Constitutional amendment proposal to increase the sales tax rate by three-eighths of one percent and dedicating the receipts for housing purposes; Creating a homeownership fund, a rental opportunity fund and a household and community stability fund
Impact
The impact of SF4022 on Minnesota state laws is significant, as it seeks to amend the state constitution to provide a permanent funding source directed at alleviating housing-related issues. The legislation prioritizes combating homelessness and ensuring that all Minnesotans have access to affordable housing options. By creating dedicated funds, the bill aims to supplement traditional funding sources, ensure better fiscal management, and strategically address the pressing challenges linked to housing stability and accessibility in the state.
Summary
SF4022 proposes a constitutional amendment to increase the sales tax rate by three-eighths of one percent, dedicating the funds generated specifically to several housing initiatives. This increase in the sales tax, set to commence on July 1, 2025, aims to generate resources for a homeownership opportunity fund, a community and household stability fund, and a rental opportunity fund. Each of these funds is designated for various beneficial purposes, including aiding in the acquisition and rehabilitation of homes, providing emergency financial assistance to those at risk of homelessness, and promoting ongoing rental assistance strategies.
Contention
Notably, the bill has sparked discussion regarding the increase of the sales tax and its implications for Minnesota residents, particularly those with lower incomes who may be disproportionately affected by tax increases. Opponents of the bill may argue that while its goals are commendable, the method of funding through a tax increase could place undue financial strain on those who can least afford it. Proponents assert that the long-term benefits of stable housing solutions outweigh the immediate tax concerns and emphasize the necessity of this funding scheme to tackle housing crises effectively.
Constitutional amendment increasing the sales tax rate by three-eighths of one percent and dedicating the receipts for housing purposes; homeownership opportunity fund, rental opportunity fund and household and community stability fund and fund councils creation
Constitutional Amendment proposal to increase the sales tax rate by three-eighths of one percent and dedicating the receipts for housing purposes; Homeownership opportunity fund, community and household stability fund, and rental opportunity fund establishment; fund councils establishment
Sales tax rate increased by three-eighths of one percent and receipts dedicated for housing purposes; homeownership opportunity fund, rental opportunity fund, and household and community stability funds created; fund councils created; appointments provided; and constitutional amendment proposed.
Sales tax rate increased by three-eighths of one percent and receipts dedicated for housing purposes; homeownership opportunity fund, community and household stability fund, and rental opportunity fund created; fund councils created; appointments provided; reports required; and constitutional amendment proposed.
Community and household stability, homeownership opportunity, and rental opportunity funds established; state general levy apportioned for funds; and reports required.
Proposing a constitutional amendment regarding an increase in the maximum amount to be retained in the constitutional economic stabilization fund and dedicating for deposit in that fund certain sales and use tax revenues.
Build Wealth MN grant to establish the 9,000 Equities Fund to increase homeownership opportunities in underserved communities of color authorization and appropriation
Constitutional amendment increasing the sales tax rate by three-eighths of one percent and dedicating the receipts for housing purposes; homeownership opportunity fund, rental opportunity fund and household and community stability fund and fund councils creation
Constitutional Amendment proposal to increase the sales tax rate by three-eighths of one percent and dedicating the receipts for housing purposes; Homeownership opportunity fund, community and household stability fund, and rental opportunity fund establishment; fund councils establishment
Sales tax rate increased by three-eighths of one percent and receipts dedicated for housing purposes; homeownership opportunity fund, rental opportunity fund, and household and community stability funds created; fund councils created; appointments provided; and constitutional amendment proposed.
Sales tax rate increased by three-eighths of one percent and receipts dedicated for housing purposes; homeownership opportunity fund, community and household stability fund, and rental opportunity fund created; fund councils created; appointments provided; reports required; and constitutional amendment proposed.
Community and household stability, homeownership opportunity, and rental opportunity funds established; state general levy apportioned for funds; and reports required.