HomeMy WebLinkAboutNo 1052 Amending Chapter 2 of the Maplewood City Code by Adding Article VII Establishing a Local Housing Trust FundOrdinance 1052
AN ORDINANCE AMENDING CHAPTER 2 OF THE MAPLEWOOD CITY CODE BY
ADDING ARTICLE VII ESTABLISHING A LOCAL HOUSING TRUST FUND
The City Council of the City of Maplewood does ordain as follows:
Section I. The Maplewood city code is amended by adding a new Chapter 2, Article
VII as follows:
Article VII. – Local Housing Trust Fund
Sec. 2-395. – Purpose.
Pursuant to Minnesota Statutes, section 462C.16, there is hereby created and established
for the City of Maplewood a fund to be known as the Maplewood Local Housing Trust
Fund. The Trust Fund shall be a permanent source of funding and a continually renewable
source of revenue to meet, in part, the housing needs of the City. The Trust Fund may
also support the development, rehabilitation or financing of housing, support housing
projects, provide downpayment assistance, rental assistance, and home buyer counseling
services or any other purpose or project authorized by law.
Sec. 2-396. – Definitions. The following definitions apply to this Article VII and the
Programs under the Trust Fund, unless individual program criteria approved by the City
Council specify otherwise:
A. Assisted Unit means a housing unit that is affordable because of assistance
from the Trust Fund.
B. City means the city of Maplewood, Minnesota.
C. Dedicated Source of Public Revenue means one or more sources of revenue
dedicated by the City to the Trust Fund for housing.
D. EDA means the Maplewood Economic Development Authority.
E. Program means any set of criteria used to determine eligibility for funds from
the Trust Found Account that is approved by the City Council. Individual
Program criteria will take into account any restrictions on disbursements that
derive from the source of funds.
F. Project may mean an attached or detached single-family house or a multifamily
apartment complex, either owner-occupied or rental.
G. Recipient means any homeowner or for-profit or non-profit housing developer
that receives funds in the form of a loan or a grant from the Trust Fund Account.
A Recipient may be an individual, partnership, joint venture, limited liability
company or partnership, association, corporation, or other entity approved by
the EDA.
H. Trust Fund means the Maplewood Local Housing Trust Fund with one or more
dedicated sources of public revenue for housing.
Sec. 2 -397. – Trust Fund Account; Source of Trust Funds.
(a) There is hereby established a Trust Fund Account to be maintained by the City. All
funds received by the City or the EDA on behalf of the Trust Fund shall be deposited
in the Trust Fund Account. Principal and interest from loan repayments and all other
income from Trust Fund activities shall be deposited in the Trust Fund Account. All
interest earnings from the Trust Fund Account shall be reinvested and dedicated to
the Trust Fund Account.
(b) The Trust Fund may consist of funds derived from any money available to the City
or the EDA, unless expressly prohibited by state law, including but not limited to:
(1) Donations;
(2) Bond proceeds;
(3) Grants and loans from a state, federal, or private source;
(4) Appropriations by the City or the EDA;
(5) Tax increment, to the extent permitted under Minnesota Statutes, sections
469.174 through 469.1794, as amended;
(6) Investment earnings of the Trust Fund;
(7) A levy by the EDA using its powers as a housing and redevelopment authority;
and
(8) Any other money available to the City unless expressly prohibited by state
law.
Sec. 2-398. – Trust Fund Administration.
(a) The Trust Fund shall be administered by the EDA. No disbursements may be made
from the Trust Fund Account for a Project without the prior approval of the Program
by the City Council.
(b) The EDA shall determine the terms and conditions of repayment of loans and grants
from Trust Fund, including but not limited to, the appropriate security and interest,
if any, should repayment be required. Interest on loans and grants shall be as
established by the City Council from time to time or at the time of approval of a
specific Program.
(c) The EDA shall report annually to the City on the use of the Trust Fund, including
the number of loans and grants made, the number and type of Assisted Units
processed, and the number of housing units provided rental assistance, down
payment assistance or home buyer counseling services.
Sec. 2-399. – Disbursements.
Disbursements from the Trust Fund Account may only be made for the following purposes:
(a) To pay for administrative expenses, but not more than 10 percent of the balance of
the Trust Fund;
(b) To make grants, loans, and loan guarantees for the development, rehabilitation, or
financing of housing;
(c) To match other funds from federal, state, or private resources for housing Projects;
(d) To provide down payment assistance, rental assistance, and home buyer
counseling services; or
(e) Any other activities authorized by state law.
Sec. 2-400. – Severability.
The provisions of this Article VII are severable. If any provisions of this Article VII are held
invalid, the remainder of this Article VII shall not be affected.
Section II. This ordinance shall be effective upon its adoption and publication.
Adopted by the City of Maplewood this 10th day of March, 2025
Signed:
________________________________
Marylee Abrams, Mayor
Attest:
_______________________
Andrea Sindt, City Clerk