Agenda - Council Work Session - 06/08/2010

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CITY COUNCIL WORK SESSION Topic Report: Livable Communities Act (LCA) By: Amber G. Miller, Planning Manager Background: n The Minnesota Legislature created the Livable Communities Act (LCA) in 1995. The LCA is a voluntary, incentive -based approach to help the Twin Cities metropolitan area address affordable and lifecycle housing needs while providing funds to communities to assist them in carrying out their development plans. LCA funds have leveraged millions of additional dollars in private and public investment that has provided new jobs, housing choices, and business growth. The original LCA program was funded through 2010. Initially ninety seven (97) communities, including Ramsey, signed on to participate in the program. The Metropolitan Council is now in the process of renewing the program for 2011-2020 for those communities interested in participating. The Council will negotiate with each municipality to establish affordable and life -cycle housing goals that are consistent with, and promote the policies of the Council. Funds are distributed by the Metropolitan Council through three LCA accounts: Tax Base Revitalization Account (TBRA), Livable Communities Demonstration Account (LCDA), and Local Housing Incentive Account (LHIA). The TBRA funds projects which clean up polluted land for redevelopment and productive use; it has a goal of job creation. This program is conducted in coordination with the Minnesota Department of Trade and Economic Development and also has been used in the City's industrial parks. The goals of the LIRA are to help create and preserve affordable rental and ownership housing throughout the region for low- and moderate -income households at all of life's stages, and to support residential reinvestment and redevelopment to achieve economically healthy and livable communities. The LCDA provides funding for development and redevelopment projects that achieve connected development patterns that link housing, jobs and services and use regional infrastructure efficiently. In the past, the City has received $3,373,756 in LCDA grants funds for projects in Town Center. Such projects include the construction of Sunwood Drive ($800,000), the Amphitheatre ($373,756) and the Parking Ramp ($2,210,000). Observations: If the City of Ramsey should decide to not participate in the program moving forward, it would not be eligible for any LCA funds. If the City chooses to remain in the program, we would have to come to agreement with the Metropolitan Council on Affordable Housing Goals and Life -Cycle Housing Goals for 2011-2020. Once agreement has been reached the City would need to submit an Action Plan by the end of the year for meeting the goals.