HF2693

HF2693 (Legislative Session 94 (2025-2026))

Locally controlled housing fund established, allowable uses of housing infrastructure bonds modified, report required, bonds issued, and money appropriated.

AI Generated Summary

Purpose of the Bill

The legislation aims to enhance affordable housing options in Minnesota by establishing a locally controlled housing program and modifying the use of housing infrastructure bonds. It seeks to make housing more accessible to various income groups, including low- and moderate-income households, veterans, and seniors.

Main Provisions

Locally Controlled Housing Fund: The bill creates a new housing fund, allocating it to develop or acquire properties to be owned by local recipients such as cities, counties, and American Indian Tribes. Two main accounts are established: one in the housing development fund and another in the bond proceeds fund.
Housing Infrastructure Bonds: The legislation expands the use of housing infrastructure bonds to finance a wide range of housing projects. These include supportive housing for the homeless, housing on foreclosed properties, senior housing, affordable single-family homes, and cooperatively owned housing.
Eligibility and Use of Funds: Eligible recipients can apply for grants or loans to acquire, design, and construct housing. The funding requirements ensure that a percentage of units remains affordable based on household income relative to the area median.
Accessibility Requirements: Projects funded must include a mix of accessible and sensory-accessible units, fulfilling certain specified conditions such as roll-in showers and sensory-friendly designs.
Priority and Preferences: Preferences are given to certain types of projects like permanent supportive housing for veterans and senior housing that demonstrates affordability and accessibility.

Significant Changes to Existing Law

The bill amends Minnesota Statutes 2024 section 462A.37, subdivision 2, to authorize the issuance of $30 million in housing infrastructure bonds for an expanded list of housing objectives.
It introduces new provisions under Minnesota Statutes chapter 462A for the locally controlled housing program, specifying usage and administration of funds.
It revises eligibility criteria and funding allocation based on area median income, accessibility, and veteran preferences.

Relevant Terms

Affordable Housing
Housing Infrastructure Bonds
Locally Controlled Housing Fund
Supportive Housing
Community Land Trust
Accessible Units
Sensory-Accessible Units

Bill text versions

Introduction PDF file

Actions

Date	Chamber	Where	Type	Name	Committee Name
March 23, 2025	House	Floor	Action	Introduction and first reading, referred to	Housing Finance and Policy
March 31, 2025	House	Floor	Action	Author added

Citations

[
  {
    "analysis": {
      "added": [
        "New funding options for the development of infrastructure for manufactured home parks."
      ],
      "removed": [],
      "summary": "The bill modifies the financing for acquisition, improvement, and infrastructure of manufactured home parks under section 462A.2035.",
      "modified": [
        "Expanded the definition of eligible improvements within manufactured home parks."
      ]
    },
    "citation": "462A.2035",
    "subdivision": "subdivision 1b"
  }
]