nezds to address the ne:ds of its citizens. and in panicular. its most ��ulnerabie citizens, the poor, the discriminated aQainst. and thz homeless. IL ma} sound nicz to sa� tha? th: suburbs need to pro�'ide their fair share of lo« and moderatz income housin�.1'ou ma}� b: committed to making that happen. It doesn't, ho«�ecer, lessen y�our responsibilitc to address thz needs of all of �'our citizens. R'hile the draft plan is a good start and the City should be commended for in�•itins public comments, the plan needs to be rz��ised to pro� ide for more specific numzrical housin� �oals and more fully address the e�isting housin� needs, particularly� of lo« income and homeless househo]ds. I�� ould also like to aclato«'ledse the «ork of \anc}� Homan. She did a very competent job in idzntif}�ing the problems and trends'in the City of St. Paul. She also �ti'orked hard to be a��ailable to the communit��. 1e�ertheless, �ou heard o��er and o��er from those that tescitizd that there «ere problems «ith the drzft plan. F,rs:. :i�� plar, snould use data on the Cin's median household income_ not the reeion's. The i2:_:- ro: o^I� distort; tn: estent e: the problem. but rzsult m stra:e_ies t�a: �� i![ not «�ork. J�cor:c. �n: p;a:, does no: address tne needs of lo«-income households o: hous�aolds leacinQ tn: shel[er. Aeain, as «as noted zt the hearinv, tne Cit� nezds to address the housine needs of � �19-90 � households that make less than 515,000, who cannot afford to pay more than $300-400 per month . As an a�ency �chich assists homeless families, �ve can clearly see the difficulty in findin� affordable housin� in Saint Paul. We have seen the demand for overflo�v shelter �o from a five month pro�ram to a year round pro�ram. We have also seen the vacancy rates drop to less than two percent and the cost of housin� increase. The City cleazly needs to �vork with the County and Met Council to provide an adequate supply oftransitional and lo«�-cost housing. I do take exception to the landlord �t•ho stated that the City should acquire existin� housin� units rather than rehabilitate i�ousin� units and construct ne�� housin�. He may not realize it, but he is contributing to the housin� problems by acquiring rental properties at a lo«' cost and then rentin� the units out at a higher cost. Acquirin� existin� units does nothin� to increase the supply of affordable units. Rehabilitatin� units maintains existing affordable housing units. Constructin� low income housin�, adds to the supply of affordable housin�, as does the sale of some housin� units w},en re;ired famiiies move oat of iarger iiomes io sma:ler nousin� :mits, e.�. apartmencs and condos. One of the other speakers su��ested that St. Paul needs to attract middle and upper income families into the City. You are not �oing to achie�re that �oal by i�norin� the needs of lo«� income and homeless families. Quite the opposite, by improving the li� ing conditions of the poor, you will make the City attracti�•e to ail. If nothin� else, I hope y�ou Qot the messaoe that you can not demolish existina housina units �� ithout hacing repiacement housing a��ailable £irst. Look at what happened «hen the � Lake��ood Housina Units «ere dzmolished. As a result of the demolition., there «ere fewer affordable housin� umts in the Cin of St. Paui. There also «as a net lost of housina. Some of the familizs displaced b}� the demolition ended up in ��•orse housing, but pa}•ing more. In closing, on behalf of the Council of Churches —«e see this as a moral issue — ��'e urge you to rz-��rit: the plan, inco�o:atz mor: specific numeric Qoals. use Cit} data and not rzgiona] date to establish affordablz hou_ia� standards, address the housine needs of io« income families, and take responsibilit}� for meetin� the housina needs of ali r'our citizens. rather than depznd on the suburbs or blame the suburbs for not meeting the needs of the Cit} of St. Pau1. At the same time, I«ould encourase you to �� ork ��'ith the Met Council and State Leeislaturz to open up the suburbs for ail t}pes of housin� and address the �ro�cin� problems or urban spra�cl, inereased searzgation, concentration of poor, and reaional disparities. Sincerely, t ��-�..�ZG� , I.t� - Robert G. ��'aiz, �1S�t� �� Dirzcto* of Coneresation> in Comm�mit� �ECEI�/�� DEC �J i 199� �1i'�N.�YtNG & ECO�Y�7b',tc D=�!_! O�M�`{; � Sherilyn Young 71 W. Isabel St. #1 Saint Paut, MN 55207 651-224-7308 Comments on draft St. Paul Housing Plan Housing on the �Vest Side flats 4.1 I appreciate the acknowledgment of the challenge the City faces to intearate significant redevelopment and netii� construction into Yhe existing city fabric. I am especiaIIy concemed about housing development on the West Side flats in the industrial district. It «11l be very easy to build housing on the riverfront that is not in any �vay connected (by architecture or sense of community) to the existin� residential area on the West Side. 5.1 The map of potential housing development sites indicates that the West Side may be the recipient of larger site housing development. I believe the placement of this potential development, in the middle of the industrial area and nearer to downtown, «zll isolate the new residents and make community connections extremely hard to build. I su�gest large site development be contiguous to the current residential area. I do support the actions indicated in a.-c. Cade Enforcement 4.� The Plan indicates the need to �vork nith property o�ti�ners on a resular basis rather than rel� on a complaint based system. I a�ree this is ven imponant and recommend that the pian state that thz Citc �iill take steps to c;�ork «�th the District Councils �i�hen properties are id:ntified as potential problems for code enforcement. District Councils ma� hatie helpful connectionc and resources to help facilitate this enforcement in the contest of community� buildim� 4.4 Good' Rentat Propem�/Housina 4.� Good! Ho�3�ever I�could like to see an equa] focus on the renters themseives. For e�ample_ the ptan should state that traininv for renters, as ��ell as landlords is a priorit}�. Welcome packets could be developed for new renters in the City, �vhich could be distributed throu�h the landlord connections made in this strate�c� �.=.c. Good. �.3.d. I don't understand w•ho �tirill share the responsibi(itt• for maintenance and upkeep of propem . Affordable Housing 6. I_ 6? I am conczmed that the Cin ��ill place too high a priorin on ti+o*kin�= to make sur: othzr re��ional communities protiid� affordable housm=. not concentratin_= or, S?. PauI. I don't beii:�: this stratz�_: should take precedence o�er anc other ctrate�n in this plan Thank �ou in ad�ancz for consid.nnU mc commentc' � � RECEIVEG� DEC 0 8 199€ PIANNIN� & ECONOMIC D'cV_��,=u� 99-9a RECEIVE� � Benita B. Tasselmyer 785 Aidine Street St. PauV, MN 55104-1105 (651)641-1037 (hJ (651-681-2196 (w) December 7, 1998 Please enter this letter into the official public testimony for the City of St. Paul Housing Plan. The draft document cails for adding housing density in afI parts of St. Paul as well as adding housing units that are "affordable" to households at various income Ieveis. Both of these ideas have merit and shouid be a part of our housing strategy, but the document isn't ciear enough on how to make this happen and ignores some important issues that must be resolved in order to get neighborhood buy-in of the plan. Issues that appear to be overlooked are: • Stretegies to determine the fair share of "affordable" units in specific neighborhoods • Strategies to attract high-income households to middle and Iow-income neighborhoods • Strategies to retain the high-income households that are already here • Providing the kinds of housing that senior citizens really want • Guidelines for creating accessory apartments that wiil not destroy neighborhoods • Programs to encourage "mom and pop" iandfords to purchase and maintain property • Neighborhood determination in deciding what kinds of housing to buiid and where to build it DEC 0 8 19gE ��81'IN1N6 & ECONOMIC DEVELOP�EN1 There is a Iot in the pian to make sure that housing is kept "affordable," but very littie on how much should be available at each income level. Also, there is no suggestion that the plan wiN heip break � up current pockets of poverty by spreading tne "afrordable° housing throuahou! th� city. People in neighborhoods want to know the total number of housing units th2y mus; plan to a�d and how many of those should b= priced to serve peopie who cannot afiord market-value housing. One important goai of thz housing plan mus: be Yhat "affordable" units blend into the:r s��rroundings +n such a way tnat a passerby cannot teil the "a`ordable" housina from tne marke: r=;e housing. The pfan lacks any strategies to a`tract hiah-income househoids to Cne Ci.y. par �ularly to middle 2nd low=r-income neig�borhoods While this idea may be considered to be a h��o s=11. it is important to mention a��racting hiah-income households throughou± St. Paui Also tne plan must define ways to retain the high-income people who are already here Th=se peop�= have the financial means to invast in their prop2rty and also the resources to become responsible landlords or business owners in their own neighborhoods. Most peopl= in this category we�t to maintai� the single-family appearance of their neighborhoods and will not weicome added density uniess it biends in with what is already there and doesn't crowd the streets with extre cars. Most senior citizens that 1 know do not wish to live in a high-ris=. They want to live �n low- maintenance, walk-up style housing that is ail on one floor. They want to be close enough to walk to neighborhood businesses and be located close to public transportation. Two cr three story buildings would be appropriate as lono as elevators are provided Aiso. senior=_ con't want to live in senior citizen ghettos. but want neiahbors m all age groups. They want to sta;i connected to th�ir communities Mar.y s=niors like a small aard=n to pl2n". 2 fzw flov�=rs or v=:�tabies. and that is not f�asibi= in a hioh-nse B2c�use hiah-nse buildmas isola±e res:den:s frorr ;-:= r<s: o` the ne!anuors tne Ci�� should not plan to budd th=_m A`=_� W�r�d Wa li :nc seve2 ncus r.c s�o!;2oe (25U�icC if ^l2^V 5"!_!c- cTl; �'�"'lE5 CcTC � C'�Oppctl 11 1'IIO STch c:'cRTc'lI5 TT1I5 QEST,'OyEO t!lE c�C�IS2CiU'@: i2e;J"c< O` .'-c^.� �OTi25 811d drama:icaliy altered tne characte� o` neiqhborhoods It has taken m�ny y�a�s o conveRing houses back to singk-famdy to overcome much of this damage, but tnere ar s.,C lage numbers of homes with tower values due to these conversions. To prevent future mistakes, the ruies for creating an accessory apartment should: • Permit an accessory apartment to be created only in homes with 2,300 or more square feef of living space • Only permit accessory apartments with at least 900 square feet of living space • Require the addition of one off-street parking space for each bedroom of the accessory apartment • Require removal of accessory apartments before selling the property The City should find nvays to encourage "mom and pop° fand(ords to mainfain property, especially "affordabie" housing. One way is to greatly reduce the non-homestead property tax rate for landlords who agree to reguiar inspections to insure their properties are maintained at specified levefs. Give tax credits to tand(ords who own six or less unifs and are atso residents of St. Pauf fo encourage local ownership, Create a City office to provide free legal assistance to landlords who are willing to take Section 8 tenants. There are a lot of things that would help current landlords to stay in business and encourage more residents to become tand(ords. These ideas betong in our housing plan. �inally, the housing plan witi not work without neighborhood buy-in. fVeighborhoods should develop design guidelines and determine where housing should be built and what it will look like. The City should encourage neighborhoods to become the developers, or at teast allow neighborhoods to select the developers who wi(I buitd what the neighborhoods want. The currenf system of reacting to mitigate undesireble elements after a developer makes a proposal does not build community - it only buiids distrust. In order for the housing pian to move off of paper and into reality, it must be �eighborhood-driven. The City sfiould serve fhe neighborhoods, not fhe other way around. --> -- -> i-'' � .� ��,� �� ..__,t4 ,.��_.: _ Benit2 B Tasselmyer RECE[VED Q�� 0 $ 1998 FzANNING & ECONOMIC DEVEtOP.�AE�� _ r 1 � � ►_.J ` J � � .KtcEivED � � : U � i998 Deaz Ms Morton, �EtANNfNG & ECONOMIC DEVELOPM� December 8, 1998 I am Christy Shisler, and I am homeless. I was at the City Planning Public Hearing at the St. Paul Technical College on December 7"'. The woman speaker for ihe council Gladys Morton, outraged me. She kept talking about their time limit. Their time is up at 8:30. At ihe end of the meeting she said "you people". I am one of those people. �Vhat did she mean by that? By 830 I am hoping and praying to God that I have found a safe place for my children to sleep and was able to get them something to eat. But for `you people" by 8:30 you are ready to go home and eat your dinner. I would bet you each a hundred dollars you don't have to look for a safe place to sleep or worry about what you aze going to eat. For "you people" have to do is dig in your pockets and take out the keys to yout home. Then turn on your lights and go to the kitchen to find something to eat. Do me a favor and watch your icebox for 30 days and I will guarantee you it will never be empty. If it gets low all you do is go get into your caz and drive to the grocery store. All you have to do is go to the grocery store and pay for it. All the time I was there only two people spoke to the council besides myseif that know what it was like no to be able to afford a descent home. The rest of the people that talked to the panei have descent homes to go to. They probably don't even know how it feels to go to bed hun�ry, feeling of sadness. shamefulness or anLry that comes within you when you are unable to feed your children and sending them to bed hungry. Also hopina they will be safe when putting your children to bed. Don't get me wrone the people that spoke want the same thina we do. We need homes that are affordable for all peopte including mysel£ �k�e desperately need people to tall; to '��ou people'� that can speal: your lanQuase. Wh}� would you listen to a person like me that doesn't have a good job or good standino in the community? �T�hen you have people in front of y with a good job. good standina in the community, and say w�hat you �cant to hear. Except there is a whole lot of'vou oeoole" lil:e me that has somethins to sa�. Usually I don't get im�olved in go��ernment issuzs. but I did go to this meetino and the cioman speaking for the council made me angry. Her main concem was her time deadline and her feelines about `'you people". For I have a time limit set upon my family and myself right now. At the present tune we aze 'sn a family shelter, and the}� hace gi��en us tune limited of 30 days to find and obtain affordable housins. I understand there has to be time limit, but how can you put time limit on homelessness. None of you that are goina to receive this letter can give me a tune limit on how long myself and my children are goin� to be homeless. Vdhy «ould you care about that unless we found something in a condemned or sleeping in our car b} yrour home? Then you miaht get involved, trying to get us out of your neighborhood. NO WAY! You aze so willino to help us when you are sitting up there �rith your store bou_ht clothes. your secured homes, drivins your cazs. shoppine when �ou need somethin�. But helping the people that need help is now. Just to sa} w�e are proposin_ a plan that ��iil hace this situation changed b�� the }ear 20?0. SO CO�1E Oi�i PEOPLE: lool: z* it T�om our position. I ha�e enclosed some rental papzr tha*, the family shelter gz�e us to look for zftordable housins. Look a2 the numbers: for mos: of cou there won t ix an}' problem and still tx able to afford e�'erything you and �ou* family needs and wants. But that isn't possible for us. �h'hy don't }'ou tn to suni�e each month 99-qo on what we get? See we lived here last year and we had the same problem We finally found a one-bedroom duplex that would let us live there �vith five children. But guess what; the city came in and told us we had to move because there wasn't enough square footage for that many people. So we were homeless again. You se when �ve moved back here we had a place to live. We both have jobs, even though I gotten seriously ill there for a while that I was in the hospital for a week. I had a surgery on October 29'�, released on the 31�`, and was back at work November 4�`. Even though I was in much pain I worked 4Q hours that week. So my chitdren couid have a safe home and be abte to eat. So there is no way you can say I don't try and care. On November 22, when we became homeless again, we not only lost our home; we lost our jobs and daycaze. Since we don't have a caz of our own we couldn't get to work because not even a bus goes out to our job site. Plus where we were living thai was our daycaze. We lost everything in one shot. So now we have a time iimit. We on2y have 30 days to get back on our feet and fmd affordable housina. And that isn't easy, as it seems. You can look at the prices for yourself. More than likely we will spend all the money we get to get into a home. So what do you tell an 8, 6, 4, 3 and 1 yeaz olds that Christmas isn't coming to our home this yeaz. When all of them believe in Santa Clause. Tell me how would you handle it? So please take a real good took at what needs to be done. The Reverend who spoken about the elderly woman on the bus; had a real good idea. Get up, get out of your council's chairs and do something that will count today not the year 2020. We need the help today not tomorrow. Please try to do what you think is best for the people like me. Thank you for your time. Since v Yours �� ,.�..,...vLS-1 � V�� 0 �� p� �� E � N ph � . � i y9-9c� � � TO ALL THAT DOESN'T KNOW: For "you people" that do�sn't have a clue on �vhat a homeless shelter is like this letter will inform you of Ihis. .I am residing at Catholic Chazities Family Shelter. You are allowed to stay 30 days per quarter. So they understand on how hazd it is to find affordable housing. They give us a safe place to sleep and give us three mezis a day. Pam James who is the Housing Advocate that assist you to fmd qualified programs that assist your in affordable housing. She is the reason we might be getting into the R.O.O.F. Program. That �vill help us get into affordable housin�. If it wasn't for her, we probably stili are homeless on December 22. If the R.O.O.F. Program doesn't accept us, I don't know what we are going to do. But the staffat the family shelter assists us in every chance that they get. Tr}� to be homeless, jobless and unable to find affordable housing . on whst we get without help. �� ,�gg�• �� oNON 1\�� EV �� e � \E �� N\0�'�'' . . � d°� �,f2rd � f _ t �t��rd � DEPARTMENT OF HUMAN RIGH"CS CITY OF SAINT PAUL Norm Coleman, Mayor W. H. Tyrone Terrill, Director 900 City Hall 1� W KelloggBoulevard Saint Pau1, tLLV »702-168/ �q-qd Telephone: 6/2-266-8966 Facsimile: 612-266-8962 TDD: 612-266-8977 To: Councilmembers Benanav, Blakey, Bostrom, Coleman, Harris, Lantry, and Reiter From: W.H. Tyrone Terrill, Director � � Date: April 1, 1999 Re: The Saint Paul Housing Plan As requested, this Department is submitting the following response to the City's proposed Housing Plan and Summary and General Plan. CITY COUNCIL AMENDMENTS TO THE HdUSING PLAN ADOPTED 3/24l99 1. AuthorCounci[memberBlakey:Locationpagel0,insertfourthparagraph: Discrimination continues. Des�te continuing efforts on the part of federal, state. and local eovernments, bias continues to act as an impediment to a sienificant number of home seekers in Saint Paul. HUMAN RIGHTS STAFF COMMENT: While an audit by the MN Fair Housing Center shows that home seekers in the rental mazket face an inordinate amount of discrimination, the bulk of the housing discrimination complaints that the Human Rights Departrnent receives aze terms and conditions and/or eviction charges. ALTERNATE LANGUAGE FROM HUMAN RIGHTS Discrimination continues. Desoite continuin� efforts on the oart of federal, state, and local ^overnments, bias continues to act as an impediment to a sienificant number of residents and home seekers in Saint Paul. 13. Author CouncilmemberBlakey: Location page 26, at end: 6.10 Work to overcome bias in the housine mazket. The Citv reco¢nizes that over thirty_yeazs have passed since the ori�_inal enactment of the Federal Fair Housine Act prohibitin¢ discrimination in housine and yet bias continues to affect Saint PauPs racial and ethnic minorities. the disabled and families with minor children. The task of overcomin�bias must be accepted as the joint resnonsibititv of federal. state, county and Citv govemments in cooperation with private and nonprofit sectors. To this end, the Citv will support; 1. Systemic testin� in the housing mazket to identifv bias 2. Enforcement of Saint Paul's human riehts ordinance in resoect to housine discrimination 3. Educational and outreach proerams directed towards housina including landlords. rental aeents, real estate sales �ersonnel, mortga�e lenders. prooertv aporaisers and An Affim�ative AcLOn, Equal Opportunity Employec pronerty insurers. ` / � / V 4. Outreach uro�rams directed towards neiehborhood oreanizations and district plannine councils to promote �rassroots awareness of theproblem 5. Creation of the Saint Paul Fair Housin�Council comprised of reoresentatives of citv govemment. the private sector. communitv a�encies. and the Minnesota Fair Housine Center which shall advise the Citv in its oneoin¢ work to identifv and overcome unlawful bias throush testing, enforcement. plannin�. education. and outreach. H[JMAN RIGHTS STAFF COMMENT: The City of Saint Paul began confronting housing discrimination in 1964 with the creation of the Human and Civil Rights Commission. In 1967, the present Human Rights Ordinance was created which, as amended, currently prohibits housing discrimination on thirteen bases. Responding to the specific proposals: 1. The Human Rights Department supports regulaz systemic testing in the housing market. Although over the past yeaz the Department has more than doubied the amount ofhousing discrimination complaints it investigates, the dearth ofcomplaints from those seekine housing indicates that more than a complaint-based response is needed for effective enforcement in this azea. Just as LIEP's testing program has resulted in increased compliance with laws prohibiting the sale of tobacco to minors, the Department believes regulaz testing in the housing mazket and enforcement of discovered violations will result in similaz rates of increasing compliance with fair housing laws. The Department is currently not prepazed to address the budget implications of this recommendation. 2. The Department will continue to increase its efforts to enforce the fair housing provisions of the Human Kights Ordinance. Amending the Ordinance to make it "substantially equivalenY' with the Federal Fair Housing Act, would entitle the Department to receive federal funding to aid in these efforts. 3& 4. The Department would like to increase its educational and outreach programs. Federal funding from "substantial equivalency,"as discussed above, would also aid in this azea. 5. The Department supports the creation of a Saint Paul Fair Housing Council provided representatives from this Department and PED are included. This Departrnent has developed relationships with a number of organizations who should be specifically cited as potential members of this council. ALTEItNATE LANGUAGE FOR FROM HUMAN RIGHTS: 6.10 Work to overcome bias in the housine mazket The Citv reco�nizes that over thirtv five years have�assed since it first beean combatinghousing discrimination with, first the creation of the Human and Civil Ri2hts Commission and subsequentiv the ado�tion of the Saint Paul Human Ri¢hts Ordinance. Yet bias continues to affect Saint Paul's racial and ethnic minorities the disabied and families with minor children, and members of the other e�ht protected classes included in the City's Human Rights Ordinance. The task ofovercomina bias must be acceoted as the ioint responsibilitv of federal, state countv and Citv govemments in cooperation with private and nonDrofit sectors. To this end the Citv will support• 1. Systemic testin� in the housing mazket to identi_ bias 2 Enforcement of Saint Paul's human ri ¢hts ordinance in resoect to housin discrimination 3. Educational and outreach oro�rams directed towazds housSn�providers includine landlords. rental aeents real estate sales oersonnel mortgaQe lenders oropertv appraisers and An Aftirtna[ive Action, Equal Opportuniry Empioyer pro�ertv insurers. �� D 4. Outreach oroerams directed towards neighborhood oreanizations and district plannina councils to promote 2rassroots awareness of the problem 5. Creation of the Saint Faul Fair HousinQ Councii com�rised of representatives of citv Qovemment (indudine PED and Human Riahtsl the private sector communitv aeencies legal services a2encies, the Saint Paul Tenant's Union the Communitv Stabilizafion Proiect, and the Minnesota Fair Housin Center which shall advise the Citv in its on eoinQ work to identifv and overcome unlawful bias throuah testina enforcement olanning, education, and outreach. 1�. Author Councilmember B[akey: Location page 28, at end: 73 Fair Housin� Planning Staff assi2ned to convene the Housin� Coordination Team shall also be assi�ned to the Saint Paul Fair Housine Council, as identified in 6.10 above and shall in cooneration with the Fair Housine monitor and evaluate the citv's proeress on an annual basis The Council shall in cooperation with assi¢ned staffDresent its findin�for inclusion in the Housing Action Plan and make such recommendations as mav be necess�rv and �roQer to fulfill the nlan and meet objectives towazds buildine an inclusive communit� HiJMAN RIGHTS STAFF COMMENT: The Department wholly supports this provision. CITY COUNCIL AMENDMENTS TO THE SUMMARY AND CrENERAL PLAN ADOPTED 3/24/99 5. Author Councilmember Blakey: Location page 26: Inclusive Community, We have no tolerance for racism and intend to Drovide the broadest access nossible to all benefits of communitv life in Saint Paul, free from barriers based on race or ethnicity The Citv will cooperate with the Minnesota Fair Housine Center and other interested community o�r anizations to identify and eliminate unlawful discrimination in the Saint Paul housing mazket, includina the rentai market, the for sale-mazket and morteaee lendi� HUMAN RIGHTS STAFF COMMENT: See above comments for Amendment 13 of the Housing Plan. ALTERNATE LANGUAGE FROM HUMAN RIGHTS: GP32, Inclusive Communirv. We have no tolerance for racism or discrimination of anv kind and intend to provide the broadest access nossible to all benefits of communitv life in Saint Paul free from barriers based on race or ethnicity or any of the thirteen nrotected classes provided for in the Citv's Human Rights Ordinance The City will coonerate �vith le�al services a�ncies the Saint Paul TenanYs Union, the Communitv Stabiliaation Project the Minnesota Fair Housina Center and other interested communitv or¢anizations to identifv and eliminate unlawful discrimination in the Saint Paul housin�mazket includine the rental mazket the for sale-market, and mortQaee lendine. If you are in need of fixrther assistance, please contact me at 6-8964. cc: Gerry Strathman Marcia Moermond An A�rtnative Action, Equal Opportuniry Employer � � �� HOUSING PLAN A Chapter of the Saint Paul Comprehensive Plan Draft for City Council Review January 1999 Recommended by the Saint Paul Planning Commission January 8, 199g CTI'Y OF 5AINT PAUL DEPeIRTMENi OF PLANMNG AND ECONOMIC DEVELOPMEp'i' qq _q� 99- 90 � • � SAINT PAUL HOUSIIVG PLAN A Chapter of the Comprehensive Plan Draft for City Council Review January 8, 1999 Recommended by the Saint Paul Planning Commission CITY OF SAINT PAITL DEPARTMENC OF PLANNING AND ECONObt[C DEVELOPMENT Comprehe�isive PIars 1 •� �� Contents � The vsion 1.0 � 2 .O �ntroduction , 3 , o Key Trends 9 4 0 Strategy 1: Take Care of What We Have 11 . 5 , o Sffate�ay 2: Meet New Market Demand 14 6 , o Strategy 3: Ensure Availability of AHordable Housing 18 1 , 0 ImplemenWtion 27 8 , o Appendix L J • 29 Comprehensive Pian g The Vision � �� y the ye�r 2ff2�J, the Ciiy of Sc�ir! Praui i-sri�I ha�.�e enjeyed t�vo decades ofsignificar�t phusical and ecanomze grot-vtl� and t be cr ��tcal pl�zce for �eaple v_ f crll cr¢es to live ivo�k and plcnr. �s cr ��e.sult �f cz reQional clecision mtrde b;j the 1Vletropolitar� Cvuncil ii� 199b to lirrlit �roi�,�ih ert tlre �nges o`th� T�ti�i�� Citi�.s metro��zlitar� areu, Sctint Paul �ti=111 h�ave czdde��i over 20,t�0�i i� its pnpulation, P2,000 jc�I�s tc� its em�lc��y%rri�nt I�as� rzncF 6�it3� crc�ditiortctl unt�s tv its hnusir�g stock (.�,�<.?C� r�eu� housel�olcjs will live in �a�istin5 h�rr�es th�at t•vere t��rcur�t ii� 199Q,�. Nei con � structed homes �-t�ill hm�e been plcazmed �nd cit sn thcrt t1�e;� eni�crnce th� t�udrtzon�zl chczracterofau� �; E?OC�S, Sil"GP7 EI? tI1 � CI Pr''S SE't1SE' C�f . �luce a12ci brrrt�* uc�c�it�onal t�it�lrtv ta Saint I�aul's cioz-t,�nta��n und r�vejfrc�nt. In adc�ltion to tl�e pt�oduct�c?n o�`r�e� hc�trsin�?, the City azid i:s paz�tner_s � have rrain�ulnec�' � strong eommlfnaenf to the rehabilitc�tion, rnc�intenrarrce ant� �.'?��.'.$F.'�"��1�� 3f1�$ f.''�S�]?�FIiU�$]�If J � st�ck ar�d rt �-v�ll hcn;e increcrser' zts code �nforcernc:nt crnct compIiunce efjorts in vrcaer �0 lncrecase tl�e �ener�l f��el �f �ousin� g�aalitv thza�ughc?�zt the citv. Comprehensii>e Plan 5 The majority of the city's new housing units will not be traditional detached single family homes, but a variety of smaller housing types--often "com- mon wall" types—that wiil prove attractive to young families starting out • and older people wishing to downsize their lives as they approach and reach retirement. In addition, there will have been a renaissance of mixed use developments along transit routes that combine retail businesses and professional offices on the street level with housing on upper levels. Housing density in the city will have increased slightly as a full menu of housing options are made available. As a result, as their incomes and fami- lies eacpand, residents are not forced to look outside of Saint Paul for the type of housing they prefer. The city's neighborhoods and housing stock will meet the needs of both those who have considerable economic choice and those who have fewer choices. Households with higher incomes will be able to find housing with the amenities they value and witi be confident that the investments they make in their homes and neighborhoods will be secure. For households with lower incomes, the availability of quality affordable housing will mean greater stability and, in turn, better health, stronger community ties and more success in preparing for and securing permanent employment. Perhaps most importantly, family stability will enable Saint Paul's children to achieve the academic and sociai successes that are the building blocks of a strong community. � The variety of housing options in Saint Paul will, in sum, contribute to the strength and vitality of the whole community as well as the well-being of each individual household. � 6 Cisy af sr. Pcrut Introduction + � Along with every city in the region, Saint Paul is preparing its comprehen- sive plan for the next decade and beyond. While addressing the full range of local issues and concems, each city is focusing specifically on its role in a region that will need to house 330,000 additional households and provide space for 410,000 new jobs without converting acres of farmland to subdi- visions or building miles of additional highway or sewers. Saint Paul's Comprehensive Plan is being buiit around three themes: • Saint Paul is growing; regional growth provides new opportunity for vitality in our city and in our neighborhoods. • We cherish qualities of the place we have as a city and intend that places throughout Saint Paul will offer beauty and delight and will enhance community life. •• The well-being we intend for Saint Paul communities, families and citi- zens requires economic growth and life-supporting jobs, as well as cul- tural, educational, and recreational opportunity and the community ser- vices that nurture family and individual life. Within that context, Saint Paul's Housing Plan for the first decade of the twenty-first century rests on three distinct—but highly inter-related— strate- gies. The first is that we should take care of what we have. Most oF the households in Saint Paul will continue to live in the 117,000 housing units that presently exist in the city in neighborhoods widely recognized for being well designed, attractive and active centers of community life. The plan includes strategies for preserving both the physical structures and the neighborhood character they define. Secondly, the plan recommends that Saint Paul aggressively work to capture its share of an emerging market of smaller households, both new young households and older empty-nest households, many of whom have moderate or higher incomes, want to live in an urban environment and are currently unable to find suitable options in Saint Paul. Finally, the plan details a strategy for ensuring an adequate supply of safe, decent affordable housing to meet the needs of the city's • lower income workforce as well as those who need temporary or on-going community support. Comprehensiti>e Plan 7 ��-�o As does each chapter of the comprehensive plan, the Housing Plan explicit- ly acknowledges that Saint Paul is part of a regional system. The city both contributes to and draws from the strength of the regional ecology, econo- � my and housing market. As such, it depends on strong regional policy. Saint Paul will continue to look to the region for—and will continue to work with our regional partners to develop—a shared vision of the future and an equitable distribution of resources to be invested in making that vision a realiry. • • 8 ci%y rrJ sr. Pcrui Key Trends � � The major trends that shaped the discussion of and underlie the recom- mendations in this plan are as follows: Empty nest households flood the market. The baby boom is aging. Their nests are emptying and they are nearing retirement. In 2000, the leading edge of this population group wiil be 55. By 2010, projections are that there wiil be 210,000 more households over the age of 55 in the metropolitan region than there were in 1990. Their housing preferences include smaller units, less yard space, and higher security—all features associated with townhouse or other shared wall housing types. They are also demonstrating a taste for the conve- nience and vitality of urban living—being within walking distance of shopping, restaurants, parks, transit and cultural attractions. . 2. Rising numbers of young households and immigrant families cre- ate a sustained demand for modest cost housing. The combined effects of the "echo-boom," and continued in-migration of younger households suggest that there will continue to be a strong market for the city's rental housing and starter homes. Saint Paul's stock of historicaliy and/or architecturally significant older housing, much of it suitable for larger families, will continue to be in high demand. Compre�ensive Plan 9 �. -� 3. Rising values in many neighborhoods. Rental vacancy rates at an all time low. A strong economy, growing numbers of younger house- holds and no net growth in the number of housing units in the city for several years have already resulted in rising property values and the low- . est rental vacancy rate in recent history in many outstanding neighbor- hoods, whose value is well-recognized in the regional market. 4. Property values in some neighborhoods stagnant or falling. Data from the Ramsey County Assessor indicate that, while some neighbor- hoods have posted steadily increasing property values, other neighbor- hoods have been characterized by declining or stagnant values over most of the past decade. 5. Poverty is persistent. Despite the strongest economy in a generation, a significant number of househoids continue to depend on subsistence level wages or public assistance. The Department of Housing and Urban Development estimates that there are just over 7700 renter households in Saint Paul with incomes below 30 percent of the regional median ($16,988 for a family of four) who pay more than 50 percent of their incomes for rent. Half of them are non-elderly family households while the other half are either elderly househoids, single persons or unrelated persons living together. � �� 10 Ci�j,F Qf 3d. I'QVl 99-90 Strate�y 1: Take Care of ` � What We Have Most of the current and future residents of Saint Paul will live in the city's existing housing stock. While it is aging, on-going investment has resulted in a generally high level of quality in many neighborhoods across the city. In other neighborhoods, however, a pattem of disinvestment has yielded deterioration of the housing stock and declining values. Maintaining—and, where necessary, repairing—what is here now may be the most important thing the City and its partners can do to encourage new investment in existing housing and the production of new units. It is, in large measure, the sense of place created by the pattem of our streets and blocks, the style and scale of our existing housing stock, the proximity and walkability of our neighborhood commercial districts and the beauty of our natural amenities that attracts new residents and inspires the loyalty of those who are already here. � To affirm and strengthen its existing neighborhoods and their housing stock, Saint Paul should: 4.1 Continue and eacpand efforts to enhance the city�s �aditional neighborhood design. Much of what attracts people to live in Saint Paui relates to the physical features of its neighborhoods. They value and want to retain its charac- ter as a traditional city. Preserving that character is especially challeng- ing when there is likely to be significant redevelopment and new con- struction that needs to be integrated into the existing city fabric. The City's Land Use Plan includes a series of policies designed to support these efforts. Key neighborhood features that should be strengthened through the preservation and production of housing include: a. A mix of land uses and a broad range of housing types; b. A sufficient density of housing and related land uses to support mass transit; and • c. Quality architecture and landscaping to define the streets and other public spaces. Camprehensive Plan 1 i 4.2 Continue a commitinent to the preservation of historically and architecturally significant buildings and neighborhoods. The City, the Heritage Preservation Commission and their neighborhood � partners should continue to identify and pursue opportunities for both the formal designation of significant sttuctures and neighborhoods and general public education on the importance of conserving the traditional character of each neighborhood. 4.3 Step up code enforcement matched with additional resources for repair and rehabilitation. Saint Paul knows what works when it comes to maintaining the physical condition of a neighbarhood. When resources are available for intensive, consistent and universal inspection and enforcement and to assist owners in making necessary improvements, the condition of properties in a neigh- borhood is improved. A complaint-based system that relies on the initia- tive and persistence of a neighboring property owner is less effective. Therefore: a. Additional resources should be devoted to the existing code enforce- ment unit to be used in partnership with neighborhood based improve- ment efforts such as sweeps, Weed and Seed, and residential street � paving. b. The use of administrative fines, rather than the current staff-intensive system that involves a series of wamings and re-inspections, to enforce the provisions of the Housing Code should be explored. c. City staff should work with the Housing Court to determine how best to achieve a higher success rate in achieving compliance with the Housing Code. d. Additional resources should be identified and used in partnership with those code enforcement efforts to assist property owners to make the necessary repairs and improvements before there is significant deteriora- tion. � 12 Crty� rt}`St. Pcrul -�j�i- 40 4.4 Strategically focus efforts to stem deterioration and declining values. • To the extent possible, funds available for residential rehabilitation should be focused on specific neighborhoods and coordinated with pub- lic infrastructure investments in order to achieve the masimum possible impact and leverage the greatest possible private investment. Through neighborhood-based planning processes, district councils, CDCs, busi- ness associations, block clubs and other key stakeholders should be invoived in both the selection of focus areas and the development of the capital investment program. 4.5 Improve management and maintenance of rental property. Among the most wlnerable residential structures in the city's housing stock are its rental properties. Strategies to identify, train and support quality property management services in order to ensure ongoing maintenance and systematic investment should include: a. Financial incentives (e.g. rental rehab funds) or reduced inspection fees for well managed properties. b. Additional certificate of occupancy requirements associated with � management practices. c. Mechanisms to place vulnerable properties under community man- agement and to build the capacity of community based organizations to provide that management. d. Training and mentoring for new and prospective landlords. �� Comprehensive Plan 13 Strate�y 2: Meet New �t Market Demand � � Those older households from which the children have moved on, and the younger ones that they haven't yet joined, represent the most active, expanding segment of the area housing market for at least the next decade. Households in this market are looking for altematives to the single family home with its own yard: townhouses, condominiums and other properties more easily maintained or left for a week of travel. A portion of this market, particularly at the younger-household end, is a rental market. Housing of these types fits well in the urban environment, an environment that many Saint Paul households don't want to leave, and that more and more new households and older suburban households are finding attractive. This mar- ket represents a significant opportunity to increase and further diversify city and neighborhood populations in Saint Paul, improve the tax base, gener- ate consumer support of neighborhood and city business districts and enhance the potential for good public transit. 5.1 Encourage the production of 300-400 housing units a year i that can be sold or rented to smaller households�ither new young households or older empty nest and senior citizen house- holds--in both the downtown/riverfront azea and on sites throughout the city. Major redevelopment sites in the river corridor and in the downtown represent the best opportunity for the construction of about half of these units — a total of up to 3000 units over the next 20 years. These sites have the unique advantages of providing immediate access to natural and cultural amenities as well as existing and proposed transit services. In both cases, a significant number of new households would balance the high visitor population with a 24-hour a day community, support existing and new retail seroices, and enhance the security and vitality of the area. The remaining units could be constructed on smaller sites within each of the city's neighborhoods or created within existing larger structures. To encourage the construction of new units, the City should: a. Assist potential developers, when necessary, in the assembiy and . clean up of land and the construction of infrastructure. This should include devising mechanisms to more easily transfer the ownership of 14 Cl�y o}' St. Piti71 9� -90 • tax-forfeited properties to community development corporations or other community based organizations for redevelopment. � b. Work with potential developers and the surrounding neighborhoods to ensure that the new structures contribute to the overall quality of the neighborhood. Through its participation, the City will encourage compact and mixed use development with ready access to transit and in proximity to employ- ment, retail services, parks and open space. c. Provide gap financing when necessary to: i. Address extraordinary costs associated with the development of a particular site; ii Support particular amenities of concem for the neighborhood or the City; or iii Ensure that a portion of the units are affordable to households with incomes at various levels below 80 percent of the regional median (e.g. 30%, 50%, 60%). d. Identify and allocate resources to neighborhood-based non-profit . developers to support their efforts to produce or rehabilitate housing. Funds should be made available for soft costs such as architectural fees, market studies and environmental analyses under agreements that Figure A Potential Housing Development Sites Comprehensive Plcxn �y would require that the funds be repaid when permanent project financ- ing is secured. 5.2 Promote good design solutions for housing that meets newer • mazket needs and complements eldsting Saint Paul neighbor- hoods, designs that use the smaller development sites creatively and that provide for housing in mixed-use neighborhood centers. The City and its neighborhood development partners should promote quality architecture and urban design that result in appropriate scale, relationship to the street, meaningfui open spaces, and careful treatment of parking. 5.3 Encourage the production of rental housing. Rental vacancy rates hovering below 2 percent betray a housing market where the price of rentai housing is constantly being bid up by demand that outstrips the available supply. This has the greatest impact on those with the least amount of economic choice, but it has some impact on virtually everyone looking for rental housing in today's market. There are few incentives for owners to hold down rents or to invest in or even ade- quately maintain their properties. Adding to the supply of standard quali- ty units wili give consumers the option of choosing something other than � a poorly maintained unit. That will, in tum, encourage property owners to invest in upgrading their properties and/or reduce rents in order to successfully compete in the marketplace. Specifically, the City shouid: a. Advocate for additional reforms of those State tax provisions that dis- courage the construction and ownership of rental housing. b. Encourage major employers to invest in the production of rental hous- ing to serve their workforce. c. Seek commitments from developers and owners to ensure that prop- erties will be designed, constructed, maintained and managed as assets to the surrounding neighborhood. d. Promote the establishment of management cooperatives that encourage shared responsibility for the maintenance and upkeep of the properry. • 16 Clty� of St. PcFUI r/�i- 40 5.4 In the conshuction of ownership and rental housing, encour- age a diversity of building and unit types to meet the diversity of � the mazket. Paxticulaz attention should be paid to assessing and meeting the needs of a growing numbee af older persons who aze looldng for alternative housmg in their own neighborhoods. The aging of the population, the continuing growth and diversity in the immigrant communiry and the increasing numbers of people workin� out of their homes all point toward a demand for different types of hous- ing. Working with its partners in the design and development communi- ties, the City should actively encourage innovations that will allow Saint Paul to meet the needs of new and growing segments of the housing market. Households over the age of 65 represents a particularly important market segment. Designing living spaces that will be adaptable to changing physical abilities will extend the usefulness of the housing stock over the entire life cycle. 5.5 Encourage innovative development through regulatory reforms. • Higher density mixed use developments of the kind envisioned by this plan and the Land Use Plan are not always supported by the City's cur- rent regulatory policies. Therefore, in addition to participating in the planning process, the City, in discussion with the district planning councils, should explore the follow- ing regulatory measures: a. Streamlining the zoning approval process for new types of develop- ment. This might involve the use of overlay zoning districts with provi- sions that make high-quality attached housing easier to provide. Such districts would be applied to appropriate sites or areas as a result of neighborhood planning and would provide both safeguards for a neigh- borhood in design guidelines and quality standards, and a more work- able approval process for builders. b. Amending the zoning code to allow for more efficient use of existing larger single family owner-occupied homes and lots by allowing the establishment of accessory residentia] units or structures, offices or small commercial enterprises. � Corng�rehensii�e Plcan 17 5t�ate�y 3: Ensure � Availability of Affordable � Housing A generally stronger housing market, the almost total absence of any new production of rental housing in any price range, and the reduction in federal funding for rentai assistance are all putting pressure on the portion of the city's housing stock that is affordable to lower income households. In some instances, the price of that housing is being bid up to the point where it is no longer affordable. In others, lack of continuing investment has resulted in physical deterioration and demolition. The production of new affordable housing units has been limited in recent years to for-sale units affordabie to only a fairly narrow segment of the lower income popu- lation. The availability of safe and decent housing affordable to households who earn low or modest wages is critical to both the economic health of the community and the welfare of those households and their neighborhoods. Businesses, to be successful, need ready access to a pool of potential . employees. The absence of safe, decent and affordable housing nearby— especially in a tight labor market—mitigates against their being able to find and attract those employees. Furthermore, there is clear and convincing evidence that individuals and families who have stable housing are healthier and are more successful at work. Their children do better in school. As a result, the neighborhoods they live in are safer, stronger and more likely to be strong centers of com- munity ]ife. The need for such affordable housing exists throughout the metropolitan region. Relative to most communities, Saint Paul has a large supply of well-managed low cost housing. Since there are challenges to that supply, preservation is the City's primary objective, though the construction of new low-cost units will be required as weil if redevelopment is to meet the needs of Saint Paul neighborhoods. Saint Paul's strategy relative to affordable housing rests on a series of inter-related initiatives that emphasize preservation, provide for new con- struction, and encourage much more adequate provision of housing opportunities throughout the region. Encouragement of new rental hous- � ing generally, as discussed above, aiso will contribute to meeting the need. 18 cisy� csf sf. Paul �l�'r- �l0 � Specifically: � 6.1 The City challenges the region to ensure that each metropoli- tan coaununity provides a full range of housing choices in order to meet the needs of households at all income levels. The two central cities will always have more than a proportionate share of the region's lower cost housing. It is to the cities that young people come to go to school, get their first job or buy their first home. It is to the cities that immigrants first come to settle into a new land. It is in the cities that people who rely on public transportation find the best service. Indeed, the vitality of cities depends on the mix of ages, incomes, family types, races and ethnic groups—and the mix of structures that house them—that isn't found in suburban communities. In recent years, however, the share of the region's lower cost housing that is located in the central cities has been growing. That has meant fewer choices for lower income households and fewer workers for sub- urban businesses. It is the trend of increasing centralization—and fewer choices—that should be reversed. Specific measures that the City will support include: a. The Legislature should commit additional funds to the Metropolitan • Livable Communities Demonstration and housing accounts as an incen- tive for suburban and stronger centra] city communities to produce affordable housing. Comprehensi��e Pfan �g b. Successful applicants for regional funds should demonstrate a plan to produce housing units affordable to households with incomes below 50 percent of the regionai median. . � c. The Saint Paul HRA shouid seek partnerships with suburban commu- nities to offer their e�cpertise in the production of quality affordable hous- ing. Federai funds allocated to implement the Hollman Consent Decree represent a valuable means of financing such development and should be tapped. d. To the extent that incentives are not successful in encouraging the pro- duction of additionai affordable units in suburban communities, the City of Saint Paul should support the design of regional requirements and/or metropolitan resource sharing mechanisms to stimulate production. e. Under the leadership of the Metropolitan Council, efforts are being made to develop—and securing funding to support—a regional replace- ment housing policy and program. Saint Paul supports these efforts. 6.2 The City should work with its public, private and plulanthropic pamiers to identify and secure significant additional resources to enable the preservation and construction of affordable housing, both within the city and throughout the region. � The process of financing the construction, rehabilitation, maintenance and management of affordable housing has undergone a fundamental change over the past two decades. Between World War II and the mid- 1980s, the federal government played the central role in either construct- ing or stimulating the market to construct affordable housing. Today, except for a modest number of federal tax credits allocated to each of the states, the federal role is confined largely to maintaining a limited Section 8 rental subsidy program and supporting existing public housing developments. The challenge far states and local governments, then, is to either seek new federal commitments or to identify alternative sources of funds—or both. with its partners, the City should: a. Lobby for the e�cpansion of federal and, especially, state financing for the construction and preseroation of affordable housing throughout the region. b. Identify new local resources that can be used to leverage additionai public and private financing. HRA resources and the STAR program both • represent flexible fund sources that can and should be tapped by Ciry policy makers. 20 Cft� of Si. Pnul c. Leverage private and philanthropic financing of either individual developments or of a development fund devoted to the preservation and • construction of affordable housing. 6.3 Preserve eaasting federally assisted housiag. Federal govemment programs that encouraged the production of lower income housing since the 1950s have been very successful in Saint Paul. The 4300 units built, owned and managed by the Public Housing A�ency are an important component of the city's housing stock as are the almost 7000 units constructed over the last three decades by private developers with various federal incentives. The agreements whereby many of the privately developed units were constructed, however, included provi- sions that allow an owner to prepay the balance of the mortgage after a specified number of years and convert the units to market rate. As the rental market in the "Itvin Cities has heated up, more owners are indicat- ing their interest in pursuing that option. To preserve and improve federally assisted housing units in Saint Paul, the City will: a. Continue to partner with the MHFA, Metropolitan Council Family . Housing Fund and Home Loan Bank in the Interagency Stabilization Group to improve and preserve the affordability of all of the privately- owned federally assisted units—at least until such time as there is suffi- cient production of new rental units to make up for the loss. Indeed, the preservation of these units represents the highest priority for the use of federa] lower income tax credits allocated to Saint Paul. b. Update its standards for the operation and maintenance of the afford- able housing projects it supports through stabilization activities. In the majority of cases, these projects are owned and operated by a third party—either a nonprofit organization or a for-profit corporation. In order to be successful over the long-term, management of these proper- ties must be highly professional. The Saint Paul Public Housing Agency (PHA)—nationally recognized for its high quality management and oper- ations—follows strict policies for tenant screening and behavior. The City should do the same. The City, with advice from the PHA, needs to devel- op a similar set of policies for the projects it underwrites and provide technical assistance to help managers enforce them. c. Continue to support the Public Housing Agency's efforts to secure the necessary resources to modemize and maintain the city's stock of public i housing. �I Compreherisive Plan pi �i�-9c7 d. Support the Public Housing Agency in its efforts to secure additional Section 8 certificates and vouchers from the federal govemment. e. Eaplore mechanisms to make better use of Section 8 subsidies by � linking them with both community based efforts to improve existing housing and with various human services programs designed to promote self-sufficiency. 6.4 Among the 300-400 units of housing to be constructed each year, 60-80 should be affordable to households with incomes below 8o percent of the regional median, with at least half of those to be affordable to households with incomes below 50 percent of the regional median. In the event that the total num- ber of units constxucted falls short of 300-400, affordable imits should represent 20 percent of those that aze constructed. While the high cost of new construction, the limited availability of sub- sidy funds and the City's need to eacpand its tax base mean that much of the housing built in Saint Paul will be rented or sold at market rates, the City and its partners should commit themselves to adding to the supply of decent, safe and affordable housing through new construction. To that end, the Ciry should encourage the development of housing � affordable to households with incomes below 50, 60 and 80 percent of the regionai median by: a. Investing public financing in developments where up to 20 percent of the units are reserved for households with incomes below 80 of the regional median, with half of those for households with incomes below 50 percent of the regional median. Developments in neighborhoods with little affordable housing and strong housing markets should be encour- aged to provide 20 percent of their units to lower income households while those in weaker markets should be asked to provide a smaller share. b. Supporting the efforts of Habitat for Humanity and other philanthropic organizations in their production of 25 homes a year affordable to households with incomes below 50 percent of the regional median. c. Seeking out—and providing addi6onal incentives to--developers will- ing to take advantage of federal revenue bond programs that offer four percent tax credits in return for the construction of rental projects in which at least 20 percent of the units are affordable to households with incomes below 60 percent of the regional median. � 22 City� oJ St. Paui 99-90 d. Promote altemative ownership and financing mechanisms such as community land trusts, limited equity cooperatives and condominiums, � nonprofit ownership of rental housing, mutual housing associations and deed restrictions that are designed to ensure that the housing remains affordable for an extended period of time. e. Improve the process whereby vacant publicly owned land is trans- ferred to community-based development corporations with plans to pro- duce housing affordable to lower income households. In encouraging and designing each proposed development, the City should: a. Encourage the carefut integration of the affordable and market rate units in the earliest stages of financing and design. b. Work with interested partners to develop innovative designs for affordable housing that will ensure that it both meets the needs of lower income households and makes a positive contribution to the surrounding neighborhood. Including a mix of housing types, to include traditional— and less expensive—apartment buildings, may allow for the production of more units than does the current reliance on 3-bedroom townhouses. . c. Reconsider with our funding partners policies that reserve public financing exclusively for housing designed for families. The aging of the city's population and the value in encouraging older households to make their larger homes available to larger family households merits a re- examination of those policies. 6.5 The city should make minor amendments to and reafPum its commitment to the Replacement Housing Policy outlined in Chapter 93 of the Administrative Code. Existing policy requires that city agencies proposing the demolition of conversion of affordable rental housing shall provide the city council with an afordable rental housing analysis outlining the impact of the pro- posed project on the availability of such housing in the city. Under cer- tain circumstances, including when there has been a net loss of afford- able rental housing units (those affordable to househotds with incomes below 55% of the regional median), the director of PED shall recommend the replacement of units slated to be lost. The city Council has final responsibility for approving, amending or rejecting that recommenda- tioin. If the Council determines that units should be replaced, adequate funds to finance Yhe consYruction of those replacement units within three � years shall be approved by the agency proposing the project. Compreherrsia�e Plan 23 Inasmuch as the ordinance was adopted in 1989 and has not been revised since then, any issues relative to its implementation should be identified and addressed as part of the process of implementing this � plan. 6.6 Support a variety of mitiatives that will allow lower income households to move into homeownership. While not all households may want to or be suited to be homeowners, with historically low mortgage interest rates, homeownership may be both the most affordable housing option and the best altemative for overall neighborhood stability. Both the City and the Public Housing Agency have been successful in administering federally-funded rent-to- own programs that provided a full range of supports to lower income households as they moved into homeownership. Toward this end, the City should support and strengthen: a. Purchase/rehab and refinance/rehab programs b. Programs to encourage owner occupied duplexes c. Philanthropic and self-help efforts such as Habitat for Humanity and the Builders Outreach Foundation � d. Mortgage assistance and high risk lending pooLs—especially those that are designed to allow current residents of neighborhoods undergo- ing redevelopment to remain in their neighborhoods. e. Alternative economic models (cooperatives, land trusts and the like) that preserve affordability beyond the first owner of the property. f. Pre-purchase counseling and most-purchase mentoring to increase the probability that a first time homebuyer will be successful. g. Services to those contemplating the use of contract for deed financing to encourage them to explore alternatives for converting contracts for deed into conventional financing at the earliest point in time. 6.7 Link services with affordable housing. Among the ways of making more efficient use of a limited supply of affordable housing is working with residents to help them achieve a level of economic and social well-being that enables them to secure market � rate housing as quickly as possible. When they do, the affordable unit is available to another household. 24 Cit;� c�j St. Ptaul g�-�o To that end, the City should: a. Encourage partnerships between providers of affordable housing with • providers of education, job training, parent and early chiidhood educa- tion, and health care. The Wilder Foundation's Roof Project is a �ood model. b. Continue to make inkind contributions such as space and recreation, library and public health services where appropriate. c. Encourage churches and civic organizations to offer mentoring oppor- tunities to their members and residents of affordable housing. 6.8 In partnership with Ramsey County and other private and non- profit agencies, nnplement the provisions of the Saint Paul/Ramsey County FYve Housing and Homeless Services Plan as it is adopted by the City Council. Key recommendations of the Plan include: a. Establishment of a St. Paul/Ramsey County Landlord-Tenant Education and Dispute Resolution Center. b. Development of 250 units of transitional housing and 650 units of per- � manent supportive housing throughout the county, serving single adults, families and youth. c. Creation of a Funders Council to coordinate and streamline services for those who are or are at risk of being homeless. 6.9 Expand the options available to the City and its par�ners in responding to the issues presented by privately-owned reniai housing units. Many of the structures that provide rental housing affordable to lower income households in Saint Paul are smaller (1-4 unit) buildings owned by landlords who own relatively few buildings. They are the kinds of structures that are at highest risk of becoming "problem properties" or vacant buildings and, yet, maintaining them in good condition represents the most cost effective way of providing affordable housing. The City and its partners have very few tools, however, that are successful in stem- ming the deterioration of these buildings when the owner, for whatever reason, can't or won't any Ionger adequately maintain them. In some instances, when the structures themselves have outlived their useful life, demolition and redevelopment is the best option. In other cases, howev- � er, condemnation and demolition through the nuisance abatement Comprehensit�e Plan 25 process is the only available tool and housing units are needlessly lost. For those, additional tools that allow an intervention earlier in the disin- vestment process should be developed. . • The Plan, specifically, recommends the following: a. The City should work with various partners to e�cplore the dynamics of small rental buildings and determine the most effective incentives and sanctions to ensure continuing maintenance and upkeep. The analysis should include an assessment of why current rental rehab programs are generally under subscribed by property owners. b. Particular effort should be devoted to identifying ways to support owners of both large and small rental buildings who are successful in maintaining and managing their buildings. Reduced inspection fees and additional tax incentives merit exploration. c Additional resources for the rehabilitation of rental properties should be identified and invested in ways that encourage property owners to provide units that are suitable for and affordable to lower income house- holds. d Current efforts to provide and require tenant and landlord training should be expanded. That training should include an introduction to • community human service providers who are prepared to support lower income tenants in their efforts to achieve financial self sufficiency. e. Incentives that encourage owner occupancy of small rental buildings should be designed. � 26 c�ry ojs£. Paul Implementation � � Qs a policy plan with a 10-20 year horizon, this plan does not and cannot offer specific direction on how many of what kind of units should be con- structed or rehabilitated in what neighborhood with what type of funds. Market conditions change rapidly. Funding sources come and go. Opportunities arise. And, most importantly, the City is not the only imple- mentor of housing policy. Housing policy, indeed, is in the hands of public and private agencies and organizations at the neighborhood, city, regional and state ]evels. The chailenge is to draw together a cotlective effort-on an on-going basis-toward meeting the community goals and strategies articu- lated in this plan. The following procedure for developing annual implentation plans is rec- ommended: 7. i In collaboration with its partners, the City should develop an annual Housing Action Plan. • The Department of Planning and Economic Development, with the assis- tance of the Local Initiatives Support Corporation (LISC), should annually convene a task force with balanced representation from public agencies, private funders, for-profit and non-profit developers, and housing and neighborhood advocates. The task force should be responsible for devel- oping and recommending to the City Council by October 1 of each year a HousingAction Plan that shall include at least the following: a. Goals for the production of housing units by price range; b. Goals for the rehabilitation of existing housing units; c. Goals for the provision of mortgage financing by the City; d. Identification of expiring Section 8/236 contracts and plans for their preservation; e. Identification of lead implementing organizations and funding sources for each of the above; � f. Identification of key zoning studies that should be initiated by the Planning Commission; Camprehensive Plan 27 99-9z� g. Identification of neighborhood plans or studies that should be under- taken in anticipation of potential development or redevelopment; h. Federai, state and city legislative initiatives related to housing policy; • i. Report on the e�tent to which the previous year's goals were met; and j. Appropriate amendments to this plan. 7.2 Convene the Housing Coordination Team A senior staff person in the Department of Planning and Economic Development shall be named to convene the Housing Coordination Team, composed of representatives from the key public agencies with housing responsibilities, on a monthly basis. The Housing Coordination Team shall be responsible for monitoring the City's progress toward meeting its goals, as identified in the Housing Action Plan, and for identi- fying and addressing key issues as they arise. The Team, through its members, shall also be responsible for maintaining appropriate data for the purpose of developing the Action Plan. � U � 28 c�t� of st. Paul �i9-9d Appendix � � Biaseline data that have informed the process of preparing this Housing Plan include: • Saint Paul is growing. The size of its population grew slightly (+2,005) between 1980 and 1990. Conversations with the school districYs demog- rapher in 1997 revealed that there had been a 50 percent increase in the school age population on the near east side since the beginning of the decade while numbers in the city�s westem neighborhoods remained constant, suggesting a continuing increase in population since 1990. • Most of the anticipated changes in Saint Paul's population will be deter- mined by the aging of the baby boom (the leading edge of the twenty- year population bulge will be reaching 55 in the year 2000), the tendency of young people to come to Saint Paul to go to college and find their first job, and by the continuing impact of the in-migration over the past two decades of people originally from Southeast Asia. The substantially � younger age profile of the Southeast Asian community suggests a signifi- cant natural population increase over the next twenty years. Saint Paul's Southeast Asian Population 1990 Census (Asian and Pacific Islander) 18,996 1997 Ramsey County Estimate (Hmong/Vietnamese/Cambodian) 30,500 L � Total Population by Age - 1990 Age Persons Pct 0-9 42,561 15.6% 10-19 32,309 11.9% 20-29 52,946 19.4% 30-39 49,905 18.3% 40-49 28,971 10.6% 50-59 18,364 6.7% 60-69 19,913 7.3/ 70-79 16,939 6.2% 80+ 10,327 3.8% 272,235 Source:1990 Census Comprshensive Plan 29 Asian/Pacific Islanders by Age - 1990 Age Persons Pct 0-9 7,043 37.1% 10-19 3,658 19.3% 20-29 3,133 16.5% 30-39 2,347 12.4% 40-49 1,175 6.2% 50-59 774 4.1% 60-69 511 2.7% 70-79 295 1.6% 80+ 62 0.3% I 8,998 Source: 1990 Census • Metropolitan growth management strategies are designed to direct antic- ipated regional growth to the central cities. By 2020, Saint Paul's popu- lation is expected to increase by 9000 households over its 1990 level, assuming that the city is prepared to accommodate it. It is anticipated that 3000 of those households will be housed in the existing units (in units that were vacant in 1990) while the remaining 6000 will be housed in newly constructed units. � • The city is almost fuily developed. All but fourteen percent of the city's � 56 square miles are already developed and will likely retain their current uses over the neact twenty years. Many of the remaining 5000 acres are characterized by poor or contaminated soils, steep slopes or other impediments to development. It is projected that the 6000 new units to be added to the housing stock before 2020 will be built on about 230 acres of vacant land, aimost half of which are in the downtown and the e�ended river valley. • About half of the city's existing housing units are single family structures, while the remaining half are spread equally among small, mid-sized and larger multi-family structures. Number and Percent of Dwelling Units by Type Type of Structure Units Percent Single family 60,754 52% lbvo family 11,480 10% 3-4 family 5,982 5% 5-9 family 5,330 5% 10-19 family 11,471 10% 20-49 family 8,906 8% � 50 or more family 12,577 I 1% Source:1990 Census `�� L1Z3� O�' SC. PCI[I� �/9 9d Because of the limited availability of land for development, and the growing demand for smaller attached units, it is projected that about 80 percent of • the 6000 new units to be constructed will be either added to existing struc- tures or will be in structures of two or more units. • Though aging (half of the city's housing units were built before 1944) the condition of the city's housing stock appears fairly stable. There are few indicators of significant disinvestment. The percentage of units that are owner occupied remains fairly constant-53.9% in 1990; there are rela- tively few vacant and boarded buildings and the level of reinvestment remains constant. • Rental housing is becoming less affordable for Saint Paul residents—and less available. The rental vacancy rate has remained below 3 percent for at least two years. Median rent, adjusted for inflation, rose 27.3% between 1980 and 1990. Renters paying at least 30 percent of their incomes for rent increased from 38.5% to 45.8% over the same period. Renter Household Income by Rent as a Percentage of Income - 1989 Households with Households with Households with Rent Less than Rents 20-30% Rent More than xousehold income 20% of income of income 30% of income Less than $10,000 S $10,000-19,999 $20,000-34,999 $35,000-49,999 $50,000 and over All Renter Households Source:1990 Census 430 893 4735 3808 2723 12,589 3.0% 6.5% 35.3% 76.0% 93.1% 25.5% 2303 3903 6701 1069 203 14,179 16.2�0 28.2% 49.9% 21.3% 6.9% 28.7% 11,490 9025 1980 137 0 22,632 80.8% 65.3% 14.8% 2.7% 0% 45.8% • The inventory of assisted rental housing units in Saint Paul includes: Public housing units: q,298 Tenant based Section 8 Certificates/Vouchers: 3,427 Privately owned/federally assisted 3,524 Privately owned/state and local assisted 6,846 TOTAL 14,746 Most of these are occupied by households with incomes below either 30% or 50% of the regional median. "I�pically, households pay no more than 30 percent of their incomes for rent. C� Comprehensis�e Plan 31 Credits The Saini Paul Pianning Commission Gladys Morton, Chair* Esperanza Duarte* )ennifer Engh* Carole Faricy Litton Field, Jr. Anne Geisser, Chair, Comprehensive Planning Committee� Dennis Gervais Steve Gordon GeorgeJohnson Soliving Kong Richard Kramer* 'IYmothy Mardeil" Michaei Margulies David McDoneil* Cathy Nordin*, Co-chair, Housing Plan Committee Dick Nowlin* Michael Sharpe* Imogene Treichel*, Co-chair, Housing Pian Committee Mark Vaught Barbara Wencl* *Comprehensive Planning Committee Norm Coleman, Mayor The City of St. Paul City Council )ay Benanav )erry Blakey Dan Bostrom, President Chris Coleman Mike Harris Kathy Lantry Jim Reiter Department of Planning and Economic Development Pamela Wheelock, Director Tom Hanen, Northwest Team Leader Ken Ford, Planning Administrator Beth Barte, Planner Nancy Homans, Planner Report Production Jean Birkholz, Secretary Kristi Kuder �� LJ a 32 Cit�� of St. Pcrul ��i 1� �� b � f�'�^-" S, \ 1 1 1 Council File # � q� Q� o � � ^ � (� ( ^ � � p _ „ � Resoluii 1J � Y H v �� tita�, � ��„��,�� 3� �- �a�,�`�� Sheet # G 3S RESOLUTION CITY OF SAINT PAUL, MINNESOTA �� dl� � z� Presented By Referred To Committee: Date Saint Paul Housing Plan WfIEREAS, the Planning Commission has recommended the Saint Paul Housing Plan as a chapter of the updated Saint Paul Comprehensive Plan, and WHEREAS, the Saint Paul Housing Plan was the subject of a public hearing before the City Council and the Plamiiug Commission on December 7, 1998, and 9 WHEREAS, the Saint Paul Housing Plan outlines the City's policy related to the maintenance, preservation 10 and production of its housing stock in order to meet the needs of households of all incomes who currently live 11 in the city or who may be attracted to move here; and 12 � WHEREAS, under Minnesota Statutes Chapter 473.864, Subd. 2, Saint Paul is required to update its Comprehensive P1an regularly and to submit an updated P1an by the end of 1498 (or to an extended date); 15 16 NOW, 'I`IlEREFORE, BE IT RESOLVED, that the City Council of the City of Saint Paul adopts the Saint 17 Paul Housing P1an as an amendment to the Saint Paul Comprehensive Plan contingent on further review by 18 adjacent communities and the Metropolitan Council; and 19 20 BE IT FURTHER RESOLVED, that the Saint Paul Housing Plan replaces the Housing Policy for the 1990s, 21 adopted on September 20, 1990, as the housing chapter of the Saint Paul Comprehensive Plan. Requested by Department of: Xarris Date ��_�� by Council SeCretary Plannin E nomic Deve o met � By: � Form ApF Approvec 9 � Council File # 9 q - �Q Green Sheet # 35 RESOLUTION CITY OF SAINT PAUL, MINNESOTA Presented Referred To Committee Date �� o � l�a` aJJ °-�, � ��.-s � � �------�, � "R"�.o.�.,�� y \ � � �_ ��°-^�� '��5� �, w�-�,�, � 6.,�4._� ."� ��' � \ �-;�-�, �-- 1 �\ , \��1.`t , \l Requested by Deparhnent of: � Form Approved by City Attomey � Adopfion Certified by Council Secxetary Appioved by Mayor foT Submission to Council By: , � ---�BY� Approved by Mayor: ate � Adopted by Council: Date -�-�„ ,_�. c�. �� and TOTAL#OFSIGNATUREPAGES Mayor Reco�endation �S�tn-f �G4-i.�-� City Council Adoption HDIJS � hGj �� J A PLANN�NG CAMMISSION CIB CAMMRTEE CIVIL SERVICE CAMMISSION A Staff Update of the Saint Paul Comprehensive Plan . GREEN SH ,J�'�M� ( � . . , � qq,_9a No ��5� ��..�,.�.� � u ��._ Q �.,,�, !3 �� ❑ �,� _ ❑ ..�,�, �. ❑ �.,�,.�� Q �,��.,�..w.� ❑ (CLIP ALL O�iS FOR StG _ ) �� Has a,is cersoMUn Hes this ''fL'9 Dnesthis n Isthis rtne uMer a contract far tfus departmeM't ver been a cnY emPbyee9 � a sKll � ortnaltypossessed by any curreM city employee7 ventloYl Additional major portions of the new Comprehensive Plan will be completed and these will meet update requirements in state 1aw. �� y�; �'�Z �: � i '�'" LT � None �� 12 1999 � 110UNT OF TRANSACTION S COSTfREYENUE BUDGETED (CIRCLE ON� YES NO SoURCE ACTNITVNUMBER p � INFORMflTON (IXPWN) °'�� JAN 131999 . � NR� �rne�l,�� o � � ( ay t� CITY COUNCIL AMENDMENTS TO THE HOUSING PLAN q`t -`�° ADOPTED 3/24199 1. Author Councilmember Blakey; Location page 10, insert fouRh paragraph: 6. Discrimination continues. Despite continuin¢ efforts on the �zrt of federal, state and local goveniments, bias continues to act as an impediment to a si�nificant number of home seekers in Saint Paul. 2. Authors Councilmembers Coleman and Lantry; Location page 12, insert fznal paragraph: 43 d. Additional resoittces she� must be idenfified and used in partnership with those code enforcement efforts to assist property owners to make the necessary repairs and improvements before there is significant deteriorarion. 3. Author Councitmember Benanav; Location page 13, insert at end: 4.6 Priorit�hall be given to projects that commit to the long-term affordabilityof housingunits. 4. Authors Councilmembers Coleman and Lantry; Location page 14, insert final paragraph: 5.1 a. [to encourage the construction of new units, the City should) make assistmg potential developers a riori , when necessary, in the assembly and clean up of land and the construcfion of infrastructure. This should include devising mechanisms to more easily transfer the ownership of taY=forfeited properties to community development corporations or other community-based organizations for development. 5. Authors Councilmembers Coleman and Lantry; Location page 16, insert fcnal paragraph: 5.3 b. Stron I encourage raajer local employers to invest in the production of rental housing to serve their workforce, on their own or in narinership with other businesses, government aeencies and nonprofit oreanizations. 6. Author Councilmember Blakey; Location page 19: 6.1a. �etts�ng: Encourase the Minnesota Leeislature to rnovide adequate fundin�for communities to meet Livable Communiries goals for affordable housin¢ and to adopt the other provisions of the Metropolitan Council's Housine Reform Initiative includine an incenfive pr�am for communiries to lower housingconstruction costs associated with local requirements, a reassessment of the state buildine code, rental housing_resources for replacement housin¢ and rehabilitation, new rental housine resources, fundin� for homeless assistance, preservation of existine federallv assisted rental housine and sup�ort for new and rehabilitated ownershio housine. The Ciri also insists that the Metro 00 litan Council enforce a11 agreements to Urovide low-income housine in the municioalities that utilized public funds for infrastructure expansion since 1973. � � _�,o 7. Auihor Councilmembers Coleman and Lanfry; Location page 20, insert new ferst paragraph: b. The City and its oartners should encoura�e the Minnesota Leaislature to strengthen the Livable Communities Act to make it more likelv to have a real im�ct on the availabilitv of affordable housine for the metropolitan re¢ion. This is important eiven the results of ffie recent study bv the University of Minnesota Center for Urban and Re�ional Affairs which indicates that even if all the production goals of the Liveable Communities Act are met, the retion will still fall behind in affordable housingprovision b�comQetion of Livable Communitv Plans. [This amendment will cause the renumbering ofthe current 6.I.b-e to 6.I.c-f.J 8. Authors Councilmembers Coleman and Lantry; Location page 20: 6.2 [With its partners, the City should:] a. Lobby for the expansion of federal and, especially, state financing for the conshuction and preservation of affordable housing throughout the region. S�ecificallv the Citv will prouose for current and future legislative aeendas that the state double. thereby achievin� 1% of the state budget for housin , i� ts expenditures on housina bv sienificantly increasin� its appropriations for the Minnesota Housin� Finance Agenc�and for implementation of the Livable Communities Act. 9. Authors Councilmembers Coleman and Lantry; Location page 20: 6.2 [With its partners, the City should:] b. Identify new local resources that can be used to leverage additional public and private financing. HRA resources represent flexible fund sources that can and should be tapped by City policy makers. Additionallv. the CitY should dedicate one half of its Neighborhood STAR Proz�am revenue for housing development for at least the next two }�ears. 10. Author Councilmember Blakey; Location page 2I, insert second paragraph: d. The citv will lobby the Public Housing Asency�PHA) to create a nosition of ombudsmanladvocate at PHA, connected with communitv oreanizations. who can work with PHA clients to full explain their ri ts, responsibilities and housing options. The Housin� Information Office should work with appronriate service providers to develop and distribute�rinted materials or on-line resources related to available emergencv shelter and transitional housing services as well as to services available from the wide variety of advocacyor�anizations. 11. Author Councilmember Benanav; Location page 22: 6.4 Among the 300-400 units of housing to be constructed, a minimum of 20% or 60-80 should be affordable to households with incomes below 8A% 50% of the regional median, with at least half going to those to be affordable to households with incomes below 36% 30% of the regional income. In the event that the total number of units constructed falls short of 300-400, affordable units should represent 20% of those that aze constructed. While the high cost of new construcrion, the limited availability of subsidy funds and the City's need to expand its ta�c base mean that much of the housing built in Saint Paul will be rented or sold at mazket rates, the City and its partners should commit themselves to adding .- •,. to the supply of decent, safe and affordable housing through new construcrion. To that end, the City should encourage the development of housing affordable to households with incomes below 50;�8�-88 percent of the regional median income by a. Investing public financing o211�' in developments where �t�a a minimum of 20% of the units aze reserved for households with incomes below $8 50 ep rcent of the regional median income, with half of those for households with incomes below 36 30 percent of the regional median. Developments in neighborhoods with little affordable housing and strong housing markets should be encouraged to provide a minimum of 20 percent of their units to lower income households while tttose in weaker mazkets should be asked to provide a smaller shaze. 12. Author Councilmember Blakey; Location page 23: 6.5 The City shall follow the Replacement Housing Policy ouflaned in Chapter 93 of the Administrative Code. Existing policy requires that City agencies proposing the demolition of conversion of affordable rental housing shall provide the City Council with an affordable rental housing analysis outlining the impact of the proposed project on the availability of such housing in the City. Under certain circumstances, including when there has been a net loss of affordable rental housing units (those affordable to households with incomes below 55% of the regional median), the director of PED shall recommend the replacement of units slated to be lost. The City Council has fmal responsibility for approving, amending or rejecting that recommendation. If the Council determines that units should be replaced, adequate funds to finance the construcfion of those replacement units within three yeazs shall be approved by the agency proposing the project. Inasmuch as the ordinance was adopted in 1989 and has not been revised since then, any issues relarive to its implementation should be identified and addressed as part of the process of implementing the plan. 13. Author Councilmember Blakey; Location page 26, at end.• 6.10 Work to overcome bias in the housine mazket. The Citv recoe�izes that over thirt�vears have passed since the ori�inal enacrinent of the Federal Fair Housine Act prohibiting discrimination in housin� andyet bias continues to affect Saint Paul's racial and ethnic minorities, the disabled and families with minor children. The task of overcomingbias must be accepted as the joint responsibilitv of federal, state, countv and City_governments in coo�eration withprivate and non�rofit sectors. To this end the City will supnort: 1. Svstemic testina in the housina mazket to identify bias 2. Enforcement of Saint Paul's human ri�hts ordinance in respect to housing discrunination 3. Educational and outreach pro�rams directed towards housin�providers, including landlords, rental aeents, real estate sales personnel, mortgage lenders, nronertv annraisers and pronertv insurers 4. Outreach pro�rams directed towards neiQhborhood oreanizations and district r-t.`� -�D planninst councils to �romote,�assroots awareness of the Qroblem 5. Creation of a Saint Paul Fair Housine Council comprised of re�resentarives of citv �overnment, the private sector, communitv a�encies and the Minnesota Fair Housing Center which shall advise the City in its on�e, work to idenrify and overcome unlawful bias throu testing., enforcement, planning educarion and outreach. 14. Authors Councilmembers Coleman and Lantry; Location page 26, insen at end: 6.12 The Citv and its partners should fiirther explore �olicXoprions used by other major metronolitan azeas such as residential hotels, local trust funds develo�ed from a stream of revenues from real estate transacrion fees; zonin�chanQes like inclusionaryzoning or density requirements. 15. Author Councilmember Btakey; Location page 28, at end: 73 Fair Housin� Plannine. Staff assig,ned to convene the Housin� Coordination Team shall also be assimed to the Saint Paul Fair Housine Council, as idenrified in 6.10 above, and shall in cooperation with the Fair Housine monitor and evaluate the ci �'s proeress on an annual basis. The Council shall in cooperarion with assigned staff present its findings for inclusion in the Housing Action Plan and make such recommendations as mav be necessar� nrouer to fulfill the plan and meet obLctives towards buildine an inclusive communitv. � q4- Ro 3 CITY OF SAINT PAUL Norm Coleman, Mayor Apri15, 1999 Council President Dan Bostrom and Members of the City Council 310 and 320 City Hall 15 West Kellogg Boulevard Saint Paul, Minnesota 55102 Dear Council President Bostrom and Members of the City Council: l�e'�i� ., ,.��3.� Regarding: Veto ofyour resolution approving the Saint Paul Housing Plan with amendments (Couttcil File 99-90) I am returning to you, with my veto, Council Pile 99-90. I do so with considerable reluctance, because I believe we are in substantial agreement on most elements of the plan. However, those areas of the plan that substantially increase spending as a singular solution to the affordable housing issue are simply not acceptable. This administration has remained consistent in its belief that the solution to every problem is not to spend more money, but to become more creative and effective with the money we do spend. When I transmitted the Plan to you in January, I noted that it had been the subject of broadly based community discussions and that it recognized the importance of addressing the housing needs of households of all incomes — those who live here now and those who might be attracted to move into the City. The Plan is based on the premise that the City of Saint Paul has the opportunity to capitalize on a time of growth and change — a twenty year period of time that holds the opportunity of adding 2Q000 people to our population, 12,OOQ jobs to our employment base and 6,000 new units to our housing stock. I believe this future holds the promise of enhancing and preserving the character of our neighborhoods while acknowledging the changing demographics of our new millennium. The Plan emphasizes the importance of enhancing, maintaining and restoring the traditional charm of our neighborhoods, but suggests that new housing will be of a somewhat different character — a variety of smaller housing types that will prove attractive to young families starting out and older people wishing to downsize their lives as they approach and reach retirement. In other words, we can provide housing that will allow both our children and our parents to live in Saint Paul. 390 CiTy Hall Telepiwrse: 651-266-8510 ISWestKelIoggBoutevard Facsimite:651-26b-8513 Saint Paul, MN SSIO2 ,.,._ _ , ` . '^ ."'d:� , � g4-�b Members of the City Council Page Two Apri15, 1999 At the same time, the Plan emphasizes the importance of maintaining our commitment to affordable housing and making reasonable additions to the supply of affordable housing in our communiries. Although Saint Paul is home to only 13 per cent of our region's population, we provide 20 per cent of our region's affordable housing. By suggesting that 20 per cent of new units constructed in our City should be affordable, the proposed Plan represents a significant step beyond the policy adopted by the City ten years ago without unreasonably increasing the financial and social burdens of building and maintaining affordable housing. The proposed Plan recommended that half of the additional affordable housing constructed should be affordable to households with incomes at or below 80 per cent of regional median income ($43,000 for a family of three) and half should be at or below 50 per cent of regional median income ($28,600). Staff estimates that the additional cost of constnxcting these additional affordable housing units will total some $900,000 per yeaz. Furthermore, we estimate t}tat preserving and maintaining eatisting affordable units will cost about $2,000,000 per year. Thus, implementing the Plan as proposed would cost approacimately $3,000,000 per year. (Please note that these numbers represent direct City expenditures, not total development costs.) At your meeting March 24, you amended the proposed Plan to suggest that ten per cent of our new housing units be made available to households at or below 50% of inedian income and ten per cent should be made available to households at or below 30% of inedian income. The City Council's proposal increases spending of more than $3 million per year to somewhat more than $5 million. This is not acceptable. Affordable housing is an important issue, however, I take exception to your position that other housing issues in the City should, be viewed as less critical than affordabie housing. Quite frankly, affordable housing is not a"crisis" issue at this time in Saint Paul that requires massive public spending to "fix" it. Other housing issues are critically important, too. Yet, as I look upon the horizon as to other issues which may impact our community, I believe we must be wiser in our investment of funds and recognize the long-term concerns of our City as opposed to an oveneaction that will cost taxpayers millions of dollars. As I explained in my State of the City address last month, I have been convinced by former Mayor George Latimer and other housing advocates that the income levels proposed by the Planning Commission were too high. I suggested that we make 20 per cent of our new housing units available to households with incomes at or below 60 per cent of regional median income ($34,320). I propose this as a compromise to you as well. R 9-go Members ofthe City Council Page Three Apri15, 1999 In place of your amendment 11 (see copy attached) I would propose the following language: 6.4 Among the 300 - 400 units of housing to be constnxcted, 20 %, or 60 - 80 units, should be affordable to households with incomes below 60% of the regional median. In the event that the total number of units constructed falls short of 300- 400, affordable units should represent 20% of those units that are constructed. While the high cost of new construction, the limited availability of subsidy funds and the City's need to expand its taac base mean that much of the housing built in Saint Paul will be rented or sold at market rates, the City and its partners should corrunit themselves to adding to the supply of decent, safe and affordable housing through new construction. To that end, the City should encourage the development of housing affordable to households with incomes at or below 60% of the regional median income by a. Investing public financing only in developments where 20% of the units are reserved for households with incomes at or below 60% of regional median income. Developments in neighborhoods with little affordable housing and strong housing markets should be encouraged to provide ZO of their units to lower income households while those in weaker markets should be asked to provide a smaller share. I believe this change will give us a Plan that we can be proud of— and that we can afford as well. And, if you make this change to the Plan as you adopted it, I will sign it and forward it to the Metropolitan Council. Sincerely, � N`� sA I� Norm Cole an Mayor Attachment 7AY BENANAV Councilmember Apri16, 1999 TO: Housing Advocates CITY OF SAINT PAUL OFFICE OF THE CITY COUNCIL 310 CITY HALL IS WEST KELLOGG BOULEVARD SAINT PAUL, MN 55102-1615 PHONE: (651) 266-8640 FAX: (651) 266-8574 FR: Councilmember Jay Benanav Councilmember Kathy Lantry Councilmember Jerry Blakey Councilmember Chris Coleman RE: Mayor's Veto of Saint Paul Housing Plan ��b By now you know that Mayor Coleman has vetoed the city council resolution approving the Saint Paul Housing Plan. It is important that you, as an advocate for affordable housing development, have a copy of the full text of his veto message. The mayor has taken issue with the council's amendment establishing the affardable income threshold at 30 and 50 percent of inedian income. The mayor has proposed a compromise that would set that threshold at 60 percent of the azea median. The mayor indicates that the city council's amendment costs $2 million too much. The projected costs of the current housing plan set forth in the second paragraph of page 2 were never brought before the council during its deliberations. The source of the $3 million in direct city expenditures is unclear. In the mayor's proposed compromise, he gives no analysis of the cost or source of funds. In any case, the council just approved the allocation of $3 million in Neighborhood STAR funds for housing which we hope will be matched by the state legislature. Further, the McKnight Foundation has just committed $b million over four years to Saint Paul for the development of housing serving incomes from $18,000 to $35,000. This is over and above the city's current expenditures for housing. We aze also intent upon challenging business, labor unions, churches and foundations to get involved in affordable housing development. Our friends in organized labor are excited about creating new affordable housing. And many of you are probably awaze that House of Hope Presbytarian Church has set a goal of raising $4.5 million for affordable housing development. Seventy percent of the jobs we are creating through city economic development programs pay from $9 to $14 per hour, or appro�mately 30 to 50 percent of area median. Providing safe, decent and affordable housing for our workforce is a housing issue — and an economic development issue. Thank you for your support. 6 48 Printetl on Aerycled Paper ��' I � CITY OF SAINT PAIJI, 390 Ciry Ha!! Tetephnrse: 651-26b-8510 Norm Ca[eman, Mayor IS West Kellogg Boulevard Facsimile: 651-266-8513 Saint Paut. MN 55102 Apri15, 1999 Council President Dan Bostrom and Members of the City Council 310 and 320 City Hall 15 West Kellogg Boulevard Saint Paul, Minnesota 55102 Dear Council President Bostrom and Members ofthe City Council: Regarding: Veto of your resolution approving the Saint Paul Housing Plan with amendments (Council File 99-90) I am retuming to you, with my veto, Council File 99-90. I do so with considerable reluctance, because I believe we are in substantia] agreement on most elements of the plan. However, those areas of the plan that substantially increase spending as a singular solution to the affordab(e housing issue are simply not acceptable. This administration has remained consistent in its beliefthat the solution to every problem is not to spend more money, but to become more creative and effective with the money we do spend. When I transmitted the Plan to you in January, I noted that it had been the subject of broadiy based community discussions and that 'st recognized the importance of addressing the housing needs of households of all incomes — those who live here now and those who might be attracted to move into the City. The Plan is based on the premise that the City of Saint Paul has the opportunity to capitalize on a time of growth and change — a twenty year period of time that holds the opportunity of adding 20,000 people to our population, 12,000 jobs to our employment base and 6,000 new units to our housing stock. I believe this future holds the promise of enhancing and preserving the character of our neighborhoods while acknowledging the changing demographics of our new millennium. The Plan emphasizes the importance of enhancing, maintaining and restoring the traditional charm of our neighborhoods, but suggests that new housing wil] be of a somewhat different character — a variety of smaller housing types that will prove attractive to young families starting out and older people wishing to downsize their lives as they approach and reach retirement. In other words, we can provide housing that will allow both our children and our parents to live in Saint.Paul. � Members of the City Council Page Two April 5, 1999 �jq-q� At the same time, the Ptan emphasizes the importance of maintaining our commitment to affordable housing and making reasonable additions to the supply of affordable housing in our communities. Although Saint Paul is home to only 13 per cent of our region's population, we provide 20 per cent of our region's affordable housing. By suggesting that 20 per cent of new units construcced in our City should be affordable, the proposed Plan represents a significant step beyond the policy adopted by the City ten years ago without unreasonably increasing the financial and social burdens of building and maintaining affardable housing. The proposed Plan recommended that half of the additional affordable housing constructed should be affordable to households with incomes at or below 80 per cent of regional median income ($43,000 for a family ofthree) and haif should be at or below 50 per cent of regional median income ($28,600). Staff estimates that the additional cost of constructing these additional affordabie housing units will total some $900,000 per year. Furthermore, we estimate that preserving and maintaining existing affordable units wi11 cost about $2,000,000 per year. Thus, implementing the Plan as proposed would cost approximately $3,000,000 per year. (Please note that these numbers represent direct City expenditures, not total development costs.) At your meeting March 24, you amended the proposed Pian to suggest that ten per cent of our new housing units be made available to househoids at or below 50% of inedian income and ten per cent shouid be made avaiVable to households at or below 30% of inedian income. The City Council's proposal increases spending of more than $3 million per year to somewhat more than $5 million. This is not acceptable. Affordable housing is an important issue, however, I take exception to your position that other housing issues in the City should, be viewed as less critical than affordable housing. Quite frankly, affordable housing is not a"crisis" issue at this time in Saint Paul that requires massive pubiic spending to "fix" it. Other housing issues are critically important, too. Yet, as I look upon the horizon as to other issues which may impact our community, I believe we must be wiser in our investment of funds and recognize the long-term concerns of our City as opposed to an overreaction that will cost taxpayers millions of dollars. As I explained in my State of the City address last month, I have been convinced by former Mayor George Latimer and other housing advocates that the income levels proposed by the Planning Commission were too high. I suggested that we make 20 per cent of our new housing units availabfe to households with incomes at or below 60 per cent of regional median income ($34,320). I propose this as a compromise to you as well. q�G�� Members of the City Council Page Three April 5, 1999 In place of your amendment 11 (see copy attached) I would propose the following language: 6.4 Among the 300 - 400 units of housing to be constructed, 20 %, or 60 - 80 units, should be affordable to households with incomes below 60% of the regional median. In the event that the total number of units constructed falls short of 300- 400, affordable units should represent 20% of those units that are constructed. While the high cost of new construction, the limited availability of subsidy funds and the City's need to expand its tax base mean that much of the housing built in Saint Paul will be rented or sold at market rates, the City and its partners should commit themselves to adding to the supply of decent, safe and affordable housing through new construction. To that end, the City should encourage ihe development of housing affordable to households with incomes at or below 60% of the regional median income by a. Investing public financing only in developments where 20% of the units are reserved for households with incomes at or below 60% of regional median income. Developments in neighborhoods with little affordable housing and strong housing markets should be encouraged to provide 20 of their units to lower income households while those in weaker markets should be asked to provide a smalier share. I believe this change wili give us a Plan that we can be proud of— and that we can afford as well. And, if you make this change to the Plan as you adopted it, I will sign it and forward it to the Metropolitan Council. Sincerely, (V eA I��...---- Norm Coleman Mayor Attachment • •� City of St. Paul Office of the City Council 320 City Half Saint Paul, MN 55102 (651) 266-8570 INTER-DEPARTMENTAL MEMORANDUM DATE: March 24, 1999 TO: Councilmembers and Legislative Aides FROM: Marcia Moermond, Policy Analyst �A��"' � SUBJECT: Additionai Housing Plan Amendments (3/24/99 Council Meeting, Agenda Item # 24) Attached aze two amendments: ❑ A revised l lc.from Councilmember Benanav which makes the first and third paragraphs consistent in the proportion of affordable housing to be set as a goal: now both pazagraphs indicate that 20% of the added units should be affordable to people at 30% of the median income. ❑ a new amendment, number 17. I am also attaching some additional information on affordable housing from the Housing Information Office (paper form only, I don't have an electronic version to send) on affordability of rental units to augment data in Appendix S of the Housing Plan. Please contact me with any questions or comments on these plans. Also note that this memo and attachment has been emailed to you. attachtnent cc: Ken Ford and Nancy Homans, PED Gerry Strathman and Nancy Anderson, Council Research Phil Byrne and Peter Warner, City Attorney's Office t • • � CITY COUNCIL PROPOSED AMENDMENTS - ADDDENDUM TO THE HOUSING PLAN l lc. Author Councilenember Benanav; Location page 22: 6.4 Among the 300-400 units of housing to be constructed, 20% 69-88 should be affordable to households with incomes below 88% 30°l0 of the regionai median. In the event that the total number of units constructed falls short of 300-400, affordable units should represent 20% of those that are constructed. While the high cost of new construction, the limited availability of subsidy funds and the City's need to expand its tax base mean that much of the housing built in Saint Paul will be rented or sold at market rates, the City and its partners should commit themselves to adding to die supply of decent, safe and affordable housing through new conshuction. To that end, the City should encourage the development of housing affordable to households with incomes below 3A; 68-a�i-S8 30 percent of the regional median income by a. Investing public financing only in developments where �p�e 20% of the units aze reserved for households with incomes below S9 30 ep rcent of the regional median incom , ��. ..:ms�_7..""'�_ "'��hAllsti �` t.] t't L 1 1 L 1.1 L 1 .� . In order to accomplish this �oal the Citv of Saint Paul, on an annual basis, shall reguire that at least 20 nercent of all publiclv assisted housin dg evelopments of 5 units or more either rental or ownershin shall be affordable to families at or below 30 nercent of the metropolitan median income. Onlv develoaments of 5 units or more are subject to the 20 percent re_quirement. 17. Author Councilmember Benanav; Location page 13, insert at end: 4.6 Enhance the efficiencv and longevitv of the public's investment in housing bv i�v'm_g,prioritv in the disbursement of discretionary funds to projects and nroarams that "recycle" those subsidies for uresent and future penerafions Discretionarv funds available to the City from federal, state, and other sources for use in subsidizing the �roducrion rehabilitarion or oneration of housing are in short sup� — and likelv to remain so for the foreseeable future To the extentpossible�prioritv in disbwsing these scarce resources should eo to vroiects and nroerams in which the housine benefits nurchased with these funds are preserved for as long as nossible (subsidy retention� Where the long term retenrion of housinQ benefits nurchased by the nublic is not possible prioritv should ¢o to proiects and nroerams in which the funds themselves aze recautured b the City in order to purchase new housin� benefits in the future (subsidy recanture) 1998 Income Standards - HUD 1I20i98 � 7his is the mid point of income fU�a "�anJr�co�e indexed bv_the Peo21e in Income Hourly Affordable � househotd ---- Wage Rent 1 person 2persons 3persons 4persons 5persons 6persons 7persons 8persons 5az,soa $48,600 $54,700 560,800 565,700 $�o,soo �75,400 �80,300 60% Median Income indexed by famiiy size 1 person 2persons 3persons 4persons 5persons 6persons 7persons 8persons 25560 29160 32820 36480 39420 42300 45240 48180 50% Median income Indexed by family size �person 521,300 2persons �24,300 3persons �27,350 4persons $30,400 5persons $32,850 6persans $35,25Q 7persons $37,700 8persons 540,150 30% Median Income Indexed by family size ? person �12,780 2persons $14,580 3persons 516,410 4persons S18,240 Spersons $19,710 6persons $21,150 7persons 522,620 8persons 524,090 20.48 23.37 26.30 2923 31.59 33.89 36.25 38.61 Houriy Wage 12.29 14.02 15.78 17 54 18.95 2�,34 2'i .75 23.16 ��,oss $1,2'15 51,368 $1,520 51,643 �1,763 �1,885 �2,008 Affordable Rent 639 729 820.5 912 985.5 1057.5 1131 1204,5 9g-90 Housing Information Ofiice 1998 Reference tables on incomes and affordable rents Weifare Income : 1997 standard Ind'exed lncome Hourf Affordable family si ----- Wage Rent 1 person 2persons 3persons 4persons 5persons 6persons 7persons 8persons $3,900 $7,74D $9,696 $11,484 $13,056 $14,856 $16,236 $18,660 $1.88 $3.72 54.66 $5.52 $6.28 �7.14 $7.81 $8 97 $98 $194 5242 $287 $326 $371 $406 5457 (Known as "Low Income") Hourly Affordable Wage Rent S10 24 S11 68 S13 �5 S14.62 S15 79 S'16.°5 S18 13 S19 30 $533 $608 $6S4 5760 $821 $881 �943 51,004 {KnDwn as "Very Low Income") Hourly Affordabie Wage Rent S6 i� 57.0' S7 89 S8.77 S9 48 S10.17 510.88 S11 58 5320 $365 $41� a456 �493 $529 $566 $602 � "� r i � t � pJ��"T� .Lvt Cv% 1 person 2persons 3persons 4persons 5persons 6persons 7persons 8persons hourly wage 6 7 8 9 10 11 12 13 annuai $7,890.00 � 10,610.00 �13,330.00 516,050.00 518,770.00 ^�21,490.00 524,210.00 $26,930.00 worhhours 2080 2080 208D 2080 2080 2080 2080 2080 hourly $3.79 $5.10 $6.41 $7.72 $9.02 $10.33 $11.64 $12.95 annuai income �12,480 $14, 560 $16,640 518,720 $20, 800 �22, 880 $24,880 $27,040 monthly $658 5884 $1,111 51,338 $1,564 $1,791 $2,0�8 $2,244 Povertyincome - Nc x r r�;:� �- k � �� 0 '. Supply of Units for Rental St. Paul Md Afordabiifij to 50% 8 30% of Median income 300 250 v N ZOO � d > v R c 150 � w 0 d a � 100 Z � [�] ■ Advertized �f� 11 Uni9 �� 50%median can afford ■ 30% median can afford Jan Feb Mar Apr f}Ii 161 193 213 214 so� H•d 138 94 185 183 3o'�M�d 8 5 2 4 May Jun Jul Aug Sep 211 242 148 174 173 179 209 122 149 140 7 8 5 15 9 Oct Nov Dec 167 147 169 141 112 147 6 6 4 Data is irom the Saint Paul Pioneer Press renta! ciassifieds January '98 - December 98 Data Applies to Saint Paul Proper and not to the Metro Area Data compifed by the Saint Paul Fiousing information Office (851)266-6000 Jan Feb Mar Apr May Jun Jul Aug Sep Oct P1ov Dec Monthly sample Study �r � � � , � � U � O O � � N � C .� � � U t0 w �D O � � � � X � Y N � C � � .� (� .� �1-+ � � a L � �O •� � � `o � � � � � £ � _ L '"' N L if y � c � Z N � � � Q � � � T � °� m c � `o c ' U � � Q � m ¢ � m O O O f0 R N ;ua� �o� sy,un;o �aqwnu a6e�ane x ¢ � m v x � m N � � a o � � � �n �' v o c w � � d N � N L a y N � � O O � O � a N (0 n � � � `"' a N m � u in � �n = � U (� � CO .�.. O. N Q r � .«i U � N O � y �� C '`� C O sr :«. 3 O L � . '++ w. � �° u c O N E _ � � O ' � j m w I� � � � � Q (6 � � '� -� � � � � � o u � _ �� o� � o ` L � w' "a `�- CJ �., C T d � C � � V � N � � N 'C U N � Q � N O �� ... U m 7 � >. W >o�o� QUOY w C N r � � rn � m C m .-� f0 � N r U � �� L M 19 �� c�rir couNCi� PROPOSED AMENDMENTS - ADDDENDUM 2 TO THE HOUSING PLAN For Item #24 on 3/24199 Council Agenda l ld. Author Councilmembers Coleman, Lantry and Benarzav; Location page ll: 6.4 Among the 300-400 units of housing to be constructed, 20% 6A-88 should be affordable Q � to households with incomes �ela�-&�% between 30 and 55% of the regional median. In �� (� the event that the total number of units constructed falls short of 300-400, affordable �C � units should repres�nt 20% of those that are constructed. i 9.��_ While the high cos of ne�tt'construction, the limited availability of subsidy funds and the City's need to expand its taY base mean that much of the housing built in Saint Paul will be rented or sold at market rates, the City and its partners should commit themselves to adding to the supply of decent, safe and affordable housing through new construction. To that end, the City should encourage the development of housing affordable to households with incomes , between 30 and 55% percent of the regional median income by a. Investing public financing o� in developments where a�-te 20% of the units are reserved for households with incomes belerv-8A between 30 and 55% ep rcent of the regional median incom , ' � � r r �.. t� y a O � � � � \ � � 0 U � �.L � C .� � O � U � � � � � U D m V .` m m `e � 3 � � � � °n � m N � C d a� w � M L �` d N a C .� � •.�.r V . m d L O 7 v � � O C �a ° m� �� d o� � 0 0 ` e � ` N a C .� T U � � o�. t6 N C. � � � � m � � r " � N O O c. a � � � m � m C�J .` N d m � 3 u m� c �� ° m� N Q N r O d �g O p � W 0 C M v NC C .� a « Ci .` « d d C � 7 v � C � C �� ° m� � � m �� e M t�1 N 0. C .� p6 -bb O O O O O O O O O aD 1� (D it! � M N � 6uisnoH nnaN �ua��ad O�Otimt� �MN 6wsnoH nnaN;ua�ad 0 0 0 0 0 0 0 0 0 CD t� tD �n � M N �- 6wsnoH nnaN �uaa�ad 0 0 0 0 0 0 0 0 0 aD t� t0 N sh M N e- 6uisnoN MaN;uaalad 99-90 CITY COUNCIL ALL PROPOSED AMENDMENTS TO THE HOUSING PLAN 1. Author Councilmember Blakey; Location page 10, insert fourth paragraph: 6. Discrimination continues. Desnite continuing efforts on the �art of federal state and local �ovemments bias conrinues to act as an imnediment to a sienificant number of home seekers in Saint Paul T'he Institute on Race and PovertY of the Universitv of Minnesota concludes that the Twin Cities metro area is amone the nation's most residenrially segregated A fair housin� audit bv the Minnesota Fair Housin¢ Center has found that racial bias is a significant factor in rental housing �PED STAFF COMMENT: Policies related to addressing discrimination and enforcement of the Federal �� Fair Housing Act are important additions to the Housing Plan. .�ALTERNATE LANGUAGE FROM PED 6. Discrimination continues. Desnite continuina efforts on the o � nart of federal, state and local qovernments, bias continues to act as an imoediment to a sianificant � number of home seekers in SaiRt Paul. n HUMAN RIGHTS STAFF COMMENT: Requested by Council Research, forthcoming. l. �uthors Councilmembers Coleman and Lantry; Locatinn page 12, insert fina! paragraph: 4.3 � d. Additional resowces sHec� mnst be identified and used in partnership with those code y` p enforcement efforts to assist property owners to make the necessary repairs and improvements b �.'� before there is significant deterioration. 3. ll �� (' ,° �� Authors Counci[members Coleman and Lantry; Location page 14, insert final paragraph: 5. I a. [to encourage the construcrion of new units, the City should] make assist� potential developers a riori , when necessary, in the assembly and clean up of land and the construction of infrastructure. This should include devising mechanisms to more easily transfer the ownership of tax-forfeited properties to community development corporations or other community-based organizations for development. 4. �Authors Councilmembers Coleman and Lantry; Location page 16, insert final paragraph: 5.3 �� f a. Advocate for additional reforms of those State tax provisions that discourage the construction � and�� ership pf rental housing, includin decreasin the taJt rate on residential rental ro e. 5. Authors Cou��nci members Coleman and Lantry; Location page 16, insert final paragraph: 5.3 � Stronelv encourage tna�er local employers to invest in the production of rental housing to serve � their workforce, on their own or in nartnershin with other businesses government agencies and � nonprofit organizarions. 6. � �� 1 Author CounciLmember Blakey; Loration page 19: 6.1a. The Legislature should commit additional funds to the Metropolitan Livable Communities Demonstration and housing accounts as an incentive for suburban and stronger central city communiries to produce affordable housing. The citv also insists that the Metropolitan Council enforce all aareements to provide low income housine in ttte municivalities that utilized public funds for infrastructure exoansion since 1973 .. .� �� l � 7. �� , a PED STAFF COMMENT: The Iink behveen low-income housing and infrastructure improvements that was made by the Metropolitan Council in the 1970s was related to the Counal's role in reviewing appiica6ons made 6y cities for federal parks and open space funds. Posfive reviews on tfiose appiica6ons was related to the city's performance in providing affordable housing. That review mechanism was eliminated during the Reagan administration. There are no outstanding "agreements." As federat funding programs have changed, the Metropolitan Councii no longer has a role in leveraging Iocai participation in the production of affordable housing. Instead, the Council is the Iead impiementing agency for the Metropolitan Livable Communities Accounts that offer incentives for the production ot affordabfe housing. To more tuNy address the issues raised by this proposed amendment, planning staff recommends the following plan amendment: ALTERNATE LANGUAGE FROM PED 6.1.a. atfordable housina and to adoot the other orovisions of the Metr000litan Council's Housinq Reform Initiative includinq an incentive oroqram for communities to lower housinq construction costs associated with local reauirements a reassessment of the state buildinq code rental housinq resources for realacement housinq and rehabilitation new rentat housina resources fundinq for homeless assistance oreservation of existinq federaliv assisted rental housinq and su�oort for new and rehabilitated ownershi� housina �,�„_�, o q,,� �� g�__ __ , X � � Author Councilmembers Coleman and Lantry; Location page 20, insert new f:rst paragraph: b. The Citv and its nartners should encourage the Minnesota Legislature to strengthen the Livable Communities Act to make it more likely to have a real imnact on the availabilitv of affordable housine for the metronolitan repion. This is imnortant given the results of the recent study bv the Universitv of Minnesota Center for Urban and Reeional Affairs which indicates that even if all the rnoduction eoals of the Liveable Communiries Act are met the region will still fall behind in affordable housin¢ provision by completion of Livable Communitv Plans [This amendment will cause the renumbering of the current 6.1. b-e to 6.1. c-f. J 8. Authors Councilmembers Coteman and Lantry; Location page 20: 6.2 [With its partners, the ' should:] a. Lobby for the expansion of federal and, especially, state financing for the construction and preservarion of affordable housing throughout the region. Specifically the Citv will nronose for current and future legislative agendas that the state double therebv achievinQ 1% �� of the state hud�et for housing its expenditures on housing by sipuficantiv increasin¢ its approoriarions for the Minnesota Housine Finance Agencv and for implementarion of the Livable Communities Act. 9. �;,�� Authors Councilmembers Coleman and Lantry; Location page 20: 6.2 [With its partners, the City should:] b. Identify new locai resources that can be used to leverage additional public and � rivate financing. HIZA resources represent flexible fund sources at can and should be tapped by City policy makers. Additionally, the Citv should dedicate one two vears. COUNCIL RESEARCH COMMENT: This makes the plan consistert with the City Gouncil action taken in CF# 99-237 directing that the STAR guidelines be revised to accomplish this on March 10, 1999. c�C1' q � 10. � O n' � � f�_ Author Councilmember Blakey; Location page ll, insert second paragraph: d. The city will lobbv the Public Housing A¢encv (PHA) to create a posirion of ombudsman/advocate at PHA. connected with communitv organizarions, who can work with PHA clients to full explain their ri¢hts. responsibilities and housing oprions. PED STAFF COMMENT: The concems that led to this proposed amendment relate to difficulties faced by people Iooking for housing or emergency shelter. In too many instances, housing advocates tell us, people have a hard time getting good information. That issue is bigger than the Public Nousing Agency and the PHA is not now in a position to assume responsibility for such a service. The nature of the issue suggests, rather, a series of recommendations retated to irrter-agency communication and better attention to public information. PED ALTERNATIVE 1�1NGUAGE: The Housina informafion Office should work with aoprooriate emerqencv shelter and transitio�al housino services as well as to services available ftom the wide varietv of advocacv orqanizations. l la. Authors Councilmembers Coleman and Lantry; Location page 22, amend: 6.4 Among the 300- 400 units of housing to be constnxcted each year, 60-80 should be affordable to households with incomes below 89% 55% of the regional median, ' . In the event that the total number of units constructed falls short of 300-400, affordable units should represent 20% of those that are constructed or rehabilitated While the high cost of new construction, the limited availability of subsidy funds and the City's need to expand its taJC base mean that much of the housing built in Saint Paui wiil be rented or sold at mazket rates, the City and its partners should commit themselves to adding to the supply of decent, safe and affordable housing through new construcrion. To that end, the City should encourage the development of housing affordable to households with incomes below 3A� 68-a�-89 55 percent of the regional median income by Investing public financing in developments where t�e 20% of the units are reserved for households with incomes below S8 55 ep rcent of the regional median income, wit�rha�€e€ . Developmems in neighborhoods with little affordable housing and sirong housing mazkets should be encouraged to provide more than 20 percent of their units to lower income households while those in weaker mazkets should be asked to provide a smaller shaze. 116. Author Councilmember Blakey; Location page 22: 6.4 Among the 3AA- 400 units of housing to be constructed or rehabilitated and retumed to the mazket each year, 69-88 200 should be affordable to households with incomes below 30% of the regional median, with at least hal£ or 100 going to those to be affordable to households ' � earnine minimum wage, and annual income of $ I 1.000. In the event that the total number of units constructed falls short of 300-400, affordable units should represent 20% of those that are constructed or rehabilitated While the high cost of new construction, the limited availability of subsidy funds and the City's need to expand its ta�c base mean that much of the housing built in Saint Paul will be rented or sold 3 gG-qo at mazket rates, the City and its partners should commit themselves to adding to the supply of decent, safe and affordable housing through new construction. To that end, the City should encourage the development of housing affordable to households with incomes below 3A�8-an�89 30 percent of the regional median income by a. Investing public financing in developments where �p-te �A% 50% of the units aze reserved for households with incomes below S9 30 percent of the regional median income, with half of those for households ' eamine minimum wage, and annual income of $11 000. Developments in neighborhoods with little affordable housing and strong housing markets provide more than �9 50 percent of their units to lower income households while those in weaker markets should be asked to provide a smailer share. llc. Author Councilmem6er Benanav; Loration page 22: 6.4 Among the 300-400 units of housing to be constructed, 20% H8-8A should be affordabie to households with incomes below 8A% 30% of the regional median. In the event that the total number of units constructed falls short of 300-400, affordabie units should represent 20°l0 of those that are constructed. While the high cost of new construction, the limited availability of subsidy funds and the City's need to expand its tax base mean that much of the housing buiit in Saint Paul will be rented or sold at mazket rates, the City and its partners should commit themselves to adding to the supply of decent, safe and affordable housing through new construction. To that end, the CiTy should encourage the development of housing affordable to households with mcomes below 3�-�9�x�-88 30 percent of the regionai median income by (/ �� a. Investing public financing onlv in developments where �rte 20% of the units are reserved � ^ A 1 ' ' L L.�1C r � �� for households with incomes below $8 30 ercent of the regional median incom°� \� ��, � � � Q . In order to accom Ip ish � this eoal, the Citv of Saint Paul. on an annuai basis shall require that at least 20 percent of � all nublicly assisted housingdevelopments of i units or more either rental or ownership, shali be affordable to families at or below 30 �ercent of the metronolitan median income ' p Y1lir�:m••m o� lld. Author Councilmembers Coleman, Lantry and Benanav; Location page 22: 6.4 Among the 300-400 units of housing to be constructed, 20% g9-88 should be affordable to households with incomes �e�ew-S8% between 30 and Si% of the regional median. In the event that the total � �n umber of units constructed falls short of 300-400, affordable units should represent 2Q% of those `Y that are constructed. V �, yi � rnu ,�,I� ,� While the high cost of new construction, the limited availability of subsidy funds and the City's 6 � need to expand its taY base mean that much of the housing built in Saint Paul will be rented or sold at mazket rates, the City and its partners should commit themselves to adding to the suppiy of decent, safe and affordable housing through new construction. To that end, the City should encourage the development of housing affordable to households with incomes , between 30 and 55% percent of the regional median income by 4 99- g� u r �:..:,,�..+.�. d � a Investing public financing onlv in developments where xg-t�20°l0 of the units are reserved for households with incomes �eleia-89 between 30 and 55%percent of the regional median incom , �e�iatt. 5 Y ^ --__... _r.t,._- "-n` - '- PED STA�F COMMENT ON 11a and 11b: [Piease nate that PED Staff comment was prepared prior to the Benanav proposai, and therefore there are no PED staff comme�ts on 1 tc.] The Planni�g Commission's plan recommends the construction of 300-400 units a year with 60.80 being affordable to households with incomes below 80% of the regional median and half of those being affordable to households with incomes befow 50% of the regionaf inedian. If totaf production does not reach 300- 400, the Commission proposes ihat the City's goal for the production of affordable units should be 20 percent of total production. In establishing its goal, the Commission's concems were two: (1) that the goal be achievable with identifiable resources that are Iikely to be available over Gme; and (2) that the goal be in the context of expanding the suppiy of units for households at ali income levels. It is important to note that the plan does not assume that the city's major initiative in the area of affordabte housing will be in new production. The plan, rather, hopes to promote a modest addition to the city's affordable stock each year-to compensate both for demolitions a�d improving market conditions that have resulted in higher rents. The high cost of new construction and the limited availability of land mean that most of the housing needs of lower income households-especially those that need family-size units--wifl confinue to be met by the existing housing stock. A second important caveat is that production goals do not assume City/HRA will be substantially invoived in the construction of aA 6,�00 units. lndeed, it is the expectation that many of the market units will be privately constructed-perhaps with pub�ic assistance in the assembly and clean-up of the land. The lower the income group the housing is expected to serve, of course, the higher the public investment that will be required. The impact of the Blakey amendment wouid be to significantly shift the proportions of new units proposed by the plan, increasing the level of public investment that will be required. Instead of 20 percent of the units consfructed each year being subsidized to the ievel required to make them affordabte to lower incomes households, fifty percent or two hundred of the four hundred units constructed each year would require the level of subsidy (for construction and on-going maintenance) comparable to that required for pub{ic housing. StafF supports an increase in the goal for the production of affordabie units and a reduction in the income threshold provided that: a. The goal remains "in scale' with the production goal for market rate housing; b. The goal is linked to actual production so that ff market conditions result in fewer than 300-400 total new units per year, the goal for the construc6on of affordable urtits is proportionately reduced; and c. The higher goal is linked with the identificaUon of a new funding source. In establishing a goal for the percentage of any given project that should be affordable to lower income �/9-9a households, a minimum project size for applicable projects (e.g. 4, 8, or 12 units) should be established. COUNCIL RESEARCH COMMENTS ON 11c. Cou�ciimember Benanav's proposa� is parallel to one adopted in Minneapolis �ast summer. The Minneapolis policy reads: " that the City of Minneapolis, on an annuai basis, shalf require that at teast 20 percent of alf publicly assisted housing devefopments of l0 units or more, either rental or ownership, shall be affordable to families at or below 30 percent of the metropolitan median income. All publidy assisted rental projects must accept the use of Section 8 rental assistance either by site-based or portable certificate. Only developments of 10 units or more are subject to the 20 percent requirement." � 12. Author Councilmeenber Blakey; Location pag¢ 23: 6.5 The City skt ula'�eg reaffirm its commitment to the Replacement Housing Policy outlined in Chapter 93 of the Administrative Code�ns��that thete are units�sonstrue�d�to replace-all bed�'aom�st to d8mal�idn: Existing policy requires that City agencies proposing the demolition of conversion of affordable rental housing shall provide the City Council with an affordable rental housing analysis outlining the impact of the proposed project on the availability of such housing in � the City. i3nder certain circumstances, including when there has been a net loss of affordable ,� rental housing units (those affordable to households with incomes below 55% of the regional median), the d'uector of PED shall recommend the replacement of units slated to be lost. The City � Council has final responsibility for approving, amending or rejecting that recommendation. If the n �., Council determines that units should be replaced, adequate funds to finance the construction of � �� those replacement units within three yeazs shall be approved by the agency proposing the project. �, Inasmuch as the ordinance was adopted in 1989 and has not been revised since then, any issues � �� relative to its impiementation shouid be identified and addressed as part of the process of implementing the plan. PED STAFF COMMENT: Chapter 93 of the Administrative Code ouUines the City's current � Replacement Housing Policy. The basic provisions of that po�icy include: a. Any request to the City Council for approvai of a city-assisted project that would involve the demotition or conversion of affordable rental housing must be accompanied by an affordabfe rental housing analysis that describes the balartce of units produced a�d units demolished since 1989 as well as market conditions such as vaCancy rates and prevailing rents for units of similar size in the city. b. The PED director shaii review the analysis against the goals for the production and preservation of affwdable rental housing that are to be set forth in an annuai housing production plan fifed with the city derk by January 31 of each year. c. The PED director shail make a recommendation as to whether repiacement shall be required and, if so, what kind of units shall be constructed. d. The director shail make a recommendation to repiace units under any of the fotlowing circumstances: i. If the analysis shows there has been a net loss of affordable rental units; ii. If the type of affordabfe rental units to be demolished are the type of units that the city has determined through its housing production and preservaiion goafs to be needed in the city and the rtumber of units to be lost equals or exceeds 20. iii. if the affordable rental housing lost is due to an activity funded from one of three federal programs. e. The director shail propose means by which the repiacement housing will be constructed and financed. 59-9a 13. �� S' � �� f. The city council shall have final responsibility for approving, amending w rejed"+ng the director's recommendation. The principie benefit of the existing ordinance in addressing the demolitioNreplacement housing issue is that decision makers, whose responsibility it is to balance competing policy objectives, have good information on the impact of the proposed demolition and a recommendation on how reptacement pn be achieved. It dces �ot, however, tie the council's hands whe� specific circumstances might suggest repiacing fewer than 100 perceM of the units to be iost. - It is good policy and staff recommends that we continue to rely on it-and be more diligent in meeting its requirements-as the most appropriate response to this issue. COUNGIL RESEARCH COMMENT: Councilmembers Co�eman and Lantry have introduced a separate resolution, CF# 99-260, addressing this point. It 1) reaffirms commitment to maintaining the needed level of affordable housing in the City of Saint Paul; and 2) requests that the Director of the Planning and Economic Deveiopment Department prepare and present an afFordable fiousing analysis per Chapter 93 of the Administrative Code by May 26, 1999 for discussion by the City Council. Author Councilmember Blakey; Location page 26, at end: 6.10 Work to overcome bias in the housine market. The Citv recomizes that over thiriy�eazs have nassed since the ori 'nal enactment of the Federal Fair HousinQ Act prohibitin,�discrimination in housingand vet bias continues to affect Saint Paul's raciai and ethnic minoriries the disabled and families with minor children. The task of overcoming bias must be accepted as the ioint responsibiliri of federal, state. countv and City govemments in cooneration with private and nonprofit sectors To this end the Citkwill support: i. Systemic testin¢ in the housing market to identi bias 2. Enforcement of Saint Paul's human rights ordinance in respect to housin¢ discrimination 3. Educational and outreach pro�rams directed towards housine nroviders. includin� landlords, rental aeents real estate sales�ersonnel mortgaee lenders,�pronerty annraisers and �ronerty insurers 4. Outreach pro�sams directed towards neighborhood arsanizations and district nlanning councils to promote gFassroots awazeness of the problem 5. Creation of a Saint Paul Fair Housing Council comnrised of renresentatives of citv Qovernment, the private sector, communitv aEencies and the Minnesota Fair Housin¢ Center which shall advise the City in its on oin� work to identifv and overcome unlawful bias through testms, enforcement,plannine education and outreach. PED STAFF COMMENT: Policies related to addressing discrimination and enforcement of the Federat Fair Housing Act are important additions to the Housing Plan. Planning staff, however, is hesitant to recommend policies related to the establishment of a Saint Paul Fair Housing Councit and systematic testing to identify bias without a better understanding of the City's Department of fiuman Rights' existing efforts related to Fair Housing and the budget implications of these recommendations. At the time this report was prepared, that informa6on was not yet available. ALTERNATE LANGUAGE FROM PED 6.1� Work to overcome bias in the housinq market The Citv recoqnizes that over thirtv vears have aassed since the oriQinal enactment of the Federal Fair Housinq Act prohibitinp discrimination in housinq and vet bias continues to affect Saint Paul's racial and ethnic minorities. the disab{ed and famiiies with minor children. The task of overcominq bias must be accepted as the ioint responsibilitv of federal state counb and Citv qovemments in c000eratipn with private and nonprofit sectors. To this end, the Citv will suo�ort: 1. Enforcement ofi Saint Paul's human riqhts ordinance in resoect to housina discrimination 99 2. Educational and outreach oroq�ams directed towards housinq providers includinq landlords rental aqents reaf estate sales nersonnel mortaaqe lenders procertv aonraisers and �rooertv insurers 3. Outreach oroqrams directed towards neiahborhood orqanizations and disVid oianninq counci{s to promote qrassroots awareness of the oroblem HUMAN RiGHTS STAFF COMMENT: Requested by Council Research, forthcoming. 14. Autho� Councilmember Blakey; Location page 26, at end: 61 I The City must olace a moratorium on demolition of structurall sound rental housing units unril the citv's rental vacancv rate exceeds 5%. P STAFF COMMENT: One goal shared by almost everyone involved in discussions about the ousing Plan is the consfruction of a significant number of new housing units in the city. Without new roduction, vacancy rates wifl continue to decline and rents wifl continue to increase. The issue raised by this proposed amendment is whether it will encourage, discourage or have no effect on our � ability-and the ability of our private and non-profit partners-to produce new housing. ._ v �7 Because of the limited supply of vacant land-especia�ly in the neighborhoods-the production of new ` i units will likely involve some amount of redevelopment and the demolition of existing units. The HRA �� 1�j Board, it seems, shouid have the flexibility to decide that the demoGUon of one or more "structurally � sound" units is justified when new units are being produced. A moratorium would reduce the Board's flexibility and, in the long run, may siow down the process of getting to the point where vacancy rates reach 5%. 15. Authors Councilmembers Coleman and Lantry; Location page 26,insert at end: 6.12 The Citv and its partners should further explore nolicv ontions used bv other major metropolitan areas such as residential hotels, local trust funds developed from a stream of revenues from real estate �� transaction fees: zoning changes like inclusion zoning or density reauirements. 16. Author Councilmember Blakey; Location page 28, at end: 73 Fair Housing Plannin¢. Staff assigned to convene the Housine Coordination Team shall also be assigned to the Saint Paul Fair 0 recommendations as mav be necessarv and prover to fulfill the plan and meet objectives towards building an inclusive communitv. ��l� PED STAFF COMMENT: See comments for previous amendment. PED recommends not adopting this amendmerrt without thorough consultafion of Human Rights staff. HUMAN RiGHTS STAFF COMMENT: Requested by Councii Research, forthcoming. 17. Author Councilmember Benanav; Location page l3, insert at end: 4.6 Enhance the efficiencv and loneevitv of the publids investment in housing by 'givin p� riority in the disbursement of discrerionarv funds to projects and pro¢rams that "recYCle" those subsidies for present and future �enerarions. Discretionarv funds available to the Citv from federal state and other sowces for use in subsidizin¢ the nroduction rehabilitation or oDeration of housin¢ are in short sup�lv — and likelv to remain so for the foreseeable future To the extent possible oriority in disbursing these scazce resources should ¢o to proiects and programs in which the housinQ benefits purchased with 5 �. � ��,�-- ,� � � � �.,,� r ,. ...� �,�- 99-9� these funds aze nreserved for as lon�25 possible (subsidy retention). Where the long-term retenrion of housine benefits nurchased b�,the public is not nossible prioritv should o¢ YO Drojects and proecams in which the funds themselves aze recaptured bv the Citv in order to„purchase new housing benefits in the future (subsidv recauturel. G7 °t9 -qo � CTI'Y OF SE1INT PAUL Norm Coleman, Mayor 390 Ciry Hall IS West Kellogg Boulevard Saint Paul, MN 55102 Tetephone: 651-266-85I0 FaCSimife: 65I-22&8�73 C� 3anuary 12, 1999 City Council President Dan Bostrom Councilmembers Dear Council President Bostrom and Councilmembers: I am pleased to transmit and recommend for your adoption two chapters for the updated Saint Paul Comprehensive Plan which the Planning Commission has prepared: the Housing Plan, and the Summary and General Policy. The Summary and General Policy will provide a brief and broad statement of City development policy and will help to clarify the interrelationship among the plan chapters. Tt sets out the important themes for our next several years of progress that underlie the entire plan. As you know, considerable community discussion lies behind this draft of the Saint Paul Housing Plan. Some earlier drafts, and, before these, an issue paper were the subject of discussion at numerous community meetings and at the public hearing whicn you sponsored jointly with the Planning Commission. I believe the new draft provides significant direction for our community effort and recognizes well the broad range of partnership efforts that progress on our housing objectives requires. Most importantly, it recognizes the importance of addressing the housing needs of households of all incomes—those who live here now and those who tnight be attracted to move into the city. I commend it for your careful consideration. I recommend that the City Council adopt both of these contingent on the Metropolitan Council and adjacent community reviews still to come. i erely, o � /�s Norm Coleman Mayor • 99-q� � city of saint paul planning commission resolution file number 99-03 (late Januarv 8. 1999 A RESOLUTION APPROVING AND RECOMMENDING ADOPTION OF THE SAINT PAUL HOUSING PLAN WHEREAS, a new housing policy plan is a key component of an updated Saint Paul Comprehensive Plan needed to both inform City development policy and meet the requirements of the Metropolitan Land Planning Act, Minnesota Statutes Sections 473 and 473H; and WHEREAS, an issue paper entitled Saint Paul Housing Plan: Framing the Discussion published in June 1998 provided for extensive community discussion of housing policy issues; and WHEREAS, a draft Saint Paul Housing Plan published on October 9, 1998 has been discussed in numerous community meetings; and • WHEREAS, a pubfic hearing was held jointly by the Saint Paul Planning Commission and the Saint Paul City Council on December 7, 1998, notice of which was published in the Saint Paul Legal Ledger November 24 and 25, 1998; and WHEREAS, the Commission finds broad community support for the policy directions recommended by the plan and has made revisions to the draft in response to specific concerns raised and information provided in the course of the community discussion and pubiic hearing; NOW, THEREFORE, BE IT RESOLVED, that the Pianning Commission of the City of Saint Paul approves the Saint Pau! Housing P/an as an element of The Saint Paul Comprehensive Plan, contingent on review by adjacent communities and the Metropolitan Council; and BE IT FURTHER RESOLVED, that the Planning Commission recommends the Saint Paul Housing Plan to the Mayor and to the Saint Paul City Council for preliminary adoption and for inclusion in The Saint Pau/ Comprehensive P/an to be forwarded to the Metropolitan Council. moved by �A; ��Ar seconded by in favor Unanim°us • against 9�-�d City of St. Paul O�ce of the City Council 320 City Hall . Saint Paul, MN 55102 (651) 266-8570 INTER-DEPARTMENTAL MEMORANDUM DATE: March 15, 1999 TO: Councilmembers and Legislative Aides G FROM: Marcia Moermond, PolicyAnalyst �VIGU"" SUBJECT: Summary and Generai Plan Amendments (3/17/99 Policy Session, Agenda Item # 35) and Housing Pian Amendments (3l17/99 Policy Session, Agenda ltem # 36) Attached is a list of ali proposed Summary and Housing Plan amendments that have been forwarded to me by Councilmembers over the last two weeks. The items are listed in page number order, according to the page being amended. Ken Ford, Nancy Homans and I have compiled and discussed the amendments. Where appropriate, comment has been provided on specific amendments. The Council is currently scheduled to amend the Summary and Housing Plans on Wednesday Mazch 17`" and lay ffiem over to Mazch 24�' for final adoption. Please contact me with any questions or comments on these plans. Piease note that this memo and attachments have also been emailed to you. attactunents cc: Ken Ford and Nancy Homans, PED Gerry Strathman and Nancy Anderson, Council Research Phil Byme and Peter Warner, City Attorney's Office . � 0 U h Q.�t r � �� r ��ti� � � 19- 90 CITY COUNCIL PROPOSED AMENDMENTS TO THE SUMMARY AND GENERAL PLAN 1. Author Councilmember Coleman, Location page 12, General Policy 3, Water Resources, add bullet: Protection of surface water resources from inapprooriate discharges from waste disposal and contaminant release sites. PED Staff requested this amendment, see Ken Ford memo in packet. 2. Author Councilmember Coleman, Location page 19, General Policy IS. River Corridor, add to fourth bullet. Conrinuation of industrial uses in portions of the corridor identified in the Land Use Chapter, with corrective actions wherever neces to miti�ate adverse environmental imvact of existine industrv includin�pnropriate dischar¢e from waste disposal and contaminant release sites. PED Staff requested this amendment, see Ken Ford memo in packet. 3. Author Councilmember Bostrom, Location page 20, General Policy 18 amendment, Open space and River Connections: Neighborhood connections to the Mississippi River Corridor will be enhanced , through appropriate trail and road connecrions, infrastructure design, and land use planning and regulation. River tributaries such as the Phalen Corridor offer narticulaz opportunities for enhanced connections. PED Staff requested this amendment, see Ken Ford memo in packet. 4. Author Councilmember Benanav, Location page 24, General Policy 24 amendment: Intensive Use of Industrial Land. Increasine density of living-wage jobs will be a primary factor in determination of appropriate reuse of City sites with industrial and/or business potential. Factors to be considered are the number of iobs ner sauare foot and ner acre and the coveraee of building to land. Office uses may offer greater potential than industrial development at some previously-industrial sites. PED Staff Comment: This is an appropriate definition of density. 5. Author Jerry Blakey; Location page 26: GP32. Inclusive Community. We have no tolerance for racism and intend to provide the broadest access possible to all benefits of community life in Saint Paul, free from barriers based on race or ethnicity. The City, in partnershin with the Minnesota Fair Housin¢ Center and other interested communitv oreanizations will coonerate to idenhfv and eliminate unlawful discrimina6on in residential sales and mortgaee lendine PED Staff Comment: it is appropriate to add this emphasis here. We suggest just a tittle revision to eiiminate some redundancy. PED ALTERNATE LANGUAGE: The Citv will c000erate with the Minnesota Fair Housina Center and other interested communitv orqanizations to identify and eliminate unlawful discnmmation m the Saint Paul housinq market includinq the rental market the for sale market. and mortaaae lendinq. �19-90 CITY COUNCIL PROPOSED AMENDMENTS TO THE HOUSING PLAN 1. Author Councilmember Blakey; Location page 10, insert fourth paragraph: 6. Discrimination continues. Desoite continuine efforts on the nart of federal state and local govemments bias continues to act as an impediment to a si�ficant number of home seekers in Saint Paul The Institute on Race and Povertv of the Universitv of Minnesota concludes that the Twin Ciries metro area is among the nation's most residentiallv seereeated A fair housine audit bv the Minnesota Fair Housine Center has found that racial bias is a sienificant factor in rental housine PED STAFF COMMENT: Policies related to addressing discrimination and enforcement of the Federal Fair Housing Act are important additions to the Housing Plan. ALTERNATE LANGUAGE FROM PED 6. Discrimination continues Desoite conGnuinq efforts on the part of federal. state and Iocal qovernments. bias continues to act as an imcediment to a siqnificant number of home seekers in Saint Paul. HUMAN RIGHTS STAFF COMMENT: Requested by Council Research, forthcoming. l. Authors Councilmembers Coleman and Lantry; Location page 12, insert final paragraph: 4.3 d. Additional resources shea�� mnst be identified and used in partnership with those code enforcement efforts to assist property owners to make the necessary repairs and improvements before there is significant deterioration. 3. Authors Councilmembers Coleman and Lantry; Location page 14, insert fna[ paragraph: 5.1 a. [to encourage the construction of new units, the City shouldj make assist� potential developers a riori , when necessary, in the assembly and clean up of land and the construction of infrastructure. This should include devising mechanisms to more easily �ansfer the ownership of ta�t-forfeited properties to community development corporations or other community-based organizations for development. 4. Authors Councilmembers Coleman and Lantry; Location page 16, insert fina[ paragraph: 53 a. Advocate for additional reforms of those State 4vc provisions that discourage the construcrion and ownership of rental housing, includine decreasine the tax rate on residenrial rental pronertv 5. Authors Councilmembers Coleman and Lantry; Location poge 16, insert final paragraph: 5.3 b. Stronelv encourage �ajer local employers to invest in the production of rental housing to sErve their workforce, on their own or in narinersh� with other businesses �ovemment agencies and nonorofit oreanizations. 6. Author Counei[member Blakey; Location page 19: 6.1a. The Legislahue shouid commit additional funds to the Metropolitan Livable Communities Demonstration and housing accounts as an incentive for suburban and stronger central city communities to produce affordable housing. T'he citv also insists that the Metronolitan Council enforce ail agreements to nrovide low income housine in the municipalities that utilized nublic funds for infrastructure exnansion since 1973 99-90 PED STAFF COMMENT: The link between low-income housing and inftastructure improvements that was made by the Metropolitan Councii in the 1970s was related to the Council's role in reviewing appliptions made by cities for federal parks and open space funds. Positive reviews on those appliqtions was related to the city's perFormance in providing affordable housing. That review mechanism was eliminated during the Reagan administration. There are no outstanding °agreements " As federal funding programs have changed, the MeVopolitan Counal no longer has a role in leveraging locai participation in the production ofi affordabfe housing. instead, the Council is the lead implementing agency for the Metropolitan Livable Communities Accounts that offer incentives for the production of affordable housing, To more fuliy address the issues raised by this proposed amendment, planning staff recommends the following plan amendment: ALTERNATE LANGUAGE FROM PED 6.1.a. . Encoureae the Minnesota Leqislature to orovide adeauate fundinq for communities to meet Livable Communities qoals for affordable housinq and to adoot the other orovisions of the Metr000litan Councii's Housinq Reform Initiative includinq an incentive oroqram for communities to lower housina construction costs associated with locai reauirements, a reassessment of the state buildinq code rental housinq resources for re�lacement housinq and rehabifitation new re�tai housinq resources fundinq for homeless assistance oreservation of existino federallv ass+sted rental housina and suaaort for new and rehabilitated ownershio housinq. 7. Author Councilmembers Coleman and Lantry; Location page 20, insert new first paragraph: b. The Citv and its nartners should encourage the Minnesota Le�islature to strenethen the Livable Communities Act to make it more likelv to have a real imnact on the availability of affordable housine for the mettonolitan region This is important given the results of the recent studv bv the Universitv of Minnesota Center for Urban and Re�onal Affairs which indicates that even if all the producrion goals of the Liveable Communities Act are met the region will still fall behind in affordable housin�provision bv completion of Livable Community Plans [This amendment will cause the renumbering of the current 6.1.b-e to 6.I.c-f.J 8. Authors Councilmembers Coleman and Lantry; Location page 20: 6.2 [With its partners, the City shoutd:] a. Lobby for the expansion of federal and, especially, state financing for the construction and preservation of affordable housing throughout the region. Specificallv the Citv will nr000se for current and future legislative a�endas that the state double therebv achieving 1°!0 of the state budeet for housins, its exoenditures on housine bv significantiv inereasing its avnronria6ons for the Minnesota Housin� Finance Agenc,y and for im,plementafion of the Livable Communiries Act. 9. Authors Counci[members Coleman and Lantry; Location page 20: 6.2 [With its partners, the City should:] b. Idenrify new local resources that can be used to leverage additional public and private financing. HRA resources represent flexible fund sources that can and should be tapped by City policy makers. Additionally�the Citv should dedicate one half of its Neiehborhood STAR Proeram revenue for housing develonment for at least the next two yeazs. COUTJCiL RESEARCH COMMENT: This makes the pfan consistent with the City Council action taken in CF# 99-237 directing that the STAR guidelines be revised to accompiish this on March '10, '1999. 99- 90 10. Author Councilmember Blakey; Location page 21, insert second paragraph: d. The city will lobbv the Public Housin�Aeency_(PHAI to create a position of ombudsman/advocate at PHA. connected with community organizarions, who can work with PHA clients to full explain their ri ts_ responsibiliries and housine oprions. PED STAFF COMMENT: The concems that led to this proposed amendment relate to difficultles faced by people looking for housing or emergency shelter. in too many instances, housing advocates tell us, peopie have a hard time getting good information. That issue is bigger than the Public Housing Agency and the PHA is not now in a position to assume responsibility for such a service. The nature of the issue suggests, rather, a series of recommendations related to inter-agency communication and better attention to public ir�formation. PED ALTERNATIVE LANGUAGE: The Housinq Information Office should work with aoorooriate service aroviders to develoo and distribute orinted materials or on-line resources reiated to available emeraencv shelter and transitional housinq services as well as to services available from the wide varietv of advocacv organizations. l la. Authors Councilmembers Coleman and Lantry; Location page 22, amend: 6.4 Among the 300- 400 units of housing to be constructed each year, 60-80 should be affordable to households with incomes below 88% 55°l0 of the regional median, ' . In the event that the total number of units constructed falls short of 300-400, affordable units should represent 20% of those that aze constructed or rehabilitated While the high cost of new construction, the limited availability of subsidy funds and the City's need to expand its ta7t base mean that much of the housing built in Saint Paul will be rented or sold at market rates, the City and its partners should wmmit themseives to adding to the supply of decent, safe and affordable housing through new construction. To that end, the City should encourage the development of housing affordable to households with incomes below 38; 69�8A 55 percent of the regional median income by 1. Investing public fmancing in developments where n�e 20°l0 of the units aze reserved for households with incomes below SA 55 ercent of the regional median income, �a€ . Developments in neighborhoods with little affordable housing and strong housing markets should be encouraged to provide more than 20 percent of their units to lower income households while those in weaker markets shouid be asked to provide a smailer share. lib. Author Councilmember Blakey; Locadon page 22: 6.4 Among the 399- 400 units of housing to be constructed or rehabilitated and retumed to the mazket each_year, 6A-88 200 should be affordable to households with incomes below 30% of the regional median, with at least hal£ or 100 going to those to be affordable to households ' � earning minimum wage, and annual income of $11.000. In the event that the total number of units constructed falls short of 300-400, affordable units should represent 20% of those that are constructed or rehabilitated While the high cost of new construction, the limited availability of subsidy funds and the City's need to expand its tax base mean that much of the housing built in Saint Paul will be rented or soid 99-50 at market rates, the City and its partners should commit themselves to adding to the supply of decent, safe and affordable housing through new construcrion. To that end, the City should encourage the development of housing affordable to households with incomes below 39; 68-an��89 30 percent of the regional median income by a. Investing pub2ic financing in deveiopments where np-ta �8% 50% of the units are reserved for households with incomes below $9 30 cent of the regional median income, with half of those for househoids ' e� minimum wage. and annual income of $11 000 Developments in neighborhoods with little affordable housing and strong housing mazkets provide more than �8 50 percent of their units to lower income households while those in weaker markets should be asked to provide a smaller share. 12c. Asthor Councilmem6er Benanav; Loeatian page 22: 6.4 Among the 300-400 units of housing to be constructed, 20% 69-8A should be affordable to households with incomes below 89% 50% of the regional median, with at least half going to those to be affordable to households with incomes below 38% 30% of the regional median. In the event that the total number of units constructed falls short of 300-400, affordable units should represent 20% of those that aze constructed. While the high cost of new construction, the limited availability of subsidy funds and the City's need to expand its tax base mean that much of the housing built in Saint Paul will be rented or sold at market rates, the City and its partners should commit themselves to adding to the supply of decent, safe and affordable housing through new construcrion. To that end, the Ciry should encourage the development of housing affordable to households with incomes below 39; 6A-an�86 30 percent of the regional median income by a. Investing public fmancing o� in developments where tt�r�e 20% of the units are reserved for households with incomes below SA 30 en rcent of the regional median incom-� chfi+�]d ti -- - - -- - �n .. r.L-=- ---'. i �b� Y •f. ___ _ 1 / L t • L,. ..t...J �' ___ •J _ tt - "� ° r In order to accomplish this eoal. the Citv of Saint Paul, on an annua] basis shall reauire that at least 20 oercent of all publiclv assisted housin developments of 5 units or more either rentai or ownershi� shall be afFordable to families at or below 30 nercent of the metronolitan median income Oniv develonments of 5 units or more aze subject to the 20 nercent reauirement PED STAFF COMMENT ON 11 a and 11 b: [Please note that PED Staff comment was prepared prior to the Benanav proposal, and therefore there are no PED staff comments on 11 c.] The Planning Commission's plan recommends the construction of 300-400 units a year with 60-80 being affordable to households with incomes below 80% of the regionai median and half of those being aifordable to households with incomes below 50% of the regionai median. if totai production does not reach 300- 400, the Commission proposes that the City's goal for the production of affordable units should be 20 percent of total production. In establishing its goal, the Commission's concerns were two: (1) that the goal be achievable with identifiable resources that are Iikeiy to be available over time; and (2) that the goai be in the context of expanding the suppiy of units for households at all income levels. tt is imporiant to note that the plan does not assume that the city's major initiative in the area of 9y-90 affordable housing will be in new production. The plan, rather, hopes to promote a modest addition to the aty's affordable stock each year-to compensate both for demolitions and improving market conditions that have resulted in higher rents. The high cost of new construction and the limited availability of land mean that most of the housing needs of lower income households-�specially those that need family-size units-wilt continue to be met by the existing housing stock. A second important caveat is that production goals do not assume City/HRA will be substantially involved in the construction of all 6,000 units. Indeed, it is the expectation that many of the market units will be privately constructed-perhaps with public assistance in the assembly and clean-up of the land. The lower the income group the housing is expected to serve, of course, the higher the public investrnent that will be required. The impact of the Blakey amendment would be to significantly shift the proportions of new units proposed by tl�e plan, increasing the level of pubiic investment thaf wiit be required. Instead of 20 percent of the units constructed each year being subsidized to the levet required to make them affordable to lower incomes households, fifty percent or two hundred of the four hundred units consVucted each year would require the level of subsidy (for construction and on-going maintenance) comparable to that required for public housing. Staff supports an increase in the goal for the production of affordable units and a reduction in the income threshold provided that: a. The goal remains "in scale" with the production goal for market rate housing; b. The goal is linked to actual production so that if market conditions result in fewer than 300-400 total new units per year, the goal for the construction of affordable units is proportionately reduced; and c. The higher goal is linked with the identification of a new funding source. In establishing a goal for the percentage of any given project that should be affordable to lower income households, a minimum project size for applicable projects (e.g. 4, 8, or 12 units) should be estabiished. COUNCIL RESEARCH COMMENTS ON 11c. Councilmember Benanav's proposal is parallel to one adopted in Minneapolis last summer. The Minneapolis policy reads: " that the City of Minneapolis, on an annual basis, shall require that at least 20 percent of ali publicly assisted housing developments of 10 units or more, either rental or ownership, shall be affordable to families at or below 30 percent of the metropolitan median income. All publiGy assisted rental projects must accept the use of Section 8 rentai assistance either by site-based or portable certificate. Only developments of 10 units or more are subject to the 20 percent requirement " 12. Author Councilmember Blakey; Location page 23: 6.5 The City should �ke�ineF reaf£uni its commitment to the Replacement Housing Policy outlined in Chapter 93 of the Administrarive Code, enswe that there aze units constructed to re lan ce all housine units lost since January1998 and ensure that those units contain the net number of bedrooms lost to demolition. E�sting policy requires that City agencies proposing the demolition of conversion of affordable rental housing shall provide the City Council with an affordable rental housing analysis outlining the impact of the proposed project on the availability of such housing in the City. Under certain circumstances, including when there has been a net loss of affordable rental housing units (those affordable to households with incomes below 55% of the regional median), the director of PED shall recommend the replacement of units slated to be lost. The City Council has final responsibility for approving, atnending or rejecting that recommendation. If the Council determines that units should be replaced, adequate funds to finance the conshuction of those replacement units within three yeazs shall be approved by the agency proposing the project. Inasmuch as the ordinance was adopted in 1989 and has not been revised since then, any issues 5 r 7 relative to its implementation should be identified and addressed as part of the process of implementing the plan. PED STAFF COMMENT: Chapter 93 of the Administrative Code outlines the City's current Replacemerrt Housing Policy. The basic provisions ofi that policy inGude: a. Any request to the Gity Council for approvai of a aty-assisted project that would invo{ve the demolition or conversion of affordable rental housing must be acxompanied by an affordable rental housing analysis that describes the baiance of units produced and units demolished since 1989 as wel{ as market conditions such as vacancy rates and prevailing rents for units of similar size in the city. b. The PED director shall review the anaiysis against the goals for the production and preservation of affordable rentai housing that are to be set forth in an annual housing production plan filed with the aty clerk by January 31 of each year. c. The PED director shall make a recommendation as to whether replacement shall be required and, if so, what kind of units shall be constructed. d. The director sha{I make a recommendation to replace units under any of the foitowing circumstances: i. If the analysis shows there has been a net foss of affordable rental units; ii. If the type of affordabie rental units to be demolished are the type of units that the city has determined through its housing production and preservation goals to be needed in the city and the number of units to be lost equais or exceeds 20. iii. If the affordable rental housing lost is due to an activity funded from one of three federal programs. e. The director shall propose means by which the replacement housi�g will be constructed and financed. f. The city councit shali have final responsibility for approving, amending or rejecting the director's recommendation. The principle benefit of the existing ordinance in addressing the demolitionlrepiacement housing issue is that decision makers, whose responsibility it is to balance competing policy objec6ves, have good information on the impact of the proposed demoiition and a recommendation on how replacement pn be achieved. It does not, however, tie the councif's hands when speafic circumstances might suggest replacing fewer than 100 percent of the units to be lost. lt is good policy and staff recommends that we continue to refy on it—and be more di{igent in meeting its requirements—as the most appropriate response to this issue. COUNCIL RESEARCH COMMENT: Councifinembers Coleman and Lantry have introduced a separate resolution, CF# 99-260, addressing this point. lt 1) reaffirms commitment ta maintaining the needed level of affordable housing in the City of Saint Paul; and 2) requests that the Director of the Pianning and Economic Development Department prepare and present an affordabie housing analysis per Chapter 93 of the Administrative Code by May 26, 1999 for discussion by the City Council. 13. Author Councilmember Blakey; Location page 26, at end.• 6.10 Work to overcome bias in the housine mazket. The City recognizes that over thartv vears have nassed since the oriQinal enachnent of the Federal Fair Housing Act prohibiting discriminarion in housine and vet bias continues to affect Saint PauPs raciai and etlusic minorities the disabled and families with minor children. The task of overcomin� bias must be accented as the joint responsibilitv of federal state countv and Citv eovernments in cooberation with urivate and nonDrofit sectors To this end the Citv wiil sunnort: 1. Svstemic testine in the housin¢ market to identifv bias 2. Enforcement of Saint Paul's human rights ordinance in respeet to housinq discrimination ��i - 50 3. Educational and outreach pro�ams directed towazds housing nroviders includingiandlords rental a�ents real estate sales personnel mort�age lenders pronerty apnraisers and pronertv insurers 4. Outreach vrograms directed towazds nei¢hborhood organizations and district plannin2 councils to nromote erassroots awazeness of the nroblem 5. Creation of a Saint Paul Fair Housine Councii comprised of representarives of citv government, the nrivate sector. communitv agencies and the Minnesota Fair HousinQ Center which shall advise the Citv in its on¢oing work to idenrifv and overcome unlawful bias throu�h testin¢, enforcement. nlanning education and outreach. PED STAFF COMMENT: Policies related to addressing discrimination and enforcement of the Federal Fair Housing Act are important additions to the Housing Plan. Planning staff, however, is hesitant to recommend policies related to the establishment of a Saint Paul Fair Housing Council and systematic testing to identify bias without a better understanding of the City's Department of Human Rights' existing efforts related to Fair Housing and the budget implirations of these recommendations. At the time this report was prepared, that information was not yet available. ALTERNATE LANGUAGE FROM PED 6.10 Work to overcome bias in the housinq market. The Citv recoqnizes that over thirtv vears have oassed since the oriqinal enactment of the Federal Fair Housing Act rohibitin discrimination in housin and et bias continues to affect Saint Paul's racial and ethnic minorities. the disabied and families with minor children The task of overcominq bias must be accepted as the ioint resaonsibiliN of federal state countv and Citv qovernments in cooperation with private and nonorofit sectors. To this end. the Citv witi su000rt: 1. Enforcement of Saint Paul's human riqhts ordinance in res�ect to housinq discrimination 2. Educational and outreach oroqrams directed towards housinq providers includinq landlords rental aaents real estate sales oersonnel mortqaae lenders �rooertv aoaraisers and oropertv insurers 3. Outreach �roarams directed towards neiqhborhood orqanizations and district planninq councils to promote qrassroots awareness of the oroblem HUMAN RIGHTS STAFF COMMENT: Requested by Council Research, forthcoming. 14. Author Councilmember Blakey; Location page 26, at end: 6.11 The City must nlace a moratorium on demolition of structurallv sound rental housins units until the citv's rental vacancy rate exceeds 5%. PED STAFF COMMENT: One goal shared by almost everyone involved in discussions about the Housing Plan is the construction of a significant number of new housing units in the city. Without new production, vacancy rates will continue to decline and rents will continue to increase. The issue raised by this proposed amendment is whether it will encourage, discourage or have no effect on our ability-and the abiiity of our private and non-profit partners-to produce new housing. Because of the limited suppiy of vacant land-especialiy in the neighborhoods-the production of new units will likely involve some amount of redevelopment and the demolition of existing units. The HRA Board, it seems, should have the flexibility to decide that the demolition of one or more "structurally sound" units is justified when new units are being produced. A moratorium would reduce the Board's flexibility and, in the long run, may slow down the process of getting to the point where vacancy rates reach 5°/a. 15. Authors Councilmembers Coleman and Lantry; Location page 26,insert at end: 6.12 The Citv and its nartners should further explore ontions used bv other major metropolitan areas such 7 y9-90 as residential hotels. local trust funds developed from a stream of revenues from real estate transaction fees: zonine changes like inclusion�rv zonine or densitv reauirements 16. Author Councilmember Blakey; Location page 28, at end: 73 Fair Housing Plannin�. Staff assiEned to convene the Housina Coordinarion Team shall also be assigned to the Saint Paul Fair HousinQ Council. as idenrified in 610 above and shall in cooneration with the Fair Housing monitor and evaluate the cit�.pro¢ress on an annual basis The Council shail in cooneration with assigned staff Dresent its findines for inclusion in the Housing Acrion Plan and make such recommendations as may be necessarv and proper to fulfill the_plan and meet obiectives towazds building an inctusive communitv. PED STAFF COMMENT: See comments for previous amendment. PED recommends not adopting this amendment without thorough consultation of Human Rights staff. HUMAN RIGHTS STAFF COMMENT: Requested by Council Research, forthcoming. E:3 •� •� �� Draft Housing Plan Pub4ic Hearing December 7, 1998 Summary of Testimony Major Themes of the Testimony Specifics, measurabie goals. The plan vision is good; needs to be more specific, have measurable goals. Crisis Now. Lack of affordable housing is a crisis now. Very low vacancy rate. Don't deal with a crisis through modest actions; 814 sheltered197 turned away 16,000 are homeless (TC), 8,000 are children 16,000 today will be 30,000 in a few years There's real anger in the community over the affordable housing crisis. Less than 1/4 of poor households have affordable housing. 1n the central cities and first-ring suburbs now there is a shortage of 35,000 units of affordable housing. Regional and City Effort Needed. Support regional etfort, but this shouldn't detract from � importance of City effort to meet low income housing need. "Core cities that have the knotivhow should say that �ve are going to do our share and we expect s�burban communities to do the same." Don't Remove Affordable Units. Seventh Place in particular is a current issue. Many spoke against demolishing any units when the vacancy rate is sa I.o�� and the need for afsordab{e Units so great. Recommendations for the Plan , 1. Add measurabfe goais for affordable housing production/preservation Add measurable goais for households with incomes below 80°/a of regional median Build 400 units per year for a broad '+ncome range Half of the 20 percent that is affordable to households belo�� 80 percent of median shouid be affordabie to households below 50 percent and 30 percent. add an expiicit goal to deal �vitn homelessness Insist on mi�ed income: 20°b afrordable to households belo« 80°,0 of inedian. 2. Add demolition polic}•; preserve ra:her than demolish. Require replacement units in pizce beiore demolition ot atsordable units � 3. lncorporate permanent, lonb term attordability principles (mechanisms such as a land trust or limited-equity coop protect prices from inflationary pressure.) 4. Replace pian's "should," "ought" language with stronger statements. 5. Plan should note role of housing in famiiy stabifity. 6. insist on regional compliance There s(�ou(d be tax penalties for exclusion Offer staff expertise to suburban communities 7. Lead the regional effort required by setting the example: apply fair share to Saint Pauf neighborhoods. Some SP neighborhoods h�ave less affordabfe housing than some suburban communities. No more subsidized housing where current supply exceeds city average. 8. Set meaningful standards (i.e., an income level that is meaningful for the SP population. (Area median $60,000; SP median $36,000} Maximum income of $20,000 would be a meaningfui standard for affordable housing 9. 10. t1. 12. 13. Don't use regional income standards. Strengthen CDCs: front-end admin costs once a pian is approved. Inventory all development resources that couid be used for housing. STAR $ should be designated for housing PED/City should have a director of housing or housing division. Legislative agenda: Need sTrong legislative agenda: 5 for affordab(e housing Make changes in Tax lncrement Firancing to facilitate redevelopment 1z. Diversify and integrate housing types. 75. Encouraje high quafity business and housing environments. Other Comments It ��ill take a lot to rehab the James ) Hill Bldg. That will put more people on the streets. The people �vho need the help ou�ht to be on The panels designing the solutions. Housing availability has sufrered a double evhammy: soaring costs and very low vacancy rate for rental housing. Resources could be better used: apartments can be bought direcrly for less money than is spent on a complicated subsidized rehab like Selby-Dayton. Create jobs, promote development of the urban core, promote business ownership. Don't repea± mistakes of he past: avoid hi�n density/low income, concentrations of poor. � � � qg •.� Draft Housing Plan . Community Review Comments � COMMENT PERSON/ORGANIZATION GROWTH OBJECTiVE - Disagree with the goal of population District 2 Community Council growth. We should concentrate on taking care of the existing housing stock and not "buy" into the Met Council growth management strategy-especially since the Met Council isn't offering any money to assist in the construction of new units. The goal of 6000 new housing units constitutes an "unfunded mandate." DEMOLITION/REPLACMENT - Plan should state a clear policy on LISC demolition of housing; one which places value on preservation of existing housing. This is particularly important given the serious housing shortage that currently exists. - Plan should include a 1 for 1 CSP replacement policy Vic Grossman - There should be a moratorium on CSP demofition of structurally sound rental housing unti� the vacancy rete reaches 6°l0. , - There should be a moratorium on Tenants Union a{f demolitions until adequate repiacement housing is built, until there is evidence that the city has a plan and resources, and untif an impact statement shows that units at ine szme rent are available in the same general area. � - Saint Paul fias a limited amounf of Summit Hili Association housing available for low-income people. Situation is exacerbated by demolition of tow-income housing without replacement. -Moratorium on Yhe demolition of CapitolRiver Council affordable housing until replacement Council of Churches housing is constructed. - Rehabilitation standards for vacant CSP buildings must be revised, with , participation of communiry expertise, to favor preservation of the existing stock rather than demolition (e.g. occupation should be allowed after life and safety codes are met?. L-OWER INCOME HOME OWNERSHIP � Design ways to offer mortgages for CSP people who have either no credit District Seven history or rovho have previous credit problems. - bVhile home o�vnership is part of the Summ'rt Hifl Association ( equation for providin� lo�v cost housing, it is over-rated. Mortgage interest rates may noi remain low. PRODUCTtO��' OF AFFORDABLE HOUSiNG - Should be a clear, measurable goa! for LISC the production of aftordable housing. NEAR . - There should be a commitment to Tenants Union build a specified number of aiiordable housing units. Creation oi aftordable housing needs to be as high a priority as preservation of federallv financed afiordable housin�. '- Gt� needs to activel� seeh funds Summit Hiil Association � a�d deveiop nousinQ ror people with ! ;' lo« mcomes, e_peciai!� ramilies. � � � � �iy-�o � � There should be a significant CSP increase in the production of new rental units, affordable to a range of incomes. At least 50% should be affordable to families making $15,000-$20,000. - Establish a measurabte goal for the LISC production of rental housing. Enlist all area housing players to focus Jim Gabler on national policy and program reform. Adjust and better fund Rental Rehab Jim Gabler Program Offer city staff expertise, and in some Jim Gabler cases fund allocations, to suburban efforts. Address fong-term affordability (i.e., NEAR land trust, limited equity) Rond Community Land Trust Use standards meaningful for city Coalition for the Homeless population-80°!o of regional income Mary Helen Inskip too high Others REGiONAt STRATEGY - While it is important to encourage Summit Hill Association the re;ion to do more, the plan LISC should not imply that St. Paul has done its part. St. Paul needs to do more than point its fingers at other localities. Objective of increasing affordabie housing in the suburbs shoufd not undercut or be used as an excuse for `' St. Paul not to preserve or developm housing that is affordable to iower income residents. - language about work+ng with our Council of Churches regional partners sounds like a license to demolish loev income houslna and dispesse res+dents io i otner communities. � OTNER AfFORDABILITY ISSUES Missing from the vision statement is a Council of Churches commitment that there will be Rondo Community Land Trust sufficient affordable housing to meet the needs of all city residents-that no one or no family will be left hom(eless. In addition to new construction of Summit Hill Association affordable housing, City should seek incentives for landlords to reduce apartment costs, Public funding for projects that witl Tenants Union require additional housing should provide funding for that housing and guarantee that a certain percentage of the jobs are created for St. Paul residents. i�,ny housing development or CSP redevelopment using subsidy of any kind must offer units affordable to households of various incomes-30% of median and above. Good recoonition of value of mixed LISC income housing. 20°'a/80°o mix is somewhat arbitrary and untested in tfiis market. Communit}• expertise should be tapped to determine the appropriate mix. Address supportive housing (mental Mike Castle i H ness) Don't repeat past mistakes of high Ann Woods � density/low income. Don't put affordabie housing in Yseff Mgeni neighborhoods with more than city average. Not enough in the draft to alleviate or Dist 2 Community Council discourage "concentrations of poverty." �tiiore atientior to homeless Johnny Green � Others � � �� G�- ro � � OTHER BARRIERS - Twin Cities is racially segregated. Vic Grossman Housing Plan doesn't make recommendations that would change that. - Integration of incomes would foster CSP integration of races and this must be encouraged. - Plan doesn't address other barriers to Councii of Churches hosuing: racism, application fees, large damage deposits etc. SENIOR HOUSING - Every neighborhood should have � some small ownership housing (condos) for people 55 and over. -Need for housing for seniors selling East Side Seniors modestly priced homes. About haff prefer rental/half some form of ownership or cooperative. Generally preter all-senior building; . Need access to trz�sit and otner services. -Emp[y nestersJseniors want to five in Hamline Midwat CoalitionlN- the neighborhood, but find few MARC options. Seniors don'i �vant to live in hi-rises-�vant to maintain connections 4vith the street and neighborhood activity. -Not clear how City came to Summit Hili Association conclusion that seniors (or others) will �' prefer townhouses and other shared wail options. Market research? Plan should emphasize a mix of housing styles attractive to people of all ages. � ARCHITECTURAL COMPATIBILITY/ DESIGN -Shoutd be more emphasis on H-M Coalition/H-MARC architectural compatibility-ensuring that new construction (and the residents of newly constructed housing) fits in with the existing neighborhood. - What specific strategies will the city Summit Hill Association employ to preserve a mix o{ land uses, a sufficient housing density and qualiry architedure? Changes in the zoning code or design guidelines? - Should be a stronger emphasis on Summit Hill Association historic preservation. Text should say that the City and its partners will significantly increase their efforts.... - Plan should encourage some incentives for private property owners to make existing structures accessible to wheeichairs. - Concern about accessory units Summit HiII Association threatening the stabilih� oi single family neighborhoods. CODE ENFORCEMENT,� h1AiNTENANCE - Emphasize working with properiy H-M Coalition/H-MARC owners before implementing aggressive code enforcement measures. Use carrot �, rather than stick. - Increased fines will only take away Summit Hill Association financial resources that couid be used to fix up properties (esp. for lower income owners). Absentee landlords I ��•ill �ust pay fines and i�nore + problem�-hearingc are a titiay to ; encourage landlord to make repairs. � Reducin� code compliance stafr will ' noc get better compiiance. j � � � �i r- 90 � � � - Plan Vacks recommendations on Fi-M Coalition/H-MARC working with tenants to improve rental housing. - What would weil managed rental Summit Hill Association property look like? How would financial incentives for well managed property be determined? -Strategically focusing rehab efforts in Summit Hitl Association certain neighborhoods may result in deterioration through the rest of the city. Opportunities for public investment should be available in neighborhoods throughout the city. iNFORMATiONISPECIFiCITY - Plan needs to track specific needs and Tenants Union make specific recommendations Vic Grossman (including goals, timelines and St. Paul Council of Churches resources) for more income brackets: LISC minimum wage, 30°!0, 50°l0, 60°/o and 80 �o ot the regional median. - Goals should reflect the demographic and economic realities ot St. Paul residents. - The resources required to produce or preserve these units should be identified. - With greater speciticity comes greater accountability and a� enhanced ability for the City, workin� with its various partners, to secure the public and '` private resources necessary to carry out the plan. - Set goals for 50% of regional median USC rather than 80°'0 of regional median. � - hiissin� data on homelessness and the Council of Churches � � g-oti� in� gap between minimum/actual , � I�. aQes and l i� in� �vages ior tne working � pooc Working poor are working more and able to afrord less. - Lack of emphasis on positive housing Summit Hill Association trends: well built hosuing with historidarchitec[ural significance or interest that are increasingly in demand: moderate income househoids willing to pruchase and rehab existing homes. Plan lacks pertinent info on loss of .. LISC housing units, vacancy rates at various levels of affordability, economic trends etc. MEETING NEW MARKET DEMAND fn area of new production, plan should H-M Coalition/H-MARC emphasize the improtance of buiiding capaciry of residents to understand devetopment options and figure out where opportunities for new construction exist. The City's plan emphasizes bigger developers rather than a neighborhood-driven process. Reinstitue PED Director of Housing Jim Gabler Focus on larger opportunities (Koch )im Gabler Mobil) Dedicate STAR 5 to housing )im Gabler development Recommend needed Tax-Increment }im Gabler Financing and Tax-Exempt Nousing Bond �aw changes. Mandate Income Mix Jim Gabier Inventory all financial resources [hat Jim Gabter could help; put a priorih� on them for hoUSing. Establish Non-Project Administrative Jim Gabler Inducement Fund � � � 99-50 �� OTHER Advisory body should be convened to heip the City Council craft the final housing pian. !-lousing needs to become a high priority in PED. Senio� level leadership and adequate staff resources need to be in piace � �.��sc Local (nitiatives Support Corporation December 9, 1998 The St. Paul Pianning Commission c(� Ms. Nancy Homans City of St. Paul Department of Planning and Economic Deveiopment � 500 City Hall Annex, 25 West Fourth Street St. Paul, MN 55102 Dear Nancy: Enclosed please find a copy of my comments on the draft St. Paul Housing Plan. I appreciate the opportunity to provide input on the ptan. Piease call me if you have any questions. Sincerely, `� t�-�-�-_-�. Steve Peacock Senior Program Officer cc: St. Paul City Council Members Twin Cities Office Hamline Park Plaza, 570 Asbury Street, Suite 101, St, Paul, MN 55704 - TeL (657) 649-1109 • Fau: (657) 649-] 7 72 - �J LJ � 99-qo � �� Local initiatives Support Corporation Testimony on the St. Paul Housing Pian December 7, 1998 Good Evening: My name is Steve Peacock. I am a resident of St. Paul and I am here in my capacity as a Senior Program Officer with the Local Initiatives 5upport Corporation (LISC) in St. Paul. LISC is a national nonprofit community development support organization that provides financial and technical assistance to community development corporations (CDCs) working t� revitalize their neignborimoods. LiSC has been operating in St. Paul for ten years. During that time, we have supported numerous housing improvement and development activities undertaken in St. Paui's neighborhoods — from providing low interest construction financing to CDCs that are acquiring and renovating vacant houses and buiiding new homes on vacant lots - to financing, through the syndication of the low income housing tax credits, attractive, affordable rental housi�g - to working with the City and private lenders to encourage purchase with rehabilitation lending activity in some of the City's � most distressed neighborhoods. { thank you for the opportunity to share some thoughts with you on the draft Housing Plan. Let me start by commending PED staff, particularly Nancy Homans, for the good work that has been done on this plan. I know that Nancy has made herself availabie all over the City for forums and discussions of the plan. I have tracked this plan as various drafts have come out and, from my perspective, it has become stronger over time in large part because of the range of community conversations that have occurred. I'd like to first talk briefly about what I see as some of the strengths of this plan. � (1) The plan articulates a clear understanding of the importance of quality, affordable housing to the health of our City and the stability of families. Framing housing, particularly the provision of affordable housing, as key to the vitality of a City as a place to do business and raise a family, is absolutely right. The Vision Statement is right on target when it speaks to the need for there to be housing options and choices for St. Paul residents across a range of income levels. I encourage you to regularly go back to that vision statement during your deliberations on the pfan to make sure that the final product is consistent with this vision. Twin Cities Office Hamline Park Pfaza, 570 Asbury Street, Suite 101, St. Paui, MN 55104 - TeL (651) 649-1709 • Fax: (657) 649-1112 (2) Within the context of the strategy of "Taking Care of What We Have" I was pleased to see support for focused, strategic, neighborhood based � approaches to residential rehabilitation with CDCs and other neighborhood based organizations playing key roles in identifying target areas and implementing appropriate strategies (Sect. 4.4). From LISC's perspective, recognizing the role of neighborhood based pianning and priority setting with respect to maintaining our existing housing is very positive and is essential to making good fiousing investments in neighborhoods. (3) The high priority given to preserving existing federally subsidized housing is very positive (Sect. 6.3). Given the shortage of affordable rental housing that exists in St. Paul, we need to view these developments as community assets that we simply cannot afford to lose. (4) The plan recognizes the regional context in which St. Paul's housing policies and plans need to be made (Sect. 6.2, 6.2). St. Paul needs to play a leadership role with regard to regional housing issues, particularly working on a regional replacement housing policy. That being said, however, the objective of increasing affordable housing in the suburbs should not be used to undercut or weaken St. Paul's own commitment to preserve or develop housing that is affordable to lower income residents. There are a number of areas where I feel the plan should be strengthened. � (1) Throughout the plan, specific, measurable goafs should be established to �� address housing needs at various affordability levels (from 30% of area median to 80%). These goals should reflect the demographic and economic realities of St. Paul residents — that is, who will be living in this community and what incomes they will have. I urge you to be clear on what standards of atfordability you use whert setting these goals. Housing affordable at 80% of the metropolitan area median income is out of reach to many St. Paul residents. With greater specifieity around goals comes increased accountabitity for implementation. In addition, specific goals enhance the ability of the City, working with its partners like USC, to ieverage resources for affordable housing development. It is hard for LISC to help coalesce support from the corporate and phifanthropic sectors around a goa( of stimu(ating a"modest increase" of new affordable housing units. It is easier if there is a specific, measurab(e goal that reflects a high tevel of commitment on the part of the City to providing affordable housing for St. Paul residents. � 9�-�0 � (2) When setting those goals, there is some pertinent information that needs be assessed. In particular, infiormation on the loss of housing units (the . numbers, affordability levels, and types) and economic trends such as wage levels and job growth should be considered when setting housing production goais to ensure that the plan reflects the needs of St. Paul residents. (3i The plan should address housing demolition. A clear housing policy related � to demofition is needed to ensure that vafue is placed on preserving the existing housing stock. This is particularly important given the serious housing shortage that currently exists. (4) The recognition in the plan of the importance of mixed income housing development is positive. There are many communities across the country where mixed income strategies have been done successfu(ly. However, the 20% at 80% mix is somewhat arbitrary and should be explored further to make sure it works for the St. Paul environment. Let me close where I began my comments. You have in front of you a plan with the stated vision of "meeting the needs of both those who have considerable economic choice and those who have fewer choices." This is the right vision for St. Paul. But without setting more specific goals, particularly related to preserving � and devefoping housing that is affordable to lower income residents, I'm concerned that this vision will not be realized. Thank you again for this opportunity. � _ � G Fro�;to Comm Deve lopuient Co ozation � -�—. _ _ .�_.. — sas ntarm �o�e sueet re�eano�e �ss�129e-ssao St. Pau4 n�W 551p3 MEMORANDi1M To: St Paul Planniog Coaunission St_ Panl City Council From bawn Goldschmitz, Executive Dsector Date: December i l, 1998 Re: GFCDC Commerns on the Draft St. Paul $ovsing Plan As a piovider of affordable hoe�smg and home $nproveaieet resources m the Thomras Dale District � neighbozhoods, the Greater Frogtowa Co�y Developmeat Corporation is acutelY iaterested in the discussions revolving azound the Drafc St. Pcul Housi�rg Plan. We see this piam►ing process as a tiarely opportunity for the citizens of St. Paut to take stock of the city's current housing environn�ent, the social pressures affectinS hous,rog (svch as welfate reform and population growth) wtuch are coming to a boil, and the poteniial b+ousing demands � of the coming decade. We have the aPportunity, wbich we should not squander, to create a blueprurt for our fitttu�e — one w�ich will realistically laq out the methods ihrou�lt which St. Paul can provide housing optiwns for a wide range of markets. We co� the thou�htful work of the Planning Conomission on tHis politicaliy "hoY' issue_ We apptaud the tireless efforts of Nancy Homans as the Planaiog Comm;��;�,�'S ambassador to the nrighborhoods, and as the author of the document. She has attended countless �nama►ity meetimgs, most of them during the evenmg haurs, ard has served tbe City welL We have some connneats on the plan which we hope the Plnnning Commission and the City Cow�cil will find conisttnctive. These commeats are s�arizcd in the following eigtrt recommeadations: �. I) 3'hroughout the plan, specific aieasurabie goats should be added to address h4using needs at various affordabiliry levels. The plan should state specific goals for Imus'v�g ava�7ab�ty ro families aad 'mdividuals with incomes at 30 peiceat, 50 percem, and 80 percetrt of madiau income. 3'he �oals shoutd rtflect the malities of St. Paul; ie. Ss. Paui's median income <ro,ighYy ss7,000) is oonsiaerabry Iess than che brcuopolicaa scaaaara Inoomc (s6o,1 so). rhe resourees required to produce these units should be identified. Without this kvel o£speciScitY there is a lack of accowntab�ty for delivering on the suategy. With it, the citizens of St. Pau7. can 1io1d firtvre administrations accountable for imp�memation of the plaa This levet of specificitY wi�l atso s�n�gt�ii-• t° secure pubhc and pnvate i�ousmg � resources. � � DEC 1 1 1998 PCANNING & ECONOMIr ry�vE�OPMENT 59 2) The plaa should ackxwwledge the zegiaasl nature of St. Pau!'s housing sit�xa.tioq but not m a way that undercuts the needs of St. Paul's residents. In other words, looking to the suburban � � commimities to build hovsing thai is affordable to poor St. Paul residents is a weak strategy, a� one which St. Paul kias no authoriiy to en£o�ce. It is unlikely thax the suburbaa cou�unities will build housing at the scale and affordability levels necessary to house St Paul's poor residents; it is also unreatistic to be]ieve that a majority of these famiaies well want to kav� the city for subvrban life. 3) The plan should state a clear policy on demolition of housmg; one which places value on preservation of erdsting ho»� while the city suffers from a serious kousin� shortage. �� Methods shouid be explored zo lighten the code enforcement requir�a�ents foz raoccupation of vacaut ho end very 9ex9ble sources of fimding should be made available for conection of code violarions, at least tmbl such time as the vacancy tates Ioosea up. 4) The suggested mix of affordabHity leveLs in n�ew devebpment should be explored. The plan suggests that developments m neishborhoods with little affoxdable housin� and strong bousing markets should be encouraged to provide 20 percent of thea imits to lower income households w}ri1e those in weaker markets shou]d be asked to provide a sma)ler share. The tweaiy percent figure is arbitrary aad untested in the St. Pau! mazket; m some cases this mix of housing could create class conflict or cost more in public subsidy dollazs for both the lower income and the higher income umts. Community expertise shouTd be sought in mak"vag decisioas about tbe appropriate mix of i�oas�s. S) The piaa lacks certain pertineirt information. How many units of housing haae we lost in �`� the past decade, and at what affordabitity leveLs? Are the units lost through public heatth enforcement being courned? �Tow mazry have been replaced (1: l) tluough new construction? Are rehabbed emits bemg wimted as �w or as preservation? What is the net loss of affozdable uniu? And how are economic trends (such as job creation and wage levels) impacUng to ability of residents to access housing? A thorough assessment of these treads will enlighten t6e discussion and produce a aare mfom�ed plan. , � TLe plan should state a clear, measurable goai to step up the produclion ofaffordable housing to meet tBe existing and growing needs of the communiry. Ia iu cuaeat form, the plaa is �a-committal on this issue, stating that the city should "stimolate construction of a modest munber of new affordable units each year." A possible benclm�ark for progness ioward this goal is a change m the vacancy rate. 'n The City Counc� should name an advisory body, n�presentative of a broad base of irrterests but with a sigadficant level of housing expertise, ta help craft the dra8 plan mto a more spacific plau for imglemcauation. 8) Iiousing must become a high priority within �ED. Seirior leve! 7eadership and adequate staff resowces should be x�aa�d to imglament ttbe plan — kvels of expectstions should be stressed. Without this level of commitment St. Paul will faii to meei the housing demands of its growung and chanP�'g PoPulation a�d social st�esses wiII mushroom. r ��EIVEQ, oEC � t 19g8 p�pN}�� g �rp*t(?MiC �EVELOPMENT, � � ��sc Local �nitiatives Support Corporation December 9, 1998 The-St. Paui Planning Commission c/o Ms. Nancy Homans City of St. Paul , Department of Planning and Economic Development 1500 City Hall Annex, 25 West Fourth Street St. Paul, MN 55902 - Dear Nancy: Enclosed please find a copy of my comments on the draft St. Paul Housing Plan. I appreciate the opportunity to provide input on the plan. Please call me if you have any questions. Sincereiy, `�l�� Steve Peacock Senior Program Officer cc: St. Paul City Council Members Twin Cities Otfice Hamline Park Plaza, 570 Asbury Street, Suite 7O1, St-Paul, MN 55704 - -Tel:(657}644-i709•fax:{65i}649-tt12- � � � 99-�0 � �� Local Initiatives Support Corporation Testimony on the St. Paul Housing Plan December 7, 1998 Good Evening: My name is Steve Peacock. I am a resident of St. Pau� and I am here in my capacity as a Senior Program Officer with the Local Initiatives Support Corporation (LISC) in St. Paul. LISC is a national nonprofit community development support organization that provides financial and technical assistance to community development corporations (CDCs) working to revitalize their neighborhoods. LiSC has been operating in St. Paul for ten years. During that time, we have supported numerous housing improvement and development activities undertaken in St. Paul's neighborhoods — from providing low interest construction financing to CDCs that are acquiring and renovating vacant houses and building new homes on vacant lots - to financing, through the syndication of the low income housing tax credits, attractive, affordab4e rental housing - to working with the City and private lenders to encourage purchase with rehabilitation lending activity in some of the City's most distressed neigfiborhoods. • I thank you for the opportunity to share some thoughts with you on the draft Housing Plan. Let me start by commending PED staff, particularly Nancy Homans, for the good work that has been done on this plan. 1 know that Nancy has made herself available all over the City for forums and discussions of the plan. I have tracked this plan as various drafts have come out and, from my perspective, it has become stronger over time in large part because of the range of community conversations that have occurred. I'd like to first talk briefly about what I see as some of the strengths of this plan. � (1) The plan articulates a ciear understanding of the importance of quality, affordab4e housing to the health of our City and the stabifity of families. Framing housing, particularly the provision of affordable housing, as key to the vitality of a City as a piace to do business and raise a family, is absolutely right. The Vision Statement is right on target when it speaks to the need for there to be housing options and choices for St. Paui residents across a range of income levels. I encourage you to regularly go back to that vision statement during your deliberations on the plan to make sure that the finaf product is consistent with this vision. Twin Cities Office Hamline Park Plaza, 570 Asbury Street, Suite 707, St. Paul, MN 55104 _ Tel: (6511 649-1109 • fax: t651) 649-1112 (2) Within the context of the strategy of "Taking Care of What We Have" I was � pleased to see support for focused, strategic, neighborhood based approaches to residential rehabilitation with CDCs and other neighborhood based organizations playing key roles in identifying target areas and implementing appropriate strategies fSect. 4.4?. From lISC's perspective, recognizing the role of neighborhood based planning and priority setting with respect to maintaining our existing housing is very positive and is essential to making good housing investments in neighborhoods. (3) The high priority given to preserving existing federally subsidized housing is very positive (Sect. 6.3). Given the shortage of affordable rental housing that exists in St. Paul, we need to view these developments as community assets that we simply cannot afford to lose. (4) The plan recognizes the regional context in which St. Paul's housing policies and plans need to be made (Sect. 6.2, 6.2). St. Paul needs to play a leadership role with regard to regional housing issues, particularly working on a regional replacement housing policy. That being said, however, the objective of increasing affordable housing in the suburbs should not be used to undercut or weaken St. Paul's own commitment to preserve or develop housing that is affordable to lower income residents. There are a number of areas where I feel the plan should be strengthened. � (1) Throughout the plan, specific, measurable goals should be established to ° address housing needs at various affordability levels (from 30% of area median to 80%). These goals should reflect the demograpfiic and economic realities of St. Paut residents — that is, who will be living in this community and what incomes they will have. I urge you to be clear on what standards of affordability you use when setting these goals. Nousing atfordable at 80% of the metropolitan area median income is out of reach to many St. Paul residents. With greater specificity around goals comes increased accountability for implementation. In addition, specific goals enhance the ability of the City, working with its partners fike LISC, to leverage resources for affordable housing development. It is hard for LISC to help coalesce support from the corporate and philanthropic sectors around a goal of stimulating a"modest increase" of new affordable housing units. It is easier if there is a specific, measurable goal that reflects a high tevel of commitment on the part of the City to providing af#ordable housing for St. Paul residents. � 9s-�o � (2) When setting those goals, there is some pertinent information that needs be assessed. In particular, information on the loss of housing units (the � numbers, affordability leveis, and types) and economic trends such as wage levels and job growth should be considered when setting housing production goals to ensure that the plan reflects the needs of St. Paul residents. (3) The plan should address housing demolition. A clear housing policy related �, to demolition is needed to ensure that value is placed on preserving the existing housing stock. This is particulariy important given the serious housing shortage that currently exists. (4) The recognition in the plan of the importance of mixed income housing \, development is positive. There are many communities across the country where mixed income strategies have been done successfully. However, the 20% at 80% mix is somewhat arbitrary and should be explored further to make sure it works for the St. Paul environment. Let me close where 1 began my comments. You have in front of you a pfan with the stated vision of "meeting the needs of both those who have considerable economic choice and those who have fewer choices." This is the right vision for St. Paul. But without setting more specific goals, particularly related to preserving � and developing housing that is affordabie to lower income residents, I'm concerned that this vision will not be realized. Thank you again tor this opportunity. � FROM : PHOn� rio : ��. ii i99e ii:3�Ari Fi FAX COVER SHEET Great� Frog[own Commumity Dava/opmenf Corporation 684 North Dale SYreet SL Pauf, MN 5510.? Phona (65t)298-898Q Fax (651) 224-7348 �uryMt D ReWYASA�' ❑ P(sueeommmt � Plasaereview � Foryowinfomwfion TotBfPeges. bcWdm9 cover � COMMEMS ............................................................ ............................................................................................................................................................... .....,.......� ................................................................_..................................._.............----`----._....-------_.._..__ _..... _---__ . ____ _ __. ............... ........ ......_................................................. . . ..... ..... ,........ ..........._.........................._......................----.................................................................. ................................... ... . . . . . . ....... ....... ....... .................. ................................................... . ........... .............................................._.._......_.........._.... . .. ... ........... ..................................__.................................._..................... ........ ......................__............__.............................................................. .. ......... .................. ..... ............ .................................................................................... . ............_`..............................._........_...........................................,., _ ......................................................._........ .,,..........................................._.........._..................................... .... . . ... . ...... . ................................... ........ ..................................._.._.._......_._........_.............._......................... .. . . . . .. . . ...................................................................................... .._........_ .......................... ... . . . . . . .. ... . ............. ..................................._........... ...........,..........,............_.......__........................................ ....,, � ................. ...............................................,.......................... ............., , . ...... ............................................................................................... ..::-::::� � :........:....:: -:�:::::::::.::::��EG��UE� :: -:::::�::::::� :::::::::::::::.:::-::_::::::: �::::::::::::::::-: ::: :-� �:�::::::::� �::::::::::-:_::::: :::�: .... ........................... .................... . .......................... .......................... .............................. ......................... ........... ....... ......... _..........................._........ ..........._......... ..... .... .................................... ....................,.. ......._............_......_......._ ....................o�c... �....�...�s�:�::_:::::��::.::�:_:.:..::...... .............................. ..._. .... ..................................... ............. .......... ................................................................................................................................................................................................. ..._ ............ ........................... .. .. .. .... ..... ........ ... .... ..... . . ............ ...... .... vi nNNING & ECONOMIC D�. ................................................................... � � � FROM : PHONE Np. : Dec. 11 1998 11:37AM P2 � ' �f9-90 � _� Gr Frogto Conun Deve Iopment Co zation t __ _�___ sav rt«n, �o�a sueet re�ano�e �ss�} Zse-s9eo St PoN. lvw 55103 MEMORANDITM To: St Paul Plannmg Coamnission St. Paui Ciry CouncH Prozn: Dawn Goldschnutz, Executive Dssector Date: December 11, I998 Re: GFCDC Comments on the DraR St. Paul I�ousing P1an As a provider of affordable housing and home impmvement resources m ihe Thomas Dale District 7 neighborhoods, the Greater Frogtowa Community Developme� Corporation is acutely imferested im the discussions revolving around the Drafr St. Paul Houri�rg Plan. We see this planning process as a timely oppoztunity for the citizens of St. Paul to take stock of the city's currern housing environment, the social pressures affecting honsing (such as welfare � reform and populaCion growth) which are commg to a boil, and the poteaiial housing dewaads of the coming decade. We bave the opportunity, wlrich we should not squaader, to create a blueprim for our future — one which will real'utically lay out the methods through which St. Pau! can provide housing options for a wide range of markets. We co�end the thoughtful work of the Planning Comusission on this politically "hoY' issue. We applaud the tirekss efforts of Nancy Homans as the Planning Commusion's ambassador to the neighborhoods, and as the author of the docuiaent. She has attended coundass coaurnmity mee2ings, most of them duting the evening hours, and has served the City well. We have some comments on the plan which we hope the Planning Commissiom sad the City Council will5nd aonstruCCive. The9e Comments are c„mma'i��d i'n ihe following eight recommendations: � i) Throughout the plan, specific mea�surable goaLs should be added to address honsing needs at various affozdability levels. The plan shouid state specific goais for housing availability to families and 'sadividuals with incomes at 30 percent, 50 perceat, and 80 percent of inedian income. The goals should reflect thc x+ealities of St. Paui; ie. St. Paul's median income (rougtily $37,000) is eonsidesably less than the Metropolitaa Staadard Tnconnc (560,180). The zesources reQuired to pmduce these units should be identified. Without tLis level of specificity, these is a iack of accountability for delivering on t}re suategy. With it, tiie citizens of St. Paul can hold futtue administrations accountable for im�pkmemation o£ the plan. 7'his tevel of � specificity witl atso s� �tF'i�eii �abil�iy to secure public and piivate ho �v resources. r �..v. DEC 1 1 1998 PCANNING & ECONOMIC pNELOPMENT FR0t�1 : PHONE N0. : Dec. 11 1998 11:38AM P3 2) The P1an shQUld acknowledge the zegional natute of St. PauPs housin� sitaation, but not m � a way that undercuts the needs of St Paui's residents. Tn other wozds, looldng to the suburban communities to build hovsing ihat is a&ordabk to poor St. Pau2 raidents is a weak strategy, and o�e which St. Paul has no authority to enforce. It is unlikely thai the suburban cox�n►ties wilI buiid housu� at the scale and a$ordability kvels necessary to house St. Paul's poor residents; it is atso unrealistic to believe that a majoziry of these families will want to kave the city for suburban life. 3) The ptan shouid state a cleaz po&cy on deraolition of housmg; one which places value on preservation of existiag hoiismg while the city suffers from a serious hovsing shortage. �• Methods should be explored to lig�uea the code enforcezaern sequiremems for reoccupation of vacaat housing and very 9exSble sources of fimding shouid be made availabie for coaection of code violatioas, at kast � such tinxe as the vacancy cates loosen up- 4) The suggested m»c of affordab�ty levels m new development should be explored The plan suggests thai developments m neighborhoods with ]ittle affocdable hovsing aad mong bousiag mazkets should be encouraged to provide 20 porcent of theu units to lower in,come households while those � weaker markets should be asked to provide a smatter share. The ��Y P�t fib'� is arbitcary and uniested 'm the St Paul mazket; m some cases this mix of fiousing could create class conflict or cost more ion public subsidy dollazs for both the lower income and the tagfier income umxs. Commuaity expettise shoukl be sought in making dec'sions about the appropriaYe mix of inco�s. 5) The plan lacks certain peitiuent infoimation How maay units of housing have we lost in � the past decade, and at what a$ordability kvels? Are the unats lost through pubfic heahh enforcement being wiurted? How n�ry have been replaced (1: I) ttnrough new conswctioa? Arc rehabbed units being coimted as new or as preservation? Wliat is the net loss of affordable imits7 Arsd how az�e ecorwmic trends (such as job creation aad wage kvels) impacting to ability of residems to access housing? A thorough assessment of thesc treads will enlightea the discussion and produce a more mformed p1an. 6} Ihe plan should state a clear, measurable goal to step up the production of affordable ho"�+*�g to meei tbe eJastiag and growing aeeds of the commuaity. In iu curreat foim, tbe plan is non-committal on this issue, statmg tl�at the city should "stimulate construction of a modest munber of new affordable imits each year." A possi�le beaclm�ark for progE�ess toward this goal is a change in the vacaacy raie. 'n The City Couac� s�uld nsme an advisorY bodY npresentative of a broad base of interescs but with a signiScant Ievel o£housing expertise, to help cta$ the dcaft plan mto a more specific pl� for anplementaiion. 8) Honsing must become a high priority within �ED. Seaior level ieadenhip mad adequate sta$msources shov}d be rlaa�d to implement the p�an —]evels of expectations should be stressed. Without this level of commitmcnt St. Paul w�l fail to meet the housing demands of its growung and chanSmg PoPulation and social sttesses wiII mustaoom. R�CEIVED; DEC t t �$ �J � r 1 u PlAFINIfl6 & ESO"lOM1C 9EVELOPMENT �- 9U � METROPOLITAN INTERFAITH COUNCIL ON AFFORDABLE HOUSING MICAH L�` 'Do Justice, love me�cy, walk humbly wfth your God.' December 8, 1998 The St. Paul Planning Commission Attn: Housing Plan Task Force 25 W. Fourth St., Suite 1300 St. Paui, MN 55102 Dear Members of the Housing Plan Task Force: Micah b:8 Thank you for allowing MICAH the opportunity to respond to the 1998 St. Paul Housiag Plan draft, both through our pubiic testimony at the December 7, 1998 hearing and now in writing. The Metropolitan Interfaith Council on Affordahle Housing (MICAH) is an inter-faith organization that works to promote public policies that ensure decent, safe and affordable housing for everyone in the Twin Cities region. Our membership consists of over one hundred congregations of all faiths from across the metropolitan area. In addicion to its public polic}� work. MICAH has advocated for the development of new affordable housing in several suburban communities, including Maple Grove, ?vlinnetonka, and New HoFe. In general, MICAH believes fr,at the St. Pau1 Housing Plan is well concentualized and we appreciate the hard work incolved in developing this dra8. ��e particularly appreciate the � recognition of housing as critical regional issue and the plaa's focus on housin� pre;ervat:on. However, we do have some specific observations and concems about the plan as it stands. While we applaud the plan's emphasis on the preservation of cunent housing stock, we are troubled by the fact that the plan fails to delineation what resources the city will direct towards housing rehabilitation and maintenance. We would like to see a specific proactive plan to preserve the city's existing housing stock, which includes a concrete commitment of city resources. � i) MICAH would like to see the plan outline a policy on the demolition of housin� units which includes a moratorium on the demolition of structural3y sound affordable housing and a . policy which ei�sures that affordablc hcusina units are replaced before demolition, to ensure that tenants are not unnecessarily dispiaced. This is a necessary step towards closing the gap between the demand and supply of affordable housing in St. Paul. 2) Although the plan states that St. Pau; will encouza�e the development oF some 300-400 housing units per year, half of which will be in city-promoted azeas of development along the river and near doivntown, the draf; does not offer sufficient numeric goals as to how many o£ these new units will be affordable to low-income residents of the city. With the gap between low-income household� and affordable units �rowing, it is imyerative that the city target an adequate amount of its new� housing development to people with very low incomes. RECEIVED � . OEC i 4 1998 Minnesota Church Center, Suite 310 122 West Frnnklin Avenue Minneapolis, MN 55404 ��ttac & �coxoMic uEVp.oeM�¢ Phone: (612) 877-5980 Fax: (612) 813-9501 www.micah.org 3) � According to the current plan, a portion of new housing units will be affordable to households with incomes below 80% of the regional median ($48,600 per yeaz). Unfortunately, there aze thousands of households in Saint Paul whose needs will be entirely unmet by this goal. The city must include specific goals to meet the housing needs of those households who earn at and below 50% and 30% of the regionai median income. 4) The plan draft "chailenges" the entire metso community to ensure low-income housing and � acknowledges ihe increasing centralization of affordable housing in the central cities. The plan states that Saint Paul wIll support a deconcentration and region-wide sharing of affordable units. Although the affordable housing crisis is a regional issue, MICAH feels that the city cannot exempt itself from its responsibility to provide affordable housing for its current residents. The pIan currentiy offers no commitment to the construction of affordable iini within the city limits. 5) As written, the plan is ambiguous about the ciry's acivat commitment to the construction, � rehabilitation, and preservafion of affordable housing. This ambiguity should be clarified with specific numeric goals reflecting the demographic and economic make-up of the city. The plan should also outline specific strategies for construction, rehabilitation, and _ preservation. In order to ensure that the city develops a solid commitment to housing, we recommend that a task force be created to provide a mechanism for commvnity iaput in the final development of the plan. We ask that this task force include substanrial representation from low income people, housing advocates, and mearbers of the faith community. There are three fundamental moral beliefs joinfly affumed by Cluistian, Jewish & Islamic faith communities in Minnesota: • Every person has God-given dignity and worth. • Human dignity is protected and realized in community. • Poor and vulnerable members of society deserve economic and social justice. Because all people have dignity and worth, no one, regazdless of income, race, or where they live in ihe region, should be deprived of adequate opportunity to obtain decent shelter, work, or meet o:her basic needs. I: is our rasponsibility to buld an3 shape the r�gion and its many com.munities to ensure that all who live here have such opportunity. Thank you for your consideration of our comments. We will look forwazd to your response. Sincerel r Joy Sorensen Navarre Executive Director RECEIVED DEC 14 1998 � � � el�Nruac & EcoNOMic n�vE:nebtENt �19-9L� � Rondo Community Land Trust TO: St. Paul City Council and St. Paul Planning Commission Members FROM: Zula Young, on behalf of The Rondo Community Land Trust Board of Directors RE: Draft Affordable Housing Policy Paper. Written comments for St. Paul City CounciUPlanning Commission public hearing on Monday, December 7` DATE: December_7, 1998 . . Thank you for your time this eveninD. My name is Zula Yaung and I am the Vice Presicient for the Rondo Community Land Trust Board of Directors. I am speaking on behalf of the Board this evening. The Rondo CLT provides affordable housing in the Summit-University and Lexington-Hamline neighborhoods here in St. Paul. The draft Housin� Policy Plan before you is a very good start. There are however some areas that should be expanded and � stren�thened. St. Paul has the opportunity with this report to create the framework to provide safe, decent and affordable housina for all of the residents of St. Paul, now and future residents. It is imperative that the City Council and PlanninQ Council first insure that all residents live in safe and affordable housing, currently they do not. Every person deserves to live in the same decent, safe housing that you and I live in. The Rondo CLT has developed an affordable housing paper that will be submitted to the City Council and Plannina Commission. Tonight, I wi11 address the recommended changes to the draft plan. Page 1. The Vision. A paragraph needs too added that talk about the role of housinQ in family stability. � � Page 2, Draft Housing Policy Remarks for December 7� Public Hearing The Introduction. One other theme within the plan must be the: � _ 1 Z, Re�lacement before demolition and disnlacement. Page 2. St. Paul part of regional system. Add the following: St Paul o�cials need to �ush for a tnte re�ional policv that requires compliance throuahout the region for a fair share of affordable housina throu�hout the region, St. Paul policv makers must work with Minnea�olis officials in forcinQ the Metropolitan Council to in force �olicies that ensure atl suburban municipalities complete low-income housin� proiects or repav the funds used to extend raads. sewers and water lines into the corn fields. Page 5. Key Trends Add the followin�: � d One to one replacement of low-income. No unit demolished until its r�lacement is complete. Page 6. Meet I\Tew Market Demand. Insert low-income housin� in the first section so it would read: Encoura ihe production of 300-400 bf low income housinQ units a vear that can be sold or rented to smaller households- either new vounQ households or older emptv nest and senior citizen households. Page 7. Add to Section c. Provide gap fmancing when necessary to_ iii. Ensure that 300-400 units annuallv are affordable to households ��ith incomes below 80% of re�ional median. � %q-90 � j \\r (o� a11 � e A �; � < - � , Healt� Care �or tlie Homeless ancl HouseCal�s �\ 4 �aer the S� December 10, 1998 -}�� lain �Jtreet �aint �au�, �iiiinesota 7�1�2 (6] 2) 290-651-� (612) 290-681 S (fax) RECEIVED DEC i 1 tigg$ The Saint Paul Planning Commission Attn: Housing Plan Task Force 25 W. 4th Street, Suite 1300 Saint Paul, Minnesota 55102 Deaz Members of the Planuiug Commission of the City of Saint Paul: r, �� 41.��'�� :�� As current and former residents of the City of Saint Paul and heahh caze professionals serving the home- less population of the City we wish to comment on the proposed Saint Paul Housing Plan. Housing is a health care issue. Unavailable and unaffordable housing aze major reasons our clients aze shelteied and iesheltered in homeless shelters. Unsheltered members of our community suffer from extremes of weather, frostbite, hypothermia and dehydration. Children in substandard housing aze more at risk of lead poisoning and asthma which is triggered by rodent droppings. The mental and emotional health o£ men, women and children are affected by the lack of affordable housing. Stable communities �\� address the need for stable housing at all economic levels. How does the plan addrnss the need forspecial vulneiable populatiors in need of specialized housing? The tmmeless clieAts we serve aze in immiediate need of decent, affordable housug. They are not abshact , figiues and their incomes fall way below even the city's median income let alone the �egional median � incame. We encourage the Plazmu�g Conmussion ta set clear, definable objecNves for the City of St, Paul to connnit to in regaed to building more affoidable umis which ieflect the lower median income of the city's population. We welcome the City of Saint PauYs efforts to affect regional housing policies sup- porting more low income housing for which our client population has a critical need. We aze very much aware of the NIMBY attitude in neighborhoods where affordable housing is under represented. How will the city add�ess these attitudes? We ask that you engage the creative energies of those worldng in the low-cost housing, health and social service arenas to assist you in planning to meet the growing need for low-cost housing in the City of Saint Paul. Sincerely, � �c��y�!CG��r�w-- R/L�G� iu,�� resided in city for IS years Mady Jean erin / Karen Bollmann �ce Manager Clinic Assistant UoIunteer and Donations Coordinator 2190 Mailand Road � �su�.�. Ma�-�,e�. Susan Mather Public Health Nurse 958 Aurora Avenue U'Y^C� Stacy Zitnmer Social Services Coordinator resided in city for 3ll2 years _ a program of �cst sic�e � ommuniErJ Hea�t�i il�ernices METROPOLITAN INTERFAITH COUNCIL ON AFFORDABLE HOUSING 'Do justice, love mercy, walk humbly with your God." Micah 6:8 �� December 8, 1998 The St. Paul Planning Commission Attn: Housing Plan Task Force 25 W. Fourth St., Suite 1300 St. Paul, MN 55102 Dear Members of the Housing Plan Task Force: Tkank you for allowing MICAH the opportunity to respoad to the 1998 St. Paul Housing Plan draft, both through our public testimony at the December 7, 1498 hearing and now in writing. The Metropolitan Inierfaith Com.ci; on Affordable Housing (MIC1`.H) is an inter-faith organizaiion tl,at works to promote public policies that er,sure dzcent, safe and afiordable housina for everyone in the Twin Cities region. Our membership consists of over one hundred congregations of all faiths from across the metropolitan area. In addicion to its public polic}� work. MICAH has advocated for the deveIopment of new affordabie housing in severzl suburban comur.uiities, including Maple Grove, �vIinnetonka, and New Hope. In general, MICAH believes ti-.at the St. Paul Housing Plan is well conceptualized and we appreciate the hard work incolved. in developing this drafr. We particulazly appreeiate the receg�vtion of housing as criticaJ regional issue and the plan's focus on housing preservation. However, we do have some specific observations and concems about the plan as it stands. While we applaud the plan's emphasis on the preservation of current housing stock, we aze troubled by the fact that the plan fails to delineation what resources the ciTy will direct towazds housing rehabilitation and maintenance. We would like to see a specific proacrive plan to preserve the city's existing housing stock, which includes a concrete commihnent of city resources. � 1) MICAH would like to see the plan outline a policy on the demolition of housing units which includes a moratorium on the demolition of structurally sound affordable housing and a .zplacemeai �olicy whicii ci,�ures sha? altardabie hcusiaa unirs are replaced befo: e demolition, to ensure that tenants are not unnecessarily displaced. This is a necessary step towazds closing the gap between the demand and supply of affordable housing ut St. Paut. 2) Aithough the plan states that St. Paul wilI encourage the devetopment of some 300-4d0 � housing units per yeaz, half of which will be in city-promoted azeas of development along the river and near downtown, the draf: does not offer su�cient ntuneric goals as to how many of these new units will be affordable to low-income residents of the city. With the gap between low-income households and affordaole units growing, it is imperative that the city target an adequate amounY of its neu� housing development to people with very low incomes. RECEIVED DEC 1 4 1998 Minnesota Church Center, Suite 310 Phone: (612) 877-8980 722 West Franklin Avenue Fae: 672 813-4501 �INING & ECONOMIC DEVELOPMENS ( ) Minneapolis, MN 55404 - _ www.mfcah.org s � � 9q- �c� , � 3) \ According to the current plan, a portion of new housing units will be affordable to households with incomes below 80% of the regional median (�48,600 per year). Unfortunately, there are thousands of households in Saint Paul whose needs will be entirely unmet by this goal. The city must include specific goals to meet the housing needs of those households who eam at and below 50% and 30% of the regional median income. � 4) The plan draft "challenges" the entire metro community to ensure low-income housing and aclrnowledges the increasing centralization of affordable housing in the central cities. The plan states that Saint Paul will support a deconcentration and region-wide sharing of affordable units. Although the affordable housing crisis is a regional issue, MICAH feels that the city cannot exempt itself from its responsibility to provide affordable housing for its current residents. The pl�n curently offers no commitment to the construction of afferdable units within the city limits. 5) As written, the plan is ambiguous about the city's actual commihnent to the construction, � rehabilitation, and preservation of affordable housing. This ambiguity should be clarified with specific numeric goals reflecting the demographic and economic make-up of the city. The plan should also outline specific strategies for construction, rehabilitation, and preservation. In order to ensure that the city develops a solid commihnent to housing, we recommend that a task force be created to provide a mechanism for community input in the fmal development of the pian. We ask that this task force include substantial representation from low income people, housing advocates, and members of the faith community. There are three fundamental moral beliefs jointly affirmed by Christian, Jewish & Islamic faith communities in Minnesota: • Every person has God-given dignity and worth. • Human dignity is protected and realized in community. • Poor and wlnerable members of society deserve economic and social justice. Because all people have dignity and worth, no one, regazdless of income, race, or where they live in the region, should be deprived of adequate opportunity to obtain decent shelter, work, or meet ott:er basic r.eeds. It is our:espcns:bilitp te bUi:d an� shape uhe :egien and its mar.y com.r.zunities to ensure that all who live here have such opportunity. Thank you for your considerarion of our comments. We will look forwazd to your response. Si cerel � Joy Sorensen Navarre Executive Director RECEiVED DEC 1 4 1998 Bl'Al'1NING & ECONOMIC DEVELOEME�LL Rondo Community Land Trust TO: St, Paul City Council and St. Paul Planning Commission Members FROM: Zula Young, on behalf of The Rondo Community Land Trust Board of Directors ItE: Drafi Affordable Housing Policy Paper. Written comments for St. Paul City CouncillPlanning Commission public hearing on Monday, December 7` DATE: December 7, 2998 Thank you for your time this evening. My name is Zula Young and I am the Vice Presicient for the Rondo Community Land Trust Board of Directars. I am speaking on behalf of the Board this evening. The Rondo CLT provides affordable housing in the Summit-University and Lexington-Hamline neighborhoods here in St. Pau1. � The draft Housing Policy Plan before you is a very �ood start. There are however some areas that should be expanded and strengthened. St. Paul has the opportunity with this report to create � the framework to provide safe decent and affordable housing for all of the residents of St. Paul, now and future residents. It is imperative that the City Council and Planning Councit first insure that all residents live in safe and affordable housing, currently they do not. Every person deserves to live in the same decent, safe housing that you and I live in. The Rondo CLT has developed an affordable housing paper that will be submitted to the City Council and Planning Commission. Tonight, I will address the recommended changes to the draft plan. Page 1. The Vision. A para�raph needs too added that taIk about the role of housing in family stability. � • •� � Page 2, Draft Housing Policy Remarks for December ��' Public Hearing The Introduction. One other theme within the plan must be the: __ 1�placement before demolition and displacement. Page 2. St. Paul part of regional system. Add the following: St Paul officials need to push for a true re�ional nolicv that requires com�liance throu�hout the region for a fair share of affordable housin� throuehout the re�ion. St. Paul policv makers must work with Minneapolis ofFicials in forcin� the Metropolitan Council to in force policies that ensure all suburban municipalities comnlete low-income housin�..projects or repav the funds used to extend raads. sewers and water lines into the corn fields. Page 5. Key Trends � Add the followin�: d One to one replacement of low-income. No unit demolished until its re�lacement is complete. Page 6. Meet 1�Tew Market Demand. Insert low-income housing in the first section so it would read: Encouraae the production of 300-4Q0 of low income housinQ units a year that can be sold or rented to smaller households- either new voun� households or older emptv nest and senior citizen households. Page 7. Add to Section c. Provide gap financing when necessary to; iii. Ensure that 300-400 units annuallv are affordable to households w°ith incomes below 80% of re�ional median. � Page 3, Draft Housing Policy Remarks for December 7�' Pub]ic Hearing Page 10. Ensure Availabiiity of Affordable Housing. � Change the word chal�enge to demands in number 1.) so it wonld read The Citv demands the re�ion to ensure each metropolitan community�rovides a full ranee of housin� choices in order to meet the needs of households at all income levels. Page 11. Specific measures that the city will support include; Under letter b. it should be changed to read: Successful a�plicants for regional funds shall contract for production of housina units affordable to households with incomes below 50 percent of the re�ional median. L�nder letter d. change the word should to shali. So as to read_, to the extent that incentives axe not successful in encouraain� the production of additional affordable units in suburban communities. � the Ciiv of St. Paul shall support tt�e design of re�ionai requirements and/or metropolitan resources sharin4 mechanisms to simulate production... 2. The City shall work with its public, private and philanthropic partners to identify and secure si�ificant additional resources to enable the preservation and construction of affordable housing, both within the city and throughout ihe region. Page I2. First paragraph, last sentence sltould be changed to read; The need for states and local Qovernments_ then_ is to seek new federal commitments and identifv alternative sources of ftznds-or both. � 9�-9� � Page 4, Draft Housing Policy Remarks for December 7�' Public Hearing And ne� section the word should be changed to must, to read: With its partners, the City must: Page 13. Number 4. Should be changed to read: Stimulate the construction of an adequate number of new affordable housin� units each year. �2rticularlv in neishborhoods where affordable housin� is in limited supplv. In the last sentence, the word should be changed to must. To that end_ the Citymust encourase the development af housin� affordable to households with incomes below 50°/o. 60% and 80% of the reaional median income bv... � Page 14. Change the word should to must in the second part of sectian design to read: In encouraains and desi�inQ each praposed development, the citymust... Page. 15. Section 5. Support a variety of initiati��es that will allow lower income households to move into homeownership. Change the word should to must to read: Toward this end, the must support and strenathen. Under number 6. Pre-purchase counselin� and post purchasinQ mentorinQ to increase the �robabilitY that a first time homebu�r will be successful. Page 16. At the top of the page, To the end, the Ciri must... � Under number 8b. Development of 2�0 units of transitional housinQ and 1250 units of Qermanent sup�ortive housinQ throuQhout the countv. servina sinale adults. families and vouth. Page 5, Draft F3ousing Policy Remarks for December 7`� PubIic Hearing � Preserve and improve existing privately owned rental housing units. The sentence sta.ting that, "too often, condemnation and demolition throu the nuisance abatement process is the onlv available tool and the housina unit is lost", should be changed to read that this type of policv is wrong and that other policies must be developed to ensure that a policy that reIies on demolition of sound housin� units is not a policv the city can or will su�port in the future. In closing, it is imperative that the city of St. Pau1 be good stewards of the funds it receives towards building and rehabbing of affordable housing. Whether the funds are general fund, CDBG, HOME or from the Minnesota Housing Finance Agency, the city should ensure they are invested in developments that are affordable � far at least 20 years and should realIy be 99 years. There are limited local and federal dollazs, they must be used wisely and must benefit the larger community and not individuals. A commitment must be made by the city council, p�anning commission members and the mayor that funds will be committed towards long-term affordable housing that will ensure that every resident of St. Paul will have a safe, decent, clean and affordable place to live. The City Council and Planning Commission should direct PED staffto explore the use of more ion� term affordable housing, including limited equity coops, limited equity condominiums, community land trusts and deed restricted housina. Use of limited dollars wisely will ensure more housing is built and rehabbed. � y9 � Page 6, Draft Housing Policy Remazks for December 7`� Public Hearing The City Council and Planning Commission must commit to building at least 400 units a year of new affordable housing unit per year. The City Council and Planning Commission must commit to a one ' to one replacement policy. The City Council must commit to never converting housing rehab funds towards demolition of affordable housing units. NEVER. The City Council and Planning Commission must create a permanent Affordable Housing Fund, starting with the excess STAR monies. The City Council and Planning Commission should tal�e the lead in � first ensuring that every St. Paul resident has affordable shelter and then second, it should move for a comprehensive regional plan to ensure that no matter where you live in the metropolitan area, there will be affordable long term housing. On behalf of the Rondo CLT, Thank you for your time. � Summit Hill November 16, 1998 tion District 16 Planning Gouncil 860 Saint Ciair Avenue Saint Paul, Minnesota 551� Telephone 651-222-12 Fax 651-222-1558 e-mail summit.hiilC�tstpaui.gov Saint Pau( Pfanning Commission C/O Nancy Homans 13th �toor City Hall Annex 25 West Foucth Street Saint Pau(, Minnesota 55102 Dear Housing Plan 7ask Force: On behalf of the Summit Hiii Associationl Distr'ict 16 Flanning Council (SHA), I am wrifing to submit formai comments on the Saint Paul Nousing Plan Draft for Community Review. The SHA has been following the discussions on the draft plan and members of the SHA have carefully reviewed the documsnt. The SHA Board of Directors also discussed the pian a# its meeting on November 12, 7998 and passed a motion in support of the following commenfs. �`, Overall,_the pian is vague, with very few specifics about flow the city witl accomplish the vision described in #he documenYs opening paragraphs. The lack of specificity makes iYdifficult to commenf either positively or negatively on the proposed strategies, which on their face appear reasonable. The lack of speciticify is concerni»g, particularly when the fopic is so vitally important to the future of the city. There are, however, a few areas that stand out for us as requiring comment. . - . Key Trends � We are troubled by the tack of emphasis on some positive housing trends in this section. For � example, we have found that weli-built houses with historic significance or architectural interest are increasingiy in demand and are a significant city asset. We have aiso discovered thaf people of moderate incomes are purchasing existing homes and investing in their rehabilitation. ` Very (ittle of #he pfan centers on what the ciiy is doing right and takes for_granted areas of the city where housing stock is stable and investments are being made. Failing to see and record these irends may lead the city to fiorget about nurturing and supporting these positive trends .- and they may disappear. - ' 3.1 1t is well tcnown ihat our population is aging and thaf seniors will be a significant part of our population in the eady part of the next century. What is unclear; however, is how the ciry arrived at the conclusion that these peopfe wil! prefer the amenities associated with #ownhouse or other shared.wall housing types. Has"ihere been any market research to indica#e these preferences, or is this inforination anecdotal? We believe that some seniors may preter this style of housing, but others may prefer more traditionai housing styles. We are concemed that the eity may focus solely on developing townhouse siyle housing and neglect creating other varieties of housing that may be attractive to people at all age levels. A mixture of housing styles wi!! help atiraci and keep residents in ihe city. �. � 9�- 90 Saint Paui Planning Commission November 13, 1998 � Page 2 Strategy 1: Take Care of Wfiat We Have 4.1 We agree that the city should support the features that enhance traditionai neighborhood design. We agree that preserving the character of neighborhoods is wfiat wil{ encourage people to want to live in the city. \ What specific strategies will the city employ to preserve a mix of land uses, a sufficient housing density, and quality architecture? Will this come through changes in the zoning code or the development ofi design guidelines? We find this area intriguing, but short on specifics. 4.2 We believe that the city shoutd place an even stronger emphasis on historic preservation. In fact we wouid encourage the rewriting of the paragraph to say that the city, the Neritage ` Preservation Commission and their neighborhood partners shouid sigpificantly increase their efforts to identify and pursue opportunities for both the formal designation of significant structures and neighborhoods and general public education on the importance of conserving the traditional character of each neighborhood. , � This strategy is also short on specifics. How do we encourage the city to live up to this vision? !s it through changes in the zoning code or design guidelines? What commitment from the city is there to prevent 70's style split levels in a bungalow neighborhood? At this time there are no formal mechanisms to provide guidance io developers to confiorm to siyles and historic , characteristics, 4.3 It is unclear who is being targeted in this section. Is the focus on absentee landiords or homeowners? We have some concerns about increasing fines as a means to encourage compliance with the � housing code as fines may take away financiai resources that could be used to fix up a property. This would be particulariy true in cases where repairs are noi being made because a homeowner is low-income. Also, absentee landlords may just pay the fines and ignore the problems. The effort a landiord has to take to deal with the city and attend hearings is what LN;i� E.'I1C0lSi 2�° .�l@ �af:`�:OfG� ,o make Cilu�i'�8. �i^c'�UCiTi^y .IiS Si2� 3V3t�cZu�:^. iC C^viSC�.LiCt inspections will not get the city better compliance. 4.4 While we agree that certain neighborhoods may be in need of more intensive investment, we know ihat loosing infrastructure in any neighborhood is a possibility. Focusing resources only on selected neighborhoods could lead to deterioration throughout the rest of the city. Opportunities for public investment shouid be available across the city, if not at the intensive level required by some neighborhoods. 4.5 We agree that the city shouid play a role in encouraging well managed rental property. � Has the city developed criteria for what a well managed property wouid look like? How would financial incentives for weli managed properties be determined? � �_, Strategy 2: Meet New Market Demand ' 5.1 Once again, we need to ask if the city is Gsniting itself by seek+r+g to deve4op townhouse style housing instead of developing a mixture of housing options. Is there significant market research to confirm that people are looking for this style of housing? Saint Paul Ptanning Commission November 13, 1998 Page 3 5.2 We again agree that good designs that complirrient existing neighborhoods are a good �_- thing. Once again, we find the draft short on specifics to accomplish this goal. 5.5 As we commented upon in the Land Use P�an, we have concerns about streamlining the � zoning process for new types of development. As iT is currently, neighborhoods have uery little opportunity to comment upon proposed devetopments. If you are interested in having developments that fit with ihe character of the neighborhoods, some neighborhood invoivement in the zoning approval process is required. This section proposes amending the zoning code to allow an accessory ("mother-in-law") apartmeni in owner occupied, iarge single famiiy nouses. As we stated in our comments �r� the Land Use Plan, we have concerns that allowing this change in the zoning code wi!! lead the city to repeat development mistakes it made following World War II, where the use of accessory apartments threatened the stability of single family neighborhoods. At this time, there does not appear to be enough information on the allowable characteristics of these apartments for the SHA to support the inclusion of this city-wide zoning change in the comprehensive pian. We do nof befieve thaf a(iowing a zoning change of this nature is � warranted for the estimated 300 units of housing that woufd result. Therefore, the Planning v Commission shoald eliminate the proposal for accessory apartments until there is more specific information about their potential use, characteristics, and impact. Strategy 3: Ensure Availability of Affordable Housing 6.0 The introduction to this section states that relative to most communities in the metropolitan area, Saint Paul has a large supply of weil-managed, low cost housing. Relativelv speaking that might be the case. tiowever, the truth of the matter is that Saint Paul has a woefully limited amount of housing availabie for people who are low-income. This situation is exacerbated by choices to tear down buildings where low-income housing is available and not replace the units. The presenration of low-income housing is. important, but should not be our only focus. The city needs to actively seek funds and develop housing for people with low- incomes especially #amilies. 6, i We agree that the city shouid push to make sure thai surrounding communfties provide a �v full range of housing choices in their communities, but this section seems #o indicate that Saint Pau! has done its part. We believe ihat.the region should fake on a larger share of the burden, that we should lobby io ensure that other communities fiulfili their obligations and work to stop funding that makes it easy for Them to ignore their responsibilities. However, Saint Paul needs to do more than point the finger af other localities: ' �.� 6.2 In addition to iooking af new construction for affordabie housing options, the city could seek incentives for existing landlords.to reduce apattment costs. .- � � _ 6.4 The strategies addressed in this section are good, but not enough. The city needs to address the housing needs of low-income people with more vigor. � �� , Saint Paul Planning Commission November 13, 1998 � Page 4 �• 6.5 While homeownership shouid be part of the equation for providing low cost housing, it may be overrated. Rental housing continues to be most attraciive to people with low-incomes. Aiso, mortgage rates may be low now, but this may not be the case in 2020. it would be difficult to guarantee that this will remain an affordable housing option. � 6.8 We agree that providing incentives to existing landiords is a worthwhile strategy. Providing housing for people with low-incomes can be expensive and if we are to provide decent, low end housing, rental property owners wiil need encouragement. We appreciate the opportunity to comment on the draft Housing Plan and encourage the Saint Pauf Planning Commission to consider these matters carefully as tne draft moves forwara. If you have questions about these comments, piease feel firee to contact me at 291-0020, Charles Skrief, our Zoning and Land Use Committee Chair, at 292-0003, or Eilen Biales, SHA Executive Director, at 222-1222. 8incerely, /Y� �� (�-�r'zt�C„�-� � Molly Coskran President Summit Hill Association/District 16 Planning Council cc: Members of the Saint Paut C+ty Council � Saint Paul Area Council of Churches � 1671 Suinmit Avenue • Saint Paul, MN 55105-188-� •(612) 646-8805 • FAX; 6�6-6566 November 18, 1998 St. Paul Planning Commission �:�=,Atin: t'rtadys �vlortori, �air ' 1300 City Hatl Annex 25 W. Fourth Street Saint Paul, MN 55102 Re: Comments on the St. Paul Housing Plan Dear Members of the City Planning Commission, I attended a public hearing on the draft Saint Paul Housing Plan at the Cathedral of St. Paul eazlier this month, November 7, 1998. Nancy Homans, a city planner, reviewed the draf[ plan with us. She encouraged those in attendance to put our concerns in writing and mail them to you, What follows aze my concerns and suggestions for improving the plan. � 1.0 Vision. Missing in the vision statement is a commitment that there will be su�cient � affordable housing to meet the needs of all the Ciry's residents, i.e. no one or no family would be left homeless. 2.O Introduction. The statement `' SainY Paul w�ll continne to look to re�ion for — and will continue to work with our regional pazmers to develop — a shazed vision ..." sounds like a license to demolition low�-incame housing units and disperse their occupants to other communities, a variation of the "not in my backyazd" theme. I believe the City should propose housing options for aIl income groups and races throughout the metropolitan area. At the same time, low-income persons, just because they aze low-income and living in low cost housing, shouid not be forced out of their houses (through demolition) and forced to relocate outside their existing neighborhoods, unless that is there preference. I think there also needs to be a stronger statement on barriers to housing and the City's effort to deal with them. 3A Key trends. Missing is the trends in homelessness and the growing gap between minimum '` wages / actual wages and living wages for the workin� poor. The working poor aze warking more, but able to afford less. What about the conversion of section 8 units to mazket rents and the destrucrion of housing units with replacin� them with units of equaI cost (e.g. Phalen apartrnents)? � y 9- 9a . 4.0 Take Care of What We Have. We concur that the first strategy must be to preserve the CiTy's existing housing stock, particulaz for low income households. The cost of construction of even modest housing units is cost prohibitive to low income families with some kind of subsidy, e.g. section 8. However, the plan makes no commitment to preserve low-income housing units, i.e. using demolition only as a last resort and then with like-priced replacement units. 5.0 Meet new market demand. What about meeting the mazket demand of those 7,700 households that eam less than 30% of the regional median income and pay more than 56% of their income on rent; or what about meeting the needs of the homeless? 6.0 Ensure Availability of Affordabie Housing. The numeric goals of transitional housing and low income housing in The City and County's Five Year Plan for Housing and Homeless Services that is referenced on page 14 itseif does not fully address the needs that aze identified in that plan and repeated in this pian. There is no discussion of how racism affects the availability of housing. There is no real discussion of other barriers to housing, e.g. application fees, lazge damage deposits and so on. There are no real numeric goals, beyond 25 units per year through Habitat for Humanity. I believe that drafr plans needs to be re-written with more specific numeric goals and commitments, as well as address the needs of the low income and homeless. Let me use the story of one of the persons that stayed iast night at the emergency shelter that the � Saint Paul Area Council of Churches operates in azea churches. Her name is Alice (not her real name) and she has been without housing for two years. She wonders about the possibility of putting her four children into foster care. Moving from place to place has taken its toll on the family. Her spouse left them last summer, he said he could no longer live with the pain. The children's grades are slipping, they aze fearful that one day they will not remember where they are staying and loose their mother. There is no stability in their lives, there is nothing that is permanent. Many of the clothing items they receive from free closets is used and them discazded, it is difficult to carry extra clothing from place to place. Last night when Alice and her children entered the church shelter for the fifth night the youngest child ran down the steps to the basement room and shouted to the volunteer, "We're home!" Living without permanent housing means you cany no keys, your drivers license does not have your correct address. You don't plan meais for your children. During the holidays you rarely make the decision of which toy to give your child. Living poor means the majority of the everyday choices for yourself and your family are in the hands of someone else. That means the children do not have a say in the kinds of school supplies they want. It means your bed does not have your favorite blanket. Seldom do you have a regular schedule that you decide works for yourself and your family. The unknown robs you of the capacity to resist causing your self esteem to plummet. � Alice can still dream and she still has the energy to look for housing. She says her kids deserve to have a home and she deserves a fuiure. There aze lots of Alice's that need housing. In addition the problem of housing is becoming more acute for tiie working poor. There incomes, typically at or neaz minimum wage does not keep up with the costs of rent which puts them increasingly at � risk of becoming homeless. Society seems to argue that we cannot increase the minimum wage because it will put people out of work; I would say by not increasing the minimum wage you aze putting people at risk of becoming homeless and being put out on the street. If the Ciry does not implement living wage ordinances and does not support increasing the minimum wage, then the City needs to find solutions that will enable those households to have and retain affordable housing. In closing, we urge the City not to teaz down any more housing units until there is sufficient evidence that enough safe, adequate housing is available in the same azea and at the same price. We can not afford to deepen the housing crisis. Thank you for this opportunity for the Saini Panl Area Council of Churches to share our concerns and suggestions. Please keep me informed on the progress in adopting a new housing plan for Saint Paul. SincereIy, � �� — �rCS-�—'0 ��-f�'�. Robert G. Walz, MSW Director, Congregarions in Community Saint Paul Area Council of Churches cc Mazgazet Lovejoy, birector, Project Home. u � t � �. � November 19, 1998 Ms. Nancy Homans St. Paul Planning Commission 1500 Ciry Hall Annex 25 West Fourth �trEEt St. Paul, Mn 55102 Dear Ms. Homans: I am writing this letter to express my concern about the Draft Copy of the St�INT PAUL HOUSING PI.�1N dated October 9, 1998. While the Planning Department in its Draft may be well intentioned, the results are not targeted to St. Paul's need. This is because nowhere in this document is the need mentioned. The section on affardable housing like all the other sections merely mentions a series of activities the City should either � continue, update, expand or begin. Yet no baseline is included fi which barriers to meeting needs are identified and from which the following couid be developed: strategies, goals, time lines, activities periodic interim evaluations to determine if the goals are on schedule and if not what kind of corrective action to take, etc.. By baseline I mean for various income levels in each part of the city: the present need for housing stock and the projected need for specified future years. It is only when such a baseline is established can anything else in this Draft have any relevance and effect. Another series deficiency in this draft is the lack of a replacement policy. Thus even if the proposed activities could help alleviate the affordable housing problem, this could be somewhat offset by decent, safe and af�'ordable housing being torn down or the rental or sales price being reset at market rates. � �: There is much more at stake than any given neighborhood. As you are � probably aware, if housing racial segregation is--given the percentage of people of color, the degree of concentration or dispersion, then the Twin Cities Metropolitan Area is THE MOST RACIALLY SEGREGATED ARF.A IN THE COUNTRY. I feel the present form of St. Paul's Housing Plan would aIlow us to retain this dubious distinction. I would appreciate hearing your reaction to what I have written so far. On a reIated matter, a few weeks ago I heard on Minnesota PubIic Radio that St. Paul may establish a citizen's advisory committee to make recommendations concerning the Housing Plan. If such a committee is established, I would like to serve. (I would be glad to share with you or any appropriate person my previous and current housing background including but not limited to: having my first year's salary at the Minneapolis Civil Rights Department funded by an HUD Equal Housing Opportuniry Grant and even though I am a not a lawyer, chairing an�dvanced Legal Education Seminar on fair housing at Hamline University Law School.) � Very truly yours, ��L.0 /C��t.G ti�/Y�/h Vic Grossman 1747 Randolph Av�. St. Paul, Mn 55105 Office Telephone (612) 332-2339 Email address avigdor@prodigy.net � 9q- 9a Amherst H. Wilder Foundation � Since 1906 Executive Office 9191afond Avenue Saint Paul, MN 55104 (612) 642-4098 FAX (612) 642�068 December 10, 1998 Nancy Homans The Saint Paul Plamiing Commission Attn: Housing Planning Task Force 1500 City Hall Annex 25 West Fourth Sueet Saint Paul, MN 55102 Deaz Ms. Homans: Thank you for giving the Wilder Foundation the opportunity to review the Saint Paul Housing Plan. Such a plan is essential and, I believe, a good beginning blueprint that will meet the housing needs of Saint Paul over the next 20 yeazs. The decisions made through � this planning process will certainly influence future housing policy. I have asked Rod Johnson, Director of our Community Social Services, and his staff to review the plan on Wilder's behalf. A memorandum outlining their recommendations is attached. I endorse their suggestions and hope that they aze integrated into the final housing plan. Please don't hesitate to call me, or Rod, if there is any way that Wilder can help move these issues forwazd in ow community. Sincerely, i�.�� `�.�j5 � Thomas W. Kingstod President enclosures � President Thomas W. Kingston Board af Directors Kennon V. Rofficl�ild, Chair; Eliaabeth M. Kiernat, Fitsc Vice Chaic; Anthony L. Andersen, Second Vice Chau; Malcolm W. McDonald, Secre[ary. IJirecrors Charlton Die[z, Elisabeth W Dcermann, - - Charles M Osbome, Mary Thomron Phillips, Peter B. Ridder, Barbaza B. Roy MEMORANDUM DATE: December 10, 1998 TO: Nancy Homans Housing Task Force FROM: Rod Johnson Amherst H. Wilder Fo dation _ Community Social Services SUBJECT: SAINT PAUL HOUSING PLAN Thank you for providing Wilder with the opportunity to review the Saint Paul Housing Plan. It is a very important document, and the values and strategies contained in the document witt have implications far into fhe future as it is used as a decision making tool by policy makers and as a guide by housing providers, developers, government agencies and funders. The following aze our recommendations: DEFINITIONS � � J A definition section would be very heipful to the reader of the document. It would create � a sense of inclusiveness, as everyone would have the same basic uttderstanding of terms. Some terms that should be defined aze affordable housing, mazket rate, region, urban, median income, etc. MEDIAN fNCOME The issues of poverty and the needs of the resi@ents of Saint Paut will not be futly explored if the regional median income is used versus the median income for Saint Paul. We agree that a regional perspecrive is important. However, the crucial needs of low- income residents of Saint Paul will not receive the necessary focus if the regional median income is used as the basis for targeting resources. MEET NEW MARKET DEMAND ,, 1. Development of 3000 - 4000 units over the neat 20 years does seem essenfial. It would be helpful if the number and type of units that will be built each yeaz be clarified. Also the number of units for each income group should be specified and reflect the incomes of the "new market demand." For example: 1999-2000: 400 units 200 units will be market rate (50% rental and 50% owned) � 95-9v � Saint Paul Housing Plan December 10, 1998, Page 2 100 units wiil be 50% of inedian income (50% rental and 50% owned) 100 units will be 30% of inedian income (75% rental and 25% owned) � A plan for how these units will be financed and what dollars Saint Paul will target towazds achieving the housing goals would also enhance the plan. 2c. Saint Paul should commit to supporting landlords through training, assistance with rehabilitation, maintenance, and linkage with support services for tenants. Services that create more successful renters, landlords, and owners could be defined and 'unplemented as one of the strategies to building and maintaining new housing. Life span issues should be considered in the design of new construction or rehabilitation of existing housing. Each unit should be designed so that older adults/disabled do not have to move because of accessibility issues (e.g. door levers instead of doorknobs). In addition, the design of smaller units should be flexible to accommodate the needs of single individuals, young families starting out and elders. This would create housing that can be used by many as population shifts occur. ENSURE AVAILABILITY OF AFFORDABLE HOUSING The property taxes for many senior citizens and others living on reshicted, fixed and low incomes, force them out of housing that would otherwise be affordable. Saint Paul should endorse and advocate for a property tax siructure that does not force people out of their homes and creates oppomuZities for low income home ownership. Stronger statements could be made about Saint Paul's commitment to quality, affordable housing (both rental and owned). Increased emphasis should be placed on providing affordable housing for families making $7.50 to $9.00 per hour. The working poor do not seem to be identified as a primary target group in this plan. Such statements could be part of the text, and there should be numbers to back up the statements. For example: 1999-2000: 500 units of affordable rental housing will be built. 250 of the units will be subsidized and affordable to families with incomes between and � 2d. The Wilder ROOF Project is an example of using federal rent subsidies in coordination with supportive housing services to create opportunifies for residents to become successful tenants and for owners to become better landlords. Wilder endorses the eoncept that more supportive housing programs be created to assure that fanlilies have every opportunity for success in addressing their individual barriers to getting and maintaining housing. Saint Paul Housing Plan December 10, 1998, Page 3 Preserve and improve eausting privately owned rental housing units. Discussing partnerships with landlords would strengthen this part of the plan. By creating partnerships with landlords, Saint Paul would have a great oppornmity fo create safe and decent hoUSing. This section could contain information on resources Saint Paul is wilIing to commit to strengthening the skills of landlords and maintenance of e�sting housing. The ROOF Project has been working with landlords for the past three yeas and has found that most landlords are interested in doing a good job and want to maintain their properties. Many times landlords Iack the skills, experience, and resources to be successful. Saint PauI could use this plan as an opportunity to provide leadership with landlords and the entire ciTy would benefit. One principle that could flow throughout the plan is that well educated and informed landlords and tenants increase the chance that properties will be maintained and decent. PRODUCTION ALTERNATIVES � Does there have to be one altemaflve or another chosen? Isn't it possible to look at a combination of options? � 4.1 No expansion of affordable housing is not an acceptable option. There is well- documented need for well managed affordable housing and by not adding to t[ie affordable housing stock, we will eventually negatively affect economic development and Saint Paul's vitality. 4.2 Construction of new affordable housing units is very important and should be a part of the plan. T'he median income used should be for the ciry of Saint Paul and not for the region. In addition, 80 percent of inedian income is not specific enough. Specific numbers should be target for 40 percent of inedian income, 50 percent of inedian income, etc. Mixed income housing is very important and should continue to be emphasized. 4.3 In addition of 100 or more new units of affordable fiousing each yeaz for the ne� 20 years should definitely be part of the overall strategy. Habitat for Humanity strategies aze menfioned frequenfly in pages 11-14, The Saint Paul Housing Plan should make these Habitat for Humanity strategies the number one priority in an effort to make available a€fordabte, low income home ownership. � 9�-9a � Saint Paul Housing Plan December 10, 1998, Page 4 The Wilder Foundation is currently pattnering with Habitat for Humaniry and strongly agrees that 25 or more homes could be built annually in an effort to promote low income home ownership. Saint Paul should encourage this development of low income housing by creating an accessible process to acquire vacant lots or condemned properties as indicated in 43.b (Improve the process whereby vacant publicly owned....). Saint Paul, in supporting low income home ownership should not only support and strengthen the "purchaselrehab and refmance/rehab prograins" (page 13), but should prioritize that strategy and do it in partnership with groups such as Habitat for Humanity. 6. A partnership between the city of Saint Paul and Ramsey County is essential in order to leverage federal, state and local doliars to address affordable housing and support service needs. The Wilder Foundation endorses the Ramsey County Plan and has responded separately on how to strengthen that report. (See attached). 6b. Wilder endorses the development of creation of more transitional housing and long- term service enriched housing. We would place a special emphasis on long-term service � that wili assist tenants in addressing bartiers that prevent them from preparing for, finding, and sustaining affordable housing. T'hank you for providing the opportunity to reviaw the Housing Plan. If you have any questions, please contact me at 651-917-6206. Cc: Claudia Dengler George Stone Susan Marschalk Tom Schirber Nancy Starr Pat Teiken � pos!-H' Faz Note 7671 Saint Paul Planning Commission Attn: Nousing Plan Task Force 25 West Fourth Street, Suite 1300 Saint Paul, MN 55102 7 December 1998 N4embers of the City Council and Commissioners Thank you for the opportunity to comment on the Housing Chapter of the Comprehensive Ptan. For the pasf several months our community has had many opportunities to read and discuss the proposals before you this evening. The availability of housing in our City - both rental and home ownership - has sufFered a double whammy since our last Housing Plan was adopted a decade ago. The cost of housing is out of reach for many working families in our city while the availability of affordabfe rental units and home ownership opportunities _have all but disappeared. Young families find that thei� ir�comes simply don't go far enough to provide a basic need - the need for a stable, safe, decent ptace to live. Where the dollars don`t go far enough, families are doubling up or seeking refuge in our sbelfers. The plan drdft, which is under consideration here, recognizes these realities and makes some recommendations for remedy. ! agree with the three strategies which the plan puts forward - meet new market demand, ensure availabiliiy of affordabte housing and take care of what we have. 1 also think the plan lacks specificity, oversight provisions and goals for providing mixed income new construction. Where is the city's commitment of resources, production goals, business plan, ;mp(ementation schedule, etc? The elected and appointed officials who are responsible for amending the Comprehensive Plan must rectify this. By 2020 the City of Saint Paul must create 9000 new housing units. That means that the City must build 400 plus units ih addition to the 100 pius units on average that are demolished annually. We must atso to cxeate new housing rn every price range and provide for market-rate as well as subsidized units. We must dedicate at least 20% of the new and replace dunits to 6e affordable below 80°!0 of the area medium incame. That means for a farr►ily of four an income of $45,OQ0. Of this 20% we should set aside haif to meet the needs of those falling below 50% and 30% of area medium income. This is doable and will mean in reat tertns that 80 of 400 ntw uniis would be added to the hausing stock on an annual basis. Across the city this is not an unreasonable number. Setting this goal also puts the production of affordable units in perspective. Of the 9000 units to be produced by the y � qQQ,�ts would be affordable to famifies below 50% of area medi��`I� V`.D DEC i t 1998 � � ELIINNIN6 & ECpNOMIC DEVE�pp�� 12/10/1998 0B:09 6126030810 �� ROBERTA MEGARD � Preses�ation of our existing housing stock is cr�icaf. Housing that is not maintained often fat(s victim to the wrecking bail in Saint Paul. Demolition means vacant lots and reduced tax base as we41 as failing market values for adjacent properties. Reinvestmerrt in housing through rehabilitation is far more cost effective than new construction in today's market !n short, it is cheaper to rehab than to build new. Therefore, city policy should reflect this fact and dedicate more resources toward maintaining what we have. Historic preservation is also a vital part of our housing policy because it preserves the character of our neigfiborhaods. Old fiomes with historic character seli our neighborhoods as evidenced an Summit Avenue, Dayton's Bluff and in RamseytCathedrai Hilf. In addition, our policy must reflect the need to preserve subsidized units as wetl - Section 236 and Section 8 units are being converted to market-rate at an alarming rate. Other recommendations - � 1. Establish a housing division in PED to focus attention and resources on community deve{opment of housing. 2. Use GDSG resources to maintain what we have - Rehab rather than demalition those units that meet demolition guidelines. 3. Consider increasing our bonding authority to add new hous+ng - housing is economic development. 4. Use more federal tax credit as incentives to developers and seek increased tax credits at both the State and Federal levels. 5. Assure that replacement plans are in place before demolition takes place. � 6. Adopt guidelines for demolition similar to those of the Twin Cities Family Housing Fund. (Adopted 12123/97) 1. The units to be demolished must be substandard and not feasible to rehabilitate. 2. The project must include adequate relocation assistance for the tenants to be displaced. 3. The project must include a spec�c plan to replace, within a reasonable time; a reasonable number of the units to be demotished. (at a minimum one bedroom unft for one bedroom unit. 4. The project must maintain equivalent locational choice for low income persons and persons of color; i.e_ the project must not remove affordable housing from non-impacted areas. 7. Better coordinate housing inspections for both rentat and owner occup+ed properties, environmental health activities, and PED's housing development projects. We have a legal responsibility to enforce comp(iance with building a fire codes. /�qgressive intervention by our code enforcement staff and the housing court are esserrtial. 8. Move quickly to establish a phased certificate of occupancy program for one and two rental units in the city. 9. Usa more fiRA resources to maintain existing housing stock in the form of grants and higher risK ioans. Dc � Cf "�D RG L{ V DEC 1 1 t998 PtANNING & ECONOMIC DFICECOEME�A ,• � 10.Acknowledge the need for new rental units throughout the city. Change the 7Q% homeownership goals now eantained in the Capita! improvement Policy in order to focus resources on the reat housing needs in our city, This poiicy also curtails our etforts to maintain our current housing stock and historic preservation strategies. This ;s an extremely expensive policy which as insufficient resources attached to i� Currerrt policy, in fact, denies that for many decades more than half of city residents are renters. 11. City housing policy must change zoning laws to ailow for mixed-use developments requiring inciusive zoning (assuring a perce�tage of affordable units) and reduced parking standards. 12. Focus fiufure housing developments o� existing transportation corridors - Phaten Corridor, Downtown Core, University Avenue Corridor, etc. 13. City polioy must provide incentives to hetp develop joint commerciaUresidentiat buiiding e.g, density bonus. City must find ways to keep the cost of buildable lots down, reduce the cost of regutation and govemment fees for developers. 14. City Housing policy mus# commit to work with ail neighborhoods to set standards for property maintenance. We must have a common sense responsibility to maintain a high degree of canfidence in our neighborhoods. We must build community as we preserve or improve housing stock. We must listen ro our citizens throughout this process. When we do that, as I have tried to do by visiting every (district} in St. Pau1, we ieam what people want from their elected officials. 1. We hear that people want a City wifb a housing supply thai is affordabte to young families looking to purchase or rent their first bome. 2. We hear that people want a City that is home to working families striving to maintain or improve their most important financial investment. 3. We hear that people want a City that devotes a limited amount of it housing to the etderty or families in desperate need. 4. And, my friends, we hea� that people want a City thaf preserves housing opportunities far higher income famities as well. Our housing policy (including our tax policy) must be wise enough to encourage conGnuous investment in al! our ne;ghborhoods by citizens across all income spectrums. Our housing policy must be important enough to the Mayor and City Council so the utilize limfted resources to suppor[ rather than discourage investment in neighborhoods. I understand the wisdom and the importance of what the people have told me. i5. Change the focus of the STAR program to make more of it available for housPng in our ciry - both grants and loans. 16.Add to the Housing Plan a strategy to build and maintain housing in all price ranges throvghout the city. Acknowledge the need for affordatrle housing as an economic growth strategy. This strategy is sorely needed now ta assist in the supply of labor for St. Paul businesses. live where we work; families have mg�rpo@ey�tq�n�t in housing and wi11 result in building equity in our t7Lt�C1 Y G DEC 1 1 1998 � � s P[ANNING & ECONOMIC DEVEI.QE�6 � � 12/10/1996 08:09 6126036810 ROBERTA MEGARD neighborhoods. The Housing Plan must commit the city to esfab►ishing mixed income hous+ng in every neigfibofiood. 17. Commit to use public resources to ensure affordability. This is a proper ro�e of govemmerrt and one which will not be fiiled by the private sector and private foundations. We have a morat responsibility to address the unmet housing needs of some of our poorest residents. We have approximatety 4300 units of federally subsidized housing in our ciry, which represents less than 4% of our tata! housing stock. This provides affordable housing to approximately 12,000 peopte in a c�ty of 270,000. 2800 of these units house seniors and disabted individuals. No state or local tax dollars are used to support these public housing programs_ Our housing policy must commit to preserving fulf funding for these programs. 18. City policy must reflect a goal of aggressively pursuing Yax-forfeited properties throughout our city. Work with the County to speed up the process with better use of existing laws, e.g. "quick take" provisions. We must get these propert'ses back on the tax roles and make them avaiiabie fior housing our families. Currently, it takes about four years before public entities have access to these properties and even longer to get them back on the tax roles. This systems'glitch' affects our ability to maintain current housing stock. 19.Our housing policy must reflect a commitment to get waivers from fiUD to allow for reduced acquisition for their properties and assure that the city is able to acquire these properties before they are demolished. The future of our city - both downtown and in the neighborhoods - will be affected by the housing plan we adopt for the next decade. Let us be bold and recognize this basic human need - the prosperity of our city depends on it. It is time for us to adopt our vision for the future and exert the po4ifical will to impiement the vision Thank you. Bobbi Megard City Solutions, LLC Commun+ty Oevelopment Consu{tant RECEIVED DEC t 1 1998 94 9-�� QLANNING & ECONOA7fC 4EYELOPM�HI Comments Made To The St. Paul City Council And Plannin�Commission On St. Paul's "Draft" Housing Pian At The St. Paui Technical Colleae Ccil 6:30 P.M. Mondav. December 7. 1998. � By James F. Gab�er. President Gabler Housing Solutions Coraoration (Bio. Ref.: Mr. Gabter has worked in housing almost his whole adult life in both the private and public sectors. He has been a Commercial loan Officer with Knutson Mortgage & Financial Corporation in Minneapolis, President of TriState Service Corporation, a wholly-owned rea! estate development a�liate of St. Louis County Federal Savings & loan in Duluth, and Manager of Muitifamily Housing for the Minneapotis Community Development Agency from 1956-1995. He has served and been appointed to numerous civic efforts such as Vice Chairperson of the Duluth Housing & Redevelopment Authority, as a member of Mayor Latimer's Citywide Housing Task Force in St, Paul in the early 1980's, and as a Board Member of the National Housing Conference, the nation's oidest housing advocacy organization. At present he operates a housing consultancy, primarily assisting neighborhood non-profit Community Development Corporations (CDC's), is the Interim Executive Director of Community Neighborhood Housing Services, and is a Board Member of the Neighborhood Devetopment Aitiance on St. Paui's West Side.) � Dear Councilmembers and Planning Commission Members: Please forgive me. I witl attempt to be as quick and succinct as t can but feel I must comment on a coupie of items that are of significant import within the proposed St. Paul Housing Ptan. My comments are, however, intended to supplement points raised in the Plan. The overal! "Draft" Housing Plan is, l feel, very well done and those City Staff involved with the drafting should be complimented for their fine and ditigent work. All too frequently PED Staff s role is overlooked in these types of efforts and for this one they are to be applauded. My comments wil! be limited to addressing the last 2 of the 3 overail strategies outlined: the future new market demand and the future availabitity of affordable housing. St. Paul will never achieve the goals set out for it by the Metropolitan CoLnci! for new housing unless it gets m�ch more aggressive in its pursuit of those goals. Much more attention musf be paid and priority direction given to Staff if this sfrategy is to become a reatity. ('m aware, presently, of only a handful of efforts going on in the City that deal with this strategy and � 9'q-90 � that alone won't suffice. We need more. One major jump-start towards achieving this strategy could be provided by moving forward on one of those present efforts that will produce a significant number of varied units (around 500) and will only take a tax-increment subsidy. The RiverblufF development proposed for the old Koch-Mobil site on Otto and West 7 has just had its finaf pottution studies completed and the project stands to provide the greatest increase in living units in a neighborhood since the redevefopment of Energy Park in the Midway some 20 years ago. (As a footnote, most of you are probably now aware of the recent Minneapolis City Council action in which they have now imposed a temporary development moratorium on the upper-river area until they decide on whether or not they are going to continue to allow industrial development there versus housing.) I am of the opinion, if given the proper signals, directions, and game rules, the private sector will, just as in downtown, come to the fore much quicker than we think to assist us. But our City must first accept more aggressively its role as facilitator or conduit to redevelopment in the neighborhoods also. My recommendations to the City to assist in fulfilling this 2" Strategy are 7: Go back and reinstitute the position of Director of Housing for PED. � 2. Identify and focus on larger, more comprehensive possibilities for redevelopment of housing. 3. Allocate a significant portion of neighborhood STAR dollars to this Strategy and reduce the amount that must be repaid as loans. Repayment to the City wilf come in the form of an increased tax base and more stabie neighborhoods. (Also, I realize "Economic DevelopmenY' is a favorite political "catl-to-arms" these days, but if the City achieves better mixed housing efforts in its neighborhoods and stabilizes incomes by those eiforts the commercial/retait revitalization will follow, i.e. the Midway Area.) 4. Study what changes in the Tax-Increment and Tax-Exempt Housing Revenue Bond laws and others will assist in facilitating these larger redevelopments in the inner-cities and place those changes high on the City's State legislative agenda. (1'm sure Minneapolis and many inner-ring suburbs wouid join in this effort.) 5. Agree ahead of time on a successful mix of incomes that are to be achieved in these redevelopments and mandate a particular income mix as a requirement of a redeveloper. Mixed-income housing DOES work. We can no longer afford to have, especially in larger housing � redevefopment efforts, just ali high or all fow income options for new 2 residents. We must learn from our mistakes in the past. This recommendation witl also assist in successfully pursuing much- � needed legisfative changes to housing programs and funding amounts at the State and Federal levels. 6. Inventory all of the City's financial resources that could be spent on Flousing etforts, qualify them for development flexibility, and put a priority on utilizing these sources to develop and promote more market-rate housing first in the neighborhoods most experiencing concentrations of poverty. Too often and without thinking about it, we promote those concentrations by onlv making available financial resources that mandate expenditures on "affordable" housing efforts. On the other hand, we also need to have the political courage to assist in the detivery of "affordabie" housing options in those neighborhoods not affected by concentrations of poverty. Creative use of restricted funds, usualiy federal, can produce very acceptable "affordable" housing opportunities in those less-stressed neighborhoods. Your PHA has done a marvetous job with its scattered-site housing overall. 7. Establish a"Non-Profit Administrative Inducement Fund". This would be a fund capitalized with federal CDBG doilars which could assist neighborhood non-profits in their pursuit of creative, new housing developments by front-ending their admin costs. These � funds woutd be awarded on(y after the City has approved a project and they could be administered by LISC as an additional element to their support programs, thus causing no City overhead increase. The monies would be loan funds to be repaid by the non-profit out of project revenues if the project cioses. The empowerment of our valuable neighborhood community developers to assist the City will only come through efEective funding, not discussions. Affordable housing, its preservation, stabilization, and production have, unfortunately, become issues atmost beyond the reach of inner cities. No one of able mind these days would deny there is an extremely serious "affordable" housing crisis. tt's beert serious since the mid 80's and has continued to get worse. We are attempting to deal with a crisis caused by a continuing "watershed" series of budget decisions in Washington that continue to reward the rich and penailze and concentrate the poor. To address the long term future of affordable housing rationaily and realistically we need to address the tremendous dysfunction and budgetary unfaimess that has evolved in our state and national housing policies and programs and the situation they have created. And we need to do it soon or risk an ever increasing "affordable" housing crisis (one which formerly onty affected (ow-income famities and those with special needs) from further extending into the ranks of the elderly. � 3 • i � - � Tuvo excellent examples of defective housing policies are tfie nationat mortgage interest deduction and the state "homestead" property tax exemption. Do we realfy think we'il stop "sprawl" if those subsidies are continued for anyone of any income who wants to live anywhere, even outside the MUSA Line, in any type of housing as long as they "own" or "homestead" it? 1 know we want to encourage fiomeownership but do these current policies make any sense at all? Our housing fax policies are so fouled up we now extend better than 60% of ail federal housing subsidies to those in the top 20°10 income bracket! Taxation without representation still, as usuai, extends only to the poor and disadvantaged and victimizes especiaily the inner cities. Additionally, "affordable" housing finance and production programs are now to the point where they are in shambles. They represent only a fraction of the previaus nationai commitment and worse yet, are so purposely disconnected from each other they force those still in the business of affordable housing production to spend most of their time working "around" the overiy complex rules and regulations. The Section 8 Program has pretty much gone from project—based to portabie, mostiy in the 80's, under the pretense of "choice". Talk about another defective poticy and program! Now, especiaily with a Metropofitan � Council without teeth, we are in the unique position of having the Portable Section 8 Program become the latest major cause of poverty concentration in the inner-city and some first-ring su6urban neighborhoods. This because no real "choices" exist eisewhere when having that real "choice" woutd greatiy assist us in the urban areas with the deconcentration of poverty and provide more of what are now delicately termed "livable" communities. And, due to other fauity tax policies concerning rental housing which have almost totally stopped the production of any new rental housing, we are now even seeing portable Section 8 choices decline IN THE CORE CITIES! THIS HAPPENS BECAUSE OF A LACK OF LEADERSHIP IN HOUS�NG AT THE NATIONAL LEVEL. But we at the locaf tevef have let tfiat happen, mainly because there is also a lack of understanding at the this level of the implications of national housing policies. We haven't yet learned the hard lesson that when such national or state policies are defective, it is we at the local level who are most abused of them. It appears to me we have 2 choices at the local and municipal level to deal with the issue of "affordable" housing: we either work with diligence and in partnerships with other cities to change tfiese defective nationaf and state housing policies and programs or we wiil be constantiy holding � "affordable" housing forums and be unfairly pressuring municipalities to 4 take on t6e aimost totat responsibifity for the stabilization, preservation, and new development of all "affordable" housing efforts. This is clearly � impossible and pits the issues of housing the poor anywhere in any structure in any condition against the issues of community-buitding and bringing necessary reinvestment dollars back into some of our neighborhoods before they crumble. Ironically, these issues must be merged as one SINGLE issue under "community developmenf". That's what successful "community development" really is, isn't it? Either we master this concept or we ultimately and arrogantly will be doing the greatest disservice we can to those of lesser means whom we mean to serve. That disservice is insisfing that they continue to reside in structures and projects we wouldn't live in and attempt to raise their families in desolate pockets of poverty we wouldn't even consider driving through without the power-locks down on our cars. My recommendations to the City to assist in fulfilling this S` Strategy are 3: 1. Spearhead an immediate major effort to eniist ALL of the piayers in the Housing arena in the Twin Cities Metro Area, including the plethora of "affordable" housing advocacy groups, to focus on nationa! housing policy and program refomts that assist irt building communities and offer real choices for those of lesser means. The � ball has to begin ro((ing somewhere and the "Common Good" extolled by John Stuart Milts demands it. 2. Adjust and better fund the existing Rentat Rehab Program to give priority to those existing private rental buiidings that are not federally subsidized and currently house those who fall within the definition of requiring "atfordable" housing. Those buildings will most require some assistance that cannot be accessed through the normal private capital sources. 3. Offer City Staff expertise and, in some cases, City bond and federal fund attocations through joint powers agreements, to those suburbs who are genuinely interested in some "affordable" housing. i've discovered that many municipalities DO want to produce some "affordable" housiag but lack the trernendous expertise the inner cities Staffs have acquired. Thank you for this opportunity to discuss these e�ctremely timely housing issues with you. � � 99-�a /��-� � ��-� �-�� zs' !�� 9' ��id� �� . -�--`�- / 3 � �� i �.� �-�-� /� 199 � /� � �� . ��. 9 �y9 � 1.��- �.�:�-�- �.�, : y , 3 �✓� f s� ,� �. u��:�� , � �� ,5, / a . 5 � �� 1 .�Z�,.� �-�j' �.� � �?' �"��``�� /� �''d` - Y � .�iZ� � "� e.��f ' �' � /�'� ' S / 6, ��-� S °� .o�� .e. �e /�-�i��/ -'��.. �,.� � �.��G��, � s�C-� �� o�- �, �- s s�- � S� �-'�'�`.�`-�-�� 6,�`��1� � S ,.f � . 7�� .�..�� G-e. - -��. �� ..�� ' ..� � �.�...�.�.,� � � � �. � -G�eK ��-.�-�/ �-r 7�a� Y�� , ro � / e� ,D�- �� a� �/Pit �u...� ��1 ...� �,-e� .�` �'� � f� �� Ga ? . G . Z b S � �.-� �' � o'�� a� � ; �. 7� .��a,a�e� �� , .h �, Y 2 G�e �e �i�.. .< �w�. /k�rr �� G'�� G .�.�' s � �. .S � 7�0'P �OS�-�Gr/'c�sS2 h-e� /zc-cSf �t�,r(�.�..�,�� 0 �� %�. Td� GGG�G�Byvx. s�./�� r �i�� _ �� s 699-3 �.s'' • �- ..�.. ERECVfIVE DIRECTOR BRUCE A BENEI{E PRO BONO COORDINATOR PATR[CIA ANN BR➢MMER PARALEGALS SNERRY GARCIA ANN SIILGVAN sN �� .tEANNtES1.WILLIAMS HIMBERLY YOUNG Nancy Homans St. Pau! Plamiing Commission 1500 City Hall Annex 25 W. 4"' Street St. Paul, MN 55102 Re: St. Paul Housing Plan Comments Dear Ms. Homans: 300 MINNESOTA BUILDING 46 EAST FOURTH 3TREET ST. PAUL, MINNESOTA 55201 (651)222-5863 FAX {651) 29'7-fi457 December 11, 1998 LAW WORK MANAGER STEVE.Y WOLFE We aze writing these comments at the request of some of our clients who are concerned about the availability of safe, afFordable housing in the city of St. Paul. Southern Minnesota Regional Lega2 Services represents tow income individuals and families with legal problems including housing. Our lawyers work with clients on cases involving evictions, repair issues, condemnations, foreclosures and discrimination. Our office assists appro�mately 1,000 people per year with housing issues. Project HOPE, the Homeless Outreach Prevention and Education project, helps homeless people with civil legal problems. The project also helps these people fmd permanent housing. In the last yeaz Project HOPE assisted 357 individuals and 655 families that included 1,463 children, all of wkom were homeless or in imminent danger of hometessness. As a resuit of our work with homeless folks we have observed the following: - 90 phone calls to a landlord responding to a single ad in the paper - famiIies sleeping in cars LAW OFFICES OF SOUTHERN MINNESOTA REGIONAL LEGAL SERUICES, INC. - clients losing their Section 8 assistance because they cannot fmd an apartment -- clients, who are desperate, paying upwazds of 90% of their income for an apartment � � � ��-90 � - many clients encountering discriinination in the rental mazket. A tight rental market makes it easier for illegal discrimination to occur - families staying with other fanulies and both families losing housing when the landiord discovers the apartrnent is over-occupied - many clients who work, but lose theu job because they do not have stabie housing - many clients who aze going to work under the new welfaze program, MFIP, but even with an increased income they are unable to find affordable housing - clients whose houses aze being demolished as part of development projects on the east side, around west seventh and on the west side. - clients living in condemned buildings Based on these observations, it is cleaz there is a severe shortage of affordable housing in St. Paul. Many of these problems would not occur in a city where there is an adequate supply of rental housing. More and more of our clients aze homeless because of these problems. Even our clients with excellent rental histories are homeless because of the severe shortage of housing. � Because so many of our clients are affected by this shortage of housing we respectfully make the following comments to the St. Paul Housing Plan. General Comments The city has done a thoughtful job of stating broad goals to address the current housing situation. The broad categories outlined by the plan are an excellent way to categorize the housing needs of the citizens of St. Paul. There is no provision for setting specific objectives with time periods for achieving them. There needs to be a tool in the plan to set goals and time lines. There is nothing in the plan that specifies how the city will monitoz the implementation and achievement of the plan's goals. There is nothing in the pian that will monitor whether its objectives aze met. There needs to be a way to measure if the city has made progress towazds the goals it has set. We find that the city's housing plan is very vague. We wge the city to include actual and specific objectives, goals and targets for creating new units of affordable housing. We ask that words such as "encourage" and "support" be replaced with words such as "build" and "replace." Take Care of What We Have We agree, the ciTy must take caze of the housing it has. The language in this section should be stronger. The city should consider replacing demolished units with new units on a one for one basis. There should not be a net loss of housing. The city should adopt a one for one replacement policy. The city should make a commitment not to use Community Development Block Grant (CD$G) funds to demolish housing. � The city should combine efforts and continue its commitrnent to preserve historicaily and architecturatly significant buildings, that contain affordabie housing, with tas increment financing or set-aside for affordable housing. Again, specific projections as to the number of units to be created must be included so that one for one replacement is achieved. Meet New Market Demand There should be specific language that duects the city to produce 400 housing units per yeaz. These should include specific mandates to include housing that is affordable (defined by HUD as an expenditure of less than 30% of a families' gross income) to those making less than 50% of city, not area, median income. The term "mixed use" used in the ptan is not very informarive. Instead, the city should make a certain percent of a11 newly constructed units affordable to low and very low income families. We encourage the city to include a provision that directs CDBG funds be used to produce this housing. Ensure Availahility of Affordable Housing The city should create a city-wide ordinance requiring a 25% set aside for affordable housing with all new multi-unit construction. This could be combined with tax increment financing to give builders incentives. Instead of the term "mixed use" there should be specific reference to a � percentage of newly constructed housing that will be afFordable to those making less that 50% of the city's median income. � The ciiy should make a commitrnent to work with the Minnesota Housing Finance Agency �(MHFA) to keep federal subsidies coming to buildings where HiJD federal mortgages are in danger of being pre-paid by private landlords. The document should include a specific plan to retain the existing housing stock by developing an internal agency that could help the city enforce code viotations through civi2 court actions, such as the Minnesota Tenants Remedies Act or the Rent Escrow laws. The city should develop a�ant to contract tiiese services to outside organizations that could receive the inspec�ion reports of buildings in disrepair. This agency could take appropriate civil action to save the housing. Moreover, the city should mandate that their own Public Housing Authority (PHA), which has experience in maintaining property, may be appointed as administrator if necessary. In the narrative portion of the secfion there is a reference to the reduction in federal funding for affordable housing. Congress, however, has authorized an increase in the number of Section 8 cerYificate and vouchers thus increasing the number of tenant based subsidies. These subsidies will be lost to St. Paul residents and the city if recipients of this assistance cannot place the certifccates or vouchers. If there is not a specific plan to address the ability of Section 8 recipients to place their subsidies, the city will lose federal assistance. � `/ 9-y a � In the first pazagraph of page 11, the committee identifies a trend within the two central cities and characterizes it as "places where imu�igrants come to first settle into a new land..." Indeed, the vitality of cities depends on the mix of ages, incomes, family types, races and ethnic groups- and the mix of structures that house them--that isn't found in suburban communities. However, the city's stated policy (goal) of de-centralizing affordable housing and shifting development burdens to the suburbs contradicts the trend that the city has clearly identified. With a rental vacancy rate of 2% and a cleaz objective of reducing lower cost housing within the city, there wili be nowhere for these segments of the population to live. If the suburbs have no ability to house these people, and the city is pushing to have them move to the suburbs, we will create a class of permanently homeless families. Until the suburbs aze willing and able to accommodate persons within the low-income and affordable housing mazket, it is the city's obligation to accommodate them. "Freezing" out the members of the affordable housing mazket by encouraging de-centralization and non- developmenddemolition of existing affordable housing within the city is contrary to federal CDBG funding. Until the city has confirmed the developmeni of the affordable housing in the suburbs, it cannot continue de-centralization and demolition of its own affordable housing. ,: Along with the goal of challenging the region to do its part in deconcentrating poverry, the city must also deconcentrate poverty in its neighborhoods. Neighborhoods within the city of St. Paul � are as segregated as the suburbs. Thank you for the opportunity, on behalf of our clients to comment on this plan. We appreciate all the hard work that has gone into its creation. Sincerely, � ` �'1lN'V l:�V V� Laura Jelinek Attomey at Law � v 4 2 � � �� 4 0 . . ��, V � �� o O � ` '-� �a � � 2�' 2`� Q s Testimony To: Saint Paul City Council/Saint Paul Planning Commission CC: St. Paut LWV Board From: Karen Chaput, Action Chair, League of Women Voters St. Paul Date: <Date> Saint Paul Housing Plan Draft for Community Review, October 9, 1998 Due to a schedule conflict, I was unable to attend Monday's hearing, and respectfully submit this testimony on behalf of the League of Women Voters-St. Paul. The St. Paul League of Women Voters commends the Planning Staff and Commission for their diligent efforts in reseazching and preparing the Saint Paul Comprehensive Pian, specifically the most recent draft of the Housing Ptan chapter. The Metropolitan Council is predicting an area-wide housing shortage to accompany anticipated growth, and is subsequently asking the region's govemmentai enfiries to escalate plans for housing to accommodate this expansion. This chazge is one that the City of Saint Paul has taken seriously in the past, and one that we believe requires an equal, or even greater, response as we enter the neut century. Hisiorical Background Housing and community development is a concem that seems to be with us always, and the St. Paul League of Women Voters has studied these efforts periodically. Our £vst consensus position to support programs providing public and publicly-assisted housing was adopted in the 1950s. We also supported efforts to develop, rehabilitate, and conserve urban azeas. This was enlazged upon and reaffumed in 1972 and 1979. In 1992 we added support for progtams specifically supplying affordable housing. This is also the position of the League of Women Voters of Minnesota. Our housing position states that we believe that all people have arigfit to housing. The public and private sectors should work together to ensure that everyone has access to adequate, deceat, affordabte housing. for very low-, low-, and moderate-income households. We have these comments Yo offer on the proposed plan. Recommendations on Proposed Plan Key Trends We note the five key trends mentioned as introduction, and aze most concerned about the fifth point: the persistence of poverty. According to data supplied by city staff, fully one-third of the households in Saint Paul in 1996 had incomes less than $20,000. Another 22.5% have household incomes in the $20,000 to $34,999 range. It is these among us who are most affected by the lack of affordable housing, whether it be for apartment or house rental, a first home purchase, or housing that includes assistance in the latter yeazs of life. You have menrioned the rising numbers of immigrant families. According to city staff at an informational meeting this fall, these lazge families continue to have difficnity fmding housing of a suitable scale. Strategy I: Take Care of What We Have We laud your emphasis upon maintaining the sense of place, each i � � 99-90 � neighborhood, that is Saint Paul. This essence is, as you put it created by the pattern of our streets and blocks, the style and scale of our existing housing stock, the proximiTy and walkability of our neighborhood commercial districts and the beauty of our natural amenities that attracts new residents and inspires the loyalty of those who aze akeady here. Keeping our neighborhoods in good repair makes the most basic economic sense, and so we support your policy as stated in 42 Continue a commitment to the preservation of historically and architecturally sign�cant buildings and neighborhoods, 43 Step up code enforcement matched with additional resources for repair and rehabilitatior� 4.4 Strategically focus efforts to stem deterioration and declining values, and 4.5 Improve management and maintenance of rental property. Stepping up code enforcement, coupled with financial incentives for conscientious property owners, seem to hold promise as tools to support our existing housing stock. We believe that neighborhood-based planning will help focus efforts to stem deteriorating values. We would caution that you also keep this in mind when pursuing increased land use density, as cited in 4.1.b, as this additional density should aiso be in keeping with the existing neighborhood. ^ Sbategy 2: Meet New Mmket Demand /�� vIeeting new mazket demand in the city of Saint Pau] is a laudable goal, J �V � Q �`"�ut one that we believe the private housing sector can supply. If we were � A � o to prioritize your three housing strategies, this would receive our lowest R ` a � rating of the three strategies, as currently articulated. �� . �o Policy 5.1 encourages the production of 300-900 housing units a year that �l, r o� can be sold or rented to smaZler households-either new young households p` �c>� or older empty nest and senior citizen households. Points a, b, and c, � appear to chiefly support (through financing and land transfer) the private � development sector serving the high end of the mazket. Considering the s.�'' ongoing lack of affordable housing in Saint Paul, we suggest that point Q S.l.c.iii, be changed to guazantee a fixed number of the units (35%) be affordable to households at 40% of the regional median income. This wili help create new housing to fill the gap, and also assist the city in achieving diversity within the mazket unit mix (policy 5.4). Encouraging the production of renta! hausing, policy 53, includes advocacy for additional reforms of state taac provisions. We support this in terms of revising the tax system to narrow the taac disparity between rental and owner-occupied residential property, especially that available to very low-, low-, and moderate income households. We commend your goal in Point S.S.a in terms of streamlining the administrative process, but believe that the citizen participation portions of the zoning process must be maintained. Our consensus study would support Point S.S.b, if the lazger homes aze used only for additional, urban-style affordable housing. Strategy 3:Ensure Availability ofAffordable Housing As your initial description of the current housing situation so aptly puts it: The availability of safe and decent housing affordable to households who earn low or modest wages is critical to both the economic health of the � community and the welfare of those households and their neighborhoods. We concur that there is a need for affordable housing throughout the Q 2 � �� a o V w � ' � v �� c' � g � o O < v �' � � 2� 2 � metropolitan region and our �ocal, regional and state positions are used to suppoR and lobby for more affordable housing supply and options. While we support this goal, we do not believe that our own (St. Paul) success, and other's lack of will, relieves Saint Paul of its obligations. We agree with your suggested plans for action in 6.l.a.b.c.d. The League also supports the portion of the plan calling for collaboration with its public, private and philanthropic partners to identify and secure significant additional resowces to enable the preseroation and construction of affordable housing, both within the city and throughout the region. (6.2) Point b would allow neighborhood housing agencies additional revenue for affordable housing, while Point c could leverage partnerships. We would recommend, though, that the latter specificaity define affordable as 40% of the regional median income, before any partnerships be undertaken. Section 63, preserve existing federally assisted housing, includes several inuiguing ideas reguding property stabilization and Section 8linkages. We encourage the city to continue to work in these areas, as well as committing to modemizing and maintaining the city's own housing stock (63.c). Section 6.4 is a worthwhile strategy, but incomplete, wii3�out a specific numerical goal. We ask that you define modest and tie it to the goal cited in 5.1 of 300-400 new units per yeaz. Further, under 6.4.a, public financing should be used to support the modest wage eamer, and require that 40% of the units be affordable to those with incomes below 50% of the regional median. Likewise, in point c, we believe the goal of the 20% of the units affordable at 60% of the regional median does not address the target earnings population. Supporting the work of community-based development corporations in producing affordabte housing should be supported through transferring vacant public property, and we suggest that, in the experience of the city of Minneapolis, this will begin to be accomplished once a specific annual target is set. We also advocate housing policy that will Support a variety of initiatives that will allow Lower income households to move into homeownership. (6.5) Within that, points a-g aze all laudable, but lack definition of specific attainable goals or commihnents. Working with a problem in isolation is ineffective, and points 6.b and 6.7 acknowledge the targer picture of agencies and seroices that can be brought to beaz on this issue. Undertaking the problems, aad potenrial, associated with smaller, privateIy-owned rental housing units is a challenge we are happy to see you beginning to explore. There are responsible and irresponsible property owners, and the city should continue to work with both. Again, action is more likely to be taken, if specific attainable goals aze set for a-e, records kept, and results raported. Summary During our most recent housing study in 1992 we interviewed many people with special knowledge and e�cpertise in city and regional housing. We discovered that the housing programs in St. Paul were targeted towazd alleviating the economic housing pressures being experienced by the middle-class home owner. The ciTy was concerned tk�at after many yeazs � � i �9-90 � of federal programs supporting the lower-income citizen, that the middle class was being squeezed out of finding a home in, or even staying in, Saint Paul. Programs became geazed towazd supporting that economic sector. We think it may be time for the emphasis to once again shift. Federal housing programs and dollars have dried up, and we can't fill the gap alone. But we need to take a closer look at our priorities, and in addition to working toward additional regional, state, and federal solutions, pledge our own efforts to those in most need of affordable housing those who earn minimum wage, or even 30-50% of the regional median income. This draft housing plan appeazs to be a good beginning, and we challenge you to set specific numerical targets to spur achievement, as well as recognize and begin to ameliorate the lack of affordable housing in Saint Paul. We thank you for the opportunity to enter our comments. � � � w � o o V � �� "` O �" � � 4 '�V ��, � � � _� � Q s � � ST. PAUL TENA�LT,S,��T�ON t S �. ....: �. i" �.. t... St Paul Planning Cammission Attn: Crladys Morton, chair � .. . � 1300 City Hall Annex ` 25 W 4�' St St. P2u1, MN 55102 e ��t��UIY�i� UtVFJ.uPms(qj Dear members of the Planning Commission, 11 December, 1998 Thank you for the opportunity to give input on the Comprehensive Plan. I would like to take dus rime to share some commenu with you. We at the St Paul Tenants Union have some concems about the Housing Plan and a few suggesrions for its improvement. First, a word about how some St. Paul Tenants Union members aze personally affected by the lack of affordable housing. We receive about 8,000 calls per yeaz from tenants with a question about theu rights. One of the trends we noticed was that more families were being forced to seek otfier housing due to lazge—but IawfuI--rent increases. Several tenants who joined this yeaz have faced an increase in their rent of more than 15 % over one yeaz (Wages went up by an average of Z% in Minnesota last yeaz, according to tfie Department of Economic Se�curity). Two members who joined in November had their rent increased fow times this yeaz. The last rent increase proved too much for one of them. To find new fiousing, she paid seventeen applicarion fees totaling over $400. The other tenant fazed worse: she has an Unlawful Detainer on her record because she was late on her rent payment once while her mother fell ill. Because of the IInlawful Detainer, she cannot find housing and may soon become homeless. Another trend we noticed at the St. Paul Tenants Union is that, because tenanu aze aware of the housing shortage, they are more afraid to bring matters to the attenrion of managers or inspectors for feaz of retaliation. Reports of retaliation rose by 15% this yeaz, diserimination by 2 t%, and concerns over the lack of affordabte housing by 32%. The Ioss to the tenams is great: one African American woman is now sleeping on her living room floor with her two childreq because her bedrooms aze too cold She also deals with a kitchen with no working oven, stove or freezer, and her drain leaks, amacting roaches into her apartment. She feeLs thaY she must put up with these conditions because she has no other choices; she doesn't want to end up homeless like her cousin and her three kids. The net loss to the city, besides the suffering that residents endure, is that ow housing stock continues to deteriorate, faz more quickly than would be the case if the landlords were afraid of losing their tenants to a landlord with a better-maintained rental uaik � z z s�� n z 0 � 0 ° � c 2 s r.m z Ttte 1.8 percent vacancy rate (lower for larger apartments) means thai mazket conditions favor landlords and encourage those landlords who aze unscrupulous to ignore the conditions of their apamnents. Would tenants let a building contiaue ta dete�iorate beyond all hope of repair if market conditions, namely a healthy vacancy rate, were more in their favor? It would be been cheaper to maintain units if tenants enforced their rights when conditions began to deteriorate. The Housing Plan coaectly points out (page 13) that it is cheaper to maintain and preserve than to tear down and rebuild I propose a different conciusion than the one pmvided in the � Housing Plan (Page 11): preservation is the primary objective, but for the reasons mentioned 5Q0 Lau� AvEN�e ST. PAIIL, Mx 55102 (612J 224-6 - Fnx (612) 222-0931 s , a � r R A � � � � � � � 99-90 above, creation of new units of affordable housing should also be as high of a priority. The � desired effect of a well-maintained housing stock requires a more reasonable vacancy rate. Given the current labor shortage, it is unreasonable to move low-income tenants out of the metro area We need to build more housing units affordable to them. Strategy 3 in the Housing Plan, which deaLs with creation of affordable housing, pages 11-17, does not meet the needs of low-income tenants. Although on page 3, it is noted tha# 7700 families who aze making under 30 percent of the regional median income pay half or more of their income into rent, there is no numerical goal of new units anywhere in sections 6.1-6.6, except supporting non-profit or�anizarions in creating 25 uniu per year. Seventy-three percent o£ St. Paul Tenants Union members eam under $20,000 per yeaz (azound 30% of the regional median income, or RMI). Close to half of them (483%) aze on a fixed income, at or below minimum wage. Nothmg in the plan addresses their needs. At best, it mentions (on page 14) that 20 percent of new housing will be earmazked as affordable to people eaming 80 percent of RMI, which would be azound $48,800 per yeaz', half of which would be affordable to 50 percent of the RMI, or $30,500 per year. People who earn 80% of RMI could afford $1220 per month in rent, based on HLTD's standard. The most recent Apartment Search Profiles notes that average rent for a one-bedroom apartment is $521, and $916 for a three-bedroom! Cleazly, households making 50 percent of the RMI do not need a subsidy to afford adequate housing. Families earning less than 30 percent of the RMI, or at minimum wage, do need this assistance. This is why 3,000 people signed our peririon, calling for crearion of 1, 000 new units of rental housing affordable to people earning minimum wage. � The Comprehensive Plan should strive to meet the needs of people - like St. Paul Tenants Union members - on fixed incomes, earning minimum wage, ot less than 30 percent of the RMI. To do this, the Planning Commission, Planning and Economic Development and the Met Council need to assess the needs of these groups of people. Once we know how extensive the shortage is, the city needs to make a commitment to build enough units. And low-income tenants need to be part o£ this reseazch-and-planning process. It has been azgued that jobs aze moving to the suburhs, so thaYs where we should huild housing, not in St. Paul. However, there is a lack of information about lowest-income jobs. Apparently, neither the city, county, Met Council or state is keeping track of people after they move off the MFIl' program. Are they working? What jobs aze they working? Where? At what wage? Do they need public uansportation or child caze? Did they move? Where? For what reasons? The city cannot make action plan if it doesn't have this informarion. Second, if jobs aze the issue, we should create new jobs in St. Paul. We support the city's downtown development efforts. Whenever development money is used, it should go to help provide jobs to St. Paul residents. Every downtown development project should include funding to build housing in St. Paul. This way, when we spend our tax doilars, Si. Paul residents can work at these jobs, contributing to the ta�c pool. Finally, in the meantime, don't tear down any units of housing until there is sufficient evidence that enough safe, adequate housing will be built, in the same azea and with the same general rent We can't afford to deepen the crisis. p�C�tVE� i\ � ' Figure of $61,000 was given as RMI at December 7t Public Hearing �� 1gy p,�pflNING & ECONOMti� D�� We offer the following specific suggesrions for improvement of the Housing Plan: • Where the language says, "encourage" the creation of affordable housing, the city needs to � make a"commitment" to build affordable housing, with a • Numericat goat of a specific number of new units built (not rehabbed} per year. • Creation of affordable housing needs to be a high priority, the same as preservation. • Ptan needs to track specific needs and make specific suggestions for more income brackets. Specifically, add two brackets (minimum wage and 30% of RMI}: • Minimnm wage (—$I 1,000/ year) could afford �$275 per month in rent • 30% of RMI ($19,200/ yeaz) wuld afford $480 per month in rent • 50% of RMI ($32,000/ yeaz) could afford $800 per month in rent • 80% of RMI ($51,200/ yeaz) could afford $1280 per month in rent • Any public funding into development needs to provide funding for hoasing, and it needs to guaramee a certain percentage of the jobs created be for St Paul residents. • Moratorium on all demolitions until adequate reptacement housing is built, until there is sufficient evidence that the city has a plan and resources, and until an impact staYement shows that units at the same rents are available in the same general azea Specifically, the plan should be written and conceived in the following way. `' 1. Track information better, for the four income brackets listed 2. Have detailed, accurate needs assessments for each of the four income brackets. 3, Craft a policy which has specific goals and rimeline to meet the needs. 4. Oudine plan to secure resowces (private, foundation, non-profit, state, federal, city) We support Rondo Community Land Trust's suggestion that St. Paul commit to build 400 units per � yeaz. We think it should be divided among the various income groups as the need dictates. For exampie, if 20 percent of St. Paui's fanvlies who need hovsing eam at or betow minimum wage, 20 percent of the 400 built per yeaz need to be affordable to families eaming minimum wage, either through building more Public Hoeising, grivate housing with low rents or Section 8 vouchers. We want the city to have the flexibility to decide what Form the subsidy should take: up- front construcrion or Section 8 certificates. As 6 out of 7 Metro HRA Section 8 Certificaies were retumed unable to be used, ihe city needs to enforce acceptance of Section 8 Cer[ificates. As these aze rimes of a housing crisis, we stand ready to support the city in seeking bold solutions. For exaznple, the NaYional Alliance of HLJD Tenants reports that over 3 billion of federal dotlars were taken out of the Section 8 program and vsed for "disaster relief." We would enthusiasrically support a city effort to seek the retum of dvs funding. Thank you again for this opportunity to bring you our concerns. I look forwazd to a cvritten response to my comments. Please send them to the St Paul Tenants Union, 500 Laurel Avenue, St. Paul, MN 55102. D Sincerety R�CEIVE Mazk �� ! 199L Community Organizer ��ppNENT ouNlltil�� z Assuming a RMI of $64,000. This was given by Metropolitan Councif �seazch staff in October 1998. �� omen'� l��soci�t�on of Kmong �nd I��o, Inc. W.t1.�I.L. � A non-profit organization November 24, 1998 REC�IVED DEC 1 1 1998 Saint Paul Planning Commission 1300 City Hall Annex 25 West Fourth Street Saint Paui, MN 55102 Dear Members ofthe Planning Commission, f%►':t�� • !�� ia � ��„ , I had the opportunity to review the draft of the Saint Paul Housing Plan and would like to share some of my clients' concerns with you. Although the proposal addresses the issue of affordable housing with various objectives to pursue, its language, however, fails to convince me that the Planning Commission will, in reality, actively pursue a course that would "ensure [the} availability of affordable housing". 99-yo I work on issues of crime prevention and quality of life for a locai non-profit agency that services � the Hmong population of Saint Paul. Like other residents of the city, our clients have housing as one of their most important priorities. Many of them aze MFIP participants or SSI recipients and therefore live on an income of less than 50 percent of the regional median income (RMI). Affordabie housing, then, becomes an urgent need for them and especially for others who have lazger families. Also, with the influx of new Hmong families moving to the Twin Cities Metro Area, we frequently receive phone cails from people who are in dire need of adequate and affordable housing. Many of these new families live with relatives in overcrowded rental units, and all of them run the risk of eviction because of this situation. As you know, the vacancy rate for all rental units is hovering below 2 percent, making it very difficult for these in-migrant families to start a new life here. In addition, because of this tight market, rent has become incredibly high, causing additional stress on my clients' budget. i I think that the Planning Commission, Planning and Ecflnomic Development, and the Metropolitan Council should keep track of people like my clients, and come up with a needs assessment for people who are eaming minimum wage and for those earning under 30 percent of the RMI. Preservation of existing affordable housing is important, but the creation of new units is as high of a priority which also needs your commitment. T am particularly concerned that, without a numerical pledge for new and diverse housing units, the Planning Commission might rely on the fiitering effect to provide housing that is simply labeled "affordable". 506 Kenny Road • St Paul, MN 55101 • Tel: (612) T12-4I88 • Fax: (612) 'Z72-4Z91 • Email: wah]@future.net � I am urging you to craft a policy that would be attenrive to the economic and family needs of the residents of the City of Saint Paul. Developing downtown to meet the needs of "Empty Nesters" and reflect the market trends is a smart investment, but I caution you against downtown gentrification which will reduce the number of affordable housing available to lower income people. Again, I find the lack of committed language in the Housing Plan draft to be unsettling in this dialogue of affordable housing. It is imperative that the Planning Commission assumes responsibility for the preservation and development of housing that will be affordable to all segments of the population, whether that is done through building new housing units or throngh promoting greater access to hnm20��fi!?rgl�in. Thank you for your time. I hope that you will take these concems into consideration for the implementation of the Comprehensive Plan. Shall you have any questions regarding this letter, please feel free to contact me at 651-772-4788. i America R �eE�VED � � 1 1998 '��NlNG & ECONO�q1C0�VE�ppMENT � � Best regards, • i • � Ci � 8rom: GC COMPUTERS csolvex�nn@yahoo.com> To: PEDD.PED(homans) Date: 12/B/98 7:SSam I read with mixed feelings, various articles about "afforable" housing in St. Paul. z see our city in a no win,lose lose position. A question to be asked is what do we want for our city? Is it our desire to become a magnet for the poor, hungry, huddled masses yearning to be free. If that is the case we will be a city in perpetual crises similar to New York. We will never have enough "affordable" housing because the more we provide,the more who need it will come; from minneapolis,detroit,chicago and across the country, much as they did when it became general knowledge that our state had more generous welfare benifits than many other states. The poor will be with us always but our city and state governments must reconize that as we provide more and more taxpayer supported housing, food, shelter,medical care and jobs, the more sick/homeless/hungry/under and unemployed people we get. The more we get the greater the strain on the taxpayer to provide and pay for those services; and the more the recipiants of this come to view them as a right they are entittaled to. when do we reach the point when we realize that we are nolonger caring for just our fellow St. paulites or even minnesotians who have � fallen on hard times or are simply less fortunate but for the poor of dozens of other states who are not so generous with their tax money. That is wrong. The only way to correct this situation is to nationalize welfare, and make the rules and payments uniform across the country. This should include government sponcered housing and the percent of government housing per state, should be uniform as well. Our state should concider a simple residency xule acceptable to the courts. Would they accept a one year residency rule with no exceptions as part of eligibility for any assistance of any kind housing included?? When do we reach the point when we realize that high conoentrations of poor often equells a high concentration of crime and social problems which in turn encourage the flight of middle class families to the suburbs to get away from the crime. This is not a race issue as some claim. This is a money issue...and always will be. cliffton sanders St. Paul DO YOU YAHOO!? Get your free c�yahoo.com address at http://mail.yahoo.com � RECEIVED aEC 1 9 '49� P,LANNING & EC�NflMlC DEVEtOPMENS 22 Octoba 1998 To: Nancy Homans via Fax (652) 228-3220 Fmm: CIifton Brittain t980 GoodrichAveaue St Paul, MN 55105-1544 Voice (651) 690-12'7'7 Fax (651)698-6941 �Nia1: BrittCiif@aoLcom � CC: Mac/Groveland District Council ke: Saiat Paul Housing Plan T agee with most of the plan. However, I would like some clazifications and expaasions for my oum infarmauon so that I can develop a more infortned op9cripn. Wbere T most disagee is in the third stategy in wLich 8�e plea detaches iuelf from the currenr economic and poliucal situation. While some of the proposals are desirable and workable, the bulk do nnt engage reality as I see it Please clarify/provide additionat informarion to me on the following poiirts of the Draft: . 2.Q Ia�oducrion � Paragraph 3: "Secondty, the plan recommends that Saint Pavl aggressively work w capture its slurre of an emerging marKet of smaller households... ." I assume that yon mean by "eaphue its share" thaf you mean a% of a particular eohort ia relation to the region's pop�latian in to1a� or ia re]ation to thaz whort. Can you be more specific? 3.0 Key Trmds Item 4. Which neighborhoods are "characteri2ed by declining or srag�ant values.. " Item 5. May T conclude tfiat 7% of St Paul's population, by household, is below 30% of the re�onal median (7700/I17000)? How dces t4at compaze to the region as a whole? Can you refer me ta wncise demogaphic information of this iype? Does it get down to neighborhood detail? 5.0 Stretegy 2: Meet New Mazlcet Demaad It seems to me that the cohorts you enumereTe have very different hnusing needs, even t6oughthey are numericatly similac. Young farnities have a need for wide open recreational spaees (e.g. the azea around Mattocks Pazk). Older farai}ies have aneed far s6ort walking distanees aad securiry (e�g_ Galtier Piaza), plthaugh a neighborhood could be created that meets both needs, developers are (regrettably) segegating those markets. Unless you are creating an i�egated plan, I think you ne�d to segneP,ate tl�ese markets for Pj�B P�Poses. Point 5.3 Encou:age the production of reutal bousiag. — , . _, � 10/22/98 THU 20:41 /.- �� C_� � FA% 651 698 6941 BrittalniLadtter As a citizea aad �xpayer, I want property values to increase so that my propor6onete burden is lessened Your commeat "There are few incenrives for owners to hold down rents..." seeins economically wveasonable. Why would any owner warn to hold down rems? ALso, "._.adequately maintain their propertiu:' The incentive to maintain or enhance propeities is to get higher renu. The only ezception m this would be landlords w6o are cma6ng ghettos. These siwations should be dealt with in a regulatory and con5seatory manner, not by supply and demand. Point 5.4. In the eonsmuuon...meet the divecsity of the market You seem to be poiming in the direetion of what liave traditionally been tenemenu. Ls this what you mean? Is the objective to design livable ghettos and tenemeats7 Strategy 3: Ensure Availabitiry of Affordable Housing I thi�ilc the cart is before the hone here. Housing is not affnrdable because incomes are insufficient It is aot the fault of the }wusing, nor will affotdable housing relieve insufficieat income. It could be argued that affordabte, subsidized housing helps to peipetuate lower incomes by subsid;� low wages. lf the problems is low wages (and it must be, because we tiave close to fiill employment), affordable housing wilt do noUung to alleviate ihe problem. Regarding the eight specific proposals to implement flsis poIIcy, I could go on and discuss specific objections to each of the points, bvt they all fall into the category of objecaon to the premise that affordabie housing is a good thing to make our objective and that it can be achieved in our economy. if you were to subs6tute the phrase "adequate income" for "affordable housing" ia the preamble, you would be much closer to solving the problem. My thought is that the region needs w idenrify the minimal acceptable housing siivauon (people per room, people per square fnot people per toile; whatever), devdop costs and prices for such living situations, and then design living units that will accommodate those densities. If housing wdes do not support those densities, then tl�ey must be chenged. In an ewnomy in which there are such huge income differentials it does not seem to me that they can be single family dehched, or even attached, homes. My guess is that they will ]ook like dosmitories or barracks or shelters. These affordable units should be layered into new developments (e.g. u second floon to new commercial developmenu, like at Selby & Dale). They shouid not be ctustered together, as m a�etto or a high-rise. There is no doubt in my mind ttiat affordable housing is not equated with desirable housing. �thout subsidy, it cea't be. Inasmueh as the rucreat political cIimate will provide fewer and fewer subsidics, the options exploted must be more market driven. The whole S�ategy 2hree azgues with the eeonomic reality of the late Twemieth Century. Tn the end, you caa't azgue with the market @looi `� • r � RECEIVED DEC 0 9 f998 Saint Paul Area Colulcil of ��t�§"or�ic o�ve�oPn�� 16715ummit Acenue • Saint Paul, Ivf� 5510�-1SS� •(612) 6-66-SSO� • FAX: 6166SCti The Saint Paul Plannin� Commission Attn: Gladys Morton, Aousin� Plan Task Force 25 �uesi Foarth Street, Ste. 1300 Saint Paul, MN 55102 - Re: EresentaYion at Public Hearin� of Citv Council and Plannin� Commission on the Draft Saint Paul Housin� Plan D�ar iti:s. lYSortor: I arrived late to the public hearin� and was not able to make my presentation. I am therefore submitted nry remarks in wriYin�, as you indicated would be possible. I am the Director of Con�regations in Community for the Saint Paul Area Council of Churches. Our members aze indi��idual mainstream Christian congre�ations in the East Metro. There are over 550 con�reoations in the East Metro. The reason I«as late because I�vas attending an open house earlier in the evenin, in Maplewood on thz count�� proposal to locate its shelter for homeless families in tiSaple�cood. I�cas there to support that proposal. Ho« e� er, you should Icno�� that a number of �iaple«�ood rzsidents oppose � that site. One of the most frequeat reasons I heard « that it shoidd be locatecl ir� St. Paul where n:ost of tlie trsef•s of dte sefti•ire m�e fi-a�t. i�1}� response �cas that the �Iaple��ood site �ras d:temiined to be the hesr location bt th: Count�� site selection team. \e��ertheless. it does pose an interesting obsen�ation �chich speaks to thz heart of m� przsentation, that the Cit�• of Saint Pau! nezds to address the ne:ds of its citizens. and in panicular. its most ��ulnerabie citizens, the poor, the discriminated aQainst. and thz homeless. IL ma} sound nicz to sa� tha? th: suburbs need to pro�'ide their fair share of lo« and moderatz income housin�.1'ou ma}� b: committed to making that happen. It doesn't, ho«�ecer, lessen y�our responsibilitc to address thz needs of all of �'our citizens. R'hile the draft plan is a good start and the City should be commended for in�•itins public comments, the plan needs to be rz��ised to pro� ide for more specific numzrical housin� �oals and more fully address the e�isting housin� needs, particularly� of lo« income and homeless househo]ds. I�� ould also like to aclato«'ledse the «ork of \anc}� Homan. She did a very competent job in idzntif}�ing the problems and trends'in the City of St. Paul. She also �ti'orked hard to be a��ailable to the communit��. 1e�ertheless, �ou heard o��er and o��er from those that tescitizd that there «ere problems «ith the drzft plan. F,rs:. :i�� plar, snould use data on the Cin's median household income_ not the reeion's. The i2:_:- ro: o^I� distort; tn: estent e: the problem. but rzsult m stra:e_ies t�a: �� i![ not «�ork. J�cor:c. �n: p;a:, does no: address tne needs of lo«-income households o: hous�aolds leacinQ tn: shel[er. Aeain, as «as noted zt the hearinv, tne Cit� nezds to address the housine needs of � �19-90 � households that make less than 515,000, who cannot afford to pay more than $300-400 per month . As an a�ency �chich assists homeless families, �ve can clearly see the difficulty in findin� affordable housin� in Saint Paul. We have seen the demand for overflo�v shelter �o from a five month pro�ram to a year round pro�ram. We have also seen the vacancy rates drop to less than two percent and the cost of housin� increase. The City cleazly needs to �vork with the County and Met Council to provide an adequate supply oftransitional and lo«�-cost housing. I do take exception to the landlord �t•ho stated that the City should acquire existin� housin� units rather than rehabilitate i�ousin� units and construct ne�� housin�. He may not realize it, but he is contributing to the housin� problems by acquiring rental properties at a lo«' cost and then rentin� the units out at a higher cost. Acquirin� existin� units does nothin� to increase the supply of affordable units. Rehabilitatin� units maintains existing affordable housing units. Constructin� low income housin�, adds to the supply of affordable housin�, as does the sale of some housin� units w},en re;ired famiiies move oat of iarger iiomes io sma:ler nousin� :mits, e.�. apartmencs and condos. One of the other speakers su��ested that St. Paul needs to attract middle and upper income families into the City. You are not �oing to achie�re that �oal by i�norin� the needs of lo«� income and homeless families. Quite the opposite, by improving the li� ing conditions of the poor, you will make the City attracti�•e to ail. If nothin� else, I hope y�ou Qot the messaoe that you can not demolish existina housina units �� ithout hacing repiacement housing a��ailable £irst. Look at what happened «hen the � Lake��ood Housina Units «ere dzmolished. As a result of the demolition., there «ere fewer affordable housin� umts in the Cin of St. Paui. There also «as a net lost of housina. Some of the familizs displaced b}� the demolition ended up in ��•orse housing, but pa}•ing more. In closing, on behalf of the Council of Churches —«e see this as a moral issue — ��'e urge you to rz-��rit: the plan, inco�o:atz mor: specific numeric Qoals. use Cit} data and not rzgiona] date to establish affordablz hou_ia� standards, address the housine needs of io« income families, and take responsibilit}� for meetin� the housina needs of ali r'our citizens. rather than depznd on the suburbs or blame the suburbs for not meeting the needs of the Cit} of St. Pau1. At the same time, I«ould encourase you to �� ork ��'ith the Met Council and State Leeislaturz to open up the suburbs for ail t}pes of housin� and address the �ro�cin� problems or urban spra�cl, inereased searzgation, concentration of poor, and reaional disparities. Sincerely, t ��-�..�ZG� , I.t� - Robert G. ��'aiz, �1S�t� �� Dirzcto* of Coneresation> in Comm�mit� �ECEI�/�� DEC �J i 199� �1i'�N.�YtNG & ECO�Y�7b',tc D=�!_! O�M�`{; � Sherilyn Young 71 W. Isabel St. #1 Saint Paut, MN 55207 651-224-7308 Comments on draft St. Paul Housing Plan Housing on the �Vest Side flats 4.1 I appreciate the acknowledgment of the challenge the City faces to intearate significant redevelopment and netii� construction into Yhe existing city fabric. I am especiaIIy concemed about housing development on the West Side flats in the industrial district. It «11l be very easy to build housing on the riverfront that is not in any �vay connected (by architecture or sense of community) to the existin� residential area on the West Side. 5.1 The map of potential housing development sites indicates that the West Side may be the recipient of larger site housing development. I believe the placement of this potential development, in the middle of the industrial area and nearer to downtown, «zll isolate the new residents and make community connections extremely hard to build. I su�gest large site development be contiguous to the current residential area. I do support the actions indicated in a.-c. Cade Enforcement 4.� The Plan indicates the need to �vork nith property o�ti�ners on a resular basis rather than rel� on a complaint based system. I a�ree this is ven imponant and recommend that the pian state that thz Citc �iill take steps to c;�ork «�th the District Councils �i�hen properties are id:ntified as potential problems for code enforcement. District Councils ma� hatie helpful connectionc and resources to help facilitate this enforcement in the contest of community� buildim� 4.4 Good' Rentat Propem�/Housina 4.� Good! Ho�3�ever I�could like to see an equa] focus on the renters themseives. For e�ample_ the ptan should state that traininv for renters, as ��ell as landlords is a priorit}�. Welcome packets could be developed for new renters in the City, �vhich could be distributed throu�h the landlord connections made in this strate�c� �.=.c. Good. �.3.d. I don't understand w•ho �tirill share the responsibi(itt• for maintenance and upkeep of propem . Affordable Housing 6. I_ 6? I am conczmed that the Cin ��ill place too high a priorin on ti+o*kin�= to make sur: othzr re��ional communities protiid� affordable housm=. not concentratin_= or, S?. PauI. I don't beii:�: this stratz�_: should take precedence o�er anc other ctrate�n in this plan Thank �ou in ad�ancz for consid.nnU mc commentc' � � RECEIVEG� DEC 0 8 199€ PIANNIN� & ECONOMIC D'cV_��,=u� 99-9a RECEIVE� � Benita B. Tasselmyer 785 Aidine Street St. PauV, MN 55104-1105 (651)641-1037 (hJ (651-681-2196 (w) December 7, 1998 Please enter this letter into the official public testimony for the City of St. Paul Housing Plan. The draft document cails for adding housing density in afI parts of St. Paul as well as adding housing units that are "affordable" to households at various income Ieveis. Both of these ideas have merit and shouid be a part of our housing strategy, but the document isn't ciear enough on how to make this happen and ignores some important issues that must be resolved in order to get neighborhood buy-in of the plan. Issues that appear to be overlooked are: • Stretegies to determine the fair share of "affordable" units in specific neighborhoods • Strategies to attract high-income households to middle and Iow-income neighborhoods • Strategies to retain the high-income households that are already here • Providing the kinds of housing that senior citizens really want • Guidelines for creating accessory apartments that wiil not destroy neighborhoods • Programs to encourage "mom and pop" iandfords to purchase and maintain property • Neighborhood determination in deciding what kinds of housing to buiid and where to build it DEC 0 8 19gE ��81'IN1N6 & ECONOMIC DEVELOP�EN1 There is a Iot in the pian to make sure that housing is kept "affordable," but very littie on how much should be available at each income level. Also, there is no suggestion that the plan wiN heip break � up current pockets of poverty by spreading tne "afrordable° housing throuahou! th� city. People in neighborhoods want to know the total number of housing units th2y mus; plan to a�d and how many of those should b= priced to serve peopie who cannot afiord market-value housing. One important goai of thz housing plan mus: be Yhat "affordable" units blend into the:r s��rroundings +n such a way tnat a passerby cannot teil the "a`ordable" housina from tne marke: r=;e housing. The pfan lacks any strategies to a`tract hiah-income househoids to Cne Ci.y. par �ularly to middle 2nd low=r-income neig�borhoods While this idea may be considered to be a h��o s=11. it is important to mention a��racting hiah-income households throughou± St. Paui Also tne plan must define ways to retain the high-income people who are already here Th=se peop�= have the financial means to invast in their prop2rty and also the resources to become responsible landlords or business owners in their own neighborhoods. Most peopl= in this category we�t to maintai� the single-family appearance of their neighborhoods and will not weicome added density uniess it biends in with what is already there and doesn't crowd the streets with extre cars. Most senior citizens that 1 know do not wish to live in a high-ris=. They want to live �n low- maintenance, walk-up style housing that is ail on one floor. They want to be close enough to walk to neighborhood businesses and be located close to public transportation. Two cr three story buildings would be appropriate as lono as elevators are provided Aiso. senior=_ con't want to live in senior citizen ghettos. but want neiahbors m all age groups. They want to sta;i connected to th�ir communities Mar.y s=niors like a small aard=n to pl2n". 2 fzw flov�=rs or v=:�tabies. and that is not f�asibi= in a hioh-nse B2c�use hiah-nse buildmas isola±e res:den:s frorr ;-:= r<s: o` the ne!anuors tne Ci�� should not plan to budd th=_m A`=_� W�r�d Wa li :nc seve2 ncus r.c s�o!;2oe (25U�icC if ^l2^V 5"!_!c- cTl; �'�"'lE5 CcTC � C'�Oppctl 11 1'IIO STch c:'cRTc'lI5 TT1I5 QEST,'OyEO t!lE c�C�IS2CiU'@: i2e;J"c< O` .'-c^.� �OTi25 811d drama:icaliy altered tne characte� o` neiqhborhoods It has taken m�ny y�a�s o conveRing houses back to singk-famdy to overcome much of this damage, but tnere ar s.,C lage numbers of homes with tower values due to these conversions. To prevent future mistakes, the ruies for creating an accessory apartment should: • Permit an accessory apartment to be created only in homes with 2,300 or more square feef of living space • Only permit accessory apartments with at least 900 square feet of living space • Require the addition of one off-street parking space for each bedroom of the accessory apartment • Require removal of accessory apartments before selling the property The City should find nvays to encourage "mom and pop° fand(ords to mainfain property, especially "affordabie" housing. One way is to greatly reduce the non-homestead property tax rate for landlords who agree to reguiar inspections to insure their properties are maintained at specified levefs. Give tax credits to tand(ords who own six or less unifs and are atso residents of St. Pauf fo encourage local ownership, Create a City office to provide free legal assistance to landlords who are willing to take Section 8 tenants. There are a lot of things that would help current landlords to stay in business and encourage more residents to become tand(ords. These ideas betong in our housing plan. �inally, the housing plan witi not work without neighborhood buy-in. fVeighborhoods should develop design guidelines and determine where housing should be built and what it will look like. The City should encourage neighborhoods to become the developers, or at teast allow neighborhoods to select the developers who wi(I buitd what the neighborhoods want. The currenf system of reacting to mitigate undesireble elements after a developer makes a proposal does not build community - it only buiids distrust. In order for the housing pian to move off of paper and into reality, it must be �eighborhood-driven. The City sfiould serve fhe neighborhoods, not fhe other way around. --> -- -> i-'' � .� ��,� �� ..__,t4 ,.��_.: _ Benit2 B Tasselmyer RECE[VED Q�� 0 $ 1998 FzANNING & ECONOMIC DEVEtOP.�AE�� _ r 1 � � ►_.J ` J � � .KtcEivED � � : U � i998 Deaz Ms Morton, �EtANNfNG & ECONOMIC DEVELOPM� December 8, 1998 I am Christy Shisler, and I am homeless. I was at the City Planning Public Hearing at the St. Paul Technical College on December 7"'. The woman speaker for ihe council Gladys Morton, outraged me. She kept talking about their time limit. Their time is up at 8:30. At ihe end of the meeting she said "you people". I am one of those people. �Vhat did she mean by that? By 830 I am hoping and praying to God that I have found a safe place for my children to sleep and was able to get them something to eat. But for `you people" by 8:30 you are ready to go home and eat your dinner. I would bet you each a hundred dollars you don't have to look for a safe place to sleep or worry about what you aze going to eat. For "you people" have to do is dig in your pockets and take out the keys to yout home. Then turn on your lights and go to the kitchen to find something to eat. Do me a favor and watch your icebox for 30 days and I will guarantee you it will never be empty. If it gets low all you do is go get into your caz and drive to the grocery store. All you have to do is go to the grocery store and pay for it. All the time I was there only two people spoke to the council besides myseif that know what it was like no to be able to afford a descent home. The rest of the people that talked to the panei have descent homes to go to. They probably don't even know how it feels to go to bed hun�ry, feeling of sadness. shamefulness or anLry that comes within you when you are unable to feed your children and sending them to bed hungry. Also hopina they will be safe when putting your children to bed. Don't get me wrone the people that spoke want the same thina we do. We need homes that are affordable for all peopte including mysel£ �k�e desperately need people to tall; to '��ou people'� that can speal: your lanQuase. Wh}� would you listen to a person like me that doesn't have a good job or good standino in the community? �T�hen you have people in front of y with a good job. good standina in the community, and say w�hat you �cant to hear. Except there is a whole lot of'vou oeoole" lil:e me that has somethins to sa�. Usually I don't get im�olved in go��ernment issuzs. but I did go to this meetino and the cioman speaking for the council made me angry. Her main concem was her time deadline and her feelines about `'you people". For I have a time limit set upon my family and myself right now. At the present tune we aze 'sn a family shelter, and the}� hace gi��en us tune limited of 30 days to find and obtain affordable housins. I understand there has to be time limit, but how can you put time limit on homelessness. None of you that are goina to receive this letter can give me a tune limit on how long myself and my children are goin� to be homeless. Vdhy «ould you care about that unless we found something in a condemned or sleeping in our car b} yrour home? Then you miaht get involved, trying to get us out of your neighborhood. NO WAY! You aze so willino to help us when you are sitting up there �rith your store bou_ht clothes. your secured homes, drivins your cazs. shoppine when �ou need somethin�. But helping the people that need help is now. Just to sa} w�e are proposin_ a plan that ��iil hace this situation changed b�� the }ear 20?0. SO CO�1E Oi�i PEOPLE: lool: z* it T�om our position. I ha�e enclosed some rental papzr tha*, the family shelter gz�e us to look for zftordable housins. Look a2 the numbers: for mos: of cou there won t ix an}' problem and still tx able to afford e�'erything you and �ou* family needs and wants. But that isn't possible for us. �h'hy don't }'ou tn to suni�e each month 99-qo on what we get? See we lived here last year and we had the same problem We finally found a one-bedroom duplex that would let us live there �vith five children. But guess what; the city came in and told us we had to move because there wasn't enough square footage for that many people. So we were homeless again. You se when �ve moved back here we had a place to live. We both have jobs, even though I gotten seriously ill there for a while that I was in the hospital for a week. I had a surgery on October 29'�, released on the 31�`, and was back at work November 4�`. Even though I was in much pain I worked 4Q hours that week. So my chitdren couid have a safe home and be abte to eat. So there is no way you can say I don't try and care. On November 22, when we became homeless again, we not only lost our home; we lost our jobs and daycaze. Since we don't have a caz of our own we couldn't get to work because not even a bus goes out to our job site. Plus where we were living thai was our daycaze. We lost everything in one shot. So now we have a time iimit. We on2y have 30 days to get back on our feet and fmd affordable housina. And that isn't easy, as it seems. You can look at the prices for yourself. More than likely we will spend all the money we get to get into a home. So what do you tell an 8, 6, 4, 3 and 1 yeaz olds that Christmas isn't coming to our home this yeaz. When all of them believe in Santa Clause. Tell me how would you handle it? So please take a real good took at what needs to be done. The Reverend who spoken about the elderly woman on the bus; had a real good idea. Get up, get out of your council's chairs and do something that will count today not the year 2020. We need the help today not tomorrow. Please try to do what you think is best for the people like me. Thank you for your time. Since v Yours �� ,.�..,...vLS-1 � V�� 0 �� p� �� E � N ph � . � i y9-9c� � � TO ALL THAT DOESN'T KNOW: For "you people" that do�sn't have a clue on �vhat a homeless shelter is like this letter will inform you of Ihis. .I am residing at Catholic Chazities Family Shelter. You are allowed to stay 30 days per quarter. So they understand on how hazd it is to find affordable housing. They give us a safe place to sleep and give us three mezis a day. Pam James who is the Housing Advocate that assist you to fmd qualified programs that assist your in affordable housing. She is the reason we might be getting into the R.O.O.F. Program. That �vill help us get into affordable housin�. If it wasn't for her, we probably stili are homeless on December 22. If the R.O.O.F. Program doesn't accept us, I don't know what we are going to do. But the staffat the family shelter assists us in every chance that they get. Tr}� to be homeless, jobless and unable to find affordable housing . on whst we get without help. �� ,�gg�• �� oNON 1\�� EV �� e � \E �� N\0�'�'' . . � d°� �,f2rd � f _ t �t��rd � DEPARTMENT OF HUMAN RIGH"CS CITY OF SAINT PAUL Norm Coleman, Mayor W. H. Tyrone Terrill, Director 900 City Hall 1� W KelloggBoulevard Saint Pau1, tLLV »702-168/ �q-qd Telephone: 6/2-266-8966 Facsimile: 612-266-8962 TDD: 612-266-8977 To: Councilmembers Benanav, Blakey, Bostrom, Coleman, Harris, Lantry, and Reiter From: W.H. Tyrone Terrill, Director � � Date: April 1, 1999 Re: The Saint Paul Housing Plan As requested, this Department is submitting the following response to the City's proposed Housing Plan and Summary and General Plan. CITY COUNCIL AMENDMENTS TO THE HdUSING PLAN ADOPTED 3/24l99 1. AuthorCounci[memberBlakey:Locationpagel0,insertfourthparagraph: Discrimination continues. Des�te continuing efforts on the part of federal, state. and local eovernments, bias continues to act as an impediment to a sienificant number of home seekers in Saint Paul. HUMAN RIGHTS STAFF COMMENT: While an audit by the MN Fair Housing Center shows that home seekers in the rental mazket face an inordinate amount of discrimination, the bulk of the housing discrimination complaints that the Human Rights Departrnent receives aze terms and conditions and/or eviction charges. ALTERNATE LANGUAGE FROM HUMAN RIGHTS Discrimination continues. Desoite continuin� efforts on the oart of federal, state, and local ^overnments, bias continues to act as an impediment to a sienificant number of residents and home seekers in Saint Paul. 13. Author CouncilmemberBlakey: Location page 26, at end: 6.10 Work to overcome bias in the housine mazket. The Citv reco¢nizes that over thirty_yeazs have passed since the ori�_inal enactment of the Federal Fair Housine Act prohibitin¢ discrimination in housine and yet bias continues to affect Saint PauPs racial and ethnic minorities. the disabled and families with minor children. The task of overcomin�bias must be accepted as the joint resnonsibititv of federal. state, county and Citv govemments in cooperation with private and nonprofit sectors. To this end, the Citv will support; 1. Systemic testin� in the housing mazket to identifv bias 2. Enforcement of Saint Paul's human riehts ordinance in resoect to housine discrimination 3. Educational and outreach proerams directed towards housina including landlords. rental aeents, real estate sales �ersonnel, mortga�e lenders. prooertv aporaisers and An Affim�ative AcLOn, Equal Opportunity Employec pronerty insurers. ` / � / V 4. Outreach uro�rams directed towards neiehborhood oreanizations and district plannine councils to promote �rassroots awareness of theproblem 5. Creation of the Saint Paul Fair Housin�Council comprised of reoresentatives of citv govemment. the private sector. communitv a�encies. and the Minnesota Fair Housine Center which shall advise the Citv in its oneoin¢ work to identifv and overcome unlawful bias throush testing, enforcement. plannin�. education. and outreach. H[JMAN RIGHTS STAFF COMMENT: The City of Saint Paul began confronting housing discrimination in 1964 with the creation of the Human and Civil Rights Commission. In 1967, the present Human Rights Ordinance was created which, as amended, currently prohibits housing discrimination on thirteen bases. Responding to the specific proposals: 1. The Human Rights Department supports regulaz systemic testing in the housing market. Although over the past yeaz the Department has more than doubied the amount ofhousing discrimination complaints it investigates, the dearth ofcomplaints from those seekine housing indicates that more than a complaint-based response is needed for effective enforcement in this azea. Just as LIEP's testing program has resulted in increased compliance with laws prohibiting the sale of tobacco to minors, the Department believes regulaz testing in the housing mazket and enforcement of discovered violations will result in similaz rates of increasing compliance with fair housing laws. The Department is currently not prepazed to address the budget implications of this recommendation. 2. The Department will continue to increase its efforts to enforce the fair housing provisions of the Human Kights Ordinance. Amending the Ordinance to make it "substantially equivalenY' with the Federal Fair Housing Act, would entitle the Department to receive federal funding to aid in these efforts. 3& 4. The Department would like to increase its educational and outreach programs. Federal funding from "substantial equivalency,"as discussed above, would also aid in this azea. 5. The Department supports the creation of a Saint Paul Fair Housing Council provided representatives from this Department and PED are included. This Departrnent has developed relationships with a number of organizations who should be specifically cited as potential members of this council. ALTEItNATE LANGUAGE FOR FROM HUMAN RIGHTS: 6.10 Work to overcome bias in the housine mazket The Citv reco�nizes that over thirtv five years have�assed since it first beean combatinghousing discrimination with, first the creation of the Human and Civil Ri2hts Commission and subsequentiv the ado�tion of the Saint Paul Human Ri¢hts Ordinance. Yet bias continues to affect Saint Paul's racial and ethnic minorities the disabied and families with minor children, and members of the other e�ht protected classes included in the City's Human Rights Ordinance. The task ofovercomina bias must be acceoted as the ioint responsibilitv of federal, state countv and Citv govemments in cooperation with private and nonDrofit sectors. To this end the Citv will support• 1. Systemic testin� in the housing mazket to identi_ bias 2 Enforcement of Saint Paul's human ri ¢hts ordinance in resoect to housin discrimination 3. Educational and outreach oro�rams directed towazds housSn�providers includine landlords. rental aeents real estate sales oersonnel mortgaQe lenders oropertv appraisers and An Aftirtna[ive Action, Equal Opportuniry Empioyer pro�ertv insurers. �� D 4. Outreach oroerams directed towards neighborhood oreanizations and district plannina councils to promote 2rassroots awareness of the problem 5. Creation of the Saint Faul Fair HousinQ Councii com�rised of representatives of citv Qovemment (indudine PED and Human Riahtsl the private sector communitv aeencies legal services a2encies, the Saint Paul Tenant's Union the Communitv Stabilizafion Proiect, and the Minnesota Fair Housin Center which shall advise the Citv in its on eoinQ work to identifv and overcome unlawful bias throuah testina enforcement olanning, education, and outreach. 1�. Author Councilmember B[akey: Location page 28, at end: 73 Fair Housin� Planning Staff assi2ned to convene the Housin� Coordination Team shall also be assi�ned to the Saint Paul Fair Housine Council, as identified in 6.10 above and shall in cooneration with the Fair Housine monitor and evaluate the citv's proeress on an annual basis The Council shall in cooperation with assi¢ned staffDresent its findin�for inclusion in the Housing Action Plan and make such recommendations as mav be necess�rv and �roQer to fulfill the nlan and meet objectives towazds buildine an inclusive communit� HiJMAN RIGHTS STAFF COMMENT: The Department wholly supports this provision. CITY COUNCIL AMENDMENTS TO THE SUMMARY AND CrENERAL PLAN ADOPTED 3/24/99 5. Author Councilmember Blakey: Location page 26: Inclusive Community, We have no tolerance for racism and intend to Drovide the broadest access nossible to all benefits of communitv life in Saint Paul, free from barriers based on race or ethnicity The Citv will cooperate with the Minnesota Fair Housine Center and other interested community o�r anizations to identify and eliminate unlawful discrimination in the Saint Paul housing mazket, includina the rentai market, the for sale-mazket and morteaee lendi� HUMAN RIGHTS STAFF COMMENT: See above comments for Amendment 13 of the Housing Plan. ALTERNATE LANGUAGE FROM HUMAN RIGHTS: GP32, Inclusive Communirv. We have no tolerance for racism or discrimination of anv kind and intend to provide the broadest access nossible to all benefits of communitv life in Saint Paul free from barriers based on race or ethnicity or any of the thirteen nrotected classes provided for in the Citv's Human Rights Ordinance The City will coonerate �vith le�al services a�ncies the Saint Paul TenanYs Union, the Communitv Stabiliaation Project the Minnesota Fair Housina Center and other interested communitv or¢anizations to identifv and eliminate unlawful discrimination in the Saint Paul housin�mazket includine the rental mazket the for sale-market, and mortQaee lendine. If you are in need of fixrther assistance, please contact me at 6-8964. cc: Gerry Strathman Marcia Moermond An A�rtnative Action, Equal Opportuniry Employer � � �� HOUSING PLAN A Chapter of the Saint Paul Comprehensive Plan Draft for City Council Review January 1999 Recommended by the Saint Paul Planning Commission January 8, 199g CTI'Y OF 5AINT PAUL DEPeIRTMENi OF PLANMNG AND ECONOMIC DEVELOPMEp'i' qq _q� 99- 90 � • � SAINT PAUL HOUSIIVG PLAN A Chapter of the Comprehensive Plan Draft for City Council Review January 8, 1999 Recommended by the Saint Paul Planning Commission CITY OF SAINT PAITL DEPARTMENC OF PLANNING AND ECONObt[C DEVELOPMENT Comprehe�isive PIars 1 •� �� Contents � The vsion 1.0 � 2 .O �ntroduction , 3 , o Key Trends 9 4 0 Strategy 1: Take Care of What We Have 11 . 5 , o Sffate�ay 2: Meet New Market Demand 14 6 , o Strategy 3: Ensure Availability of AHordable Housing 18 1 , 0 ImplemenWtion 27 8 , o Appendix L J • 29 Comprehensive Pian g The Vision � �� y the ye�r 2ff2�J, the Ciiy of Sc�ir! Praui i-sri�I ha�.�e enjeyed t�vo decades ofsignificar�t phusical and ecanomze grot-vtl� and t be cr ��tcal pl�zce for �eaple v_ f crll cr¢es to live ivo�k and plcnr. �s cr ��e.sult �f cz reQional clecision mtrde b;j the 1Vletropolitar� Cvuncil ii� 199b to lirrlit �roi�,�ih ert tlre �nges o`th� T�ti�i�� Citi�.s metro��zlitar� areu, Sctint Paul �ti=111 h�ave czdde��i over 20,t�0�i i� its pnpulation, P2,000 jc�I�s tc� its em�lc��y%rri�nt I�as� rzncF 6�it3� crc�ditiortctl unt�s tv its hnusir�g stock (.�,�<.?C� r�eu� housel�olcjs will live in �a�istin5 h�rr�es th�at t•vere t��rcur�t ii� 199Q,�. Nei con � structed homes �-t�ill hm�e been plcazmed �nd cit sn thcrt t1�e;� eni�crnce th� t�udrtzon�zl chczracterofau� �; E?OC�S, Sil"GP7 EI? tI1 � CI Pr''S SE't1SE' C�f . �luce a12ci brrrt�* uc�c�it�onal t�it�lrtv ta Saint I�aul's cioz-t,�nta��n und r�vejfrc�nt. In adc�ltion to tl�e pt�oduct�c?n o�`r�e� hc�trsin�?, the City azid i:s paz�tner_s � have rrain�ulnec�' � strong eommlfnaenf to the rehabilitc�tion, rnc�intenrarrce ant� �.'?��.'.$F.'�"��1�� 3f1�$ f.''�S�]?�FIiU�$]�If J � st�ck ar�d rt �-v�ll hcn;e increcrser' zts code �nforcernc:nt crnct compIiunce efjorts in vrcaer �0 lncrecase tl�e �ener�l f��el �f �ousin� g�aalitv thza�ughc?�zt the citv. Comprehensii>e Plan 5 The majority of the city's new housing units will not be traditional detached single family homes, but a variety of smaller housing types--often "com- mon wall" types—that wiil prove attractive to young families starting out • and older people wishing to downsize their lives as they approach and reach retirement. In addition, there will have been a renaissance of mixed use developments along transit routes that combine retail businesses and professional offices on the street level with housing on upper levels. Housing density in the city will have increased slightly as a full menu of housing options are made available. As a result, as their incomes and fami- lies eacpand, residents are not forced to look outside of Saint Paul for the type of housing they prefer. The city's neighborhoods and housing stock will meet the needs of both those who have considerable economic choice and those who have fewer choices. Households with higher incomes will be able to find housing with the amenities they value and witi be confident that the investments they make in their homes and neighborhoods will be secure. For households with lower incomes, the availability of quality affordable housing will mean greater stability and, in turn, better health, stronger community ties and more success in preparing for and securing permanent employment. Perhaps most importantly, family stability will enable Saint Paul's children to achieve the academic and sociai successes that are the building blocks of a strong community. � The variety of housing options in Saint Paul will, in sum, contribute to the strength and vitality of the whole community as well as the well-being of each individual household. � 6 Cisy af sr. Pcrut Introduction + � Along with every city in the region, Saint Paul is preparing its comprehen- sive plan for the next decade and beyond. While addressing the full range of local issues and concems, each city is focusing specifically on its role in a region that will need to house 330,000 additional households and provide space for 410,000 new jobs without converting acres of farmland to subdi- visions or building miles of additional highway or sewers. Saint Paul's Comprehensive Plan is being buiit around three themes: • Saint Paul is growing; regional growth provides new opportunity for vitality in our city and in our neighborhoods. • We cherish qualities of the place we have as a city and intend that places throughout Saint Paul will offer beauty and delight and will enhance community life. •• The well-being we intend for Saint Paul communities, families and citi- zens requires economic growth and life-supporting jobs, as well as cul- tural, educational, and recreational opportunity and the community ser- vices that nurture family and individual life. Within that context, Saint Paul's Housing Plan for the first decade of the twenty-first century rests on three distinct—but highly inter-related— strate- gies. The first is that we should take care of what we have. Most oF the households in Saint Paul will continue to live in the 117,000 housing units that presently exist in the city in neighborhoods widely recognized for being well designed, attractive and active centers of community life. The plan includes strategies for preserving both the physical structures and the neighborhood character they define. Secondly, the plan recommends that Saint Paul aggressively work to capture its share of an emerging market of smaller households, both new young households and older empty-nest households, many of whom have moderate or higher incomes, want to live in an urban environment and are currently unable to find suitable options in Saint Paul. Finally, the plan details a strategy for ensuring an adequate supply of safe, decent affordable housing to meet the needs of the city's • lower income workforce as well as those who need temporary or on-going community support. Comprehensiti>e Plan 7 ��-�o As does each chapter of the comprehensive plan, the Housing Plan explicit- ly acknowledges that Saint Paul is part of a regional system. The city both contributes to and draws from the strength of the regional ecology, econo- � my and housing market. As such, it depends on strong regional policy. Saint Paul will continue to look to the region for—and will continue to work with our regional partners to develop—a shared vision of the future and an equitable distribution of resources to be invested in making that vision a realiry. • • 8 ci%y rrJ sr. Pcrui Key Trends � � The major trends that shaped the discussion of and underlie the recom- mendations in this plan are as follows: Empty nest households flood the market. The baby boom is aging. Their nests are emptying and they are nearing retirement. In 2000, the leading edge of this population group wiil be 55. By 2010, projections are that there wiil be 210,000 more households over the age of 55 in the metropolitan region than there were in 1990. Their housing preferences include smaller units, less yard space, and higher security—all features associated with townhouse or other shared wall housing types. They are also demonstrating a taste for the conve- nience and vitality of urban living—being within walking distance of shopping, restaurants, parks, transit and cultural attractions. . 2. Rising numbers of young households and immigrant families cre- ate a sustained demand for modest cost housing. The combined effects of the "echo-boom," and continued in-migration of younger households suggest that there will continue to be a strong market for the city's rental housing and starter homes. Saint Paul's stock of historicaliy and/or architecturally significant older housing, much of it suitable for larger families, will continue to be in high demand. Compre�ensive Plan 9 �. -� 3. Rising values in many neighborhoods. Rental vacancy rates at an all time low. A strong economy, growing numbers of younger house- holds and no net growth in the number of housing units in the city for several years have already resulted in rising property values and the low- . est rental vacancy rate in recent history in many outstanding neighbor- hoods, whose value is well-recognized in the regional market. 4. Property values in some neighborhoods stagnant or falling. Data from the Ramsey County Assessor indicate that, while some neighbor- hoods have posted steadily increasing property values, other neighbor- hoods have been characterized by declining or stagnant values over most of the past decade. 5. Poverty is persistent. Despite the strongest economy in a generation, a significant number of househoids continue to depend on subsistence level wages or public assistance. The Department of Housing and Urban Development estimates that there are just over 7700 renter households in Saint Paul with incomes below 30 percent of the regional median ($16,988 for a family of four) who pay more than 50 percent of their incomes for rent. Half of them are non-elderly family households while the other half are either elderly househoids, single persons or unrelated persons living together. � �� 10 Ci�j,F Qf 3d. I'QVl 99-90 Strate�y 1: Take Care of ` � What We Have Most of the current and future residents of Saint Paul will live in the city's existing housing stock. While it is aging, on-going investment has resulted in a generally high level of quality in many neighborhoods across the city. In other neighborhoods, however, a pattem of disinvestment has yielded deterioration of the housing stock and declining values. Maintaining—and, where necessary, repairing—what is here now may be the most important thing the City and its partners can do to encourage new investment in existing housing and the production of new units. It is, in large measure, the sense of place created by the pattem of our streets and blocks, the style and scale of our existing housing stock, the proximity and walkability of our neighborhood commercial districts and the beauty of our natural amenities that attracts new residents and inspires the loyalty of those who are already here. � To affirm and strengthen its existing neighborhoods and their housing stock, Saint Paul should: 4.1 Continue and eacpand efforts to enhance the city�s �aditional neighborhood design. Much of what attracts people to live in Saint Paui relates to the physical features of its neighborhoods. They value and want to retain its charac- ter as a traditional city. Preserving that character is especially challeng- ing when there is likely to be significant redevelopment and new con- struction that needs to be integrated into the existing city fabric. The City's Land Use Plan includes a series of policies designed to support these efforts. Key neighborhood features that should be strengthened through the preservation and production of housing include: a. A mix of land uses and a broad range of housing types; b. A sufficient density of housing and related land uses to support mass transit; and • c. Quality architecture and landscaping to define the streets and other public spaces. Camprehensive Plan 1 i 4.2 Continue a commitinent to the preservation of historically and architecturally significant buildings and neighborhoods. The City, the Heritage Preservation Commission and their neighborhood � partners should continue to identify and pursue opportunities for both the formal designation of significant sttuctures and neighborhoods and general public education on the importance of conserving the traditional character of each neighborhood. 4.3 Step up code enforcement matched with additional resources for repair and rehabilitation. Saint Paul knows what works when it comes to maintaining the physical condition of a neighbarhood. When resources are available for intensive, consistent and universal inspection and enforcement and to assist owners in making necessary improvements, the condition of properties in a neigh- borhood is improved. A complaint-based system that relies on the initia- tive and persistence of a neighboring property owner is less effective. Therefore: a. Additional resources should be devoted to the existing code enforce- ment unit to be used in partnership with neighborhood based improve- ment efforts such as sweeps, Weed and Seed, and residential street � paving. b. The use of administrative fines, rather than the current staff-intensive system that involves a series of wamings and re-inspections, to enforce the provisions of the Housing Code should be explored. c. City staff should work with the Housing Court to determine how best to achieve a higher success rate in achieving compliance with the Housing Code. d. Additional resources should be identified and used in partnership with those code enforcement efforts to assist property owners to make the necessary repairs and improvements before there is significant deteriora- tion. � 12 Crty� rt}`St. Pcrul -�j�i- 40 4.4 Strategically focus efforts to stem deterioration and declining values. • To the extent possible, funds available for residential rehabilitation should be focused on specific neighborhoods and coordinated with pub- lic infrastructure investments in order to achieve the masimum possible impact and leverage the greatest possible private investment. Through neighborhood-based planning processes, district councils, CDCs, busi- ness associations, block clubs and other key stakeholders should be invoived in both the selection of focus areas and the development of the capital investment program. 4.5 Improve management and maintenance of rental property. Among the most wlnerable residential structures in the city's housing stock are its rental properties. Strategies to identify, train and support quality property management services in order to ensure ongoing maintenance and systematic investment should include: a. Financial incentives (e.g. rental rehab funds) or reduced inspection fees for well managed properties. b. Additional certificate of occupancy requirements associated with � management practices. c. Mechanisms to place vulnerable properties under community man- agement and to build the capacity of community based organizations to provide that management. d. Training and mentoring for new and prospective landlords. �� Comprehensive Plan 13 Strate�y 2: Meet New �t Market Demand � � Those older households from which the children have moved on, and the younger ones that they haven't yet joined, represent the most active, expanding segment of the area housing market for at least the next decade. Households in this market are looking for altematives to the single family home with its own yard: townhouses, condominiums and other properties more easily maintained or left for a week of travel. A portion of this market, particularly at the younger-household end, is a rental market. Housing of these types fits well in the urban environment, an environment that many Saint Paul households don't want to leave, and that more and more new households and older suburban households are finding attractive. This mar- ket represents a significant opportunity to increase and further diversify city and neighborhood populations in Saint Paul, improve the tax base, gener- ate consumer support of neighborhood and city business districts and enhance the potential for good public transit. 5.1 Encourage the production of 300-400 housing units a year i that can be sold or rented to smaller households�ither new young households or older empty nest and senior citizen house- holds--in both the downtown/riverfront azea and on sites throughout the city. Major redevelopment sites in the river corridor and in the downtown represent the best opportunity for the construction of about half of these units — a total of up to 3000 units over the next 20 years. These sites have the unique advantages of providing immediate access to natural and cultural amenities as well as existing and proposed transit services. In both cases, a significant number of new households would balance the high visitor population with a 24-hour a day community, support existing and new retail seroices, and enhance the security and vitality of the area. The remaining units could be constructed on smaller sites within each of the city's neighborhoods or created within existing larger structures. To encourage the construction of new units, the City should: a. Assist potential developers, when necessary, in the assembiy and . clean up of land and the construction of infrastructure. This should include devising mechanisms to more easily transfer the ownership of 14 Cl�y o}' St. Piti71 9� -90 • tax-forfeited properties to community development corporations or other community based organizations for redevelopment. � b. Work with potential developers and the surrounding neighborhoods to ensure that the new structures contribute to the overall quality of the neighborhood. Through its participation, the City will encourage compact and mixed use development with ready access to transit and in proximity to employ- ment, retail services, parks and open space. c. Provide gap financing when necessary to: i. Address extraordinary costs associated with the development of a particular site; ii Support particular amenities of concem for the neighborhood or the City; or iii Ensure that a portion of the units are affordable to households with incomes at various levels below 80 percent of the regional median (e.g. 30%, 50%, 60%). d. Identify and allocate resources to neighborhood-based non-profit . developers to support their efforts to produce or rehabilitate housing. Funds should be made available for soft costs such as architectural fees, market studies and environmental analyses under agreements that Figure A Potential Housing Development Sites Comprehensive Plcxn �y would require that the funds be repaid when permanent project financ- ing is secured. 5.2 Promote good design solutions for housing that meets newer • mazket needs and complements eldsting Saint Paul neighbor- hoods, designs that use the smaller development sites creatively and that provide for housing in mixed-use neighborhood centers. The City and its neighborhood development partners should promote quality architecture and urban design that result in appropriate scale, relationship to the street, meaningfui open spaces, and careful treatment of parking. 5.3 Encourage the production of rental housing. Rental vacancy rates hovering below 2 percent betray a housing market where the price of rentai housing is constantly being bid up by demand that outstrips the available supply. This has the greatest impact on those with the least amount of economic choice, but it has some impact on virtually everyone looking for rental housing in today's market. There are few incentives for owners to hold down rents or to invest in or even ade- quately maintain their properties. Adding to the supply of standard quali- ty units wili give consumers the option of choosing something other than � a poorly maintained unit. That will, in tum, encourage property owners to invest in upgrading their properties and/or reduce rents in order to successfully compete in the marketplace. Specifically, the City shouid: a. Advocate for additional reforms of those State tax provisions that dis- courage the construction and ownership of rental housing. b. Encourage major employers to invest in the production of rental hous- ing to serve their workforce. c. Seek commitments from developers and owners to ensure that prop- erties will be designed, constructed, maintained and managed as assets to the surrounding neighborhood. d. Promote the establishment of management cooperatives that encourage shared responsibility for the maintenance and upkeep of the properry. • 16 Clty� of St. PcFUI r/�i- 40 5.4 In the conshuction of ownership and rental housing, encour- age a diversity of building and unit types to meet the diversity of � the mazket. Paxticulaz attention should be paid to assessing and meeting the needs of a growing numbee af older persons who aze looldng for alternative housmg in their own neighborhoods. The aging of the population, the continuing growth and diversity in the immigrant communiry and the increasing numbers of people workin� out of their homes all point toward a demand for different types of hous- ing. Working with its partners in the design and development communi- ties, the City should actively encourage innovations that will allow Saint Paul to meet the needs of new and growing segments of the housing market. Households over the age of 65 represents a particularly important market segment. Designing living spaces that will be adaptable to changing physical abilities will extend the usefulness of the housing stock over the entire life cycle. 5.5 Encourage innovative development through regulatory reforms. • Higher density mixed use developments of the kind envisioned by this plan and the Land Use Plan are not always supported by the City's cur- rent regulatory policies. Therefore, in addition to participating in the planning process, the City, in discussion with the district planning councils, should explore the follow- ing regulatory measures: a. Streamlining the zoning approval process for new types of develop- ment. This might involve the use of overlay zoning districts with provi- sions that make high-quality attached housing easier to provide. Such districts would be applied to appropriate sites or areas as a result of neighborhood planning and would provide both safeguards for a neigh- borhood in design guidelines and quality standards, and a more work- able approval process for builders. b. Amending the zoning code to allow for more efficient use of existing larger single family owner-occupied homes and lots by allowing the establishment of accessory residentia] units or structures, offices or small commercial enterprises. � Corng�rehensii�e Plcan 17 5t�ate�y 3: Ensure � Availability of Affordable � Housing A generally stronger housing market, the almost total absence of any new production of rental housing in any price range, and the reduction in federal funding for rentai assistance are all putting pressure on the portion of the city's housing stock that is affordable to lower income households. In some instances, the price of that housing is being bid up to the point where it is no longer affordable. In others, lack of continuing investment has resulted in physical deterioration and demolition. The production of new affordable housing units has been limited in recent years to for-sale units affordabie to only a fairly narrow segment of the lower income popu- lation. The availability of safe and decent housing affordable to households who earn low or modest wages is critical to both the economic health of the community and the welfare of those households and their neighborhoods. Businesses, to be successful, need ready access to a pool of potential . employees. The absence of safe, decent and affordable housing nearby— especially in a tight labor market—mitigates against their being able to find and attract those employees. Furthermore, there is clear and convincing evidence that individuals and families who have stable housing are healthier and are more successful at work. Their children do better in school. As a result, the neighborhoods they live in are safer, stronger and more likely to be strong centers of com- munity ]ife. The need for such affordable housing exists throughout the metropolitan region. Relative to most communities, Saint Paul has a large supply of well-managed low cost housing. Since there are challenges to that supply, preservation is the City's primary objective, though the construction of new low-cost units will be required as weil if redevelopment is to meet the needs of Saint Paul neighborhoods. Saint Paul's strategy relative to affordable housing rests on a series of inter-related initiatives that emphasize preservation, provide for new con- struction, and encourage much more adequate provision of housing opportunities throughout the region. Encouragement of new rental hous- � ing generally, as discussed above, aiso will contribute to meeting the need. 18 cisy� csf sf. Paul �l�'r- �l0 � Specifically: � 6.1 The City challenges the region to ensure that each metropoli- tan coaununity provides a full range of housing choices in order to meet the needs of households at all income levels. The two central cities will always have more than a proportionate share of the region's lower cost housing. It is to the cities that young people come to go to school, get their first job or buy their first home. It is to the cities that immigrants first come to settle into a new land. It is in the cities that people who rely on public transportation find the best service. Indeed, the vitality of cities depends on the mix of ages, incomes, family types, races and ethnic groups—and the mix of structures that house them—that isn't found in suburban communities. In recent years, however, the share of the region's lower cost housing that is located in the central cities has been growing. That has meant fewer choices for lower income households and fewer workers for sub- urban businesses. It is the trend of increasing centralization—and fewer choices—that should be reversed. Specific measures that the City will support include: a. The Legislature should commit additional funds to the Metropolitan • Livable Communities Demonstration and housing accounts as an incen- tive for suburban and stronger centra] city communities to produce affordable housing. Comprehensi��e Pfan �g b. Successful applicants for regional funds should demonstrate a plan to produce housing units affordable to households with incomes below 50 percent of the regionai median. . � c. The Saint Paul HRA shouid seek partnerships with suburban commu- nities to offer their e�cpertise in the production of quality affordable hous- ing. Federai funds allocated to implement the Hollman Consent Decree represent a valuable means of financing such development and should be tapped. d. To the extent that incentives are not successful in encouraging the pro- duction of additionai affordable units in suburban communities, the City of Saint Paul should support the design of regional requirements and/or metropolitan resource sharing mechanisms to stimulate production. e. Under the leadership of the Metropolitan Council, efforts are being made to develop—and securing funding to support—a regional replace- ment housing policy and program. Saint Paul supports these efforts. 6.2 The City should work with its public, private and plulanthropic pamiers to identify and secure significant additional resources to enable the preservation and construction of affordable housing, both within the city and throughout the region. � The process of financing the construction, rehabilitation, maintenance and management of affordable housing has undergone a fundamental change over the past two decades. Between World War II and the mid- 1980s, the federal government played the central role in either construct- ing or stimulating the market to construct affordable housing. Today, except for a modest number of federal tax credits allocated to each of the states, the federal role is confined largely to maintaining a limited Section 8 rental subsidy program and supporting existing public housing developments. The challenge far states and local governments, then, is to either seek new federal commitments or to identify alternative sources of funds—or both. with its partners, the City should: a. Lobby for the e�cpansion of federal and, especially, state financing for the construction and preseroation of affordable housing throughout the region. b. Identify new local resources that can be used to leverage additionai public and private financing. HRA resources and the STAR program both • represent flexible fund sources that can and should be tapped by Ciry policy makers. 20 Cft� of Si. Pnul c. Leverage private and philanthropic financing of either individual developments or of a development fund devoted to the preservation and • construction of affordable housing. 6.3 Preserve eaasting federally assisted housiag. Federal govemment programs that encouraged the production of lower income housing since the 1950s have been very successful in Saint Paul. The 4300 units built, owned and managed by the Public Housing A�ency are an important component of the city's housing stock as are the almost 7000 units constructed over the last three decades by private developers with various federal incentives. The agreements whereby many of the privately developed units were constructed, however, included provi- sions that allow an owner to prepay the balance of the mortgage after a specified number of years and convert the units to market rate. As the rental market in the "Itvin Cities has heated up, more owners are indicat- ing their interest in pursuing that option. To preserve and improve federally assisted housing units in Saint Paul, the City will: a. Continue to partner with the MHFA, Metropolitan Council Family . Housing Fund and Home Loan Bank in the Interagency Stabilization Group to improve and preserve the affordability of all of the privately- owned federally assisted units—at least until such time as there is suffi- cient production of new rental units to make up for the loss. Indeed, the preservation of these units represents the highest priority for the use of federa] lower income tax credits allocated to Saint Paul. b. Update its standards for the operation and maintenance of the afford- able housing projects it supports through stabilization activities. In the majority of cases, these projects are owned and operated by a third party—either a nonprofit organization or a for-profit corporation. In order to be successful over the long-term, management of these proper- ties must be highly professional. The Saint Paul Public Housing Agency (PHA)—nationally recognized for its high quality management and oper- ations—follows strict policies for tenant screening and behavior. The City should do the same. The City, with advice from the PHA, needs to devel- op a similar set of policies for the projects it underwrites and provide technical assistance to help managers enforce them. c. Continue to support the Public Housing Agency's efforts to secure the necessary resources to modemize and maintain the city's stock of public i housing. �I Compreherisive Plan pi �i�-9c7 d. Support the Public Housing Agency in its efforts to secure additional Section 8 certificates and vouchers from the federal govemment. e. Eaplore mechanisms to make better use of Section 8 subsidies by � linking them with both community based efforts to improve existing housing and with various human services programs designed to promote self-sufficiency. 6.4 Among the 300-400 units of housing to be constructed each year, 60-80 should be affordable to households with incomes below 8o percent of the regional median, with at least half of those to be affordable to households with incomes below 50 percent of the regional median. In the event that the total num- ber of units constxucted falls short of 300-400, affordable imits should represent 20 percent of those that aze constructed. While the high cost of new construction, the limited availability of sub- sidy funds and the City's need to eacpand its tax base mean that much of the housing built in Saint Paul will be rented or sold at market rates, the City and its partners should commit themselves to adding to the supply of decent, safe and affordable housing through new construction. To that end, the Ciry should encourage the development of housing � affordable to households with incomes below 50, 60 and 80 percent of the regionai median by: a. Investing public financing in developments where up to 20 percent of the units are reserved for households with incomes below 80 of the regional median, with half of those for households with incomes below 50 percent of the regional median. Developments in neighborhoods with little affordable housing and strong housing markets should be encour- aged to provide 20 percent of their units to lower income households while those in weaker markets should be asked to provide a smaller share. b. Supporting the efforts of Habitat for Humanity and other philanthropic organizations in their production of 25 homes a year affordable to households with incomes below 50 percent of the regional median. c. Seeking out—and providing addi6onal incentives to--developers will- ing to take advantage of federal revenue bond programs that offer four percent tax credits in return for the construction of rental projects in which at least 20 percent of the units are affordable to households with incomes below 60 percent of the regional median. � 22 City� oJ St. Paui 99-90 d. Promote altemative ownership and financing mechanisms such as community land trusts, limited equity cooperatives and condominiums, � nonprofit ownership of rental housing, mutual housing associations and deed restrictions that are designed to ensure that the housing remains affordable for an extended period of time. e. Improve the process whereby vacant publicly owned land is trans- ferred to community-based development corporations with plans to pro- duce housing affordable to lower income households. In encouraging and designing each proposed development, the City should: a. Encourage the carefut integration of the affordable and market rate units in the earliest stages of financing and design. b. Work with interested partners to develop innovative designs for affordable housing that will ensure that it both meets the needs of lower income households and makes a positive contribution to the surrounding neighborhood. Including a mix of housing types, to include traditional— and less expensive—apartment buildings, may allow for the production of more units than does the current reliance on 3-bedroom townhouses. . c. Reconsider with our funding partners policies that reserve public financing exclusively for housing designed for families. The aging of the city's population and the value in encouraging older households to make their larger homes available to larger family households merits a re- examination of those policies. 6.5 The city should make minor amendments to and reafPum its commitment to the Replacement Housing Policy outlined in Chapter 93 of the Administrative Code. Existing policy requires that city agencies proposing the demolition of conversion of affordable rental housing shall provide the city council with an afordable rental housing analysis outlining the impact of the pro- posed project on the availability of such housing in the city. Under cer- tain circumstances, including when there has been a net loss of afford- able rental housing units (those affordable to househotds with incomes below 55% of the regional median), the director of PED shall recommend the replacement of units slated to be lost. The city Council has final responsibility for approving, amending or rejecting that recommenda- tioin. If the Council determines that units should be replaced, adequate funds to finance Yhe consYruction of those replacement units within three � years shall be approved by the agency proposing the project. Compreherrsia�e Plan 23 Inasmuch as the ordinance was adopted in 1989 and has not been revised since then, any issues relative to its implementation should be identified and addressed as part of the process of implementing this � plan. 6.6 Support a variety of mitiatives that will allow lower income households to move into homeownership. While not all households may want to or be suited to be homeowners, with historically low mortgage interest rates, homeownership may be both the most affordable housing option and the best altemative for overall neighborhood stability. Both the City and the Public Housing Agency have been successful in administering federally-funded rent-to- own programs that provided a full range of supports to lower income households as they moved into homeownership. Toward this end, the City should support and strengthen: a. Purchase/rehab and refinance/rehab programs b. Programs to encourage owner occupied duplexes c. Philanthropic and self-help efforts such as Habitat for Humanity and the Builders Outreach Foundation � d. Mortgage assistance and high risk lending pooLs—especially those that are designed to allow current residents of neighborhoods undergo- ing redevelopment to remain in their neighborhoods. e. Alternative economic models (cooperatives, land trusts and the like) that preserve affordability beyond the first owner of the property. f. Pre-purchase counseling and most-purchase mentoring to increase the probability that a first time homebuyer will be successful. g. Services to those contemplating the use of contract for deed financing to encourage them to explore alternatives for converting contracts for deed into conventional financing at the earliest point in time. 6.7 Link services with affordable housing. Among the ways of making more efficient use of a limited supply of affordable housing is working with residents to help them achieve a level of economic and social well-being that enables them to secure market � rate housing as quickly as possible. When they do, the affordable unit is available to another household. 24 Cit;� c�j St. Ptaul g�-�o To that end, the City should: a. Encourage partnerships between providers of affordable housing with • providers of education, job training, parent and early chiidhood educa- tion, and health care. The Wilder Foundation's Roof Project is a �ood model. b. Continue to make inkind contributions such as space and recreation, library and public health services where appropriate. c. Encourage churches and civic organizations to offer mentoring oppor- tunities to their members and residents of affordable housing. 6.8 In partnership with Ramsey County and other private and non- profit agencies, nnplement the provisions of the Saint Paul/Ramsey County FYve Housing and Homeless Services Plan as it is adopted by the City Council. Key recommendations of the Plan include: a. Establishment of a St. Paul/Ramsey County Landlord-Tenant Education and Dispute Resolution Center. b. Development of 250 units of transitional housing and 650 units of per- � manent supportive housing throughout the county, serving single adults, families and youth. c. Creation of a Funders Council to coordinate and streamline services for those who are or are at risk of being homeless. 6.9 Expand the options available to the City and its par�ners in responding to the issues presented by privately-owned reniai housing units. Many of the structures that provide rental housing affordable to lower income households in Saint Paul are smaller (1-4 unit) buildings owned by landlords who own relatively few buildings. They are the kinds of structures that are at highest risk of becoming "problem properties" or vacant buildings and, yet, maintaining them in good condition represents the most cost effective way of providing affordable housing. The City and its partners have very few tools, however, that are successful in stem- ming the deterioration of these buildings when the owner, for whatever reason, can't or won't any Ionger adequately maintain them. In some instances, when the structures themselves have outlived their useful life, demolition and redevelopment is the best option. In other cases, howev- � er, condemnation and demolition through the nuisance abatement Comprehensit�e Plan 25 process is the only available tool and housing units are needlessly lost. For those, additional tools that allow an intervention earlier in the disin- vestment process should be developed. . • The Plan, specifically, recommends the following: a. The City should work with various partners to e�cplore the dynamics of small rental buildings and determine the most effective incentives and sanctions to ensure continuing maintenance and upkeep. The analysis should include an assessment of why current rental rehab programs are generally under subscribed by property owners. b. Particular effort should be devoted to identifying ways to support owners of both large and small rental buildings who are successful in maintaining and managing their buildings. Reduced inspection fees and additional tax incentives merit exploration. c Additional resources for the rehabilitation of rental properties should be identified and invested in ways that encourage property owners to provide units that are suitable for and affordable to lower income house- holds. d Current efforts to provide and require tenant and landlord training should be expanded. That training should include an introduction to • community human service providers who are prepared to support lower income tenants in their efforts to achieve financial self sufficiency. e. Incentives that encourage owner occupancy of small rental buildings should be designed. � 26 c�ry ojs£. Paul Implementation � � Qs a policy plan with a 10-20 year horizon, this plan does not and cannot offer specific direction on how many of what kind of units should be con- structed or rehabilitated in what neighborhood with what type of funds. Market conditions change rapidly. Funding sources come and go. Opportunities arise. And, most importantly, the City is not the only imple- mentor of housing policy. Housing policy, indeed, is in the hands of public and private agencies and organizations at the neighborhood, city, regional and state ]evels. The chailenge is to draw together a cotlective effort-on an on-going basis-toward meeting the community goals and strategies articu- lated in this plan. The following procedure for developing annual implentation plans is rec- ommended: 7. i In collaboration with its partners, the City should develop an annual Housing Action Plan. • The Department of Planning and Economic Development, with the assis- tance of the Local Initiatives Support Corporation (LISC), should annually convene a task force with balanced representation from public agencies, private funders, for-profit and non-profit developers, and housing and neighborhood advocates. The task force should be responsible for devel- oping and recommending to the City Council by October 1 of each year a HousingAction Plan that shall include at least the following: a. Goals for the production of housing units by price range; b. Goals for the rehabilitation of existing housing units; c. Goals for the provision of mortgage financing by the City; d. Identification of expiring Section 8/236 contracts and plans for their preservation; e. Identification of lead implementing organizations and funding sources for each of the above; � f. Identification of key zoning studies that should be initiated by the Planning Commission; Camprehensive Plan 27 99-9z� g. Identification of neighborhood plans or studies that should be under- taken in anticipation of potential development or redevelopment; h. Federai, state and city legislative initiatives related to housing policy; • i. Report on the e�tent to which the previous year's goals were met; and j. Appropriate amendments to this plan. 7.2 Convene the Housing Coordination Team A senior staff person in the Department of Planning and Economic Development shall be named to convene the Housing Coordination Team, composed of representatives from the key public agencies with housing responsibilities, on a monthly basis. The Housing Coordination Team shall be responsible for monitoring the City's progress toward meeting its goals, as identified in the Housing Action Plan, and for identi- fying and addressing key issues as they arise. The Team, through its members, shall also be responsible for maintaining appropriate data for the purpose of developing the Action Plan. � U � 28 c�t� of st. Paul �i9-9d Appendix � � Biaseline data that have informed the process of preparing this Housing Plan include: • Saint Paul is growing. The size of its population grew slightly (+2,005) between 1980 and 1990. Conversations with the school districYs demog- rapher in 1997 revealed that there had been a 50 percent increase in the school age population on the near east side since the beginning of the decade while numbers in the city�s westem neighborhoods remained constant, suggesting a continuing increase in population since 1990. • Most of the anticipated changes in Saint Paul's population will be deter- mined by the aging of the baby boom (the leading edge of the twenty- year population bulge will be reaching 55 in the year 2000), the tendency of young people to come to Saint Paul to go to college and find their first job, and by the continuing impact of the in-migration over the past two decades of people originally from Southeast Asia. The substantially � younger age profile of the Southeast Asian community suggests a signifi- cant natural population increase over the next twenty years. Saint Paul's Southeast Asian Population 1990 Census (Asian and Pacific Islander) 18,996 1997 Ramsey County Estimate (Hmong/Vietnamese/Cambodian) 30,500 L � Total Population by Age - 1990 Age Persons Pct 0-9 42,561 15.6% 10-19 32,309 11.9% 20-29 52,946 19.4% 30-39 49,905 18.3% 40-49 28,971 10.6% 50-59 18,364 6.7% 60-69 19,913 7.3/ 70-79 16,939 6.2% 80+ 10,327 3.8% 272,235 Source:1990 Census Comprshensive Plan 29 Asian/Pacific Islanders by Age - 1990 Age Persons Pct 0-9 7,043 37.1% 10-19 3,658 19.3% 20-29 3,133 16.5% 30-39 2,347 12.4% 40-49 1,175 6.2% 50-59 774 4.1% 60-69 511 2.7% 70-79 295 1.6% 80+ 62 0.3% I 8,998 Source: 1990 Census • Metropolitan growth management strategies are designed to direct antic- ipated regional growth to the central cities. By 2020, Saint Paul's popu- lation is expected to increase by 9000 households over its 1990 level, assuming that the city is prepared to accommodate it. It is anticipated that 3000 of those households will be housed in the existing units (in units that were vacant in 1990) while the remaining 6000 will be housed in newly constructed units. � • The city is almost fuily developed. All but fourteen percent of the city's � 56 square miles are already developed and will likely retain their current uses over the neact twenty years. Many of the remaining 5000 acres are characterized by poor or contaminated soils, steep slopes or other impediments to development. It is projected that the 6000 new units to be added to the housing stock before 2020 will be built on about 230 acres of vacant land, aimost half of which are in the downtown and the e�ended river valley. • About half of the city's existing housing units are single family structures, while the remaining half are spread equally among small, mid-sized and larger multi-family structures. Number and Percent of Dwelling Units by Type Type of Structure Units Percent Single family 60,754 52% lbvo family 11,480 10% 3-4 family 5,982 5% 5-9 family 5,330 5% 10-19 family 11,471 10% 20-49 family 8,906 8% � 50 or more family 12,577 I 1% Source:1990 Census `�� L1Z3� O�' SC. PCI[I� �/9 9d Because of the limited availability of land for development, and the growing demand for smaller attached units, it is projected that about 80 percent of • the 6000 new units to be constructed will be either added to existing struc- tures or will be in structures of two or more units. • Though aging (half of the city's housing units were built before 1944) the condition of the city's housing stock appears fairly stable. There are few indicators of significant disinvestment. The percentage of units that are owner occupied remains fairly constant-53.9% in 1990; there are rela- tively few vacant and boarded buildings and the level of reinvestment remains constant. • Rental housing is becoming less affordable for Saint Paul residents—and less available. The rental vacancy rate has remained below 3 percent for at least two years. Median rent, adjusted for inflation, rose 27.3% between 1980 and 1990. Renters paying at least 30 percent of their incomes for rent increased from 38.5% to 45.8% over the same period. Renter Household Income by Rent as a Percentage of Income - 1989 Households with Households with Households with Rent Less than Rents 20-30% Rent More than xousehold income 20% of income of income 30% of income Less than $10,000 S $10,000-19,999 $20,000-34,999 $35,000-49,999 $50,000 and over All Renter Households Source:1990 Census 430 893 4735 3808 2723 12,589 3.0% 6.5% 35.3% 76.0% 93.1% 25.5% 2303 3903 6701 1069 203 14,179 16.2�0 28.2% 49.9% 21.3% 6.9% 28.7% 11,490 9025 1980 137 0 22,632 80.8% 65.3% 14.8% 2.7% 0% 45.8% • The inventory of assisted rental housing units in Saint Paul includes: Public housing units: q,298 Tenant based Section 8 Certificates/Vouchers: 3,427 Privately owned/federally assisted 3,524 Privately owned/state and local assisted 6,846 TOTAL 14,746 Most of these are occupied by households with incomes below either 30% or 50% of the regional median. "I�pically, households pay no more than 30 percent of their incomes for rent. C� Comprehensis�e Plan 31 Credits The Saini Paul Pianning Commission Gladys Morton, Chair* Esperanza Duarte* )ennifer Engh* Carole Faricy Litton Field, Jr. Anne Geisser, Chair, Comprehensive Planning Committee� Dennis Gervais Steve Gordon GeorgeJohnson Soliving Kong Richard Kramer* 'IYmothy Mardeil" Michaei Margulies David McDoneil* Cathy Nordin*, Co-chair, Housing Plan Committee Dick Nowlin* Michael Sharpe* Imogene Treichel*, Co-chair, Housing Pian Committee Mark Vaught Barbara Wencl* *Comprehensive Planning Committee Norm Coleman, Mayor The City of St. Paul City Council )ay Benanav )erry Blakey Dan Bostrom, President Chris Coleman Mike Harris Kathy Lantry Jim Reiter Department of Planning and Economic Development Pamela Wheelock, Director Tom Hanen, Northwest Team Leader Ken Ford, Planning Administrator Beth Barte, Planner Nancy Homans, Planner Report Production Jean Birkholz, Secretary Kristi Kuder �� LJ a 32 Cit�� of St. Pcrul