[1:04] . I THINK WE COULD GET

[1:12] ALREADY THE MEETING AND I UNDERSTAND THAT THE HRA MAY BE MEETING AFTER THIS MEETING AND SO IF WE KEEP THINGS MOVING ALONG

[1:20] IT'LL BE GOOD. SO I'M PRESIDENT OF THE PORT AUTHORITY. I'LL CALL THE PORT AUTHORITY MEETING ORDER. BUT LET ME JUST SAY BEFORE

[1:25] THAT I WAS LOOKING AROUND THE TABLE. IT IS SO WONDERFUL TO SEE THE DIVERSITY OF PEOPLE THAT WE

[1:31] HAVE SITTING HERE. IT'S JUST GREAT. SO WITH THAT I'LL GIVE PORT AUTHORITY'S CALL TO ORDER RIGHT?

[1:36] >> AND I'M CALLING TO ORDER THE HRA MEETING.

[1:43] OKAY. WELL WE HAVE ISSUES AROUND THE TABLE. OKAY. YEAH, I THINK THAT'S A GOOD

[1:49] IDEA. OKAY. YES, SIR, I WILL. SO I ACTUALLY I'LL MAKE THIS

[1:54] OVER HERE FOR OUR. OH, GREAT. WHO GETS TO GO FIRST? THANK YOU. I'M TEASING.

[2:01] I CAN I'LL INTRODUCE MYSELF A LITTLE BIT MORE WHEN I START, BUT MY NAME IS DARRYL DARMAN AND I AMONG OTHER THINGS I'M A

[2:07] LOBBYIST FOR IT. I'M SO HAPPY TO BE HERE TODAY. I LIVE IN MINNEAPOLIS SO WASN'T TOO LONG OF A JOURNEY

[2:13] TO COMING HOME. >> THANK YOU. >> ALL OF OUR COMMISSIONERS HERE THIS EVENING AND ITEM IS

[2:20] THE ECONOMIC DEVELOPMENT ASSOCIATION OF MINNESOTA FOR THOSE WHO ARE NOT FAMILIAR WITH THE ORGANIZATION, IT'S OUR PROFESSIONAL ORGANIZATION

[2:25] HERE FOR ECONOMIC DEVELOPMENT. AND MY NAME IS HOLLY MESSICK AND I AM THE PORT AUTHORITY

[2:31] ADMINISTRATOR. THANK YOU ALL SO MUCH FOR BEING HERE. I REALLY ENJOY CONCURRENT MEETINGS.

[2:36] IT'S REALLY GREAT TO BRING BOTH PARTIES TOGETHER BECAUSE SARAH AND I TALK ALL DAY BUT IT'S GREAT TO SEE ALL OF YOU AROUND THE TABLE AND I'M BOB

[2:45] ERICKSON PRESENT PRESIDENT ELDERS SECOND WHAT HOLLY SAID I MEAN I THINK THESE MEETINGS ARE VERY USEFUL AND ESPECIALLY SINCE THE PORT AUTHORITY HAS

[2:51] TAKEN ON SOME ADDITIONAL THINGS AND WE NEED TO WORK CLOSELY WITH THE HRA AND HOUSING AND ISSUES AND THINGS. THESE MEETINGS ARE REALLY

[2:56] IMPORTANT. I'M TIM BOSSY AND MAYOR OF THE CITY OF BLOOMINGTON AND I.

[3:03] I ROUTINELY THANK OUR PORT AUTHORITY MEMBERS. I WANT TO TAKE THIS OPPORTUNITY TO THANK OUR HRA MEMBERS FOR THE WORK THAT YOU PUT IN. IT'S I MEAN YOU COULD BE DOING

[3:10] ANYTHING ON A TUESDAY EVENING RIGHT NOW WHEN YOU'RE HERE AND APPRECIATE IT SO THANK YOU FOR YOUR WORK AND LOOKING FORWARD TO THE CONVERSATION TODAY.

[3:18] I WAS CYNTHIA HUNT FROM THE PORT AUTHORITY, SEAN NELSON WITH THE PORT AUTHORITY AND A CITY COUNCIL MEMBER ROB LYONS

[3:25] PORT AUTHORITY JENNIFER MUELLER HRT. AND I'M SARAH ABE. A TRADE MINISTER ALSO VERY

[3:33] EXCITED BY THE ENERGY IN THE ROOM TONIGHT. THANK YOU EVERYONE. VICKI WHO CAME IN SHERRY BLAKE

[3:41] W GERRY SAMUEL ATER AND CITY

[3:46] COUNCIL RODERICK WOOTEN THREE JENNA CARTER HRC AND CITY COUNCILOR SAMARA ISA HRT OKAY

[3:58] WELL UH, WE HAVE A I GUESS WE NEED TO APPROVE THE AGENDA.

[4:06] WE DON'T NORMALLY DO THAT BUT YOU DO THAT IN THE AREA THAT YOU APPROVE YOUR JANICE SO MAYBE YOU WANT TO TAKE ACTION AND APPROVE YOUR AGENDA,

[4:13] RIGHT? I SORRY THE ANY EDITS OR

[4:20] CHANGES TOHE AGENDA. OKAY. HEARING NONE MAY I HAVE A MOTION TO APPROVE THE AGENDA

[4:29] SO MOVED SECOND WAS MOVED BY DOLLINGER OH SORRY MOVED BY ME

[4:35] WERE AND SECOND BY WHO CAME ANY DISCUSSION?

[4:41] ALL IN FAVOR I ALL RIGHT ALL RIGHT. MOTION PASSES 7 TO 0 AND THEN

[4:49] I THINK YOU ALSO HAVE APPROVAL OF THE MINUTES FOR THE ARCHERY AND I BELIEVE WE'RE GOING TO

[4:56] DO THAT AT OUR EACH OKAY. AND THE ORGANIZATIONAL BUSINESS IS THAT ALSO SOMETHING YOU'LL DO?

[5:03] OKAY SO THEN WE GET DOWN TO NEW BUSINESS AND I GUESS THE NEW BUSINESSES YOU WELCOME

[5:11] READ MY MIND SUPER. ALL RIGHT.

[5:18] YOU CAN HEAR ME FABULOUS. WELL AGAIN, DAIRY DANNON AND I HAD SPENT SEVEN YEARS WORKING

[5:26] AT DEDE AS THE GOVERNMENT RELATIONS DIRECTOR AND PART OF THE LEADERSHIP TEAM AND I'VE SPENT MY CAREER AS

[5:34] PROBABLY MANY OF YOU WORKING IN THAT ECONOMIC DEVELOPMENT AND HOUSING ACTUALLY STARTED MY CAREER IN AFFORDABLE

[5:39] HOUSING. SO AS YOU'RE HAVING THIS JOINT MEETING, THERE'S A LOT OF ME THAT IN MY PERSONAL OPINION I

[5:46] THINK PROBABLY MANY OF YOUR OPINIONS ECONOMIC DEVELOPMENT AND HOUSING ARE IN SOME WAYS

[5:52] ONE IN THE SAME ALTHOUGH OF COURSE THEY USE SOME DIFFERENT TOOLS IN THE TOOLBOX TO MAKE THEM HAPPEN BUT VERY, VERY RELATED, VERY SIMILAR

[5:58] THINGS AND OF COURSE IN THAT ECONOMIC DEVELOPMENT SPACE THAT PEOPLE DON'T HAVE PLACES TO LIVE, PLACES THAT THEY CAN

[6:04] AFFORD. HOW DO YOU HAVE WORKERS SO I'M VERY EXCITED TO BE HERE LIKE I SHARED EARLIER, I AM THE

[6:11] LOBBYIST FOR EDAM AND I KIND OF WORK IN THAT ECONOMIC DEVELOPMENT SPACE NOW THEY HAVE AND I WILL ALSO SAY AS

[6:19] YOU WERE ALL INTRODUCING YOURSELVES HAVING WORKED FOR THE STATE, I CONTINUE TO HAVE

[6:26] A VERY SPECIAL PLACE IN MY HEART FOR OUR LOCAL GOVERNMENT AND ALL THE WORK THAT YOU DO. SO I'M ABSOLUTELY DELIGHTED TO

[6:33] BE HERE TODAY WE'RE GOING TO SEE IF THE CLICKER AND THE CLICKER IS WORKING SO FEELING VERY GOOD ABOUT THAT. SO I'M GOING TO START OUT BY

[6:40] SORT OF DOING SOME TABLE SETTING ABOUT WHAT'S GOING ON AT THE LEGISLATURE OR TABLE SETTING AND THEN WE'LL GET TO

[6:46] KIND OF WHERE WE ARE. AND RIGHT NOW WE'RE AT A GREAT TIME TO BE DOING A LEGISLATIVE UPDATE BECAUSE WE'RE AT A LEGISLATIVE BREAK SO YOU CAN'T

[6:53] TELL IT BY MY DRESS BUT WE'RE ON A LITTLE BIT OF A VACATION RIGHT NOW AND THAT MEANS THAT A LOT OF THE BILLS ARE KIND

[6:58] OF IN A REALLY KEY POSITION. I'M JUST GOING TO SET THINGS UP TO THE END OF SESSION SO

[7:04] IT'S A GREAT TIME TO SORT OF LAY THE TABLE AND THEN HAVE A CHAT ABOUT WHERE THINGS ARE AND THEN YOU KNOW, IT'S ALSO A GREAT TIME TO THINK ABOUT IF

[7:12] THERE'S AN OPPORTUNITY TO ENGAGE LAWMAKERS TO GET THINGS WHERE YOU WANT THEM TO BE. >> SO ALL THAT TO BE SAID SO

[7:17] TABLES ARE IN THE BIG WORK OF THIS YEAR IS PASSING THE BIENNIAL BUDGET AND THAT'S SOMETHING THAT HAS TO HAPPEN.

[7:25] KNOW THERE WAS AN AWFUL LOT OF BACK AND FORTH AT THE BEGINNING OF SESSION ABOUT SORT OF WHO WAS IN CONTROL AND ALL THAT GOOD STUFF NO MATTER WHAT'S GOING ON THERE THEY

[7:32] HAVE TO PASS AN ANNUAL BUDGET AND THEY ALSO LAST YEAR DID NOT PASS A BONDING BILL WHICH PROBABLY HITS I WOULD ASSUME

[7:40] YOU HAD SOME PROJECTS THAT YOU WANTED. THERE WE GO. I'VE HAD SOME PROJECTS YOU WANTED FUNDED SO THOSE PROJECTS AND MY UNDERSTANDING IS IS THAT THEY'VE BEEN SPENDING THIS LAST WEEK REALLY

[7:47] STARTING THE WORK TO THINK ABOUT WHAT THAT BONDING PACKAGE COULD LOOK LIKE. TYPICALLY THOSE START WITH THE PACKAGE KIND OF WHAT WAS ON

[7:55] THE TABLE FOR LAST YEAR AND THEN GO FROM THERE. SO THAT'S ALSO THING WORK THAT THEY'RE DOING RIGHT NOW AND THEN I HAVE TO PUT UP HERE BUT

[8:00] YOU KNOW IT SHOULD PROBABLY MAYBE HAVE A QUESTION MARK AT THE END BUT OUR POTENTIAL

[8:05] FEDERAL BUDGET IMPACTS AND IT'S ALWAYS SOMETHING WE'RE THINKING ABOUT BUT YOU KNOW WHERE THE CONVERSATION HAS GONE SO FAR IS THAT THE STATE

[8:11] LEGISLATORS REALLY LIKELY TO PASS A BUDGET WITHOUT HAVING ENOUGH INFORMATION TO KNOW

[8:17] WHAT THOSE FEDERAL IMPACTS COULD BE. AND SO UNFORTUNATELY WE'VE EVEN SAID, YOU KNOW, DEPENDING ON WHAT MIGHT HAPPEN AT THE

[8:23] FEDERAL LEVEL, WE COULD HAVE TO COME BACK THIS SUMMER IN THE SPECIAL SESSION AND MAKE ADJUSTMENTS AND I KNOW

[8:29] THAT'S NOT WHAT ANYONE WANTS TO HEAR BUT JUST MAKING SURE YOU'RE SORT OF AWARE OF THAT'S WHERE THE CONVERSATION SITS RIGHT NOW.

[8:34] I'M AND I ALREADY SORT OF ALLUDED TO THIS BUT THE LEGISLATIVE COMPOSITION THROUGH THE END OF SESSION HAS

[8:40] A TIED HOUSE WHICH HAS NEVER HAPPENED IN MY LIFETIME AND SO THAT'S ALREADY KIND OF SETTING UP SOME INTERESTING DYNAMICS

[8:48] IN THE LEGISLATURE. AND RIGHT NOW THE DFL HAS A TO SEAT MAJORITY BECAUSE OF COURSE THEY LOST A REPUBLICAN MEMBER I DON'T KNOW

[8:55] SOME WEEKS AGO AND THEN THE GOVERNOR IS BACK BACK IN TOWN MOST OF THE TIME I LEAVING THE STATE LEGISLATURE SO I'M GOING

[9:01] TO TALK I JUST HAVE TWO SLIDES ABOUT THE FISCAL OUTLOOK AND

[9:07] JUST AS I WOULD ASSUME FOLKS HAVE SORT OF SEEN IT IN THE PAPER BUT JUST TO KIND OF SET THAT TABLE THAT WE HAD ABOUT

[9:15] FOUR YEARS AND THE LAST TWO YEARS WE HAD HUGE SURPLUSES. YOU MAY HAVE REMEMBERED IT WAS

[9:21] $17 BILLION WITH A B SO WE WERE ABLE TO DO ALL KINDS OF EXCITING THINGS CREATE NEW PROGRAMS AT THE LEGISLATURE. >> I WILL SAY I WAS AT THE

[9:29] STATE WHEN THAT WAS HAPPENING AND LIKE ON ONE HAND YOU'RE REALLY EXCITED ABOUT CREATING NEW PROGRAMS AND DOING THINGS

[9:35] YOU'VE ALWAYS WANTED TO DO. ON THE OTHER HAND AND YOU WILL SEE THIS AS WE GO ALONG THERE'S A LOT OF STUFF THAT WAS FUNDED ONE TIME OR A ONE

[9:42] TIME BUMP AND SO NOW WE'RE REALLY STRUGGLING THROUGH THE FACT YOU CAN SEE HERE WE HAVE A VERY FOR THE STATE 456

[9:49] MILLION SURPLUS IS A TINY TINY SURPLUS FOR THE STATE OF MINNESOTA.

[9:54] WE HAVE A BODY OF BUDGET THAT'S AROUND $7,072 BILLION WITH A B SO THAT IS THAT IS

[10:01] TINY AT BEST AND FOR BETTER OR WORSE OFTEN NOT A LOT TO YOU KNOW THERE'S NOT A LOT OF SPACE TO DO A LOT OF FUNDING WITH AND THAT'S

[10:09] JUST THERE'S BEEN HIGHER INFLATION. I THINK EVERYONE KNOWS WE ALSO HAVE AND THIS IS WHAT KEEPS GETTING IN THE PAPER WE'VE HAD

[10:16] A STRUCTURAL DEFICIT AT THE STATE AND SO THAT'S SOMETHING THAT YOU'LL SEE AT THE HOUSE AND SENATE THAT THEY'VE PROPOSING TO FIX AND WHAT THAT

[10:24] MEANS AND I MEAN YOU ALL LOOK AT NUMBERS ALL DAY SO YOU DON'T PROBABLY HAVE TO EXPLAIN TOO MUCH ABOUT WHAT THAT MEANS TO YOU BUT IT JUST MEANS THAT

[10:31] RIGHT NOW BECAUSE OF SORT OF PROJECTIONS FOR THE FUTURE WE'RE SPENDING MORE MONEY THAN WE'RE GETTING IN AS A STATE.

[10:36] AND SO WE HAVE TO DO SOME STRUCTURAL FIXES TO AT LEAST MAKE THAT AN EVEN THING.

[10:42] AND THEN YEAH, I DO LIKE I DID NOT BOLD THE $5.995 BILLION

[10:49] IN THE LAST BULLET HERE BUT THAT'S WHAT EVERYONE SORT OF LOOKING OUT OF THE FUTURE GOING WE'RE CONCERNED ABOUT THAT FUTURE SO YOU WILL SEE

[10:56] THAT THE BUDGETS ARE MUCH MUCH MORE RESERVED AS THEY'RE MOVING ALONG. AND THEN IN TERMS OF CAPITAL

[11:01] BUDGET AND THAT'S THE BUDGET FOR ANY BONDING OR ANY BORROWING THE STATE MIGHT DO THAT'S ALSO BECOME MUCH MORE RESTRAINED AND SO IT WAS 790

[11:08] MILLION. RIGHT NOW THEY'RE PROJECTING ABOUT 700 MILLION AND YOU'LL SEE WHEN WE TALK IN JUST A

[11:14] SECOND ABOUT WHAT TARGETS ARE LOOKING LIKE ON THE HOUSE AND SENATE ARE ACTUALLY HAVING SOME VERY DIFFERENT IDEAS ABOUT HOW THEY MIGHT SPEND

[11:21] THOSE DOLLARS. AND SO THIS SLIDE HERE I'M GOING TO PAUSE ON FOR A SECOND. SO ONE OF THE THINGS THE LEGISLATURE DOES SO THEY GET

[11:29] ALL THAT ECONOMIC FORECASTS WHICH IS WHAT I JUST TALKED THROUGH AND THEN THE HOUSE AND SENATE SEPARATELY AND THE

[11:36] GOVERNOR ACTUALLY SEPARATELY DECIDE HOW THEY MAY WANT TO SPEND THAT AND HOW THEY DO THAT IS THEY SET TARGETS.

[11:44] THESE ARE TARGETS FOR JUST KEY AREAS. IT'S NOT EVERY SINGLE THING BUT THE TARGET JUST SAYS TO THE CHAIRS OF THE COMMITTEES

[11:50] YOU CAN EITHER SPEND THIS MUCH OVER WHAT SORT OF IN YOUR BASE BUDGET KIND OF WAY YOUR ONGOING BUDGET HAS IN IT OR AND THE THINGS THAT ARE IN THE

[11:58] LITTLE PARENTHESES YOU NEED TO CUT MONEY FROM YOUR BASE BUDGET AND SO YOU CAN SEE UNFORTUNATELY THAT IN THE

[12:06] HOUSE IN PARTICULAR THEY ARE PROJECTING OH AND I SHOULD SAY SORRY I SHOULD SAY SENATE,

[12:11] SENATE, HOUSE HOUSE. I'M SORRY ABOUT THAT TEAM BUT

[12:17] YOU CAN SEE THAT THE HOUSE IS HAS BEEN DIRECTED TO CUT $50 MILLION. SO IN THE STATE PROBABLY

[12:25] UNLIKE YOU AND I, I SEPARATELY SAID ON MY NEIGHBORHOOD ASSOCIATION AND SOMETIMES IT REALLY MESSES WITH MY MIND BECAUSE OF THE STATE WE

[12:30] DROPPED THE LAST THREE ZEROS BECAUSE WE'RE USUALLY DEALING IN REALLY BIG NUMBERS AND SO

[12:37] THESE ARE ALL MILLIONS EXCEPT FOR THE BONDING BILL TARGET IN THE SENATE WHICH IS A BILLION. SO THAT'S 1.35 BILLION AND SO

[12:44] WE DROP WE DROP THOSE ZEROS BUT SO THAT MEANS THAT THE HOUSE IS PROJECTING FOR THE

[12:50] NEXT FOUR YEARS THEY NEED TO MAKE BASE CUTS SO THEY NEED TO CUT INTO PROJECTED FUNDING PEOPLE WERE HOPING FOR FOR THE FUTURE A $50 MILLION AND

[12:58] SIMILARLY YOU CAN SEE THOSE REALLY SIGNIFICANT CUTS THAT THE SENATE IS PLANNING TO MAKE IN THE TAX COMMITTEE AND WE'LL

[13:06] TALK ABOUT THAT IN JUST A SECOND. SO I THINK THIS IS ALL PREVIEWING I THOUGHT I WAS GOING TO SET THE TABLE BUT THE

[13:13] TABLE IS SET TO BE A LITTLE BIT WOULD SAY DISAPPOINTING AND RESTRAINED COMPARED TO THE

[13:19] LAST FOUR YEARS. SO THAT THAT IS ALL TO BE SAID . WE'LL TALK THROUGH SORT OF WHERE KEY BILLS ARE BEFORE

[13:24] I FLIP TO THE NEXT SLIDE I'M GOING TO PREVIEW TO YOU THAT THERE'S A COUPLE OF KEY BILLS THAT ARE NOT OUT YET.

[13:30] ONE OF THOSE IS THE TAX BILL AND THE TAX BILL DOES NOT HAVE TO FOLLOW THE REGULAR RULES AND I BORING EVERYONE NO, I

[13:38] FEEL LIKE A FEW PEOPLE ARE YAWNING AND I WAS LIKE I KNOW I'M TALKING ABOUT A LOT OF MONEY. >> IF YOU HAVE QUESTIONS YOU CAN ALSO INTERRUPT ME NOW.

[13:45] NO QUESTIONS. ALL RIGHT. OKAY. THIS COME ON. THIS IS GOING TO BE REALLY EXCITING, RIGHT?

[13:50] YES. YES. OKAY. SO TAX BILL SO AFTER THIS BREA SO THE BREAK IS DONE. THEY'RE COMING BACK AT NOON ON

[13:56] MONDAY SO THIS NEXT MONDAY AND WE WERE EXPECTING TO SEE BOTH A TAX BILL FROM THE HOUSE AND SENATE UNFORTUNATELY WITH

[14:02] THESE WITH THESE NASTY LOOKING CUTS IN THEM. BUT WE'RE GOING TO SEE A TAX BILL COME OUT AND THEN WE WILL

[14:07] ALSO SEE A BONDING BILL. THE BONDING BILL IS USUALLY IF YOU'VE WATCHED THE LEGISLATURE THE BONDING BILL TYPICALLY LIKES TO COME OUT WHO IN A BAD

[14:15] YEAR IN THE LAST FOUR HOURS THE LEGISLATIVE SESSION HOPEFULLY IN A GOOD YEAR A LITTLE EARLIER THAN THAT AND I DO KNOW THAT LEGISLATIVE

[14:22] LEADERS ARE MEETING RIGHT NOW THEY'VE BEEN MEETING THIS WEEK TO KIND OF TALK ABOUT WHAT THAT MIGHT LOOK LIKE. BUT BESIDES THAT, WE DO HAVE MOST OF OUR OTHER KEY BILLS

[14:30] EXCEPT THIS ISN'T JUST ME. I MENTIONED SOMETHING THE HOUSE JOBS COMMITTEE. SO THE ECONOMIC DEVELOPMENT

[14:37] COMMITTEE IN THE HOUSE THEY DID NOT SUCCESS REALLY GET THEIR WORK DONE AND SO WE ALSO

[14:43] DO NOT HAVE THEIR BILL YET. SO I'M GOING TO PUT UP JUST WHAT'S GOING ON IN THE SENATE VERSION OF THAT AND AFTER THE

[14:50] BREAK WE WILL GET THE HOUSE VERSION. IF YOU REMEMBER. SO THEY GIVE ME A CLICKER BUT IF YOU REMEMBER THEY HAVE TO

[14:57] MAKE THESE REALLY SIGNIFICANT $50 MILLION BASED CUTS IN THE HOUSE AND SO THEY'RE REALLY STRUGGLING THROUGH THAT AND

[15:02] THEY STILL SHOULD HAVE GOTTEN THEIR WORK DONE BUT THEY DID NOT SO A FEW THINGS TO NOTE

[15:08] IN THE SENATE JOBS OMNIBUS BILL. SO THERE'S A NUMBER OF KEY

[15:13] PROGRAMS THAT I WOULD GUESS YOU UTILIZE HERE. I WOULD GUESS THE PORT AUTHORITY HAS TAPPED INTO A FEW OF THESE THOSE PROBABLY

[15:21] THE MINNESOTA INVESTMENT FUND OR MYTH JOB CREATION FUND OR GCF AND REDEVELOPMENT GRANTS. I KNOW YOU'VE GOTTEN SOME REDEVELOPMENT GRANTS.

[15:28] YEAH. SO AND THEN I KNOW THAT YOU DO SOME SMALL BUSINESS WORK AS WELL AND I WOULD GUESS THAT THE FUNDING FOR THE SMALL BUSINESS ASSISTANCE

[15:35] PARTNERSHIPS PROGRAM HELPS FUND SOME OF THE SMALL BUSINESS WORK THAT HAPPENS HERE AS WELL EITHER BY YOU DIRECTLY I'M LOOKING AT EITHER

[15:41] BY YOU DIRECTLY OR BY COMMUNITY PARTNERS SO FOLKS LIKE NEIGHBORHOOD DEVELOPMENT CENTER WHO YOU MIGHT RECOGNIZE

[15:48] AS THE LATINO ECONOMIC DEVELOPMENT CENTER AND SORT OF OTHER SORT OF TRUST COMMUNITY PARTNERS. THAT'S HOW THEY'RE FUNDED TO DO THAT TECHNICAL ASSISTANCE

[15:55] TO WORK WITH ENTREPRENEURS TO GIVE THEM THAT LIKE INITIAL ASSISTANCE. AND THEN I JUST NOTED THE PROMISE ACT GRANT PROGRAM HERE THAT'S RUN ALSO BY COMMUNITY

[16:03] PARTNERS BUT IS GRANT MONEY TO NOT SMALL THROUGH NONPROFITS TO SMALL BUSINESSES TO PROVIDE

[16:11] SOME GRANT FUNDING UPFRONT? IT WAS A NEW PROGRAM THAT'S CREATED TWO YEARS AGO AND THAT'S PROJECTED TO CONTINUE

[16:18] ON WITH SOME ADDITIONAL FUNDING EVERYTHING EXCEPT FOR THE LAST ITEM HERE IS JUST FUNDED AT BASE FUNDING. SO WHAT THAT'S GOING TO FEEL

[16:25] LIKE IS PARTICULARLY THE REDEVELOPMENT GRANTS AND THE SMALL BUSINESS ASSISTANCE PARTNERSHIP PROGRAM AND I MADE UP THAT TITLE THAT'S A

[16:31] TERRIBLE LONG TITLE AND EVERY TIME I SAY IT I THINK TO MYSELF REALLY SHOULD HAVE MADE

[16:36] UP A MUCH SHORTER NAME FOR THAT PROGRAM. BUT ANYWAY, THOSE TWO PROGRAMS ARE GOING TO FEEL CONSTRAINED

[16:41] BECAUSE THEY'RE GOING TO HAVE ABOUT HALF AS MUCH FUNDING IN THE BASE BUDGET AS THEY HAD THE LAST TWO YEARS.

[16:46] THE OTHER CONCERN I HAVE AND WORRY THE NEXT SLIDE IS GOING

[16:51] TO BE TALKING ABOUT WHAT'S GOING ON IN THE HOUSE BUT THE CONCERN I DO HAVE ABOUT ABOUT SORT OF WHERE THINGS ARE SITTING IS AGAIN SOME OF THIS

[16:58] IS GOING TO FEEL LIKE A CONSTRAIN AND ALSO I HAVE SOME PRETTY GOOD INFORMATION THAT THE SENATE IS PROBABLY GOING

[17:03] TO BE LOOKING TO MAKE SOME ADDITIONAL CUTS. AND SO I WOULD SAY THAT EVEN

[17:09] THESE LEVELS OF FUNDING ARE POTENTIALLY AT RISK. I'M GUESSING THE SENATE MAY CUT INTO AND I THINK THEY'RE TAUNTING ME A LITTLE BIT WHEN

[17:17] THEY SAY THIS AND NOT IN A GOOD WAY BUT MAYBE EVEN ELIMINATE FUNDING FOR SOME OF THESE PROGRAMS TO MAKE THEIR BUDGET WORK.

[17:22] THEY'RE LOOKING FOR $14 MILLION THAT THEY ACCIDENTALLY

[17:28] SPENT FROM A PLACE THAT THEY DO NOT HAVE MONEY. SO THE HOUSE BILL THAT IS NOT LISTED ON THERE SO THE HOUSE

[17:36] LIKE I SAID, THEY'RE LOOKING TO MAKE SOME SERIOUS CUTS. I'M ALSO EXPECTING THAT THE HOUSE IS PROBABLY GOING TO CUT SOME OF THESE CORE PROGRAMS AS

[17:44] WELL. AND I ALWAYS TALK ABOUT THESE AS THESE ARE OUR TOOLS IN OUR TOOLBOX FOR ECONOMIC DEVELOPMENT. SO THERE ARE SOME CONCERNS AND

[17:51] WE HAD AND WE JUST SENT OUT A NEWSLETTER TODAY AND DID A CALL TO ACTION FOR SORT OF ALL OF OUR MEMBERS.

[17:57] WE'VE GOT OVER 550 MEMBERS ALL OVER THE STATE FOLKS WHO ARE WORKING IN THAT ECONOMIC DEVELOPMENT SPACE. WE ARE SUGGESTING THIS MIGHT

[18:02] BE A GOOD TIME TO REMIND LAWMAKERS ABOUT WHY THESE PROGRAMS ARE IMPORTANT AND THAT WE DO NEED TO MAKE SOME

[18:10] SPACE IN THE STATE BUDGET TO INVEST IN THEM AND SAY I'M VERY CONCERNED ABOUT THE HOUSE AND WHEN WE SEE THAT THEY'LL

[18:17] HAVE SOME SERIOUS CUTS TO WORKFORCE DEVELOPMENT. I JUST WANTED TO NOTE THAT ESSENTIALLY SAME THING IS HAPPENING IN THAT WORKFORCE DEVELOPMENT SPACE SO KEY

[18:24] PROGRAMS ARE FUNDED BUT IT'S GOING TO FEEL LIKE A LOT LESS. WE HAD ABOUT $300 MILLION OF ONE TIME FUNDING THAT WAS

[18:32] PUT IN THE BUDGET FOR THE LAST BIENNIAL BUDGET YEAR. SO THIS IS BASE FUNDING WITHOUT REALLY ANY CHANGES AND THERE ARE A TON OF DIRECT

[18:40] PREPARATIONS BUT THEY ARE SORT OF SCATTERED ALL OVER THE PLACE. THERE'S ALSO A BIG FIGHT GOING ON BETWEEN THE SENATE AND THE

[18:45] HOUSE AND IF THEY'RE GOING TO DO THOSE ALL TOGETHER. SO THAT'S A PLACE TO KIND OF WATCH WATCH THINGS HERE. I FEEL LIKE I'M BEING A LITTLE

[18:52] LONG WINDED SO I'M GOING TO KEEP GOING. I DID WANT TO MAKE A COUPLE OF NOTES IN THE CHILD CARE SPACE BECAUSE THAT'S ANOTHER

[18:57] PLACE JUST LIKE HOUSING WHERE IF PEOPLE DON'T HAVE CHILD CARE THEY CAN'T GO TO WORK AND

[19:03] THEY CAN'T STAY AT WORK. AND SO THERE'S A COUPLE OF KEY INVESTMENTS THAT ARE MADE IN THAT SENATE JOBS BILL. WE'LL WAIT AND SEE IF THEY'RE

[19:10] IN THE HOUSE BILL THAT ARE IN THE CHILDCARE SPACE AND THEN THERE'S SOME FUNDING NOT A LOT OF FUNDING BUT THERE'S A LITTLE BIT OF FUNDING ALSO THE

[19:16] HOUSE HAS A SEPARATE COMMITTEE THAT PROVIDES SOME ADDITIONAL SCHOLARSHIP MONEY WHICH IS A PRETTY KEY COMPONENT TO THAT

[19:22] AFFORDABILITY AND THAT'S IN THAT BILL. NOW THE HOUSING SIDE OF THE ROOM YOU'RE YOU'RE NOT EXACTLY DIVIDED UP BUT A LITTLE BIT

[19:30] DIVIDED UP. SO THE HOUSE I DID NOT FORGET ABOUT HOUSING AND LIKE I SAID HOUSING IS ONE OF MY FIRST LOVES BUT HOUSING WAS A LITTLE BIT MORE POSITIVE AND MAYBE

[19:37] THIS SIDE OF THE ROOM WAS FEELING EXCITED WHEN YOU SAW THE TARGETS BECAUSE THE HOUSE AT LEAST GOT $75 MILLION WORTH

[19:44] OF TARGET THAT THEY GET TO MAKE KIND OF INVEST IN IN THE HOUSING SPACE. THE SENATE UNFORTUNATELY GOT 3

[19:50] MILLION. SO YOU CAN SEE THERE'S NOT NOT A LOT OF ADDITIONAL MONEY. THE SENATE FUNDING THAT'S LISTED HERE THAT'S BASE

[19:56] FUNDING. BUT YOU CAN SEE THAT THE CHALLENGE PROGRAMS THAT'S THE FLEXIBLE INVEST YOU KNOW,

[20:02] DEVELOPMENT PROGRAM FOR RENTAL HOUSING THAT PROGRAM GOT A BIG BOOST A $10 MILLION BOOST THE

[20:09] HOMEOWNERSHIP AND WORKFORCE. SO THE SECOND PROGRAM THE FIRST PROGRAM CHALLENGE PROGRAM IS FOR RENTAL HOUSING.

[20:15] THE SECOND ONE IS FOR HOMEOWNERSHIP HOUSING AND THAT GOT A LITTLE BOOST FHP WHICH IS AROUND HOMELESSNESS THAT

[20:23] GOT A PRETTY GOOD BOOST. UNFORTUNATELY THAT'S STILL GOING TO FEEL LIKE A CUT OF ABOUT $22 MILLION BECAUSE IT GOT A LOT OF ONE TIME MONEY

[20:29] BUT IT IS REALLY POSITIVE THAT THEY'RE CONTINUING TO MAKE INVESTMENTS AND KEY INVESTMENTS IN REDUCING HOMELESSNESS.

[20:37] AND THEN I LISD OUT HIV BONDS. SO THOSE ARE THE HOUSING INFRASTRUCTURE BONDS. THE HOUSE IS ACCOUNTING FOR

[20:42] THE IDEA THAT THEY'RE GOING TO DO A $100 MILLION IN BONDING IN THEIR BILL. THE SENATE THE SENATE SORT

[20:48] OF FIGURING THAT OUT YET AND THAT'S WHY THERE'S A BLANK RIGHT THERE. THERE'S A COUPLE OF OTHER THINGS THAT ARE KIND OF BASE

[20:53] FUNDED INCLUDING RENTAL ASSISTANCE. THERE'S SOME FUNDING IN THE

[20:59] HOUSE BILL FOR STATEWIDE TENANT EDUCATION AND AT LEAST RIGHT NOW WITHOUT SEEING THE TAX BILL THERE'S NO CHANGE

[21:07] EXPECTED WITH SOME OF THE LOCAL AFFORDABLE HOUSING AID.

[21:13] I'M GOING TO KEEP GOING BONDING AND I'VE BEEN ALLUDING TO IT A LITTLE BIT AS WE GO ALONG.

[21:20] I THINK THE BIGGEST PROBLEM IS ACTUALLY THIS LAST BULLET HERE AND ACTUALLY IF YOU'VE NOTICED A TREND THE HOUSE AND SENATE ON A LOT OF THESE TARGETS AND

[21:27] SORT OF HOW THEIR BILLS ARE CREATED ARE PRETTY FAR APART AT THIS MOMENT. THE GOOD NEWS WITH THAT EVEN WITH FUNDING THE GOOD

[21:33] NEWS WITH THAT IS THAT THEY'RE GOING TO COME BACK TOGETHER AGAIN IN THE NEXT FEW WEEKS

[21:38] AND THEY'RE GOING TO RENEGOTIATE HOW THEY'RE GOING TO SPEND. SO IF THE SENATE FOR THAT FOR OUR HOUSING FRIENDS IF THE

[21:43] SENATE IS ONLY GOING TO SPEND 3 MILLION ADDITIONAL DOLLARS AND THE HOUSE IS GOING TO

[21:49] SPEND 75 MILLION, HOPEFULLY THEY WILL COME TO SOME SORT OF MIDDLE PLACE MAYBE MAYBE THEY'LL GO WITH THE 75 MILLION

[21:56] BUT MAYBE THEY'LL END UP AT 50 MILLION OR SOMETHING LIKE THAT. THAT'S WHAT SORT OF HAPPENS NEXT. BUT THEY'RE DOING THAT IN THE

[22:03] BONDING SPACE REALLY TRYING TO FIGURE OUT, YOU KNOW, KIND OF WHAT ARE THE SIZE OF OUR BILLS BECAUSE AGAIN THAT SENATE BILL OR THE TARGET THE AMOUNT OF MONEY THEY'RE GOING

[22:09] TO SPEND IS ABOUT TWICE WHAT THE HOUSE IS IS AND I DID HAVE

[22:14] A LITTLE NEXT NEXT STEP SLIDES WHICH I WAS SORT OF ALLUDING TO HERE BUT REALLY THE NEXT STEPS ARE THOSE BILLS AS AS I'VE WALKED THROUGH THEM THOSE

[22:22] BILLS ARE GOING TO PASS THEIR RESPECTIVE FLOORS BUT THEN THEY'RE GOING TO HAVE TO GO BACK AGAIN AND SORT OF NEGOTIATE THERE ARE SOME

[22:29] HUGE GAPS BETWEEN THOSE BILLS. SO THERE'S A NICE OPPORTUNITY TO DO SOME ENGAGEMENT YOU KNOW, HAVE SOME CONVERSATIONS

[22:34] WITH FOLKS ELECTED OFFICIALS ABOUT KIND OF, YOU KNOW, MAKING THOSE INVESTMENTS, MAKING SURE WE'RE MAKING GOOD

[22:41] STRATEGIC INVESTMENTS AS THEY'RE THINKING ABOUT TARGET AND AS ARE KIND OF WORKING THROUGH ALL THE DIFFERENCES

[22:46] IN THE BILL THAT YOU'RE OKAY AND THEN THE HOUSE AND SENATE

[22:52] WILL PASS COMPROMISED BILLS AND THE LEGISLATURE ADJOURNS MAY 19TH. SO IT'S A I KNOW A LITTLE OVER A MONTH I THINK IN MY HEAD IT

[22:59] WAS SIX WEEKS BUT YOU KNOW, 5 OR 6 WEEKS IS WHAT THEY HAVE ABOUT LEFT TO GO. OKAY. NOW WE JUST HAVE A GIANT PICTURE OF MY HEAD BUT I'M

[23:07] IN A POSITIVE WAY OF QUESTIONS FOR EVERYONE TO DEATH WITH

[23:15] THAT WALK THROUGH OF THE LEGISLATURE QUESTIONS ANYBODY

[23:21] YOU KNOW, I THINK IT'S JUST GOOD TO MAKE A COMMENT ABOUT

[23:26] THE BINDING BILL. PROBABLY MOST PEOPLE ARE AWARE OF THAT BUT BONDING BILLS ARE ALWAYS MORE DIFFICULT BECAUSE THEY REQUIRE A SUPER MAJORITY.

[23:33] SO YOU HAVE TO RUN UP A LOT MORE PEOPLE TO VOTE. IT'S NOT A SIMPLE MAJORITY VOTE. I THINK IT'S WHAT 60% IT'S

[23:38] YEAH SO IT'S THREE FOURTHS OR THREE FOURTHS WHICH IS EVEN SO

[23:45] THAT'S ONE OF THE REASONS THAT THEY TAKE LONGER TO PUT TOGETHER INDEED YEAH SOME OF THE BEST CHAIRS OF THAT COMMITTEE I'VE SEEN THEY WOULD

[23:52] INVITE FOLKS AND SOMETIMES I WAS WORKING ON SIGNIFICANT PROJECTS AND THEY WOULD INVITE

[23:57] US ALL TO SIT DOWN AND THEY LITERALLY HAD A SPREADSHEET WITH ALL THE LAWMAKERS WHAT THEY WANTED LIKE WHAT THEY

[24:04] NEEDED IN THE BILL TO GET THEIR VOTE AND THAT'S HOW THEY PUT THE BILL TOGETHER. MY OPINION THOSE WERE THE BEST CHAIRS. NOT EVERY YOU KNOW SOME CHAIRS

[24:10] ARE A LITTLE BIT MORE I GUESS FLEXIBLE THAN THAT. BUT YES, THAT'S ABSOLUTELY TRUE AND AND LAST YEAR THEY

[24:15] WERE IT WAS UNFORTUNATE BUT THEY SORT OF WERE TRYING TO SHOCK AND AREN'T THROUGH INSTEAD OF GET THAT NICE

[24:23] SPREADSHEET AND SO IT IT DID NOT HAVE THE VOTES AND FAILED . I THINK THE OTHER THING THAT WE GET INTO AT THE START

[24:30] OF THE SESSION WITH THE CONTROL OF THE HOUSE IN QUESTION AND THESE THINGS THERE WAS A LOT OF ANIMOSITY

[24:35] BETWEEN THE GROUPS IF THINGS KIND OF EVENED OUT ARE THEY WORKING TOGETHER OR IS THAT

[24:42] STILL A LOT OF FIGHTING GOING ON? THAT'S A GREAT QUESTION. YEAH, YOU'RE ABSOLUTELY RIGHT.

[24:48] THE FIRST MONTH OF THE LEGISLATIVE SESSION EVERY TIME WE WOULD HAVE THIS CONVERSATION IT WAS SORT

[24:53] OF ALL SPECULATION AND IF YOU RECALL YOU MAY OR MAY NOT RECALL THAT THE DFL BECAUSE THEY DIDN'T HAVE AGREEMENT THE

[25:01] DFL WOULD NOT GO TO ST PAUL AND SO IT WAS REAL INTERESTING FOR ALL OF US, YOU KNOW, WHO IS IN CHARGE AND WHO WERE

[25:06] CHAIRS WENT BACK AND FORTH QUITE A BIT. I THINK THEY'VE IMPROVED, THE

[25:12] ANIMOSITY HAS IMPROVED AND SOME COMMITTEES HAVE DONE A

[25:20] VERY SUCCESSFUL JOB GETTING SO IN THE HOUSE. IT'S A REALLY UNUSUAL CIRCUMSTANCE TO GET THOSE OMNIBUS BILLS AGREED TO AT

[25:25] ALL. THAT MEANS YOU YOU HAVE TO HAVE NEGOTIATED BETWEEN THE DFL AND THE REPUBLICAN CO-CHAIRS FIRST BEFORE THEY

[25:32] PUT OUT THAT OMNIBUS BILL WHICH IS REALLY UNUSUAL. THAT'S USUALLY SOMETHING THAT HAPPENS ONCE WE GET INTO MAY AND WE'RE DOING ACTUAL

[25:38] NEGOTIATIONS AND SO SOME OF THOSE COMMITTEES THAT'S GONE A LITTLE SMOOTHER THAN OTHERS. THE HOUSING COMMITTEE SO FOR

[25:48] MY HOUSING FRIENDS, THE HOUSING COMMITTEE SEEM TO BE GETTING ALONG VERY WELL UNFORTUNATELY. AND YOU CAN SORT OF GATHER THIS THE JOBS COMMITTEE IN THE

[25:55] HOUSE HAS NOT PUT IT BELOW YET. SO THAT HAS NOT GONE PARTICULARLY WELL AND THAT CHILDREN AND FAMILIES COMMITTEE WHICH I'M TRACKING

[26:02] SOME THINGS FOR IN THE CHILD CARE SPACE THEY HAD A VERY BUMPY WEEK BUT THEY DID GET THEIR BILL AGREED TO SO IT'S

[26:09] BEEN A LITTLE IT REALLY DEPENDS ON THE CHAIRS. I DO THINK THAT LEADERSHIP CHOSE MOST OF THOSE CHAIRS BASED ON THEY TEND TO BE FOLKS

[26:17] WHO ARE NOT YOU KNOW, KIND OF ON THE FAR REACHES OF THEIR PARTY BUT TEND TO BE SORT OF COLLABORATORS IN GENERAL.

[26:24] SO WHILE IT'S DIFFICULT I DO THINK AND IN FACT THE BIGGER PICTURE YOU KNOW I KNOW I KNOW THERE WAS A LOT OF SPECULATION

[26:29] EARLY IN SESSION IF THEY WOULD GET DONE ON TIME AND IT DOES SEEM LIKE THINGS ARE MOVING ALONG IN AN APPROPRIATE WAY TO

[26:35] GET DONE ON TIME EVEN WITH THAT ONE JOBS COMMITTEE BILL DONE I, I KNOW WAY TOO MUCH

[26:42] ABOUT WHAT'S GOING ON WITH THAT AND IT SEEMS LIKE THERE'S JUST SOME SMALL THINGS THAT ARE STILL HANGING THEM UP. SO I THINK THEY'LL GET DONE ON

[26:47] TIME AND YOU KNOW IT'S IT'S HARD. IT'S ALWAYS HARD. PEOPLE HAVE A LOT OF STRONG FEELINGS.

[26:53] THOSE NEGOTIATIONS ARE ALWAYS DIFFICULT AND SO MAYBE IT'S A GOOD THING TO DO IT WITH, YOU KNOW, THOSE JOINT CHAIRS

[26:59] EARLY. THEY'VE WORKED OUT SOME OF THE KINKS EARLY AND SO MAYBE WHEN WE GET TO MAY THINGS WILL GO A LITTLE SMOOTHER. YEAH, GOOD QUESTION.

[27:05] MR. MAYOR, DID YOU HAVE ANY I DID HAVE A QUESTION. I I'M NOT AS OPTIMISTIC AS YOU ARE ABOUT MAY 19TH. I DON'T THINK THAT'S GOING TO

[27:13] HAPPEN. AND JUST WONDERING IF YOU KNOW ANYTHING ANY OF YOUR FEDERAL COUNTERPARTS WHAT THEIR EXPECTATIONS ARE BECAUSE A

[27:20] RIGHT SIZING TOUGH MEDICAID WILL BLOW A $200 MILLION HOLE IN THE STATE BUDGET AND THEN ALL BETS ARE OFF I THINK 2

[27:29] BILLION TO BILLIONS OF WHAT IT IS. I GOT THE NUMBER OF ZEROS WRONG. I SEE THE NUMBERS MIXED. YEAH WELL I KNOW RIGHT?

[27:34] THE DROPPING OF THE THREE ZEROS REALLY? YOU CAN ONLY IMAGINE WHEN I WAS NEW BECAUSE BECAUSE AS BEING PART OF THE LEADERSHIP TEAM AND THE GOVERNMENT

[27:42] RELATIONS DIRECTOR FOR SEVEN YEARS I NEGOTIATED THE BUDGETS. I'M LIKE THE JOBS COMMITTEE AND AND STUFF. RIGHT? AND SO I WOULD LEAVE THAT AND THEN I WOULD GO TO MY

[27:47] NEIGHBORHOOD ASSOCIATION MEETING WHERE WE'D BE TALKING ABOUT IF WE WERE GOING TO CONTRIBUTE LIKE $2,000 TO A

[27:52] PARADE AND EVERY TIME I'M LOOKING DOWN I WAS LIKE HOW MUCH HOW MUCH IS RIGHT?

[27:58] YEAH. YEAH. I MEAN YOU'RE ABSOLUTELY RIGHT.

[28:03] IT'S GOING TO BE CATASTROPHIC IF SOME OF THESE THINGS THAT ARE BEING PROPOSED AT THE

[28:08] FEDERAL LEVEL PASS IT'S GOING TO BLOW A HOLE IN THE STATE'S BUDGET. THE REALITY IS IS THAT THE WAY

[28:14] THE TIMING WORKS THAT FEDERAL BUDGET IS NOT HAPPENING UNTIL FALL RIGHT WITH THE FEDERAL FISCAL YEAR.

[28:19] AND SO THE STATE LEGISLATURE WE WILL GO INTO STATE SHUTDOWN IF WE DON'T HAVE A STATE BUDGET DONE BY THE END OF JUNE

[28:26] . AND SO WE HAVE TO DO THAT. I KNOW AND THERE'S BEEN A COUPLE OF YEARS WHERE WE'VE BEEN NEGOTIATING OR IN FACT

[28:34] THE LAST TIME THAT THE REPUBLICANS HAD THE SENATE MANY OF US INCLUDING ME SPENT JUNE AND YEAH JUNE WE DIDN'T

[28:42] GO INTO STATE SHUTDOWN BUT WE CAME VERY CLOSE AND SO I SPENT MY ENTIRE JUNE TRAPPED IN THE CAPITOL NEGOTIATING WHICH WAS

[28:49] NOT THE MOST FUN THING. AND SO IT WILL BE REALLY UNFORTUNATE IF WE END UP IN THAT SAME SPACE SPACE WITH THE FEDERAL BUDGET.

[28:57] BUT THE REALITY IS AND AND I HAD THE I GUESS UNFORTUNATE PRIVILEGE OF BEING ON HEALTH

[29:02] AND HUMAN SERVICES THE DAY THAT THEY HAD ANNOUNCED THAT EVEN THAT FEDERAL FUNDING FOR THE DEPARTMENT OF HEALTH THAT

[29:09] HAS RESULTED IN LAYING OFF I THINK BETWEEN 150 AND 200 FOLKS THAT THAT WAS PULLED BACK AND THERE WAS A LONG

[29:16] CONVERSATION PROBABLY YOU KNOW, A GOOD HOUR AND A HALF ABOUT IF THE STATE COULD

[29:22] BACKFILL THAT. AND THE REALITY IS THE STATE CAN'T WE JUST WE DON'T HAVE WE DON'T WE HAVE WE HAVE TO BUY

[29:30] OUR STATE'S CONSTITUTION. WE HAVE TO PASS A BALANCED BUDGET. WE DON'T HAVE THE OPPORTUNITY THAT THE FOR RIGHT OR WRONG THE FEDERAL GOVERNMENT DOES TO

[29:35] REDUCE DEFICIT SPENDING. WE CAN BORROW WE CAN DO BONDING SO WE CAN BORROW. BUT YEAH, IT WILL BLOW A HUGE

[29:42] HOLE IN THE STATE BUDGET AND WHILE THERE'S TARGETS THAT DO

[29:49] REQUIRE PARTICULARLY ON THE SENATE SIDE THAT REQUIRE SOME PULLBACK THERE, THEY'RE CUTTING ABOUT A LITTLE OVER

[29:56] $200 MILLION ON THE SENATE TARGET FOR HEALTH AND HUMAN SERVICES WHICH WASN'T IN YOUR SPREADSHEET HERE.

[30:01] THAT'S NOT FINDING $2 BILLION, IS IT? SO YES, I I DON'T KNOW.

[30:08] I THINK WE'RE ALL VERY, VERY CONCERNED AND I DON'T KNOW ABOUT ALL OF YOU. I THINK EVERY SINGLE DAY THERE'S LIKE A NEW THING OR

[30:13] THINGS THAT IS HAPPENING AT THE FEDERAL LEVEL THAT WE'RE TRYING TO GET OUR ARMS AROUND

[30:19] . AND I KNOW FOR OUR HOUSING FRIENDS THERE'S BEEN SOME CANCELLATIONS OF SOME KEY HOUSING FUNDING NOT HERE BUT SOME CANLLATIONS ON THE FEDERAL LEVEL FROM SOME KEY

[30:27] HOUSING FUNDING. AND I THINK THERE'S A LOT OF WORRY. YEAH, EXCELLENT POINT. I LIKE TO COME TO THINGS AS

[30:34] JUST AN OPTIMIST IN GENERAL BUT THEN I TRY TO BE LIKE A REALLY YOU KNOW ALSO I'M AN ATTORNEY SO PART OF ME IS LIKE

[30:39] AND THE WORST CASE SCENARIO COULD BE SO I DON'T KNOW WE'RE MAYBE WE WE WE TRY TO HOLD

[30:46] BOTH OF THOSE THINGS IN OUR HEADS AND BOTH BE OPTIMISTIC THAT WE'LL GET A REALLY REASONABLE STATE BUDGET THAT MAKES GOOD INVESTMENTS AND ALSO SORT OF THINK AHEAD THAT

[30:53] YEAH, WE COULD HAVE TO COME BACK AND DO IT ALL OVER AGAIN IN THE FALL REALLY THESE DAYS

[31:03] LIKE EVERYONE'S SO EXCITED TO HEAR FROM ME I JUST I'M FULL OF GOOD NEWS GUY YEAH THANK YOU.

[31:10] DO YOU HAVE ANY UPDATES WITH REGARDS TO POLICY IN ADDITION TO THE BUDGET REGARDING ECONOMIC DEVELOPMENT AND HOUSING?

[31:17] YEAH, THAT'S A GOOD QUESTION. SO THIS YEAR THERE'S NOT GOING TO BE A LOT OF POLICY AND

[31:23] IN FACT TYPICALLY WE TALK ABOUT THIS YEAR, THE BUDGET YEAR AND NEXT YEAR THE POLICY

[31:29] YEAR THE ONLY POLICY THAT THE LEADERSHIP IS ALLOWING FOLKS TO INCLUDE IN BILLS IS THINGS

[31:35] THAT ARE NON-CONTROVERSIAL. SO THERE'S SOME REALLY SMALL STUFF IN THE HOUSING SPACE THAT'S NOT GOING TO AFFECT YOU

[31:41] SO MUCH. BUT THERE IS A LITTLE SOME TWEAKS AROUND THE STATE HOUSING TAX CREDIT THAT MAKES IT A SLIGHTLY MORE FLEXIBLE SO

[31:49] THERE'S THERE'S BEEN A LOT OF CONVERSATION. THERE'S SOME SORT OF THINGS THAT THE AGENCIES PROPOSE

[31:56] ACTUALLY BACK TO OUR FEDERAL FUNDING. SO THERE WAS A FUND THAT I'M NOT TRACKING HERE THAT IS

[32:01] CALLED THE FORWARD FUND. IT WAS A BIG DEAL VERY SIGNIFICANT AND THERE IS SOME POLICY CHANGES IN THAT FUND TO

[32:08] UNTETHER IT FROM THE FEDERAL MONEY SO THERE'S SOME KIND OF COMMON SENSE COMPONENTS THAT ARE IN THE BILLS.

[32:13] BUT I WOULD ANTICIPATE THAT NEXT YEAR IS LIKELY THE YEAR THAT WE'RE GOING TO DO BIG POLICY AND ACTUALLY EAT OUT

[32:19] AND WE WERE SORT OF HAVING SIDE CONVERSATION ABOUT THIS. ONE OF THE THINGS I THINK WE'RE GOING TO DO THIS SUMMER IS HAVE SOME CONVERSATION WITH PRACTITIONERS SO FOLKS ON THE

[32:27] GROUND WHO HAVE IDEAS ABOUT YOU KNOW, WHERE PROGRAMS ARE NOT WORKING WELL LIKE WHAT TOOLS WE NEED IN THE TOOLBOX THAT MIGHT BE MISSING AND THEN

[32:32] ARE THERE TOOLS THAT ARE LIKE NOT SERVING US AS WELL AS THEY COULD BE AND CAN WE MAKE SOME,

[32:37] YOU KNOW, SUGGESTIONS NEXT YEAR TO MAKE SOME CHANGES? SO THAT'S THAT'S PROBABLY A LITTLE BIT MORE WHAT WE'RE

[32:45] THINKING OF. BUT IF THERE'S ANY SPECIFIC STUFF THAT YOU'RE TRACKING AND FEEL FREE TO FEEL FREE TO ADD THAT AND YES THERE'S SOME POLICY ANYTHING PARTICULAR

[32:52] COMMISSIONER YOU KNOW JUST CURIOUS ABOUT THE YES TO HOUSING EFFORTS. THANKS.

[33:00] I'M HAPPY TO TALK ABOUT THAT BRIEFLY SO THAT PROPOSAL IS NOT IN THE SENATE HOUSING BILL AT ALL BUT IT BUT THE HOUSE

[33:07] AMENDED THEIR BILL LAST WEEK TO CHANGE IT FROM REQUIREMENTS

[33:15] FOR CITIES THAT WOULD HAVE REQUIRED PRETTY MUCH EVERY CITY TO OVERHAUL OR CERTAINLY TAKE A VERY SERIOUS LOOK AT THEIR CURRENT REQUIREMENTS FOR

[33:20] ZONING AND PLANNING AND INSTEAD WHAT IT DOES RIGHT NOW AND I WILL JUST SAY THIS

[33:26] LANGUAGE I WOULD I WOULD ANTICIPATE NEED SOME WORK SO WHAT INSTEAD IT DOES IS IT PRIORITIZES AND INCENTIVIZES

[33:31] CITIES THAT DO COMPLY WITH A LIST OF ITEMS THAT THEY WILL GET PREFERENCE TREATMENT

[33:39] IN SCORING CRITERIA. SO YOU KNOW, BIG PICTURE IT SEEMS TO BE MAYBE A LITTLE BIT MORE IT'S A LITTLE BIT MORE

[33:44] SIMILAR TO HOW WE THINK ABOUT, YOU KNOW, THE MAC COUNCIL'S HOUSING PROGRAMS AS WELL WHERE THEY'RE MORE OF A CARROT THAN

[33:50] A STICK AND SO THAT'S WHAT THEY'RE THINKING ABOUT. I WOULD SAY RIGHT NOW THE

[33:57] LANGUAGE IS STILL GOING TO NEED SOME WORK AND OUR FRIENDS AT MINNESOTA HOUSING AT THE MOMENT ARE NOT SUPER JAZZED

[34:05] ABOUT THAT LANGUAGE. SO I THINK THERE'S STILL SOME WORK TO BE DONE BUT SO IT'S IN IN A MORE IN A PRIORITIZATION AND

[34:12] ENCOURAGEMENT SPACE INSTEAD OF THE REQUIREMENTS THAT IT WAS. YEAH YEAH THAT I THOUGHT YOU THOUGHT YOU MIGHT BE ALLUDING

[34:20] TO THAT BUT I DIDN'T WANT TO SEEM TO THINK THAT OTHER QUESTIONS COMMENTS WELL I

[34:27] THINK WHAT YOUR PRESENTATION TELLS US IS THAT WE MAY HAVE TO GET TOGETHER AGAIN WHEN WE KNOW A LITTLE BIT MORE ABOUT

[34:35] WHAT'S GOING ON AND HAVE TO BE CREATIVE ON HOW WE CAN TRY TO CONTINUE TO MOVE SOME OF THESE THINGS FORWARD SO IT'S

[34:42] PROBABLY SOMETHING THAT WE MAY HAVE TO THINK ABOUT HAVING A FEW MORE JOINT SESSIONS WHEN WE KNOW WHAT THE RULES OF THE

[34:48] GAME ARE GOING TO BE AND AND SEE WHAT DEGREES OF FREEDOM WE HAVE. SO THANK YOU FOR YOUR UPDATE.

[34:54] WE APPRECIATE IT AND WE WE HOPE YOU CAN TAKE AND MAYBE BRING SOME GOOD KARMA TO THE LEGISLATURE THAT EVERYBODY CAN

[35:01] START SEEING KUMBAYAH AND DO A BONDING BILL AND ALL THESE OTHER THINGS BUT THAT'S PROBABLY NOT REALISTIC.

[35:09] WELL, FEEL FREE TO SEND YOUR GOOD ENERGIES TOWARDS THE LEGISLATURE TO HELP MAKE THAT HAPPEN. ALL RIGHT. THANK YOU AND THANK YOU SO MUCH. THANKS FOR HAVING ME.

[35:14] I APPRECIATE IT.

[35:19] IT'S SO SO THE NEXT ITEM THEN IS THE AUTHORIZATION TO ENTER

[35:27] . WELL, WE'RE GOING TO HAVE A PRESENTATION. I KNOW THIS ITEM 5.2 IS

[35:34] STRICTLY AND ASK FOR A VOTE BUT WE'RE GOING TO HAVE A PRESENTATION ON IT. ALL RIGHT, GREAT.

[35:42] WELCOME. THANK YOU, PRESIDENT CHAIR IT IS AN HOA VOTE BUT IT'S RELEVANT INFORMATION FOR THE PORTS AND I GUESS SUPPORT IS CONTRIBUTING SOME MONEY BUT WE

[35:49] WON'T BE VOTING ON IT SO THIS IS THE OPPORTUNITY HOUSING ORDINANCE FEASIBILITY STUDY

[35:54] AND I'M GOING TO GO THROUGH A HISTORY OF THE OPPORTUNITY HOUSING ORDINANCE. I KNOW I'VE APPEALED IT

[36:00] SEVERAL TIMES TO YOU ALL BUT JUST TO TABLE SET AND I'LL GO THROUGH THE REASONS FOR THIS RENEWED STUDY, I'LL GO THROUGH

[36:07] THE SCOPE OF WORK AND THEN TALK ABOUT RELATED ACTIONS THAT HAVE BEEN TAKEN TO DATE AND THEN WE'LL HAVE THAT RECOMMENDED ACTION

[36:15] AUTHORIZATION FROM THE HOA. SO THE OPPORTUNITY HOUSING ORDINANCE WAS INITIALLY

[36:21] ESTABLISHED FROM A STUDY THAT WAS CONDUCTED IN 2018 AND SO THAT WAS A NEXUS STUDY AS WELL AS AN IMPLEMENTATION STUDY AND

[36:29] THAT IMPLEMENTATION BEGAN IN 2019 WITH A PILOT PHASE AND IT WAS FULLY IT BECAME FULLY

[36:36] INTO EFFECT IN SEPTEMBER OF THAT YEAR. AND SO WE'VE NOW BEEN RUNNING WITH THE OJO IN PLACE AND WITHIN THAT INITIAL PASSAGE

[36:44] OF THE OJO THERE WAS AN INTENT THAT IT WOULD BE A LIVING DOCUMENT. SO SINCE THAT INITIAL PASSAGE

[36:50] IN 2019 WE'VE COME BACK AND AMENDED LANGUAGE AND REEXAMINED WHAT INCENTIVES ARE OFFERED TO ENSURE THAT THEY'RE RESPONSIVE TO WHAT WE'RE

[36:55] SEEING IN THE MARKET. SO AT THE BOTTOM HERE I'VE PULLED OUT THOSE MAIN OPTIONS

[37:01] FOR COMPLIANCE WITH THE OJO WHICH INCLUDE BUILDING THOSE UNITS WITHIN THE DEVELOPMENT.

[37:06] THEY CAN ALSO BUILD THEM OFFSITE AND THEN THEY CAN PAY THE FEE IN LIEU OF PROVIDING THOSE UNITS.

[37:14] SO JUST FOR REMINDER TO BUILD THOSE UNITS ON SITE IT'S 9% OF THE UNITS AT 60% AMI AND THAT PER SQUARE FOOT IN LIEU

[37:22] FEE IS $9.60 PER SQUARE FOOT OF LEASABLE MARKET RATE FOR AN

[37:28] INTERIOR UNIT. SO THESE ARE NUMBERS THAT WERE ESTABLISHED USING THAT INITIAL STUDY SO THEY WERE INFORMED BY THE FINDINGS OF THAT STUDY AND

[37:36] WE'VE BEEN IMPLEMENTING THEM SINCE THEN SINCE 2019. SO WHY DO WE HAVE A NEED FOR A

[37:42] STUDY AND THEN ALSO DESCRIBE WHAT A NEXUS STUDY IS BECAUSE YOU'LL SEE THAT INTERLACE THROUGHOUT THIS PRESENTATION SO WHEN WE INITIALLY PASSED

[37:50] THE HOA THERE WAS AN INTENT THAT A COMMUNICATION FROM STAFF THAT THERE WOULD BE A COMPREHENSIVE EVALUATION

[37:56] OF THAT ORDINANCE EVERY APPROXIMATELY EVERY FIVE YEARS AND THAT WAS TO ENSURE THAT THE OHC WOULD REMAIN RESPONSIVE TO ECONOMIC CHANGES

[38:04] AND HOUSING NEEDS. THERE'S ALSO WITHIN THE HOA THERE'S PURPOSES LAID OUT IN THAT ORDINANCE LANGUAGE AND

[38:11] ONE OF THOSE PURPOSES IS THAT THE OTRO IS IMPLEMENTING THE GOALS OF THE CITY THE STRATEGIC GUIDING GOALS AND SO SOME EXAMPLES OF THAT ARE THE

[38:19] 2040 COMP PLAN CITY COUNCIL STRATEGIC PRIORITIES LIKE BLOOMINGTON TOMORROW TOGETHER LIVING TOGETHER TOMORROW.

[38:26] AND SO THE OCHOA'S INTENT IS TO IMPLEMENT THOSE GOALS. SO WE NEED TO ENSURE THAT AS THOSE GOALS CHANGE THE OCHOA IS MAKE IS DELIVERING ON THOSE

[38:34] GOALS AND THEN WE ALSO SEE THE NEED FOR A STUDY INCLUDING AN OPPORTUNITY FOR FEEDBACK FROM

[38:41] DEVELOPERS AS WELL AS STAKEHOLDER HOUSING STAKEHOLDERS WHICH COULD INCLUDE HOUSING ADVOCATES, COMMUNITY GROUPS WITHIN

[38:46] BLOOMINGTON AND THE TWIN CITIES REGION. AND SO THIS IS AN OPPORTUNITY TO GET INTENTIONAL FEEDBACK

[38:53] FROM THEM WHICH COULD INCLUDE BASICALLY BARRIERS THAT THEY'VE HAD WITH INTERACTING WITH THE OTHER OR POTENTIALLY

[39:01] THE POSITIVE EXPERIENCE THAT THEY'VE HAD WITH THE SHOW AND I DID WANT TO HIGHLIGHT HERE THAT ECONOMIC CONDITIONS HAVE CHANGED AND SOME OF THE THINGS

[39:08] BESIDES JUST EXTERNAL ECONOMIC CONDITIONS THERE ARE INTERNAL CHANGES AS WELL SUCH AS THE PREVAILING PREVAILING WAGE

[39:16] ORDINANCE THAT THE CITY PASSED RECENTLY AND SO ANOTHER CONSIDERATION IS THE UPCOMING SAC AND WHACK FEES THAT THE

[39:23] CITY IS LOOKING TO PUT INTO PLACE SO BOTH EXTERNAL AND INTERNAL CHANGES THAT IMPACT WHAT SORT OF DEVELOPMENTS ARE

[39:31] ECONOMICALLY FEASIBLE TO BRING TO BLOOMINGTON? SO FINALLY WHAT IS A NEXUS STUDY? A NEXUS STUDY ESTABLISHES FOR

[39:38] A PROJECT THAT BRINGS RESIDENTIAL MARKET RATE UNITS ? WHAT'S THE SPINOFF DEMAND FOR AFFORDABLE UNITS FROM THAT

[39:43] DEVELOPMENT? SO IT'S WHAT'S KNOWN AS A PROPORTIONAL NEXUS AND IT'S

[39:49] IMPORTANT TO HAVE THIS IN PLACE BECAUSE AS I MENTIONED IT INFORMS THE REQUIREMENTS WITHIN OUR

[39:57] ORDINANCE SO THAT 9% AT 60% AM I AND THAT FEE IN LIEU RATE THOSE ARE DIRECT RESULTS OF THAT NEXUS STUDY. SO WE'RE LOOKING TO NOT ONLY

[40:05] CONDUCT THIS STUDY ON THE THE ORDINANCE ITSELF BUT SPECIFICALLY RENEWING THAT NEXUS STUDY WITH THE CURRENT MARKET CONDITIONS.

[40:12] SO I MENTIONED CHANGING MARKET AND THIS IS JUST A PREVIEW BECAUSE IT'S EARLY AND I ARE

[40:18] GOING TO GET INTO THIS IN THE FOLLOWING PRESENTATION BUT YOU CAN I MEAN IT'S VERY VISIBLE WITHIN THESE GRAPHS THAT THINGS HAVE CHANGED VERY

[40:24] QUICKLY RECENTLY AND SO WE'RE STILL SEEING THAT IMPACT IN THE MARKET. SO THAT'S A PREVIEW. SO WHAT'S INCLUDED IN THIS

[40:32] STUDY WE'RE LOOKING TO I MENTIONED GET THAT FEEDBACK FROM STAKEHOLDERS ON WHAT'S WORKING AND WHAT ISN'T WHAT'S

[40:37] WHAT CHANGES ARE NEEDED AND WHAT ARE THEY SEEING IN THE MARKET BECAUSE FOR OBVIOUS REASONS THOSE DEVELOPERS ARE

[40:44] THE ONES THAT HAVE THE MOST VISION INTO HOW THE ECONOMIC CONDITIONS ARE IMPACTING THEIR DEVELOPMENTS. SO WE'RE LOOKING TO RECEIVE

[40:51] THAT FEEDBACK. WE'RE ALSO LOOKING TO GET THAT DEEP DIVE INTO DATA. SO BEYOND THE NEXUS STUDY THERE, THERE WILL ALSO BE A

[40:58] FINANCIAL FEASIBILITY ANALYSIS WHICH WILL INCLUDE BUILDING OUT MODELS FOR FINANCIAL FEASIBILITY MODELS FOR

[41:03] DIFFERENT TYPOLOGIES OF HOUSING. SO THINK DIFFERENT UNIT COUNTS DIFFERENT LIKE BEDROOM TYPES

[41:11] SO DIFFERENT ORIENTATIONS OF HOUSING. WHAT IS THE FEASIBILITY THE

[41:18] FINANCIAL FEASIBILITY OF THOSE DIFFERENT PRODUCTS AS THEY INTERACT WITH THE SHOW? AND THEN FINALLY THE STUDY WILL HAVE A FINAL REPORT AS

[41:25] WELL AS AN IMPLEMENTATION ROADMAP WHICH IS VERY IMPORTANT. THAT WAS A COMPONENT OF THE INITIAL STUDY AND IT INSTRUCTED HOW THE STAFF

[41:33] ACTUALLY PUT THOSE FINDINGS INTO PLACE AND AND IMPLEMENT THEM SO RELATED ACTIONS THAT

[41:40] HAVE BEEN TAKEN TO DATE BACK IN APRIL OF LAST YEAR SO A WHOLE YEAR AGO THE HRA AUTHORIZED STAFF TO BEGIN AN

[41:45] APPLICATION TO THE LIVABLE COMMUNITIES ACT POLICY DEVELOPMENT PROGRAM. SO THIS IS A METROPOLITAN

[41:52] COUNCIL PROGRAM THROUGH THEIR THIRD LCA, THE LCA GRANTS PROGRAMS AND WHAT THAT ALLOWS

[41:59] IS FOR FUNDING TO CHANGE POLICY TO ALLOW AND REMOVE BARRIERS FOR AFFORDABLE HOUSING. SO THAT APPLICATION WAS

[42:06] AUTHORIZED IN APRIL AND WE WERE HAPPY TO RECEIVE THAT FUNDING IN JUNE TO GET

[42:12] $45,000. IT WAS A COMPETITIVE ACTUALLY COMPETITIVE APPLICATION CYCLE WHICH HADN'T BEEN THE CASE PREVIOUSLY BUT WE STILL CAME

[42:20] OUT AS THE HIGHEST FUNDED APPLICANT FOR THAT ROUND. SO SINCE THEN WE'VE BEEN WORKING TO GET OUR RFP

[42:25] IN ORDER WHICH HAS TAKEN LONGER SINCE WE'VE BEEN RESPONDING TO RAPIDLY CHANGING MARKET CONDITIONS.

[42:31] BUT WE HAD THAT RFP WINDOW OPEN BETWEEN FEBRUARY AND MARCH. WE DID GET RESPONSES AND HELD

[42:38] RESPONDENT INTERVIEWS EARLIER THIS MONTH AND HAD A FINAL SCORING. THAT EVALUATION TEAM THAT SCORED THOSE RESPONDENTS

[42:46] INCLUDED STAFF FROM THE PORT. THE ENTRY AND THE PLANNING PLANNING DIVISION AND I THINK THAT'S IMPORTANT BECAUSE IT'S

[42:53] REFLECTING SOME OF THE STAKEHOLDER GROUPS THAT ARE VERY IMPORTANT AT THE CITY LEVEL. SO WE HAVE INVOLVEMENT FROM

[42:59] ALL THREE THE PORT HRA AND THE PLANNING COMMISSION ON THE IMPLEMENTATION OF THE SHOW.

[43:04] SO WE HAD STAFF REFLECTING THAT VIEW INTERNALLY AND WE'VE HAD A SELECTION MADE FROM THAT RFP PROCESS.

[43:11] SO TONIGHT WE'RE CONSIDERING THE AUTHORIZATION TO ENTER INTO A CONTRACT WITH THAT RESPONDENT AND THAT RESPONDENT

[43:16] IS DATELESS IN A PARTNERSHIP WITH B A AND THOSE YOU'LL MAY

[43:23] RECALL ARE THE ORIGINAL STUDY CONSULTANTS. SO THEY CONDUCTED THAT INITIAL

[43:28] STUDY BACK IN 2018. THEY ACTUALLY CONDUCTED IT IN SEPARATE CONTRACTS SO THEY WEREN'T WORKING IN TANDEM SO

[43:35] WE WERE EXCITED TO SEE THEM APPLY AS A TEAM THIS TIME AND THEY'RE BRINGING THEIR EXPERTISE TO EACH COMPONENT OF THE STUDY OF THE SCOPE

[43:42] OF WORK. SO WHY WERE THEY SELECTED THROUGH THE EVALUATION PROCESS? THERE ARE FEW RESPONSES VERY COMPREHENSIVE.

[43:50] THEY HIT ON ALL OF THE SCOPE ITEMS IN GREAT DETAIL THEY IDENTIFIED WHICH DATA SOURCES THEY PLAN ON USING FOR THIS STUDY WHICH WE WE APPRECIATE.

[43:57] IT IS TO UNDERSTAND EXACTLY WHAT THEY'LL BE LOOKING AT AND WHAT GEOGRAPHIC AREA THEY ALSO WILL GIVE STAFF ACCESS BUT

[44:05] BASICALLY STAFF WILL BE ABLE TO KEEP THOSE FINANCIAL MODELS THAT WILL BE BUILT WHICH WE THINK IS IMPORTANT AS AN

[44:11] ECONOMIC CONDITIONS CONTINUE TO CHANGE, WE MAY BE ABLE TO USE THOSE MODELS TO AT LEAST BRING THAT INFORMATION TO

[44:17] DEVELOPERS AND BOARDS AND COMMISSIONS. AND THEN FINALLY OF COURSE THERE IS A HIGH SCORING FOR

[44:23] THAT EXPERIENCE IN CONDUCTING THE INITIAL STUDY. SO THE PROPOSED ACTION TONIGHT WOULD BE TO AUTHORIZE THE HRA

[44:31] AS THE ADMINISTERING ENTITY TO ENTER INTO A CONTRACT WITH DAEDALUS ADVISORY SERVICES AND THEN THAT PROJECT WOULD BE FUNDED FIRST WITH THE HRA AS

[44:40] POLICY DEVELOPMENT GRANT THAT $45,000 AND THEN THAT REMAINING COST WOULD BE SPLIT BETWEEN THE HRA AND THE PORT

[44:46] AUTHORITY. THAT FULL CONTRACT AMOUNT IS INCLUDED IN THE AGENDA PACKET AND IT'S 104,000 AND SOME CHANGE SO THE FINAL REPORT AND

[44:53] THE IMPLEMENTATION ROADMAP IS SLATED TO BE DELIVERED IN NOVEMBER OF THIS YEAR AND SO THEY'LL BE LOOKING THE

[45:00] DAEDALUS WOULD BE LOOKING TO KICK THE STUDY OFF NEXT MONTH IN MAY AND SO THERE'S YOUR RECOMMENDED MOTION AND I WILL

[45:06] STAND FOR QUESTIONS. ANY FURTHER ANY QUESTIONS?

[45:12] TURN IT OVER TO THE ACTRY. COMMISSIONER CARTER THANK YOU, CHAIR SO SO MY UNDERSTANDING

[45:22] IS THAT THE ANALYSIS WILL BE BASED ON CURRENT MARKET CONDITIONS BUT YOU KNOW WE JUST GOT DONE WITH A

[45:27] PRESENTATION THAT SHOWS HOW UNCERTAIN AND CRAZY THINGS ARE RIGHT NOW AND SO I GUESS I'M

[45:33] JUST CURIOUS IF YOU OR IF THE CONSULTANTS ARE HERE ON THE PHONE, HOW DOES THAT FACTOR INTO THE STUDY AND THE

[45:41] RESULTS? PRESIDENT CHAIR COMMISSIONER CARTER WE DID ACTUALLY PUT THAT QUESTION TO IT. SO WHEN WE DID OUR INTERVIEWS WITH THE CANDIDATES WE PUT

[45:50] THAT QUESTION TO THEM OF CAN THEY DO ANALYSIS ON DIFFERENT BASICALLY DIFFERENT ECONOMIC FORECASTS SO POTENTIALLY LIKE

[45:57] A WORST CASE BUSINESS AS USUAL BEST CASE AND THEY THEY HIGHLIGHTED THAT BECAUSE THEY'LL BE GIVING US ACCESS TO

[46:02] THOSE MODELS THERE WILL BE A BIT OF FLEXIBILITY FOR US TO BASICALLY RESPOND TO CONTINUED

[46:08] CHANGES AND THEN THEY WERE VERY CLEAR THAT THEIR ANALYSIS WILL LOOK AT ALL OF THESE MOVING COMPONENTS.

[46:16] SO I THINK CONSTRUCTION INPUT COSTS ARE PROBABLY SOMETHING WE'LL WANT TO REALLY FOCUS ON

[46:21] AS A RESULT OF TARIFFS THAT COULD IMPLEMENT OR EXCUSE ME THAT COULD IMPACT YOUR CONSTRUCTION MATERIALS LIKE STEEL WE ALREADY KNOW IS IS

[46:28] ABSOLUTELY GETTING A TARIFF. I CAN'T REMEMBER THE PERCENTAGE BUT SO WE DID HEAR FROM THE FROM DALLAS THAT THAT

[46:33] WOULD BE A COMPONENT OF THEIR STUDY. OKAY. I THINK YOU AND THEIR

[46:40] QUESTIONS COMMENTS COMMISSIONER THANK YOU CHAIR I

[46:47] THINK THIS COMES AT A REALLY GOOD TIME IN MY PARTICULAR INDUSTRY WE WORK VERY CLOSELY WITH A LOT OF DIFFERENT ORGANIZATIONS AND I'VE NOTICED

[46:55] OVER THE LAST YEAR AND A HALF THAT THE CONSTRUCTION INDUSTRY IS PULLING BACK PRETTY SIGNIFICANTLY. SO I'M LOOKING FORWARD TO

[47:02] SEEING THE RESULTS FROM THE STUDY. BUT I'M ALSO INTERESTED IN WHAT STAFF WILL TAKE AND

[47:10] BRING BACK TO THESE PARTIES ONCE WE HAVE THAT. DO YOU HAVE AN IDEA OF HOW WE'RE GOING TO USE THAT INFORMATION?

[47:18] PRESIDENT CHAIR COMMISSIONER MOUA THANK YOU FOR THAT QUESTION. I SHOULD HAVE HIGHLIGHTED SOME OF THE TAKEAWAYS THAT WE

[47:26] EXPECT COULD COME INCLUDE ADJUSTMENTS TO THE ORDINANCE SPECIFICALLY RELATED TO THE INCENTIVES THAT ARE OFFERED.

[47:31] SO IF WE HEAR BACK FROM FOR EXAMPLE THE DEVELOPER OUTREACH THAT CERTAIN INCENTIVES AREN'T

[47:37] WORKING OR IF WE HEAR THAT INCENTIVE CERTAIN INCENTIVES ARE VERY IMPORTANT THEN THERE MAY BE AN OPPORTUNITY TO

[47:43] ADJUST THOSE TO BASICALLY BE RESPONDENT AND THEN I DO

[47:49] ANTICIPATE RESULTS INFORMING POTENTIAL CHANGES TO THE REQUIREMENT THAT WHICH ARE A

[47:57] REQUIREMENT. SO IT'S THAT 9% AT 60% AM I CURRENTLY BUT ONE CONSIDERATN IS BEING

[48:03] RESPONSIVE TO THE CITY'S GOALS AND SO WE DO I'VE REPORTED UP HERE A FEW TIMES THAT WE'VE

[48:10] ACTUALLY ACHIEVED OUR COUNCIL HOUSING NEED ALLOCATION FOR 60% OF MY HOUSING.

[48:15] SO IT DOES THAT MEAN THAT WE NEED TO ADJUST OUR ARE REQUIREMENTS TO BE MORE DIRECTED AT THE 50% AND 30% AM

[48:23] MY LEVELS THAT'S SOMETHING THAT WE EXPECT THIS THIS STUDY COULD INFORM A RECOMMENDATION FROM STAFF.

[48:30] SO THOSE ARE SOME OF THE THINGS THAT I COULD SEE CHANGES TO THE INCENTIVES AS WELL AS REQUIREMENTS. THANK YOU.

[48:37] OTHER QUESTIONS COMMENTS I'M

[48:43] JUST GOING TO ASK HOW I ASSUME, HOLLY, THAT THIS IS INCLUDED IN THE PORT AUTHORITY

[48:49] BUDGET, THE MONEY WE'RE TALKING ABOUT. THANK YOU. COME OUT OF YOUR PAPER.

[48:56] ALL RIGHT. SO LET'S PROCEED WITH I'M

[49:03] SORRY. OKAY. LET'S PROCEED WITH THE MOTION TO AUTHORIZE EACH AREA ADMINISTRATOR TO ENTER INTO A

[49:10] PROFESSIONAL SERVICES AGREEMENT WITH DATELESS ADVISORY SERVICES IN THE NAME OF THE HOUSING AND REDEVELOPMENT AUTHORITY IN AND

[49:18] FOR THE CITY OF BLOOMINGTON. SO MOTION SO MOVED MOVED BY

[49:26] WHO CAME AND SECOND BY WOOTTON ALL IN FAVOR I I OPPOSED

[49:35] MOTION PASSES SEVEN ZERO. GREAT SO WE'RE ON TO THE NEXT

[49:47] ITEM THEN WHICH IS THE ANNUAL HOUSING REPORT

[50:01] . GOOD EVENING FOR APOLOGIES. YEAH THANK YOU PRESIDENT CHAIR

[50:09] YEAH. SO OUR NEXT ITEM IS THE ALL THINGS HOUSING REPORT. SO WE'RE ACTUALLY GIVING A PRESENTATION PREVIEWING THOSE REPORT FINDINGS AND WE EXPECT

[50:16] THAT REPORT TO COME OUT IN THE NEXT FEW WEEKS HERE. SO LAST YEAR YOU'LL RECALL MICHELLE LINCOLN AND I

[50:24] PRESENTED THESE FINDINGS AND SO GENERALLY HAS TAKEN ON THE DATA SIDE OF THIS REPORT AND HOPEFULLY HAD A GOOD TIME WITH

[50:31] THAT. I KNOW MICHELLE HAD A VERY COMPREHENSIVE DEEP DIVE INTO DATA EACH YEAR WITH THIS REPORT SO WE'RE EXCITED TO

[50:38] KEEP IT MOVING. AND ONE REMINDER IS THAT THIS IS WHAT WE'RE CALLING LIKE AN INTERIM YEAR FOR THIS REPORT

[50:45] BECAUSE IT'S RESPONSIVE TO AMERICAN COMMUNITY SURVEYS DATA X DATA WHICH THEY MOVE ON BASICALLY A FIVE YEAR TIMELINE

[50:53] AND THEN AT THE THREE YEAR AND ONE YEAR MARK THEY HAVE SMALLER DATA RELEASES AND

[50:58] THOSE ESTIMATES HAVE SMALLER SAMPLE SIZES AND SO WE CONSIDER THE FIVE YEAR DATA RELEASES TO BE BANNER YEARS

[51:04] AND SO 2026 WILL BE THE NEXT

[51:09] BANNER YEAR BECAUSE THAT WILL BE THE NEXT WINDOW FOR THIS YEAR FIVE YEAR DATA. SO THIS IS A BASICALLY A

[51:16] SMALLER CHANGE THAT WE'LL SEE REFLECTED IN THE DATA THIS YEAR WITH THAT YEAH. THANK YOU. THANK YOU KENNY. GOOD EVENING EVERYBODY.

[51:23] SO TODAY WE ARE GOING TO REVIEW BLOOMINGTON'S DEMOGRAPHIC EXISTING HOUSING AFFORDABILITY AND SOME

[51:31] ACCOMPLISHMENTS OF 2024 YEAR. >> IT'S IMPORTANT TO REVIEW

[51:37] THESE TRENDS BECAUSE IT GUIDES CITY SERVICES POLICIES AND PROGRAM DEVELOPMENT TO ENSURE THAT BLOOMINGTON REMAINS A

[51:43] THRIVING AND INCLUSIVE COMMUNITY. WE'RE GOING TO START WITH

[51:49] BLOOMINGTON DEMOGRAPHICS. SO BLOOMINGTON HAS A TOTAL POPULATION

[51:57] OF 91,537 PEOPLE WITH AN AVERAGE HOUSEHOLD SIZE OF 2.27 PERSON AND 39,634

[52:04] HOUSEHOLDS. >> IT IS THE MINNESOTA'S FOURTH LARGEST CITY AND THE POPULATION CONTINUES TO GROW.

[52:12] WE ARE ANTICIPATING TO HAVE OVER 95,000 RESIDENTS BY 2040. >> THE MEDIAN AGE

[52:20] IN BLOOMINGTON IS 40.8 YEARS WHICH IS HIGHER THEM BOTH THE MINNEAPOLIS AND SAMPLE METRO AREA AND THE MINNESOTA STATE.

[52:27] AND AS A FUN FACT THE MEDIAN AGE IN 1970 WAS 23 YEARS OLD.

[52:34] THESE DATA SUGGEST THAT BLOOMINGTON HAS AN AGING POPULATION AND UNDERSTANDING POPULATION GROWTH HELP US

[52:43] ANTICIPATE WITH HOUSING, EDUCATION, WORKFORCE AND SERVICES NEEDED WITHIN THE CITY OF BLOOMINGTON.

[52:50] BLOOMINGTON CONTINUES TO BECOME MORE RACIAL AND ETHNICALLY DIVERSE BLACK, INDIGENOUS AND PEOPLE OF COLOR

[52:56] OR BIPOC REPRESENT THE 33% OF POPULATION AND 6,067% IT IS

[53:04] REPRESENTED BY WHITE ALONE. IT WAS INTERESTING TO HAVE THE STATE OF THE SCHOOLS

[53:09] PRESENTATION AND TODAY THEY SAID THAT 60% OF THE THE SCHOOL POPULATION AND SO THE

[53:16] YOUNGER POPULATION IS MORE DIVERSE THAN THE OLDER ARE THE TOTAL POPULATION. YEAH THAT'S INTERESTING.

[53:23] >> SO INCREASE IN RACIAL AND ETHNIC DIVERSITY IN BLOOMINGTON BRINGS SEVERAL FACTORS OUR URBAN EFFECTS

[53:28] WHICH CULTURAL ENRICHMENT ECONOMIC GROWTH IMPROVE OUR PUBLIC SERVICES AND A STRONG

[53:36] COMMUNITY CONNECTIONS FOR EMPLOYMENT OUR RESIDENTS WORK

[53:43] IN DIFFERENT INDUSTRIES BUT JUST SIX INDUSTRIES EMPLOY OVER 75% OF BLOOMINGTON EMPLOYEES AND THE TOP

[53:51] INDUSTRIES AS REPORTED BY THE U.S. CENSUS ARE EDUCATION. SO EDUCATIONAL SERVICES, HEALTH CARE, SOCIAL

[53:58] ASSISTANCE. SECOND, PROFESSIONAL SCIENTIFIC AND MANAGEMENT ADMINISTRATIVE AND WASTE

[54:03] MANAGEMENT. THE THIRD IS ARTS, ENTERTAINMENT, RECREATION AND ACCOMMODATION.

[54:11] AND FOR SERVICES THAT MEANS HOTELS FOR MANUFACTURING. THE FIFTH IS TRANSPORTATION, WAREHOUSING AND UTILITIES.

[54:19] AND THE LAST ONE IS FREE IS RETAIL TRADE FOR UNEMPLOYMENT

[54:26] . I KNOW THIS MIGHT BE A LITTLE BIT HARD TO SEE BUT BLOOMINGTON IS REPRESENTED IN THE BLUE THE FIRST LINE.

[54:34] SO BLOOMINGTON AN EMPLOYMENT RATE WAS IMPROVED GREATLY

[54:40] SINCE 2020 DURING THE COVID 19 PANDEMIC. THEY WERE THEY WERE

[54:45] UNEMPLOYMENT RATE WAS 7.6 WHICH WAS HIGHER THAN THE COUNTY AND THE REGIONAL RATES

[54:51] AND WE BELIEVE THAT IT WAS MAINLY DUE TO THE JOB LOSSES IN THE RETAIL AND ACCOMMODATION AND FOOD SERVICES SECTOR.

[54:58] HOWEVER, THE CITY'S JOB MARKET HAS RECOVERED WELL AND THE UNEMPLOYMENT HAS DROPPED TO 3%

[55:05] IN 2024 AS IN IN 2010

[55:12] BLOOMINGTON MEDIAN INCOME WAS APPROXIMATELY 50 $59,458 WHICH

[55:18] IS LOWER THAN THE BOTH HENNEPIN COUNTY AT 61,328 AND

[55:25] THE METRO AREA AT 65,181. JUST SO I DON'T KNOW IF IT'S

[55:32] REALLY HARD TO SEE BUT BLOOMINGTON IS REPRESENTED IN THE ORANGE. HENNEPIN COUNTY IS THE BLUE AND THE METRO AREA IT'S THE

[55:40] YELLOW. FAST FORWARD TO 2020. WE SEE SIGNIFICANT GROWTH ACROSS THE BOARD.

[55:47] BLOOMINGTON ROSE TO 2720 I'M

[55:55] SORRY $78,224 AND HENNEPIN COUNTY AND METRO AREA HIT OVER

[56:01] $88,000. >> IN 2021 BLOOMINGTON CONTINUED TO IMPROVE WITH A MEDIAN INCOME OF $80,582.

[56:12] BUT IT IS STILL BEHIND HENNEPIN COUNTY AND THE METRO AREA BY 2023 BLOOMINGTON'S

[56:18] MEDIAN INCOME HAS REACHED THE 90 HAS REACHED 90,677. HOWEVER IT'S IMPORTANT TO NOTE

[56:25] THAT IT IS STILL REMAIN LOWER THAN BOTH THE HENNEPIN COUNTY

[56:31] AT 96,339 AND THE METRO AREA

[56:37] AT 98,180. WE SEE AND THIS SLIDE WE SEE A

[56:46] BREAKDOWN OF HOUSING IN BLOOMINGTON. ON THE LEFT SIDE OF THE SCREEN 63% OF HOMES ARE OWNER

[56:52] OCCUPIED WHILE 33% OF OUR RENTER OCCUPIED AND ONLY 4% OF THE HOUSING UNITS ARE BACK

[57:01] IN THE MEDIAN HOME VALUE IS

[57:07] $346,200 WHICH IS SLIGHTLY HIGHER THAN THE METRO AREA AND THE STATE. AND ON THE RIGHT SIDE OF THE

[57:15] SCREEN WE SEE BLOOMINGTON HOUSING TRANSACTIONS. SO MOST SALES WERE SINGLE

[57:23] FAMILY HOMES WITH A MEDIAN PRICE OF 387 THOUSAND $500 AND

[57:29] TOWNHOMES HOUSES AND CONDOS FOLLOW WITH A LOWER MEDIUM PRICES TWO FAMILY HOMES HAD

[57:36] THE HIGHEST MEDIAN PRICE BUT THEY MADE UP ONLY A SMALL NUMBER OF SALES AND OVERALL THIS WAS A SNAPSHOT OF A

[57:44] LARGELY LARGER OWNER OCCUPIED CITY WITH A CITY HOUSING VALUES AND SUGGEST THAT AND THAT WE NEED TO CONTINUE

[57:52] ADDRESSING HOUSING DEMAND CHALLENGES. >> SO FOR RENT

[58:00] IN BLOOMINGTON'S MEDIAN GROSS RENT IS $1,526 WHICH IS HIGHER THAN THE BOTH METRO AND

[58:06] MINNESOTA. OVER TIME THEIR RENT HAS AS A STATE HAS INCREASED IN BLOOMINGTON AS STARTING

[58:14] FROM JUST OVER 1300 IN THE 1990 CENSUS TO WHERE WE ARE

[58:20] NOW. LOOKING AT THE LOWER CHART. THE RENT INCREASES WITH THE NUMBER OF BEDROOMS WITH BLOOMINGTON CONCISELY SHOWING

[58:28] HIGHER RENTAL RATES ACROSS ALL UNITS SIZES FROM A STUDIOS TO FIVE PLUS BEDROOM HOMES

[58:36] COMPARED TO THE BOTH METRO AND THE STATE AVERAGE.

[58:41] THESE TRENDS SUGGEST THAT BLOOMINGTON HAS A HIGHER DEMAND FOR RENTAL HOUSING AND IS POSSIBLY DUE TO LOCATION

[58:48] AMENITIES, AGE OR THE LOCAL MARKET CONDITIONS FOR HOUSING DISPARATE EASE.

[58:56] THIS CHART SHOWS CLEAR DIFFERENCES IN WHO RENTS AND WHO OWNS A HOME IN BLOOMINGTON

[59:01] BASED ON RACE AND ETHNICITY. >> THE BLUE REPRESENTS THE OWNER OCCUPIED HOUSING UNITS

[59:08] AND THE YELLOW IT'S REPRESENTS THE RENTER OCCUPIED HOUSING UNITS. WHITE HOUSEHOLDS ARE MORE

[59:15] LIKELY TO OWN THEIR HOMES FOR BUT THE WHITE HOUSEHOLDS RENT. RENTING IS MUCH MORE COMMON.

[59:22] THE BIGGEST GAP IS WITH THE BLACK OR AFRICAN AMERICAN HOUSEHOLDS WITH WHICH MORE

[59:27] THAN 74% ARE RENTERS. AND THERE IS A BIG DIFFERENCE COMPARED TO THE WHITE

[59:34] HOUSEHOLDS. OTHER GROUPS LIKE HISPANIC, ASIAN AND MULTIRACIAL

[59:39] RESIDENTS ALSO HAVE A HIGHER RENTAL RATES AND THIS DIFFERENCE REPRESENT THE

[59:46] ONGOING ONGOING IMPACTS OF HISTORIC INEQUITIES SUCH AS DISCRIMINATORY LENDING PRACTICES, REDLINING AND

[59:54] ECONOMIC INEQUALITIES. IT SHOWS THAT WE STILL HAVE WORK TO DO TO MAKE HOUSING FAIR AND ACCESSIBLE TO

[59:59] EVERYONE IN THE COMMUNITY.

[1:00:04] ON THE RIGHT? YEAH. SO ON THE RIGHT THE PART THE

[1:00:09] PIE CHART IS JUST SHOWING THE HOUSING DISTRIBUTION BY UNIT

[1:00:16] TYPE. THE LARGEST PORTION IS SINGLE FAMILY WITH 51% OF THE TOTAL

[1:00:23] HOUSING UNITS AND THE SECOND IS MULTIFAMILY WITH 39.9% OF HIGHEST HOUSING UNITS

[1:00:31] MULTIFAMILY. IT'S INCLUDED WITH IS GREATER THAN THREE UNITS.

[1:00:39] SO BLOOMINGTON HAS A TOTAL OF 42,705 TAX TAXABLE HOUSING UNITS.

[1:00:46] AND ON THE LEFT SIDE THIS CHART SHOWS THAT THE CITY THE

[1:00:53] CITY HOUSING STOCK EXPANDS A WIDER RANGE OF CONSTRUCTION PERIODS BUT SIGNIFICANT SHARE

[1:01:01] WAS BUILT BETWEEN 1950 AND 1959 THAT FOLLOWED BY 20.4%

[1:01:07] FROM THE 1970S AND 18.5% FROM THE 19 60S.

[1:01:13] >> HOMES WILL BUILD FROM 20,000 AND ONWARD ACCOUNTED FOR JUST ABOUT 10% OF THE

[1:01:21] TOTAL HOUSING UNITS. THIS REPRESENTS OR THIS SHOWS THAT A MARKET DOMINATED BY

[1:01:28] OLDER HOMES WITH LIMITED CONSTRUCTION IN RECENT YEARS. SO CITY PROGRAMS LIKE THE HOME IMPROVEMENT LOANS GROUP HELP

[1:01:35] RESIDENTS TO KEEP THEM SAFE, RELIABLE, LIVABLE AND UP TO DATE SUPPORTING HOUSING AND

[1:01:41] STABILITY IMPROVEMENT AND MAINTAINING THE CHARACTERS OF BLOOMINGTON NEIGHBORHOODS.

[1:01:47] >> IN 2025 THE PLANNING DIVISION LED A HOMEOWNER ASSOCIATION A STUDY TO ASSESS

[1:01:54] THE DISTRIBUTION OF HOMEOWNERS ASSOCIATIONS. AND IN BLOOMINGTON THE STUDY

[1:02:01] IDENTIFIED THAT THERE ARE 5681 UNITS WHICH MAKE UP OVER 13%

[1:02:10] OF THE TOTAL TAXABLE HOUSING UNITS IN BLOOMINGTON. MOST HOA FEES ARE TIED TO

[1:02:17] TOWNHOMES AND CONDOS MAINLY IN THE WEST AND SIDE WEST AND SOUTH PART OF THE CITY'S

[1:02:24] CONDOS ARE OFTEN IN HIGH DENSITY AREAS OR NEAR A MAJOR ROAD AND TOWNHOMES ARE MORE

[1:02:32] SPREAD OUT IN SUBURBAN AND STYLE AREAS. >> THE TWO THE ASSESSING DEPARTMENT USUALLY DOESN'T

[1:02:40] TRACK SINGLE FAMILY HOMES BUT DURING THESE A STUDY WE DO WE DEFINE A FEW SINGLE FAMILY

[1:02:47] HOMES WITH AN HOA SO THIS STUDY WILL HELP WITH FUTURE

[1:02:55] HOUSING AND PLANNING DECISIONS. SOME OTHER DATA THAT WE FOUND DURING THIS STUDY WAS THAT THE

[1:03:03] MEDIAN YEAR BILL WAS 1882 1982 THE AVERAGE MONTHLY FEE WAS

[1:03:09] $520 BUDDY RANGES ANYWHERE FROM 300 TO 1000 PLUS AND IT

[1:03:16] JUST DEPENDS ON THE SIZE THE SERVICES AND THE PHYSICAL ASSETS AND AMENITIES. MANY HOA IS HIGHER

[1:03:23] PROFESSIONAL MANAGEMENT COMPANIES BUT IS SMALLER COMPLEXES OR SMALLER HOMES ARE OFTEN SELF SELF-MANAGE WITH

[1:03:31] THEY DEFINE THEM. MOST OF THEIR HOMES ARE REGISTERED AS DOMESTIC NONPROFIT NONPROFIT

[1:03:39] CORPORATIONS AND 19 BUILDINGS OFFERED A STRUCTURE OR UNDERGROUND PARKING.

[1:03:48] SO FOR HOUSING AFFORDABILITY THIS IS AN EXAMPLE. SO THIS DATA HIGHLIGHTS A

[1:03:53] SIGNIFICANT GAP IN HOUSING AFFORDABILITY OVER 50% 52%

[1:04:00] OF HOMES IN BLOOMINGTON'S ARE

[1:04:05] BELOW BETWEEN 300,000 AND $499,000. >> HOWEVER, A HOUSEHOLD

[1:04:12] EARNING 97,800 WHICH IS 80% AM I CAN ONLY AFFORD A HOME PRICE

[1:04:19] AROUND 290,000 AND $300 WHICH MEANS THAT MOST OF THE

[1:04:25] AVAILABLE HOUSING IS ALREADY OUT OF REACH FOR MANY MORE MODERATE INCOME FAMILIES AND I KNOW THAT KENNY IS GOING TO

[1:04:34] EXPLAIN A LITTLE BIT ABOUT WHAT THEY AM-I AND HOW THAT YOU KNOW WHAT THE AIM IS AND

[1:04:39] HOW THAT WORKS FOR HOUSING

[1:04:46] BECAUSE BURDEN HOUSEHOLD CONSIDER CAUSE BORDEN WHEN OUR WHEN THEY SPEND 30% OF MORE OF THEIR INCOME ON HOUSING FOR

[1:04:53] RENTERS THIS INCLUDES RENTS AND UTILITY AND FOR HOMEOWNER INCLUDES MORTGAGE TAXES,

[1:05:01] INSURANCE AND UTILITIES. OVER TIME MORE PEOPLE IN BLOOMINGTON ARE FEELING THIS BURDEN. BACK IN 1992 ABOUT 22% OF ALL

[1:05:09] HOUSEHOLDS WERE COSTS BURDEN AND THAT NUMBER HAS GROWN TO

[1:05:15] 29%. TOOLEY HOMEOWNERS HAVE SEEN A SMALLER INCREASE FROM 15 TO

[1:05:22] 20% BUT RENTERS ARE MUCH MORE AFFECTED WHICH ARE NEARLY 49%

[1:05:30] BECAUSE BERNARD AND THIS SHOWS THAT AFFORDABLE HOUSING IS BECOMING A BIGGER CHALLENGE

[1:05:37] CHALLENGER ESPECIALLY FOR RENTERS. THANK YOU.

[1:05:45] SO YEAH WE MENTIONED AM I I PROBABLY SAID AM I UP HERE 100 TIMES ALREADY? SO WE THOUGHT THAT THIS WOULD

[1:05:50] BE A GREAT TIME TO DEFINE WHAT THAT ACTUALLY IS AND TALK ABOUT HOW THAT GETS ESTABLISHED.

[1:05:56] SO THE HOUSING URBAN DEVELOPMENT DEPARTMENT OF THE FEDERAL GOVERNMENT CALCULATES ANNUAL ANNUALLY THE METRO FARE

[1:06:04] MARKET OR THE FAIR MARKET RENT AREA AND THAT'S CALCULATED FOR THE MINNEAPOLIS ST. PAUL BLOOMINGTON, MINNESOTA.

[1:06:09] WISCONSIN THE METRO AND THAT'S THE 13 COUNTY METRO WHICH IS

[1:06:16] DIFFERENT THAN THE 15 COUNTY METRO AND IT'S ALSO DIFFERENT THAN THE SEVEN COUNTY METRO BUT THAT'S WHAT HUD USES. IT'S THE 13 COUNTY METRO.

[1:06:22] SO THEY GET DATA FROM AMERICAN COMMUNITY SURVEYS. THE DATA THAT I MENTIONED THEY

[1:06:30] CHOOSE THE MOST RECENT AND RELIABLE CENSUS DATA. SO THERE'S A TEST FOR WHAT'S CONSIDERED RELIABLE AND ONCE THEY'VE SELECTED THAT THEY'RE

[1:06:37] LOOKING AT MEDIAN INCOME FOR SPECIFICALLY A FAMILY OF FOUR. SO THEY'LL TAKE THAT NUMBER AND APPLY AN INFLATION FACTOR

[1:06:44] DEPENDING ON WHAT YEAR IS BEING CALCULATED AND THEN THEY'LL RUN TO THE NEAREST 100. AND THAT'S HOW WE GET OUR AMI LEVELS.

[1:06:51] SO WHEN HUD PUBLISHES THIS INFORMATION THEY DO IT FOR THE 30%, 50%, 80% AND 100% AMI

[1:06:57] LEVELS. THE METROPOLITAN COUNCIL THEN TAKES THAT 50% AMI LEVEL AND

[1:07:04] APPLIES WHAT THEY CALL THE ASSUMED ANNUAL INCOME CALCULATION. SO THEY'RE TAKING THIS MAYBE

[1:07:09] THEY CAN USE THIS LASER. THEY'RE TAKING THE 50% AMI LEVEL AND THEY'RE APPLYING THESE RATIOS AND THE RATIOS

[1:07:16] ARE ESTABLISHED ON A 1.5 PERSON PER BEDROOM TEST. SO I INCLUDED HERE THE

[1:07:23] CALCULATION FOR SPECIFICALLY A TWO BED. SO THREE PEOPLE AND THEY'RE APPLYING THAT RATIO TO THE

[1:07:30] AFFORDABILITY AFFORDABILITY LEVEL. THIS TABLE HAS THE LEVELS FOR A FOUR PERSON HOUSEHOLD. BUT HUD ALSO PUBLISHES ONE

[1:07:36] THROUGH EIGHT SO PERSONS PER HOUSEHOLD. SO THEY APPLY THIS ASSUMED THIS RATIO TO THOSE NUMBERS

[1:07:44] AND THAT'S HOW THEY GET THE MONTHLY INCOME LEVEL AND THEY PUBLISH IT AS EXCUSE ME THAT'S

[1:07:53] HOW THEY GET THE AM I LEVELS FOR DIFFERENT BEDROOM SIZES. SO ONCE THEY HAVE THAT NUMBER ESTABLISHED THEY APPLY THE

[1:07:59] AFFORDABLE LEVEL WHICH FOR RENT WHICH IS THAT THE RENT PLUS UTILITIES DOES NOT EXCEED

[1:08:06] 30% OF YOUR MONTHLY INCOME. SO ONCE YOU DO ALL THE STEPS THEN YOU'RE LEFT WITH WHAT AFFORDABLE RENT LEVELS ARE

[1:08:11] CONSIDERED AND THAT'S WHAT WE USE FOR OUR PROGRAM. SO SPECIFICALLY THE OPPORTUNITY HOUSING ORDINANCE

[1:08:16] THOSE 9% OF UNITS AT 60% AM I THIS IS WHERE WE'RE GETTING THOSE NUMBERS THAT WE'RE SENDING OUT TO PROPERTY MANAGERS AND MAKING SURE THAT

[1:08:24] THEY HAVE THOSE IN THEIR LEASE AGREEMENTS AND THAT THEY'RE RENTERS ARE PAYING THOSE NUMBERS. SO I WANTED TO SHOW HOW THOSE

[1:08:31] NUMBERS PLAY OUT WITH DIFFERENT DATA POINTS WITHIN BLOOMINGTON SPECIFICALLY.

[1:08:36] SO HERE I HAVE THE BLOOMINGTON MEDIAN RENT AND SO THIS IS ACROSS THE BOARD ALL HOUSEHOLD

[1:08:43] SIZES THIS IS REPORTED IN CENSUS DATA SO PLEASE KEEP THAT IN MIND WHEN YOU SEE THE OTHER LEVELS WHICH THE OTHER LEVELS ARE RELEVANT FOR

[1:08:50] SPECIFIC HOUSEHOLD SIZES. SO THIS IS ACROSS THE BOARD. THIS IS THE MEDIAN RENT WITHIN BLOOMINGTON.

[1:08:58] THIS IS SO NOW I'M COMPARING THIS TO WHAT IS CONSIDERED THAT AFFORDABLE HOUSING COST. SO WE ESTABLISHED THAT 30%

[1:09:04] OF YOUR MONTHLY INCOME THAT'S WHAT'S CONSIDERED AFFORDABLE. SO BASED OFF OF MEDIAN INCOME, WHAT WOULD BE THE AFFORDABLE

[1:09:11] RENT LEVEL IN BLOOMINGTON AND YOU'RE SAYING THAT THAT'S ACTUALLY QUITE A BIT HIGHER. SO THIS IS FOR A HOUSEHOLD

[1:09:17] THAT'S EARNING 100% OF THE AREA MEDIAN INCOME WHICH YOU SAW BACK IN 2024 THAT WAS

[1:09:22] IN EXCESS IN EXCESS OF $100,000. SO THIS IS WHAT THOSE

[1:09:29] HOUSEHOLDS CAN AFFORD AND IT'S ACTUALLY HIGHER THAN MEDIAN RENT IN BLOOMINGTON. SO THIS NEXT LINE IS WHAT WE

[1:09:37] HAVE FROM HUD. SO THIS IS I WAS SHOWING YOU

[1:09:42] THAT TWO BED LEVEL WHICH IS BASED OFF OF THE WHOLE METROPOLITAN AREA. SO THIS ISN'T SPECIFIC TO

[1:09:47] BLOOMINGTON. WHEN HUD GIVES US THESE NUMBERS IT'S FOR THAT STATISTICAL AREA BUT WE'RE APPLYING THOSE LEVELS AT THE BLOOMINGTON GEOGRAPHIC AREA SO

[1:09:57] YOU CAN SEE FOR A TWO BED THAT AFFORDABLE LEVEL FOR AN 100% AMI MY HOUSEHOLD IS ACTUALLY ABOVE BLOOMINGTON'S MEDIAN

[1:10:03] RENT AND I WANTED TO CALL OUT WHAT I THINK IS AN IMPORTANT INVERSION HERE.

[1:10:09] SO NEXT SLIDE. SO I'VE CIRCLED IT HERE BETWEEN 2020 AND 2021 WE ACTUALLY SAW THAT TWO BED RENT

[1:10:16] LEVEL GO ABOVE WHAT'S AFFORDABLE FOR A HOUSEHOLD IN A MEDIAN INCOME. SO FOR EXAMPLE SO THIS IS OUR

[1:10:23] ASSUMED ANNUAL INCOME IS FOR A THREE PERSON HOUSEHOLD. WE'RE NOW SAYING THAT THE MEDIAN INCOME EARNING

[1:10:30] HOUSEHOLD IN BLOOMINGTON ISN'T MAKING ENOUGH TO RENT THAT TWO BED HOUSEHOLD. SO THEN THE NEXT LINE THAT I'M

[1:10:38] BRINGING IN AS THE TWO BED RENT LEVEL FOR A 60% AM I? SO THAT'S WHAT WE'RE RESTRICTING OUR UNITS AT. AND THIS IS ANOTHER IMPORTANT

[1:10:45] INVERSION WHICH IS THAT THAT AFFORDABLE RENT LEVEL FOR 60% AMI IS NOW HIGHER THAN WHAT

[1:10:52] BLOOMINGTON'S MEDIAN RENT IS. AND SO WHAT THIS IMPLIES IS THAT A HOUSING DEVELOPMENT BRINGING UNITS INTO BLOOMINGTON IT MIGHT NOT

[1:10:59] ACTUALLY BE THAT FINANCIALLY STRAINING TO BRING THOSE UNITS IN BECAUSE WE'RE SEEING THAT THAT MEDIAN RENT IS ACTUALLY

[1:11:04] LOWER THAN THAT AFFORDABLE LEVEL. SO OF COURSE THIS IS UNITS ACROSS THE SPECTRUM. AND AS DALY SHOWED, WE HAVE A

[1:11:11] LOT OF OLDER UNITS WITHIN BLOOMINGTON AND SO PLEASE KEEP THAT IN MIND. BUT I DO THINK THAT THESE ARE VERY IMPORTANT INVERSION POINTS AND THEY'RE THE RESULT

[1:11:18] OF A LOT OF FACTORS. SO AND I WILL HIGHLIGHT A COUPLE OF THOSE COST FACTORS THAT I'D PREVIEWED EARLIER.

[1:11:26] BUT MOVING ON FROM THERE I DID WANT TO GO THROUGH SOME HRA PROGRAM ACCOMPLISHMENTS. WE REPORT ON THESE IN THE ALL THINGS HOUSING REPORT.

[1:11:33] SO IN THE INTEREST OF TIME I'LL ZIP THROUGH THESE BUT THE HRA ADMINISTERS THE TENANT BASED VOUCHER PROGRAM AND YOU

[1:11:40] CAN SEE ACROSS THE BOARD WE'VE GOT HOUSEHOLDS THAT ARE UTILIZING THIS PROGRAM. WE DID SEE ONE MOVE TURNOVER

[1:11:47] FOR THE ASSISTED RENTAL PROGRAM IN THE HRA BUT OVERALL THE HCV LEVELS DON'T CHANGE

[1:11:54] SIGNIFICANTLY YEAR OVER YEAR. BUT ONE THING THAT WE PROBABLY SHOULD HIGHLIGHT IS THE ALL THINGS EXCUSE ME THE BRING IT

[1:12:00] HOME RENTAL ASSISTANCE PROGRAM THAT THE STATE IS OPENING THE RFP FOR RIGHT NOW.

[1:12:06] WE WERE JUST TALKING TODAY ABOUT THAT APPLICATION PROCESS SO THAT MAY BE COMING UP AND IT MAY BE AN OPPORTUNITY FOR BLOOMINGTON TO HAVE ADDITIONAL

[1:12:13] VOUCHERS COME INTO OUR ADMINISTRATION AND THAT THOSE WOULD STAY SPECIFICALLY IN BLOOMINGTON.

[1:12:19] SO OTHER ACCOMPLISHMENTS THERE WAS A LOT THERE'S ACTUALLY A VERY, VERY SIGNIFICANT

[1:12:24] INCREASE IN THE JOURNEY TO HOMEOWNERSHIP PROGRAM. SO LAST YEAR I THINK IT WAS AROUND 300 OR SO IT'S ALMOST I

[1:12:31] MEAN FROM 300 TO 500 A HUGE INCREASE AND THE UTILIZATION OF THAT PROGRAM. AND SO THAT PROGRAM HELPS

[1:12:39] HOUSEHOLD READINESS FOR A HOME PURCHASE. SO THERE'S A LOT OF INTEREST

[1:12:44] IN GETTING INTO INTO HOMEOWNERSHIP CURRENTLY. BUT WHAT YOU'LL SEE LATER IS MAYBE NOT A LOT OF PEOPLE

[1:12:49] SUCCEEDING IN GETTING INTO HOMEOWNERSHIP. OUR HCV WAITLIST THIS WAS A

[1:12:55] HUGE ACCOMPLISHMENT IN 2024 WHICH IS THAT A POLICY REVISION WAS MADE TO HAVE THAT

[1:13:01] WAITLIST BE OPEN ALL YEAR 100% OF THE TIME AND INITIALLY 6500

[1:13:06] APPROXIMATELY 6500 HOUSEHOLDS ENTERED INTO THE TO THE WAITLIST AND JUST RECENTLY

[1:13:13] WE'VE HAD THE FIRST DEADLINE FOR HOUSEHOLDS TO SAVE THEIR SPOT. SO IF THEY DON'T RENEW THEIR

[1:13:18] REGISTRATION ON THAT LIST THEY GET KICKED OFF THE LIST. THEY DO HAVE THAT OPPORTUNITY TO GET BACK ON THE LIST AND

[1:13:25] REREGISTER. AND WE DID SEE FROM 6500 DOWN TO APPROXIMATELY 3900 AT THAT

[1:13:31] FIRST SAVE MY SPOT DEADLINE. AND THEN WE ALSO WANTED TO CALL OUT IN 2020 FOR A HUGE INVESTMENT INTO UPGRADING AND

[1:13:37] MAINTAINING OUR OWN PROPERTIES. SO THOSE ARE PROPERTIES WITHIN THE THE RENTAL ASSISTANCE

[1:13:43] PROGRAM AND PREPARING FOR HOMEOWNERSHIP. I'M BLANKING ON THE ACTUAL

[1:13:50] NAME BUT THOSE TWO PROGRAMS. SO FINALLY I WANTED TO CALL OUT HERE WE HAVE A REHAB LOAN AS WELL AS OUR HELP LOAN AND

[1:13:58] WE SAW IN 2020 FOR A CONTINUED TREND OF MORE LOAN APPROVALS AND FEWER LOAN REPAYMENTS.

[1:14:05] AND I WOULD SAY THAT THAT TREND IS LIKELY INFLUENCED BY PEOPLE WANTING TO STAY PUT

[1:14:12] IN A HIGH INTEREST ENVIRONMENT. WE'RE STILL SEEING MORTGAGE RATES AT HISTORICAL HIGHS. AND SO THESE LOAN SPECIFICALLY

[1:14:20] ARE AT 2% 2% SIMPLE INTEREST. SO YOU CAN IMAGINE THERE'S NOT A LOT OF URGENCY TO REPAY

[1:14:27] THOSE LOANS CURRENTLY ALTHOUGH I DID HEAR RECENTLY THAT WE JUST HAD A FLURRY OF REPAYMENTS IN 2025. SO THOSE THOSE AREN'T PART OF THIS DATA BECAUSE THIS IS

[1:14:35] JUST 2024 DATA. BUT YEAH WE'RE SO WE'VE CONTINUED TO SEE THAT TREND OF MORE PEOPLE SEEKING THOSE

[1:14:40] LOANS. DURLING MENTIONED THAT OUR OLDER UNITS ARE NEEDING THAT MAINTENANCE SO THIS IS ONE OF THE OPPORTUNITIES THAT

[1:14:46] BLOOMINGTON HOUSEHOLDS HAVE TO GET MONEY FOR THOSE REHAB PROJECTS. SO FINALLY NEW DEVELOPMENT

[1:14:52] THIS IS A THIS IS FAMILIAR DATA IN A DIFFERENT FORMAT BUT SO WE DID HAVE SOME PROJECTS

[1:14:59] OPEN IN 2023 ONE WAS 100% AFFORDABLE. AND THEN UNDER CONSTRUCTION ARE ANOTHER THREE SUBSTANTIAL

[1:15:06] PROJECTS. SO JUST SEEING THEM MAPPED OUT HERE HERE'S THE PROJECTS THAT COMPLETED IN 2024. SO OXBOW HEIGHTS WAS THAT 100%

[1:15:12] AFFORDABLE BUILDING? AND THEN OVER ON THE EAST SIDE

[1:15:17] WE HAD HARDER ON THE BLUFFS THAT'S A 100% MARKET RATE BUILDING AND THEN NOBLE APARTMENTS IS HAS 9% OF ITS

[1:15:23] UNITS AT THE 50% AM I LEVEL BECAUSE THEY DID RECEIVE TIFF ASSISTANCE. AND THEN IN THE PIPELINE THERE'S THREE UNITS IN THE

[1:15:30] WEST THAT ARE CURRENTLY UNDER CONSTRUCTION AND THAT THAT INCLUDES I'LL HIGHLIGHT 700 AMERICAN THAT'S A PROJECT THAT IT'S IT'S CALLED THE AND NOW I

[1:15:38] SHOULD BE CLEAR AND THAT'S A PROJECT THAT GOT A LOT OF ASSISTANCE FROM THE HRA IN THE FORM OF AN AFFORDABLE HOUSING TRUST FUND LOAN AS

[1:15:44] WELL AS PROJECT BASED PROJECT BASED VOUCHERS FOR THOSE 30%

[1:15:49] UNITS AND WE ONLY HAVE ONE PROJECT NOW THAT HAS DEVELOPMENT ENTITLEMENT AND

[1:15:54] THAT'S PHASE FIVE AT BLOOMINGTON CENTRAL STATION. AND SO I THINK THAT'S IMPORTANT TO TO ILLUSTRATE

[1:16:00] WHAT WE'VE BEEN TALKING ABOUT OF DECREASED CONSTRUCTION AND INTEREST IN BUILDING AND

[1:16:06] HERE'S WHY THAT MIGHT BE THE CASE. WE THIS IS A PRODUCER PRICE INDEX SPECIFICALLY FOR CONSTRUCTION MATERIALS AND WE

[1:16:13] SEE THAT HUGE SPIKE AND THERE WAS A SINCE THEN IT'S HAS CONTINUED TO INCREASE BUT IT

[1:16:20] ALSO HASN'T DECREASED IT'S HELD AT THAT LEVEL. WHEREAS IF YOU LOOK BACK AT THE RECESSION THEY HAD A SPIKE BUT THEN IT FELL BACK DOWN.

[1:16:25] SO WE'RE SEEING THAT INCREASED INDEX FOR CONSTRUCTION MATERIALS STAY HIGH. IF IT DOES STAY LEVEL FOR A

[1:16:32] FEW MORE YEARS THEN I THINK WE'VE REACHED A POINT WHERE WE'D BE AT THE POINT WHERE WE WOULD BE IF THE TREND LINE HAD CONTINUED. BUT WE'RE STILL IN THAT MARKET

[1:16:39] SHOCK PHASE WHERE DEVELOPERS THEY'RE JUST NOT SEEING THEIR USUAL PROJECTS PENCIL OUT ANYMORE.

[1:16:46] AND SO I MENTIONED INTEREST RATES HAVE REMAINED HIGH. WE'RE STILL IN A HIGH INTEREST RATE ENVIRONMENT AND SO THAT'S IMPACTING FINANCING FOR

[1:16:54] PROJECTS. SO A PROJECT THAT WOULD HAVE COME TO THE CITY IS NOW SEEING

[1:17:01] ITS I FORGOT MY NOTES ON WHAT THAT CHANGES BUT THERE IS I BELIEVE IT WAS LIKE 5%

[1:17:08] INCREASE TO THEIR OVERALL COSTS JUST FROM FINANCING ALONE SO THAT COMES THROUGH THEIR LENDING AND THOSE ARE

[1:17:16] JUST COSTS THAT THE CITY CAN THERE'S NO ASSISTANCE THAT WE CAN PROVIDE IN THAT CASE AND I

[1:17:22] KNOW THERE WAS A LOT OF INFORMATION SO HERE ARE A FEW TAKEAWAYS.

[1:17:30] SO BLOOMINGTON POPULATION IS OLDER THAN THE METRO AND THE STATE THE CITY IS BECOMING MORE RACIALLY RACIALLY AND

[1:17:37] ETHNICALLY DIVERSE. BLOOMINGTON HAS CONSISTENTLY

[1:17:42] THE HAS BEEN THAT THE INCOME HAS IN FACT HAS CONSISTENTLY INCREASED BUT IS IS STILL

[1:17:47] BEHIND THE REGIONAL AND THE COUNTY AVERAGES THE INCOME

[1:17:54] LEVELS ARE CLOSELY WITH THE METRO AREA BUT DISPARITIES EXIST IN HOMEOWNERSHIP BY RACE

[1:18:02] AND ETHNICITY. ALSO A GROWING NUMBER OF HOUSEHOLDS IN BLOOMINGTON ARE SPENDING MORE THAN 30% OF THE INCOME ON HOUSING

[1:18:09] ESPECIALLY RENTERS AND YEAH, I THINK I GOT TO A LOT OF THE

[1:18:14] TAKEAWAYS AT THE END OF MY PRESENTATION BUT HIGHLIGHTING THAT WE'RE STILL IN AN ENVIRONMENT WHERE COSTS ARE

[1:18:21] HIGH FINANCING IS IS EXPENSIVE FOR THESE PROJECTS AND BLOOMINGTON ISN'T ALONE IN SEEING THAT DECREASE

[1:18:28] OF CONSTRUCTION STARTS AND PROJECTS SEEKING ENTITLEMENT TO BEGIN CONSTRUCTION. SO YOU'VE PROBABLY SEEN A LOT OF NEWS ARTICLES ABOUT ST PAUL

[1:18:34] MINNEAPOLIS THAT HAVE SHOWN THAT LINE IS GOING DOWN AND STAYING DOWN. SO I THINK THE TAKEAWAY IS

[1:18:40] THAT IT'S A VERY CHALLENGING, CHALLENGING ENVIRONMENT AND WE AS STAFF ARE HEARING A LOT OF REQUESTS FROM DEVELOPERS TO

[1:18:48] MAKE TO HELP THEM MAKE THEIR PROJECTS WORK BUT THEY'RE NOT THE ONLY ONES THAT ARE STRAPPED FOR RESOURCES. WE'RE ALSO STRAPPED FOR

[1:18:53] RESOURCES AND WE HEARD THAT AT THE STATE LEVEL TOO. SO THAT YEAH, THANK YOU AND

[1:18:59] WE'LL STAND FOR QUESTIONS. YOU GOT A QUESTION? YEAH I DO LOOK AT THAT COST BENEFIT CHALLENGES US WHAT

[1:19:07] ROLE DO YOU THINK A INCREASE IN PROPERTY TAXES AS WELL AS INCREASE IN INSURANCE IS

[1:19:15] HAVING AN EFFECT SHORT TERM AND LONG TERM I AM I AS WELL AS ON THE ABILITY TO TO BUILD

[1:19:22] AN AFFORDABLE RATE. PRESIDENT CHAIR COMMISSIONER WOOTEN I WILL TRY AND SCRUB

[1:19:30] BACK TO THERE'S A SLIDE. IT'S PERFECT. YEAH I'M NOT GOING TO GET TO IT. THE SLIDE THAT WE HAD THAT

[1:19:35] SHOWED WHAT'S CONSIDERED AN AFFORDABLE HOME PRICE AT THOSE DIFFERENT AM I LEVELS AND SO THAT'S ANOTHER NUMBER THAT THE

[1:19:41] METROPOLITAN COUNCIL PREPARES FOR US PREPARES FOR THE METRO OH YEAH THAT ONE. SO THAT TAKES INTO ACCOUNT

[1:19:48] INTEREST RATES. IT DOES TAKE INTO ACCOUNT INSURANCE COSTS BUT THIS

[1:19:53] NUMBER ISN'T FREQUENTLY UPDATED. SO I THINK YOU'VE HIGHLIGHTED SOMETHING REALLY IMPORTANT WHICH IS THAT THOSE COSTS ARE INCREASING. AND SO WHAT THAT MEANS IS THIS

[1:20:00] AFFORDABLE HOME PRICE LEVEL EVEN IF INCOMES INCREASE, THAT AFFORDABLE HOME PRICE LEVEL MAY STAY AT THE SAME BECAUSE

[1:20:07] IT IS TAKING INTO ACCOUNT THOSE COSTS THAT THE HOMEOWNER WILL HAVE TO PAY AFTER MAKING THEIR HOME PURCHASE. SO YEAH, I THINK THAT'S A

[1:20:15] REALLY EXCELLENT POINT TO MAKE AND IT JUST MEANS THAT PURCHASING IS PURCHASING A HOME DOESN'T BECOME AFFORDABLE

[1:20:22] . OTHER QUESTIONS I HAVE A COMMENT.

[1:20:31] I GET A LITTLE EXCITED WHEN PEOPLE SAY INTEREST RATES ARE HISTORICALLY HIGH. NO THEY'RE NOT OKAY.

[1:20:38] THEY'RE NOT 1,819% THAT WAS IN THE 70S.

[1:20:44] IN THE 80S. YEAH THAT'S HISTORICALLY HIGH. INTEREST RATES WERE ARTIFICIALLY KEPT LOW DURING

[1:20:51] COVID. SO I THINK WHAT WE'RE FINDING IS A MORE BALANCED MARKET

[1:20:58] IN THAT 6 TO 7% IS IS MORE OF A NORMAL MARKET. I MEAN WE'D LIKE TO SEE THEM GET SIX YOU KNOW, CLOSER TO SIX AND SEVEN BUT IS NOT AND

[1:21:08] AND I THINK JUST EVERYONE HOUSEHOLDS, PEOPLE BUSINESSES HAVE TO ADJUST TO KIND OF THE

[1:21:13] NEW NORM OF THIS IS WHAT INTEREST RATES ARE AND THIS IS WHAT YOU FIGURE THEM OUT

[1:21:19] IN PROJECT SAND YEAH IT'S GOING TO HURT BUT IT'S ALSO

[1:21:25] WE'RE GETTING TO A BALANCE KIND OF WHERE INTEREST RATES SHOULD BE. SO I'LL GET OFF MY SOAPBOX NOW. WELL I'LL JUST REINFORCE YOUR

[1:21:33] COMMENT WHEN WE BOUGHT OUR FIRST HOUSE IN 1973 IT WAS A

[1:21:39] 7.75% RATE. WE THOUGHT THAT WAS PRETTY GOOD. SO AGAIN THEY WERE NORMAL BUT

[1:21:46] THAT BUT ONE OF THE THINGS THAT I WAS EXCITED ABOUT HEARING AND MAYBE THE MAYOR OR

[1:21:54] SOMEBODY ELSE WANTS TO COMMENT ON IT IS TO TO SOLVE THE AFFORDABLE HOUSING ISSUES AND THINGS IT TAKES A NUMBER

[1:22:00] OF APPROACHES TO IT AND THE CITY HAS RECENTLY BEEN LOOKING AT MAKING SOME CHANGES TO ORDINANCES AND THINGS THAT

[1:22:06] MIGHT PERMIT US TO GO BACK TO WHAT WAS DONE FOR MANY YEARS WHERE SOMEBODY TAKES IN A

[1:22:13] BORDER OR SOMEBODY JUST RENTS A ROOM OUT OR DOES SOMETHING ELSE AND IT IS SOMETHING THAT THAT CAN HELP ELDERLY PEOPLE

[1:22:19] STAY IN THEIR HOME AND MAYBE THEY HAVE SOME COMPANIONSHIP AND SOMETHING AND SO I THINK THAT THERE ARE OTHER THINGS

[1:22:27] THAT WE'RE LOOKING AT AND IF WE CONTINUE IN THIS ENVIRONMENT WITH THE CONSTRUCTION COSTS AND INTEREST RATES BEING HIGH AND

[1:22:34] I THINK THE CHANCE OF INTEREST RATES QUITE DOWN TO THE 2 OR 3% LEVEL IS PROBABLY NOT VERY

[1:22:41] HIGH. SO WE'RE GOING TO HAVE TO LOOK AT IT HOW WE CAN THINK CREATIVELY ABOUT THIS AND I THINK THAT'S PROBABLY GOING TO

[1:22:49] BE SOME OF THE MOST IMPORTANT PROBLEM SOLVING THAT WE DO. I WOULD AGREE, MR. PRESIDENT AND AND I GIVE STAFF CREDIT AS

[1:22:57] WITHIN THE CITY BOTH HRC STAFF, THE PORT STAFF AND JUST OUR PLANNING STAFF YOU'RE

[1:23:03] BRINGING BACK IDEAS AND SUGGESTIONS AND OPPORTUNITIES AND IDEAS. I LIKE THE THE SINGLE ROOM

[1:23:09] OCCUPANCY PROPOSAL I THINK IS ONE OF THE MORE INTERESTING AND CREATIVE IDEAS ESPECIALLY

[1:23:16] GIVEN THE POSSIBILITY OF OUR OLD OFFICE BUILDINGS BEING CONVERTED INTO SORROWS.

[1:23:23] THERE ARE REAL POSSIBILITY AND WE JUST NEED TO KEEP CONSIDERING THINGS LIKE THAT AS AS PRESIDENT ERIC AND SAID

[1:23:31] YOU KNOW THE OLDER THINKING OF TAKING IN A BORDER OR THESE SINGLE ROOM OCCUPANCY WHICH

[1:23:38] WERE POPULAR UNTIL THEY WEREN'T ANYMORE AND WERE OUTLAWED FOR A VARIETY OF REASONS BACK IN THE 70S I THINK HAVE A HAVE A REAL POSSIBILITY

[1:23:49] IF YOU HAVE A QUESTION COMMISSIONER MORE PETER JUST A COMMENT MORE THAN

[1:23:57] ANYTHING I JUST I FOUND IT VERY INTERESTING TO SEE THAT OUR MEDIAN INCOMES WERE PACING

[1:24:04] WITH THE METRO AND THE STATE AND THEN TO SEE THAT OUR HOME PRICES ARE HIGHER THAN

[1:24:12] EVERYONE ELSE. AND SO IT MAKES ME THINK OKAY ,IF OUR OUR POPULATION IS AGING, ARE WE HAVING THE JOBS

[1:24:20] IN PLACE THAT HELP THEM TRANSITION OUT OF THE WORKFORCE AND ALLOW YOUNGER FOLKS WITH FAMILIES TO

[1:24:26] TRANSITION INTO THE WORKFORCE BUT THEN IT'S REALLY ABOUT HOW CAN WE DO IT? I'M EXCITED ABOUT WHY WE HAVE

[1:24:33] THIS JOINT MEETING IS HOW CAN WE CONTINUE TO IMPROVE THE ECONOMIC PROSPERITY IN BLOOMINGTON SO THAT WHEN

[1:24:39] PEOPLE CAN COME HERE THEY CAN LIVE HERE BECAUSE EVENTUALLY I THINK WE'RE IN THE MIDDLE OF THIS.

[1:24:45] THERE'S GOING TO BE A TRANSITION AS WE GET OLDER. EVENTUALLY IT'S GOING TO TRANSITION. WE'RE GOING TO HAVE TO ATTRACT

[1:24:50] YOUNG FAMILIES TO BLOOMINGTON AND THERE IS NO DOUBT IN ANYONE'S MIND THAT I AM VERY PASSIONATE ABOUT YOUNG

[1:24:57] FAMILIES BECAUSE THAT'S THE STAGE OF LIFE THAT I AM IN AND I WANT TO SEE THE CITY CONTINUE TO PROSPER. BUT THAT MEANS THAT YOUNG FAMILIES HAVE TO HAVE A REASON

[1:25:05] TO STAY HERE AND JOBS IS A BIG PIECE OF IT. SO I'M EXCITED FOR THE PARTNERSHIP THAT WE CONTINUE TO HAVE. BUT I ALSO KNOW THAT THE

[1:25:11] CHALLENGES WE'RE GOING TO HAVE TO FACE AND THE REALITIES OF OUR SITUATION HERE IN BLOOMINGTON ARE ENORMOUS AND SO IT'S GOING TO TAKE THE

[1:25:16] COLLECTIVE EFFORT OF EVERYBODY HERE TO MAKE SURE THAT WE CAN CONTINUE TO MAKE SURE THAT JOBS ARE HERE AND PEOPLE CAN LIVE HERE.

[1:25:27] COMMISSIONER WHO. KING THANK YOU. CHAIR TO KIND OF PIGGYBACK OFF

[1:25:32] OF WHAT COMMISSIONER MOUA WAS SAYING IS I THINK YOU KNOW, WHEN WE THINK ABOUT CREATIVITY

[1:25:39] THOUGH, WE HAVE TO THINK OUTSIDE OF JUST YOU KNOW, I WILL DO MY SOAPBOX OF LIKE TINY HOMES AND THINGS LIKE

[1:25:46] THAT LIKE THERE ARE A LOT MORE POPULAR IN OTHER STATES I WORK IN DUE DILIGENCE OLD INVESTMENTS IN PARTICULAR AND

[1:25:54] WE SEE A LOT OF THESE DEVELOPMENTS REALLY STARTING TO COME AND A LOT OF HYPE INTO THEM. AND I THINK THAT YOU KNOW, IT'S SOMETHING THAT WE NEED TO

[1:26:02] I THINK DIG A LITTLE DEEPER INTO AND REALLY OPEN OUR MINDS AND BE CREATIVE TO THE FACT THAT PEOPLE DON'T KNOW NOT EVERYBODY WANTS TO LIVE IN A

[1:26:07] BIG HOUSE ANYMORE. NOT EVERYBODY WANTS TO LIVE IN AN APARTMENT. SOME PEOPLE JUST WANT TO CALL

[1:26:13] HABITAT BUT INDIVIDUALLY AND THERE'S WAYS AROUND THAT. I THINK WE'RE SEEING YOUNGER

[1:26:18] GENERATIONS WANTING DIFFERENT THINGS. THEY WANT TRANSIT. THEY DON'T WANT CARS. THEY DON'T WANT THEY WANT WALKABILITY.

[1:26:23] THEY WANT THESE THINGS AND WE HAVE TO CONTINUE TO PROVIDE THOSE THINGS IN ORDER TO BRING

[1:26:29] IN YOUNG FAMILIES AND BRING THEM A FUTURE SO THAT'S KIND OF I GUESS MY LITTLE SOAPBOX ON THAT. THANK YOU FOR 30 QUESTIONS

[1:26:37] COMMENTS. YOU KNOW ONE OF THE THINGS

[1:26:42] THAT I THINK ABOUT IN BLOOMINGTON OF COURSE IS IN THE FORTUNATE SITUATION

[1:26:47] THAT IT HAS OVER 30% OF ITS SURFACE AREA AND PARKS AND WHAT THAT LETS YOU DO IS BECAUSE YOU HAVE RECREATIONAL

[1:26:55] AREAS AND THINGS THAT USE AND YOU CAN TAKE HIGHER DENSITY. AND SO I THINK WE'RE IN A SITUATION WHERE A LOT OF THESE THINGS CAN BE PERHAPS LOOKED

[1:27:02] AT AND THERE'S A LOT OF WORK ON A NATIONAL BASIS. I THIS WAS AN INTERNATIONAL

[1:27:08] BASIS. I JUST WAS READING AN ARTICLE IN THE ECONOMIST ABOUT THE BRITISH HOUSING MARKET AND

[1:27:14] THEY ARE CONCLUDING THAT SOME OF THE RIGID ZONING REQUIREMENTS, THE THINGS THAT THEY PUT IN FOLLOWING WORLD

[1:27:20] WAR TWO DIDN'T HELP IN FACT THEY THEY TAKE TOOK AND STYMIE THE WHOLE PROCESS AND SO I

[1:27:28] THINK WE MAY HAVE TO BE IN A SITUATION WHERE WE LOOK AT SOME OF THESE THINGS AND SAY

[1:27:33] OKAY, WHAT WAS WHY DID WE DO THIS AND DID IT WORK? DIDN'T IT WORK AND AND GO BUT

[1:27:39] WE DO HAVE A SITUATION WHERE WE HAVE A LOT OF PEOPLE THAT FIND IT VERY DIFFICULT TO FIND

[1:27:44] AFFORDABLE HOUSING AND THAT'S PART OF THE REASON THAT WE HAVE THE HOMELESS THAT WE HAVE

[1:27:51] AND IN DEALING WITH THIS. SO IT'S SOMETHING THAT I THINK WE'RE GOING TO HAVE TO BE CREATIVE ABOUT LOOKING AT AND GIVEN THE FINANCIAL SITUATION

[1:27:58] WE'RE LIKELY TO BE IN, IT'S GOING TO TAKE REALLY A LOT

[1:28:03] OF THOUGHT AND EFFORT SO WE HAVE SOME REAL CHALLENGES AHEAD OF US I THINK TO SEE WHAT WE CAN DO TO AMELIORATE

[1:28:10] THIS ISSUE IF WE DON'T HAVE ANYTHING ELSE.

[1:28:17] I THINK THE PORT AUTHORITY CAN ADJOURN AND I UNDERSTAND THE ARCHERY IS GOING TO CONTINUE. RIGHT. SO WE WILL LEAVE YOU WE'LL BE

[1:28:25] HAVING A FIVE MINUTE BREAK FOR THE THREE.

[1:28:32] THANK YOU ALL. I GUESS