HF 4102

as introduced - 93rd Legislature (2023 - 2024) Posted on 02/22/2024 02:56pm

A bill for an act
relating to taxation; tax-forfeited land sales; requiring payment to former owner
of any remaining balance after sale of tax-forfeited property and payment of
canceled taxes; amending Minnesota Statutes 2022, sections 282.05; 282.08.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

Section 1.

Minnesota Statutes 2022, section 282.05, is amended to read:

282.05 PROCEEDS APPORTIONED.

The net proceeds received from the sale or rental of forfeited lands shall be apportioned
deleted text begin to the general funds of the state or municipal subdivision thereof, deleted text end in the manner provided
in section 282.08.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment.
new text end

Sec. 2.

Minnesota Statutes 2022, section 282.08, is amended to read:

282.08 APPORTIONMENT OF PROCEEDS TO TAXING DISTRICTS.

The net proceeds from the sale or rental of any parcel of forfeited land, or from the sale
of products from the forfeited land, must be apportioned by the county auditor to the taxing
districts interested in the land, new text begin and the owner of the parcel at the time the property was
forfeited to the state, new text end as follows:

(1) the portion required to pay any amounts included in the appraised value under section
282.01, subdivision 3, as representing increased value due to any public improvement made
after forfeiture of the parcel to the state, but not exceeding the amount certified by the
appropriate governmental authority must be apportioned to the governmental subdivision
entitled to it;

(2) the portion required to pay any amount included in the appraised value under section
282.019, subdivision 5, representing increased value due to response actions taken after
forfeiture of the parcel to the state, but not exceeding the amount of expenses certified by
the Pollution Control Agency or the commissioner of agriculture, must be apportioned to
the agency or the commissioner of agriculture and deposited in the fund from which the
expenses were paid;

deleted text begin (3) the portion of the remainder required to discharge any special assessment chargeable
against the parcel for drainage or other purpose whether due or deferred at the time of
forfeiture, must be apportioned to the governmental subdivision entitled to it; and
deleted text end

deleted text begin (4) any balance must be apportioned as follows:
deleted text end

deleted text begin (i) The county board may annually by resolution set aside no more than 30 percent of
the receipts remaining to be used for forest development on tax-forfeited land and dedicated
memorial forests, to be expended under the supervision of the county board. It must be
expended only on projects improving the health and management of the forest resource.
deleted text end

deleted text begin (ii) The county board may annually by resolution set aside no more than 20 percent of
the receipts remaining to be used for the acquisition and maintenance of county parks or
recreational areas as defined in sections 398.31 to 398.36, to be expended under the
supervision of the county board.
deleted text end

deleted text begin (iii) Any balance remaining must be apportioned as follows: county, 40 percent; town
or city, 20 percent; and school district, 40 percent, provided, however, that in unorganized
territory that portion which would have accrued to the township must be administered by
the county board of commissioners.
deleted text end

new text begin (3) the portion required to pay each taxing jurisdiction the amount of taxes that were
canceled at the time of forfeiture of the property; and
new text end

new text begin (4) any balance must be returned to the owner of the parcel at the time the property was
forfeited to the state.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment.
new text end