Agenda - Council Work Session - 05/04/2004

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CITY COUNCIL WORK SESSION Topic Report: Housing & Redevelopment Authority By: James E. Norman, City Administrator Background: The topic of Housing and Redevelopment Authority (HRA) came up at a strategic planning session and the City Council discussed it further in work session on April 13. During the April 13 meeting, Council directed staff to provide a better explanation of the levy process and the time frame that a levy authority can be transferred to the City Council. Elements of an HRA An HRA is a public corporation with power to undertake certain types of housing and redevelopment or renewal activities. While state legislation "creates" a housing and redevelopment authority in each city, it is up to the city council to formally establish an HRA before it can do business and use its powers. Once a council legally establishes an HRA, it may undertake certain types of planning and community development activities on its own, with council approval. Powers An HRA is primarily responsible for the planning and implementation of redevelopment and/or low-rent housing assistance programs within its area of operation. An HRA has all the powers necessary to carry out the state HRA Act, but not the power to levy and collect taxes or special assessments except with respect to certain redevelopment projects including, but not limited to, the following powers: · To sue and be sued; · To employ staff and an executive director; · To undertake projects within its area of operation and to provide for the construction, reconstruction, improvement, extension, alteration, or repair of any project or part of a project; · To sell, buy, own, and lease property by any means necessary, including the power of eminent domain; · To cooperate with and use state and federal financial assistance programs; · To develop rehabilitation and code enforcement techniques; · To issue bonds for any of its corporate purposes backed by the pledge of revenues, grants, or other contributions; · To implement renewal or redevelopment programs using tax increment financing; · To own, hold, improve, lease, sell, or dispose of real or personal property; · To designate substandards, slum, or deteriorating areas needing redevelopment, and unsafe, unsanitary, and overcrowded housing;