H.F. No. 3861 Summary

• Establishes a scholarship build credit allowing qualified taxpayers to claim a tax credit equal to 50 percent of contributions made to Minnesota State Colleges and Universities (MnSCU) campus foundations for undergraduate scholarships or equipment donations.

• Sets maximum annual credit limits of $2,000 for cash contributions and $4,000 for in-kind contributions per taxpayer, with a statewide annual cap of $10,000,000 and a per-taxpayer annual maximum of $50,000.

• Requires eligible businesses to have job vacancies in high-demand occupations and establishes an application process with deadlines: application by March 15, contribution by October 15, and credit certification by the commissioner.

• Mandates annual reporting to the legislature beginning in 2018 on contribution amounts, credit awards by industry and region, program completion rates, and program efficacy at increasing student employment in high-demand occupations.

• Appropriates $300,000 in fiscal year 2017 to the Department of Employment and Economic Development for credit administration.