HF 2055

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

  1.1                          A bill for an act 
  1.2             relating to local government; providing for certain 
  1.3             local government fees; proposing coding for new law in 
  1.4             Minnesota Statutes, chapter 462. 
  1.5   BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.6      Section 1.  [462.3531] [LOCAL GOVERNMENT FEES.] 
  1.7      Subdivision 1.  [DEFINITIONS.] (a) The definitions in this 
  1.8   section apply in this chapter. 
  1.9      (b) "Fee" means any payment of money imposed by a local 
  1.10  government unit under the authority of this section or section 
  1.11  16B.70. 
  1.12     (c) "Local government unit" means a town, county, township, 
  1.13  or statutory or home rule charter city. 
  1.14     Subd. 2.  [AUTHORITY.] A local government unit may, by 
  1.15  ordinance, impose fees.  The fees must be fair and reasonable 
  1.16  and shall reflect no more than the actual cost of the service 
  1.17  for which the fee is imposed.  
  1.18     Subd. 3.  [PROCESS FOR ADOPTION OF FEE.] Before imposing a 
  1.19  fee or increasing the amount of a fee, a local government unit 
  1.20  must prepare a cost analysis.  The cost analysis must include, 
  1.21  but is not limited to, the following: 
  1.22     (a) an estimate of the annual expenses to be incurred for 
  1.23  providing the service; 
  1.24     (b) and estimate of the number of personnel hours necessary 
  1.25  to perform the services; and 
  2.1      (c) identification of any existing funds that may be 
  2.2   available to pay some or all of the necessary expenses. 
  2.3      Subd. 4.  [PUBLIC FILING.] A cost analysis prepared under 
  2.4   this section must be available for public inspection and copying 
  2.5   in the office of the clerk of the local government unit at least 
  2.6   30 days before the public hearing.  The proposal and notice of 
  2.7   public hearing must be published in the newspaper of record no 
  2.8   later than 30 days before the hearing. 
  2.9      Subd. 5.  [FEE LIMITATION.] A local government unit must 
  2.10  base any fee imposed under this section on the direct 
  2.11  expenditures related to the purpose for which the fee was 
  2.12  imposed. 
  2.13     Subd. 6.  [FEE CALCULATION; ACCOUNTING; AND COLLECTION.] (a)
  2.14  Fees must be deposited in a separate account and may be spent 
  2.15  only for the services for which the fees were collected and 
  2.16  imposed in the service area for which the fees were paid. 
  2.17     (b) Local government units must adopt appropriate 
  2.18  management and accounting procedures to ensure that fees are 
  2.19  maintained and used only for the purpose for which the fees are 
  2.20  collected. 
  2.21     Subd. 7.  [PUBLIC PARTICIPATION.] Before the adoption of 
  2.22  the annual budget, a local government unit must hold a public 
  2.23  hearing to report and receive public comment on the use of fees 
  2.24  collected.  The public hearing may be included as part of a 
  2.25  public hearing conducted in connection with adoption of the 
  2.26  local government unit's annual budget. 
  2.27     Subd. 8.  [CREDITS.] A local government unit must reduce or 
  2.28  credit any fee imposed to the extent that a developer or builder 
  2.29  has constructed community improvements, dedicated land, or paid 
  2.30  other taxes in place of a fee. 
  2.31     Subd. 9.  [APPLICATION TO EXISTING FEE PROGRAMS.] Existing 
  2.32  local government unit fee collection programs must comply with 
  2.33  this section after June 30, 2000.