HomeMy WebLinkAboutHousing & Redevelopment Authority - Minutes - 07/18/2023HOUSING AND REDEVELOPMENT AUTHORITY
OTTERTAIL
COUNTY • MINNESOTA
The Otter Tail County HRA Board of Commissioners
Met for a regular meeting on July 18, 2023, at 11 :45am
At the Otter Tail County Government Services Center
Board Members Present:
Wayne Johnson, Chairperson
Jeff Ackerson
Kurt Mortenson
Betty Murphy
500 W Fir Ave, Fergus Falls, MN
Absent: Leland Rogness, Vice Chairperson
Others Present:
Barbara Dacy, OTC HRA Executive Director
Amy Baldwin, OTC CDA Director
Tanya Westra, OTC HRA Project Manager
Paula Grunewald, OTC HRA Administrative Assistant
Julie Bakken, OTC HRA Accounting Specialist
Jill Amundson, West Central Initiative
Greta, Intern from West Central Initiative
1. CALL TO ORDER
Chairperson Johnson called the meeting to order at 11 :45 am.
2. APPROVAL OF AGENDA
Government Services Center
500 West Fir Avenue
Fergus Falls, MN 56537
Motion made by Kurt Mortenson, second by Jeff Ackerson to approve the July 18, 2023 Agenda with no changes
noted. Motion passed unanimously.
3. APPROVAL OF CONSENT AGENDA ITEMS
Motion made by Betty Murphy, second by Kurt Mortenson to approve the Consent Agenda. Motion passed
unanimously. Chairperson Johnson asked for clarification on Page 8 regarding "the per unit $ change" between May
and June 2023: they went from $409.40 to $588.15. Director Dacy said that rents have been going up 3-5% and it
depends on the particular property that is in the program. Johnson also asked what does the term "PILOT" mean that
is on Page 19. Director Dacy reported that it stands for "Payment in Lieu of Taxes".
4. Public Hearing
Otter Tail County Affordable Senior Housing Program -continued from June 12. 2023. Johnson reconvened
the meeting to order at 11 :50am. Director Dacy reviewed the Otter Tail County HRA Senior Housing Program.
She stated that state statute requires comments from the responsible Regional Development Commission, which
is West Central Initiative. Jill Amundson from West Central Initiative was present and reported that West Central
Initiative provided a letter dated June 28, 2023 in support of the proposal. She stated that the Senior Housing
Program is in alignment with the Comprehensive Economic Development Strategy, and she commended the
county for their progress. Chairperson Johnson asked three times if there was any other comments and hearing
none, the Chair closed the hearing.
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5. NEW BUSINESS
A. Resolution No. 246 Approving Otter Tail County Affordable Senior Housing Program
Director Dacy reported "the program" that is represented in Exhibit A needs to be modified slightly changing the
wording to be "approximated at $900,000" instead of "not to exceed $900,000". A Public Hearing will be held on
July 25, 2023 regarding the proposal for the County to issue a loan to the HRA. She also reported that staff is
working with the contractor to complete the final construction estimate. Motion made by Kurt Mortenson, second
by Jeff Ackerson to approve. Motion passed unanimously.
B. Resolution No. 247 Approving Housing Choice Voucher Processing Policy
Director Dacy reported that with the guidance from HUD, staff has prepared the proposed policy to ensure that there
are appropriate policies and procedures to regularly monitor the calculation of tenant rent payments, housing
assistance payments to landlords and to ensure proper electronic reporting to HUD. She stated that having different
personnel for these processes is not only appropriate for internal controls but also assists with accurate transactions.
Motion made by Jeff Ackerson, second by Betty Murphy to approve. Motion passed unanimously.
6. DISCUSSION
2024 Strategic Initiatives and Preliminary 2023 Budget.
Director Dacy stated that the HRA has increased its capacity and programs between 2021 and 2023. She stated
that the work at Hidden Meadows, the North Fields of Dalton senior housing development, and the HRA existing
programs are all aimed at filling the housing gaps in the county's housing continuum. She stated that these programs
implement the Strategic Initiatives the Board has adopted to "Create New Homes" and Keep People in Homes".
She stated that there are new opportunities for housing investment in the future. She recommended that the HRA
prepare a strategy to maximize funding opportunities as a result of the recent state legislative action. She stated
that the HRA should also prepare to acquire/preserve existing Rural Section 515 Developments. She stated that
HRA is the logical owner and operator of these developments that serve very low-income people. She also stated
that the HRA should create progra ms to address housing instability. She stated that the HRA review the outcomes
of the "Finding Home Study" and evaluate the Housing Choice Voucher and "Bring It Home" vouchers to better
connect households to housing opportunities.
She stated that she has prepared an initial estimate of the current and proposed HRA programs and initiatives for
2024 and estimated the potential levy request for 2024. She stated that the HRA levy is calculated differently than
typical property taxes and reviewed the calculation estimate for 2024. She stated that based on current estimates
the proposed HRA levy attributable to the HRA will be an increase of about $204,000 or 15.5%. Ms. Dacy stated
that the purpose of the increase is to provide funding for the annual assistance payment to the county for North
Fields of Dalton, the potential expenses for the new Affordable Senior Housing Program for three new senior housing
developments and funds an initial allocation to a budget reserve.
7. EXECUTIVE DIRECTOR REPORT
A. Director Dacy reported that the Minnesota Housing Finance Agency Housing Infrastructure Bond Program
application was submitted. She stated that the request was for approximately $6,000,000 in a 30-year
forgivable loan at maturity. She stated that the work to date in the county with communities was instrumental
in turning around the needed site control documents. She stated that the work on the Dalton development was
crucial in putting together the information for the financial information, and the market study information was
also instrumental in justifying the developments in three communities. She stated that the application
requirements and documents needed require preparation several months in advance of the deadline. She
stated that this process is highly competitive, and it may be that the application will need to be submitted next
year.
B. Director Dacy reported that Tanya Westra has been hired as the Housing Program Supervisor, and the Project
Manager position is currently being advertised.
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C. Director Dacy provided a reminder that Thursday, July 27, from 1 :30 to 4:00 pm is the Poverty Simulation at
Lake Country Service Cooperative.
D. Potential dates for an Audit Committee meeting (the Chair and Vice-Chair) included August 8, August 15
before HRA Meeting, or September 5. Director Dacy will confirm with Brady Martz and the Chair and Vice-
Chair.
8. ADJOURNMENT
At 12:35 pm a motion was unanimously carried to adjourn the meeting.
Kurt Mortenson/Secretary/Clerk
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