Summary of HF 3741 (2025-2026) – Minnesota
Proposed by: Representatives Hill, Rehrauer, Lee, Xiong, Clardy, and associates
Status: Passed House; transmitted to Senate (as of 3/23/2026)
Committee: Veterans and Military Affairs Division
Subject: Educational assistance for veterans' children and spouses; appropriation; repeal and modernization of prior POW/MIA dependent program
Overall purpose
- Modify Minnesota’s educational assistance program for the children and spouses of veterans (including those connected to prisoners of war or missing in action) and update related definitions, administration, and reporting.
- Repeal an older program and replace/reshape it with current statutory language, funding, and requirements.
- Ensure continued eligibility, funding clarity, and institutional participation for eligible public and eligible private postsecondary institutions in Minnesota.
Key provisions and changes
1) Redefined terms and eligibility (Section 1)
- Updates the definitions used in the educational assistance program:
- Eligible child: child of a deceased veteran (or of a POW/MIA-affiliated person) meeting age/education progress criteria, residency requirements, and timely application.
- Eligible institution: a Minnesota public postsecondary in-state institution operated by the state, the University of Minnesota Board of Regents, tribally controlled colleges, or any institution licensed/registered with the Office of Higher Education.
- Eligible spouse: surviving spouse or spouse of a POW/MIA-affiliated person; must be an eligible student in good academic standing at an eligible institution; residency requirements apply; must apply before the term ends.
- Eligible veteran: a veteran who is making satisfactory academic progress, had Minnesota as residence at enlistment/reenlistment, has no remaining federal/other veteran educational benefits (for purposes of this state program), and remains a resident student while using these benefits.
- Additional terms include definitions for “deceased veteran,” “surviving spouse,” “prisoner of war,” “missing in action,” “tuition and fees,” and “Tribally controlled college.”
- Clarifies that POW/MIA definitions align with DoD/VA determinations since Aug 1958.
2) Benefits, eligibility, and payment mechanics (Section 2)
- Annual stipend: The commissioner must spend a biennial appropriation to provide an educational assistance stipend of $750 each year for each eligible child and each eligible spouse, plus a single $750 payment for each eligible veteran. Note: the language indicates these stipends are not available to individuals who have earned a bachelor’s degree or higher.
- Tuition/fees waivers: Each eligible child and eligible spouse must be admitted to an eligible Minnesota public postsecondary institution with free tuition and fees until the person earns a bachelor’s degree (or equivalent). This is a broad tuition waiver condition contingent on eligibility and ongoing progress.
- Payment timing: After eligibility is approved, benefits are awarded on a funds-available basis. Payments can go directly to participating eligible institutions or to eligible individuals, as determined by the commissioner.
- Longitudinal eligibility: Once an individual qualifies as an eligible child or eligible spouse, they retain eligibility regardless of subsequent changes in circumstance (e.g., a POW/MIAs’ return or death).
3) Proof of eligibility and administrative requirements (Section 3)
- Applicants must submit: an application, proof of military service, residency proof (if applicable), and a VA/DoD determination showing exhaustion of federal benefits or service-connected disability status as required.
- Benefits start from date of application approval, with notification sent to the educational institution and applicant.
4) Participation of institutions (Section 4)
- Public Minnesota postsecondary institutions must continue to participate in the program during peacetime and war.
- Other eligible institutions may suspend or terminate participation at the end of any term, subject to terms of participation.
5) Reporting requirements (Section 5)
- New Subd. 7 requires annual reports by September 30 from eligible institutions detailing:
- Program activity and number of students served
- Enrollment and graduation data for all students receiving benefits
- Aggregate tuition costs and tuition waivers granted
- Private and public institutions must maintain an information presence for veterans benefits on their websites, including links to state/federal programs.
6) Appropriations and cap (Section 6)
- Revisions maintain the appropriation framework: the amount necessary to pay benefits under subdivisions 5, 5a, 5b, 6 (and 7) is from the general fund, with a cap of $6,000,000 in any fiscal year starting July 1, 2012 and onward (note: this section references a cap in existing law, and HF 3741 aligns with this cap for continued funding). The exact subdivision references reflect the bill’s updated numbering.
7) Repeal of prior statutory provision (Section 7)
- Repeals Minnesota Statutes 2024, section 197.752 (the former POW/MIA dependent education program), signaling a transition to the revised framework.
Impact and who is affected
- Eligible children and spouses of veterans, including those connected to POW/MIA cases, gain a state-funded pathway to tuition-free attendance at Minnesota eligible institutions, plus annual stipends (except those who already hold a bachelor’s degree).
- Public Minnesota postsecondary institutions (and tribally controlled colleges) are required to participate; private institutions must provide benefits information and assist with program access.
- Students must meet residency and academic progress requirements to maintain eligibility.
- Institutions must track and report program activity and student outcomes annually.
Timeline and procedural notes
- The bill creates a new framework for eligibility and benefits, with annual reporting due by September 30 of each year.
- It establishes continued funding authority under the state general fund, subject to the statutory cap.
- Repeals the prior 197.752 program, consolidating and modernizing the approach to veterans’ educational assistance in Minnesota.
In sum, HF 3741 modernizes and expands state educational assistance for veterans’ families, emphasizes tuition waivers through the bachelor’s degree, requires regular institutional reporting, and ensures consistent administration by the Minnesota Commissioner of Veterans Affairs.
