10-17-2022 Work Session_CCCITY COUNCIL MEETING MINUTES
Richfield, Minnesota
Joint City Council and HRA Work
Session
October 17, 2022
CALL TO ORDER
Chair Supple called the work session to order at 6:00 p.m. in the Bartholomew Room.
Council Members
Present:
Mary Supple; Sean Hayford Oleary; and Ben Whalen
Council Members
Absent:
Maria Regan Gonzalez, Mayor; Simon Trautmann
HRA Members
Present:
Mary Supple, Chair; Lee Ohnesorge; and Gordon Hanson
HRA Members
Absent:
Maria Regan Gonzalez; Erin Vrieze Daniels
Staff Present: Julie Urban, Acting Executive HRA Director/Assistant Community
Development Director; Katie Rodriguez, City Manager; and Kari Sinning,
City Clerk
Chair Supple introduced the topic for discussion and turned it over to Acting Executive Director Urban.
ITEM #1 DISCUSS OPPORTUNITIES TO SPEND POOLED TAX INCREMENT WITHIN THE
COMMUNITY
Acting Director Urban gave a presentation (available in the agenda) that overviewed the TIF
Management Plan, three pooling options, and the recommended next steps. She explained that
subsidies would not be available through any of these funds, but the department would look for other
sources to help with down payment and rent assistance.
Council Member Hayford Oleary asked for clarification of the breakdown of the amount of total
TIF funding. Acting Director Urban stated that 10 percent of the total TIF from all the districts would go
into the affordable housing trust fund and that the additional breakdowns are based upon what the City
has unencumbered until the end of this year and maxes out what is available. Council Member Hayford
Oleary asked how blighted a district could be. Acting Director Urban explained the test that they do to
classify a building as blighted for homes and commercial buildings are determined by an outside
consultant.
Council Member Whalen asked for clarification about the restrictions on rental and down
payment assistance. Acting Director Urban shared that it creates subsidized units instead of emergency
Joint City Council and HRA
Work Session Minutes -2-October 17, 2022
assistance. Council Member Whalen asked if we could address some of the other upfront funding costs
that would make higher rent costs. Acting Director Urban stated that could be one option or it could be
used for rental assistance directly, but it could not be a subsidy like we are used to. Council Member
Whalen shared general agreement with the proposed way to prioritize the funds and commented on the
need for deeper affordability.
Commissioner Hanson agreed with Council Member Whalen and wondered about the timeline
to adopt the plan. Acting Director Urban stated that it would be brought the HRA during the November
meeting and schedule a public hearing for December.
Council Member Whalen clarified the process that Council would be involved. Acting Director
Urban stated that the HRA would be approving individual expenditures that are a part of the plan.
Council Member Hayford Oleary commented on the possibility of projects that the spending plan
could be used on to foster future investment in the downtown area.
Chair Supple agreed with the plan and a good use of funds to ask Ehlers to come up with a plan
and commented on maintaining the affordability of commercial spaces. Acting Director Urban
mentioned the new Economic Development Manager that will be hired to help explore those concerns.
Chair Supple expressed the need to maintain balance between residential and commercial
opportunities. She agreed with the goals of the affordable housing trust fund plan and mentioned the
consideration to help make spaces more climate resilient.
Council Member Whalen asked if the spending plan would have the flexibility to do the energy
efficient upgrades. Acting Director Urban stated that it would have to be substantial rehabilitation or a
new construction. Council Member Whalen asked about the utilization of apartment rehab loans. Acting
Director Urban stated that we would probably have to reach out to the apartment places that we identify
that could use the rehab loans. Council Member Whalen asked if we could be more proactive to meet
the goals that we set. Acting Director Urban mentioned that the Community Development Department
staff is hopeful to be more proactive.
Commissioner Hanson asked if the Penn Ave corridor could be involved in the spending plan.
Acting Director Urban stated that it could if we would find a partner and it would be an increase of tax
base. Chair Supple asked if that would apply to the east side of 66th Street. Acting Director Urban said
that it could apply.
Acting Director Urban summarized the discussion of general agreement with the proposed plans
and overviewed the timeline as stated above. Chair Supple extended thanks to the department and for
the consultants.
ADJOURNMENT
The work session was adjourned by unanimous consent at 6:42 p.m.
Date Approved: November 22, 2022
Maria Regan Gonzalez
Mayor
Kari Sinning Katie Rodriguez
City Clerk City Manager