Item Description:
title
Authorize Antidisplacement Community Prosperity Program contracts, various dates, combined NTE of $2,000,000
end
Resolution:
body
BE IT RESOLVED, that Hennepin County Board of Commissioners directs the County Administrator to negotiate agreements with varying contract terms for organizations that meet the legislative requirements of expenditures for a “qualifying purpose” for expenditures by the Antidisplacement Community Prosperity Board; that the cumulative not to exceed amount for all agreements is $2,000,000 and the required equal amount of matching funds from nonstate sources will be secured and verified prior to contract execution; and
BE IT FURTHER RESOLVED, that following review and approval by the County Attorney’s Office, the Chair of the Board be authorized to sign Agreements with the organizations below on behalf of the County; and that the Controller be authorized to disburse funds as directed.
1. African Career, Education & Resource Inc.
2. Amani Construction & Development LLC
3. Black Women's Wealth Alliance, SBC
4. Brown & Dupay Properties LLC
5. Harrison Neighborhood Association, Inc.
6. Heritage Park Neighborhood Association
7. Housing in Action
8. Kirk’s Café LLC
9. Land Bank Twin Cities, Inc.
10. Northside Economic Opportunity Network
11. Northside Residents Redevelopment Council, Inc.
12. Riverfront Development Partners LLC
end
Background:
The Blue Line Extension (“BLE”) Light Rail Transit Project (“Project”) is proposed to run 13.4 miles northwest from downtown Minneapolis, connecting Brooklyn Park, Crystal, Robbinsdale, and north Minneapolis.
Through Resolutions 20-0388R1 and 21- 0080 this Board authorized contracts for community engagement work associated with the Project. In this engagement work, community members expressed concern that the increased demand for real estate likely to result from the Project would result in displacement of current residents, businesses, and cultural amenities. Many communities in the BLE corridor have suffered historical disinvestment and continue to experience racial and economic disparities stemming from systemic racism, segregation, redlining, and other unjust housing and land-use policies and practices. Major public infrastructure investments have too often been delivered at the expense of communities of color. Communities in the BLE corridor have experienced this history firsthand with the construction of Interstate 94 and Olson Memorial Highway, which displaced thriving Black and Jewish businesses, neighborhoods, and cultural districts. With the opportunities light rail can bring to communities, it can also bring concerns and risk of displacement.
To address residents’ concerns, Hennepin County contracted with the University of Minnesota Center for Urban and Regional Affairs (“CURA”) to work with the community to develop anti-displacement policy and strategy recommendations through a community based Anti-Displacement Work Group (Resolution 21-0355, Contract PR00003564). CURA prepared the Blue Line Extension Anti-Displacement Recommendations in April 2023 that outlined potential policies to achieve the recommended outcomes. The BLE Project is an opportunity to build inclusive community prosperity. County and community partners are committed to working together to prevent displacement and maximize the benefits of light rail for existing residents and businesses within the BLE corridor.
In the spring of 2024, the Minnesota State Legislature established the Anti-displacement Community Prosperity Program “to preserve and enhance affordable housing, small business support, job training and placement, and economic vitality and to benefit the people and sense of community along the Blue Line light rail transit extension corridor.” (Minnesota Session Laws 2024, Regular Session, Chapter 127, Sections 118 and 119).
The legislation also established the Anti-displacement Community Prosperity Program Board (“ACPP Board”) to govern the Program, using an application process, evaluating proposals, and approving Program expenditures. The 26-member ACPP Board includes residents and business owners in the area, people with lived experience of displacement, and people from the philanthropic community and local government agencies.
Additionally, the legislation directs Hennepin County to “provide meeting space, administrative support, and staff support for the board.” Additionally, the Minnesota legislature appropriated $10 million from the Metropolitan Council’s general fund to Hennepin County to administer the Blue Line light rail transit extension Antidisplacement Community Prosperity Program. (Minnesota Session Laws 2024 Regular Session, Chapter 127, Article 1, Section 3). The ACPP Board and related funding will expire on June 30, 2030. On December 12, 2024, the Hennepin County Board approved Resolution 24-0497 to receive the $10 million in grant funds from the Metropolitan Council (Grant Agreement A2412619).
Legislation requires that Program money must only be expended for “qualifying purposes”, as defined in the legislation. Further, legislation requires that all contracts must receive an equal amount of matching funding from nonstate sources, including federal, local, Metropolitan Council, or philanthropic funding. (Session Laws 2024, Regular Session, Chapter 127, Sections 119 Subd. 4).
The one-time budget appropriation is available until June 30, 2027. (Minnesota Session Laws 2024 Regular Session, Chapter 127, Article 1, Section 3). The ACCP Board will expire on June 30, 2030. (Minnesota Session Laws 2024, Regular Session, Chapter 127, Sections 119, Subd 6).
This Resolution is consistent with Resolutions 24-0383 and 24-0497. In Resolution 24-0383, the Board voted to support Antidisplacement activities in the Project corridor, stating: “Hennepin County is committed to maximizing the community benefits of the Project and preventing displacement, to ensure that current residents along the alignment of the Project realize these benefits.”
recommendation
Recommendation from County Administrator: Recommend Approval