7.2 HRSR 08-01-2016 - Laserfiche WebLink

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t1'>Lk ., Request for Action River To Item Number Housing and Redevelopment Authority 7.2 Agenda Section Meeting Date Prepared by General Business August 1,2016 Amanda Othoudt,EDD Item Description Reviewed by 2017 HRA Budget and Resolution Establishing Cal Portner,City Administrator HRA Levy Reviewed by Action Requested Review and approve the 2017 HRA Budget and attached Resolution establishing the HRA Tax Levy for collection in year 2017. Following the HRA's action,the City Council must approve and certify the HRA levy to Sherburne County by September 6,2016. Background/Discussion The Economic Development Division consists of two separate budgets including: • Economic Development Authority • Housing&Redevelopment Authority Revenues The budget proposes a balanced budget of the operating levy at 0.01466%.The state caps an HRA operating levy at 0.0185%. Revenues generated from the HRA tax levy for the 2017 budget are estimated based on an Estimated Market Value of$2,068,104,300 as provided by the Sherburne County Assessor.This will generate revenue of$303,150 plus an additional$5,500 in interest income. Expenditures The proposed 2017 budget was developed with the goals and action steps outlined in the 2017-2020 HRA/EDA Strategic Plan, the Mississippi Connections Downtown Plan,and the City Vision& Goals. Major initiatives from these documents include: • Rehabilitating at least six properties by utilizing the new HRA Housing Rehabilitation Loan Program • Reallocating$50,000 to rehabilitate other target areas of the city which will be developed through coordination of the HRA and Central Minnesota Housing Partnership (CMHP) Major Changes Direction from the budget workshop included the following changes: At the July 4,2016, HRA budget workshop,it was decided maintain the previous and balanced rate of (0.01466%) to reduce drawing down on the reserves for the 2017 budget and allow funding new revolving loan programs out of reserves. 1' i1REI±r