Auto purchase and repair grants

The House Housing Policy and Finance and Public Health Finance Division heard a proposal March 10 that would give community action agencies money to help individuals with auto repairs and purchases. It was laid over for possible inclusion in a division omnibus bill.

Sponsored by Rep. Morrie Lanning (R-Moorhead), HF3208 would appropriate $3 million for the current biennium to a fund that the human services commissioner would distribute to agencies. Each agency would provide a 10 percent match using either nonstate funds or in-kind services. Loans and grants could be given to families and individuals whose income makes them eligible for benefits under the Minnesota Family Investment Program.

The bill is “to help families who are on welfare be able to work their way off welfare and be able to retain employment,” said Lanning. A similar proposal was in last year’s health and human services bill, but the funding process was questioned by the department, and therefore vetoed by the governor, he said.

“Community action agencies are the masters of match funding,” said Joe Pederson, executive director for Lakes & Prairies Community Action Partnership. “We know how to make the best use of the dollar.”

Over the past six years we’ve made loans and grants to more than 70 families, and most are single moms, said Steve Nagle, executive director for West Central Minnesota Communities Actions Inc. In rural Minnesota “there’s virtually no public transportation that will work for people” to get to needed places such as daycare, he said.

There was no opposition to the bill.

A Senate companion, SF3113, sponsored by Sen. Julie Rosen (R-Fairmont), awaits action in the Senate Finance Committee.