Health Department reports progress, budget constraints and new projects in Climate Legacy Initiative update

Patrick Hanlon, deputy commissioner in the Minneapolis Health Department, presented a quarter-three update on the Climate Legacy Initiative to the Climate and Infrastructure Committee on Oct. 16, outlining program results, funding status and planned activities.

Hanlon said the Climate Legacy Initiative (CLI), drawn from the Climate Equity Plan adopted in July 2023, aims to reduce greenhouse gases while centering investments in environmental justice communities. He told the committee that in 2024 the initiative avoided an estimated 115,000 metric tons of carbon dioxide equivalent against a 2024 target of 155,000 metric tons, describing that as being at "74% of our target." He said the program has delivered more than 1,700 projects to date and that roughly 52to54% of CLI funding has gone to designated distressed areas, including the North Side and South Side green zones and income-qualified properties.

Hanlon reviewed program spending and priorities. Weatherization and deep greenhouse-gas reductions account for roughly 49% of CLI investments, including residential weatherization, small-business assistance and large industrial greenhouse-gas reduction efforts. He described a healthy-homes and weatherization line that covers owner-occupied two- to four-unit low-income housing and pays for necessary pre-weatherization repairs such as panel upgrades. The city is also partnering with organizations including Center for Energy and Environment on residential incentives and with Cooperative Energy Futures on a block-by-block approach that combines city, state and utility incentives into a single financing package to remove upfront capital barriers for low-income households.

Hanlon discussed metrics the program tracks: number of projects, dollars saved and greenhouse-gas reductions, with a focus on investments in environmental justice communities. He said the program has reached about 40,000 people directly and delivered services to more than 10,000 people; he also cited that the CLI has served over 2,400 low-income housing units. Hanlon presented a lifetime energy cost-savings estimate of about $72 million from the projects the city has funded and said the EV and transportation programs have produced measurable savings for users.

Hanlon said CLI recommended allocations had largely held steady after budget negotiations and utility conversations increased the projected available funds from an initial $7 million toward $8.4 million. He noted the program ran out of its annual funding this year in August and that staff had been working to leverage other funding sources. "This is a tough budget year," he said.

New and ongoing efforts highlighted include urban forestry (tree plantings and commercial canopy initiatives), expanded EV charging and car-share hubs, green workforce and green careers training led by Community Planning and Economic Development, and a carbon-sequestration project producing biochar from wood waste. Hanlon said the biochar facility is under construction, expected to be complete in 2025 with production beginning in early 2026; he estimated an early production target of converting about 3,000 tons of wood waste to roughly 500 tons of CO2-equivalent sequestered (estimates provided by staff for planning purposes).

Council members asked for additional detail and follow-up. Council Member Rainville asked whether network geothermal opportunities could be pursued during street reconstructions such as First Avenue; Hanlon and staff said they are exploring such opportunities and will coordinate with Public Works and CPED early in project planning. Vice Chair Koski asked about the initiative's five- to 10-year vision and scalability; Hanlon said the administration had been focused on "survival" and establishing programs this year and will return with more detailed longer-term budget scenarios. Chair Cashman asked how Hanlon measured the energy savings; Hanlon said staff use a technical reference manual and appliance- and measure-level modeling to estimate per-project therm and kilowatt savings and then extend those savings across the expected lifetime of replaced equipment.

Hanlon and his staff emphasized equity goals and workforce development as part of the initiativeand noted ongoing efforts to expand reporting and a public-facing dashboard. Hanlon asked committee members for continued engagement and said the program is showing sustained demand for services, but that funding and workforce capacity remain constraints to faster scale-up.