The federal government says U.S. Immigration and Customs Enforcement (ICE) is winding down its surge in Minnesota, but Minneapolis Mayor Jacob Frey says the operation’s harms will persist long after agents are gone.

In his first news conference since border czar Tom Homan announced an end to Operation Metro Surge and the withdrawal of some 2,000 federal immigration agents, Frey said the economic damage to Minneapolis in January alone topped $200 million.

“Yesterday, it was announced that Operation Metro Surge will be coming to an end, and at the same time, the damage caused by this operation has been staggering,” Frey said on Friday.

Watch Frey’s full remarks in the video player below.

The numbers

A 38-page report compiled by city staff detailed $81 million in lost revenue for small businesses; $47 million in lost wages for people who were afraid to leave home; $38 million in unrealized construction value; and $4.7 million so far in hotel cancellations extending through the summer.

An estimated 76,000 people were in need of rental or food assistance to the tune of about $25 million, and city expenses to respond to ICE’s presence in Minneapolis totaled $6 million.

The report concludes that “significant external funding is required” to make up the losses citywide, and there are more costs that have yet to be tabulated.

“It begs the question: Was it worth it? Was this operation that has inflicted so much damage on our city — that we can indeed calculate in real dollars — was it worth it?” Frey said. “Was the chaos worth it? Was the fear worth it?”

Moving forward

The mayor said his administration is putting together proposals for financial relief from state and federal leaders to make up the city’s losses.

“Minneapolis taxpayers should not be left to foot the bill of this situation that has been created by the federal government,” Frey said.

5 EYEWITNESS NEWS asked Frey if he’s confident that he can get requested aid money while not increasing property taxes. He said many tough decisions are ahead.

“There is no free money right now. Every dollar that is spent has an impact, there’s no magic pot that we can tap that does not have an impact on property taxes or other essential services,” the mayor said. “Money goes out the door, it means we have to make some form of cut or drawback internally.”

Earlier this week, Gov. Tim Walz proposed $10 million in relief for affected small businesses.

Meanwhile, with the eyes of the nation still on Minneapolis, Frey pitched an opportunity for out-of-towners to help the city rebound.

“People from around the country have asked, ‘What can we do to help?’ And the answer is upon this Operation Metro Surge ending, come to Minneapolis,” Frey said. “Support these local entrepreneurs. Support these immigrant-owned businesses that have added so greatly to the fabric of our communities and the fabric of these corridors.”

At the Jade Dynasty restaurant just off Lake Street, there are empty tables and a bottom line that’s dropping fast.

When asked if ICE has had an impact on business, owner Paul Wu said, “Big time. People are afraid to come in.”

Wu says on a typical Friday night before the ICE surge, he’d pull in $25,000. Now that’s dropped down to about $8,000.

“I hope so, but if they keep doing these things, I don’t know how much longer we restaurant people can survive,” Wu responded when asked if it’s going to get better.

Eric Enge with the Uptown Association says many members say their foot traffic has dropped from 25% to 80%.

“Some businesses are going to close,” Enge said. “So right there, you’ll have some empty spots. It’s going to take a year or two or three, how long this will impact.“

For Related Stories: Business  ICE  Jacob Frey  Minneapolis  Richard Reeve