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HomeMy WebLinkAboutCity Council - 09/05/2017 - HRA APPROVED MINUTES HOUSING AND REDEVELOPMENT AUTHORITY TUESDAY, SEPTEMBER 5, 2017 7:00 PM, CITY CENTER Council Chamber 8080 Mitchell Road HOUSING AND REDEVELOPMENT AUTHORITY MEMBERS: Chair Nancy Tyra- Lukens, Council Members Brad Aho, Sherry Butcher Wickstrom, Ron Case, and Kathy Nelson CITY STAFF: City Manager Rick Getschow, Public Works Director Robert Ellis, Community Development Director Janet Jeremiah, Parks and Recreation Director Jay Lotthammer, City Attorney Ric Rosow and Council Recorder Jan Curielli I. ROLL CALL/CALL THE HRA MEETING TO ORDER Chair Tyra-Lukens called the meeting to order at 7:01 PM. All HRA Members were present. II. APPROVE MINUTES OF HRA MEETING HELD ON FEBRUARY 14, 2017 MOTION: Aho moved, seconded by Nelson, to approve the minutes of the HRA meeting held February 14, 2017. Motion carried 5-0. III. ADOPT RESOLUTION HRA 2017-02 TO APPROVE THE PROPOSED 2018 HRA PROPERTY TAX LEVY TO BE $200,000 AND ACCEPT THE PROPOSED 2018 HRA BUDGET OF$200,000 Getschow said the preliminary levy and budget for the HRA, as well as that of the City, must be set before the end of September. By law, our HRA could levy up to $1,800,000, but we continue to recommend a $200,000 levy. The levy represents funding for staff time to support housing and redevelopment activities. In December the Council will be asked to finalize the budget and levy. The amount of the levy could be reduced at that time,but may not be raised above the $200,000 preliminary amount approved. Nelson said we have been talking about increasing the amount for the last couple of budgets, and she would like to consider moving the amount to $250,000. It has been set at $200,000 for a decade, and there is a possibility we could be losing some block grant money. Getschow said the Capital Improvement levy is proposed to be increased in the budget. We would continue to explore a higher HRA levy,but staff believes $200,000 is sufficient for 2018. The HRA has tools with which to work outside the levy, so this doesn't lock us out of any future housing and redevelopment projects. He noted, if approved, the $200,000 levy cannot be raised later, so now would be the time to set a higher amount. Case said the amount set tonight will drive what the people actually see once the State comes through with its formula. For 15 years we have had a 0% increase in the HRA levy. HRA MINUTES September 5, 2017 Page 2 He has also been a proponent of raising the HRA levy,but he would like to see this in the context of the whole picture. He did not think tonight is the night to increase it. He was sensitive to what the final tax number will be, even though we don't act on the final number tonight. He agreed there are things we need to look into doing, such as the Major Center Area and diversity of our housing stock,but not in this way. Nelson would like staff to begin to look at an increase before the 2019 budget is approved. We should look at what we might do if we raised the HRA levy. Tyra-Lukens commented it would be important to know what the money would be used for. Butcher Wickstrom said in years past she has been a proponent of increasing the HRA because there are so many needs out there; however, she wanted to wait to see how we would be spending our money. Aho didn't think we should look at raising the amount just to raise it. An increase should be driven by need. We should look at the need to raise the levy amount and figure out how that fits into the overall budget and City spending. MOTION: Case moved, seconded by Aho, to adopt Resolution HRA 2017-02 to approve the proposed 2018 HRA property tax levy to be $200,000 and to accept the proposed 2017 HRA budget of$200,000. Motion carried 5-0. IV. ADJOURNMENT MOTION: Butcher Wickstrom moved, seconded by Nelson, to adjourn the HRA meeting. Motion carried 5-0. Chair Tyra-Lukens adjourned the HRA meeting at 7:11 PM.