1.1                          A bill for an act 
  1.2             relating to the city of East Grand Forks; providing 
  1.3             for grants to the city based on retail activity 
  1.4             generated within a development zone of the city; 
  1.5             appropriating money. 
  1.6   BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.7      Section 1.  [EAST GRAND FORKS; DEVELOPMENT GRANTS TO CITY.] 
  1.8      Subdivision 1.  [GRANTS TO CITY.] In fiscal years 2000 to 
  1.9   2003, the commissioner of trade and economic development shall 
  1.10  make grants to the city of East Grand Forks to aid the city in 
  1.11  recovering from the flood of April 1997.  The grants shall be 
  1.12  used by the city for downtown redevelopment projects or for 
  1.13  business recruitment as designated by the city.  The amount of 
  1.14  the grants shall equal the amounts certified to the commissioner 
  1.15  by the commissioner of revenue under subdivision 2.  The grants 
  1.16  shall be paid to the city quarterly. 
  1.17     Subd. 2.  [CERTIFICATION OF COMMISSIONER.] Sixty days after 
  1.18  the end of each calendar quarter, beginning with the quarter 
  1.19  ending September 30, 1999, the commissioner of revenue shall 
  1.20  estimate the sales tax receipts collected and remitted in the 
  1.21  previous quarter on gross receipts from retail sales taxable 
  1.22  under Minnesota Statutes, chapter 297A, that occurred in the 
  1.23  development zone.  The commissioner shall reduce the amount by 
  1.24  refunds and by the direct and indirect estimate and cost to the 
  1.25  department to certify the amount to the commissioner of trade 
  2.1   and economic development.  The amounts certified by the 
  2.2   commissioner to the commissioner of trade and economic 
  2.3   development shall equal the following percentages of the 
  2.4   estimated sales tax determined under this subdivision and 
  2.5   certified in the following years: 
  2.6        Fiscal year 2000       100 percent
  2.7        Fiscal year 2001        80 percent
  2.8        Fiscal year 2002        60 percent
  2.9        Fiscal year 2003        40 percent
  2.10     Subd. 3.  [CITY ASSISTANCE.] The city of East Grand Forks 
  2.11  shall provide the commissioner of revenue with any information 
  2.12  or assistance required by the commissioner to enable the 
  2.13  commissioner to efficiently and accurately estimate the tax 
  2.14  collections under subdivision 2. 
  2.15     Subd. 4.  [DEVELOPMENT ZONE.] For purposes of this section, 
  2.16  "development zone" means the following area as designated by the 
  2.17  city: 
  2.18     The Southeasterly 33.33' of Block 5 and Lots 1 through 12 
  2.19     and all of 14, 16, 18, 20, 22 and 24 of Block 6 of Grand 
  2.20     Forks East and the Northwest 50' of Lots 8 through 12 and 
  2.21     all of Lots 13 through 16, Block 2, E.B. Fredricks Addition 
  2.22     in East Grand Forks, MN. 
  2.23     Subd. 5.  [APPROPRIATION.] The amounts necessary to make 
  2.24  the grants to the city of East Grand Forks under this section 
  2.25  are appropriated to the commissioner of trade and economic 
  2.26  development from the general fund in each of fiscal years 2000 
  2.27  to 2003. 
  2.28     Sec. 2.  [EFFECTIVE DATE.] 
  2.29     Section 1 is effective the day following compliance by the 
  2.30  governing body of the city of East Grand Forks with the 
  2.31  requirements of Minnesota Statutes, section 645.021, subdivision 
  2.32  3.