Olmsted County Maintains Triple A Rating

Moody’s Investors Service gave Olmsted County its highest possible rating of Aaa.  This is due to Olmsted’s sound fiscal practices and low debt.  Only about 100 counties out of the 3,000 in the United States have this high rating.  I will continue to do my part to maintain good fiscal practices.

Graham Park Multipurpose Exhibition

Construction on the Graham Park Multipurpose Exhibition building has begun.

This building will be 80,000 square feet and cost about $42,000,000.  It will replace many of the animal barns that have exceeded their life expectancy.

The Exhibition center will allow Graham Park to be used all year; it is projected to host events throughout the year.

Krause Anderson has been contracted for the build; the Completion is projected to be 2026

Modest Size Houses, If Built, Will Sell

The 10 modest size houses on Redhawk Drive was a success.  Olmsted County funded this pilot program to demonstrate that more modest homes of about 1100 square feet would sell.  With our community partners, Olmsted bought the land and contracted to build these homes.  The houses were sold at $280,000 for qualified buyers.  All homes were sold in a very short time.

More Modest size Houses

Olmsted County contracted with a builder for 8 houses of modest size.  These Woodcrest homes are very similar to the homes built on Redhawk drive.  The Housing Administration provided an interest free loan (essentially for building material).  The houses will then be put up for sale for $350,000.  This was another pilot project to see if Olmsted can partner with a builder to provide market rate houses for a reasonable cost.  The Houses are in the process of being completed.

Maxfield Study

Olmsted is using the Maxfield Study as a guide to determine our housing projects.  The Maxfield Study indicated that the housing most in need was housing for low income elderly disabled community.  Olmsted just finished a 36 unit apartment complex that will help close the gap on low income elderly housing.  See Trailside below.

Olmsted County is Contributing to the Housing Solution

Quick information on Housing

·      5,120 new units added since 2020

·      Demand for affordable* rental homes decreased

·      There are 2,500 units in the process of completion (this includes units for all income levels, household sizes and housing types)

·      94% of all rental units are in Rochester

·      80% of total county growth over the next 10 years will be within the city of Rochester

·      The Rochester downtown (within the DMC district) will increase in population density

·      DMC projects a gain of almost 15,00 jobs from 2025-2032.

·      Housing Coalition launches initiative to create and preserve 1,000 homes over the next four years.

·      Programs have been initiated for Homeowner mentorship

Olmsted County Senior housing

·      There are 39 entities that provides 3,289 units (this includes market rate, affordable, assisted living, and memory care options)

·      65+ age population will see a 16% growth (2020-2030)

·      The need for senior housing has increased from 29% to 31% of total housing demand

·      79% of senior households are homeowners

·      Average income of Age 65-74 is $78,024; Age 75+ is $50,181.

·      More “slab on grade accessible” one level homes have entered the market

Housing Challenges:

·      5% fewer households can afford a median-priced home today than in 2020

·      Market Rate rent is up 17%

·      Low-income families can’t afford a market rate one bedroom apartment: 24% of households earn less than $50,000/year.

·      Construction costs are up 50% since 2020

·      Need for smaller less expensive houses:  Most new homes are listed at $500,000

·      Existing home prices are up 63%

·      Interest rates are higher than former mortgage rates which increases the reluctancy to move

·      Tight lot supply.

·      Acceptance of different methods of house construction

(*Affordable refers to housing that is restricted to household incomes that are at 30%, 50%, 60% or 80% of the Average Median Income; those you qualify generally pay 30% of their income for housing.)

WIC Award

Olmsted County’s Women, Infants and Children program was awarded the 2025 Breastfeeding Award of Excellence by the U.S. Department of Agriculture.  Only 3 Counties in Minnesota received this recognition.  Through the WIC program, mothers receive personal peer counseling and support for breastfeeding.  The WIC program also supervises a donor breast milk bank.  23% of infants enrolled in the WIC program were fully breastfed.

ROCOG

Rochester Olmsted Council of Governments are planning for the regional transportation goals and spending priorities through 2025.  You can view the plan at:

https://www.olmstedcounty.gov/rocog/plans-and-policies

You can comment or provide suggestions on the plan until August 25.  A public hearing is scheduled for August 27 from Noon – 1:30pm in Conference room 186 at 2122 Campus Drive Southeast.

Trailside Housing for Low Income Elderly with a Disability

The Trailside housing project will have its Grand Opening on Monday, September 22.  This is about a $10 Million project to provide affordable housing for low income elderly.  This is 36 units on Mayowood road next to the Waters apartments.  Olmsted worked with Weiss Builders on this project; it came in $300,000 under budget and was completed two months ahead of schedule.

Preliminary Levy Set

The preliminary 2026 levy for the county and the county housing and redevelopment authority was set at 6.8% increase.  This will increase funding for the county at $147,282,183 and for the HRA at $5,568,544.

Upcoming County Budget Meeting

County public meetings relating to the budget:

• December 4, 2025, 6:00PM – Truth in Taxation
• December 16, 2025 6:00PM – Adoption of the final budget and levy

Opioid Settlement

Olmsted County joined with other Minnesota Counties to sue the manufacturers of Opioids (synthetic Heroin such as Fentanyl).  Olmsted has already received some money from this lawsuit.  The most recent settlement will provide about $180,000 over the next several years.

Olmsted formed a community committee to determine how the settlement money should be used.  Much of the money is going into prevention strategies and treatment programming.