SF 2230

as introduced - 88th Legislature (2013 - 2014) Posted on 03/04/2014 09:30am

A bill for an act
relating to taxation; property; local government; modifying payment in lieu of
taxes distribution; modifying the calculation on aid losses; amending Minnesota
Statutes 2013 Supplement, sections 477A.013, subdivision 8; 477A.14,
subdivision 1.

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

Section 1.

Minnesota Statutes 2013 Supplement, section 477A.013, subdivision 8,
is amended to read:

Subd. 8.

City formula aid.

(a) For aids payable in 2014 only, the formula aid for a
city is equal to the sum of (1) its 2013 certified aid, and (2) the product of (i) the difference
between its unmet need and its 2013 certified aid, and (ii) the aid gap percentage.

(b) For aids payable in 2015 and thereafter, the formula aid for a city is equal to the
sum of (1) its formula aid in the previous year and (2) the product of (i) the difference
between its unmet need and its deleted text begin certified deleted text end new text begin formula new text end aid in the previous year deleted text begin under subdivision
9 deleted text end , and (ii) the aid gap percentage.

new text begin (c) For aids payable in 2015 and thereafter, if a city's certified aid from the previous
year is greater than the sum of its unmet need plus its aid adjustment under subdivision 13,
its formula aid is adjusted to equal its unmet need.
new text end

new text begin (d) new text end No city may have a formula aid amount less than zero. The aid gap percentage
must be the same for all cities new text begin subject to paragraph (b) new text end .

new text begin (e) new text end The applicable aid gap percentage must be calculated by the Department of
Revenue so that the total of the aid under subdivision 9 equals the total amount available
for aid under section 477A.03. Data used in calculating aids to cities under sections
477A.011 to 477A.013 shall be the most recently available data as of January 1 in the
year in which the aid is calculated.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective for aids payable in calendar year
2015 and thereafter.
new text end

Sec. 2.

Minnesota Statutes 2013 Supplement, section 477A.14, subdivision 1, is
amended to read:

Subdivision 1.

General distribution.

Except as provided in subdivisions 2 and 3,
40 percent of the total payment to the county shall be deposited in the county general
revenue fund to be used to provide property tax levy reduction. The remainder shall be
distributed by the county in the following priority:

deleted text begin (a) deleted text end new text begin (1) new text end 64.2 cents, for each acre of county-administered other natural resources land
shall be deposited in a resource development fund to be created within the county treasury
for use in resource development, forest management, game and fish habitat improvement,
and recreational development and maintenance of county-administered other natural
resources land. Any county receiving less than $5,000 annually for the resource
development fund may elect to deposit that amount in the county general revenue fund;

deleted text begin (b) from the funds remaining, deleted text end new text begin (2) new text end within 30 days of receipt of the payment to
the county, the county treasurer shall pay deleted text begin each organized township ten percent of the
amount received deleted text end new text begin a township with land that qualifies for payment new text end under section 477A.12,
subdivision 1, clauses (1), (2), and (5) to (7) new text begin , ten percent of the payment the county
received for such land within that township new text end . Payments for natural resources lands not
located in an organized township shall be deposited in the county general revenue fund.
Payments to counties and townships pursuant to this paragraph shall be used to provide
property tax levy reduction, except that of the payments for natural resources lands not
located in an organized township, the county may allocate the amount determined to be
necessary for maintenance of roads in unorganized townships deleted text begin . Provided that, if the total
payment to the county pursuant to section 477A.12 is not sufficient to fully fund the
distribution provided for in this clause, the amount available shall be distributed to each
township and the county general revenue fund on a pro rata basis deleted text end ; and

deleted text begin (c) deleted text end new text begin (3) new text end any remaining funds shall be deposited in the county general revenue fund.
Provided that, if the distribution to the county general revenue fund exceeds $35,000, the
excess shall be used to provide property tax levy reduction.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2014.
new text end