Agenda - Planning Commission - 09/04/2014

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Last revised July 24, 2014 voucher Housing Quality Standards, the tenant must move in order to receive continued assistance and the vouchers are treated as ordinary tenant protection vouchers. Super RFP (aka Consolidated Request for Proposals) Housing development and finance is a complicated field, requiring a wide array of professional specialties, a high level of coordination and organization, and almost invariably, collaboration between local officials, project development teams, and public or private lenders. In addition, multifamily projects, and many single family developments, require numerous financing sources —at times as many as 10 or 12—to complete a single project. Looking to minimize risk exposure, funders for affordable housing development will typically each take a conservative view to the project's underwriting and the assumptions made by the development team as pertain revenues and operating expenses, may differ in their approach toward and requirements for project operating and capital reserves, and increasingly seek to be the "last one in," as it is considered less risky to commit loan or grant funds to a project that has already demonstrated the ability to secure all other needed sources. For developers, the time investment in terms of human and financial capital is significant as they assemble a complete list of sources, go through various processes to garner support and approvals, and gear up to ensure that compliance requirements tied to each funding source are managed and met. In an effort to make the process of securing and deploying funding resources more predictable, efficient, and transparent, the state's primary affordable housing lender, the Minnesota Housing Finance Agency (or Minnesota Housing), coordinates what is known as the "Super" or "Consolidated" Request for Proposals (RFP). The Super RFP allows the Agency and its funding partners (Family Housing Fund, DEED, Greater Minnesota Housing Fund, MN Department of Health, and the Met Council) to use a single funding application and apply for several resources at once. This also provides flexibility as creative finance packages that best fit each project can be assembled during the project review and selection processes. In addition, Minnesota Housing is also the primary allocating entity for federal low-income housing tax credits, the primary tool for new affordable development and major rehabilitation. The bulk of the state's tax credits are allocated through the Minnesota Housing Qualified Allocation Plan (QAP), and in the metro region through four "sub-allocators"—Dakota and Washington counties, and the cities of Minneapolis and Saint Paul. Through the Super RFP and concurrent solicitation for projects through the QAP, Minnesota Housing and its funding partners can make an array of housing resources available to local projects in the metro and throughout greater Minnesota while minimizing the number of individual applications that must be made for a given project. The process also allows for iteration between funders and for alignment of strategic priorities. Finally, the Super RFP structure helps to spot project finance gaps, and, when the gaps are financially justified and the project is well -supported, an appropriate resource to close the gap can often be identified. Universal Design A broad set of ideas and techniques intended to produce buildings, products and environments that are inherently accessible and usable to the greatest extent feasible regardless of age, ability or status in life. Often used to refer to building accommodations made for older and disabled people, universal `design features' might include curb cuts or sidewalk ramps, cabinets with pull-out shelves, or placement of countertops at several heights to accommodate different tasks or postures. Unsubsidized Affordable Housinq A term used interchangeably with "naturally occurring affordable housing," Simply put, unsubsidized affordable housing is housing that hasn't been publicly subsidized, or if it has where income and rent restrictions tied to the public finance have already been satisfied per original terms. The rent prices that the housing can demand in the non -subsidized private market given the properties' quality, size, or 2040 HOUSING POLICY PLAN 1 METROPOLITAN COUNCIL DRAFT RELEASED FOR PUBLIC COMMENT Appendices 1 Page 99