The Minnesota Department of Employment and Economic Development recently unveiled $91.7 million in public infrastructure loans and grants to support projects in 26 cities. The funding will replace nearly 1,000 lead service lines in 15 cities and back water treatment plants in Hastings and Maplewood, among other projects coordinated through the Minnesota Public Facilities Authority.

Maplewood

The largest subsidized loan went to St. Paul Regional Water Services, which received $28 million toward financing construction of the new $250 million McCarrons drinking water treatment plant that opened this year in Maplewood. The funds, which will be paid back over 20 years, also will be put toward final site work, including grading, paving and the installation of several stormwater ponds and the demolition of old, decommissioned infrastructure. The plant, which serves 14 cities in the east metro, is installing a new water quality testing lab in a building previously dedicated to flocculation, the process of getting particles to clump together for easier removal.

Hastings

The city of Hastings received $9.9 million in grants and loans toward construction of a new water treatment plant to remove chemical contaminants known as PFAS, as well as construction of a raw water transmission line to the plant. Work on the Central Water Treatment Plant began this year at 1290 North Frontage Road, which is next to the existing nitrate treatment plant and ground storage reservoir owned by the city. The plant, which will remove PFAS from Wells 3, 5 and 7, is expected to be fully online by mid-2027.

Stillwater

In Stillwater, a $1.2 million grant will be used to replace galvanized water services with new copper services, said Assistant City Administrator Shawn Sanders. The city has roughly 700 of those types of water services remaining, according to Sanders, and the grant will be used to replace about 100 of them. This is the second year Stillwater has received such a grant, he said.

Funding for the water-related projects primarily comes from MPFA’s Clean Water Revolving Fund and the Drinking Water Revolving Fund. Projects also are being backed by MPFA’s Point Source Implementation Grant program, Water Infrastructure Fund and Small Community Wastewater Treatment Program.

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“To be sure, a small (and often overstated) segment of rent stabilized buildings face real financial distress. Adding to the rent burdens of a million households to save these outliers makes little sense.”

The most recent Rent Guidelines Board vote in June. (Adi Talwar/City Limits)

By packing the Rent Guidelines Board with members of his choosing, Mayor Eric Adams has made his move to derail Mayor-elect Zohran Mamdani’s campaign promise to freeze rents for the city’s 1 million rent stabilized households.     

With few exceptions, the Board’s five public members generally control the outcome of the annual guideline setting process. One public member, Alex Armlovich, will serve out a term lasting through 2026.  A second public member, Arpit Gupta, has been reappointed to a term also set to expire at the end of 2026. And a third public member, newly appointed Liam Finn, will also serve out a term expiring at the end of 2026.  

These 11th hour appointments run afoul of customary deference to an incoming mayor and undermine a clear democratic mandate for leadership committed to a more affordable city. More critically, they seek to condemn rent stabilized tenants to a continuation of unwarranted rent increases. 

There are several metrics for determining whether past rent adjustments have been appropriate. Public debate over rent increases routinely apply misleading metrics and miscast the relevant data.  

In general, the board’s legal mandate is to limit the effects of the city’s housing shortage on rent increases. Landlords should be able to collect enough rent to cover operating costs and ensure that their net income will not be eroded by inflation. At the same time, the system protects against exploitive rent increases landlords would otherwise be able to extract from tenants searching for scarce apartments.  

At its annual meetings and hearings, the Rent Guidelines Board receives a deluge of statistics about the economic health of the housing stock and conditions faced by tenants. Only a few of those statistics speak to whether the board has satisfied its legal mandate. Those numbers demonstrate that the board has indeed gone off track: Several data sources establish that landlords have, in fact, been overcompensated. 

From 1990 to 2023 (the first and last year the board received comprehensive data on building income and expenses) average net operating income for rent stabilized buildings has risen 48 percent after adjusting for inflation. This growth was a product of increases authorized by both statutory changes and the actions of the Rent Guidelines Board. 

Had the board adopted guidelines precisely aimed at covering all cost increases and protecting net operating income from the effects of inflation since 1990 (and disregarding the effects of statutory changes on rents), it would have authorized cumulative increases totaling 228 percent. 

In fact, the board authorized increases totaling 236 percent—an 8 percent gap that favors owners. That gap was once as high as 39 percent.  An inexcusably slow effort to narrow the gap began during the de Blasio administration. Even if the gap were closed, rent burdens will continue to suffer from massive rent increases brought about by statutory deregulation, vacancy bonuses and other increases that were in place until finally curbed by Albany in 2019.  

To be sure, a small (and often overstated) segment of rent stabilized buildings face real financial distress. Adding to the rent burdens of a million households to save these outliers makes little sense. Reforming existing programs and crafting new ones to lower costs and finance needed repairs for these struggling buildings is a more precise and fitting remedy.  

While the Board’s staff reports that some 9 percent of the stabilized stock is not meeting its expenses, the precise economic problems faced by these buildings are difficult to discern. How many hold a number of the tens of thousands of stabilized apartments being deliberately held off the market? How many are being emptied with an eye toward demolition or rehabilitation? How many are simply operated by grossly incompetent and neglectful owners? 

Given the paucity of annual “hardship” applications for special rent increases available within the current system, it is clear that the primary impediments to solvency are not rent limits.  More likely, tenant affordability limits, leading to non-payment of rent and expensive eviction proceedings, along with owners deliberately holding units off the market for development or rehab, explains most of the 9 percent figure.

Owners and their allies will assert that rent increases have not kept up with operating costs since 2019. That time frame is selective and misleading. What the public is not told is that relatively lower rent guidelines in recent years have served as a long overdue correction for grossly excessive adjustments adopted from 2009 to 2014. 

Those rent hikes caused the greatest tenant rent burdens on record. By 2014 the average stabilized household spent over 36 percent of their income on rent—and those burdens persisted into the COVID years. By contrast, in 1970, during the first full year of rent stabilization, the average rent burden for stabilized households was 22 percent of income.

At a gut level most New Yorkers have known for years that there is something wrong with the system. By the numbers, they were right. Last November they voted for a change. 

The new mayor should be allowed to do the job he was elected to do.

Timothy Collins is the former executive director of the NYC Rent Guidelines Board, author of An Introduction to the NYC Rent Guidelines Board and the Rent Stabilization System – Rent Guidelines Board and a partner in the law firm of Collins Dobkin & Miller LLP. Sam Stein is a senior policy analyst at the Community Service Society of New York.*

*CSS is among City Limits’ funders. 

The post Opinion: By the Numbers, a Rent Freeze Is Warranted appeared first on City Limits.

Jhoan Duran arrived in the Twins organization as pitcher in the low minor leagues. Griffin Jax was a third-round pick and converted starter; the same goes for Louie Varland, who was a 15th-round gem. Danny Coulombe was a free-agent signing, and Brock Stewart a shrewd waiver claim.

One by one, each was shipped in a different direction at last year’s trade deadline. The Twins’ bullpen was broken apart, and the Philadelphia Phillies, Tampa Bay Rays, Toronto Blue Jays, Texas Rangers and Los Angeles Dodgers were the beneficiaries.

Derek Falvey, Jeremy Zoll and Co. once built a bullpen projected to be the best in the majors. The question is can they do it again — or at the very least, come close? And how quickly?

The Twins made one move to improve their roster last week, signing first baseman Josh Bell, but their biggest need this winter is clearly in the bullpen. Additions are expected to come from every which way. They passed on the opportunity to add a pitcher in the Rule 5 Draft earlier this month, but there are plenty of avenues the Twins can pursue to bolster the bullpen.

“Some of it is going to have to come from outside, some of it is going to be guys stepping up. There’s no question,” said Falvey, the team’s president of baseball and business operations. “You’re not going to have an entirely filled bullpen from external (sources). You’re going to have some guys that are already in that group. But I would say that as it stands right now, we’re going to look to add to it.”

In November, the Twins made their first external addition, swinging a trade for right-handed pitcher Eric Orze, who posted a 3.02 earned-run average in 41⅔ innings pitched last season with the Tampa Bay Rays.

They also tendered a contract to Cole Sands last month and agreed to terms with Justin Topa, giving them a pair of returners. Lefty Kody Funderburk could have a leg up for spot after a strong finish to last year. The Twins gave looks to Pierson Ohl and Travis Adams, converted starters, at the end of last season and both should come to spring training fighting for a roster spot.

Otherwise, they have a surplus of major league-ready staters, some of whom could factor into bullpen plans at some point down the road, as well as prospects who might be asked to convert such as Connor Prielipp, who many feel has the potential to become a high-impact reliever.

Zoll said the team should have a better idea about who might be converted to a bullpen role as the nears reporting to Fort Myers, Fla., for spring training in mid-February.

“I think that’s going to help make a lot more sense of how many guys should we be doing this with, who do we want to keep the starter project going for as long as we can? How many decisions do we need to make early, versus mid-year opportunities,” he said. “So, some of that’s going to be fluid depending on how the rest of this offseason goes.”

A major league free agent reliever pick up (or two) seems like a likely path, too, and as always there will be a number of non-roster invites in camp competing for a spot. Recently, the Twins agreed to a minor league deal with Dan Altavilla, who made 28 major league appearances last season, posting a 2.48 ERA for the Chicago White Sox across 29 innings.

“We have to build out our bullpen because there’s so many games won or lost in a bullpen, especially during the regular season,” new manager Derek Shelton said. “Building out our bullpen is going to be extremely important. I think that’s a step we’re going to need to take to continue to get better.”

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In 2015, I penned an article for the Pioneer Press titled, “Somalis are resilient Americans, not terrorists.” At the time, Minnesota’s Somali community was facing a wave of politically motivated rhetoric that cast them as terrorists and called for their deportation. Despite significant changes over the past decade, divisive and racially motivated attacks against minority communities persist, particularly against immigrant communities.

Minnesota is home to the largest Somali population in the United States, with over 100,000 Somali Minnesotans across the state. Notably, data from Minnesota Compass indicates that 47% of Somali Minnesotans are under 18, compared with 23% of the overall Minnesota population, making Somali Minnesotans one of the youngest and fastest-growing communities in Minnesota’s demographic landscape. With Minnesota facing a shrinking workforce and aging demographics, Somali Minnesotans have emerged as a vital force, driving long-term economic vitality, and promising a bright future for all.

Economically, Somali Minnesotans play a vital role in the state’s prosperity. Minnesota Compass data indicate 70% of Somali adults are employed, contributing significantly to essential industries such as health care, transportation, production, retail and manufacturing. These sectors were instrumental in maintaining Minnesota’s operations during the pandemic and continue to support its recovery. Concurrently, Somali entrepreneurship has experienced substantial growth. At present, over 3,000 East African businesses, predominantly Somali-owned, operate in Minnesota, revitalizing commercial corridors in Minneapolis, St. Paul, and the surrounding suburbs. They have created employment opportunities and transformed previously struggling neighborhoods into vibrant cultural and economic hubs.

Educational advancement among the Somali community reflects a narrative of both challenges and upward mobility. Many first-generation Somali adults arrived in the United States with disrupted educational backgrounds due to war and displacement. However, the second generation is swiftly bridging this educational gap. Somali students are exhibiting improved graduation rates, enhanced academic performance, and increased enrollment in higher education institutions. The commitment Somali parents place on education remains one of the community’s most powerful forces for change.

Civic participation presents a compelling story of transformation. Approximately a generation ago, voter turnout among Somali Minnesotans lagged behind the state average. Through dedicated grassroots mobilization, civic education initiatives, and successful integration into political discourse, the community has fostered a culture of democratic engagement. Somali Minnesotans currently demonstrate one of the state’s highest voting rates, influencing outcomes in municipal, state and federal elections.

Somali Minnesotans are significantly shaping democracy, as seen in Ilhan Omar’s election to Congress, Omar Fateh becoming Minnesota’s first Somali American state senator, and Nadia Mohamed’s historic role as the first Black mayor of St. Louis Park. In various state representative, city council, school board, and state leadership positions, Somali Minnesotans have progressed beyond mere participation in the democratic process, actively influencing its direction and development.

Despite facing significant challenges and genuine obstacles, the Somali community in Minnesota has made notable strides in integration and is outperforming many of its peers. The assertions made by President Trump and his MAGA base lack factual basis. As I argued in my 2015 commentary, resilience is at the core of Somali identity, born from conflict but transformed into civic participation, entrepreneurship and opportunities here in Minnesota. This observation remains increasingly relevant today: Somalis are resilient Americans. They are students, workers, business owners, public servants and taxpayers. They are neighbors, parents, innovators and elected leaders. They are Minnesotans.

Minnesota has long been defined by its ability to welcome newcomers and allow them to thrive. Somali Minnesotans are carrying that legacy forward, rebuilding neighborhoods, reinvigorating civic life, and enriching the state’s cultural and economic landscape. They are not on the margins of Minnesota’s story. They are essential to it.

Abdirashid Ahmed of Maplewood is a former City of Minneapolis employee and a public policy practitioner with extensive experience across Minnesota’s public assistance systems. He has worked with public assistance programs in Ramsey, Hennepin, and Dakota counties. He holds a master’s degree from the Humphrey School of Public Affairs at the University of Minnesota.

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