Honoring and supporting Minnesota’s veterans remains a top DFL priority. This year, the legislature passed a bipartisan Omnibus Veterans and Military Affairs Policy bill and a critical capital investment package that delivers meaningful recognition and new benefits to underserved veteran communities, strengthens accountability in how veterans grant dollars are spent, and expands burial and educational benefits to more veterans and their families.
PASSED
Honoring Veterans of the Secret War in Laos
Building on the initial recognition granted in 2025, the legislature took the next critical step by establishing a clear, accessible path for SGU veterans to obtain Minnesota veterans benefits. A formal application process was created using the VA’s existing pre-need cemetery eligibility form. Veterans have until December 31, 2030 to apply. SGU veterans are now also eligible for burial in state veterans cemeteries, honor guard details at their funerals, and an “SGU Veteran” designation on their Minnesota driver’s license or state ID beginning January 1, 2027. Funding of $200,000 was appropriated to support implementation of this new law. (HF 3522)
Expanding Burial Honors for National Guard and Reserve Members
Beginning January 1, 2027, members of the National Guard and reserve components of the armed forces will be eligible for burial in Minnesota’s state veterans cemeteries. To qualify, a member must have completed at least one full term of honorable service, or their death must have occurred while they were in good standing with their unit. This expansion also extends burial eligibility to their spouses and dependent children and, for a fee, allows their funerals to receive honor guard detail support. (HF 3522)
Commanders Task Force
The Commanders Task Force has long been an informal advisory body to the governor and legislature, and this year we established a permanent task force to serve as a direct line of communication between Minnesota’s veterans service organizations and state government. Made up of leaders elected by the membership of the eight congressionally chartered Veterans Service Organizations, the task force will advise the commissioner of veterans affairs, the governor, and the legislature on issues affecting veterans and their families. Members serve without compensation, and the task force does not expire. (HF 3522)
Grant Accountability Standards
For the first time, Minnesota established statewide standards for organizations receiving state veterans grants. Grantees must be Minnesota-based nonprofits with at least five years of operation, in good standing with the Attorney General, and have a current IRS Form 990 on file. Grant funds must be used exclusively to serve veterans, active service members, and their immediate families, with priority given to veterans with service-connected disabilities when resources are limited. The commissioner must develop a merit-based scoring system for competitive grants, and grantees must report annually on outcomes beginning in 2027. (HF 3522)
State Active Service Pay
The minimum daily pay rate for officers and enlisted members called into state active service was updated for the first time in almost 30 years. Rather than a flat $130 per day, pay will now be set at no less than the federal E-5 daily rate (~$185/day), ensuring that Minnesotans serving their state receive compensation that keeps pace with federal military pay tables going forward. (HF 3522)
High School Diplomas for Veterans
Minnesota school districts and charter schools are now required to issue a high school diploma to any veteran who was unable to complete their high school education and who served during the Korean Conflict or the Vietnam War. The diploma recognizes the knowledge and experience gained through military service and lived experience. Family members may also request a diploma posthumously on behalf of a deceased veteran. The Minnesota Department of Veterans Affairs and county veteran service officers are authorized to assist districts in fulfilling these requests. (HF 4492)
Educational Assistance for Veterans’ Families
The legislature expanded and modernized educational benefits available to veterans’ families. Children and spouses of prisoners of war and service members declared missing in action are now eligible for free tuition at Minnesota public postsecondary institutions and the annual $750 educational stipend — benefits previously limited to children of deceased veterans. Surviving spouses remain eligible regardless of remarriage, and Tribal colleges were added as eligible institutions. All of these benefits were consolidated under one unified program, replacing a narrower and outdated statute. (HF 3741)
Commissioner Authority for Veterans’ Critical Needs
The commissioner of veterans affairs was granted explicit authority to direct non-monetary agency resources toward veterans facing food insecurity, homelessness, suicide risk, and other critical needs — without requiring additional legislative appropriation each time. The commissioner must report annually to the governor and legislature on how those resources were deployed. (HF 3467)
Agency-Requested Policy Updates
Several technical and operational updates were made at the request of the Department of Veterans Affairs.
The commissioner is now authorized to temporarily close a veterans home when required by federal Medicare and Medicaid compliance requirements, with mandatory notice to the governor and legislature and safe resident transfer protocols in place. Minnesota law was aligned with federal policy so that individuals who have forfeited their federal VA benefits are also ineligible for state veterans benefits. The Environmental Hazards Information and Assistance Act — a legacy program focused on Agent Orange and chemical exposure that has since been superseded by federal resources — was repealed. The MDVA deputy commissioner structure was also updated to reflect the agency’s current organization. (HF 3544, HF 3522)
Capital Investment: Veterans & Military Affairs
The bipartisan $1.2 billion bonding package passed this session included more than $83 million in capital investments for veterans homes, military infrastructure, and memorials across Minnesota. (HF 719, HF 2484)
- Minnesota Veterans Home — Hastings Campus ($45.2 million): The largest single veterans investment in the bill, supporting the long-term future of the Hastings home, which serves veterans in the Twin Cities region and southeastern Minnesota.
- Minneapolis Veterans Home — Building 16 Remodel ($17.2 million): A full remodel of Building 16, which houses the Domiciliary Program serving up to 50 veteran residents.
- Statewide Veterans Home Asset Preservation ($15 million): Critical maintenance and infrastructure funding for Veterans Homes and Cemeteries at all eight locations across the state.
- Stillwater Veterans Memorial ($350,000): Grant funding to support a community-driven effort to honor local veterans.
- Duluth Hangar Design ($3.5 million): Funding for the design of a new hangar facility serving Minnesota’s military operations in Duluth.
- Armory Asset Preservation ($2.3 million): Statewide preservation funding to maintain Minnesota’s network of armories.
Did Not Pass:
Property Tax Relief for Disabled Veterans
Increasing the market value exclusion for disabled veterans was a top priority for veterans stakeholder groups this session, including Disabled American Veterans, the American Legion, and the VFW. Under current law, veterans with a service-connected disability rating of 70 percent or more can exclude a portion of their home’s market value from their property tax bill. The Senate included a provision in its tax bill that would have increased these exclusions for the first time in years — from $150,000 to $175,000 for veterans with a disability rating of 70 percent or more, and from $300,000 to $350,000 for veterans with a total and permanent disability, with the same increases extending to surviving spouses and primary family caregivers. The Senate did the work to advance this provision, but the House’s failure to pass a tax bill made final negotiations impossible, and the provision was ultimately not included in the tax bill that was signed into law. (SF 5052, Sec. 8)