Economic Development

AGENDA CITY OF WAUPUN ECONOMIC DEVELOPMENT COMMITTEE Waupun City Hall – 201 E. Main Street, Waupun WI Tuesday, November 28, 2023 at 4:15 PM CALL TO ORDER ROLL CALL CONSIDERATION - ACTION 1. Consent Agenda DISCUSSION 2. Housing Legislation and Municipal Requirements ADJOURN TO CLOSED SESSION The Waupun Common Council will adjourn in closed session under Section 19.85 (1) of the WI Statutes for: (e) Deliberating or negotiating the purchasing of public properties, the investing of public funds, or conducting other specified public business, whenever competitive or bargaining reasons require a closed session. 3. Expansion of Waupun Industrial Park 4. City-Owned Land in TID 9 5. Land North of Libby Street 6. 331 Bly Street RECONVENE TO OPEN SESSION The Economic Development Committee will reconvene in open session under Section 19.85(2) of the WI Statutes. ACTION FROM CLOSED SESSION ADVANCED PLANNING ADJOURNMENT Upon reasonable notice, efforts will be made to accommodate disabled individuals through appropriate aids and services. For additional information, contact the City Clerk at 920-324-7915. 1  Item 1. MINUTES CITY OF WAUPUN ECONOMIC DEVELOPMENT COMMITTEE Waupun City Hall – 201 E. Main Street, Waupun WI Thursday, September 21, 2023 at 4:00 PM Meeting called to order by chairperson Westphal at 4:01 p.m. Roll call taken with the following members present: Pete Kaczmarski, Kathy Schlieve, Dan Vande Zande, Rohn Bishop, Steve Brooks, and Jason Westphal. Absent and excused is Dan Siebers, Jeff Daane and Lisa McArthur from Envision Greater Fond du Lac. Motion Kaczmarski, second Brooks to approve the consent agenda. Carried unanimously. Motion Kaczmarski, second Brooks to adjourn in closed session under Section 19.85 (1) of the WI Statutes for: (e) Deliberating or negotiating the purchasing of public properties, the investing of public funds, for consideration of investing public funds along Libby Street and to foster development in TIDs 7 and 3. Motion Kaczmarski, second Brooks to reconvene the Economic Development Committee in open session under Section 19.85(2) of the WI Statutes. No action from closed session. Motion Kaczmarski, second Brooks to adjourn the meeting. Carried unanimously. Meeting adjourned at 4:50 p.m. 2  Item 2. AGENDA SUMMARY SHEET MEETING DATE: 11/28/2023 TITLE: HOUSING LEGISLATION AND ELIGIBILITY REQUIREMENTS AGENDA SECTION: DISCUSSION PRESENTER: Katharine Schlieve, City Administrator DEPARTMENT GOAL(S) SUPPORTED (if applicable) FISCAL IMPACT Innovation TBD SUMMARY: Governor Evers has signed into law a bipartisan housing legislation package that will help expand access to safe, affordable housing for working families. The Wisconsin legislature made a bold and unprecedented bipartisan investment by funding the initiatives with a total of $525 million as part of the 2023-25 Biennial Budget. The four loan programs that will emerge from this housing legislation are critical to providing solutions to address the state’s housing crisis. The programs will be administered by WHEDA as follows: 1. Restore Main Street This competitive loan program allows an owner of rental housing to apply for a loan to cover the costs to improve housing located on the second or third floors of an existing building with commercial space on the ground level. For property owners to apply:  The relevant local governmental unit must have made changes to applicable zoning ordinances, subdivision regulations, or other land development regulations to increase development density, expedite approvals, reduce impact fees, or reduce parking, building, or other development costs with respect to the eligible project on or after January 1, 2023.  The governmental unit must have updated the housing element of its comprehensive plan within the last 5 years.  All other development funding must be secured, and all necessary permits and approvals have been obtained for the main street rehabilitation and the residential housing supported by such rehabilitation.  In order to receive the Restore Main Street low interest rate loan, the development must provide affordable rents, which must remain affordable for at least 10 years following occupancy,  The housing must be located in a building at least 40 years old that is vacant or underutilized with no significant improvements to the second or third floors within the past 20 years.  Loan amount may not exceed $20,000 per dwelling unit or 25% of the total housing rehabilitation project costs, whichever is less. 2. Vacancy to Vitality Loan Program This competitive loan program allows a developer to apply for a loan to help cover the cost of converting a vacant commercial building to workforce housing or senior housing. For a developer to apply:  The relevant local governmental unit must have made changes to applicable zoning ordinances, subdivision regulations, or other land development regulations to increase development density, expedite approvals, reduce impact fees, or reduce parking, building, or other development costs with respect to the eligible project on or after January 1, 2023.  The governmental unit must have updated the housing element of its comprehensive plan within the last 5 years. 3  Item 2. Title: Payment of Bills and Vouchers Page 2  All other development funding must be secured, and all necessary permits and approvals have been obtained for converting vacant commercial property to housing and the commercial-to-housing conversion and the residential housing supported by such conversion.  In order to receive the Vacancy-to-Vitality low interest rate loan, the development must provide affordable rents, which must remain affordable for at least 10 years following occupancy, or affordable purchase prices for the resulting housing, with affordability requirements to remain in place for 10 years after initial sale.  The loan is to go towards the cost of converting a vacant and underutilized commercial space to residential housing.  The housing created in the conversion must be new residential housing for rent or for sale and must consist of 16 or more dwelling units.  Loans may be used for demolition and construction costs, up to $1 million or 20% of the total project cost, whichever is less. 3. Infrastructure Access Loan This competitive loan program allows a residential housing developer to apply for a loan to cover the costs of installing, replacing, upgrading, or improving public infrastructure related to workforce housing or senior housing. These costs are typically covered by the developer. For a developer to apply:  The relevant local governmental unit must have made changes to applicable zoning ordinances, subdivision regulations, or other land development regulations to increase development density, expedite approvals, reduce impact fees, or reduce parking, building, or other development costs with respect to the eligible project on or after January 1, 2023.  The governmental unit must have updated the housing element of its comprehensive plan within the last 5 years.  All other development funding must be secured, and all necessary permits and approvals have been obtained for the housing infrastructure and the residential housing supported by such infrastructure.  In order to receive the Infrastructure Access low interest rate loan, the development must provide affordable rents, which must remain affordable for at least 10 years following occupancy, or affordable purchase prices for the resulting housing, with affordability requirements to remain in place for 10 years after initial sale.  This program may also provide loans for additional infrastructure costs to the relevant eligible governmental unit involved in the project.  Loan amount may not exceed 10% of the total cost of development of the residential housing and related infrastructure for a loan to a governmental unit.  Loan amount may not exceed 20% of the total cost of development of the residential housing and related infrastructure for a loan to a developer. Anticipated Infrastructure Access Loan program timeline: Competitive loan applications for this program will be due April 2024. The anticipated loan program timeline is being finalized. 4. Home Repair and Rehab Loan This loan program makes modifications to the Workforce Housing Rehabilitation Loan Program administered by WHEDA. Qualified homeowners will apply for the Home R&R Loan through WHEDA’s network of participating lenders. For homeowners to apply:  Rehabilitation must be made to a single-family residence.  The loan applicant must occupy the home as their primary residence.  The home must have been constructed at least 40 years prior to the date of the loan application.  Rehabilitation can include the removal of lead paint, asbestos, mold, or other environmental contamination.  Rehabilitation can include repairing or replacing flooring, interior walls, ceiling, or an internal plumbing system. AGENDA ITEM: #14 DATE: MAY 8, 2018 4  Item 2. Title: Payment of Bills and Vouchers Page 3  The homeowner's household annual income may not exceed 120% of the area median family income for the county in which the housing is located, adjusted for family size.  The amount of the loan may not exceed $50,000 or 100% of the appraised value of the residence after completion of the eligible rehabilitation, whichever is less. Anticipated Home R&R Loan program timeline: December 2023 Loan program parameters available January/February 2024 Lender information sessions Spring 2024 Loan applications available STAFF RECOMMENDATION: ATTACHMENTS: RECOMMENDED MOTION: No Action AGENDA ITEM: #14 DATE: MAY 8, 2018 5