MHP Statement on Legislative Passage of $165M Housing Package

MHP thanks lawmakers for coming together to advance a bipartisan $165 million housing package that includes Housing Infrastructure Bonds and critical program funding to help strengthen communities across Minnesota. Governor Walz’s inclusion of housing investments in his budget proposals helped keep housing at the center of negotiations throughout the legislative session, and MHP thanks Governor Walz for his commitment to housing and urges the Governor to sign the bill into law.

In one of the most challenging budget environments in recent years — with an evenly divided Legislature, a structural budget imbalance, and significant federal uncertainty — state leaders worked collaboratively to advance creative housing solutions without new impacts to the state budget. The agreement includes investments in homelessness prevention, supportive housing, workforce housing, manufactured home communities, Housing Infrastructure Bonds, and other housing priorities that help Minnesotans thrive.

The package includes:

  • $100 million in Housing Infrastructure Bonds (HIBs)  
  • $40 million for the Family Homeless Prevention and Assistance Program (FHPAP) through the Tyler Settlement
  • Approximately $25 million in interest earnings directed toward:
    • Greater Minnesota workforce housing
    • Supportive housing and homelessness response  
    • Manufactured home infrastructure grants  
    • Homeownership education  
    • Tenant education and hotline services
    • Minnesota Nice Home Share  
    • Housing Infrastructure Bond debt service  

Advancing a housing package of this size and scope in an evenly divided Legislature sends a strong message about Minnesota’s continued leadership and commitment to helping communities succeed. And, Minnesota continues to face a shortage of nearly 100,000 homes that people with the lowest incomes can afford and access. Continued partnership and investment will be needed to ensure communities across the state have the homes support workers, families, older adults, and future generations.