Title
Resolution Amending the Affordability Requirement for Buyers of Owner-Occupied Duplexes in the Inspiring Communities Program, Citywide
Body
WHEREAS, the Housing and Redevelopment Authority of the City of Saint Paul, Minnesota (the “HRA”) is a public body corporate and politic established pursuant to the provisions of Minnesota Statutes section 469.001 et seq.; and
WHEREAS, the HRA has the power to engage in development or redevelopment activities under Minnesota Law; is authorized to engage in activities relating to (a) housing projects and development, (b) removal and prevention of the spread of conditions of blight or deterioration, (c) bringing substandard buildings and improvements into compliance with public standards, (d) disposition of land for private development, and (e) improving the tax base and the financial stability of the community, when these needs cannot be met through reliance solely upon private initiative and which can also be undertaken in targeted neighborhoods; and is authorized to create redevelopment projects as defined in Minnesota Statutes section 469.002, subd. 14; and
WHEREAS, on July 13, 2022, by Resolution 22-1072, the HRA Board approved key terms of the Inspiring Communities Program (“Program”); and
WHEREAS, due to changes in mortgage interest rates and an increase in market values of homes in Program neighborhoods, the affordability calculations for owner-occupied duplexes have significantly evolved, affecting the ability of 80% AMI households to afford such purchases; and
WHEREAS, Staff recommends that the allowable maximum household income of owner-occupied duplexes in the Program be increased to 115% AMI as defined by Minnesota Housing Finance Agency’s Community Homeownership Impact Fund guidelines;
NOW, THEREFORE, BE IT RESOLVED by the Board of Commissioners of the Housing and Redevelopment Authority of the City of Saint Paul, Minnesota, that
The HRA Board hereby approves a change to the income requirements for buyers of owner-occupied duplexes in the Inspiring Communities Program, allowing for such buyers to have a household income up to 115% AMI as defined by Minnesota Housing Finance Agency’ Community Homeownership Impact Fund guidelines
The HRA authorizes and directs the HRA Executive Director and staff to take all actions necessary to implement this resolution, and the proper officials of the HRA are authorized to execute grant agreements, loan agreements and other required documents on behalf of the HRA to effectuate the actions in this resolution, provided that such agreement and documents are acceptable in form and substance to the Saint Paul City Attorney.