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HomeMy WebLinkAbout#22 Staff Report-HRA Econ Dev Bill (2)MAYOR AND COUNCIL COMMUNICATION DATE: May 17, 2016 CONSENT ITEM #: 22 AGENDA ITEM: Washington County HRA Economic Development Bill SUBMITTED BY: Kristina Handt, City Administrator BACKGROUND: The Council heard from Barbara Dacy, Executive Director or the Washington County HRA, at their May 10th workshop regarding legislative to give the HRA economic development authority. As she mentioned, the bill has passed the legislature and been signed by the Governor. However, the Washington County Board of Commissioners still needs to adopt enabling legislation so Lake Elmo can still weigh in on the proposal. ISSUE: Should the City Council adopt Resolution 2016-39 A Resolution Supporting Proposed Legislation to Authorize the County of Washington to Confer Economic Development Powers upon the Washington County Housing and Redevelopment Authority? PROPOSAL: A copy of the resolution, bill and key aspects of the bill as discussed at the workshop are included in your packet. RECOMMENDATION: If removed from the consent agenda: Motion to approve Resolution No. 2016-39, A Resolution Supporting Proposed Legislation to Authorize the County of Washington to Confer Economic Development Powers upon the Washington County Housing and Redevelopment Authority. RESOLUTION NO. 2016-39 RESOLUTION OF THE CITY OF LAKE ELMO, MINNESOTA SUPPORTING PROPOSED LEGISLATION TO AUTHORIZE THE COUNTY OF WASHINGTON TO CONFER ECONOMIC DEVELOPMENT POWERS UPON THE WASHINGTON COUNTY HOUSING AND REVELOPMENT AUTHORITY BACKGROUND RECITALS WHEREAS, the Washington County Housing and Redevelopment Authority (the “WCHRA”) is a county housing and redevelopment authority created and existing under Laws 1974, Chapter 475, as amended, which provides and maintains affordable, decent, and safe housing opportunities in Washington County ; and WHEREAS, in 2013 the County Board of Commissioners (the “County Board”) of the County of Washington (the “County”) established a broadly-representative economic development work group comprised of municipal economic development practitioners and community partners to assist the County in developing a county-wide long-range economic development strategy; and WHEREAS, based on the process carried out by the economic development work group, in May of 2014 the County adopted an Economic Development Strategic Plan (the “Economic Development Strategic Plan”); and WHEREAS, in furtherance of the Economic Development Strategic Plan, the County has determined that the WCHRA should have primary responsibility for economic development activities on behalf of the County; and WHEREAS; proposed legislation has been prepared which would authorize the County Board by resolution to confer on the WCHRA the powers of an economic development authority (the “Proposed Law”), thus enabling the County to address economic needs as identified in the Economic Development Strategic Plan; and WHEREAS, adoption of the Proposed Law would empower the WCHRA to undertake economic development activities not authorized by the current WCHRA enabling law, such as, by way of illustration, implementing County marketing and public relations programs relating to economic development, conducting economic development studies to document the need for financial assistance programs, and carrying out financial assistance programs for economic development purposes; and ATTACHMENT B PROPOSED BILL Laws 1974, Chapter 475, section 1, is amended to read: Section 1. WASHINGTON COUNTY; COMMUNITY DEVELOPMENT AGENCY HOUSING AND REDEVELOPMENT AUTHORITY. There is created in Washington county a public body corporate and politic, to be known as the Washington county housing and redevelopment authority community development agency, having all the powers and duties of a county authority under the provisions of Minnesota Statutes, sections 469.001 to 469.047, and all powers of a county housing and redevelopment authority under any other provisions of Minnesota law. and Sections 469.001 to 469.047 and 469.090 to 469.1081 apply to the county of Washington. For purposes of applying sections 469.090 to 469.1081 to Washington county, notwithstanding Minnesota Statutes, section 469.090, subdivision 3, “city” means county and “city council” means county board. Laws 1974, chapter 475, section 2, subdivision 1, is amended to read: Subdivision 1. This act shall not limit or restrict any existing housing and redevelopment authority or city economic development authority. The jurisdiction and area of operation of the Washington county community development agency housing and redevelopment authority includes all of the area within the territorial boundaries of the county and includes the areas within the boundaries of every city in the county and the areas of operation of city housing and redevelopment authorities and city economic development authorities in the county, whenever created, and notwithstanding any provision of Minnesota Statutes, sections 469.005, subdivision 1, or 469.008, subject, however, to Section 3. The jurisdiction and area of operation of the Washington county community development agency housing and redevelopment authority shall not be affected by any concurrence by the Washington county community development agency housing and redevelopment authority under section 469.004, subdivision 5. Laws 1974, chapter 475, section 2, subdivision 2, is amended to read: Subdivision 2. A municipal housing and redevelopment authority may request the Washington county community development agency housing and redevelopment authority to handle the housing duties of the authority and, in such an event, the Washington county community development agency housing and redevelopment authority shall act and have exclusive jurisdiction for housing in the municipality pursuant to the provisions of the municipal housing and redevelopment act, Minnesota Statutes, sections 469.001 to 469.047 462.411 to 462.711, and acts amendatory thereof. A transfer of duties relating to housing shall not transfer any duties relating to redevelopment. Laws 1974, chapter 475, section 2, is amended by adding a subdivision to read: Subdivision 2a. The governing body of a statutory or home rule charter city or township with an existing municipal economic development authority may request the Washington county community development agency to handle the economic development, housing or redevelopment duties of the authority and, in such an event, the Washington county community development agency shall act and have exclusive jurisdiction for economic development, housing or redevelopment duties in the city or township pursuant to the provisions of the economic development authorities act, Minnesota Statutes, sections 469.090 to 469.1081. 462.411 to 462.711 Laws 1974, chapter 475, section 2 is amended by adding a subdivision to read: Subdivision 4. Washington county community development agency. (a) The Washington county housing and redevelopment authority shall be known as the Washington county community development agency. In addition to the other powers granted in this section, the Washington county community development agency shall have the powers of an economic development authority under sections 469.090 to 469.1081 that are granted to the agency by resolution adopted by the Washington county board of commissioners, except as provided in paragraph (b). The enabling resolution may impose the limits upon the actions of the agency that are listed in paragraph (c). The agency may exercise any of the powers granted to it under sections 469.001 to 469.047 and any of the powers of an economic development authority granted to it by the Washington county board of commissioners for the purposes described in these sections. (b) The Washington county community development agency may not levy the tax described in section 469.107, but with the approval of the Washington county board may increase its levy of the special tax described in section 469.033, subdivision 6, to any higher limit authorized under section 469.107. The money in the housing and redevelopment project fund under section 469.033, subdivision 6, may be expended by the Washington county community development agency for the purposes of sections 469.001 to 469.047 or sections 469.090 to 469.1081. (c) The enabling resolution may impose the limits upon the actions of the agency as may be imposed by a municipality under section 469.092, except that the resolution adopted under paragraph (a) may not impose any limitations on the authority’s exercise of its powers under sections 469.001 to 469.047. (d) Section 469.1082 does not apply to the county of Washington. Laws 1974, chapter 475, section 2, is amended by adding a subdivision to read: Subdivision. 5. Offers of tax-forfeited lands. Notwithstanding any other law, Washington county may offer to the Washington county community development agency, under the conditions and policies established by the county, nonconservation tax-forfeited land prior to making the properties available to cities in Washington county. Laws 1974, chapter 475, section 3 is amended to read: Sec. 3. MUNICIPAL APPROVAL. Subdivision 1. Housing and redevelopment projects. If any housing or redevelopment project is undertaken in Washington county pursuant to this authorization, and the project is within the boundaries of any statutory or home rule charter city or township, the project and the location of the project shall be subject to approval by the governing body of the city or township. The procedures in section 469.007, subdivision 2, shall apply to the governing body project and location approvals required by this section. Subdivision 2. Economic development projects. If any development district or economic development project is undertaken in Washington county pursuant to this authorization, and the project is within the boundaries of any statutory or home rule charter city or township, the project shall be subject to the planning, zoning, sanitary, and building laws, ordinances, and regulations applicable to the locality in which the project is situated. Additionally, unless such city or township has authorized the Washington county community development agency to exercise exclusive jurisdiction for economic development duties pursuant to Laws 1974, chapter 475, section 2, subdivision 2a, as amended, then prior to the exercise of any powers under Minnesota Statutes, sections 469.090 to 469.1081, within the boundaries of the city or township with respect to a proposed development district or economic development project or proposed development district or economic development project site, the development district or economic development project and the location of the project must be authorized by resolution of the governing body of the city or township with respect to each identified parcel of property. EFFECTIVE DATE. This section is effective the day after the governing body of Washington county and its chief clerical officer timely complete their compliance with Minnesota Statutes, section 654.021, subdivisions 2 and 3. 820053.DOCX WHEREAS, the Proposed Law would retain the existing County Board consent process for establishing the WHCRA’s housing and redevelopment authority levy under Minnesota. Statutes, Section 469.033, subdivision 6, and would preclude the WCHRA from imposing any concurrent or separate economic development authority levy otherwise authorized under Minnesota Statutes, Section 469.107 (while permitting the County Board to consent to a WCHRA levy at a rate equal to the higher of the permissible housing and redevelopment authority levy rate or the permissible economic development authority levy rate as they may be established by the Legislature); and WHEREAS, consistent with existing requirements of the WCHRA’s enabling law for local approval of housing projects and redevelopment projects, the Proposed Law would require municipal location and project approval as well for development districts and economic development projects; and WHEREAS, in order to appropriately reflect the combined housing, redevelopment and economic development powers to be conferred, the Proposed Law would change the name of the WCHRA to the Washington County Community Development Agency; and WHEREAS, the Proposed Law would effect no change in the current structure or composition of the WCHRA Board of Commissioners; and WHEREAS, the Proposed Law would authorize the County to offer tax-forfeited real property to the WCHRA on the same basis as such parcels are offered to a County department; and WHEREAS, the County Board has determined to include the Proposed Law as part of the County’s legislative initiative for the 2016 Legislature; and WHEREAS, the City Council of the City of Lake Elmo, Minnesota, finds that enactment by the Legislature of the Proposed Law, and the carrying out of economic development activities by the WCHRA in the County, including in the City of Lake Elmo, pursuant to the Proposed Law, would be in the public interest and would afford substantial benefit to the residents, businesses, citizens and taxpayers of the City of Lake Elmo; and WHEREAS, the County, the WCHRA and the City of Lake Elmo contemplate that the WCHRA and the City will work together as partners in carrying out economic development activities within the City of Lake Elmo which will be complementary and non-duplicative. NOW, THEREFORE, the City Council of the City of Lake Elmo, Minnesota adopts this Resolution supporting the proposed legislation described above in furtherance of economic development activities by the WCHRA on behalf of Washington County. This Resolution was declared duly passed and adopted and was signed by the Mayor of the City of Lake Elmo and attested to by the City Clerk this _____ day of _________, 2016. ______________________________ Mike Pearson, Mayor ATTESTED: ______________________________ Julie Johnson, City Clerk