HF3600 (Legislative Session 94 (2025-2026))
Competitive selection processes modified for certain housing development programs.
AI Generated Summary
Purpose
This bill adds an incentive to support community land trusts (CLTs) in housing development funding. It allows the Housing Finance Agency to award extra scoring points to proposals that are located in cities or townships with property that qualifies as class 4d2, aiming to promote CLT development within housing programs.
Key Provisions
- The commissioner of the Housing Finance Agency may award additional points, up to five percent of the total available points, in a competitive capital development program.
- The extra points apply to proposals located in a city or township that contains property qualifying as class 4d2 (as defined in Minnesota Statutes, section 273.13, subdivision 25, paragraph e).
- The section explicitly creates a local action to establish community land trusts by tying funding scoring to CLT-qualified areas.
- The provision is temporary and expires on December 31, 2030.
Changes to Law
- Introduces a new scoring incentive in competitive housing development programs specifically to favor projects associated with community land trusts.
- Ties eligibility for the incentive to the existence of class 4d2 property in a city or township, as defined by a state statute.
Scope, Timing, and Implementation
- Applies to competitive development programs and related competitive capital development programs within housing funding.
- The decision to award extra points is at the discretion of the commissioner of the Housing Finance Agency.
- The incentive is effective only through December 31, 2030.
Practical Impact
- Could increase the chances of funding for CLT-related housing projects by improving their competitive score.
- Encourages jurisdictions to develop or designate properties that meet class 4d2 criteria to maximize scoring opportunities.
Potential Considerations
- Temporary nature may create a need for future policy decisions to extend or replace the incentive.
- Might affect competition among applicants who do not have CLT-related properties or the class 4d2 designation.
Relevant Terms community land trusts CLT housing development programs competitive development program competitive capital development program additional points five percent class 4d2 Minnesota Statutes section 273.13 subdivision 25 paragraph e city township Housing Finance Agency commissioner local actions to establish community land trusts expires December 31, 2030
Bill text versions
- Introduction PDF PDF file
Past committee meetings
- Housing Finance and Policy on: March 10, 2026 15:00
Actions
| Date | Chamber | Where | Type | Name | Committee Name |
|---|---|---|---|---|---|
| February 23, 2026 | House | Action | Introduction and first reading, referred to | Housing Finance and Policy |
Citations
[
{
"analysis": {
"added": [],
"removed": [],
"summary": "This section references Minnesota Statutes section 273.13, subdivision 25, paragraph e, to identify property eligibility for class 4d2 in a housing program and provides for awarding up to five percentage points in competitive development scoring if the project is located in such a city or township. The section expires December 31, 2030.",
"modified": []
},
"citation": "273.13",
"subdivision": "subd. 25, par. e"
}
]Progress through the legislative process
In Committee