Gov. Tim Walz signed Chapter 45, a bill allowing homeowners to remove racial covenants on residential housing.
The bill passed the Minnesota Senate 63-1 and the House 128-0. The bill’s authors were Sen. Jeff Hayden (DFL-Minneapolis) and Rep. Jim Davnie (DFL-Minneapolis).
“Minnesota’s deep segregation is not by accident. Racial covenants existed to stop African Americans and people of color from owning property in certain areas, and we see the ramifi cations of these covenants to this day. This bill will help homeowners reject racial covenants and is one step in working to address disparities in Minnesota,” said Hayden.
The Twin Cities is among the leading regions in the country when it comes to racial gaps in homeownership. While the level of white homeownership is 12 points above the national rate at 76%, homeownership among African Americans is 23% and people of color broadly 40% – both well below the national average.
The newly created Legislative Committee on Housing Affordability is charged with studying and reviewing policies to reduce the homeownership equity gap.