Minnesota Legislature
SF 2231
as introduced - 94th Legislature (2025 - 2026) Posted on 03/14/2025 02:06pm
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A bill for an act
relating to local government; requiring the creation of mixed-use housing zones;
amending Minnesota Statutes 2024, section 462.355, subdivision 3, by adding a
subdivision; proposing coding for new law in Minnesota Statutes, chapter 462.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:
Section 1.
Minnesota Statutes 2024, section 462.355, is amended by adding a subdivision
to read:
new text begin Subd. 1b. new text end
new text begin Comprehensive plan amendment exemption. new text end
new text begin
Notwithstanding subdivision
1a or other law or rule, no comprehensive plan amendments shall be required before
December 31, 2029, for changes to municipal zoning controls required by section 462.3572,
including any new housing authorized by that section.
new text end
Sec. 2.
Minnesota Statutes 2024, section 462.355, subdivision 3, is amended to read:
Subd. 3.
Adoption by governing body.
A proposed comprehensive plan or an amendment
to it may not be acted upon by the governing body until it has received the recommendation
of the planning agency or until 60 days have elapsed from the date an amendment proposed
by the governing body has been submitted to the planning agency for its recommendation.
Unless otherwise provided by charter, the governing body may by resolution adopt and
amend the comprehensive plan or portion thereof as the official municipal plan upon such
notice and hearing as may be prescribed by ordinance. deleted text begin Except for amendments to permit
affordable housing development,deleted text end A resolution to amend or adopt a comprehensive plan
must be approved by a deleted text begin two-thirds votedeleted text end new text begin simple majoritynew text end of all of the members. deleted text begin Amendments
to permit an affordable housing development are approved by a simple majority of all of
the members. For purposes of this subdivision, "affordable housing development" means a
development in which at least 20 percent of the residential units are restricted to occupancy
for at least ten years by residents whose household income at the time of initial occupancy
does not exceed 60 percent of area median income, adjusted for household size, as determined
by the United States Department of Housing and Urban Development, and with respect to
rental units, the rents for affordable units do not exceed 30 percent of 60 percent of area
median income, adjusted for household size, as determined annually by the United States
Department of Housing and Urban Development.
deleted text end
Sec. 3.
new text begin
[462.3572] RESIDENTIAL MIXED-USE HOUSING ZONES.
new text end
new text begin Subdivision 1. new text end
new text begin Definitions. new text end
new text begin
(a) For the purposes of this section, the following terms have
the meanings given.
new text end
new text begin
(b) "Accessory dwelling unit" means an addition or alteration that is an additional
subordinate dwelling unit on the same lot and is entirely within a dwelling unit, attached to
a dwelling unit, or in a detached structure.
new text end
new text begin
(c) "Applicant" has the meaning provided in section 15.99.
new text end
new text begin
(d) "Covered municipality" means:
new text end
new text begin
(1) a statutory or home rule city in the counties of Anoka, Carver, Dakota, Hennepin,
Ramsey, Scott, or Washington; and
new text end
new text begin
(2) any municipality with a population of 10,000 or more residents.
new text end
new text begin
(e) "Duplex" means a single building sited on a single lot that contains two separate
residential units with separation either horizontal or vertical.
new text end
new text begin
(f) "Fourplex" means a single building sited on a single lot that contains four residential
units.
new text end
new text begin
(g) "Minimum parking mandate" means a law, rule, or ordinance that specifies a minimum
number of motor vehicle parking spaces, including on-street or off-street within a garage
or other enclosed area.
new text end
new text begin
(h) "Mixed-use development" means a single building with dedicated space for
commercial use in which at least 50 percent or more of the usable square footage is dedicated
to residential units.
new text end
new text begin
(i) "Mixed-use housing zone" means a zoning district defined by municipal ordinance
where the following are authorized as a permitted use:
new text end
new text begin
(1) a residential or mixed-use development that contains a minimum of four residential
units on a lot that is within one-quarter mile of a municipal state-aid street, as measured
from any point on the lot; or
new text end
new text begin
(2) a residential or mixed-use development that contains a minimum of three residential
units on a lot that is within one-half mile of a municipal state-aid street, as measured from
any point on the lot.
new text end
new text begin
(j) "Municipal state-aid street" means a street within a municipality that has been
established as a municipal state-aid street pursuant to section 162.09.
new text end
new text begin
(k) "Request" has the meaning provided in section 15.99, except that for the purposes
of this section, it also includes a written application for a building permit or a proposed
subdivision related to the housing authorized under subdivision 2.
new text end
new text begin
(l) "Residential unit" means a building or part of a building used or intended to be used
as a dwelling by a single owner or tenant.
new text end
new text begin
(m) "Single-family dwelling" means a building that contains one residential unit.
new text end
new text begin
(n) "Townhouse" means a single-family dwelling unit constructed in a group of two or
more attached units in which each unit extends from the foundation to the roof and having
open space on at least two sides of each unit. Each single-family dwelling unit shall be
considered to be a separate building. Separate building service utilities shall be provided to
each single-family dwelling unit when required by other chapters of the State Building
Code.
new text end
new text begin
(o) "Triplex" means a single building sited on a single lot that contains three residential
units.
new text end
new text begin Subd. 2. new text end
new text begin Residential mixed-use housing zones required. new text end
new text begin
(a) On or before June 30,
2027, a covered municipality must enact ordinances creating:
new text end
new text begin
(1) mixed-use housing zones that authorize a residential or mixed-use development
containing three residential units on a lot as a permitted use in an area covering 80 percent
of the land within the municipality that is within one-half mile of a municipal state-aid
street; or
new text end
new text begin
(2) mixed-use housing zones that authorize a residential or mixed-use development
containing four residential units on a lot as a permitted use in an area covering 80 percent
of the land within the municipality that is within one-quarter mile of a municipal state-aid
street.
new text end
new text begin
(b) Subject to the limitations in subdivisions 3, 4, and 5, a covered municipality may
require a development permitted under paragraph (a) to comply with any standards,
performance conditions, or requirements, including the adequacy of existing public
infrastructure, imposed by a municipality to protect public health, safety, and general welfare.
new text end
new text begin
(c) Nothing in this section authorizes a covered municipality to permit a development
that is prohibited by state or federal law or rule, or is prohibited under an ordinance adopted
pursuant to such a state or federal law or rule, that protects floodplains, areas of critical or
historic concern, wild and scenic rivers, shore land, or that otherwise restrict residential
units to protect and preserve public health, the environment, or scenic areas.
new text end
new text begin Subd. 3. new text end
new text begin Municipal standards; limitations. new text end
new text begin
(a) The following limitations on municipal
authority apply to the developments permitted by residential mixed-use housing zones
required under subdivision 2.
new text end
new text begin
(b) Subject to the maximum residential units permitted on a lot, a residential mixed-use
housing zone must authorize the following housing types:
new text end
new text begin
(1) a single-family dwelling;
new text end
new text begin
(2) a townhouse;
new text end
new text begin
(3) a duplex;
new text end
new text begin
(4) a triplex;
new text end
new text begin
(5) a fourplex;
new text end
new text begin
(6) an accessory dwelling unit on a lot with a single-family dwelling; and
new text end
new text begin
(7) a mixed-use development.
new text end
new text begin
(c) A mixed-use housing zone must permit:
new text end
new text begin
(1) density of at least 25 residential units per acre;
new text end
new text begin
(2) lot coverage of at least 80 percent of a lot, except as required by state or federal law;
new text end
new text begin
(3) front setbacks of 20 feet or less;
new text end
new text begin
(4) developments with at least two stories above grade;
new text end
new text begin
(5) any floor area ratio for a development that otherwise complies with lot coverage and
height requirements; and
new text end
new text begin
(6) a minimum lot size for each housing type that is less than or equal to the smallest
existing lot size in the municipality containing that type of housing as of January 1, 2025.
new text end
new text begin
(d) Except as provided in the State Building Code for dwellings adhering to the Minnesota
Residential Code, Minnesota Rules, chapter 1309, a covered municipality must not impose
requirements related to:
new text end
new text begin
(1) minimum unit size or dimension requirements;
new text end
new text begin
(2) minimum square footage requirements on a structure foundation;
new text end
new text begin
(3) construction materials or methods, including architectural elements, building egress,
durability, energy efficiency, or light access requirements; or
new text end
new text begin
(4) minimum side setbacks.
new text end
new text begin
(e) A covered municipality must not impose minimum parking mandates, except that a
municipality may pass and enforce an ordinance under section 169.346, subdivision 4,
related to disability parking spaces or any provision of the Minnesota Accessibility Code,
Minnesota Rules, chapter 1341.
new text end
new text begin
(f) A municipality must not take any action that requires a residential property to be part
of a homeowners association or provide an incentive for a homeowner association's
membership. A municipality must not require or incentivize a homeowners association to
adopt, revoke, or amend a term in any governing document or a rule or regulation not
required under state law. A municipality must not condition approval of a residential building
permit or conditional use permit, residential subdivision development or residential planned
unit development, or any other permit related to residential development on the:
new text end
new text begin
(1) creation of a homeowners association;
new text end
new text begin
(2) inclusion of any service, feature, or common property necessitating a homeowners
association;
new text end
new text begin
(3) inclusion of any terms in a homeowners association declaration, bylaws, articles of
incorporation, or any other governing document that is not required under state law; or
new text end
new text begin
(4) adoption or revocation of, or amendment to, a rule or regulation governing the
homeowners association or its members.
new text end
new text begin Subd. 4. new text end
new text begin Administrative approvals. new text end
new text begin
(a) A municipality must establish and follow an
administrative process to review requests related to developments permitted under subdivision
2, including proposed residential lot splits and subdivisions, in accordance with the process
outlined in section 15.99.
new text end
new text begin
(b) A municipality engaging in the process established in paragraph (a) must:
new text end
new text begin
(1) approve or deny a request for a building permit or proposed subdivision based on
the request's alignment with the municipality's comprehensive plan, applicable zoning
requirements, and subdivision regulations;
new text end
new text begin
(2) not require a conditional use permit or planned unit development agreement, except
that a municipality may require a conditional use permit or planned unit development
agreement to address an identified and documented risk to health or safety;
new text end
new text begin
(3) not require more than one community meeting prior to approval of a request, except
if more are required by state or federal law or the project involves or affects a lot located
in a historic district under section 138.73; and
new text end
new text begin
(4) provide any development agreement to the applicant no less than three days in advance
of final plat approval, or before final approval of a request if a plat is not required.
new text end
new text begin Subd. 5. new text end
new text begin Official controls; limitations. new text end
new text begin
A covered municipality may not use official
controls to prohibit the application of this section, including by imposing performance
conditions, standards, requirements, ordinances, fees, exactions, and dedications on any
residential unit or development that are more restrictive than those in this section or other
municipal law or rule.
new text end
new text begin Subd. 6. new text end
new text begin Failure to comply; remedies. new text end
new text begin
If a covered municipality fails to adopt new
standards that meet the requirements of this section by June 30, 2027, up to six residential
units shall be allowed without restriction on any lot that is within one-half mile of a municipal
state-aid street or in any zoning district that authorizes mixed-use developments as a permitted
use.
new text end
new text begin Subd. 7. new text end
new text begin Interim ordinance. new text end
new text begin
No covered municipality shall enact an interim ordinance
as provided under section 462.355, subdivision 4, to prohibit or delay the application of this
section.
new text end
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective January 1, 2026.
new text end