2015-13H HRA ResolutionMOUND HOUSING AND REDEVELOPMENT AUTHORITY
RESOLUTION NO. 15-13H
RESOLUTION SUPPORTING APPLICATION FOR THE TAX BASE
REVITALIZATION ACCOUNT
WHEREAS, the Mound Housing and Redevelopment Authority of Mound, Minnesota (the
"HRA") owns and operates a 50 -unit low rent public housing project known as Indian Knoll
Manor in the city of Mound; and
WHEREAS, the HRA has received preliminary approval from the U.S. Department of Housing
and Urban Development (HUD) for a Commitment to Enter into a Housing Assistance Payments
(CHAP) under the Rental Assistance Demonstration program; and
WHEREAS, the HRA is required to form a development team with evidence demonstrating the
team's recent successful experience financing, developing, rehabilitating, constructing, and
owning similar projects; and
WHEREAS, Aeon was selected to be the development partner; and
WHEREAS, Aeon is applying for multiple competitive financing and grant opportunities to
facilitate rehabilitation of Indian Knoll Manor; and
WHEREAS, the City of Mound and Mound HRA are participants in the Livable Communities
Act's Local Housing Incentives Account Program for 2015 as determined by the Metropolitan
Council, and is therefore eligible to make application apply for funds under the Tax Base
Revitalization Account; and
WHEREAS, the HRA has identified a contamination cleanup project within the City that meet
the Tax Base Revitalization Account's purposes and criteria and are consistent with and
promote the purposes of the Metropolitan Livable Communities Act and the policies of the
Metropolitan Council's adopted metropolitan development guide; and
WHEREAS, the HRA and its development partners have the institutional, managerial and
financial capability to ensure adequate project and grant administration; and
WHEREAS, the HRA certifies that it will comply with all applicable laws and regulations as
stated in the contract grant agreements; and
WHEREAS, the HRA finds that the required contamination cleanup will not occur through
private or other public investment within the reasonably foreseeable future without Tax Base
Revitalization Account grant funding; and
WHEREAS, the HRA represents that it has undertaken reasonable and good faith efforts to
procure funding for the activities for which Livable Communities Act Tax Base Revitalization
Account funding is sought but was not able to find or secure from other sources funding that is
necessary for cleanup completion and states that this representation is based on the following
reasons and supporting facts:
1) Renovation and New Construction —The planned renovation and new construction is
intended to preserve low-income housing units. The remodeling activities will impact
asbestos containing material that will require abatement and environmental monitoring.
2) Low Income Housing — Rents and subsidies do not support the asbestos abatement
and environmental remediation costs required to complete the renovation and
construction.
3) The asbestos abatement and environmental remediation costs exceed construction
funding from other private and/or public sources.
4) The funds available from the Hennepin Co. ERF fund (which Aeon is also applying for)
are not sufficient to cover the asbestos and environmental remediation costs associated
with the planned project.
NOW, THEREFORE, BE IT RESOLVED that the Board of Commissioners of the Mound
Housing and Redevelopment Authority authorizes Aeon to submit an application for
Metropolitan Council Tax Base Revitalization Account grant funds and, if the HRA is awarded a
Tax Base Revitalization Account grant for this project, the HRA will be the grantee and agrees
to act as legal sponsor to administer and be responsible for grant funds expended for the project
contained in the Tax Base Revitalization grant application submitted on November 2, 2015.
Adopted by the HRA this 27th day of October, 2015.
Chair Mark Wegscheidd
Attest: Catherine Pausche, Clerk