Minnesota 2025-2026 Regular Session

Minnesota Senate Bill SF1993

Introduced
2/27/25  

Caption

Threshold for municipal reporting of construction-related and development-related fee collections; commissioner of labor and industry establishment of a cost per square foot valuation of certain properties for the purpose of setting municipal building permit fees requirement

Impact

The bill mandates that the commissioner of labor and industry develop a cost-per-square-foot valuation for certain types of properties, including new one-family and two-family homes, townhouses, and accessory utility buildings. This valuation will play a critical role in determining building permit fees across municipalities. By standardizing these valuations, the bill seeks to create a more consistent and fair system for calculating fees, ultimately affecting local government revenues dependent on construction activities.

Summary

SF1993 is a legislative bill designed to enhance municipal reporting requirements concerning construction-related and development-related fee collections. Specifically, the bill proposes raising the reporting threshold for municipalities from $5,000 to $7,000, which means that municipalities will only have to report these fees if they exceed this new threshold. This change aims to reduce the reporting burden on smaller municipalities and streamline the collection and reporting process, thereby allowing more focus on larger projects that have a greater impact on local economies.

Contention

Although intended to simplify processes, SF1993 has sparked some discussions among local government officials about the implications of raising the reporting threshold. Some argue that increasing the threshold could lead to a lack of accountability among smaller municipalities, potentially allowing them to overlook significant construction projects and their associated fees. Conversely, proponents of the bill claim that this change will relieve unnecessary administrative tasks that inhibit growth and local governance effectiveness. Resolving these points of contention will be critical as the bill moves through the legislative process.

Companion Bills

MN HF1137

Similar To Threshold for municipal reporting of construction-related and development-related fee collections increased, and commissioner of labor and industry required to establish a cost per square foot valuation of certain properties for the purpose of setting municipal building permit fees.

Previously Filed As

MN HF2283

Threshold increased for municipal reporting of construction-related and development-related fee collections, and commissioner of labor and industry required to establish cost per square foot valuation of properties for purpose of setting municipal building permit fees.

MN SF3078

Threshold increase for municipal reporting of construction-related and development-related fee collections

MN SF1370

Building permit processing and fees provisions modifications

MN SF217

Municipalities requirement use of designated building officials for inspections prohibition; municipalities authority to opt out of prohibition by ordinance authorization; civil action against a municipality for negligent construction code inspection under certain conditions authorization

MN SF4203

State Building Code exceptions for municipalities removal

MN SF235

Legalizing Affordable Housing Act local land use and building permits modification

MN HF4241

Municipality exceptions removed from State Building Code.

MN SF3035

Omnibus Jobs, Economic Development, Labor, and Industry appropriations

MN SF5516

Minimum parking mandates prohibiting and counties and municipalities homeowners association creation requirements for building permits prohibition

MN HF2235

Legalizing Affordable Housing Act; land use and planning requirement provisions addressed.

Similar Bills

No similar bills found.