Item Coversheet

*4.A.8.


Shakopee City Council
March 19, 2024


FROM:William H. Reynolds, City Administrator
TO:Mayor and Council Members
Subject:
"Affordable Housing" Legislation
Policy/Action Requested:
Approval of Resolution R2024-043 which outlines the City Council's deep concerns regarding the "Missing Middle Housing" Bills being considered by the state legislature. 
Recommendation:
Approval.
Discussion:

Local City Governments across the State of Minnesota are under siege. Current legislation being considered by state government seeks to strip basic and fundamental controls cities have used for decades to ensure the viability of their communities and will destroy a city’s zoning power.

 

Referred to as “The Missing Middle Housing Bills,” these legislative actions seek to gut the ability of cities to exercise control over local zoning and infrastructure issues and without any review process or input from local residents.

 

These state-level actions will determine what can be allowed in every one of the individual and distinct 853 Minnesota cities – a one size fits everyone approach that will deny local governments the ability to look at the nuances and conditions of each individual city. If enacted, they will throw out decades of comprehensive planning at the stroke of a pen.

 

Probably more concerning is the lack of any controls that will ensure more affordable housing will be the outcome of these actions. If there are savings, those savings will become builder’s profits; they will charge what the market will bear, and nothing in this legislation will prevent that from happening.

 

The City of Shakopee recognizes the urgent need for affordable housing and supports multiple avenues to actually achieve goals that will deliver affordable housing. In fact, Shakopee has been a leader in the effort as we have supported responsibly managed low-income higher density housing and have provided options for naturally occurring affordable housing stock. In the last decade, Shakopee has approved 360 units of affordable housing including 20 single-family residences. In addition, we have passed a fair housing act, have instituted a crime-free multi-family housing program, and have adopted a rental license and inspection program to ensure all rental housing meets basic conditions for habitation. In addition, we are currently researching other options to provide more quality and safe affordable housing in the city.

 

Here are some of the most troubling aspects of these bills:

 

- Removal of all forms of local review and no opportunity for any public input which will end local land use and zoning authority.
- No requirements that current water, sewer, or stormwater infrastructure is in place to support what must be allowed to be built, or that necessary police, fire, and safety needs are adequate or how the necessary increases will be paid for if they are not.
- Limits required parking to one space per unit.
- Limits minimum lot size requirements irrespective of the conditions on the ground.
- Requires all cities to accept Accessory Dwelling Units on all residential lots, regardless of size, and allows property owners to subdivide their lots by right.
- Allows multifamily buildings to be built up to 150 feet tall on any lot in a commercial zoning district.

 

Rigid state-mandates on these traditional local issues – which ban any community input and ignore infrastructure realities – destroy the long-standing relationship between the state, local governments and their residents and will have long-lasting adverse effects.


Budget Impact:
There is no way to determine the impact of this legislation on any city. However, it is clear that it will be significant if infrastructure must be upgraded to comply with the mandates of the bills. 
ATTACHMENTS:
Description
Resolution R2024-043 Against "Missing Middle Housing" Bills