Engrossments
Introduction		Posted on 02/29/2024

ARTICLE 1

CLASSIFICATION REFORM

Section 1.

Minnesota Statutes 2022, section 126C.01, subdivision 3, is amended to read:

Subd. 3.

Referendum market value.

"Referendum market value" means the market
value of all taxable property, excluding property classified as class 2deleted text begin , 4c(4), or 4c(12)deleted text end under
section 273.13. deleted text begin The portion of class 2a property consisting of the house, garage, and
surrounding one acre of land of an agricultural homestead is included in referendum market
value.deleted text end For the purposes of this subdivision, in the case of class deleted text begin 1a, 1b, or 2adeleted text end new text begin 1new text end property,
"market value" means the value prior to the exclusion under section 273.13, subdivision
35. Any class of property, or any portion of a class of property, that is included in the
definition of referendum market value and that has a classification rate of less than one
percent under section 273.13 shall have a referendum market value equal to its market value
times its classification rate, multiplied by 100.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective beginning with taxes payable in 2026.
new text end

Sec. 2.

Minnesota Statutes 2023 Supplement, section 273.11, subdivision 12, is amended
to read:

Subd. 12.

Community land trusts.

(a) A community land trust, as defined under chapter
462A, is (i) a community-based nonprofit corporation organized under chapter 317A, which
qualifies for tax exempt status under 501(c)(3), or (ii) a "city" as defined in section 462C.02,
subdivision 6, which has received funding from the Minnesota housing finance agency for
purposes of the community land trust program. The Minnesota Housing Finance Agency
shall set the criteria for community land trusts.

(b) Before the community land trust can rent or sell a unit to an applicant, the community
land trust shall verify to the satisfaction of the administering agency or the city that the
family income of each person or family applying for a unit in the community land trust
building is within the income criteria provided in section 462A.30, subdivision 9. The
administering agency or the city shall verify to the satisfaction of the county assessor that
the occupant meets the income criteria under section 462A.30, subdivision 9. The property
tax benefits under paragraph (c) shall be granted only to property owned or rented by persons
or families within the qualifying income limits. The family income criteria and verification
is only necessary at the time of initial occupancy in the property.

(c) A unit which is owned by the occupant and used as a homestead by the occupant
qualifies for homestead treatment as class deleted text begin 1adeleted text end new text begin 1new text end under section 273.13, subdivision 22, unless
the unit meets the requirements of section 273.13, subdivision 25, paragraph deleted text begin (e)deleted text end new text begin (c)new text end , clause
(2), in which case the unit shall be classified as 4d(2). A unit which is rented by the occupant
and used as a homestead by the occupant shall be class deleted text begin 4a or 4b property, under section
273.13, subdivision 25, whichever is applicabledeleted text end new text begin 1 under section 273.13, subdivision 22new text end .
Any remaining portion of the property not used for residential purposes shall be classified
by the assessor in the appropriate class based upon the use of that portion of the property
owned by the community land trust. The land upon which the building is located shall be
assessed at the same classification rate as the units within the building, provided that if the
building contains some units assessed as class deleted text begin 1adeleted text end new text begin 1new text end or class 4d(2) and some units assessed
as class 4a deleted text begin or 4bdeleted text end , the market value of the land will be assessed in the same proportions as
the value of the building.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective beginning with taxes payable in 2026.
new text end

Sec. 3.

Minnesota Statutes 2022, section 273.1115, subdivision 1, is amended to read:

Subdivision 1.

Definitions.

For purposes of this sectionnew text begin and section 273.13new text end , new text begin the following
terms have the meanings given:
new text end

new text begin (1) new text end "commercial aggregate deposit"new text begin means a deposit that will yield crushed stone or sand
and gravel that is suitable for use as a construction aggregate;new text end and

new text begin (2)new text end "actively mined" deleted text begin have the meanings given them in section 273.13, subdivision 23,
paragraph (m)deleted text end new text begin means the removal of topsoil and overburden in preparation for excavation
or excavation of a commercial depositnew text end .

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective beginning with taxes payable in 2026.
new text end

Sec. 4.

Minnesota Statutes 2022, section 273.1115, subdivision 2, is amended to read:

Subd. 2.

Requirement.

new text begin (a) new text end Real estate is entitled to valuation under this section only if
all of the following requirements are met:

(1) the property is classified as class deleted text begin 1a, 1bdeleted text end new text begin 1new text end , 2a, or 2b property under section 273.13,
subdivisions 22 and 23, or the property isnew text begin at least ten contiguous acres in size and isnew text end classified
as class deleted text begin 2edeleted text end new text begin 5(2)new text end under section 273.13, subdivision 23, and immediately before being classified
as class deleted text begin 2edeleted text end new text begin 5(2)new text end was classified as class deleted text begin 1a or 1bdeleted text end new text begin 1new text end ;

(2) the property is at least ten contiguous acres, when the application is filed under
subdivision 3;

(3) the owner has filed a completed application for deferment as specified in subdivision
3 with the county assessor in the county in which the property is located;

(4) there are no delinquent taxes on the property; and

(5) a covenant on the land restricts its use as provided in subdivision 3, clause (4).

new text begin (b) Property classified as class 5(2) that was classified as class 2e prior to January 1,
2025, meets the requirements of paragraph (a), clause (1), only if immediately before being
classified as class 2e, it was classified as class 1a or class 1b.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective beginning with property taxes payable
in 2026.
new text end

Sec. 5.

Minnesota Statutes 2022, section 273.1115, subdivision 3, is amended to read:

Subd. 3.

Application.

new text begin (a) new text end Application for valuation deferment under this section must
be filed by May 1 of the assessment year. Any application filed and granted continues in
effect for subsequent years until the property no longer qualifies, provided that supplemental
affidavits under subdivision 8 are timely filed. The application must be filed with the assessor
of the county in which the real property is located on such form as may be prescribed by
the commissioner of revenue. The application must be executed and acknowledged in the
manner required by law to execute and acknowledge a deed and must contain at least the
following information and any other information the commissioner deems necessary:

(1) the legal description of the area;

(2) the name and address of owner;

(3) a copy of the affidavit filed under deleted text begin section 273.13, subdivision 23,deleted text end paragraph deleted text begin (m)deleted text end new text begin (b)new text end ,
when property is classified as deleted text begin 2edeleted text end new text begin 5(2)new text end under section 273.13, deleted text begin subdivision 23, paragraph (m)deleted text end new text begin
subdivision 31new text end .

In other cases, the application must include a similar document with the same information
as contained in the affidavit under section 273.13, subdivision 23, paragraph (m); and

(4) a statement of proof from the owner that the land contains a restrictive covenant
limiting its use for the property's surface to that which exists on the date of the application
and limiting its future use to the preparation and removal of the commercial aggregate
deposit under its surface. To qualify under this clause, the covenant must be binding on the
owner or the owner's successor or assignee, and run with the land, except as provided in
subdivision 5 allowing for the cancellation of the covenant under certain conditions.

new text begin (b) To qualify for the valuation deferment under this section, the owner of property
classified as 5(2) must record with the county recorder of the county in which the property
is located an affidavit containing:
new text end

new text begin (1) a legal description of the property;
new text end

new text begin (2) a disclosure that the property contains a commercial aggregate deposit that is not
actively being mined but is present on the entire parcel enrolled;
new text end

new text begin (3) documentation that the conditional use under the county or local zoning ordinance
of this property is for mining; and
new text end

new text begin (4) documentation that a permit has been issued by the local unit of government or the
mining activity is allowed under local ordinance. The disclosure must include a statement
from a registered professional geologist, engineer, or soil scientist delineating the deposit
and certifying that it is a commercial aggregate deposit.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective beginning with taxes payable in 2026.
new text end

Sec. 6.

Minnesota Statutes 2022, section 273.124, subdivision 1, is amended to read:

Subdivision 1.

General rule.

(a) new text begin Class 1 new text end residential real estate new text begin under section 273.13,
subdivision 22, new text end thatnew text begin (1) contains fewer than four dwelling units, and (2)new text end is occupied and
used for the purposes of a homestead by its owner, who must be a Minnesota resident, is a
residential homestead.new text begin In the case of a duplex or triplex in which one of the units is used
for homestead purposes, the entire property is deemed to be used for homestead purposes.
new text end

Agricultural land, as defined in section 273.13, subdivision 23, that is occupied and used
as a homestead by its owner, who must be a Minnesota resident, is an agricultural homestead.

Dates for establishment of a homestead and homestead treatment provided to particular
types of property are as provided in this section.

Property held by a trustee under a trust is eligible for homestead classification if the
requirements under this chapter are satisfied.

The assessor shall require proof, as provided in subdivision 13, of the facts upon which
classification as a homestead may be determined. Notwithstanding any other law, the assessor
may at any time require a homestead application to be filed in order to verify that any
property classified as a homestead continues to be eligible for homestead status.
Notwithstanding any other law to the contrary, the Department of Revenue may, upon
request from an assessor, verify whether an individual who is requesting or receiving
homestead classification has filed a Minnesota income tax return as a resident for the most
recent taxable year for which the information is available.

When there is a name change or a transfer of homestead property, the assessor may
reclassify the property in the next assessment unless a homestead application is filed to
verify that the property continues to qualify for homestead classification.

(b) For purposes of this section, homestead property shall include property which is used
for purposes of the homestead but is separated from the homestead by a road, street, lot,
waterway, or other similar intervening property. The term "used for purposes of the
homestead" shall include but not be limited to uses for gardens, garages, or other outbuildings
commonly associated with a homestead, but shall not include vacant land held primarily
for future development. In order to receive homestead treatment for the noncontiguous
property, the owner must use the property for the purposes of the homestead, and must apply
to the assessor, both by the deadlines given in subdivision 9. After initial qualification for
the homestead treatment, additional applications for subsequent years are not required.

(c) Residential real estate that is occupied and used for purposes of a homestead by a
relative of the owner is a homestead but only to the extent of the homestead treatment that
would be provided if the related owner occupied the property. For purposes of this paragraph
and paragraph (g), "relative" means a parent, stepparent, child, stepchild, grandparent,
grandchild, brother, sister, uncle, aunt, nephew, or niece. This relationship may be by blood
or marriage. Property that has been classified as seasonal residential recreational property
at any time during which it has been owned by the current owner or spouse of the current
owner will not be reclassified as a homestead unless it is occupied as a homestead by the
owner; this prohibition also applies to property that, in the absence of this paragraph, would
have been classified as seasonal residential recreational property at the time when the
residence was constructed. Neither the related occupant nor the owner of the property may
claim a property tax refund under chapter 290A for a homestead occupied by a relative. In
the case of a residence located on agricultural land, only the house, garage, and immediately
surrounding one acre of land shall be classified as a homestead under this paragraph, except
as provided in paragraph (d).

(d) Agricultural property that is occupied and used for purposes of a homestead by a
relative of the owner, is a homestead, only to the extent of the homestead treatment that
would be provided if the related owner occupied the property, and only if all of the following
criteria are met:

(1) the relative who is occupying the agricultural property is a grandchild, child, sibling,
parent, grandparent, stepparent, stepchild, uncle, aunt, nephew, or niece of the owner of the
agricultural property or of the spouse of the owner;

(2) the owner of the agricultural property must be a Minnesota resident;

(3) the owner of the agricultural property must not receive homestead treatment on any
other agricultural property in Minnesota; and

(4) the owner of the agricultural property is limited to only one agricultural homestead
per family under this paragraph.

Neither the related occupant nor the owner of the property may claim a property tax
refund under chapter 290A for a homestead occupied by a relative qualifying under this
paragraph. For purposes of this paragraph, "agricultural property" means the house, garage,
other farm buildings and structures, and agricultural land.

Application must be made to the assessor by the owner of the agricultural property to
receive homestead benefits under this paragraph. The assessor may require the necessary
proof that the requirements under this paragraph have been met.

(e) In the case of property owned by a property owner who is married, the assessor must
not deny homestead treatment in whole or in part if only one of the spouses occupies the
property and the other spouse is absent due to: (1) marriage dissolution proceedings, (2)
legal separation, (3) employment or self-employment in another location, or (4) other
personal circumstances causing the spouses to live separately, not including an intent to
obtain two homestead classifications for property tax purposes. To qualify under clause (3),
the spouse's place of employment or self-employment must be at least 50 miles distant from
the other spouse's place of employment, and the homesteads must be at least 50 miles distant
from each other.

(f) The assessor must not deny homestead treatment in whole or in part if:

(1) in the case of a property owner who is not married, the owner is absent due to
residence in a nursing home, boarding care facility, or an elderly assisted living facility
property as defined in section 273.13, subdivision 25a, and the property is not otherwise
occupied; or

(2) in the case of a property owner who is married, the owner or the owner's spouse or
both are absent due to residence in a nursing home, boarding care facility, or an elderly
assisted living facility property as defined in section 273.13, subdivision 25a, and the property
is not occupied or is occupied only by the owner's spouse.

(g) If an individual is purchasing property with the intent of claiming it as a homestead
and is required by the terms of the financing agreement to have a relative shown on the deed
as a co-owner, the assessor shall allow a full homestead classification. This provision only
applies to first-time purchasers, whether married or single, or to a person who had previously
been married and is purchasing as a single individual for the first time. The application for
homestead benefits must be on a form prescribed by the commissioner and must contain
the data necessary for the assessor to determine if full homestead benefits are warranted.

(h) If residential or agricultural real estate is occupied and used for purposes of a
homestead by a child of a deceased owner and the property is subject to jurisdiction of
probate court, the child shall receive relative homestead classification under paragraph (c)
or (d) to the same extent they would be entitled to it if the owner was still living, until the
probate is completed. For purposes of this paragraph, "child" includes a relationship by
blood or by marriage.

(i) If a single-family home, duplex, or triplex classified as either residential homestead
or agricultural homestead is also used to provide licensed child care, the portion of the
property used for licensed child care must be classified as a part of the homestead property.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective beginning with taxes payable in 2026.
new text end

Sec. 7.

Minnesota Statutes 2022, section 273.124, subdivision 3a, is amended to read:

Subd. 3a.

Manufactured home park cooperative.

(a) When a manufactured home park
is owned by a corporation or association organized under chapter 308A or 308B, and each
person who owns a share or shares in the corporation or association is entitled to occupy a
lot within the park, the corporation or association may claim homestead treatment for the
park. Each lot must be designated by legal description or number, and each lot is limited to
not more than one-half acre of land.

(b) The manufactured home park shall be entitled to homestead treatment if all of the
following criteria are met:

(1) the occupant or the cooperative corporation or association is paying the ad valorem
property taxes and any special assessments levied against the land and structure either
directly, or indirectly through dues to the corporation or association; and

(2) the corporation or association organized under chapter 308A or 308B is wholly
owned by persons having a right to occupy a lot owned by the corporation or association.

(c) A charitable corporation, organized under the laws of Minnesota with no outstanding
stock, and granted a ruling by the Internal Revenue Service for 501(c)(3) tax-exempt status,
qualifies for homestead treatment with respect to a manufactured home park if its members
hold residential participation warrants entitling them to occupy a lot in the manufactured
home park.

(d) "Homestead treatment" under this subdivision means the classification rate provided
for class deleted text begin 4cdeleted text end new text begin 1new text end property deleted text begin classifieddeleted text end under section 273.13, deleted text begin subdivision 25, paragraph (d), clause
(5), item (ii)deleted text end new text begin subdivision 22new text end , and the homestead market value exclusion under section 273.13,
subdivision 35, does not apply.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective beginning with taxes payable in 2026.
new text end

Sec. 8.

Minnesota Statutes 2022, section 273.13, subdivision 22, is amended to read:

Subd. 22.

Class 1.

deleted text begin (a) Except as provided in subdivision 23 and in paragraphs (b) and
(c), real estate which is residential and used for homestead purposes is class 1a. In the case
of a duplex or triplex in which one of the units is used for homestead purposes, the entire
property is deemed to be used for homestead purposes. The market value of class 1a property
must be determined based upon the value of the house, garage, and land.
deleted text end

new text begin (a) Class 1 property is residential real estate containing fewer than four units that is not
otherwise described in subdivision 25. new text end The first $500,000 of new text begin taxable new text end market value of class
deleted text begin 1adeleted text end new text begin 1new text end property has a deleted text begin netdeleted text end classification rate of one percent deleted text begin of its market value;deleted text end new text begin ,new text end and the new text begin taxable
new text end market value of class deleted text begin 1adeleted text end new text begin 1new text end property that exceeds $500,000 has a classification rate of 1.25
percent deleted text begin of its market valuedeleted text end .

deleted text begin (b) Class 1b property includes homestead real estate or homestead manufactured homes
used for the purposes of a homestead by:
deleted text end

deleted text begin (1) any person who is blind as defined in section 256D.35, or the person who is blind
and the spouse of the person who is blind;
deleted text end

deleted text begin (2) any person who is permanently and totally disabled or by the person with a disability
and the spouse of the person with a disability; or
deleted text end

deleted text begin (3) the surviving spouse of a veteran who was permanently and totally disabled
homesteading a property classified under this paragraph for taxes payable in 2008.
deleted text end

deleted text begin Property is classified and assessed under clause (2) only if the government agency or
income-providing source certifies, upon the request of the homestead occupant, that the
homestead occupant satisfies the disability requirements of this paragraph, and that the
property is not eligible for the valuation exclusion under subdivision 34.
deleted text end

deleted text begin Property is classified and assessed under paragraph (b) only if the commissioner of
revenue or the county assessor certifies that the homestead occupant satisfies the requirements
of this paragraph.
deleted text end

deleted text begin Permanently and totally disabled for the purpose of this subdivision means a condition
which is permanent in nature and totally incapacitates the person from working at an
occupation which brings the person an income. The first $50,000 market value of class 1b
property has a net classification rate of .45 percent of its market value. The remaining market
value of class 1b property is classified as class 1a or class 2a property, whichever is
appropriate.
deleted text end

deleted text begin (c) Class 1c property is commercial use real and personal property that abuts public
water as defined in section 103G.005, subdivision 15, or abuts a state trail administered by
the Department of Natural Resources, and is devoted to temporary and seasonal residential
occupancy for recreational purposes but not devoted to commercial purposes for more than
250 days in the year preceding the year of assessment, and that includes a portion used as
a homestead by the owner, which includes a dwelling occupied as a homestead by a
shareholder of a corporation that owns the resort, a partner in a partnership that owns the
resort, or a member of a limited liability company that owns the resort even if the title to
the homestead is held by the corporation, partnership, or limited liability company. For
purposes of this paragraph, property is devoted to a commercial purpose on a specific day
if any portion of the property, excluding the portion used exclusively as a homestead, is
used for residential occupancy and a fee is charged for residential occupancy. Class 1c
property must contain three or more rental units. A "rental unit" is defined as a cabin,
condominium, townhouse, sleeping room, or individual camping site equipped with water
and electrical hookups for recreational vehicles. Class 1c property must provide recreational
activities such as the rental of ice fishing houses, boats and motors, snowmobiles, downhill
or cross-country ski equipment; provide marina services, launch services, or guide services;
or sell bait and fishing tackle. Any unit in which the right to use the property is transferred
to an individual or entity by deeded interest, or the sale of shares or stock, no longer qualifies
for class 1c even though it may remain available for rent. A camping pad offered for rent
by a property that otherwise qualifies for class 1c is also class 1c, regardless of the term of
the rental agreement, as long as the use of the camping pad does not exceed 250 days. If
the same owner owns two separate parcels that are located in the same township, and one
of those properties is classified as a class 1c property and the other would be eligible to be
classified as a class 1c property if it was used as the homestead of the owner, both properties
will be assessed as a single class 1c property; for purposes of this sentence, properties are
deemed to be owned by the same owner if each of them is owned by a limited liability
company, and both limited liability companies have the same membership. The portion of
the property used as a homestead is class 1a property under paragraph (a). The remainder
of the property is classified as follows: the first $600,000 of market value is tier I, the next
$1,700,000 of market value is tier II, and any remaining market value is tier III. The
classification rates for class 1c are: tier I, 0.50 percent; tier II, 1.0 percent; and tier III, 1.25
percent. Owners of real and personal property devoted to temporary and seasonal residential
occupancy for recreation purposes in which all or a portion of the property was devoted to
commercial purposes for not more than 250 days in the year preceding the year of assessment
desiring classification as class 1c, must submit a declaration to the assessor designating the
cabins or units occupied for 250 days or less in the year preceding the year of assessment
by January 15 of the assessment year. Those cabins or units and a proportionate share of
the land on which they are located must be designated as class 1c as otherwise provided.
The remainder of the cabins or units and a proportionate share of the land on which they
are located must be designated as class 3a commercial. The owner of property desiring
designation as class 1c property must provide guest registers or other records demonstrating
that the units for which class 1c designation is sought were not occupied for more than 250
days in the year preceding the assessment if so requested. The portion of a property operated
as a (1) restaurant, (2) bar, (3) gift shop, (4) conference center or meeting room, and (5)
other nonresidential facility operated on a commercial basis not directly related to temporary
and seasonal residential occupancy for recreation purposes does not qualify for class 1c.
deleted text end

deleted text begin (d) Class 1d property includes structures that meet all of the following criteria:
deleted text end

deleted text begin (1) the structure is located on property that is classified as agricultural property under
section 273.13, subdivision 23;
deleted text end

deleted text begin (2) the structure is occupied exclusively by seasonal farm workers during the time when
they work on that farm, and the occupants are not charged rent for the privilege of occupying
the property, provided that use of the structure for storage of farm equipment and produce
does not disqualify the property from classification under this paragraph;
deleted text end

deleted text begin (3) the structure meets all applicable health and safety requirements for the appropriate
season; and
deleted text end

deleted text begin (4) the structure is not salable as residential property because it does not comply with
local ordinances relating to location in relation to streets or roads.
deleted text end

deleted text begin The market value of class 1d property has the same classification rates as class 1a property
under paragraph (a).
deleted text end

new text begin (b) Class 1 property under this subdivision includes the following types of property, and
the assessor must not record them separately:
new text end

new text begin (1) residential structures containing fewer than four dwelling units plus one acre of land
for each structure located on agricultural land, but excluding any farm buildings or structures
located on the acre of land;
new text end

new text begin (2) residential property devoted to noncommercial temporary and seasonal occupancy
for recreation purposes;
new text end

new text begin (3) unimproved property that is classified residential as determined under subdivision
33;
new text end

new text begin (4) manufactured home park land along with any ancillary structures;
new text end

new text begin (5) manufactured homes not classified under any other provision;
new text end

new text begin (6) postsecondary student housing of not more than one acre of land that is owned by a
nonprofit corporation organized under chapter 317A and is used exclusively by a student
cooperative, sorority, or fraternity for on-campus housing or housing located within two
miles of the border of a college campus;
new text end

new text begin (7) an owner-occupied dwelling unit within a property classified as class 4a under
subdivision 25;
new text end

new text begin (8) a condominium-type storage unit having an individual property identification number
that is not used for a commercial purpose;
new text end

new text begin (9) structures on property classified as agricultural under subdivision 23 that are occupied
exclusively by seasonal farm workers during the time when the workers work on the farm,
provided that use of the structures for storage of farm equipment or produce does not
disqualify the structures from classification under this clause, if all the following criteria
are met:
new text end

new text begin (i) the occupants are not charged rent for the privilege of occupying the property;
new text end

new text begin (ii) the structures meet all applicable health and safety requirements for the appropriate
season; and
new text end

new text begin (iii) the structures are not salable as residential property because they do not comply
with local ordinances relating to location in relation to streets or roads; and
new text end

new text begin (10) residential real estate, a portion of which is occupied by the owner, plus up to five
additional lodging units, if all of the following criteria are met:
new text end

new text begin (i) the lodging units are provided for rent to transient guests that generally stay for periods
of 14 days or less;
new text end

new text begin (ii) meals are provided to persons who rent lodging units, the cost of which is incorporated
in the basic room rate;
new text end

new text begin (iii) meals are not provided to the general public except for special events on less than
seven days in the calendar year preceding the year of assessment; and
new text end

new text begin (iv) the owner is the operator of the property.
new text end

new text begin (c) Any additional lodging units in a property described in paragraph (b), clause (10),
are class 3a property as provided in subdivision 24.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective beginning with taxes payable in 2026.
new text end

Sec. 9.

Minnesota Statutes 2022, section 273.13, subdivision 23, is amended to read:

Subd. 23.

Class 2.

(a) An agricultural homestead consists of class 2a agricultural landnew text begin
and buildingsnew text end that deleted text begin isdeleted text end new text begin arenew text end homesteaded, along with any class 2b rural vacant land that is
contiguous to the class 2a land under the same ownership. deleted text begin The market value of the house
and garage and immediately surrounding one acre of land has the same classification rates
as class 1a or 1b property under subdivision 22.deleted text end The value of the deleted text begin remainingdeleted text end land including
improvements up to the first tier valuation limit of agricultural homestead property has a
classification rate of 0.5 percent of market value. The remaining property over the first tier
has a classification rate of one percent of market value. For purposes of this subdivision,
the "first tier valuation limit of agricultural homestead property" and "first tier" means the
limit certified under section 273.11, subdivision 23.

(b) Class 2a agricultural land consists of parcels of property, or portions thereof, that
are agricultural land and buildings. Class 2a property has a classification rate of one percent
of market value, unless it is part of an agricultural homestead under paragraph (a). Class 2a
property must also include any property that would otherwise be classified as 2b, but is
interspersed with class 2a property, including but not limited to sloughs, wooded wind
shelters, acreage abutting ditches, ravines, rock piles, land subject to a setback requirement,
and other similar land that is impractical for the assessor to value separately from the rest
of the property or that is unlikely to be able to be sold separately from the rest of the property.

An assessor may classify the part of a parcel described in this subdivision that is used
for agricultural purposes as class 2a and the remainder in the class appropriate to its use.

(c) Class 2b rural vacant land consists of parcels of property, or portions thereof, that
are unplatted real estate, rural in character and not used for agricultural purposes, including
land used for growing trees for timber, lumber, and wood and wood products, that is not
improved with a structure. The presence of a minor, ancillary nonresidential structure as
defined by the commissioner of revenue does not disqualify the property from classification
under this paragraph. Any parcel of 20 acres or more improved with a structure that is not
a minor, ancillary nonresidential structure must be split-classified, and ten acres must be
assigned to the split parcel containing the structure. If a parcel of 20 acres or more is enrolled
in the sustainable forest management incentive program under chapter 290C, the number
of acres assigned to the split parcel improved with a structure that is not a minor, ancillary
nonresidential structure must equal three acres or the number of acres excluded from the
sustainable forest incentive act covenant due to the structure, whichever is greater. Class
2b property has a classification rate of one percent of market value unless it is part of an
agricultural homestead under paragraph (a), or qualifies as class 2c under paragraph (d).

(d) Class 2c managed forest land consists of no less than 20 and no more than 1,920
acres statewide per taxpayer that is being managed under a forest management plan that
meets the requirements of chapter 290C, but is not enrolled in the sustainable forest resource
management incentive program. It has a classification rate of .65 percent, provided that the
owner of the property must apply to the assessor in order for the property to initially qualify
for the reduced rate and provide the information required by the assessor to verify that the
property qualifies for the reduced rate. If the assessor receives the application and information
before May 1 in an assessment year, the property qualifies beginning with that assessment
year. If the assessor receives the application and information after April 30 in an assessment
year, the property may not qualify until the next assessment year. The commissioner of
natural resources must concur that the land is qualified. The commissioner of natural
resources shall annually provide county assessors verification information on a timely basis.
The presence of a minor, ancillary nonresidential structure as defined by the commissioner
of revenue does not disqualify the property from classification under this paragraph.

(e) Agricultural land as used in this section means:

(1) contiguous acreage of ten acres or more, used during the preceding year for
agricultural purposes; or

(2) contiguous acreage used during the preceding year for an intensive livestock or
poultry confinement operation, provided that land used only for pasturing or grazing does
not qualify under this clause.

"Agricultural purposes" as used in this section means the raising, cultivation, drying, or
storage of agricultural products for sale, or the storage of machinery or equipment used in
support of agricultural production by the same farm entity. For a property to be classified
as agricultural based only on the drying or storage of agricultural products, the products
being dried or stored must have been produced by the same farm entity as the entity operating
the drying or storage facility. "Agricultural purposes" also includes (i) enrollment in a local
conservation program or the Reinvest in Minnesota program under sections 103F.501 to
103F.535 or the federal Conservation Reserve Program as contained in Public Law 99-198
or a similar state or federal conservation program if the property was classified as agricultural
(A) under this subdivision for taxes payable in 2003 because of its enrollment in a qualifying
program and the land remains enrolled or (B) in the year prior to its enrollment, or (ii) use
of land, not to exceed three acres, to provide environmental benefits such as buffer strips,
old growth forest restoration or retention, or retention ponds to prevent soil erosion. For
purposes of this section, a "local conservation program" means a program administered by
a town, statutory or home rule charter city, or county, including a watershed district, water
management organization, or soil and water conservation district, in which landowners
voluntarily enroll land and receive incentive payments equal to at least $50 per acre in
exchange for use or other restrictions placed on the land. In order for property to qualify
under the local conservation program provision, a taxpayer must apply to the assessor by
February 1 of the assessment year and must submit the information required by the assessor,
including but not limited to a copy of the program requirements, the specific agreement
between the land owner and the local agency, if applicable, and a map of the conservation
area. Agricultural classification shall not be based upon the market value of any residential
structures on the parcel or contiguous parcels under the same ownership.

"Contiguous acreage," for purposes of this paragraph, means all of, or a contiguous
portion of, a tax parcel as described in section 272.193, or all of, or a contiguous portion
of, a set of contiguous tax parcels under that section that are owned by the same person.

(f) Agricultural land under this section also includes:

(1) contiguous acreage that is less than ten acres in size and exclusively used in the
preceding year for raising or cultivating agricultural products; or

(2) contiguous acreage that contains a residence and is less than 11 acres in size, if the
contiguous acreage exclusive of the house, garage, and surrounding one acre of land was
used in the preceding year for one or more of the following three uses:

(i) for an intensive grain drying or storage operation, or for intensive machinery or
equipment storage activities used to support agricultural activities on other parcels of property
operated by the same farming entity;

(ii) as a nursery, provided that only those acres used intensively to produce nursery stock
are considered agricultural land; or

(iii) for intensive market farming; for purposes of this paragraph, "market farming"
means the cultivation of one or more fruits or vegetables or production of animal or other
agricultural products for sale to local markets by the farmer or an organization with which
the farmer is affiliated.

"Contiguous acreage," for purposes of this paragraph, means all of a tax parcel as
described in section 272.193, or all of a set of contiguous tax parcels under that section that
are owned by the same person.

(g) Land shall be classified as agricultural even if all or a portion of the agricultural use
of that property is the leasing to, or use by another person for agricultural purposes.

Classification under this subdivision is not determinative for qualifying under section
273.111.

(h) The property classification under this section supersedes, for property tax purposes
only, any locally administered agricultural policies or land use restrictions that define
minimum or maximum farm acreage.

(i) The term "agricultural products" as used in this subdivision includes production for
sale of:

(1) livestock, dairy animals, dairy products, poultry and poultry products, fur-bearing
animals, horticultural and nursery stock, fruit of all kinds, vegetables, forage, grains, bees,
and apiary products by the owner;

(2) aquacultural products for sale and consumption, as defined under section 17.47, if
the aquaculture occurs on land zoned for agricultural use;

(3) the commercial boarding of horses, which may include related horse training and
riding instruction, if the boarding is done on property that is also used for raising pasture
to graze horses or raising or cultivating other agricultural products as defined in clause (1);

(4) property which is owned and operated by nonprofit organizations used for equestrian
activities, excluding racing;

(5) game birds and waterfowl bred and raised (i) on a game farm licensed under section
97A.105, provided that the annual licensing report to the Department of Natural Resources,
which must be submitted annually by March 30 to the assessor, indicates that at least 500
birds were raised or used for breeding stock on the property during the preceding year and
that the owner provides a copy of the owner's most recent schedule F; or (ii) for use on a
shooting preserve licensed under section 97A.115;

(6) insects primarily bred to be used as food for animals;

(7) trees, grown for sale as a crop, including short rotation woody crops, and not sold
for timber, lumber, wood, or wood products; and

(8) maple syrup taken from trees grown by a person licensed by the Minnesota
Department of Agriculture under chapter 28A as a food processor.

(j) If a parcel used for agricultural purposes is also used for commercial or industrial
purposes, including but not limited to:

(1) wholesale and retail sales;

(2) processing of raw agricultural products or other goods;

(3) warehousing or storage of processed goods; and

(4) office facilities for the support of the activities enumerated in clauses (1), (2), and
(3), the assessor shall classify the part of the parcel used for agricultural purposes as class
1b, 2a, or 2b, whichever is appropriate, and the remainder in the class appropriate to its use.
The grading, sorting, and packaging of raw agricultural products for first sale is considered
an agricultural purpose. A greenhouse or other building where horticultural or nursery
products are grown that is also used for the conduct of retail sales must be classified as
agricultural if it is primarily used for the growing of horticultural or nursery products from
seed, cuttings, or roots and occasionally as a showroom for the retail sale of those products.
Use of a greenhouse or building only for the display of already grown horticultural or nursery
products does not qualify as an agricultural purpose.

deleted text begin (k) The assessor shall determine and list separately on the records the market value of
the homestead dwelling and the one acre of land on which that dwelling is located. If any
farm buildings or structures are located on this homesteaded acre of land, their market value
shall not be included in this separate determination.
deleted text end

deleted text begin (l) Class 2d airport landing area consists of a landing area or public access area of a
privately owned public use airport. It has a classification rate of one percent of market value.
To qualify for classification under this paragraph, a privately owned public use airport must
be licensed as a public airport under section 360.018. For purposes of this paragraph, "landing
area" means that part of a privately owned public use airport properly cleared, regularly
maintained, and made available to the public for use by aircraft and includes runways,
taxiways, aprons, and sites upon which are situated landing or navigational aids. A landing
area also includes land underlying both the primary surface and the approach surfaces that
comply with all of the following:
deleted text end

deleted text begin (i) the land is properly cleared and regularly maintained for the primary purposes of the
landing, taking off, and taxiing of aircraft; but that portion of the land that contains facilities
for servicing, repair, or maintenance of aircraft is not included as a landing area;
deleted text end

deleted text begin (ii) the land is part of the airport property; and
deleted text end

deleted text begin (iii) the land is not used for commercial or residential purposes.
deleted text end

deleted text begin The land contained in a landing area under this paragraph must be described and certified
by the commissioner of transportation. The certification is effective until it is modified, or
until the airport or landing area no longer meets the requirements of this paragraph. For
purposes of this paragraph, "public access area" means property used as an aircraft parking
ramp, apron, or storage hangar, or an arrival and departure building in connection with the
airport.
deleted text end

deleted text begin (m) Class 2e consists of land with a commercial aggregate deposit that is not actively
being mined and is not otherwise classified as class 2a or 2b, provided that the land is not
located in a county that has elected to opt-out of the aggregate preservation program as
provided in section 273.1115, subdivision 6. It has a classification rate of one percent of
market value. To qualify for classification under this paragraph, the property must be at
least ten contiguous acres in size and the owner of the property must record with the county
recorder of the county in which the property is located an affidavit containing:
deleted text end

deleted text begin (1) a legal description of the property;
deleted text end

deleted text begin (2) a disclosure that the property contains a commercial aggregate deposit that is not
actively being mined but is present on the entire parcel enrolled;
deleted text end

deleted text begin (3) documentation that the conditional use under the county or local zoning ordinance
of this property is for mining; and
deleted text end

deleted text begin (4) documentation that a permit has been issued by the local unit of government or the
mining activity is allowed under local ordinance. The disclosure must include a statement
from a registered professional geologist, engineer, or soil scientist delineating the deposit
and certifying that it is a commercial aggregate deposit.
deleted text end

deleted text begin For purposes of this section and section 273.1115, "commercial aggregate deposit"
means a deposit that will yield crushed stone or sand and gravel that is suitable for use as
a construction aggregate; and "actively mined" means the removal of top soil and overburden
in preparation for excavation or excavation of a commercial deposit.
deleted text end

deleted text begin (n)deleted text end new text begin (k)new text end When any portion of the property under this subdivision deleted text begin ordeleted text end new text begin ,new text end subdivision 22new text begin , or
subdivision 31, clause (2),new text end begins to be actively mined, the owner must file a supplemental
affidavit within 60 days from the day any aggregate is removed stating the number of acres
of the property that is actively being mined. The acres actively being mined must be (1)
valued and classified under subdivision 24 in the next subsequent assessment year, and (2)
removed from the aggregate resource preservation property tax program under section
273.1115, if the land was enrolled in that program. Copies of the original affidavit and all
supplemental affidavits must be filed with the county assessor, the local zoning administrator,
and the Department of Natural Resources, Division of Land and Minerals. A supplemental
affidavit must be filed each time a subsequent portion of the property is actively mined,
provided that the minimum acreage change is five acres, even if the actual mining activity
constitutes less than five acres.new text begin "Actively mined" has the meaning given in section 273.1115,
subdivision 1.
new text end

deleted text begin (o)deleted text end new text begin (l)new text end The definitions prescribed by the commissioner under paragraphs (c) and (d) are
not rules and are exempt from the rulemaking provisions of chapter 14, and the provisions
in section 14.386 concerning exempt rules do not apply.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective beginning with taxes payable in 2026.
new text end

Sec. 10.

Minnesota Statutes 2023 Supplement, section 273.13, subdivision 24, is amended
to read:

Subd. 24.

Class 3.

Commercial and industrial property and utility real and personal
propertynew text begin , including property described under clause (5),new text end is class 3a.

(1) Except as otherwise provided, each parcel of commercial, industrial, or utility real
property has a classification rate of 1.5 percent of the first tier of market value, and 2.0
percent of the remaining market value. In the case of contiguous parcels of property owned
by the same person or entity, only the value equal to the first-tier value of the contiguous
parcels qualifies for the reduced classification rate, except that contiguous parcels owned
by the same person or entity shall be eligible for the first-tier value classification rate on
each separate business operated by the owner of the property, provided the business is
housed in a separate structure. For the purposes of this subdivision, the first tier means the
first $150,000 of market value. Real property owned in fee by a utility for transmission line
right-of-way shall be classified at the classification rate for the higher tier.

For purposes of this subdivision, parcels are considered to be contiguous even if they
are separated from each other by a road, street, waterway, or other similar intervening type
of property. Connections between parcels that consist of power lines or pipelines do not
cause the parcels to be contiguous. Property owners who have contiguous parcels of property
that constitute separate businesses that may qualify for the first-tier classification rate shall
notify the assessor by July 1, for treatment beginning in the following taxes payable year.

(2) All personal property that is: (i) part of an electric generation, transmission, or
distribution system; or (ii) part of a pipeline system transporting or distributing water, gas,
crude oil, or petroleum products; and (iii) not described in clause (3), and all railroad
operating property has a classification rate as provided under clause (1) for the first tier of
market value and the remaining market value. In the case of multiple parcels in one county
that are owned by one person or entity, only one first tier amount is eligible for the reduced
rate.

(3) The entire market value of personal property that is: (i) tools, implements, and
machinery of an electric generation, transmission, or distribution system; (ii) tools,
implements, and machinery of a pipeline system transporting or distributing water, gas,
crude oil, or petroleum products; or (iii) the mains and pipes used in the distribution of
steam or hot or chilled water for heating or cooling buildings, has a classification rate as
provided under clause (1) for the remaining market value in excess of the first tier.

(4) Real property used for raising, cultivating, processing, or storing cannabis plants,
cannabis flower, or cannabis products for sale has a classification rate as provided under
clause (1) for the first tier of market value and the remaining market value. As used in this
paragraph, "cannabis plant" has the meaning given in section 342.01, subdivision 19,
"cannabis flower" has the meaning given in section 342.01, subdivision 16, and "cannabis
product" has the meaning given in section 342.01, subdivision 20.

new text begin (5) Class 3a property under this subdivision includes the following types of property,
and the assessor must not record them separately:
new text end

new text begin (i) real and personal property devoted to commercial temporary and seasonal residential
occupancy for recreation purposes;
new text end

new text begin (ii) property used as a golf course;
new text end

new text begin (iii) real property owned and used by a nonprofit community service oriented organization
that is not used for residential purposes on either a temporary or permanent basis;
new text end

new text begin (iv) real property that is actively and exclusively devoted to indoor fitness, health, social,
recreational, and related uses, including parcels that are owned by a not-for-profit corporation;
new text end

new text begin (v) real property located on a lake that is operated seasonally as a restaurant; and
new text end

new text begin (vi) lakeshore and riparian property and adjacent land used as a marina, as defined in
section 86A.20, subdivision 5.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective beginning with taxes payable in 2026.
new text end

Sec. 11.

Minnesota Statutes 2023 Supplement, section 273.13, subdivision 25, is amended
to read:

Subd. 25.

Class 4.

(a) Class 4a is residential real estate containing four or more units
and used or held for use by the owner or by the tenants or lessees of the owner as a residence
for rental periods of 30 days or more, excluding property qualifying for class 4d. Class 4a
also includes hospitals licensed under sections 144.50 to 144.56, other than hospitals exempt
under section 272.02, and contiguous property used for hospital purposes, without regard
to whether the property has been platted or subdivided.new text begin Class 4a also includes residential
real estate containing less than four units rented as a short-term rental property for more
than 14 days in the preceding year, other than property described in subdivision 22, paragraph
(b), clause (2), and subdivision 24, clause (5), item (i). For the purposes of this paragraph,
"short-term rental property" means nonhomestead residential real estate rented for periods
of less than 30 consecutive days.new text end The market value of class 4a property has a classification
rate of 1.25 percent.

deleted text begin (b) Class 4b includes:
deleted text end

deleted text begin (1) residential real estate containing less than four units, including property rented as a
short-term rental property for more than 14 days in the preceding year, that does not qualify
as class 4bb, other than seasonal residential recreational property;
deleted text end

deleted text begin (2) manufactured homes not classified under any other provision;
deleted text end

deleted text begin (3) a dwelling, garage, and surrounding one acre of property on a nonhomestead farm
classified under subdivision 23, paragraph (b) containing two or three units; and
deleted text end

deleted text begin (4) unimproved property that is classified residential as determined under subdivision
33.
deleted text end

deleted text begin For the purposes of this paragraph, "short-term rental property" means nonhomestead
residential real estate rented for periods of less than 30 consecutive days.
deleted text end

deleted text begin The market value of class 4b property has a classification rate of 1.25 percent.
deleted text end

deleted text begin (c) Class 4bb includes:
deleted text end

deleted text begin (1) nonhomestead residential real estate containing one unit, other than seasonal
residential recreational property;
deleted text end

deleted text begin (2) a single family dwelling, garage, and surrounding one acre of property on a
nonhomestead farm classified under subdivision 23, paragraph (b); and
deleted text end

deleted text begin (3) a condominium-type storage unit having an individual property identification number
that is not used for a commercial purpose.
deleted text end

deleted text begin Class 4bb property has the same classification rates as class 1a property under subdivision
22.
deleted text end

deleted text begin Property that has been classified as seasonal residential recreational property at any time
during which it has been owned by the current owner or spouse of the current owner does
not qualify for class 4bb.
deleted text end

deleted text begin (d) Class 4c property includes:
deleted text end

deleted text begin (1) except as provided in subdivision 22, paragraph (c), real and personal property
devoted to commercial temporary and seasonal residential occupancy for recreation purposes,
for not more than 250 days in the year preceding the year of assessment. For purposes of
this clause, property is devoted to a commercial purpose on a specific day if any portion of
the property is used for residential occupancy, and a fee is charged for residential occupancy.
Class 4c property under this clause must contain three or more rental units. A "rental unit"
is defined as a cabin, condominium, townhouse, sleeping room, or individual camping site
equipped with water and electrical hookups for recreational vehicles. A camping pad offered
for rent by a property that otherwise qualifies for class 4c under this clause is also class 4c
under this clause regardless of the term of the rental agreement, as long as the use of the
camping pad does not exceed 250 days. In order for a property to be classified under this
clause, either (i) the business located on the property must provide recreational activities,
at least 40 percent of the annual gross lodging receipts related to the property must be from
business conducted during 90 consecutive days, and either (A) at least 60 percent of all paid
bookings by lodging guests during the year must be for periods of at least two consecutive
nights; or (B) at least 20 percent of the annual gross receipts must be from charges for
providing recreational activities, or (ii) the business must contain 20 or fewer rental units,
and must be located in a township or a city with a population of 2,500 or less located outside
the metropolitan area, as defined under section 473.121, subdivision 2, that contains a portion
of a state trail administered by the Department of Natural Resources. For purposes of item
(i)(A), a paid booking of five or more nights shall be counted as two bookings. Class 4c
property also includes commercial use real property used exclusively for recreational
purposes in conjunction with other class 4c property classified under this clause and devoted
to temporary and seasonal residential occupancy for recreational purposes, up to a total of
two acres, provided the property is not devoted to commercial recreational use for more
than 250 days in the year preceding the year of assessment and is located within two miles
of the class 4c property with which it is used. In order for a property to qualify for
classification under this clause, the owner must submit a declaration to the assessor
designating the cabins or units occupied for 250 days or less in the year preceding the year
of assessment by January 15 of the assessment year. Those cabins or units and a proportionate
share of the land on which they are located must be designated class 4c under this clause
as otherwise provided. The remainder of the cabins or units and a proportionate share of
the land on which they are located will be designated as class 3a. The owner of property
desiring designation as class 4c property under this clause must provide guest registers or
other records demonstrating that the units for which class 4c designation is sought were not
occupied for more than 250 days in the year preceding the assessment if so requested. The
portion of a property operated as a (1) restaurant, (2) bar, (3) gift shop, (4) conference center
or meeting room, and (5) other nonresidential facility operated on a commercial basis not
directly related to temporary and seasonal residential occupancy for recreation purposes
does not qualify for class 4c. For the purposes of this paragraph, "recreational activities"
means renting ice fishing houses, boats and motors, snowmobiles, downhill or cross-country
ski equipment; providing marina services, launch services, or guide services; or selling bait
and fishing tackle;
deleted text end

deleted text begin (2) qualified property used as a golf course if:
deleted text end

deleted text begin (i) it is open to the public on a daily fee basis. It may charge membership fees or dues,
but a membership fee may not be required in order to use the property for golfing, and its
green fees for golfing must be comparable to green fees typically charged by municipal
courses; and
deleted text end

deleted text begin (ii) it meets the requirements of section 273.112, subdivision 3, paragraph (d).
deleted text end

deleted text begin A structure used as a clubhouse, restaurant, or place of refreshment in conjunction with
the golf course is classified as class 3a property;
deleted text end

deleted text begin (3) real property up to a maximum of three acres of land owned and used by a nonprofit
community service oriented organization and not used for residential purposes on either a
temporary or permanent basis, provided that:
deleted text end

deleted text begin (i) the property is not used for a revenue-producing activity for more than six days in
the calendar year preceding the year of assessment; or
deleted text end

deleted text begin (ii) the organization makes annual charitable contributions and donations at least equal
to the property's previous year's property taxes and the property is allowed to be used for
public and community meetings or events for no charge, as appropriate to the size of the
facility.
deleted text end

deleted text begin For purposes of this clause:
deleted text end

deleted text begin (A) "charitable contributions and donations" has the same meaning as lawful gambling
purposes under section 349.12, subdivision 25, excluding those purposes relating to the
payment of taxes, assessments, fees, auditing costs, and utility payments;
deleted text end

deleted text begin (B) "property taxes" excludes the state general tax;
deleted text end

deleted text begin (C) a "nonprofit community service oriented organization" means any corporation,
society, association, foundation, or institution organized and operated exclusively for
charitable, religious, fraternal, civic, or educational purposes, and which is exempt from
federal income taxation pursuant to section 501(c)(3), (8), (10), or (19) of the Internal
Revenue Code; and
deleted text end

deleted text begin (D) "revenue-producing activities" shall include but not be limited to property or that
portion of the property that is used as an on-sale intoxicating liquor or 3.2 percent malt
liquor establishment licensed under chapter 340A, a restaurant open to the public, bowling
alley, a retail store, gambling conducted by organizations licensed under chapter 349, an
insurance business, or office or other space leased or rented to a lessee who conducts a
for-profit enterprise on the premises.
deleted text end

deleted text begin Any portion of the property not qualifying under either item (i) or (ii) is class 3a. The
use of the property for social events open exclusively to members and their guests for periods
of less than 24 hours, when an admission is not charged nor any revenues are received by
the organization shall not be considered a revenue-producing activity.
deleted text end

deleted text begin The organization shall maintain records of its charitable contributions and donations
and of public meetings and events held on the property and make them available upon
request any time to the assessor to ensure eligibility. An organization meeting the requirement
under item (ii) must file an application by May 1 with the assessor for eligibility for the
current year's assessment. The commissioner shall prescribe a uniform application form
and instructions;
deleted text end

deleted text begin (4) postsecondary student housing of not more than one acre of land that is owned by a
nonprofit corporation organized under chapter 317A and is used exclusively by a student
cooperative, sorority, or fraternity for on-campus housing or housing located within two
miles of the border of a college campus;
deleted text end

deleted text begin (5)(i) manufactured home parks as defined in section 327.14, subdivision 3, excluding
manufactured home parks described in items (ii) and (iii), (ii) manufactured home parks as
defined in section 327.14, subdivision 3, that are described in section 273.124, subdivision
3a, and (iii) class I manufactured home parks as defined in section 327C.015, subdivision
2;
deleted text end

deleted text begin (6) real property that is actively and exclusively devoted to indoor fitness, health, social,
recreational, and related uses, is owned and operated by a not-for-profit corporation, and is
located within the metropolitan area as defined in section 473.121, subdivision 2;
deleted text end

deleted text begin (7) a leased or privately owned noncommercial aircraft storage hangar not exempt under
section 272.01, subdivision 2, and the land on which it is located, provided that:
deleted text end

deleted text begin (i) the land is on an airport owned or operated by a city, town, county, Metropolitan
Airports Commission, or group thereof; and
deleted text end

deleted text begin (ii) the land lease, or any ordinance or signed agreement restricting the use of the leased
premise, prohibits commercial activity performed at the hangar.
deleted text end

deleted text begin If a hangar classified under this clause is sold after June 30, 2000, a bill of sale must be
filed by the new owner with the assessor of the county where the property is located within
60 days of the sale;
deleted text end

deleted text begin (8) a privately owned noncommercial aircraft storage hangar not exempt under section
272.01, subdivision 2, and the land on which it is located, provided that:
deleted text end

deleted text begin (i) the land abuts a public airport; and
deleted text end

deleted text begin (ii) the owner of the aircraft storage hangar provides the assessor with a signed agreement
restricting the use of the premises, prohibiting commercial use or activity performed at the
hangar; and
deleted text end

deleted text begin (9) residential real estate, a portion of which is used by the owner for homestead purposes,
and that is also a place of lodging, if all of the following criteria are met:
deleted text end

deleted text begin (i) rooms are provided for rent to transient guests that generally stay for periods of 14
or fewer days;
deleted text end

deleted text begin (ii) meals are provided to persons who rent rooms, the cost of which is incorporated in
the basic room rate;
deleted text end

deleted text begin (iii) meals are not provided to the general public except for special events on fewer than
seven days in the calendar year preceding the year of the assessment; and
deleted text end

deleted text begin (iv) the owner is the operator of the property.
deleted text end

deleted text begin The market value subject to the 4c classification under this clause is limited to five rental
units. Any rental units on the property in excess of five, must be valued and assessed as
class 3a. The portion of the property used for purposes of a homestead by the owner must
be classified as class 1a property under subdivision 22;
deleted text end

deleted text begin (10) real property up to a maximum of three acres and operated as a restaurant as defined
under section 157.15, subdivision 12, provided it: (i) is located on a lake as defined under
section 103G.005, subdivision 15, paragraph (a), clause (3); and (ii) is either devoted to
commercial purposes for not more than 250 consecutive days, or receives at least 60 percent
of its annual gross receipts from business conducted during four consecutive months. Gross
receipts from the sale of alcoholic beverages must be included in determining the property's
qualification under item (ii). The property's primary business must be as a restaurant and
not as a bar. Gross receipts from gift shop sales located on the premises must be excluded.
Owners of real property desiring 4c classification under this clause must submit an annual
declaration to the assessor by February 1 of the current assessment year, based on the
property's relevant information for the preceding assessment year;
deleted text end

deleted text begin (11) lakeshore and riparian property and adjacent land, not to exceed six acres, used as
a marina, as defined in section 86A.20, subdivision 5, which is made accessible to the public
and devoted to recreational use for marina services. The marina owner must annually provide
evidence to the assessor that it provides services, including lake or river access to the public
by means of an access ramp or other facility that is either located on the property of the
marina or at a publicly owned site that abuts the property of the marina. No more than 800
feet of lakeshore may be included in this classification. Buildings used in conjunction with
a marina for marina services, including but not limited to buildings used to provide food
and beverage services, fuel, boat repairs, or the sale of bait or fishing tackle, are classified
as class 3a property; and
deleted text end

deleted text begin (12) real and personal property devoted to noncommercial temporary and seasonal
residential occupancy for recreation purposes.
deleted text end

deleted text begin Class 4c property has a classification rate of 1.5 percent of market value, except that (i)
each parcel of noncommercial seasonal residential recreational property under clause (12)
has the same classification rates as class 4bb property, (ii) manufactured home parks assessed
under clause (5), item (i), have the same classification rate as class 4b property, the market
value of manufactured home parks assessed under clause (5), item (ii), have a classification
rate of 0.75 percent if more than 50 percent of the lots in the park are occupied by
shareholders in the cooperative corporation or association and a classification rate of one
percent if 50 percent or less of the lots are so occupied, and class I manufactured home
parks as defined in section 327C.015, subdivision 2, have a classification rate of 1.0 percent,
(iii) commercial-use seasonal residential recreational property and marina recreational land
as described in clause (11), has a classification rate of one percent for the first $500,000 of
market value, and 1.25 percent for the remaining market value, (iv) the market value of
property described in clause (4) has a classification rate of one percent, (v) the market value
of property described in clauses (2), (6), and (10) has a classification rate of 1.25 percent,
(vi) that portion of the market value of property in clause (9) qualifying for class 4c property
has a classification rate of 1.25 percent, and (vii) property qualifying for classification under
clause (3) that is owned or operated by a congressionally chartered veterans organization
has a classification rate of one percent. The commissioner of veterans affairs must provide
a list of congressionally chartered veterans organizations to the commissioner of revenue
by June 30, 2017, and by January 1, 2018, and each year thereafter.
deleted text end

deleted text begin (e)deleted text end new text begin (b)new text end Class 4d property includes:

(1) qualifying low-income rental housing certified to the assessor by the Housing Finance
Agency under section 273.128, subdivision 3. If only a portion of the units in the building
qualify as low-income rental housing units as certified under section 273.128, subdivision
3, only the proportion of qualifying units to the total number of units in the building qualify
for class 4d(1). The remaining portion of the building shall be classified by the assessor
based upon its use. Class 4d(1) also includes the same proportion of land as the qualifying
low-income rental housing units are to the total units in the building. For all properties
qualifying as class 4d(1), the market value determined by the assessor must be based on the
normal approach to value using normal unrestricted rents; and

(2) a unit that is owned by the occupant and used as a homestead by the occupant, and
otherwise meets all the requirements for community land trust property under section 273.11,
subdivision 12, provided that by December 31 of each assessment year, the community land
trust certifies to the assessor that (i) the community land trust owns the real property on
which the unit is located, and (ii) the unit owner is a member in good standing of the
community land trust. For all units qualifying as class 4d(2), the market value determined
by the assessor must be based on the normal approach to value without regard to any
restrictions that apply because the unit is a community land trust property.

deleted text begin (f)deleted text end new text begin (c)new text end Class 4d(1) property has a classification rate of 0.25 percent. Class 4d(2) property
has a classification rate of 0.75 percent.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective beginning with taxes payable in 2026.
new text end

Sec. 12.

Minnesota Statutes 2022, section 273.13, subdivision 31, is amended to read:

Subd. 31.

Class 5.

new text begin (a) new text end Class 5 property includes:

(1) unmined iron ore and low-grade iron-bearing formations as defined in section 273.14;
deleted text begin and
deleted text end

(2)new text begin land with a commercial aggregate deposit that is not actively being mined and is not
otherwise classified as class 2a or 2b;
new text end

new text begin (3) the landing area or public access area of a privately owned public use airport;
new text end

new text begin (4) property used as a noncommercial aircraft storage hangar not exempt under section
272.01, subdivision 2, and the land on which it is located; and
new text end

new text begin (5)new text end all other property not otherwise classified.

new text begin (b) new text end Class 5 property has a classification rate of 2.0 percent of market valuenew text begin , except for
property described in clause (2), which has a classification rate of 1.0 percent of market
valuenew text end .

new text begin (c) The terms "actively mined" and "commercial aggregate deposit" have the meanings
given in section 273.1115, subdivision 1.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective beginning with taxes payable in 2026.
new text end

Sec. 13.

Minnesota Statutes 2022, section 275.025, subdivision 1, is amended to read:

Subdivision 1.

Levy amount.

The state general levy is levied against
commercial-industrial property deleted text begin and seasonal residential recreational propertydeleted text end , as defined
in this section. The state general levy for commercial-industrial property is $716,990,000
for taxes payable in 2023new text begin through 2025. The state general levy for commercial-industrial
property is $758,680,000 for taxes payable in 2026new text end and thereafter. The state general levy
for seasonal-recreational property is $41,690,000 for taxes payable in 2020 deleted text begin and thereafterdeleted text end new text begin
through 2025new text end . The tax under this section is not treated as a local tax rate under section
469.177 and is not the levy of a governmental unit under chapters 276A and 473F.

The commissioner shall increase or decrease the preliminary or final rate for a year as
necessary to account for errors and tax base changes that affected a preliminary or final rate
for either of the two preceding years. Adjustments are allowed to the extent that the necessary
information is available to the commissioner at the time the rates for a year must be certified,
and for the following reasons:

(1) an erroneous report of taxable value by a local official;

(2) an erroneous calculation by the commissioner; and

(3) an increase or decrease in taxable value for commercial-industrial or seasonal
residential recreational property reported to the commissioner under section 270C.85,
subdivision 2, clause (4), for the same year.

The commissioner may, but need not, make adjustments if the total difference in the tax
levied for the year would be less than $100,000.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective beginning with taxes payable in 2026.
new text end

Sec. 14.

Minnesota Statutes 2022, section 275.025, subdivision 4, is amended to read:

Subd. 4.

Apportionment and levy of state general tax.

The state general tax must be
levied by applying a uniform rate to all commercial-industrial tax capacity deleted text begin and a uniform
rate to all seasonal residential recreational tax capacitydeleted text end . On or before October 1 each year,
the commissioner of revenue shall certify the preliminary state general levy deleted text begin ratesdeleted text end new text begin ratenew text end to
each county auditor that must be used to prepare the notices of proposed property taxes for
taxes payable in the following year. By January 1 of each year, the commissioner shall
certify the final state general levy deleted text begin ratesdeleted text end new text begin ratenew text end to each county auditor that shall be used in
spreading taxes.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective beginning with taxes payable in 2026.
new text end

Sec. 15.

Minnesota Statutes 2023 Supplement, section 290A.03, subdivision 13, is amended
to read:

Subd. 13.

Property taxes payable.

"Property taxes payable" means the property tax
exclusive of special assessments, penalties, and interest payable on a claimant's homestead
after deductions made under sections 273.135, 273.1384, 273.1391, 273.42, subdivision 2,
and any other state paid property tax credits in any calendar year, and after any refund
claimed and allowable under section 290A.04, subdivision 2hnew text begin or 2knew text end , that is first payable in
the year that the property tax is payable. In the case of a claimant who makes ground lease
payments, "property taxes payable" includes the amount of the payments directly attributable
to the property taxes assessed against the parcel on which the house is located. Regardless
of the limitations in section 280A(c)(5) of the Internal Revenue Code, "property taxes
payable" must be apportioned or reduced for the use of a portion of the claimant's homestead
for a business purpose if the claimant deducts any business depreciation expenses for the
use of a portion of the homestead or deducts expenses under section 280A of the Internal
Revenue Code for a business operated in the claimant's homestead. For manufactured homes,
"property taxes payable" shall also include 17 percent of the gross rent paid in the preceding
year for the site on which the homestead is located. When a homestead is owned by two or
more persons as joint tenants or tenants in common, such tenants shall determine between
them which tenant may claim the property taxes payable on the homestead. If they are
unable to agree, the matter shall be referred to the commissioner of revenue whose decision
shall be final. Property taxes are considered payable in the year prescribed by law for
payment of the taxes.

In the case of a claim relating to "property taxes payable," the claimant must have owned
and occupied the homestead on January 2 of the year in which the tax is payable and (i) the
property must have been classified as homestead property pursuant to section 273.124, on
or before December 31 of the assessment year to which the "property taxes payable" relate;
or (ii) the claimant must provide documentation from the local assessor that application for
homestead classification has been made on or before December 31 of the year in which the
"property taxes payable" were payable and that the assessor has approved the application.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective beginning with claims based on property
taxes payable in 2026.
new text end

Sec. 16.

Minnesota Statutes 2023 Supplement, section 290A.04, subdivision 2h, is amended
to read:

Subd. 2h.

Additional refund.

(a) If the gross property taxes payable on a homesteadnew text begin ,
net of any refund under subdivision 2k,new text end increase more than 12 percent over the property
taxes payable in the prior year on the same property that is owned and occupied by the same
owner on January 2 of both years, and the amount of that increase is $100 or more, a claimant
who is a homeowner shall be allowed an additional refund equal to 60 percent of the amount
of the increase over the greater of 12 percent of the prior year's property taxes payable or
$100. This subdivision shall not apply to any increase in the gross property taxes payable
attributable to improvements made to the homestead after the assessment date for the prior
year's taxes. This subdivision shall not apply to any increase in the gross property taxes
payable attributable to the termination of valuation exclusions under section 273.11,
subdivision 16.

The maximum refund allowed under this subdivision is $1,000.

(b) For purposes of this subdivision "gross property taxes payable" means property taxes
payable determined without regard to the refund allowed under this subdivision.

(c) In addition to the other proofs required by this chapter, each claimant under this
subdivision shall file with the property tax refund return a copy of the property tax statement
for taxes payable in the preceding year or other documents required by the commissioner.

(d) Upon request, the appropriate county official shall make available the names and
addresses of the property taxpayers who may be eligible for the additional property tax
refund under this section. The information shall be provided electronically. The county may
recover its costs by charging the person requesting the information the reasonable cost for
preparing the data. The information may not be used for any purpose other than for notifying
the homeowner of potential eligibility and assisting the homeowner, without charge, in
preparing a refund claim.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective beginning with claims based on property
taxes payable in 2026.
new text end

Sec. 17.

Minnesota Statutes 2022, section 290A.04, is amended by adding a subdivision
to read:

new text begin Subd. 2k. new text end

new text begin Additional refund for homeowners with a disability. new text end

new text begin (a) A claimant is
eligible for an additional refund equal to the lesser of ... percent of the property's taxable
market value or $....... if the claimant is:
new text end

new text begin (1) blind as defined in section 256D.35;
new text end

new text begin (2) permanently and totally disabled; or
new text end

new text begin (3) the surviving spouse of a veteran who was permanently and totally disabled and who
homesteaded a property classified as class 1b under Minnesota Statutes 2022, section 273.13,
subdivision 22, for taxes payable in 2008, provided that the surviving spouse continues to
homestead the same property.
new text end

new text begin (b) If the spouse of the claimant meets the requirements of paragraph (a) and occupies
as a homestead the same homestead property as the claimant, then the claimant is eligible
for the additional refund under this subdivision.
new text end

new text begin (c) A claimant qualifies under paragraph (a), clause (2), only if the government agency
or income-providing source certifies that the claimant satisfies the disability requirements
of paragraph (e).
new text end

new text begin (d) The commissioner of revenue may require an applicant who has not previously
received a refund under this subdivision to submit whatever documentation is required to
determine eligibility under this subdivision. The application and any supplementary
information received from the property owner pursuant to this subdivision shall be subject
to chapter 270B. An applicant who has previously received refunds under this subdivision
is not required to submit proof of eligibility, except that the applicant may be required to
affirmatively state that no change in eligibility status has occurred.
new text end

new text begin (e) For the purposes of this subdivision, "permanently and totally disabled" means a
condition that is permanent in nature and totally incapacitates the person from working at
an occupation that brings the person an income.
new text end

new text begin (f) An applicant whose homestead qualified for class 1b under Minnesota Statutes 2022,
section 273.13, subdivision 22, for assessment year 2024 due to the applicant's disability is
automatically eligible for a refund under this section.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective beginning with claims based on property
taxes payable in 2026.
new text end

Sec. 18. new text begin REPEALER.
new text end

new text begin (a) new text end new text begin Minnesota Statutes 2022, sections 273.1315, subdivision 1; 273.1319; 275.025,
subdivision 3; 279.01, subdivision 4; 327C.015, subdivision 2; and 327C.16, new text end new text begin are repealed.
new text end

new text begin (b) new text end new text begin Minnesota Statutes 2023 Supplement, section 273.1315, subdivision 2, new text end new text begin is repealed.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective beginning with taxes payable in 2026.
new text end

ARTICLE 2

CONFORMING TECHNICAL CHANGES

Section 1.

Minnesota Statutes 2022, section 123A.455, subdivision 1, is amended to read:

Subdivision 1.

Definitions.

"Split residential property parcel" means a parcel of real
estate that is located within the boundaries of more than one school district and that is
classified as residential property under

deleted text begin :(1)deleted text end section 273.13, subdivision 22new text begin .new text end deleted text begin , paragraph (a) or (b);
deleted text end

deleted text begin (2) section 273.13, subdivision 25, paragraph (b), clause (1); or
deleted text end

deleted text begin (3) section 273.13, subdivision 25, paragraph (c).
deleted text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective beginning with taxes payable in 2026.
new text end

Sec. 2.

Minnesota Statutes 2022, section 216E.12, subdivision 4, is amended to read:

Subd. 4.

Contiguous land.

(a) When private real property that is an agricultural or
nonagricultural homestead, nonhomestead agricultural land,new text begin ornew text end rental residential property,
deleted text begin and both commercial and noncommercial seasonal residential recreational property,deleted text end as those
terms are defined in section 273.13 is proposed to be acquired for the construction of a site
or route for a high-voltage transmission line with a capacity of 200 kilovolts or more by
eminent domain proceedings, the owner shall have the option to require the utility to condemn
a fee interest in any amount of contiguous, commercially viable land which the owner wholly
owns in undivided fee and elects in writing to transfer to the utility within 60 days after
receipt of the notice of the objects of the petition filed pursuant to section 117.055.
Commercial viability shall be determined without regard to the presence of the utility route
or site. Within 60 days after receipt by the utility of an owner's election to exercise this
option, the utility shall provide written notice to the owner of any objection the utility has
to the owner's election, and if no objection is made within that time, any objection shall be
deemed waived. Within 120 days of the service of an objection by the utility, the district
court having jurisdiction over the eminent domain proceeding shall hold a hearing to
determine whether the utility's objection is upheld or rejected. The utility has the burden of
proof to prove by a preponderance of the evidence that the property elected by the owner
is not commercially viable. The owner shall have only one such option and may not expand
or otherwise modify an election without the consent of the utility. The required acquisition
of land pursuant to this subdivision shall be considered an acquisition for a public purpose
and for use in the utility's business, for purposes of chapter 117 and section 500.24,
respectively; provided that a utility shall divest itself completely of all such lands used for
farming or capable of being used for farming not later than the time it can receive the market
value paid at the time of acquisition of lands less any diminution in value by reason of the
presence of the utility route or site. Upon the owner's election made under this subdivision,
the easement interest over and adjacent to the lands designated by the owner to be acquired
in fee, sought in the condemnation petition for a right-of-way for a high-voltage transmission
line with a capacity of 200 kilovolts or more shall automatically be converted into a fee
taking.

(b) All rights and protections provided to an owner under chapter 117 apply to acquisition
of land or an interest in land under this section.

(c) Within 120 days of an owner's election under this subdivision to require the utility
to acquire land, or 120 days after a district court decision overruling a utility objection to
an election made pursuant to paragraph (a), the utility must make a written offer to acquire
that land and amend its condemnation petition to include the additional land.

(d) For purposes of this subdivision, "owner" means the fee owner, or when applicable,
the fee owner with the written consent of the contract for deed vendee, or the contract for
deed vendee with the written consent of the fee owner.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective January 1, 2026.
new text end

Sec. 3.

Minnesota Statutes 2022, section 271.21, subdivision 2, is amended to read:

Subd. 2.

Jurisdiction.

At the election of the taxpayer, the Small Claims Division shall
have jurisdiction only in the following matters:

(a) cases involving valuation, assessment, or taxation of real or personal property, if:

(i) the issue is a denial of a current year application for the homestead classification for
the taxpayer's property;

(ii) only one parcel is included in the petition, the entire parcel is classified as homestead
class deleted text begin 1a or 1bdeleted text end new text begin 1new text end under section 273.13, and the parcel contains no more than one dwelling
unit;

(iii) the deleted text begin entiredeleted text end property is classified as agricultural homestead class 2a deleted text begin or 1bdeleted text end new text begin , a portion
of which may be classified as homestead class 1,new text end under section 273.13; or

(iv) the assessor's estimated market value of the property included in the petition is less
than $300,000; or

(b) any case not involving valuation, assessment, or taxation of real and personal property
in which the amount in controversy does not exceed $15,000, including penalty and interest.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective beginning with taxes payable in 2026.
new text end

Sec. 4.

Minnesota Statutes 2022, section 273.11, subdivision 13, is amended to read:

Subd. 13.

Valuation of income-producing property.

Only accredited assessors or
senior accredited assessors or other licensed assessors who have successfully completed at
least two income-producing property appraisal courses may value income-producing property
for ad valorem tax purposes. "Income-producing property" as used in this subdivision means
the taxable property in class 3a and 3b in section 273.13, subdivision 24; class 4a deleted text begin and 4c,
except for seasonal recreational property not used for commercial purposesdeleted text end ; and class 5 in
section 273.13, subdivision 31new text begin , clauses (1), (2), and (5)new text end . "Income-producing property"
includes any property in class 4e in section 273.13, subdivision 25, that would be
income-producing property under the definition in this subdivision if it were not substandard.
"Income-producing property appraisal course" as used in this subdivision means a course
of study of approximately 30 instructional hours, with a final comprehensive test. An assessor
must successfully complete the final examination for each of the two required courses. The
course must be approved by the board of assessors.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective beginning with taxes payable in 2026.
new text end

Sec. 5.

Minnesota Statutes 2022, section 273.1231, subdivision 4, is amended to read:

Subd. 4.

Homestead property.

"Homestead property" means a homestead dwelling that
is classified as class deleted text begin 1a, 1b, or 2adeleted text end new text begin 1new text end property or a manufactured home or sectional home
used as a homestead and taxed pursuant to section 273.125, subdivision 8, paragraph (b),
(c), or (d).

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective beginning with taxes payable in 2026.
new text end

Sec. 6.

Minnesota Statutes 2022, section 273.124, subdivision 17, is amended to read:

Subd. 17.

Owner-occupied motel property.

For purposes of class deleted text begin 1adeleted text end new text begin 1new text end determinations,
a homestead includes that portion of property defined as a motel under chapter 157, provided
that the person residing in the motel property is using that property as a homestead, is part
owner, and is actively engaged in the operation of the motel business. Homestead treatment
applies even if legal title to the property is in the name of a corporation or partnership and
not in the name of the person residing in the motel. The homestead is limited to that portion
of the motel actually occupied by the person.

A taxpayer meeting the requirements of this subdivision must notify the county assessor,
or the assessor who has the powers of the county assessor under section 273.063, in writing,
in order to qualify under this subdivision for deleted text begin 1adeleted text end new text begin class 1new text end homestead classification.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective beginning with taxes payable in 2026.
new text end

Sec. 7.

Minnesota Statutes 2023 Supplement, section 273.13, subdivision 35, is amended
to read:

Subd. 35.

Homestead market value exclusion.

(a) Prior to determining a property's
net tax capacity under this section, property classified asnew text begin classnew text end 4d(2) under subdivision 25,
paragraph (e), clause (2), deleted text begin class 1a, or 1b under subdivision 22, and the portion of property
classified as class 2a under subdivision 23 consisting of the house, garage, and surrounding
one acre of land,deleted text end new text begin or homestead property classified as class 1 under subdivision 22new text end shall be
eligible for a market value exclusion as determined under paragraph (b).

(b) For a homestead valued at $95,000 or less, the exclusion is 40 percent of market
value. For a homestead valued between $95,000 and $517,200, the exclusion is $38,000
minus nine percent of the valuation over $95,000. For a homestead valued at $517,200 or
more, there is no valuation exclusion. The valuation exclusion shall be rounded to the nearest
whole dollar, and may not be less than zero.

(c) Any valuation exclusions or adjustments under section 273.11 shall be applied prior
to determining the amount of the valuation exclusion under this subdivision.

(d) In the case of a property that is classified as part homestead and part nonhomestead,
(i) the exclusion shall apply only to the homestead portion of the property, but (ii) if a portion
of a property is classified as nonhomestead solely because not all the owners occupy the
property, not all the owners have qualifying relatives occupying the property, or solely
because not all the spouses of owners occupy the property, the exclusion amount shall be
initially computed as if that nonhomestead portion were also in the homestead class and
then prorated to the owner-occupant's percentage of ownership. For the purpose of this
section, when an owner-occupant's spouse does not occupy the property, the percentage of
ownership for the owner-occupant spouse is one-half of the couple's ownership percentage.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective beginning with taxes payable in 2026.
new text end

Sec. 8.

Minnesota Statutes 2022, section 273.165, subdivision 2, is amended to read:

Subd. 2.

Iron ore.

Unmined iron ore included in class 5deleted text begin , paragraph (b),deleted text end must be assessed
with and as a part of the real estate in which it is located, but its net tax capacity would be
as established in section 273.13, subdivision 31. The real estate in which iron ore is located,
other than the ore, must be classified and assessed in accordance with the provisions of the
appropriate classes. In assessing any tract or lot of real estate in which iron ore is known to
exist, the assessable net tax capacity of the ore exclusive of the land in which it is located,
and the assessable net tax capacity of the land exclusive of the ore must be determined and
set down separately and the aggregate of the two must be assessed against the tract or lot.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment.
new text end

Sec. 9.

Minnesota Statutes 2022, section 273.42, subdivision 2, is amended to read:

Subd. 2.

Property tax credit.

Owners of land that is an agricultural or nonagricultural
homestead, nonhomestead agricultural land,new text begin ornew text end rental residential property, deleted text begin and both
commercial and noncommercial seasonal residential recreational property,deleted text end as those terms
are defined in section 273.13 listed on records of the county auditor or county treasurer over
which runs a high voltage transmission line with a capacity of 200 kilovolts or more, except
a high voltage transmission line the construction of which was commenced prior to July 1,
1974, shall receive a property tax credit in an amount determined by multiplying a fraction,
the numerator of which is the length of high voltage transmission line which runs over that
parcel and the denominator of which is the total length of that particular line running over
all property within the city or township by ten percent of the transmission line tax revenue
derived from the tax on that portion of the line within the city or township pursuant to section
273.36. In the case of property owners in unorganized townships, the property tax credit
shall be determined by multiplying a fraction, the numerator of which is the length of the
qualifying high voltage transmission line which runs over the parcel and the denominator
of which is the total length of the qualifying high voltage transmission line running over all
property within all the unorganized townships within the county, by the total utility property
tax credit fund amount available within the county for that year pursuant to subdivision 1.
Where a right-of-way width is shared by more than one property owner, the numerator shall
be adjusted by multiplying the length of line on the parcel by the proportion of the total
width on the parcel owned by that property owner. The amount of credit for which the
property qualifies shall not exceed 20 percent of the total gross tax on the parcel prior to
deduction of the state paid agricultural credit, provided that, if the property containing the
right-of-way is included in a parcel which exceeds 40 acres, the total gross tax on the parcel
shall be multiplied by a fraction, the numerator of which is the sum of the number of acres
in each quarter-quarter section or portion thereof which contains a right-of-way and the
denominator of which is the total number of acres in the parcel set forth on the tax statement,
and the maximum credit shall be 20 percent of the product of that computation, prior to
deduction of those credits. The auditor of the county in which the affected parcel is located
shall calculate the amount of the credit due for each parcel and transmit that information to
the county treasurer. The county auditor, in computing the credit received pursuant to section
273.135, shall reduce the gross tax by the amount of the credit received pursuant to this
section, unless the amount of the credit would be less than $10.

If, after the county auditor has computed the credit to those qualifying property owners
in unorganized townships, there is money remaining in the utility property tax credit fund,
then that excess amount in the fund shall be returned to the general school fund of the county.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective beginning with taxes payable in 2026.
new text end

Sec. 10.

Minnesota Statutes 2022, section 276A.01, subdivision 4, is amended to read:

Subd. 4.

Residential property.

"Residential property" means the following categories
of property, as defined in section 273.13, excluding that portion of the property that is
exempt from taxation pursuant to section 272.02:

(1) class deleted text begin 1a, 1b, and 2adeleted text end new text begin 1new text end propertydeleted text begin , limited to the homestead dwelling, a garage, and the
one acre of land on which the dwelling is locateddeleted text end ;

(2) that portion of class 3 property used exclusively for residential occupancy; and

(3) property valued and assessed under section 273.13, subdivision 25, except for hospitals
and property valued and assessed under section 273.13, subdivision 25deleted text begin , paragraph (d),
clauses (1) and (3)deleted text end .

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective beginning with taxes payable in 2026.
new text end

Sec. 11.

Minnesota Statutes 2022, section 278.03, subdivision 1, is amended to read:

Subdivision 1.

Real property.

In the case of real property, if the proceedings instituted
by the filing of the petition have not been completed before the 16th day of May next
following the filing, the petitioner shall pay to the county treasurer 50 percent of the tax
levied for such year against the property involved, unless permission to continue prosecution
of the petition without such payment is obtained as herein provided. If the proceedings
instituted by the filing of the petition have not been completed by the next October 16, or,
in the case of deleted text begin class 1b agricultural homestead,deleted text end class 2a agricultural homesteaddeleted text begin ,deleted text end and class
2bdeleted text begin (2)deleted text end agricultural nonhomestead property, November 16, the petitioner shall pay to the
county treasurer 50 percent of the unpaid balance of the taxes levied for the year against
the property involved if the unpaid balance is $2,000 or less and 80 percent of the unpaid
balance if the unpaid balance is over $2,000, unless permission to continue prosecution of
the petition without payment is obtained as herein provided. The petitioner, upon ten days'
notice to the county attorney and to the county auditor, given at least ten days prior to the
16th day of May or the 16th day of October, or, in the case of deleted text begin class 1b agricultural homestead,deleted text end
class 2a agricultural homesteaddeleted text begin ,deleted text end and class 2bdeleted text begin (2)deleted text end agricultural nonhomestead property, the
16th day of November, may apply to the court for permission to continue prosecution of
the petition without payment; and, if it is made to appearnew text begin :
new text end

(1) that the proposed review is to be taken in good faith;

(2) that there is probable cause to believe that the property may be held exempt from
the tax levied or that the tax may be determined to be less than 50 percent of the amount
levied; and

(3) that it would work a hardship upon petitioner to pay the taxes due,

the court may permit the petitioner to continue prosecution of the petition without payment,
or may fix a lesser amount to be paid as a condition of continuing the prosecution of the
petition.

Failure to make payment of the amount required when due shall operate automatically
to dismiss the petition and all proceedings thereunder unless the payment is waived by an
order of the court permitting the petitioner to continue prosecution of the petition without
payment. The petition shall be automatically reinstated upon payment of the entire tax plus
interest and penalty if the payment is made within one year of the dismissal. The county
treasurer shall, upon request of the petitioner, issue duplicate receipts for the tax payment,
one of which shall be filed by the petitioner in the proceeding.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective for petitions filed for property taxes
payable in 2026 and thereafter.
new text end

Sec. 12.

Minnesota Statutes 2022, section 278.05, subdivision 5, is amended to read:

Subd. 5.

Offer to reduce valuation.

Any time after the filing of the petition and before
the trial of the issues raised thereby, when the defense or claim presented is that the property
has been partially, unfairly, or unequally assessed, or that the property has been assessed
at a valuation greater than its real or actual value, or that a parcel which is classified as
homestead under the provisions of section 273.13, subdivision 22 or 23, has been assessed
at a valuation which exceeds by ten percent or more the valuation which the parcel would
have if it were valued at the average assessment/sales ratio for real property in the same
class in that portion of the county in which the parcel is located, for which the commissioner
is able to establish and publish a sales ratio study, the attorney representing the state, county,
city or town in the proceedings may serve on the petitioner, or the petitioner's attorney, and
file with the court administrator of the district court, an offer to reduce the valuation of the
property or a portion of the property to a valuation set forth in the offer. If, within ten days
thereafter, the petitioner, or the attorney, gives notice in writing to the county attorney, or
the attorney for the city or town, that the offer is accepted, the official notified may file the
offer with proof of notice, and the court administrator shall enter judgment accordingly.
Otherwise, the offer shall be deemed withdrawn and evidence thereof shall not be given;
and, unless a lower valuation than specified in the offer is found by the court, no costs or
disbursements shall be allowed to the petitioner, but the costs and disbursements of the
state, county, city or town, including interest at six percent on the tax based on the amount
of the offer from and after the 16th day of October, or, in the case of deleted text begin class 1b agricultural
homestead,deleted text end class 2a agricultural homestead, class 2bdeleted text begin (2)deleted text end agricultural nonhomestead property,
and manufactured homes treated as personal property, the 16th day of November, of the
year the taxes are payable, shall be taxed in its favor and included in the judgment and when
collected shall be credited to the county revenue fund, unless the taxes were paid in full
before the 16th day of October, or, in the case of deleted text begin class 1b agricultural homestead,deleted text end class 2a
agricultural homestead, and class 2bdeleted text begin (2)deleted text end agricultural nonhomestead property, and
manufactured homes treated as personal property, the 16th day of November, of the year
in which the taxes were payable, in which event interest shall not be taxable.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective for petitions filed for property taxes
payable in 2026 and thereafter.
new text end

Sec. 13.

Minnesota Statutes 2022, section 279.01, subdivision 1, is amended to read:

Subdivision 1.

Due dates; penalties.

(a) When the taxes against any tract or lot exceed
$100, one-half of the amount of tax due must be paid prior to May 16, and the remaining
one-half must be paid prior to the following October 16. If either tax amount is unpaid as
of its due date, a penalty is imposed at a rate of two percent on homestead property and four
percent on nonhomestead property. If complete payment has not been made by the first day
of the month following either due date, an additional penalty of two percent on homestead
property and four percent on nonhomestead property is imposed. Thereafter, for both
homestead and nonhomestead property, on the first day of each subsequent month through
December, an additional penalty of one percent for each month accrues and is charged on
all such unpaid taxes provided that the penalty must not exceed eight percent in the case of
homestead property, or 12 percent in the case of nonhomestead property.

(b) If the property tax statement was not postmarked prior to April 25, the first half
payment due date in paragraph (a) shall be 21 days from the postmark date of the property
tax statement, and all penalties referenced in paragraph (a) shall be determined with regard
to the later due date.

(c) In the case of a tract or lot with taxes of $100 or less, the due date and penalties as
specified in paragraph (a) or (b) for the first half payment shall apply to the entire amount
of the tax due.

(d) For commercial use real property used for seasonal residential recreational purposes
and deleted text begin classified as class 1c or 4c, and on other commercial use real propertydeleted text end classified as class
3a, provided that over 60 percent of the gross income earned by the enterprise on the class
3a property is earned during the months of May, June, July, and August, the first half
payment is due prior to June 1. For a class 3a property to qualify for the later due date, the
owner of the property must attach an affidavit to the payment attesting to compliance with
the income requirements of this paragraph.

(e) This section applies to payment of personal property taxes assessed against
improvements to leased property, except as provided by section 277.01, subdivision 3.

(f) A county may provide by resolution that in the case of a property owner that has
multiple tracts or parcels with aggregate taxes exceeding $100, payments may be made in
installments as provided in this subdivision.

(g) The county treasurer may accept payments of more or less than the exact amount of
a tax installment due. Payments must be applied first to the oldest installment that is due
but which has not been fully paid. If the accepted payment is less than the amount due,
payments must be applied first to the penalty accrued for the year or the installment being
paid. Acceptance of partial payment of tax does not constitute a waiver of the minimum
payment required as a condition for filing an appeal under section 278.03 or any other law,
nor does it affect the order of payment of delinquent taxes under section 280.39.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective beginning with taxes payable in 2026.
new text end

Sec. 14.

Minnesota Statutes 2022, section 279.01, subdivision 3, is amended to read:

Subd. 3.

Agricultural property.

In the case of deleted text begin class 1b agricultural homestead,deleted text end class
2a agricultural homestead property, class 2a agricultural nonhomestead property, and class
2b rural vacant land that is part of an agricultural homestead, no penalties shall attach to
the second one-half property tax payment as provided in this section if paid by November
15. Thereafter, penalties shall attach as provided in subdivision 1.

If the owner of deleted text begin class 1b agricultural homestead ordeleted text end class 2a agricultural property receives
a consolidated property tax statement that shows only an aggregate of the taxes and special
assessments due on that property and on other property not classified as deleted text begin class 1b agricultural
homestead ordeleted text end class 2a agricultural property, the aggregate tax and special assessments shown
due on the property by the consolidated statement will be due on November 15.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective beginning with taxes payable in 2026.
new text end

Sec. 15.

Minnesota Statutes 2022, section 279.37, subdivision 1, is amended to read:

Subdivision 1.

Composition into one item.

Delinquent taxes upon any parcel of real
estate may be composed into one item or amount by confession of judgment at any time
prior to the forfeiture of the parcel of land to the state for taxes, for the aggregate amount
of all the taxes, costs, penalties, and interest accrued against the parcel, as provided in this
section. Taxes upon property which, for the previous year's assessment, was classified as
mineral property, employment property, or commercial or industrial property are only
eligible to be composed into any confession of judgment under this section as provided in
subdivision 1a. deleted text begin Delinquent taxes for property that has been reclassified from 4bb to 4b under
section 273.1319 may not be composed into a confession of judgment under this subdivision.
deleted text end Delinquent taxes on unimproved land are eligible to be composed into a confession of
judgment only if the land is classified under section 273.13 as homestead, agricultural, rural
vacant land, or managed forest land, in the previous year or is eligible for installment payment
under subdivision 1a. The entire parcel is eligible for the ten-year installment plan as provided
in subdivision 2 if 25 percent or more of the market value of the parcel is eligible for
confession of judgment under this subdivision.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective beginning with taxes payable in 2026.
new text end

Sec. 16.

Minnesota Statutes 2023 Supplement, section 290.0694, subdivision 1, is amended
to read:

Subdivision 1.

Definitions.

(a) For purposes of this section, the following definitions
have the meanings given.

(b) "Qualified property" means a manufactured home park in Minnesota deleted text begin classified as
4c(5)(i) or 4c(5)(iii) under section 273.13, subdivision 25, paragraph (d)deleted text end new text begin as defined in section
327.14, subdivision 3, excluding manufactured home parks described in section 273.124,
subdivision 3anew text end .

(c) "Qualified seller" means a taxpayer, as defined under section 290.01, subdivision 6,
who sells qualified property to: (1) a corporation or association organized under chapter
308A or 308B, where each person who owns a share or shares in the corporation or
association would be entitled to occupy a lot within the qualified property after the sale; (2)
a charitable corporation, organized under the laws of Minnesota with no outstanding stock,
and granted a ruling by the Internal Revenue Service for 501(c)(3) tax-exempt status, whose
members hold residential participation warrants entitling the members to occupy the units
in the manufactured home park; or (3) a nonprofit or a representative acting on behalf of
residents, as defined by section 327C.015, subdivision 13, who purchases the property on
behalf of residents who intend to form a corporation or association as described in clause
(1) or (2).

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective for taxable years beginning after December
31, 2024.
new text end

Sec. 17.

Minnesota Statutes 2023 Supplement, section 290A.03, subdivision 6, is amended
to read:

Subd. 6.

Homestead.

"Homestead" means the dwelling occupied as the claimant's
principal residence and so much of the land surrounding it, not exceeding ten acres, as is
reasonably necessary for use of the dwelling as a home and any other property used for
purposes of a homestead as defined in section 273.13, subdivision 22, or section 273.13,
subdivision 25, paragraph deleted text begin (e)deleted text end new text begin (b)new text end , clause (2). For agricultural land assessed as part of a
homestead pursuant to section 273.13, subdivision 23, "homestead" is limited to the house
and garage and immediately surrounding one acre of land. The homestead may be owned
as a part of a multidwelling or multipurpose building and the land on which it is built. A
manufactured home, as defined in section 273.125, subdivision 8, or a park trailer taxed as
a manufactured home under section 168.012, subdivision 9, assessed as personal property
may be a dwelling for purposes of this subdivision.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective beginning with taxes payable in 2026.
new text end

Sec. 18.

Minnesota Statutes 2023 Supplement, section 428A.01, subdivision 7, is amended
to read:

Subd. 7.

Multiunit residential property.

"Multiunit residential property" means:

(1) property classified as class 4a under section 273.13, subdivision 25, paragraph (a);

(2) condominiums, as defined under section 515A.1-103, clause (7), that are classified
as class deleted text begin 1adeleted text end new text begin 1new text end under section 273.13, subdivision 22, paragraph (a); deleted text begin class 4b under section
273.13, subdivision 25, paragraph (b), clause (1); class 4bb under section 273.13, subdivision
25, paragraph (c), clause (1);deleted text end or condominiums under chapters 515 and 515A established
prior to the enactment of the Minnesota Common Interest Ownership act under chapter
515B;

(3) condominium-type storage units classified as class deleted text begin 4bb under section 273.13,
subdivision 25, paragraph (c), clause (3)deleted text end new text begin 1 under section 273.13, subdivision 22new text end ; and

(4) duplex or triplex property classified as class deleted text begin 1adeleted text end new text begin 1new text end under section 273.13, subdivision
22deleted text begin , paragraph (a); or classified as class 4b under section 273.13, subdivision 25, paragraph
(b), clause (1)deleted text end .

Multiunit residential property does not include any unit that is an affordable housing unit
classified as 4d low-income rental housing under section 273.13, subdivision 25, paragraph
deleted text begin (e)deleted text end new text begin (b)new text end .

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective for the establishment or enlargement of
a special service district after December 31, 2024.
new text end

Sec. 19.

Minnesota Statutes 2022, section 473F.02, subdivision 4, is amended to read:

Subd. 4.

Residential property.

"Residential property" means the following categories
of property, as defined in section 273.13, excluding that portion of such property exempt
from taxation pursuant to section 272.02:

(a) class 1deleted text begin , 1b, 2a, 4a, 4b, 4c,deleted text end new text begin property under section 273.13, subdivision 22,new text end and deleted text begin 4ddeleted text end new text begin
class 4new text end property deleted text begin except resorts and property classifieddeleted text end under section 273.13, subdivision
25deleted text begin , paragraph (d), clause (3)deleted text end ; and

(b) that portion of class 3a, 3b, and 5 property used exclusively for residential occupancy.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective beginning with taxes payable in 2026.
new text end

Sec. 20.

Minnesota Statutes 2022, section 507.235, subdivision 1, is amended to read:

Subdivision 1.

Filing required.

All contracts for deed executed on or after January 1,
1984, shall be recorded by the vendee within four months in the office of the county recorder
or registrar of titles in the county in which the land is located. Any other person may record
the contract. This filing period may be extended if failure to pay the property tax due in the
current year on a parcel as required in section 272.121 has prevented filing and recording
of the contract. In the case of a parcel that was divided and classified under section 273.13
as class deleted text begin 1a or 1bdeleted text end new text begin 1new text end , the period may be extended to October 31 of the year in which the sale
occurred, and in the case of a parcel that was divided and classified under section 273.13
as class 2a, the period may be extended to November 30 of the year in which the sale
occurred.

A person receiving an assignment of a vendee's interest in a contract for deed that is
transferred on or after January 1, 1989, shall record the assignment within four months of
the date of transfer in the office of the county recorder or registrar of titles in the county in
which the land is located. For the purpose of this section, "assignment" means an assignment
or other transfer of all or part of a vendee's interest in a contract for deed. Any other person
may record an assignment.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective beginning January 1, 2025.
new text end

Sec. 21.

Minnesota Statutes 2022, section 580.23, subdivision 2, is amended to read:

Subd. 2.

12-month redemption period.

Notwithstanding the provisions of subdivision
1 hereof, when lands have been sold in conformity with the preceding sections of this
chapter, the mortgagor, the mortgagor's personal representatives or assigns, within 12 months
after such sale, may redeem such lands in accordance with the provisions of payment of
subdivision 1 thereof, if:

(1) the mortgage was executed prior to July 1, 1967;

(2) the amount claimed to be due and owing as of the date of the notice of foreclosure
sale is less than 66-2/3 percent of the original principal amount secured by the mortgage;

(3) the mortgage was executed prior to July 1, 1987, and the mortgaged premises, as of
the date of the execution of the mortgage, exceeded ten acres in size;

(4) the mortgage was executed prior to August 1, 1994, and the mortgaged premises, as
of the date of the execution of the mortgage, exceeded ten acres but did not exceed 40 acres
in size and was in agricultural use as defined in section 40A.02, subdivision 3;

(5) the mortgaged premises, as of the date of the execution of the mortgage, exceeded
40 acres in size;

(6) the mortgage was executed on or after August 1, 1994, and the mortgaged premises,
as of the date of the execution of the mortgage, exceeded ten acres but did not exceed 40
acres in size and was in agricultural use. For purposes of this clause, "in agricultural use"
means that at least a portion of the mortgaged premises was classified for ad valorem tax
purposes as:

(i) class 2a agricultural homestead property under section 273.13, subdivision 23;

(ii) class 2b rural or agricultural nonhomestead property under section 273.13, subdivision
23;new text begin or
new text end

deleted text begin (iii) class 1b agricultural homestead property under section 273.13, subdivision 22; or
deleted text end

deleted text begin (iv)deleted text end new text begin (iii)new text end exempt wetlands under section 272.02, subdivision 11; or

(7) the mortgage qualifies as a reverse mortgage as defined in section 47.58.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective for sales occurring after December 31,
2025.
new text end

Sec. 22. new text begin REVISOR INSTRUCTION.
new text end

new text begin The revisor of statutes, in consultation with staff from the House Research Department
and the Office of Senate Counsel, Research and Fiscal Analysis, and the Department of
Revenue, shall prepare legislation that makes conforming changes in accordance with the
provisions of this act. The revisor shall submit the proposal, in a form ready for introduction,
during the 2025 regular legislative session to the chairs and ranking minority members of
the legislative committees with jurisdiction over taxes.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment.
new text end

HF 4481

Bill Text Versions

Current Version - as introduced

ARTICLE 1

CLASSIFICATION REFORM

Section 1.

Subd. 3.

Referendum market value.

new text begin EFFECTIVE DATE. new text end

Sec. 2.

Subd. 12.

Community land trusts.

new text begin EFFECTIVE DATE. new text end

Sec. 3.

Subdivision 1.

Definitions.

new text begin EFFECTIVE DATE. new text end

Sec. 4.

Subd. 2.

Requirement.

new text begin EFFECTIVE DATE. new text end

Sec. 5.

Subd. 3.

Application.

new text begin EFFECTIVE DATE. new text end

Sec. 6.

Subdivision 1.

General rule.

new text begin EFFECTIVE DATE. new text end

Sec. 7.

Subd. 3a.

Manufactured home park cooperative.

new text begin EFFECTIVE DATE. new text end

Sec. 8.

Subd. 22.

Class 1.

new text begin EFFECTIVE DATE. new text end

Sec. 9.

Subd. 23.

Class 2.

new text begin EFFECTIVE DATE. new text end

Sec. 10.

Subd. 24.

Class 3.

new text begin EFFECTIVE DATE. new text end

Sec. 11.

Subd. 25.

Class 4.

new text begin EFFECTIVE DATE. new text end

Sec. 12.

Subd. 31.

Class 5.

new text begin EFFECTIVE DATE. new text end

Sec. 13.

Subdivision 1.

Levy amount.

new text begin EFFECTIVE DATE. new text end

Sec. 14.

Subd. 4.

Apportionment and levy of state general tax.

new text begin EFFECTIVE DATE. new text end

Sec. 15.

Subd. 13.

Property taxes payable.

new text begin EFFECTIVE DATE. new text end

Sec. 16.

Subd. 2h.

Additional refund.

new text begin EFFECTIVE DATE. new text end

Sec. 17.

new text begin Subd. 2k. new text end

new text begin Additional refund for homeowners with a disability. new text end

new text begin EFFECTIVE DATE. new text end

Sec. 18. new text begin REPEALER.new text end

new text begin EFFECTIVE DATE. new text end

ARTICLE 2

CONFORMING TECHNICAL CHANGES

Section 1.

Subdivision 1.

Definitions.

Sec. 18. new text begin REPEALER.
new text end