Welcome to the second week of the 2025-26 legislative session! While the Senate has been business as usual, the House continues to disagree about how to move forward. Attorneys from both House caucuses went before the Minnesota Supreme Court yesterday as the court considers how many Representatives are needed to satisfy the requirement for a quorum. The court has indicated that a ruling will come quickly, and everyone is looking forward to the House moving forward in some fashion in the near (?) future.

GMNP Update - January 24, 2025

 
GMNP Update: A Newsletter for Members of the GMNP
 

GMNP UPDATE - 1/24/25

 

Dear GMNP Members,

 

Welcome to the second week of the 2025-26 legislative session! While the Senate has been business as usual, the House continues to disagree about how to move forward. Attorneys from both House caucuses went before the Minnesota Supreme Court yesterday as the court considers how many Representatives are needed to satisfy the requirement for a quorum. The court has indicated that a ruling will come quickly, and everyone is looking forward to the House moving forward in some fashion in the near (?) future.

 

If you have questions or want to discuss anything further, I encourage you to reach out at darielle@gmnp.org or (651) 295-1908.

 

Best,

 

Darielle Dannen

Executive Director, Greater Minnesota Partnership

 

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SIGNIFICANT HAPPENINGS THIS WEEK

Governor's Capital Budget Recommendations

The Governor and Lt. Governor released their bonding recommendations yesterday. In the DEED portion of the capital investment budget, they made the following suggestions:

  • Greater Minnesota Business Development Public Infrastructure (BDPI) - $2.7 million

  • Transportation Economic Development Infrastructure (TEDI) - $1.8 million

You can review details about the above recommendations here.    

On Wednesday, GMNP Executive Director Darielle Dannen testified to the House Housing Committee regarding the housing challenges that Greater Minnesota communities face and the solutions the GMNP is recommending. Darielle emphasized that Greater Minnesota's biggest challenge is the mismatch between what it costs to build a housing unit and the price at which it can be sold or rented - in other words, a market failure. She also flagged some of the challenges of using state and federal housing programs in Greater Minnesota and the mismatch between current housing and community needs, particularly related to senior housing. And while there were significant investments in housing in 2023, many of the programs that directly benefit GMNP members have not yet been rolled out.

 

Darielle urged legislators to work with communities in Greater Minnesota to address the challenges they're facing, rather than spending time and resources on proposals that will do nothing. Finally, she encouraged lawmakers to invest in the Workforce Housing Development program and the Greater Minnesota Housing Infrastructure Grant Program, as well as implementing policy changes to both the State Housing Tax Credit and TIF that would help those programs work better for Greater Minnesota.

 

SIGNIFICANT UPCOMING HEARINGS

Note - because the House is unofficially organized, any posted House hearings are unofficial. At this time, agencies will not be attending House committee hearings, participating in any official House business, or completing fiscal notes.

 

Monday, January 27

  • Senate Committee on Jobs and Economic Development – State Demographer presentation, DEED overview presentation

Additional hearings will be posted throughout the week. Circumstances may change depending on the situation in the House.

 

Click here for the combined legislative calendar, which includes committee materials and livestream links. Many hearings can also be found on YouTube. 

 

KEY BILL INTRODUCTIONS

  • HF203/SF227 (Olson/Draheim) - Tax-stressed cities demolition grant program - $2.246M FY26-27 each  
  • SF582 (Jasinski) - BDPI bill $2.5M in FY26-27 each from the General Fund 
  • SF584 (Jasinski) - BDPI bill $20M from GO bonds 
  • SF585 (Kupec) - Adjusting TIF requirements in GM for housing; for GM moves 5 year districts to 10 and removes income restrictions 

Click here to search for bills, see a complete list of bill introductions, and view bill summaries.

 

KEY DATES/COMMITTEE DEADLINES

With House leadership still unresolved, committee deadlines and legislative breaks have not yet been determined. We'll share those dates as soon as we know them!

 

OTHER ITEMS OF NOTE

Minnesota jobs and labor force grow again in December

DEED announced today that Minnesota employers added more than 4,000 jobs and the state's workforce grew by 3,300 jobseekers in December. The state unemployment rate decreased very slightly to 3.3%, and the labor force participation rate remained steady. Read the full press release on the DEED website.

 

Upcoming deadlines for 2025 Housing Tax Credit Round 2

Minnesota Housing is currently accepting applications for 2025 Housing Tax Credit Round 2, as well as the HUD Section 811 Project-Based Rental Assistance Program. 

 

Important Dates: 

  • Thursday, January 30, 2025: pre-applications for HUD Section 811 PRA are due via the Multifamily Customer Portal by noon Central Time. 

  • Thursday, May 22, 2025: projects are expected to be recommended for selection at the Minnesota Housing board meeting. 

Refer to the Application Materials webpage for details on how to apply. Policy and guidance documents, including the Multifamily Request for Proposals (RFP) Standards, can be found under the Application Resources section of the Multifamily Consolidated Request for Proposals/Housing Tax Credits Funding Rounds webpage. 

 

QUESTIONS?

If you have questions or want to discuss anything further, please feel free to reach out at darielle@gmnp.org or (651) 295-1908.

 

UPCOMING EVENTS & ACTIVITIES

CGMC Legislative Action Day - February 12, 2025

GMNP members are invited to join the Coalition of Greater Minnesota Cities for their annual Legislative Action Day in St. Paul. Visit the CGMC website for more information and registration.

 
 

The Greater Minnesota Partnership advocates for public policies and investments that stimulate prosperity throughout Greater Minnesota.

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St. Paul, MN 55103

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