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City Council - 04/17/2012 - Workshop APPROVED MINUTES CITY COUNCIL WORKSHOP & OPEN PODIUM TUESDAY,APRIL 17, 2012 CITY CENTER 5:00—6:25 PM, HERITAGE ROOMS 6:30—7:00 PM, COUNCIL CHAMBER CITY COUNCIL: Mayor Nancy Tyra-Lukens, Council Members Brad Aho, Sherry Butcher Wickstrom, Kathy Nelson, and Ron Case CITY STAFF: City Manager Rick Getschow, Police Chief Rob Reynolds, Fire Chief George Esbensen, Public Works Director Robert Ellis, Community Development Director Janet Jeremiah, Parks and Recreation Director Jay Lotthammer, Communications Manager Joyce Lorenz, City Attorney Ric Rosow, and Recorder Lorene McWaters Workshop - Heritage Room H I. AFFORDABLE HOUSING City Manager Rick Getschow said this workshop is the second in a series of three workshops focusing on the Housing & Economic Development Strategic Plan. The topic of tonight's workshop is affordable housing. Community Development Director Janet Jeremiah said City staff met with staff from Met Council last week to get answers to questions the City Council raised about affordable housing goals set by Met Council. Met Council Housing Policy Analyst Katie Hatt is in attendance at tonight's workshop to answer any additional questions that may arise. Housing and Community Services Manager Molly Koivumaki presented a PowerPoint on the City's affordable housing plan and an overview of existing affordable housing. Koivumaki said the City of Eden Prairie has developed a Housing Action Plan for 2011- 2020 based on goals set by Met Council as part of the Livable Community Act. The action plan includes six major goals. Goal 1: Promote and encourage provision of lifecycle housing opportunities for all age groups, household sizes and income levels. Goal 2: Promote and support development of new affordable housing units to meet the community's share of the regional affordable housing needs as well as the community's affordable housing goals. The new affordable housing goal for Eden Prairie (ownership and rental) is a range— 1,198 to 1,843 units. The range is set using a formula based on growth forecasts, transit,jobs and housing stock. Goal 3: Lower development costs of low/moderate income, elderly and special needs housing developments. Goal 4: Work in partnership with private and public sectors and regional, state and federal agencies to help finance innovative housing and demonstration projects and housing development. City Council Workshop Minutes April 17, 2012 Page 2 Goal 5: Promote and support reinvestment in older housing stock and neighborhoods that are approaching the life span for some utilities, equipment and structural elements. Goal 6: Promote and work to locate new housing with convenient access to basic services, including stores,restaurants, services, transit and parks. Koivumaki reviewed the status of affordable rental housing stock in Eden Prairie. Three apartment complexes consist entirely of affordable units: Briar Hill (126 units), Prairie Meadows (168 units) and Edendale (60 units). There are two affordable townhome complexes: Columbine Townhomes (32 units) and Purgatory Creek Townhomes (32 units). Lincoln Pare Apartments and Bluffs at Nine Mile Creek Apartments have 37 and 63 affordable units respectively. The Affordable Housing Program, owned and managed by Metro HRA, oversees 20 affordable units scattered throughout Eden Prairie. It is estimated that about 350 Section 8 Voucher Holders rent units in Eden Prairie. Koivumaki said there are several land trust affordable homes that are owned by residents: five townhomes and two single family homes. Strategies for meeting housing goals include reinvestment in existing units through homeownership improvement grants, housing improvement areas, and market rate affordable rental improvements using CDBG/existing TIF funds. Staff will provide more information to council on the possibility of extending TIF housing districts and establishment of Point of Sale Inspections at upcoming workshops. Koivumaki said one important clarification staff recently received from Met Council regarding housing goals is that"new" does not necessarily mean new construction. It references additions to the affordable housing stock. Koivumaki said there is no formal penalty for not meeting the goals. Penalties could be imposed if the City does not make efforts to meet the goals. Council Member Nelson said she does not believe that requiring half of the housing stock to be affordable is reasonable. Case asked if the formula takes into consideration the relative costs of developing land. Met Council Housing Policy Analyst Katie Hatt said that is not part of the formula. Nelson said the majority of buildable land remaining in Eden Prairie is in the southwest corner. She noted that area lacks mass transit and neighborhood retail. Jeremiah said one question Council may want to consider is whether or not to extend TIF for affordable senior housing at the Colony, Sterling Ponds and Summit Place. Tyra-Lukens said it looks as if significant new affordable housing is planned for both the Golden Triangle and Major Center Area. She asked why the City would want to divert uses away from retail and industrial in those areas. Jeremiah said new residential units would be incorporated into mixed-use environments. She said the intent is not to reduce retail but to integrate it with housing. Open Podium - Council Chamber II. OPEN PODIUM City Council Workshop Minutes April 17, 2012 Page 3 A. John Mallo— City Policies Rmardins!Employment of Volunteers Mallo said he was told by Senior Center staff that he cannot be paid to teach a woodshop class because he is a volunteer. He said that seems like discrimination to him. He spoke with Parks &Recreation Director Jay Lotthammer, who gave him a letter clarifying the matter. City Attorney Ric Rosow reminded the City Council that as a Plan B City, all personnel matters are the responsibility of the City Manager and it would not be appropriate for them to become involved in this situation. Parks & Recreation Director Jay Lotthammer noted that there is no actual job posting at this time. III. ADJOURNMENT