HF 957

as introduced - 90th Legislature (2017 - 2018) Posted on 03/03/2017 08:29am

A bill for an act
relating to local government; prohibiting certain fees; amending Minnesota Statutes
2016, section 462.353, subdivision 4.

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

Section 1.

Minnesota Statutes 2016, section 462.353, subdivision 4, is amended to read:

Subd. 4.

Fees.

(a) A municipality may prescribe fees sufficient to defray the costs incurred
by it in reviewing, investigating, and administering an application for an amendment to an
official control established pursuant to sections 462.351 to 462.364 or an application for a
permit or other approval required under an official control established pursuant to those
sections. new text begin A municipality may not impose a fee to review or investigate a permitted use for
compliance with any official control. new text end Except as provided in subdivision 4a, fees as prescribed
must be by ordinance. Fees must be fair, reasonable, and proportionate and have a nexus
to the actual cost of the service for which the fee is imposed.

(b) A municipality must adopt management and accounting procedures to ensure that
fees are maintained and used only for the purpose for which they are collected. Upon request,
a municipality must explain the basis of its fees.

(c) Except as provided in this paragraph, a fee ordinance or amendment to a fee ordinance
is effective January 1 after its adoption. A municipality may adopt a fee ordinance or an
amendment to a fee ordinance with an effective date other than the next January 1, but the
ordinance or amendment does not apply if an application for final approval has been
submitted to the municipality.

(d) If a dispute arises over a specific fee imposed by a municipality related to a specific
application, the person aggrieved by the fee may appeal under section 462.361, provided
that the appeal must be brought within 60 days after approval of an application under this
section and deposit of the fee into escrow. A municipality must not condition the approval
of any proposed subdivision or development on an agreement to waive the right to challenge
the validity of a fee. An approved application may proceed as if the fee had been paid,
pending a decision on the appeal. This paragraph must not be construed to preclude the
municipality from conditioning approval of any proposed subdivision or development on
an agreement to waive a challenge to the cost associated with municipally installed
improvements of the type described in section 429.021.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective August 1, 2017, and applies to fees
imposed on or after that date.
new text end