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Klobuchar Releases Housing Plan

Klobuchar Releases Housing Plan

Goal to build 100,000 units, strategies emphasize streamlining and local incentives

As part of her 2026 campaign for governor of Minnesota, Amy Klobuchar unveiled a new housing plan on June 8 that focuses on increasing housing supply and improving affordability.

Key elements of the plan (click here for more details)

1. Build 100,000 additional homes

  • Commit Minnesota to a path toward building at least 100,000 new homes, including houses, apartments, and condos.
  • The proposal is based on estimates that Minnesota faces a significant housing shortage.

2. Speed up permitting and reduce construction delays

  • Create a standardized statewide permitting application.
  • Establish clearer timelines for permit decisions.
  • Reduce regulatory delays and paperwork that can slow housing construction.

3. Incentivize local governments to approve housing

  • Rather than immediately imposing statewide zoning mandates, Klobuchar proposes financial incentives for cities and townships that allow and encourage more housing development.
  • This is intended as a "carrot" approach rather than a "stick" approach to local zoning reform.

4. Focus on rural housing

  • Support rehabilitation of abandoned homes in small towns.
  • Encourage conversion of vacant commercial buildings into housing.
  • Create a low-interest revolving loan fund for rural housing developers.

5. Make housing tax credits permanent

  • Permanently extend Minnesota's housing tax credit program to encourage private investment in housing development.

6. Ban rent-setting algorithms

  • Prohibit landlords from using pricing algorithms that coordinate rents across properties.
  • Klobuchar argues these systems can artificially drive up rental costs.

7. Address corporate ownership concerns

  • Crack down on large institutional investors and out-of-state companies that buy up homes and increase rents.
  • Protect residents of manufactured-home communities from abusive practices.

8. Simplify homebuyer and renter assistance

  • Create a single application for various down-payment assistance programs.
  • Establish a "no wrong door" system so renters seeking help are directed to the appropriate assistance program.

Klobuchar is emphasizing more housing supply—building substantially more homes—while avoiding a firm commitment to statewide zoning mandates that have been controversial at the Minnesota Legislature. Instead, she's proposing incentives for local governments to approve more development. The plan is aimed at the idea that increasing supply is the most effective long-term way to moderate housing costs.

For more information, contact:  Steve Gottwalt, CMBA Government Affairs, steve@cmbaonline.org, 952-923-5265.  For more details of Klobuchar's plan click here.

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