Purpose of the Bill

The proposed legislation aims to address housing issues by allowing housing and redevelopment authorities to create public corporations. These corporations will be used to purchase, own, and operate properties that have been converted under the federal Rental Assistance Demonstration (RAD) program.

Main Provisions

• Creation of Public Corporations: The bill authorizes the formation of public corporations by housing and redevelopment authorities to manage properties involved in the Rental Assistance Demonstration program.
• Funding Access: These public corporations would be eligible to receive funding through the Minnesota Housing Finance Agency, which would assist them financially in their operations related to RAD properties.

Significant Changes to Existing Law

• Amendment of Existing Statutes: The bill proposes changes to several sections of the Minnesota Statutes (e.g., 15.082, 462A.202, 462C.02, 469.012) to accommodate and clarify the role and obligations of these newly established public corporations.
• Property Ownership Upon Dissolution: It stipulates that if a public corporation is dissolved, its wholly owned assets will become state property. If assets were only partially owned and state money was used to acquire them, only that portion of the ownership will revert to the state.

Relevant Terms

• Housing and redevelopment authorities
• Public corporations
• Rental Assistance Demonstration (RAD) program
• Minnesota Housing Finance Agency