HF 1070

as introduced - 88th Legislature (2013 - 2014) Posted on 03/04/2013 01:42pm

A bill for an act
relating to capital investment; appropriating money for public housing
rehabilitation; authorizing bonds under the housing infrastructure bonds program;
authorizing sale and issuance of state bonds; amending Minnesota Statutes 2012,
section 462A.37, subdivisions 2, 4.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

Section 1.

Minnesota Statutes 2012, section 462A.37, subdivision 2, is amended to read:

Subd. 2.

Authorization.

(a) The agency may issue up to $30,000,000 in aggregate
principal amount of housing infrastructure bonds in one or more series to which the
payment made under this section may be pledged.

new text begin (b) The agency may issue up to $35,000,000 in aggregate principal amount of
housing infrastructure bonds in one or more series to which the payment made under this
section may be pledged.
new text end

new text begin (c) new text end The housing infrastructure bonds authorized in this subdivision may be issued
to fund loans, on terms and conditions the agency deems appropriate, made for one or
more of the following purposes:

(1) to finance the costs of the construction, acquisition, and rehabilitation of
supportive housing for individuals and families who are without a permanent residence;

(2) to finance the costs of the acquisition and rehabilitation of foreclosed or
abandoned housing to be used for affordable rental housing and the costs of new
construction of rental housing on abandoned or foreclosed property where the existing
structures will be demolished or removed;

(3) to finance that portion of the costs of acquisition of abandoned or foreclosed
property that is attributable to the land to be leased by community land trusts to low-
and moderate-income homebuyers; and

(4) to finance the costs of acquisition and rehabilitation of federally assisted rental
housing and for the refinancing of costs of the construction, acquisition, and rehabilitation
of federally assisted rental housing, including providing funds to refund, in whole or in
part, outstanding bonds previously issued by the agency or another government unit to
finance or refinance such costs.

deleted text begin (b) deleted text end new text begin (d) new text end Among comparable proposals for permanent supportive housing, preference
shall be given to permanent supportive housing for individuals or families who:

(1) either have been without a permanent residence for at least 12 months or at
least four times in the last three years; or

(2) are at significant risk of lacking a permanent residence for 12 months or at least
four times in the last three years.

Sec. 2.

Minnesota Statutes 2012, section 462A.37, subdivision 4, is amended to read:

Subd. 4.

Appropriation; payment to agency or trustee.

(a) The agency must
certify annually to the commissioner of management and budget the actual amount of
annual debt service on each series of bonds issued under subdivision 2.

(b) Each July 15, beginning in 2013 and through 2035, if any housing infrastructure
bonds issued under subdivision 2 new text begin , paragraph (a), new text end remain outstanding, the commissioner of
management and budget must transfer to the affordable housing bond account established
under section 462A.21, subdivision 33, the amount certified under paragraph (a), not to
exceed $2,200,000 annually. The amounts necessary to make the transfers are appropriated
from the general fund to the commissioner of management and budget.

(c) new text begin Each July 15, beginning in 2014 and through 2036, if any housing infrastructure
bonds issued under subdivision 2, paragraph (b), remain outstanding, the commissioner of
management and budget must transfer to the affordable housing bond account established
under section 462A.21, subdivision 33, the amount certified under paragraph (a), not to
exceed $....... annually. The amounts necessary to make the transfers are appropriated
from the general fund to the commissioner of management and budget.
new text end

new text begin (d) new text end The agency may pledge to the payment of the housing infrastructure bonds the
payments to be made by the state under this section.

Sec. 3. new text begin HOUSING FINANCE AGENCY; PUBLIC HOUSING
REHABILITATION.
new text end

new text begin Subdivision 1. new text end

new text begin Appropriation. new text end

new text begin $15,000,000 is appropriated from the bond proceeds
fund to the Housing Finance Agency for transfer to the housing development fund to
finance the costs of rehabilitation to preserve public housing under Minnesota Statutes,
section 462A.202, subdivision 3a. For purposes of this section, "public housing" means
housing for low-income persons and households financed by the federal government and
owned and operated by the public housing authorities and agencies formed by cities and
counties. Public housing authorities receiving a public housing assessment composite
score of 80 or above are eligible to receive funding. Priority must be given to proposals
that maximize federal or local resources to finance the capital costs. The priority in
Minnesota Statutes, section 462A.202, subdivision 3a, for projects to increase the supply
of affordable housing and the restrictions of Minnesota Statutes, section 462A.202,
subdivision 7, do not apply to this appropriation.
new text end

new text begin Subd. 2. new text end

new text begin Bond sale. new text end

new text begin To provide the money appropriated in this section from the
bond proceeds fund, the commissioner of management and budget shall sell and issue
bonds of the state in an amount up to $15,000,000 in the manner, upon the terms, and with
the effect prescribed by Minnesota Statutes, sections 16A.631 to 16A.675, and by the
Minnesota Constitution, article XI, sections 4 to 7.
new text end

Sec. 4. new text begin EFFECTIVE DATE.
new text end

new text begin Sections 1 to 3 are effective the day following final enactment.
new text end