Meeting Date: September 19, 2024
To: Members of the Housing & Redevelopment Authority
From: Melissa Hanson, Housing Coordinator
Title
2025 HRA Budget
Body
Action Requested:
The HRA Board to review the draft of the 2025 HRA budget and make a motion.
Summary Report:
Northfield HRA’s mission is to be a partner in providing a sufficient supply of affordable, adequate, safe and sanitary dwellings in Northfield. Attachment 1 shows the various efforts the HRA is undertaking to advance its mission in 2023 and 2024.
The HRA has traditionally requested the maximum levy allowed by Minnesota Statute of .01850 percent of the previous year’s taxable market value, which is based on the County-determined 2024 Estimated Market Value.
Based on this information, the maximum HRA levy could be $403,927. This represents a 9% increase from the 2024 approved levy. The levy increase amount is due to an overall increase in estimated market value of all taxable property in the City. As the community builds out and increases in density, the estimated market value is likely to increase, which in turn can increase our maximum levy opportunities.
In addition to the levy, the City has directed its share of Statewide Affordable Housing Aid (SAHA) to the Local Housing Trust Fund (LHTF) for programming and administration by the HRA. The anticipated annual revenue from SAHA is $75,056.
The City of Northfield is eligible to receive annual Community Development Block Grant Funds (CDBG) from Dakota County CDA. The HRA expends the funds on qualified and pre-approved projects, and then receive reimbursement, up to $67,000 annually, from Dakota County CDA.
Alternative Options:
N/A
Financial Impacts:
HRA Reserve balance is estimated at $660,000.
Tentative Timelines:
N/A