Housing and Zoning Committee Meeting – June 2, 2026
Housing and Zoning Committee Meeting – June 2, 2026
The Business, Housing and Zoning Committee of the Minneapolis City Council met on June 2, 2026, at 18:33 UTC. Chair Jamal Osman presided. Seven members were present, establishing a quorum. The meeting covered consent items, public hearings, and discussion items including the People's Way development rights and a legislative directive for Heritage Park.
Consent Calendar
- Approved seven liquor licenses, 24 liquor license renewals, a funding amendment for Stable Homes Stable Schools with MPHA, a contract amendment for the Arts Fund initiative (delayed by Operation Metro Surge), additional financing and loan modification for the Northview project, revised Home Improvement Guidelines, a Great Street gap loan to Mercado Central, 11 appointments to the Minneapolis Advisory Committee on Housing, and three public hearing dates. Items 8 (sub-items 2 and 4) and 10 were initially pulled for questions; both later approved. Item 16 (public hearing for Mayor’s nomination of Director Eric Hansen) was approved.
Public Comments & Testimony
- Mestizo Restaurant (Ward 3): Request to permanently expand premises to an outdoor patio. One supportive comment received. Approved.
- Pillsbury Club (Ward 10): Request for on-sale liquor license with Sunday sales and 2 a.m. license. Three supportive, one opposed (concerns about noise/traffic). Approved.
- University Tobacco and Vape (Ward 1): Extended hours license. Three comments expressing concerns about traffic and sound. Applicant noted they had operated without the license. Moved without recommendation to allow time for resolution of related quasi-judicial tax revocation item. Approved.
- Yellowbird Coffee Bar (Ward 1): Sidewalk cafe license (32 seats). One supportive comment. Approved.
- 2026 Property Sale Round – Minneapolis Homes: Staff presented 31 proposals creating 73 affordable ownership units; 13.6 million dollars in funding (over half from state). Demand far exceeded capacity. Approved.
Discussion Items
Joint Consent – MCDA Operating Committee: Conduit Revenue Bond Policy Amendment
- Staff (Miles Mercer) explained amendments clarify bond fee policies, particularly the annual fee cap, now applying equally to all borrowers. Councilmember Schaefer asked about program volumes. Motion to approve passed unanimously.
Exclusive Development Rights – The People's Way at George Floyd Square
- Staff recommended Minnesota Agape Movement as development partner. Councilmember Stevenson (Ward 8) criticized the choice, citing a community survey where 58% favored rival Rise and Remember, and raised concerns about Agape’s experience and timeline (construction not until 2029). Councilmember Chavez (Ward 9) moved to refer back to staff, then withdrew to move denial. Councilmember Schaefer questioned financial transparency. After debate, the committee voted to deny the recommendation (4 ayes, 2 nays) – Councilmembers Chavez, Chugtai, Vice Chair Chowdhury, and Chair Osman in favor; Councilmembers Warren and Schaefer opposed.
Legislative Directive – Heritage Park (Ward 5)
- Councilmember Warren introduced a directive addressing severe conditions: approximately 200 units offline, mold, roof leaks, unsafe vacant units, and infrastructure issues. Residents feel abandoned by the former promise of safe housing. Staff reported a receiver is now in place, with inspections beginning. Councilmember Warren expressed frustration with slow response (August 4 deadline). Multiple council members voiced support. Motion to approve carried.
Key Outcomes
- Approved all consent items, public hearings, and the joint consent MCDA bond policy amendment (unanimous).
- Denied recommendation of exclusive development rights for the People’s Way to Minnesota Agape Movement (4–2). Staff may begin a new RFP process.
- Approved legislative directive for Heritage Park; report due August 4, 2026, with ongoing communication to Councilmember Warren’s office.
- Next steps: Full council consideration of remaining items (e.g., tax revocation for University Tobacco) and MCDA Board action on bond policy.
Meeting Transcript
Good afternoon, everyone. Welcome to the regular business of housing and zoning committee meeting for June 2nd, 2026. My name is Jamal Osman. I'm the chair of this committee. I will be calling in order for this meeting. Before we begin, I want to remind folks that this meeting is broadcast alive to enable greater public participation. They include real captioning to increase the accessibility of our proceedings to the community. Therefore, all speakers need to be mindful of the rate of their speech so that all captioners can fully transcribe all comments for the broadcast. We ask all speakers to moderate the speed and clear to their comments. We'll be using the speaker management. So please sign up. At this time, I'll ask a clerk to call the rolls so we can verify a quorum. Councilmember Rainbow. Warren. President Schaefer. Present. Chavez. Present. And Chair Osman. Present. There are seven members present. Let the record reflect. We have a quorum. Our agenda is before us. I understand that Councilmember Warren has an amendment to our agenda, which is legislative directive related to the heritage park. There are printed copies in front of us. If there is any objection, we will add this to our discussion agenda on item 23. Okay. Now we will begin with the consent agenda. Item 8, approve seven liquor license. Item nine approves 24 liquid license renewals. Item 10 authorizes an amendment to the funding agreements for stable homes, stable schools with MPHA. Item 11, our contracted amendment for the arts fund initiative due to delays caused by Operation Metro Search. Item 12 approves additional financing and loan debt modification to the Northview project. Item 13 authorizes the revised home improvement guidelines. Item 14 authorize a great street gap loan to Marcado Central. Item 15 approves 11 appointment to the Minneapolis Advisory Committee on Housing. Item 16 sets a public hearing for June 16 to consider mayor's nomination of Director Eric Hansen to the appointed position of Director of Community Planning and Economic Development. Item 17 sets a public hearing for June 16 to consider an ordinance related to the tailgating. Item 18 sets a public hearing for June 16 to consider an ordinance establishing moratorium on data centers. Thank you, Chair. I do have questions of uh perhaps our our licensed staff can answer on item two and item four. Just could someone uh let's pull those uh item one and the two on two and four, please. Two on four that's another concern. Could you ask him to say what the items are? Can you uh say what the items are? Yeah, the the real simple uh uh chair Osman. Uh number two, the 1029 bar is that for the the new number eight. I'm sorry. Yeah.
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