Task force finalizes recommendations on roofing standards, mitigation funds, tort review and HOA rules; final report headed to Legislature

The Homeowners and Commercial Property Insurance Task Force on Feb. 5 approved a multi-item package to send to the Legislature, adopting measures to strengthen building codes, fund mitigation programs and request legal review of litigation finance and tort-system impacts. The group authorized Legislative Coordinating Commission (LCC) staff to prepare the final report for submission by mid-February.

Key adopted recommendations and votes (at-a-glance): - Update building codes to incorporate elements of the IBHS fortified roofing standards for new construction — passed 12–0 with 1 absent. Members agreed to use "elements" rather than "a version" of IBHS standards to allow the codes council discretion. - Fund the Strength in Minnesota Homes program (statute referenced in transcript) — passed 11–1 with 1 absent; no cost estimate provided to the task force. - Create catastrophic and mitigation savings accounts — passed 11–1 with 1 absent; members said fiscal parameters would need further legislative work. - Continue legislative review of third-party financing of litigation, including unresolved legal issues — passed 10 in favor, 1 opposed, 1 abstain, 1 absent. - Task force adopted a member finding that legal-system abuse contributes to rising premiums and recommended the Legislature examine reforms — passed 7–5 with 1 absent. - Direction that the Legislature examine the Minnesota Common Interest Ownership Act (transcript referenced as "5 15 b") and consider several HO-6 and loss-assessment options for associations — adopted 11–1 with 1 absent.

Contested items and failures: The task force considered but did not adopt a recommendation to amend the Minnesota Fair Plan board composition to a majority of public members — the roll-call vote was tied 6–6 with 1 absent and the motion failed. A proposal to clarify the alternative dispute resolution (appraisal) statute to give policyholders two years to initiate appraisal also failed on a 6–6 split with 1 absence.

Member concerns and clarifications: Members repeatedly emphasized that the task force was voting on recommendation wording, not on final bill text, and that the Legislature would conduct fiscal and technical vetting (including potential fiscal notes). Several members urged that roll-call votes be listed in the final report and that members be allowed to submit letters or minority comments for an appendix.

Next steps: LCC staff will prepare and circulate the final report; the chair is authorized to finalize and submit it to the Legislature by the Feb. 15 deadline. The recommendations provide legislative committees with a set of options and technical directions to pursue in the upcoming session.

Representative voices: "I think we should keep it in there," said a member arguing to retain the Fair Plan's market-of-last-resort language; another member said requiring associations to carry HO-6 insurance could increase costs for some homeowners but would raise awareness and accountability.