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HomeMy WebLinkAbout2021-07-26 EDA-HEDC Joint Special Meeting Packet AGENDA CITY OF MAPLEWOOD ECONOMIC DEVELOPMENT AUTHORITY HOUSING AND ECONOMIC DEVELOPMENT COMMISSION JOINT SPECIAL MEETING 5:30 P.M. Monday, July 26, 2021 City Hall, Council Chambers A.Call to Order B.New Business 1.Economic Development Priorities C.Adjournment RULES OF CIVILITY FOR THE CITY COUNCIL, BOARDS, COMMISSIONS AND OUR COMMUNITY Following are rules of civility the City of Maplewood expects of everyone appearing at theMeetings -elected officials, staff and citizens. It is hoped that by following these simple rules, everyone’s opinions can be heard and understood in a reasonable manner. We appreciate the fact that when appearing at Council meetings, it is understood that everyone will follow these principles: Speak only for yourself, not for other council members or citizens -unless specifically tasked by your colleagues to speak for the group or for citizens in the form of a petition. Show respect during comments and/or discussions, listen actively and do not interrupt or talk amongst each other. Be respectful of the process, keeping order and decorum. Do not be critical of council members, staff or others in public. Be respectful of each other’s time keeping remarks brief, to the point and non-repetitive. B1 MAPLEWOOD ECONOMIC DEVELOPMENT AUTHORITYSTAFF REPORT Meeting Date July 26, 2021 REPORT TO: Melinda Coleman, Executive Director REPORT FROM: Jeff Thomson, Assistant Executive Director Ellen Paulseth, Assistant Treasurer PRESENTER:Jeff Thomson, Assistant Executive Director Ellen Paulseth, Assistant Treasurer AGENDA ITEM: Economic Development Priorities Action Requested: Motion Discussion Public Hearing Form of Action: Resolution Ordinance Contract/Agreement Proclamation Policy Issue: The joint meeting between the Economic Development Authority (EDA) and the Housing and Economic Development Commission (HEDC) is to receive an update on the strategic planning sessions that were held in 2019 and to discuss the city’s economic development priorities. The following topics will be covered at the meeting: 1. Review of strategic planning 2. Economic development update 3. Housing in Maplewood 4. Ramsey County HRA Levy 5. American Rescue Plan Act (ARPA) Funding 6. Discussion on economic development priorities and potential focus areas Recommended Action: No Action. Fiscal Impact: Is There a Fiscal Impact? No Yes, the true or estimated cost is $0.00 Financing source(s): Adopted Budget Budget Modification New Revenue Source Use of Reserves Other: No fiscal decisions are being requested at this time. As part of the 2022 budget process, the City Council and EDA will need to determine how the economic development priorities align with the city’s other budget considerations and priorities. Strategic Plan Relevance: Financial Sustainability Integrated Communication Targeted Redevelopment Operational Effectiveness Community Inclusiveness Infrastructure & Asset Mgmt. B1 The city’s economic development priorities are consistent with the city’s strategic priorities related to redevelopment. Background: 2019 Strategic Planning In November of 2019, the EDA and HEDC held a series of joint meetings focused on strategic planning for economic development in Maplewood. The meetings included tours of four redevelopment projects in the Twin Cities metro area: Cedar Crossings in Richfield, Southdale in Edina, Excelsior and Grand in St. Louis Park, and the Terrace Theatre redevelopment in Robbinsdale. The strategic planning also included a work session to identify economic development priorities. The Commissioners initially identified and discussed several areas of focus, which included: North End Plan – Bus Rapid Transit – Transit-Oriented Development Maplewood Business Council Gladstone Redevelopment Partnerships and Tools – 2040 Comp Plan Business Incubator – Small Business Enterprises Rice & Larpenteur Redevelopment Workforce Development Housing (homebuyer programs, rehab programs, housing types/product mix, scattered site/vacancy rehab, affordable housing) Business Retention and Expansion After a brief summary and background for each topic, the commissioners and staff discussed each topic and rated each for their potential impact on the community (low to high) and the amount of effort needed to drive those initiatives forward. After discussion, there was a general consensus that focusing on the North End, Housing, Rice & Larpenteur, and Gladstone were the preferred areas of focus. The impact/effort matrix from the strategic planning is attached. American Rescue Plan Act (ARPA) Funding Within the next two weeks, Maplewood will receive approximately $2.15M, or 50% of the city’s share of ARPA funds, from the federal government. The federal government will release the second installment one year from the date of the release of the first installment. The broad categories of eligible uses of the grant include: 1. Responding to the Public Health Emergency and its Negative Economic Impacts 2. Revenue Loss 3. Premium Pay for Essential Workers 4. Water, Sewer and Broadband Infrastructure The entire amount of the first allocation is eligible for spend down utilizing the revenue replacement (loss) component of the federal grant as the City is eligible for approximately $2.4M in revenue replacement funds for the fiscal year 2020. The revenue replacement component of the ARPA grant provides the most flexibility for the City Council to make spending decisions. Revenue replacement funds are eligible for use for any governmental purpose, with the exception of debt service payments, replenishment of reserves, or the payment of court judgments. City staff has identified several areas of need for the qualifying section of the grant: B1 1.Responding to the Public Health Emergency and its Negative Economic Impacts 2.Revenue Replacement (any governmental purpose) 3.Premium Pay for Essential Workers 4.Water, Sewer and Broadband Infrastructure: The potential projects will exceed the amount of available funding. The Council will hold a workshop in August to discuss overall priorities. Attachments: 1.Impact/Effort Matrix 2.Housing Memo B1, Attachment 1 B1, Attachment 2 Memo To:Melinda Coleman, City Manager From:Jeff Thomson, Community Development Director Date: June 11, 2021 Re: Affordable Housing Background This memorandum is a summary of: (1) affordablehousing conditions, allocations, and policies in the city’s 2040 Comprehensive Plan; (2) the current development and market for new housing in Maplewood, including anticipated construction of new affordable housing units in the next one to three years, and (3) the potential for the purchase of vacant single-family homes for rehabilitation and resale for owner- occupied residences. Affordable Housing As part of the city’s adoption of its 2040 Comprehensive Plan, the Metropolitan Council provided existing affordable housing information for Maplewood. According to the Metropolitan Council data, 77.9% of all housing units in Maplewood are affordable to households making less than 80% of area median income (AMI): 2016 Existing Affordability of Units in Maplewood Household Income Level Units% of Units Below 30% of AMI 1,2037.5% 31% to 50% of AMI2,61116.3% 51% to 80% of AMI8,66054.1% More than 80% of AMI 3,547 22.1% Total16,021100.0% Source: Metropolitan Council The Metropolitan Council also established an affordable housing need allocation for Maplewood which is based on the projections of growth of households experiencing housing cost burden, current supply of existing affordable housing, whether subsidized or naturally occurring, and the disparity of low-wage jobs and housing for low-wage households within Maplewood. The affordable housing allocation in Maplewood for the regional affordable housing need is 510 total units from 2021 to 2030. The breakdown by affordability level is: City of Maplewood Community Development Office 651-249-2300 1902 County Road B East Fax 651-249-2309 Maplewood, MN 55109www.maplewoodmn.gov B1, Attachment 2 Affordable Housing Need Allocation for Maplewood 2021-2030 Household Income Level Units At or below 30% of AMI 250 31% to 50% of AMI 95 51% to 80% of AMI 165 Total Units 510 Source: Metropolitan Council The city’s 2040 Comprehensive Plan is consistent with the Metropolitan Council’s affordable housing allocation and was approved by the Met Council as part of its review process. The 2040 Comprehensive Plan also includes goals and policies to support affordable housing in Maplewood: Promote efforts to upgrade, enhance, and maintain housing and existing neighborhoods. Ensure there is a diversity of housing types to meet housing needs of all types of households. Improve the availability of affordable housing for both homeowners and renters. Proposed Housing Developments There are currently eight multi-family housing projects in Maplewood in various phases of development. The eight developments include a up to 976 new housing units with a variety of housing types, including senior (cooperative, independent, assisted living, memory care, and skilled nursing), market-rate rentals, and affordable housing. Of the 976 units of new housing in development, 610 of them would be affordable at varying affordability levels. There are approximately 15,000 housing units in Maplewood. The majority of units in Maplewood are single-family homes, but there are 2,662 multi-family units in buildings containing more than 20 units. The construction of nearly 1,000 new multi-family units in the next one to three years would increase the number of total housing units by 6.5%, and would increase the number of multi-family units by more than 36%. Here is a brief summary of the developments: 1.Elim Care – 1534 County Rd C 141 units of senior housing consisting of independent living, assisted living, memory care, and skilled nursing. 2.Maplewood Apartments – 2615 Maplewood Drive 72 units of market-rate apartments. 3.Former South Fire Station – 2501 Londin La E 148-unit mixed income project, including 59 units affordable at 60% area median income. 4.Gladstone House –1375 Frost Ave E 61-unit affordable housing project, all units affordable at 60% of area median income. 5.Maplewood Marine – 1136 & 1160 Frost Ave E Up to 65 units of affordable housing, all units affordable at 60% of area median income. City of Maplewood - Community Development B1, Attachment 2 6.JB Vang – 1310 Frost Ave E Up to 75 units of affordable housing, all units affordable with a mix at 30%, 50% and 60% of area median income. 7.PhalenSeniorCooperative–EastShoreDr Project is in the early development phases, but could include up to 64 units of senior for-sale units. 8.Rice Street Gardens – 1958 Rice St N Project is in the early development phases, but could include approximately 350 units of affordable housing at various income levels. Vacant Single-Family Homes In addition to the multi-family housing in development, city staff tracks vacant single-family homes in the community as part of our code enforcement program. The most recent list includes 43 homes that are unoccupied. The reason for the vacancy varies by property, but common reasons include mortgage foreclosure, deceased owners, or tax lien and forfeiture processes. There are certainly other unoccupied residences in the community, but these 43 properties are known due to code enforcement actions, which indicates a lack of maintenance and upkeep. This full list of vacant single-family homes is attached. City of Maplewood - Community Development B1, Attachment 2 Vacant house list 1122 County Road C E, no mailing address for the owner and the City has abated the lawn mowing twice for 2018 and 2019. Missing a window/boarded up. A Craigslist scammer had sold the properties wooden fence to an unsuspecting buyer. A portion of the fence was cut down before the police arrived. 1830 Howard St N, no mailing address for the owner and the City has abated the lawn mowing twice 2018 and 2019. Heavily overgrown, gas and water are shut off and the roof is collapsing. I believe that the house has flooded from burst piping, water was shut off due to high usage. Not very noticeable from the street. My first stop I thought it was a wooded lot. 1145 Glendon St N, the yard is missing due to the abundance of items/junk. I’ve been in contact with the City of Roseville since the owner resides there and the property in Roseville appears worse. Burst piping two years ago house flooded and full of mold according to police report. I’ve been working with the owner Bill Acree, he has a dumpster on site and is currently cleaning the property. 1753 Howard St N, previous problem property. House is getting cleaned out and remodeled. “63 tires removed from swamp behind house.” 7 dumpsters of junk were removed from the property. Looks good. 2201 Hendry Pl N, the son is cleaning the house out. Keeps it mowed and tidy on the exterior. Been vacant for a couple of years. The stucco and brick look good, the trim and garage door are in need of paint. 2642 Harvester Ave E, homeowner passed away. I sent Public Works to mow the property but it had been mowed overnight. Possibly the neighbor mowed it since they were mowing when I posted it. 632 Sterling St S, the City has abated the lawn mowing once. I spoke with the owner and she informed me that there are medical issues and a divorce that they are dealing with. 796 Bellwood Ave E, keeps it mowed but the neighbor told me that the house has been vacant for years. 1930 Castle Ave, the homeowner passed away. The neighbor called about long grass summer of 2018. I sent orders and the lawn has stayed mowed since then. Looks good. 1709 Jackson St. N. Homeowner passed away. Siblings are slowly cleaning the house. There was a complaint of long grass spring of 2019. I talked with the owner/responsible party and the lawn has been kept mowed since then. George Burnside 651-776-1718 2500 Clarence St. N The homeowner Sandra Koch passed away in 2018. Flesh eating bacteria. The garage roof is collapsing and the roof over the house is in need of replacement. The neighbor has been mowing the lawn. B1, Attachment 2 2231 Beam Ave. E. The homeowner is Thomas Chartrand and is using the house a hording property. The property is overgrown and there is a tree growing through the garage soffit/eve. The vehicles in the driveway are licensed and the front yard is kept mowed. The back yard is heavily overgrown with items being stored. 1068 Lakewood Dr. N. Bank owned property with many issues. The bank cleaned and mowed the property after orders were posted. 3029 Carey Heights Dr. N. The owners recently remodeled the house and had planned on selling it but due to a property line dispute involving a portion of their swimming pool and the pool house being built on the neighbor’s property they may rent instead. 2260 Van Dyke St. N. The property is boarded up. 1077 Century Ave S. The homeowner passed away in 2018. The roof is leaking on the garage. 3021 Furness Court. Previously a problem property with many police and code enforcement visits. The property has been cleaned up, remodeled and for sale. Three open permits and the permits have not been paid for. 2200 English St. The property has been vacant for at least a year and the parcel was just divided into two parcels PID: 102922330143 & 102922330144. 1239 Dorland Rd. The previous homeowner passed away and the estate sold the property. The house was remodeled/flipped without permits. The current owner is Daniel Seerup 651-408-3462. 1400 Currie St. N. Fire damage, house is being remodeled/repaired. 2287 Arlington Ave. E. The house is vacant and for sale. Looks good. 1909 Larpenteur Ave. E. Problem property with vehicles and junk on the lawn. Zillow has the property listed at action on 08-01-2019. Ramsey County still has Daniel Conroy as the owner. 1700 Barclay St. N. Tax forfeited property. MN State and Ramsey County are the owner. 1011 Bartelmy Ln. N. The homeowners passed away. 1765 Desoto St. N. Vacant house, the owner lives next door at 1747 Desoto St. N. 2170 Burr St. N. Property has been vacant for over a year. The house was posted for work being done without permits. The permits were issued and are still open. 954 Edith St. N. The house is vacant and being remodeled. 2452 Germain St. N. Vacant house being remodeled. 2524 Valley View Ave. E. Vacant house with junk being stored in the back yard. 2572 Oakridge Court E. The neighbor told me that the property has been vacant for a couple of years and that the owner returns periodically to mow. There is some damage to the exterior around the front door. Rotted wood. B1, Attachment 2 2405 Carver Ave. E. Possibly vacant, it appears the property is being used as a business but the house is empty. There is encroachment onto city property at the north and east property lines. The encroachment is into the wooded city lot. 1490 Sterling St. S. Flood/water damage. 1816 Kennard St. N. The owners have moved into assisted living. 760 County Road B E. Possibly vacant. Driveway was not plowed and the property taxes are three years delinquent. Tax forfeiture year is 2020. Open window on the rear of the house. 1819 Birmingham St. Being remodeled. 395 Kingston Ave E. Homeowner passed away. The estate is in probate court. 1827 Manton St. N. Vacant and bank owned. 1742 ½ English St. N. Vacant and the property taxes are three years delinquent. Tax forfeiture year is 2020. 948 Bartelmy Ln. N. Vacant, Williams Petroleum 940 Bartelmy Ln. N. Vacant, Williams Petroleum 928 Bartelmy Ln. N. Vacant, Williams Petroleum 920 Bartelmy Ln. N. Vacant, Williams Petroleum 910 Bartelmy Ln. N. Vacant, Williams Petroleum