Housing finance and policy bill, the official text

A bill for an act relating to housing; establishing supplemental budget for the Minnesota Housing Finance Agency; making policy, finance, and technical changes to housing provisions; authorizing an issuance of housing infrastructure bonds; modifying agency authority over the housing development fund; authorizing certain investment authority for housing and redevelopment agencies; modifying certain income provisions for lived-experience engagement with the agency; modifying agency meeting requirements; requiring reports; transferring money; appropriating money; amending Minnesota Statutes 2024, sections 118A.09, subdivisions 2, 4, by adding a subdivision; 462A.041; 462A.05, subdivision 8; 462A.20, subdivisions 2, 3, 4, by adding a subdivision; 462A.21, subdivisions 10, 12a; 462A.37, by adding a subdivision; Minnesota Statutes 2025 Supplement, sections 462A.37, subdivision 5; 462A.44, subdivision 3; Laws 2023, chapter 37, article 1, section 2, subdivision 18, as amended; proposing coding for new law in Minnesota Statutes, chapter 462A; repealing Minnesota Statutes 2024, section 462A.21, subdivision 5.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

ARTICLE 1

HOUSING APPROPRIATIONS

Section 1.

Laws 2023, chapter 37, article 1, section 2, subdivision 18, as amended by Laws 2024, chapter 127, article 14, section 9, and Laws 2026, chapter 43, section 1, is amended to read:

Subd. 18.

Supportive Housing

10,000,000

-0-

(a) This appropriation is for the supportive housing program under Minnesota Statutes, section 462A.42. This is a onetime appropriation.

(b) Of this amount, $9,000,000 is for grants to United States Department of Housing and Urban Development Continuum of Care Program grantees for fiscal year 2024 or fiscal year 2025 whose contracts have expired or will expire before December 31, 2026 2027, and have experienced or will experience funding gaps. The agency may prioritize awards to grantees based on need. The agency shall coordinate with local Continuums of Care to identify grantee prioritization. Notwithstanding the application provisions outlined in Minnesota Statutes, section 462A.42, subdivision 5, and the procurement provisions outlined in Minnesota Statutes, section 16C.06, subdivisions 1, 2, and 6, the agency may noncompetitively award grants to existing and previous federal continuum of care funding recipients. Notwithstanding Minnesota Statutes, section 462A.42, subdivision 4, funding may must be used as supplemental emergency support resources, which can include matching funds, for permanent supportive housing, rapid rehousing, transitional housing, and system-related activities for the identified grantees. The agency will coordinate with stakeholders on a distribution process and establish such a process within 30 days of enactment.

(c) Beginning 90 days after the agency obligates the appropriation and every 90 days thereafter, each grantee shall report to the commissioner detailing the use of grant money and the number of people served. The requirement for a grantee to report to the commissioner under this paragraph expires upon submission of a final report to the commissioner following the exhaustion or return of grant money. Within ten days after the reports from each grantee are due, the commissioner shall compile the reports required by this paragraph from each grantee. The compiled report shall also identify any grantee that has not submitted a report required by this paragraph to the commissioner. The commissioner shall submit a copy of each compiled report to the chairs and ranking minority members of the legislative committees with jurisdiction over housing. The commissioner shall also file each compiled report with the Legislative Reference Library in compliance with Minnesota Statutes, section 3.195.

(d) In the event that the amount specified in paragraph (b) is no longer needed to address financial needs of existing and previous federal Continuum of Care funding recipients as set out in paragraph (b), then remaining funds may be used by the agency for purposes set out in paragraph (a).

EFFECTIVE DATE.

This section is effective the day following final enactment.

Sec. 2. MINNESOTA HOUSING FINANCE AGENCY APPROPRIATIONS.

(a) Notwithstanding Minnesota Statutes, sections 462A.20, subdivision 3, and 462A.21, subdivision 10, $25,000,000 in fiscal year 2027 is appropriated from the aggregated earnings from investments of state appropriations made pursuant to Minnesota Statutes, section 462A.20, subdivision 3, in the housing development fund to the commissioner of the Minnesota Housing Finance Agency for the following purposes:

(1) $14,275,000 is for the workforce housing development program under Minnesota Statutes, section 462A.39;

(2) $4,000,000 is for the supportive housing program under Minnesota Statutes, section 462A.42, and must be used for the purposes provided in section 1, paragraph (b), except that, as provided in section 1, paragraph (d), if this amount is not needed for those purposes, it may be used for the purposes provided in Minnesota Statutes, section 462A.42;

(3) $4,000,000 is for the manufactured home park infrastructure grant and loan program under Minnesota Statutes, section 462A.2035, subdivision 1b;

(4) $2,000,000 is for the family homeless prevention and assistance program under Minnesota Statutes, section 462A.204, and may be used in the manner provided in section 3, subdivision 3;

(5) $425,000 is for the capacity-building grants program under Minnesota Statutes, section 462A.21, subdivision 3b, for a grant to a statewide tenant education and hotline service that provides free and confidential legal advice for all Minnesota renters. This amount may be awarded to existing grantees notwithstanding Minnesota Statutes, section 16C.06, subdivisions 1, 2, and 6;

(6) $150,000 is for the homeownership education, counseling, and training program under Minnesota Statutes, section 462A.209. This amount may be awarded to existing grantees notwithstanding Minnesota Statutes, section 16C.06, subdivisions 1, 2, and 6; and

(7) $150,000 is for the Minnesota Nice HomeShare pilot program established under paragraph (b).

(b) The commissioner of the Minnesota Housing Finance Agency must award a grant to St. Louis County for the county to establish and administer the Minnesota Nice HomeShare pilot program to assist seniors in the counties of Lake, St. Louis, and Washington to reduce living expenses by matching seniors who own homes with spare rooms to adults in need of affordable housing. For the purposes of this section, "senior" means a person 55 years of age or older. St. Louis County may partner with the Arrowhead Area Agency on Aging, the other named counties in this paragraph, or organizations that advocate for seniors, to promote the program. The program must:

(1) assist hosts and renters over the telephone, through a text chat function or by video;

(2) collect and process rental payments from renters and distribute payments to hosts in a timely manner;

(3) protect the private information and data of hosts and renters;

(4) conduct background checks on hosts and renters, including contacting at least two references for each host and renter;

(5) acquire from renters employment verification or proof of school enrollment; and

(6) review and process all applications.

(c) This is a onetime appropriation.

Sec. 3. RETURN OF UNUSED TAX-FORFEITED SETTLEMENT APPROPRIATION; CANCELLATION; APPROPRIATION.

Subdivision 1.

Return of money.

Notwithstanding Laws 2024, chapter 113, section 1, subdivision 5, on June 29, 2026, the claims administrator appointed under Laws 2024, chapter 113, to settle litigation related to the state's retention of tax-forfeited lands, surplus proceeds from the sale of tax-forfeited lands, and mineral rights in those lands must return to the commissioner of management and budget the amount of the appropriation under Laws 2024, chapter 113, section 1, subdivision 5, that is not needed to settle claims under Laws 2024, chapter 113.

Subd. 2.

Cancellation.

The commissioner of management and budget must cancel the amount received under subdivision 1 to the general fund within one day of the receipt of the money.

Subd. 3.

Appropriation.

The amount canceled under subdivision 2, less $2,000,000, is appropriated in fiscal year 2027 from the general fund to the commissioner of the Minnesota Housing Finance Agency for the family homeless prevention and assistance program under Minnesota Statutes, section 462A.204. This is a onetime appropriation and is made available for the purposes of the housing development fund. Notwithstanding the procurement provisions outlined in Minnesota Statutes, section 16C.06, subdivisions 1, 2, and 6, the agency may award grants to federally recognized Indian Tribes, to existing program grantees, and to former program grantees. The agency must consider community need, grantee capacity, and geographic distribution when awarding money. Notwithstanding Minnesota Statutes, section 16B.97, the agency must use all available methods and schedule of payments, including advanced payments, to effectuate legislative intent. Money must be spent by December 31, 2026. The agency may, at its discretion, redistribute unused or underutilized money among grantees to increase program efficiency and effectiveness.

EFFECTIVE DATE.

This section is effective the day following final enactment.

ARTICLE 2

HOUSING INFRASTRUCTURE BONDS

Section 1.

Minnesota Statutes 2024, section 462A.37, is amended by adding a subdivision to read:

Subd. 2l.

Additional authorization.

In addition to the amount authorized in subdivisions 2 to 2k and 3a, the agency may issue up to $100,000,000 in one or more series to which the payments under this section may be pledged.

EFFECTIVE DATE.

This section is effective the day following final enactment.

Sec. 2.

Minnesota Statutes 2025 Supplement, section 462A.37, subdivision 5, is amended to read:

Subd. 5.

Additional appropriation.

(a) The agency must certify annually to the commissioner of management and budget the actual amount of annual debt service on each series of bonds issued under this section.

(b) Each July 15, beginning in 2015 and through 2037, if any housing infrastructure bonds issued under subdivision 2a, or housing infrastructure bonds issued to refund those bonds, remain outstanding, the commissioner of management and budget must transfer to the housing infrastructure bond account established under section 462A.21, subdivision 33, the amount certified under paragraph (a), not to exceed $6,400,000 annually. The amounts necessary to make the transfers are appropriated from the general fund to the commissioner of management and budget.

(c) Each July 15, beginning in 2017 and through 2038, if any housing infrastructure bonds issued under subdivision 2b, or housing infrastructure bonds issued to refund those bonds, remain outstanding, the commissioner of management and budget must transfer to the housing infrastructure bond account established under section 462A.21, subdivision 33, the amount certified under paragraph (a), not to exceed $800,000 annually. The amounts necessary to make the transfers are appropriated from the general fund to the commissioner of management and budget.

(d) Each July 15, beginning in 2019 and through 2040, if any housing infrastructure bonds issued under subdivision 2c, or housing infrastructure bonds issued to refund those bonds, remain outstanding, the commissioner of management and budget must transfer to the housing infrastructure bond account established under section 462A.21, subdivision 33, the amount certified under paragraph (a), not to exceed $2,800,000 annually. The amounts necessary to make the transfers are appropriated from the general fund to the commissioner of management and budget.

(e) Each July 15, beginning in 2020 and through 2041, if any housing infrastructure bonds issued under subdivision 2d, or housing infrastructure bonds issued to refund those bonds, remain outstanding, the commissioner of management and budget must transfer to the housing infrastructure bond account established under section 462A.21, subdivision 33, the amount certified under paragraph (a). The amounts necessary to make the transfers are appropriated from the general fund to the commissioner of management and budget.

(f) Each July 15, beginning in 2020 and through 2041, if any housing infrastructure bonds issued under subdivision 2e, or housing infrastructure bonds issued to refund those bonds, remain outstanding, the commissioner of management and budget must transfer to the housing infrastructure bond account established under section 462A.21, subdivision 33, the amount certified under paragraph (a). The amounts necessary to make the transfers are appropriated from the general fund to the commissioner of management and budget.

(g) Each July 15, beginning in 2022 and through 2043, if any housing infrastructure bonds issued under subdivision 2f, or housing infrastructure bonds issued to refund those bonds, remain outstanding, the commissioner of management and budget must transfer to the housing infrastructure bond account established under section 462A.21, subdivision 33, the amount certified under paragraph (a). The amounts necessary to make the transfers are appropriated from the general fund to the commissioner of management and budget.

(h) Each July 15, beginning in 2022 and through 2043, if any housing infrastructure bonds issued under subdivision 2g, or housing infrastructure bonds issued to refund those bonds, remain outstanding, the commissioner of management and budget must transfer to the housing infrastructure bond account established under section 462A.21, subdivision 33, the amount certified under paragraph (a). The amounts necessary to make the transfers are appropriated from the general fund to the commissioner of management and budget.

(i) Each July 15, beginning in 2023 and through 2044, if any housing infrastructure bonds issued under subdivision 2h, or housing infrastructure bonds issued to refund those bonds, remain outstanding, the commissioner of management and budget must transfer to the housing infrastructure bond account established under section 462A.21, subdivision 33, the amount certified under paragraph (a). The amounts necessary to make the transfers are appropriated from the general fund to the commissioner of management and budget.

(j) Each July 15, beginning in 2026 and through 2047, if any housing infrastructure bonds issued under subdivision 2j, or housing infrastructure bonds issued to refund those bonds, remain outstanding, the commissioner of management and budget must transfer to the housing infrastructure bond account established under section 462A.21, subdivision 33, the amount certified under paragraph (a). The amounts necessary to make the transfers are appropriated from the general fund to the commissioner of management and budget.

(k) Each July 15, beginning in 2027 and through 2048, if any housing infrastructure bonds issued under subdivision 2k, or housing infrastructure bonds issued to refund those bonds, remain outstanding, the commissioner of management and budget must transfer to the housing infrastructure bond account established under section 462A.21, subdivision 33, the amount certified under paragraph (a). The amounts necessary to make the transfers are appropriated from the general fund to the commissioner of management and budget.

(l) Each July 15, beginning in 2028 and through 2049, if any housing infrastructure bonds issued under subdivision 2l or housing infrastructure bonds issued to refund those bonds remain outstanding, the commissioner of management and budget must transfer to the housing infrastructure bond account established under section 462A.21, subdivision 33, the amount certified under paragraph (a). The amounts necessary to make the transfers are appropriated from the general fund to the commissioner of management and budget.

(m) The agency may pledge to the payment of the housing infrastructure bonds the payments to be made by the state under this section.

EFFECTIVE DATE.

This section is effective the day following final enactment.

ARTICLE 3

HOUSING POLICY

Section 1.

Minnesota Statutes 2024, section 118A.09, subdivision 2, is amended to read:

Subd. 2.

Additional investment authority.

Qualifying governments may invest the amount described in subdivision 3:

(1) in index mutual funds based in the United States and indexed to a broad market United States equity index, on the condition that index mutual fund investments must be made directly with the main sales office of the fund; or

(2) in shares of a company that:

(i) is registered with the United States Securities and Exchange Commission;

(ii) concentrates in investment grade fixed income securities;

(iii) holds, at the time of purchase, at least 80 percent of its investments in federally insured or guaranteed securities, including by government sponsored entities; and

(iv) has a mission, in part, to provide direct investment in local multifamily housing development; or

(3) with the Minnesota State Board of Investment subject to such terms and minimum amounts as may be adopted by the board.

EFFECTIVE DATE.

This section is effective the day following final enactment.

Sec. 2.

Minnesota Statutes 2024, section 118A.09, is amended by adding a subdivision to read:

Subd. 3a.

Housing and redevelopment authorities; investment authority.

A housing and redevelopment authority created in a county or statutory or home rule charter city that meets the criteria of subdivision 1, paragraph (a), clause (1) or (2), may invest its funds in investments that meet the criteria of subdivision 2, clause (2), subject to the limitations and requirements for qualifying governments under subdivisions 3 and 4.

EFFECTIVE DATE.

This section is effective the day following final enactment.

Sec. 3.

Minnesota Statutes 2024, section 118A.09, subdivision 4, is amended to read:

Subd. 4.

Approval.

Before investing pursuant to this section, the governing body of the qualifying government must adopt a resolution or investment policy that includes the following statements:

(1) the governing body understands that investments under subdivision 2 have a risk of loss;

(2) the governing body understands the type of funds that are being invested and the specific investment itself; and

(3) the governing body certifies that all funds designated for investment through the State Board of Investment meet the requirements of this section and the policies and procedures established by the State Board of Investment.

EFFECTIVE DATE.

This section is effective the day following final enactment.

Sec. 4.

Minnesota Statutes 2024, section 462A.041, is amended to read:

462A.041 MEETINGS BY TELEPHONE OR OTHER ELECTRONIC MEANS INTERACTIVE TECHNOLOGY.

(a) For the purposes of this section, "interactive technology" has the meaning in section 13D.001, subdivision 2.

(a) Notwithstanding sections 13D.01 and 13D.02, (b) The Housing Finance Agency may conduct a meeting of its members by telephone or other electronic means interactive technology so long as the following conditions are met:

(1) all members of the agency participating in the meeting, wherever their physical location, can hear one another and can hear all discussion and testimony;

(2) members of the public present at the regular meeting location of the agency can hear all discussion and testimony and all votes of members of the agency;

(3) at least one member of the agency, the commissioner, the deputy commissioner, or an attorney for the agency is physically present at the regular meeting location; and

(4) all votes are conducted by roll call, so each member's vote on each issue can be identified and recorded.

(b) (c) Each member of the agency participating in a meeting by electronic means interactive technology is considered present at the meeting for purposes of determining a quorum and participating in all proceedings.

(c) (d) If telephone or another electronic means interactive technology is used to conduct a meeting, the agency to the extent practical, shall allow a person to monitor the meeting electronically from a remote location. The agency may require the person making such a connection to pay for documented marginal costs that the agency incurs as a result of the additional connection. Meetings must be made available on a website for live video streaming and be archived on a website for playback at a later time.

(d) (e) If telephone or another electronic means interactive technology is used to conduct a regular, special, or emergency meeting, the agency shall provide notice of the regular meeting location, of the fact that some members may participate by electronic means interactive technology, and of the provisions of paragraph (c) (d). The timing and method of providing notice is governed by section 13D.04.

EFFECTIVE DATE.

This section is effective August 1, 2026.

Sec. 5.

Minnesota Statutes 2024, section 462A.05, subdivision 8, is amended to read:

Subd. 8.

Service charges.

(a) It may collect reasonable interest, fees, and charges in connection with making and servicing its loans, notes, bonds, obligations, commitments and other evidences of indebtedness, and in connection with providing technical, consultative and project assistance services. Such interest, fees and charges shall be limited to the amounts required to pay the costs of the agency, including operating and administrative expenses, and reasonable allowances for losses which may be incurred.

(b) Notwithstanding section 16B.98, subdivision 14, or any other law to the contrary, the agency may not retain any portion of any amount appropriated to the agency, unless the aggregated earnings from investments of state appropriations are insufficient to pay the costs and expenses necessary and incidental to the development and operation of programs funded by state appropriations. Retentions from state appropriations may not exceed the amount by which the costs and expenses necessary and incidental to the development and operation of state programs exceed the aggregated earnings from investments of state appropriations. Prior to retaining any portion of an appropriation to the agency, the agency must notify the chairs and ranking minority members of the legislative committees having jurisdiction over housing finance and policy. This paragraph expires June 30, 2028.

EFFECTIVE DATE.

This section is effective the day following final enactment.

Sec. 6.

Minnesota Statutes 2024, section 462A.20, subdivision 2, is amended to read:

Subd. 2.

Which money in fund.

(a) There shall be paid into the housing development fund:

(1) any moneys appropriated and made available by the state for the purposes of the fund;

(2) any moneys transferred into and made available by the state for the purposes of the fund;

(2) (3) any moneys which the agency receives in repayment of advances made from the fund;

(3) (4) any other moneys which may be made available to the agency for the purpose of the fund from any other source or sources;

(4) (5) all fees and charges collected by the agency;

(5) (6) all interest or other income not required by the provisions of a resolution or indenture securing notes or bonds to be paid into another special fund.

(b) Money in the housing development fund may be used only for the purposes of the housing development fund and may not be transferred from the fund for other purposes.

EFFECTIVE DATE.

This section is effective the day following final enactment.

Sec. 7.

Minnesota Statutes 2024, section 462A.20, subdivision 3, is amended to read:

Subd. 3.

Separate accounts; transfers; limits.

Whenever any money is appropriated by the state to the agency solely for a specified purpose or purposes, the agency shall establish a separate bookkeeping account or accounts in the housing development fund to record the receipt and disbursement of such money and of the income, gain, and loss from the investment and reinvestment thereof. Earnings from investment of any amounts appropriated by the state to the agency for a specified purpose or purposes may be aggregated. The costs and expenses necessary and incidental to the development and operation of all programs funded by state appropriations may be paid from the aggregated earnings from investments prior to periodic distributions of earnings to separate accounts to be used for the same purpose as the respective original appropriation. The agency must distribute earnings as provided in subdivision 5. The agency may transfer unencumbered balances from one appropriated account to another, provided that no money appropriated for the purpose of agency loan programs may be transferred to an account to be used for making grants, except that money appropriated for the purpose of section 462A.05, subdivision 14a, may be transferred for the purpose of section 462A.05, subdivision 15a. The commissioner must inform the chairs and ranking minority members of the legislative committees with jurisdiction over housing finance and policy in writing prior to making a transfer pursuant to this subdivision. The written notice must include how much money will be transferred, why the transfer will be made, and when the transfer will occur. The written notice must also be filed with the Legislative Reference Library in compliance with section 3.195.

EFFECTIVE DATE.

This section is effective the day following final enactment.

Sec. 8.

Minnesota Statutes 2024, section 462A.20, subdivision 4, is amended to read:

Subd. 4.

Operating costs Report.

(a) On or before February 15 of each year, the agency shall deliver must submit a report to the chairs of the finance and appropriations committees of the legislature and ranking minority members of the legislative committees having jurisdiction over housing finance and policy, ways and means, and finance on the costs of operating the agency in the previous fiscal year. The report shall include must differentiate between costs to administer programs funded by state appropriations and other agency activities. For both types of costs, the report must include the following: (1) the expenditures for salaries and benefits, rent, professional and technical services, and general agency administration,; (2) the number of full-time equivalent staff positions; and (3) the agency's audited financial statements which include information on expenditures and receipts relating to debt issuance and administration and loan origination and administration. The report shall must also include a budget plan for operating costs that differentiates between the costs to administer programs funded by state appropriations and other agency activities. For both types of costs, the report must include projected costs for salaries and benefits, rent, professional and technical services, and general administration for the current fiscal year, including estimates of changes in costs from the previous fiscal year. If it appears that the costs in the current fiscal year will exceed the budget plan contained in the report submitted under this subdivision, the agency must notify the chairs and ranking minority members of the legislative committees or divisions with jurisdiction over the agency's budget housing finance and policy that the costs in the current fiscal year will exceed the submitted budget plan and the reasons for the changes in costs and must submit a revised budget plan to the commissioner of management and budget and obtain the commissioner's concurrence with the revised plan. The agency must also notify the chairs and ranking minority members of the legislative committees or divisions with jurisdiction over the agency's budget housing finance and policy when the agency is considering an expansion of agency activities that were was not contemplated in the submitted budget plan.

(b) The report under this subdivision must additionally provide:

(1) the amount of aggregated earnings from investments of state appropriations as of January 1 of the year the report is to be submitted;

(2) the amounts used pursuant to subdivision 5 in the prior calendar year and the programs for which each amount was originally appropriated and through which each amount was used;

(3) the amounts of any administrative retentions from state appropriations in the prior calendar year;

(4) the amount, as of January 1 of the year the report is to be submitted, of the unencumbered balance that was appropriated prior to the current fiscal year, including citations to the laws making the original appropriations and explanations why the amounts remain unencumbered; and

(5) the amount that the agency projected pursuant to subdivision 5, paragraph (a), clause (2), in its most recent calculation pursuant to that subdivision, along with information on the assumptions used in creating those projections.

Sec. 9.

Minnesota Statutes 2024, section 462A.20, is amended by adding a subdivision to read:

Subd. 5.

Use of earnings from investments of state appropriations required.

(a) By September 1 each odd-numbered year, the agency must determine the difference between: (1) the amount as of June 30 of that year of aggregated earnings from investments of state appropriations in the housing development fund; and (2) the amount that the agency projects that it will incur in costs and expenses necessary and incidental to the development and operation of programs funded by state appropriations in the fiscal year beginning that July 1 and in the following fiscal year.

(b) Each biennium the commissioner must use 25 percent of the difference determined in paragraph (a), in the manner provided in this subdivision. Before December 31 of the even-numbered year in each biennium, the agency must encumber the amount to be used under this subdivision, or the agency must provide public notice of the solicitations through which the amount will be awarded. Earnings must be used for purposes that are comparable to the purposes of the respective original appropriations and consistent with legislative intent.

(c) Use of aggregated earnings from investment of state appropriations is not required under this subdivision if, when completing the calculation under paragraph (a), the amount in paragraph (a), clause (2), exceeds the amount in paragraph (a), clause (1).

(d) The agency must consult with the commissioner of management and budget when projecting its costs pursuant to paragraph (a), clause (2).

EFFECTIVE DATE.

This section is effective the day following final enactment.

Sec. 10.

Minnesota Statutes 2024, section 462A.21, subdivision 10, is amended to read:

Subd. 10.

Certain appropriations available until expended.

Notwithstanding the repeal of section 462A.26 and the provisions of section 16A.28 or any other law relating to lapse of an appropriation, the appropriations made to the agency by the legislature in 1976 and subsequent years are available until fully expended, and the allocations provided in the appropriations remain in effect. Earnings from investments of any of the amounts appropriated to the agency are appropriated to the agency to be used for the same purposes as the respective original appropriations or for the purposes provided in section 462A.20, subdivision 5, after payment of the costs and expenses necessary and incidental to the development and operation of the programs authorized under this chapter all programs funded by state appropriations.

EFFECTIVE DATE.

This section is effective the day following final enactment.

Sec. 11.

Minnesota Statutes 2024, section 462A.21, subdivision 12a, is amended to read:

Subd. 12a.

Program money transfer.

Unencumbered balances of money appropriated for the purpose of loans or grants for agency programs under these subdivisions may be transferred between programs created by these subdivisions or in accordance with section 462A.20, subdivision 3. The commissioner must inform the chairs and ranking minority members of the legislative committees with jurisdiction over housing finance and policy in writing prior to making a transfer pursuant to this subdivision. The written notice must include how much money will be transferred, why the transfer will be made, and when the transfer will occur. The written notice must also be filed with the Legislative Reference Library in compliance with section 3.195.

Sec. 12.

Minnesota Statutes 2025 Supplement, section 462A.44, subdivision 3, is amended to read:

Subd. 3.

Eligible recipient.

(a) A city, as defined in section 462C.02, subdivision 6, or a county is eligible to apply for and receive a grant from either account established in subdivision 2 the bond proceeds fund or a loan from the local public housing development fund.

(b) A federally recognized American Indian Tribe or a Tribally designated housing entity is eligible to apply for and receive a loan from the local public housing program account in the housing development fund.

EFFECTIVE DATE.

This section is effective the day following final enactment.

Sec. 13.

[462A.45] LIVED-EXPERIENCE ENGAGEMENT EXEMPTION.

(a) Notwithstanding any law to the contrary, income received from lived-experience engagement is not considered income, assets, or personal property for purposes of determining eligibility or recertifying eligibility for state public assistance, including but not limited to:

(1) child care assistance programs under chapter 142E;

(2) general assistance, Minnesota supplemental aid, and food support under chapters 142F and 256D;

(3) housing support under chapter 256I;

(4) Minnesota family investment program under chapter 142G; and

(5) economic assistance programs under chapter 256P.

(b) For purposes of this section, "lived-experience engagement" means the agency engaging with people with relevant experience identified by the agency for the purposes of (1) serving as a community reviewer of proposals submitted as part of an agency request for proposals, or (2) gathering and sharing feedback on the impact of housing programs.

Sec. 14. LEGISLATIVE FISCAL STAFF ACCESS TO ACCOUNTING SUBSYSTEM.

By February 15, 2027, the commissioner of the Minnesota Housing Finance Agency must report to the chairs and ranking minority members of the legislative committees with jurisdiction over housing finance and policy on how the agency will provide legislative fiscal staff with remote access to the agency accounting subsystem.

Sec. 15. REPEALER.

Minnesota Statutes 2024, section 462A.21, subdivision 5,

is repealed.

EFFECTIVE DATE.

This section is effective the day following final enactment.

APPENDIX

Repealed Minnesota Statutes: H1141-3

462A.21 HOUSING DEVELOPMENT FUND; ADVANCES, USE REPAYMENT.

Subd. 5.

Other agency purposes.

It may expend moneys in the fund, not otherwise appropriated, for such other agency purposes as previously enumerated in this chapter as the agency in its discretion shall determine and provide.