ST. PAUL, MN - Governor Tim Walz today signed multiple budget and policy bills passed in the 2025 session, including a bill that will boost pensions for Minnesota teachers, police officers, and firefighters.

“Minnesota is a state that values the hard work and contributions of public servants like our teachers, police officers, and firefighters. The bipartisan work that went into this bill will ensure these middle-class families are treated in retirement with the dignity and respect that they’ve earned,” said Governor Walz. “This bill is fulfilling our commitment to ensure those who have committed their life to public service can retire with economic security.”

Chapter 37, Senate File 2884 adjusts retirement benefits for teachers, firefighters, police officers, state patrol officers, and public employees. The teacher retirement reform lowers the age of retirement from 62 to 60 and lowers the reduction percentage from 6% to 5% for teachers with 30 years of service, providing full pension benefits without penalties. The bill also adjusts the three-year cost-of-living adjustment delay and provides a one-time three percent cost-of-living increase in 2026 and one percent annually thereafter for PERA police and firefighter members. A 1.25% annual cost of living increase will be applied for state patrol retirees.

The Governor also signed the following bills:

Chapter 34, House File 2446: The Agriculture and Broadband Development Policy and Finance Bill appropriates $115 million to the Department of Agriculture, $13.5 million to the Board of Animal Health, $8.7 million to the Agricultural Utilization Research Institute and $2 million to the Office of Broadband Development to increase high-speed internet access across the state.

The bill also allocates $1.5 million to the agricultural emergency account to test for and monitor avian flu. Additional policy provisions include: modifications to laws regulating home-based milk marketers; promotion of biofertilizer innovation and efficiency; support for local food purchasing assistance programs; modifications to food processing regulations; provision of mental health outreach and support to farmers, ranchers, farm workers, and employees; and modification to eligibility rules for manufacturing home-processed pet treats. 

Chapter 31, Senate File 2370: The Omnibus Cannabis Policy Bill makes numerous changes to the state’s cannabis laws. The bill allows for the regulation and licensing of low-potency hemp products; allows cannabis product testing by labs working towards accreditation to ensure sufficient testing capacity; makes changes to business licensing requirements; refines cannabis record expungement practices; allows continuity of services for existing medical cannabis users; adds the Office of Cannabis Management to the Tribal consultation statute; and makes changes to cannabis administration practices at state and local levels. 

Chapter 32 Senate File 2298: The Omnibus Housing and Homelessness Prevention Policy and Appropriations Bill establishes a budget for the Minnesota Housing Finance Agency, and provides one-time appropriations for agency programs including $8.35 million for Family Homeless Prevention and Assistance Program and $2 million each for Economic Development and Housing Challenge Program; Affordable Workforce Homeownership Program; Homeownership Assistance Program; Greater Minnesota Housing Infrastructure Grants; and Midwest Minnesota Community Development Corporation for Community-Based First Generation Down Payment Assistance. The bill also includes numerous technical policy provisions to improve program implementation and delivery. 

Chapter 35, House File 2432: The Judiciary and Public Safety Finance and Policy Omnibus bill allocates $107 million in new spending for public safety and the courts, including funding to the Department of Public Safety, Department of Corrections, Department of Human Rights, the Judicial Branch, and other public safety and judicial entities. This bill outlines the phased closure of Stillwater Prison in addition to providing funding for crime victim services and the Philando Castile Memorial Training Fund. The bill also establishes the Financial Crimes and Fraud Section at the Bureau of Criminal Apprehension, a key pillar of the Governor’s anti-fraud package.

Chapter 30, Senate File 1959: The Omnibus Veterans Policy and Appropriations Bill provides a $50.5 million increase to veterans and military affairs funding, including funding to support operations at the state veterans homes; $8 million to maintain enlistment and retention bonuses and operating adjustments for Veterans Affairs and Military Affairs departments; $300,000 for suicide prevention; and $300,000 to expand home-delivered meals to veterans.

Chapter 36, House File 2563: The Legacy Finance Bill appropriates dedicated revenue to four funds that protect Minnesota’s environment and preserve the state’s arts and cultural heritage. The package allocates $163 million to the Outdoor Heritage Fund; $304 million to the Clean Water Fund; $130 million to the Parks and Trails Fund; and $180 million to the Arts and Cultural Heritage Fund for the next biennium.

Chapter 38, House File 2115: The human services policy bill includes several policy changes and establishes the right to a designated support person for nursing home residents, prohibits county boards from charging for emergency services provided to clients experiencing emotional crisis or mental illness, and expands the Health Care Bill of Rights.

Chapter 39, Senate File 3045: The omnibus State and Local Government and Elections policy and appropriations bill includes $13.92 million for the House, $4.62 million for the Senate, $3.96 million for the Legislative Coordinating Commission, and operating adjustments for multiple state agencies and offices, board and commissions, and councils. It also includes $200,00 for cybersecurity, voter registration, and election system security, leveraging $1 million in federal funds. The bill also includes policy provisions to fight fraud such as grantee debarment, payment withholding, and data sharing.