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Minnesota legislators passed a housing bill on May 13 that includes $40 million in emergency rental assistance, a partial answer to pleas that have been coming from Twin Cities metro area officials and others since the early December start of Operation Metro Surge.

The $165 million bill is now headed to the desk of Gov. Tim Walz. It also includes $100 million to build affordable housing, $14 million for housing meant to meet workforce needs in Greater Minnesota, $4 million to support manufactured homes and $4 million for a homelessness prevention strategy threatened by federal cuts.  

State Rep. Liish Kozlowski (DFL-Duluth), who authored the rental assistance portion of the bill, said it has been “the most pressing issue facing Minnesotans” since the session began.

The funds will be distributed through the state’s Family Homeless Prevention and Assistance Program, which partners with counties, nonprofits and other organizations. To be eligible, participants must be Minnesota residents undergoing a housing crisis who have an income at or below 200% of federal poverty guidelines. 

Legislature passes housing bill amid feds’ threat to strategy to prevent homelessness

Kozlowski believes the “lion’s share” of the funding will go toward the Twin Cities metro, but that every county in the state will receive some portion. They added that they were hopeful that residents would receive the dollars by the time June rent comes due, but that money would definitely be available by July.

Kozlowski said the bill was “the thing I’m most proud of and also it gives me heartburn,” acknowledging that even a figure as large as $40 million pales in comparison to the estimated cost of meeting emergency assistance needs for the state’s low-income households, which Minnesota Housing pegs at $350 million.

The decision comes as eviction filing rates statewide continue to slightly outpace last year. As of May 1, 2026, nearly 8,500 households had received an eviction notice this year, up about 8% from the same time period in 2025.

In Minneapolis, evictions are outpacing solutions

The money will come from a state fund originally created for counties to pay out settlements connected to a U.S. Supreme Court decision that found the state’s forfeiture law was unconstitutional.

Minneapolis City Council members, who have been calling on the state to add to funds approved by the city, as well as those raised privately through sites like Stand With Minnesota, said they were relieved to see it finally happen.

“My community, my colleagues and I on the Council, and people throughout the city and state have been telling lawmakers that emergency rental assistance is desperately needed in the wake of Operation Metro Surge,” said Council member Aisha Chughtai (Ward 10). “This is a win for working class people.”

Council member Jason Chavez agreed, saying that “this action is exactly what is needed to keep more neighbors housed.” He added, though, that many residents still need more time – a nod to the Council’s efforts to extend the eviction timeline, which have been met with vetos from Mayor Jacob Frey.

Frey’s spokesperson said the mayor was thankful that the state has invested in emergency rental assistance, a measure he has said he prefers to eviction period extensions.

St. Paul City Council President Rebecca Noecker (Ward 2) said the bill’s passage was “really exciting news,” saying the need for rental assistance is bottomless.

“We’ll be fighting for as much of that money as possible in St. Paul,” Noecker said. The announcement made her even more grateful, she said, that the Council passed an ordinance extending St. Paul’s eviction timeline to 60 days – which coincidentally went into effect on May 14 and will last through the end of 2026.

Related

“You will expose yourself to things that most of the public won’t see, except maybe once in their life. But yep, we’re doing it. Fire departments are doing it on a very regular basis,” said Mike Dobesh, president of MNFire, an organization dedicated to keeping firefighters healthy, mentally and physically, and on the job.  

“The fire service is recognizing that any of those unexpected events that we go to, yes, we sign up to do it, but at the same time, those unexpected events can cause trauma; that trauma can lead to PTSD,” Dobesh said.

However, paying for all those firefighters on mandatory PTSD leave is putting the Minneapolis Fire Department in the red. It’s all the overtime needed to fill in for the firefighters on leave.  

“From the therapists that I’ve talked to, usually eight to 10 visits can get that firefighter back on the rig,” Dobesh said, which is the goal of the mandatory leave with treatment. “But then it’s going to be something that’s going to have to be managed for the… probably the rest of their career, because it’s not something that’s just going to go away.”

Dobesh says that PTSD was the number one claim MNFire had on its critical illness policy last year.

In 2023, Minnesota lawmakers created the PTSD leave policy in an effort to keep firefighters from applying for permanent duty disability benefits. The policy requires firefighters and other first responders to take up to 32 weeks of paid leave and get treatment first.

“A trauma-informed therapist can meet with a firefighter, desensitize that firefighter, get them back to work,” Dobesh said.

But that policy is costing some fire departments millions. The Minneapolis Fire Department told the city council this week that 7% to 8% of its firefighters are currently out on PTSD leave, and the overtime other firefighters are working to fill in for them has put the department up to $7 million over budget in recent years. It’s projected to go over again this year.

So what are things they can do to maybe prevent some of these problems that they’re having because of PTSD? Speed up access to treatment, according to Dobesh.

“The sooner we can get in and have that firefighter seen, the more likely they’re going to have a very positive outcome and get back on the job,” he said.

Dobesh says if and when a firefighter needs help varies from person to person, but his organization provides five free treatment sessions for any firefighter who’s struggling.

Minnesota firefighters can call MnFIRE’s helpline 24/7 at 888-784-6634 or visit mnfirehealth.org. 

MFD Interim Chief Melanie Rucker shared the following statement late Wednesday night:

“The utilization of these leaves is often unavoidable and reflects benefits that support the health and well-being of our fire personnel. We take the health and wellness very seriously, including mental health. Through transparent communication with leadership regarding evolving staffing needs and necessary overtime budget adjustments, we can effectively address the budget overages and return to a sustainable path forward.”

Click here to watch the Minneapolis Budget Committee meeting on May 4.