HF 2123

as introduced - 94th Legislature (2025 - 2026) Posted on 03/10/2025 02:46pm

A bill for an act
relating to housing; providing credit reporting option to tenants; appropriating
money for grants to landlords to assist with credit reporting; permitting the
collection of certain data from landlords awarded grants; requiring a report;
proposing coding for new law in Minnesota Statutes, chapter 504B.

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

Section 1.

new text begin [504B.247] CREDIT REPORTING REQUIRED.
new text end

new text begin A landlord who has more than ten residential rental units must offer tenants the option
of having their on-time rent payments reported using a rent payment reporting service that
allows the landlord to submit the renters' on-time monthly payments to credit bureaus for
inclusion in the calculation of a consumer credit score. A renter cannot be required to
participate in a rent reporting program. A renter cannot be charged for a rent reporting
program. A renter who has agreed to do rent payment reporting can opt out of rent payment
reporting at any time, and the landlord must remove the tenant from rent payment reporting
within 30 days of the request.
new text end

Sec. 2. new text begin APPROPRIATION; GRANTS FOR TENANT CREDIT REPORTING.
new text end

new text begin (a) $500,000 in fiscal year 2026 and $500,000 in fiscal year 2027 are appropriated from
the general fund to the commissioner of the Minnesota Housing Finance Agency for grants
to landlords to assist with the cost of providing credit reporting required under Minnesota
Statutes, section 504B.247. Grants may be awarded for the cost of services, the purchase
of technology and software, and administrative costs directly related to the required credit
reporting of on-time rent payments. Priority for grants under this section must be given to
landlords with units occupied by tenants who have income at or below 50 percent of the
area median income.
new text end

new text begin (b) The Minnesota Housing Finance Agency must collect data from grantees, and any
other willing participants, on the participation in and effectiveness of the on-time rent
reporting requirements. By March 1, 2027, the commissioner of the Minnesota Housing
Finance Agency must prepare a report and send it to the chairs and ranking minority members
of the legislative committees with jurisdiction over housing.
new text end