House adopts housing finance and policy measures, directs $30M emergency rental aid and Greater Minnesota housing investments

On May 1, 2025, the Minnesota House debated and advanced major housing measures, including the housing finance bill (House File 2298) and a housing policy bill (House File 2309). Committee leaders presented the bills as bipartisan efforts to address Minnesota’s housing shortage, with a mix of funding for construction, infrastructure, emergency rental assistance and programs aimed at Greater Minnesota.

The finance bill directed significant new state resources for housing production and preservation, including a pledge of $100 million in housing infrastructure financing and $30 million in emergency rental assistance targeted at preventing family homelessness. Floor sponsors said the emergency rental assistance is expected to help roughly 20,000 Minnesotans avoid eviction or housing loss. The measure also included $11,029,000 for Greater Minnesota rental development and new funding for workforce housing programs and manufactured home park infrastructure.

House members repeatedly described the package as a first step toward closing Minnesota’s housing shortfall — which committee leaders called roughly 104,000 units statewide — and praised cross‑party work on the bill. Representative Igoe and Representative Howard, co‑chairs of the housing committee, emphasized that the measures seek to increase both affordable rental and starter home production and add tools for communities to repurpose vacant public buildings (including some older school buildings) for housing uses.

Several amendments were offered and adopted on the floor. Representative Howard offered an amendment that creates a scoring incentive in Minnesota Housing competitive grants for communities that adopt a menu of local pro‑housing policies (the amendment caps the scoring bonus at 5 percent and limits retroactive application to future grant rounds). Other adopted floor actions included adding a senior representative to a housing task force and deferring an amendment for home‑sharing pilot language.

Speakers from both parties highlighted the human impacts of housing instability, including children who experience homelessness and older homeowners facing rising costs. Representative Gomez and others urged caution about cuts to veteran homelessness programs within the veterans budget debate, which some said intersected with housing investments. Members stressed prevention (through rental assistance and services) as more cost‑effective than addressing homelessness after it occurs.

The finance bill received recorded support on final passage in the transcript and several members urged continued bipartisan work in conference committee and future sessions to pursue zoning, regulatory and other reforms proponents say are needed to expand starter home supply and reduce construction barriers.