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July 16, 2010 EDC Meeting Item 6A — Housing Programs Page 2 of 5 Mounds View and what percentage of Mounds View housing stock is in foreclosure. Ms. Steinmetz said there are about fifty foreclosures but she didn't know the percentage. Commissioner Belting asked if the City is getting reimbursed forthe City services that result from the foreclosures. Ms. Steinmetz said that this is a discussion point among cities and each city is recouping the costs differently. He asked if the fees should be raised or if there should be a "foreclosure fee?" Ms. Steinmetz said there are two separate issues to discuss "Does the City want to expand its housing program?" and there is also the foreclosure issue. The foreclosure issue spawned from a more global issue of making sure Mounds View housing stock does not deteriorate. Commissioner Larson said that (as a resident) the City should get involved to make sure the housing stock doesn't deteriorate further. As far as foreclosures, he suggested that City officials approach residents who live next door to foreclosures because in most case, they'd be willing to help because foreclosures affect property values. Chair Helgemoe agreed because it would protect the City's tax base and property values. April 18 2008 EDC Meeting Minutes Excerpt The EDC that the City's Housing Replacement Program provides demolition assistance paid for through Tax Increment Financing. The program offers a 10 -year forgivable/deferred loan, which is administered through the Housing Resource Center. The program is the only housing related program that the City itself offers to Mounds View residents; however residents can access other Housing Resource Center programs, such as low-interest loans to conduct home improvement projects. She summarized last month's EDC discussion regarding the housing market, foreclosures and how important it is to maintain property values. Ms. Steinmetz asked the EDC if the City should expand its housing services or continue to refer people to the Housing Resource Center. Chair Helgemoe asked if the City is charged a fee for the Housing Resource Center's administrative services. Ms. Steinmetz said she'll check on that for the next meeting. Commissioner Johnson mentioned that since there are income limits to utilize home improvement programs, perhaps the programs are a self-fulfilling prophecy. Commissioner Entsminger stated that she doesn't think the City should get involved with providing additional home improvement loans for a variety of reasons such as "What if the homeowner goes into default?" because the City would be taking a risk, etc. The consensus of the Commission was for staff to discuss this issue with housing organizations that offer these programs in order to make sure the City is reaching the population that may be underserved by typical housing programs.