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Record of Proceedings

Minneapolis Budget Committee Meeting on Mayor's 2027 Budget: Health Department and Climate Legacy Initiative - September 24, 2026

City Council — Thursday, September 24, 2026
BodyMinneapolis, Minnesota
SessionCity Council
DateThursday, September 24, 2026
StatusFILED
Video Record
0:00 / 2:32:42

Original source
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0:18

Good morning.

0:20

My name is Aisha Chugtai, and I'm the chair of the budget committee.

0:23

I'm going to call to order our adjourned meeting for September 24th, 2026.

0:28

Before we offer them before we begin the meeting, I want to offer a friendly reminder to all members, staff, and the public that these meetings are broadcast live to enable greater public participation.

0:40

These broadcasts include real-time captioning as a further method to increase the accessibility of our proceedings to the community.

0:47

Therefore, all speakers need to be mindful of the rate of their speech so that our captioners can fully capture and transcribe all comments for the broadcast.

0:55

We ask that you moderate the speed and clarity of your comments.

1:01

At this time, I'll ask the clerk to call the role so we can verify the presence of a quorum.

1:07

Councilmember Payne.

1:08

Present.

1:09

Wandsley, Rainville.

1:11

Present.

1:12

Vita.

1:13

Present.

1:13

Warren is absent.

1:15

Osman is absent.

1:16

Stevenson.

1:17

Present.

1:18

Chavez.

1:19

Present.

1:20

Whiting is absent.

1:21

Chowder is absent.

1:23

Palmasano is absent.

1:25

Vice Chair Schaefer.

1:26

Present.

1:26

And Chair Chugtai.

1:29

Present.

1:30

That is eight members present.

1:31

Let the record reflect that we have a quorum.

1:34

I'll note that we have a couple of absences that are planned that I'm aware of, including Councilmember Whitings, and then we know that Councilmember Chowdry is representing the city today at the Minnesota League of Cities.

1:57

And the clerks are available if you are having any difficulties with that.

2:03

Today we have two presentations related to the mayor's recommended 2027 budget from the health department and the climate legacy initiative.

2:12

I'll invite interim commissioner of health, Heidi Ritchie, to begin the first presentation.

2:16

Welcome, Commissioner.

2:17

And then I'll note we've been joined by Councilmember Palmasano as well.

2:22

Good morning, Chair and Council members.

2:25

My name is Heidi Ritchie.

2:26

I'm the interim commissioner of health, and I thank you for the opportunity to present the mayor's recommended 2027 budget for the Minneapolis Health Department.

2:36

This budget reflects a difficult funding environment.

2:39

It preserves the budget's core public health responsibilities and makes a targeted investment in opioid prevention and response, while also reducing positions, contracts, and several community-facing activities.

2:52

Today I will explain the overall budget, proposed divestments, and the proposed use of opioid settlement funds.

3:04

I'll begin with a department and budget overview.

3:21

I feel like we went too far.

3:36

We currently have 172.5 full-time equivalent positions across six divisions.

3:50

The mayor's recommended 2027 budget is approximately 45 million dollars.

3:55

Across that funding, our responsibility remains the same to work with communities to protect health, prevent disease and injury, and reduce disparities through services, regulation, education, and advocacy.

4:15

The department's six divisions reflect the breadth of local public health.

4:26

Public health infrastructure develops public health workforce and organizational capacity.

4:31

Sustainability, healthy homes, and environment addresses environmental conditions that affect health.

4:38

Public health initiatives delivers clinical prevention, emergency preparedness, and family health programs.

4:52

Policy and healthy communities focuses on chronic disease prevention and community well being.

5:00

Although the divisions have distinct responsibilities, they frequently work together around residents, neighborhoods, and shared public health outcomes.

5:06

And I just want to recognize that I have members members of our teams here today.

5:19

Yeah, I don't know what we'll use this one.

5:22

So I need a next one.

5:24

Thank you.

5:27

Our vision is health justice.

5:29

Every Minneapolis resident should have a fair opportunity to achieve positive health outcomes regardless of race, gender, religion, sexual orientation, or immigration status.

5:41

Our strategic priorities guide how we carry out that work.

5:44

We center equity, seek out and implement strategies around flexible and sustainable funding, strengthen the department's foundational systems, invest in leadership and organizational development, and build strong partnerships.

Discussion Breakdown — Share of Meeting
Budget Management████████████████████████████████32%
Public Health█████████████████████████████29%
Climate Policy█████████████████████████25%
Intergovernmental Relations███3%
Workforce Development███3%
Public Engagement██2%
Procedural█1%
Public Housing█1%
Contract Management█1%
Summary of Proceedings

Minneapolis Budget Committee Meeting on Mayor's 2027 Budget: Health Department and Climate Legacy Initiative - September 24, 2026

The Minneapolis Budget Committee, chaired by Aisha Chugtai, convened on September 24, 2026, to review the mayor's recommended 2027 budget for the Health Department and the Climate Legacy Initiative (CLI). The meeting included presentations from Interim Health Commissioner Heidi Ritchie and Deputy Commissioner Patrick Hanlin, followed by extensive councilmember discussion. The recommended budgets reflect significant reductions due to a difficult funding environment, including loss of grants and franchise fee volatility.

Health Department Budget Presentation

  • Interim Commissioner Heidi Ritchie presented the 2027 Health Department budget of $45.4 million, a 10% decrease from 2026's $50.5 million. The budget preserves core public health functions while making a one-time $1.37 million opioid settlement fund investment in prevention, harm reduction, treatment, and recovery. Key reductions include elimination of eight FTEs (three from the Homegrown program, one vacant school-based clinic health education position, two from the Climate Legacy Initiative, and two others) and $3.66 million in CLI contractual services. The department's revenue forecast is $2.3 million lower than 2026, with a $3.5 million loss in special revenue (grants) partially offset by a $1.2 million general fund increase from cost recovery. 48% of funding comes from the general fund, 52% from grants and special revenue. Impacts include reduced capacity for lead hazard remediation, slower program implementation, and fewer community services.

Climate Legacy Initiative (CLI) Budget Presentation

  • Deputy Commissioner Patrick Hanlin presented the CLI budget, showing a decrease from approximately $11.5 million in 2026 to $7.59 million in 2027, a reduction of about $3.9 million. The initiative is funded by franchise fees. Reductions affect programs across multiple departments: Health (largest share), CPED, Public Works, and OPS Administration. Proposed cuts include three FTEs ($424,000) and $3.66 million in contractual services. Program-level impacts include: a 32.2% cut to residential and commercial Green Cost Share, resulting in an estimated 300 fewer residential weatherization projects and 72 fewer businesses served; a 52% cut to Green Careers (50% reduction in programming); a 59% cut to workforce development (50% reduction in placements); a 50% cut to biochar (operations stalled); and 50% cuts to zero waste and utility assistance. The EV car share program would not see service area reduction but reduced expansion.

Discussion Items

  • Councilmember Wansley clarified that the $1.37 million opioid investment is not new general fund money but ongoing annual allocation from existing settlement funds.

  • Councilmember Stevenson questioned the impact of position cuts, particularly the school-based clinic health education position, and the effect on lead testing events. She also asked about the department's relationship with Hennepin County and the reliability of grant-funded programming.

  • Councilmember Chavez expressed concerns about the elimination of the Homegrown program, which rescued 265,000 pounds of food during the pandemic and serves over 7,200 residents through community contracts. She also noted the impact of cuts on lead poisoning services and tree planting.

  • Councilmember Rainville noted the department's growth in grant-funded programs and asked about the reliability of grants; Commissioner Ritchie stated some grants are stable while others are competitive and at risk.

  • Councilmember Schaefer asked about the department's foundational responsibilities under Minnesota Statute 145A and the process for managing grants and admin adds.

  • Councilmember Warren argued that services like lead testing are also provided by the county via PMAP and WIC, questioning duplication.

  • Deputy Commissioner Hanlin placed cli cuts in context of climate urgency: 2024 was the hottest year on record, and CO2 levels are 50% higher than any time in human history. He stated that to meet greenhouse gas reduction targets, current efforts must scale by 5-8 times, but these cuts move the city further from goals.

  • Councilmember Vita raised concerns about federal retreat from climate action and the impact on green jobs and workforce training.

  • Councilmember Stevenson asked whether CLI cuts would affect affordability; Hanlin said they would reduce energy savings for assisted properties but the scale is not yet citywide.

  • Councilmember Wansley expressed disappointment that $4 million in CLI funding won last year is now being redirected due to overspending by the police department, and questioned why biochar facility completion requires additional funding; a note was made for follow up on capital funding eligibility.

  • Councilmember Chugtai questioned the OPS administration line ($200,000) in the clI budget, requesting justification for its prioritization over cuts to utility assistance and food access.

Key Outcomes

  • The Health Department report was filed.
  • The Climate Legacy Initiative report was filed.
  • Several items were noted for administrative follow up: details on lead testing events, impact of homegrown elimination on garden leases and compost, capital funding criteria for biochar, and OPS admin role justification.
  • The meeting adjourned at approximately 11:30 a.m. (estimated), with the next meeting scheduled for Monday, September 28, 2026 at 10 a.m. to receive the Minneapolis Police Department budget presentation.

Meeting Transcript

Good morning. My name is Aisha Chugtai, and I'm the chair of the budget committee. I'm going to call to order our adjourned meeting for September 24th, 2026. Before we offer them before we begin the meeting, I want to offer a friendly reminder to all members, staff, and the public that these meetings are broadcast live to enable greater public participation. These broadcasts include real-time captioning as a further method 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 our captioners can fully capture and transcribe all comments for the broadcast. We ask that you moderate the speed and clarity of your comments. At this time, I'll ask the clerk to call the role so we can verify the presence of a quorum. Councilmember Payne. Present. Wandsley, Rainville. Present. Vita. Present. Warren is absent. Osman is absent. Stevenson. Present. Chavez. Present. Whiting is absent. Chowder is absent. Palmasano is absent. Vice Chair Schaefer. Present. And Chair Chugtai. Present. That is eight members present. Let the record reflect that we have a quorum. I'll note that we have a couple of absences that are planned that I'm aware of, including Councilmember Whitings, and then we know that Councilmember Chowdry is representing the city today at the Minnesota League of Cities. And the clerks are available if you are having any difficulties with that. Today we have two presentations related to the mayor's recommended 2027 budget from the health department and the climate legacy initiative. I'll invite interim commissioner of health, Heidi Ritchie, to begin the first presentation. Welcome, Commissioner. And then I'll note we've been joined by Councilmember Palmasano as well. Good morning, Chair and Council members. My name is Heidi Ritchie. I'm the interim commissioner of health, and I thank you for the opportunity to present the mayor's recommended 2027 budget for the Minneapolis Health Department. This budget reflects a difficult funding environment. It preserves the budget's core public health responsibilities and makes a targeted investment in opioid prevention and response, while also reducing positions, contracts, and several community-facing activities. Today I will explain the overall budget, proposed divestments, and the proposed use of opioid settlement funds. I'll begin with a department and budget overview. I feel like we went too far. We currently have 172.5 full-time equivalent positions across six divisions. The mayor's recommended 2027 budget is approximately 45 million dollars. Across that funding, our responsibility remains the same to work with communities to protect health, prevent disease and injury, and reduce disparities through services, regulation, education, and advocacy. The department's six divisions reflect the breadth of local public health. Public health infrastructure develops public health workforce and organizational capacity. Sustainability, healthy homes, and environment addresses environmental conditions that affect health. Public health initiatives delivers clinical prevention, emergency preparedness, and family health programs.

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