Item Description:
title
Approval of 2025 Hennepin County Housing and Redevelopment Authority levy and budget
end
Resolution:
body
BE IT RESOLVED, that Hennepin County Housing and Redevelopment Authority Board of Commissioners adopts a final tax levy of $22,186,537 for general operating purposes and a budget of $39,362,093 for 2025; and
BE IT FURTHER RESOLVED, that the 2025 Housing and Redevelopment Authority Budget, as proposed on September 17, 2024, be amended as follows:
1. That the 2025 Housing and Redevelopment Authority Operating (Fund 32) revenue budget be increased by $100,000, using unassigned fund balance; and that an interfund revenue transfer of $100,000 to the Hennepin County Housing and Economic Development department (Fund 10) be authorized for the purposes identified by Hennepin County Resolution 24-0373R1, clause 34; and
2. That the Hennepin County Housing and Redevelopment Capital Project 1011474: 2025 Affordable Housing be established in the 2025 Capital Budget (Fund 37); and that the 2025 revenue and expenditure authority be increased by $5,000,000 in property tax; and
3. That the Hennepin County Housing and Redevelopment Capital Project 1011475: 2025 Transit Oriented Development be established in the 2025 Capital Budget (Fund 37); and that the 2025 revenue and expenditure authority be increased by $2,200,000 in property tax; and
4. That the Hennepin County Housing and Redevelopment Capital Project 1011380: 2025 Economic Support Strategies be established in the 2025 Capital Budget (Fund 37); and that the 2025 revenue and expenditure authority be increased by $525,000 in property tax; and
5. That the Hennepin County Housing and Redevelopment Capital Project 1011473: 2025 Affordable Rental & Home Ownership Contracts be established in the 2025 Capital Budget (Fund 37); and that the 2025 interfund revenue transfer and expenditure authority for Capital Project 1011473 be increased by $7,939,908, using $2,200,000 of Hennepin County Local Affordable Housing Aid (Fund 24) and $5,739,908 of Housing and Redevelopment Authority Operating (Fund 32) unassigned fund balance; and
6. That the 2025 Housing and Redevelopment Authority Operating (Fund 32) revenue budget be increased by $5,739,908, using unassigned fund balance; and that an interfund revenue transfer from the Housing and Redevelopment Authority Operating (Fund 32) to the Housing and Redevelopment Authority Special Projects (Fund 37) CP1011473: 2025 Affordable Rental & Home Ownership Contracts project be authorized for $5,739,908; and
7. That the 2025 interfund revenue transfer and expenditure budget for Housing and Redevelopment Authority Special Projects (Fund 37) CP1011473: 2025 Affordable Rental & Home Ownership Contracts project be authorized for $2,200,000 of Hennepin County Local Affordable Housing Aid (Fund 24)end
Background:
On September 17, 2024, the Hennepin County Housing and Redevelopment Authority (HCHRA) Board of Commissioners set the HCHRA’s maximum levy for 2025 at $22,186,537 with a proposed budget of $31,322,185 (Resolution 24-HCHRA-0029).
Consistent with Hennepin County Resolution 24-0373R1, as adopted on December 12, 2024, staff recommends increasing the proposed revenue and expenditure budgets by $8,039,908 as follows, resulting in a final 2025 HCHRA budget of $39,362,093 (no impact to levy):
• An increase of $7,939,908 for HCHRA Fund 37 2025 Affordable Rental & Home Ownership Projects (CP 1011473), using an interfund revenue transfer of $2,200,000 from the Hennepin County Local Affordable Housing Aid (Fund 24), and an interfund revenue transfer of $5,739,908 from HCHRA Fund 32 Operating Fund Balance for affordable rental and homeownership agreements identified in Hennepin County budget actions on December 12, 2024; and
• An interfund revenue transfer of $100,000 from HCHRA Fund 32 Operating Fund Balance to the Hennepin County Housing and Economic Development department 2025 budget to explore current and future opportunities to collaborate with relevant state and local agencies and more actively participate in the assessment, development, accessibility, and marketing of destinations in Hennepin County as a way to serve residents, equitably grow the county’s visitor economy, attract workers and business investment, and cultivate our diverse communities’ unique assets, arts and cultural offerings, amenities, recreational, and business opportunities, as identified in Hennepin County Resolution 24-0373R1, clause 34.
The 2025 HCHRA budget supports:
• a full range of affordable housing opportunities, which include the Affordable Housing Incentive Fund, Supportive Housing capital program and operations, and investments in homeownership and single-room occupancy;
• regional economic competitiveness, which include the Elevate Hennepin suite of activities, and a core set of cohort training programs (CEO Start, CEO Now, and CEO Next);
• building the long-term value of communities, which include the Transit Oriented Pre-Development and Communities programs; and
• operations, administrative, and financial activities.
recommendation
Recommendation from County Administrator: Recommend Approval