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Home My WebLink AboutEDA AGN 11-23-10AGENDA COLUMBIA HEIGHTS ECONOMIC DEVELOPMENT AUTHORITY TUESDAY, November 23, 2010 7:00 p.m. Citv Hall Conference Room 1: 590 40 Ave NE Columbia Heiqhts 1. Call to Order /Roll Call Gary L. Peterson, President Bobby Williams Marlaine Szurek, Vice President Bruce Nawrocki Bruce Kelzenberg, Secretary/Treasurer Gerry Herringer Tammera Diehm 2. Pledge of Allegiance CONSENT AGENDA 3. Approve Minutes of August 24, 2010 Approve financial report and payment of bills for August, September, and October 2010, Resolution 2010 -14 Motions: Move to Waive the Reading of Resolution 2010 -14, there being an ample amount of copies available to the public. Move to Approve the Minutes and Resolution 2010 -14 approving the financial report and payment of bills for the months of August, September, and October 2010 BUSINESS ITEMS 4. Housing Status Report 5. Goals -Work Plan 6. Community Garden Policy 7. Resolution 2010 -15 Reauthorizing 2011 HRA Levy Motion: Move to waive the reading of Resolution 2010 -15 there being ample amount of copies available to the public. Motion: Move to adopt Resolution 2010 -15, Amending Resolution 2010 -12 Reauthorizing adoption of the Levy of a Special Benefit Levy Pursuant to Minnesota State Statutes, Section 469.033, Subdivision 6 and Approval of a Budget for Fiscal year 2011. 8. Resolution 2010 -16 Reauthorizing 2011 EDA Levy and Budget Motion: Move to waive the reading of Resolution 2010 -16, there being ample amount of copies available to the public. Motion: Move to adopt Resolution 2010 -16, Amending Resolution 2010 -13, Reauthorizing adoption of 2011 EDA Budget and Levy. 9. Cancel December 28, 2010 EDA meeting 10. Administrative Report a. Mady Update b. Schafer Richardson Update 11. Other Business Next scheduled meeting is January 25, 2011 EDA /HRA 2011 Schedule — Tuesdays 7pm January 25"' EDA /HRA February 22 EDA March 22 EDA April 26"' EDA /HPA May 24 EDA June 28`" EDA July 26 EDA /HRA August 23` EDA September 27 EDA October 25 EDA /HRA November 22 EDA December 27"' EDA EDA meeting take place in Conference Room 1 at City Hall 7pm HRA meetings talk place at Parkview Villa in Community Room B 7pm When HRA and EDA meet on the same night the meetings are held at Parkview Villa in Community Room B with the EDA meeting first. All meetings are subject to change. ECONOMIC DEVELOPMENT AUTHORITY (EDA) MINUTES OF THE REGULAR MEETING AUGUST 24, 2010 The meeting was called to order at 7:00 pm by President -Gary Peterson. Members Present: Bruce Nawrocki, Gary Peterson, Gerry Herringer, Bruce Kelzenberg, Tammera Dielvn, Marlaine Szurek, and Bobby Williams Staff Present: Walt Fehst, Scott Clark, Sheila Cartney, and Shelley Hanson. 2. PLEDGE OF ALLEGIANCE- RECITED 3. CONSENT AGENDA Approve the Minutes of July 27, 2010. 2. Approve the Financial Report and Payment of Bills for Jul 2Y 010 per Resolution 7010 -1 Walt noted a correction to the July 27`" minutes of the Executive Session. Nawrocki asked what the bills to Gene's Sewer & Water and to A.M.E. were for. Cartney said the payment to Gene's was for the water and sewer cuts and new stub -ins for 4600, 4608, and 4648 Polk St. The payment to All Metro Excavation was for demolishing these same three properties. Clark said these payments were made by the EDA, but are being reimbursed from CDBG funds. Nawrocki asked if this project was bid out. Cartney said it was and that the City Council awarded the bid to this company a couple months ago. Nawrocki requested a copy of the bid results. Cartney said she would get the information to him on the demo bids, but the contract information for using Gene's Sewer and Water was bid out and handled by Public Works. Motion by Szurek, seconded by Williams, to waive the Reading of Resolution 2010 -12, there being ample copies available to the public. All ayes. MOTIONPASSED. Motion by Szurek, seconded by Diehm, to approve the minutes and to adopt Resolution 2010 -12, approving the Financial Report and payment of bills for July 2010. All ayes. MOTION PASSED. EDA RESOLUTION 2010 -12 RESOLUTION OF THE COLUMBIA HEIGHTS ECONOMIC DEVELOPMENT AUTHORITY (EDA) APPROVING THE FINANCIAL STATEMENT FOR JULY 2010 AND PAYMENT OF BILLS FOR THE MONTH OF JULY 2010. WHEREAS, the Columbia Heights Economic Development Authority (EDA) is required by Minnesota Statutes Section 469.096, SUM. 9, to prepare a detailed financial statement which shows all receipts and disbursements, their nature, the money on hand, the purposes to which the money on hand is to be applied, the EDA's credits and assets and its outstanding liabilities; and WHEREAS, said Statute also requires the EDA to examine the statement and treasurer's vouchers or bills and if correct, to approve them by resolution and enter the resolution in its records; and EDA COMMISSION MINUTES PAGE 2 AUGUST 24, 2010 WHEREAS, the financial statement for the month of July 2010 has been reviewed by the EDA Commission; and WHEREAS, the EDA has examined the financial statement and finds them to be acceptable as to both form and accuracy; and WHEREAS, the EDA Commission has other means to verify the intent of Section 469.096, Subd. 9, including but not limited to Comprehensive Annual Financial Reports, Annual City approved Budgets, Audits and similar documentation; and WHEREAS, financials statements are held by the City's Finance Department in a method outlined by the State of Minnesota's Records Retention Schedule, NOW, THEREFORE BE IT RESOLVED by the Board of Commissioners of the Columbia Heights Economic Development Authority that it has examined the referenced financial statements including the check history, and they are found to be correct, as to form and content; and BE IT FURTHER RESOLVED the financial statements are acknowledged and received and the check history as presented in writing is approved for payment out of proper funds; and BE IT FURTHER RESOLVED this resolution is made a part of the permanent records of the Columbia Heights Economic Development Authority. Passed this 24th day of August, 2010. MOTION BY: SZUrek SECONDED BY: Diehm AYES: All ayes BUSINESS ITEMS 3. GOALS AND OBJECTIVES WORKSHOP Clark reminded members that at the April 27, 2010 EDA meeting there was a consensus of the Commissioners to hold a goal setting session. As there was a limited agenda for this meeting, this date was selected. He explained that the overall goal of this meeting is threefold: 1) To establish (or reestablish) broad goals that serve not only as a framework for future actions, but also as a set of values for the Council /EDA. 2) To use the retreat discussion as a format for staff to develop a specific work plan for future activities. 3) To have a candid discussion about the purpose of the EDA, and the role of redevelopment and City involvement, as a catalyst for private reinvestment. EDA MINUTES PAGE 3 AUGUST 24, 2010 As a starting point, staff provided the following: 1. Results from an opinion survey that was conducted two ways a) The first group was internal and consisted of the Council, EDA, Planning Commission members and City staff that had significant day to day contact with the community b) An equal number of surveys were completed during the Police Picnic nights. The surveys are not intended to be a scientific sampling but should serve as some preliminary baseline regarding opinions. 2. Based on these results, staff attempted to coalesce the survey results into five broad based goals, coupled with a long list of possible discussion items. Clark stated it is hoped that this would establish a consensus, (yes or no) on each "preliminary goal statement' as a priority, and from discussions, a work plan would be brought back to the EDA as a mechanism to ensure that staff correctly interpreted the dialogue. 3. Ground rules were reviewed to assist having a meaningful meeting. 4. Additional information including a single - family rental map and foreclosure map was handed out at the meeting. It was noted there are 462 active foreclosures somewhere in the process, and another 300 that have gone through the process and have been re -sold. Clark explained these statistics only cover the single family and doubles in the city. This means that approximately 13% of homes in that category have been affected by foreclosure. Clark said this creates stress on the entire neighborhood because it has drastically affected the property values throughout the community. He stated the average price point for homes in the area between Central and University, 40 to 49"' is now $107,000- $108,000. Szurek said she was concerned about the large number of single - family homes being bought and turned into rental property. She said once rented, the owners are less apt to reinvest more money in upgrading the property. Nawrocki said it indicates a lot of the residents are in financial trouble. He went on to say that burdening them with higher taxes means they have less money to put back into their homes. Staff then proceeded with going through the five statements that were established to prompt the discussion. EDA MINUTES PAGE 4 AUGUST 24, 2010 GOAL OBJECTIVES /PRIORITIES: 1) "I am satisfied with the types of businesses Columbia Heights attracts to Central Ave." 6 members disagreed with this statement. Diehm thought it would be important to get quality retail along Central Avenue. She stated that one of the issues the developers discussed with the Board in June was that we need to attract households with more disposable income in order to draw in quality retail, or do we try to get the retail in order to draw the people. "Either way, how do we get that to happen ?" Williams said he would like to see an attractive strip mall with major tenants at 39"' and Central and to get the development going at 37 and Central. Peterson would like to get a retail area developed also. He thought stores where someone could walk from one to another would be nice -- similar to what St Anthony or Maple Grove have done, but on a smaller scale. Since we have some available sites along Central Avenue, this would be a good time to pursue this type of redevelopment. Peterson also would like to see 40 Avenue beautified a bit. He suggested working with Anoka County to reduce the traffic lanes and put a median in that would hold trees, shrubs, and nice lighting. He also suggested making the signage more aesthetically pleasing. Nawrocki stated the traffic signs along Central Avenue don't bother him, but the sandwich boards do. He thinks it makes our corridors look tacky. He went on to say that the market will drive any commercial redevelopment that may or may not take place. Developers know where they can sell their product and succeed. He told the members that a local business owner recently told him that his taxes had doubled over the last 8 years. Again, he made the argument that businesses can't re- invest in their businesses, or properties, if their taxes are too high. Peterson said budget discussions are coming up. If members want to cut the budget, services will have to be cut. He told members to let him know what services they are willing to eliminate, but from his discussion with residents, they want to continue the services currently being provided. Diehm said some of the businesses along Central could use a face -lift. She suggested contacting the owner of the Mall at 40 and Central and see if he would be willing to spruce up the mall, which may draw more attractive businesses to the area. She thought the EDA should consider some financial assistance to businesses that want to do this as one of the future goals. She used the Mounds View Mall on Highway 10 as an example of an older retail strip mall that was able to revitalize itself. EDA MINUTES PAGE 5 AUGUST 24, 2010 Clark was asked whether he had any recent conversations with representatives from Aldi's. The members still felt that would be a good fit in this area. Clark said he has made at least five overtures (the last one as recent as five days ago) to Aldi's to meet with their developers to encourage or help them find a site in Columbia Heights. He said they have been unresponsive to his communications. He knows from past discussions with Khoratty and Bruce Carlson that Aldi's has very specific criteria in their decision - making. They prefer to own the site and to have a large parking lot for their own use. He said those were the primary issues that prevented them from committing to the 47` and Central Ave site. Kelzenberg asked when Clark had last talked to Dave Klober regarding the residential part of that site. Clark stated he is basically an invisible owner and has not been proactive in getting the site developed. They last spoke regarding the legal documents that were processed in order for the pipe bursting project to proceed. Kelzenberg would like staff to check on ownership of the site and to see if the owner has any plans to develop it, or if he would possibly be willing to donate it for a City Hall or Library site. Clark asked if the Board is comfortable to let that site sit as is for 15 -20 years if it takes that long for the market to rebound enough to construct condo or townhouse units as originally planned? Williams and Szurek both stated they think the luxury rental project would have been good since this is becoming a more popular housing choice, especially with young professionals and older people who are vacating their homes. Clark asked if they are interested in looking at other ideas for that site if it can be arranged? The consensus was to wait until the commercial /retail space is developed, then it will most likely develop itself. Herringer went on record to thank staff for obtaining 30+ surveys from residents throughout the community at the Police sponsored picnics. He appreciated being able to consider those responses as well. Herringer stated he thinks it is crucial to get the front, commercial piece of that site developed first. He also believes Aldi's or something similar, like Trader Joe's, are the only stores that would succeed there. Members reminded Herringer that Trader Joe's wouldn't be interested in having a store in our City since we have Municipal Liquor and they would also want to sell beer and wine. Clark asked him if he thought Aldi's would be enough to drive the rest of the site? Although the members would like to see Aldi's along with one or two other small retail outlets, they did all agree that the retail must be developed first to make anything else work up there, even if it is just a stand alone Aldi's store. Diehm encouraged staff to continue to try to open a line of communication with them. Clark said he is doing that directly and through RJM Developers who are also trying to coordinate the development of that site. Nawrocki made some general comments regarding the history of Columbia Heights and that it has been a work in progress for many years. He thinks Columbia Heights continues to improve and that code enforcement is an important piece in keeping the community strong. He feels the Fire Dept employees doing code inspections has been a huge help toward this effort. EDA MINUTES Page 6 August 24, 2010 Wait stated that the survey responses indicated that most of the respondents also feel code enforcement is important. Diehm thought it was interesting that staff and City Council thought properties are not being kept up very well, but the residents felt the majority were doing a good job. Szurek stated that outside storage has become a problem. Clark asked members if staff should take another look at the property maintenance code and how inspections are done? Should we do City sweeps more often, or perhaps shorten the timeframes to correct the matter? This prompted a discussion regarding the merits of holding a spring clean up day to encourage residents to get rid of unwanted items and to participate in a community wide event, even though our garbage service will take most items on a regular basis. Nawrocki stated someone called him and volunteered to help others with cleanup /haul away of items if someone had a truck. Members should contact him for more information if they know someone in need of assistance. Clark told members that he is attending a meeting on September P comprised of local Business Owners who are trying to establish a group similar to what used to be the Local Chamber of Commerce. He thinks this could be a positive move for the community. Clark said he would keep members apprised of any information that is obtained from the meeting. Clark then asked if members would be interested in promoting a Citizen's Academy? He explained that 16 -20 people are picked from the community and are brought in to meet with City Staff and learn what the various departments do and what services they provide. They are told the basics of how City Government runs, and how policies, laws, state statutes, etc impact the process. This would be a way of attracting people to serve on Boards and Commissions and would get some of the younger, newer residents of the community involved. He explained that other communities are using this tool, and that it seems to be very popular and relatively inexpensive to establish. It helps the residents, and those they come in contact with, to feel more connected. Herringer commented on Item #8- People's perception of the City. All of the groups rated this negatively. Peterson said we need to build our image from the inside out. A lot of good changes have happened in the last 10 years and we need to find a way to promote that. The Major Goals for this Question are: *Redevelop available sites along Central Avenue with quality commercial projects *Do more marketing on available land to developers (including putting a list and the contacts on the City's Website). *Encourage or help existing businesses to update their property *Keep trying to communicate with Aldi's *Look at more attractive signage along Central Avenue -and possibly look at our sign ordinance requirements. *Beautification of corridor streets (40 Avenue and Central Avenue) *Continue /improve code enforcement of properties. EDA MINUTES Page 7 August 24, 2010 2) "The City should spend time and resources to be more aggressive in developing housing programs to ensure that proper levels of reinvestment are occurring in the City's neighborhood and create specific neighborhood groups to enhance the level of involvement by residents in the city." 6 members agreed with these statements. The ideas discussed for this were: 1. There was a consensus that staff should continue to go after grants and funding. 2. The members all felt that the Community Gardens was a huge success. Staff will prepare a policy so that the program can be continued. Staff suggested it be in place this fall so the gardens can be organized earlier next year. Nawrocki stated that the Garden Club, which has more than 70 clubs from across the metro area, came to look at the one at 40 and Jackson. He said they have already given 400 pounds of food to SACA and expect at least 100 pounds more in the next few weeks. Herringer suggested using that as a positive marketing spin - contact the media and recognize the parties who were involved. 3. Diehm suggested looking at resources to remodel existing homes and encourage people to stay. She used the remodeling book that was put out about 10 years ago for remodeling Cape Cod or Expansion homes as an example. 3) "City staff should drive redevelopment and marketing efforts to ensure a healthy development ". 6 members agreed with this statement. Clark asked if the EDA was still willing to look at TIF to develop sites. The consensus was they are open to the concept. Diehm said it would have to be decided on a case by case basis. Nawrocki felt the Board would have to look carefully at how those monies would be used to be most successful for the community as a whole. Walt said he thinks the "pay as you go" Tax Increment Financing is most favorable. EDA Minutes Page 8 August 24, 2010 4) "The City should spend time and resources to reevaluate the rental property program and related ordinances ". 5 members agreed and 2 members somewhat disagreed with this statement. Nawrocki said we should do a better job with what we have. Clark stated in the past rental inspections on the interior had been changed to four year intervals. In January they will be going back to a two year cycle for the interior inspections. Exterior inspections will continue on an annual basis. Clark said he thinks the inspection process can be improved on and that staff will come back with ideas for the Council to consider that would include more inspections, better quality inspections, and more consistency in the inspections. Other code enforcement issues were discussed earlier in the meeting. 5) "Potentially increasing City Expenditures for property code enforcement is critical in maintaining the City's community health ". 5 members agreed and 2 somewhat disagreed with this. Everyone agreed that code enforcement is important to the general health of our city, as discussed earlier in the meeting. Clark asked if there were any other items critical to the members that weren't included in these five statements, or discussed already. The members summarized the most important items to them were: 1. Tmproving the image of Columbia Heights using some recent positive changes (i.e. Pedestrian Bridge, Community Gardens) 2. Upkeep and maintenance of housing stock /code enforcement 3. Work to re -face existing commercial properties and to fill vacant commercial sites 4. Draw new commercial that is of higher quality retail, restaurants, etc. This also will help change our image. Staff will put together a list of goals and a basic work plan that the Board can review for approval. These goals will give direction to staff and keep the Board focused on how best to accomplish them. 5. ADMINISTRATIVE REPORT None The meeting was adjourned at 8:55 pm Respectfully submitted, Shelley Hanson Secretary EDA RESOLUTION 2010-14 RESOLUTION OF THE COLUMBIA HEIGHTS ECONOMIC DEVELOPMENT AUTHORITY (EDA) APPROVING THE FINANCIAL STATEMENT FOR AUGUST, SEPTEMBER, AND OCTOBER 2010 AND PAYMENT OF BILLS FOR THE MONTH OF AUGUST, SEPTEMBER, AND OCTOBER 2010. WHEREAS, the Columbia Heights Economic Development Authority (EDA) is required by Minnesota Statutes Section 469.096, Subd. 9, to prepare a detailed financial statement which shows all receipts and disbursements, their nature, the money on hand, the purposes to which the money on hand is to be applied, the EDA's credits and assets and its outstanding liabilities; and WHEREAS, said Statute also requires the EDA to examine the statement and treasurer's vouchers or bills and if correct, to approve them by resolution and enter the resolution in its records; and WHEREAS, the financial statement for the month of August, September and October 2010 has been reviewed by the EDA Commission; and WHEREAS, the EDA has examined the financial statements and finds them to be acceptable as to both form and accuracy; and WHEREAS, the EDA Commission has other means to verify the intent of Section 469.096, Subd. 9, including but not limited to Comprehensive Annual Financial Reports, Annual City approved Budgets, Audits and similar documentation; and WHEREAS, financials statements are held by the City's Finance Department in a method outlined by the State of Minnesota's Records Retention Schedule, NOW, THEREFORE BE IT RESOLVED by the Board of Commissioners of the Columbia Heights Economic Development Authority that it has examined the referenced financial statements including the check history, and they are found to be correct, as to form and content; and BE IT FURTHER RESOLVED the financial statements are acknowledged and received and the check history as presented in writing is approved for payment out of proper funds; and BE IT FURTHER RESOLVED this resolution is made a part of the permanent records of the Columbia Heights Economic Development Authority. Passed this 23rd day of November 2010. MOTION BY: SECONDED BY: AYES: Gary Peterson, President Attest By: Shelley Hanson, Secretary ■■ • �i i 1` i i U) H H x � H 00 0 00 O a (D Ln U) Pa N �o CO H O a l- 00 U> W (x W 00 H d < OO >4 Ln Q H Ha �� H Ln x o0 �k m m L- IT U Ln w C U Ha >,r4 }A a OH t� Ga m xx O xH U u U) z v H H v a v� zU H H H wa H (.� H w rx w z° m ° n ° H� Cl) w � 4 Ln > N g a H 0 K4 z H H Uo x ZH O W `,Zi N x H� U W o x x U� I U7 N F x 0 H ww xo � C4 H W O O a� Oo U> C, C4' Oo <r >4 Ln Fa H C7 U �.W s� a OH U Cu W xa O xF U Ul � H U W !� F O z m w a Ln aH F � o H F Uo zo a Z O H\ C4 4 O W FC H W Cl) W H0 x04 0a x U W H PQ O E O 41- 00 U> Cz U) a 000 lD d' N� H C7 C7 U O N x x U N U H.. Cl) H >+ r) .. 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Staff has prepared the following report in an attempt to give a real - time analysis of the state of the housing in Columbia Heights, with focuses on where the city has been and where the city currently is. This report will address the issues of foreclosures, housing values and housing price points, and will supply brief analyses on each. An important factor when interpreting this report is to understand the relationship between the price points of the houses sold in the last three years and the median income levels for residents in Columbia Heights. According to the 2010 Comprehensive Plan, Columbia Heights has a median household income of $40,562, which is 25% below the metropolitan area median of $54,304. All of the following information is from the 2000 Census, and staff will provide an additional report in 2011 when the 2010 Census figures are released. median household income. 1 Columbia Heights also falls well under Anoka County's and the State of Minnesota's Staff often looks at other cities comparable to Columbia Heights in order to establish a standing. Compared to these cities, Columbia Heights still ranks low in median income levels: Another important statistic to understand is the actual income levels per household. The following pie chart indicates that 64% of the households earn less than $50,000 per year. 2000 Income Per Household 1% 1% 6% 7% 6% 10% 14% 20% 16% 19% M Less than $10,000 M $10,000 to $14,999 0$15,000 to $24,999 0 $25,000 to $34,999 M$35,000 to $49,999 ® $50,000 to $74,999 M$75,000 to $99,999 13 $100,000 to $149,999 *$150,000 to $199,999 * $200,000 or more 2 DISCLAIMER The following maps are intended to be graphical representations of the city only. The information used to compose the maps was gathered from multiple sources and are not assumed to be 100% accurate. The maps are not a legal document. The purpose of displaying the maps is to provide a general basis of information needed to understand the dynamics of the city. 3 HOUSING AGE AND HOUSING VALUES Throughout this report, mention will be made to an area of the city that will be further referred to as "The Core ". University Avenue bounds this area to the west, Central Avenue to the east, 40 t1i Avenue to the south and 45 Avenue to the north. All of the maps in this report will have this area highlighted with a box. The following two maps indicate the age of housing units within the city and the 2011 payable market values for each residential property. The housing values were taken from the Anoka County website and indicates the January 2, 2010 assessed values. When comparing these two maps, it is evident that a correlation between the age of the housing units and the market value of the housing units exists. It is also evident that the oldest homes and the least valued homes congregate in "The Core" area of the city. 11 I �I I =1_I I 17 G F- i� I I 19 i r i/f p p AP 1 � � .Ni+ kl'l -`;1 IV.l *-1 %7: /:ML! M It l� ABANDONED PROPERTIES Abandoned buildings that are not maintained contribute to the detriment of neighborhoods, increase crime, and diminish property values of a city. For the benefit of the community, the City of Columbia Heights adopted a Vacant and Abandoned Property Ordinance on November 24, 2008. The program allows the city to revoke a property's Certificate of Occupancy if the property meets one or more of the following criteria: a) Reoccurring City Abatement processes. b) Building has been declared uninhabitable. c) Vandalized structures. d) Lack of exterior maintenance per Housing Maintenance Code standards. e) Repeated calls for service (police, fire, etc). f) Structural damage. g) Utility service shut off pursuant to delinquent billing /payments h) Property abandoned through Section 582.032 Subdivision 2 MN State Statute. The revocation prohibits the property to be occupied until the property is inspected and passed by the Building Official. In order to get the Certificate of Occupancy reinstated the owner or prospective buyer of the property must have an inspection conducted on the building and make any necessary corrections. Since the initiation of this program in 2008, the city has certified 165 properties as abandoned. Of those 165 properties, 71 have gone completely through the inspection process and now meet the State's minimum Building Code requirements. 7 SINGLE FAMILY RENTAL UNITS The City of Columbia Heights has experienced a large number of single - family homes being converted to rental units. To date, there are approximately 294 single - family homes that have been converted. Initially, staff assumed that these units would be clustered in specific areas of the city relative to housing values. However, the following map indicates that there is no set pattern as to where single - family rental units occur. Staff believes that there are key factors to explain the dispersal of the single- family rental units throughout the city. The first is the devaluation of property values, which has led to the inability of the current owner to sell the house for a reasonable price. Homeowners are choosing to rent out their homes rather than take a loss in the market. The second is the extremely low price points of the homes in Columbia Heights. The large number of foreclosures has driven sales prices down, with the average sales price for a foreclosed property at $102,774. These low price points have enticed investors into purchasing properties for the sole purpose of renting them out. 9 CITY AND COUNTY PURCHASED PROPERTIES In early 2009, the Columbia Heights Economic Development Authority (EDA) authorized a Scattered Site program. The program enables the city to acquire and demolish the most blighted properties in the community that are currently for sale within the foreclosure market. Staff determined that $998,020 of past obligated tax increment revenue could be generated and used for this program. The end objective is to demolish the houses and resell the lots at a future date. A key factor of this program is that homes acquired must fall into one of the following categories: a. Evidence of structural failure. b. Hazardous conditions including mold. c. Functional obsolescence. (Size of property, interior layout) d. Extensive physical deterioration. Also in 2009, the EDA approved the expansion of the Kmart TIF district to include 55 parcels in the Sheffield neighborhood and worked with area State legislations to modify the 5 -year rule provision. Taxes generated from this TIF district were incorporated into the Sheffield Neighborhood Action Plan, to be used to purchase and demolish blighted buildings in this area. To date, the City of Columbia Heights has used the two aforementioned programs to purchase 22 properties — all of which have been or will be demolished in the future. The Neighborhood Stabilization Program is a Federal program that allows counties to purchase blighted homes in different cities. Currently, Anoka County has utilized this program to acquire 13 properties in Columbia Heights. Plans for these properties differ. Some have been demolished and some have been renovated and sold back into the housing market. The following map indicates the locations of the City purchased properties (both through the Scattered Site program and the Kmart TIF expansion program) and the properties that Anoka County has purchased through the NSP program. 11 ALL SOLD PROPERTIES 2008 -2010 All properties within the City of Columbia Heights that have sold since 2008 were tracked and recorded. The following map depicts a range of price points for each property, which includes both foreclosed and market rate units. • 830 total properties have been sold since 2008. • 162 (19.5 %) of those properties sold for less than $80,000. • The average price per property was $128,834. o Average price of non- foreclosed property was $158,930. o Average price of foreclosed property was $102,774. • Of the 830 total properties sold, 443 were foreclosures (53.4 %). 13 TOTAL FORECLOSED PROPERTIES BY YEAR (2007 -2010) Beginning in 2007, staff has tracked all foreclosed properties within the City of Columbia Heights. By following the legal notices posted in the Anoka County Union, staff was able to create a weekly list of foreclosures. Staff believes that foreclosures occurred so dramatically in Columbia Heights because of over - priced values of the homes prior to the housing crisis, coupled with the below - average median household incomes of the residents. Once the housing values lowered, many residents became upside -down on their mortgages, and as seen on a national basis, limited up -front equity gave residents no stake in continuing housing payments. The following 4 maps depict the total number of foreclosures tracked per year, regardless of whether they have since been sold. The purpose of these maps is to show the sheer volume of foreclosures that the city has experienced in the last 4 years, as well as the pattern of dispersal throughout the city. It is evident from these maps that the foreclosures in 2007 were centralized around "The Core" area of the city. In 2008, the foreclosures spread out from this area and into other parts of the city. hi 2009, foreclosures became more widely dispersed and in 2010 it is apparent that no pattern occurs. The sheer numbers of foreclosures per year are: 2007: 142 2008: 295 2009: 236 2010: 155 (As of October 22, 2010) Total: 828 15 SOLD FORCLOSU PROPERTIES 2007 -2010 The following 2 maps compare the total number of foreclosures the City of Columbia Heights has experienced with the total number of active foreclosures the city currently has. Of the 828 total foreclosures that the city has recorded since 2007, 467 of those have been sold and are back in the market. This equates to 56.4% of all foreclosures the city has experienced. Staff believes that Columbia Heights has done a tremendous job in avoiding some of the major pitfalls of the foreclosure dilemma because so many foreclosures have been sold. It could be argued that other factors such as the Vacant and Abandoned Property program, the Scattered Site program, the NSP program, and aggressive inter - department code and building enforcement have all contributed in ensuring that the foreclosure issue did not have a crippling effect on the city and /or selected neighborhoods. The following lists the number of foreclosures per year and the number of foreclosures from that year that have been sold: 2007: Of the 142 foreclosures, 134 have sold (94.4 %) 2008: Of the 295 foreclosures, 240 have sold (81.4 %) 2009: Of the 236 foreclosures, 91 have sold (38.6 %) 2010: Of the 155 foreclosures, 2 have sold (1.3 %) 20 Current F'OreclosureS As of October 22, 2010 361 Current Foreclosures �_ ' =� �� 11 I I h i 0 Year (# of Properties) 2007 (8 Properties) 2008 (55 Properties) 2009 (145 Properties) 2010 (153 Properties) im ps r - �11 22 FORCLOSURE SALES PRICES 2007 -2010 The following 5 maps show the range of sates prices for foreclosures in Columbia Heights. The first map is a comprehensive map showing all sales prices. The subsequent maps break down the sales prices by year, starting with 2007. Two things should be noted with these maps. The first is that the sales price information was not given for 11 of the foreclosed properties. For that reason, the total number of foreclosed properties listed on this map is 456. The second notation is that these maps indicate the year in which a foreclosed property sold, regardless of the year that the property went into foreclosure. With that said, the average sales price for the foreclosed properties is $102,774, with 51 foreclosed properties selling for $50,000 or less and 233 properties selling for $100,000 or less. These are critical figures because houses selling for these price points often attract a lower income buyer may struggle in maintaining and providing the expensive up -keep associated with older homes. The last 4 maps show a declining progression in sales prices starting in 2007. In 2007, all sales prices were greater than $100,000. From 2008 to 2010, the average sales price has steadily declined: Average Sales Price 2007: $168,791 2008: $116,101 2009: $95,512 2010: $91,509 23 Fore Prices in 2008 134 Foreclosures Sold (Reported) Average Sales Price: $116,101 - - - -- ----- ---- Egg I - ED- nT I E tzq� O Foreclosures Sold: 2008 SallesPrice $ 0 to 50,000 $ 50,001 to 101,000 $ 101,001 to 150,000 $ 150,001 to 250,000 VE, wwwall ;r mm HOUSING CONCLUSIONS 1) The City has done an excellent job of tackling the issues associated with a staggering foreclosure problem. Neighborhoods have not experienced bordered up properties, public safety issues, squatting and other common problems associated with high foreclosure rates. 2) The various City programs, Scattered Site Acquisition and the Abandoned and Vacant Property Ordinance, coupled with strong inter - departmental code and building enforcement has been effective. 3) Based upon a review of about 135 homes (inspections of Abandoned and Vacant Property parcels and viewing potential homes for the Scattered Site Acquisition) 80% of the properties needed minimal repairs based on the City's minimum standards. 4) Foreclosed properties have been selling at a constant pace as evidenced by the vast majority (94.4 %) of 2007 foreclosures have been sold and absorbed by the market. To date, of the 828 tracked foreclosures since 2007, 467 (56.4 %) have been sold. 5) The long -term affect of foreclosures on the community is the depressed housing values. As shown, 2010 foreclosed properties sold for an average of $91,000. As a corollary, it is assumed that new residents purchasing these homes have incomes that are substantially below the area median income. 6) A major concern for the community should be whether there is sufficient value in housing prices in order for property owners to reinvest, especially if property owners have minimal disposable income. at 7) The City should look at iiuzovative ways to provide new rehabilitation funds for residents. Based on some of the observations within this report, City sponsored funds can provide access to rehabilitation capital that may not be available to residents through a conventional loan, City loans may be able to be sponsored at below market interest rates and longer tei7n paybacks. 8) Monitoring single- family conversions to rental should continue. 9) The City should continue both the Abandoned and Vacant Property program and extinguish the funds in the Scattered Site Acquisition pool, including the start of the Scattered Site Tax Increment District and related marketing activities. 10) The City should continue to investigate partnerships (such as the current partnership with the Twin Cities Community Land Bank) that leverage funds and/or provide opportunities for the private market. 11) City staff will reassess this housing report based on the 2010 census. 12) The City should continue to reinvest in code enforcement and reevaluate specific City Ordinances to expedite compliance times. 30 COLUMBIA HEIGHTS ECONOMIC DEVELOPMENT AUTHORITY (EDA) Meeting of. November 23 2010 AGENDA SECTION: Business Items ORIGINATING EXECUTIVE NO:5 DEPARTMENT: EDA DIRECTOR APPROVAL ITEM: Goals -Work Plan BY: Sheila Cartney BY: DATE: November 16, 2010 BACKGROUND: At the April 27, 2010 EDA meeting a consensus of the Commissioners agreed to a goal setting session, which was held on August 24, 2010. The overall goal of the meeting was threefold: 1) To establish (or reestablish) broad goals that serve not only as a framework for future actions, but also as a set of values for the Council /EDA. 2) To use the retreat discussion as a format for staff to develop a specific work plan for future activities. 3) To have a candid discussion about the purpose of the EDA, and the role of redevelopment and City involvement, as a catalyst for private reinvestment. After the workshop staff drafted a work plan to identify goals and objectives identified by the EDA and ways of strategy and implementation. Not all programs /activities described in the work plan will be generated through the EDA. Some of the programs /activities described in the work plan will require other approvals (such as City Council and Planning Commission) and will require input and action from various departments. Four main goals have been identified in the work plan: 1) Sustain Residential Neighborhoods 2) Continue efforts to improve the Central Avenue corridor 3) Creating a refreshed identity for Columbia Heights 4) Implement the approved goals of the August 2010 City's Comprehensive Plan Staff recognizes that projects outside of the work plan may present themselves, but overall the work plan will be the focus for 2011 and 2012. If the EDA would like to add other projects /programs or goals to the work plan please alert staff ahead of time or be prepared to discuss at the meeting. If there is a consensus of acceptance with the EDA Commissioners, staff will proceed with the work plan as presented. Attachments: 2011-2012 EDA Goals and Work Plan EDA ACTION: Draft 11-17-10 2011 -2012 FDA Goals and Work Plan Introduction In August 2010 the EDA held a Goals and Objectives Workshop. The purpose of the workshop was to establish (or re- establish) broad goals that serve not only as framework for future actions, but also as a set of values for the Council /EDA. Purpose The purpose of this work plan is to identify the goals and objectives of the EDA and to describe strategies for implementation. overview Not all programs /activities described in this work plan will be generated through the EDA. Some of the programs /activities described will require other approvals (such as City Council and Planning Commission) and will require input and action from various departments. Goals 1) Sustain Residential Neighborhoods 2) Continue efforts to improve the Central Avenue corridor 3) Creating a refreshed identity for Columbia Heights 4) Implement The Approved Goals of the August 2010 City's Comprehensive Plan impiementation /Strategy Goal i Sustain Residential Neighborhoods Community Gardens ➢ Create a policy for future lots. The Community Development Department will recommend a policy for potential use of the scattered site vacant lots. Currently three lots are being used for community gardens and have been requested to be used again in 2011; in addition two more lots have been identified as usable lots. Code Enforcement Progryms ➢ Sheffield/Circle Terrace Efforts. Community Development, Public Works, Police and Fire have been routinely meeting to discuss enforcement efforts in the Sheffield /Circle Terrace neighborhoods. This group has been working collectively to communicate issues within these areas and to partner on clean up efforts in these neighborhoods. ➢ City Wide Dumpster Days /Clean up Day Investigate the cost and issues associated with implementing this type of program. ➢ City Wide Adopt a block /street /park program Draft 1 1 -17 -10 Investigate the cost and issues associated with implementing this type of program. ➢ City Wide Ordinance Amendments Review ordinances that are specific to code enforcement and property maintenance sections Grant Research Research grant funds and programs on the following: �= Housing Programs ➢ Community Stability ➢ Foreclosure Prevention Rehabilitation Funds ➢ Explore all funding options to secure rehabilitation capital for the community Citizens Academy An annual program that allows a selected group of citizens to become educated regarding all phases of local government including operations, budgeting and overall goals. Some of the potential outcomes of this type of program is a more well- informed citizen base, developing neighborhood and community advocates, and developing potential future leadership. GHMC — Reevaluate pro �g ams Reevaluate the current programs that Greater Metropolitan Housing Corporation administers for the City. Make Heights Your Home Reevaluate Pro rte? Reevaluate the effectiveness of this program and the possible reallocation of these funds to another housing program. Sheffield The City has been purchasing properties in the 4600 block of the Polk Street and demolishing the buildings. Removal of blight and decrease in density, environmental change and crime reduction has been the key goals in this area. ➢ Policy Discussion on short and long term use of properties ➢ EDA policy discussion on use of K -Mart TIF fund balance ➢ Continued efforts with Police and Fire ➢ Park and Recreation Opportunities Explore options of having Park and Recreation programs specifically in the neighborhood Community Garden ➢ Explore grant opportunities specific to this neighborhood Scattered Site The City has been purchasing the worst of the worst houses throughout the city and demolishing them (14 houses acquired through 2010). ➢ Create a Scattered Site Tax Increment Financing District Draft 1 I -17 -10 Reallocating CDBG money for demolition implemented in 2010 ➢ Create sales and design parameters ➢ Marketing Anoka Counry Neighborhood Stabilization Pro rfam (NSP) Houses The County retained the NSP funds and did not distribute funds to individual cities. The County has purchased 13 homes in Columbia Heights and demolished 8 of the homes, sold two to Habitat for Humanity for rehab and has rehabbed three themselves, which are currently for sale. ➢ Market the for sale properties on the City's webpage and have literature available at City Hall. Census Report Staff will repair a comprehensive report at the time the 2010 census information is released. Administer Sullivan Shores Development Agreement Receive and process annual information as required within the development agreement. Goal 2 Continue Ellorts to Improve the Central Avenue Corridor 4 71h and Central Redevelopment ➢ Continue to work with commercial developer ➢ Investigate feasibility of an Aldi's grocery store ➢ Discuss housing or other land use options on housing site 37` and Central Redevelopment ➢ Continue to work with property owner and amending development agreement in 2011 ➢ Block off entrance from Central Ave and post no parking signs (2010) ➢ Seed the site in the spring 2011 Mad 's Site ➢ Continue to explore redevelopment efforts Market development /redevelopment opportunities on City's webpage ➢ Provide location, parcel size, realtor info, sales /lease price, zoning etc. for selected properties Merchants Association Y Attending Chamber Business Council — determine appropriate role Business Retention and Expansion Visits ➢ Visit local businesses discuss retention and expansion possibilities Draft 11 -17 -10 Goal 3 Creating a refreshed identity for Columbia Heights Image Committee ➢ Outreach to community leaders ➢ Partnerships with community leaders ➢ Partnerships with school district ➢ Partnerships with other departments Update webpage ➢ Social media ➢ Marketing ➢ Branding Newsletter ➢ Feature a local business(s) quarterly] Ordinance A ➢ Review beer and wine licenses for smaller establishments ➢ Review of smoke shop licenses Goal 4 Implement The Approved Goals of the August 2010 City's Comprehensive Plan Staff will periodically bring back to the EDA /City Council proposals as identified in the Comprehensive Plan. General Ordinance Amendments ➢ Signage — sandwich board on Central Ave Park dedication ➢ Permits for driveways ➢ Outdoor seating ➢ General review of zoning ordinance based on existing policy- ability to expand onsite and overall feasibility of use Continue Redevelopment Efforts and Business Development Huset Park Work with new owner on transition of development agreement and to continue development. ➢ Work with developer and or bank regarding new development Medtronic ➢ Work on Phase I1 of building expansion Root ➢ Work with owner to implement DEED grant ➢ Work with owner to remove outbuildings or work to abate the same Business Outreach ➢ Provide services and information to new businesses locating in the community COLUMBIA HEIGHTS ECONOMIC DEVELOPMENT AUTHORITY (EDA) Meeting of. November 23, 2010 AGENDA SECTION: Business Items ORIGINATING EXECUTIVE NO: 6 DEPARTMENT: EDA DIRECTOR APPROVAL ITEM: Community Garden Policy BY: Sheila Cartney BY: DATE: November 15, 2010 BACKGROUND: This summer we had three neighborhood community gardens that were run by individuals on city owned lots at 4235 Washington, 4147 7 "' Street at 828 40 "' Street. The same individuals have requested to use these lots again in 2011. Mary Tholkes, who donated the majority of the produce to SACA, managed the lot at 828 40th Street. Grace Lee managed the garden at 4147 7th Street and Roseanne Rivers managed the garden at 4235 Washington. The Public Works Department tilled the land for all three gardens this spring and the garden at 828 40"' used a City water hydrant as a water source for the garden. Policy Questions Based on past discussions staff has identified two additional lots for neighborhood community gardens: 4448 Quincy and 4303 Reservoir Blvd. Staff has the following policy questions: 1) Does the EDA want to continue use of the three gardens listed above and allow for two additional lots? 2) Does the EDA agree to the options listed in the agreement? a. Charge $65 for a spring till b. Charge $50 one time water meter fee. $3/ 1,000 gallons 3) Does the EDA want to charge for the use of the lots? If the EDA agrees to use these lots for neighborhood community gardens a garden manager will be required for each garden. All users will be required to enter into a Rules and Regulations Agreement with the City in order to use the property. Attacnments: EDA ACTION: CITY OF COLUMBIA HEIGHTS Mayor Re iln� Counc ounc e mber s Roberl A. Wilhanvs 590 40 "' Avenue NE, Columbia Heights, MN 55421 -3878 (763) 706 -3600 TDD (763) 706 -3692 Bruce Nowrocki Visit our ivebsrteat: wives .c °i.colum6ia- heieJiis.inn 7'ammera Diehm .�es Bruce Kelzenbeig City Manager Walier R. Fehsi Columbia Heights Community Garden Rules and Regulations Agreement Garden Address Garden Manager: This community garden is to be managed by she /he may have additional rules and regulations that pertain to this particular garden, however in order to use a city owned lot for the garden the following rules apply. In signing this document you agree to these rules in addition to any rules imposed by the garden manager. This agreement is valid for the ear growing season. By signing this document I agree to the following: 1. This garden is being used for the growing year of with the understanding that the lot may not be available in the following year 2. I will have something planted in my garden plot by June 5"' of this year and will keep it planted all summer long. The City will not supply seeds /plants or garden tools. 3. Gardens must be cleared and cleaned at the end of the growing season 4. Where direct hydrant access is available, use may be possible for a fee; otherwise watering is the responsibility of the users 5. A five- foot grass buffer will be left around the garden and will be maintained by the users. 6. Debris, garbage and other items are my responsibility to remove from the garden 7. I will not use fertilizers, insecticides or weed repellents that will in any way affect other plots 8. 1 will plant only annuals in my garden plot 9. Gardeners agree to keep the garden and garden edges free of weeds, diseased plants, insect - infested plants and over -ripe vegetables 10. Diseased and infected plants must be removed from the garden and disposed of properly 11. Be respectful, tall crops, spreading crops etc should be planted as not to shade or encroach another garden 12. Gardeners are expected to communicate with neighboring gardeners to work out borders, weed issues and size of plant issues 13. Growing or issuing illegal substances in the garden will lead to immediate expulsion of the plot and turned over to the police 14. I will not plant, weed, water or harvest from any other members plot without permission 15.1 will pick only my own crops unless given permission by another user 16. Gardeners are reminded to use good personal safety practices when visiting a garden 17. Children are welcome at the garden when accompanied and fully supervised by an adult 18. Dogs and other family pets are not allowed in the gardens 19. One 18 "x18" sign for the entire garden is allowed as approved by the garden manager and the city 20. Garden fencing is allowed as approved by the garden manager and the city 21. Complaints, policies and mediations are the responsibility of the garden manager Page 2 Community Garden Rules and Regulation 22. 1 understand this is a temporary use of the lot and at any time the City can redevelop this lot regardless if there are plantings or not 23. 1 understand that neither the garden manager nor the owners of the land (the city) are responsible for my actions. I THEREFORE AGREE TO INDEMNIFY AND HOLD HARMLESS THE GARDEN MANAGER AND THE CITY OF COLUMBIA HEIGHTS FOR ANY LIABILITY, DAMAGE, LOSS OR CLAIM THAT OCCURS IN CONNECTION WITH THE USE OF THE GARDEN BY ME OR ANY OF MY GUESTS Selected by Garden Manager 1 1 Option 1. Spring Till I would like the City to till the garden in the spring before planting at the cost of $65. The garden manager will contact public works to set up a time to till the garden. ' Option 2. Own Till We will till our own garden L7 Option 3. Water Hydrant if applicable I would like to use the City hydrant to water my garden for the cost of $ 3/1,000 gallons One time fee of $50 water meter fee. ALL FEES MUST BE PAID BEFORE THE GARDEN WILL BE TILLED. Print Name: Signature: Date: Phone Number: E-mail Address: Garden Managers Signature: This lot is a redevelopment lot and will be used for future residential s lot is v devel This lot may not be available in the following year. COLUMBIA HEIGHTS ECONOMIC DEVELOPMENT AUTHORITY (EDA) Meeting of. Nov. 23. 2010 AGENDA SECTION: Business Items ORIGINATING EXECUTIVE NO: 7 and 8 DEPARTMENT: EDA DIRECTOR APPROVAL ITEM: Resolutions 2010 -15 and 2010 -16 BY: Scott Clark BY: S Clark Reauthorizing HRA and EDA Levy DATE: November 18, 2010 BACKGROUND: On July 27, 2010 the EDA approved Resolution 2010 -12 authorizing a HRA levy of $262,556. Based upon further review of this item with the Finance Department and Anoka County, this levy amount needs to be reduced by $22,182 due to assessed valuation decreases based on Jan. 2, 2010 values, resulting in a levy of $240,374. This decrease will not affect the "operational portion" of the EDA budget, but will minimize transfers to the 420 capital account. In addition, to maintain consistency, a new resolution should be passed amending resolution 2010 -13 which authorizes the EDA budget and levy (the EDA levy amount does not change in this resolution, just the decreased budget amount). RECOMMENDATION: Approval of Resolution 2010 -15 and 2010 -16 as written. RECOMMENDED MOTION: Motion: Move to waive the reading of Resolutions 2010 -15 and 2010 -16, there being ample amount of copies available to the public. Motion: Move to adopt Resolution 2010 -15, Amending Resolution 2010 -12 Reauthorizing adoption of the Levy of a Special Benefit Levy Pursuant to Minnesota State Statutes, Section 469.033, Subdivision 6 and Approval of a Budget for Fiscal year 2011. Motion: Move to adopt Resolution 2010 -16, Amending Resolution 2010 -13, Reauthorizing adoption of the 2011 EDA Budget and Levy. Attacnments: Kesolutuons 2U1V -1J. 10, LIJA EDA ACTION: EDA RESOLUTION 2010 -15 AMENDING RESOLUTION 2010 -12 REAUTHORIZING THE LEVY OF A SPECIAL BENEFIT LEVY PURSUANT TO MINNESOTA STATUTES, SECTION 469.033, SUBDIVISION 6 AND APPROVAL OF A BUDGET FOR FISCAL YEAR 2011 WHEREAS, pursuant to Minnesota Statutes, Section 469.090 to 469.1081 ( "EDA Act ") the City of Columbia Heights ( "City ") created the Columbia Heights Economic Development Authority (the "EDA "); and WHEREAS, pursuant to City Resolution 2001 -62 and Ordinance No. 1442, the City Council granted to the EDA all powers and duties of a housing and redevelopment authority under the provisions of Minnesota Statutes, Sections 469.001 to 469.047 (the "HRA Act "), except certain powers that are allocated to the Housing and Redevelopment Authority in and for the City of Columbia Heights (the "HRA "); and WHEREAS, Section 469.033, Subdivision 6, of the HRA Act permits the EDA and HRA, together, to levy and collect a special benefit levy of up to .0185 percent of taxable market value in the City upon all taxable real property within the City, and WHEREAS, the EDA desires to levy a special benefit levy in the amount of .0185 percent of taxable market value in the City; and WHEREAS, the EDA understands that the HRA does not expect to levy a special benefit tax for fiscal year 2011; and WHEREAS, the EDA has before it for its consideration a copy of a budget for its operations for the fiscal year 2011 and the amount of the levy for collection in fiscal year 2011 shall be based on this budget. NOW, THEREFORE, Be It Resolved by the Board of Commissioners of the Columbia Heights Economic Development Authority: 1. The budget of $325,185 for the operations of the EDA presented for consideration by the Board of Commissioners of the EDA is hereby in all respects approved. Such budget includes the amount the EDA requests (by separate resolution) to be levied by the City under Minnesota Statutes, Section 469.107, together with the amount to be levied hereunder by the EDA under Minnesota Statutes, Section 469.033, subdivision 6. 2. Staff of the EDA are hereby authorized and directed to file the budget with the City in accordance with Minnesota Statutes, Section 469.033, Subdivision 6. 3. There is hereby levied, subject to the approval of the City Council of the City, a special benefit levy pursuant to Minnesota Statutes, Section 469.033, Subdivision 6, in the amount equal to the lesser of a levy at a rate of .0185 percent of taxable market value in City, or $240,374 with respect to taxes payable in calendar year 2011. 4. Staff of the EDA are hereby authorized and directed to seek the approval by resolution of the City Council of the City of the levy of special benefit taxes in 2011 and to take such other actions as are necessary to levy and certify such levy. Motion by: Second by: Roll Call: Ayes: Nay: Motion passed this 23rd day of November 2010 Attest by: Walter R. Fehst, Executive Director Gary L. Peterson, President 0 EDA RESOLUTION 2010-16 AMENDING RESOLUTION 2010-13, REAUTHORIZING APPROVAL OF THE 2011 ECONOMIC DEVELOPMENT AUTHORITY (EDA) BUDGET AND SETTING THE EDA LEVY. BE IT RESOLVED By the Columbia Heights Economic Development Authority (EDA) of Columbia Heights, Minnesota as follows: WHEREAS, the Columbia Heights City Council established the Columbia Heights Economic Development Authority January 8, 1996 pursuant to Minnesota Statutes 469.090 to 469.1081; and WHEREAS, the City Council has given to the EDA the responsibility for all development and redevelopment projects and programs; and WHEREAS, the EDA is authorized under State Statutes, Section 469.107 to levy a tax on its area of operation for the purposes authorized under State Statues 469.090 to 469.1081, subject to consent by the City Council. NOW, THEREFORE BE IT RESOLVED BY THE EDA FOR THE CITY OF COLUMBIA HEIGHTS, MINNESOTA THAT: 1. The EDA adopts and recommends to the City Council for approval a budget of $325,185 for year 2011. 2. The EDA adopts and recommends to the City Council for approval a levy of $84,811 for year 2011. The Executive Director is instructed to transmit a copy of this resolution to the City Manager and Finance Director/City Clerk of the City of Columbia Heights, Minnesota. APPROVED THIS 23rd DAY OF November 2010 MOTION BY: SECONDED BY: ROLL CALL: AYES: NAYS: Attest by: Walter R. Fehst, Executive Director Gary L. Peterson, President City of Columbia Heights 2011 Budget work sheet Department Proposed 204 EDA ADMINISTRATION Actual Actual Adopted Department Manager Council 46314 ECONOMIC DEVELOPMENT AUTH Expense Expense Budget Proposed Proposed Adopted Line Item Description 2008 2009 2010 2011 2011 2011 PERSONAL SERVICES - - 1000 ACCRUED SALARIES - - - - - 1010 REGULAR EMPLOYEES - - 197,107 200,323 200,323 1020 OVERTIME - REGULAR - - - - - 1070 INTERDEPARTMENTAL LABOR SERV - - - - - 1210 P.E.R.A. CONTRIBUTION - - 13,753 14,385 14,385 1220 F.I.C.A. CONTRIBUTION - - 15,079 15,325 15,325 1225 FLEX BENEFIT FICA - - - - - 1300 INSURANCE - - 20,453 20,562 20,562 1510 WORKERS COMP INSURANCE PREM - - 1,537 1,602 1,602 1700 ALLOCATED FRINGE - - - - - TOTALS: PERSONAL SERVICES - - 247,929 252,197 252,197 SUPPLIES - - - - - 2000 OFFICE SUPPLIES - - 1,350 1,350 1,350 2010 MINOR EQUIPMENT - - 1,000 1,000 1,000 2011 COMPUTER EQUIPMENT - - 1,000 1,000 1,000 2020 COMPUTER SUPPLIES - - 500 500 500 2030 PRINTING & PRINTED FORMS - - - - - 2160 MAINT. & CONSTRUCT MATERIALS - - - - - 2171 GENERAL SUPPLIES - - 400 400 400 2175 FOOD SUPPLIES - - 150 150 150 2280 VEHICLE PARTS - - - - - TOTALS: SUPPLIES - - 4,400 4,400 4,400 OTHER SERVICES & CHARGES - - - - - 3041 ATTORNEY FEES -CIVIL PROCESS - - - - - 3045 ATTORNEY FEES -OTHER - - - - - 3050 EXPERT & PROFESSIONAL SERV. 629 - 15,000 15,000 15,000 3105 TRAINING & EDUC ACTIVITIES - - 2,700 2,500 2,500 3120 EDUCATIONAL REIMBURSEMENT - - - - - 3210 TELEPHONE & TELEGRAPH - - 903 354 354 3220 POSTAGE - - 800 900 900 3250 OTHER COMMUNICATIONS - - - - - 3310 LOCAL TRAVEL EXPENSE - - 500 500 500 3320 OUT OF TOWN TRAVEL EXPENSE - - 700 700 700 3410 ADVERTISING EMPLOYMENT - - - - - 3430 ADVERTISING OTHER - - - - - 3500 LEGAL NOTICE PUBLISHING - - 200 300 300 3600 INSURANCE & BONDS - - 3,790 3,790 3,790 3810 ELECTRIC - - - - - 3820 WATER - - - - - 3830 GAS - - - - - 3840 REFUSE - - - - - 3850 SEWER - - - - - 4000 REPAIR & MAINT. SERVICES - 70 3,400 3,400 3,400 4020 BUILDING MAINTENANCE - - - - - 4050 GARAGE, LABOR KURD. - - - - - 4100 RENTS & LEASES - - - - - 4200 PROGRAM ACTIVITIES - - - - - City of Columbia Heights 2011 Budget work sheet Department Proposed 204 EDA ADMINISTRATION Actual Actual Adopted Department Manager Council 46314 ECONOMIC DEVELOPMENT AUTH Expense Expense Budget Proposed Proposed Adopted Line Item Description 2008 2009 2010 2011 2011 2011 415uu IVIIZ U. UHANUt5 - - - _ _ 4330 SUBSCRIPTION, MEMBERSHIP - - 1,600 1,600 1,600 4342 PROPERTY DAMAGE - - _ _ - 4374 EMPLOYEE RECOGNITION - - 4376 MISCELLANEOUS CIVIC AFFAIRS - - - - _ 4380 COMMISSION & BOARDS - - 840 500 500 4390 TAXES & LICENSES - - - _ - 4395 STATE SALES TAX - _ _ - _ 4500 ADMINISTRATIVE EXPENSES - - - _ _ 4600 LOANS & GRANTS - - _ _ _ 4700 CREDIT INVESTIGATION - - - _ _ 4800 COLLECTION LOSSES - - - _ _ TOTALS: OTHER SERVICES & CHARGE 629 70 30,433 29,544 29,544 CAPITAL OUTLAY - _ _ - _ 5110 LAND _ - - _ _ 5120 BUILDING & IMPROVEMENT - - - _ _ 5170 OFFICE EQUIPMENT - _ _ _ _ 5180 OTHER EQUIPMENT - - _ _ _ 5191 ASSETS FOR RESALE 36,076 20,207 - - - TOTALS: CAPITAL OUTLAY 36,076 20,207 - - - OTHER FINANCING USES - - - - _ 7100 OPER. TRANSFER OUT - LABOR - - 12,666 13,110 13,110 7200 TRANSFER OUT TO CDBG - - - _ - 7410 TRANSFER OUT TO COMM DEVELOP 274,863 347,573 - - - 7413 TRANSFER TO CAP IMP DEVELOPT - - 51,000 90,000 90,000 8100 CONTINGENCIES - - - _ _ TOTALS: OTHER FINANCING USES 274,863 347,573 63,666 103,110 103,110 TOTALS: ECONOMIC DEVELOPMENTAL 311,568 367,850 346,428 389,251 389,251 TOTALS: EDA ADMINISTRATION 311,568 367,850 346,428 389,251 389,251 GRAND TOTALS: 311,568 367,850 346,428 389,251 389,251