SF 2957

Introduction - 83rd Legislature (2003 - 2004)

Posted on 12/15/2009 12:00 a.m.

                               A bill for an act 
                  relating to economic development; limiting what is a 
                  qualifying business in a job opportunity building 
                  zone; amending Minnesota Statutes 2003 Supplement, 
                  section 469.310, subdivision 11. 
        BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
           Section 1.  Minnesota Statutes 2003 Supplement, section 
        469.310, subdivision 11, is amended to read: 
           Subd. 11.  [QUALIFIED BUSINESS.] (a) "Qualified business" 
        means a person carrying on a trade or business at a place of 
        business located within a job opportunity building zone. 
           (b) A person that relocates a trade or business from 
        outside a job opportunity building zone into a zone is not a 
        qualified business, unless the business: 
           (1)(i) increases full-time employment in the first full 
        year of operation within the job opportunity building zone by at 
        least 20 percent measured relative to the operations that were 
        relocated and maintains the required level of employment for 
        each year the zone designation applies; or 
           (ii) makes a capital investment in the property located 
        within a zone equivalent to ten percent of the gross revenues of 
        operation that were relocated in the immediately preceding 
        taxable year; and 
           (2) enters a binding written agreement with the 
        commissioner that: 
           (i) pledges the business will meet the requirements of 
        clause (1); 
           (ii) provides for repayment of all tax benefits enumerated 
        under section 469.315 to the business under the procedures in 
        section 469.319, if the requirements of clause (1) are not met 
        for the taxable year or for taxes payable during the year in 
        which the requirements were not met; and 
           (iii) contains any other terms the commissioner determines 
        appropriate. 
           (c) A business is not a qualified business if the business 
        operates or intends to operate a facility for which a tax 
        exemption was available under section 297A.71, subdivision 27.  
           [EFFECTIVE DATE.] This section is effective the day 
        following final enactment and applies to any business entering a 
        business subsidy agreement for a job opportunity building zone 
        after that date.