2024 CGPI POLICY AND PROCEDURES GUIDECarver County Community Growth Partnership Initiative Program Policy and Procedures Guide
(Updated 1/18/24)
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CARVER COUNTY COMMUNITY DEVELOPMENT AGENCY
COMMUNITY GROWTH PARTNERSHIP
INITIATIVE
POLICY AND PROCEDURES GUIDE
2024
Carver County Community Growth Partnership Initiative Program Policy and Procedures Guide
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I. PROGRAM PURPOSE
The Community Growth Partnership Initiative Program (CGPI) was created and funded
by the Carver County Community Development Agency (CDA) in January of 2016.
The goals of the CGPI Program are to increase the tax base and improve the quality of
life in Carver County through three specific strategies:
Affordable Housing: The program is intended to promote the development of
affordable workforce and supportive housing. The need for affordable housing continues
to grow in Carver County and opportunities for affordable housing development are
becoming increasingly difficult. Affordable housing provides benefits beyond the
housing itself, such as assisting area workers and providing housing for our future
workforce.
Community Development: The CGPI is intended to assist cities in the area of job
creation and community development as Carver County cities and townships continue to
work towards creating “Communities for a Lifetime.”
Redevelopment: The program is intended to assist with cities’ implementation of
Redevelopment Plan goals. Blighted and under-utilized areas do not maximize their
potential economic value, can negatively impact the livability of a community, and can
be expensive to remedy.
II. DEFINITIONS
Activity – Those components that will be completed as part of the Project. Activities do
not in and of themselves comprise the Project for which Redevelopment Project grant
funds are requested.
Housing Affordability – “Affordable” is defined as: (a) rental – available to households
at or below 50% of the area median income; (b) owner – available to households at or
below 80% of the area median income.
Living Wage Jobs – Employment that pays $17 per hour or more in wages.
Project – The development component for which Redevelopment grant funds are requested.
Infill Development – Residential or non-residential development that occurs on vacant
sites scattered throughout more intensely developed areas of municipalities. These sites
may have been undeveloped due to size, configuration, or access to other more easily
developable land.
Redevelopment Plan – as defined by Minnesota Statutes 469.002 Subd. 16:
"Redevelopment plan" means a plan approved by the governing body, or by an agency
designated by the governing body for the purpose of approving such plans or authorized
by law to do so, of each city/township in which any of a redevelopment project is to be
carried out, which plan provides an outline for the development or redevelopment of the
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area and is sufficiently complete (1) to indicate its relationship to definite local
objectives as to appropriate land uses; and (2) to indicate general land uses and general
standards of development or redevelopment.
The Redevelopment Plan will identify a redevelopment area, activities to be undertaken
within the area, as well as city/township objectives, land use requirements, and
development or redevelopment standards. The city/township's comprehensive plan or
other city/township-wide planning documents do not qualify as Redevelopment Plans
under the CGPI Program unless the area is specifically identified and documented in
detail in the plan.
III. GENERAL PROGRAM INFORMATION
A. Funding Available: Up to a maximum of $415,000 is available for grants provided under
the CGPI Program during 2024. The CDA will reserve up to ten percent (10 %) for Pre
Development grants. The maximum Pre-development grant amount is $10,000. The
remaining funds will be available for Community Development grants, with a maximum
individual award of $100,000.
The maximum CGPI Program grant amount is $100,000.
B. Eligible Applicants: Any city or township in Carver County.
C. Types of Grants: The CGPI Program funds two types of grants:
• Pre-Development
• Community Development
D. Eligible Activities: Only those activities specifically listed below will be funded, per the
type of grant.
1. Pre-development grant funding is restricted to activities directly related to a current or
future project, including but not limited to:
Market Analysis Concept Design
Site Design Zoning Studies
Small Area Plans TIF/Abatement Analysis
Engineering Studies Stormwater Management Plans
Soil Testing Blight Analysis
Certified Shovel Ready Documents Environmental Studies/Assessments
Pre-development grants may also be used to fund activities that are required to establish a
Redevelopment Plan. As such, the Redevelopment Plan is not required to be in place to be
eligible for a Pre-development grant.
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2. Community Development grant funding is restricted to the Eligible Activities, defined
below, necessary to prepare for the development.
Grant funding is restricted to the following activities:
1. Property acquisition (see “Other Requirements” below for additional stipulations)
2. Relocation payments to occupants of property acquired with program funds.
3. Clearance and demolition expenses related to site assemblage for redevelopment and
consistent with the Redevelopment Plan.
4. Historic preservation (rehabilitation of properties with national or local significance
in order to preserve that significance).
5. Necessary public improvements including, but not limited to, public parking
structures, sewer and water, utilities, sidewalks, lighting, streetscape, street
reconstruction, and stormwater.
6. Corrections to soil conditions with extraordinary remediation expenses.
7. Rehabilitation/expansion/new construction of a facility that is linked to job creation
of living wage jobs or affordable housing units.
E. Ineligible Activities: Grant funds cannot be used toward the following activities:
1. Public facilities such as city halls, city parks, city water treatment facilities, etc.
2. Costs not included in the application, including those incurred prior to the award date.
3. House moving.
4. Administration expenses.
IV. PREDEVELOPMENT GRANTS
The application must meet the following threshold criteria to be scored:
1. Submittal of completed application form labeled “CGPI Predevelopment
Application.”
2. The application must be approved by the respective city/township
council via resolution that includes the Required Resolution Provisions
(sample resolution is attached to application).
3. The city/township must be supportive of affordable housing and the CDA’s
mission, as demonstrated by the city/township’s adoption of the Required
Resolution Provisions (attached) and the city/township’s history of supporting
affordable housing developments.
4. There must be a minimum leverage rate of 1 to 1 ($1 of other funds for
every $1 of Pre-development grant). Applicants may use non-public funds
as a match.
5. The completed application form must be submitted according to “Section
VI – Grant Application Instructions.”
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V. COMMUNITY DEVELOPMENT GRANTS
The application must first meet the threshold criteria to be considered for funding:
1. The proposed project must be identified in the Redevelopment Plan (if it is
a redevelopment project).
2. The application must be approved by the respective city/township council
by resolution that includes the Required Resolution Provisions (sample
resolution is attached to application).
3. Applicants (Cities/Townships) must demonstrate a minimum leverage rate of 2
to 1 ($2 of other funds for every $1 of Community Development grant).
Applicants may use non-public funds as a match.
4. Demonstration of the project’s public purpose and financial need that other funding
sources cannot fill.
5. Proof of commitment to Project by property owner must be included. This may
be satisfied by a letter of support or copy of the purchase agreement. If the
property is owned by the city/township submitting the application, a letter of
commitment from the purchaser may be included in lieu of a purchase agreement,
but a purchase agreement is strongly recommended.
6. The city/township must be supportive of affordable housing and the CDA’s mission.
The adopted resolution must contain the following required provision: The
city/township is supportive of affordable housing and of the CDA’s mission, to
improve the lives of Carver County residents through affordable housing and
community development.
7. The completed application form must be submitted according to “Section VI
– Grant Application Instructions.”
8. The proposed project must meet the eligibility criteria listed below.
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1. Leverage and Financial Need: Applications should include other funding sources
committed to the project. Examples include TIF/Abatement, DEED, Metropolitan
Council, or other public and private resources. Evidence of funding commitments must
be submitted with the application. The project should also show a financial need and
demonstrate that other funding sources are not sufficient.
[15 Points Maximum]
2. Readiness to Proceed: The applicant should be ready to proceed with the identified
project upon funding award (e.g. city entitlements, site control secured, financing
commitments in place). A project is deemed ready to proceed if funds will be completely
spent within the 18-month grant period. If funds cannot or will not be spent, project is
not ready to proceed.
[10 Points Maximum]
3. Housing Affordability: To receive points for Housing Affordability, the project must be
either a Tax Credit Development or receiving some other type of funding that requires
income and/or rent restrictions (affordability compliance) with a federal, state, or local
agency. If the project is a rental project, the owner must be willing to accept Tenant
Based Rental Assistance (Housing Choice Voucher/other tenant based rental assistance).
Compliance reporting required by the federal, state, or local agency will also need to be
submitted to the CDA annually.
[25 Points Maximum]
4. Economic Benefit: The project should have a defined impact on the local economy.
This impact is measurable through growth in property taxes and new/retained Living
Wage Jobs.
[25 Points Maximum]
5. Environmental Improvement: Projects that will clean up, prevent, and protect from
environmental hazards are encouraged. Applicants should work with state and local
agencies and professional consultants to identify the optimum remedy and create
sustainable redevelopment.
[10 Points Maximum]
6. Removal of Blight: Points will be awarded to projects that demolish or clean up
blighted properties and/or properties with obsolete structures beyond their useful life.
[15 Points Maximum]
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Other Requirements
Property Acquisition and Relocation
Property acquisition may be undertaken by a public, private or non-profit entity as part of a
redevelopment project. In all instances, the CDA will provide grant funds to the city/township
as grantee, which in turn, can provide those funds to another acquiring entity if necessary.
The corresponding grant agreement will specify conditions whereby the acquiring entity will
have no recourse to the CDA in matters related to the acquisition of real property.
If federal funds are used in whole or in part for a project, including property acquisition,
clearance and/or construction, all provisions of 49 CFR 24.101 (the Uniform Relocation Act
or URA) must be followed. With all funding sources, the cost of property acquisition must be
based on a determination of fair market value as derived from an independent appraisal and/or
county assessed value. If the final acquisition price exceeds the appraised value, the grant
funds requested must be less than this value with the additional cost being paid by other funds.
Minnesota Statutes 117.50 et. seq. and related case law also requires that in all acquisitions
undertaken by an acquiring entity without federal participation, the authority must provide
relocation assistance as a cost of acquisition. Additionally, the Minnesota Supreme Court held
that an authority may be responsible for certain relocation costs when the property is acquired
by a private developer if the activities of the authority and the developer are so intertwined to
produce a joint acquisition of the project.
Financial Need
As noted previously, leverage of other funding sources is required for a CGPI grant. In
addition to identifying leverage, the applicant shall also explain how they have exhausted
other resources.
Fair Housing
The Fair Housing Act prohibits discrimination in all housing related transactions based on
race, color, religion, national origin, sex, familial status and disability. Projects shall comply
with all federal laws, executive orders, and implementing rules and regulations. Projects shall
also comply with Minnesota law and local city/township ordinances.
Reimbursement
The Community Development grant program works on a reimbursement basis. In order to be
reimbursed, documentation must be submitted showing the criteria has been met. For example,
if scoring is received in growth or retention of Living Wage Jobs, documentation must be
submitted to support the number listed in the application.
The CDA will also consider whether an Applicant successfully used any previously
awarded CGPI funds. In its comments to the CDA Board, staff will include the Applicant’s
past use of CGPI funds (if any), whether the Applicant utilized all awarded funds, if the 18-
month time frame was met, and if funds were returned to the CDA.
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VI. GRANT APPLICATION INSTRUCTIONS
Application Instructions: It is the applicant's responsibility to be aware of the
submission requirements needed to prepare a completed application in accordance with
this guide. The application consists of program applications and all required attachments.
Applications may be submitted via email to chucks@carvercda.org, or delivered or mailed
to the Carver County CDA; Attention: Chuck; 705 North Walnut Street Chaska, MN
55318 on or before application due date.
Pre-development grants are accepted on a pipeline basis. Pre-development grants must be
received three (3) weeks in advance of the next regularly scheduled Board of
Commission meeting. If applications are not received three (3) weeks prior, they will be
placed on the following meeting’s agenda. Community Development grants are accepted
up to twice per year if the funds are not expended in the first round.
Applications determined by the CDA to be incomplete will not be accepted and will be
returned to the applicant. No Community Development applications, attachments or
documentation will be accepted after the application due date unless requested by the
CDA. The CDA retains the right to refuse the application in whole or in part for any
reason. Contact Chuck Swanson, (952) 556-2778 or chucks@carvercda.org, if you have
questions. Applicants are encouraged to discuss their project prior to submission.
Cities and townships who turn in an application before the deadline will receive an email
confirmation receipt of received application. If you do not receive a confirmation receipt
within 24 hours please notify the CDA.
• Applications available January 22nd, 2024
• Applications due to CDA March 4th, 2024, before 4:00pm
• Review/Scoring Committee evaluation period March 4th, 2024 – March
15th, 2024
• Tentative approval by CDA Board March 21st, 2024
VII. PROPERTY ACQUISITION REQUIRMENTS
Property acquisition may be undertaken by a public, private or non-profit entity as part
of a redevelopment project. In all instances, the CDA will provide the Community
Growth Partnership Initiative Project grant to the city/township as grantee, which in
turn, will provide those funds to another acquiring entity if necessary. The
corresponding grant agreement will specify conditions whereby the acquiring entity will
have no recourse to the CDA in matters related to the acquisition of real property.
If federal funds are used in whole or in part for a project, including property acquisition,
clearance and/or construction, all provisions of 49 CFR 24.101 (the Uniform Relocation
Act or URA) must be followed. With all funding sources, the cost of property acquisition
must be based on a determination of fair market value as derived from an independent
appraisal and/or county assessed value. If the final acquisition price exceeds the
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appraised value, the Community Growth Partnership Initiative Program grant must be
less than this value with the additional cost being paid by public or private matching
funds.
Minnesota Statutes 117.50 et. seq. and related case law also require that in all
acquisitions undertaken by an acquiring entity without federal participation, the
authority must provide relocation assistance as a cost of acquisition. Additionally, the
Minnesota Supreme Court held in In Re Wren, 699 N.W.2d 758 (Minn. 2005) that an
authority may be responsible for certain relocation costs when property is acquired by a
private developer if the activities of the authority and the developer are so intertwined to
produce a joint acquisition of the project.
VIII. SELECTION
Applications will be reviewed by up to two (2) CDA staff, and up to three (3) individuals
qualified by the CDA with no direct affiliation with any potential applicants.
Applications meeting the eligibility criteria will be scored, ranked and a recommendation
will be submitted to the CDA Board of Commissioners for consideration for approval. If
the proposal is selected and approved by the CDA Board of Commissioners, the CDA
will enter into a grant agreement with the city/township.
IX. GRANT AGREEMENT
CDA staff will work with the city/township and enter into a Grant Agreement. This
agreement will detail the terms and conditions of the grant and allow for the release of
funds to the city/township. The Grant Agreement will require funds to be spent within 18
months of the date of the agreement. Waivers and extensions to any provision in the
agreement requested by the grantee may be considered on a case-by-case basis depending
on the merits of the request. Grant recipients may request one 12- month extension to be
reviewed for administrative approval for those projects that are making substantial
progress towards completion. Projects that are not underway within 18 months from the
award date are not eligible for an extension.
Grants will be paid on a reimbursement basis. Grantees will be required to submit
semi-annual progress reports to the CDA. Reports will consist of the progress of the
project and will be due each May 31st and November 30th during the grant term.