Minnesota lawmakers cleared a path for a long-stymied urban farm project in south Minneapolis by including funding in a large infrastructure bill that passed just before the Legislative session ended Sunday.
The $1.2 billion bonding bill to fund infrastructure projects statewide includes $4 million for the city of Minneapolis for a new water distribution facility, a long-delayed step needed for the nonprofit East Phillips Neighborhood Institute (EPNI) to purchase the Roof Depot site at E. 28th Street and Longfellow Avenue.
The Legislature originally pledged money to broker a deal between the city and EPNI in 2023, after years of activism and community protests halted a planned demolition of the Roof Depot, a former Sears warehouse. The city bought the site in 2015 to build a new water yard for its Public Works department. But residents in the diverse and historically polluted neighborhood fought for their vision — an urban farm, affordable housing, and a hub for local businesses and community organizations.
Lawmakers failed to hold up their end of the bargain in 2024 and 2025, leaving the project in limbo. EPNI Board Chairman Dean Dovolis told Sahan Journal that the 2026 bonding bill funding clears the path for a new purchase agreement with the city, and that the neighborhood vision is coming to life.
“It’s nice to actually have it done — to tell the community, it will happen, it’s yours,” Dovolis said. “It’s not a theory anymore.”
Minneapolis DFL Reps. Anquam Mahamoud and Aisha Gomez fought to include funding for the project in the bonding bill.
“This is a big win for our community, which never let up in fighting for a bold vision for the Roof Depot site,” Mahamoud said in a statement. “For years, neighbors, organizers, and advocates kept pushing for a future rooted in environmental justice, and I’m incredibly proud of the community leaders and our partners at the city and state level who helped make this critical funding possible.”
City officials did not respond to requests for comment on the funding Tuesday. Council Member Jason Chavez, who represents the area, told Sahan Journal the funding will allow the city and EPNI to move forward, and called it a win for Native sovereignty, acknowledging the neighborhood’s large Native American community.
“Our neighbors fought in courtrooms, at city hall, the Capitol, and on the ground, including during the historic occupation of the Roof Depot site in 2023,” Chavez said in a statement. “They never gave up when it was convenient and pushed forward despite the obstacles. I’m proud to have stood alongside our community through the toughest of these times and I am thankful for the state legislature. There is still more work to do, including finalizing this in the city, but one of the biggest hurdles has finally been accomplished.”
Deal could split building with the city
The funding will enable the city and EPNI to move forward on a new purchase agreement, which still needs to be approved, Dovolis said.
The city and EPNI are expected to share the massive Roof Depot building in the deal, Dovolis said. Minneapolis Public Works will use the northern portion of the facility for a training center, while EPNI will have roughly 160,000 square feet for its urban farm and space for business and local organizations.
Residents of East Phillips fought for years to buy the building, which the city planned to demolish. In February 2023, protesters occupied the site to delay demolition, which bought time for a judge to issue an injunction pending an environmental review. That allowed EPNI to reach a $15.9 million deal with the city brokered by state lawmakers to purchase the property, which included funding for the purchase agreement and to recoup costs for the city.
The Legislature awarded $6.5 million toward the deal that year, and promised an additional $5.7 million once EPNI raised $3.7 million on its own. EPNI raised its share, but lawmakers failed to deliver the $5.7 million in consecutive sessions at the Capitol, creating a funding shortfall.
In September 2025, the city rejected an EPNI proposal to buy the property at a discount. Minneapolis Community Planning and Economic Development Director Erik Hansen said last fall that the city needed to recoup more money to make taxpayers whole. The Public Works department is planning to build its new wateryard site in northeast Minneapolis.
When the original purchase agreement between the city and EPNI expired last fall, Hansen said the city would consider all options for selling the property on the open market.
Although the $4 million approved in 2026 is less than the $5.7 initially promised by lawmakers, the city is expected to retain a significant portion of the property in a new deal.
A new purchase agreement will take time to complete, but Dovolis said some work on the property is likely to begin in the next month. The city is going to allow EPNI access to the parking lot this summer to launch its outdoor farm, he said.
Dovolis credits East Phillips neighbors for their commitment to seeing a positive vision for their community. EPNI plans to incorporate a neighborhood ownership model and will work with the nonprofit Cooperative Energy Futures to build a large community solar garden on the roof to help power the building and lower bills for subscribing neighbors.
“The genius of community — this is what you’re seeing demonstrated, and the resilience of community,” Dovolis said. “Now you’ll actually see it, that’s exciting.”
