The Minnesota Senate's Committee on Housing and Homelessness Prevention convened on February 6, 2025, to discuss critical measures aimed at preserving affordable housing in Minneapolis. A key focus of the meeting was a proposed bill that seeks to address a significant capital backlog affecting the Minneapolis Public Housing Authority (MPHA), which currently oversees over 3,300 homes across the city.
Senator Fata introduced the bill, emphasizing the urgency of maintaining these homes for future generations. He highlighted the collaborative efforts between MPHA, the Minnesota Housing agency, and the city to tackle the challenges posed by deteriorating infrastructure and funding shortfalls. The senator underscored that investing in affordable housing should be a bipartisan priority, reflecting a commitment to support vulnerable populations.
Abdi Warsami, CEO of MPHA, provided an overview of the agency's operations, noting that it serves approximately 26,000 individuals through various programs, including low-income public housing and housing choice vouchers. Warsami pointed out that the agency faces a staggering capital backlog estimated at $260 million, primarily due to historical underfunding from the federal government. This backlog poses a significant threat to the continued operability of existing housing units.
Despite these challenges, Warsami reported positive developments, including the conversion of 800 homes from the Section 9 to the Section 8 platform, which has resulted in increased subsidies and the addition of new units. He also highlighted successful partnerships that have led to substantial funding for rehabilitation projects, including a $65 million redevelopment initiative aimed at revitalizing 221 units in Northeast Minneapolis.
The committee's discussions underscored the importance of continued investment in affordable housing, particularly as demand remains high. Warsami noted that a recent opening of the waiting list for the deeply affordable family housing program attracted 3,300 applicants in just five days, demonstrating the pressing need for such housing solutions.
As the committee moves forward, the proposed bill represents a critical step in addressing the capital needs of MPHA and ensuring that affordable housing remains accessible to those who need it most. The outcomes of this meeting could have lasting implications for housing stability in Minneapolis, reinforcing the importance of legislative support in combating homelessness and preserving community resources.