HF 2412

as introduced - 85th Legislature (2007 - 2008) Posted on 12/15/2009 12:00am

A bill for an act
relating to property taxation; limiting the taxable value of reconstructed homes in
a disaster area; amending Minnesota Statutes 2006, section 273.11, by adding a
subdivision.

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

Section 1.

Minnesota Statutes 2006, section 273.11, is amended by adding a
subdivision to read:

new text begin Subd. 24. new text end

new text begin Limit on taxable valuation; reconstructed homes in disaster area.
new text end

new text begin (a) A homestead property located within a disaster or emergency area that (i) sustained
physical damage of at least $5,000 in the disaster or emergency, (ii) has been restored or
rebuilt within 18 months of the disaster or emergency, and (iii) has a current estimated
market value that exceeds its taxable market value in the year of the disaster or emergency
because of the restoration or reconstruction, is eligible for valuation limitation under
this subdivision for the three assessment years immediately following the restoration
or reconstruction. For those three assessment years, the property is not subject to the
valuation limit under subdivision 1a. In the first assessment year following the restoration
or reconstruction, the taxable value shall be equal to three-quarters of its taxable value in
the assessment year of the disaster or emergency, plus one-quarter of its current estimated
market value. In the second assessment year following the restoration or reconstruction,
the taxable value shall be equal to one-half of its taxable value in the assessment year of
the disaster or emergency, and one-half of its current estimated market value. In the
third assessment year following the restoration or reconstruction, the taxable value shall
be equal to one-quarter of its taxable value in the assessment year of the disaster or
emergency, and three-quarters of its current estimated market value.
new text end

new text begin (b) For the purposes of this section, "disaster or emergency area" means an area in
which the president of the United States, the secretary of agriculture, or the administrator
of the small business administration has determined that a disaster exists pursuant to
federal law or in which a local emergency has been declared pursuant to section 12.29.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective for assessment year 2007 and
thereafter.
new text end