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HomeMy WebLinkAbout08/06/2026 EDAC Packet ECONOMIC DEVELOPMENT ADVISORY COMMITTEE AGENDA Thursday, August 6, 2026 Broadcast on Cable TV Channel 16 and northmetrotv.com/lino-lakes-stream ADVISORY COMMITTEE MEETING, 8:00 A.M. Community Room (not televised) 1.Call to Order and Roll Call 2.Approval of Minutes: July 9, 2026 3.Discussion Items A.Housing Maintenance Assistance Programs B.Project Updates ADJOURNMENT CITY OF LINO LAKES ECONOMIC DEVELOPMENT ADVISORY COMMITTEE MINUTES DATE:July 9, 2026 TIME STARTED:8:00 a.m. TIME ENDED:8:55 a.m. MEMBERS PRESENT:Patrick Kohler, Chad Wagner, Sam Bennett, Barbara White, Mark Pfeil, Suzy Guthmueller, Andrew Cravero MEMBERS ABSENT:Blakely LaCroix, Nathan Vojtech STAFF PRESENT:Michael Grochala, Jessica Eller, Marissa Ertel 1.CALL TO ORDER Mr. Kohler called the Economic Development Advisory Committee meeting to order at 8:00 a.m. on July 9, 2026. 2.APPROVAL OF MINUTES Mr. Cravero made a motion to approve the June 4, 2026 meeting minutes. Motion was supported by Ms. Guthmueller. Motion carried 8 – 0. 3.DISCUSSION ITEMS A.Housing Maintenance Assistance Program In March 2023, the Economic Development Advisory Committee discussed the creation of a housing maintenance assistance program utilizing available housing funds and directed staff to evaluate programs offered by neighboring communities. Staff determined that a City program should focus on encouraging exterior property improvements that enhance curb appeal, preserve property values, and complement existing county housing rehabilitation programs. The establishment of a Housing Maintenance Assistance Program was subsequently identified as a priority within the Economic Development Advisory Committee's strategic plan to encourage reinvestment in the City's existing housing stock and preserve neighborhood character. DRAFT MINUTES Economic Development Advisory Committee July 9, 2026 Page 2 Mr. Kohler asked how we would base the awarding of funds. Mr. Grochala stated this would be a first come first serve basis. Mr. Grochala stated that Blaine has a similar program with a lottery system. Ms. Guthmueller asked whether the program would require a significant amount of staff time. Mr. Grochala explained that the program would be administered by the Building Department and administrative staff. Ms. Guthmueller also inquired about how the validity of requests would be verified. Mr. Grochala stated that applicants would be required to submit contractor quotes, and reimbursement would be issued only after the work had been completed and proof of payment had been provided. Mr. Bennett brought up insurance claims and whether the City would cover those types of costs. Mr. Grochala stated this is something staff is going to research. Mr. Wagner mentioned a situation where there were not a lot of applicants if we would provide more funds. Mr. Grochala stated that this would be in a trust where the funds could roll over year by year. Mr. Wagner asked if this would be a one-time grant or if applicants could apply more than once. Mr. Grochala stated that this would be a one-time grant. Mr. Wagner inquired whether hazardous trees could be included as part of the program. Mr. Grochala stated that this would be an item to further investigate and evaluate. Mr. Bennett asked if we had to limit funds to material costs. Mr. Grochala stated that this would be something the City would research. Mr. Kohler asked whether the funding for the rental property program would operate as a self-depleting fund. Mr. Grochala explained that it would be a self-depleting fund, meaning the program would continue until the allocated funds have been exhausted. Overall, the Committee was in favor of staff moving forward with the programs. B.Project Updates Mr. Grochala provided project updates to the committee. 4.ADJOURNMENT Mr. Cravero made a motion to adjourn the meeting at 8:55 a.m. Motioned seconded by Ms. Guthmueller. Motion was carried 8 – 0. DRAFT MINUTES Economic Development Advisory Committee July 9, 2026 Page 3 Respectfully submitted, Marissa Ertel, Community Development Administrative Assistant DRAFT MINUTES ECONOMIC DEVELOPMENT ADVISORY COMMITTEE AGENDA ITEM 3A STAFF ORIGINATOR: Jessica Eller, Community Development Specialist MEETING DATE: August 6, 2026 TOPIC:Housing Maintenance Assistance Programs BACKGROUND At its July 2026 meeting, the Economic Development Advisory Committee reviewed the proposed Housing Maintenance Assistance Grant Programs and provided feedback on the draft program concepts and eligibility requirements. Following the Committee’s discussion, staff has refined the proposed program terms, application materials, and grant agreements for both the Home Improvement Grant Program and the Multi-Family Affordability Improvement Grant Program. The revised documents incorporate Committee feedback and provide additional clarity regarding program eligibility, eligible improvements, reimbursement procedures, and administrative requirements. Staff is continuing to work with Ehlers, the City’s financial advisor, to review the proposed Home Improvement Grant Program and ensure it aligns with Local Affordable Housing Aid (LAHA) program requirements and Minnesota Housing guidance. EDAC CONSIDERATION Staff is requesting direction from the Committee regarding the proposed program terms and eligibility requirements. ATTACHMENTS 1.Draft Home Improvement Grant Agreement and Program Terms 2.Draft Multi-Family Affordability Improvement Grant Agreement and Program Terms 1 Grant Number 26- City of Lino Lakes Home Improvement Grant Program Grant Agreement Grantee(s): Click or tap here to enter text.(hereafter, “Grantee”) Property Address: Click or tap here to enter text. Legal Description:Click or tap here to enter text. (hereafter, the “Property”) Estimated Project Cost:$Click or tap here to enter text. Estimated Grant Amount:$Click or tap here to enter text. This Grant Agreement (hereafter, the “Agreement”) is made and entered into by the City of Lino Lakes and Click or tap here to enter text. (the “Grantee”) (collectively, the “Parties”). Eligibility a.Application. Grantee has fully submitted a completed Home ImprovementGrant Program application. The bids and materials list associated with the application are attached as “Exhibit A”. b.Determination of Eligibility. The Grantee, the Property, and the Project each meet the eligibility criteria under the terms of the Home ImprovementGrant Program, which are attached hereto as “Exhibit B”. Project Details a.Project Elements. The Project shall consist of one or more eligible improvements identified in Exhibit B. Eligible Projects:Click or tap here to enter text. Eligible Project Cost: $Click or tap here to enter text. Grant Funds a.Estimated Grant Amount. Grantee understands the estimated grant amount is the amount the City anticipates it will reimburse Grantee for the Project based upon either the bid or materials list submitted by Grantee as part of Exhibit A. Grantee understands the final grant amount will be reduced if the actual project cost is lower than the estimated project cost and the grant amount reimbursed will be lowered to the actual, reimbursable costs of the Project, as identified in Exhibit B. The grant amount will not be increased if the actual project cost is higher. b.Reimbursement. The final grant amount will reimburse Grantee for eligible costs associated with the Project, including costs paid to contractors issuing the bids in Exhibit A, eligible material costs for projects completed by the Grantee, and applicable connection fees associated with connecting a property to municipal water and sanitary sewer infrastructure. Homeowner labor and equipment are not eligible for reimbursement, except for approved hazardous tree removal projects. For hazardous tree removal projects, eligible grant costs may include contractor labor and necessary equipment costs associated with the removal of hazardous tree(s), as approved by the City. The City will reimburse the Grantee for 20% of the cost of eligible improvements, as listed in Exhibit B. The City will not reimburse Grantee any Grant Number 26- amount in excess of $6,000.00, which is the maximum available grant amount under the Home Improvement Grant Program, regardless of the total eligible project costs. c.Documentation required. Prior to disbursing the grant amount to Grantee, the City must receive the following documents from the Grantee: i.Final paid invoice and/or receipts showing payment for the project ii.Completion certificate signed by the homeowner and contractor, if one was employed; iii.A completed W-9 form. Additional Requirements a.Completion deadline. All work on the Project must be completed within 180 days of the date of execution of this Agreement, unless extended in writing by City staff. b.Permits Required. Any necessary permits must be obtained prior to beginning work and funds will not be disbursed until all final inspections on necessary permits have received a passing result. Updates to smoke and carbon monoxide detectors may be required prior to final inspection. This project requires permits for Click or tap here to enter text.. c.Funds Disbursement. Upon project completion Grantee shall provide the documents listed in Exhibit B to the City. Prior to releasing the grant amount to Grantee, City staff must complete an inspection of the Property. A 1099-G shall be provided to the grantee by the City by January 31 of the year following the disbursement of funds. d.Project Promotion. The Grantee agrees to the placement of a Home Improvement Grant Program yard sign in their front yard from the signing of this agreement until the final inspection. The Grantee understands they may be contacted by the City to discuss documenting or showcasing their project and will allow the City to take before and after photos of the exterior of the home. Execution a.Counterparts. This Agreement and any amendments, waivers, consents, or supplements hereto may be executed in counterparts, each of which shall constitute an original, but all of which taken together shall constitute a single contract. Delivery of an executed counterpart of a signature page to this Agreement by facsimile or in electronic ("pdf" or "tif") format shall be as effective as delivery of a manually executed counterpart of this Agreement. b.Electronic Execution. The words "execution," "signed," "signature," and words of similar import in this Agreement shall be deemed to include electronic and digital signatures and the keeping of records in electronic form, each of which shall be of the same effect, validity, and enforceability as manually executed signatures and paper-based recordkeeping systems, to the extent and as provided for under applicable law, including the Electronic Signatures in Global and National Commerce Act of 2000 (15 U.S.C. § 7001 et seq.) and any other similar state laws based on the Uniform Electronic Transactions Act. Grant Number 26- IN WITNESS WHEREOF, the City and the Grantee have caused this Agreement to be executed by their duly authorized representatives. This Agreement is effective upon the date of execution by the City. The City of Lino LakesGrantee By: ____________________________________ By: ____________________________________ Michael Grochala, Community Development Director Printed Name: __________________________ Dated: _________________________________ Dated: _________________________________ Grant Number 26- EXHIBIT B Home Improvement Program Terms Program IntentionTo provide financial assistance to eligible homeowners for improvements that preserve affordable housing, enhance curb appeal, improve health and safety, and extend the useful life of their homes. AmountGrant of up to $6,000 (20% of project cost) Minimum Project Cost$4,000 Total Projected It is the applicant’s responsibility to obtain the amount of funds necessary Cost/Matchto complete the project. Fund source shall be identified by the grantee on the grant application. Eligible PropertiesHomesteaded single-family residential properties located within the City of Lino Lakes that are at least 30 years old. Applicants must occupy the property as their primary residence and have a household income at or below 80% of the greater of State Median Income or Area Median Income (AMI), as established annually by HUD. Eligible GranteesLegal residents of the United States with a valid Social Security Number, meet the program income requirements, and may receive only one Home Improvement Grant per calendar year. Income VerificationApplicants shall provide documentation necessary to verify household income eligibility, including tax returns, pay statements, benefit statements, or other documentation requested by the City. The City shall determine eligibility based on the annual income limits established for the program. Eligible Projects1.Roof 2.Siding 3.Windows 4.Front Door 5.Garage door 6.Hazardous Tree Removal (must be determined necessary due to a health or safety concern) 7.Septic System Replacement or Repair 8.Connection to municipal water and sanitary sewer infrastructure Ineligible ImprovementsAny work initiated before grant agreement execution will not be eligible. Deposits for contractors or materials may be paid prior to grant approval, but no work may be completed. Sweat Work may be performed on a sweat equity basis. Grant funds may only Equity/Homeowner be used for eligible material costs and applicable connection fees Laborassociated with connecting a property to municipal water and sanitary sewer services. Labor and equipment costs are not eligible for reimbursement, except for approved hazardous tree removal projects. For hazardous tree removal, eligible grant costs may include contractor labor and necessary equipment costs associated with the removal of the hazardous tree(s). Materials must be purchased and installed, and applicable connection fees paid, prior to the disbursement of grant proceeds. When applicable, Grant Number 26- required City permits must be obtained. The City may require documentation, including photographs, inspection reports, or other supporting information, to verify that tree removal is necessary due to a health or safety concern. Property InspectionA property inspection will be performed to determine project eligibility. Post-Install InspectionPrior to the release of grant proceeds, the property is subject to inspection by a City inspector and all required building permit inspections must be successfully completed. Bids1 bid is required. Bids must detail the scope of work to be completed, the associated costs and any rebates. Application and Applications will be accepted on a rolling, first-come, first-served basis, Completion Timelinesubject to the availability of program funding. Applications will be reviewed in the order they are received and determined to be complete. A complete application includes all required application materials, supporting documentation, and contractor estimates. Applications that are incomplete will not be considered received until all required information has been submitted. Disbursement of FundsFunds are held by the City and payment is made to the homeowner. The following items must be received prior to final disbursement of funds: 1.Paid invoices and/or receipts for all work and materials 2.Final inspection completed by building inspector (if necessary) 3.Inspection by City staff 4.Completion certificate signed by homeowner 5.Completed W-9 Grant Number 26- City of Lino Lakes Multi-Family Affordability Improvement Grant Program Grant Agreement Grantee(s): Click or tap here to enter text.(hereafter, “Grantee”) Property Address: Click or tap here to enter text. Legal Description:Click or tap here to enter text. (hereafter, the “Property”) Estimated Project Cost:$Click or tap here to enter text. Estimated Grant Amount:$Click or tap here to enter text. This Grant Agreement (hereafter, the “Agreement”) is made and entered into by the City of Lino Lakes and Click or tap here to enter text. (the “Grantee”) (collectively, the “Parties”). Eligibility a.Application. Grantee has fully submitted a completed Multi-Family Affordability Improvement Grant Program application. The bids and materials list associated with the application are attached as “Exhibit A”. b.Determination of Eligibility. The Grantee, the Property, and the Project each meet the eligibility criteria under the terms of the Multi-Family Affordability Improvement Grant Program, which are attached hereto as “Exhibit B”. c.Ownership Requirement. Grantee must demonstrate ownership interest in the Property or provide documentation authorizing the Grantee to act on behalf of the property owner. d.Affordable Housing Requirement. Grantee certifies that the Property is classified as Class 4d(1) property under Minnesota Statutes, Section 273.13, subdivision 25, paragraph (e), clause (1). Grantee further certifies that at least fifty percent (50%) of the dwelling units located within the Property are affordable to households earning no more than sixty percent (60%) of Area Median Income (AMI), as established annually by HUD. The Property must have an existing affordability covenant recorded against the Property that requires the maintenance of affordable housing units consistent with the requirements of the Multi-Family Affordability Improvement Grant Program. Grantee shall provide documentation demonstrating compliance with these affordability requirements as part of the grant application materials. The City reserves the right to verify compliance with these requirements prior to approval and disbursement of grant funds. Project Details a.Project Elements. The Project shall consist of one or more eligible improvements identified in Exhibit B. Eligible Projects:Click or tap here to enter text. Eligible Project Cost: $Click or tap here to enter text. Grant Number 26- Grant Funds a.Estimated Grant Amount. Grantee understands the estimated grant amount is the amount the City anticipates it will reimburse Grantee for the Project based upon either the bid or materials list submitted by Grantee as part of Exhibit A. Grantee understands the final grant amount will be reduced if the actual project cost is lower than the estimated project cost and the grant amount reimbursed will be lowered to the actual, reimbursable costs of the Project, as identified in Exhibit B. The grant amount will not be increased if the actual project cost is higher. b.Reimbursement. The City will reimburse the Grantee for fifty percent (50%) of eligible material costs associated with approved improvements identified in Exhibit B. The City will not reimburse Grantee any amount in excess of $50,000, which is the maximum available grant amount under the Multi-Family Affordability Improvement Grant Program, regardless of the total eligible project costs. Labor, equipment, and other ineligible costs identified in Exhibit B are not eligible for reimbursement. c.Documentation required. Prior to disbursing the grant amount to Grantee, the City must receive the following documents from the Grantee: i.Final paid invoice and/or receipts showing payment for the project ii.Completion certificate signed by the property owner and contractor, if one was employed; iii.A completed W-9 form. iv.Documentation demonstrating continued compliance with the recorded affordability covenant, if requested by the City. Additional Requirements a.Completion deadline. All work on the Project must be completed within 180 days of the date of execution of this Agreement, unless extended in writing by City staff. b.Permits Required. Any necessary permits must be obtained prior to beginning work and funds will not be disbursed until all final inspections on necessary permits have received a passing result. Updates to smoke and carbon monoxide detectors may be required prior to final inspection. This project requires permits for Click or tap here to enter text.. c.Funds Disbursement. Upon project completion Grantee shall provide the documents listed in Exhibit B to the City. Prior to releasing the grant amount to Grantee, City staff must complete an inspection of the Property. A 1099-G shall be provided to the grantee by the City by January 31 of the year following the disbursement of funds. d.Continued Affordability Requirement. As a condition of receiving grant funds, Grantee agrees to maintain compliance with the existing affordability covenant recorded against the Property for the duration of the covenant term. Failure to maintain the required affordability requirements may result in repayment obligations as outlined in the recorded affordability covenant and/or grant agreement. Grant Number 26- e.Project Promotion. The Grantee understands they may be contacted by the City to discuss documenting or showcasing their project and will allow the City to take before and after photos of the exterior of the building. Execution a.Counterparts. This Agreement and any amendments, waivers, consents, or supplements hereto may be executed in counterparts, each of which shall constitute an original, but all of which taken together shall constitute a single contract. Delivery of an executed counterpart of a signature page to this Agreement by facsimile or in electronic ("pdf" or "tif") format shall be as effective as delivery of a manually executed counterpart of this Agreement. b.Electronic Execution. The words "execution," "signed," "signature," and words of similar import in this Agreement shall be deemed to include electronic and digital signatures and the keeping of records in electronic form, each of which shall be of the same effect, validity, and enforceability as manually executed signatures and paper-based recordkeeping systems, to the extent and as provided for under applicable law, including the Electronic Signatures in Global and National Commerce Act of 2000 (15 U.S.C. § 7001 et seq.) and any other similar state laws based on the Uniform Electronic Transactions Act. IN WITNESS WHEREOF, the City and the Grantee have caused this Agreement to be executed by their duly authorized representatives. This Agreement is effective upon the date of execution by the City. The City of Lino LakesGrantee By: ____________________________________ By: ____________________________________ Michael Grochala, Community Development Director Printed Name: __________________________ Dated: _________________________________ Dated: _________________________________ Grant Number 26- EXHIBIT B Multi-Family Affordability Improvement Grant Program Terms Program IntentionTo provide financial assistance to eligible multi-family property owners to encourage reinvestment in existing affordable rental housing, improve property conditions, preserve affordable housing opportunities, and support long-term housing stability within the City of Lino Lakes. AmountGrant of up to $50,000 (50% of eligible material costs) Total Projected It is the applicant’s responsibility to obtain the amount of funds necessary Cost/Matchto complete the project. Fund source shall be identified by the grantee on the grant application. Eligible PropertiesExisting multi-family residential properties located within the City of Lino Lakes. Eligible properties must be classified as Class 4d(1) property under Minnesota Statutes, Section 273.13, subdivision 25, paragraph (e), clause (1). In addition, the City requires that at least fifty percent (50%) of the dwelling units within the Property are affordable to households earning no more than sixty percent (60%) of Area Median Income (AMI), as established annually by HUD. Eligible GranteesProperty owners or authorized representatives of eligible multi-family residential properties. Affordability Eligible properties must have an existing recorded affordability covenant Requirementrequiring the property to maintain affordable housing units consistent with program requirements. The applicant must provide a copy of the recorded covenant with the grant application. The affordability covenant must remain in effect for a minimum of ten (10) years from the date of grant award unless a longer affordability period is required by an existing agreement. Eligible Projects1.Landscaping improvements 2.Exterior architectural enhancements 3.Code-related safety improvements Ineligible ImprovementsAny work initiated before grant agreement execution will not be eligible. Deposits for contractors or materials may be paid prior to grant approval, but no work may be completed. Property InspectionA property inspection will be performed to determine project eligibility. Post-Install InspectionPrior to the release of grant proceeds, the property is subject to inspection by a City inspector and all required building permit inspections must be successfully completed. Bids1 bid is required. Bids must detail the scope of work to be completed, the associated costs and any rebates. Application and Applications will be accepted on a rolling, first-come, first-served basis, Completion Timelinesubject to the availability of program funding. Applications will be reviewed in the order they are received and determined to be complete. A complete application includes all required application materials, supporting documentation, and contractor estimates. Applications that are incomplete will not be considered received until all required information has been submitted. Grant Number 26- Disbursement of FundsFunds are held by the City and reimbursement is made to the property owner following completion of approved improvements. The following items must be received prior to final disbursement of funds: 1.Paid invoices and/or receipts for all work and materials 2.Final inspection completed by building inspector (if necessary) 3.Inspection by City staff 4.Completed W-9 5.Documentation verifying the property remains subject to an existing recorded affordability covenant, if requested by the City.