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CR2002-105 Community involvement CITY OF , > ~ June 11, 2002 HOPKINS Council Report 2002-105 . COMMUNITY INVOLVEMENT PROGRAMS - REQUEST FOR SUPPORT Proposed Action Staff recommends adoption of the following motion: Move to approve Resolution 2002-59 approvinq the use of Affordable Housinq Incentive Funds for 1301/1303 Oxford Street, conditioned upon receivinq a vearlv payment in lieu of taxes. With this motion Community Involvement Programs will be eligible for $85,300 in Affordable Housing Incentive Funds through Hennepin County. Overview Community Involvement Programs (CIP) is a non-profit supportive housing provider for persons with disabilities. CIP has signed a purchase agreement for 1301/1303 Oxford Street and intends to use the property as supportive housing for four single adults with mental illness. They would like to use $85,300 of Affordable Housing Incentive Fund (AHIF) dollars to assist in the acquisition and rehabilitation of the property. The AHIF is administered by Hennepin County and has the restriction that prohibits the funds from being used within a City without the City's authorization. In order for CIP to access the grant funds, the City of Hopkins must approve a resolution of support. If CIP does not use AHIF for the project, they do not need City approval to operate the property as supportive . housing. Staff conducted reference checks on the organization and they were for the most part positive as relates to property management and providing support to residents. Staff is recommending that a payment in lieu of taxes be made each year to offset the loss of local property taxes. This amount for 2002 would be $948. Primary Issues to Consider . What is the impact on the neighborhood, City and community? Supportinq Information . Resolution 2002-59 . CIP Neighborhood Visitation Report . Financial Impact: $~O Budgeted: V/N - Source: Related Documents (CIP, ERP, etc.): - - --- , . Rpt. 2002-105 CI P Support Page 2 Analvsis of Issues . What is the impact on the neighborhood, City and community? At the worksession with the City Council, elP was asked to talk with the neighborhood about their organization and the planned use of the property. CIP representatives did speak with several neighbors about the project. A summary of their visits is attached. From a City administration perspective, impacts may be felt by the police department in the form of increased medical or police calls. The Police Chief has raised this issue as a concern given the current call load and staffing levels. CIP will provide the police department with an emergency response number and will make each resident's Community Care Crisis Plan available through Hennepin County in an effort to assist in emergency situations. The community as a whole will probably be unaware of the property's use as supportive housing. CIP has stated that one of their goals is to make sure the property is wel1- maintained and the residents become part of the community. In speaking with other cities who have CIP properties it was confirmed that their properties are well-maintained and . managed. Alternatives The City Council has the following alternatives regarding this issue: . Approve Resolution 2002-59 as recommended by staff. . Amend Resolution 2002-59 prior to approval. . Elect not to pass Resolution 2002-59 . Continue this item for more information. This would not allow CIP to close on the property as scheduled and access the grant funds. . . . CITY OF HOPKINS HENNEPIN COUNTY. MINNESOTA RESOLUTION NO. 2002-59 RESOLUTION APPROVING THE USE OF AFFORDABLE HOUSING INCENTIVE FUNDS WHEREAS, the Hennepin County Housing and Redevelopment Authority in Resolution No. 24- HCHRA-OI RI has approved the use of a $85.300 Affordahlc Housing Incentive Fund loan for the Community Involvement Programs (CIP) 130111303 Oxford Street project, contingent upon approval of the project by the City of Hopkins: and WHEREAS, the CIr 130111303 Oxford Street project will preserve the supply of affordable housing: in the City of Hopkins; and WHEREAS, the loan form the HCHRA will complete the financing required for the project to go forward. BE IT RESO L \lED, that the eIP 130] /1303 Oxford Street project and the participation of the . Hcnnepin County Housing and Redevelopment Authority in the project are hereby approved, conditioned upon the execution of a payment in lieu of taxes agreement. Adopted this 18th day of June, 2002. By Eugene J. Maxwell. Mayor Attest: Terry Oberlllaier. City Clerk. . --..-.--- . CIP Neighborhood Visitation Report 1301-3 Oxford, Hopkins . June 12, 2002 Summary This is a report on visits made to neighbors of 1301-3 Oxford in Hopkins prior to CJP's acquisition of the property as supportive housing for those with mental illness. Kim Vohs, CIP's Housing Developer, knocked on the doors of the 16 nearest neighbors on Oxford to inform them of CTP' s pending purchase and use of the property to provide housing and services to 4 individuals. To the rear of the property is a large parking lot serving 2 large multi-unit (at least 16 unit) buildings There is a high wooden fence between these properties and the homes on Oxford, so residents there were not contacted Results Households attempted to contact: 16 Households actually contacted 8 Not at home / didn't answer door 8 Positive Responses 7 Neutral Responses I Negative Responses 0 In general, the neighborhood was very Supp011ive and open to the idea. People were very friendly and appreciated being contacted. Several seemed familiar with the concept of supportive housing and one family had a son who lived in supportive housing. . The single worse response was a disinterested "OK." One neighbor stated that the occupant of the other apartment in his duplex would not like it, but he himself was very supportive. The neighbor he referred to was not home, but we will attempt to contact her before we move in. Two of those responding were identified as owner-occupant"s of their properties'. One of these owner- occupants owns 3 properties on this block and he was comfortable with the concept. Comments - Very nice. Good luck! - Sounds nice. - My son has special needs and lives in the community. - I'm concerned about my other neighbors (moving in and out). - That's a nice idea. I support it. - OK Approach The approach used was what CIP always does prior to buying a home in any neighborhood. This is standard practice for CIP and was not done only because of the City Council concerns. Neighbors were told that CIP is a non-profit, United Way agency and that eIP is buying 1301 Oxford to provide people an affordable place to live and provide services to help them live in the community It was emphasized the CIP wants to be a good neighbor and they should call us if they have any concerns about what is happening there or the appearance of the property. All the neighbors contacted were given the business card of Marilyn Ehline, CIP's Director of Mental Health Services. They were . told that Marilyn was very friendly and would welcome their call at any time. Any questions neighbors had were responded to. CIP made its tirst steps to begin building the good neighbor relationship that CIP will maintain as we move forward to 0\\11, manage, and provide services at this property