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021726 Joint HRA_Council Work Session MinutesITEM #1 HOUSING AND REDEVELOPMENT AUTHORITY MEETING MINUTES Richfield, Minnesota Joint HRA and Council Work Session Meeting February 17, 2026 CALL TO ORDER Acting Chair Hanson called the meeting to order at 6:00 p.m. in the Council Chambers. HRA Present: Gordon Hanson, Acting Chair; Mary Supple; Sean Hayford Oleary; and John Young. HRA Absent: Erin Vrieze Daniels, Chair. Council Present: Walter Burk; Rod Coleman -Woods. Mayor Supple and Council Member Hayford Oleary sit as members of the Housing and Redevelopment Authority. Staff Present. Katie Rodriguez, City Manager; Melissa Poehlman, Executive Director; Julie Urban, Assistant Community Development Director; and Michelle Friedrich, City Clerk. Guest(s): Brett Stursa IT #2 ITEM DISCUSSION a. Discuss 4d(1) tax classification impacts and possible policy. Acting Chair Hanson introduced Assistant Community Development Director Urban. Assistant Community Development Director Urban presented an overview of the 4d(1) property tax classification, including eligibility requirements, impacts on the Minnesota property tax system, and how the program can support affordable housing preservation. She explained the Minnesota property tax system and demonstrated the potential tax impact of 4d(1) status, noting it provides tax savings to property owners while shifting tax capacity to other taxpayers. Assistant Community Development Director Urban reviewed examples of how the tool could support preservation of Naturally Occurring Affordable Housing (NOAH), current impacts of 4d(1) status in Richfield, and potential broader impacts if applied to additional properties. Assistant Community Development Director Urban also compared the use of 4d(1) classification and Tax Increment Financing (TIF) through hypothetical development scenarios, highlighting trade-offs between affordability and long-term tax revenue. Council and HRA members discussed priorities, administrative considerations, taxpayer impacts, TIF versus 4d(1) in supporting affordable housing, and limiting expanded use of4d(1) due to potential tax burden and service cost concerns. Staff were provided direction and will follow up with additional information and questions for Council consideration. HRA Meeting Minutes February I f, 2026 ITEM M #3 ADJOURNMENT This meeting was adjourned by unanimous consent at 6:53 p.m. Date Approved: March 16, 2026 Gordon Hanson Michelle Friedrich City Clerk HRA Acting Chair Melissa Poehlman Executive Director