In their first meeting on May 15, 2017, Minneapolis Executive Director Greg Russ and private consultant Peter Hendee Brown, a Professor at the Humphrey School of Public Affairs and author of the book “How Real Estate Developers Think,” discussed their strategy for privatizing public housing in Minneapolis.

In an attachment to an email obtained through a public data request, Brown provides notes from this first meeting that reveal MPHA’s strategy for privatizing public housing. After stating their intention to “Sell, sell, sell!” Brown made this note:

“Slow preparation, fast execution: ‘If I had eight hours to cut down a tree I’d spend the first six sharpening the axe.’”

We have attached a screenshot of the email containing the attachment as seen in Microsoft Outlook, the program used to open the .msg file given to the campaign by MPHA. We have also attached a PDF copy of the attachment, which was originally given in the .docx format. It is worth exploring as it offers direct insight into Greg Russ’s strategy, not as presented to the public, but as crafted behind closed doors with private consultants.

MPHA is applying to privatize the Elliot Twins apartments through RAD, without including residents at all in the planning process. This is a violation their own board-approved “Guiding Principles for Redevelopment,” in which they promise “MPHA will encourage active and meaningful resident and community participation throughout the planning and implementation process.” This has not happened. MPHA has not notified residents of their plans to privatize Elliot Twins until now, in spite of filing a Letter of Intent with HUD to privatize the property in April 2017, and engaging in extensive planning with private contractors in secret following this submission. MPHA is already breaking their own promises and policies.

MPHA’s plans are to displace people during renovations by giving them Section 8 vouchers, which do not work. Residents will not be able to find housing with these vouchers. If they don’t give residents Section 8 vouchers, MPHA will put people on the waiting list of other public housing buildings. The waiting list is currently over 7 years long. In the meantime, residents will face homelessness because they can’t afford rents in the private market.  MPHA verbally guarantees residents the right to return, but there is no written contract of new leases of where residents will be moved to. Once the private owner takes control of the building, they will turn to luxury apartments, residents will be forced to leave, and MPHA will have no control over who lives there because MPHA will not control the lease. MPHA promises that they will continue to manage the properties, but by Greg Russ’s own admission this will be up to the private investor, not MPHA.

MPHA will hold public meetings with Elliot Twins residents on August 8th and 9th to tell vulnerable, elderly residents that they have to accept this plan, regardless of what they think. Just one week later, on August 15th, MPHA will hold two public meetings to discuss their 2019 Moving to Work (MTW) Annual Plan, a Plan that will open up all public housing in Minneapolis to privatization. Then, on the 22nd of August, MPHA will hold public hearing at their headquarters. MPHA will accept public comments until August 27th via email.

To be clear, MPHA is already violating their own “Guiding Principles for Redevelopment.” Any promises they make to residents cannot be trusted. MPHA has completed their slow preparation without notifying residents or the greater community. Now they are attempting to complete their fast execution. They are trying to push their plans as fast as they can without anyone knowing about it.

Please come to the following meetings to support residents and show MPHA that they cannot get away with this:

RAD Meetings:
Wednesday, August 8th: 4:30 – 6:30 PM
Thursday, August 9th: 1:30 – 3:30 PM
Bethlehem Baptist Church
720 13th Ave S

2019 MTW Annual Plan Presentation:
Wednesday, August 15th: 1:00 – 3:00 &
5:00 – 7:00 PM
Parker Skyview Building
1815 Central Ave NE

Public Hearing on 2019 MTW Annual Plan
Wednesday, August 22, 2018
1:30 – 3:30 PM
Comment sign up sheet begins 12:30 pm
MPHA Board Room
1001 Washington Avenue North, 55401

Public Comments are due August 27, 2018
Email comments to: MTW@MplsPHA.org
Mail comments to: MPHA MTW Comments, Room 204
1001 Washington Avenue North, Minneapolis, MN 55401

Feel free to send your comments to City Council members, the Mayor, and HUD. We will provide HUD contacts in our next post, as MPHA has not informed residents of who to contact.

(PDF of this article here: “Sell, sell, sell!” says Peter Hendee Brown, MPHA Consultant_)

(PDF of attached document here: GREG RUSS NOTES MAY 15)

(Screenshot of email containing attachment)