HomeMy WebLinkAboutHousing & Redevelopment Authority - Minutes - 10/20/2022OTTERTAIL OTTER TAIL COUNTY I HOUSING
COUNTY-MINNESOTA
The Otter Tail County HRA Board of Commissioners
Met for a regular meeting on October 20, 2022 at 2:30 pm
At the Otter Tail County Government Services Center
Board Members Present:
Wayne Johnson, Chairperson
John Lindquist
Kurt Mortenson
Betty Murphy
Others Present:
500 W Fir Ave, Fergus Falls, MN
Barbara Dacy, OTC HRA Executive Director
Amy Baldwin, OTC CDA Director
Paula Grunewald, OTC HRA Administrative Assistant
Tanya Westra, OTC HRA Project Manager
Julie Bakken, OTC HRA Accounting Specialist, Via Teams
Absent:
Lee Rogness
1. CALL TO ORDER
Chairperson Johnson called the meeting to order at 2:35 p.m.
2. APPROVAL OF AGENDA
Government Services Center
500 West Fir Avenue
Fergus Falls, MN 56537
Motion made by Mortenson, second by Lindquist to approve the October 20, 2022 Agenda with changes as noted:
Add #5 -Discussion item regarding "Proposed Dalton Development". Motion passed unanimously.
3. APPROVAL OF CONSENT AGENDA ITEMS
Motion made by Mortenson, second by Lindquist to approve the Consent Agenda with changes noted: remove John
Lindquist from being indicated as being present at the September 22, 2022 Board Meeting in the minutes. No additional
discussion. Motion passed unanimously.
4. NEW BUSINESS
A. Resolution No. 210 Rescinding Resolution No. 197 and Approving an Updated Amendment To The 5-
Yea r PHA Plan. Barbara Dacy, Executive Director stated the purpose of the resolution is to clarify in the 5-Year
PHA Plan that the HRA will dissolve and the Community Development Agency (CDA) with be empowered with
all housing and redevelopment powers under Minnesota statute
effective January 1, 2024. Motion made by Murphy, second by Mortenson to approve. Motion passed
unanimously.
B. Resolution No. 211 Establishing Fair Market Rents and Payment Standards for 2023. Director Dacy
reported that the Fair Market Rents are published by HUD annually for each jurisdiction. For 2023, she stated
that the Fair Market Rents increased approximately 10% for a moderately priced unit. She also recommends
adopting a payment standard of 110% of the proposed Fair Market Rents. Motion made by Mortenson second
by Lindquist to approve. Motion passed unanimously.
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C. Resolution No. 212 Establishing Utility Allowances for the Housing Choice Voucher Program for 2023.
Director Dacy stated that housing authorities must establish a utility allowance schedule for tenant paid utilities.
Ms. Dacy presented examples of the role of utility allowances in typical calculations. Motion made by Murphy,
second by Mortenson to approve. Motion passed unanimously.
D. Resolution No. 213 Establishing the Passbook Savings Rate for 2023. Director Dacy stated that the
Passbook Savings Rate must be reviewed annually for completing the imputed asset calculation. The Savings
National Rate is .05% and the safe harbor is a range plus or minus .75%. Ms. Dacy recommended to continue
using the rate of .06%. Motion made by Lindquist, second by Mortenson to approve. Motion passed
unanimously.
E. Resolution No. 214 Authorizing Utility Allowances, Flat and Ceiling Rent Amounts for 2023 for the Public
Housing Program. Director Dacy stated that housing authorities must offer participants in the public housing
program the option of a flat rate or an income-based rent (30% of income). She stated that flat rents are
calculated annually adding updated utility allowance information in order to prove that the flat rents plus the
utility allowances (ceiling rent) will be no less than 80% of Fair Market Rents and not greater than the proposed
Fair Market Rents. Motion made by Mortenson, second by Murphy to approve. Motion passed unanimously.
F. Resolution No. 215 Authorizing Execution of an Independent Contractor Agreement. Director. Dacy stated
that Kevin Currie is requesting to become a part-time independent contractor as of January 2023 through 2025.
Quotes were sought from other entities. She stated that the position would become primarily a remote position
as the services would require monitoring construction activity and working with property owners at their
properties. She stated that both the HRA and CDA initiatives will require hiring a new Construction Specialist.
Motion made by Murphy, second by Lindquist to approve. Motion passed unanimously.
G. Resolution No. 216 Authorizing Execution of a Realtor Agreement for Hidden Meadows Development
Project. Director Dacy reported that the HRA received 5 proposals to represent the HRA in the sale of three
homes in the Hidden Meadows subdivision. She recommended that the Ryan Hanson Homes proposal be
accepted. She stated that this proposal was the strongest, demonstrated a clear understanding of the intended
program, and identified the lowest commission rate. Motion made by Mortenson, second by Murphy to approve.
Motion passed unanimously.
5. DISCUSSION -PROPOSED DAL TON DEVELOPMENT
Directory Dacy updated the Commissioners on the Proposed Dalton Development. She stated that the proposed
development plan consists of three duplex structures with two car garages. She stated that two lots in the
proposed plat will need to be purchased for this concept. She stated that the development agreement could be
ready for Board action in the near future. She noted that natural gas is not available to the site, and staff wi ll be
pursuing a mechanical engineer consultant contract to determine the scope of options. She stated that financing
options are also underway. She stated the homes would be slab on grade construction and aimed at empty
nesters and seniors.
6. EXECUTIVE DIRECTOR REPORT
1. Staff attended the Battle Lake City Council Meeting October 11 for approval of the Hidden Meadows
Development Agreement. She reported that a motion was approved on a 4-1 vote.
2. The Real Estate Assessment Center (REAC) conducted an inspection of the scattered site public housing units
on October 18. There was no emergency or safety repairs that had to be completed.
3. A public hearing on the public housing capital improvement fund will be conducted at the November meeting
4. Staff assisted the Auditor's office with a tax forfeit property inspection.
5. A Home Depot Credit Card application is pending.
6. A work session with the CDA Board will be conducted beginning at 1 :30 on November 17, and the HRA Board
regular meeting will begin at 2:30.
7. Reminder that the December regular meeting will be December 8 at 2:30pm.
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7. GENERAL DISCUSSION -TOPICS BY COMMISSIONERS
Commissioner Mortenson commented that there was excitement about the Hidden Meadows project at a recent
meeting in Battle Lake.
8. ADJOURNMENT
At 3:50 pm a motion was unanimously carried to adjourn the meeting.
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Kurt Mortenson/Secretary/Clerk Date
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