Committee approves reallocation of $70,000 in statewide housing aid to Habitat homes

The Brainerd City Personnel and Finance Committee voted to reallocate $70,000 in statewide affordable housing aid (SAHA) on Aug. 18, moving funds originally earmarked for a project at 426B Street to two other sites selected by Habitat for Humanity partner families.

James Graphic, the city's community development director, told the committee the council had previously approved the $70,000 distribution for Lakes Area Habitat for Humanity. Graphic said Habitat currently owns four Brainerd properties and that two families have selected lots on 10th Street South and 13th Avenue Northeast; Habitat asked that the SAHA dollars be applied to those homes instead. Committee members asked whether the city still expects construction on B Street; staff said the city and Habitat still plan to build on B Street eventually.

Gabe Johnson, chair of the committee, called for a motion to approve the reallocation. The committee approved the measure by voice vote; no roll-call tally was recorded in the meeting transcript.

Why this matters: the reallocation preserves the $70,000 of state housing aid within local affordable-home construction while accommodating families' site preferences. City staff said the change was a programmatic reallocation rather than a revocation of the original B Street plan.

Next steps: staff will notify Lakes Area Habitat for Humanity of the committee decision and proceed with any administrative steps needed to apply the SAHA funds to the two selected building sites.