HF 64

Introduction - 84th Legislature (2005 - 2006)

Posted on 12/15/2009 12:00 a.m.

A bill for an act
relating to local government aids; changing the aid
formula for certain cities; amending Minnesota
Statutes 2004, section 477A.011, subdivision 34.

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

Section 1.

Minnesota Statutes 2004, section 477A.011,
subdivision 34, is amended to read:

Subd. 34.

City revenue need.

(a) For a city with a
population equal to or greater than deleted text begin 2,500 deleted text end new text begin 3,500 new text end , "city revenue
need" is the sum of (1) 5.0734098 times the pre-1940 housing
percentage; plus (2) 19.141678 times the population decline
percentage; plus (3) 2504.06334 times the road accidents factor;
plus (4) 355.0547; minus (5) the metropolitan area factor; minus
(6) 49.10638 times the household size. new text begin The city revenue need
cannot be less than zero.
new text end

(b) For a city with a population less than 2,500, "city
revenue need" is the sum of (1) 2.387 times the pre-1940 housing
percentage; plus (2) 2.67591 times the commercial industrial
percentage; plus (3) 3.16042 times the population decline
percentage; plus (4) 1.206 times the transformed population;
minus (5) 62.772. new text begin The city revenue need cannot be less than
zero.
new text end

(c) new text begin For a city with a population greater than 2,499 and
less than 3,500, "city revenue need" is the sum of (1) its city
revenue need calculated under paragraph (a) multiplied by its
transition factor; plus (2) its city revenue need calculated
under paragraph (b) multiplied by the difference between one and
its transition factor. For purposes of this paragraph, a city's
"transition factor" is equal to the difference between 3,499 and
its population, divided by 1,000. new text end The city revenue need cannot
be less than zero.

(d) For calendar year 2005 and subsequent years, the city
revenue need for a city, as determined in paragraphs (a) to (c),
is multiplied by the ratio of the annual implicit price deflator
for government consumption expenditures and gross investment for
state and local governments as prepared by the United States
Department of Commerce, for the most recently available year to
the 2003 implicit price deflator for state and local government
purchases.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective beginning with
aids payable in 2006.
new text end