MN SF3363

Establishes a workforce housing tax credit allowing investors to claim 40 percent of their qualified investment in workforce housing projects, up to $1,000,000 per taxpayer.

Limits credit allocation to $15,000,000 for taxable years 2017-2018 and $30,000,000 for taxable years 2018-2022, with no more than 40 percent allocated to any single project.

Requires eligible projects to be market-rate rental properties with 3+ units, average construction cost of $75,000-$250,000 per unit, located in greater Minnesota with low vacancy rates and requiring more than 50 percent nonstate funding.

Commissioner of Employment and Economic Development certifies qualified investors and projects, approves applications within 15 days on a first-come basis, and may revoke credits if investors fail to meet eligibility requirements.

Requires annual reporting to legislature beginning in 2018 on workforce housing availability, projects funded, tax credits issued and revoked, and recommendations for accelerating workforce housing construction.