HF4871

Purpose

Provide a one-time state aid payment to reimburse Minnesota cities for certain costs related to federal immigration enforcement actions conducted by U.S. immigration officials between December 1, 2025 and May 31, 2026.

Key definitions

• City: a statutory or home rule charter city.
• Commissioner: the commissioner of revenue.
• Eligible costs: operating and capital costs in the areas of municipal public safety, emergency management, public works, and legal counsel.
• Federal enforcement actions: the presence of U.S. Department of Homeland Security immigration officials in Minnesota for purposes of federal immigration enforcement during the specified period.

How costs are determined and certified

• By August 1, 2026, each city may submit to the state auditor a report detailing eligible costs tied to the federal enforcement actions.
• The state auditor sets the form and may request additional documentation to verify accuracy, eligibility, and attribution.
• By September 1, 2026, the state auditor certifies each city’s costs (excluding costs deemed inaccurate, ineligible, or unattributable).

How aid is distributed

• Each city receives aid equal to (the total appropriation for aid) multiplied by (the ratio of that city’s certified costs to all cities’ certified costs).
• The aid is designed to reimburse the city for eligible costs tied to the federal enforcement actions.

Interaction with federal reimbursement

• Cities are encouraged to pursue federal reimbursement for these costs.
• If a city receives federal reimbursement, it must return to the commissioner the lesser of:
  • the amount of the federal reimbursement, or
  • the portion of the state aid received for the same or similar costs.
• Any returned aid goes back to the general fund.

Payment timeline and funding

• By December 1, 2026, the commissioner must calculate and certify the amount of aid payable to each city.
• By December 26, 2026, the commissioner must disburse the federal enforcement reimbursement aid to each city.
• A $10,000,000 general-fund appropriation is made in fiscal year 2027 to the commissioner of revenue for these aid payments. This is a one-time appropriation.

Significance and impact

• Establishes a one-time mechanism to help cities cover a defined set of costs related to federal immigration enforcement actions within a specific time window.
• Creates a formal process with audit-backed verification, cost-certification, and a clear recoupment rule if federal reimbursement is obtained.
• Produces a targeted funding flow from the state general fund to municipalities, contingent on documentation and timing deadlines.

Relevant Terms federal enforcement actions, immigration officials, U.S. Department of Homeland Security, eligible costs, operating costs, capital costs, municipal public safety, emergency management, public works, legal counsel, state auditor, commissioner of revenue, certification, reimbursement, general fund, onetime appropriation, December 1 2025, May 31 2026, August 1 2026, September 1 2026, December 1 2026, December 26 2026, cities, statutory, home rule charter city.