City staff reviewed the new-housing construction incentives the council reinstated in 2023 and answered committee questions about eligibility, duration and scope.
Brian, city staff member, summarized the two incentives adopted by the council: a one-year property-tax abatement for homebuilders and a two-year abatement for new homeowners. He said the builder benefit allows up to $150,000 in true and full value of improvements to be abated for up to 10 properties annually and that the program "is a state of North Dakota program that cities and counties can adopt. So these rules are state rules."
Staff told the committee the homebuilder exemption expires March 1, 2033, while the homeowner abatement expires one year later, in 2034; the staggered timing allows builders to construct through 2033 and sell in 2034 while still enabling homeowners to use the two-year abatement. Brian emphasized eligibility conditions: properties must be inside city limits (the two-mile jurisdictional area requires Ward County approval), cannot be inside a TIF district, must be current on special assessments and property taxes, and must be owner-occupied for the homeowner abatement; rentals do not qualify.
Committee members asked several implementation questions. Harold, the city manager, asked staff how many builders and homeowners had applied since the program was reinstated; Brian said the assessor's office manages applications and staff would provide exact counts to the committee. Committee members also asked whether the abatement applies to multi-unit ownership forms such as duplexes, townhomes, condos and four-plexes. Brian said eligibility depends on how ownership and parcelization are recorded and recommended that applicants consult the assessor for parcel-level determinations.
The committee noted outreach steps already taken: brochures distributed at the Home and Garden Show, materials shared with lenders and realtors, and direct outreach to the Minot Association of Builders. A committee member amplified that the program had been requested by homebuilders and that city staff have been promoting it: "I have these sitting on my desk and at every desk at our institution," one banking-sector participant said.
No policy change or ordinance amendment was made at the meeting. Staff agreed to obtain application counts and parcel-specific clarifications from the assessor and return with the data to the committee.