MN SF54

Reduces the deed tax rate from 0.33% to 0.11% on real property transfers exceeding $3,000 in consideration, effective for deeds recorded on or after July 1, 2020.

Establishes a grant program requiring the Commissioner of Revenue to distribute deed tax revenue equally among all Minnesota counties beginning in fiscal year 2022.

Restricts county use of grant funds exclusively to subsidize housing initiatives that meet community needs as stated in the county's adopted housing plan, including grants or gap-financing loans to local development authorities.

Limits county accumulation of grant funds to a $5,000,000 maximum reserve, with ineligible counties losing grant distributions that are redistributed equally to other eligible counties until they spend down reserves or adopt a spending plan.

Automatically appropriates an amount equal to the previous fiscal year's deed tax revenue annually to the Commissioner of Revenue for distribution as county grants.