| 1 | 1 | | 1.1 A bill for an act |
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| 2 | 2 | | 1.2 relating to local government; restricting local government regulations of certain |
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| 3 | 3 | | 1.3 residential developments by religious organizations; providing civil remedies; |
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| 4 | 4 | | 1.4 appropriating money; proposing coding for new law in Minnesota Statutes, chapter |
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| 5 | 5 | | 1.5 462. |
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| 6 | 6 | | 1.6BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: |
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| 7 | 7 | | 1.7 Section 1. [462.3571] RESIDENTIAL DEVELOPMENT BY A RELIGIOUS |
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| 8 | 8 | | 1.8ORGANIZATION. |
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| 9 | 9 | | 1.9 Subdivision 1.Title.This act shall be known as the Yes in God's Backyard (YIGBY) |
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| 10 | 10 | | 1.10Housing Act. |
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| 11 | 11 | | 1.11 Subd. 2.Definitions.(a) For the purposes of this section, the following terms have the |
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| 12 | 12 | | 1.12meanings given. |
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| 13 | 13 | | 1.13 (b) "Accessory dwelling unit" means an addition or alteration that is an additional, |
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| 14 | 14 | | 1.14subordinate dwelling unit on the same lot as a larger residential unit and is entirely within, |
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| 15 | 15 | | 1.15attached to, or in a structure detached from the larger residential unit. |
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| 16 | 16 | | 1.16 (c) "Affordable housing" means: |
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| 17 | 17 | | 1.17 (1) rental housing in which at least 20 percent of the units are affordable to households |
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| 18 | 18 | | 1.18earning incomes of no more than 50 percent of the greater of state or area median income |
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| 19 | 19 | | 1.19as determined by the United States Department of Housing and Urban Development; |
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| 20 | 20 | | 1.20 (2) rental housing in which at least 40 percent of the units are affordable to households |
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| 21 | 21 | | 1.21earning incomes of no more than 60 percent of the greater of state or area median income |
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| 22 | 22 | | 1.22as determined by the United States Department of Housing and Urban Development; or |
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| 23 | 23 | | 1Section 1. |
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| 24 | 24 | | REVISOR MS/LJ 25-0522003/26/25 |
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| 25 | 25 | | State of Minnesota |
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| 26 | 26 | | This Document can be made available |
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| 27 | 27 | | in alternative formats upon request |
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| 28 | 28 | | HOUSE OF REPRESENTATIVES |
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| 29 | 29 | | H. F. No. 3156 |
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| 30 | 30 | | NINETY-FOURTH SESSION |
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| 31 | 31 | | Authored by Jones, Hollins, Reyer, Howard, Kraft and others04/07/2025 |
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| 32 | 32 | | The bill was read for the first time and referred to the Committee on Housing Finance and Policy 2.1 (3) owner-occupied housing in which all of the units are affordable to households earning |
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| 33 | 33 | | 2.2at or below 115 percent of the greater of state or area median income as determined by the |
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| 34 | 34 | | 2.3United States Department of Housing and Urban Development. |
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| 35 | 35 | | 2.4 (d) "City" means a home rule charter or statutory city with a population of 20,000 or |
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| 36 | 36 | | 2.5more. |
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| 37 | 37 | | 2.6 (e) "Central business district" means a zoning district that is intended for centralization |
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| 38 | 38 | | 2.7and permits high-bulk buildings and high-density residential or commercial density. |
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| 39 | 39 | | 2.8 (f) "Commercial district" means a zoning district that permits commercial or industrial |
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| 40 | 40 | | 2.9uses. |
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| 41 | 41 | | 2.10 (g) "Low-density residential district" means a residential zoning district that allows |
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| 42 | 42 | | 2.11density between zero and ten units per acre. |
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| 43 | 43 | | 2.12 (h) Medium-density residential district" means a residential zoning district that allows |
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| 44 | 44 | | 2.13multiunit residential buildings and a density of between 11 and 24 residential units per acre. |
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| 45 | 45 | | 2.14 (i) "High-density residential district" means a residential zoning district that allows |
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| 46 | 46 | | 2.15multiunit residential buildings and density of at least 25 residential units per acre. |
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| 47 | 47 | | 2.16 (j) "Mixed-use district" means a zoning district that is intended for both residential and |
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| 48 | 48 | | 2.17commercial uses and allows a single building to contain both commercial and residential |
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| 49 | 49 | | 2.18uses. |
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| 50 | 50 | | 2.19 (k) "Qualified development" means an affordable housing development by a religious |
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| 51 | 51 | | 2.20organization on land owned by the religious organization. |
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| 52 | 52 | | 2.21 (l) "Residential unit" or "unit" means a building or part of a building intended to be used |
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| 53 | 53 | | 2.22as a dwelling by a single owner or tenant. |
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| 54 | 54 | | 2.23 (m) "Single-family district" means a residential zoning district that only allows |
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| 55 | 55 | | 2.24single-family dwellings and accessory dwelling units as permitted uses. |
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| 56 | 56 | | 2.25 (n) "Single-family dwelling" means a building that contains one residential unit. |
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| 57 | 57 | | 2.26 Subd. 3.Housing authorized.(a) A city must allow a qualified development of any of |
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| 58 | 58 | | 2.27the following types as a permitted use: |
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| 59 | 59 | | 2.28 (1) a residential building with up to three residential units in any area zoned for residential |
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| 60 | 60 | | 2.29use; |
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| 61 | 61 | | 2.30 (2) a residential building with up to eight residential units in any area zoned for residential |
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| 62 | 62 | | 2.31use, except a single-family residential district; |
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| 63 | 63 | | 2Section 1. |
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| 64 | 64 | | REVISOR MS/LJ 25-0522003/26/25 3.1 (3) a residential building with up to 12 residential units in a mixed-use or commercial |
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| 65 | 65 | | 3.2district; and |
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| 66 | 66 | | 3.3 (4) a residential building with 13 or more residential units in a high-density residential, |
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| 67 | 67 | | 3.4commercial, or central business district. |
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| 68 | 68 | | 3.5 (b) A city must allow a qualified development with the following densities as a permitted |
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| 69 | 69 | | 3.6use: |
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| 70 | 70 | | 3.7 (1) density that is at least 1.25 times the existing permitted residential density in any |
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| 71 | 71 | | 3.8zone; |
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| 72 | 72 | | 3.9 (2) in cities of the first class, density of at least 40 residential units per acre in a mixed-use, |
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| 73 | 73 | | 3.10high-density residential, commercial, or central business district; and |
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| 74 | 74 | | 3.11 (3) in cities of the second class, density of at least 30 residential units per acre in a |
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| 75 | 75 | | 3.12mixed-use, high-density residential, commercial, or central business district. |
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| 76 | 76 | | 3.13 (c) A religious organization may contract with a developer or other entity in connection |
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| 77 | 77 | | 3.14with a qualified development. |
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| 78 | 78 | | 3.15 (d) Nothing in this section authorizes a residential development that is prohibited by a |
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| 79 | 79 | | 3.16state or federal law or rule, or is prohibited under an ordinance adopted pursuant to a state |
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| 80 | 80 | | 3.17or federal law or rule, that protects floodplains, areas of critical or historic concern, wild |
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| 81 | 81 | | 3.18and scenic rivers, shoreland, or that otherwise restricts residential units to protect and |
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| 82 | 82 | | 3.19preserve the public health, the environment, or scenic areas. |
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| 83 | 83 | | 3.20 (e) Notwithstanding other requirements of this section, retaining the sacristy worship |
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| 84 | 84 | | 3.21space in an area otherwise occupied by housing is permitted for the religious organization |
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| 85 | 85 | | 3.22to use for religious purposes. |
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| 86 | 86 | | 3.23 Subd. 4.Dimensional requirements.(a) The following requirements apply to qualified |
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| 87 | 87 | | 3.24developments. |
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| 88 | 88 | | 3.25 (b) A city of the first class must allow buildings with up to three residential units on a |
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| 89 | 89 | | 3.26lot that is 4,000 square feet or larger as a permitted use. |
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| 90 | 90 | | 3.27 (c) A city of the second class must allow buildings with up to three residential units on |
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| 91 | 91 | | 3.28a lot that is 5,000 square feet or larger as a permitted use. |
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| 92 | 92 | | 3.29 (d) A city must not require residential units in a multifamily residential building to have |
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| 93 | 93 | | 3.30more than 220 square feet of livable interior space. |
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| 94 | 94 | | 3.31 (e) A city must not require a single-family dwelling to have more than 400 square feet |
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| 95 | 95 | | 3.32of livable interior space. |
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| 96 | 96 | | 3Section 1. |
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| 97 | 97 | | REVISOR MS/LJ 25-0522003/26/25 4.1 (f) A city must allow the following building heights for residential buildings: |
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| 98 | 98 | | 4.2 (1) at least 38 feet or three stories, whichever is greater, in any area zoned for residential |
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| 99 | 99 | | 4.3use; |
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| 100 | 100 | | 4.4 (2) at least four stories in any area zoned for residential use, except a single-family or |
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| 101 | 101 | | 4.5low-density residential district; |
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| 102 | 102 | | 4.6 (3) at least six stories in a medium-density residential district or any area zoned for |
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| 103 | 103 | | 4.7greater density; |
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| 104 | 104 | | 4.8 (4) at least eight stories in a central business district in a city of the first class; and |
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| 105 | 105 | | 4.9 (5) at least six stories in a central business district in a city of the second class. |
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| 106 | 106 | | 4.10 (g) A city must not require more than one parking space per residential unit, except that |
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| 107 | 107 | | 4.11a city may pass and enforce an ordinance under section 169.346, subdivision 4, related to |
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| 108 | 108 | | 4.12disability parking spaces or any provision of the Minnesota Accessibility Code, Minnesota |
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| 109 | 109 | | 4.13Rules, chapter 1341. |
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| 110 | 110 | | 4.14 (h) A city must not impose a required floor area ratio or other massing requirement in |
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| 111 | 111 | | 4.15connection with a qualified development. |
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| 112 | 112 | | 4.16 (i) A city must not require a conditional use permit or planned unit development |
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| 113 | 113 | | 4.17agreement in connection with a qualified development, except that a city may require a |
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| 114 | 114 | | 4.18conditional use permit or planned unit development agreement to address an identified and |
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| 115 | 115 | | 4.19documented risk to health or safety. |
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| 116 | 116 | | 4.20 (j) A local government must not impose requirements based on health, safety, or general |
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| 117 | 117 | | 4.21welfare concerns for matters already addressed by the State Building Code, except in |
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| 118 | 118 | | 4.22officially recognized historic districts. |
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| 119 | 119 | | 4.23 (k) Except as otherwise provided by the State Building Code, any city performance |
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| 120 | 120 | | 4.24standards, including but not limited to minimum lot sizes, minimum building requirements, |
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| 121 | 121 | | 4.25setbacks, aesthetic requirements, or requirements relating to the mass or bulk of buildings |
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| 122 | 122 | | 4.26that effectively prevent the permitted uses or densities allowed under this section shall be |
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| 123 | 123 | | 4.27modified to allow the permitted uses and densities set out under this section. |
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| 124 | 124 | | 4.28 Subd. 5.Administrative approvals.(a) A city must approve or deny any request in |
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| 125 | 125 | | 4.29connection with a qualified development through an administrative process conducted by |
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| 126 | 126 | | 4.30city staff. |
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| 127 | 127 | | 4.31 (b) Notwithstanding other requirements of state law, a city must not hold a public hearing |
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| 128 | 128 | | 4.32in connection with the process conducted under paragraph (a). The city may require the |
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| 129 | 129 | | 4Section 1. |
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| 130 | 130 | | REVISOR MS/LJ 25-0522003/26/25 5.1religious organization to hold up to two neighborhood meetings in the impacted |
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| 131 | 131 | | 5.2neighborhood, at which the public may provide input. The city may require that notice of |
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| 132 | 132 | | 5.3the neighborhood meeting be mailed to all property owners within 1,000 feet. The city must |
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| 133 | 133 | | 5.4not take any official action at a neighborhood meeting permitted under this paragraph and |
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| 134 | 134 | | 5.5must not require the meeting to be held at a city hall or another government building. In |
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| 135 | 135 | | 5.6locations where an officially recognized neighborhood organization operates, the city may |
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| 136 | 136 | | 5.7require the religious organization to consult with the neighborhood organization regarding |
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| 137 | 137 | | 5.8any neighborhood meeting. |
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| 138 | 138 | | 5.9 (c) Any administrative approval decision with respect to any of the standards set out in |
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| 139 | 139 | | 5.10this subdivision shall be considered a final decision by the local government for purposes |
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| 140 | 140 | | 5.11of section 15.99. |
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| 141 | 141 | | 5.12 Subd. 6.Reducing burdens on religious organizations.(a) A religious organization |
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| 142 | 142 | | 5.13may inform a city in writing that the application of any local zoning or land use restriction |
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| 143 | 143 | | 5.14to a qualified development constitutes a substantial burden on the religious organization. |
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| 144 | 144 | | 5.15 (b) Upon receipt of the substantial burden notice described in paragraph (a), a city must |
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| 145 | 145 | | 5.16temporarily suspend the application of any restriction cited in the notice while the city |
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| 146 | 146 | | 5.17conducts a legal and factual review to determine whether the restriction imposes a substantial |
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| 147 | 147 | | 5.18burden on the religious organization. The city must determine whether: |
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| 148 | 148 | | 5.19 (1) the restriction as applied does not impose a substantial burden on the religious |
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| 149 | 149 | | 5.20organization; |
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| 150 | 150 | | 5.21 (2) the restriction as applied does impose a substantial burden, but it serves a compelling |
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| 151 | 151 | | 5.22governmental interest and is being applied to the religious organization in the least restrictive |
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| 152 | 152 | | 5.23means necessary to accomplish the governmental interest; or |
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| 153 | 153 | | 5.24 (3) the restriction as applied does impose a substantial burden and does not serve a |
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| 154 | 154 | | 5.25compelling governmental interest. |
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| 155 | 155 | | 5.26 (c) Within 30 days of receiving the notice under paragraph (a), the city must provide |
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| 156 | 156 | | 5.27the religious organization with its written determination made in accordance with paragraph |
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| 157 | 157 | | 5.28(b) and outline what steps the city intends to take based on the determination. If the city |
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| 158 | 158 | | 5.29makes the determinations in paragraph (b), clause (1) or (2), it may restart the application |
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| 159 | 159 | | 5.30of the rule cited in the notice. If the city makes the determination in paragraph (b), clause |
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| 160 | 160 | | 5.31(3), it must suspend or adjust application of the rule cited in the notice to ensure the rule |
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| 161 | 161 | | 5.32complies with paragraph (b), clause (1) or (2). |
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| 162 | 162 | | 5Section 1. |
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| 163 | 163 | | REVISOR MS/LJ 25-0522003/26/25 6.1 (d) This subdivision does not apply to any rule or law that is necessary to enforce a state |
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| 164 | 164 | | 6.2or federal law or rule. |
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| 165 | 165 | | 6.3 (e) A religious organization must pause the construction of the portion of a development |
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| 166 | 166 | | 6.4that is impacted by the rule or law challenged under paragraph (a) during the pendency of |
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| 167 | 167 | | 6.5the city's determination under paragraph (b). |
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| 168 | 168 | | 6.6 Subd. 7.Private remedies.A religious organization injured by a violation of this section |
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| 169 | 169 | | 6.7may bring a civil action in district court for damages, injunctive relief, or any further |
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| 170 | 170 | | 6.8remedies, including but not limited to an award of a reasonable attorney fee. The remedies |
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| 171 | 171 | | 6.9available under this section are in addition to any other remedies available at equity or in |
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| 172 | 172 | | 6.10law. |
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| 173 | 173 | | 6.11 Sec. 2. APPROPRIATION; AFFORDABLE HOUSING DEVELOPMENT . |
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| 174 | 174 | | 6.12 $1,000,000 in fiscal year 2026 and $1,000,000 in fiscal year 2027 are appropriated from |
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| 175 | 175 | | 6.13the general fund to the commissioner of the Housing Finance Agency to award grants of |
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| 176 | 176 | | 6.14up to $150,000 to religious organizations that have committed to developing affordable |
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| 177 | 177 | | 6.15housing under Minnesota Statutes, section 462.3571. Grants may be used for technical |
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| 178 | 178 | | 6.16assistance, demolition, site preparation, and construction costs. |
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| 179 | 179 | | 6Sec. 2. |
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| 180 | 180 | | REVISOR MS/LJ 25-0522003/26/25 |
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