Bill > HF549

This bill modifies Minnesota's local government aid system by introducing a new requirement for cities to dedicate a portion of their state aid to housing programs, based on the age of their housing stock. Specifically, the bill creates a "housing need percentage" calculated by examining the percentage of a city's housing units built before 1970, with a focus on pre-1940 and 1940-1970 housing periods. Under the new provision, cities receiving state aid must allocate an amount of funding equal to their housing need percentage multiplied by their total city formula aid to support housing development, redevelopment, and rehabilitation programs. There is a minimal threshold: if the calculated housing dedication amount is less than $100, no dedication is required. The bill emphasizes that this housing program funding is supplemental to any existing funding from other sources like grants or fees. These changes will take effect for aids payable in calendar year 2026 and subsequent years, providing cities with a structured approach to addressing housing infrastructure needs based on the age of their existing housing stock.

Budget and Finance

https://www.revisor.mn.gov/bills/bill.php?b=House&f=HF0549&ssn=0&y=2025