HF 2129

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

A bill for an act
relating to workforce development; establishing a private sector equipment training
opportunity program; requiring a report; appropriating money.

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

Section 1. new text begin PRIVATE SECTOR EQUIPMENT TRAINING OPPORTUNITY
PROGRAM.
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new text begin Subdivision 1. new text end

new text begin Program established. new text end

new text begin The private sector equipment training opportunity
program is created to act as a catalyst to bring students with specific equipment training
needs together with private sector businesses that possess the necessary equipment to fulfill
those equipment training needs.
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new text begin Subd. 2. 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.
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new text begin (b) "Area of employment need career course" means a course that will potentially lead
to a career in an occupation identified in Minnesota Statutes, section 175.45, subdivision
1, or meet the definition in Minnesota Statutes, section 116L.99, subdivision 1, paragraph
(d).
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new text begin (c) "Commissioner" means the commissioner of employment and economic development.
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new text begin (d) "Educational institution" includes:
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new text begin (1) public high schools;
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new text begin (2) public technical colleges;
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new text begin (3) state community colleges;
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new text begin (4) state universities; and
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new text begin (5) the University of Minnesota.
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new text begin (e) "Student" means a student currently enrolled in an educational institution.
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new text begin Subd. 3. new text end

new text begin Duties. new text end

new text begin In facilitating the program, the commissioner shall:
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new text begin (1) work with educational institutions to identify those area of employment need career
courses that lack the training equipment necessary to educate students with equipment
currently used in the profession; and
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new text begin (2) identify and encourage private businesses that possess the equipment to participate
in the equipment training opportunity program.
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new text begin Subd. 4. new text end

new text begin Private sector equipment training tax credit. new text end

new text begin (a) A private sector business
is allowed a credit against the tax due under Minnesota Statutes, chapter 290, equal to the
amount it would cost to rent the equipment used to train students on the private market.
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new text begin (b) The credit allowed to a private sector business under this subdivision for a taxable
year is limited to the lesser of the following amounts:
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new text begin (1) $.......; or
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new text begin (2) the total amount of the cost of the equipment on the private market less depreciation.
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new text begin (c) If the amount of credit which a claimant is eligible to receive under this subdivision
exceeds the claimant's tax liability under Minnesota Statutes, chapter 290, the commissioner
of revenue shall refund the excess to the claimant.
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new text begin (d) For a nonresident or a part-year resident, the credit under this subdivision must be
allocated based on the percentage calculated under Minnesota Statutes, section 290.06,
subdivision 2c, paragraph (e).
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new text begin (e) Credits granted to a partnership, a limited liability company taxed as a partnership,
an S corporation, or multiple owners of property are passed through to the partners, members,
shareholders, or owners, respectively, pro rata to each partner, member, shareholder, or
owner based on their share of the entity's assets or as specially allocated in their
organizational documents or any other executed agreement, as of the last day of the taxable
year.
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new text begin (f) An amount sufficient to pay the refunds required by this section is appropriated to
the commissioner of revenue from the general fund.
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new text begin Subd. 5. new text end

new text begin Reporting. new text end

new text begin The commissioner must submit an annual report by December 31
of each year regarding the equipment training opportunity program to the chairs and ranking
minority members of the legislative committees with jurisdiction over employment and
economic development policy and taxes. The first report is due no later than December 31,
2027. The annual report must describe the following:
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new text begin (1) the number of students that participated in a private sector equipment training
opportunity the previous calendar year;
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new text begin (2) a list of courses and applicable occupations for which equipment training opportunities
were provided;
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new text begin (3) a list of businesses participating in the equipment training opportunity program;
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new text begin (4) the amount of tax credits allowed to participating businesses; and
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new text begin (5) a list of recommendations to the legislature regarding potential program improvements.
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new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment, except
that subdivision 4 is effective for taxable years beginning after December 31, 2025, and
before January 1, 2029.
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