Bill > HF1129

This bill modifies Minnesota's city aid formula by introducing a new "sparsity adjustment" that provides additional financial support for cities with low population density. Specifically, the bill adds a $200 sparsity adjustment for cities with 10,000 or more residents and an average population density less than 150 people per square mile, or for cities with fewer than 10,000 residents and an average population density less than 30 people per square mile. The bill updates the city revenue need calculation to include this new sparsity adjustment, effectively providing extra financial assistance to less densely populated cities. Additionally, the bill increases the total aid payable to cities from $644,398,012 in 2024 and 2025 to an unspecified amount for 2026 and beyond. The changes will be effective for aids payable in calendar year 2026 and subsequent years, helping to address the unique financial challenges faced by sparsely populated cities by providing them with additional funding through the state's local government aid formula.

Budget and Finance

https://www.revisor.mn.gov/bills/bill.php?b=House&f=HF1129&ssn=0&y=2025