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6.2. HRSR 01-03-2023
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6.2. HRSR 01-03-2023
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City Government
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HRSR
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1/3/2023
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<br /> <br />Request for Action <br /> <br /> <br /> <br />To Item Number <br />Housing and Redevelopment Authority 6.2 <br />Agenda Section Meeting Date Prepared by <br />General Business January 3, 2023 Joshua Mollan, Economic Development Specialist <br />Item Description Reviewed by <br />Extension – CEE Loan Origination Agreement Brent O’Neil, Economic Development Director <br />Reviewed by <br />Cal Portner, City Administrator <br /> <br />Action Requested <br />Approve, by motion, Amendment Two to the Loan Origination Agreement between the Minnesota Center for <br />Energy and Environment. <br /> <br />Background/Discussion <br />Since 2019, the Minnesota Center for Energy and Environment (CEE) has been responsible for receiving <br />applications and originating loans under the HRA’s Rehabilitation Loan Program. <br /> <br />The agreement for those services runs through December 31, 2022. To continue processing applications a new <br />agreement is necessary, and CEE has proposed an amendment to the current agreement which would extend the <br />present agreement through 2023. The amendment does not incorporate a change in fees for this upcoming year; <br />however, it is anticipated that the fees would be subject to an increase in 2024. <br /> <br />Financial Impact <br />The agreement has an annual fee of $2,500 plus fees associated with the closing of each loan. The program <br />budget of $150,000 for 2022 would allow CEE to approve and disburse up to that amount from the HRA fund <br />in 2023. <br /> <br />Mission/Policy/Goal <br />The goal of the HRA is to improve existing housing stock by offering incentives or programs to repair and <br />maintain residential properties. <br /> <br />Attachments <br /> Loan Origination Agreement, as Amended <br /> Proposed Amendment Two <br /> Updated 2023 Program Budget <br /> <br />The Elk River Vision <br />A welcoming community with revolutionary and spirited resourcefulness, exceptional <br />service, and community engagement that encourages and inspires prosperity <br />
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