HF 931

as introduced - 81st Legislature (1999 - 2000) Posted on 12/15/2009 12:00am

  1.1                          A bill for an act 
  1.2             relating to taxation; providing for the taxation of 
  1.3             local government units under a cooperation and 
  1.4             combination plan; amending Minnesota Statutes 1998, 
  1.5             section 465.82, by adding a subdivision. 
  1.6   BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.7      Section 1.  Minnesota Statutes 1998, section 465.82, is 
  1.8   amended by adding a subdivision to read: 
  1.9      Subd. 4.  [DIFFERENTIAL TAXATION.] The plan for cooperation 
  1.10  and combination adopted in accordance with subdivision 1 may 
  1.11  establish that the tax rate of the local government unit with 
  1.12  the lesser tax rate prior to the effective date of combination 
  1.13  shall be increased in substantially equal proportions over not 
  1.14  more than six years to equality with the tax rate on the 
  1.15  property already within the borders of the local unit of 
  1.16  government with the higher tax rate.  The appropriate period of 
  1.17  time, if any, for transition to the higher tax rate shall be 
  1.18  based on the time reasonably required to effectively provide 
  1.19  equal municipal services to the residents of the local unit of 
  1.20  government with the lower tax rate. 
  1.21     Sec. 2.  [EFFECTIVE DATE.] 
  1.22     Section 1 is effective the day following final enactment 
  1.23  for taxes levied in 1999 and thereafter.