The Minnesota House of Representatives passed a bill on May 16, 2025, allocating $100 million to fund unemployment insurance for hourly and temporary school workers in fiscal year 2026. The bill, HF1143, sponsored by Rep. Emma Greenman (DFL-Mpls), received unanimous support with a 131-0 vote.
The funding will come from redirecting $77.23 million from the Northern Lights Express rail project and $22.6 million from special education aid. The program is currently set to sunset in the 2028-29 school year unless additional state funding is provided.
Rep. Ron Kresha (R-Little Falls), while supporting the bill, expressed concerns about the program’s long-term sustainability, stating, “Are we going to keep looking under rocks? That is unsustainable.” Greenman countered with a different perspective, suggesting a potential redistribution of funds from large corporations to low-wage school workers who average $17 per hour.
The program was established in 2023 with $135 million, of which an estimated $103 million has already been spent. The bill now moves to the Senate for consideration.
Background
The unemployment insurance program for hourly school workers was created to provide financial support during the summer months when many are not working. Proponents argue that these workers are essential to the education system and deserve the same benefits as other state workers.
Legislative Context
The bill’s passage comes as part of a broader education finance discussion in the Minnesota Legislature. Related articles suggest that the education finance bill is expected to include a $44 million boost for Minnesota schools. Other recent developments include a substitute teacher program and charter school PSEO access being included in an education policy bill that cleared the House.
Future Prospects
While the bill has passed the House, its future in the Senate remains uncertain. Additionally, concerns about the program’s funding beyond the initial allocation remain, with some lawmakers suggesting that alternative solutions will be needed to ensure its continuation.
