Purpose of the Bill

The bill aims to allocate funds for the construction of affordable workforce housing in St. Cloud, Minnesota. It addresses the need for safe, modern, and affordable housing specifically targeted at low- and middle-income families who are frontline workers.

Main Provisions

• Funding Allocation: The bill proposes a one-time appropriation of $5,000,000 from the general fund for the fiscal year 2026. The funds are designated for the Center for African Immigrants and Refugees Organization (CAIRO) to build 70 units of workforce housing within the Iskufilan Village development.

• Housing Allocation:

  • At least 10% of the residential units must be reserved for affordable housing, defined as rental units for households earning at or below 60% of the area median income.
  • The remaining units will be for middle-income families, those earning between 60% and 120% of the area median income.

• Project Oversight:

  • CAIRO is responsible for planning and overseeing the construction of the project, ensuring it meets local and state workforce housing requirements.
  • The organization is tasked with prioritizing energy-efficient and family-friendly designs, offering two to four-bedroom units suitable for workforce families.

• Compliance and Reporting:

  • The Minnesota Housing Finance Agency will oversee funding and ensure the project complies with affordability guidelines for workforce housing.
  • CAIRO must report to the commissioner of the Housing Finance Agency on the compliance of the project’s housing requirements once occupancy reaches 90%.

Significant Changes to Existing Law

The bill introduces specific provisions for a targeted housing project in St. Cloud, setting financial and operational guidelines that prioritize affordable housing for low- and middle-income frontline workers. It mandates the provision of energy-efficient family housing to accommodate this workforce.

Relevant Terms

Iskufilan Village, workforce housing, affordable housing, low-income families, middle-income households, CAIRO, Minnesota Housing Finance Agency, energy-efficient homes, frontline workers, area median income.