DISCLAIMER

PLANNING AND ECONOMIC DEVELOPMENT COMMITTEE


08-0479R


RESOLUTION EMPOWERING THE ST. LOUIS COUNTY HOUSING AND REDEVELOPMENT AUTHORITY TO PROVIDE FUNDING TO A PROJECT WITHIN THE BOUNDARIES OF THE CITY OF DULUTH.

CITY PROPOSAL:

     RESOLVED, that the city of Duluth empowers the St. Louis County housing and redevelopment authority (HRA) to provide $35,000 in funding to the Minnesota Council for Veterans, which is needed for a permanent supportive and transitional housing project for homeless veterans located at 5201 and 5209 Ramsey Street.


COMMUNITY DEVELOPMENT


STATEMENT OF PURPOSE:  This resolution empowers the St. Louis County housing and redevelopment authority (HRA) to provide funding for a housing project within the boundaries of the city of Duluth.


The Minnesota Council for Veterans (MACV) will be acquiring and renovating two adjacent buildings in West Duluth for the purpose of providing permanent supportive and transitional housing for homeless veterans. This project is a priority of the “Heading Home St. Louis County: A Ten-Year Plan to End Homelessness” that has been adopted by the council as part of the city’s consolidated plan for housing and community development FY 2005-2009. Previously, the council has approved an award of $141,600 of the city’s federal HOME program funding to the project. The CHDO developer is assembling financing from a number of sources, including the Federal Home Loan Bank and Minnesota housing finance agency, to complete this project.


As part of the overall financing of the project, MACV approached St. Louis County requesting support. The county approved $35,000 in funding from the St. Louis County HRA, which has the authority to fund projects that provide decent safe and affordable housing for persons of low and moderate income. State of Minnesota Statute, Section 469.005 Area of Operation, Subdivision 1., states that “a county authority...shall not undertake any project within the boundaries of any city which has not empowered the authority to function therein as provided in Section 469.005 unless a resolution has been adopted by the governing body of the city….” This resolution allows the St. Louis County HRA to exercise its powers within the city’s boundaries.