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    Subdivision 1. Application. In addition to the powers granted in sections 462A.05 and
462A.06 the agency shall have the further powers granted in this section.
    Subd. 2. Technical assistance; residential housing. It may provide general technical
services to assist in the planning, processing, design, construction or rehabilitation, and inspection
of residential housing for occupancy by persons and families of low and moderate income.
    Subd. 2a. Loan services. It may provide underwriting, loan processing, and closing services
in behalf of other lenders where those services are not otherwise available and the loans relate to
residential housing for occupancy by low- and moderate-income persons and families. The agency
may charge fees for those services in amounts determined by the members to be reasonable.
    Subd. 3. Project assistance. It may provide general consultative project assistance services
for residential housing for occupancy by persons and families of low and moderate income and
for the residents thereof with respect to management, training and social services, homeownership
counseling and continuing technical home maintenance services.
    Subd. 3a. Technical assistance; multifamily housing projects. It shall make available
technical assistance to potential applicants to encourage applications for multifamily housing
projects which afford residents participation in the ownership or management of the project.
    Subd. 4. Construction methods. It may promote research and development in scientific
methods of constructing low cost residential housing of high durability.
    Subd. 5. Agreements; housing projects. It may enter into agreements with sponsors,
mortgagors, or the issuers of securities for the purpose of regulating the planning, development,
and management of housing projects financed in whole or in part by the proceeds of eligible loans
or eligible securities purchased by the agency.
    Subd. 5a. Agreements with governmental units. It may enter into agreements with housing
and agreements with sponsors, redevelopment authorities or other appropriate local governmental
units to foster multifamily housing rehabilitation and shall act to develop the agreements. It
may give advance reservations of mortgage financing and federal rent subsidies as part of the
agreements, with the understanding that the agency will only approve the mortgage loans pursuant
to normal procedures, and may adopt special procedures designed to meet problems inherent in a
program of multifamily housing rehabilitation. The agreements may include the United States
Department of Housing and Urban Development when desirable and appropriate.
    Subd. 6. Studies. It may undertake and carry out studies and analyses of housing needs
within the state and ways of meeting such needs including data with respect to population and
family and size; and the distribution thereof according to income groups, the amount and quality
of available housing and its distribution according to rentals and sales prices, employment, wages
and other factors affecting housing needs and the meeting thereof; and may make the results of
such studies and analyses available to the public and the housing and supply industries, and may
engage in research and disseminate information on housing.
    Subd. 7. Recommendations to governor. It may survey and investigate the housing
conditions and needs, both urban and rural, throughout the state and make recommendations to
the governor as to legislation and other measures necessary or advisable to alleviate any existing
housing shortage in the state.
    Subd. 8. State Building Code. It may assist the commissioner of labor and industry in the
development, implementation and revision of the State Building Code.
    Subd. 9. Priority where State Building Code is adopted. It may establish such rules as may
be necessary to insure that priority for assistance by the agency will be given to projects located in
municipal jurisdictions or counties, which have adopted the uniform State Building Code.
    Subd. 9a. Promotion of economical construction. In the exercise of the powers granted to
it under this chapter, it shall promulgate rules as may be necessary to encourage counties and
municipalities to promote the economical construction of housing units for persons and families
of low and moderate income.
    Subd. 10. Human rights. It may establish and enforce such rules as may be necessary to
insure compliance with chapter 363A, and to insure that occupancy of housing assisted under
this chapter shall be open to all persons, and that contractors and subcontractors engaged in the
construction of such housing shall provide an equal opportunity for employment to all persons,
without discrimination as to race, color, creed, religion, national origin, sex, marital status, age,
and status with regard to public assistance or disability.
    Subd. 11. Cooperative relationships. It may establish cooperative relationships with
such regional county and multicounty housing authorities as may be established, including
the Metropolitan Council, and may develop priorities for the utilization of agency resources
and assistance within a region in cooperation with regional county and multicounty housing
    Subd. 12. Use of other agencies. It may delegate, use or employ any federal, state, regional
or local public or private agency or organization, including organizations of physically disabled
persons, upon terms it deems necessary or desirable, to assist in the exercise of any of the powers
granted by this chapter and to carry out the objectives of this chapter and may pay for the services
from the housing development fund.
    Subd. 13. Federal assistance. It may engage or assist in the development and operation of
low-income housing if the federal government provides assistance in connection with the housing
and the development and operation is in conformity with the applicable provisions of federal laws
and regulations. The agency shall determine whether the applicable federal laws governing use
of such funds permit a portion thereof to be used for residential housing for American Indians
within the state.
    Subd. 14. American Indians. (a) It may engage in housing programs for low- and
moderate-income American Indians developed and administered separately or in combination
by the Minnesota Chippewa tribe, the Red Lake band of Chippewa Indians, and the Sioux
communities as determined by such tribe, band, or communities. In furtherance of the policy of
economic integration stated in section 462A.02, subdivision 6, it may engage in housing programs
for American Indians who intend to reside on reservations and who are not persons of low and
moderate income, provided that the aggregate dollar amount of the loans for persons who are
not of low- or moderate-income closed in each lender's fiscal year shall not exceed an amount
equal to 25 percent of the total dollar amount of all loans closed by that lender during the same
fiscal year. In developing such housing programs, the tribe, band, or communities shall take
into account the housing needs of all American Indians residing both on and off reservations
within the state. A plan for each such program, which specifically describes the program content,
utilization of funds, administration, operation, implementation and other matter, as determined by
the agency, must be submitted to the agency for its review and approval prior to the making of
eligible loans pursuant to section 462A.21. All such programs must conform to rules promulgated
by the agency concerning program administration, including but not limited to rules concerning
costs of administration; the quality of housing; interest rates, fees, and charges in connection with
making eligible loans; and other matters determined by the agency to be necessary in order to
effectuate the purposes of this subdivision and section 462A.21, subdivisions 4b and 4c. All such
programs must provide for a reasonable balance in the distribution of funds appropriated for the
purpose of this section between American Indians residing on and off reservations within the
state. Nothing in this section shall preclude such tribe, band, or communities from requesting and
receiving cooperation, advice, and assistance from the agency as regards program development,
operation, delivery, financing, or administration. As a condition to the making of such eligible
loans, the Minnesota Chippewa tribe, the Red Lake band of Chippewa Indians, and the Sioux
communities shall:
(1) enter into a loan agreement and other contractual arrangements with the agency for the
purpose of transferring the allocated portion of loan funds and to insure compliance with the
provisions of this section and this chapter; and
(2) agree that all of their official books and records related to such housing programs shall
be subjected to audit by the legislative auditor in the manner prescribed for agencies of state
The agency shall submit a biennial report concerning the various housing programs for
American Indians, and related receipts and expenditures as provided in section 462A.22,
subdivision 9
, and such tribe, band, or communities to the extent that they administer such
programs, shall be responsible for any costs and expenses related to such administration provided,
however, they shall be eligible for payment for costs, expenses, and services pursuant to
subdivision 12 and section 462A.21. The agency may provide or cause to be provided essential
general technical services as set forth in subdivision 2, and general consultative project assistance
services, including, but not limited to, management training, and home ownership counseling
as set forth in subdivision 3. Members of boards, committees, or other governing bodies of the
tribe, band, and communities administering the programs authorized by this subdivision must be
compensated for those services as provided in section 15.0575.
(b) The agency may engage in demonstration projects to encourage the participation of
financial institutions or other leveraging sources in providing housing opportunities for American
Indians. The agency shall consult with the Minnesota Chippewa tribe, the Red Lake band of
Chippewa Indians, and the Sioux communities in developing the demonstration projects. The
income limits specified in paragraph (a) do not apply to the demonstration projects.
(c) The agency may make home improvement loans under this subdivision without regard
to household income.
    Subd. 15. Urban Indian housing program. It may engage in housing programs for low and
moderate income American Indians residing in the metropolitan area defined in section 473.121,
subdivision 2
, cities with a population greater than 50,000 persons, and cities with an American
Indian population greater than 1,000 persons. The programs shall demonstrate innovative
methods of providing housing for urban Indians, may involve the construction, purchase, and
rehabilitation of residential housing, and may be administered through any other provision of
this chapter. To the extent possible, the programs shall combine appropriated money with other
money from both public and private sources, except that interest earned on the portion of an
appropriation to be expended for Indian housing programs in the city of Duluth does not have
to be combined with money from other sources. Effective June 30, 1985, all money allocated
by the agency under this subdivision to programs for urban Indian housing that are not subject
to active contracts shall be reallocated by the agency to programs to fulfill the purposes of
this subdivision. Members of boards, committees, or other governing bodies of organizations
administering the urban Indian programs authorized by this subdivision must be compensated
for those services as provided in section 15.0575. The agency shall consult with the Advisory
Council on Urban Indians created pursuant to section 3.922, subdivision 8, in the development of
programs pursuant to this subdivision.
    Subd. 16. Cooperation with municipal programs. It may establish cooperative
relationships with municipal housing and redevelopment authorities and municipalities to develop
priorities for the use of agency resources and assistance within municipalities, and to consider
municipal housing plans and programs in the process of setting the priorities.
History: 1971 c 702 s 7; 1973 c 515 s 22; 1974 c 441 s 12-16; 1976 c 254 s 7-9; 1977 c 401
s 10-12; 1978 c 670 s 1; 1979 c 243 s 7-9; 1979 c 327 s 5; 1981 c 306 s 9; 1982 c 424 s 130; 1983
c 201 s 1; 1984 c 654 art 2 s 130; 1985 c 248 s 70; 1Sp1985 c 13 s 339,340; 1988 c 542 s 4,5;
1989 c 270 s 11,12; 1993 c 236 s 3,4; 1994 c 586 s 4; 1996 c 298 s 3; 1996 c 305 art 1 s 99; art 2
s 62; 1997 c 7 art 2 s 55; 1Sp2001 c 4 art 4 s 14,15; 2005 c 56 s 1; 2007 c 140 art 12 s 15

Official Publication of the State of Minnesota
Revisor of Statutes