Metro Cities News 2/3/23

 

In This Issue:

 

Metro Cities’ Inflow-Infiltration Bill Introduced

Legislation for a $10 million capital appropriation for inflow-infiltration mitigation assistance for metropolitan cities was introduced this week, HF 1156-Carroll and SF 840-Klein. The bill provides funds for metropolitan cities that have excess levels of inflow-infiltration, or that are on the excess level threshold. Metro Cities has secured appropriations in previous capital investment bills, and this is a legislative priority for the association this year. Stay tuned for additional information. Questions? Please contact Patricia Nauman at 651-215-4002 or [email protected]

 

Bill Restricting Corporate Purchases of Single-Family Homes Receives Hearing

On Tuesday, the House Housing Committee heard HF 685 (Agbaje - Minneapolis) that would restrict corporate entities from purchasing and converting single-family homes into rental property units. A recent updated article from the Minneapolis Federal Reserve analyzes the effects of corporate buying on communities, and finds that the share of single-family rentals has peaked in the core cities and is beginning to grow in suburban cities. Metro Cities is closely monitoring this issue and expects ongoing discussions at the Capitol.

Thank you to all who responded to our recent informal survey on this issue. If you have any questions, please contact Ania McDonnell at [email protected].

 

Bill to Modify Property Tax Relief Program Heard

On Thursday, the Senate Taxes Committee heard SF 272-Klein that would modify the state’s targeted property tax refund program by reducing the annual required threshold increase in property taxes, from 10% to 12%, to qualify for the refund, and increases the maximum refund from $1,000 to $2,000. To qualify, a homeowner’s property tax must increase by 12% over the previous year by an increase of at least $100. Metro Cities policies support state property tax relief programs and provided testimony in support of the bill on Thursday. The bill was laid over. Questions? Contact Patricia Nauman at 651-215-4002 or [email protected]

 

IIJA Matching Funds Passed by Senate and House

HF 26 – Koegel/SF 24 - Dibble has passed unanimously in both the House and Senate. The bill authorizes MnDOT to use $315.5 million the agency received from the Infrastructure Investment and Jobs Act (IIJA). Future authorizations, additional state appropriations for match requirements, and funding for local matches and technical assistance are expected in the weeks to come this legislative session. The Governor’s budget recommendation includes $358 million in general fund dollars for MnDOT to provide the required state match for IIJA funds flowing to Minnesota to be used on the trunk highway system. The recommendation also includes $364 million for non-trunk highway purposes including $100 million for local governments, and $66 million per year for EV charging infrastructure, Greater MN Transit, small cities, and more. Finally, the recommendation includes $50 million in trunk highway bonds for the state to have additional matching funds for federal grants.

Contact Mike Lund at [email protected] or 651-215-4003 with any questions.


Cannabis Heard in State and Local Government Committee

HF 100 – Stephenson, the bill legalizing the sale and use of cannabis in Minnesota, was considered by several committees in the House this week, including the State and Local Government committee. In the current draft of the bill, Article 1, Section 13 strips the ability of cities to provide local oversight and regulation on the sale of cannabis. Metro Cities submitted written testimony outlining support for the authority of cities to issue local licenses for adult-use cannabis retailers and the ability for cities to opt out of authorizing the sale of products in their local jurisdiction. There is also a need for some sort of revenue sharing given the increased public safety and city service costs that are expected following adult-use cannabis legalization.

At Tuesday’s State and Local Government hearing there were several local control amendments offered, but none were adopted. Some amendments would have allowed local jurisdictions to hold a referendum to decide whether cannabis is able to be sold, possessed, or used in that jurisdiction. Another would have allowed cities to opt-out of hosting cannabis events. An additional amendment established a local license fee of up to $2,000. Despite rejecting amendments, Rep. Stephenson reiterated his commitment to working with local governments to address concerns with the bill in its current form. Metro Cities has provided written testimony to committees to express support for local licensing authority and will continue to closely monitor the legislation.

The Senate companion, SF 73 – Port, was scheduled for a hearing in the State and Local Government Committee but was postponed. SF 73 is now scheduled for a hearing next week in the Agriculture Committee. Contact Mike Lund at [email protected] or 651-215-4003 with any questions.

 

Committees Hear Governor’s Housing Recommendations

This week, MN Housing Commissioner Jennifer Ho presented to housing committees in the Senate and House on the Governor’s Proposed Housing Budget. Here is a link to the Governor’s recommendations for Minnesota Housing Finance Agency programs. The Governor’s Housing budget proposes 842 million in new funding for housing for the 2024-2025 biennium, and an additional $157 million in 2026-2027. Commissioner Ho suggested that cities should begin to prepare applications for grant and loan programs with an expectation of funding increases in the next few years, with the goal of being able to approve more applications.

 

2022 Regional Solicitation Survey

Metropolitan Council Staff provided a Regional Solicitation Update for the Technical Advisory Committee (TAC) at their monthly meeting on Wednesday. Before looking ahead to future solicitations, staff discussed the results from their 2022 Regional Solicitation Survey, where participants were asked mostly open-ended questions about the solicitation process. Respondents include TAB and TAC members, scorers, and solicitation applicants. Survey questions were tailored to each group. Transportation Advisory Board members were asked about policy and process, TAC members were asked about criteria and measures, and scorers answered questions about the application scoring process. Applicants were asked to reflect on the experience of applying, the available training, and other elements of the application process.

Survey results yielded a variety of themes, many of which are specific to one group of respondents. Some themes that were new this year include a desire for more updates to the TAB as solicitation funding scenarios are developed by staff, more emphasis on safety, and requests to better incorporate the impacts of climate change into the scoring process. Click HERE to view the 2022 Regional Solicitation Survey Results. Click HERE to view Metropolitan Council staff’s presentation materials, which cover the survey and look ahead to the 2024 Regional Solicitation.

Contact Mike Lund at [email protected] or 651-215-4003 with any questions.


Bills of Note

HF 969, Scott/SF 956, Lucero: Bill creates general data audit trail requirements for non-public data.

HF 971, Fischer: Bill appropriates money to Minnesota Housing for housing discrimination testing.

HF 978, Davids: Bill modifies the economic development district limitation for TIF districts.

HF 983, Jacob: Bill establishes a system for provisional balloting.

HF 1000, Brand/SF 834, Morrison: Bill prohibits PFAS in certain products.

HF 1012, Petersburg/SF 795, Jasinski: Bill allocates 100% of the auto parts sales tax to transportation, 84% is transferred to the HUTDF and 8% is transferred into the small cities assistance account.

HF 1015, Robbins/SF 948, Limmer: Bill appropriates $25 million in 2024-2025 to the small cities assistance program.

HF 1048, Feist/SF 872, Dibble: Bill appropriates over $20 million for youth intervention programs.

HF 1053, Quam: Bill requires voters who register on election day to cast provisional ballots.

HF 1074, Brand: Bill appropriates money to the Minnesota Initiative Foundations.

HF 1078, Johnson/SF 1198, Limmer: Bill establishes a $15 million body camera grant program.

HF 1079, Johnson/SF 907, Coleman: Bill establishes the crime of fleeing in a motor vehicle and failing to obey traffic laws.

HF 1080, Sencer-Mura: Bill appropriates money to a nonprofit infrastructure grant program for small, culturally specific organizations that primarily serve historically underserved cultural communities.

HF 1092, Nash/SF 583, Coleman: Bill modifies the crime of fleeing a peace officer in a motor vehicle to add a heightened penalty.

HF 1094, Agbaje: Bill provides tenants with a right to repair violations in a residential rental unit.

HF 1098, Jordan: Bill provides funding to assist individuals with disabilities with employment.

HF 1103, Stephenson: Bill establishes a local public safety aid program ($9 million annually) to ensure that first responders are receiving mental health care.

HF 1110, Jordan/SF 1001, Morrison: Bill appropriates $80 million to the Metropolitan Council for the regional parks system.

HF 1123, Sencer-Mura: Bill authorizes art and advertisements on micromobility facilities in the right of way if the local road authority issues the necessary permit.

HF 1132, Lee: Bill requires the withholding of certain grant funds for capital projects before receipt of an approval of compliance with sustainable building guidelines.

HF 1150, Hansen: Bill prohibits the registration of pesticides containing PFAS/PFOS.

HF 1162, Hassan: Bill creates and funds an emerging developer program for developers who have limited access to loans and is a minority or other disadvantaged person.

HF 1183, Elkins: Bill establishes a procedure for creating municipal street improvement districts.

HF 1213, Acomb/SF 1086, Cwodzinski: Bill repeals the political subdivision compensation limit.

HF 1214, Hussein: Bill provides money for a grant program for services to renters and property owners in low-income and underrepresented communities.

HF 1215, Agbaje: Bill creates a Minnesota housing mediation grant program for dispute resolution programs to reduce negative consequences to renters, rental property owners, and others.

HF 1218, Wolgamott: Bill authorizes the issue of appropriation bonds for shelter facilities for the homeless.

HF 1219, Kozlowkski: Bill provides money to the Minnesota Housing Finance Agency for homeownership education and counseling.

HF 1235, Curran/SF 918, Gustafson: Bill increases vehicle registration fees.

HF 1236, Koegel/SF 607, Hawj: Bill creates a getting to work grant program for repairing motor vehicles.

HF 1241, Baker: Bill provides funding for the creation of an online hospitality training program.

HF 1255, Hussein: Bill creates a state rental assistance program for low-income, cost-burdened households.

SF 912, Morrison/HF 677, Elkins: Bill contains a number of active transportation related provisions including $20 million for safe routes to school and $50 million for active transportation.

SF 967, Oumou Verbeten/HF 973, Pinto: Bill establishes a licensure system for massage therapy.

SF 970, Rasmusson: Bill requires a photo ID to vote, establishes a provisional balloting system, along with other election related provisions.

SF 977, Housely/HF 575, Daudt: Bill repeals the prohibition on municipality issuing more than one off-sale liquor license to any one person or place.

SF 989, Boldon: Bill maximizes the amount of grant or deferred loans that can go towards a rental housing development project cost and provides additional funding for the workforce housing program.

SF 990, Boldon/HF 913, Bahner: Bill provides a system of automatic voter registration.

SF 993, Boldon/HF 813, Hicks: Bill establishes home and community-based workforce incentive fund grants.

SF 1005, Draheim/HF 830, Olson, B.: Bill creates a tax-stressed cities demolition grant program.

SF 1013, Maye Quade/HF 482, Huot: Bill provides funding to DEED for grants to Minnesota food relief organizations for infrastructure needs.

SF 1021, Dibble/HF 907, Wolgamott: Bill appropriates $150 million in bond proceeds for the Local Road Improvement Program and $200 million in bond proceeds for the Local Bridge Replacement Program.

SF 1049, Dibble: Bill authorizes the Metropolitan Council to issue administrative citations for transit fare evasion.

SF 1052, Dibble: Bill modifies the local housing incentive account program requirements, removes requirement for dollar-for-dollar match.

SF 1053, Port: Bill clarifies the authority of the Metropolitan Council to establish fare programs and passes.

SF 1054, Dibble: Bill authorizes the Metropolitan Council to compensate advisory committee and Parks and Open Space Commission members.

SF 1055, Dibble: Bill modifies the process for local officials to initiate expiration of property designated as agricultural preserves.

SF 1057, Dibble: Bill modifies the basis for determining operation and maintenance expenditures for the regional parks.

SF 1058, Dibble: Bill modifies the time period for review and assessment of metropolitan significance rules.

SF 1084, Champion: Bill creates an emerging developer fund program and provides funding

SF 1087, Cwodzinski: Bill appropriates $25 thousand to develop a curriculum for licensed therapists to gain skills to provide services to first responders.

SF 1091, Mohamed: Bill limits early renewals on certain rental leases, requires landlord to provide tenant with a notice of the option to inspect the rental unit at the beginning and end of tenancy.

SF 1093, Port/HF 743, Norris: Bill creates a variety of grant programs for municipal housing projects and initiatives, creates an excise tax on the sale of a residential property to a corporate entity, increases the maximum HRA levy, authorizes housing infrastructure bonds, among other housing policy changes and funding appropriated.

SF 1094, Port/HF 302, Howard: Bill authorizes additional housing infrastructure bonds, general obligation bonds for public housing. Changes policy language related to housing infrastructure bonds requirements.

SF 1132, Morrison: Bill authorizes MnDOT to establish a statewide electric vehicle infrastructure program.

SF 1146, Pratt: Bill authorizes municipalities to charge street impact fees.

SF 1199, Limmer/HF 929, Johnson: Bill appropriates $1 million for Pathways to Policing grants to local governments.

 

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