Minnesota Statewide Rule
Minnesota Allows Local Rent Control Only by General-Election Referendum
Key Facts
- Local rent control
- Allowed only if approved in a general election (referendum)
- Statewide rent cap
- None
- Enabling statute
- Minn. Stat. § 471.9996
- Cities with rent control
- St. Paul (3% cap, 2021); Minneapolis (charter amendment authorizing regulation, 2021)
Summary
Minnesota has no statewide rent cap and generally bars local rent control under Minn. Stat. § 471.9996, but it carves out one exception: a city, county, or town may control rents if the ordinance "is approved in a general election." Using that path, St. Paul voters passed a 3% cap in 2021 and Minneapolis voters authorized rent regulation the same year.
471.9996 RENT CONTROL PROHIBITED. § Subdivision 1. In general. No statutory or home rule charter city, county, or town may adopt or renew by ordinance or otherwise any law to control rents on private residential property except as provided in subdivision 2. This section does not impair the right of any statutory or home rule charter city, county, or town: (1) to manage or control property in which it has a financial interest through a housing authority or similar agency; (2) to contract with a property owner; (3) to act as required or authorized by laws or regulations of the United States government or this state; or (4) to mediate between property owners and tenants for the purpose of negotiating rents. § Subd. 2. Exception. Subdivision 1 does not preclude a statutory or home rule charter city, county, or town from controlling rents on private residential property to the extent that the city, county, or town has the power to adopt an ordinance, charter amendment, or law to control these rents if the ordinance, charter amendment, or law that controls rents is approved in a general election. Subdivision 1 does not limit any power or authority of the voters of a statutory or home rule charter city, county, or town to petition for an ordinance or charter amendment to control rents on private residential property to the extent that the power or authority is otherwise provided for by law, and if the ordinance or charter amendment is approved in a general election.
Full Breakdown
Under Minn. Stat. § 471.9996, "no statutory or home rule charter city, county, or town may adopt or renew by ordinance or otherwise any law to control rents on private residential property except as provided in subdivision 2." Subdivision 2 permits such a measure only when "the ordinance, charter amendment, or law that controls rents is approved in a general election," making a voter referendum the sole route to local rent control. Minnesota imposes no statewide percentage limit on rent increases. In November 2021, St. Paul voters approved a rent stabilization ordinance capping most annual increases at 3% (effective January 1, 2023), and Minneapolis voters approved a charter amendment authorizing the city to regulate rents.
Violations & Penalties
There is no statewide fine for raising rent. A locally enacted ordinance adopted by referendum under Minn. Stat. § 471.9996 sets its own enforcement: St. Paul's rent stabilization ordinance, for example, lets tenants challenge increases above the 3% cap, and a landlord who exceeds an approved cap may be ordered to roll back the rent and may face penalties under the local ordinance.
Frequently Asked Questions
Is rent control legal in Minnesota?
Can a city in Minnesota pass its own rent control?
Is there a limit on how much rent can increase in Minnesota?
Sources
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