1.1 A bill for an act
1.2 relating to housing; modifying certain expenditure provisions of the housing
1.3 development fund; repealing certain allowed expenditures for the Minnesota
1.4 Housing Finance Agency; amending Minnesota Statutes 2024, sections 462A.20,
1.5 subdivisions 2, 3; 462A.21, subdivisions 10, 12a; repealing Minnesota Statutes
1.6 2024, section 462A.21, subdivisions 3b, 5, 23, 26.
1.7BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:
1.8 Section 1. Minnesota Statutes 2024, section 462A.20, subdivision 2, is amended to read:
1.9 Subd. 2.Which money in fund.There shall be paid into the housing development fund:
1.10 (1) any moneys appropriated transferred into and made available by the state for the
1.11purposes of the fund;
1.12 (2) any moneys which the agency receives in repayment of advances made from the
1.13fund;
1.14 (3) any other moneys which may be made available to the agency for the purpose of the
1.15fund from any other source or sources;
1.16 (4) all fees and charges collected by the agency;
1.17 (5) all interest or other income not required by the provisions of a resolution or indenture
1.18securing notes or bonds to be paid into another special fund.
1.19 Sec. 2. Minnesota Statutes 2024, section 462A.20, subdivision 3, is amended to read:
1.20 Subd. 3.Separate accounts; transfers; limits.Whenever any money is appropriated
1.21from the housing development fund by the state to the agency solely for a specified purpose
1.22or purposes, the agency shall establish a separate bookkeeping account or accounts in the
1Sec. 2.
25-03920 as introduced02/18/25 REVISOR MS/KR
SENATE
STATE OF MINNESOTA
S.F. No. 2434NINETY-FOURTH SESSION
(SENATE AUTHORS: DRAHEIM, Port, Boldon and Lucero)
OFFICIAL STATUSD-PGDATE
Introduction and first reading03/13/2025
Referred to Housing and Homelessness Prevention 2.1housing development fund to record the receipt and disbursement of such money and of the
2.2income, gain, and loss from the investment and reinvestment thereof. Earnings from
2.3investment of any amounts appropriated by the state from the housing development fund
2.4to the agency for a specified purpose or purposes may be aggregated. The costs and expenses
2.5necessary and incidental to the development and operation of all programs funded by state
2.6appropriations may be paid from the aggregated earnings from investments from the housing
2.7development fund prior to periodic distributions of earnings to separate accounts to be used
2.8for the same purpose as the respective original appropriation. The agency may transfer
2.9unencumbered balances from one appropriated account to another, provided that no money
2.10appropriated for the purpose of agency loan programs may be transferred to an account to
2.11be used for making grants, except that money appropriated for the purpose of section
2.12462A.05, subdivision 14a, may be transferred for the purpose of section 462A.05, subdivision
2.1315a.
2.14 Sec. 3. Minnesota Statutes 2024, section 462A.21, subdivision 10, is amended to read:
2.15 Subd. 10.Certain appropriations available until expended.Notwithstanding the
2.16repeal of section 462A.26 and the provisions of section 16A.28 or any other law relating to
2.17lapse of an appropriation, the appropriations made from the housing development fund to
2.18the agency by the legislature in 1976 and subsequent years are available until fully expended,
2.19and the allocations provided in the appropriations remain in effect. Earnings from investments
2.20of any of the amounts appropriated to the agency are appropriated to the agency to be used
2.21for the same purposes as the respective original appropriations, after payment of the costs
2.22and expenses necessary and incidental to the development and operation of the programs
2.23authorized under this chapter.
2.24 Sec. 4. Minnesota Statutes 2024, section 462A.21, subdivision 12a, is amended to read:
2.25 Subd. 12a.Program money transfer.Unencumbered balances of money appropriated
2.26from the housing development fund for the purpose of loans or grants for agency programs
2.27under these subdivisions may be transferred between programs created by these subdivisions
2.28or in accordance with section 462A.20, subdivision 3.
2.29 Sec. 5. REPEALER.
2.30 Minnesota Statutes 2024, section 462A.21, subdivisions 3b, 5, 23, and 26, are repealed.
2Sec. 5.
25-03920 as introduced02/18/25 REVISOR MS/KR 462A.21 HOUSING DEVELOPMENT FUND; ADVANCES, USE REPAYMENT.
Subd. 3b.Capacity building grants.It may make capacity building grants to nonprofit
organizations, local government units, Indian tribes, and Indian tribal organizations to expand their
capacity to provide affordable housing and housing-related services. The grants may be used to
assess housing needs and to develop and implement strategies to meet those needs, including but
not limited to the creation or preservation of affordable housing, prepurchase and postpurchase
counseling and associated administrative costs, and the linking of supportive services to the housing.
The agency shall adopt rules, policies, and procedures specifying the eligible uses of grant money.
Funding priority may be given to those applicants that include low-income persons in their
membership, have provided housing-related services to low-income people, and demonstrate a local
commitment of local resources, which may include in-kind contributions.
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.
Subd. 23.Rental housing.The agency may spend money for the purposes of the rental housing
program authorized under section 462A.2097, and may pay the costs and expenses necessary and
incidental to the development and operation of the program.
Subd. 26.Full cycle home ownership services.The agency may spend money for the purposes
of section 462A.209 and may pay the costs and expenses necessary and incidental to the development
and operation of the program.
1R
APPENDIX
Repealed Minnesota Statutes: 25-03920