Chair Jennifer Mueller read a proclamation declaring June 2026 National Homeownership Month, highlighting the HRA's role in providing pathways to homeownership and housing stability for residents.
Board voted 5-0 to approve a development agreement and gap assistance for two single-family homes at 8313 Blaisdell Ave S and 1210 W 82nd St, part of the Bloomington Affordable Homeownership Program. The deal combines Minnesota Housing Impact Funds, $100,000 per site from Hennepin County, and $75,000 per property in local housing aid (LAHA/local housing trust fund) to cover construction cost gaps; homes will be income-restricted to buyers at or below 80% AMI with a 30-year affordability covenant. Closing on the lots is targeted for July with occupancy expected by mid-2027.
Facing rising construction and prevailing-wage costs (which staff and developer Outlaw Development said can add 25-40% to project costs), staff floated redesigning the roughly 16-17 unit St. Mark's affordable homeownership site to use the city's newly passed missing middle ordinance for duplexes or triplexes instead of single-family homes, and said the total unit count may need to be phased or reduced due to funding limits. An RFP for site engineering/road design and a developer application process are expected soon.
Commissioners voted 5-0 to table a proposed formal contract with Twin Cities Habitat for Humanity Lending that would use LAHA funds for down-payment assistance, after multiple board members objected that the new contract broadens eligibility beyond the racially-targeted language in the original 2023 MOU without adequate board notice. An absent commissioner's statement, read into the record, cited lack of historical context and LAHA budget clarity as reasons she would have abstained; staff cited evolving federal guidance (including a HUD inquiry into a Washington state program with similar race-based language) as the reason for the broader language. The item is expected to return at a possible added meeting around June 23.
Staff presented a new interactive story-map version of the annual housing data report: Bloomington's population is about 92,000, median home value $376,000, median gross rent ~$1,500, vacancy rate just 4%, and 27% of residents are housing cost-burdened. The data show stark racial disparities — Black and American Indian households face housing cost burden rates near 40% versus lower rates for white households, who own homes at 73% versus much lower rates for other groups. The city is well behind its 2030 goal for deeply affordable (30% AMI) units, with only about 40 built against a roughly 450-unit need.
Staff flagged significant new state regulations on homeowner associations (fee/fine caps, expanded conflict-of-interest rules, competitive bidding requirements, anti-retaliation protections) that the HRA will need to communicate to local HOAs. Staff also noted a new quarterly HRA-owned-property report, an emergency maintenance vendor change, and a CDBG-CV capital improvement spending deadline in August.
Staff requested and the board indicated support for scheduling a special meeting on June 23 to act on a low-income housing tax credit application with tight approval timelines; this meeting will likely also reconsider the tabled Habitat contract.
