0:00The meeting, which commenced with the swearing-in of Dave Christian as a new commissioner and the election of officers, quickly turned its focus to the urgent housing issue. The administrative activities report for December 2024 revealed that Linderhof Park Apartments, with a contract set to expire on April 30, 2025, would not renew their Section 8 agreement. In response, the local housing authority is set to receive 56 tenant protection vouchers to safeguard the rental assistance of those impacted. Confirmation of these vouchers is expected by March, with availability anticipated by May 1. Additionally, the Pipestone Housing and Redevelopment Authority has proposed transferring 25 to 30 underutilized vouchers to New Ulm, pending approval from another local authority. This influx of vouchers will necessitate hiring an additional part-time housing aide, funded by federal assistance.

Speculation arose about the reasons behind Linderhof’s decision, with potential regulatory changes cited as a factor, though no definitive explanation was provided. This uncertainty underscores the necessity of the additional vouchers and highlights the steps the EDA is taking to mitigate potential disruptions in housing support.

The meeting also addressed the strategic allocation of resources for various loan programs. Discussions included a proposal to table loan program items until a strategic planning session could be conducted. With $245,000 at stake, the emphasis was placed on strategic planning to determine the optimal utilization of these funds. Notably, the home buyer assistance program was recognized for its high demand, contrasting with the less utilized multifamily rehab program. Concerns about the latter’s underutilization led to suggestions that a lack of awareness and the cost of rehabilitation might be barriers for potential applicants. The program’s requirement that at least two units be involved, combined with the exhaustion of funds on fundamental renovations, presents challenges that strategic planning could address.

A motion to allocate $32,896.74 to the home buyer assistance program was eventually passed, despite some hesitation over potential program delays affecting applicants, especially with the spring home-buying season approaching.

The session moved on to consider the “Get It Ready” single-family rehab program, which had nearly exhausted its funds due to substantial activity in the previous year. The discussion revealed a mix of monthly payments and deferred payments, particularly tailored to senior citizens’ circumstances.

25:29Furthermore, the meeting explored the potential for improvements to the low-interest loan program for homeowners over 65. A commissioner suggested accumulating a nominal interest rate on these loans, recognizing the program’s current value while advocating for a review.

In parallel, the multifamily rental rehabilitation program’s underutilization prompted a proposal to table discussions for further review. The board expressed enthusiasm for the program but acknowledged the necessity of strategic planning to boost its effectiveness. Members concurred that a special meeting could facilitate a more thorough exploration of these programs.

The meeting also highlighted the small business incentive grant program, with a motion to allocate $50,000, reflecting ongoing demand. Seven applications were received, with six meeting priority criteria, emphasizing the program’s relevance. The flexibility allowing businesses that did not receive funding to reapply the following year was noted.

The report was accepted without objections. Additionally, the New Ulm Business Resource and Innovation Center’s fourth-quarter report was presented, highlighting business incubation efforts and collaboration with 3M to establish an incubator aimed at workforce development.

Finally, the concept of tiny homes was introduced as a potential housing solution, with plans to build sample homes to demonstrate the concept to the community. These homes are intended to address short-term housing needs, particularly for workforce accommodation, filling market gaps while maintaining quality standards.