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House fast‑tracks $100M plan to reimburse districts for hourly‑worker unemployment claims

May 18, 2025 | 2025 Legislature MN, Minnesota


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House fast‑tracks $100M plan to reimburse districts for hourly‑worker unemployment claims
On May 16 the Minnesota House used a procedural suspension to take up House File 1143 and on the same day approved the bill, which directs a one‑time appropriation to reimburse school districts for unemployment insurance costs tied to hourly school workers for two summers.

Representative Long moved to suspend rules and declare urgency to take up HF1143; the House agreed. Representative Kristin Greenman (Hennepin), who explained the bill on the floor, said the measure would put $100 million into the account to fully reimburse school districts for unemployment claims by hourly school workers for the next two summers. She said the funding would be paid for from a combination of a $77 million cancellation of a prior Northern Lights Express appropriation and $22 million in savings elsewhere, so the bill would be revenue neutral in the first biennium and produce savings in the tails.

Supporters argued the funding would stabilize district budgets and preserve staffing, while opponents warned the one‑time fix does not resolve longer‑term structural funding questions. Representative Krishna cautioned that the funding mechanism sets a sunset (repeal) and that the longer‑term financing question will need resolution; she supported the motion in order to hold districts harmless for the immediate biennium. The House recorded 131 yeas and 0 nays on the third reading and passed the bill.

Next steps: The appropriation fills a short‑term funding need for district unemployment claims; sponsors said they will continue work on a sustainable long‑term funding arrangement in future budget negotiations.

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Scribe from Workplace AI
Scribe from Workplace AI