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HF3956

Employers that offer employees a monetary parking benefit required to offer equivalent benefits for other modes of transit.
Legislative Session 94 (2025-2026)

Related bill: SF4376

AI Generated Summary

Purpose

Set up transportation benefit parity by requiring employers who offer a monetary parking benefit to provide an equivalent transit benefit of the same monetary value. The goal is to encourage using transit instead of driving a personal vehicle.

Main Provisions

  • If an employer provides a monetary parking benefit to an employee, the employer must offer the employee the option to receive, in lieu of the monetary parking benefit, a benefit of equal monetary value for using transit modes other than driving a personal vehicle.
  • This new requirement is codified as Minnesota Statutes, chapter 181, section 181.745, titled the Transportation Benefit Parity Requirement.
  • The commissioner of labor and industry is responsible for enforcing this section.

Enforcement and Compliance

  • The commissioner of labor and industry must enforce the transportation benefit parity requirement.
  • The excerpt does not specify penalties or detailed enforcement procedures beyond the mandate to enforce.

Legislative Context and Scope

  • The measure proposes coding a new law in Minnesota Statutes chapter 181.
  • The focus is on employers that provide a monetary parking benefit and the corresponding transit benefit option for employees; it applies to employees who currently receive parking subsidies.

Summary of Impact

  • Economic: Employers may need to adjust employee benefits to include an equivalent transit option with the same value as any parking subsidy.
  • Behavioral: Aims to shift some commuting from private vehicles to transit by aligning benefits.
  • Administrative: Introduces a state-level enforcement role to ensure compliance.

Relevant Terms - monetary parking benefit - equal monetary value - modes of transit other than driving a personal vehicle - Transportation Benefit Parity Requirement - Minnesota Statutes chapter 181 - 181.745 - commissioner of labor and industry - enforce this section - employer - employee

Bill text versions

Actions

DateChamberWhereTypeNameCommittee Name
March 05, 2026HouseActionIntroduction and first reading, referred toWorkforce, Labor, and Economic Development Finance and Policy
March 09, 2026HouseActionAuthor added
April 16, 2026HouseActionAuthor added

Citations

 
[
  {
    "analysis": {
      "added": [
        "A new requirement that employers offering monetary parking benefits provide an in-lieu transit benefit of equal monetary value."
      ],
      "removed": [],
      "summary": "This bill adds a transportation benefit parity requirement under Minn. Stat. 181.745, requiring employers who provide a monetary parking benefit to offer an equivalent monetary-value transit benefit to employees.",
      "modified": [
        "Adds enforcement language by the commissioner of labor and industry for this section."
      ]
    },
    "citation": "181.745",
    "subdivision": "a"
  },
  {
    "analysis": {
      "added": [],
      "removed": [],
      "summary": "This subsection requires enforcement by the commissioner of labor and industry for the transportation benefit parity requirement.",
      "modified": [
        "Adds enforcement mechanism and authority to administer and enforce the transportation benefit parity provision."
      ]
    },
    "citation": "181.745",
    "subdivision": "b"
  }
]

Progress through the legislative process

17%
In Committee

Sponsors

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