| 32 | | - | The bill was read for the first time and referred to the Committee on Housing Finance and Policy |
|---|
| 33 | | - | Adoption of Report: Amended and re-referred to the Committee on Elections Finance and Government Operations03/17/2025 2.1 (e) "Multifamily residential development" means a single residential building with at |
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| 34 | | - | 2.2least 13 units or a mixed-use building with commercial use on the ground floor, and at least |
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| 35 | | - | 2.3half of the usable square footage is for residential use. |
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| 36 | | - | 2.4 (f) "Request" has the meaning provided in section 15.99, except that for the purposes |
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| 37 | | - | 2.5of this section, it also includes a written application for a building permit or a proposed |
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| 38 | | - | 2.6subdivision related to a multifamily residential development. |
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| 39 | | - | 2.7 (g) "Residential unit" means a building or part of a building intended to be used as a |
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| 40 | | - | 2.8dwelling by a single owner or tenant. |
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| 41 | | - | 2.9 Subd. 2.Multifamily and mixed-use development permitted.(a) A multifamily |
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| 42 | | - | 2.10residential development shall be a permitted use in any zoning district in a municipality that |
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| 43 | | - | 2.11authorizes commercial uses, except if such zoning district also authorizes heavy industrial |
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| 44 | | - | 2.12uses as a permitted use. |
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| 45 | | - | 2.13 (b) A municipality must approve a multifamily residential development authorized under |
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| 46 | | - | 2.14paragraph (a), pursuant to the process and limitations established in subdivisions 3 and 4. |
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| 47 | | - | 2.15 (c) Subject to the limitations in subdivisions 3, 4, and 6, a development authorized under |
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| 48 | | - | 2.16paragraph (a) must comply with any standards, performance conditions, or requirements, |
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| 49 | | - | 2.17including the adequacy of existing public infrastructure, imposed by a municipality to protect |
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| 50 | | - | 2.18public health, safety, and general welfare. |
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| 51 | | - | 2.19 (d) Nothing in this section authorizes a multifamily residential development that is |
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| 52 | | - | 2.20prohibited by state or federal law or rule, or is prohibited under an ordinance adopted |
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| 53 | | - | 2.21pursuant to such a state or federal law or rule, to protect floodplains, areas of critical or |
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| 54 | | - | 2.22historic concern, wild and scenic rivers, or shore land, or that otherwise restricts residential |
|---|
| 55 | | - | 2.23units to protect and preserve public health, the environment, or scenic areas. |
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| 56 | | - | 2.24 (e) A city may establish local controls or ordinances to require that multifamily residential |
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| 57 | | - | 2.25developments constructed under this section that replace existing commercial or industrial |
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| 58 | | - | 2.26structures be mixed use, with commercial use on the ground floor and at least of half of the |
|---|
| 59 | | - | 2.27usable square footage dedicated to residential use. This provision does not apply to an |
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| 60 | | - | 2.28affordable housing development. |
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| 61 | | - | 2.29 (f) For purposes of this section, public health, safety, and general welfare does not include |
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| 62 | | - | 2.30traffic, noise, or nuisance concerns for developments with less than 300 units. |
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| 63 | | - | 2.31 Subd. 3.Required standards.(a) The following limitations and required standards |
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| 64 | | - | 2.32apply to a multifamily residential development permitted under subdivision 2. |
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| 65 | | - | 2Section 1. |
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| 66 | | - | REVISOR MS H2018-1HF2018 FIRST ENGROSSMENT 3.1 (b) Any standards, performance conditions, or requirements imposed by a municipality |
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| 67 | | - | 3.2must directly relate to protecting health or safety. |
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| 68 | | - | 3.3 (c) A municipality must allow a floor area ratio of 2.5 or greater. |
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| 69 | | - | 3.4 (d) The following municipalities must not impose a height limitation that is less than 75 |
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| 70 | | - | 3.5feet above grade: |
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| 71 | | - | 3.6 (1) cities of the first class; |
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| 72 | | - | 3.7 (2) the city of St. Cloud; and |
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| 73 | | - | 3.8 (3) municipalities in the counties of Anoka, Carver, Dakota, Hennepin, Ramsey, Scott, |
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| 74 | | - | 3.9and Washington. |
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| 75 | | - | 3.10 (e) A municipality other than those listed in paragraph (d) must not impose a height |
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| 76 | | - | 3.11limitation that is less than the higher of: |
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| 77 | | - | 3.12 (1) the tallest commercial or multifamily building that zoning standards authorize in the |
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| 78 | | - | 3.13same zoning district; or |
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| 79 | | - | 3.14 (2) the tallest existing commercial or multifamily building within one-quarter mile within |
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| 80 | | - | 3.15the municipality, excluding nonconforming buildings built before January 1, 1975. |
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| 81 | | - | 3.16 (f) A municipality must allow setback and lot coverage requirements equal to those |
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| 82 | | - | 3.17allowed for a commercial building in the same zoning district. |
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| 83 | | - | 3.18 (g) A municipality must not impose more restrictive standards, performance conditions, |
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| 84 | | - | 3.19or requirements than those that would apply to a commercial building. |
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| 85 | | - | 3.20 (h) A municipality must not impose minimum parking mandates on a multifamily |
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| 86 | | - | 3.21residential development or the residential portion of a mixed-use development, except that |
|---|
| 87 | | - | 3.22a municipality may pass and enforce an ordinance under section 169.346, subdivision 4, |
|---|
| 88 | | - | 3.23related to disability parking spaces or any provision of the Minnesota Accessibility Code, |
|---|
| 89 | | - | 3.24Minnesota Rules, chapter 1341. |
|---|
| 90 | | - | 3.25 (i) A municipality must not impose standards, performance conditions, or requirements |
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| 91 | | - | 3.26on an affordable housing development that are more restrictive than those imposed on a |
|---|
| 92 | | - | 3.27market rate multifamily residential development. |
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| 93 | | - | 3.28 (j) Notwithstanding paragraphs (b) to (h), a municipality may use official controls that |
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| 94 | | - | 3.29result in increased density, including by imposing performance conditions, standards, or |
|---|
| 95 | | - | 3.30other requirements. |
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| 96 | | - | 3Section 1. |
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| 97 | | - | REVISOR MS H2018-1HF2018 FIRST ENGROSSMENT 4.1 Subd. 4.Administrative approval process.(a) A municipality must establish and follow |
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| 98 | | - | 4.2an administrative process to review requests related to a development permitted under |
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| 99 | | - | 4.3subdivision 2 in accordance with the process outlined in section 15.99. Notwithstanding |
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| 100 | | - | 4.4language to the contrary in section 15.99, subdivision 2, the time limit in section 15.99 shall |
|---|
| 101 | | - | 4.5apply to a request for a building permit or a proposed subdivision for the purposes of this |
|---|
| 102 | | - | 4.6section. Failure of a municipality to deny a request within the time limit provided under |
|---|
| 103 | | - | 4.7section 15.99 is approval of the request. |
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| 104 | | - | 4.8 (b) An applicant may provide written authorization to a municipality to toll the review |
|---|
| 105 | | - | 4.9time limit provided by section 15.99. The applicant may also direct in writing that the |
|---|
| 106 | | - | 4.10municipality resume the 60-day time limit for a request that was previously tolled by |
|---|
| 107 | | - | 4.11authorization of the applicant. A municipality must not charge a fee to the applicant for a |
|---|
| 108 | | - | 4.12request under this paragraph. |
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| 109 | | - | 4.13 (c) A municipality must specify in writing, including on any application form provided |
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| 110 | | - | 4.14by the municipality, all requirements that a request must fulfill for a request to be deemed |
|---|
| 111 | | - | 4.15complete and for the time limit in section 15.99, subdivision 2, to begin. Such requirements |
|---|
| 112 | | - | 4.16may not include a requirement that an applicant waive any rights, forgo the process |
|---|
| 113 | | - | 4.17established in this subdivision, or consent to exactions, dedications, or fees, except that a |
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| 114 | | - | 4.18municipality may charge a standard application fee for the request. |
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| 115 | | - | 4.19 (d) A municipality engaging in the process established in paragraph (a) must: |
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| 116 | | - | 4.20 (1) approve or deny a request for a building permit or proposed subdivision based on |
|---|
| 117 | | - | 4.21the alignment of the request with the municipality's comprehensive plan, applicable zoning |
|---|
| 118 | | - | 4.22requirements, and subdivision regulations; |
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| 119 | | - | 4.23 (2) not require a conditional use permit or planned unit development agreement, except |
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| 120 | | - | 4.24that a municipality may require a conditional use permit or planned unit development |
|---|
| 121 | | - | 4.25agreement to address an identified and documented risk to health or safety; |
|---|
| 122 | | - | 4.26 (3) not require more than one community meeting prior to approval of a request, except |
|---|
| 123 | | - | 4.27if more are required by state or federal law, or the project involves or affects a lot located |
|---|
| 124 | | - | 4.28in a historic district under section 138.73; and |
|---|
| 125 | | - | 4.29 (4) provide any development agreement to the applicant no less than three days in advance |
|---|
| 126 | | - | 4.30of final plat approval or before final approval of a request if a plat is not required. |
|---|
| 127 | | - | 4.31 Subd. 5.Affordable and workforce housing density bonus.A municipality must |
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| 128 | | - | 4.32permit an affordable housing development or a workforce housing development meeting |
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| 129 | | - | 4.33the requirements of section 462A.39, subdivision 4, paragraph (a), to exceed one or more |
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| 130 | | - | 4Section 1. |
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| 131 | | - | REVISOR MS H2018-1HF2018 FIRST ENGROSSMENT 5.1maximum dimensional standards imposed by official zoning controls as a zoning density |
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| 132 | | - | 5.2bonus, including: |
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| 133 | | - | 5.3 (1) a building height increase of at least 35 feet or 30 percent, whichever is greater; |
|---|
| 134 | | - | 5.4 (2) an increase of at least 30 percent in allowed floor area ratio, units per acre, total |
|---|
| 135 | | - | 5.5number of units, or maximum lot coverage; or |
|---|
| 136 | | - | 5.6 (3) increases in other dimensional standards that increase building size by at least 30 |
|---|
| 137 | | - | 5.7percent more than what is allowed for market rate multifamily developments in the |
|---|
| 138 | | - | 5.8jurisdiction. |
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| 139 | | - | 5.9 Subd. 6.Official controls; limitations.A municipality must not use official controls |
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| 140 | | - | 5.10to prohibit the application of this section, including by imposing performance conditions, |
|---|
| 141 | | - | 5.11standards, requirements, ordinances, fees, exactions, and dedications on a multifamily |
|---|
| 142 | | - | 5.12residential development that are more restrictive than those in this section or other municipal |
|---|
| 143 | | - | 5.13law or rule. |
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| 144 | | - | 5.14 Subd. 7.Interim ordinance.No municipality shall enact an interim ordinance as provided |
|---|
| 145 | | - | 5.15under section 462.355, subdivision 4, related to the policies specified in this section. |
|---|
| 146 | | - | 5.16 EFFECTIVE DATE.This section is effective January 1, 2026. |
|---|
| 147 | | - | 5Section 1. |
|---|
| 148 | | - | REVISOR MS H2018-1HF2018 FIRST ENGROSSMENT |
|---|
| 33 | + | The bill was read for the first time and referred to the Committee on Housing Finance and Policy 2.1to permit an affordable housing development are approved by a simple majority of all of |
|---|
| 34 | + | 2.2the members. For purposes of this subdivision, "affordable housing development" means a |
|---|
| 35 | + | 2.3development in which at least 20 percent of the residential units are restricted to occupancy |
|---|
| 36 | + | 2.4for at least ten years by residents whose household income at the time of initial occupancy |
|---|
| 37 | + | 2.5does not exceed 60 percent of area median income, adjusted for household size, as determined |
|---|
| 38 | + | 2.6by the United States Department of Housing and Urban Development, and with respect to |
|---|
| 39 | + | 2.7rental units, the rents for affordable units do not exceed 30 percent of 60 percent of area |
|---|
| 40 | + | 2.8median income, adjusted for household size, as determined annually by the United States |
|---|
| 41 | + | 2.9Department of Housing and Urban Development. |
|---|
| 42 | + | 2.10 Sec. 3. [462.3572] MULTIFAMILY AND MIXED-USE DEVELOPMENTS. |
|---|
| 43 | + | 2.11 Subdivision 1.Definitions.(a) For the purposes of this section, the following terms have |
|---|
| 44 | + | 2.12the meanings given. |
|---|
| 45 | + | 2.13 (b) "Affordable housing development" means a multifamily development in which the |
|---|
| 46 | + | 2.14residential units are: |
|---|
| 47 | + | 2.15 (1) owner-occupied units that are income restricted to households that, at the time of |
|---|
| 48 | + | 2.16initial occupancy, have an income at or below 115 percent of state or area median income, |
|---|
| 49 | + | 2.17whichever is greater, as determined by the United States Department of Housing and Urban |
|---|
| 50 | + | 2.18Development; or |
|---|
| 51 | + | 2.19 (2) leased units that satisfy the definition of a qualified low-income housing project |
|---|
| 52 | + | 2.20under section 42(g) of the Internal Revenue Code, with a deed or declaration for the leased |
|---|
| 53 | + | 2.21residential units containing a restrictive covenant requiring the property to remain affordable |
|---|
| 54 | + | 2.22housing for 30 years. |
|---|
| 55 | + | 2.23 (c) "Applicant" has the meaning provided in section 15.99. |
|---|
| 56 | + | 2.24 (d) "Minimum parking mandate" means a law, rule, or ordinance that specifies a minimum |
|---|
| 57 | + | 2.25number of motor vehicle parking spaces, including on-street or off-street within a garage |
|---|
| 58 | + | 2.26or other enclosed area. |
|---|
| 59 | + | 2.27 (e) "Multifamily residential development" means a single residential building with at |
|---|
| 60 | + | 2.28least 13 units or a mixed-use building with commercial use on the ground floor, and at least |
|---|
| 61 | + | 2.29half of the usable square footage is for residential use. |
|---|
| 62 | + | 2.30 (f) "Request" has the meaning provided in section 15.99, except that for the purposes |
|---|
| 63 | + | 2.31of this section, it also includes a written application for a building permit or a proposed |
|---|
| 64 | + | 2.32subdivision related to a multifamily residential development. |
|---|
| 65 | + | 2Sec. 3. |
|---|
| 66 | + | REVISOR MS/LJ 25-0398902/26/25 3.1 (g) "Residential unit" means a building or part of a building intended to be used as a |
|---|
| 67 | + | 3.2dwelling by a single owner or tenant. |
|---|
| 68 | + | 3.3 Subd. 2.Multifamily and mixed-use development permitted.(a) A multifamily |
|---|
| 69 | + | 3.4residential development shall be a permitted use in any zoning district in a municipality that |
|---|
| 70 | + | 3.5authorizes commercial uses, except if such zoning district also authorizes heavy industrial |
|---|
| 71 | + | 3.6uses as a permitted use. |
|---|
| 72 | + | 3.7 (b) A municipality must approve a multifamily residential development authorized under |
|---|
| 73 | + | 3.8paragraph (a), pursuant to the process and limitations established in subdivisions 3 and 4. |
|---|
| 74 | + | 3.9 (c) Subject to the limitations in subdivisions 3, 4, and 6, a development authorized under |
|---|
| 75 | + | 3.10paragraph (a) must comply with any standards, performance conditions, or requirements, |
|---|
| 76 | + | 3.11including the adequacy of existing public infrastructure, imposed by a municipality to protect |
|---|
| 77 | + | 3.12public health, safety, and general welfare. |
|---|
| 78 | + | 3.13 (d) Nothing in this section authorizes a multifamily residential development that is |
|---|
| 79 | + | 3.14prohibited by state or federal law or rule, or is prohibited under an ordinance adopted |
|---|
| 80 | + | 3.15pursuant to such a state or federal law or rule, to protect floodplains, areas of critical or |
|---|
| 81 | + | 3.16historic concern, wild and scenic rivers, or shore land, or that otherwise restricts residential |
|---|
| 82 | + | 3.17units to protect and preserve public health, the environment, or scenic areas. |
|---|
| 83 | + | 3.18 (e) A city may establish local controls or ordinances to require that multifamily residential |
|---|
| 84 | + | 3.19developments constructed under this section that replace existing commercial or industrial |
|---|
| 85 | + | 3.20structures be mixed use, with commercial use on the ground floor and at least of half of the |
|---|
| 86 | + | 3.21usable square footage dedicated to residential use. |
|---|
| 87 | + | 3.22 (f) For purposes of this section, public health, safety, and general welfare does not include |
|---|
| 88 | + | 3.23traffic, noise, or nuisance concerns for developments with less than 300 units. |
|---|
| 89 | + | 3.24 Subd. 3.Required standards.(a) The following limitations and required standards |
|---|
| 90 | + | 3.25apply to a multifamily residential development permitted under subdivision 2. |
|---|
| 91 | + | 3.26 (b) Any standards, performance conditions, or requirements imposed by a municipality |
|---|
| 92 | + | 3.27must directly relate to protecting health or safety. |
|---|
| 93 | + | 3.28 (c) A municipality must allow a floor area ratio of 2.5 or greater. |
|---|
| 94 | + | 3.29 (d) The following municipalities must not impose a height limitation that is less than 75 |
|---|
| 95 | + | 3.30feet above grade: |
|---|
| 96 | + | 3.31 (1) cities of the first class; |
|---|
| 97 | + | 3.32 (2) the city of St. Cloud; and |
|---|
| 98 | + | 3Sec. 3. |
|---|
| 99 | + | REVISOR MS/LJ 25-0398902/26/25 4.1 (3) municipalities in the counties of Anoka, Carver, Dakota, Hennepin, Ramsey, Scott, |
|---|
| 100 | + | 4.2and Washington. |
|---|
| 101 | + | 4.3 (e) A municipality other than those listed in paragraph (d) must not impose a height |
|---|
| 102 | + | 4.4limitation that is less than the higher of: |
|---|
| 103 | + | 4.5 (1) the tallest commercial or multifamily building that zoning standards authorize in the |
|---|
| 104 | + | 4.6same zoning district; or |
|---|
| 105 | + | 4.7 (2) the tallest existing commercial or multifamily building within one-quarter mile within |
|---|
| 106 | + | 4.8the municipality, excluding nonconforming buildings built before January 1, 1975. |
|---|
| 107 | + | 4.9 (f) A municipality must allow setback and lot coverage requirements equal to those |
|---|
| 108 | + | 4.10allowed for a commercial building in the same zoning district. |
|---|
| 109 | + | 4.11 (g) A municipality must not impose more restrictive standards, performance conditions, |
|---|
| 110 | + | 4.12or requirements than those that would apply to a commercial building. |
|---|
| 111 | + | 4.13 (h) A municipality must not impose requirements related to construction materials or |
|---|
| 112 | + | 4.14methods, including architectural elements, building egress, durability, energy efficiency, |
|---|
| 113 | + | 4.15or light access requirements, except as required by the State Building Code, as defined by |
|---|
| 114 | + | 4.16section 326B.121 or other state or federal law or rule. |
|---|
| 115 | + | 4.17 (i) A municipality must not impose minimum parking mandates on a multifamily |
|---|
| 116 | + | 4.18residential development or the residential portion of a mixed-use development, except that |
|---|
| 117 | + | 4.19a municipality may pass and enforce an ordinance under section 169.346, subdivision 4, |
|---|
| 118 | + | 4.20related to disability parking spaces or any provision of the Minnesota Accessibility Code, |
|---|
| 119 | + | 4.21Minnesota Rules, chapter 1341. |
|---|
| 120 | + | 4.22 (j) A municipality must not impose standards, performance conditions, or requirements |
|---|
| 121 | + | 4.23on an affordable housing development that are more restrictive than those imposed on a |
|---|
| 122 | + | 4.24market rate multifamily residential development. |
|---|
| 123 | + | 4.25 (k) Notwithstanding paragraphs (b) to (i), a municipality may use official controls that |
|---|
| 124 | + | 4.26result in increased density, including by imposing performance conditions, standards, or |
|---|
| 125 | + | 4.27other requirements. |
|---|
| 126 | + | 4.28 Subd. 4.Administrative approval process.(a) A municipality must establish and follow |
|---|
| 127 | + | 4.29an administrative process to review requests related to a development permitted under |
|---|
| 128 | + | 4.30subdivision 2 in accordance with the process outlined in section 15.99. Notwithstanding |
|---|
| 129 | + | 4.31language to the contrary in section 15.99, subdivision 2, the time limit in section 15.99 shall |
|---|
| 130 | + | 4.32apply to a request for a building permit or a proposed subdivision for the purposes of this |
|---|
| 131 | + | 4Sec. 3. |
|---|
| 132 | + | REVISOR MS/LJ 25-0398902/26/25 5.1section. Failure of a municipality to deny a request within the time limit provided under |
|---|
| 133 | + | 5.2section 15.99 is approval of the request. |
|---|
| 134 | + | 5.3 (b) An applicant may provide written authorization to a municipality to toll the review |
|---|
| 135 | + | 5.4time limit provided by section 15.99. The applicant may also direct in writing that the |
|---|
| 136 | + | 5.5municipality resume the 60-day time limit for a request that was previously tolled by |
|---|
| 137 | + | 5.6authorization of the applicant. A municipality must not charge a fee to the applicant for a |
|---|
| 138 | + | 5.7request under this paragraph. |
|---|
| 139 | + | 5.8 (c) A municipality must specify in writing, including on any application form provided |
|---|
| 140 | + | 5.9by the municipality, all requirements that a request must fulfill for a request to be deemed |
|---|
| 141 | + | 5.10complete and for the time limit in section 15.99, subdivision 2, to begin. Such requirements |
|---|
| 142 | + | 5.11may not include a requirement that an applicant waive any rights, forgo the process |
|---|
| 143 | + | 5.12established in this subdivision, or consent to exactions, dedications, or fees, except that a |
|---|
| 144 | + | 5.13municipality may charge a standard application fee for the request. |
|---|
| 145 | + | 5.14 (d) A municipality engaging in the process established in paragraph (a) must: |
|---|
| 146 | + | 5.15 (1) approve or deny a request for a building permit or proposed subdivision based on |
|---|
| 147 | + | 5.16the alignment of the request with the municipality's comprehensive plan, applicable zoning |
|---|
| 148 | + | 5.17requirements, and subdivision regulations; |
|---|
| 149 | + | 5.18 (2) not require a conditional use permit or planned unit development agreement, except |
|---|
| 150 | + | 5.19that a municipality may require a conditional use permit or planned unit development |
|---|
| 151 | + | 5.20agreement to address an identified and documented risk to health or safety; |
|---|
| 152 | + | 5.21 (3) not require more than one community meeting prior to approval of a request, except |
|---|
| 153 | + | 5.22if more are required by state or federal law, or the project involves or affects a lot located |
|---|
| 154 | + | 5.23in a historic district under section 138.73; and |
|---|
| 155 | + | 5.24 (4) provide any development agreement to the applicant no less than three days in advance |
|---|
| 156 | + | 5.25of final plat approval or before final approval of a request if a plat is not required. |
|---|
| 157 | + | 5.26 Subd. 5.Affordable housing density bonus.A municipality must permit an affordable |
|---|
| 158 | + | 5.27housing development to exceed one or more maximum dimensional standards imposed by |
|---|
| 159 | + | 5.28official zoning controls as a zoning density bonus, including: |
|---|
| 160 | + | 5.29 (1) a building height increase of at least 35 feet; |
|---|
| 161 | + | 5.30 (2) an increased floor area ratio; |
|---|
| 162 | + | 5.31 (3) an increased number of units per acre; |
|---|
| 163 | + | 5.32 (4) an increased total number of units; |
|---|
| 164 | + | 5Sec. 3. |
|---|
| 165 | + | REVISOR MS/LJ 25-0398902/26/25 6.1 (5) a higher percentage of lot coverage; or |
|---|
| 166 | + | 6.2 (6) other dimensional standards that increase building size by at least 30 percent more |
|---|
| 167 | + | 6.3than what is allowed for market rate multifamily developments in the jurisdiction. |
|---|
| 168 | + | 6.4 Subd. 6.Official controls; limitations.A municipality must not use official controls |
|---|
| 169 | + | 6.5to prohibit the application of this section, including by imposing performance conditions, |
|---|
| 170 | + | 6.6standards, requirements, ordinances, fees, exactions, and dedications on a multifamily |
|---|
| 171 | + | 6.7residential development that are more restrictive than those in this section or other municipal |
|---|
| 172 | + | 6.8law or rule. |
|---|
| 173 | + | 6.9 Subd. 7.Interim ordinance.No municipality shall enact an interim ordinance as provided |
|---|
| 174 | + | 6.10under section 462.355, subdivision 4, related to the policies specified in this section. |
|---|
| 175 | + | 6.11 EFFECTIVE DATE.This section is effective January 1, 2026. |
|---|
| 176 | + | 6Sec. 3. |
|---|
| 177 | + | REVISOR MS/LJ 25-0398902/26/25 |
|---|