SF2579

Purpose

The bill moves money to support a homeownership education and financial counseling program run by CAPI USA. It uses a two-step process: first, it transfers funds from Minnesota’s General Fund to the Housing Development Fund; then it provides a one-time grant from the Housing Development Fund to the Housing Finance Agency to pay CAPI USA for administering the homeownership education and financial counseling program.

Main Provisions

• Transfer of funds: In fiscal years 2026 and 2027, $200,000 each year is transferred from the General Fund to the Housing Development Fund. This is a one-time transfer.
• Grant for CAPI USA program: In fiscal years 2026 and 2027, $200,000 each year is appropriated from the Housing Development Fund to the Commissioner of the Housing Finance Agency to provide a grant to CAPI USA. The grant is to administer the CAPI USA homeownership education and financial counseling programming. This is a one-time appropriation.

Significance and Potential Impact

• Provides targeted funding to support homeownership readiness, education, and financial counseling for individuals seeking to buy homes.
• Uses the Housing Development Fund as the source of funding and designates CAPI USA as the administrator of the program.

Notable Changes to Existing Law

• Introduces a one-time transition of funds from the General Fund to the Housing Development Fund for this purpose.
• Establishes a one-time appropriation from the Housing Development Fund to fund a grant to CAPI USA for homeownership education and financial counseling.

Implementation/Administration (Summary)

• The Housing Finance Agency would administer the grant to CAPI USA for the specified program.
• The funding is explicitly labeled as a one-time transfer and a one-time appropriation.

Relevant Terms - General Fund - Housing Development Fund - Housing Finance Agency - CAPI USA - homeownership education - financial counseling - grant - one-time transfer - one-time appropriation