Edina Council Approves Controversial $4.8M Housing Development Agreement
The Edina City Council approved a controversial redevelopment agreement Tuesday that commits $4.8 million in SPARK funds to support affordable housing at 7200 France Avenue Apartments, despite concerns raised about transparency and fiscal responsibility.
The 4-1 vote, with Council Member Risser dissenting, came after extensive debate about using the special tax increment financing funds versus returning the money to Hennepin County. The project will create 15 affordable housing units in perpetuity as part of a larger apartment development on France Avenue.
Council Member Risser, who pulled the item from the consent agenda, argued the funds could be better used for city priorities like the delayed Lewis Park warming house project or hiring additional paramedic firefighters. She also raised concerns about discrepancies in the agreement documents regarding unit sizes and configurations.
'We're talking almost $5 million in SPARK funding,' Risser said, questioning whether the public benefit justified the expense given the project already received significant development incentives through zoning variances and tax increment financing.
City staff defended the decision, explaining that without the SPARK funding gap, the project would not move forward and the site would remain vacant. Economic Development Manager Bill Neundorf said the investment would generate approximately $3.7 million in additional tax revenue over 10 years compared to $1.6 million if the funds were returned to the county. The council also unanimously approved a variance appeal for a residential patio project and recognized the Edina High School Mountain Biking Team for winning the state championship.
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Votes (5)
Oath of Office Administration for Reelected Council Members
Three council members took oaths of office following their reelection in the fall 2024 election. Jackson and Pierce also took separate oaths for HRA commissioner positions. The ceremony was conducted by Clerk Sharon Allison with each member repeating the oath individually.
Approval of Meeting Agenda
Moved by Council Member Jackson [10:03] · Seconded by Council Member Pierce [10:03]
The council reviewed the published meeting agenda. Council Member Risser requested removal of item 6.12 (7200 France Avenue Redevelopment Agreement). The remaining consent agenda items were approved with 6.12 separated for individual discussion.
Appointment of Acting Mayor for 2025
Moved by Council Member Agnu [1:33:57] · Seconded by Council Member Jackson [1:34:03]
The council appointed Council Member Pierce as the acting mayor for 2025, continuing the arrangement from the previous four-year term. Council Member Jackson was noted as backing up the chair at the HRA.
Resolution 2025-09: Acceptance of Donations
Moved by Council Member Jackson [1:24:22] · Seconded by Council Member Pierce [1:24:22]
The council accepted donations totaling approximately $20,000-$30,000 for police and fire departments, including contributions to crime prevention, canine programs, memorial benches, and general departmental use. Donors included Carill ($1,000), Paul and Annette Nelson ($3,200 bench), Stacy Grimes ($3,200 bench), Cynthia Anderson ($3,200 bench), Thorl and Dolores Quigley, and Dr. Pat and Linda Smith.
Variance Appeal Decision - 5605 Maguire Road Impervious Surface Coverage
Moved by Council Member Agnu [1:28:52] · Seconded by Council Member Risser [1:29:00]
Following discussion, the council voted to approve the variance request, overriding the Planning Commission's recommendation for denial. All council members supported approval based on the unique circumstance of the shared driveway.
Notable Quotes (4)
Good evening everybody and welcome to the D city council meeting it's the first one of 2025 it is January 7th 25 7:01 p.m.
Is there a motion to appoint council member Pierce as the acting mayor for 2025 so move second got a motion by member egner second by member Jackson to appoint council member Pierce as the acting mayor for 2025
If this Alleyway driveway that was not even in use by this property did not exist they would be in compliance um and so honestly I think it's a pretty easy decision for me I would I'm supporting this variance tonight
I was moved by the fact that it seems to be disproportionately on the appellant land and that's just not fair so kind of land on the S side of fairness
Ordinances & Resolutions (6)
Resolution accepting donations on behalf of the City of Edina, including donations to police and fire departments totaling approximately $20,000-$30,000.
Resolution approving impervious surface coverage variance for new patio and improvements at 5605 Maguire Road.
Agreement establishing terms for 15-unit affordable housing development with SPARK funding; includes affordability requirements and unit specifications.
Amendment modifying increment distribution from 90% to 80% for 7250 France Avenue project in relation to 7200 France Avenue development.
State-authorized program allowing cities to use unallocated TIF funds for limited period to make substantial investments in community private development with public benefit requirements; created in Minnesota in 2021.
Financing mechanism used in Edina for redevelopment; currently 11 districts with 12th coming at Macy's furniture site; represents approximately 1% of city tax base.
Source document
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Other Topics from This Document
Oath of Office Administration
Community Comment and Public Discourse
7200 France Avenue Apartments Redevelopment Agreement and SPARK Funding
Edina High School Mountain Biking Team State Championship Recognition
Hennepin County Commissioner Update
Impervious Surface Coverage Variance Appeal
2025 Council Goals and Priorities
Also from this meeting
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