The proposed bill, titled "The Home-Based Business Fairness Act," aims to permit home-based businesses within residential dwellings in Minnesota. It defines key terms such as "home-based business," "no-impact home-based business," and "residential dwelling." A no-impact home-based business is characterized by limited on-site employees and clients, compliance with municipal occupancy limits, and business activities that do not generate significant traffic or are visible from the street. The bill establishes that the use of a residential dwelling for such businesses is permitted, provided it does not conflict with existing deed restrictions or community regulations.

Furthermore, the bill stipulates that municipalities cannot require permits or prior approvals for no-impact home-based businesses. However, they may impose reasonable regulations to protect public health and safety, ensure compatibility with residential use, and prevent illegal activities. Importantly, municipalities cannot mandate property rezoning for commercial use or require fire sprinkler installations in certain residential properties. The bill also clarifies that any disputes regarding the compliance of municipal regulations with this act will be subject to judicial review, placing the burden of proof on the municipality to demonstrate compliance.