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Dear ,
Greetings! Our first legislative e-newsletter of the year is filled with pending bills, legislative updates, and other news relating to homeless advocacy in Minnesota. You have received this e-newsletter because as an ally of Hearth Connection, we thought this news may be of interest to you.
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Legislature Is in Session 
Welcome to the Year of Bonding, Redistricting, Stadium, and Election Priming
The Legislature officially convened on January 24th this year, with hopes to wrap up the 2012 session early. Because the biennial budget was completed in the 2011 special session, this year's session will focus on bonding proposals. Given the fact that this is a non-budget year, the legislative season won't be as protracted as in an appropriations year. However, the Legislature still has a number of projects to work on, including the stadium proposal, capital bonding bills, and figuring out how to position themselves for fall elections and redistricting.
The state is looking at a possible surplus this year estimated at over $870 million--the first surplus in a number of years. That being said, any available moneys are statutorily committed to replenishing the state's reserve and cash flow accounts, making funds largely off-limits for new spending. The status of the surplus will be confirmed when the February Budget Forecast is released on February 29. Both Governor Dayton and lawmakers have postponed proposing a supplementary budget until this is officially available.
Hearth Connection remains focused on three legislative priorities this year:
- Supporting housing infrastructure bonds to expand the supply of supportive housing in Minnesota;
- Restoring funding to the Long-Term Supportive Services Fund (DHS) which experienced the loss of one-time funding in FY2011-2012 ; and
- Passing the Visible Child Act to conduct better data analysis and coordinated planning to end child homelessness in Minnesota.
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Affordable Housing and Capital Bonds 
Before the Legislature officially met in session, Governor Dayton released his capital budget recommendations for 2012. Governor Dayton proposed capital investments totaling $775 million.
An important issue for homelessness advocates this year is the housing bonding bill. The housing bonds are integral to affordable housing, as they would enable MHFA to issue bonds for the preservation or acquisition of permanent supportive housing, federally subsidized rental housing, and foreclosed properties. The Governor's capital budget proposed $32 million total for housing: $7 million for public housing preservation, and $25 million for housing infrastructure bonds.
The Governor's capital budget recommendations also included $1.85 million annually to support debt service for the non-profit housing bonds. This appropriation would begin in 2014 and continue for 20 years.
Advocates and organizations participating in the Homes for All campaign (including Hearth Connection) are asking the Governor and State Legislature for full support of the housing appropriations bonds. Introduced in the Legislature during the last session, a bill in the House (HF 1257) and Senate (SF 1373) would provide additional funding for nonprofit housing bonds. Because the housing bonds would be used to support affordable housing across Minnesota, homelessness and affordable housing advocates in all parts of the state are encouraged to contact your legislators and ask them to support affordable housing through HF 1257 and SF 1373.
The Homes for All campaign is a unique collaboration of housing, homelessness, and other organizations working together to promote affordable housing for all Minnesotans-please check out the Homes for All bonding requests and a special documentary on the campaign that aired on TPT February 19th.
Why do we need more affordable and supportive housing?
- As vacancy rates in many parts of the state have tightened below 5%, rents have increased while incomes have remained either flat or declined.
- The foreclosure crisis has increased the need for rental housing as families who have lost their homes will be unable to purchase a new home for a number of years.
- Even with our existing supply of public housing, the percentage of Minnesota renters who are cost burdened (pay more than 30% of their income for housing) has increased from 37% in 2000 to 50% in 2009. Sixty-four percent (64%) of renter households with incomes below $50,000 are cost burdened.
- Deteriorating, vacant housing has a negative impact on property values of surrounding homes and the community's sense of safety and well-being.
- To prevent families, children, adults with disabilities, and veterans from sleeping for long periods on the street or in emergency shelters and offer access to supportive housing.
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The Affordable Housing Bonding Bills 
While Governor Dayton has recommended a total of $32 million in housing infrastructure bonds, new bills introduced in the House and Senate would seek a total of $40 million to expand the supply of affordable housing in Minnesota.
Senate File 2073 (Sen. Pederson) and House File 2485 (Reps. Howes, Hausman, McFarlane, Handen, Clark, and Ward) authorizes the Minnesota Housing Finance Agency to issue housing infrastructure bonds and appropriates (a) $10 million to finance the rehabilitation of public housing (housing for low-income persons and households financed by the federal government and owned and operated by public housing authorities in Minnesota) and (b) $30 million to help finance an array of housing opportunities including:
- construction, acquisition, and rehabilitation of supportive housing for individuals and families who are without a permanent residence;
- acquisition and rehabilitation of foreclosed or abandoned housing to be used for affordable rental housing
- new construction of rental housing on abandoned or foreclosed property where the existing structures will be demolished or removed;
- acquisition of abandoned or foreclosed property that is attributable to the land to be leased by community land trusts to low- and moderate-income homebuyers; and
- acquisition and rehabilitation of federally assisted rental housing.
The bill also states that, "Among comparable proposals for permanent supportive housing, preference shall be given to permanent supportive housing for individuals or families who: (1) either have been without a permanent residence for at least 12 months or at least four times in the last three years; or (2) are at significant risk of lacking a permanent residence for 12 months or at least four times in the last three years." |
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Visible Child Act
New legislation focusing on children experiencing homelessness could be introduced later this month. Homeless advocates understand the devastating impact homelessness can have on the health and positive development of infants and young children. Young homeless children are disproportionately represented among homeless Minnesotans: about half of homeless children are age five or younger, and nine percent of these children are less than one year old.
The Visible Child Act would enact a variety of measures to promote homeless children's well-being, including:
- expanding eligibility for early intervention referral, screening and services to children,
- seeking greater attention and coordination of public resources to homeless children through the Interagency Task Force on Homelessness,
- requiring a report to the legislature annually on children experiencing homelessness, available data, gaps, and best practices,
- creating a strategic plan for improving homeless children's well-being.
Local plans to end homelessness include specific goals for the expansion of supportive housing for homeless families with children. The Invisible Child Act would create renewed attention on this vulnerable population among state agencies. |
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Additional Bills - Other Legislation of Interest
Bonding is not the only policy recommendations making their way through the Legislature. There are many substantive areas that may impact the participants in our programs. The following is a list of bills that we thought may be of interest to programs serving homeless households or community advocates: |
Bills Impacting General Assistance (GA) and Minnesota Family Investment Program (MFIP) Recipients 
(1) S.F. 1835: Minnesota family investment program (MFIP) and general assistance (GA) residency requirements modifications. The bill would require persons to show residency in Minnesota for 60 days in order to receive either GA or MFIP.
(2) S.F. 1834: Electronic benefit transaction (EBT) card limitations. EBT debit would be prohibited from using the cash portion of the EBT debit card at vendors and automated teller machines in areas outside of Minnesota, except for Minnesota's contiguous states. This amendment would not apply to the food portion.
(3) H.F. 2080 was heard in the House on Wednesday, February 22nd. HF 2080 would:
- Reduce lifetime limit from 60 months to 36;
- Reduce exit level from 115% FPG to 100%;
- Expedite full sanctions to 3 episodes of noncompliance instead of 7; and
- Disqualify people with a drug offense in the past 10 years.
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Drug Screening for GA and MFIP Recipients
New bills proposed in the State Legislature would submit people in certain assistance programs to drug tests. Applicants and recipients of General Assistance (GA) and the Minnesota Family Investment Program (MFIP) would be subject to tests for illegal substances if they have two of the following:
- an arrest record
- child protection receives a report alleging abuse or neglect due to parental substance abuse
- DHS witnesses a behavior indicating illegal use of controlled substances (the bill lists 13 behaviors, such as "dilated pupils," "nausea," and "odor of alcohol")
A positive drug test would result in the loss of assistance (after a hearing), exclusion from receiving assistance for three years, and referral to a treatment program. For recipients of MFIP who have minor children, the children will continue to be eligible for MFIP, although the payments would be 'received by a protective payee.'
Drug screening for these programs would be an unfunded mandate; money has not been set aside to cover the costs of these tests, staff training, or other related costs. Drug screening can cost from $15 to $150 per test. |
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Constitutional Amendments
The Minnesota Constitution can be modified if a majority of voters approve an amendment. The Minnesota Legislature is continuing to review several bills this session to place amendments to Minnesota's Constitution on the ballot this fall. The Governor has no authority to veto a bill to place a constitutional amendment on the ballot. The current amendment proposals are reviewed below:
Constitutional Amendments Affecting Future State Budgets
There are three constitutional amendments being proposed which would change how the state's budget is funded and managed.
1) Require a three-fifths "supermajority" vote in each body of the Legislature in order to pass any tax increase.
2) Limit all spending to the amount spent in the previous two years. Extra revenues could only be used for two purposes: to pay back one-time funding shifts and to provide for the public peace, safety or health as a result of a declared national security or peacetime emergency.
3) Limit general fund spending to 98% of the amount of money the state expects to collect, with the remainder going into a reserve account. Any spending above the 98% level could only be used to respond to emergencies and would require a three-fifths majority vote in both bodies of the Legislature. Once the reserve account reaches 5% of state revenues, the sales tax would be reduced. (Source: Minnesota Council of Nonprofits)
Constitutional Amendment Requiring Photo ID to Vote
There are also several proposed constitutional amendments which would require people to have a valid, government-issued photo ID to be eligible to vote. However, the bill would still require future Legislatures to figure out how this would work in practice. Check out the new "compromise bill" here. |
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Redistricting in 2012
Be aware the Legislative Districts have been redrawn
Every ten years, new legislative maps are drawn to reflect the most recent census numbers and ensure that the population of each district is evenly matched. This process is known as redistricting - and last week, the courts released the maps showing the new legislative district boundaries. Sixteen sitting senators and 30 incumbent representatives were paired together - prompting some legislators to announce their retirements and others to seek election in a different office. For more information on the new maps, please click here. |
Homeless Day on the Hill 
"Homeless Day on the Hill" is coming up soon! On Thursday, March 8th, please join many advocates, consumers, students, and citizens from around the state to advocate together for policies and resources to address homelessness. Don't miss the chance to talk with your representatives about legislative issues that will affect people experiencing homelessness.
The Minnesota Coalition for the Homeless 2012 Lobby Day will take place from 9:00AM to 2:00PM on March 8th at the State Capitol. If you cannot attend the Homeless Day on the Hill event, please contact your representatives on March 8th to make sure your voice is heard on the affordable housing bonding bill.
Please RSVP here; registration is free. Make sure to register soon!! |
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