MN SF2794

Allows tax increment financing from economic development districts to fund workforce housing projects that meet specified employment and housing market conditions, effective for districts certified after June 30, 2014.

Requires municipalities to make five specific findings before approving workforce housing TIF districts, including unemployment rates at or below 90 percent of statewide rates, employment rates exceeding 80 percent, and documented business statements about housing shortage impacts on recruitment.

Permits tax increment financing contributions to count as nonstate resources for Minnesota Housing Finance Agency challenge grants or loans for workforce housing proposals.

Expands the definition of allowed uses for economic development districts to include workforce housing projects that meet the new requirements in addition to manufacturing, warehousing, research and development, and tourism facilities.

Substitutes income limits from the Minnesota Housing Finance Agency challenge program for standard housing district income limits when projects receive loans or grants from that program.