2014-72CITY OF CHANHASSEN
CARVER AND HENNEPIN COUNTIES, MINNESOTA
DATE: November 10, 2014 RESOLUTION NO: 2014 -72
MOTION BY: Laufenburger SECONDED BY: Ernst
RESOLUTION
ELECTING TO CONTINUE PARTICIPATING IN
THE LOCAL HOUSING INCENTIVES ACCOUNT PROGRAM
UNDER THE METROPOLITAN LIVABLE COMMUNITES ACT
CALENDAR YEARS 2011— 2020
WHEREAS, the Metropolitan Livable Communities Act (Minnesota Statutes sections 473 25 to
473 255) establishes a Metropolitan Livable Communities Fund which is intended to address
housing and other development issues facing the metropolitan area defined by Minnesota
Statutes section 473.121, and
WHEREAS, the Metropolitan Livable Communities Fund, comprising the Tax Base
Revitalization Account, the Livable Communities Demonstration Account, the Local Housing
Incentive Account and the Inclusionary Housing Account, is intended to provide certain funding
and other assistance to metropolitan -area municipalities, and
WHEREAS, a metropolitan -area municipality is not eligible to receive grants or loans under the
Metropolitan Livable Communities Fund or eligible to receive certain polluted sites cleanup
funding from the Minnesota Department of Employment and Economic Development unless the
municipality is participating in the Local Housing Incentives Account Program under Minnesota
Statutes section 473 254; and
WHEREAS, the Metropolitan Livable Communities Act requires the Metropolitan Council to
negotiate with each municipality to establish affordable and life -cycle housing goals for that
municipality that are consistent with and promote the policies of the Metropolitan Council as
provided in the adopted Metropolitan Development Guide; and
WHEREAS, existing affordable and life -cycle housing goals for municipalities participating in
the Local Housing Incentives Account Program expired in 2010, and
WHEREAS, a metropolitan -area municipality can participate in the Local Housing Incentives
Account Program under Minnesota Statutes section 473 254 if (a) the municipality elects to
participate in the Local Housing Incentives Program; (b) the Metropolitan Council and the
municipality successfully negotiate new affordable and life -cycle housing goals for the
municipality, (c) the Metropolitan Council adopts by resolution the new negotiated affordable
and life -cycle housing goals for the municipality, and (d) the municipality establishes it has spent
or will spend or distribute to the Local Housing Incentives Account the required Affordable and
Life -Cycle Housing Opportunities Amount (ALHOA) for each year the municipality participates
in the Local Housing Incentives Account Program, and
WHEREAS, the City of Chanhassen has received an allocation of affordable and life -cycle
housing goals for the municipality per a letter from Guy Peterson, Metropolitan Council, dated
June 25, 2010; and
WHEREAS, there are numerous variables outside of the control of the City that negatively
impact its ability to achieve these goals, including but not limited to cost of land and
infrastructure, market demands, availability of employment and affordable and convenient
transportation, and cost of compliance with regulatory requirements at all levels of government;
and
WHEREAS, the City does not believe that sufficient public financial resources are available to
meet its allocated goals; and
WHEREAS, the City of Chanhassen does not have funding available to provide direct financial
assistance to affordable and life -cycle housing projects,
WHEREAS, the City is willing to encourage development that assists in meeting these goals,
but is unable to mandate private investment in providing this housing, and
NOW, THEREFORE, BE IT RESOLVED that the City of Chanhassen hereby
1 Elects to participate in the Local Housing Incentives Program under the Metropolitan
Livable Communities Act for calendar years 2014 through 2020.
2. Does not agree that the goals provided by the Metropolitan Council are achievable
regardless of the current state of the economy given the current limits on the amount of
properties that can be serviced with sanitary sewer.
Establishes the following affordable and life -cycle housing goals for calendar years 2014
through 2020 as provided by the Met Council per its June 25, 2010 correspondence with
the understanding that there shall be no negative impacts on the City for not achieving
these goals.
Affordable Housing Goals Range
Life -Cycle Housing Goals Range
758 -1,166 units
1,165— 2,600 units
4 Will prepare and submit to the Metropolitan Council a plan identifying the actions it
plans to take to meet its established housing goals
Reserves the right to cancel its participation in the program if it is determined by the City
at some future time that participation in the program does result in negative impacts to the
City of Chanhassen.
2
Passed and adopted by the Chanhassen City Council this 10th day of November , 2014.
ATTEST:
Todd Gerhardt, City Manager
YES
Furlong
Ernst
Laufenburger
McDonald
Tjornhom
NO
None
i
Thomas A Furlong, Mayor
ABSENT
None