Minneapolis City Council Grapples with $13 Million Homelessness Funding Gap

The Minneapolis City Council meeting on April 29, 2025, focused heavily on the potential impacts of a $13 million funding shortfall for homelessness services in Hennepin County. This issue dominated discussions as council members expressed urgency in finding solutions to prevent a homelessness crisis.

Councilmember Jeremiah Ellison voiced concerns about the looming financial shortfall, emphasizing the dire consequences if the funding is not secured. He highlighted the possibility of a thousand individuals becoming homeless by January, stressing the severity of the issue. Ellison argued that the $1 million currently available, while seemingly beneficial, was insufficient to address the needs created by the impending fiscal cliff. He underscored the necessity for the city to prioritize homelessness in its discussions and actions.

Council President Elliott Payne echoed these sentiments, describing the situation as a “hot potato game” among various governmental jurisdictions. He emphasized the need for alignment between local, county, and state governments, warning that without cohesive action, the city could face hardships reminiscent of previous crises. Payne raised the possibility of increasing property taxes to bridge the funding gap, indicating the seriousness of the situation and the need for immediate solutions, regardless of state legislative outcomes.

Director Topinka provided clarification, noting that the $1 million represented statewide funds available through a competitive process. This explanation highlighted the complexities of the funding situation beyond immediate needs. Topinka also discussed legislative matters, including a Senate bill that would grant local governments the authority to enact their own plastic bag bans. Additionally, Topinka mentioned funding for cannabis-related prevention and education programs and food shelf initiatives as part of broader legislative deliberations.

Transportation funding also featured prominently in the meeting. The council discussed allocations for traffic calming measures, with differing amounts proposed by the House and Senate. The Senate removed funding for the Northern Lights Express Rail project, while the House included a $5 million appropriation for traffic calming in Minneapolis.

Public safety and judicial matters also occupied the council’s attention. Funding for crime victim services and police training programs came under scrutiny. A council member sought clarification on the allocation of $103 million for the Office of Justice Programs, expressing concern about the prioritization of this funding in the context of the homelessness crisis. The discussions further touched upon public subsidies for sports facilities, with funding requests related to the Xcel Energy Center and U.S. Bank Stadium.

Housing legislation and climate mitigation were additional focal points. Discussions included zoning reform and housing density initiatives. The council examined a package of bills aimed at eliminating parking minimums and aesthetic mandates while allowing duplexes and triplexes statewide. Despite coalition efforts, these bills did not advance beyond housing committees in the legislature. However, a House budget bill provision would award additional points to housing developments in cities with progressive density policies, aligning with Minneapolis’ existing policies.

Transportation funding deliberations continued with the potential removal of $194 million earmarked for an express project. Discussions explored alternative funding sources, including potential federal support, to continue the project’s development at a reduced capacity. Climate mitigation related to road projects also formed part of the dialogue, with recent legislation requiring studies on greenhouse gas emissions for road expansions. The House’s transportation omnibus bill proposed delaying this requirement, potentially pausing the implementation of policies aimed at mitigating emissions.

The meeting also addressed federal budget cuts and executive orders affecting city funding and law enforcement practices. The council noted ongoing efforts to advocate for local priorities in Washington, D.C., particularly concerning Medicaid and essential services. Executive orders were discussed, including one mandating a review of federal consent decrees and another requiring a list of sanctuary jurisdictions deemed to violate federal laws, potentially leading to funding suspensions.

The council also examined operations related to police conduct review and community engagement. An overview of the Office of Police Conduct Review (OPCR) was provided, with efforts to address staffing challenges and improve complaint processes. The OPCR’s collaboration with the Community Commission on Police Oversight and various community organizations was highlighted as essential for effective engagement and transparency.

The appointment of a new Director of Environmental Programs within the Health Department was confirmed. Reports from standing committees covered a range of topics, including infrastructure projects, business expansions, and civil rights ordinance amendments.

Note: This meeting summary was generated by AI, which can occasionally misspell names, misattribute actions, and state inaccuracies. This summary is intended to be a starting point and you should review the meeting record linked above before acting on anything you read. If we got something wrong, let us know. We’re working every day to improve our process in pursuit of universal local government transparency.
Mayor:
Jacob Frey
City Council Officials:
Elliott Payne, Robin Wonsley, Michael Rainville, LaTrisha Vetaw, Jeremiah Ellison, Jamal Osman, Katie Cashman, Andrea Jenkins, Jason Chavez, Aisha Chughtai, Emily Koski, Aurin Chowdhury, Linea Palmisano

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