H.F. No. 27 Summary

• Appropriates $100,000,000 from the state fiscal recovery fund (American Rescue Plan Act funds) in fiscal year 2022 to the Commissioner of Employment and Economic Development for grants to nonprofit arts and cultural organizations that suffered financial losses during the COVID-19 pandemic.

• Eligible organizations must be 501(c)(3) nonprofits with primary operations in Minnesota, have received prior arts funding, demonstrate at least 25 percent reduction in gross receipts between comparable quarters in 2019 and 2020, and be coded under specific NAICS categories or meet separate requirements if coded differently.

• Grant amounts range from $10,000 to $725,000 per organization based on 2019 total revenue reported on IRS Form 990, with separate tiered schedules for organizations coded under primary arts NAICS categories versus those under other categories.

• Grant funds are available until December 31, 2023, must be used for operating expenses, and any unspent funds must be returned to the general fund; the Commissioner must audit all grant uses according to standard accounting practices.

• Commissioner must submit a report to legislative committees by January 15, 2023, detailing the use of funds under this section.