SF 4103

as introduced - 91st Legislature (2019 - 2020) Posted on 03/10/2020 08:42am

A bill for an act
relating to capital investment; appropriating money for a greater Minnesota housing
infrastructure grant program; authorizing the sale and issuance of state bonds;
proposing coding for new law in Minnesota Statutes, chapter 116J.

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

Section 1.

new text begin [116J.4315] GREATER MINNESOTA HOUSING INFRASTRUCTURE
GRANT PROGRAM.
new text end

new text begin Subdivision 1. new text end

new text begin Grant program established. new text end

new text begin The commissioner may make grants to
counties and cities to provide up to 50 percent of the capital costs of public infrastructure
necessary for an eligible workforce housing development project. The commissioner may
make a grant award only after determining that nonstate resources are committed to complete
the project. The nonstate contribution may be either cash or in kind. In-kind contributions
may include the value of the site, whether the site is prepared before or after the law
appropriating money for the grant is enacted.
new text end

new text begin Subd. 2. new text end

new text begin Definitions. new text end

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

new text begin (b) "City" means a statutory or home rule charter city located outside the metropolitan
area, as defined in section 473.121, subdivision 2.
new text end

new text begin (c) "County" means a county located outside the metropolitan area, as defined in section
473.121, subdivision 2.
new text end

new text begin (d) "Housing infrastructure" means publicly owned physical infrastructure necessary to
support housing development projects, including but not limited to sewers, water supply
systems, utility extensions, streets, wastewater treatment systems, storm water management
systems, and facilities for pretreatment of wastewater to remove phosphorus.
new text end

new text begin Subd. 3. new text end

new text begin Eligible projects. new text end

new text begin Housing projects eligible for a grant under this section may
be single-family or multifamily housing developments, owner-occupied or rental.
new text end

new text begin Subd. 4. new text end

new text begin Application. new text end

new text begin (a) The commissioner must develop forms and procedures for
soliciting and reviewing applications for grants under this section. At a minimum, a county
or city must include in its application a resolution of the county or city council certifying
that the required nonstate match is available. The commissioner must evaluate complete
applications for funding for eligible projects to determine that:
new text end

new text begin (1) the project is necessary to increase sites available for housing development that will
provide adequate housing stock for the current or future workforce; and
new text end

new text begin (2) the increase in workforce housing will result in substantial public and private capital
investment in the county or city in which the project would be located.
new text end

new text begin (b) The determination of whether to make a grant for a site is within the discretion of
the commissioner, subject to this section. The commissioner's decisions and application of
the criteria are not subject to judicial review, except for abuse of discretion.
new text end

new text begin Subd. 5. new text end

new text begin Maximum grant amount. new text end

new text begin A county or city may receive no more than $20,000
per lot for single-family, duplex, triplex, or four-plex housing developed, and no more than
$50,000 per lot for multifamily housing with more than four units per building. A county
or city may receive no more than $500,000 in two years for one or more housing
developments.
new text end

new text begin Subd. 6. new text end

new text begin Cancellation of grant; return of grant money. new text end

new text begin If after five years, the
commissioner determines that a project has not proceeded in a timely manner and is unlikely
to be completed, the commissioner must cancel the grant and require the grantee to return
all grant money awarded for that project.
new text end

new text begin Subd. 7. new text end

new text begin Appropriation. new text end

new text begin Grant money returned to the commissioner is appropriated to
the commissioner to make additional grants 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

Sec. 2. new text begin HOUSING INFRASTRUCTURE GRANT PROGRAM.
new text end

new text begin Subdivision 1. new text end

new text begin Appropriation. new text end

new text begin $2,500,000 is appropriated from the bond proceeds fund
to the commissioner of employment and economic development for grants under the greater
Minnesota housing infrastructure grant program, under Minnesota Statutes, section
116J.4315.
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 $2,500,000 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

new text begin EFFECTIVE DATE. new text end

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