The bill amends Minnesota Statutes 2024, section 474A.02, subdivision 1a, to reduce the aggregate bond limitation for the allocation of private activity bonds specifically for qualifying residential rental projects. The previous limit of "up to 55" is deleted and replaced with a new structure that sets the limitation to the greater of either 30 or the maximum supportable permanent amortizing debt, capped at 40 percent of the reasonably expected aggregate basis of the residential rental project and the land on which it is located.

Additionally, the bill includes an effective date for this amendment, stating that it will take effect on January 1, 2027. This change aims to provide clearer guidelines for financing residential rental projects while potentially increasing accessibility to funding through private activity bonds.

Statutes affected:
Introduction: 474A.02