Plain English Breakdown
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SF4327 • 2026
Onetime emergency rental assistance aid for counties and Tribal governments establishments, claims administrator to return unused funds requirement provision, prior appropriation cancellation provision, temporary extended time period to correct delinquent rent provision, and appropriation
Onetime emergency rental assistance aid for counties and Tribal governments establishments, claims administrator to return unused funds requirement provision, prior appropriation cancellation provision, temporary extended time period to correct delinquent rent provision, and appropriation
Budget
Housing
Passed Legislature
This bill passed both chambers and reached final enrollment, even if later executive action is not shown here.
Bill History
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2026-03-11
House
Introduction and first reading
Official Summary Text
Onetime emergency rental assistance aid for counties and Tribal governments establishments, claims administrator to return unused funds requirement provision, prior appropriation cancellation provision, temporary extended time period to correct delinquent rent provision, and appropriation
Current Bill Text
Read the full stored bill text
A bill for an act relating to taxation; aids to local governments; establishing a onetime emergency rental assistance aid for counties and Tribal governments; requiring the claims administrator to return unused funds; canceling a prior appropriation; temporarily extending time period to correct delinquent rent; appropriating money; requiring a report. BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: Section 1. new text begin APPROPRIATION; EMERGENCY RENTAL ASSISTANCE AID. new text end new text begin Subdivision 1. new text end new text begin Definitions. new text end new text begin (a) For purposes of this section, the following terms have the meanings given. new text end new text begin (b) "Commissioner" means the commissioner of revenue. new text end new text begin (c) "Household" means all individuals who occupy a single detached dwelling unit or a single unit of a multiple dwelling unit as their primary residence. new text end new text begin (d) "Eligible household" means a household that: new text end new text begin (1) has a rent obligation for the household's primary residence at an address in Minnesota; new text end new text begin (2) has income at or below 200 percent of federal poverty guidelines; new text end new text begin (3) experienced financial hardship after August 31, 2025, including but not limited to loss of income or unemployment; and new text end new text begin (4) is at risk of experiencing housing instability or homelessness, including but not limited to risk of lease termination or eviction. new text end new text begin (e) "Emergency rental assistance" means direct financial support for any or all of the following rent obligations for an eligible household's primary residence: new text end new text begin (1) up to two months of prospective rent; new text end new text begin (2) rent arrears incurred after August 31, 2025; new text end new text begin (3) up to two months of prospective utility costs; new text end new text begin (4) utility arrears incurred after August 31, 2025; or new text end new text begin (5) fines and fees related to nonpayment of rent or utilities. new text end new text begin (f) "Median rent" means the most recent estimates of median gross rent made or conducted by the United States Bureau of the Census that are available as of the effective date of this section. For a federally recognized American Indian reservation or off-reservation trust land that does not have an estimate of median gross rent available for any of the preceding three years, median rent means the average of the most recent estimates of median gross rent made or conducted by the United States Bureau of the Census that are available as of the effective date of this section for the Minnesota counties in which the reservation or off-reservation trust land are physically located. new text end new text begin (g) "Tribal government" means any of the 11 federally recognized Indian Tribes located wholly or partially in Minnesota. new text end new text begin Subd. 2. new text end new text begin Distribution. new text end new text begin (a) The commissioner must calculate the amount of emergency rental assistance aid payable to each county and Tribal government under this section. new text end new text begin (b) Each county shall receive an amount of aid calculated using the county distribution formula under Minnesota Statutes, section 477A.30, subdivision 3; the population data and distribution factors used to certify aids payable in 2026 under Minnesota Statutes, section 477A.30; and the appropriation amount provided in subdivision 7 for aid to counties. new text end new text begin (c) Each Tribal government shall receive an equal share of the appropriation amount provided in subdivision 7 for aid to Tribal governments. new text end new text begin Subd. 3. new text end new text begin Use of proceeds; administration. new text end new text begin (a) Counties and Tribal governments must use aid received under this section for emergency rental assistance to eligible households. Emergency rental assistance under this section may be administered by the same entities allowed to administer family homeless prevention and assistance projects or programs under Minnesota Statutes, section 477A.30, subdivision 4, paragraph (a). new text end new text begin (b) Eligible households that include at least one minor must be prioritized in the distribution of emergency rental assistance under this section. new text end new text begin (c) Each eligible household may receive a total amount of emergency rental assistance under this section no greater than five times the median rent for the county or federally recognized American Indian reservation or off-reservation trust land where the household's primary residence is located. new text end new text begin (d) Counties and Tribal governments must spend aid received under this section by the last day of the fourth month following the month of the effective date of this section. Counties and Tribal governments must notify the commissioner of the amount of aid not spent by the deadline imposed under this paragraph and return that amount to the commissioner within three months of the spending deadline for cancellation to the general fund. The commissioner shall prescribe the form and manner of the notification and the return of unspent aid. new text end new text begin Subd. 4. new text end new text begin Data privacy. new text end new text begin Data on applicants or eligible households collected or created pursuant to this section is private data on individuals, as defined in Minnesota Statutes, section 13.02, subdivision 12, except the data may be disseminated to verify that an applicant is an eligible household. new text end new text begin Subd. 5. new text end new text begin Emergency rental assistance not income. new text end new text begin Notwithstanding any other law to the contrary to the extent permitted by federal law, emergency rental assistance distributed to eligible households under this section must not be considered income, assets, or personal property for purposes of determining or recertifying eligibility for state public assistance, including but not limited to: new text end new text begin (1) child care assistance programs under Minnesota Statutes, chapter 142E; new text end new text begin (2) food support under Minnesota Statutes, chapter 142F; new text end new text begin (3) the Minnesota family investment program and diversionary work program under Minnesota Statutes, chapter 142G; new text end new text begin (4) medical assistance under Minnesota Statutes, chapter 256B; new text end new text begin (5) general assistance and Minnesota supplemental aid under Minnesota Statutes, chapter 256D; new text end new text begin (6) housing support under Minnesota Statutes, chapter 256I; new text end new text begin (7) MinnesotaCare under Minnesota Statutes, chapter 256L; and new text end new text begin (8) economic assistance programs under Minnesota Statutes, chapter 256P. new text end new text begin Subd. 6. new text end new text begin Certification and payment. new text end new text begin No later than 15 days after the effective date of this section, the commissioner must: new text end new text begin (1) pay the emergency rental assistance aid calculated under subdivision 2 to each county and Tribal government; and new text end new text begin (2) certify the maximum amount of emergency rental assistance each eligible household may receive in each county and federally recognized American Indian reservation and off-reservation trust land under subdivision 3. new text end new text begin Subd. 7. new text end new text begin Appropriation. new text end new text begin (a) $40,000,000 in fiscal year 2026 is appropriated from the general fund to the commissioner of revenue for emergency rental assistance aid under this section. This is a onetime appropriation. new text end new text begin (b) Of the amount appropriated in paragraph (a), $35,200,000 is for aid to counties and $4,800,000 is for aid to Tribal governments. new text end new text begin (c) Notwithstanding Minnesota Statutes, section 16B.98, subdivision 14, the commissioner may not retain any portion of the amount appropriated in paragraph (a) for administrative costs of this section. new text end new text begin Subd. 8. new text end new text begin Report. new text end new text begin (a) Within three months of the spending deadline imposed under subdivision 3, each county and Tribal government that receives aid under this section must submit the following information to the commissioner in the form and manner prescribed by the commissioner for each entity that administers emergency rental assistance on behalf of the county or Tribal government: new text end new text begin (1) the total number of households to which emergency rental assistance was distributed; new text end new text begin (2) demographic characteristics of recipient households, including household size, income, and how many include at least one minor; new text end new text begin (3) the minimum, median, and maximum amounts of emergency rental assistance distributed per recipient household; and new text end new text begin (4) the number of households to which the maximum amount of emergency rental assistance allowed under subdivision 3 was distributed. new text end new text begin (b) Within five months of the spending deadline imposed under subdivision 3, the commissioner must compile the information received from counties and Tribal governments under paragraph (a) and submit the compilation in a report to the legislative auditor and to the chairs and ranking minority members of the legislative committees with jurisdiction over taxes and housing. new text end new text begin EFFECTIVE DATE. new text end new text begin This section is effective the day following final enactment. new text end Sec. 2. new text begin RETURN OF UNUSED TAX-FORFEITED SETTLEMENT APPROPRIATION; CANCELLATION. new text end new text begin Subdivision 1. new text end new text begin Return of funds. new text end new text begin Notwithstanding Laws 2024, chapter 113, section 1, subdivision 5, on June 29, 2026, the claims administrator appointed under Laws 2024, chapter 113, to settle litigation related to the state's retention of tax-forfeited lands, surplus proceeds from the sale of tax-forfeited lands, and mineral rights in those lands, must return to the commissioner of management and budget the lesser of $40,000,000 or the amount of the appropriation under Laws 2024, chapter 113, section 1, subdivision 5, that is not needed to settle claims under Laws 2024, chapter 113. new text end new text begin Subd. 2. new text end new text begin Cancellation. new text end new text begin The commissioner of management and budget must cancel the amount received under subdivision 1 to the general fund within one day of the receipt of the funds. new text end new text begin EFFECTIVE DATE. new text end new text begin This section is effective the day following final enactment. new text end Sec. 3. new text begin EXTENSION OF TIME PERIOD TO CORRECT RENT DELINQUENCY. new text end new text begin (a) Notwithstanding Minnesota Statutes, section 504B.321, subdivision 1a, paragraph (c), if the residential tenant fails to correct the rent delinquency within 30 days of the delivery or mailing of the notice, or the number of days required by a local government rule or law if the notice period prior to an eviction required by the local government is longer than 30 days, or fails to vacate, then the landlord may bring an eviction action under Minnesota Statutes, section 504B.321, subdivision 1, based on nonpayment of rent. new text end new text begin (b) This section expires on the last day of the fourth month following the month of the effective date of this section. new text end new text begin EFFECTIVE DATE. new text end new text begin This section is effective the day following final enactment and applies to eviction actions filed on or after that date. new text end