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Motion carried. <br />7. Public Hearing <br />None <br />8. Action Items <br />a.Consider Senior Housing Regeneration Program Purchase Process (HF33) <br />Executive Director Bennett noted that the HRA approved a program outline and funding <br />for the Senior Housing Regeneration Program (SHRP) for Roseville in August 2005 with <br />the Greater Metropolitan Housing Corporation (GMHC). The approval allocated <br />$200,000 for the purchase gap of homes sold by seniors and purchased by first time home <br />buying families. However, a process for HRA to review the specific home purchases was <br />not considered. <br />Bennett noted that GMHC has made an offer to purchase the first home in Roseville <br />under this program criterion. The home is small and needs approximately $40,000 in <br />renovation. Because of its low purchase price and future market value, it is unlikely that <br />there will be a second mortgage recapture option. However, this will be a true affordable <br />home that can meet the HRA’s program goals. The gap for the project is estimated to be <br />$30,000 which is also within the limits that GMHC has normally experienced on other <br />projects. <br />Bennett outlined three options for the HRA Board to consider in the reporting and/or <br />approval of homes under the program. <br />1.Accept report from the HRA Executive Director as part of the quarterly report that <br />outlines the number of homes purchased, location, amount of renovation and <br />purchase gap including second mortgages. <br />2.Approve the purchase and gap funds for each home in Roseville under consent. <br />3.Approve the purchase and gap funds for each home in Roseville under regular action <br />item. <br />Bennett suggested the first reporting method as preferable from an implementation stand <br />point. <br />Member Bean noted there will be 4-5 homes purchased under the program and that these must be <br />reviewed by staff to expedite the process. Bean noted that she is comfortable with staff providing <br />a quarterly report and trusts the judgment of the professionals who implement the program. <br />Bennett explained that GMHC has a proven track record in implementing the program and which <br />projects make financial sense. <br />Member Maschka described the pro forma for the home currently under consideration. <br />Bennett explained that the $140,000 purchase price, renovation cost and expected resale would <br />not result in a second mortgage. The overall process does not allow for a recapture in this <br />particular case. <br />2 <br /> <br />