The debate over the housing trust fund was sparked by community feedback and differing opinions among board members regarding the fund’s role in addressing housing needs. A proposal to increase funding from zero to $200,000 was introduced, highlighting concerns from a member who emphasized the importance of maintaining workforce housing initiatives. The member noted that previous investments in the housing trust fund had generated over $100,000 in increased tax revenue for the county. However, the proposal to increase the funding ultimately failed to pass, reflecting divided opinions on the board.

During the meeting, a housing rehab coordinator provided insights into the housing trust fund’s role in supporting low-income individuals with home repairs, highlighting that the fund acts as a crucial safety net for those who do not qualify for other assistance programs. The coordinator emphasized the necessity of maintaining the fund to ensure housing affordability and stability for qualifying individuals. The discussion also included references to a housing study from 2020, which projected a need for 4,800 additional housing units in Crow Wing County over the next 15 years. This forecast underscored the pressing demand for affordable housing, driven by the area’s growth as one of the fastest-growing regions outside the seven-county metro.

As the conversation evolved, audience members raised concerns about the impact of government-funded housing projects on the rental market. One participant expressed skepticism about increasing funding for the housing authority, arguing that it might not address the root causes of affordability and supply issues. This sentiment was echoed by others who advocated for keeping taxes low to help maintain affordable rents and foster private sector solutions to the housing challenges.

The meeting also addressed broader budgetary concerns, with the board discussing a proposed increase in the property tax levy for 2026. The proposed levy of $50,839,879 represents an increase of just over $3 million or 6.49%. Intergovernmental revenue is projected to rise by $3.5 million, attributed to highway state aid, police aid, and reimbursements from cities and townships, along with state and federal grants. The county administrator outlined the necessity of adopting the preliminary levy by the end of September.

The board delved into the implications of the 6.49% levy increase, clarifying that it does not directly translate to a corresponding increase in individual property taxes. The actual tax impact would be determined closer to December when tax capacities and market values are assessed. Discussions also covered expenditure projections for unorganized territories, with notable increases in services and charges primarily due to highway maintenance costs and contractor fees.

The meeting concluded with discussions on the capital improvement plan (CIP) for 2026, which includes 84 projects with a budget increase from $7.9 million in 2025 to $8.4 million in 2026. The CIP focuses on maintaining and improving capital assets without imposing these costs on the operational budget. Supply chain challenges affecting project timelines and deliveries were acknowledged, reflecting ongoing difficulties in executing planned projects.