Bill > SF1353

This bill modifies the Minnesota city aid distribution system by making several key changes to how cities receive state aid. Currently, cities receive aid based on their previous year's certified aid and unmet needs, with some limitations. The bill introduces a new provision specifically for first-class cities (typically the largest cities in the state) that guarantees they will receive aid of at least $150 multiplied by their population, regardless of previous calculations. The bill also adjusts the total aid pool for cities, increasing it from $644,398,012 in 2024-2025 to $657,681,729 in 2026 and subsequent years. These changes are designed to provide more stable and predictable funding for cities, with a particular focus on ensuring larger cities receive a minimum level of financial support. The new provisions will take effect for aids payable in calendar year 2026 and thereafter, giving municipalities time to plan for the updated aid distribution method.

Budget and Finance

https://www.revisor.mn.gov/bills/bill.php?b=Senate&f=SF1353&ssn=0&y=2025