File #: 20-0018R    Name:
Type: Resolution Status: Passed
File created: 1/3/2020 In control: Planning and Economic Development
On agenda: 1/13/2020 Final action: 1/13/2020
Title: RESOLUTION DECLARING A NEED FOR ST. LOUIS COUNTY HOUSING AND REDEVELOPMENT AUTHORITY TO EXERCISE POWERS WITHIN THE BOUNDARIES OF THE CITY OF DULUTH BY PROVIDING FUNDING TO CENTER CITY HOUSING CORPORATION FOR THE BIRCHWOOD APARTMENT PROJECT.

Title

RESOLUTION DECLARING A NEED FOR ST. LOUIS COUNTY HOUSING AND REDEVELOPMENT AUTHORITY TO EXERCISE POWERS WITHIN THE BOUNDARIES OF THE CITY OF DULUTH BY PROVIDING FUNDING TO CENTER CITY HOUSING CORPORATION FOR THE BIRCHWOOD APARTMENT PROJECT.

 

Body

CITY PROPOSAL:

 

BE IT RESOLVED, that the city of Duluth hereby declares a need for the St. Louis County Housing and Redevelopment Authority (“St. Louis County HRA”) to exercise powers within the boundaries of the city of Duluth by providing $200,000 in funding to Center City Housing Corporation, which is needed for the development of the 30-unit Birchwood Apartment building on Burning Tree Road.

 

Statement of Purpose

STATEMENT OF PURPOSE:  This resolution declares a need for the St. Louis County HRA to exercise powers within the city of Duluth by providing funding for a housing project within the boundaries of the city.

 

In 2019, Center City Housing applied for and has been awarded state funding through the Minnesota Housing Finance Agency for a 30-unit affordable housing project, Birchwood Apartments (“Project”). City council supported Center City’s application in Resolution 19-0333R. The funding package for the Project includes $200,000 from the city of Duluth HUD funding, approved in Resolution 19-0334R, and a $200,000 commitment from the St. Louis County HRA, approved May 14, 2019 by the County Board.

 

Minnesota Statute, Section 469.005 Area of Operation, Subdivision 1, states:  “a county authority…shall not undertake any project within the boundaries of any city…unless a resolution has been adopted by the governing body of the city declaring that there is a need for the county…authority to exercise its powers in the city.” This resolution allows the St. Louis County HRA to exercise its powers within the city’s boundaries and provide the committed funds.

 

Center City Housing intends to begin construction on the Project in 2020.