2007 Minnesota Statutes

473.255 INCLUSIONARY HOUSING ACCOUNT.
    Subdivision 1. Definitions. (a) "Inclusionary housing development" means a new
construction development, including owner-occupied or rental housing, or a combination of
both, with a variety of prices and designs which serve families with a range of incomes and
housing needs.
(b) "Municipality" means a statutory or home rule charter city or town participating in the
local housing incentives program under section 473.254.
(c) "Development authority" means a housing and redevelopment authority, economic
development authority, or port authority.
    Subd. 2. Application criteria. The Metropolitan Council must give preference to
economically viable proposals to the degree that they: (1) use innovative building techniques or
materials to lower construction costs while maintaining high quality construction and livability;
(2) are located in communities that have demonstrated a willingness to waive local restrictions
which otherwise would increase costs of construction; and (3) include units affordable to
households with incomes at or below 80 percent of area median income.
Priority shall be given to proposals where at least 15 percent of the owner-occupied units
are affordable to households at or below 60 percent of the area annual median income and at
least ten percent of the rental units are affordable to households at or below 30 percent of area
annual median income.
An inclusionary housing development may include resale limitations on its affordable units.
The limitations may include a minimum ownership period before a purchaser may profit on the
sale of an affordable unit.
Cost savings from regulatory incentives must be reflected in the sale of all residences in an
inclusionary development.
    Subd. 3. Inclusionary housing incentives. The Metropolitan Council may work with
municipalities and developers to provide incentives to inclusionary housing developments such
as waiver of service availability charges and other regulatory incentives that would result in
identifiable cost avoidance or reductions for an inclusionary housing development.
    Subd. 4. Inclusionary housing grants. The council shall use funds in the inclusionary
housing account to make grants or loans to municipalities or development authorities to fund the
production of inclusionary housing developments that are located in municipalities that offer
incentives to assist in the production of inclusionary housing. Such incentives include but are not
limited to: density bonuses, reduced setbacks and parking requirements, decreased roadwidths,
flexibility in site development standards and zoning code requirements, waiver of permit or
impact fees, fast-track permitting and approvals, or any other regulatory incentives that would
result in identifiable cost avoidance or reductions that contribute to the economic feasibility of
inclusionary housing.
    Subd. 5. Grant application. A grant application must at a minimum include the location of
the inclusionary development, the type of housing to be produced, the number of affordable units
to be produced, the monthly rent, or purchase price of the affordable units, and the incentives
provided by the municipality to achieve development of the affordable units.
History: 1999 c 223 art 2 s 58; 2002 c 246 s 4,5