HF 2309 Minnesota House · 2025-2026 Regular Session

Housing policy bill.

HF 2309 amends Minnesota's housing statutes to expand access to rental assistance and housing aid. It removes funding restrictions for workforce housing projects, clarifies eligible uses for housing aid funds, and expands eligibility for rental assistance programs to include more low-income households. The bill modifies rules about who can receive funding (removing certain disqualification criteria for individuals and businesses) and requires program administrators to prioritize households with children and incomes up to 30% of area median income. These changes directly affect low-income renters, housing providers, and local housing programs administering state and federal housing assistance.

Bill status passed 3 of 5 stages cleared

Introduction

Mar 2025

Committee Review

Apr 2025

House Passage

Apr 2025

Senate Passage

Governor

Introduced Mar 13, 2025 Last action Apr 30, 2025

Maddy AI version diff · 2 comparisons

What changed between versions

1st Engrossment → 2nd Engrossment · 5 edits · Apr 30, 2025

MODERATE

The bill was renumbered from the 1st to the 2nd Engrossment, and several substantive policy changes were made to housing assistance programs. Key updates include clarifying income recertification rules for rent assistance, adding exemptions for nonprofit volunteers in eligibility disqualifications, extending the timeline for using certain grant funds from eight to five years, and deleting an entire section regarding regional housing trust funds.

Scope change

The bill's scope was narrowed by removing a section related to regional housing trust funds, while other sections were renumbered to reflect the new version of the bill.

DEFINITION

Clarified that income for rent assistance eligibility must be recertified annually to determine the amount of assistance provided.

ELIGIBILITY

Added an exemption stating that individuals serving as volunteer board members of nonprofit organizations are not considered 'officers or principals' for the purpose of disqualifying them from receiving housing grants.

TIMELINE

Reduced the required timeframe for using certain housing grant funds from eight years to five years after receipt.

SCOPE

Deleted a section that defined and regulated regional housing trust funds established by joint powers agreements.

TECHNICAL

Reordered and renumbered sections throughout the bill, shifting the legislative text from the 1st Engrossment to the 2nd Engrossment format.

Introduction → 1st Engrossment · 10 edits · Apr 10, 2025

MAJOR

This bill significantly expands the Minnesota Housing Finance Agency's ability to fund and manage housing projects by adding new categories for workforce housing, adaptive reuse, and senior housing. It also creates a new legal mechanism allowing housing authorities to form public corporations to own and operate properties under the federal Rental Assistance Demonstration (RAD) program, ensuring these assets remain affordable. The changes include updated definitions, new funding priorities, and a new chapter authorizing these public corporations.

Scope change

The bill's scope expanded from general housing and sprinkler system modifications to include specific authorization for public corporations to manage RAD properties and new funding categories for workforce and senior housing.

FISCAL

Added 'adaptive reuse' to the list of allowable uses for housing infrastructure bonds, allowing funding for converting existing buildings into affordable housing.

Added a new funding priority for senior housing projects that demonstrate a commitment to maintaining affordability and leverage other funding sources like low-income housing tax credits.

ELIGIBILITY

Established new priority criteria for permanent supportive housing, giving preference to projects serving veterans and individuals who have been homeless for at least 12 months or four times in three years.

DEFINITION

Created a new definition for 'local government' to explicitly include housing and redevelopment authorities and counties.

Added a new chapter defining the powers, structure, and governance of public corporations created for the RAD program.

SCOPE

Added a new article authorizing housing and redevelopment authorities to create public corporations to purchase, own, and operate real property converted through the federal RAD program.

REQUIREMENT

Added specific requirements for new multi-unit constructions to include a percentage of accessible units and sensory-accessible units (e.g., soundproofing, low-chemical materials).

Added an exemption to the income limit requirement for projects that meet specific criteria under section 462A.39, subdivision 4, paragraph (a).

TIMELINE

Changed the required timeframe for using certain housing trust fund grants from eight years to five years.

Set an effective date of July 1, 2025, for the new sections regarding public corporations and RAD properties.

Floor votes · House Apr 29, 2025

How they voted

108–22

Passed

Total votes 130

Apr 29, 2025

D Democratic64

64 Yea

100% Yea

R Republican66

44 Yea 22 Nay

66% Yea

Vote distribution

All Yea All Nay Mixed No data

Full legislative history

Actions timeline

Total actions

Key actions

Committee

Amendments

Apr 30, 2025

Committee

Referred to State and Local Government

upper

Apr 30, 2025

Introduced

Introduction and first reading

upper

Apr 30, 2025

Introduced

Received from House

upper

Apr 29, 2025

Lower · Passed

Bill was passed as amended

lower

Apr 29, 2025

Lower · Passed

Amended

lower

Apr 10, 2025

Lower · Passed

Committee report, to adopt as amended

lower

Mar 13, 2025

Introduced

Introduction and first reading, referred to Housing Finance and Policy

lower

1 primary · 2 co-sponsors