Minneapolis City Council approve $2.8M in rental assistance, fail to override Frey's veto of eviction notice extension

The Minneapolis City Council is approving millions of dollars in emergency rental assistance — just about everyone in city hall agrees on the principle, but there are now concerns that this move will require cuts elsewhere. 

On Thursday, city councilors approved adding $2.8 million to the rental assistance pot by a measure of 11 votes to two. This is in addition to $1 million approved by the council in February, and on top of it all, Wilson Foundation President John Wilson is pledging to match at least $3 million. It means that in April, neighbors will have a chance to apply for about $6.8 million — administered by Hennepin County and its vendors — to help them stay in their homes after the ICE surge. 

"We've passed such strong policy that is going to keep people in their homes, help keep businesses open, help keep our communities safe," Council President Elliot Payne said. 

Mayor Jacob Frey had vetoed a measure passed by the council to extend the eviction notice period from 30 to 60 days, citing data that he said shows that this kind of move doesn't prevent eviction in the long term and only delays an inevitable issue. On Thursday, the council did not have enough votes to override the veto. 

The mayor said that people need money, first proposing $1 million in additional rental assistance. The council chose to increase that figure to $2.8 million. 

While those in the mayor's office and the council chambers agreed on the immediate monetary need, there is ongoing disagreement about where that money is now coming from. Frey's proposal relied on taking money out of Local Affordable Housing Aid. It's money from the State of Minnesota earmarked to "address local housing needs," according to the city's website. 

But some councilors felt that taking too much money out of that pot would threaten the city's ability to help build affordable housing long-term. So, on Thursday, they approved using $900,000 from the general fund, with $1.9 million coming from LAHA to make the total $2.8 million. 

In a statement, Frey said that he would sign off on the measure.

"However, we need to be clear eyed about the impact this spending will have on the city's budget. The funding source we originally chose is already devoted to housing and, therefore, has no impact on either property taxpayers or services. The additional $900,000 Council proposed taps a fund with money already accounted for, meaning if we want to ensure residents aren't shouldering the property tax burden, additional cuts will need to be made," the statement reads in part. 

Progressive councilors said that it should have never come to using the general fund, but they argue their hand was forced by Frey and his "allies" refusing to consider using emergency rainy day funds. Councilor Robin Wonsley said that this would have required 10 votes in favor, which she said wouldn't be possible without Frey's support. 

"Contingency is literally set aside for what we're experiencing now, emergency circumstances," Wonsley said. 

This is all designed to try to remedy a crisis that local officials, neighborhood groups and advocates say was created by Operation Metro Surge. After Immigration and Customs Enforcement detentions, people too afraid to leave their homes ended up losing sources of income, meaning paying rent became impossible. 

"People are starting to get evicted, people are scared to leave their homes, people are months behind in rent," Councilor Jason Chavez said. 

The Hennepin County Sheriff's Office provided data showing that there have been 725 removal orders related to evictions so far this year. It's a slight increase from the same time period in 2025, when there were 716 orders. 

Advocates and housing experts argue that neighborhood fundraising efforts are to thank for keeping the number of evictions from spiking.