HF 369

as introduced - 83rd Legislature (2003 - 2004) Posted on 12/15/2009 12:00am

                               A bill for an act 
                  relating to property taxes; exempting noncommercial 
                  seasonal recreational property from the state property 
                  tax; amending Minnesota Statutes 2002, section 
                  275.025, subdivisions 1, 2, 4; repealing Minnesota 
                  Statutes 2002, section 275.025, subdivision 3. 
        BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
           Section 1.  Minnesota Statutes 2002, section 275.025, 
        subdivision 1, is amended to read: 
           Subdivision 1.  [LEVY AMOUNT.] The state general levy is 
        levied against commercial-industrial property and seasonal 
        recreational property, as defined in this section.  The state 
        general levy is $592,000,000 for taxes payable in 2002.  For 
        taxes payable in subsequent years, the levy is increased each 
        year by multiplying the amount for the prior year by the sum of 
        one plus the rate of increase, if any, in the implicit price 
        deflator for government consumption expenditures and gross 
        investment for state and local governments prepared by the 
        Bureau of Economic Analysts of the United States Department of 
        Commerce for the 12-month period ending March 31 of the year 
        prior to the year the taxes are payable.  The tax under this 
        section is not treated as a local tax rate under section 469.177 
        and is not the levy of a governmental unit under chapters 276A 
        and 473F.  Beginning in fiscal year 2004, and in each year 
        thereafter, the commissioner of finance shall deposit in an 
        education reserve account, which account is hereby established, 
        the increased amount of the state general levy received for 
        deposit in the general fund for that year over the amount of the 
        state general levy received for deposit in the general fund in 
        fiscal year 2003.  The amounts in the education reserve account 
        do not lapse or cancel each year, but remain until appropriated 
        by law for education aid or higher education funding. 
           [EFFECTIVE DATE.] This section is effective for taxes 
        payable in 2004 and subsequent years. 
           Sec. 2.  Minnesota Statutes 2002, section 275.025, 
        subdivision 2, is amended to read: 
           Subd. 2.  [COMMERCIAL-INDUSTRIAL TAX CAPACITY.] For the 
        purposes of this section, "commercial-industrial tax capacity" 
        means the tax capacity of all taxable property classified as 
        class 3, commercial class 4c(1), or class 5(1) under section 
        273.13, except for electric generation attached machinery under 
        class 3 and property described in section 473.625.  County 
        commercial-industrial tax capacity amounts are not adjusted for 
        the captured net tax capacity of a tax increment financing 
        district under section 469.177, subdivision 2, the net tax 
        capacity of transmission lines deducted from a local 
        government's total net tax capacity under section 273.425, or 
        fiscal disparities contribution and distribution net tax 
        capacities under chapter 276A or 473F. 
           [EFFECTIVE DATE.] This section is effective for taxes 
        payable in 2004 and subsequent years. 
           Sec. 3.  Minnesota Statutes 2002, section 275.025, 
        subdivision 4, is amended to read: 
           Subd. 4.  [APPORTIONMENT AND LEVY OF STATE GENERAL TAX.] 
        The state general tax must be distributed among the counties by 
        applying a uniform rate to each county's commercial-industrial 
        tax capacity and its seasonal recreational tax capacity.  Within 
        each county, the tax must be levied by applying a uniform rate 
        against commercial-industrial tax capacity and seasonal 
        recreational tax capacity.  By November 1 each year, the 
        commissioner of revenue shall certify the state general levy 
        rate to each county auditor. 
           [EFFECTIVE DATE.] This section is effective for taxes 
        payable in 2004 and subsequent years. 
           Sec. 4.  [REPEALER.] 
           Minnesota Statutes 2002, section 275.025, subdivision 3, is 
        repealed. 
           [EFFECTIVE DATE.] This section is effective for taxes 
        payable in 2004 and subsequent years.