Minnesota Bill Would Provide Low-Interest Loans for Employee Ownership
HF 3733, a bill to help build community wealth in Minnesota, would create a low-interest loan program to support employee ownership, community land trusts, or cooperatives focused on providing wealth-building opportunities for historically disadvantaged groups, including people of color, women, disabled veterans, and low-income workers. The state would appropriate $15 million in 2023 to provide grants to partner organizations to make the loans, which would be priced at not more than the prime rate. State support for the loan could be for up to $2.5 million. Eligible borrowers must be able to show the project could not be financed without this support. Up to 10% of the funds could be used for technical assistance. Half the principal payments would go to a community wealth-building account the state would create to provide ongoing funding.
The bill has not been introduced in the Senate.