MN SF4535

Appropriates $100 million in FY2026 from the Minnesota Forward Fund for zero-interest loans to businesses adversely affected by increased immigration enforcement activities beginning December 1, 2025

Allocates $18 million to Minnesota Initiative Foundations for greater Minnesota businesses and $82 million to certified nonprofit lenders for seven-county metropolitan area businesses, with up to 8% allowed for administrative costs

Requires eligible businesses to demonstrate greater than 30% revenue loss due to staffing shortages, reduced customer access, or other factors resulting from immigration enforcement activities

Loan amounts range from $2,500 minimum to $200,000 maximum depending on business size and location, with repayments beginning within three months of award

Provides loan forgiveness schedule: up to 50% after two years, 75% after three years, and 100% after five years for borrowers current on payments; funds expire June 30, 2028