First Ward December Newsletter

Ward 1 News from Minneapolis Council Member Kevin Reich
Visit us at www.minneapolismn.gov/ward1

December 2018

CONTACT INFORMATION

Kevin Reich
350 S. 5th St.
City Hall, Room 307
Minneapolis, MN 55415

Phone: 612-673-2201

Email:
kevin.reich@minneapolismn.gov

Neighborhoods

Audubon Park
Columbia Park
Como
Holland
Logan Park
Marshall Terrace
Mid-City Industrial
Northeast Park
Waite Park
Windom Park

City of Lakes

Council Member's Message

A plentiful supply of affordable housing is one of our City's most pressing needs and has been one of my primary focuses since I joined the Council in 2010. Thus I'm happy to report an expanded program to increase the amount of naturally occurring affordable housing.

Naturally occurring affordable housing (NOAH) is unsubsidized multi-family rental housing in which at least 20% of the units are affordable to households with incomes at or below 60% of the Area Median Income (AMI). In April we introduced the 4d Pilot Initiative, which offered Low Income Rent Classification status to owners of qualified properties of ten units or more who agreed to restrict a portion of their units at 60% AMI for ten years.

In August we received a report on the early results of the pilot. Ten applications, comprising a total of 207 rent-restricted units were selected for the program. In addition to the preferred tax status, 4d participants have the opportunity to tap City franchise fee energy efficiency funds for efficiency, health and safety improvements. The cost of the program to the City was $2180, plus the fiscal impact of granting 40% reduction in property taxes to preserve 207 units for ten years.

Based on the results of the pilot, the Council resolved in October to create an ongoing 4d Affordable Housing Incentive Program. This expanded program has the potential to preserve affordability of 700-1,500 units in 2019. Based on public input received during the pilot process, eligibility will now extend to buildings or tax parcels with at least two units. This development is a win-win for our residents, allowing us to use our dollars efficiently to expand access to affordable housing across the city. Applications are being accepted now for the 2019 program. For more information about how to apply, see the story below.

Kevin Reich Signature