HomeMy WebLinkAbout7 - Elderly Housing Project
AGENDA NUMBER:
PREPARED BY:
SUBJECT:
DATE:
INTRODUCTION:
BACKGROUND:
DISCUSSION:
HERITAGE
1891
COMMUNITY
1991
<{8J:SO~/V
2Q9/
7
KAY SCHMUDLACH, ASSISTANT CITY MANAGER
RECEIVE DRAFT OF THE ECONOMIC DEVELOPMENT
COMMITTEE ELDERLY HOUSING POLICY
JULY 16, 1990
The Prior Lake Economic Development Committee
established goals for 1990 that included the
formation of Development Policies. The
Economic Development Committee, in
anticipation of requests for financial
assistance, specifically addressed the use of
Tax Increment Financing for Elderly Housing
proposals. This agenda item has been prepared
and reviewed by the Economic Development
Committee as a draft policy proposal to the
City Council.
The Economic Development Committee is aware
that several Elderlr Housing proposals have
been presented to C1ty staff over the last 9
months. The proposals, however, have been
withdrawn for a variety of reasons and have
not progressed to the level of financial
analysis. In at least one of the proposals,
the developer intended to request financial
assistance from the City. In light of this,
the Economic Development Committee has
prepared the attached Elderly Housing Policy
to assist the committee, the Economic
Development Authority and the City Council in
its review of future proposals.
The Elderly Housing Policy was outlined by
City staff based on the compilation of State
and Federal data on Elderly Housing. The
Economic Development Committee reviewed the
policy considerations, the project review and
4629 Dakota St. S.E., Prior Lake, Minnesota 55372 / Ph. (612) 447-4230 / Fax (612) 447-4245
RECOMMENDATION:
ALTERNATIVES:
ACTION REQUIRED:
submission process and the ~roject safety
requirements in conjunction W1th developing
the TIF considerations.
The TIF considerations. are intended to provide
a framework under the circumstances in which
financial assistance may be utilized to
complete the Elderly Housing project. The
objectives for consideration of TIF are
similar in nature to the considerations
outlined in the Commercial/Retail TIF Policy
in that the policies encourage City financial
assistance to:
l. Eliminate blight or substandard
buildings in City of
2. Increase employment the Prior
Lake
3. Expand the City's financial base
4. Provide a service to the Prior Lake
resident's
The Economic Development Committee encourages
the City Council to consider establishing a
policy for utilization of TIF for Elderly
Housing ~rojects. Nat Wisser will be
represent1ng the Economic Development
Committee at the July 16 City Council meeting
discussing the draft policy with the City
Council and addressing City Council
questions.
staff recommends the City Council discuss this
item and provide direction on your reaction to
the document.
staff has identified several alternatives.
1. The City Council can approve the attached
draft of the Elderly Housing Policy.
2. The City Council can adopt a modified
Elderly Housing Policy.
3. The City Council can table this action
to a later date.
Will vary based on Council discussion.
ELDERLY HOUSING POLICY
JULY, 1990
STATEMENT OF PURPOSE
The City of Prior Lake recognizes that persons over 65 years of
age are proportionately the fastest 9rowing age group in the
United states. As the impact of th1s trend becomes more
apparent, communities will have to consider ways to address
housing needs of the aging population. The purpose of this
document is to aid the development process and assist in making
the most informed decisions for the benefit of the entire
community. Included herein is the process and criteria deemed
important in order to insure that developments for the elderly
are careful1r planned and designed to integrate into the
community. Pr10r Lake takes great pride in the development of
the communitr and this document is prepared to encourage the
range of hous1ng alternatives to meet the needs of our elderly
cit1zens.
PROJECT POLICY CONSIDERATIONS
1. The project shall demonstrate long term benefits to the
community. ~J\...-Vt ~(I~
2.
The project must be consistent with the City'S Comprehensive
Plan. _
Consideration ma~be ~~~-Project if it is unique in
some way as to provide a service to the community.
3.
4.
The project should be located near public
commercial centers, restaurants, parks and
services.
transportation,
medical support
5. The project shall be designed to provide ample outdoor and
livable space, to retain a sense of personal identity,
intimacy and human scale within the development'#r
1007C/
6. To qualify as retirement housing, a minimum of rst of the
total units shall have a household head of 55 years of age or
older. Exceptions include spouses, dependent children,
handicapped, developmentally or physicallf disabled,
individuals who may require support services sim1lar to those
for elderly residents.
7. In order to provide development incentives the City
encourages the use of Planned Unit Developments whereby
increased densities, reduced parking requirements and
ancillary support services for elderly housing ~rojects will
be considered. (Comprehensive Plan Housing Pol1cy 8).
1
PROJECT REVIEW
It is the responsibilit~ of the developer to demonstrate the
viability and econom1C feasibility of an elderly project,
especially if the request requires financial participation from
the City of Prior Lake.
The Prior Lake Comprehensive Plan outlines a Housing
Implementation Program which states that the City will
participate in joint applications for housing funds with the
Scott County Housing and Redevelopment Authority. The City
encourages Leased Housin9, section 8, Rehabilitation Loan and
Grant Programs offered 1n conjunction with the Minnesota Housing
Finance Agency. (The Comprehensive Plan is currently being
reviewed and evaluated under the direction of the City Council.)
In addition, the City may participate with a private developer
through the use of Tax Increment Financing for elderly projects.
proiect Review Process
1. Project Concept Review Conference: This conference involves
initial review of the project by City Staff. The developer
will be responsible for making a presentation to staff at
this conference. The purpose of this conference is to
familiarize staff with the proposal and to discuss
preliminary issues such as possible site locations,
financial and zoning considerations and plan submission
requirements.
2. Project Review: This meeting will include City Staff, HRA
Representatives, Finance Specialists, City Attorner,
Developer and Developers Specialists, and Econom1C
Development Committee and Economic Development Authority
Representatives. The purpose of the meeting is to discuss
the viability and financial feasibility of the proposal.
3. City Council Preliminary Review: The developer will present
the ~roject concept to the City Council, Economic Deve10~ment
Comm1ttee and Economic Development Authorit~ Representat1ves,
and request approval to enter into negotiat10ns in order to
develop a financial package between the City and Developer.
An approval from this meeting is not a Project Approval but
rather an approval to proceed with a financial feasibility
study for the project.
4. Market Study and Project Analysis: This stage of the process
is desi9ned to focus on land use, zoning, comprehensive plan,
and eng1neerin9 issues. This stage may also include market
study feasibi11ty whereby the developer should prove that the
project is feasible in terms of demographics, rental rates,
supply and demand and other pertinent issues. This process
should be com~leted contemporaneously with the financial
package feasib1lity study.
2
5. Planning Commission Review and Economic Development Committee
Review: Once all financial, market study and project
analysis information is available, the developer will present
the proposal to the Planning commission and Economic
Development Committee who shall publicly review the project.
It is the responsibility of the develo~er to make application
and to present all ~lans and support1ng materials to the
Commission and comm1ttee.
6. Once approval is received from the Planning Commission, the
project will be forwarded to the Citr Council and/or Economic
Development Authority for considerat1on. The develo~er will
be responsible to present the entire proposal 1ncluding
funding, rezoning and other requests to the Citr Council
and/or Economic Development Authority. The Counc11 and/or
Economic Development Authority will make all approvals
pertaining to financial and project development
considerations.
PROJECT REQUIREMENTS
It is the responsibility of the applicant to meet the minimum
code as set forth by the State of Minnesota. In addition to code
compliance, the developer must address the following recommended
safety standards in the submitted application.
Recommended Safety Standards
1. All doors and areas of public use shall be of sufficient
width to accommodate wheel chairs.
2. Wherever steps are located, ramps or elevators shall be
provided in addition.
3. Cooking units shall have no open flame.'
4.
Emergencr signal facilities shall
resident1al unit and shall register a
location.
be provided
signal at
in each
a central
5. Electric outlets shall be located at least 24 inches above
floor level.
6. Grab bars shall be located around all tubs, showers and
toilet areas.
7. Showers shall be installed in place of tubs for more than 50%
of the dwelling units.
8. All floor surfaces shall be nonskid and surfaced in such a
manner so as to not impede the use of wheelchairs and
walkers.
3
9. Central heating and air conditioning shall be individually
adjustable for each residential unit.
10. Handle-type spigots and doorknobs shall be incorporated into
each unit.
11. Sprinkler systems and other fire protection features are
required for all units and common areas.
SUBMISSION REQUIREMENTS
1. All applicable site plan submission materials required b~ the
City for PUD and subdivision developments will be requ1red.
In addition, the City requires:
A. Name and address of the owner, owner's agent, developer,
surveyor, designer and consultants assoc1ated with the
Project.
B. Survey: including Graphic scale, north point, date of
preparation, location map showing proposed pro~ect
location within the City, existing and proposed zon1ng,
total acreage, topographic data, physical features,
setbacks, access, roads, parking lots, open space,
utility lines, and phasing which may be proposed.
C. Buildin9 floor plans and exterior elevations indicating
unit S1ze, number of units, exterior construction
materials, garage units and number, and unit square
footage.
D. Landscape plan showing ~lantings, berms, fences,
lighting, parking layout, s1dewa1ks and trails.
The information contained below in the 5 categories will be
discussed with the applicant in the Project Concept Review
Conference. Not all information will be applicable to all
projects, a decision on the appropriateness of each will be made
on a project by project basis.
Building Design Considerations
1. The project shall ~rovide ample-sized meeting rooms and
recreat10nal facilit1es such as dining halls and workshops
for the comfort and convenience of the occupants. Such
facilities may also be made available to the community,
elderly and non-elderly alike.
2. The ~roject shall take into consideration bulk, height,
spac1ng of buildings circulation and parking pattern within
the development in order to obtain adequate light, air,
privacy, and o~en space for passive recreation and
landscaped amenit1es.
4
3. Developments shall be arranged in such a way as to maximize
security by arranging units close enough to each other to
establish an informal surveillance network.
4. In order to aid accessibility, the project shall be designed
to avoid steep grades and steps.
5. Project housing units shall be designed for energy efficient,
low maintenance, high unit efficiency construction.
written Narrative
1. A written narrative of the proposed Project including
information such as proposed uses, density, average unit
size, building square footage....
2. Proposed time frame for project including the estimated
beginning and completion date and proposed phasing of project
if applicable.
3.
statement regarding buildin9 management,
care, staffing, community d1rectors, and
employees if applicable.
proposed health
support service
4.
Maintenance
maintenance,
laundry and
items.
agreement proposals concerning
snow and garbage removal, painting,
appliance ma1ntenance and other
building
lawn care,
applicable
Financial Information
1. A proforma which stipulates all project construction costs,
on-going maintenance costs, management costs etc... the
proforma must also stipulate what the rent structure must be
to cover all project costs. The proforma must be in a format
that can be interpreted and discussed in a meeting setting.
2. Financial commitment from a financial institution.
3. If there is a request for the City financial participation in
the form of TIF, a complete and concise summary should be
provided which is supported by financial analysis and market
study data. The following items must be addressed:
a.
-The percentage of
(Request should be
information).
-S~ecific method or formula for how TIF will
ut1lized.
financin9 which is requested.
substant1ated with market study
b.
be
c. -Developer provide information that TIF can be legally
undertaken.
5
Market study
(/
//~
To clearly show that the project is feasible the City may
request a market study to be conducted. A copy of the survey
documentation and an analysis of the data must be provided
along with an outline of the affordability issues. Items
such as market rates, rent levels and availability of
alternative funding sources may be requested.
Property Purchase Agreement and Terms
1. Description of the property proposed to be purchased.
2. Description of the proposed purchase terms, options, price,
length of option etc...
3. The developer must be prepared to enter into a purchase
agreement immediately upon approval of the project. Earnest
$ which will not be refunded if the project is
not undertaken. The only contingency is City Council
approval.
4. Guaranteed Occupancy Clause - Housing for the ~lder1y must be
occupied by eli9ible persons as defined 1n Policy 6.
Occupancy by elig1ble persons must be guaranteed for a period
not less than the TIF payback period. The City will require
a covenant of the owner which guarantees occupancy by
eligible individuals, stipulating that if the use of the
building ceases to be for e1i9ib1e persons, then the owner
must meet the full zoning ord1nance requirements of the new
use. The owner of the facility must file a covenant,
approved as to form by the City Attorne~, in which said owner
shall covenant on behalf of itself and 1tS heirs, executors
and assigns not to use the for any other use unless said use
complies with current code requirements.
Guaranteed occupancy provisions and conditions granted shall
be annually reviewed. The owner shall file annually, a
certified monthly resume which identifies the number of
tenants by age and number of cars owned and/or used by each
tenant or employee. The certificate of occupancy may be
revoked if more than 10 ~er cent of the occupied apartments
in a building are non-e11gible and if the number of cars
owned and/or used by tenants and employees exceeds the number
of parking spaces provided for the complex.
OBJECTIVES FOR CONSIDERATION OF TIF
1. Encourage the development of affordable Senior Housing in
order to retain Prior Lake residents.
2. Acquire land and/or building which are vacant, unused,
underused or inappropriately used.
6
3. Achieve a building construction of high quality.
4. Provide adequate streets, utilities and other public
improvements and facilities to enhance the area for both new
and existing development.
5. Eliminate or correct physical detriments to the development
of the land.
6. Achieve a hi9h level of design and landscaping quality,
consistent w1th the character and design of the area, to
enhance the surrounding environment.
7. Accomplish convenient and adequate parking to serve the area.
8. Improve the financial base of the city.
9. Provide increased employment opportunities.
10. Provide special service for Seniors, i.e. Hairdresser/Barber,
recreational opportunities, light retail/drug store
merchandise.
11. Address Senior transit needs, i.e., circulation to retail
area and medical clinics.
12. Provide a good sidewalk circulation system to move seniors
through surrounding commercial and residential neighborhoods.
7