SF 2131

as introduced - 89th Legislature (2015 - 2016) Posted on 04/29/2015 08:29am

A bill for an act
relating to capital investment; authorizing housing infrastructure bonds to finance
affordable owner-occupied housing statewide; appropriating money; authorizing
the sale and issuance of state bonds; amending Minnesota Statutes 2014, section
462A.37, subdivision 1, by adding a subdivision.

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

Section 1.

Minnesota Statutes 2014, section 462A.37, subdivision 1, is amended to read:

Subdivision 1.

Definitions.

(a) For purposes of this section, the following terms
have the meanings given.

(b) "Abandoned property" has the meaning given in section 117.025, subdivision 5.

(c) "Community land trust" means an entity that meets the requirements of section
462A.31, subdivisions 1 and 2.

(d) "Debt service" means the amount payable in any fiscal year of principal,
premium, if any, and interest on housing infrastructure bonds and the fees, charges, and
expenses related to the bonds.

(e) "Foreclosed property" means residential property where foreclosure proceedings
have been initiated or have been completed and title transferred or where title is transferred
in lieu of foreclosure.

new text begin (f) "HOME project" means affordable home ownership financing under Laws 2014,
chapter 188, section 4.
new text end

deleted text begin (f) deleted text end new text begin (g) new text end "Housing infrastructure bonds" means bonds issued by the agency under this
chapter that are qualified 501(c)(3) bonds, within the meaning of Section 145(a) of the
Internal Revenue Code, finance qualified residential rental projects within the meaning of
Section 142(d) of the Internal Revenue Code, or are tax-exempt bonds that are not private
activity bonds, within the meaning of Section 141(a) of the Internal Revenue Code, for the
purpose of financing or refinancing affordable housing authorized under this chapter.

deleted text begin (g) deleted text end new text begin (h) new text end "Internal Revenue Code" means the Internal Revenue Code of 1986, as
amended.

deleted text begin (h) deleted text end new text begin (i) new text end "Supportive housing" means housing that is not time-limited and provides or
coordinates with linkages to services necessary for residents to maintain housing stability
and maximize opportunities for education and employment.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment.
new text end

Sec. 2.

Minnesota Statutes 2014, section 462A.37, is amended by adding a subdivision
to read:

new text begin Subd. 6. new text end

new text begin 2015 authorization; appropriation. new text end

new text begin (a) In addition to any other amounts
authorized in this section, the agency may issue up to $60,000,000 of housing infrastructure
bonds in one or more series to which the payments made under this section may be pledged.
new text end

new text begin (b) The housing infrastructure bonds authorized in this subdivision may be issued
to fund loans, on terms and conditions the agency deems appropriate, to finance HOME
projects.
new text end

new text begin (c) 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 paragraph (a).
new text end

new text begin (d) Each July 15, beginning in 2016 and through 2038, if any housing infrastructure
bonds issued under paragraph (a) remain outstanding, the commissioner of management
and budget must transfer to the housing infrastructure bond account established under
section 462A.21, subdivision 33, the amount certified under paragraph (b), 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 (e) The agency may pledge to the payment of the housing infrastructure bonds the
payments to be made by the state under this section.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment.
new text end