Approval of Minutes of the July 20, 2026 HRA Meeting
The HRA considered approval of the minutes from its July 20, 2026 regular meeting, which had included adoption of the 4d(1) affordable housing tax classification policy and approval of $874,952.11 in claims.
The EDA received a presentation update on the Small Business Resiliency Program, an emergency $150,000 program created to help Richfield businesses affected by Operation Metro Surge. Of 46 applications reviewed, 10 small businesses were approved for roughly $64,000 total in forgivable loans, while 24 applications were found fraudulent and 12 were ineligible or unresponsive.
Key figure: $150,000 — Total funding for the emergency Small Business/Richfield Resiliency Program
Potential benefit
Ten small Richfield businesses received nearly $64,000 total in forgivable loans to recover from disruptions tied to Operation Metro Surge, helping keep local storefronts open.
Concern to consider
24 of the 46 applications were found fraudulent, raising questions about program vulnerability to misuse of taxpayer-funded relief.
What happens next: Staff continued finalizing agreements and delivering forgivable loan checks in person to the 10 approved businesses.
Economic Development AuthorityItem 7.aOutcome pending
Resolution Accepting Transfer of $55,000 in Unspent ASH Grant Funds for Apartment Remodeling Program
The EDA considered a resolution accepting a transfer of $55,000 in unspent Affordable Suburban Housing (ASH) grant funds from the Housing and Redevelopment Authority. The money, originally part of a $100,000 grant awarded to the HRA in 2019 for naturally occurring affordable housing (NOAH) rehabilitation, would be combined with the EDA's Apartment Remodeling Program to speed up spending on rental unit improvements.
recorded in the approved minutes — tally not yet extracted here
Key figure: $55,000 — Unspent ASH grant funds transferred from HRA to EDA Apartment Remodeling Program
Potential benefit
$55,000 in previously unused affordable-housing grant money would be redirected to fund rehabilitation loans for existing rental units instead of sitting unspent for years.
Concern to consider
The funds are limited and will likely help only a small number of apartment rehabilitation projects, similar to the single $45,000 grant awarded in 2020 under the original program.
What happens next: If approved, the $55,000 transfer will be incorporated into the EDA's Apartment Remodeling Program budget for 2027 to fund rehabilitation loans for affordable rental units.
Economic Development AuthorityItem 7.bOutcome pending
Update to the Inclusionary Housing Policy
The EDA considered updates to the City's Inclusionary Housing Policy, raising the minimum project size that triggers affordability requirements from 5 to 15 units, requiring owner-occupied affordable units to remain affordable for at least 15 years, eliminating the payment-in-lieu option for accessible units, and aligning the policy with the City's new 4(d)(1) tax classification policy adopted in June 2026. The policy has produced 114 affordable units since 2019, mostly at the Penn Station development.
recorded in the approved minutes — tally not yet extracted here
Updated rules require owner-occupied subsidized units to stay affordable for at least 15 years and eliminate a loophole allowing developers to pay cash instead of building accessible units, increasing the accessible housing supply.
Concern to consider
Raising the minimum project size from 5 to 15 units before affordability requirements apply means smaller infill developments will no longer be required to include any affordable units.
What happens next: The policy update also goes to the Richfield HRA on August 17 and to the City Council on September 8, 2026 for final review and approval.
Economic Development AuthorityItem 10.aOutcome pending
2027 EDA Budget and Tax Levy and 2026 Revised EDA Budget
The EDA considered resolutions adopting a $957,580 proposed 2027 General Fund budget, a 3.5% ($22,580) increase in its 2027 property tax levy to $667,740, and a revised 2026 budget increased by $176,190 largely to fund a $150,000 emergency small-business resiliency program. The 2027 budget funds programs including Kids@Home ($156,000), Transformation Loans ($141,000), Apartment Remodeling ($155,000), and a new $70,000 REVIVE small business program.
recorded in the approved minutes — tally not yet extracted here
Key figure: $957,580 — Proposed 2027 EDA General Fund budget
Potential benefit
The 2027 budget commits levy funds and fund balance to programs like Kids@Home ($156,000), Transformation Loans ($141,000), Apartment Remodeling ($155,000), and a new $70,000 REVIVE small business program.
Concern to consider
The proposed levy is a 3.5% increase ($22,580) over 2026, adding to Richfield property owners' tax burden.
What happens next: The proposed tax levy must be certified to the Hennepin County Auditor by September 30, 2026, with final certification of the levy completed as part of the City's broader budget process later in 2026.