SF3839

Purpose

• Extend the state's financing tools for housing by allowing the housing agency to issue additional bonds. This creates an extra source of funds to support housing infrastructure projects.

Main Provisions

• Adds a new subdivision (Subd. 2l, titled “Additional authorization”) to Minnesota Statutes 2024 section 462A.37.
• In addition to existing bond authorities (the amounts in subdivisions 1, 2 to 2k, and 3a), the agency may issue up to $200,000,000 in one or more series of housing infrastructure bonds.
• The payments made under this section may be pledged to secure these bonds.

Changes to Existing Law

• Creates a new subdivision (Subd. 2l) within Minnesota Statutes 2024 section 462A.37, expanding the agency’s authority to issue bonds.
• The amendment references both the 2024 statute and the 2025 Supplement to Minnesota Statutes, indicating it modifies current bonding authority for housing infrastructure.

Financial Implications

• Adds authority to issue up to $200,000,000 in housing infrastructure bonds.
• Bond repayments would be funded by the payments authorized under this section (i.e., the pledged payments used to service the bonds).

Significance and Context

• Expands the state’s ability to finance housing infrastructure by increasing bonding capacity beyond existing authorizations.
• The change is focused on financing mechanisms (bond issuance and pledged payments) rather than creating new programs or direct appropriations.

Relevant Terms housing infrastructure bonds; bond issuance; pledged payments; Subd. 2l; Additional authorization; Minnesota Statutes 2024 section 462A.37; Minnesota Statutes 2025 Supplement section 462A.37 subdivision 5.1.6; one or more series; up to $200,000,000; housing agency.