SF 5278 Minnesota Senate · 2025-2026 Regular Session

Covered employers providing commuter benefits to covered employees requirement provision

This bill requires large employers in major Minnesota cities to offer tax-free commuter benefits to full-time workers who live near public transit. Specifically, companies with 50 or more employees within one mile of a regular transit route must provide a pretax benefit allowing workers to pay for transit passes through payroll deductions. The law also permits employers to offer additional subsidies for walking, biking, or carpooling and mandates that transit authorities create a map to help identify which businesses are covered. Employers can negotiate to waive this requirement through a collective bargaining agreement, and the rules do not interfere with existing union contracts.
Bill status in committee 1 of 4 stages cleared
Introduction
May 2026
Committee Review
Floor Vote
Governor
Introduced May 11, 2026 Last action May 12, 2026
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Total actions
3
Key actions
0
Committee
1
May 11, 2026
Committee
Referred to Labor
upper
May 11, 2026
Introduced
Introduction and first reading
upper
1 primary · 2 co-sponsors

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