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Policy

Our 2026 Policy Priorities

A dedicated prenatal and infant cash program designed to support Minnesota's babies and their new parents.

Minnesota Newborn Benefit Act (HF3944 / SF4213)
Homeless Youth Stipend

This bill, set to be introduced in 2027, will expand Youthprise’s Homeless Youth Stipend Pilot Program, focusing on closing housing gaps for youth and young adults—particularly those transitioning from foster care and experiencing housing instability.

Minnesota Newborn
Benefit Act

The Problem

As the cost of living rises, wages stagnate, and jobs are eliminated across sectors, Minnesotan families are struggling to afford their lives. Nowhere is that crunch felt more acutely than for Minnesotans who are welcoming a new life to their family. But the high costs of infant care– from baby formula to childcare–jeopardizes the health of newborns and the financial security of their families. This financial strain contributes to the downward trend in birth rates in communities across the state, that could pose a threat to Minnesota’s long term economic vitality.

The Minnesota Newborn Benefit Act (HF3944 / SF4213) seeks to address this widespread issue by providing families with essential support and resources needed to care for their new child.

Our Policy Solution

The Minnesota Newborn Benefit Act (HF3944 / SF4213) would provide direct, guaranteed cash benefits to Minnesota residents who are biological parents, legal guardians, or adoptive parents of a child born or placed after January 1, 2028. Download our bill one-pager.

Protection of Existing Aid

Payments are not considered income or assets when determining eligibility for other state assistance programs, such as food & housing support or child care assistance.

Works with Paid Leave Act

Authorizes administration through the Minnesota Paid Leave law. Benefits provide support during and after bonding leave.

Broad Inclusion

Eligibility extends to biological births, adoptions, and foster placements for children under one year of age.

A one-time payment of $1,500 during the third trimester to help families prepare for their child's arrival.

Prenatal Support
Monthly Newborn Benefit for 24 months
Universal Eligibility

A recurring payment of $750 per month for the first 24 consecutive months of the child's life.

Benefits are not subject to income or asset tests, nor are they conditioned on employment status.

Frequently asked questions

Do other states have this type of baby benefit?

There have been dozens of local pilot programs for families with children. In 2025, Michigan passed $270 million to expand Rx Kids, a public/private partnership providing a one-time benefit of $1,500 in prenatal cash support and $500 monthly unrestricted cash benefits to every newborn in certain counties across the state.

How does this relate to Minnesota’s Paid Leave law and bonding leave?

The MNBA works hand-in-hand with PFML, and would be administered through the Department of Employment and Economic Development (DEED) that is already designed to provide direct deposits to Minnesotans at scale, verify pregnancies/medical conditions, and provide benefits to families taking bonding leave. Families would be eligible for MNBA while they are on bonding leave.

How does the MNBA provide additional support for newborns?

Every newborn is eligible for the benefit, regardless of a parent’s employment status or eligibility for PFML. While bonding leave ends when a parent returns to work, newborn benefits continue after employment resumes. Newborn benefits are also based on the child, so payments increase for families that have multiples.

How does the MNBA provide additional support for parents?

Flexible cash benefits for families with newborns helps parents cover living expenses and child care costs to return to work full-time or part-time after bonding leave. This especially supports the economic status of women who have disproportionately left the workforce due to the high cost of child care and other demands. Benefits can also help families weather unpaid bonding leave if a parent chooses or needs to stay home for longer than paid leave is provided.

Why is this an economic development and workforce issue?

Care is the work that supports all other work, and parents with newborns cannot return to the workforce if they cannot afford child care. Flexible cash benefits support working parents whether they enroll their child in day care, hire a family member, or any other arrangement that works for them. Benefits go back into local economies. Making Minnesota the best state to raise a family also matters for the state’s long-term economic health given our aging demographics and workforce shortages made worse by attacks on immigration.

Why are there no income restrictions for the program?

Minnesotans across all income brackets are struggling with the high cost of child care that can cost as much as college tuition. Having a simple, universal program ensures all newborns are supported, eligibility is clear, and mitigates concerns about fraud. Minnesotans who do not need the program, do not need to enroll.

Does cash have to be spent on child care or other certain expenses?

No, it is flexible and unrestricted.