Local government grant account created, grant programs for local governments to pay for certain costs of federal action established, and money appropriated.

HF 2900 creates a $10 million grant account to reimburse Minnesota local governments (counties, cities, townships, and school districts) for specific legal costs related to federal executive orders. The funds cover expenses like challenging federal censorship or segregation orders, continuing special education services, reducing disparities, or upholding state law against conflicting federal actions effective after January 19, 2025. Grants are awarded on a first-come, first-served basis with a $500,000 maximum per local government. Unused funds must be returned to the state budget reserve by July 15, 2026.