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Metropolitan Council 56 Improve regional competitiveness in a global economy DATE: August 3,2001 TO: City Managers and Administrators FROM: Elizabeth J. Ryan, Director of Housing&Livable Communities SUBJECT:. Certification of 2001 ALHOA(Expenditures in 2002) Thank you for your participation in the 2001 Metropolitan Livable Communities Act(LCA)Local Housing Incentives Account. Your community's commitment and involvement has contributed to the region's overall economic competitiveness and its tangible progress in providing affordable and life- cycle housing for metro area residents. Looking ahead to 2002,the Metropolitan Council seeks your community's renewed participation and continued cooperation in Livable Communities efforts. As part of the LCA legislation,the Council provides to each community on an annual basis an"Affordable and Life-cycle Housing Opportunities Amount(ALHOA)". The ALHOA is the minimum amount of local discretionary expenditures to assist the development or preservation of affordable and life-cycle housing. It is not a grant from the LCA. The ALHOA is derived from the formula prescribed in law including market value,tax capacity and tax rates by the county assessor. In order to continue to participate in the program,communities must expend at least 85 percent of their ALHOA obligation for that year. Communities have some flexibility in determining which local expenditures fulfill the ALHOA contribution. Examples include local dollars contributed to housing assistance,!development or rehabilitation efforts, local housing inspection and'code enforcement,or local taxes to support a local or county HRA. Incentives for your community's renewed participation include access to approximately$15 million for housing development,clean-up of polluted sites for business and housing development,and mixed-use and mixed-income development. Also,your community's ALHOA expenditure will be reported in the Council's Annual Housing Report Card required by,the LCA. Your community's intent to participate in the 2002 LCA Local Housing Incentives Program is needed by Nov. 15. To help you in verifying your community's continued participation,a model resolution is enclosed. Planning assistance for staff or information presentations for elected officials are available by contacting your sector representative(see below). Questions about the ALHOA can be referred to Guy Peterson at 651/602-1418. We look forward to continuing our mutual commitment to affordable and life-cycle housing. Thank you for your consideration. Sector Representatives: Anoka and Ramsey Counties Sandra Pinel 651-602-1513 Dakota and Washington Counties Michael King 651-602-1438 Scott and Carver Counties Tom Caswell 651-602-1319 Hennepin County Phyllis Hanson 651/602-1566 V-.\L.®RARY\COWAUNDVAPETERSON\2001WMOIALHOA hr to new pan-doc www.metrocouncii.org Metro Info Line 602-1888 230 East Fifth Street • St. Paul.Minnesota 55101-1626 • (651)602-1000 Fax 602-1550 7N 291-0904 An Equal opportunity Employer