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Home My WebLink About03-29-05-05 • City`of Lakeville Economic Development Commission Meeting Minutes March 29, 2005 Marion Conference Room, City Hall Members Present:. Comms. Brantly, Emond, Erickson, Gehrke, Matasosky, Miller, Pogatchnik, Tushie, Ex-Officio member City Administrator Steve Mielke, Ex-Officio member Todd Bornhauser -.Executive Director- Lakeville Area Chamber of Commerce Members Absent: Comm. Schubert, Smith, Others Present: Staff present: David Olson, Community & Economic Development Director, Amanda Schwabe, Economic Development Coordinator, Mark Ulfers, Executive Director -Dakota County CDA 1. Call meeting to order. Chair Matasosky called the meeting to order at 5:00 p.m. in the Marion Conference Room of City Hall, 20195 Holyoke Avenue, Lakeville, Minnesota. • 2. Approve February 23, 2005 Meeting Minutes Motion 05.05 Comms. Pogatchnik/Miller moved to approve the minutes of the February 23, 2005 .meeting as presented. Motion carried unanimously. 3. Presentation on Affordable Housing by Mark Ulfers, Executive :Director - Dakota County CDA Mr. Ulfers presented the Affordable Housing, Trends, Needs and Issues presentation. The presentation included information .related to growth in Lakeville; gap between rents and wages; cost of Homeownership; needs and issues facing affordable housing in Dakota County; and available affordable housing programs. Comm. Erickson questioned if rents for CDA owned projects were determined by each community? Mr. Ulfers explained that most rents in the affordable housing developments are similar; however there may be a small difference depending on the specific construction costs of a project and the sources of financing utilized on the project. Mr. Ulfers continued to say that the Dakota County CDA works with both private and non-profit developers to create the affordable housing developments. City Administrator Mielke requested Mr. Ulfers explain the Section 8 program. Economic Development Commission Meeting Minutes March 29, 2005 • Mr. Ulfers stated that the Dakota County CDA administers the Section 8 program, which is the largest federal housing program in existence. He explained that half of the people seared by the program are either seniors or disabled. The waiting list closed April 2002 and there are approximately 1,000 people in Dakota County waiting to be served. Comm. Pogatchnik questioned how the EDC can "sell" affordable housing as a benefit to the community. Mr. Ulfers explained that a study was completed four to five years ago to address concerns related to the value of homes that are located near affordable housing developments decreasing. The study compared home sales near affordable housing developments to those not near affordable housing developments and concluded that sale prices were not impacted. Mr. Ulfers also stated that the CDA works closely with police in Dakota County to ensure a safe living environment. Mr. Ulfers recommended taking great consideration when choosing the product and property management for an affordable housing development. Comm. Matasosky questioned if requirements related to where residents must work can be put in place in affordable housing developments. Mr. Ulfers shared that the CDA can provide preferences such as residents must live, work or go to school in a specific area. He stated that marketing the affordable housing development to local employers is also a good idea. City Administrator Mielke questioned if there were programs in the state that are currently under utilized. Mr. Ulfers stated that the Land Trust Model and Habitat for Humanity would be two programs to consider. City Administrator Mielke questioned what the greatest affordable housing need in Lakeville is. Mr. Ulfers stated that workforce housing represents the greatest need in Lakeville at this time. Comm. Erickson questioned what the implications are of affordable housing developments on property taxes. Mr. Ulfers shared that most privately owned affordable housing developments pay the same tax rate as market rate rental housing. CDA owned affordable .housing projects pay a payment in lieu of taxes. i Mr. Olson stated that the Dakota CDA. staff recently secured $375,000 in funding to .clean up the Wren site and that concept plans for the affordable housing development on the site will be submitted in the next few months. 2 Economic Development Commission Meeting Minutes March 29, 2005 4. Update on Strategic Plan Work Program Goal #4: Facilitate a process with the City. Council to establish affordable housing goals for the City. Mr. Olson stated that the results from the affordable housing questions of the Decision Resources Survey being conducted should be available for the May EDC meeting. Goal #3: Completion of a study to determine the minimum market value of a residential housing unit that generates sufficient City taxes to pay for the City services required by the unit. Mr. Olson shared that staff will be meeting with Springsted Inc. in the near future to discuss their experience in analyzing unit market value vs. cost of services. Goal #2: implementation of a process to facilitate the development of East-West Corridors. Mr. Olson explained that further refinements of several corridors being studied in Phase II of the East-West Corridor study includes new proposed alignments for 179t" Street and 185th Street corridors in Lakeville... He continued to say that the. i referendum for the new Farmington High School was approved and the location is adjacent to Lakeville by 202nd Street. Mr. Olson also shared that staff has met with the County and MnDOT and other City and County staff to discuss the Co. Rd. 70 Principal Arterial issue. Staff has recently been informed that Met Council staff will be completing a functional classification study of the entire metro area over the next four to six months. Goal #1: facilitate an effort to create a long term .plan to promote downtown economic viability while retaining. its unique and historical characteristics. Mr. Olson stated that staff has almost completed meetings with downtown "anchors" including the Post Office, Lakeville Area Arts Center, Enggren's Market, ISD #194, and Ace Hardware. He also stated that staff will soon be requesting organizations to identify someone to serve on a downtown Task Force. Proposals will be solicited in .upcoming weeks. 5. Director's Report Mr. Olson indicated that the second VFW house was demolished by Hoffbeck Trucking at the end of February. Black dirt and seed will be placed on the vacant property in the spring. Staff informed EDC members that the future plan is to move • some of the activities like beer brats and bingo out of the VFW parking lot and to the new grassed property. 3 Economic Development Commission Meeting Minutes March 29, 2005 Mr. Olson updated EDC members on the Dakota Electric Association -Partners in Progress event held on March 9t" in Eagan. Chair Matasosky and Ex-Officio member Bornhauser were in attendance at the event along with Mayor Johnson, Council members. Rieb and Wulff, and City Administrator Mielke. Mr. Olson stated that the annual State of the City address will be held on Tuesday, -April 26t" at Crystal Lake Golf Club .and Banquet Facility with registration beginning at 11:30 a.m. He shared that the format will be different this year than in past. years and that the presentation will include fewer statistics. Mr. Olson shared that two businesses have accepted our invitation to participate in the Spotlight on Business program and presenters are needed. Chair Matasosky volunteered to present at the May 2nd City Council meeting. .Comm. Pogatchnik volunteered to .present at the April 18t" City Council meeting. Mr. Olson commented on and there was a short discussion regarding the City Open Meeting/Electronic Communications Policy. Mr. Mielke indicated that all publicly founded bodies must .abide by the law and that meetings of at least a quorum to .discuss City business must be publicized and open to the public. Mr. Olson summarized the building permit report for February 2005, which shows a total valuation of $21,727,309. A copy of the complete building permit report through February 28, 2005 was distributed to EDC members in their packets. Mr. Olson .pointed out the handout included in the packet from the 2005 Dakota County Economic Summit held. on March 16t" at the Dakota County Technical College. Chair Matasosky commented. that the .presenter, Ed Barlow, gave a global perspective and offered relevant resources that one may not typically think of. 6. Adjourn The meeting was adjourned at 6:30 p.m. Respectfully submitted by: Attested to: r Amanda Schwabe, R. T. Brandy, Secretary Economic Development Coordinator 4