SF2264

This bill, S.F. No. 2264, proposes an amendment to Minnesota Statutes 2024, section 477A.013, to allocate a portion of local government aid (LGA) for cities to improve housing built before 1940. The key provisions of the bill include:

• Requiring cities receiving LGA under subdivision 9 to dedicate a portion of their city formula aid to urban renewal projects specifically targeting pre-1940 housing.
• The allocated amount is determined by multiplying the city's pre-1940 housing percentage (as defined in section 477A.011, subdivision 30) by its total formula aid.
• The funds may be used for updating utilities, infrastructure, wiring, plumbing, insulation, heating, cooling, or efficiency systems.
• Cities can distribute the funds directly for these purposes or offer grants or low-interest loans to property owners to complete the improvements.
• If the calculated allocation is less than $100, no funds are required to be dedicated.
• This dedicated aid is in addition to any other grants, fees, or resources designated for housing programs.

The bill ensures that a portion of local government aid is targeted toward preserving and improving older housing stock, promoting urban renewal efforts, and enhancing housing efficiency and safety.