HF 882

1st Engrossment - 85th Legislature (2007 - 2008) Posted on 12/15/2009 12:00am

A bill for an act
relating to metropolitan government; modifying provisions governing
metropolitan livable communities fund; authorizing a transfer of funds between
metropolitan livable communities fund accounts; authorizing a onetime transfer
from the livable communities demonstration account for local planning assistance
grants and loans; amending Minnesota Statutes 2006, sections 473.252, subdivision 3; 473.253, subdivision 2.

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

Section 1.

Minnesota Statutes 2006, section 473.252, subdivision 3, is amended to read:

Subd. 3.

Distribution of funds.

(a) The council must use the funds in the account
to make grants to municipalities or development authorities for the cleanup of polluted
land in the metropolitan area. A grant to a metropolitan county or a development authority
must be used for a project in a participating municipality. The council shall prescribe
and provide the grant application form to municipalities. The council must consider the
probability of funding from other sources when making grants under this section.

(b)(1) The legislature expects that applications for grants will exceed the available
funds and the council will be able to provide grants to only some of the applicant
municipalities. If applications for grants for qualified sites exceed the available funds,
the council shall make grants that provide the highest return in public benefits for the
public costs incurred, that encourage development that will lead to the preservation or
growth of living-wage jobs or the production of affordable housing, and that enhance
the tax base of the recipient municipality.

(2) In making grants, the council shall establish regular application deadlines in
which grants will be awarded from the available money in the account. If the council
provides for application cycles of less than six-month intervals, the council must reserve
at least 40 percent of the receipts of the account for a year for application deadlines that
occur in the second half of the year. If the applications for grants new text begin meeting the funding
criteria and program guidelines new text end exceed the available funds for an application cycle, no
more than one-half of the funds may be granted to projects in a statutory or home rule
charter city and no more than three-quarters of the funds may be granted to projects
located in cities of the first class.

new text begin (3) In 2007 and each year thereafter, if there is an insufficient number of applications
meeting funding criteria and program guidelines for the tax base revitalization account,
any funds unused for an application cycle may be transferred to the livable communities
demonstration account for distribution to eligible applicants under section 473.253,
subdivision 2.
new text end

(c) A municipality may use the grant to provide a portion of the local match
requirement for project costs that qualify for a grant under sections 116J.551 to 116J.557.

Sec. 2.

Minnesota Statutes 2006, section 473.253, subdivision 2, is amended to read:

Subd. 2.

Distribution of funds.

The council shall use the funds in the livable
communities demonstration account to make grants or loans to municipalities participating
in the local housing incentives program under section 473.254 or to metropolitan area
counties or development authorities to fund the initiatives specified in section 473.25,
paragraph (b), in participating municipalities. A grant to a metropolitan county or a
development authority must be used for a project in a participating municipality. For
the purpose of this section, "development authority" means a statutory or home rule
charter city, housing and redevelopment authority, economic development authority, or
port authority. new text begin In 2007 and each year thereafter, if there is an insufficient number of
applications meeting funding criteria and program guidelines for the livable communities
demonstration account, any funds unused for an application cycle may be transferred to
the tax base revitalization account for distribution to eligible applicants under section
473.252, subdivision 3. new text end

Sec. 3. new text begin ONETIME TRANSFER.
new text end

new text begin Notwithstanding Minnesota Statutes, section 473.253, in 2007 the council may
transfer to the planning assistance fund provided in Minnesota Statutes, section 473.867,
subdivision 2, up to $1,000,000 of the amount levied by the council under Minnesota
Statutes, section 473.253, subdivision 1, for taxes payable in 2007. The council shall
use the amount transferred to the planning assistance fund for grants or loans to local
governments under section 473.867.
new text end

Sec. 4. new text begin APPLICATION.
new text end

new text begin Sections 1 to 3 apply in the counties of Anoka, Carver, Dakota, Hennepin, Ramsey,
Scott, and Washington.
new text end

Sec. 5. new text begin EFFECTIVE DATE.
new text end

new text begin Sections 1 to 4 are effective the day following final enactment.
new text end