SF 5002
Introduction - 94th Legislature (2025 - 2026)
Posted on 04/08/2026 09:36 a.m.
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A bill for an act
relating to public safety; establishing hazard mitigation grant program to support
mitigation planning and mitigation projects that diminish potential effects of
emergencies; requiring a report; appropriating money; proposing coding for new
law in Minnesota Statutes, chapter 12B.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:
Section 1.
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[12B.20] HAZARD MITIGATION FUND; GRANTS.
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new text begin Subdivision 1. new text end
new text begin Definitions. new text end
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(a) For purposes of this section, the following terms have
the meanings given.
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(b) "Eligible applicant" means a county, home rule charter or statutory city, town, school
district, special district, joint powers authority, or other political subdivision or local unit
of government in this state.
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(c) "Mitigation planning" means activities to develop, update, or implement a hazard
mitigation project or other process that meets the requirements of Code of Federal
Regulations, title 44, part 201, or successor provisions.
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(d) "Mitigation project" means a cost-effective project that reduces risk to life and
property from hazards, including projects that protect critical facilities and lifelines and
reduce future public and private costs.
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new text begin Subd. 2. new text end
new text begin Account created; purpose. new text end
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(a) The hazard mitigation account is created in the
special revenue fund. The commissioner must administer the account.
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(b) Money in the account may be used to provide grants and technical assistance to
eligible applicants for mitigation planning and mitigation projects that diminish the potential
effects of emergencies through long-term risk reduction.
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(c) Money in the account may be used as the nonfederal share for federal hazard
mitigation assistance programs, including FEMA's Building Resilient Infrastructure and
Communities (BRIC) program and Hazard Mitigation Grant Program (HMGP) to the extent
permitted by federal law.
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(d) Money in the account consists of appropriations; gifts, grants, and donations; money
received from the federal government or other sources for hazard mitigation purposes; and
interest earnings.
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new text begin Subd. 3. new text end
new text begin Eligible activities. new text end
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(a) The commissioner may award grants for:
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(1) mitigation planning activities, including development, updating, or implementation
of a local hazard mitigation plan; risk assessments; public engagement; and plan adoption;
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(2) project scoping, feasibility studies, and other activities that lead to a mitigation project
that can be implemented;
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(3) mitigation projects, including design, engineering, environmental and historic
preservation review, permitting, construction, acquisition, or other activities necessary to
complete a mitigation project; and
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(4) application development and other preaward costs necessary to apply for federal
hazard mitigation assistance.
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(b) Mitigation planning activities are eligible for funding through the program.
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new text begin Subd. 4. new text end
new text begin Application; annual cycle; local approval. new text end
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(a) The commissioner must establish
an annual application process for grants under this section and may establish additional
application cycles to respond to disaster declarations or federal funding opportunities.
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(b) An application may be submitted by any department, board, commission, authority,
or other agency of an eligible applicant, but the application must be submitted on behalf of
the eligible applicant.
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(c) A mitigation project application must be identified through an official assessment
or mitigation planning process and must be consistent with and referenced in the applicant's
current hazard mitigation plan approved by FEMA under Code of Federal Regulations, title
44, part 201, or successor provisions, and all applicable requirements under chapters 103B
and 103D.
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(d) An application must include a resolution or other written action of the governing
body of the eligible applicant authorizing the application and the execution of required grant
agreements.
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(e) An eligible applicant that does not have a current FEMA-approved hazard mitigation
plan may apply for a grant for mitigation planning to develop or update a hazard mitigation
plan.
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new text begin Subd. 5. new text end
new text begin Eligible applicant's share. new text end
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An eligible applicant's share of project costs incurred
must not be less than 25 percent. The substantiated value of donated materials, equipment,
services, and labor may be used as all or part of the eligible applicant's share of eligible
costs, subject to the following:
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(1) all items and sources of donation must be indicated on the application and any
supporting documentation submitted to the commissioner;
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(2) the rate for calculating the value of donated, nonprofessional labor is the prevailing
federal minimum wage;
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(3) the value of donated equipment may not exceed the highway equipment rates approved
by the commissioner of transportation;
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(4) the value of donated materials and professional services must conform to prevailing
rates and be established by invoice; and
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(5) the value of in-kind matching hours must be at the prevailing volunteer rate.
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new text begin Subd. 6. new text end
new text begin Priorities; selection criteria. new text end
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(a) The commissioner must evaluate and prioritize
applications based on criteria that reflect the hazard mitigation principles used by federal
hazard mitigation assistance programs, including cost-effectiveness and long-term risk
reduction.
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(b) The commissioner must evaluate and prioritize flood-related applications on local
watershed management plans under section 103B.221 and identified capital improvement
program and standards schedules.
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(c) At a minimum, the commissioner must consider:
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(1) reduction of risk to safety, critical facilities, lifelines, and essential services;
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(2) the extent to which the proposed activity addresses repetitive loss or other
documented, recurring impacts;
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(3) feasibility, readiness, and the eligible applicant's capacity to complete the activity
within the grant period;
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(4) the extent to which the activity incorporates resilience measures, nature-based
solutions, or other strategies that provide multiple benefits;
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(5) benefits to communities or populations with higher vulnerability to disasters or
communities that have been historically underserved;
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(6) leveraging federal or other nonstate funding, including the BRIC program and HMGP;
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(7) long-term operation and maintenance sufficient to ensure that risk reduction is
sustained; and
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(8) leveraging funds from the flood hazard mitigation assistance grant program.
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new text begin Subd. 7. new text end
new text begin Technical assistance; federal coordination. new text end
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(a) The commissioner must
provide technical assistance to eligible applicants to build local capability to identify hazards,
develop mitigation projects, and apply for federal hazard mitigation assistance.
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(b) The commissioner must coordinate the grant program under this section with the
state's hazard mitigation plan and may incorporate requirements and evaluation methods
used by the BRIC program and HMGP.
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(c) The commissioner must coordinate flood-related projects with local watershed
management plans and requirements under chapters 103B and 103D.
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(d) Following a state or federal disaster declaration affecting Minnesota, the commissioner
may establish a supplemental application cycle or adjust priorities to support mitigation
opportunities related to the declared disaster.
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new text begin Subd. 8. new text end
new text begin Grant agreements; oversight; reporting. new text end
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(a) The commissioner must enter
into a grant agreement with each grantee. The agreement must specify the scope of work,
performance period, reporting requirements, and remedies for nonperformance.
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(b) Grantees must comply with applicable state and federal requirements, including
procurement, auditing, and record retention requirements. The commissioner may require
repayment of grant money not spent in accordance with the grant agreement.
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(c) By January 15 each year, the commissioner must submit a report to the chairs and
ranking minority members of the house of representatives Ways and Means Committee and
the senate Finance Committee summarizing awards and outcomes under this section.
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new text begin EFFECTIVE DATE. new text end
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This section is effective the day following final enactment.
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Sec. 2. new text begin HAZARD MITIGATION GRANTS; APPROPRIATION.
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$35,000,000 in fiscal year 2027 is appropriated from the general fund to the commissioner
of public safety for hazard mitigation grants under Minnesota Statutes, section 12B.20. The
commissioner may use up to five percent of this appropriation for program administration
and statewide technical assistance. This appropriation is available until expended. The base
for this appropriation in each of fiscal years 2028 and 2029 is $35,000,000.
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new text begin EFFECTIVE DATE. new text end
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This section is effective the day following final enactment.
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