Skip to main content

AgendaQuick™

View Agenda Item

AGENDA RECOMMENDATION       
   Item No: 4.C.
Economic Development Authority
Meeting Date:
09/09/2024

Agenda Item:

Public Hearing re the Resolution approving 2024 Mankato Annual PHA Plan.

Recommendation/Action(s):

Public Hearing and adoption of the attached resolution.

Summary:

The 2025 PHA Annual Plan is a comprehensive guide to public housing agency policies, programs, operations, and strategies for meeting local housing needs and goals. The EDA submits a streamlined plan that represents the role of the agency and programs in the community. The plan follows strategic planning identified in the community consolidated plan, strengthens ties to community service agencies, fair housing, and accesses tools necessary to achieve established goals.
 
These tools include:
  • Annual review of payment standards and utility allowances.
  • Annual review of the Administrative Plan for Housing Choice Voucher program and Admissions and Occupancy Plans for Public Housing.
  • Identifies special vouchers including:
    • Project-Based Vouchers.
    • Family Self-Sufficiency, and Homeownership.
    • Mainstream Vouchers for non-elderly, disabled.
    • VASH Vouchers for homeless veterans.
    • Foster Youth to Independence vouchers to meet the needs of homeless and at-risk foster.
    • Emergency Vouchers and Stability Vouchers that work to prevent homelessness.
  • Utilizes preferences based on community needs; and
  • Manages formula funding for capital programs that improve and replace public housing.
 
The plan identifies and recommends policy changes the EDA has enacted since the submission of the last Annual Plan, as well as the Capital Fund Program (CFP).
  • Administrative Plan: Housing Opportunity Through Modernization Act (HOTMA) revisions have been made to the Administrative Plan as required for HUD and anticipated to be effective in 2025. See attached summary of changes.
  • Admissions and Occupancy Procedures (ACOP): Housing Opportunity Through Modernization Act (HOTMA) revisions have been made to the Admissions and Occupancy Plan as required for HUD and anticipated to be effective in 2025. See attached summary of changes.
  • Capital Fund Program: includes the continued modernization of seven units: 127 Knollcrest Dr, 605 Harper Street B-2, 125 Grace Court, 1617 Fifth Ave, 617 Elm St, 1621 Fifth Ave, and 116 Haynes Street and other site improvements. Capital funding held from prior years will be used to address physical need assessment report items necessary to complete the repositioning of units under RAD.  The 5-year plan for use is attached with the annual agency plan.
  • Repositioning of Public Housing units in the RAD/Section 18 program: The conversion allows for a more predictable, sustainable revenue stream while still providing the same protections/rights to all current tenants. The program revenue will come from rent payments from tenants that reflect 30% of their income, and the HUD funding will change from an annual operating subsidy and Capital Fund Grant to Housing Assistance Payments (HAP).  The conversion financial application was submitted in January 2024 for the Section 18 and the RAD/ Small PHA Blend options will be submitted this October 2024.  HUD has issued a Commitment to enter a Housing Assistance Payment (CHAP) contract, the RAD Physical Needs Assessment report is near complete. 
While this plan has specific emphasis on the operations and strategies of the Housing Choice Voucher program and Public Housing program. It also addresses affordable housing needs in the community and progresses by implementing action steps identified in the Affordable Housing Action Plan (AHAP). The programs and services administered by the EDA are intended to cover the continuum of housing.
 
The Plan highlights routine accomplishments and new initiatives over the past year that include:
 
Addressed Needs for Homelessness
  • Provide housing stability and navigation services for households at risk of homelessness or homeless in our community.
  • Administer vouchers for special populations that address homelessness utilizing 33% of our vouchers over the past 5 years.
 Administering Housing Choice Voucher and Public Housing Programs:
  • Received high performer status with HUD providing safe, decent, and affordable housing to 673 voucher holders and 263 Public Housing units in Mankato and Blue Earth Counties.
  • Prioritized special populations with housing vouchers that include Foster Youth to Independence, Mainstream, VASH, Emergency, and Stability vouchers. 
  • Administered capital funding to maintain and renovate public housing to meet all inspection criteria and received a REAC Inspection rating of 98% this spring.
Promoting Economic Self Sufficiency
  • Provided 47 families on the HCV program with support in efforts to achieve self-sufficiency and consider homeownership.
Promoting Homeownership
  • Assisted 26 families purchase a home through the Minnesota Cities Participation Program and the HCV Home ownership program.
  • Leveraged GAP funding to support homeownership under the MN Housing Impact fund.
  • Established the Partnership Community Land Trust in Mankato to provide an opportunity for six households to seek homeownership. Phase III began this year, working to support seven additional homeowners.
Community Development Block Grant Funding:
  • Successfully administered the Community Development Block Grant funding for a variety of public service activities including shelter, housing rehabilitation, rental assistance subsistence payments, health care services, nutrition, transportation, chore services for the elderly and the disabled, education for new Americans, and site acquisition funding for the preservation of Walnut Towers and construction of Lewis Lofts.
LIHTC Projects:
  • Leveraged ARP, CDBG, project-based vouchers, and land to seek LIHTC funding from MN Housing for two projects. Funding awards will be announced in January 2025.
    • Trellis Company 40-unit supportive housing to improve our local homeless response. 
    • Cohen-Esrey Development Group is seeking funding for 64 units of affordable family housing to service households under 50% of Area Median Income.
Local Affordable Housing Trust Fund and Statewide Affordable Housing Aid: Leveraging local affordable housing aid and the creation of a local Housing Trust Fund.
 
Partnerships: The plan also highlights our strength in community partnerships that include and are not limited to: Arc of MN, Blue Earth County, Connections Shelter, Habitat for Humanity, ISD 77, Lutheran Social Services, Minnesota Valley Action Council, Partners for Housing, River Valley Continuum of Care, Salvation Army, Southern MN Regional Legal Services, and Southwest MN Housing Partnership.
  • Bi-weekly Case Conferencing and improving local homeless response.
  • Shelter and Supportive Housing Project Development.
  • Street outreach and navigation to the homeless in the community.
  • Provided support for housing stability by providing and referring for emergency rental assistance and Eviction Prevention and conduction landlord engagement efforts.
  • Administering ARP funding for housing, shelter, street outreach, weatherization, and rental assistance.
  • Expanded housing services for youth with Foster Youth to Independence and LHPA.
  • Provided education and awareness of affordable housing resources.
  • Expanded Homeownership, including education and counseling.

The plan was posted for public comment and Resident Advisory Committee Meetings were held on September 5. A summary of comments received will be provided at the public hearing. Following the Public Hearing, the Board is asked to approve by resolution the Annual Public Housing Agency Plan as presented.

Attachments