Minn. Stat. § 471 § 471.9997
FEDERALLY ASSISTED RENTAL HOUSING; IMPACT STATEMENT.
Operative Text
At least 12 months before termination of participation in a federally assisted rental housing program, including project-based Section 8 and Section 236 rental housing, the owner of the federally assisted rental housing must submit a statement regarding the impact of termination on the residents of the rental housing to the governing body of the local government unit in which the housing is located. The impact statement must identify the number of units that will no longer be subject to rent restrictions imposed by the federal program, the estimated rents that will be charged as compared to rents charged under the federal program, and actions the owner will take to assist displaced tenants in obtaining other housing. A copy of the impact statement must be provided to each resident of the affected building, the Minnesota Housing Finance Agency, and, if the property is located in the metropolitan area as defined in section 473.121, subdivision 2, the Metropolitan Council. NOTE: This section was found preempted to the extent that it creates a longer termination timeline than under applicable federal law in Forest Park II v. Hadley, 336 F.3d 724 (8th Cir. 2003).
Minnesota Statutes § 471.9997 requires owners of certain federally assisted rental housing — including project-based Section 8 and Section 236 properties — to submit a written impact statement to the local governing body at least 12 months before they exit the federal assistance program. The statement must detail how many units will lose rent restrictions, what rents are expected to replace program-capped rents, and what steps the owner plans to take to help displaced residents find other housing. Copies must go to each affected resident, the Minnesota Housing Finance Agency, and, for metro-area properties, the Metropolitan Council. A federal court ruling in Forest Park II v. Hadley (8th Cir. 2003) found this provision preempted to the extent its 12-month timeline exceeds what applicable federal law requires.
Plain English — not legal advice.
Owners of project-based Section 8 or Section 236 properties in Minnesota generally comply with § 471.9997 by preparing a detailed impact statement well in advance of any planned program exit — covering unit counts, comparative rent projections, and tenant-assistance plans — and distributing it to the local governing body, each resident, the Minnesota Housing Finance Agency, and, where applicable, the Metropolitan Council. Because a federal appellate court found the 12-month notice period preempted where it conflicts with shorter federal timelines, compliant operators typically review both state and applicable federal notice requirements together when planning a program exit. Maintaining documentation of all distributions and submissions is a standard practice for demonstrating compliance.
General guidance for property managers — not legal advice for your specific situation. Consult an attorney for advice on your case.
Under § 471.9997, residents of federally assisted rental housing in Minnesota have a right to receive a copy of the owner's impact statement before the property exits a program like project-based Section 8 or Section 236, giving tenants advance notice of expected rent changes and the owner's stated plans for helping displaced residents find alternative housing. If a tenant believes this notice was not provided as required, options generally include contacting the Minnesota Housing Finance Agency, raising the issue with the local governing body, or reaching out to a tenant-rights organization familiar with federally assisted housing. Because a federal court found the state's 12-month timeline partially preempted under Forest Park II v. Hadley, the actual notice period in a given situation may depend on which federal program rules apply alongside § 471.9997.
General guidance for tenants — not legal advice for your specific situation. Consult a tenant-rights organization or attorney for advice on your case.
Generated September 30, 2026 — auto-generated, not yet human-reviewed. See /transparency for methodology.
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