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Committee advances Minnesota Starter Home Act (HF1987) after amendments and wide testimony; bill referred to finance and government operations

2558778 · March 12, 2025
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Summary

The Committee on Housing Finance and Policy adopted an author's amendment and advanced House File 19‑87, the Minnesota Starter Home Act, after hours of testimony from builders, business groups, local officials and housing advocates. The bill was referred to the Elections, Finance and Government Operations committees as amended.

The House Committee on Housing Finance and Policy advanced House File 19‑87, titled the Minnesota Starter Home Act, adopting an author's amendment and ultimately referring the bill, as amended, to the Elections and Finance and Government Operations committees.

Representatives presented the bill as a bipartisan package intended to increase the supply of modest, for‑sale housing — including single‑family detached homes, duplexes, townhomes and accessory dwelling units (ADUs) — by limiting certain local land‑use restrictions and streamlining administrative approvals. Sponsors framed the measure as a response to a statewide shortage of starter homes and cited a roughly 100,000‑unit shortfall in Minnesota.

Witnesses supporting the bill included Michelle Benson, director of housing policy at the Minnesota Chamber of Commerce; Nick Erickson, senior director of housing policy for Housing First Minnesota; Britney Hennessy of Habitat for Humanity (Winona County); Thomas Almas for AARP Minnesota; and Rayanna Keighley of Americans for Prosperity. Supporters emphasized that supply constraints, zoning restrictions and local regulatory costs contribute to higher prices and that the bill aims to expand lower‑cost home options.

Municipal officials and local planning staff testified with reservations. Jill Hudmacher (City of Eagan/League of Minnesota Cities), Evan Vogel (city administrator, Cambridge), and Susan Arntz (city manager, Mankato) warned that removing parking minimums, limiting neighborhood engagement, and constraining local zoning authority could create practical problems for some communities. Vogel and Hudmacher urged preserving local ability to address infrastructure capacity, parking, stormwater and areas subject to federal or state protections.

Committee members debated a sequence of amendments. The author’s A‑1 amendment was adopted to narrow and clean up portions of the bill, including deleted sections and refinements to ADU language; several subsequent proposed amendments were discussed, some withdrawn and others rejected by committee vote. Members repeatedly asked whether the bill would allow local governments to require infrastructure adequacy; sponsors and several witnesses said the bill contains language that requires development authorized under the statute to comply with city standards protecting public health, safety and general welfare, and to respect state and federal environmental limits.

Representative Igoe (one of the sponsors) renewed the motion to refer House File 19‑87 as amended; the committee approved referral by voice vote. Supporters and opponents said they will continue negotiations as the bill moves to the next committees.

Key items recorded on the record: the A‑1 author’s amendment was adopted; multiple later amendments were proposed, with at least one withdrawal and several failed votes; the committee voted to refer HF19‑87, as amended, to the Elections, Finance and Government Operations committees.