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Blue Earth County to manage Mano RAD units, pledges $100,000 toward community land trust
Summary
The county approved a five‑year property management agreement to operate HUD RAD/Section 18 units in the city of Mano, authorized staff to designate an associate director as the county’s HUD representative, and committed $100,000 from the housing trust fund to Phase Six of the Partnership Community Land Trust contingent on state funding.
Blue Earth County commissioners on June 9 approved a package of actions aimed at expanding and stabilizing affordable housing in the Mano area.
Staff presented a resolution authorizing the Blue Earth County Economic Development Authority to enter a five‑year property management agreement with the city of Mano to manage units converted under the HUD RAD (Section 18) process. Under the proposed structure, the Mano EDA would administer the RAD project‑based rental assistance contract with HUD while Blue Earth County EDA would assume day‑to‑day property management duties. The agreement allows for an automatic renewal and a management fee of up to 6% of gross receipts, with financial flows and reporting to follow HUD standards.
In a separate resolution, the board authorized the executive director to designate the associate director of housing and economic development as the county’s authorized representative for HUD‑administered programs and electronic submissions. Staff said the designation is administrative and intended to streamline HUD compliance and document submission under federal requirements.
The board also voted to support Phase Six of the Partnership Community Land Trust, a Southwest Minnesota Housing Partnership project that would build up to 10 newly constructed homes targeted to households earning up to 80% of area median income. Southwest Minnesota Housing Partnership requested county collaboration and flexible use of the county housing trust fund; the county committed $100,000 from the housing trust fund as a contingent contribution, conditional on the project receiving Minnesota Housing funding and other listed subsidies. Staff indicated additional funding sources already committed include $100,000 in Community Development Block Grant funds and a state request for $2 million in subsidies. The county’s $100,000 commitment was approved as a resolution and a letter of support.
The measures passed without substantive discussion. Staff framed the property management agreement as neutral to positive fiscally for the EDA, with management fees paid from project reserve revenue, and said the HUD designee authorization does not alter board oversight but provides administrative flexibility.
The board’s actions will allow staff to finalize contracts and, if state and federal funding align, help move the land trust project into design and construction phases.
