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REDA Meeting Minutes — Monday, June 21, 2016 Page 12 As for the home improvement workshops, Ms. Kelsey noted there was no budget for 2016 or 2017, as Ramsey County was seeking financial supports if possible to continue them at the library, if the REDA chose to continue them. As for other housing incentive programs in the area, Ms. Kelsey advised that most of them are income-qualified; and noted it had been a decision of the RHRA to not use that qualification, but to base it on Roseville's desire to target increasing values for its median-valued housing stock, with the hope to allow major expansions of those existing homes. Ms. Kelsey identified programs yet to be reviewed for further consideration and/or modification by the REDA (pages 2-3, lines 120 — 70). At the request of Member Willmus, Ms. Kelsey confirmed that loan programs were limited to homesteaded properties; and that they had to be owner- occupied. Member Willmus noted at some point, interest rates were going to pick up; and expressed concern that the REDA's fixed interest rates be reviewed periodically annual basis, and asked how far below market the current 3% rate was. Member Willmus asked if the rates were currently reviewed annually or how often, opining that if rates increased, he didn't want the city to be caught unaware. Ms. Kelsey advised that it was approximately one-half of a percentage point; with the current Wall Street Journal interest rated listed at 3.5%. Ms. Kelsey further advised that rates could be adjusted at any time, with the only impact for staff to convey that information accordingly through revising and updating its handout material for those loan programs it offered. Ms. Kelsey noted, at a minimum, staff brought forward loan programs to review which had been used, how much they had been used, and if any revisions were indicated, including loan rates. President Roe noted past reference that loan rates be tied to an index, and suggested that needed to be part of a future policy decision for the REDA. Member McGehee noted a number of things that could enhance a home's value besides just making it bigger, such as updated mechanicals, dry basements, insulation, etc. Member McGehee stated her preference to emphasize those possibilities other than only aesthetic upgrades. Member McGehee noted many people were able to afford a smaller home, and suggested tying loan programs to median values or lower, but allowing more flexibility beyond square footage as part of the loan process.