<a id="pl.1.3"></a><var>1.3</var>tax refund; decreasing the threshold percentage for the homestead credit refund <br/>
<a id="pl.1.4"></a><var>1.4</var>for homeowners and the property tax refund for renters; increasing the maximum <br/>
<a id="pl.1.5"></a><var>1.5</var>refunds for renters; changing property tax aids and credits; imposing an insurance <br/>
<a id="pl.1.6"></a><var>1.6</var>surcharge; modifying pension aids; providing pension funding; changing <br/>
<a id="pl.1.7"></a><var>1.7</var>provisions of the Sustainable Forest Incentive Act; modifying definitions for <br/>
<a id="pl.1.8"></a><var>1.8</var>property taxes; providing exemptions; creating joint entertainment facilities <br/>
<a id="pl.1.9"></a><var>1.9</var>coordination; providing reimbursement for certain property tax abatement; <br/>
<a id="pl.1.10"></a><var>1.10</var>authorizing economic development powers; imposing a tax on extraction and <br/>
<a id="pl.1.11"></a><var>1.11</var>processing of fracturing sand; providing a taconite production tax grant for water <br/>
<a id="pl.1.12"></a><var>1.12</var>supply improvements; authorizing taconite production tax bonds for grants to <br/>
<a id="pl.1.13"></a><var>1.13</var>school districts; authorizing local sales taxes; modifying the definition of market <br/>
<a id="pl.1.14"></a><var>1.14</var>value for tax, debt, and other purposes; making policy and technical changes to <br/>
<a id="pl.1.15"></a><var>1.15</var>property tax provisions; requiring a study and report on the Iron Range fiscal <br/>
<a id="pl.1.16"></a><var>1.16</var>disparities program; requiring a study and report on certain property used in <br/>
<a id="pl.1.17"></a><var>1.17</var>business and production; appropriating money;amending Minnesota Statutes <br/>
<a id="pl.1.18"></a><var>1.18</var>2012, sections 38.18; 40A.15, subdivision 2; 69.011, subdivision 1; 69.021, <br/>
<a id="pl.1.19"></a><var>1.19</var>subdivisions 7, 8, by adding a subdivision; 88.51, subdivision 3; 103B.102, <br/>
<a id="pl.1.20"></a><var>1.20</var>subdivision 3; 103B.245, subdivision 3; 103B.251, subdivision 8; 103B.335; <br/>
<a id="pl.1.21"></a><var>1.21</var>103B.3369, subdivision 5; 103B.635, subdivision 2; 103B.691, subdivision 2; <br/>
<a id="pl.1.22"></a><var>1.22</var>103C.501, subdivision 4; 103D.905, subdivisions 2, 3, 8; 103F.405, subdivision <br/>
<a id="pl.1.23"></a><var>1.23</var>1; 117.025, subdivision 7; 123A.455, subdivision 1; 127A.48, subdivision 1; <br/>
<a id="pl.1.24"></a><var>1.24</var>138.053; 144F.01, subdivision 4; 162.07, subdivisions 3, 4; 163.04, subdivision <br/>
<a id="pl.1.25"></a><var>1.25</var>3; 163.06, subdivision 6; 165.10, subdivision 1; 270.077; 270.41, subdivision <br/>
<a id="pl.1.26"></a><var>1.26</var>5; 270C.34, subdivision 1; 272.01, subdivision 2; 272.02, subdivision 97, by <br/>
<a id="pl.1.27"></a><var>1.27</var>adding subdivisions; 272.03, subdivision 9, by adding subdivisions; 273.032; <br/>
<a id="pl.1.28"></a><var>1.28</var>273.11, subdivision 1, by adding a subdivision; 273.114, subdivision 6; <br/>
<a id="pl.1.29"></a><var>1.29</var>273.124, subdivisions 3a, 13; 273.13, subdivisions 21b, 23, 25; 273.1398, <br/>
<a id="pl.1.30"></a><var>1.30</var>subdivisions 3, 4; 273.19, subdivision 1; 273.372, subdivision 4; 273.39; <br/>
<a id="pl.1.31"></a><var>1.31</var>275.011, subdivision 1; 275.077, subdivision 2; 275.71, subdivision 4; 276.04, <br/>
<a id="pl.1.32"></a><var>1.32</var>subdivision 2; 276A.01, subdivisions 10, 12, 13, 15; 276A.06, subdivision 10; <br/>
<a id="pl.1.33"></a><var>1.33</var>279.01, subdivision 1, by adding a subdivision; 279.02; 279.06, subdivision <br/>
<a id="pl.1.34"></a><var>1.34</var>1; 287.05, by adding a subdivision; 287.08; 287.23, subdivision 1; 290A.03, <br/>
<a id="pl.1.35"></a><var>1.35</var>subdivision 3; 290A.04, subdivisions 2, 2a, 4; 290B.04, subdivision 2; 290C.02, <br/>
<a id="pl.1.36"></a><var>1.36</var>subdivision 6; 290C.05; 290C.07; 298.01, subdivision 3; 298.018; 298.28, <br/>
<a id="pl.1.37"></a><var>1.37</var>subdivisions 4, 6, 9a; 298.75, subdivision 2; 353G.08, subdivision 2; 365.025, <br/>
<a id="pl.1.38"></a><var>1.38</var>subdivision 4; 366.095, subdivision 1; 366.27; 368.01, subdivision 23; 368.47; <br/>
<a id="pl.1.39"></a><var>1.39</var>370.01; 373.01, subdivision 1; 373.40, subdivisions 1, 4; 375.167, subdivision <br/>
<a id="pl.2.1"></a><var>2.1</var>1; 375.18, subdivision 3; 375.555; 383B.152; 383B.245; 383B.73, subdivision <br/>
<a id="pl.2.2"></a><var>2.2</var>1; 383E.20; 383E.23; 385.31; 394.36, subdivision 1; 398A.04, subdivision <br/>
<a id="pl.2.3"></a><var>2.3</var>8; 401.05, subdivision 3; 410.32; 412.221, subdivision 2; 412.301; 428A.02, <br/>
<a id="pl.2.4"></a><var>2.4</var>subdivision 1; 430.102, subdivision 2; 447.10; 450.19; 450.25; 458A.10; <br/>
<a id="pl.2.5"></a><var>2.5</var>458A.31, subdivision 1; 465.04; 469.033, subdivision 6; 469.034, subdivision 2; <br/>
<a id="pl.2.6"></a><var>2.6</var>469.053, subdivisions 4, 4a, 6; 469.071, subdivision 5; 469.107, subdivision 1; <br/>
<a id="pl.2.7"></a><var>2.7</var>469.169, by adding a subdivision; 469.176, subdivisions 4c, 4g, 6; 469.177, by <br/>
<a id="pl.2.8"></a><var>2.8</var>adding a subdivision; 469.180, subdivision 2; 469.187; 469.190, subdivision 7, <br/>
<a id="pl.2.9"></a><var>2.9</var>by adding a subdivision; 469.206; 471.24; 471.571, subdivisions 1, 2; 471.73; <br/>
<a id="pl.2.10"></a><var>2.10</var>473.325, subdivision 2; 473.629; 473.661, subdivision 3; 473.667, subdivision <br/>
<a id="pl.2.11"></a><var>2.11</var>9; 473.671; 473.711, subdivision 2a; 473F.02, subdivisions 12, 14, 15, 23; <br/>
<a id="pl.2.12"></a><var>2.12</var>473F.08, subdivision 10, by adding a subdivision; 475.521, subdivision 4; <br/>
<a id="pl.2.13"></a><var>2.13</var>475.53, subdivisions 1, 3, 4; 475.58, subdivision 2; 475.73, subdivision 1; <br/>
<a id="pl.2.14"></a><var>2.14</var>477A.011, subdivisions 20, 30, 32, 34, 42, by adding subdivisions; 477A.0124, <br/>
<a id="pl.2.15"></a><var>2.15</var>subdivision 2; 477A.013, subdivisions 8, 9, by adding a subdivision; 477A.03, <br/>
<a id="pl.2.16"></a><var>2.16</var>subdivisions 2a, 2b, by adding a subdivision; 641.23; 641.24; 645.44, by adding <br/>
<a id="pl.2.17"></a><var>2.17</var>a subdivision; Laws 1988, chapter 645, section 3, as amended; Laws 1993, <br/>
<a id="pl.2.18"></a><var>2.18</var>chapter 375, article 9, section 46, subdivision 2, as amended; Laws 1999, chapter <br/>
<a id="pl.2.19"></a><var>2.19</var>243, article 6, section 11; Laws 2005, First Special Session chapter 3, article 5, <br/>
<a id="pl.2.20"></a><var>2.20</var>section 37, subdivisions 2, 4; Laws 2008, chapter 366, article 5, sections 26; 33; <br/>
<a id="pl.2.21"></a><var>2.21</var>34, as amended; article 7, section 19, subdivision 3, as amended; Laws 2010, <br/>
<a id="pl.2.22"></a><var>2.22</var>chapter 389, article 1, section 12; article 5, section 6, subdivisions 4, 6; proposing <br/>
<a id="pl.2.23"></a><var>2.23</var>coding for new law in Minnesota Statutes, chapters 116C; 287; 290A; 297I; <br/>
<a id="pl.2.24"></a><var>2.24</var>proposing coding for new law as Minnesota Statutes, chapter 297J; repealing <br/>
<a id="pl.2.25"></a><var>2.25</var>Minnesota Statutes 2012, sections 272.69; 273.11, subdivisions 1a, 22; 276A.01, <br/>
<a id="pl.2.26"></a><var>2.26</var>subdivision 11; 383A.80, subdivision 4; 383B.80, subdivision 4; 428A.101; <br/>
<a id="pl.2.27"></a><var>2.27</var>428A.21; 473F.02, subdivision 13; 477A.011, subdivisions 2a, 19, 21, 29, 31, 32, <br/>
<a id="pl.2.28"></a><var>2.28</var>33, 36, 39, 40, 41, 42; 477A.013, subdivisions 11, 12; 477A.0133; 477A.0134; <br/>
<a id="pl.2.29"></a><var>2.29</var>Laws 2006, chapter 259, article 11, section 3, as amended.<br/>
<a id="pl.2.30"></a><var>2.30</var>BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:<br/>
<br/>
<a id="bill.1.0.0"></a>

<a id="bill.1.1.0"></a><a id="pl.2.33"></a><var>2.33</var>    Section 1. Minnesota Statutes 2012, section 290A.03, subdivision 3, is amended to read:<br/>
<a id="pl.2.34"></a><var>2.34</var>    Subd. 3. <b>Income.</b> (1) "Income" means the sum of the following:<br/>
<a id="pl.2.35"></a><var>2.35</var>    (a) federal adjusted gross income as defined in the Internal Revenue Code; and<br/>
<a id="pl.2.36"></a><var>2.36</var>    (b) the sum of the following amounts to the extent not included in clause (a):<br/>
<a id="pl.2.37"></a><var>2.37</var>    (i) all nontaxable income;<br/>
<a id="pl.2.38"></a><var>2.38</var>    (ii) the amount of a passive activity loss that is not disallowed as a result of section <br/>
<a id="pl.2.39"></a><var>2.39</var>469, paragraph (i) or (m) of the Internal Revenue Code and the amount of passive activity <br/>
<a id="pl.2.40"></a><var>2.40</var>loss carryover allowed under section 469(b) of the Internal Revenue Code;<br/>
<a id="pl.2.41"></a><var>2.41</var>    (iii) an amount equal to the total of any discharge of qualified farm indebtedness <br/>
<a id="pl.2.42"></a><var>2.42</var>of a solvent individual excluded from gross income under section 108(g) of the Internal <br/>
<a id="pl.2.43"></a><var>2.43</var>Revenue Code;<br/>
<a id="pl.2.44"></a><var>2.44</var>    (iv) cash public assistance and relief;<br/>
<a id="pl.3.1"></a><var>3.1</var>    (v) any pension or annuity (including railroad retirement benefits, all payments <br/>
<a id="pl.3.2"></a><var>3.2</var>received under the federal Social Security Act, Supplemental Security Income, and <br/>
<a id="pl.3.3"></a><var>3.3</var>veterans benefits), which was not exclusively funded by the claimant or spouse, or which <br/>
<a id="pl.3.4"></a><var>3.4</var>was funded exclusively by the claimant or spouse and which funding payments were <br/>
<a id="pl.3.5"></a><var>3.5</var>excluded from federal adjusted gross income in the years when the payments were made;<br/>
<a id="pl.3.6"></a><var>3.6</var>    (vi) interest received from the federal or a state government or any instrumentality <br/>
<a id="pl.3.7"></a><var>3.7</var>or political subdivision thereof;<br/>
<a id="pl.3.8"></a><var>3.8</var>    (vii) workers' compensation;<br/>
<a id="pl.3.9"></a><var>3.9</var>    (viii) nontaxable strike benefits;<br/>
<a id="pl.3.10"></a><var>3.10</var>    (ix) the gross amounts of payments received in the nature of disability income or <br/>
<a id="pl.3.11"></a><var>3.11</var>sick pay as a result of accident, sickness, or other disability, whether funded through <br/>
<a id="pl.3.12"></a><var>3.12</var>insurance or otherwise;<br/>
<a id="pl.3.13"></a><var>3.13</var>    (x) a lump-sum distribution under section 402(e)(3) of the Internal Revenue Code of <br/>
<a id="pl.3.14"></a><var>3.14</var>1986, as amended through December 31, 1995;<br/>
<a id="pl.3.15"></a><var>3.15</var>    (xi) contributions made by the claimant to an individual retirement account, <br/>
<a id="pl.3.16"></a><var>3.16</var>including a qualified voluntary employee contribution; simplified employee pension plan; <br/>
<a id="pl.3.17"></a><var>3.17</var>self-employed retirement plan; cash or deferred arrangement plan under section 401(k) <br/>
<a id="pl.3.18"></a><var>3.18</var>of the Internal Revenue Code; or deferred compensation plan under section 457 of the <br/>
<a id="pl.3.19"></a><var>3.19</var>Internal Revenue Code, to the extent the sum of amounts exceeds the retirement base <br/>
<a id="pl.3.20"></a><var>3.20</var>amount for the claimant and spouse;<br/>
<a id="pl.3.21"></a><var>3.21</var>    (xii) to the extent not included in federal adjusted gross income, distributions received <br/>
<a id="pl.3.22"></a><var>3.22</var>by the claimant or spouse from a traditional or Roth style retirement account or plan;<br/>
<a id="pl.3.23"></a><var>3.23</var>    (xiii) nontaxable scholarship or fellowship grants;<br/>
<a id="pl.3.24"></a><var>3.24</var>    (xiii) (xiv) the amount of deduction allowed under section 199 of the Internal <br/>
<a id="pl.3.25"></a><var>3.25</var>Revenue Code;<br/>
<a id="pl.3.26"></a><var>3.26</var>    (xiv) (xv) the amount of deduction allowed under section 220 or 223 of the Internal <br/>
<a id="pl.3.27"></a><var>3.27</var>Revenue Code;<br/>
<a id="pl.3.28"></a><var>3.28</var>    (xv) (xvi) the amount of tuition expenses required to be added to income under <br/>
<a id="pl.3.29"></a><var>3.29</var>section 
         <statute_ref>290.01, subdivision 19a</statute_ref>, clause (12);<br/>
<a id="pl.3.30"></a><var>3.30</var>    (xvi) (xvii) the amount deducted for certain expenses of elementary and secondary <br/>
<a id="pl.3.31"></a><var>3.31</var>school teachers under section 62(a)(2)(D) of the Internal Revenue Code; and<br/>
<a id="pl.3.32"></a><var>3.32</var>    (xvii) (xviii) unemployment compensation.<br/>
<a id="pl.3.33"></a><var>3.33</var>    In the case of an individual who files an income tax return on a fiscal year basis, the <br/>
<a id="pl.3.34"></a><var>3.34</var>term "federal adjusted gross income" shall mean federal adjusted gross income reflected <br/>
<a id="pl.3.35"></a><var>3.35</var>in the fiscal year ending in the calendar year. Federal adjusted gross income shall not be <br/>
<a id="pl.4.1"></a><var>4.1</var>reduced by the amount of a net operating loss carryback or carryforward or a capital loss <br/>
<a id="pl.4.2"></a><var>4.2</var>carryback or carryforward allowed for the year.<br/>
<a id="pl.4.3"></a><var>4.3</var>    (2) "Income" does not include:<br/>
<a id="pl.4.4"></a><var>4.4</var>    (a) amounts excluded pursuant to the Internal Revenue Code, sections 101(a) and 102;<br/>
<a id="pl.4.5"></a><var>4.5</var>    (b) amounts of any pension or annuity which was exclusively funded by the claimant <br/>
<a id="pl.4.6"></a><var>4.6</var>or spouse and which funding payments were not excluded from federal adjusted gross <br/>
<a id="pl.4.7"></a><var>4.7</var>income in the years when the payments were made;<br/>
<a id="pl.4.8"></a><var>4.8</var>    (c) to the extent included in federal adjusted gross income, amounts contributed by <br/>
<a id="pl.4.9"></a><var>4.9</var>the claimant or spouse to a traditional or Roth style retirement account or plan, but not <br/>
<a id="pl.4.10"></a><var>4.10</var>to exceed the retirement base amount reduced by the amount of contributions excluded <br/>
<a id="pl.4.11"></a><var>4.11</var>from federal adjusted gross income, but not less than zero;<br/>
<a id="pl.4.12"></a><var>4.12</var>    (d) surplus food or other relief in kind supplied by a governmental agency;<br/>
<a id="pl.4.13"></a><var>4.13</var>    (d) (e) relief granted under this chapter;<br/>
<a id="pl.4.14"></a><var>4.14</var>    (e) (f) child support payments received under a temporary or final decree of <br/>
<a id="pl.4.15"></a><var>4.15</var>dissolution or legal separation; or<br/>
<a id="pl.4.16"></a><var>4.16</var>    (f) (g) restitution payments received by eligible individuals and excludable interest <br/>
<a id="pl.4.17"></a><var>4.17</var>as defined in section 803 of the Economic Growth and Tax Relief Reconciliation Act of <br/>
<a id="pl.4.18"></a><var>4.18</var>2001, Public Law 107-16.<br/>
<a id="pl.4.19"></a><var>4.19</var>    (3) The sum of the following amounts may be subtracted from income:<br/>
<a id="pl.4.20"></a><var>4.20</var>    (a) for the claimant's first dependent, the exemption amount multiplied by 1.4;<br/>
<a id="pl.4.21"></a><var>4.21</var>    (b) for the claimant's second dependent, the exemption amount multiplied by 1.3;<br/>
<a id="pl.4.22"></a><var>4.22</var>    (c) for the claimant's third dependent, the exemption amount multiplied by 1.2;<br/>
<a id="pl.4.23"></a><var>4.23</var>    (d) for the claimant's fourth dependent, the exemption amount multiplied by 1.1;<br/>
<a id="pl.4.24"></a><var>4.24</var>    (e) for the claimant's fifth dependent, the exemption amount; and<br/>
<a id="pl.4.25"></a><var>4.25</var>    (f) if the claimant or claimant's spouse was disabled or attained the age of 65 <br/>
<a id="pl.4.26"></a><var>4.26</var>on or before December 31 of the year for which the taxes were levied or rent paid, the <br/>
<a id="pl.4.27"></a><var>4.27</var>exemption amount.<br/>
<a id="pl.4.28"></a><var>4.28</var>    For purposes of this subdivision, the "exemption amount" means the exemption <br/>
<a id="pl.4.29"></a><var>4.29</var>amount under section 151(d) of the Internal Revenue Code for the taxable year for which <br/>
<a id="pl.4.30"></a><var>4.30</var>the income is reported; and "retirement base amount" means the deductible amount for <br/>
<a id="pl.4.31"></a><var>4.31</var>the taxable year for the claimant and spouse under section 219(b)(5)(A) of the Internal <br/>
<a id="pl.4.32"></a><var>4.32</var>Revenue Code, adjusted for inflation as provided in section 219(b)(5)(D) of the Internal <br/>
<a id="pl.4.33"></a><var>4.33</var>Revenue Code, without regard to whether the claimant or spouse claimed a deduction.<br/>
<a id="pl.4.34"></a><var>4.34</var><b>EFFECTIVE DATE.</b>This section is effective beginning with refunds based on <br/>
<a id="pl.4.35"></a><var>4.35</var>property taxes payable in 2014 and rent paid in 2013.<br/>
<br/>
<a id="bill.1.2.0"></a><a id="pl.5.1"></a><var>5.1</var>    Sec. 2. Minnesota Statutes 2012, section 290A.04, subdivision 2, is amended to read:<br/>
<a id="pl.5.2"></a><var>5.2</var>    Subd. 2. <b>Homeowners</b><b>; homestead credit refund</b><b>.</b> A claimant whose property <br/>
<a id="pl.5.3"></a><var>5.3</var>taxes payable are in excess of the percentage of the household income stated below shall <br/>
<a id="pl.5.4"></a><var>5.4</var>pay an amount equal to the percent of income shown for the appropriate household <br/>
<a id="pl.5.5"></a><var>5.5</var>income level along with the percent to be paid by the claimant of the remaining amount <br/>
<a id="pl.5.6"></a><var>5.6</var>of property taxes payable. The state refund equals the amount of property taxes payable <br/>
<a id="pl.5.7"></a><var>5.7</var>that remain, up to the state refund amount shown below.<br/>
<table>
<col width="50px"/>
<col width="17.5"/>
<col width="17.5"/>
<col width="17.5"/>
<col width="7.5"/>
<col width="5"/>
<tr>
<td><a id="pl.5.8"></a><var>5.8</var><br/>
<a id="pl.5.9"></a><var>5.9</var><br/>
<a id="pl.5.10"></a><var>5.10</var><br/>
</td>
<td align="right">Household Income<br/>
</td>
<td align="center">Percent of Income<br/>
</td>
<td align="center">Percent Paid by<br/>
Claimant<br/>
</td>
<td align="right" colspan="2">Maximum <br/>
State<br/>
Refund<br/>
</td>
</tr>
<tr>
<td><a id="pl.5.11"></a><var>5.11</var><br/>
</td>
<td align="right">$0 to 1,549<br/>
</td>
<td align="center">1.0 percent<br/>
</td>
<td align="center">15 percent<br/>
</td>
<td align="right">$<br/>
</td>
<td align="right">2,460<br/>
</td>
</tr>
<tr>
<td><a id="pl.5.12"></a><var>5.12</var><br/>
</td>
<td align="right">1,550 to 3,089<br/>
</td>
<td align="center">1.1 percent<br/>
</td>
<td align="center">15 percent<br/>
</td>
<td align="right">$<br/>
</td>
<td align="right">2,460<br/>
</td>
</tr>
<tr>
<td><a id="pl.5.13"></a><var>5.13</var><br/>
</td>
<td align="right">3,090 to 4,669<br/>
</td>
<td align="center">1.2 percent<br/>
</td>
<td align="center">15 percent<br/>
</td>
<td align="right">$<br/>
</td>
<td align="right">2,460<br/>
</td>
</tr>
<tr>
<td><a id="pl.5.14"></a><var>5.14</var><br/>
</td>
<td align="right">4,670 to 6,229<br/>
</td>
<td align="center">1.3 percent<br/>
</td>
<td align="center">20 percent<br/>
</td>
<td align="right">$<br/>
</td>
<td align="right">2,460<br/>
</td>
</tr>
<tr>
<td><a id="pl.5.15"></a><var>5.15</var><br/>
</td>
<td align="right">6,230 to 7,769<br/>
</td>
<td align="center">1.4 percent<br/>
</td>
<td align="center">20 percent<br/>
</td>
<td align="right">$<br/>
</td>
<td align="right">2,460<br/>
</td>
</tr>
<tr>
<td><a id="pl.5.16"></a><var>5.16</var><br/>
</td>
<td align="right">7,770 to 10,879<br/>
</td>
<td align="center">1.5 percent<br/>
</td>
<td align="center">20 percent<br/>
</td>
<td align="right">$<br/>
</td>
<td align="right">2,460<br/>
</td>
</tr>
<tr>
<td><a id="pl.5.17"></a><var>5.17</var><br/>
</td>
<td align="right">10,880 to 12,429<br/>
</td>
<td align="center">1.6 percent<br/>
</td>
<td align="center">20 percent<br/>
</td>
<td align="right">$<br/>
</td>
<td align="right">2,460<br/>
</td>
</tr>
<tr>
<td><a id="pl.5.18"></a><var>5.18</var><br/>
</td>
<td align="right">12,430 to 13,989<br/>
</td>
<td align="center">1.7 percent<br/>
</td>
<td align="center">20 percent<br/>
</td>
<td align="right">$<br/>
</td>
<td align="right">2,460<br/>
</td>
</tr>
<tr>
<td><a id="pl.5.19"></a><var>5.19</var><br/>
</td>
<td align="right">13,990 to 15,539<br/>
</td>
<td align="center">1.8 percent<br/>
</td>
<td align="center">20 percent<br/>
</td>
<td align="right">$<br/>
</td>
<td align="right">2,460<br/>
</td>
</tr>
<tr>
<td><a id="pl.5.20"></a><var>5.20</var><br/>
</td>
<td align="right">15,540 to 17,079<br/>
</td>
<td align="center">1.9 percent<br/>
</td>
<td align="center">25 percent<br/>
</td>
<td align="right">$<br/>
</td>
<td align="right">2,460<br/>
</td>
</tr>
<tr>
<td><a id="pl.5.21"></a><var>5.21</var><br/>
</td>
<td align="right">17,080 to 18,659<br/>
</td>
<td align="center">2.0 percent<br/>
</td>
<td align="center">25 percent<br/>
</td>
<td align="right">$<br/>
</td>
<td align="right">2,460<br/>
</td>
</tr>
<tr>
<td><a id="pl.5.22"></a><var>5.22</var><br/>
</td>
<td align="right">18,660 to 21,759<br/>
</td>
<td align="center">2.1 percent<br/>
</td>
<td align="center">25 percent<br/>
</td>
<td align="right">$<br/>
</td>
<td align="right">2,460<br/>
</td>
</tr>
<tr>
<td><a id="pl.5.23"></a><var>5.23</var><br/>
</td>
<td align="right">21,760 to 23,309<br/>
</td>
<td align="center">2.2 percent<br/>
</td>
<td align="center">30 percent<br/>
</td>
<td align="right">$<br/>
</td>
<td align="right">2,460<br/>
</td>
</tr>
<tr>
<td><a id="pl.5.24"></a><var>5.24</var><br/>
</td>
<td align="right">23,310 to 24,859<br/>
</td>
<td align="center">2.3 percent<br/>
</td>
<td align="center">30 percent<br/>
</td>
<td align="right">$<br/>
</td>
<td align="right">2,460<br/>
</td>
</tr>
<tr>
<td><a id="pl.5.25"></a><var>5.25</var><br/>
</td>
<td align="right">24,860 to 26,419<br/>
</td>
<td align="center">2.4 percent<br/>
</td>
<td align="center">30 percent<br/>
</td>
<td align="right">$<br/>
</td>
<td align="right">2,460<br/>
</td>
</tr>
<tr>
<td><a id="pl.5.26"></a><var>5.26</var><br/>
</td>
<td align="right">26,420 to 32,629<br/>
</td>
<td align="center">2.5 percent<br/>
</td>
<td align="center">35 percent<br/>
</td>
<td align="right">$<br/>
</td>
<td align="right">2,460<br/>
</td>
</tr>
<tr>
<td><a id="pl.5.27"></a><var>5.27</var><br/>
</td>
<td align="right">32,630 to 37,279<br/>
</td>
<td align="center">2.6 percent<br/>
</td>
<td align="center">35 percent<br/>
</td>
<td align="right">$<br/>
</td>
<td align="right">2,460<br/>
</td>
</tr>
<tr>
<td><a id="pl.5.28"></a><var>5.28</var><br/>
</td>
<td align="right">37,280 to 46,609<br/>
</td>
<td align="center">2.7 percent<br/>
</td>
<td align="center">35 percent<br/>
</td>
<td align="right">$<br/>
</td>
<td align="right">2,000<br/>
</td>
</tr>
<tr>
<td><a id="pl.5.29"></a><var>5.29</var><br/>
</td>
<td align="right">46,610 to 54,369<br/>
</td>
<td align="center">2.8 percent<br/>
</td>
<td align="center">35 percent<br/>
</td>
<td align="right">$<br/>
</td>
<td align="right">2,000<br/>
</td>
</tr>
<tr>
<td><a id="pl.5.30"></a><var>5.30</var><br/>
</td>
<td align="right">54,370 to 62,139<br/>
</td>
<td align="center">2.8 percent<br/>
</td>
<td align="center">40 percent<br/>
</td>
<td align="right">$<br/>
</td>
<td align="right">1,750<br/>
</td>
</tr>
<tr>
<td><a id="pl.5.31"></a><var>5.31</var><br/>
</td>
<td align="right">62,140 to 69,909<br/>
</td>
<td align="center">3.0 percent<br/>
</td>
<td align="center">40 percent<br/>
</td>
<td align="right">$<br/>
</td>
<td align="right">1,440<br/>
</td>
</tr>
<tr>
<td><a id="pl.5.32"></a><var>5.32</var><br/>
</td>
<td align="right">69,910 to 77,679<br/>
</td>
<td align="center">3.0 percent<br/>
</td>
<td align="center">40 percent<br/>
</td>
<td align="right">$<br/>
</td>
<td align="right">1,290<br/>
</td>
</tr>
<tr>
<td><a id="pl.5.33"></a><var>5.33</var><br/>
</td>
<td align="right">77,680 to 85,449<br/>
</td>
<td align="center">3.0 percent<br/>
</td>
<td align="center">40 percent<br/>
</td>
<td align="right">$<br/>
</td>
<td align="right">1,130<br/>
</td>
</tr>
<tr>
<td><a id="pl.5.34"></a><var>5.34</var><br/>
</td>
<td align="right">85,450 to 90,119<br/>
</td>
<td align="center">3.5 percent<br/>
</td>
<td align="center">45 percent<br/>
</td>
<td align="right">$<br/>
</td>
<td align="right">960<br/>
</td>
</tr>
<tr>
<td><a id="pl.5.35"></a><var>5.35</var><br/>
</td>
<td align="right">90,120 to 93,239<br/>
</td>
<td align="center">3.5 percent<br/>
</td>
<td align="center">45 percent<br/>
</td>
<td align="right">$<br/>
</td>
<td align="right">790<br/>
</td>
</tr>
<tr>
<td><a id="pl.5.36"></a><var>5.36</var><br/>
</td>
<td align="right">93,240 to 97,009<br/>
</td>
<td align="center">3.5 percent<br/>
</td>
<td align="center">50 percent<br/>
</td>
<td align="right">$<br/>
</td>
<td align="right">650<br/>
</td>
</tr>
<tr>
<td><a id="pl.5.37"></a><var>5.37</var><br/>
</td>
<td align="right">97,010 to 100,779<br/>
</td>
<td align="center">3.5 percent<br/>
</td>
<td align="center">50 percent<br/>
</td>
<td align="right">$<br/>
</td>
<td align="right">480<br/>
</td>
</tr>
</table>
<table>
<col width="50px"/>
<col width="17.5"/>
<col width="17.5"/>
<col width="17.5"/>
<col width="7.5"/>
<col width="5"/>
<tr>
<td><a id="pl.5.38"></a><var>5.38</var><br/>
<a id="pl.5.39"></a><var>5.39</var><br/>
<a id="pl.5.40"></a><var>5.40</var><br/>
</td>
<td align="right">Household Income<br/>
</td>
<td align="center">Percent of Income<br/>
</td>
<td align="center">Percent Paid by<br/>
Claimant<br/>
</td>
<td align="right" colspan="2">Maximum <br/>
State<br/>
Refund<br/>
</td>
</tr>
<tr>
<td><a id="pl.5.41"></a><var>5.41</var><br/>
</td>
<td align="right">$0 to 1,619<br/>
</td>
<td align="center">1.0 percent<br/>
</td>
<td align="center">15 percent<br/>
</td>
<td align="right">$<br/>
</td>
<td align="right">2,580<br/>
</td>
</tr>
<tr>
<td><a id="pl.5.42"></a><var>5.42</var><br/>
</td>
<td align="right">1,620 to 3,229<br/>
</td>
<td align="center">1.1 percent<br/>
</td>
<td align="center">15 percent<br/>
</td>
<td align="right">$<br/>
</td>
<td align="right">2,580<br/>
</td>
</tr>
<tr>
<td><a id="pl.6.1"></a><var>6.1</var><br/>
</td>
<td align="right">3,230 to 4,889<br/>
</td>
<td align="center">1.2 percent<br/>
</td>
<td align="center">15 percent<br/>
</td>
<td align="right">$<br/>
</td>
<td align="right">2,580<br/>
</td>
</tr>
<tr>
<td><a id="pl.6.2"></a><var>6.2</var><br/>
</td>
<td align="right">4,890 to 6,519<br/>
</td>
<td align="center">1.3 percent<br/>
</td>
<td align="center">20 percent<br/>
</td>
<td align="right">$<br/>
</td>
<td align="right">2,580<br/>
</td>
</tr>
<tr>
<td><a id="pl.6.3"></a><var>6.3</var><br/>
</td>
<td align="right">6,520 to 8,129<br/>
</td>
<td align="center">1.4 percent<br/>
</td>
<td align="center">20 percent<br/>
</td>
<td align="right">$<br/>
</td>
<td align="right">2,580<br/>
</td>
</tr>
<tr>
<td><a id="pl.6.4"></a><var>6.4</var><br/>
</td>
<td align="right">8,130 to 11,389<br/>
</td>
<td align="center">1.5 percent<br/>
</td>
<td align="center">20 percent<br/>
</td>
<td align="right">$<br/>
</td>
<td align="right">2,580<br/>
</td>
</tr>
<tr>
<td><a id="pl.6.5"></a><var>6.5</var><br/>
</td>
<td align="right">11,390 to 13,009<br/>
</td>
<td align="center">1.6 percent<br/>
</td>
<td align="center">20 percent<br/>
</td>
<td align="right">$<br/>
</td>
<td align="right">2,580<br/>
</td>
</tr>
<tr>
<td><a id="pl.6.6"></a><var>6.6</var><br/>
</td>
<td align="right">13,010 to 14,649<br/>
</td>
<td align="center">1.7 percent<br/>
</td>
<td align="center">20 percent<br/>
</td>
<td align="right">$<br/>
</td>
<td align="right">2,580<br/>
</td>
</tr>
<tr>
<td><a id="pl.6.7"></a><var>6.7</var><br/>
</td>
<td align="right">14,650 to 16,269<br/>
</td>
<td align="center">1.8 percent<br/>
</td>
<td align="center">20 percent<br/>
</td>
<td align="right">$<br/>
</td>
<td align="right">2,580<br/>
</td>
</tr>
<tr>
<td><a id="pl.6.8"></a><var>6.8</var><br/>
</td>
<td align="right">16,270 to 17,879<br/>
</td>
<td align="center">1.9 percent<br/>
</td>
<td align="center">25 percent<br/>
</td>
<td align="right">$<br/>
</td>
<td align="right">2,580<br/>
</td>
</tr>
<tr>
<td><a id="pl.6.9"></a><var>6.9</var><br/>
</td>
<td align="right">17,880 to 22,779<br/>
</td>
<td align="center">2.0 percent<br/>
</td>
<td align="center">25 percent<br/>
</td>
<td align="right">$<br/>
</td>
<td align="right">2,580<br/>
</td>
</tr>
<tr>
<td><a id="pl.6.10"></a><var>6.10</var><br/>
</td>
<td align="right">22,780 to 24,399<br/>
</td>
<td align="center">2.0 percent<br/>
</td>
<td align="center">30 percent<br/>
</td>
<td align="right">$<br/>
</td>
<td align="right">2,580<br/>
</td>
</tr>
<tr>
<td><a id="pl.6.11"></a><var>6.11</var><br/>
</td>
<td align="right">24,400 to 27,659<br/>
</td>
<td align="center">2.0 percent<br/>
</td>
<td align="center">30 percent<br/>
</td>
<td align="right">$<br/>
</td>
<td align="right">2,580<br/>
</td>
</tr>
<tr>
<td><a id="pl.6.12"></a><var>6.12</var><br/>
</td>
<td align="right">27,660 to 39,029<br/>
</td>
<td align="center">2.0 percent<br/>
</td>
<td align="center">35 percent<br/>
</td>
<td align="right">$<br/>
</td>
<td align="right">2,580<br/>
</td>
</tr>
<tr>
<td><a id="pl.6.13"></a><var>6.13</var><br/>
</td>
<td align="right">39,030 to 56,919<br/>
</td>
<td align="center">2.0 percent<br/>
</td>
<td align="center">35 percent<br/>
</td>
<td align="right">$<br/>
</td>
<td align="right">2,090<br/>
</td>
</tr>
<tr>
<td><a id="pl.6.14"></a><var>6.14</var><br/>
</td>
<td align="right">56,920 to 65,049<br/>
</td>
<td align="center">2.0 percent<br/>
</td>
<td align="center">40 percent<br/>
</td>
<td align="right">$<br/>
</td>
<td align="right">1,830<br/>
</td>
</tr>
<tr>
<td><a id="pl.6.15"></a><var>6.15</var><br/>
</td>
<td align="right">65,050 to 73,189<br/>
</td>
<td align="center">2.1 percent<br/>
</td>
<td align="center">40 percent<br/>
</td>
<td align="right">$<br/>
</td>
<td align="right">1,510<br/>
</td>
</tr>
<tr>
<td><a id="pl.6.16"></a><var>6.16</var><br/>
</td>
<td align="right">73,190 to 81,319<br/>
</td>
<td align="center">2.2 percent<br/>
</td>
<td align="center">40 percent<br/>
</td>
<td align="right">$<br/>
</td>
<td align="right">1,350<br/>
</td>
</tr>
<tr>
<td><a id="pl.6.17"></a><var>6.17</var><br/>
</td>
<td align="right">81,320 to 89,449<br/>
</td>
<td align="center">2.3 percent<br/>
</td>
<td align="center">40 percent<br/>
</td>
<td align="right">$<br/>
</td>
<td align="right">1,180<br/>
</td>
</tr>
<tr>
<td><a id="pl.6.18"></a><var>6.18</var><br/>
</td>
<td align="right">89,450 to 94,339<br/>
</td>
<td align="center">2.4 percent<br/>
</td>
<td align="center">45 percent<br/>
</td>
<td align="right">$<br/>
</td>
<td align="right">1,000<br/>
</td>
</tr>
<tr>
<td><a id="pl.6.19"></a><var>6.19</var><br/>
</td>
<td align="right">94,340 to 97,609<br/>
</td>
<td align="center">2.5 percent<br/>
</td>
<td align="center">45 percent<br/>
</td>
<td align="right">$<br/>
</td>
<td align="right">830<br/>
</td>
</tr>
<tr>
<td><a id="pl.6.20"></a><var>6.20</var><br/>
</td>
<td align="right">97,610 to 101,559<br/>
</td>
<td align="center">2.5 percent<br/>
</td>
<td align="center">50 percent<br/>
</td>
<td align="right">$<br/>
</td>
<td align="right">680<br/>
</td>
</tr>
<tr>
<td><a id="pl.6.21"></a><var>6.21</var><br/>
</td>
<td align="right">101,560 to 105,499<br/>
</td>
<td align="center">2.5 percent<br/>
</td>
<td align="center">50 percent<br/>
</td>
<td align="right">$<br/>
</td>
<td align="right">500<br/>
</td>
</tr>
</table><a id="pl.6.22"></a><var>6.22</var>    The payment made to a claimant shall be the amount of the state refund calculated <br/>
<a id="pl.6.23"></a><var>6.23</var>under this subdivision. No payment is allowed if the claimant's household income is <br/>
<a id="pl.6.24"></a><var>6.24</var>$100,780 $105,500 or more.<br/>
<a id="pl.6.25"></a><var>6.25</var><b>EFFECTIVE DATE.</b>This section is effective for refund claims based on taxes <br/>
<a id="pl.6.26"></a><var>6.26</var>payable in 2014 and thereafter.<br/>
<br/>
<a id="bill.1.3.0"></a><a id="pl.6.27"></a><var>6.27</var>    Sec. 3. Minnesota Statutes 2012, section 290A.04, subdivision 2a, is amended to read:<br/>
<a id="pl.6.28"></a><var>6.28</var>    Subd. 2a. <b>Renters.</b> A claimant whose rent constituting property taxes exceeds the <br/>
<a id="pl.6.29"></a><var>6.29</var>percentage of the household income stated below must pay an amount equal to the percent <br/>
<a id="pl.6.30"></a><var>6.30</var>of income shown for the appropriate household income level along with the percent to <br/>
<a id="pl.6.31"></a><var>6.31</var>be paid by the claimant of the remaining amount of rent constituting property taxes. The <br/>
<a id="pl.6.32"></a><var>6.32</var>state refund equals the amount of rent constituting property taxes that remain, up to the <br/>
<a id="pl.6.33"></a><var>6.33</var>maximum state refund amount shown below.<br/>
<table>
<col width="50px"/>
<col width="17.5"/>
<col width="17.5"/>
<col width="12.5"/>
<col width="12.5"/>
<col width="5"/>
<tr>
<td><a id="pl.6.34"></a><var>6.34</var><br/>
<a id="pl.6.35"></a><var>6.35</var><br/>
<a id="pl.6.36"></a><var>6.36</var><br/>
</td>
<td align="right">Household Income<br/>
</td>
<td align="center">Percent of Income<br/>
</td>
<td align="right">Percent Paid by<br/>
                  		Claimant<br/>
</td>
<td align="right" colspan="2">Maximum <br/>
                  		State<br/>
                  		Refund<br/>
</td>
</tr>
<tr>
<td></td>
<td align="left"></td>
<td align="left"></td>
<td align="left"></td>
<td align="left"></td>
<td align="left"></td>
</tr>
<tr>
<td><a id="pl.6.37"></a><var>6.37</var><br/>
</td>
<td align="right">$0 to 3,589<br/>
</td>
<td align="center">1.0 percent<br/>
</td>
<td align="right">5 percent<br/>
</td>
<td align="right">$<br/>
</td>
<td align="right">1,190<br/>
</td>
</tr>
<tr>
<td><a id="pl.6.38"></a><var>6.38</var><br/>
</td>
<td align="right">3,590 to 4,779<br/>
</td>
<td align="center">1.0 percent<br/>
</td>
<td align="right">10 percent<br/>
</td>
<td align="right">$<br/>
</td>
<td align="right">1,190<br/>
</td>
</tr>
<tr>
<td><a id="pl.7.1"></a><var>7.1</var><br/>
</td>
<td align="right">4,780 to 5,969<br/>
</td>
<td align="center">1.1 percent<br/>
</td>
<td align="right">10 percent<br/>
</td>
<td align="right">$<br/>
</td>
<td align="right">1,190<br/>
</td>
</tr>
<tr>
<td><a id="pl.7.2"></a><var>7.2</var><br/>
</td>
<td align="right">5,970 to 8,369<br/>
</td>
<td align="center">1.2 percent<br/>
</td>
<td align="right">10 percent<br/>
</td>
<td align="right">$<br/>
</td>
<td align="right">1,190<br/>
</td>
</tr>
<tr>
<td><a id="pl.7.3"></a><var>7.3</var><br/>
</td>
<td align="right">8,370 to 10,759<br/>
</td>
<td align="center">1.3 percent<br/>
</td>
<td align="right">15 percent<br/>
</td>
<td align="right">$<br/>
</td>
<td align="right">1,190<br/>
</td>
</tr>
<tr>
<td><a id="pl.7.4"></a><var>7.4</var><br/>
</td>
<td align="right">10,760 to 11,949<br/>
</td>
<td align="center">1.4 percent<br/>
</td>
<td align="right">15 percent<br/>
</td>
<td align="right">$<br/>
</td>
<td align="right">1,190<br/>
</td>
</tr>
<tr>
<td><a id="pl.7.5"></a><var>7.5</var><br/>
</td>
<td align="right">11,950 to 13,139<br/>
</td>
<td align="center">1.4 percent<br/>
</td>
<td align="right">20 percent<br/>
</td>
<td align="right">$<br/>
</td>
<td align="right">1,190<br/>
</td>
</tr>
<tr>
<td><a id="pl.7.6"></a><var>7.6</var><br/>
</td>
<td align="right">13,140 to 15,539<br/>
</td>
<td align="center">1.5 percent<br/>
</td>
<td align="right">20 percent<br/>
</td>
<td align="right">$<br/>
</td>
<td align="right">1,190<br/>
</td>
</tr>
<tr>
<td><a id="pl.7.7"></a><var>7.7</var><br/>
</td>
<td align="right">15,540 to 16,729<br/>
</td>
<td align="center">1.6 percent<br/>
</td>
<td align="right">20 percent<br/>
</td>
<td align="right">$<br/>
</td>
<td align="right">1,190<br/>
</td>
</tr>
<tr>
<td><a id="pl.7.8"></a><var>7.8</var><br/>
</td>
<td align="right">16,730 to 17,919<br/>
</td>
<td align="center">1.7 percent<br/>
</td>
<td align="right">25 percent<br/>
</td>
<td align="right">$<br/>
</td>
<td align="right">1,190<br/>
</td>
</tr>
<tr>
<td><a id="pl.7.9"></a><var>7.9</var><br/>
</td>
<td align="right">17,920 to 20,319<br/>
</td>
<td align="center">1.8 percent<br/>
</td>
<td align="right">25 percent<br/>
</td>
<td align="right">$<br/>
</td>
<td align="right">1,190<br/>
</td>
</tr>
<tr>
<td><a id="pl.7.10"></a><var>7.10</var><br/>
</td>
<td align="right">20,320 to 21,509<br/>
</td>
<td align="center">1.9 percent<br/>
</td>
<td align="right">30 percent<br/>
</td>
<td align="right">$<br/>
</td>
<td align="right">1,190<br/>
</td>
</tr>
<tr>
<td><a id="pl.7.11"></a><var>7.11</var><br/>
</td>
<td align="right">21,510 to 22,699<br/>
</td>
<td align="center">2.0 percent<br/>
</td>
<td align="right">30 percent<br/>
</td>
<td align="right">$<br/>
</td>
<td align="right">1,190<br/>
</td>
</tr>
<tr>
<td><a id="pl.7.12"></a><var>7.12</var><br/>
</td>
<td align="right">22,700 to 23,899<br/>
</td>
<td align="center">2.2 percent<br/>
</td>
<td align="right">30 percent<br/>
</td>
<td align="right">$<br/>
</td>
<td align="right">1,190<br/>
</td>
</tr>
<tr>
<td><a id="pl.7.13"></a><var>7.13</var><br/>
</td>
<td align="right">23,900 to 25,089<br/>
</td>
<td align="center">2.4 percent<br/>
</td>
<td align="right">30 percent<br/>
</td>
<td align="right">$<br/>
</td>
<td align="right">1,190<br/>
</td>
</tr>
<tr>
<td><a id="pl.7.14"></a><var>7.14</var><br/>
</td>
<td align="right">25,090 to 26,289<br/>
</td>
<td align="center">2.6 percent<br/>
</td>
<td align="right">35 percent<br/>
</td>
<td align="right">$<br/>
</td>
<td align="right">1,190<br/>
</td>
</tr>
<tr>
<td><a id="pl.7.15"></a><var>7.15</var><br/>
</td>
<td align="right">26,290 to 27,489<br/>
</td>
<td align="center">2.7 percent<br/>
</td>
<td align="right">35 percent<br/>
</td>
<td align="right">$<br/>
</td>
<td align="right">1,190<br/>
</td>
</tr>
<tr>
<td><a id="pl.7.16"></a><var>7.16</var><br/>
</td>
<td align="right">27,490 to 28,679<br/>
</td>
<td align="center">2.8 percent<br/>
</td>
<td align="right">35 percent<br/>
</td>
<td align="right">$<br/>
</td>
<td align="right">1,190<br/>
</td>
</tr>
<tr>
<td><a id="pl.7.17"></a><var>7.17</var><br/>
</td>
<td align="right">28,680 to 29,869<br/>
</td>
<td align="center">2.9 percent<br/>
</td>
<td align="right">40 percent<br/>
</td>
<td align="right">$<br/>
</td>
<td align="right">1,190<br/>
</td>
</tr>
<tr>
<td><a id="pl.7.18"></a><var>7.18</var><br/>
</td>
<td align="right">29,870 to 31,079<br/>
</td>
<td align="center">3.0 percent<br/>
</td>
<td align="right">40 percent<br/>
</td>
<td align="right">$<br/>
</td>
<td align="right">1,190<br/>
</td>
</tr>
<tr>
<td><a id="pl.7.19"></a><var>7.19</var><br/>
</td>
<td align="right">31,080 to 32,269<br/>
</td>
<td align="center">3.1 percent<br/>
</td>
<td align="right">40 percent<br/>
</td>
<td align="right">$<br/>
</td>
<td align="right">1,190<br/>
</td>
</tr>
<tr>
<td><a id="pl.7.20"></a><var>7.20</var><br/>
</td>
<td align="right">32,270 to 33,459<br/>
</td>
<td align="center">3.2 percent<br/>
</td>
<td align="right">40 percent<br/>
</td>
<td align="right">$<br/>
</td>
<td align="right">1,190<br/>
</td>
</tr>
<tr>
<td><a id="pl.7.21"></a><var>7.21</var><br/>
</td>
<td align="right">33,460 to 34,649<br/>
</td>
<td align="center">3.3 percent<br/>
</td>
<td align="right">45 percent<br/>
</td>
<td align="right">$<br/>
</td>
<td align="right">1,080<br/>
</td>
</tr>
<tr>
<td><a id="pl.7.22"></a><var>7.22</var><br/>
</td>
<td align="right">34,650 to 35,849<br/>
</td>
<td align="center">3.4 percent<br/>
</td>
<td align="right">45 percent<br/>
</td>
<td align="right">$<br/>
</td>
<td align="right">960<br/>
</td>
</tr>
<tr>
<td><a id="pl.7.23"></a><var>7.23</var><br/>
</td>
<td align="right">35,850 to 37,049<br/>
</td>
<td align="center">3.5 percent<br/>
</td>
<td align="right">45 percent<br/>
</td>
<td align="right">$<br/>
</td>
<td align="right">830<br/>
</td>
</tr>
<tr>
<td><a id="pl.7.24"></a><var>7.24</var><br/>
</td>
<td align="right">37,050 to 38,239<br/>
</td>
<td align="center">3.5 percent<br/>
</td>
<td align="right">50 percent<br/>
</td>
<td align="right">$<br/>
</td>
<td align="right">720<br/>
</td>
</tr>
<tr>
<td><a id="pl.7.25"></a><var>7.25</var><br/>
</td>
<td align="right">38,240 to 39,439<br/>
</td>
<td align="center">3.5 percent<br/>
</td>
<td align="right">50 percent<br/>
</td>
<td align="right">$<br/>
</td>
<td align="right">600<br/>
</td>
</tr>
<tr>
<td><a id="pl.7.26"></a><var>7.26</var><br/>
</td>
<td align="right">38,440 to 40,629<br/>
</td>
<td align="center">3.5 percent<br/>
</td>
<td align="right">50 percent<br/>
</td>
<td align="right">$<br/>
</td>
<td align="right">360<br/>
</td>
</tr>
<tr>
<td><a id="pl.7.27"></a><var>7.27</var><br/>
</td>
<td align="right">40,630 to 41,819<br/>
</td>
<td align="center">3.5 percent<br/>
</td>
<td align="right">50 percent<br/>
</td>
<td align="right">$<br/>
</td>
<td align="right">120<br/>
</td>
</tr>
</table>
<table>
<col width="50px"/>
<col width="17.5"/>
<col width="17.5"/>
<col width="12.5"/>
<col width="12.5"/>
<col width="5"/>
<tr>
<td><a id="pl.7.28"></a><var>7.28</var><br/>
</td>
<td align="right">$0 to 4,909<br/>
</td>
<td align="center">1.0 percent<br/>
</td>
<td align="right">5 percent<br/>
</td>
<td align="right">$<br/>
</td>
<td align="right">2,000<br/>
</td>
</tr>
<tr>
<td><a id="pl.7.29"></a><var>7.29</var><br/>
</td>
<td align="right">4,910 to 6,529<br/>
</td>
<td align="center">1.0 percent<br/>
</td>
<td align="right">10 percent<br/>
</td>
<td align="right">$<br/>
</td>
<td align="right">2,000<br/>
</td>
</tr>
<tr>
<td><a id="pl.7.30"></a><var>7.30</var><br/>
</td>
<td align="right">6,530 to 8,159<br/>
</td>
<td align="center">1.1 percent<br/>
</td>
<td align="right">10 percent<br/>
</td>
<td align="right">$<br/>
</td>
<td align="right">1,950<br/>
</td>
</tr>
<tr>
<td><a id="pl.7.31"></a><var>7.31</var><br/>
</td>
<td align="right">8,160 to 11,439<br/>
</td>
<td align="center">1.2 percent<br/>
</td>
<td align="right">10 percent<br/>
</td>
<td align="right">$<br/>
</td>
<td align="right">1,900<br/>
</td>
</tr>
<tr>
<td><a id="pl.7.32"></a><var>7.32</var><br/>
</td>
<td align="right">11,440 to 14,709<br/>
</td>
<td align="center">1.3 percent<br/>
</td>
<td align="right">15 percent<br/>
</td>
<td align="right">$<br/>
</td>
<td align="right">1,850<br/>
</td>
</tr>
<tr>
<td><a id="pl.7.33"></a><var>7.33</var><br/>
</td>
<td align="right">14,710 to 16,339<br/>
</td>
<td align="center">1.4 percent<br/>
</td>
<td align="right">15 percent<br/>
</td>
<td align="right">$<br/>
</td>
<td align="right">1,800<br/>
</td>
</tr>
<tr>
<td><a id="pl.7.34"></a><var>7.34</var><br/>
</td>
<td align="right">16,340 to 17,959<br/>
</td>
<td align="center">1.4 percent<br/>
</td>
<td align="right">20 percent<br/>
</td>
<td align="right">$<br/>
</td>
<td align="right">1,750<br/>
</td>
</tr>
<tr>
<td><a id="pl.7.35"></a><var>7.35</var><br/>
</td>
<td align="right">17,960 to 21,239<br/>
</td>
<td align="center">1.5 percent<br/>
</td>
<td align="right">20 percent<br/>
</td>
<td align="right">$<br/>
</td>
<td align="right">1,700<br/>
</td>
</tr>
<tr>
<td><a id="pl.7.36"></a><var>7.36</var><br/>
</td>
<td align="right">21,240 to 22,869<br/>
</td>
<td align="center">1.6 percent<br/>
</td>
<td align="right">20 percent<br/>
</td>
<td align="right">$<br/>
</td>
<td align="right">1,650<br/>
</td>
</tr>
<tr>
<td><a id="pl.7.37"></a><var>7.37</var><br/>
</td>
<td align="right">22,870 to 24,499<br/>
</td>
<td align="center">1.7 percent<br/>
</td>
<td align="right">25 percent<br/>
</td>
<td align="right">$<br/>
</td>
<td align="right">1,650<br/>
</td>
</tr>
<tr>
<td><a id="pl.7.38"></a><var>7.38</var><br/>
</td>
<td align="right">24,500 to 27,779<br/>
</td>
<td align="center">1.8 percent<br/>
</td>
<td align="right">25 percent<br/>
</td>
<td align="right">$<br/>
</td>
<td align="right">1,650<br/>
</td>
</tr>
<tr>
<td><a id="pl.7.39"></a><var>7.39</var><br/>
</td>
<td align="right">27,780 to 29,399<br/>
</td>
<td align="center">1.9 percent<br/>
</td>
<td align="right">30 percent<br/>
</td>
<td align="right">$<br/>
</td>
<td align="right">1,650<br/>
</td>
</tr>
<tr>
<td><a id="pl.7.40"></a><var>7.40</var><br/>
</td>
<td align="right">29,400 to 34,299<br/>
</td>
<td align="center">2.0 percent<br/>
</td>
<td align="right">30 percent<br/>
</td>
<td align="right">$<br/>
</td>
<td align="right">1,650<br/>
</td>
</tr>
<tr>
<td><a id="pl.7.41"></a><var>7.41</var><br/>
</td>
<td align="right">34,300 to 39,199<br/>
</td>
<td align="center">2.0 percent<br/>
</td>
<td align="right">35 percent<br/>
</td>
<td align="right">$<br/>
</td>
<td align="right">1,650<br/>
</td>
</tr>
<tr>
<td><a id="pl.7.42"></a><var>7.42</var><br/>
</td>
<td align="right">39,200 to 45,739<br/>
</td>
<td align="center">2.0 percent<br/>
</td>
<td align="right">40 percent<br/>
</td>
<td align="right">$<br/>
</td>
<td align="right">1,650<br/>
</td>
</tr>
<tr>
<td><a id="pl.7.43"></a><var>7.43</var><br/>
</td>
<td align="right">45,740 to 47,369<br/>
</td>
<td align="center">2.0 percent<br/>
</td>
<td align="right">45 percent<br/>
</td>
<td align="right">$<br/>
</td>
<td align="right">1,500<br/>
</td>
</tr>
<tr>
<td><a id="pl.8.1"></a><var>8.1</var><br/>
</td>
<td align="right">47,370 to 49,009<br/>
</td>
<td align="center">2.0 percent<br/>
</td>
<td align="right">45 percent<br/>
</td>
<td align="right">$<br/>
</td>
<td align="right">1,350<br/>
</td>
</tr>
<tr>
<td><a id="pl.8.2"></a><var>8.2</var><br/>
</td>
<td align="right">49,010 to 50,649<br/>
</td>
<td align="center">2.0 percent<br/>
</td>
<td align="right">45 percent<br/>
</td>
<td align="right">$<br/>
</td>
<td align="right">1,150<br/>
</td>
</tr>
<tr>
<td><a id="pl.8.3"></a><var>8.3</var><br/>
</td>
<td align="right">50,650 to 52,269<br/>
</td>
<td align="center">2.0 percent<br/>
</td>
<td align="right">50 percent<br/>
</td>
<td align="right">$<br/>
</td>
<td align="right">1,000<br/>
</td>
</tr>
<tr>
<td><a id="pl.8.4"></a><var>8.4</var><br/>
</td>
<td align="right">52,270 to 53,909<br/>
</td>
<td align="center">2.0 percent<br/>
</td>
<td align="right">50 percent<br/>
</td>
<td align="right">$<br/>
</td>
<td align="right">900<br/>
</td>
</tr>
<tr>
<td><a id="pl.8.5"></a><var>8.5</var><br/>
</td>
<td align="right">53,910 to 55,539<br/>
</td>
<td align="center">2.0 percent<br/>
</td>
<td align="right">50 percent<br/>
</td>
<td align="right">$<br/>
</td>
<td align="right">500<br/>
</td>
</tr>
<tr>
<td><a id="pl.8.6"></a><var>8.6</var><br/>
</td>
<td align="right">55,540 to 57,169<br/>
</td>
<td align="center">2.0 percent<br/>
</td>
<td align="right">50 percent<br/>
</td>
<td align="right">$<br/>
</td>
<td align="right">200<br/>
</td>
</tr>
</table><a id="pl.8.7"></a><var>8.7</var>    The payment made to a claimant is the amount of the state refund calculated under <br/>
<a id="pl.8.8"></a><var>8.8</var>this subdivision. No payment is allowed if the claimant's household income is $41,820<br/>
<a id="pl.8.9"></a><var>8.9</var> $57,170 or more.<br/>
<a id="pl.8.10"></a><var>8.10</var><b>EFFECTIVE DATE.</b>This section is effective for claims based on rent paid in <br/>
<a id="pl.8.11"></a><var>8.11</var>2013 and following years.<br/>
<br/>
<a id="bill.1.4.0"></a><a id="pl.8.12"></a><var>8.12</var>    Sec. 4. Minnesota Statutes 2012, section 290A.04, subdivision 4, is amended to read:<br/>
<a id="pl.8.13"></a><var>8.13</var>    Subd. 4. <b>Inflation adjustment.</b> (a) Beginning for property tax refunds payable in <br/>
<a id="pl.8.14"></a><var>8.14</var>calendar year 2002, the commissioner shall annually adjust the dollar amounts of the <br/>
<a id="pl.8.15"></a><var>8.15</var>income thresholds and the maximum refunds under subdivisions 2 and 2a for inflation. <br/>
<a id="pl.8.16"></a><var>8.16</var>The commissioner shall make the inflation adjustments in accordance with section 1(f) of <br/>
<a id="pl.8.17"></a><var>8.17</var>the Internal Revenue Code, except that for purposes of this subdivision the percentage <br/>
<a id="pl.8.18"></a><var>8.18</var>increase shall be determined as provided in this subdivision.<br/>
<a id="pl.8.19"></a><var>8.19</var>    (b) In adjusting the dollar amounts of the income thresholds and the maximum <br/>
<a id="pl.8.20"></a><var>8.20</var>refunds under subdivision 2 for inflation, the percentage increase shall be determined <br/>
<a id="pl.8.21"></a><var>8.21</var>from the year ending on June 30, 2011 2013, to the year ending on June 30 of the year <br/>
<a id="pl.8.22"></a><var>8.22</var>preceding that in which the refund is payable.<br/>
<a id="pl.8.23"></a><var>8.23</var>    (c) In adjusting the dollar amounts of the income thresholds and the maximum <br/>
<a id="pl.8.24"></a><var>8.24</var>refunds under subdivision 2a for inflation, the percentage increase shall be determined <br/>
<a id="pl.8.25"></a><var>8.25</var>from the year ending on June 30, 2000 2013, to the year ending on June 30 of the year <br/>
<a id="pl.8.26"></a><var>8.26</var>preceding that in which the refund is payable.<br/>
<a id="pl.8.27"></a><var>8.27</var>    (d) The commissioner shall use the appropriate percentage increase to annually <br/>
<a id="pl.8.28"></a><var>8.28</var>adjust the income thresholds and maximum refunds under subdivisions 2 and 2a for <br/>
<a id="pl.8.29"></a><var>8.29</var>inflation without regard to whether or not the income tax brackets are adjusted for inflation <br/>
<a id="pl.8.30"></a><var>8.30</var>in that year. The commissioner shall round the thresholds and the maximum amounts, <br/>
<a id="pl.8.31"></a><var>8.31</var>as adjusted to the nearest $10 amount. If the amount ends in $5, the commissioner shall <br/>
<a id="pl.8.32"></a><var>8.32</var>round it up to the next $10 amount.<br/>
<a id="pl.8.33"></a><var>8.33</var>    (e) The commissioner shall annually announce the adjusted refund schedule at the <br/>
<a id="pl.8.34"></a><var>8.34</var>same time provided under section 
         <statute_ref>290.06</statute_ref>. The determination of the commissioner under <br/>
<a id="pl.8.35"></a><var>8.35</var>this subdivision is not a rule under the Administrative Procedure Act.<br/>
<a id="pl.9.1"></a><var>9.1</var><b>EFFECTIVE DATE.</b>This section is effective for refund claims based on taxes <br/>
<a id="pl.9.2"></a><var>9.2</var>payable in 2014 and rent paid in 2013 and following years.<br/>
<br/>
<a id="bill.1.5.0"></a><a id="pl.9.3"></a><var>9.3</var>    Sec. 5. <b>[290A.28] NOTIFICATION OF POTENTIAL ELIGIBILITY.</b><br/>
<a id="pl.9.4"></a><var>9.4</var>    Subdivision 1. <b>Notification of eligibility.</b> (a) By August 1, 2014, the commissioner <br/>
<a id="pl.9.5"></a><var>9.5</var>shall notify, in writing or electronically, individual homeowners whom the commissioner <br/>
<a id="pl.9.6"></a><var>9.6</var>determines likely will be eligible for a homestead credit refund under this chapter for <br/>
<a id="pl.9.7"></a><var>9.7</var>that property taxes payable year. In determining whether to notify a homeowner, the <br/>
<a id="pl.9.8"></a><var>9.8</var>commissioner shall consider the property tax information available to the commissioner <br/>
<a id="pl.9.9"></a><var>9.9</var>under paragraph (b) and the most recent income information available to the commissioner <br/>
<a id="pl.9.10"></a><var>9.10</var>from filing under this chapter for the prior year or under chapter 290 for the current or <br/>
<a id="pl.9.11"></a><var>9.11</var>prior year. The notification must include information on how to file for the homestead <br/>
<a id="pl.9.12"></a><var>9.12</var>credit refund and the range of potential homestead credit refunds that the homeowner <br/>
<a id="pl.9.13"></a><var>9.13</var>could qualify to receive. The notification requirement under this section does not apply <br/>
<a id="pl.9.14"></a><var>9.14</var>to a homeowner who has already filed for the homestead credit refund for the current <br/>
<a id="pl.9.15"></a><var>9.15</var>or prior year.<br/>
<a id="pl.9.16"></a><var>9.16</var>    (b) By May 15, 2014, each county auditor shall transmit to the commissioner <br/>
<a id="pl.9.17"></a><var>9.17</var>of revenue the following information for each property classified as a residential or <br/>
<a id="pl.9.18"></a><var>9.18</var>agricultural homestead under section 273.13, subdivision 22 or 23:<br/>
<a id="pl.9.19"></a><var>9.19</var>    (1) the property taxes payable;<br/>
<a id="pl.9.20"></a><var>9.20</var>    (2) the name and address of the owner;<br/>
<a id="pl.9.21"></a><var>9.21</var>    (3) the Social Security number or numbers of the owners; and<br/>
<a id="pl.9.22"></a><var>9.22</var>    (4) any other information the commissioner deems necessary or useful to carry <br/>
<a id="pl.9.23"></a><var>9.23</var>out the provisions of this section.<br/>
<a id="pl.9.24"></a><var>9.24</var>The information must be provided in the form and manner prescribed by the commissioner.<br/>
<a id="pl.9.25"></a><var>9.25</var>    Subd. 2. <b>Report.</b> By March 15, 2015, the commissioner must provide written <br/>
<a id="pl.9.26"></a><var>9.26</var>reports to the chairs and ranking minority members of the legislative committees with <br/>
<a id="pl.9.27"></a><var>9.27</var>jurisdiction over taxes, in compliance with Minnesota Statutes, sections 3.195 and 3.197. <br/>
<a id="pl.9.28"></a><var>9.28</var>The report must provide information on the number and dollar amount of homeowner <br/>
<a id="pl.9.29"></a><var>9.29</var>property tax refund claims based on taxes payable in 2014, including:<br/>
<a id="pl.9.30"></a><var>9.30</var>    (i) the number and dollar amount of claims projected for homestead credit refunds <br/>
<a id="pl.9.31"></a><var>9.31</var>based on taxes payable in 2014 prior to enactment of the notification requirement in <br/>
<a id="pl.9.32"></a><var>9.32</var>this section;<br/>
<a id="pl.9.33"></a><var>9.33</var>    (ii) the number of notifications issued as provided in this section, including the <br/>
<a id="pl.9.34"></a><var>9.34</var>number issued by county;<br/>
<a id="pl.10.1"></a><var>10.1</var>    (iii) the number and dollar amount of claims for homestead credit refunds based on <br/>
<a id="pl.10.2"></a><var>10.2</var>taxes payable in 2014 processed through December 31, 2014; and<br/>
<a id="pl.10.3"></a><var>10.3</var>    (iv) a description of any outreach efforts undertaken by the commissioner for <br/>
<a id="pl.10.4"></a><var>10.4</var>homestead credit refunds based on taxes payable in 2014, in addition to the notification <br/>
<a id="pl.10.5"></a><var>10.5</var>required in this section.<br/>
<a id="pl.10.6"></a><var>10.6</var><b>EFFECTIVE DATE.</b>This section is effective for refund claims based on property <br/>
<a id="pl.10.7"></a><var>10.7</var>taxes payable in 2014.<br/>
<br/>
<a id="bill.2.0.0"></a>

<a id="bill.2.1.0"></a><a id="pl.10.10"></a><var>10.10</var>    Section 1. Minnesota Statutes 2012, section 69.021, is amended by adding a <br/>
<a id="pl.10.11"></a><var>10.11</var>subdivision to read:<br/>
<a id="pl.10.12"></a><var>10.12</var>    Subd. 12. <b>Surcharge aid accounts.</b> (a) A surcharge fire pension aid account is <br/>
<a id="pl.10.13"></a><var>10.13</var>established in the special revenue fund to receive amounts as provided under section <br/>
<a id="pl.10.14"></a><var>10.14</var>297I.07, subdivision 3, clause (1). The commissioner shall administer the account and <br/>
<a id="pl.10.15"></a><var>10.15</var>allocate money in the account as follows:<br/>
<a id="pl.10.16"></a><var>10.16</var>    (1) 17.342 percent as supplemental state pension funding paid to the executive <br/>
<a id="pl.10.17"></a><var>10.17</var>director of the Public Employees Retirement Association for deposit in the public <br/>
<a id="pl.10.18"></a><var>10.18</var>employees police and fire retirement fund established by section 353.65, subdivision 1;<br/>
<a id="pl.10.19"></a><var>10.19</var>    (2) 8.658 percent to municipalities employing firefighters with retirement coverage <br/>
<a id="pl.10.20"></a><var>10.20</var>by the public employees police and fire retirement plan, allocated in proportion to the <br/>
<a id="pl.10.21"></a><var>10.21</var>relationship that the preceding December 31 number of firefighters employed by each <br/>
<a id="pl.10.22"></a><var>10.22</var>municipality who have public employees police and fire retirement plan coverage bears to <br/>
<a id="pl.10.23"></a><var>10.23</var>the total preceding December 31 number of municipal firefighters covered by the public <br/>
<a id="pl.10.24"></a><var>10.24</var>employees police and fire retirement plan; and<br/>
<a id="pl.10.25"></a><var>10.25</var>    (3) 74 percent for municipalities other than the municipalities receiving a <br/>
<a id="pl.10.26"></a><var>10.26</var>disbursement under clause (2) which qualified to receive fire state aid in that calendar year, <br/>
<a id="pl.10.27"></a><var>10.27</var>allocated in proportion to the most recent amount of fire state aid paid under subdivision 7 <br/>
<a id="pl.10.28"></a><var>10.28</var>for the municipality bears to the most recent total fire state aid for all municipalities other <br/>
<a id="pl.10.29"></a><var>10.29</var>than the municipalities receiving a disbursement under clause (2) paid under subdivision <br/>
<a id="pl.10.30"></a><var>10.30</var>7, with the allocated amount for fire departments participating in the voluntary statewide <br/>
<a id="pl.10.31"></a><var>10.31</var>lump-sum volunteer firefighter retirement plan paid to the executive director of the Public <br/>
<a id="pl.10.32"></a><var>10.32</var>Employees Retirement Association for deposit in the fund established by section 353G.02, <br/>
<a id="pl.10.33"></a><var>10.33</var>subdivision 3, and credited to the respective account and with the balance paid to the <br/>
<a id="pl.11.1"></a><var>11.1</var>treasurer of each municipality for transmittal within 30 days of receipt to the treasurer of <br/>
<a id="pl.11.2"></a><var>11.2</var>the applicable volunteer firefighter relief association for deposit in its special fund.<br/>
<a id="pl.11.3"></a><var>11.3</var>    (b) A surcharge police pension aid account is established in the special revenue <br/>
<a id="pl.11.4"></a><var>11.4</var>fund to receive amounts as provided by section 297I.07, subdivision 3, clause (2). The <br/>
<a id="pl.11.5"></a><var>11.5</var>commissioner shall administer the account and allocate money in the account as follows:<br/>
<a id="pl.11.6"></a><var>11.6</var>    (1) one-third to be distributed as police state aid as provided under subdivision 7a; and<br/>
<a id="pl.11.7"></a><var>11.7</var>    (2) two-thirds to be apportioned, on the basis of the number of active police officers <br/>
<a id="pl.11.8"></a><var>11.8</var>certified for police state aid receipt under section 69.011, subdivisions 2 and 2b, between:<br/>
<a id="pl.11.9"></a><var>11.9</var>    (i) the executive director of the Public Employees Retirement Association for <br/>
<a id="pl.11.10"></a><var>11.10</var>deposit as a supplemental state pension funding aid in the public employees police and fire <br/>
<a id="pl.11.11"></a><var>11.11</var>retirement fund established by section 353.65, subdivision 1; and<br/>
<a id="pl.11.12"></a><var>11.12</var>    (ii) the executive director of the Minnesota State Retirement System for deposit as a <br/>
<a id="pl.11.13"></a><var>11.13</var>supplemental state pension funding aid in the state patrol retirement fund.<br/>
<a id="pl.11.14"></a><var>11.14</var>    (c) On or before September 1, annually, the executive director of the Public <br/>
<a id="pl.11.15"></a><var>11.15</var>Employees Retirement Association shall report to the commissioner the following:<br/>
<a id="pl.11.16"></a><var>11.16</var>    (1) the municipalities which employ firefighters with retirement coverage by the <br/>
<a id="pl.11.17"></a><var>11.17</var>public employees police and fire retirement plan;<br/>
<a id="pl.11.18"></a><var>11.18</var>    (2) the number of firefighters with public employees police and fire retirement plan <br/>
<a id="pl.11.19"></a><var>11.19</var>employed by each municipality;<br/>
<a id="pl.11.20"></a><var>11.20</var>    (3) the fire departments covered by the voluntary statewide lump-sum volunteer <br/>
<a id="pl.11.21"></a><var>11.21</var>firefighter retirement plan; and<br/>
<a id="pl.11.22"></a><var>11.22</var>    (4) any other information requested by the commissioner to administer the surcharge <br/>
<a id="pl.11.23"></a><var>11.23</var>fire pension aid account.<br/>
<a id="pl.11.24"></a><var>11.24</var>    (d) For this subdivision, (i) the number of firefighters employed by a municipality <br/>
<a id="pl.11.25"></a><var>11.25</var>who have public employees police and fire retirement plan coverage means the number <br/>
<a id="pl.11.26"></a><var>11.26</var>of firefighters with public employees police and fire retirement plan coverage that were <br/>
<a id="pl.11.27"></a><var>11.27</var>employed by the municipality for not less than 30 hours per week for a minimum of six <br/>
<a id="pl.11.28"></a><var>11.28</var>months prior to December 31 preceding the date of the payment under this section and, if <br/>
<a id="pl.11.29"></a><var>11.29</var>the person was employed for less than the full year, prorated to the number of full months <br/>
<a id="pl.11.30"></a><var>11.30</var>employed; and, (ii) the number of active police officers certified for police state aid receipt <br/>
<a id="pl.11.31"></a><var>11.31</var>under section 69.011, subdivisions 2 and 2b means, for each municipality, the number of <br/>
<a id="pl.11.32"></a><var>11.32</var>police officers meeting the definition of peace officer in section 69.011, subdivision 1, <br/>
<a id="pl.11.33"></a><var>11.33</var>counted as provided and limited by section 69.011, subdivisions 2 and 2b.<br/>
<a id="pl.11.34"></a><var>11.34</var>    (e) The payments under this section shall be made on October 1 each year, based <br/>
<a id="pl.11.35"></a><var>11.35</var>on the amount in the surcharge fire pension aid account and the amount in the surcharge <br/>
<a id="pl.11.36"></a><var>11.36</var>police pension aid account on the preceding June 30, with interest at 1 percent for each <br/>
<a id="pl.12.1"></a><var>12.1</var>month, or portion of a month, that the amount remains unpaid after October 1. The <br/>
<a id="pl.12.2"></a><var>12.2</var>amounts necessary to make the payments under this subdivision are annually appropriated <br/>
<a id="pl.12.3"></a><var>12.3</var>to the commissioner from the surcharge fire and police pension aid accounts. Any <br/>
<a id="pl.12.4"></a><var>12.4</var>necessary adjustments shall be made to subsequent payments.<br/>
<a id="pl.12.5"></a><var>12.5</var>    (f) The provisions of this chapter that prevent municipalities and relief associations <br/>
<a id="pl.12.6"></a><var>12.6</var>from being eligible for, or receiving state aid under this chapter until the applicable <br/>
<a id="pl.12.7"></a><var>12.7</var>financial reporting requirements have been complied with, apply to the amounts payable <br/>
<a id="pl.12.8"></a><var>12.8</var>to municipalities and relief associations under this subdivision.<br/>
<a id="pl.12.9"></a><var>12.9</var>    (g) The amounts necessary to make the payments under this subdivision are <br/>
<a id="pl.12.10"></a><var>12.10</var>appropriated to the commissioner from the respective accounts in the special revenue fund.<br/>
<a id="pl.12.11"></a><var>12.11</var><b>EFFECTIVE DATE.</b>This section is effective beginning in the fiscal year beginning <br/>
<a id="pl.12.12"></a><var>12.12</var>July 1, 2013.<br/>
<br/>
<a id="bill.2.2.0"></a><a id="pl.12.13"></a><var>12.13</var>    Sec. 2. Minnesota Statutes 2012, section 290C.02, subdivision 6, is amended to read:<br/>
<a id="pl.12.14"></a><var>12.14</var>    Subd. 6. <b>Forest land.</b> "Forest land" means land containing a minimum of 20 <br/>
<a id="pl.12.15"></a><var>12.15</var>contiguous acres for which the owner has implemented a forest management plan that was <br/>
<a id="pl.12.16"></a><var>12.16</var>prepared or updated within the past ten years by an approved plan writer. For purposes of <br/>
<a id="pl.12.17"></a><var>12.17</var>this subdivision, acres are considered to be contiguous even if they are separated by a road, <br/>
<a id="pl.12.18"></a><var>12.18</var>waterway, railroad track, or other similar intervening property. At least 50 percent of the <br/>
<a id="pl.12.19"></a><var>12.19</var>contiguous acreage must meet the definition of forest land in section 
         <statute_ref>88.01, subdivision 7</statute_ref>. <br/>
<a id="pl.12.20"></a><var>12.20</var>For the purposes of sections 
         <statute_ref>290C.01</statute_ref> to 
         <statute_ref>290C.11</statute_ref>, forest land does not include the following:<br/>
<a id="pl.12.21"></a><var>12.21</var>    (i) land used for residential or agricultural purposes,; <br/>
<a id="pl.12.22"></a><var>12.22</var>    (ii) land enrolled in the reinvest in Minnesota program, a state or federal conservation <br/>
<a id="pl.12.23"></a><var>12.23</var>reserve or easement reserve program under sections 
         <statute_ref>103F.501</statute_ref> to 
         <statute_ref>103F.531</statute_ref>, the Minnesota <br/>
<a id="pl.12.24"></a><var>12.24</var>agricultural property tax law under section 
         <statute_ref>273.111</statute_ref>, or land subject to agricultural land <br/>
<a id="pl.12.25"></a><var>12.25</var>preservation controls or restrictions as defined in section 
         <statute_ref>40A.02</statute_ref> or under the Metropolitan <br/>
<a id="pl.12.26"></a><var>12.26</var>Agricultural Preserves Act under chapter 473H, or; <br/>
<a id="pl.12.27"></a><var>12.27</var>    (iii) land subject to a conservation easement funded under section 97A.056 or a <br/>
<a id="pl.12.28"></a><var>12.28</var>comparable permanent easement conveyed to a governmental or nonprofit entity; or<br/>
<a id="pl.12.29"></a><var>12.29</var>    (iv) land improved with a structure, pavement, sewer, campsite, or any road, other <br/>
<a id="pl.12.30"></a><var>12.30</var>than a township road, used for purposes not prescribed in the forest management plan.<br/>
<a id="pl.12.31"></a><var>12.31</var><b>EFFECTIVE DATE.</b>This section is effective for payments made beginning in <br/>
<a id="pl.12.32"></a><var>12.32</var>calendar year 2014.<br/>
<br/>
<a id="bill.2.3.0"></a><a id="pl.13.1"></a><var>13.1</var>    Sec. 3. Minnesota Statutes 2012, section 290C.05, is amended to read:<br/>
<a id="pl.13.2"></a><var>13.2</var><b>290C.05 ANNUAL CERTIFICATION.</b><br/>
<a id="pl.13.3"></a><var>13.3</var>    On or before July 1 of each year, beginning with the year after the original claimant <br/>
<a id="pl.13.4"></a><var>13.4</var>has received an approved application, the commissioner shall send each claimant enrolled <br/>
<a id="pl.13.5"></a><var>13.5</var>under the sustainable forest incentive program a certification form. For purposes of this <br/>
<a id="pl.13.6"></a><var>13.6</var>section, the original claimant is the person that filed the first application under section <br/>
<statute_ref><a id="pl.13.7"></a><var>13.7</var>290C.04
         </statute_ref> to enroll the land in the program. The claimant must sign the certification, <br/>
<a id="pl.13.8"></a><var>13.8</var>attesting that the requirements and conditions for continued enrollment in the program are <br/>
<a id="pl.13.9"></a><var>13.9</var>currently being met, and must return the signed certification form, along with a copy of <br/>
<a id="pl.13.10"></a><var>13.10</var>the property tax statement for the property taxes payable on the enrolled property for the <br/>
<a id="pl.13.11"></a><var>13.11</var>calendar year and any other information the commissioner deems necessary to determine <br/>
<a id="pl.13.12"></a><var>13.12</var>whether the property is qualified under section 290C.02, subdivision 6, or the amount of <br/>
<a id="pl.13.13"></a><var>13.13</var>the payment under section 290C.07, paragraph (a), clause (2), to the commissioner by <br/>
<a id="pl.13.14"></a><var>13.14</var>August 15 of that same year. If the claimant does not return an annual certification form <br/>
<a id="pl.13.15"></a><var>13.15</var>by the due date, the provisions in section 
         <statute_ref>290C.11</statute_ref> apply.<br/>
<a id="pl.13.16"></a><var>13.16</var><b>EFFECTIVE DATE.</b>This section is effective for payments made beginning in <br/>
<a id="pl.13.17"></a><var>13.17</var>calendar year 2014.<br/>
<br/>
<a id="bill.2.4.0"></a><a id="pl.13.18"></a><var>13.18</var>    Sec. 4. Minnesota Statutes 2012, section 290C.07, is amended to read:<br/>
<a id="pl.13.19"></a><var>13.19</var><b>290C.07 CALCULATION OF INCENTIVE PAYMENT.</b><br/>
<a id="pl.13.20"></a><var>13.20</var>    (a) An approved claimant under the sustainable forest incentive program is eligible <br/>
<a id="pl.13.21"></a><var>13.21</var>to receive an annual payment. The payment shall be equal to the lesser of (1) $7 per acre<br/>
<a id="pl.13.22"></a><var>13.22</var> or (2) one-half of the property tax payable for the calendar year for each acre enrolled in <br/>
<a id="pl.13.23"></a><var>13.23</var>the sustainable forest incentive program.<br/>
<a id="pl.13.24"></a><var>13.24</var>    (b) The annual payment for each Social Security number or state or federal business <br/>
<a id="pl.13.25"></a><var>13.25</var>tax identification number must not exceed $100,000.<br/>
<a id="pl.13.26"></a><var>13.26</var><b>EFFECTIVE DATE.</b>This section is effective for payments made beginning in <br/>
<a id="pl.13.27"></a><var>13.27</var>calendar year 2014.<br/>
<br/>
<a id="bill.2.5.0"></a><a id="pl.13.28"></a><var>13.28</var>    Sec. 5. <b>[297I.07] SURCHARGE ON HOMEOWNERS AND AUTO POLICIES.</b><br/>
<a id="pl.13.29"></a><var>13.29</var>    Subdivision 1. <b>Surcharge on policies.</b> (a) Each licensed insurer engaged in writing <br/>
<a id="pl.13.30"></a><var>13.30</var>insurance shall collect a surcharge equal to $5 per calendar year for each policy issued <br/>
<a id="pl.13.31"></a><var>13.31</var>or renewed during that calendar year for:<br/>
<a id="pl.13.32"></a><var>13.32</var>    (1) homeowners insurance authorized in section 60A.06, subdivision 1, clause <br/>
<a id="pl.13.33"></a><var>13.33</var>(1)(c); and<br/>
<a id="pl.14.1"></a><var>14.1</var>    (2) automobile insurance as defined in section 65B.14, subdivision 2.<br/>
<a id="pl.14.2"></a><var>14.2</var>    (b) The surcharge amount collected under this subdivision must not be considered <br/>
<a id="pl.14.3"></a><var>14.3</var>premium for any other purpose. The surcharge amount must be separately stated on either a <br/>
<a id="pl.14.4"></a><var>14.4</var>billing or policy declaration or document containing similar information sent to an insured.<br/>
<a id="pl.14.5"></a><var>14.5</var>    Subd. 2. <b>Collection and administration.</b> The commissioner shall administer the <br/>
<a id="pl.14.6"></a><var>14.6</var>surcharge imposed by this section in the same manner as the taxes imposed by this chapter.<br/>
<a id="pl.14.7"></a><var>14.7</var>    Subd. 3. <b>Deposit of revenues.</b> The commissioner shall deposit revenues from the <br/>
<a id="pl.14.8"></a><var>14.8</var>surcharge under this section as follows:<br/>
<a id="pl.14.9"></a><var>14.9</var>    (1) amounts from the surcharge imposed under subdivision 1, paragraph (a), clause <br/>
<a id="pl.14.10"></a><var>14.10</var>(1), in a surcharge fire pension aid account in the special revenue fund; and<br/>
<a id="pl.14.11"></a><var>14.11</var>    (2) amounts from the surcharge imposed under subdivision 1, paragraph (a), clause <br/>
<a id="pl.14.12"></a><var>14.12</var>(2), in a surcharge police pension aid account in the special revenue fund.<br/>
<a id="pl.14.13"></a><var>14.13</var>    Subd. 4. <b>Surcharge termination.</b> The surcharge imposed under subdivision <br/>
<a id="pl.14.14"></a><var>14.14</var>1 ends on the December 31 next following the actuarial valuation date on which the <br/>
<a id="pl.14.15"></a><var>14.15</var>assets of the retirement plan on a market value equals or exceeds 90 percent of the total <br/>
<a id="pl.14.16"></a><var>14.16</var>actuarial accrued liabilities of the retirement plan as disclosed in an actuarial valuation <br/>
<a id="pl.14.17"></a><var>14.17</var>prepared under section 356.215 and the Standards for Actuarial Work promulgated by the <br/>
<a id="pl.14.18"></a><var>14.18</var>Legislative Commission on Pensions and Retirement, for the State Patrol retirement plan <br/>
<a id="pl.14.19"></a><var>14.19</var>or the public employees police and fire retirement plan, whichever occurs last.<br/>
<a id="pl.14.20"></a><var>14.20</var><b>EFFECTIVE DATE.</b>This section is effective for policies issued after June 30, 2013.<br/>
<br/>
<a id="bill.2.6.0"></a><a id="pl.14.21"></a><var>14.21</var>    Sec. 6. Minnesota Statutes 2012, section 477A.011, subdivision 30, is amended to read:<br/>
<a id="pl.14.22"></a><var>14.22</var>    Subd. 30. <b>Pre-1940 housing percentage.</b> (a) Except as provided in paragraph (b), <br/>
<a id="pl.14.23"></a><var>14.23</var>"pre-1940 housing percentage" for a city is 100 times the most recent federal census count <br/>
<a id="pl.14.24"></a><var>14.24</var>by the United States Bureau of the Census of all housing units in the city built before <br/>
<a id="pl.14.25"></a><var>14.25</var>1940, divided by the total number of all housing units in the city. Housing units includes <br/>
<a id="pl.14.26"></a><var>14.26</var>both occupied and vacant housing units as defined by the federal census.<br/>
<a id="pl.14.27"></a><var>14.27</var>    (b) For the city of East Grand Forks only, "pre-1940 housing percentage" is equal <br/>
<a id="pl.14.28"></a><var>14.28</var>to 100 times the 1990 federal census count of all housing units in the city built before <br/>
<a id="pl.14.29"></a><var>14.29</var>1940, divided by the most recent count by the United States Bureau of the Census of all <br/>
<a id="pl.14.30"></a><var>14.30</var>housing units in the city. Housing units includes both occupied and vacant housing units <br/>
<a id="pl.14.31"></a><var>14.31</var>as defined by the federal census.<br/>
<a id="pl.14.32"></a><var>14.32</var><b>EFFECTIVE DATE.</b>This section is effective for aids payable in calendar year <br/>
<a id="pl.14.33"></a><var>14.33</var>2014 and thereafter.<br/>
<br/>
<a id="bill.2.7.0"></a><a id="pl.15.1"></a><var>15.1</var>    Sec. 7. Minnesota Statutes 2012, section 477A.011, is amended by adding a <br/>
<a id="pl.15.2"></a><var>15.2</var>subdivision to read:<br/>
<a id="pl.15.3"></a><var>15.3</var>    Subd. 30a. <b>Percent of housing built between 1940 and 1970.</b> "Percent of housing <br/>
<a id="pl.15.4"></a><var>15.4</var>built between 1940 and 1970" is equal to 100 times the most recent count by the United <br/>
<a id="pl.15.5"></a><var>15.5</var>States Bureau of the Census of all housing units in the city built after 1939 but before <br/>
<a id="pl.15.6"></a><var>15.6</var>1970, divided by the total number of all housing units in the city. Housing units includes <br/>
<a id="pl.15.7"></a><var>15.7</var>both occupied and vacant housing units as defined by the federal census.<br/>
<a id="pl.15.8"></a><var>15.8</var><b>EFFECTIVE DATE.</b>This section is effective for aids payable in calendar year <br/>
<a id="pl.15.9"></a><var>15.9</var>2014 and thereafter.<br/>
<br/>
<a id="bill.2.8.0"></a><a id="pl.15.10"></a><var>15.10</var>    Sec. 8. Minnesota Statutes 2012, section 477A.011, subdivision 34, is amended to read:<br/>
<a id="pl.15.11"></a><var>15.11</var>    Subd. 34. <b>City revenue need.</b> (a) For a city with a population equal to or greater <br/>
<a id="pl.15.12"></a><var>15.12</var>than 2,500 10,000, "city revenue need" is the greater of 285 or 1.15 times the sum of (1) <br/>
<a id="pl.15.13"></a><var>15.13</var>5.0734098 4.59 times the pre-1940 housing percentage; plus (2) 19.141678 times the <br/>
<a id="pl.15.14"></a><var>15.14</var>population decline percentage 0.622 times the percent of housing built between 1940 and <br/>
<a id="pl.15.15"></a><var>15.15</var>1970; plus (3) 2504.06334 times the road accidents factor 169.415 times the jobs per <br/>
<a id="pl.15.16"></a><var>15.16</var>capita; plus (4) 355.0547; minus (5) the metropolitan area factor; minus (6) 49.10638 <br/>
<a id="pl.15.17"></a><var>15.17</var>times the household size 307.664.<br/>
<a id="pl.15.18"></a><var>15.18</var>    (b) For a city with a population equal to or greater than 2,500 and less than 10,000, <br/>
<a id="pl.15.19"></a><var>15.19</var>"city revenue need" is 1.15 times the sum of (1) 572.62; plus (2) 5.026 times the pre-1940 <br/>
<a id="pl.15.20"></a><var>15.20</var>housing percentage; minus (3) 53.768 times household size; plus (4) 14.022 times peak <br/>
<a id="pl.15.21"></a><var>15.21</var>population decline.<br/>
<a id="pl.15.22"></a><var>15.22</var>    (b) (c) For a city with a population less than 2,500, "city revenue need" is the sum of <br/>
<a id="pl.15.23"></a><var>15.23</var>(1) 2.387 times the pre-1940 housing percentage; plus (2) 2.67591 times the commercial <br/>
<a id="pl.15.24"></a><var>15.24</var>industrial percentage; plus (3) 3.16042 times the population decline percentage; plus (4) <br/>
<a id="pl.15.25"></a><var>15.25</var>1.206 times the transformed population; minus (5) 62.772 410 plus 0.367 times the city's <br/>
<a id="pl.15.26"></a><var>15.26</var>population over 100. The city revenue need under this paragraph shall not exceed 630.<br/>
<a id="pl.15.27"></a><var>15.27</var>    (c) (d) For a city with a population of at least 2,500 or more and a population in one <br/>
<a id="pl.15.28"></a><var>15.28</var>of the most recently available five years that was less than 2,500, "city revenue need" <br/>
<a id="pl.15.29"></a><var>15.29</var>is the sum of (1) its city revenue need calculated under paragraph (a) multiplied by its <br/>
<a id="pl.15.30"></a><var>15.30</var>transition factor; plus (2) its city revenue need calculated under the formula in paragraph <br/>
<a id="pl.15.31"></a><var>15.31</var>(b) multiplied by the difference between one and its transition factor. For purposes of this <br/>
<a id="pl.15.32"></a><var>15.32</var>paragraph, a city's "transition factor" is equal to 0.2 multiplied by the number of years that <br/>
<a id="pl.15.33"></a><var>15.33</var>the city's population estimate has been 2,500 or more. This provision only applies for aids <br/>
<a id="pl.15.34"></a><var>15.34</var>payable in calendar years 2006 to 2008 to cities with a 2002 population of less than 2,500. <br/>
<a id="pl.15.35"></a><var>15.35</var>It applies to any city for aids payable in 2009 and thereafter but less than 3,000, the "city <br/>
<a id="pl.16.1"></a><var>16.1</var>revenue need" equals (1) the transition factor times the city's revenue need calculated in <br/>
<a id="pl.16.2"></a><var>16.2</var>paragraph (b) plus (2) 630 times the difference between one and the transition factor. For <br/>
<a id="pl.16.3"></a><var>16.3</var>a city with a population of at least 10,000 but less than 10,500, the "city revenue need" <br/>
<a id="pl.16.4"></a><var>16.4</var>equals (1) the transition factor times the city's revenue need calculated in paragraph (a) <br/>
<a id="pl.16.5"></a><var>16.5</var>plus (2) the city's revenue need calculated under the formula in paragraph (b) times the <br/>
<a id="pl.16.6"></a><var>16.6</var>difference between one and the transition factor. For purposes of this paragraph "transition <br/>
<a id="pl.16.7"></a><var>16.7</var>factor" is 0.2 percent times the amount that the city's population exceeds the minimum <br/>
<a id="pl.16.8"></a><var>16.8</var>threshold in either of the first two sentences.<br/>
<a id="pl.16.9"></a><var>16.9</var>    (d) (e) The city revenue need cannot be less than zero.<br/>
<a id="pl.16.10"></a><var>16.10</var>    (e) (f) For calendar year 2005 2015 and subsequent years, the city revenue need for <br/>
<a id="pl.16.11"></a><var>16.11</var>a city, as determined in paragraphs (a) to (d) (e), is multiplied by the ratio of the annual <br/>
<a id="pl.16.12"></a><var>16.12</var>implicit price deflator for government consumption expenditures and gross investment for <br/>
<a id="pl.16.13"></a><var>16.13</var>state and local governments as prepared by the United States Department of Commerce, <br/>
<a id="pl.16.14"></a><var>16.14</var>for the most recently available year to the 2003 2013 implicit price deflator for state <br/>
<a id="pl.16.15"></a><var>16.15</var>and local government purchases.<br/>
<a id="pl.16.16"></a><var>16.16</var><b>EFFECTIVE DATE.</b>This section is effective for aids payable in calendar year <br/>
<a id="pl.16.17"></a><var>16.17</var>2014 and thereafter.<br/>
<br/>
<a id="bill.2.9.0"></a><a id="pl.16.18"></a><var>16.18</var>    Sec. 9. Minnesota Statutes 2012, section 477A.011, subdivision 42, is amended to read:<br/>
<a id="pl.16.19"></a><var>16.19</var>    Subd. 42. <b>City jobs base</b><b> Jobs per capita</b><b>.</b> (a) "City jobs base" for a city with a <br/>
<a id="pl.16.20"></a><var>16.20</var>population of 5,000 or more is equal to the product of (1) $25.20, (2) the number of <br/>
<a id="pl.16.21"></a><var>16.21</var>jobs per capita in the city, and (3) its population. For cities with a population less than <br/>
<a id="pl.16.22"></a><var>16.22</var>5,000, the city jobs base is equal to zero. For a city receiving aid under 
<statute_ref>subdivision 36</statute_ref>, <br/>
<a id="pl.16.23"></a><var>16.23</var>paragraph (k), its city jobs base is reduced by the lesser of 36 percent of the amount of <br/>
<a id="pl.16.24"></a><var>16.24</var>aid received under that paragraph or $1,000,000. No city's city jobs base may exceed <br/>
<a id="pl.16.25"></a><var>16.25</var>$4,725,000 under this paragraph.<br/>
<a id="pl.16.26"></a><var>16.26</var>    (b) For calendar year 2010 and subsequent years, the city jobs base for a city, as <br/>
<a id="pl.16.27"></a><var>16.27</var>determined in paragraph (a), is multiplied by the ratio of the appropriation under section <br/>
<a id="pl.16.28"></a><var>16.28</var><statute_ref>477A.03, subdivision 2a</statute_ref>, for the year in which the aid is paid to the appropriation under <br/>
<a id="pl.16.29"></a><var>16.29</var>that section for aids payable in 2009.<br/>
<a id="pl.16.30"></a><var>16.30</var>    (c) For purposes of this subdivision, "Jobs per capita in the city" means (1) the <br/>
<a id="pl.16.31"></a><var>16.31</var>average annual number of employees in the city based on the data from the Quarterly <br/>
<a id="pl.16.32"></a><var>16.32</var>Census of Employment and Wages, as reported by the Department of Employment and <br/>
<a id="pl.16.33"></a><var>16.33</var>Economic Development, for the most recent calendar year available as of May 1, 2008<br/>
<a id="pl.16.34"></a><var>16.34</var> November 1 of every odd-numbered year, divided by (2) the city's population for the <br/>
<a id="pl.16.35"></a><var>16.35</var>same calendar year as the employment data. The commissioner of the Department of <br/>
<a id="pl.17.1"></a><var>17.1</var>Employment and Economic Development shall certify to the city the average annual <br/>
<a id="pl.17.2"></a><var>17.2</var>number of employees for each city by June 1, 2008 January 15, of every even-numbered <br/>
<a id="pl.17.3"></a><var>17.3</var>year beginning with January 15, 2014. A city may challenge an estimate under this <br/>
<a id="pl.17.4"></a><var>17.4</var>paragraph by filing its specific objection, including the names of employers that it feels <br/>
<a id="pl.17.5"></a><var>17.5</var>may have misreported data, in writing with the commissioner by June 20, 2008 December <br/>
<a id="pl.17.6"></a><var>17.6</var>1 of every odd-numbered year. The commissioner shall make every reasonable effort <br/>
<a id="pl.17.7"></a><var>17.7</var>to address the specific objection and adjust the data as necessary. The commissioner <br/>
<a id="pl.17.8"></a><var>17.8</var>shall certify the estimates of the annual employment to the commissioner of revenue by <br/>
<a id="pl.17.9"></a><var>17.9</var>July 15, 2008 January 15 of all even-numbered years, including any estimates still under <br/>
<a id="pl.17.10"></a><var>17.10</var>objection. For aids payable in 2014, "jobs per capita" shall be based on the annual number <br/>
<a id="pl.17.11"></a><var>17.11</var>of employees and population for calendar year 2010 without additional review.<br/>
<a id="pl.17.12"></a><var>17.12</var><b>EFFECTIVE DATE.</b>This section is effective for aids payable in calendar year <br/>
<a id="pl.17.13"></a><var>17.13</var>2014 and thereafter.<br/>
<br/>
<a id="bill.2.10.0"></a><a id="pl.17.14"></a><var>17.14</var>    Sec. 10. Minnesota Statutes 2012, section 477A.011, is amended by adding a <br/>
<a id="pl.17.15"></a><var>17.15</var>subdivision to read:<br/>
<a id="pl.17.16"></a><var>17.16</var>    Subd. 44. <b>Peak population decline.</b> "Peak population decline" is equal to 100 <br/>
<a id="pl.17.17"></a><var>17.17</var>times the difference between one and the ratio of the city's current population, to the <br/>
<a id="pl.17.18"></a><var>17.18</var>highest city population reported in a federal census from the 1970 census or later. "Peak <br/>
<a id="pl.17.19"></a><var>17.19</var>population decline" shall not be less than zero.<br/>
<a id="pl.17.20"></a><var>17.20</var><b>EFFECTIVE DATE.</b>This section is effective for aids payable in calendar year <br/>
<a id="pl.17.21"></a><var>17.21</var>2014 and thereafter.<br/>
<br/>
<a id="bill.2.11.0"></a><a id="pl.17.22"></a><var>17.22</var>    Sec. 11. Minnesota Statutes 2012, section 477A.013, subdivision 8, is amended to read:<br/>
<a id="pl.17.23"></a><var>17.23</var>    Subd. 8. <b>City formula aid.</b> (a) For aids payable in 2014 only, the formula aid for <br/>
<a id="pl.17.24"></a><var>17.24</var>a city is equal to the lesser of its unmet need or the sum of (1) its 2013 certified aid and <br/>
<a id="pl.17.25"></a><var>17.25</var>(2) the product of (i) the difference between its unmet need and its 2013 certified aid <br/>
<a id="pl.17.26"></a><var>17.26</var>and (ii) the aid gap percentage.<br/>
<a id="pl.17.27"></a><var>17.27</var>    (b) For aids payable in 2015 and thereafter, the formula aid for a city is equal to <br/>
<a id="pl.17.28"></a><var>17.28</var>the sum of (1) its city jobs base, (2) its small city aid base, and (3) the need increase <br/>
<a id="pl.17.29"></a><var>17.29</var>percentage multiplied by the average of its unmet need for the most recently available two <br/>
<a id="pl.17.30"></a><var>17.30</var>years formula aid in the previous year and (2) the product of (i) the difference between <br/>
<a id="pl.17.31"></a><var>17.31</var>its unmet need and its certified aid in the previous year under subdivision 9, and (ii) <br/>
<a id="pl.17.32"></a><var>17.32</var>the aid gap percentage.<br/>
<a id="pl.18.1"></a><var>18.1</var>No city may have a formula aid amount less than zero. The need increase aid gap<br/>
<a id="pl.18.2"></a><var>18.2</var> percentage must be the same for all cities.<br/>
<a id="pl.18.3"></a><var>18.3</var>    The applicable need increase aid gap percentage must be calculated by the <br/>
<a id="pl.18.4"></a><var>18.4</var>Department of Revenue so that the total of the aid under subdivision 9 equals the total <br/>
<a id="pl.18.5"></a><var>18.5</var>amount available for aid under section 
         <statute_ref>477A.03</statute_ref>. Data used in calculating aids to cities <br/>
<a id="pl.18.6"></a><var>18.6</var>under sections 
         <statute_ref>477A.011</statute_ref> to 
         <statute_ref>477A.013</statute_ref> shall be the most recently available data as of <br/>
<a id="pl.18.7"></a><var>18.7</var>January 1 in the year in which the aid is calculated except that the data used to compute "net <br/>
<a id="pl.18.8"></a><var>18.8</var>levy" in subdivision 9 is the data most recently available at the time of the aid computation.<br/>
<a id="pl.18.9"></a><var>18.9</var><b>EFFECTIVE DATE.</b>This section is effective for aids payable in calendar year <br/>
<a id="pl.18.10"></a><var>18.10</var>2014 and thereafter.<br/>
<br/>
<a id="bill.2.12.0"></a><a id="pl.18.11"></a><var>18.11</var>    Sec. 12. Minnesota Statutes 2012, section 477A.013, subdivision 9, is amended to read:<br/>
<a id="pl.18.12"></a><var>18.12</var>    Subd. 9. <b>City aid distribution.</b> (a) In calendar year 2013  2014 and thereafter, each <br/>
<a id="pl.18.13"></a><var>18.13</var>city shall receive an aid distribution equal to the sum of (1) the city formula aid under <br/>
<a id="pl.18.14"></a><var>18.14</var>subdivision 8, and (2) its city aid base aid adjustment under subdivision 13.<br/>
<a id="pl.18.15"></a><var>18.15</var>    (b) For aids payable in 2013 and 2014 only, the total aid in the previous year for <br/>
<a id="pl.18.16"></a><var>18.16</var>any city shall mean the amount of aid it was certified to receive for aids payable in 2012 <br/>
<a id="pl.18.17"></a><var>18.17</var>under this section. For aids payable in 2015 and thereafter, the total aid in the previous <br/>
<a id="pl.18.18"></a><var>18.18</var>year for any city means the amount of aid it was certified to receive under this section in <br/>
<a id="pl.18.19"></a><var>18.19</var>the previous payable year.<br/>
<a id="pl.18.20"></a><var>18.20</var>    (c) For aids payable in 2010 and thereafter, the total aid for any city shall not exceed <br/>
<a id="pl.18.21"></a><var>18.21</var>the sum of (1) ten percent of the city's net levy for the year prior to the aid distribution <br/>
<a id="pl.18.22"></a><var>18.22</var>plus (2) its total aid in the previous year. For aids payable in 2009 and thereafter, the total <br/>
<a id="pl.18.23"></a><var>18.23</var>aid for any city with a population of 2,500 or more may not be less than its total aid under <br/>
<a id="pl.18.24"></a><var>18.24</var>this section in the previous year minus the lesser of $10 multiplied by its population, or ten <br/>
<a id="pl.18.25"></a><var>18.25</var>percent of its net levy in the year prior to the aid distribution.<br/>
<a id="pl.18.26"></a><var>18.26</var>    (d) (b) For aids payable in 2014 only, the total aid for a city may not be less than the <br/>
<a id="pl.18.27"></a><var>18.27</var>amount it was certified to receive in 2013. For aids payable in 2010 2015 and thereafter, <br/>
<a id="pl.18.28"></a><var>18.28</var>the total aid for a city with a population less than 2,500 must not be less than the amount <br/>
<a id="pl.18.29"></a><var>18.29</var>it was certified to receive in the previous year minus the lesser of $10 multiplied by its <br/>
<a id="pl.18.30"></a><var>18.30</var>population, or five percent of its 2003 certified aid amount. For aids payable in 2009 only, <br/>
<a id="pl.18.31"></a><var>18.31</var>the total aid for a city with a population less than 2,500 must not be less than what it <br/>
<a id="pl.18.32"></a><var>18.32</var>received under this section in the previous year unless its total aid in calendar year 2008 <br/>
<a id="pl.18.33"></a><var>18.33</var>was aid under section 
<statute_ref>477A.011</statute_ref>, subdivision 36, paragraph (s), in which case its minimum <br/>
<a id="pl.18.34"></a><var>18.34</var>aid is zero its net levy in the year prior to the aid distribution.<br/>
<a id="pl.19.1"></a><var>19.1</var>    (e) A city's aid loss under this section may not exceed $300,000 in any year in <br/>
<a id="pl.19.2"></a><var>19.2</var>which the total city aid appropriation under section 
<statute_ref>477A.03, subdivision 2a</statute_ref>, is equal or <br/>
<a id="pl.19.3"></a><var>19.3</var>greater than the appropriation under that subdivision in the previous year, unless the <br/>
<a id="pl.19.4"></a><var>19.4</var>city has an adjustment in its city net tax capacity under the process described in section <br/>
<a id="pl.19.5"></a><var>19.5</var><statute_ref>469.174, subdivision 28</statute_ref>.<br/>
<a id="pl.19.6"></a><var>19.6</var>    (f) If a city's net tax capacity used in calculating aid under this section has decreased <br/>
<a id="pl.19.7"></a><var>19.7</var>in any year by more than 25 percent from its net tax capacity in the previous year due to <br/>
<a id="pl.19.8"></a><var>19.8</var>property becoming tax-exempt Indian land, the city's maximum allowed aid increase <br/>
<a id="pl.19.9"></a><var>19.9</var>under paragraph (c) shall be increased by an amount equal to (1) the city's tax rate in the <br/>
<a id="pl.19.10"></a><var>19.10</var>year of the aid calculation, multiplied by (2) the amount of its net tax capacity decrease <br/>
<a id="pl.19.11"></a><var>19.11</var>resulting from the property becoming tax exempt.<br/>
<a id="pl.19.12"></a><var>19.12</var><b>EFFECTIVE DATE.</b>This section is effective for aids payable in calendar year <br/>
<a id="pl.19.13"></a><var>19.13</var>2014 and thereafter.<br/>
<br/>
<a id="bill.2.13.0"></a><a id="pl.19.14"></a><var>19.14</var>    Sec. 13. Minnesota Statutes 2012, section 477A.013, is amended by adding a <br/>
<a id="pl.19.15"></a><var>19.15</var>subdivision to read:<br/>
<a id="pl.19.16"></a><var>19.16</var>    Subd. 13. <b>Certified aid adjustments.</b> (a) A city that received an aid base increase <br/>
<a id="pl.19.17"></a><var>19.17</var>under Minnesota Statutes 2012, section 477A.011, subdivision 36, paragraph (e), shall <br/>
<a id="pl.19.18"></a><var>19.18</var>have its total aid under subdivision 9 increased by an amount equal to $150,000 for aids <br/>
<a id="pl.19.19"></a><var>19.19</var>payable in 2014 through 2018.<br/>
<a id="pl.19.20"></a><var>19.20</var>    (b) A city that received a temporary aid increase under Minnesota Statutes 2012, <br/>
<a id="pl.19.21"></a><var>19.21</var>section 477A.011, subdivision 36, paragraph (m), (v), or (w), shall have its total aid under <br/>
<a id="pl.19.22"></a><var>19.22</var>subdivision 9 decreased by the amount of its aid base increase under those paragraphs in <br/>
<a id="pl.19.23"></a><var>19.23</var>calendar year 2013.<br/>
<br/>
<a id="bill.2.14.0"></a><a id="pl.19.24"></a><var>19.24</var>    Sec. 14. Minnesota Statutes 2012, section 477A.03, subdivision 2a, is amended to read:<br/>
<a id="pl.19.25"></a><var>19.25</var>    Subd. 2a. <b>Cities.</b> For aids payable in 2013 2014 and thereafter, the total aid paid <br/>
<a id="pl.19.26"></a><var>19.26</var>under section 
         <statute_ref>477A.013, subdivision 9</statute_ref>, is $426,438,012 $486,438,012, multiplied by the <br/>
<a id="pl.19.27"></a><var>19.27</var>inflation adjustment under subdivision 6.<br/>
<a id="pl.19.28"></a><var>19.28</var><b>EFFECTIVE DATE.</b>This section is effective for aids payable in calendar year <br/>
<a id="pl.19.29"></a><var>19.29</var>2014 and thereafter.<br/>
<br/>
<a id="bill.2.15.0"></a><a id="pl.19.30"></a><var>19.30</var>    Sec. 15. Minnesota Statutes 2012, section 477A.03, subdivision 2b, is amended to read:<br/>
<a id="pl.19.31"></a><var>19.31</var>    Subd. 2b. <b>Counties.</b> (a) For aids payable in 2013 2014 and thereafter, the total aid <br/>
<a id="pl.19.32"></a><var>19.32</var>payable under section 
         <statute_ref>477A.0124, subdivision 3</statute_ref>, is $80,795,000 $95,795,000. Each <br/>
<a id="pl.20.1"></a><var>20.1</var>calendar year, $500,000 of this appropriation shall be retained by the commissioner <br/>
<a id="pl.20.2"></a><var>20.2</var>of revenue to make reimbursements to the commissioner of management and budget <br/>
<a id="pl.20.3"></a><var>20.3</var>for payments made under section 
         <statute_ref>611.27</statute_ref>. For calendar year 2004, the amount shall <br/>
<a id="pl.20.4"></a><var>20.4</var>be in addition to the payments authorized under section 
<statute_ref>477A.0124, subdivision 1</statute_ref>. <br/>
<a id="pl.20.5"></a><var>20.5</var>For calendar year 2005 and subsequent years, the amount shall be deducted from the <br/>
<a id="pl.20.6"></a><var>20.6</var>appropriation under this paragraph. The reimbursements shall be to defray the additional <br/>
<a id="pl.20.7"></a><var>20.7</var>costs associated with court-ordered counsel under section 
         <statute_ref>611.27</statute_ref>. Any retained amounts <br/>
<a id="pl.20.8"></a><var>20.8</var>not used for reimbursement in a year shall be included in the next distribution of county <br/>
<a id="pl.20.9"></a><var>20.9</var>need aid that is certified to the county auditors for the purpose of property tax reduction <br/>
<a id="pl.20.10"></a><var>20.10</var>for the next taxes payable year.<br/>
<a id="pl.20.11"></a><var>20.11</var>    (b) For aids payable in 2013 2014 and thereafter, the total aid under section <br/>
<statute_ref><a id="pl.20.12"></a><var>20.12</var>477A.0124, subdivision 4
         </statute_ref>, is $84,909,575 $99,909,575. The commissioner of management <br/>
<a id="pl.20.13"></a><var>20.13</var>and budget shall bill the commissioner of revenue for the cost of preparation of local impact <br/>
<a id="pl.20.14"></a><var>20.14</var>notes as required by section 
         <statute_ref>3.987</statute_ref>, not to exceed $207,000 in each fiscal year 2004 and <br/>
<a id="pl.20.15"></a><var>20.15</var>thereafter. The commissioner of education shall bill the commissioner of revenue for the <br/>
<a id="pl.20.16"></a><var>20.16</var>cost of preparation of local impact notes for school districts as required by section 
         <statute_ref>3.987</statute_ref>, <br/>
<a id="pl.20.17"></a><var>20.17</var>not to exceed $7,000 in each fiscal year 2004 and thereafter. The commissioner of revenue <br/>
<a id="pl.20.18"></a><var>20.18</var>shall deduct the amounts billed under this paragraph from the appropriation under this <br/>
<a id="pl.20.19"></a><var>20.19</var>paragraph. The amounts deducted are appropriated to the commissioner of management <br/>
<a id="pl.20.20"></a><var>20.20</var>and budget and the commissioner of education for the preparation of local impact notes.<br/>
<a id="pl.20.21"></a><var>20.21</var><b>EFFECTIVE DATE.</b>This section is effective for aid payable in 2014 and thereafter.<br/>
<br/>
<a id="bill.2.16.0"></a><a id="pl.20.22"></a><var>20.22</var>    Sec. 16. Minnesota Statutes 2012, section 477A.03, is amended by adding a <br/>
<a id="pl.20.23"></a><var>20.23</var>subdivision to read:<br/>
<a id="pl.20.24"></a><var>20.24</var>    Subd. 6. <b>Inflation adjustment.</b> In 2015 and thereafter, the amount paid under <br/>
<a id="pl.20.25"></a><var>20.25</var>subdivision 2a shall be increased by an amount equal to one plus the sum of (1) the <br/>
<a id="pl.20.26"></a><var>20.26</var>percentage increase in the implicit price deflator for government expenditures and gross <br/>
<a id="pl.20.27"></a><var>20.27</var>investment for state and local government purchases as prepared by the United States <br/>
<a id="pl.20.28"></a><var>20.28</var>Department of Commerce, for the 12-month period ending March 31 of the previous <br/>
<a id="pl.20.29"></a><var>20.29</var>calendar year, and (2) the percentage increase in total city population for the most recently <br/>
<a id="pl.20.30"></a><var>20.30</var>available years as of January 15 of the current year. The percentage increase in this <br/>
<a id="pl.20.31"></a><var>20.31</var>subdivision shall not be less than 2.5 percent or greater than five percent.<br/>
<a id="pl.20.32"></a><var>20.32</var><b>EFFECTIVE DATE.</b>This section is effective for aids payable in calendar year <br/>
<a id="pl.20.33"></a><var>20.33</var>2014 and thereafter.<br/>
<br/>
<a id="bill.2.17.0"></a><a id="pl.21.1"></a><var>21.1</var>    Sec. 17. <b> REPEALER.</b><br/>
<a id="pl.21.2"></a><var>21.2</var>(a) Minnesota Statutes 2012, sections 477A.011, subdivisions 2a, 19, 29, 31, 32, 33, <br/>
<a id="pl.21.3"></a><var>21.3</var>36, 39, 40, 41, and 42; 477A.013, subdivisions 11 and 12; 477A.0133; and 477A.0134, are <br/>
<a id="pl.21.4"></a><var>21.4</var>repealed.<br/>
<a id="pl.21.5"></a><var>21.5</var>(b) Laws 2006, chapter 259, article 11, section 3, as amended by Laws 2008, chapter <br/>
<a id="pl.21.6"></a><var>21.6</var>154, article 1, section 4, is repealed.<br/>
<a id="pl.21.7"></a><var>21.7</var><b>EFFECTIVE DATE.</b>This section is effective for aids payable in calendar year <br/>
<a id="pl.21.8"></a><var>21.8</var>2014 and thereafter.<br/>
<br/>
<a id="bill.3.0.0"></a>

<a id="bill.3.1.0"></a><a id="pl.21.11"></a><var>21.11</var>    Section 1. Minnesota Statutes 2012, section 103B.102, subdivision 3, is amended to <br/>
<a id="pl.21.12"></a><var>21.12</var>read:<br/>
<a id="pl.21.13"></a><var>21.13</var>    Subd. 3. <b>Evaluation and report.</b> The Board of Water and Soil Resources shall <br/>
<a id="pl.21.14"></a><var>21.14</var>evaluate performance, financial, and activity information for each local water management <br/>
<a id="pl.21.15"></a><var>21.15</var>entity. The board shall evaluate the entities' progress in accomplishing their adopted plans <br/>
<a id="pl.21.16"></a><var>21.16</var>on a regular basis as determined by the board based on budget and operations of the local <br/>
<a id="pl.21.17"></a><var>21.17</var>water management entity, but not less than once every five ten years. The board shall <br/>
<a id="pl.21.18"></a><var>21.18</var>maintain a summary of local water management entity performance on the board's Web site. <br/>
<a id="pl.21.19"></a><var>21.19</var>Beginning February 1, 2008, and annually thereafter, the board shall provide an analysis <br/>
<a id="pl.21.20"></a><var>21.20</var>of local water management entity performance to the chairs of the house of representatives <br/>
<a id="pl.21.21"></a><var>21.21</var>and senate committees having jurisdiction over environment and natural resources policy.<br/>
<br/>
<a id="bill.3.2.0"></a><a id="pl.21.22"></a><var>21.22</var>    Sec. 2. Minnesota Statutes 2012, section 103B.335, is amended to read:<br/>
<a id="pl.21.23"></a><var>21.23</var><b>103B.335 TAX LEVY AUTHORITY.</b><br/>
<a id="pl.21.24"></a><var>21.24</var>    Subdivision 1. <b>Local water planning and management.</b> The governing body of <br/>
<a id="pl.21.25"></a><var>21.25</var>any county, municipality, or township may levy a tax in an amount required to implement <br/>
<a id="pl.21.26"></a><var>21.26</var>sections 
         <statute_ref>103B.301</statute_ref> to 
         <statute_ref>103B.355</statute_ref> or a comprehensive watershed management plan as <br/>
<a id="pl.21.27"></a><var>21.27</var>defined in section 103B.3363.<br/>
<a id="pl.21.28"></a><var>21.28</var>    Subd. 2. <b>Priority programs; conservation and watershed districts.</b> A county <br/>
<a id="pl.21.29"></a><var>21.29</var>may levy amounts necessary to pay the reasonable increased costs to soil and water <br/>
<a id="pl.21.30"></a><var>21.30</var>conservation districts and watershed districts of administering and implementing priority <br/>
<a id="pl.21.31"></a><var>21.31</var>programs identified in an approved and adopted plan or a comprehensive watershed <br/>
<a id="pl.21.32"></a><var>21.32</var>management plan as defined in section 103B.3363.<br/>
<br/>
<a id="bill.3.3.0"></a><a id="pl.22.1"></a><var>22.1</var>    Sec. 3. Minnesota Statutes 2012, section 103B.3369, subdivision 5, is amended to read:<br/>
<a id="pl.22.2"></a><var>22.2</var>    Subd. 5. <b>Financial assistance.</b> A base grant may be awarded to a county that <br/>
<a id="pl.22.3"></a><var>22.3</var>provides a match utilizing a water implementation tax or other local source. A water <br/>
<a id="pl.22.4"></a><var>22.4</var>implementation tax that a county intends to use as a match to the base grant must be <br/>
<a id="pl.22.5"></a><var>22.5</var>levied at a rate sufficient to generate a minimum amount determined by the board. <br/>
<a id="pl.22.6"></a><var>22.6</var>The board may award performance-based grants to local units of government that are <br/>
<a id="pl.22.7"></a><var>22.7</var>responsible for implementing elements of applicable portions of watershed management <br/>
<a id="pl.22.8"></a><var>22.8</var>plans, comprehensive plans, local water management plans, or comprehensive watershed <br/>
<a id="pl.22.9"></a><var>22.9</var>management plans, developed or amended, adopted and approved, according to chapter <br/>
<a id="pl.22.10"></a><var>22.10</var>103B, 103C, or 103D. Upon request by a local government unit, the board may also <br/>
<a id="pl.22.11"></a><var>22.11</var>award performance-based grants to local units of government to carry out TMDL <br/>
<a id="pl.22.12"></a><var>22.12</var>implementation plans as provided in chapter 114D, if the TMDL implementation plan has <br/>
<a id="pl.22.13"></a><var>22.13</var>been incorporated into the local water management plan according to the procedures for <br/>
<a id="pl.22.14"></a><var>22.14</var>approving comprehensive plans, watershed management plans, local water management <br/>
<a id="pl.22.15"></a><var>22.15</var>plans, or comprehensive watershed management plans under chapter 103B, 103C, or <br/>
<a id="pl.22.16"></a><var>22.16</var>103D, or if the TMDL implementation plan has undergone a public review process. <br/>
<a id="pl.22.17"></a><var>22.17</var>Notwithstanding section 
         <statute_ref>16A.41</statute_ref>, the board may award performance-based grants on an <br/>
<a id="pl.22.18"></a><var>22.18</var>advanced basis. The fee authorized in section 40A.152 may be used as a local match <br/>
<a id="pl.22.19"></a><var>22.19</var>or as a supplement to state funding to accomplish implementation of comprehensive <br/>
<a id="pl.22.20"></a><var>22.20</var>plans, watershed management plans, local water management plans, or comprehensive <br/>
<a id="pl.22.21"></a><var>22.21</var>watershed management plans under chapter 103B, 103C, or 103D.<br/>
<br/>
<a id="bill.3.4.0"></a><a id="pl.22.22"></a><var>22.22</var>    Sec. 4. Minnesota Statutes 2012, section 103C.501, subdivision 4, is amended to read:<br/>
<a id="pl.22.23"></a><var>22.23</var>    Subd. 4. <b>Cost-sharing funds.</b> (a) The state board shall allocate at least 70 percent <br/>
<a id="pl.22.24"></a><var>22.24</var>of cost-sharing funds to areas with high priority erosion, sedimentation, or water quality <br/>
<a id="pl.22.25"></a><var>22.25</var>problems or water quantity problems due to altered hydrology. The areas must be selected <br/>
<a id="pl.22.26"></a><var>22.26</var>based on the statewide priorities established by the state board. <br/>
<a id="pl.22.27"></a><var>22.27</var>    (b) The allocated funds must be used for conservation practices for high priority <br/>
<a id="pl.22.28"></a><var>22.28</var>problems identified in the comprehensive and annual work plans of the districts, for <br/>
<a id="pl.22.29"></a><var>22.29</var>the technical assistance portion of the grant funds to leverage federal or other nonstate <br/>
<a id="pl.22.30"></a><var>22.30</var>funds, or to address high-priority needs identified in local water management plans or <br/>
<a id="pl.22.31"></a><var>22.31</var>comprehensive watershed management plans.<br/>
<a id="pl.22.32"></a><var>22.32</var>    (b) The remaining cost-sharing funds may be allocated to districts as follows:<br/>
<a id="pl.22.33"></a><var>22.33</var>    (1) for technical and administrative assistance, not more than 20 percent of the <br/>
<a id="pl.22.34"></a><var>22.34</var>funds; and<br/>
<a id="pl.23.1"></a><var>23.1</var>    (2) for conservation practices for lower priority erosion, sedimentation, or water <br/>
<a id="pl.23.2"></a><var>23.2</var>quality problems.<br/>
<br/>
<a id="bill.3.5.0"></a><a id="pl.23.3"></a><var>23.3</var>    Sec. 5. Minnesota Statutes 2012, section 103F.405, subdivision 1, is amended to read:<br/>
<a id="pl.23.4"></a><var>23.4</var>    Subdivision 1. <b>Authority.</b> Each statutory or home rule charter city, town, or <br/>
<a id="pl.23.5"></a><var>23.5</var>county that has planning and zoning authority under sections 
         <statute_ref>366.10</statute_ref> to 
         <statute_ref>366.19</statute_ref>, 
         <statute_ref>394.21</statute_ref> <br/>
<a id="pl.23.6"></a><var>23.6</var>to 
         <statute_ref>394.37</statute_ref>, or 
         <statute_ref>462.351</statute_ref> to 
         <statute_ref>462.365</statute_ref> is encouraged to adopt a soil loss ordinance. The soil <br/>
<a id="pl.23.7"></a><var>23.7</var>loss ordinance must use the soil loss tolerance for each soil series described in the United <br/>
<a id="pl.23.8"></a><var>23.8</var>States Soil Natural Resources Conservation Service Field Office Technical Guide, or <br/>
<a id="pl.23.9"></a><var>23.9</var>another method approved by the Board of Water and Soil Resources, to determine the <br/>
<a id="pl.23.10"></a><var>23.10</var>soil loss limits, but the soil loss limits must be attainable by the best practicable soil <br/>
<a id="pl.23.11"></a><var>23.11</var>conservation practice. Ordinances adopted by local governments within the metropolitan <br/>
<a id="pl.23.12"></a><var>23.12</var>area defined in section 
<statute_ref>473.121</statute_ref> must be consistent with local water management plans <br/>
<a id="pl.23.13"></a><var>23.13</var>adopted under section 
<statute_ref>103B.235</statute_ref> a comprehensive plan, local water management plan, or <br/>
<a id="pl.23.14"></a><var>23.14</var>watershed management plan developed or amended, adopted and approved, according <br/>
<a id="pl.23.15"></a><var>23.15</var>to chapter 103B, 103C, or 103D.<br/>
<br/>
<a id="bill.3.6.0"></a><a id="pl.23.16"></a><var>23.16</var>    Sec. 6. Minnesota Statutes 2012, section 272.02, is amended by adding a subdivision <br/>
<a id="pl.23.17"></a><var>23.17</var>to read:<br/>
<a id="pl.23.18"></a><var>23.18</var>    Subd. 98. <b>Certain property owned by an Indian tribe.</b> (a) Property is exempt that:<br/>
<a id="pl.23.19"></a><var>23.19</var>    (1) was classified as 3a under section 273.13, subdivision 24, for taxes payable <br/>
<a id="pl.23.20"></a><var>23.20</var>in 2013;<br/>
<a id="pl.23.21"></a><var>23.21</var>    (2) is located in a city of the first class with a population greater than 300,000 as of <br/>
<a id="pl.23.22"></a><var>23.22</var>the 2010 federal census;<br/>
<a id="pl.23.23"></a><var>23.23</var>    (3) is owned and occupied directly or indirectly by a federally recognized Indian <br/>
<a id="pl.23.24"></a><var>23.24</var>tribe within the state of Minnesota; and<br/>
<a id="pl.23.25"></a><var>23.25</var>    (4) is used exclusively for tribal purposes or institutions of public charity as defined <br/>
<a id="pl.23.26"></a><var>23.26</var>in subdivision 7.<br/>
<a id="pl.23.27"></a><var>23.27</var>    (b) For purposes of this subdivision, a "tribal purpose" is a public purpose as defined <br/>
<a id="pl.23.28"></a><var>23.28</var>in subdivision 8 and includes noncommercial tribal government activities. Property <br/>
<a id="pl.23.29"></a><var>23.29</var>that qualifies for the exemption under this subdivision is limited to no more than two <br/>
<a id="pl.23.30"></a><var>23.30</var>contiguous parcels and structures that do not exceed in the aggregate 20,000 square feet. <br/>
<a id="pl.23.31"></a><var>23.31</var>Property acquired for single-family housing, market-rate apartments, agriculture, or <br/>
<a id="pl.23.32"></a><var>23.32</var>forestry does not qualify for this exemption. The exemption created by this subdivision <br/>
<a id="pl.23.33"></a><var>23.33</var>expires with taxes payable in 2024.<br/>
<a id="pl.23.34"></a><var>23.34</var><b>EFFECTIVE DATE.</b>This section is effective beginning with taxes payable in 2014.<br/>
<br/>
<a id="bill.3.7.0"></a><a id="pl.24.1"></a><var>24.1</var>    Sec. 7. Minnesota Statutes 2012, section 272.02, is amended by adding a subdivision <br/>
<a id="pl.24.2"></a><var>24.2</var>to read:<br/>
<a id="pl.24.3"></a><var>24.3</var>    Subd. 99. <b>Public entertainment facility; property tax exemption; special </b><br/>
<a id="pl.24.4"></a><var>24.4</var><b>assessment.</b> Any real or personal property acquired, owned, leased, controlled, used, <br/>
<a id="pl.24.5"></a><var>24.5</var>or occupied by a first class city for the primary purpose of providing an arena for a <br/>
<a id="pl.24.6"></a><var>24.6</var>professional basketball team is declared to be acquired, owned, leased, controlled, used, <br/>
<a id="pl.24.7"></a><var>24.7</var>and occupied for public, governmental, and municipal purposes, and is exempt from ad <br/>
<a id="pl.24.8"></a><var>24.8</var>valorem taxation by the state or any political subdivision of the state, provided that the <br/>
<a id="pl.24.9"></a><var>24.9</var>properties are subject to special assessments levied by a political subdivision for a local <br/>
<a id="pl.24.10"></a><var>24.10</var>improvement in amounts proportionate to and not exceeding the special benefit received <br/>
<a id="pl.24.11"></a><var>24.11</var>by the properties from the improvement. In determining the special benefit received by <br/>
<a id="pl.24.12"></a><var>24.12</var>the properties, no possible use of any of the properties in any manner different from their <br/>
<a id="pl.24.13"></a><var>24.13</var>intended use for providing a professional basketball arena at the time may be considered. <br/>
<a id="pl.24.14"></a><var>24.14</var>Notwithstanding section 
<statute_ref>272.01</statute_ref>, subdivision 2, or 
<statute_ref>273.19</statute_ref>, real or personal property subject <br/>
<a id="pl.24.15"></a><var>24.15</var>to a lease or use agreement between the city and another person for uses related to the <br/>
<a id="pl.24.16"></a><var>24.16</var>purposes of the operation of the arena is exempt from taxation regardless of the length of <br/>
<a id="pl.24.17"></a><var>24.17</var>the lease or use agreement. This section, insofar as it provides an exemption or special <br/>
<a id="pl.24.18"></a><var>24.18</var>treatment, does not apply to any real property that is leased for residential, business, or <br/>
<a id="pl.24.19"></a><var>24.19</var>commercial development, or to a restaurant that is open for general business more than <br/>
<a id="pl.24.20"></a><var>24.20</var>200 days a year, or for other purposes different from those necessary to the provision <br/>
<a id="pl.24.21"></a><var>24.21</var>and operation of the arena.<br/>
<a id="pl.24.22"></a><var>24.22</var><b>EFFECTIVE DATE.</b>This section is effective beginning with assessment year 2013.<br/>
<br/>
<a id="bill.3.8.0"></a><a id="pl.24.23"></a><var>24.23</var>    Sec. 8. Minnesota Statutes 2012, section 272.02, is amended by adding a subdivision <br/>
<a id="pl.24.24"></a><var>24.24</var>to read:<br/>
<a id="pl.24.25"></a><var>24.25</var>    Subd. 100. <b>Public entertainment facility; property tax exemption; special </b><br/>
<a id="pl.24.26"></a><var>24.26</var><b>assessment.</b> Any real or personal property acquired, owned, leased, controlled, used, <br/>
<a id="pl.24.27"></a><var>24.27</var>or occupied by a first class city for the primary purpose of providing a ball park for a <br/>
<a id="pl.24.28"></a><var>24.28</var>minor league baseball team is declared to be acquired, owned, leased, controlled, used, <br/>
<a id="pl.24.29"></a><var>24.29</var>and occupied for public, governmental, and municipal purposes, and is exempt from ad <br/>
<a id="pl.24.30"></a><var>24.30</var>valorem taxation by the state or any political subdivision of the state, provided that the <br/>
<a id="pl.24.31"></a><var>24.31</var>properties are subject to special assessments levied by a political subdivision for a local <br/>
<a id="pl.24.32"></a><var>24.32</var>improvement in amounts proportionate to and not exceeding the special benefit received <br/>
<a id="pl.24.33"></a><var>24.33</var>by the properties from the improvement. In determining the special benefit received by <br/>
<a id="pl.24.34"></a><var>24.34</var>the properties, no possible use of any of the properties in any manner different from <br/>
<a id="pl.24.35"></a><var>24.35</var>their intended use for providing a minor league ballpark at the time may be considered. <br/>
<a id="pl.25.1"></a><var>25.1</var>Notwithstanding section 
<statute_ref>272.01</statute_ref>, subdivision 2, or 
<statute_ref>273.19</statute_ref>, real or personal property <br/>
<a id="pl.25.2"></a><var>25.2</var>subject to a lease or use agreement between the city and another person for uses related to <br/>
<a id="pl.25.3"></a><var>25.3</var>the purposes of the operation of the ballpark and related parking facilities is exempt from <br/>
<a id="pl.25.4"></a><var>25.4</var>taxation regardless of the length of the lease or use agreement. This section, insofar as it <br/>
<a id="pl.25.5"></a><var>25.5</var>provides an exemption or special treatment, does not apply to any real property that is <br/>
<a id="pl.25.6"></a><var>25.6</var>leased for residential, business, or commercial development or other purposes different <br/>
<a id="pl.25.7"></a><var>25.7</var>from those necessary to the provision and operation of the ball park.<br/>
<a id="pl.25.8"></a><var>25.8</var><b>EFFECTIVE DATE.</b>This section is effective beginning with assessment year 2013.<br/>
<br/>
<a id="bill.3.9.0"></a><a id="pl.25.9"></a><var>25.9</var>    Sec. 9. Minnesota Statutes 2012, section 273.11, is amended by adding a subdivision to <br/>
<a id="pl.25.10"></a><var>25.10</var>read:<br/>
<a id="pl.25.11"></a><var>25.11</var>    Subd. 24. <b>Valuation limit for class 4d property.</b> Notwithstanding the provisions of <br/>
<a id="pl.25.12"></a><var>25.12</var>subdivision 1, the taxable value of any property classified as class 4d under section 273.13, <br/>
<a id="pl.25.13"></a><var>25.13</var>subdivision 25, is limited as provided under this section. For assessment year 2013, the <br/>
<a id="pl.25.14"></a><var>25.14</var>value may not exceed $100,000 times the number of dwelling units. For subsequent years, <br/>
<a id="pl.25.15"></a><var>25.15</var>the limit is adjusted each year by the average statewide change in estimated market value <br/>
<a id="pl.25.16"></a><var>25.16</var>of property classified as class 4a and 4d under section 273.13, subdivision 25, for the <br/>
<a id="pl.25.17"></a><var>25.17</var>previous assessment year, excluding valuation change due to new construction, rounded to <br/>
<a id="pl.25.18"></a><var>25.18</var>the nearest $1,000. Beginning with assessment year 2014, the commissioner of revenue <br/>
<a id="pl.25.19"></a><var>25.19</var>must certify the limit for each assessment year by November 1 of the previous year.<br/>
<a id="pl.25.20"></a><var>25.20</var><b>EFFECTIVE DATE.</b>This section is effective beginning with assessment year 2013.<br/>
<br/>
<a id="bill.3.10.0"></a><a id="pl.25.21"></a><var>25.21</var>    Sec. 10. Minnesota Statutes 2012, section 279.01, subdivision 1, is amended to read:<br/>
<a id="pl.25.22"></a><var>25.22</var>    Subdivision 1. <b>Due dates; penalties.</b> Except as provided in subdivision subdivisions<br/>
<a id="pl.25.23"></a><var>25.23</var> 3 or 4 to 5, on May 16 or 21 days after the postmark date on the envelope containing the <br/>
<a id="pl.25.24"></a><var>25.24</var>property tax statement, whichever is later, a penalty accrues and thereafter is charged upon <br/>
<a id="pl.25.25"></a><var>25.25</var>all unpaid taxes on real estate on the current lists in the hands of the county treasurer. The <br/>
<a id="pl.25.26"></a><var>25.26</var>penalty is at a rate of two percent on homestead property until May 31 and four percent on <br/>
<a id="pl.25.27"></a><var>25.27</var>June 1. The penalty on nonhomestead property is at a rate of four percent until May 31 and <br/>
<a id="pl.25.28"></a><var>25.28</var>eight percent on June 1. This penalty does not accrue until June 1 of each year, or 21 days <br/>
<a id="pl.25.29"></a><var>25.29</var>after the postmark date on the envelope containing the property tax statements, whichever <br/>
<a id="pl.25.30"></a><var>25.30</var>is later, on commercial use real property used for seasonal residential recreational purposes <br/>
<a id="pl.25.31"></a><var>25.31</var>and classified as class 1c or 4c, and on other commercial use real property classified as <br/>
<a id="pl.25.32"></a><var>25.32</var>class 3a, provided that over 60 percent of the gross income earned by the enterprise on the <br/>
<a id="pl.25.33"></a><var>25.33</var>class 3a property is earned during the months of May, June, July, and August. In order for <br/>
<a id="pl.26.1"></a><var>26.1</var>the first half of the tax due on class 3a property to be paid after May 15 and before June 1, <br/>
<a id="pl.26.2"></a><var>26.2</var>or 21 days after the postmark date on the envelope containing the property tax statement, <br/>
<a id="pl.26.3"></a><var>26.3</var>whichever is later, without penalty, the owner of the property must attach an affidavit <br/>
<a id="pl.26.4"></a><var>26.4</var>to the payment attesting to compliance with the income provision of this subdivision. <br/>
<a id="pl.26.5"></a><var>26.5</var>Thereafter, for both homestead and nonhomestead property, on the first day of each month <br/>
<a id="pl.26.6"></a><var>26.6</var>beginning July 1, up to and including October 1 following, an additional penalty of one <br/>
<a id="pl.26.7"></a><var>26.7</var>percent for each month accrues and is charged on all such unpaid taxes provided that if the <br/>
<a id="pl.26.8"></a><var>26.8</var>due date was extended beyond May 15 as the result of any delay in mailing property tax <br/>
<a id="pl.26.9"></a><var>26.9</var>statements no additional penalty shall accrue if the tax is paid by the extended due date. If <br/>
<a id="pl.26.10"></a><var>26.10</var>the tax is not paid by the extended due date, then all penalties that would have accrued if <br/>
<a id="pl.26.11"></a><var>26.11</var>the due date had been May 15 shall be charged. When the taxes against any tract or lot <br/>
<a id="pl.26.12"></a><var>26.12</var>exceed $100, one-half thereof may be paid prior to May 16 or 21 days after the postmark <br/>
<a id="pl.26.13"></a><var>26.13</var>date on the envelope containing the property tax statement, whichever is later; and, if so <br/>
<a id="pl.26.14"></a><var>26.14</var>paid, no penalty attaches; the remaining one-half may be paid at any time prior to October <br/>
<a id="pl.26.15"></a><var>26.15</var>16 following, without penalty; but, if not so paid, then a penalty of two percent accrues <br/>
<a id="pl.26.16"></a><var>26.16</var>thereon for homestead property and a penalty of four percent on nonhomestead property. <br/>
<a id="pl.26.17"></a><var>26.17</var>Thereafter, for homestead property, on the first day of November an additional penalty of <br/>
<a id="pl.26.18"></a><var>26.18</var>four percent accrues and on the first day of December following, an additional penalty of <br/>
<a id="pl.26.19"></a><var>26.19</var>two percent accrues and is charged on all such unpaid taxes. Thereafter, for nonhomestead <br/>
<a id="pl.26.20"></a><var>26.20</var>property, on the first day of November and December following, an additional penalty of <br/>
<a id="pl.26.21"></a><var>26.21</var>four percent for each month accrues and is charged on all such unpaid taxes. If one-half of <br/>
<a id="pl.26.22"></a><var>26.22</var>such taxes are not paid prior to May 16 or 21 days after the postmark date on the envelope <br/>
<a id="pl.26.23"></a><var>26.23</var>containing the property tax statement, whichever is later, the same may be paid at any time <br/>
<a id="pl.26.24"></a><var>26.24</var>prior to October 16, with accrued penalties to the date of payment added, and thereupon <br/>
<a id="pl.26.25"></a><var>26.25</var>no penalty attaches to the remaining one-half until October 16 following.<br/>
<a id="pl.26.26"></a><var>26.26</var>    This section applies to payment of personal property taxes assessed against <br/>
<a id="pl.26.27"></a><var>26.27</var>improvements to leased property, except as provided by section 
         <statute_ref>277.01, subdivision 3</statute_ref>.<br/>
<a id="pl.26.28"></a><var>26.28</var>    A county may provide by resolution that in the case of a property owner that has <br/>
<a id="pl.26.29"></a><var>26.29</var>multiple tracts or parcels with aggregate taxes exceeding $100, payments may be made in <br/>
<a id="pl.26.30"></a><var>26.30</var>installments as provided in this subdivision.<br/>
<a id="pl.26.31"></a><var>26.31</var>    The county treasurer may accept payments of more or less than the exact amount of <br/>
<a id="pl.26.32"></a><var>26.32</var>a tax installment due. Payments must be applied first to the oldest installment that is due <br/>
<a id="pl.26.33"></a><var>26.33</var>but which has not been fully paid. If the accepted payment is less than the amount due, <br/>
<a id="pl.26.34"></a><var>26.34</var>payments must be applied first to the penalty accrued for the year or the installment being <br/>
<a id="pl.26.35"></a><var>26.35</var>paid. Acceptance of partial payment of tax does not constitute a waiver of the minimum <br/>
<a id="pl.27.1"></a><var>27.1</var>payment required as a condition for filing an appeal under section 
         <statute_ref>278.03</statute_ref> or any other law, <br/>
<a id="pl.27.2"></a><var>27.2</var>nor does it affect the order of payment of delinquent taxes under section 
         <statute_ref>280.39</statute_ref>.<br/>
<br/>
<a id="bill.3.11.0"></a><a id="pl.27.3"></a><var>27.3</var>    Sec. 11. Minnesota Statutes 2012, section 279.01, is amended by adding a subdivision <br/>
<a id="pl.27.4"></a><var>27.4</var>to read:<br/>
<a id="pl.27.5"></a><var>27.5</var>    Subd. 5. <b>Federal active service exception.</b> In the case of a homestead property <br/>
<a id="pl.27.6"></a><var>27.6</var>owned by an individual who is on federal active service, as defined in section 190.05, <br/>
<a id="pl.27.7"></a><var>27.7</var>subdivision 5c, as a member of the National Guard or a reserve component, a six-month <br/>
<a id="pl.27.8"></a><var>27.8</var>grace period is granted for complying with the due dates imposed by subdivision 1. During <br/>
<a id="pl.27.9"></a><var>27.9</var>this period, no late fees or penalties shall accrue against the property. The due date for <br/>
<a id="pl.27.10"></a><var>27.10</var>property taxes owed under this chapter for an individual covered by this subdivision shall <br/>
<a id="pl.27.11"></a><var>27.11</var>be November 16 for taxes due on May 16, and April 16 of the following year for taxes due <br/>
<a id="pl.27.12"></a><var>27.12</var>on October 16. A taxpayer making a payment under this subdivision must accompany <br/>
<a id="pl.27.13"></a><var>27.13</var>the payment with a signed copy of the taxpayer's orders or form DD214 showing the <br/>
<a id="pl.27.14"></a><var>27.14</var>dates of active service which clearly indicate that the taxpayer was in active service as a <br/>
<a id="pl.27.15"></a><var>27.15</var>member of the National Guard or a reserve component on the date the payment was due. <br/>
<a id="pl.27.16"></a><var>27.16</var>This grace period applies to all homestead property owned by individuals on federal active <br/>
<a id="pl.27.17"></a><var>27.17</var>service, as herein defined, for all of that property's due dates which fall on a day that is <br/>
<a id="pl.27.18"></a><var>27.18</var>included in the taxpayer's federal active service.<br/>
<br/>
<a id="bill.3.12.0"></a><a id="pl.27.19"></a><var>27.19</var>    Sec. 12. Minnesota Statutes 2012, section 279.02, is amended to read:<br/>
<a id="pl.27.20"></a><var>27.20</var><b>279.02 DUTIES OF COUNTY AUDITOR AND TREASURER.</b><br/>
<a id="pl.27.21"></a><var>27.21</var>    Subdivision 1. <b>Delinquent property; rates.</b> On the first business day in January, of <br/>
<a id="pl.27.22"></a><var>27.22</var>each year, the county treasurer shall return the tax lists on hand to the county auditor, who <br/>
<a id="pl.27.23"></a><var>27.23</var>shall compare the same with the statements receipted for by the treasurer on file in the <br/>
<a id="pl.27.24"></a><var>27.24</var>auditor's office and each tract or lot of real property against which the taxes, or any part <br/>
<a id="pl.27.25"></a><var>27.25</var>thereof, remain unpaid, shall be deemed delinquent, and thereupon an additional penalty <br/>
<a id="pl.27.26"></a><var>27.26</var>of two percent on the amount of the original tax remaining unpaid shall immediately <br/>
<a id="pl.27.27"></a><var>27.27</var>accrue and thereafter be charged upon all such delinquent taxes; and any auditor who <br/>
<a id="pl.27.28"></a><var>27.28</var>shall make out and deliver any statement of delinquent taxes without including therein <br/>
<a id="pl.27.29"></a><var>27.29</var>the penalties imposed by law, and any treasurer who shall receive payment of such taxes <br/>
<a id="pl.27.30"></a><var>27.30</var>without including in such payment all items as shown on the auditor's statement, shall be <br/>
<a id="pl.27.31"></a><var>27.31</var>liable to the county for the amounts of any items omitted.<br/>
<a id="pl.27.32"></a><var>27.32</var>    Subd. 2. <b>Federal active service exception.</b> Notwithstanding subdivision 1, a <br/>
<a id="pl.27.33"></a><var>27.33</var>homestead property owned by an individual who is on federal active service, as defined <br/>
<a id="pl.27.34"></a><var>27.34</var>in section 190.05, subdivision 5c, as a member of the National Guard or a reserve <br/>
<a id="pl.28.1"></a><var>28.1</var>component, shall not be deemed delinquent under this section if the due dates imposed <br/>
<a id="pl.28.2"></a><var>28.2</var>under section 279.01 fall on a day in which the individual was on federal active service.<br/>
<br/>
<a id="bill.3.13.0"></a><a id="pl.28.3"></a><var>28.3</var>    Sec. 13. Minnesota Statutes 2012, section 287.05, is amended by adding a subdivision <br/>
<a id="pl.28.4"></a><var>28.4</var>to read:<br/>
<a id="pl.28.5"></a><var>28.5</var>    Subd. 10. <b>Hennepin and Ramsey Counties.</b> For properties located in Hennepin <br/>
<a id="pl.28.6"></a><var>28.6</var>and Ramsey Counties, the county may impose an additional mortgage registry tax as <br/>
<a id="pl.28.7"></a><var>28.7</var>defined in sections 383A.80 and 383B.80.<br/>
<a id="pl.28.8"></a><var>28.8</var><b>EFFECTIVE DATE.</b>This section is effective the day following final enactment.<br/>
<br/>
<a id="bill.3.14.0"></a><a id="pl.28.9"></a><var>28.9</var>    Sec. 14. <b>[287.40] HENNEPIN AND RAMSEY COUNTIES.</b><br/>
<a id="pl.28.10"></a><var>28.10</var>    For properties located in Hennepin and Ramsey Counties, the county may impose an <br/>
<a id="pl.28.11"></a><var>28.11</var>additional deed tax as defined in sections 383A.80 and 383B.80.<br/>
<a id="pl.28.12"></a><var>28.12</var><b>EFFECTIVE DATE.</b>This section is effective the day following final enactment.<br/>
<br/>
<a id="bill.3.15.0"></a><a id="pl.28.13"></a><var>28.13</var>    Sec. 15. Laws 1988, chapter 645, section 3, as amended by Laws 1999, chapter 243, <br/>
<a id="pl.28.14"></a><var>28.14</var>article 6, section 9, Laws 2000, chapter 490, article 6, section 15, and Laws 2008, chapter <br/>
<a id="pl.28.15"></a><var>28.15</var>154, article 2, section 30, is amended to read:<br/>
<a id="pl.28.16"></a><var>28.16</var>    Sec. 3. <b>TAX; PAYMENT OF EXPENSES.</b><br/>
<a id="pl.28.17"></a><var>28.17</var>    (a) The tax levied by the hospital district under Minnesota Statutes, section 
         <statute_ref>447.34</statute_ref>, <br/>
<a id="pl.28.18"></a><var>28.18</var>must not be levied at a rate that exceeds the amount authorized to be levied under that <br/>
<a id="pl.28.19"></a><var>28.19</var>section. The proceeds of the tax may be used for all purposes of the hospital district, <br/>
<a id="pl.28.20"></a><var>28.20</var>except as provided in paragraph (b).<br/>
<a id="pl.28.21"></a><var>28.21</var>    (b) 0.015 percent of taxable market value of the tax in paragraph (a) may be used <br/>
<a id="pl.28.22"></a><var>28.22</var>solely by the Cook ambulance service and the Orr ambulance service for the purpose of <br/>
<a id="pl.28.23"></a><var>28.23</var>capital expenditures as it relates to:<br/>
<a id="pl.28.24"></a><var>28.24</var>    (1) ambulance acquisitions for the Cook ambulance service and the Orr ambulance <br/>
<a id="pl.28.25"></a><var>28.25</var>service and not;<br/>
<a id="pl.28.26"></a><var>28.26</var>    (2) attached and portable equipment for use in and for the ambulances; and<br/>
<a id="pl.28.27"></a><var>28.27</var>    (3) parts and replacement parts for maintenance and repair of the ambulances.<br/>
<a id="pl.28.28"></a><var>28.28</var>The money may not be used for administrative, operation,  or salary expenses.<br/>
<a id="pl.28.29"></a><var>28.29</var>    (c) The part of the levy referred to in paragraph (b) must be administered by the <br/>
<a id="pl.28.30"></a><var>28.30</var>Cook Hospital and passed on in equal amounts directly to the Cook area ambulance <br/>
<a id="pl.28.31"></a><var>28.31</var>service board and the city of Orr to be held in trust until funding for a new ambulance is <br/>
<a id="pl.29.1"></a><var>29.1</var>needed by either the Cook ambulance service or the Orr ambulance service used for the <br/>
<a id="pl.29.2"></a><var>29.2</var>purposes in paragraph (b).<br/>
<br/>
<a id="bill.3.16.0"></a><a id="pl.29.3"></a><var>29.3</var>    Sec. 16. Laws 1999, chapter 243, article 6, section 11, is amended to read:<br/>
<a id="pl.29.4"></a><var>29.4</var>    Sec. 11. <b>CEMETERY LEVY FOR SAWYER BY CARLTON COUNTY.</b><br/>
<a id="pl.29.5"></a><var>29.5</var>    Subdivision 1. <b>Levy authorized.</b> Notwithstanding other law to the contrary, the <br/>
<a id="pl.29.6"></a><var>29.6</var>Carlton county board of commissioners may annually levy in and for the unorganized <br/>
<a id="pl.29.7"></a><var>29.7</var>township territory of Sawyer an amount up to $1,000 annually for cemetery purposes, <br/>
<a id="pl.29.8"></a><var>29.8</var>beginning with taxes payable in 2000 and ending with taxes payable in 2009.<br/>
<a id="pl.29.9"></a><var>29.9</var>    Subd. 2. <b>Effective date.</b> This section is effective June 1, 1999, without local <br/>
<a id="pl.29.10"></a><var>29.10</var>approval.<br/>
<a id="pl.29.11"></a><var>29.11</var><b>EFFECTIVE DATE; LOCAL APPROVAL.</b>This section applies to taxes <br/>
<a id="pl.29.12"></a><var>29.12</var>payable in 2014 and thereafter, and is effective the day after the Carlton county board <br/>
<a id="pl.29.13"></a><var>29.13</var>of commissioners and its chief clerical officer timely complete their compliance with <br/>
<a id="pl.29.14"></a><var>29.14</var>Minnesota Statutes, section 645.021, subdivisions 2 and 3.<br/>
<br/>
<a id="bill.3.17.0"></a><a id="pl.29.15"></a><var>29.15</var>    Sec. 17. Laws 2008, chapter 366, article 5, section 33, the effective date, is amended to <br/>
<a id="pl.29.16"></a><var>29.16</var>read:<br/>
<a id="pl.29.17"></a><var>29.17</var><b>EFFECTIVE DATE.</b>This section is effective for taxes levied in 2008, payable in <br/>
<a id="pl.29.18"></a><var>29.18</var>2009, and is repealed effective for taxes levied in 2013 2018, payable in 2014 2019, <br/>
<a id="pl.29.19"></a><var>29.19</var>and thereafter.<br/>
<a id="pl.29.20"></a><var>29.20</var><b>EFFECTIVE DATE.</b>This section is effective beginning with taxes payable in 2014.<br/>
<br/>
<a id="bill.3.18.0"></a><a id="pl.29.21"></a><var>29.21</var>    Sec. 18. Laws 2010, chapter 389, article 1, section 12, the effective date, is amended to <br/>
<a id="pl.29.22"></a><var>29.22</var>read:<br/>
<a id="pl.29.23"></a><var>29.23</var><b>EFFECTIVE DATE.</b>This section is effective for assessment years year 2010 and <br/>
<a id="pl.29.24"></a><var>29.24</var>2011, for taxes payable in 2011 and 2012 thereafter.<br/>
<a id="pl.29.25"></a><var>29.25</var><b>EFFECTIVE DATE.</b>This section is effective for assessment year 2012 and <br/>
<a id="pl.29.26"></a><var>29.26</var>thereafter.<br/>
<br/>
<a id="bill.3.19.0"></a><a id="pl.29.27"></a><var>29.27</var>    Sec. 19. <b>MINNEAPOLIS AND ST. PAUL; ENTERTAINMENT FACILITIES </b><br/>
<a id="pl.29.28"></a><var>29.28</var><b>COORDINATION.</b><br/>
<a id="pl.30.1"></a><var>30.1</var>    (a) On or before January 1, 2015, the cities of St. Paul and Minneapolis shall establish <br/>
<a id="pl.30.2"></a><var>30.2</var>a joint governing structure to coordinate and provide for joint marketing, promotion, and <br/>
<a id="pl.30.3"></a><var>30.3</var>scheduling of conventions and events at the Target Center and Xcel Energy Center.<br/>
<a id="pl.30.4"></a><var>30.4</var>    (b) On or before February 1, 2014, the cities of St. Paul and Minneapolis, and <br/>
<a id="pl.30.5"></a><var>30.5</var>representatives from the primary professional sports team tenant of each facility, shall also <br/>
<a id="pl.30.6"></a><var>30.6</var>study and report to the legislature on creating a joint governing structure to provide for <br/>
<a id="pl.30.7"></a><var>30.7</var>joint administration, financing, and operations of the facilities and the possible effects of <br/>
<a id="pl.30.8"></a><var>30.8</var>joint governance on the finances of each facility and each city. The study under this <br/>
<a id="pl.30.9"></a><var>30.9</var>paragraph must:<br/>
<a id="pl.30.10"></a><var>30.10</var>    (1) examine the current finances of each facility, including past and projected costs <br/>
<a id="pl.30.11"></a><var>30.11</var>and revenues; projected capital improvements; and the current and projected impact <br/>
<a id="pl.30.12"></a><var>30.12</var>of each facility on the city's general fund;<br/>
<a id="pl.30.13"></a><var>30.13</var>    (2) determine the impacts of joint governance on the future finances of each facility <br/>
<a id="pl.30.14"></a><var>30.14</var>and city;<br/>
<a id="pl.30.15"></a><var>30.15</var>    (3) examine the inclusion of other entertainment venues in the joint governance, and <br/>
<a id="pl.30.16"></a><var>30.16</var>the impact the inclusion of those facilities would have on all the facilities within the joint <br/>
<a id="pl.30.17"></a><var>30.17</var>governing structure and the cities in which they are located; and<br/>
<a id="pl.30.18"></a><var>30.18</var>    (4) consider the amount of city, regional, and state funding, if any, that would be <br/>
<a id="pl.30.19"></a><var>30.19</var>required to fund and operate the facilities under a joint governing structure.<br/>
<a id="pl.30.20"></a><var>30.20</var>    (c) In considering joint governing structures under paragraph (b), the study shall <br/>
<a id="pl.30.21"></a><var>30.21</var>specifically consider the feasibility of joining the Target Center and the Xcel Energy <br/>
<a id="pl.30.22"></a><var>30.22</var>Center, and possibly other venues, to the Minnesota Sports Facilities Authority under <br/>
<a id="pl.30.23"></a><var>30.23</var>Minnesota Statutes, section 473J.08. <br/>
<a id="pl.30.24"></a><var>30.24</var>    (d) Representatives of the cities and the primary professional sports team tenants <br/>
<a id="pl.30.25"></a><var>30.25</var>of each facility shall meet within 30 days of the effective date of this section to begin <br/>
<a id="pl.30.26"></a><var>30.26</var>implementation of this section.<br/>
<a id="pl.30.27"></a><var>30.27</var><b>EFFECTIVE DATE.</b>This section is effective the day following final enactment <br/>
<a id="pl.30.28"></a><var>30.28</var>upon compliance with the provisions of Minnesota Statutes, section 645.021, subdivisions <br/>
<a id="pl.30.29"></a><var>30.29</var>2 and 3, by the governing bodies of the cities of St. Paul and Minneapolis and their chief <br/>
<a id="pl.30.30"></a><var>30.30</var>clerical officers, and provided that, notwithstanding the time limits under Minnesota <br/>
<a id="pl.30.31"></a><var>30.31</var>Statutes, section 645.021, subdivision 3, the certificates of approval are filed with the <br/>
<a id="pl.30.32"></a><var>30.32</var>secretary of state within 30 days after enactment of this act.<br/>
<br/>
<a id="bill.3.20.0"></a><a id="pl.30.33"></a><var>30.33</var>    Sec. 20. <b>MORATORIUM ON CHANGES IN ASSESSMENT PRACTICE.</b><br/>
<a id="pl.31.1"></a><var>31.1</var>    (a) An assessor may not deviate from current practices or policies used generally in <br/>
<a id="pl.31.2"></a><var>31.2</var>assessing or determining the taxable status of property used in the production of biofuels, <br/>
<a id="pl.31.3"></a><var>31.3</var>wine, beer, distilled beverages, or dairy products.<br/>
<a id="pl.31.4"></a><var>31.4</var>    (b) An assessor may not change the taxable status of any existing property involved <br/>
<a id="pl.31.5"></a><var>31.5</var>in the industrial processes identified in paragraph (a), unless the change is made as a result <br/>
<a id="pl.31.6"></a><var>31.6</var>of a change in use of the property, or to correct an error. For currently taxable properties, <br/>
<a id="pl.31.7"></a><var>31.7</var>the assessor may change the estimated market value of the property.<br/>
<a id="pl.31.8"></a><var>31.8</var><b>EFFECTIVE DATE.</b>This section is effective for assessment year 2013 only.<br/>
<br/>
<a id="bill.3.21.0"></a><a id="pl.31.9"></a><var>31.9</var>    Sec. 21. <b>STUDY AND REPORT ON CERTAIN PROPERTY USED IN </b><br/>
<a id="pl.31.10"></a><var>31.10</var><b>BUSINESS AND PRODUCTION.</b><br/>
<a id="pl.31.11"></a><var>31.11</var>In order to provide the legislature with information on the assessment of property <br/>
<a id="pl.31.12"></a><var>31.12</var>used in business and production activities, the commissioner of revenue must study the <br/>
<a id="pl.31.13"></a><var>31.13</var>impact of the exception contained in Minnesota Statutes, section 272.03, subdivision <br/>
<a id="pl.31.14"></a><var>31.14</var>1(c)(iii). The commissioner must report a summary of findings and recommendations to <br/>
<a id="pl.31.15"></a><var>31.15</var>the chairs and ranking minority members of the taxes committees of the senate and house <br/>
<a id="pl.31.16"></a><var>31.16</var>of representatives by February 1, 2014.<br/>
<a id="pl.31.17"></a><var>31.17</var><b>EFFECTIVE DATE.</b>This section is effective the day following final enactment.<br/>
<br/>
<a id="bill.3.22.0"></a><a id="pl.31.18"></a><var>31.18</var>    Sec. 22. <b>REIMBURSEMENT FOR PROPERTY TAX ABATEMENTS.</b><br/>
<a id="pl.31.19"></a><var>31.19</var>    Subdivision 1. <b>Reimbursement.</b> The commissioner of revenue shall reimburse <br/>
<a id="pl.31.20"></a><var>31.20</var>taxing jurisdictions for property tax abatements granted in Hennepin County under Laws <br/>
<a id="pl.31.21"></a><var>31.21</var>2011, First Special Session chapter 7, article 5, section 13, notwithstanding the time limits <br/>
<a id="pl.31.22"></a><var>31.22</var>contained in that section. The reimbursements must be made to each taxing jurisdiction <br/>
<a id="pl.31.23"></a><var>31.23</var>pursuant to the certification of the Hennepin County auditor.<br/>
<a id="pl.31.24"></a><var>31.24</var>    Subd. 2. <b>Appropriation.</b> The amount necessary, not to exceed $400,000, is <br/>
<a id="pl.31.25"></a><var>31.25</var>appropriated to the commissioner of revenue from the general fund to make the payments <br/>
<a id="pl.31.26"></a><var>31.26</var>required under this section. This appropriation does not cancel but is available until June <br/>
<a id="pl.31.27"></a><var>31.27</var>30, 2014.<br/>
<a id="pl.31.28"></a><var>31.28</var><b>EFFECTIVE DATE.</b>This section is effective the day following final enactment.<br/>
<br/>
<a id="bill.3.23.0"></a><a id="pl.31.29"></a><var>31.29</var>    Sec. 23. <b> REPEALER.</b><br/>
<a id="pl.31.30"></a><var>31.30</var>(a) Minnesota Statutes 2012, sections 428A.101; and 428A.21, are repealed.<br/>
<a id="pl.31.31"></a><var>31.31</var>(b) Minnesota Statutes 2012, sections 383A.80, subdivision 4; and 383B.80, <br/>
<a id="pl.31.32"></a><var>31.32</var>subdivision 4, are repealed.<br/>
<a id="pl.32.1"></a><var>32.1</var><b>EFFECTIVE DATE.</b>This section is effective the day following final enactment, <br/>
<a id="pl.32.2"></a><var>32.2</var>and paragraph (b) reinstates the authority for Hennepin and Ramsey Counties to impose <br/>
<a id="pl.32.3"></a><var>32.3</var>the additional mortgage registry and deed tax effective for deeds and mortgages executed <br/>
<a id="pl.32.4"></a><var>32.4</var>on or after July 1, 2013.<br/>
<br/>
<a id="bill.4.0.0"></a>

<a id="bill.4.1.0"></a><a id="pl.32.7"></a><var>32.7</var>    Section 1. Minnesota Statutes 2012, section 469.071, subdivision 5, is amended to read:<br/>
<a id="pl.32.8"></a><var>32.8</var>    Subd. 5. <b>Exception; parking facilities.</b> Notwithstanding section 
         <statute_ref>469.068</statute_ref>, the <br/>
<a id="pl.32.9"></a><var>32.9</var>Bloomington port authority need not require competitive bidding with respect to a <br/>
<a id="pl.32.10"></a><var>32.10</var>structured parking facility or other public improvements constructed in conjunction with, <br/>
<a id="pl.32.11"></a><var>32.11</var>and directly above or below, or adjacent and integrally related to, a development and <br/>
<a id="pl.32.12"></a><var>32.12</var>financed with the proceeds of tax increment or, revenue bonds, or other funds of the <br/>
<a id="pl.32.13"></a><var>32.13</var>port authority and the city of Bloomington.<br/>
<a id="pl.32.14"></a><var>32.14</var><b>EFFECTIVE DATE.</b>This section is effective upon compliance of the governing <br/>
<a id="pl.32.15"></a><var>32.15</var>body of the city of Bloomington with the requirements of Minnesota Statutes, section <br/>
<a id="pl.32.16"></a><var>32.16</var>645.021, subdivision 3.<br/>
<br/>
<a id="bill.4.2.0"></a><a id="pl.32.17"></a><var>32.17</var>    Sec. 2. Minnesota Statutes 2012, section 469.169, is amended by adding a subdivision <br/>
<a id="pl.32.18"></a><var>32.18</var>to read:<br/>
<a id="pl.32.19"></a><var>32.19</var>    Subd. 19. <b>Additional border city allocation; 2013.</b> (a) In addition to the tax <br/>
<a id="pl.32.20"></a><var>32.20</var>reductions authorized in subdivisions 12 to 18, the commissioner shall allocate $750,000 <br/>
<a id="pl.32.21"></a><var>32.21</var>for tax reductions to border city enterprise zones in cities located on the western border <br/>
<a id="pl.32.22"></a><var>32.22</var>of the state. The commissioner shall allocate this amount among cities on a per capita <br/>
<a id="pl.32.23"></a><var>32.23</var>basis. Allocations made under this subdivision may be used for tax reductions under <br/>
<a id="pl.32.24"></a><var>32.24</var>section 469.171, or for other offsets of taxes imposed on or remitted by businesses located <br/>
<a id="pl.32.25"></a><var>32.25</var>in the enterprise zone, but only if the municipality determines that the granting of the tax <br/>
<a id="pl.32.26"></a><var>32.26</var>reduction or offset is necessary to retain a business within or attract a business to the zone. <br/>
<a id="pl.32.27"></a><var>32.27</var>The city alternatively may elect to use any portion of the allocation under this paragraph <br/>
<a id="pl.32.28"></a><var>32.28</var>for tax reductions under section 469.1732 or 469.1734.<br/>
<a id="pl.32.29"></a><var>32.29</var>    (b) The commissioner shall allocate $750,000 for tax reductions under section <br/>
<a id="pl.32.30"></a><var>32.30</var>469.1732 or 469.1734 to cities with border city enterprise zones located on the western <br/>
<a id="pl.32.31"></a><var>32.31</var>border of the state. The commissioner shall allocate this amount among the cities on a per <br/>
<a id="pl.32.32"></a><var>32.32</var>capita basis. The city alternatively may elect to use any portion of the allocation provided <br/>
<a id="pl.32.33"></a><var>32.33</var>in this paragraph for tax reductions under section 469.171.<br/>
<a id="pl.33.1"></a><var>33.1</var><b>EFFECTIVE DATE.</b>This section is effective July 1, 2013.<br/>
<br/>
<a id="bill.4.3.0"></a><a id="pl.33.2"></a><var>33.2</var>    Sec. 3. Minnesota Statutes 2012, section 469.176, subdivision 4c, is amended to read:<br/>
<a id="pl.33.3"></a><var>33.3</var>    Subd. 4c. <b>Economic development districts.</b> (a) Revenue derived from tax increment <br/>
<a id="pl.33.4"></a><var>33.4</var>from an economic development district may not be used to provide improvements, loans, <br/>
<a id="pl.33.5"></a><var>33.5</var>subsidies, grants, interest rate subsidies, or assistance in any form to developments <br/>
<a id="pl.33.6"></a><var>33.6</var>consisting of buildings and ancillary facilities, if more than 15 percent of the buildings and <br/>
<a id="pl.33.7"></a><var>33.7</var>facilities (determined on the basis of square footage) are used for a purpose other than:<br/>
<a id="pl.33.8"></a><var>33.8</var>    (1) the manufacturing or production of tangible personal property, including <br/>
<a id="pl.33.9"></a><var>33.9</var>processing resulting in the change in condition of the property;<br/>
<a id="pl.33.10"></a><var>33.10</var>    (2) warehousing, storage, and distribution of tangible personal property, excluding <br/>
<a id="pl.33.11"></a><var>33.11</var>retail sales;<br/>
<a id="pl.33.12"></a><var>33.12</var>    (3) research and development related to the activities listed in clause (1) or (2);<br/>
<a id="pl.33.13"></a><var>33.13</var>    (4) telemarketing if that activity is the exclusive use of the property;<br/>
<a id="pl.33.14"></a><var>33.14</var>    (5) tourism facilities; or<br/>
<a id="pl.33.15"></a><var>33.15</var>    (6) qualified border retail facilities; or<br/>
<a id="pl.33.16"></a><var>33.16</var>    (7) space necessary for and related to the activities listed in clauses (1) to (6) (5).<br/>
<a id="pl.33.17"></a><var>33.17</var>    (b) Notwithstanding the provisions of this subdivision, revenues derived from tax <br/>
<a id="pl.33.18"></a><var>33.18</var>increment from an economic development district may be used to provide improvements, <br/>
<a id="pl.33.19"></a><var>33.19</var>loans, subsidies, grants, interest rate subsidies, or assistance in any form for up to 15,000 <br/>
<a id="pl.33.20"></a><var>33.20</var>square feet of any separately owned commercial facility located within the municipal <br/>
<a id="pl.33.21"></a><var>33.21</var>jurisdiction of a small city, if the revenues derived from increments are spent only to <br/>
<a id="pl.33.22"></a><var>33.22</var>assist the facility directly or for administrative expenses, the assistance is necessary to <br/>
<a id="pl.33.23"></a><var>33.23</var>develop the facility, and all of the increments, except those for administrative expenses, <br/>
<a id="pl.33.24"></a><var>33.24</var>are spent only for activities within the district.<br/>
<a id="pl.33.25"></a><var>33.25</var>    (c) A city is a small city for purposes of this subdivision if the city was a small city <br/>
<a id="pl.33.26"></a><var>33.26</var>in the year in which the request for certification was made and applies for the rest of <br/>
<a id="pl.33.27"></a><var>33.27</var>the duration of the district, regardless of whether the city qualifies or ceases to qualify <br/>
<a id="pl.33.28"></a><var>33.28</var>as a small city.<br/>
<a id="pl.33.29"></a><var>33.29</var>    (d) Notwithstanding the requirements of paragraph (a) and the finding requirements <br/>
<a id="pl.33.30"></a><var>33.30</var>of section 
<statute_ref>469.174, subdivision 12</statute_ref>, tax increments from an economic development district <br/>
<a id="pl.33.31"></a><var>33.31</var>may be used to provide improvements, loans, subsidies, grants, interest rate subsidies, or <br/>
<a id="pl.33.32"></a><var>33.32</var>assistance in any form to developments consisting of buildings and ancillary facilities, if <br/>
<a id="pl.33.33"></a><var>33.33</var>all the following conditions are met:<br/>
<a id="pl.33.34"></a><var>33.34</var>    (1) the municipality finds that the project will create or retain jobs in this state, <br/>
<a id="pl.33.35"></a><var>33.35</var>including construction jobs, and that construction of the project would not have <br/>
<a id="pl.34.1"></a><var>34.1</var>commenced before July 1, 2012, without the authority providing assistance under the <br/>
<a id="pl.34.2"></a><var>34.2</var>provisions of this paragraph;<br/>
<a id="pl.34.3"></a><var>34.3</var>    (2) construction of the project begins no later than July 1, 2012;<br/>
<a id="pl.34.4"></a><var>34.4</var>    (3) the request for certification of the district is made no later than June 30, 2012; and<br/>
<a id="pl.34.5"></a><var>34.5</var>    (4) for development of housing under this paragraph, the construction must begin <br/>
<a id="pl.34.6"></a><var>34.6</var>before January 1, 2012.<br/>
<a id="pl.34.7"></a><var>34.7</var>    The provisions of this paragraph may not be used to assist housing that is developed <br/>
<a id="pl.34.8"></a><var>34.8</var>to qualify under section 
<statute_ref>469.1761, subdivision 2</statute_ref> or 3, or similar requirements of other law, <br/>
<a id="pl.34.9"></a><var>34.9</var>if construction of the project begins later than July 1, 2011.<br/>
<a id="pl.34.10"></a><var>34.10</var><b>EFFECTIVE DATE.</b>This section is effective for districts for which the request for <br/>
<a id="pl.34.11"></a><var>34.11</var>certification was made after June 30, 2012.<br/>
<br/>
<a id="bill.4.4.0"></a><a id="pl.34.12"></a><var>34.12</var>    Sec. 4. Minnesota Statutes 2012, section 469.176, subdivision 4g, is amended to read:<br/>
<a id="pl.34.13"></a><var>34.13</var>    Subd. 4g. <b>General government use prohibited.</b> (a) Tax increments may not be <br/>
<a id="pl.34.14"></a><var>34.14</var>used to circumvent existing levy limit law.<br/>
<a id="pl.34.15"></a><var>34.15</var>    (b) No tax increment from any district may be used for the acquisition, construction, <br/>
<a id="pl.34.16"></a><var>34.16</var>renovation, operation, or maintenance of a building to be used primarily and regularly <br/>
<a id="pl.34.17"></a><var>34.17</var>for conducting the business of a municipality, county, school district, or any other local <br/>
<a id="pl.34.18"></a><var>34.18</var>unit of government or the state or federal government. This provision does not prohibit <br/>
<a id="pl.34.19"></a><var>34.19</var>the use of revenues derived from tax increments for the construction or renovation of <br/>
<a id="pl.34.20"></a><var>34.20</var>a parking structure.<br/>
<a id="pl.34.21"></a><var>34.21</var>    (c)(1) Tax increments may not be used to pay for the cost of public improvements, <br/>
<a id="pl.34.22"></a><var>34.22</var>equipment, or other items, if:<br/>
<a id="pl.34.23"></a><var>34.23</var>    (i) the improvements, equipment, or other items are located outside of the area of the <br/>
<a id="pl.34.24"></a><var>34.24</var>tax increment financing district from which the increments were collected; and<br/>
<a id="pl.34.25"></a><var>34.25</var>    (ii) the improvements, equipment, or items that (A) primarily serve a decorative or <br/>
<a id="pl.34.26"></a><var>34.26</var>aesthetic purpose, or (B) serve a functional purpose, but their cost is increased by more than <br/>
<a id="pl.34.27"></a><var>34.27</var>100 percent as a result of the selection of materials, design, or type as compared with more <br/>
<a id="pl.34.28"></a><var>34.28</var>commonly used materials, designs, or types for similar improvements, equipment, or items.<br/>
<a id="pl.34.29"></a><var>34.29</var>    (2) The provisions of this paragraph do not apply to expenditures related to the <br/>
<a id="pl.34.30"></a><var>34.30</var>rehabilitation of historic structures that are:<br/>
<a id="pl.34.31"></a><var>34.31</var>    (i) individually listed on the National Register of Historic Places; or<br/>
<a id="pl.34.32"></a><var>34.32</var>    (ii) a contributing element to a historic district listed on the National Register <br/>
<a id="pl.34.33"></a><var>34.33</var>of Historic Places.<br/>
<a id="pl.35.1"></a><var>35.1</var><b>EFFECTIVE DATE.</b>This section is effective the day following final enactment for <br/>
<a id="pl.35.2"></a><var>35.2</var>all tax increment financing districts, regardless of when the request for certification was <br/>
<a id="pl.35.3"></a><var>35.3</var>made, but applies only to amounts spent after final enactment.<br/>
<br/>
<a id="bill.4.5.0"></a><a id="pl.35.4"></a><var>35.4</var>    Sec. 5. Minnesota Statutes 2012, section 469.176, subdivision 6, is amended to read:<br/>
<a id="pl.35.5"></a><var>35.5</var>    Subd. 6. <b>Action required.</b> (a) If, after four years from the date of certification of <br/>
<a id="pl.35.6"></a><var>35.6</var>the original net tax capacity of the tax increment financing district pursuant to section <br/>
<statute_ref><a id="pl.35.7"></a><var>35.7</var>469.177
         </statute_ref>, no demolition, rehabilitation, or renovation of property or other site preparation, <br/>
<a id="pl.35.8"></a><var>35.8</var>including qualified improvement of a street adjacent to a parcel but not installation <br/>
<a id="pl.35.9"></a><var>35.9</var>of utility service including sewer or water systems, has been commenced on a parcel <br/>
<a id="pl.35.10"></a><var>35.10</var>located within a tax increment financing district by the authority or by the owner of the <br/>
<a id="pl.35.11"></a><var>35.11</var>parcel in accordance with the tax increment financing plan, no additional tax increment <br/>
<a id="pl.35.12"></a><var>35.12</var>may be taken from that parcel, and the original net tax capacity of that parcel shall be <br/>
<a id="pl.35.13"></a><var>35.13</var>excluded from the original net tax capacity of the tax increment financing district. If the <br/>
<a id="pl.35.14"></a><var>35.14</var>authority or the owner of the parcel subsequently commences demolition, rehabilitation, <br/>
<a id="pl.35.15"></a><var>35.15</var>or renovation or other site preparation on that parcel including qualified improvement of <br/>
<a id="pl.35.16"></a><var>35.16</var>a street adjacent to that parcel, in accordance with the tax increment financing plan, the <br/>
<a id="pl.35.17"></a><var>35.17</var>authority shall certify to the county auditor that the activity has commenced, and the <br/>
<a id="pl.35.18"></a><var>35.18</var>county auditor shall certify the net tax capacity thereof as most recently certified by the <br/>
<a id="pl.35.19"></a><var>35.19</var>commissioner of revenue and add it to the original net tax capacity of the tax increment <br/>
<a id="pl.35.20"></a><var>35.20</var>financing district. The county auditor must enforce the provisions of this subdivision. The <br/>
<a id="pl.35.21"></a><var>35.21</var>authority must submit to the county auditor evidence that the required activity has taken <br/>
<a id="pl.35.22"></a><var>35.22</var>place for each parcel in the district. The evidence for a parcel must be submitted by <br/>
<a id="pl.35.23"></a><var>35.23</var>February 1 of the fifth year following the year in which the parcel was certified as included <br/>
<a id="pl.35.24"></a><var>35.24</var>in the district. For purposes of this subdivision, qualified improvements of a street are <br/>
<a id="pl.35.25"></a><var>35.25</var>limited to (1) construction or opening of a new street, (2) relocation of a street, and (3) <br/>
<a id="pl.35.26"></a><var>35.26</var>substantial reconstruction or rebuilding of an existing street.<br/>
<a id="pl.35.27"></a><var>35.27</var>    (b) For districts which were certified on or after January 1, 2005, and before April <br/>
<a id="pl.35.28"></a><var>35.28</var>20, 2009, the four-year period under paragraph (a) is increased to six years deemed to end <br/>
<a id="pl.35.29"></a><var>35.29</var>on December 31, 2016.<br/>
<a id="pl.35.30"></a><var>35.30</var><b>EFFECTIVE DATE.</b>This section is effective the day following final enactment <br/>
<a id="pl.35.31"></a><var>35.31</var>and applies to districts certified on or after January 1, 2006, and before April 20, 2009.<br/>
<br/>
<a id="bill.4.6.0"></a><a id="pl.35.32"></a><var>35.32</var>    Sec. 6. Minnesota Statutes 2012, section 469.177, is amended by adding a subdivision <br/>
<a id="pl.35.33"></a><var>35.33</var>to read:<br/>
<a id="pl.36.1"></a><var>36.1</var>    Subd. 1d. <b>Original net tax capacity adjustment; homestead market value </b><br/>
<a id="pl.36.2"></a><var>36.2</var><b>exclusion.</b> (a) Upon approval by the municipality, by resolution, the authority may elect <br/>
<a id="pl.36.3"></a><var>36.3</var>to reduce the net tax capacity of a qualified district by the amount of the tax capacity <br/>
<a id="pl.36.4"></a><var>36.4</var>attributable to the market value exclusion under section 273.13, subdivision 35. The <br/>
<a id="pl.36.5"></a><var>36.5</var>amount of the reduction may not reduce the original net tax capacity below zero.<br/>
<a id="pl.36.6"></a><var>36.6</var>    (b) For purposes of this subdivision, a qualified district means a tax increment <br/>
<a id="pl.36.7"></a><var>36.7</var>financing district that satisfies the following conditions:<br/>
<a id="pl.36.8"></a><var>36.8</var>    (1) for taxes payable in 2011, the authority received a homestead market value credit <br/>
<a id="pl.36.9"></a><var>36.9</var>reimbursement under section 273.1384 for the district of $10,000 or more;<br/>
<a id="pl.36.10"></a><var>36.10</var>    (2) for taxes payable in 2013, the reduction in captured tax capacity resulting from <br/>
<a id="pl.36.11"></a><var>36.11</var>the market value exclusion for the district was equal to or greater than 1.75 percent of the <br/>
<a id="pl.36.12"></a><var>36.12</var>district's captured tax capacity; and<br/>
<a id="pl.36.13"></a><var>36.13</var>    (3) either (i) the authority is permitted to expend increments on activities under the <br/>
<a id="pl.36.14"></a><var>36.14</var>provisions of section 469.1763, subdivision 3, or an equivalent provision of special law <br/>
<a id="pl.36.15"></a><var>36.15</var>on July 1, 2013, or (ii) the district's tax increments received for taxes payable in 2012 <br/>
<a id="pl.36.16"></a><var>36.16</var>exceeded the amount of debt service payments due during calendar year 2012 on bonds <br/>
<a id="pl.36.17"></a><var>36.17</var>issued under section 469.178 to which the district's increments are pledged.<br/>
<a id="pl.36.18"></a><var>36.18</var>The calculation of the amount under clause (2) must reflect any adjustments to original <br/>
<a id="pl.36.19"></a><var>36.19</var>net tax capacity made under subdivision 1, paragraphs (d) and (e), for the homestead <br/>
<a id="pl.36.20"></a><var>36.20</var>market value exclusion.<br/>
<a id="pl.36.21"></a><var>36.21</var>    (c) The authority must notify the county auditor of its election under this section no <br/>
<a id="pl.36.22"></a><var>36.22</var>later than July 1, 2014. Notifications made by July 1, 2013, are effective beginning for <br/>
<a id="pl.36.23"></a><var>36.23</var>taxes payable in 2014, and notifications made after July 1, 2013, are effective beginning <br/>
<a id="pl.36.24"></a><var>36.24</var>for taxes payable in 2015.<br/>
<a id="pl.36.25"></a><var>36.25</var><b>EFFECTIVE DATE.</b>This section is effective the day following final enactment <br/>
<a id="pl.36.26"></a><var>36.26</var>and applies to all tax increment financing districts regardless of when the request for <br/>
<a id="pl.36.27"></a><var>36.27</var>certification was made.<br/>
<br/>
<a id="bill.4.7.0"></a><a id="pl.36.28"></a><var>36.28</var>    Sec. 7. Minnesota Statutes 2012, section 473F.08, is amended by adding a subdivision <br/>
<a id="pl.36.29"></a><var>36.29</var>to read:<br/>
<a id="pl.36.30"></a><var>36.30</var>    Subd. 3c. <b>Mall of America.</b> (a) When computing the net tax capacity under section <br/>
<a id="pl.36.31"></a><var>36.31</var>473F.05, the Hennepin County auditor shall exclude the captured tax capacity of Tax <br/>
<a id="pl.36.32"></a><var>36.32</var>Increment Financing Districts No. 1-C and No. 1-G in the city of Bloomington.<br/>
<a id="pl.36.33"></a><var>36.33</var>    (b) Notwithstanding the provisions of subdivision 2, paragraph (a), the <br/>
<a id="pl.36.34"></a><var>36.34</var>commercial-industrial contribution percentage for the city of Bloomington is the <br/>
<a id="pl.37.1"></a><var>37.1</var>contribution net tax capacity divided by the total net tax capacity of commercial-industrial <br/>
<a id="pl.37.2"></a><var>37.2</var>property in the city, excluding any commercial-industrial property that is captured tax <br/>
<a id="pl.37.3"></a><var>37.3</var>capacity of Tax Increment Financing Districts No. 1-C and No. 1-G.<br/>
<a id="pl.37.4"></a><var>37.4</var>    (c) The property taxes to be paid on commercial-industrial tax capacity that is <br/>
<a id="pl.37.5"></a><var>37.5</var>included in the captured tax capacity of Tax Increment Financing Districts No. 1-C and <br/>
<a id="pl.37.6"></a><var>37.6</var>No. 1-G in the city of Bloomington must be determined as described in subdivision 6, <br/>
<a id="pl.37.7"></a><var>37.7</var>except that the portion of the tax that is based on the areawide tax rate is to be treated <br/>
<a id="pl.37.8"></a><var>37.8</var>as tax increment under section 469.176.<br/>
<a id="pl.37.9"></a><var>37.9</var>    (d) The provisions of this subdivision take effect only if the clerk of the city of <br/>
<a id="pl.37.10"></a><var>37.10</var>Bloomington certifies to the Hennepin County auditor that the city has entered into a <br/>
<a id="pl.37.11"></a><var>37.11</var>binding written agreement with the Metropolitan Council to repair and restore, or to <br/>
<a id="pl.37.12"></a><var>37.12</var>replace, the old Cedar Avenue bridge for use by bicycle commuters and recreational users.<br/>
<a id="pl.37.13"></a><var>37.13</var>    (e) This subdivision expires on the earliest of the following dates:<br/>
<a id="pl.37.14"></a><var>37.14</var>    (1) when the tax increment financing districts have been decertified in 2024 or 2034, <br/>
<a id="pl.37.15"></a><var>37.15</var>as provided by section 10, subdivision 2 or 4; or<br/>
<a id="pl.37.16"></a><var>37.16</var>    (2) on January 1, 2014, if the city clerk fails to make the certification provided in <br/>
<a id="pl.37.17"></a><var>37.17</var>paragraph (d).<br/>
<a id="pl.37.18"></a><var>37.18</var><b>EFFECTIVE DATE.</b>This section is effective beginning for property taxes payable <br/>
<a id="pl.37.19"></a><var>37.19</var>in 2014.<br/>
<br/>
<a id="bill.4.8.0"></a><a id="pl.37.20"></a><var>37.20</var>    Sec. 8. Laws 2008, chapter 366, article 5, section 26, is amended to read:<br/>
<a id="pl.37.21"></a><var>37.21</var>    Sec. 26. <b>BLOOMINGTON TAX INCREMENT FINANCING; FIVE-YEAR </b><br/>
<a id="pl.37.22"></a><var>37.22</var><b>RULE.</b><br/>
<a id="pl.37.23"></a><var>37.23</var>    (a) The requirements of Minnesota Statutes, section 
         <statute_ref>469.1763, subdivision 3</statute_ref>, that <br/>
<a id="pl.37.24"></a><var>37.24</var>activities must be undertaken within a five-year period from the date of certification of <br/>
<a id="pl.37.25"></a><var>37.25</var>a tax increment financing district, are increased to a ten-year 15-year period for the <br/>
<a id="pl.37.26"></a><var>37.26</var>Port Authority of the City of Bloomington's Tax Increment Financing District No. 1-I, <br/>
<a id="pl.37.27"></a><var>37.27</var>Bloomington Central Station.<br/>
<a id="pl.37.28"></a><var>37.28</var>    (b) Notwithstanding the provisions of Minnesota Statutes, section 469.176, or any <br/>
<a id="pl.37.29"></a><var>37.29</var>other law to the contrary, the city of Bloomington and its port authority may extend the <br/>
<a id="pl.37.30"></a><var>37.30</var>duration limits of the district for a period through December 31, 2039.<br/>
<a id="pl.37.31"></a><var>37.31</var>    (c) Effective for taxes payable in 2014, tax increment for the district must be <br/>
<a id="pl.37.32"></a><var>37.32</var>computed using the current local tax rate, notwithstanding the provisions of Minnesota <br/>
<a id="pl.37.33"></a><var>37.33</var>Statutes, section 469.177, subdivision 1a.<br/>
<a id="pl.38.1"></a><var>38.1</var><b>EFFECTIVE DATE.</b>Paragraphs (a) and (c) are effective upon compliance by <br/>
<a id="pl.38.2"></a><var>38.2</var>the governing body of the city of Bloomington with the requirements of Minnesota <br/>
<a id="pl.38.3"></a><var>38.3</var>Statutes, section 645.021, subdivision 3. Paragraph (b) is effective upon compliance by <br/>
<a id="pl.38.4"></a><var>38.4</var>the governing bodies of the city of Bloomington, Hennepin County, and Independent <br/>
<a id="pl.38.5"></a><var>38.5</var>School District No. 271 with the requirements of Minnesota Statutes, sections 469.1782, <br/>
<a id="pl.38.6"></a><var>38.6</var>subdivision 2, and 645.021, subdivision 3.<br/>
<br/>
<a id="bill.4.9.0"></a><a id="pl.38.7"></a><var>38.7</var>    Sec. 9. Laws 2008, chapter 366, article 5, section 34, as amended by Laws 2009, <br/>
<a id="pl.38.8"></a><var>38.8</var>chapter 88, article 5, section 11, is amended to read:<br/>
<a id="pl.38.9"></a><var>38.9</var>    Sec. 34. <b>CITY OF OAKDALE; </b><b>ORIGINAL TAX CAPACITY</b><b> PARCELS </b><br/>
<a id="pl.38.10"></a><var>38.10</var><b>DEEMED OCCUPIED</b><b>. </b><br/>
<a id="pl.38.11"></a><var>38.11</var>    (a) The provisions of this section apply to redevelopment tax increment financing <br/>
<a id="pl.38.12"></a><var>38.12</var>districts created by the Housing and Redevelopment Authority in and for the city of <br/>
<a id="pl.38.13"></a><var>38.13</var>Oakdale in the areas comprised of the parcels with the following parcel identification <br/>
<a id="pl.38.14"></a><var>38.14</var>numbers: (1) 3102921320053; 3102921320054; 3102921320055; 3102921320056; <br/>
<a id="pl.38.15"></a><var>38.15</var>3102921320057; 3102921320058; 3102921320062; 3102921320063; 3102921320059; <br/>
<a id="pl.38.16"></a><var>38.16</var>3102921320060; 3102921320061; 3102921330005; and 3102921330004; and (2) <br/>
<a id="pl.38.17"></a><var>38.17</var>2902921330001 and 2902921330005.<br/>
<a id="pl.38.18"></a><var>38.18</var>    (b) For a district subject to this section, the Housing and Redevelopment Authority <br/>
<a id="pl.38.19"></a><var>38.19</var>may, when requesting certification of the original tax capacity of the district under <br/>
<a id="pl.38.20"></a><var>38.20</var>Minnesota Statutes, section 
<statute_ref>469.177</statute_ref>, elect to have the original tax capacity of the district <br/>
<a id="pl.38.21"></a><var>38.21</var>be certified as the tax capacity of the land.<br/>
<a id="pl.38.22"></a><var>38.22</var>    (c) The authority to request certification of a district under this section expires on <br/>
<a id="pl.38.23"></a><var>38.23</var>July 1, 2013.<br/>
<a id="pl.38.24"></a><var>38.24</var>    (a) Parcel numbers 3102921320054, 3102921320055, 3102921320056, <br/>
<a id="pl.38.25"></a><var>38.25</var>3102921320057, 3102921320061, and 3102921330004 are deemed to meet the <br/>
<a id="pl.38.26"></a><var>38.26</var>requirements of Minnesota Statutes, section 469.174, subdivision 10, paragraph (d), <br/>
<a id="pl.38.27"></a><var>38.27</var>notwithstanding any contrary provisions of that paragraph, if the following conditions <br/>
<a id="pl.38.28"></a><var>38.28</var>are met:<br/>
<a id="pl.38.29"></a><var>38.29</var>    (1) a building located on any part of each of the specified parcels was demolished after <br/>
<a id="pl.38.30"></a><var>38.30</var>the Housing and Redevelopment Authority for the city of Oakdale adopted a resolution <br/>
<a id="pl.38.31"></a><var>38.31</var>under Minnesota Statutes, section 469.174, subdivision 10, paragraph (d), clause (3);<br/>
<a id="pl.38.32"></a><var>38.32</var>    (2) the building was removed either by the authority, by a developer under a <br/>
<a id="pl.38.33"></a><var>38.33</var>development agreement with the Housing and Redevelopment Authority for the city of <br/>
<a id="pl.38.34"></a><var>38.34</var>Oakdale, or by the owner of the property without entering into a development agreement <br/>
<a id="pl.38.35"></a><var>38.35</var>with the Housing and Redevelopment Authority for the city of Oakdale; and<br/>
<a id="pl.39.1"></a><var>39.1</var>    (3) the request for certification of the parcel as part of a district is filed with the <br/>
<a id="pl.39.2"></a><var>39.2</var>county auditor by December 31, 2017.<br/>
<a id="pl.39.3"></a><var>39.3</var>    (b) The provisions of this section allow an election by the Housing and <br/>
<a id="pl.39.4"></a><var>39.4</var>Redevelopment Authority for the city of Oakdale for the parcels deemed occupied under <br/>
<a id="pl.39.5"></a><var>39.5</var>paragraph (a), notwithstanding the provisions of Minnesota Statutes, sections 469.174, <br/>
<a id="pl.39.6"></a><var>39.6</var>subdivision 10, paragraph (d), and 469.177, subdivision 1, paragraph (f).<br/>
<a id="pl.39.7"></a><var>39.7</var><b>EFFECTIVE DATE.</b>This section is effective upon compliance by the governing <br/>
<a id="pl.39.8"></a><var>39.8</var>body of the city of Oakdale with the requirements of Minnesota Statutes, section 645.021, <br/>
<a id="pl.39.9"></a><var>39.9</var>subdivision 3.<br/>
<br/>
<a id="bill.4.10.0"></a><a id="pl.39.10"></a><var>39.10</var>    Sec. 10. <b>CITY OF BLOOMINGTON; TAX INCREMENT FINANCING.</b><br/>
<a id="pl.39.11"></a><var>39.11</var>    Subdivision 1. <b>Addition of property to Tax Increment Financing District </b><br/>
<a id="pl.39.12"></a><var>39.12</var><b>No. 1-G.</b> (a) Notwithstanding the provisions of Minnesota Statutes, section 469.175, <br/>
<a id="pl.39.13"></a><var>39.13</var>subdivision 4, or any other law to the contrary, the governing bodies of the Port Authority <br/>
<a id="pl.39.14"></a><var>39.14</var>of the city of Bloomington and the city of Bloomington may elect to eliminate the real <br/>
<a id="pl.39.15"></a><var>39.15</var>property north of the existing building line on Lot 1, Block 1, Mall of America 7th <br/>
<a id="pl.39.16"></a><var>39.16</var>Addition, exclusive of Lots 2 and 3 from Tax Increment Financing District No. 1-C <br/>
<a id="pl.39.17"></a><var>39.17</var>within Industrial Development District No. 1 Airport South in the city of Bloomington, <br/>
<a id="pl.39.18"></a><var>39.18</var>Minnesota, and expand the boundaries of Tax Increment Financing District No. 1-G <br/>
<a id="pl.39.19"></a><var>39.19</var>to include that property. <br/>
<a id="pl.39.20"></a><var>39.20</var>    (b) If the city elects to transfer parcels under this authority, the county auditor shall <br/>
<a id="pl.39.21"></a><var>39.21</var>transfer the original tax capacity of the affected parcels from Tax Increment Financing <br/>
<a id="pl.39.22"></a><var>39.22</var>District No. 1-C to Tax Increment Financing District No. 1-G.<br/>
<a id="pl.39.23"></a><var>39.23</var>    Subd. 2. <b>Authority to extend duration limit; computation of increment.</b> (a) <br/>
<a id="pl.39.24"></a><var>39.24</var>Notwithstanding Minnesota Statutes, section 469.176, or Laws 1996, chapter 464, article <br/>
<a id="pl.39.25"></a><var>39.25</var>1, section 8, or any other law to the contrary, the city of Bloomington and its port authority <br/>
<a id="pl.39.26"></a><var>39.26</var>may extend the duration limits of Tax Increment Financing Districts No. 1-C and No. <br/>
<a id="pl.39.27"></a><var>39.27</var>1-G through December 31, 2033.<br/>
<a id="pl.39.28"></a><var>39.28</var>    (b) Effective for property taxes payable in 2017 through 2033, the captured tax <br/>
<a id="pl.39.29"></a><var>39.29</var>capacity of Tax Increment Financing District No. 1-C must be included in computing the <br/>
<a id="pl.39.30"></a><var>39.30</var>tax rates of each local taxing district and the tax increment equals only the amount of tax <br/>
<a id="pl.39.31"></a><var>39.31</var>computed under Minnesota Statutes, section 473F.08, subdivision 3c, paragraph (c).<br/>
<a id="pl.39.32"></a><var>39.32</var>    (c) Effective for property taxes payable in 2019 through 2033, the captured tax <br/>
<a id="pl.39.33"></a><var>39.33</var>capacity of Tax Increment Financing District No. 1-G must be included in computing the <br/>
<a id="pl.39.34"></a><var>39.34</var>tax rates of each local taxing district and the tax increment for the district equals only <br/>
<a id="pl.40.1"></a><var>40.1</var>the amount of tax computed under Minnesota Statutes, section 473F.08, subdivision <br/>
<a id="pl.40.2"></a><var>40.2</var>3c, paragraph (c).<br/>
<a id="pl.40.3"></a><var>40.3</var>    Subd. 3. <b>Treatment of increment.</b> Increments received under the provisions <br/>
<a id="pl.40.4"></a><var>40.4</var>of subdivision 2, paragraph (b) or (c), and Minnesota Statutes, section 473F.08, <br/>
<a id="pl.40.5"></a><var>40.5</var>subdivision 3c, are deemed to be tax increments of Tax Increment Financing District No. <br/>
<a id="pl.40.6"></a><var>40.6</var>1-G, notwithstanding any law to the contrary, and without regard to whether they are <br/>
<a id="pl.40.7"></a><var>40.7</var>attributable to captured tax capacity of Tax Increment Financing District No. 1-C.<br/>
<a id="pl.40.8"></a><var>40.8</var>    Subd. 4. <b>Condition.</b> The authority under this section expires and Tax Increment <br/>
<a id="pl.40.9"></a><var>40.9</var>Financing Districts No. 1-C and No. 1-G must be decertified for taxes payable in 2024 <br/>
<a id="pl.40.10"></a><var>40.10</var>and thereafter, if the total estimated market value of improvements for parcels located in <br/>
<a id="pl.40.11"></a><var>40.11</var>Tax Increment Financing District No. 1-G, as modified, do not exceed $100,000,000 <br/>
<a id="pl.40.12"></a><var>40.12</var>by taxes payable in 2023.<br/>
<a id="pl.40.13"></a><var>40.13</var><b>EFFECTIVE DATE.</b>This section is effective upon compliance of the governing <br/>
<a id="pl.40.14"></a><var>40.14</var>body of the city of Bloomington with the requirements of Minnesota Statutes, section <br/>
<a id="pl.40.15"></a><var>40.15</var>645.021, subdivision 3, but only if the city enters into a binding written agreement with <br/>
<a id="pl.40.16"></a><var>40.16</var>the Metropolitan Council to repair and restore, or to replace, the old Cedar Avenue bridge <br/>
<a id="pl.40.17"></a><var>40.17</var>for use by bicycle commuters and  recreational users. This section is effective without <br/>
<a id="pl.40.18"></a><var>40.18</var>approval of the county and school district under Minnesota Statutes, section 469.1782, <br/>
<a id="pl.40.19"></a><var>40.19</var>subdivision 2. The legislature finds that the county and school district are not "affected <br/>
<a id="pl.40.20"></a><var>40.20</var>local government units" within the meaning of Minnesota Statutes, section 469.1782, <br/>
<a id="pl.40.21"></a><var>40.21</var>because the provision allowing extended collection of increment by the tax increment <br/>
<a id="pl.40.22"></a><var>40.22</var>financing districts does not affect their tax bases and tax rates dissimilarly to other counties <br/>
<a id="pl.40.23"></a><var>40.23</var>and school districts in the metropolitan area.<br/>
<br/>
<a id="bill.4.11.0"></a><a id="pl.40.24"></a><var>40.24</var>    Sec. 11. <b>ST. CLOUD; TAX INCREMENT FINANCING.</b><br/>
<a id="pl.40.25"></a><var>40.25</var>    The request for certification of Tax Increment Financing District No. 2, commonly <br/>
<a id="pl.40.26"></a><var>40.26</var>referred to as the Norwest District, in the city of St. Cloud is deemed to have been made <br/>
<a id="pl.40.27"></a><var>40.27</var>on or after August 1, 1979, and before July 1, 1982. Revenues derived from tax increment <br/>
<a id="pl.40.28"></a><var>40.28</var>for that district must be treated for purposes of any law as revenue of a tax increment <br/>
<a id="pl.40.29"></a><var>40.29</var>financing district for which the request for certification was made during that time period.<br/>
<a id="pl.40.30"></a><var>40.30</var><b>EFFECTIVE DATE.</b>This section is effective upon approval by the governing <br/>
<a id="pl.40.31"></a><var>40.31</var>body of the city of St. Cloud and compliance with Minnesota Statutes, section 645.021, <br/>
<a id="pl.40.32"></a><var>40.32</var>subdivision 3.<br/>
<br/>
<a id="bill.4.12.0"></a><a id="pl.41.1"></a><var>41.1</var>    Sec. 12. <b>DAKOTA COUNTY COMMUNITY DEVELOPMENT AGENCY; TAX </b><br/>
<a id="pl.41.2"></a><var>41.2</var><b>INCREMENT FINANCING DISTRICT.</b><br/>
<a id="pl.41.3"></a><var>41.3</var>    Subdivision 1. <b>Authorization.</b> Notwithstanding the provisions of any other law, <br/>
<a id="pl.41.4"></a><var>41.4</var>the Dakota County Community Development Agency may establish a redevelopment tax <br/>
<a id="pl.41.5"></a><var>41.5</var>increment financing district comprised of the properties that were:<br/>
<a id="pl.41.6"></a><var>41.6</var>    (1) included in the CDA 10 Robert and South Street district in the city of West <br/>
<a id="pl.41.7"></a><var>41.7</var>St. Paul; and<br/>
<a id="pl.41.8"></a><var>41.8</var>    (2) not decertified before July 1, 2012.<br/>
<a id="pl.41.9"></a><var>41.9</var>The district created under this section terminates no later than December 31, 2018.<br/>
<a id="pl.41.10"></a><var>41.10</var>    Subd. 2. <b>Special rules.</b> The requirements for qualifying a redevelopment district <br/>
<a id="pl.41.11"></a><var>41.11</var>under Minnesota Statutes, section 469.174, subdivision 10, do not apply to parcels located <br/>
<a id="pl.41.12"></a><var>41.12</var>within the district. Minnesota Statutes, section 469.176, subdivision 4j, do not apply to the <br/>
<a id="pl.41.13"></a><var>41.13</var>district. The original tax capacity of the district is $93,239.<br/>
<a id="pl.41.14"></a><var>41.14</var>    Subd. 3. <b>Authorized expenditures.</b> Tax increment from the district may be <br/>
<a id="pl.41.15"></a><var>41.15</var>expended to pay for any eligible activities authorized by Minnesota Statutes, chapter 469, <br/>
<a id="pl.41.16"></a><var>41.16</var>within the redevelopment area that includes the district, provided that the boundaries of <br/>
<a id="pl.41.17"></a><var>41.17</var>the redevelopment area may not be expanded to add new area after April 1, 2013. All <br/>
<a id="pl.41.18"></a><var>41.18</var>expenditures for eligible activities are deemed to be activities within the district under <br/>
<a id="pl.41.19"></a><var>41.19</var>Minnesota Statutes, section 469.1763, subdivisions 2 to 4.<br/>
<a id="pl.41.20"></a><var>41.20</var>    Subd. 4. <b>Adjusted net tax capacity.</b> The captured tax capacity of the district must <br/>
<a id="pl.41.21"></a><var>41.21</var>be included in the adjusted net tax capacity of the city, county, and school district for the <br/>
<a id="pl.41.22"></a><var>41.22</var>purposes of determining local government aid, education aid, and county program aid. <br/>
<a id="pl.41.23"></a><var>41.23</var>The county auditor shall report to the commissioner of revenue the amount of the captured <br/>
<a id="pl.41.24"></a><var>41.24</var>tax capacity for the district at the time the assessment abstracts are filed.<br/>
<a id="pl.41.25"></a><var>41.25</var><b>EFFECTIVE DATE.</b>This section is effective upon compliance by the governing <br/>
<a id="pl.41.26"></a><var>41.26</var>body of the Dakota County Community Development Agency with the requirements of <br/>
<a id="pl.41.27"></a><var>41.27</var>Minnesota Statutes, section 645.021, subdivision 3.<br/>
<br/>
<a id="bill.4.13.0"></a><a id="pl.41.28"></a><var>41.28</var>    Sec. 13. <b>CITY OF GLENCOE; TAX INCREMENT FINANCING DISTRICT </b><br/>
<a id="pl.41.29"></a><var>41.29</var><b>EXTENSION.</b><br/>
<a id="pl.41.30"></a><var>41.30</var>    Subdivision 1. <b>Duration of district.</b> Notwithstanding the provisions of Minnesota <br/>
<a id="pl.41.31"></a><var>41.31</var>Statutes, section 469.176, subdivision 1b, paragraph (a), clause (4), or any other law to the <br/>
<a id="pl.41.32"></a><var>41.32</var>contrary, the city of Glencoe may collect tax increments from Tax Increment Financing <br/>
<a id="pl.41.33"></a><var>41.33</var>District No. 4 (McLeod County District No. 007) through December 31, 2023, subject to <br/>
<a id="pl.41.34"></a><var>41.34</var>the conditions in subdivision 2.<br/>
<a id="pl.42.1"></a><var>42.1</var>    Subd. 2. <b>Exclusive use of revenues.</b> (a) All tax increments derived from Tax <br/>
<a id="pl.42.2"></a><var>42.2</var>Increment Financing District No. 4 (McLeod County District No. 007) that are collected <br/>
<a id="pl.42.3"></a><var>42.3</var>after December 31, 2013, must be used only to pay debt service on or to defease bonds that <br/>
<a id="pl.42.4"></a><var>42.4</var>were outstanding on January 1, 2013 and that were issued to finance improvements serving:<br/>
<a id="pl.42.5"></a><var>42.5</var>    (1) Tax Increment Financing District No. 14 (McLeod County District No. 033) <br/>
<a id="pl.42.6"></a><var>42.6</var>(Downtown);<br/>
<a id="pl.42.7"></a><var>42.7</var>    (2) Tax Increment Financing District No. 15 (McLeod County District No. 035) <br/>
<a id="pl.42.8"></a><var>42.8</var>(Industrial Park); and<br/>
<a id="pl.42.9"></a><var>42.9</var>    (3) benefited properties as further described in proceedings related to the city's series <br/>
<a id="pl.42.10"></a><var>42.10</var>2007A bonds, dated September 1, 2007, and any bonds issued to refund those bonds.<br/>
<a id="pl.42.11"></a><var>42.11</var>    (b) Increments may also be used to pay debt service on or to defease bonds issued to <br/>
<a id="pl.42.12"></a><var>42.12</var>refund the bonds described in paragraph (a), if the refunding bonds do not increase the <br/>
<a id="pl.42.13"></a><var>42.13</var>present value of debt service due on the refunded bonds when the refunding is closed.<br/>
<a id="pl.42.14"></a><var>42.14</var>    (c) When the bonds described in paragraphs (a) and (b) have been paid or defeased, <br/>
<a id="pl.42.15"></a><var>42.15</var>the district must be decertified and any remaining increment returned to the city, county, <br/>
<a id="pl.42.16"></a><var>42.16</var>and school district as provided in Minnesota Statutes, section 469.176, subdivision 2, <br/>
<a id="pl.42.17"></a><var>42.17</var>paragraph (c), clause (4).<br/>
<a id="pl.42.18"></a><var>42.18</var><b>EFFECTIVE DATE.</b>This section is effective upon compliance by the governing <br/>
<a id="pl.42.19"></a><var>42.19</var>bodies of the city of Glencoe, McLeod County, and Independent School District No. <br/>
<a id="pl.42.20"></a><var>42.20</var>2859 with the requirements of Minnesota Statutes, sections 469.1782, subdivision 2, and <br/>
<a id="pl.42.21"></a><var>42.21</var>645.021, subdivision 3.<br/>
<br/>
<a id="bill.4.14.0"></a><a id="pl.42.22"></a><var>42.22</var>    Sec. 14. <b>CITY OF ELY; TAX INCREMENT FINANCING.</b><br/>
<a id="pl.42.23"></a><var>42.23</var>    Subdivision 1. <b>Extension of district.</b> Notwithstanding Minnesota Statutes, section <br/>
<a id="pl.42.24"></a><var>42.24</var>469.176, subdivision 1b, or any other law to the contrary, the city of Ely may collect <br/>
<a id="pl.42.25"></a><var>42.25</var>tax increment from Tax Increment Financing District No. 1 through December 31, <br/>
<a id="pl.42.26"></a><var>42.26</var>2021. Increments from the district may only be used to pay binding obligations and <br/>
<a id="pl.42.27"></a><var>42.27</var>administrative expenses.<br/>
<a id="pl.42.28"></a><var>42.28</var>    Subd. 2. <b>Binding obligations.</b> For purposes of this section, "binding obligations" <br/>
<a id="pl.42.29"></a><var>42.29</var>means the binding contractual or debt obligation of Tax Increment Financing District <br/>
<a id="pl.42.30"></a><var>42.30</var>No. 1 entered into before January 1, 2013.<br/>
<a id="pl.42.31"></a><var>42.31</var>    Subd. 3. <b>Expenditures outside district.</b> Notwithstanding Minnesota Statutes, <br/>
<a id="pl.42.32"></a><var>42.32</var>section 469.1763, subdivision 2, the governing body of the city of Ely may elect to <br/>
<a id="pl.42.33"></a><var>42.33</var>transfer revenues derived from increments from its Tax Increment Financing District No. <br/>
<a id="pl.42.34"></a><var>42.34</var>3 to the tax increment account established under Minnesota Statutes, section 469.177, <br/>
<a id="pl.43.1"></a><var>43.1</var>subdivision 5, for Tax Increment Financing District No. 1. The amount that may be <br/>
<a id="pl.43.2"></a><var>43.2</var>transferred is limited to the lesser of:<br/>
<a id="pl.43.3"></a><var>43.3</var>    (1) $168,000; or<br/>
<a id="pl.43.4"></a><var>43.4</var>    (2) the total amount due on binding obligations and outstanding on that date, less the <br/>
<a id="pl.43.5"></a><var>43.5</var>amount of increment collected by Tax Increment Financing District No. 1 after December <br/>
<a id="pl.43.6"></a><var>43.6</var>31, 2012, and administrative expenses of Tax Increment Financing District No. 1 incurred <br/>
<a id="pl.43.7"></a><var>43.7</var>after December 31, 2012.<br/>
<a id="pl.43.8"></a><var>43.8</var><b>EFFECTIVE DATE.</b>This section is effective upon approval by the governing <br/>
<a id="pl.43.9"></a><var>43.9</var>bodies of the city of Ely, St. Louis County, and Independent School District No. 696 with <br/>
<a id="pl.43.10"></a><var>43.10</var>the requirements of Minnesota Statutes, sections 469.1782, subdivision 2, and 645.021, <br/>
<a id="pl.43.11"></a><var>43.11</var>subdivision 3. <br/>
<br/>
<a id="bill.4.15.0"></a><a id="pl.43.12"></a><var>43.12</var>    Sec. 15. <b>CITY OF MAPLEWOOD; TAX INCREMENT FINANCING </b><br/>
<a id="pl.43.13"></a><var>43.13</var><b>DISTRICT; SPECIAL RULES.</b><br/>
<a id="pl.43.14"></a><var>43.14</var>    (a) If the city of Maplewood elects, upon the adoption of a tax increment financing <br/>
<a id="pl.43.15"></a><var>43.15</var>plan for a district, the rules under this section apply to one or more redevelopment <br/>
<a id="pl.43.16"></a><var>43.16</var>tax increment financing districts established by the city or the economic development <br/>
<a id="pl.43.17"></a><var>43.17</var>authority of the city. The area within which the redevelopment tax increment districts may <br/>
<a id="pl.43.18"></a><var>43.18</var>be created is parcel 362922240002 (the "parcel") or any replatted parcels constituting a <br/>
<a id="pl.43.19"></a><var>43.19</var>part of the parcel and the adjacent rights-of-way. For purposes of this section, the parcel is <br/>
<a id="pl.43.20"></a><var>43.20</var>the "3M Renovation and Retention Project Area" or "project area."<br/>
<a id="pl.43.21"></a><var>43.21</var>    (b) The requirements for qualifying redevelopment tax increment districts under <br/>
<a id="pl.43.22"></a><var>43.22</var>Minnesota Statutes, section 469.174, subdivision 10, do not apply to the parcel, which is <br/>
<a id="pl.43.23"></a><var>43.23</var>deemed eligible for inclusion in a redevelopment tax increment district.<br/>
<a id="pl.43.24"></a><var>43.24</var>    (c) The 90 percent rule under Minnesota Statutes, section 469.176, subdivision <br/>
<a id="pl.43.25"></a><var>43.25</var>4j, does not apply to the parcel.<br/>
<a id="pl.43.26"></a><var>43.26</var>    (d) The expenditures outside district rule under Minnesota Statutes, section <br/>
<a id="pl.43.27"></a><var>43.27</var>469.1763, subdivision 2, does not apply; the five-year rule under Minnesota Statutes, <br/>
<a id="pl.43.28"></a><var>43.28</var>section 469.1763, subdivision 3, is extended to ten years; and expenditures must only <br/>
<a id="pl.43.29"></a><var>43.29</var>be made within the project area.<br/>
<a id="pl.43.30"></a><var>43.30</var>    (e) If, after one year from the date of certification of the original net tax capacity <br/>
<a id="pl.43.31"></a><var>43.31</var>of the tax increment district, no demolition, rehabilitation, or renovation of property has <br/>
<a id="pl.43.32"></a><var>43.32</var>been commenced on a parcel located within the tax increment district, no additional tax <br/>
<a id="pl.43.33"></a><var>43.33</var>increment may be taken from that parcel, and the original net tax capacity of the parcel <br/>
<a id="pl.43.34"></a><var>43.34</var>shall be excluded from the original net tax capacity of the tax increment district. If 3M <br/>
<a id="pl.43.35"></a><var>43.35</var>Company subsequently commences demolition, rehabilitation, or renovation, the authority <br/>
<a id="pl.44.1"></a><var>44.1</var>shall certify to the county auditor that the activity has commenced, and the county auditor <br/>
<a id="pl.44.2"></a><var>44.2</var>shall certify the net tax capacity thereof as most recently certified by the commissioner <br/>
<a id="pl.44.3"></a><var>44.3</var>of revenue and add it to the original net tax capacity of the tax increment district. The <br/>
<a id="pl.44.4"></a><var>44.4</var>authority must submit to the county auditor evidence that the required activity has taken <br/>
<a id="pl.44.5"></a><var>44.5</var>place for each parcel in the district.<br/>
<a id="pl.44.6"></a><var>44.6</var>    (f) The authority to approve a tax increment financing plan and to establish a tax <br/>
<a id="pl.44.7"></a><var>44.7</var>increment financing district under this section expires December 31, 2018.<br/>
<a id="pl.44.8"></a><var>44.8</var><b>EFFECTIVE DATE.</b>This section is effective upon approval by the governing <br/>
<a id="pl.44.9"></a><var>44.9</var>body of the city of Maplewood and upon compliance with Minnesota Statutes, section <br/>
<a id="pl.44.10"></a><var>44.10</var>645.021, subdivision 3.<br/>
<br/>
<a id="bill.4.16.0"></a><a id="pl.44.11"></a><var>44.11</var>    Sec. 16. <b>CITY OF MINNEAPOLIS; STREETCAR FINANCING.</b><br/>
<a id="pl.44.12"></a><var>44.12</var>    Subdivision 1. <b>Definitions.</b> (a) For purposes of this section, the following terms <br/>
<a id="pl.44.13"></a><var>44.13</var>have the meanings given them.<br/>
<a id="pl.44.14"></a><var>44.14</var>    (b) "City" means the city of Minneapolis.<br/>
<a id="pl.44.15"></a><var>44.15</var>    (c) "County" means Hennepin County.<br/>
<a id="pl.44.16"></a><var>44.16</var>    (d) "District" means the areas certified by the city under subdivision 2 for collection <br/>
<a id="pl.44.17"></a><var>44.17</var>of value capture taxes.<br/>
<a id="pl.44.18"></a><var>44.18</var>    (e) "Project area" means the area including one city block on either side of a streetcar <br/>
<a id="pl.44.19"></a><var>44.19</var>line designated by the city to serve the downtown and adjacent neighborhoods of the city.<br/>
<a id="pl.44.20"></a><var>44.20</var>    Subd. 2. <b>Authority to establish district.</b> (a) The governing body of the city may, by <br/>
<a id="pl.44.21"></a><var>44.21</var>resolution, establish a value capture district consisting of some or all of the taxable parcels <br/>
<a id="pl.44.22"></a><var>44.22</var>located within one or more of the following areas of the city, as described in the resolution:<br/>
<a id="pl.44.23"></a><var>44.23</var>    (1) the area bounded by Nicollet Avenue on the west, 16th Street East on the south, <br/>
<a id="pl.44.24"></a><var>44.24</var>First Avenue South on the east, and 14th Street East on the north;<br/>
<a id="pl.44.25"></a><var>44.25</var>    (2) the area bounded by Spruce Place on the west, 14th Street West on the south, <br/>
<a id="pl.44.26"></a><var>44.26</var>LaSalle Avenue on the east, and Grant Street West on the north;<br/>
<a id="pl.44.27"></a><var>44.27</var>    (3) the area bounded by Nicollet Avenue or Mall on the west, Fifth Street South on <br/>
<a id="pl.44.28"></a><var>44.28</var>the south, Marquette Avenue on the east, and Fourth Street South on the north; and<br/>
<a id="pl.44.29"></a><var>44.29</var>    (4) the area bounded by First Avenue North on the west, Washington Avenue on the <br/>
<a id="pl.44.30"></a><var>44.30</var>south, Hennepin Avenue on the east, and Second Street North on the north.<br/>
<a id="pl.44.31"></a><var>44.31</var>    (b) The city may establish the district and the project area only after holding a public <br/>
<a id="pl.44.32"></a><var>44.32</var>hearing on its proposed creation after publishing notice of the hearing and the proposal at <br/>
<a id="pl.44.33"></a><var>44.33</var>least once not less than ten days nor more than 30 days before the date of the hearing.<br/>
<a id="pl.45.1"></a><var>45.1</var>    Subd. 3. <b>Calculation of value capture district; administrative provisions.</b> (a) If <br/>
<a id="pl.45.2"></a><var>45.2</var>the city establishes a value capture district under subdivision 2, the city shall request the <br/>
<a id="pl.45.3"></a><var>45.3</var>county auditor to certify the district for calculation of the district's tax revenues.<br/>
<a id="pl.45.4"></a><var>45.4</var>    (b) For purposes of calculating the tax revenues of the district, the county auditor <br/>
<a id="pl.45.5"></a><var>45.5</var>shall treat the district as if it were a request for certification of a tax increment financing <br/>
<a id="pl.45.6"></a><var>45.6</var>district under the provisions of Minnesota Statutes, section 469.177, and shall calculate <br/>
<a id="pl.45.7"></a><var>45.7</var>the tax revenues of the district for each year of its duration under subdivision 4 as equaling <br/>
<a id="pl.45.8"></a><var>45.8</var>the amount of tax increment under Minnesota Statutes, section 469.177, except that the <br/>
<a id="pl.45.9"></a><var>45.9</var>current total tax rate, excluding the state general tax rate, must be used in the calculation, <br/>
<a id="pl.45.10"></a><var>45.10</var>rather than a certified original tax rate. The city shall provide the county auditor with the <br/>
<a id="pl.45.11"></a><var>45.11</var>necessary information to certify the district, including the option for calculating revenues <br/>
<a id="pl.45.12"></a><var>45.12</var>derived from the areawide tax rate under Minnesota Statutes, chapter 473F.<br/>
<a id="pl.45.13"></a><var>45.13</var>    (c) The county auditor shall pay to the city at the same times provided for settlement <br/>
<a id="pl.45.14"></a><var>45.14</var>of taxes and payment of tax increments the tax revenues of the district. The city must use <br/>
<a id="pl.45.15"></a><var>45.15</var>the tax revenues as provided under subdivision 4.<br/>
<a id="pl.45.16"></a><var>45.16</var>    Subd. 4. <b>Permitted uses of district tax revenues.</b> (a) In addition to paying for <br/>
<a id="pl.45.17"></a><var>45.17</var>reasonable administrative costs of the district, the city may spend tax revenues of the <br/>
<a id="pl.45.18"></a><var>45.18</var>district for property acquisition, improvements, and equipment to be used for operations <br/>
<a id="pl.45.19"></a><var>45.19</var>within the project area, along with related costs, for:<br/>
<a id="pl.45.20"></a><var>45.20</var>    (1) planning, design, and engineering services related to the construction of the <br/>
<a id="pl.45.21"></a><var>45.21</var>streetcar line;<br/>
<a id="pl.45.22"></a><var>45.22</var>    (2) acquiring property for, constructing, and installing a streetcar line;<br/>
<a id="pl.45.23"></a><var>45.23</var>    (3) acquiring and maintaining equipment and rolling stock and related facilities, such <br/>
<a id="pl.45.24"></a><var>45.24</var>as maintenance facilities, which need not be located in the project area;<br/>
<a id="pl.45.25"></a><var>45.25</var>    (4) acquiring, constructing, or improving transit stations; and<br/>
<a id="pl.45.26"></a><var>45.26</var>    (5) acquiring or improving public space, including the construction and installation <br/>
<a id="pl.45.27"></a><var>45.27</var>of improvements to streets and sidewalks, decorative lighting and surfaces, and plantings <br/>
<a id="pl.45.28"></a><var>45.28</var>related to the streetcar line.<br/>
<a id="pl.45.29"></a><var>45.29</var>    (b) The city may issue bonds or other obligations under Minnesota Statutes, chapter <br/>
<a id="pl.45.30"></a><var>45.30</var>475, without an election, to fund acquisition or improvement of property of a capital <br/>
<a id="pl.45.31"></a><var>45.31</var>nature authorized by this section, including any costs of issuance. The city may also issue <br/>
<a id="pl.45.32"></a><var>45.32</var>bonds or other obligations to refund those bonds or obligations. Payment of principal <br/>
<a id="pl.45.33"></a><var>45.33</var>and interest on the bonds or other obligations issued under this paragraph is a permitted <br/>
<a id="pl.45.34"></a><var>45.34</var>use of the district's tax revenues.<br/>
<a id="pl.45.35"></a><var>45.35</var>    (c) Tax revenues of the district may not be used for the operation of the streetcar line.<br/>
<a id="pl.46.1"></a><var>46.1</var>    Subd. 5. <b>Duration of the district.</b> A district established under this section is limited <br/>
<a id="pl.46.2"></a><var>46.2</var>to the lesser of (1) 25 years of tax revenues, or (2) the time necessary to collect tax revenues <br/>
<a id="pl.46.3"></a><var>46.3</var>equal to the amount of the capital costs permitted under subdivision 4 or the amount needed <br/>
<a id="pl.46.4"></a><var>46.4</var>to pay or defease bonds or other obligations issued under subdivision 4, whichever is later.<br/>
<a id="pl.46.5"></a><var>46.5</var><b>EFFECTIVE DATE.</b>This section is effective the day following final enactment.<br/>
<br/>
<a id="bill.5.0.0"></a>

<a id="bill.5.1.0"></a><a id="pl.46.8"></a><var>46.8</var>    Section 1. <b>[116C.99] SILICA SAND MINING ACCOUNT.</b><br/>
<a id="pl.46.9"></a><var>46.9</var>    A silica sand mining account is created in the special revenue fund. Money in the <br/>
<a id="pl.46.10"></a><var>46.10</var>account is available for development of model standards, technical assistance to counties <br/>
<a id="pl.46.11"></a><var>46.11</var>and other governments, other assistance to counties, and other purposes as appropriated <br/>
<a id="pl.46.12"></a><var>46.12</var>by law.<br/>
<br/>
<a id="bill.5.2.0"></a><a id="pl.46.13"></a><var>46.13</var>    Sec. 2. <b>[297J.01] DEFINITIONS.</b><br/>
<a id="pl.46.14"></a><var>46.14</var>    Subdivision 1. <b>Scope.</b> Unless otherwise defined in this chapter, or unless the <br/>
<a id="pl.46.15"></a><var>46.15</var>context clearly indicates otherwise, the terms used in this chapter have the meaning given <br/>
<a id="pl.46.16"></a><var>46.16</var>them in this section. The definitions in this section are for tax administration purposes <br/>
<a id="pl.46.17"></a><var>46.17</var>and apply to this chapter.<br/>
<a id="pl.46.18"></a><var>46.18</var>    Subd. 2. <b>Commissioner.</b> "Commissioner" means the commissioner of revenue or a <br/>
<a id="pl.46.19"></a><var>46.19</var>person to whom the commissioner has delegated functions.<br/>
<a id="pl.46.20"></a><var>46.20</var>    Subd. 3. <b>Mining.</b> "Mining" means excavating and mining of silica sand by any <br/>
<a id="pl.46.21"></a><var>46.21</var>process, including digging, excavating, drilling, blasting, tunneling, dredging, stripping, <br/>
<a id="pl.46.22"></a><var>46.22</var>or by shaft.<br/>
<a id="pl.46.23"></a><var>46.23</var>    Subd. 4. <b>Person.</b> "Person" means an individual, fiduciary, estate, trust, partnership, <br/>
<a id="pl.46.24"></a><var>46.24</var>or corporation.<br/>
<a id="pl.46.25"></a><var>46.25</var>    Subd. 5. <b>Processing.</b> "Processing" means washing, cleaning, screening, crushing, <br/>
<a id="pl.46.26"></a><var>46.26</var>filtering, sorting, stockpiling, and storing silica sand at the mining site or at any other site.<br/>
<a id="pl.46.27"></a><var>46.27</var>    Subd. 6. <b>Silica sand.</b> "Silica sand" means well-rounded, sand-sized grains of quartz <br/>
<a id="pl.46.28"></a><var>46.28</var>(silica dioxide) with very few impurities in terms of other minerals. Specifically, silica <br/>
<a id="pl.46.29"></a><var>46.29</var>sand for the purpose of this section is commercially valuable for use in the hydraulic <br/>
<a id="pl.46.30"></a><var>46.30</var>fracturing of shale to obtain oil and natural gas. Silica sand does not include common <br/>
<a id="pl.46.31"></a><var>46.31</var>rock, stone, aggregate, gravel, sand with a low quartz level, or silica compounds recovered <br/>
<a id="pl.46.32"></a><var>46.32</var>as a by-product of metallic mining.<br/>
<a id="pl.47.1"></a><var>47.1</var>    Subd. 7. <b>Temporary storage.</b> "Temporary storage" means the storage of stockpiles <br/>
<a id="pl.47.2"></a><var>47.2</var>of silica sand that have been transported and are awaiting further transport.<br/>
<a id="pl.47.3"></a><var>47.3</var>    Subd. 8. <b>Ton.</b> "Ton" means 2,000 pounds.<br/>
<a id="pl.47.4"></a><var>47.4</var>    Subd. 9. <b>Transporting.</b> "Transporting" means hauling silica sand, by any carrier:<br/>
<a id="pl.47.5"></a><var>47.5</var>    (1) from the mining site to a processing or transfer site; or<br/>
<a id="pl.47.6"></a><var>47.6</var>    (2) from a processing or storage site to a rail, barge, or transfer site for shipment.<br/>
<a id="pl.47.7"></a><var>47.7</var>    Subd. 10. <b>Year.</b> "Year" means a calendar year.<br/>
<a id="pl.47.8"></a><var>47.8</var><b>EFFECTIVE DATE.</b>This section is effective the day following final enactment.<br/>
<br/>
<a id="bill.5.3.0"></a><a id="pl.47.9"></a><var>47.9</var>    Sec. 3. <b>[297J.02] TAX IMPOSED.</b><br/>
<a id="pl.47.10"></a><var>47.10</var>    Subdivision 1. <b>Mining tax; rate.</b> A tax is imposed on any person who mines silica <br/>
<a id="pl.47.11"></a><var>47.11</var>sand from within the state. The tax equals 40 cents per cubic yard of fracturing sand <br/>
<a id="pl.47.12"></a><var>47.12</var>extracted. The volume includes any material removed from the extraction site prior to <br/>
<a id="pl.47.13"></a><var>47.13</var>washing.<br/>
<a id="pl.47.14"></a><var>47.14</var>    Subd. 2. <b>Processing tax; rate.</b> A tax is imposed on any person engaged in <br/>
<a id="pl.47.15"></a><var>47.15</var>processing silica sand within the state. The rate of tax imposed is three percent of the <br/>
<a id="pl.47.16"></a><var>47.16</var>market value of the silica sand processed. Market value is determined based on the sale <br/>
<a id="pl.47.17"></a><var>47.17</var>price of the processed silica sand.<br/>
<a id="pl.47.18"></a><var>47.18</var>    Subd. 3. <b>Return and remittance.</b> Taxes imposed by this section are due and <br/>
<a id="pl.47.19"></a><var>47.19</var>payable to the commissioner when the silica sand return is required to be filed. Silica sand <br/>
<a id="pl.47.20"></a><var>47.20</var>returns must be filed on a form prescribed by the commissioner. Silica sand returns and <br/>
<a id="pl.47.21"></a><var>47.21</var>taxes imposed under this section must be filed with the commissioner on or before the <br/>
<a id="pl.47.22"></a><var>47.22</var>20th day of the month following the close of the previous calendar month.<br/>
<a id="pl.47.23"></a><var>47.23</var>    Subd. 4. <b>Proceeds of taxes.</b> Revenue received from taxes under this chapter, as <br/>
<a id="pl.47.24"></a><var>47.24</var>well as all related penalties, interest, fees, and miscellaneous sources of revenue, must be <br/>
<a id="pl.47.25"></a><var>47.25</var>deposited by the commissioner in the state treasury and credited as follows:<br/>
<a id="pl.47.26"></a><var>47.26</var>    (1) $2,000,000 in fiscal year 2014, $2,690,000 in fiscal year 2015, and $2,000,000 in <br/>
<a id="pl.47.27"></a><var>47.27</var>each fiscal year thereafter must be credited to the silica sand mining account in the special <br/>
<a id="pl.47.28"></a><var>47.28</var>revenue fund under section 116C.99; and<br/>
<a id="pl.47.29"></a><var>47.29</var>    (2) the balance of revenues derived from taxes, penalties, interest, fees, and <br/>
<a id="pl.47.30"></a><var>47.30</var>miscellaneous sources of income are credited to the general fund.<br/>
<a id="pl.47.31"></a><var>47.31</var>    Subd. 5. <b>Personal debt.</b> The tax imposed by this section, and interest and penalties <br/>
<a id="pl.47.32"></a><var>47.32</var>imposed with respect to it, are a personal debt of the person required to file a return from <br/>
<a id="pl.47.33"></a><var>47.33</var>the time the liability for it arises, irrespective of when the time for payment of the liability <br/>
<a id="pl.47.34"></a><var>47.34</var>occurs. The debt must, in the case of the executor or administrator of the estate of a <br/>
<a id="pl.47.35"></a><var>47.35</var>decedent and in the case of a fiduciary, be that of the person in the person's official or <br/>
<a id="pl.48.1"></a><var>48.1</var>fiduciary capacity only unless the person has voluntarily distributed the assets held in that <br/>
<a id="pl.48.2"></a><var>48.2</var>capacity without reserving sufficient assets to pay the tax, interest, and penalties, in which <br/>
<a id="pl.48.3"></a><var>48.3</var>event the person is personally liable for any deficiency.<br/>
<a id="pl.48.4"></a><var>48.4</var>    Subd. 6. <b>Refunds; appropriation.</b> A person who has paid to the commissioner <br/>
<a id="pl.48.5"></a><var>48.5</var>an amount of tax under this chapter for a period in excess of the amount legally due <br/>
<a id="pl.48.6"></a><var>48.6</var>for that period, may file with the commissioner a claim for a refund of the excess. The <br/>
<a id="pl.48.7"></a><var>48.7</var>amount necessary to pay the refunds under this subdivision is appropriated from the <br/>
<a id="pl.48.8"></a><var>48.8</var>general fund to the commissioner.<br/>
<a id="pl.48.9"></a><var>48.9</var><b>EFFECTIVE DATE.</b>This section is effective the day following final enactment.<br/>
<br/>
<a id="bill.5.4.0"></a><a id="pl.48.10"></a><var>48.10</var>    Sec. 4. <b>[297J.03] REGISTRATION; REPORTING; FILING REQUIREMENTS.</b><br/>
<a id="pl.48.11"></a><var>48.11</var>    Subdivision 1. <b>Registration.</b> A person who extracts or processes silica sand within <br/>
<a id="pl.48.12"></a><var>48.12</var>the state must register with the commissioner, on a form prescribed by the commissioner, <br/>
<a id="pl.48.13"></a><var>48.13</var>for a silica sand identification number. The commissioner shall issue the applicant a <br/>
<a id="pl.48.14"></a><var>48.14</var>registration number. A registration number is not assignable and is valid only for the <br/>
<a id="pl.48.15"></a><var>48.15</var>person in whose name it is issued.<br/>
<a id="pl.48.16"></a><var>48.16</var>    Subd. 2. <b>Reporting.</b> (a) A person who extracts or processes silica sand in this state <br/>
<a id="pl.48.17"></a><var>48.17</var>must file a report showing the amount of silica sand extracted or processed monthly on or <br/>
<a id="pl.48.18"></a><var>48.18</var>before the 20th day of the month following the month in which the silica sand was extracted <br/>
<a id="pl.48.19"></a><var>48.19</var>or processed. The commissioner may inspect the premises, books, and records, of a person <br/>
<a id="pl.48.20"></a><var>48.20</var>subject to the silica sand tax during the normal business hours of the person extracting or <br/>
<a id="pl.48.21"></a><var>48.21</var>processing silica sand. A person violating this section is guilty of a misdemeanor.<br/>
<a id="pl.48.22"></a><var>48.22</var>    (b) A person shall keep at each place of business complete and accurate records <br/>
<a id="pl.48.23"></a><var>48.23</var>for that place of business, including records of silica sand extracted or processed in the <br/>
<a id="pl.48.24"></a><var>48.24</var>state. Scale records, sales records, or any other records of tons of silica sand extracted <br/>
<a id="pl.48.25"></a><var>48.25</var>or processed in this state, produced or maintained by the person extracting or processing <br/>
<a id="pl.48.26"></a><var>48.26</var>silica sand, must be retained by the person extracting or processing silica sand in this <br/>
<a id="pl.48.27"></a><var>48.27</var>state. Books, records, invoices, and other papers and documents required by this section <br/>
<a id="pl.48.28"></a><var>48.28</var>must be kept for a period of at least 3-1/2 years after the date of the monthly silica sand <br/>
<a id="pl.48.29"></a><var>48.29</var>report unless the commissioner of revenue authorizes, in writing, their destruction or <br/>
<a id="pl.48.30"></a><var>48.30</var>disposal at an earlier date.<br/>
<a id="pl.48.31"></a><var>48.31</var>    Subd. 3. <b>Extensions.</b> If, in the commissioner's judgment, good cause exists, the <br/>
<a id="pl.48.32"></a><var>48.32</var>commissioner may extend the time for filing reports under this section and silica sand <br/>
<a id="pl.48.33"></a><var>48.33</var>returns under section 297J.02 and for paying taxes under section 297J.02 for not more <br/>
<a id="pl.48.34"></a><var>48.34</var>than six months.<br/>
<a id="pl.49.1"></a><var>49.1</var><b>EFFECTIVE DATE.</b>This section is effective the day following final enactment.<br/>
<br/>
<a id="bill.5.5.0"></a><a id="pl.49.2"></a><var>49.2</var>    Sec. 5. <b>[297J.04] LIMITATIONS ON TIME FOR ASSESSMENT OF TAX.</b><br/>
<a id="pl.49.3"></a><var>49.3</var>    Subdivision 1. <b>Assessment.</b> Except as otherwise provided in this chapter, the <br/>
<a id="pl.49.4"></a><var>49.4</var>amount of taxes assessable must be assessed within 3-1/2 years after the date the return is <br/>
<a id="pl.49.5"></a><var>49.5</var>filed, whether or not the return is filed on or after the date prescribed. A return must not be <br/>
<a id="pl.49.6"></a><var>49.6</var>treated as filed until it is in processible form. A return is in processible form if it is filed <br/>
<a id="pl.49.7"></a><var>49.7</var>on a permitted form and contains sufficient data to identify the taxpayer and permit the <br/>
<a id="pl.49.8"></a><var>49.8</var>mathematical verification of the tax liability shown on the return. For purposes of this <br/>
<a id="pl.49.9"></a><var>49.9</var>section, a return filed before the last day prescribed by law for filing is considered to <br/>
<a id="pl.49.10"></a><var>49.10</var>be filed on the last day.<br/>
<a id="pl.49.11"></a><var>49.11</var>    Subd. 2. <b>False or fraudulent return.</b> Notwithstanding subdivision 1, the tax may be <br/>
<a id="pl.49.12"></a><var>49.12</var>assessed at any time if a false or fraudulent return is filed or if a taxpayer fails to file a return.<br/>
<a id="pl.49.13"></a><var>49.13</var>    Subd. 3. <b>Omission in excess of 25 percent.</b> Additional taxes may be assessed <br/>
<a id="pl.49.14"></a><var>49.14</var>within 6-1/2 years after the due date of the return or the date the return was filed, <br/>
<a id="pl.49.15"></a><var>49.15</var>whichever is later, if the taxpayer omits from a return taxes in excess of 25 percent of <br/>
<a id="pl.49.16"></a><var>49.16</var>the taxes reported in the return.<br/>
<a id="pl.49.17"></a><var>49.17</var>    Subd. 4. <b>Time limit on refunds.</b> Unless otherwise provided in this chapter, a claim <br/>
<a id="pl.49.18"></a><var>49.18</var>for a refund of an overpayment of tax must be filed within 3-1/2 years from the date <br/>
<a id="pl.49.19"></a><var>49.19</var>prescribed for filing the silica sand tax return. Interest on refunds must be computed at <br/>
<a id="pl.49.20"></a><var>49.20</var>the rate specified in section 270C.405 from the date of payment to the date the refund is <br/>
<a id="pl.49.21"></a><var>49.21</var>paid or credited. For purposes of this subdivision, the date of payment is the later of the <br/>
<a id="pl.49.22"></a><var>49.22</var>date the tax was finally due or was paid.<br/>
<a id="pl.49.23"></a><var>49.23</var>    Subd. 5. <b>Bankruptcy; suspension of time.</b> The time during which a tax must be <br/>
<a id="pl.49.24"></a><var>49.24</var>assessed or collection proceedings begun is suspended during the period from the date of a <br/>
<a id="pl.49.25"></a><var>49.25</var>filing of a petition in bankruptcy until 30 days after either: (1) notice to the commissioner <br/>
<a id="pl.49.26"></a><var>49.26</var>that the bankruptcy proceedings have been closed or dismissed; or (2) the automatic stay <br/>
<a id="pl.49.27"></a><var>49.27</var>has been ended or has expired, whichever occurs first. The suspension of the statute of <br/>
<a id="pl.49.28"></a><var>49.28</var>limitations under this subdivision applies to the person the petition in bankruptcy is filed <br/>
<a id="pl.49.29"></a><var>49.29</var>against, and all other persons who may also be wholly or partially liable for the tax.<br/>
<a id="pl.49.30"></a><var>49.30</var>    Subd. 6. <b>Extension agreement.</b> If, before the expiration of time prescribed in <br/>
<a id="pl.49.31"></a><var>49.31</var>subdivisions 1 and 4 for the assessment of tax or the filing of a claim for refund, both the <br/>
<a id="pl.49.32"></a><var>49.32</var>commissioner and the taxpayer have consented in writing to the assessment or filing of a <br/>
<a id="pl.49.33"></a><var>49.33</var>claim for refund after that time, the tax may be assessed or the claim for refund filed at any <br/>
<a id="pl.49.34"></a><var>49.34</var>time before the expiration of the agreed upon period. The period may be extended by later <br/>
<a id="pl.49.35"></a><var>49.35</var>agreements in writing before the expiration of the period previously agreed upon.<br/>
<a id="pl.50.1"></a><var>50.1</var><b>EFFECTIVE DATE.</b>This section is effective the day following final enactment<br/>
<br/>
<a id="bill.5.6.0"></a><a id="pl.50.2"></a><var>50.2</var>    Sec. 6. <b>[297J.05] CIVIL PENALTIES.</b><br/>
<a id="pl.50.3"></a><var>50.3</var>    Subdivision 1. <b>Penalty for failure to pay tax.</b> If a tax is not paid within the time <br/>
<a id="pl.50.4"></a><var>50.4</var>specified for payment, a penalty is added to the amount required to be shown as tax. The <br/>
<a id="pl.50.5"></a><var>50.5</var>penalty is five percent of the unpaid tax if the failure is for not more than 30 days, with <br/>
<a id="pl.50.6"></a><var>50.6</var>an additional penalty of five percent of the amount of tax remaining unpaid during each <br/>
<a id="pl.50.7"></a><var>50.7</var>additional 30 days or fraction of 30 days during which the failure continues, not exceeding <br/>
<a id="pl.50.8"></a><var>50.8</var>15 percent in the aggregate. For purposes of this subdivision, if the taxpayer has not filed <br/>
<a id="pl.50.9"></a><var>50.9</var>a return, the time specified for payment is the final date a return should have been filed.<br/>
<a id="pl.50.10"></a><var>50.10</var>    Subd. 2. <b>Penalty for failure to make and file return.</b> If a taxpayer fails to make <br/>
<a id="pl.50.11"></a><var>50.11</var>and file a return within the time prescribed or an extension, a penalty is added to the tax. <br/>
<a id="pl.50.12"></a><var>50.12</var>The penalty is five percent of the amount of tax not paid on or before the date prescribed <br/>
<a id="pl.50.13"></a><var>50.13</var>for payment of the tax.<br/>
<a id="pl.50.14"></a><var>50.14</var>    Subd. 3. <b>Penalty for intentional disregard of law or rules.</b> If part of an additional <br/>
<a id="pl.50.15"></a><var>50.15</var>assessment is due to negligence or intentional disregard of the provisions of this chapter or <br/>
<a id="pl.50.16"></a><var>50.16</var>rules of the commissioner of revenue (but without intent to defraud), there is added to the <br/>
<a id="pl.50.17"></a><var>50.17</var>tax an amount equal to ten percent of the additional assessment.<br/>
<a id="pl.50.18"></a><var>50.18</var>    Subd. 4. <b>Penalty for false or fraudulent return; evasion.</b> If a person files a false <br/>
<a id="pl.50.19"></a><var>50.19</var>or fraudulent return, or attempts in any manner to evade or defeat a tax or payment of <br/>
<a id="pl.50.20"></a><var>50.20</var>tax, there is imposed on the person a penalty equal to 50 percent of the tax found due <br/>
<a id="pl.50.21"></a><var>50.21</var>for the period to which the return related, less amounts paid by the person on the basis <br/>
<a id="pl.50.22"></a><var>50.22</var>of the false or fraudulent return.<br/>
<a id="pl.50.23"></a><var>50.23</var>    Subd. 5. <b>Penalty for repeated failures to file returns or pay taxes.</b> If there is a <br/>
<a id="pl.50.24"></a><var>50.24</var>pattern by a person of repeated failures to timely file returns or timely pay taxes, and <br/>
<a id="pl.50.25"></a><var>50.25</var>written notice is given that a penalty will be imposed if such failures continue, a penalty <br/>
<a id="pl.50.26"></a><var>50.26</var>of 25 percent of the amount of tax not timely paid as a result of each such subsequent <br/>
<a id="pl.50.27"></a><var>50.27</var>failure is added to the tax. The penalty can be abated under the abatement authority in <br/>
<a id="pl.50.28"></a><var>50.28</var>section 270C.34.<br/>
<a id="pl.50.29"></a><var>50.29</var>    Subd. 6. <b>Payment of penalties.</b> The penalties imposed by this section must be <br/>
<a id="pl.50.30"></a><var>50.30</var>collected and paid in the same manner as taxes. These penalties are in addition to criminal <br/>
<a id="pl.50.31"></a><var>50.31</var>penalties imposed by this chapter.<br/>
<a id="pl.50.32"></a><var>50.32</var><b>EFFECTIVE DATE.</b>This section is effective the day following final enactment.<br/>
<br/>
<a id="bill.5.7.0"></a><a id="pl.50.33"></a><var>50.33</var>    Sec. 7. <b>[297J.07] INTEREST.</b><br/>
<a id="pl.51.1"></a><var>51.1</var>    Subdivision 1. <b>Rate.</b> If an interest assessment is required under this section, interest <br/>
<a id="pl.51.2"></a><var>51.2</var>is computed at the rate specified in section 270C.40.<br/>
<a id="pl.51.3"></a><var>51.3</var>    Subd. 2. <b>Late payment.</b> If a tax is not paid within the time specified by law for <br/>
<a id="pl.51.4"></a><var>51.4</var>payment, the unpaid tax bears interest from the date the tax should have been paid until <br/>
<a id="pl.51.5"></a><var>51.5</var>the date the tax is paid.<br/>
<a id="pl.51.6"></a><var>51.6</var>    Subd. 3. <b>Extensions.</b> If an extension of time for payment has been granted, interest <br/>
<a id="pl.51.7"></a><var>51.7</var>must be paid from the date the payment should have been made if no extension had been <br/>
<a id="pl.51.8"></a><var>51.8</var>granted, until the date the tax is paid.<br/>
<a id="pl.51.9"></a><var>51.9</var>    Subd. 4. <b>Additional assessments.</b> If a taxpayer is liable for additional taxes because <br/>
<a id="pl.51.10"></a><var>51.10</var>of a redetermination by the commissioner, or for any other reason, the additional taxes <br/>
<a id="pl.51.11"></a><var>51.11</var>bear interest from the time the tax should have been paid, without regard to any extension <br/>
<a id="pl.51.12"></a><var>51.12</var>allowed, until the date the tax is paid.<br/>
<a id="pl.51.13"></a><var>51.13</var>    Subd. 5. <b>Erroneous refunds.</b> In the case of an erroneous refund, interest accrues <br/>
<a id="pl.51.14"></a><var>51.14</var>from the date the refund was paid unless the erroneous refund results from a mistake of <br/>
<a id="pl.51.15"></a><var>51.15</var>the department, then no interest or penalty is imposed unless the deficiency assessment is <br/>
<a id="pl.51.16"></a><var>51.16</var>not satisfied within 60 days of the order.<br/>
<a id="pl.51.17"></a><var>51.17</var>    Subd. 6. <b>Interest on judgments.</b> Notwithstanding section 549.09, if judgment is <br/>
<a id="pl.51.18"></a><var>51.18</var>entered in favor of the commissioner with regard to any tax, the judgment bears interest <br/>
<a id="pl.51.19"></a><var>51.19</var>at the rate specified in section 270C.40 from the date the judgment is entered until the <br/>
<a id="pl.51.20"></a><var>51.20</var>date of payment.<br/>
<a id="pl.51.21"></a><var>51.21</var>    Subd. 7. <b>Interest on penalties.</b> A penalty imposed under section 297J.05, <br/>
<a id="pl.51.22"></a><var>51.22</var>subdivision 1, 2, 3, 4, or 5, bears interest from the date the return or payment was required <br/>
<a id="pl.51.23"></a><var>51.23</var>to be filed or paid, including any extensions, to the date of payment of the penalty.<br/>
<a id="pl.51.24"></a><var>51.24</var><b>EFFECTIVE DATE.</b>This section is effective the day following final enactment.<br/>
<br/>
<a id="bill.5.8.0"></a><a id="pl.51.25"></a><var>51.25</var>    Sec. 8. Minnesota Statutes 2012, section 298.28, subdivision 4, is amended to read:<br/>
<a id="pl.51.26"></a><var>51.26</var>    Subd. 4. <b>School districts.</b> (a) 23.15 cents per taxable ton, plus the increase provided <br/>
<a id="pl.51.27"></a><var>51.27</var>in paragraph (d), less the amount that would have been computed under Minnesota <br/>
<a id="pl.51.28"></a><var>51.28</var>Statutes 2008, section 
         <statute_ref>126C.21, subdivision 4</statute_ref>, for the current year for that district, must be <br/>
<a id="pl.51.29"></a><var>51.29</var>allocated to qualifying school districts to be distributed, based upon the certification of the <br/>
<a id="pl.51.30"></a><var>51.30</var>commissioner of revenue, under paragraphs (b), (c), and (f).<br/>
<a id="pl.51.31"></a><var>51.31</var>    (b)(i) 3.43 cents per taxable ton must be distributed to the school districts in which <br/>
<a id="pl.51.32"></a><var>51.32</var>the lands from which taconite was mined or quarried were located or within which the <br/>
<a id="pl.51.33"></a><var>51.33</var>concentrate was produced. The distribution must be based on the apportionment formula <br/>
<a id="pl.51.34"></a><var>51.34</var>prescribed in subdivision 2.<br/>
<a id="pl.52.1"></a><var>52.1</var>    (ii) Four cents per taxable ton from each taconite facility must be distributed to <br/>
<a id="pl.52.2"></a><var>52.2</var>each affected school district for deposit in a fund dedicated to building maintenance <br/>
<a id="pl.52.3"></a><var>52.3</var>and repairs, as follows:<br/>
<a id="pl.52.4"></a><var>52.4</var>    (1) proceeds from Keewatin Taconite or its successor are distributed to Independent <br/>
<a id="pl.52.5"></a><var>52.5</var>School Districts Nos. 316, Coleraine, and 319, Nashwauk-Keewatin, or their successor <br/>
<a id="pl.52.6"></a><var>52.6</var>districts;<br/>
<a id="pl.52.7"></a><var>52.7</var>    (2) proceeds from the Hibbing Taconite Company or its successor are distributed to <br/>
<a id="pl.52.8"></a><var>52.8</var>Independent School Districts Nos. 695, Chisholm, and 701, Hibbing, or their successor <br/>
<a id="pl.52.9"></a><var>52.9</var>districts;<br/>
<a id="pl.52.10"></a><var>52.10</var>    (3) proceeds from the Mittal Steel Company and Minntac or their successors are <br/>
<a id="pl.52.11"></a><var>52.11</var>distributed to Independent School Districts Nos. 712, Mountain Iron-Buhl, 706, Virginia, <br/>
<a id="pl.52.12"></a><var>52.12</var>2711, Mesabi East, and 2154, Eveleth-Gilbert, or their successor districts;<br/>
<a id="pl.52.13"></a><var>52.13</var>    (4) proceeds from the Northshore Mining Company or its successor are distributed <br/>
<a id="pl.52.14"></a><var>52.14</var>to Independent School Districts Nos. 2142, St. Louis County, and 381, Lake Superior, <br/>
<a id="pl.52.15"></a><var>52.15</var>or their successor districts; and<br/>
<a id="pl.52.16"></a><var>52.16</var>    (5) proceeds from United Taconite or its successor are distributed to Independent <br/>
<a id="pl.52.17"></a><var>52.17</var>School Districts Nos. 2142, St. Louis County, and 2154, Eveleth-Gilbert, or their <br/>
<a id="pl.52.18"></a><var>52.18</var>successor districts.<br/>
<a id="pl.52.19"></a><var>52.19</var>    Revenues that are required to be distributed to more than one district shall be <br/>
<a id="pl.52.20"></a><var>52.20</var>apportioned according to the number of pupil units identified in section 
         <statute_ref>126C.05, <br/>
<a id="pl.52.21"></a><var>52.21</var>subdivision 1
         </statute_ref>, enrolled in the second previous year.<br/>
<a id="pl.52.22"></a><var>52.22</var>    (c)(i) 15.72 cents per taxable ton, less any amount distributed under paragraph (e), <br/>
<a id="pl.52.23"></a><var>52.23</var>shall be distributed to a group of school districts comprised of those school districts which <br/>
<a id="pl.52.24"></a><var>52.24</var>qualify as a tax relief area under section 
         <statute_ref>273.134, paragraph (b)</statute_ref>, or in which there is a <br/>
<a id="pl.52.25"></a><var>52.25</var>qualifying municipality as defined by section 
         <statute_ref>273.134, paragraph (a)</statute_ref>, in direct proportion <br/>
<a id="pl.52.26"></a><var>52.26</var>to school district indexes as follows: for each school district, its pupil units determined <br/>
<a id="pl.52.27"></a><var>52.27</var>under section 
         <statute_ref>126C.05</statute_ref> for the prior school year shall be multiplied by the ratio of the <br/>
<a id="pl.52.28"></a><var>52.28</var>average adjusted net tax capacity per pupil unit for school districts receiving aid under <br/>
<a id="pl.52.29"></a><var>52.29</var>this clause as calculated pursuant to chapters 122A, 126C, and 127A for the school year <br/>
<a id="pl.52.30"></a><var>52.30</var>ending prior to distribution to the adjusted net tax capacity per pupil unit of the district. <br/>
<a id="pl.52.31"></a><var>52.31</var>Each district shall receive that portion of the distribution which its index bears to the sum <br/>
<a id="pl.52.32"></a><var>52.32</var>of the indices for all school districts that receive the distributions.<br/>
<a id="pl.52.33"></a><var>52.33</var>    (ii) Notwithstanding clause (i), each school district that receives a distribution <br/>
<a id="pl.52.34"></a><var>52.34</var>under sections 
         <statute_ref>298.018</statute_ref>; 
         <statute_ref>298.23</statute_ref> to 
         <statute_ref>298.28</statute_ref>, exclusive of any amount received under this <br/>
<a id="pl.52.35"></a><var>52.35</var>clause; 
         <statute_ref>298.34</statute_ref> to 
         <statute_ref>298.39</statute_ref>; 
         <statute_ref>298.391</statute_ref> to 
         <statute_ref>298.396</statute_ref>; 
         <statute_ref>298.405</statute_ref>; or any law imposing a tax on <br/>
<a id="pl.52.36"></a><var>52.36</var>severed mineral values after reduction for any portion distributed to cities and towns <br/>
<a id="pl.53.1"></a><var>53.1</var>under section 
         <statute_ref>126C.48, subdivision 8</statute_ref>, paragraph (5), that is less than the amount of its <br/>
<a id="pl.53.2"></a><var>53.2</var>levy reduction under section 
         <statute_ref>126C.48, subdivision 8</statute_ref>, for the second year prior to the <br/>
<a id="pl.53.3"></a><var>53.3</var>year of the distribution shall receive a distribution equal to the difference; the amount <br/>
<a id="pl.53.4"></a><var>53.4</var>necessary to make this payment shall be derived from proportionate reductions in the <br/>
<a id="pl.53.5"></a><var>53.5</var>initial distribution to other school districts under clause (i). If there are insufficient tax <br/>
<a id="pl.53.6"></a><var>53.6</var>proceeds to make the distribution provided under this paragraph in any year, money must <br/>
<a id="pl.53.7"></a><var>53.7</var>be transferred from the taconite property tax relief account in subdivision 6, to the extent <br/>
<a id="pl.53.8"></a><var>53.8</var>of the shortfall in the distribution.<br/>
<a id="pl.53.9"></a><var>53.9</var>    (d) Any school district described in paragraph (c) where a levy increase pursuant to <br/>
<a id="pl.53.10"></a><var>53.10</var>section 
         <statute_ref>126C.17, subdivision 9</statute_ref>, was authorized by referendum for taxes payable in 2001, <br/>
<a id="pl.53.11"></a><var>53.11</var>shall receive a distribution of 21.3 cents per ton. Each district shall receive $175 times the <br/>
<a id="pl.53.12"></a><var>53.12</var>pupil units identified in section 
         <statute_ref>126C.05, subdivision 1</statute_ref>, enrolled in the second previous <br/>
<a id="pl.53.13"></a><var>53.13</var>year or the 1983-1984 school year, whichever is greater, less the product of 1.8 percent <br/>
<a id="pl.53.14"></a><var>53.14</var>times the district's taxable net tax capacity in the second previous year.<br/>
<a id="pl.53.15"></a><var>53.15</var>    If the total amount provided by paragraph (d) is insufficient to make the payments <br/>
<a id="pl.53.16"></a><var>53.16</var>herein required then the entitlement of $175 per pupil unit shall be reduced uniformly <br/>
<a id="pl.53.17"></a><var>53.17</var>so as not to exceed the funds available. Any amounts received by a qualifying school <br/>
<a id="pl.53.18"></a><var>53.18</var>district in any fiscal year pursuant to paragraph (d) shall not be applied to reduce general <br/>
<a id="pl.53.19"></a><var>53.19</var>education aid which the district receives pursuant to section 
         <statute_ref>126C.13</statute_ref> or the permissible <br/>
<a id="pl.53.20"></a><var>53.20</var>levies of the district. Any amount remaining after the payments provided in this paragraph <br/>
<a id="pl.53.21"></a><var>53.21</var>shall be paid to the commissioner of Iron Range resources and rehabilitation who shall <br/>
<a id="pl.53.22"></a><var>53.22</var>deposit the same in the taconite environmental protection fund and the Douglas J. Johnson <br/>
<a id="pl.53.23"></a><var>53.23</var>economic protection trust fund as provided in subdivision 11.<br/>
<a id="pl.53.24"></a><var>53.24</var>    Each district receiving money according to this paragraph shall reserve the lesser of <br/>
<a id="pl.53.25"></a><var>53.25</var>the amount received under this paragraph or $25 times the number of pupil units served <br/>
<a id="pl.53.26"></a><var>53.26</var>in the district. It may use the money for early childhood programs or for outcome-based <br/>
<a id="pl.53.27"></a><var>53.27</var>learning programs that enhance the academic quality of the district's curriculum. The <br/>
<a id="pl.53.28"></a><var>53.28</var>outcome-based learning programs must be approved by the commissioner of education.<br/>
<a id="pl.53.29"></a><var>53.29</var>    (e) There shall be distributed to any school district the amount which the school <br/>
<a id="pl.53.30"></a><var>53.30</var>district was entitled to receive under section 
         <statute_ref>298.32</statute_ref> in 1975.<br/>
<a id="pl.53.31"></a><var>53.31</var>    (f) Four cents per taxable ton must be distributed to qualifying school districts <br/>
<a id="pl.53.32"></a><var>53.32</var>according to the distribution specified in paragraph (b), clause (ii), and two cents per taxable <br/>
<a id="pl.53.33"></a><var>53.33</var>ton must be distributed according to the distribution specified in paragraph (c). These <br/>
<a id="pl.53.34"></a><var>53.34</var>amounts are not subject to sections 
         <statute_ref>126C.21, subdivision 4</statute_ref>, and 
         <statute_ref>126C.48, subdivision 8</statute_ref>.<br/>
<a id="pl.53.35"></a><var>53.35</var><b>EFFECTIVE DATE.</b>This section is effective beginning for the 2014 distribution.<br/>
<br/>
<a id="bill.5.9.0"></a><a id="pl.54.1"></a><var>54.1</var>    Sec. 9. Minnesota Statutes 2012, section 298.28, subdivision 6, is amended to read:<br/>
<a id="pl.54.2"></a><var>54.2</var>    Subd. 6. <b>Property tax relief.</b> (a) In 2002 2014 and thereafter, 33.9 35.3 cents per <br/>
<a id="pl.54.3"></a><var>54.3</var>taxable ton, less any amount required to be distributed under paragraphs (b) and (c), or <br/>
<a id="pl.54.4"></a><var>54.4</var>section 
         <statute_ref>298.2961</statute_ref>, subdivision 5, must be allocated to St. Louis County acting as the <br/>
<a id="pl.54.5"></a><var>54.5</var>counties' fiscal agent, to be distributed as provided in sections 
         <statute_ref>273.134</statute_ref> to 
         <statute_ref>273.136</statute_ref>.<br/>
<a id="pl.54.6"></a><var>54.6</var>    (b) If an electric power plant owned by and providing the primary source of power <br/>
<a id="pl.54.7"></a><var>54.7</var>for a taxpayer mining and concentrating taconite is located in a county other than the <br/>
<a id="pl.54.8"></a><var>54.8</var>county in which the mining and the concentrating processes are conducted, .1875 cent per <br/>
<a id="pl.54.9"></a><var>54.9</var>taxable ton of the tax imposed and collected from such taxpayer shall be paid to the county.<br/>
<a id="pl.54.10"></a><var>54.10</var>    (c) If an electric power plant owned by and providing the primary source of power <br/>
<a id="pl.54.11"></a><var>54.11</var>for a taxpayer mining and concentrating taconite is located in a school district other than <br/>
<a id="pl.54.12"></a><var>54.12</var>a school district in which the mining and concentrating processes are conducted, .4541 <br/>
<a id="pl.54.13"></a><var>54.13</var>cent per taxable ton of the tax imposed and collected from the taxpayer shall be paid to <br/>
<a id="pl.54.14"></a><var>54.14</var>the school district.<br/>
<a id="pl.54.15"></a><var>54.15</var><b>EFFECTIVE DATE.</b>This section is effective beginning for the 2014 distribution.<br/>
<br/>
<a id="bill.5.10.0"></a><a id="pl.54.16"></a><var>54.16</var>    Sec. 10. Minnesota Statutes 2012, section 298.28, subdivision 9a, is amended to read:<br/>
<a id="pl.54.17"></a><var>54.17</var>    Subd. 9a. <b>Taconite economic development fund.</b> (a) 30.1 20.4 cents per ton <br/>
<a id="pl.54.18"></a><var>54.18</var>for distributions in 2002 2014 and thereafter must be paid to the taconite economic <br/>
<a id="pl.54.19"></a><var>54.19</var>development fund. No distribution shall be made under this paragraph in 2004 or any <br/>
<a id="pl.54.20"></a><var>54.20</var>subsequent year in which total industry production falls below 30 million tons. Distribution <br/>
<a id="pl.54.21"></a><var>54.21</var>shall only be made to a taconite producer's fund under section 
         <statute_ref>298.227</statute_ref> if the producer <br/>
<a id="pl.54.22"></a><var>54.22</var>timely pays its tax under section 
         <statute_ref>298.24</statute_ref> by the dates provided under section 
         <statute_ref>298.27</statute_ref>, or <br/>
<a id="pl.54.23"></a><var>54.23</var>pursuant to the due dates provided by an administrative agreement with the commissioner.<br/>
<a id="pl.54.24"></a><var>54.24</var>    (b) An amount equal to 50 percent of the tax under section 
         <statute_ref>298.24</statute_ref> for concentrate <br/>
<a id="pl.54.25"></a><var>54.25</var>sold in the form of pellet chips and fines not exceeding 5/16 inch in size and not including <br/>
<a id="pl.54.26"></a><var>54.26</var>crushed pellets shall be paid to the taconite economic development fund. The amount <br/>
<a id="pl.54.27"></a><var>54.27</var>paid shall not exceed $700,000 annually for all companies. If the initial amount to be <br/>
<a id="pl.54.28"></a><var>54.28</var>paid to the fund exceeds this amount, each company's payment shall be prorated so the <br/>
<a id="pl.54.29"></a><var>54.29</var>total does not exceed $700,000.<br/>
<a id="pl.54.30"></a><var>54.30</var><b>EFFECTIVE DATE.</b>This section is effective beginning for the 2014 distribution.<br/>
<br/>
<a id="bill.5.11.0"></a><a id="pl.54.31"></a><var>54.31</var>    Sec. 11. Minnesota Statutes 2012, section 298.75, subdivision 2, is amended to read:<br/>
<a id="pl.54.32"></a><var>54.32</var>    Subd. 2. <b>Tax imposed.</b> (a) Except as provided in paragraph (e), A county that <br/>
<a id="pl.54.33"></a><var>54.33</var>imposes the aggregate production tax, as defined in this section, shall impose upon every <br/>
<a id="pl.55.1"></a><var>55.1</var>operator a production tax of 21.5 cents per cubic yard or 15 cents per ton of aggregate <br/>
<a id="pl.55.2"></a><var>55.2</var>material excavated in the county except that the county board may decide not to impose <br/>
<a id="pl.55.3"></a><var>55.3</var>this tax if it determines that in the previous year operators removed less than 20,000 tons <br/>
<a id="pl.55.4"></a><var>55.4</var>or 14,000 cubic yards of aggregate material from that county. A county may impose upon <br/>
<a id="pl.55.5"></a><var>55.5</var>every operator an additional production tax of up to 21.5 cents per cubic yard or 15 cents <br/>
<a id="pl.55.6"></a><var>55.6</var>per ton of aggregate material excavated in the county. The tax shall not be imposed on <br/>
<a id="pl.55.7"></a><var>55.7</var>aggregate material excavated in the county until the aggregate material is transported from <br/>
<a id="pl.55.8"></a><var>55.8</var>the extraction site or sold, whichever occurs first. When aggregate material is stored in a <br/>
<a id="pl.55.9"></a><var>55.9</var>stockpile within the state of Minnesota and a public highway, road or street is not used <br/>
<a id="pl.55.10"></a><var>55.10</var>for transporting the aggregate material, the tax shall not be imposed until either when the <br/>
<a id="pl.55.11"></a><var>55.11</var>aggregate material is sold, or when it is transported from the stockpile site, or when it is <br/>
<a id="pl.55.12"></a><var>55.12</var>used from the stockpile, whichever occurs first.<br/>
<a id="pl.55.13"></a><var>55.13</var>    (b) Except as provided in paragraph (e), A county that imposes the aggregate <br/>
<a id="pl.55.14"></a><var>55.14</var>production tax under paragraph (a), as defined in this section, shall impose upon every <br/>
<a id="pl.55.15"></a><var>55.15</var>importer a production tax of 21.5 cents per cubic yard or 15 cents per ton of aggregate <br/>
<a id="pl.55.16"></a><var>55.16</var>material imported into the county. A county may impose upon every importer an <br/>
<a id="pl.55.17"></a><var>55.17</var>additional production tax of up to 21.5 cents per cubic yard or 15 cents per ton of <br/>
<a id="pl.55.18"></a><var>55.18</var>aggregate material imported into the county. The tax shall be imposed when the aggregate <br/>
<a id="pl.55.19"></a><var>55.19</var>material is imported from the extraction site or sold. When imported aggregate material is <br/>
<a id="pl.55.20"></a><var>55.20</var>stored in a stockpile within the state of Minnesota and a public highway, road, or street is <br/>
<a id="pl.55.21"></a><var>55.21</var>not used for transporting the aggregate material, the tax shall be imposed either when the <br/>
<a id="pl.55.22"></a><var>55.22</var>aggregate material is sold, when it is transported from the stockpile site, or when it is used <br/>
<a id="pl.55.23"></a><var>55.23</var>from the stockpile, whichever occurs first. The tax shall be imposed on an importer when <br/>
<a id="pl.55.24"></a><var>55.24</var>the aggregate material is imported into the county that imposes the tax.<br/>
<a id="pl.55.25"></a><var>55.25</var>    (c) If the aggregate material is transported directly from the extraction site to a <br/>
<a id="pl.55.26"></a><var>55.26</var>waterway, railway, or another mode of transportation other than a highway, road or street, <br/>
<a id="pl.55.27"></a><var>55.27</var>the tax imposed by this section shall be apportioned equally between the county where the <br/>
<a id="pl.55.28"></a><var>55.28</var>aggregate material is extracted and the county to which the aggregate material is originally <br/>
<a id="pl.55.29"></a><var>55.29</var>transported. If that destination is not located in Minnesota, then the county where the <br/>
<a id="pl.55.30"></a><var>55.30</var>aggregate material was extracted shall receive all of the proceeds of the tax.<br/>
<a id="pl.55.31"></a><var>55.31</var>    (d) A county, city, or town that receives revenue under this section is prohibited <br/>
<a id="pl.55.32"></a><var>55.32</var>from imposing any additional host community fees on aggregate production within that <br/>
<a id="pl.55.33"></a><var>55.33</var>county, city, or town.<br/>
<a id="pl.55.34"></a><var>55.34</var>    (e) A county that borders two other states and that is not contiguous to a county <br/>
<a id="pl.55.35"></a><var>55.35</var>that imposes a tax under this section may impose the taxes under paragraphs (a) and (b) <br/>
<a id="pl.56.1"></a><var>56.1</var>at the rate of ten cents per cubic yard or seven cents per ton. This paragraph expires <br/>
<a id="pl.56.2"></a><var>56.2</var>December 31, 2014.<br/>
<a id="pl.56.3"></a><var>56.3</var><b>EFFECTIVE DATE.</b>This section is effective the day following final enactment.<br/>
<br/>
<a id="bill.5.12.0"></a><a id="pl.56.4"></a><var>56.4</var>    Sec. 12. <b>2013 DISTRIBUTION ONLY.</b><br/>
<a id="pl.56.5"></a><var>56.5</var>For the 2013 distribution, a special fund is established to receive $3,700,000 of the <br/>
<a id="pl.56.6"></a><var>56.6</var>amount that otherwise would be distributed under Minnesota Statutes, section 298.28, <br/>
<a id="pl.56.7"></a><var>56.7</var>subdivision 6, and this amount must be paid as follows:<br/>
<a id="pl.56.8"></a><var>56.8</var>(1) $2,000,000 to the city of Hibbing for improvements to the city's water supply <br/>
<a id="pl.56.9"></a><var>56.9</var>system; and<br/>
<a id="pl.56.10"></a><var>56.10</var>(2) $1,700,000 to the city of Mountain Iron for the cost of moving utilities required <br/>
<a id="pl.56.11"></a><var>56.11</var>as a result of actions undertaken by United States Steel Corporation.<br/>
<a id="pl.56.12"></a><var>56.12</var><b>EFFECTIVE DATE.</b>This section is effective for the 2013 distribution, all of which <br/>
<a id="pl.56.13"></a><var>56.13</var>must be made in the August 2013 payment.<br/>
<br/>
<a id="bill.5.13.0"></a><a id="pl.56.14"></a><var>56.14</var>    Sec. 13. <b>IRON RANGE RESOURCES AND REHABILITATION </b><br/>
<a id="pl.56.15"></a><var>56.15</var><b>COMMISSIONER; BONDS AUTHORIZED.</b><br/>
<a id="pl.56.16"></a><var>56.16</var>    Subdivision 1. <b>Issuance; purpose.</b> Notwithstanding any provision of Minnesota <br/>
<a id="pl.56.17"></a><var>56.17</var>Statutes, chapter 298, to the contrary, the commissioner of Iron Range resources and <br/>
<a id="pl.56.18"></a><var>56.18</var>rehabilitation may issue revenue bonds in a principal amount of $38,000,000 in one or more <br/>
<a id="pl.56.19"></a><var>56.19</var>series, and bonds to refund those bonds. The proceeds of the bonds must be used to make <br/>
<a id="pl.56.20"></a><var>56.20</var>grants to school districts located in the taconite tax relief area defined in Minnesota Statutes, <br/>
<a id="pl.56.21"></a><var>56.21</var>section 273.134, or the taconite assistance area defined in Minnesota Statutes, section <br/>
<a id="pl.56.22"></a><var>56.22</var>273.1341, to be used by the school districts to pay for building projects, such as energy <br/>
<a id="pl.56.23"></a><var>56.23</var>efficiency, technology, infrastructure, health, safety, and maintenance improvements.<br/>
<a id="pl.56.24"></a><var>56.24</var>    Subd. 2. <b>Appropriation.</b> (a) There is annually appropriated from the distribution of <br/>
<a id="pl.56.25"></a><var>56.25</var>taconite production tax revenues under Minnesota Statues, section 298.28, prior to the <br/>
<a id="pl.56.26"></a><var>56.26</var>calculation of the amount of the remainder under Minnesota Statutes, section 298.28, <br/>
<a id="pl.56.27"></a><var>56.27</var>subdivision 11, an amount sufficient to pay when due the principal and interest on the <br/>
<a id="pl.56.28"></a><var>56.28</var>bonds issued pursuant to subdivision 1. The appropriation under this section must not <br/>
<a id="pl.56.29"></a><var>56.29</var>exceed an amount equal to ten cents per taxable ton.<br/>
<a id="pl.56.30"></a><var>56.30</var>    (b) If in any year the amount available under paragraph (a) is insufficient to pay <br/>
<a id="pl.56.31"></a><var>56.31</var>principal and interest due on the bonds in that year, an additional amount is appropriated <br/>
<a id="pl.56.32"></a><var>56.32</var>from the Douglas J. Johnson fund to make up the deficiency. <br/>
<a id="pl.57.1"></a><var>57.1</var>    (c) The appropriation under this subdivision terminates upon payment or maturity of <br/>
<a id="pl.57.2"></a><var>57.2</var>the last of the bonds issued under this section.<br/>
<a id="pl.57.3"></a><var>57.3</var>    Subd. 3. <b>Credit enhancement.</b> The bonds issued under this section are "debt <br/>
<a id="pl.57.4"></a><var>57.4</var>obligations" and the commissioner of Iron Range resources and rehabilitation is a "district" <br/>
<a id="pl.57.5"></a><var>57.5</var>for purposes of Minnesota Statutes, section 126C.55, provided that advances made under <br/>
<a id="pl.57.6"></a><var>57.6</var>Minnesota Statutes, section 126C.55, subdivision 2, are not subject to Minnesota Statutes, <br/>
<a id="pl.57.7"></a><var>57.7</var>section 126C.55, subdivisions 4 to 7.<br/>
<a id="pl.57.8"></a><var>57.8</var><b>EFFECTIVE DATE.</b>This section is effective the day following final enactment and <br/>
<a id="pl.57.9"></a><var>57.9</var>applies beginning with the 2014 distribution under Minnesota Statutes, section 298.28.<br/>
<br/>
<a id="bill.5.14.0"></a><a id="pl.57.10"></a><var>57.10</var>    Sec. 14. <b>IRON RANGE FISCAL DISPARITIES STUDY.</b><br/>
<a id="pl.57.11"></a><var>57.11</var>    Subdivision 1. <b>Study required.</b> The commissioner of revenue shall conduct a study <br/>
<a id="pl.57.12"></a><var>57.12</var>of the tax relief area revenue distribution program contained in Minnesota Statutes, chapter <br/>
<a id="pl.57.13"></a><var>57.13</var>276A, commonly known as the Iron Range fiscal disparities program. By February 1, <br/>
<a id="pl.57.14"></a><var>57.14</var>2015, the commissioner shall submit a report to the chairs and ranking minority members <br/>
<a id="pl.57.15"></a><var>57.15</var>of the house of representatives and senate tax committees consisting of the findings of the <br/>
<a id="pl.57.16"></a><var>57.16</var>study and identification of issues for policy makers to consider. The study must analyze:<br/>
<a id="pl.57.17"></a><var>57.17</var>    (1) the extent to which the benefits of the economic growth in the region are shared <br/>
<a id="pl.57.18"></a><var>57.18</var>throughout the region, especially for growth that results from state or regional decisions;<br/>
<a id="pl.57.19"></a><var>57.19</var>    (2) the program's impact on the variability of tax rates across jurisdictions of the <br/>
<a id="pl.57.20"></a><var>57.20</var>region;<br/>
<a id="pl.57.21"></a><var>57.21</var>    (3) the program's impact on the distribution of homestead property tax burdens <br/>
<a id="pl.57.22"></a><var>57.22</var>across jurisdictions of the region; and<br/>
<a id="pl.57.23"></a><var>57.23</var>    (4) the relationship between the impacts of the program and overburden on <br/>
<a id="pl.57.24"></a><var>57.24</var>jurisdictions containing properties that provide regional benefits, specifically the costs <br/>
<a id="pl.57.25"></a><var>57.25</var>those properties impose on their host jurisdictions in excess of their tax payments. The <br/>
<a id="pl.57.26"></a><var>57.26</var>report must include a description of other property tax, aid, and local development <br/>
<a id="pl.57.27"></a><var>57.27</var>programs that interact with the fiscal disparities program.<br/>
<a id="pl.57.28"></a><var>57.28</var>    Subd. 2. <b>Funds transfer from fiscal disparities levy.</b> For taxes payable in 2014 <br/>
<a id="pl.57.29"></a><var>57.29</var>only, $75,000 must be added to St. Louis County's areawide levy as otherwise determined <br/>
<a id="pl.57.30"></a><var>57.30</var>under Minnesota Statutes, section 276A.06, subdivision 5. Upon receipt of the proceeds of <br/>
<a id="pl.57.31"></a><var>57.31</var>this levy, St. Louis County must transfer this money to the commissioner of management <br/>
<a id="pl.57.32"></a><var>57.32</var>and budget for deposit into an account in the special revenue fund. One-half of the <br/>
<a id="pl.57.33"></a><var>57.33</var>proceeds of the levy must be transferred prior to June 30, 2014.<br/>
<a id="pl.57.34"></a><var>57.34</var>    Subd. 3. <b>Appropriation.</b> $37,500 in fiscal year 2014 and $37,500 in fiscal year <br/>
<a id="pl.57.35"></a><var>57.35</var>2015 are appropriated from the account in the special revenue fund established under <br/>
<a id="pl.58.1"></a><var>58.1</var>subdivision 2 to the commissioner of revenue to pay for the study required by this section. <br/>
<a id="pl.58.2"></a><var>58.2</var>Any amounts remaining in the account in the special revenue fund on June 30, 2015, must <br/>
<a id="pl.58.3"></a><var>58.3</var>be distributed to St. Louis County for the purposes of reducing the areawide tax rate <br/>
<a id="pl.58.4"></a><var>58.4</var>for taxes payable in 2016.<br/>
<a id="pl.58.5"></a><var>58.5</var><b>EFFECTIVE DATE.</b>This section is effective July 1, 2013.<br/>
<br/>
<a id="bill.6.0.0"></a>

<a id="bill.6.1.0"></a><a id="pl.58.8"></a><var>58.8</var>    Section 1. Minnesota Statutes 2012, section 469.190, is amended by adding a <br/>
<a id="pl.58.9"></a><var>58.9</var>subdivision to read:<br/>
<a id="pl.58.10"></a><var>58.10</var>    Subd. 1a. <b>Tax base; locally collected taxes.</b> A tax imposed on the gross receipts <br/>
<a id="pl.58.11"></a><var>58.11</var>from lodging under this section or under a special law applies to the same base as taxes <br/>
<a id="pl.58.12"></a><var>58.12</var>collected by the commissioner of revenue under subdivision 7 and section 270C.171.<br/>
<a id="pl.58.13"></a><var>58.13</var><b>EFFECTIVE DATE.</b>This section is effective the day following final enactment. <br/>
<a id="pl.58.14"></a><var>58.14</var>In enacting this section, the legislature confirms its original intent in enacting Minnesota <br/>
<a id="pl.58.15"></a><var>58.15</var>Statutes, section 469.190, its predecessor provisions, and any special laws authorizing <br/>
<a id="pl.58.16"></a><var>58.16</var>political subdivisions to impose lodging taxes, and that those taxes were and are intended <br/>
<a id="pl.58.17"></a><var>58.17</var>to apply to the entire consideration paid to obtain access to transient lodging, including <br/>
<a id="pl.58.18"></a><var>58.18</var>ancillary or related services, such as services provided by accommodation intermediaries <br/>
<a id="pl.58.19"></a><var>58.19</var>as defined in Minnesota Statutes, section 297A.61, and similar services. The provisions of <br/>
<a id="pl.58.20"></a><var>58.20</var>this section must not be interpreted to imply a narrower construction of the tax base under <br/>
<a id="pl.58.21"></a><var>58.21</var>lodging tax provisions of Minnesota law prior to the enactment of this section.<br/>
<br/>
<a id="bill.6.2.0"></a><a id="pl.58.22"></a><var>58.22</var>    Sec. 2. Minnesota Statutes 2012, section 469.190, subdivision 7, is amended to read:<br/>
<a id="pl.58.23"></a><var>58.23</var>    Subd. 7. <b>Collection.</b> (a) The statutory or home rule charter city may agree with the <br/>
<a id="pl.58.24"></a><var>58.24</var>commissioner of revenue that a tax imposed pursuant to this section shall be collected <br/>
<a id="pl.58.25"></a><var>58.25</var>by the commissioner together with the tax imposed by chapter 297A, and subject to the <br/>
<a id="pl.58.26"></a><var>58.26</var>same interest, penalties, and other rules and that its proceeds, less the cost of collection, <br/>
<a id="pl.58.27"></a><var>58.27</var>shall be remitted to the city.<br/>
<a id="pl.58.28"></a><var>58.28</var>    (b) If a tax imposed under this section or under a special law is not collected by <br/>
<a id="pl.58.29"></a><var>58.29</var>the commissioner of revenue, the local government imposing the tax may only require <br/>
<a id="pl.58.30"></a><var>58.30</var>an accommodations intermediary, as defined in section 297A.61, subdivision 47, to file <br/>
<a id="pl.58.31"></a><var>58.31</var>and remit the tax related to accommodations intermediary services once in every calendar <br/>
<a id="pl.58.32"></a><var>58.32</var>year. The local government must inform the tax intermediary of the date when the return <br/>
<a id="pl.58.33"></a><var>58.33</var>and remittance is due.<br/>
<a id="pl.59.1"></a><var>59.1</var><b>EFFECTIVE DATE.</b>This section is effective for sales and purchases made after <br/>
<a id="pl.59.2"></a><var>59.2</var>June 30, 2013.<br/>
<br/>
<a id="bill.6.3.0"></a><a id="pl.59.3"></a><var>59.3</var>    Sec. 3. Laws 1993, chapter 375, article 9, section 46, subdivision 2, as amended by <br/>
<a id="pl.59.4"></a><var>59.4</var>Laws 1997, chapter 231, article 7, section 40, Laws 1998, chapter 389, article 8, section <br/>
<a id="pl.59.5"></a><var>59.5</var>30, Laws 2003, First Special Session chapter 21, article 8, section 13, Laws 2005, First <br/>
<a id="pl.59.6"></a><var>59.6</var>Special Session chapter 3, article 5, section 26, and Laws 2009, chapter 88, article 4, <br/>
<a id="pl.59.7"></a><var>59.7</var>section 15, is amended to read:<br/>
<a id="pl.59.8"></a><var>59.8</var>    Subd. 2. <b>Use of revenues.</b> Revenues received from the tax authorized by subdivision <br/>
<a id="pl.59.9"></a><var>59.9</var>1 may only be used by the city to pay the cost of collecting the tax, and, except as provided in <br/>
<a id="pl.59.10"></a><var>59.10</var>paragraph (e), to pay for the following projects or to secure or pay any principal, premium, <br/>
<a id="pl.59.11"></a><var>59.11</var>or interest on bonds issued in accordance with subdivision 3 for the following projects.<br/>
<a id="pl.59.12"></a><var>59.12</var>    (a) To pay all or a portion of the capital expenses of construction, equipment and <br/>
<a id="pl.59.13"></a><var>59.13</var>acquisition costs for the expansion and remodeling of the St. Paul Civic Center complex, <br/>
<a id="pl.59.14"></a><var>59.14</var>including the demolition of the existing arena and the construction and equipping of a <br/>
<a id="pl.59.15"></a><var>59.15</var>new arena.<br/>
<a id="pl.59.16"></a><var>59.16</var>    (b) Except as provided in paragraphs (e) and (f), the remainder of the funds must be <br/>
<a id="pl.59.17"></a><var>59.17</var>spent for:<br/>
<a id="pl.59.18"></a><var>59.18</var>    (1) capital projects to further residential, cultural, commercial, and economic <br/>
<a id="pl.59.19"></a><var>59.19</var>development in both downtown St. Paul and St. Paul neighborhoods; and<br/>
<a id="pl.59.20"></a><var>59.20</var>    (2) capital and operating expenses of cultural organizations in the city, provided <br/>
<a id="pl.59.21"></a><var>59.21</var>that the amount spent under this clause must equal ten percent of the total amount spent <br/>
<a id="pl.59.22"></a><var>59.22</var>under this paragraph in any year.<br/>
<a id="pl.59.23"></a><var>59.23</var>    (c) The amount apportioned under paragraph (b) shall be no less than 60 percent <br/>
<a id="pl.59.24"></a><var>59.24</var>of the revenues derived from the tax each year, except to the extent that a portion of that <br/>
<a id="pl.59.25"></a><var>59.25</var>amount is required to pay debt service on (1) bonds issued for the purposes of paragraph (a) <br/>
<a id="pl.59.26"></a><var>59.26</var>prior to March 1, 1998; or (2) bonds issued for the purposes of paragraph (a) after March 1, <br/>
<a id="pl.59.27"></a><var>59.27</var>1998, but only if the city council determines that 40 percent of the revenues derived from <br/>
<a id="pl.59.28"></a><var>59.28</var>the tax together with other revenues pledged to the payment of the bonds, including the <br/>
<a id="pl.59.29"></a><var>59.29</var>proceeds of definitive bonds, is expected to exceed the annual debt service on the bonds.<br/>
<a id="pl.59.30"></a><var>59.30</var>    (d) If in any year more than 40 percent of the revenue derived from the tax authorized <br/>
<a id="pl.59.31"></a><var>59.31</var>by subdivision 1 is used to pay debt service on the bonds issued for the purposes of <br/>
<a id="pl.59.32"></a><var>59.32</var>paragraph (a) and to fund a reserve for the bonds, the amount of the debt service payment <br/>
<a id="pl.59.33"></a><var>59.33</var>that exceeds 40 percent of the revenue must be determined for that year. In any year when <br/>
<a id="pl.59.34"></a><var>59.34</var>40 percent of the revenue produced by the sales tax exceeds the amount required to pay <br/>
<a id="pl.59.35"></a><var>59.35</var>debt service on the bonds and to fund a reserve for the bonds under paragraph (a), the <br/>
<a id="pl.60.1"></a><var>60.1</var>amount of the excess must be made available for capital projects to further residential, <br/>
<a id="pl.60.2"></a><var>60.2</var>cultural, commercial, and economic development in the neighborhoods and downtown <br/>
<a id="pl.60.3"></a><var>60.3</var>until the cumulative amounts determined for all years under the preceding sentence have <br/>
<a id="pl.60.4"></a><var>60.4</var>been made available under this sentence. The amount made available as reimbursement in <br/>
<a id="pl.60.5"></a><var>60.5</var>the preceding sentence is not included in the 60 percent determined under paragraph (c).<br/>
<a id="pl.60.6"></a><var>60.6</var>    (e) In each of calendar years 2006 to 2014, revenue not to exceed $3,500,000 may be <br/>
<a id="pl.60.7"></a><var>60.7</var>used to pay the principal of bonds issued for capital projects of the city. After December <br/>
<a id="pl.60.8"></a><var>60.8</var>31, 2014, revenue from the tax imposed under subdivision 1 may not be used for this <br/>
<a id="pl.60.9"></a><var>60.9</var>purpose. If the amount necessary to meet obligations under paragraphs (a) and (d) are less <br/>
<a id="pl.60.10"></a><var>60.10</var>than 40 percent of the revenue from the tax in any year, the city may place the difference <br/>
<a id="pl.60.11"></a><var>60.11</var>between 40 percent of the revenue and the amounts allocated under paragraphs (a) and (d) <br/>
<a id="pl.60.12"></a><var>60.12</var>in an economic development fund to be used for any economic development purposes.<br/>
<a id="pl.60.13"></a><var>60.13</var>    (f) By January 15 of each year, the mayor and the city council must report to the <br/>
<a id="pl.60.14"></a><var>60.14</var>legislature on the use of sales tax revenues during the preceding one-year period.<br/>
<a id="pl.60.15"></a><var>60.15</var><b>EFFECTIVE DATE.</b>This section is effective the day after compliance by the <br/>
<a id="pl.60.16"></a><var>60.16</var>governing body of the city of St. Paul with Minnesota Statutes, section 645.021, <br/>
<a id="pl.60.17"></a><var>60.17</var>subdivisions 2 and 3.<br/>
<br/>
<a id="bill.6.4.0"></a><a id="pl.60.18"></a><var>60.18</var>    Sec. 4. Laws 2005, First Special Session chapter 3, article 5, section 37, subdivision 2, <br/>
<a id="pl.60.19"></a><var>60.19</var>is amended to read:<br/>
<a id="pl.60.20"></a><var>60.20</var>    Subd. 2. <b>Use of revenues.</b> (a) Revenues received from the tax authorized by <br/>
<a id="pl.60.21"></a><var>60.21</var>subdivision 1 by the city of St. Cloud must be used for the cost of collecting and <br/>
<a id="pl.60.22"></a><var>60.22</var>administering the tax and to pay all or part of the capital or administrative costs of the <br/>
<a id="pl.60.23"></a><var>60.23</var>development, acquisition, construction, improvement, and securing and paying debt <br/>
<a id="pl.60.24"></a><var>60.24</var>service on bonds or other obligations issued to finance the following regional projects as <br/>
<a id="pl.60.25"></a><var>60.25</var>approved by the voters and specifically detailed in the referendum authorizing the tax or <br/>
<a id="pl.60.26"></a><var>60.26</var>extending the tax:<br/>
<a id="pl.60.27"></a><var>60.27</var>    (1) St. Cloud Regional Airport;<br/>
<a id="pl.60.28"></a><var>60.28</var>    (2) regional transportation improvements;<br/>
<a id="pl.60.29"></a><var>60.29</var>    (3) regional community and aquatics and recreation centers and facilities;<br/>
<a id="pl.60.30"></a><var>60.30</var>    (4) regional public libraries; and <br/>
<a id="pl.60.31"></a><var>60.31</var>    (5) acquisition and improvement of regional park land and open space.<br/>
<a id="pl.60.32"></a><var>60.32</var>    (b) Revenues received from the tax authorized by subdivision 1 by the cities of St. <br/>
<a id="pl.60.33"></a><var>60.33</var>Joseph, Waite Park, Sartell, Sauk Rapids, and St. Augusta must be used for the cost of <br/>
<a id="pl.60.34"></a><var>60.34</var>collecting and administering the tax and to pay all or part of the capital or administrative <br/>
<a id="pl.60.35"></a><var>60.35</var>costs of the development, acquisition, construction, improvement, and securing and paying <br/>
<a id="pl.61.1"></a><var>61.1</var>debt service on bonds or other obligations issued to fund the projects specifically approved <br/>
<a id="pl.61.2"></a><var>61.2</var>by the voters at the referendum authorizing the tax or extending the tax. The portion of <br/>
<a id="pl.61.3"></a><var>61.3</var>revenues from the city going to fund the regional airport or regional library located in the <br/>
<a id="pl.61.4"></a><var>61.4</var>city of St. Cloud will be as required under the applicable joint powers agreement.<br/>
<a id="pl.61.5"></a><var>61.5</var>    (c) The use of revenues received from the taxes authorized in subdivision 1 for <br/>
<a id="pl.61.6"></a><var>61.6</var>projects allowed under paragraphs (a) and (b) are limited to the amount authorized for <br/>
<a id="pl.61.7"></a><var>61.7</var>each project under the enabling referendum.<br/>
<a id="pl.61.8"></a><var>61.8</var><b>EFFECTIVE DATE.</b>This section is effective for a city that approves it the day <br/>
<a id="pl.61.9"></a><var>61.9</var>after compliance by the governing body of that city with Minnesota Statutes, section <br/>
<a id="pl.61.10"></a><var>61.10</var>645.021, subdivision 3.<br/>
<br/>
<a id="bill.6.5.0"></a><a id="pl.61.11"></a><var>61.11</var>    Sec. 5. Laws 2005, First Special Session chapter 3, article 5, section 37, subdivision 4, <br/>
<a id="pl.61.12"></a><var>61.12</var>is amended to read:<br/>
<a id="pl.61.13"></a><var>61.13</var>    Subd. 4. <b>Termination of tax.</b> The tax imposed in the cities of St. Joseph, St. Cloud, <br/>
<a id="pl.61.14"></a><var>61.14</var>St. Augusta, Sartell, Sauk Rapids, and Waite Park under subdivision 1 expires when the <br/>
<a id="pl.61.15"></a><var>61.15</var>city council determines that sufficient funds have been collected from the tax to retire or <br/>
<a id="pl.61.16"></a><var>61.16</var>redeem the bonds and obligations authorized under subdivision 2, paragraph (a), but no <br/>
<a id="pl.61.17"></a><var>61.17</var>later than December 31, 2018. Notwithstanding Minnesota Statutes, section 297A.99, <br/>
<a id="pl.61.18"></a><var>61.18</var>subdivision 3, paragraphs (a), (c), and (d), a city may extend the tax imposed under <br/>
<a id="pl.61.19"></a><var>61.19</var>subdivision 1 through December 31, 2038, if approved under the referendum authorizing <br/>
<a id="pl.61.20"></a><var>61.20</var>the tax under subdivision 1 or if approved by voters of the city at a general election held <br/>
<a id="pl.61.21"></a><var>61.21</var>no later than November 6, 2018.<br/>
<a id="pl.61.22"></a><var>61.22</var><b>EFFECTIVE DATE.</b>This section is effective for a city that approves it the day <br/>
<a id="pl.61.23"></a><var>61.23</var>after compliance by the governing body of that city with Minnesota Statutes, section <br/>
<a id="pl.61.24"></a><var>61.24</var>645.021, subdivision 3.<br/>
<br/>
<a id="bill.6.6.0"></a><a id="pl.61.25"></a><var>61.25</var>    Sec. 6. Laws 2008, chapter 366, article 7, section 19, subdivision 3, as amended by <br/>
<a id="pl.61.26"></a><var>61.26</var>Laws 2011, First Special Session chapter 7, article 4, section 8, is amended to read:<br/>
<a id="pl.61.27"></a><var>61.27</var>    Subd. 3. <b>Use of revenues.</b> Notwithstanding Minnesota Statutes, section 
         <statute_ref>297A.99, <br/>
<a id="pl.61.28"></a><var>61.28</var>subdivision 3
         </statute_ref>, paragraph (b), the proceeds of the tax imposed under this section shall be <br/>
<a id="pl.61.29"></a><var>61.29</var>used to pay for the costs of improvements to the Sportsman Park/Ballfields, Riverside <br/>
<a id="pl.61.30"></a><var>61.30</var>Park, Lions Park/Pavilion, Cedar South Park also known as Eldorado Park, and Spring <br/>
<a id="pl.61.31"></a><var>61.31</var>Street Park; improvements to and extension of the River County Bike Trail; acquisition,<br/>
<a id="pl.61.32"></a><var>61.32</var> and construction, improvement, and development of regional parks, bicycle trails, park <br/>
<a id="pl.61.33"></a><var>61.33</var>land, open space, and of a pedestrian walkways, as described in the city improvement <br/>
<a id="pl.62.1"></a><var>62.1</var>plan adopted by the city council by resolution on December 12, 2006, and walkway <br/>
<a id="pl.62.2"></a><var>62.2</var>over Interstate 94 and State Highway 24; and the acquisition of land and construction of <br/>
<a id="pl.62.3"></a><var>62.3</var>buildings for a community and recreation center. The total amount of revenues from the <br/>
<a id="pl.62.4"></a><var>62.4</var>taxes in subdivisions 1 and 2 that may be used to fund these projects is $12,000,000 <br/>
<a id="pl.62.5"></a><var>62.5</var>plus any associated bond costs.<br/>
<a id="pl.62.6"></a><var>62.6</var><b>EFFECTIVE DATE.</b>This section is effective the day after compliance by the <br/>
<a id="pl.62.7"></a><var>62.7</var>governing body of the city of Clearwater with Minnesota Statutes, section 645.021, <br/>
<a id="pl.62.8"></a><var>62.8</var>subdivisions 2 and 3.<br/>
<br/>
<a id="bill.6.7.0"></a><a id="pl.62.9"></a><var>62.9</var>    Sec. 7. Laws 2010, chapter 389, article 5, section 6, subdivision 4, is amended to read:<br/>
<a id="pl.62.10"></a><var>62.10</var>    Subd. 4. <b>Use of lodging tax revenues.</b> The revenues derived from the tax imposed <br/>
<a id="pl.62.11"></a><var>62.11</var>under subdivision 3 must be used by the city of Marshall to pay the costs of collecting <br/>
<a id="pl.62.12"></a><var>62.12</var>and administering the lodging tax, to pay all or part of the operating costs of the new and <br/>
<a id="pl.62.13"></a><var>62.13</var>existing facilities of the Minnesota Emergency Response and Industry Training Center, <br/>
<a id="pl.62.14"></a><var>62.14</var>including the payment of debt service on bonds issued under subdivision 2, and to pay <br/>
<a id="pl.62.15"></a><var>62.15</var>all or part of the operating costs of the facilities of the Southwest Minnesota Regional <br/>
<a id="pl.62.16"></a><var>62.16</var>Amateur Sports Center, including the payment of debt service on bonds issued under <br/>
<a id="pl.62.17"></a><var>62.17</var>subdivision 2. Authorized expenses include, but are not limited to, acquiring property; <br/>
<a id="pl.62.18"></a><var>62.18</var>predesign; design; and paying construction, furnishing, and equipment costs related to <br/>
<a id="pl.62.19"></a><var>62.19</var>these facilities and paying debt service on bonds or other obligations issued by the city.<br/>
<a id="pl.62.20"></a><var>62.20</var><b>EFFECTIVE DATE.</b>This section is effective the day following final enactment.<br/>
<br/>
<a id="bill.6.8.0"></a><a id="pl.62.21"></a><var>62.21</var>    Sec. 8. Laws 2010, chapter 389, article 5, section 6, subdivision 6, is amended to read:<br/>
<a id="pl.62.22"></a><var>62.22</var>    Subd. 6. <b>Use of food and beverages tax.</b> The revenues derived from the tax <br/>
<a id="pl.62.23"></a><var>62.23</var>imposed under subdivision 5 must be used by the city of Marshall to pay the costs of <br/>
<a id="pl.62.24"></a><var>62.24</var>collecting and administering the food and beverages tax, to pay all or part of the operating <br/>
<a id="pl.62.25"></a><var>62.25</var>costs of the new and existing facilities of the Minnesota Emergency Response and <br/>
<a id="pl.62.26"></a><var>62.26</var>Industry Training Center, including the payment of debt service on bonds issued under <br/>
<a id="pl.62.27"></a><var>62.27</var>subdivision 2, and to pay all or part of the operating costs of the facilities of the Southwest <br/>
<a id="pl.62.28"></a><var>62.28</var>Minnesota Regional Amateur Sports Center, including the payment of debt service on <br/>
<a id="pl.62.29"></a><var>62.29</var>bonds issued under subdivision 2. Authorized expenses for each organization include, <br/>
<a id="pl.62.30"></a><var>62.30</var>but are not limited to, acquiring property; predesign; design; and paying construction, <br/>
<a id="pl.62.31"></a><var>62.31</var>furnishing, and equipment costs related to these facilities and paying debt service on <br/>
<a id="pl.62.32"></a><var>62.32</var>bonds or other obligations issued by the city.<br/>
<a id="pl.62.33"></a><var>62.33</var><b>EFFECTIVE DATE.</b>This section is effective the day following final enactment.<br/>
<br/>
<a id="bill.6.9.0"></a><a id="pl.63.1"></a><var>63.1</var>    Sec. 9. <b>VALIDATION OF PRIOR ACT; AUTHORIZATION AND IMPOSITION.</b><br/>
<a id="pl.63.2"></a><var>63.2</var>    (a) Notwithstanding the time limits in Minnesota Statutes, section 645.021, the city <br/>
<a id="pl.63.3"></a><var>63.3</var>of Marshall may approve Laws 2010, chapter 389, article 5, section 6, as amended by <br/>
<a id="pl.63.4"></a><var>63.4</var>Laws 201l, First Special Session chapter 7, article 4, section 9, and file its approval with <br/>
<a id="pl.63.5"></a><var>63.5</var>the secretary of state by June 15, 2013. If approved as authorized under this paragraph, <br/>
<a id="pl.63.6"></a><var>63.6</var>actions undertaken by the city pursuant to the approval of the voters on November 6, 2012, <br/>
<a id="pl.63.7"></a><var>63.7</var>and otherwise in accordance with Laws 2010, chapter 389, article 5, section 6, as amended <br/>
<a id="pl.63.8"></a><var>63.8</var>by Laws 201l, First Special Session chapter 7, article 4, section 9, are validated.<br/>
<a id="pl.63.9"></a><var>63.9</var>    (b) Notwithstanding the time limit on the imposition of tax under Laws 2010, <br/>
<a id="pl.63.10"></a><var>63.10</var>chapter 389, article 5, section 6, subdivision 1, as amended by Laws 201l, First Special <br/>
<a id="pl.63.11"></a><var>63.11</var>Session chapter 7, article 4, section 9, and subject to local approval under paragraph (a), <br/>
<a id="pl.63.12"></a><var>63.12</var>the city of Marshall may impose the tax on or before July 1, 2013.<br/>
<a id="pl.63.13"></a><var>63.13</var><b>EFFECTIVE DATE.</b>This section is effective the day following final enactment.<br/>
<br/>
<a id="bill.6.10.0"></a><a id="pl.63.14"></a><var>63.14</var>    Sec. 10. <b>CITY OF PROCTOR; VALIDATION OF PRIOR ACT.</b><br/>
<a id="pl.63.15"></a><var>63.15</var>    Notwithstanding the time limits in Minnesota Statutes, section 645.021, the city of <br/>
<a id="pl.63.16"></a><var>63.16</var>Proctor may approve, by resolution, Laws 2008, chapter 366, article 7, section 13, and <br/>
<a id="pl.63.17"></a><var>63.17</var>Laws 2010, chapter 389, article 5, sections 1 and 2, and file its approval with the secretary <br/>
<a id="pl.63.18"></a><var>63.18</var>of state by January 1, 2014. If approved under this paragraph, actions undertaken by <br/>
<a id="pl.63.19"></a><var>63.19</var>the city pursuant to the approval of the voters on November 2, 2010, and otherwise in <br/>
<a id="pl.63.20"></a><var>63.20</var>accordance with those laws are validated.<br/>
<a id="pl.63.21"></a><var>63.21</var><b>EFFECTIVE DATE.</b>This section is effective the day following final enactment.<br/>
<br/>
<a id="bill.6.11.0"></a><a id="pl.63.22"></a><var>63.22</var>    Sec. 11. <b>CITY OF BEMIDJI; LOCAL TAXES AUTHORIZED.</b><br/>
<a id="pl.63.23"></a><var>63.23</var>    Subdivision 1. <b>Food and beverage tax authorized.</b> Notwithstanding Minnesota <br/>
<a id="pl.63.24"></a><var>63.24</var>Statutes, section 477A.016, or any ordinance, city charter, or other provision of law, the <br/>
<a id="pl.63.25"></a><var>63.25</var>city of Bemidji may, by ordinance, impose a sales tax of up to one percent on the gross <br/>
<a id="pl.63.26"></a><var>63.26</var>receipts of all food and beverages sold by a restaurant or place of refreshment located <br/>
<a id="pl.63.27"></a><var>63.27</var>within the city. For purposes of this section, "food and beverages" include retail on-sale of <br/>
<a id="pl.63.28"></a><var>63.28</var>intoxicating liquor and fermented malt beverages.<br/>
<a id="pl.63.29"></a><var>63.29</var>    Subd. 2. <b>Lodging tax.</b> Notwithstanding Minnesota Statutes, section 469.190 or <br/>
<a id="pl.63.30"></a><var>63.30</var>477A.016, or any other provision of law, ordinance, or city charter, the city of Bemidji <br/>
<a id="pl.63.31"></a><var>63.31</var>may impose, by ordinance, a tax of up to one percent on the gross receipts for the <br/>
<a id="pl.63.32"></a><var>63.32</var>furnishing for consideration of lodging at a hotel, motel, rooming house, tourist court, or <br/>
<a id="pl.63.33"></a><var>63.33</var>resort, other than for the renting or leasing of it for a continuous period of 30 days or more.<br/>
<a id="pl.64.1"></a><var>64.1</var>    Subd. 3. <b>Use of proceeds from authorized taxes.</b> The proceeds of the taxes <br/>
<a id="pl.64.2"></a><var>64.2</var>imposed under subdivisions 1 and 2 must only be used by the city to fund the costs of <br/>
<a id="pl.64.3"></a><var>64.3</var>operation, maintenance, and capital replacement costs for the Sanford Center.<br/>
<a id="pl.64.4"></a><var>64.4</var>    Subd. 4. <b>Collection, administration, and enforcement.</b> The city may enter into <br/>
<a id="pl.64.5"></a><var>64.5</var>an agreement with the commissioner of revenue to administer, collect, and enforce the <br/>
<a id="pl.64.6"></a><var>64.6</var>taxes under subdivisions 1 and 2. If the commissioner agrees to collect the tax, the <br/>
<a id="pl.64.7"></a><var>64.7</var>provisions of Minnesota Statutes, section 297A.99, related to collection, administration, <br/>
<a id="pl.64.8"></a><var>64.8</var>and enforcement, and Minnesota Statutes, section 270C.171, apply.<br/>
<a id="pl.64.9"></a><var>64.9</var><b>EFFECTIVE DATE.</b>This section is effective the day after the governing body of <br/>
<a id="pl.64.10"></a><var>64.10</var>the city of Bemidji and its chief clerical officer comply with Minnesota Statutes, section <br/>
<a id="pl.64.11"></a><var>64.11</var>645.021, subdivisions 2 and 3.<br/>
<br/>
<a id="bill.7.0.0"></a>

<a id="bill.7.1.0"></a><a id="pl.64.14"></a><var>64.14</var>    Section 1. Minnesota Statutes 2012, section 38.18, is amended to read:<br/>
<a id="pl.64.15"></a><var>64.15</var><b>38.18 COUNTY FAIRGROUNDS; IMPROVEMENT AIDED.</b><br/>
<a id="pl.64.16"></a><var>64.16</var>    Any Each town, statutory city, or school district in this state, now or hereafter at any <br/>
<a id="pl.64.17"></a><var>64.17</var>time having a an estimated market value of all its taxable property, exclusive of money and <br/>
<a id="pl.64.18"></a><var>64.18</var>credits, of more than $105,000,000, and having a county fair located within its corporate <br/>
<a id="pl.64.19"></a><var>64.19</var>limits, is hereby authorized to aid in defraying may pay part of the expense of improving <br/>
<a id="pl.64.20"></a><var>64.20</var>any such the fairground, by appropriating and paying over to the treasurer of the county <br/>
<a id="pl.64.21"></a><var>64.21</var>owning the fairground such sum of money, not exceeding $10,000, for each of the political <br/>
<a id="pl.64.22"></a><var>64.22</var>subdivisions, as the its governing body of the town, statutory city, or school district may, <br/>
<a id="pl.64.23"></a><var>64.23</var>by resolution, determine determines to be for the best interest of the political subdivision,.<br/>
<a id="pl.64.24"></a><var>64.24</var> The sums so appropriated to amounts paid to the county must be used solely for the purpose <br/>
<a id="pl.64.25"></a><var>64.25</var>of aiding in the improvement of to improve the fairground in such the manner as the county <br/>
<a id="pl.64.26"></a><var>64.26</var>board of the county shall determine determines to be for the best interest of the county.<br/>
<br/>
<a id="bill.7.2.0"></a><a id="pl.64.27"></a><var>64.27</var>    Sec. 2. Minnesota Statutes 2012, section 40A.15, subdivision 2, is amended to read:<br/>
<a id="pl.64.28"></a><var>64.28</var>    Subd. 2. <b>Eligible recipients.</b> All counties within the state, municipalities that prepare <br/>
<a id="pl.64.29"></a><var>64.29</var>plans and official controls instead of a county, and districts are eligible for assistance <br/>
<a id="pl.64.30"></a><var>64.30</var>under the program. Counties and districts may apply for assistance on behalf of other <br/>
<a id="pl.64.31"></a><var>64.31</var>municipalities. In order to be eligible for financial assistance a county or municipality must <br/>
<a id="pl.64.32"></a><var>64.32</var>agree to levy at least 0.01209 percent of taxable estimated market value for agricultural <br/>
<a id="pl.65.1"></a><var>65.1</var>land preservation and conservation activities or otherwise spend the equivalent amount of <br/>
<a id="pl.65.2"></a><var>65.2</var>local money on those activities, or spend $15,000 of local money, whichever is less.<br/>
<br/>
<a id="bill.7.3.0"></a><a id="pl.65.3"></a><var>65.3</var>    Sec. 3. Minnesota Statutes 2012, section 69.011, subdivision 1, is amended to read:<br/>
<a id="pl.65.4"></a><var>65.4</var>    Subdivision 1. <b>Definitions.</b> Unless the language or context clearly indicates that <br/>
<a id="pl.65.5"></a><var>65.5</var>a different meaning is intended, the following words and terms, for the purposes of this <br/>
<a id="pl.65.6"></a><var>65.6</var>chapter and chapters 423, 423A, 424 and 424A, have the meanings ascribed to them:<br/>
<a id="pl.65.7"></a><var>65.7</var>    (a) "Commissioner" means the commissioner of revenue.<br/>
<a id="pl.65.8"></a><var>65.8</var>    (b) "Municipality" means:<br/>
<a id="pl.65.9"></a><var>65.9</var>    (1) a home rule charter or statutory city;<br/>
<a id="pl.65.10"></a><var>65.10</var>    (2) an organized town;<br/>
<a id="pl.65.11"></a><var>65.11</var>    (3) a park district subject to chapter 398;<br/>
<a id="pl.65.12"></a><var>65.12</var>    (4) the University of Minnesota;<br/>
<a id="pl.65.13"></a><var>65.13</var>    (5) for purposes of the fire state aid program only, an American Indian tribal <br/>
<a id="pl.65.14"></a><var>65.14</var>government entity located within a federally recognized American Indian reservation;<br/>
<a id="pl.65.15"></a><var>65.15</var>    (6) for purposes of the police state aid program only, an American Indian tribal <br/>
<a id="pl.65.16"></a><var>65.16</var>government with a tribal police department which exercises state arrest powers under <br/>
<a id="pl.65.17"></a><var>65.17</var>section 
         <statute_ref>626.90</statute_ref>, 
         <statute_ref>626.91</statute_ref>, 
         <statute_ref>626.92</statute_ref>, or 
         <statute_ref>626.93</statute_ref>;<br/>
<a id="pl.65.18"></a><var>65.18</var>    (7) for purposes of the police state aid program only, the Metropolitan Airports <br/>
<a id="pl.65.19"></a><var>65.19</var>Commission; and<br/>
<a id="pl.65.20"></a><var>65.20</var>    (8) for purposes of the police state aid program only, the Department of Natural <br/>
<a id="pl.65.21"></a><var>65.21</var>Resources and the Department of Public Safety with respect to peace officers covered <br/>
<a id="pl.65.22"></a><var>65.22</var>under chapter 352B.<br/>
<a id="pl.65.23"></a><var>65.23</var>    (c) "Minnesota Firetown Premium Report" means a form prescribed by the <br/>
<a id="pl.65.24"></a><var>65.24</var>commissioner containing space for reporting by insurers of fire, lightning, sprinkler <br/>
<a id="pl.65.25"></a><var>65.25</var>leakage and extended coverage premiums received upon risks located or to be performed <br/>
<a id="pl.65.26"></a><var>65.26</var>in this state less return premiums and dividends.<br/>
<a id="pl.65.27"></a><var>65.27</var>    (d) "Firetown" means the area serviced by any municipality having a qualified fire <br/>
<a id="pl.65.28"></a><var>65.28</var>department or a qualified incorporated fire department having a subsidiary volunteer <br/>
<a id="pl.65.29"></a><var>65.29</var>firefighters' relief association.<br/>
<a id="pl.65.30"></a><var>65.30</var>    (e) "Estimated market value" means latest available estimated market value of all <br/>
<a id="pl.65.31"></a><var>65.31</var>property in a taxing jurisdiction, whether the property is subject to taxation, or exempt <br/>
<a id="pl.65.32"></a><var>65.32</var>from ad valorem taxation obtained from information which appears on abstracts filed with <br/>
<a id="pl.65.33"></a><var>65.33</var>the commissioner of revenue or equalized by the State Board of Equalization.<br/>
<a id="pl.65.34"></a><var>65.34</var>    (f) "Minnesota Aid to Police Premium Report" means a form prescribed by the <br/>
<a id="pl.65.35"></a><var>65.35</var>commissioner for reporting by each fire and casualty insurer of all premiums received <br/>
<a id="pl.66.1"></a><var>66.1</var>upon direct business received by it in this state, or by its agents for it, in cash or otherwise, <br/>
<a id="pl.66.2"></a><var>66.2</var>during the preceding calendar year, with reference to insurance written for insuring against <br/>
<a id="pl.66.3"></a><var>66.3</var>the perils contained in auto insurance coverages as reported in the Minnesota business <br/>
<a id="pl.66.4"></a><var>66.4</var>schedule of the annual financial statement which each insurer is required to file with <br/>
<a id="pl.66.5"></a><var>66.5</var>the commissioner in accordance with the governing laws or rules less return premiums <br/>
<a id="pl.66.6"></a><var>66.6</var>and dividends.<br/>
<a id="pl.66.7"></a><var>66.7</var>    (g) "Peace officer" means any person:<br/>
<a id="pl.66.8"></a><var>66.8</var>    (1) whose primary source of income derived from wages is from direct employment <br/>
<a id="pl.66.9"></a><var>66.9</var>by a municipality or county as a law enforcement officer on a full-time basis of not less <br/>
<a id="pl.66.10"></a><var>66.10</var>than 30 hours per week;<br/>
<a id="pl.66.11"></a><var>66.11</var>    (2) who has been employed for a minimum of six months prior to December 31 <br/>
<a id="pl.66.12"></a><var>66.12</var>preceding the date of the current year's certification under subdivision 2, clause (b);<br/>
<a id="pl.66.13"></a><var>66.13</var>    (3) who is sworn to enforce the general criminal laws of the state and local ordinances;<br/>
<a id="pl.66.14"></a><var>66.14</var>    (4) who is licensed by the Peace Officers Standards and Training Board and is <br/>
<a id="pl.66.15"></a><var>66.15</var>authorized to arrest with a warrant; and<br/>
<a id="pl.66.16"></a><var>66.16</var>    (5) who is a member of the State Patrol retirement plan or the public employees <br/>
<a id="pl.66.17"></a><var>66.17</var>police and fire fund.<br/>
<a id="pl.66.18"></a><var>66.18</var>    (h) "Full-time equivalent number of peace officers providing contract service" means <br/>
<a id="pl.66.19"></a><var>66.19</var>the integral or fractional number of peace officers which would be necessary to provide <br/>
<a id="pl.66.20"></a><var>66.20</var>the contract service if all peace officers providing service were employed on a full-time <br/>
<a id="pl.66.21"></a><var>66.21</var>basis as defined by the employing unit and the municipality receiving the contract service.<br/>
<a id="pl.66.22"></a><var>66.22</var>    (i) "Retirement benefits other than a service pension" means any disbursement <br/>
<a id="pl.66.23"></a><var>66.23</var>authorized under section 
         <statute_ref>424A.05, subdivision 3</statute_ref>, clauses (3) and (4).<br/>
<a id="pl.66.24"></a><var>66.24</var>    (j) "Municipal clerk, municipal clerk-treasurer, or county auditor" means:<br/>
<a id="pl.66.25"></a><var>66.25</var>    (1) for the police state aid program and police relief association financial reports:<br/>
<a id="pl.66.26"></a><var>66.26</var>    (i) the person who was elected or appointed to the specified position or, in the <br/>
<a id="pl.66.27"></a><var>66.27</var>absence of the person, another person who is designated by the applicable governing body;<br/>
<a id="pl.66.28"></a><var>66.28</var>    (ii) in a park district, the secretary of the board of park district commissioners;<br/>
<a id="pl.66.29"></a><var>66.29</var>    (iii) in the case of the University of Minnesota, the official designated by the Board <br/>
<a id="pl.66.30"></a><var>66.30</var>of Regents;<br/>
<a id="pl.66.31"></a><var>66.31</var>    (iv) for the Metropolitan Airports Commission, the person designated by the <br/>
<a id="pl.66.32"></a><var>66.32</var>commission;<br/>
<a id="pl.66.33"></a><var>66.33</var>    (v) for the Department of Natural Resources or the Department of Public Safety, the <br/>
<a id="pl.66.34"></a><var>66.34</var>respective commissioner;<br/>
<a id="pl.67.1"></a><var>67.1</var>    (vi) for a tribal police department which exercises state arrest powers under section <br/>
<statute_ref><a id="pl.67.2"></a><var>67.2</var>626.90
         </statute_ref>, 
         <statute_ref>626.91</statute_ref>, 
         <statute_ref>626.92</statute_ref>, or 
         <statute_ref>626.93</statute_ref>, the person designated by the applicable American <br/>
<a id="pl.67.3"></a><var>67.3</var>Indian tribal government; and<br/>
<a id="pl.67.4"></a><var>67.4</var>    (2) for the fire state aid program and fire relief association financial reports, the <br/>
<a id="pl.67.5"></a><var>67.5</var>person who was elected or appointed to the specified position, or, for governmental <br/>
<a id="pl.67.6"></a><var>67.6</var>entities other than counties, if the governing body of the governmental entity designates <br/>
<a id="pl.67.7"></a><var>67.7</var>the position to perform the function, the chief financial official of the governmental entity <br/>
<a id="pl.67.8"></a><var>67.8</var>or the chief administrative official of the governmental entity.<br/>
<a id="pl.67.9"></a><var>67.9</var>    (k) "Voluntary statewide lump-sum volunteer firefighter retirement plan" means the <br/>
<a id="pl.67.10"></a><var>67.10</var>retirement plan established by chapter 353G.<br/>
<br/>
<a id="bill.7.4.0"></a><a id="pl.67.11"></a><var>67.11</var>    Sec. 4. Minnesota Statutes 2012, section 69.021, subdivision 7, is amended to read:<br/>
<a id="pl.67.12"></a><var>67.12</var>    Subd. 7. <b>Apportionment of fire state aid to municipalities and relief associations.</b><br/>
<a id="pl.67.13"></a><var>67.13</var>    (a) The commissioner shall apportion the fire state aid relative to the premiums reported <br/>
<a id="pl.67.14"></a><var>67.14</var>on the Minnesota Firetown Premium Reports filed under this chapter to each municipality <br/>
<a id="pl.67.15"></a><var>67.15</var>and/or firefighters relief association.<br/>
<a id="pl.67.16"></a><var>67.16</var>    (b) The commissioner shall calculate an initial fire state aid allocation amount for <br/>
<a id="pl.67.17"></a><var>67.17</var>each municipality or fire department under paragraph (c) and a minimum fire state aid <br/>
<a id="pl.67.18"></a><var>67.18</var>allocation amount for each municipality or fire department under paragraph (d). The <br/>
<a id="pl.67.19"></a><var>67.19</var>municipality or fire department must receive the larger fire state aid amount.<br/>
<a id="pl.67.20"></a><var>67.20</var>    (c) The initial fire state aid allocation amount is the amount available for <br/>
<a id="pl.67.21"></a><var>67.21</var>apportionment as fire state aid under subdivision 5, without inclusion of any additional <br/>
<a id="pl.67.22"></a><var>67.22</var>funding amount to support a minimum fire state aid amount under section 
         <statute_ref>423A.02, <br/>
<a id="pl.67.23"></a><var>67.23</var>subdivision 3
         </statute_ref>, allocated one-half in proportion to the population as shown in the last official <br/>
<a id="pl.67.24"></a><var>67.24</var>statewide federal census for each fire town and one-half in proportion to the estimated <br/>
<a id="pl.67.25"></a><var>67.25</var>market value of each fire town, including (1) the estimated market value of tax-exempt <br/>
<a id="pl.67.26"></a><var>67.26</var>property and (2) the estimated market value of natural resources lands receiving in lieu <br/>
<a id="pl.67.27"></a><var>67.27</var>payments under sections 
         <statute_ref>477A.11 </statute_ref>to 
         <statute_ref>477A.14</statute_ref>, but excluding the estimated market value <br/>
<a id="pl.67.28"></a><var>67.28</var>of minerals. In the case of incorporated or municipal fire departments furnishing fire <br/>
<a id="pl.67.29"></a><var>67.29</var>protection to other cities, towns, or townships as evidenced by valid fire service contracts <br/>
<a id="pl.67.30"></a><var>67.30</var>filed with the commissioner, the distribution must be adjusted proportionately to take <br/>
<a id="pl.67.31"></a><var>67.31</var>into consideration the crossover fire protection service. Necessary adjustments must be <br/>
<a id="pl.67.32"></a><var>67.32</var>made to subsequent apportionments. In the case of municipalities or independent fire <br/>
<a id="pl.67.33"></a><var>67.33</var>departments qualifying for the aid, the commissioner shall calculate the state aid for the <br/>
<a id="pl.67.34"></a><var>67.34</var>municipality or relief association on the basis of the population and the estimated market <br/>
<a id="pl.67.35"></a><var>67.35</var>value of the area furnished fire protection service by the fire department as evidenced by <br/>
<a id="pl.68.1"></a><var>68.1</var>duly executed and valid fire service agreements filed with the commissioner. If one or <br/>
<a id="pl.68.2"></a><var>68.2</var>more fire departments are furnishing contracted fire service to a city, town, or township, <br/>
<a id="pl.68.3"></a><var>68.3</var>only the population and estimated market value of the area served by each fire department <br/>
<a id="pl.68.4"></a><var>68.4</var>may be considered in calculating the state aid and the fire departments furnishing service <br/>
<a id="pl.68.5"></a><var>68.5</var>shall enter into an agreement apportioning among themselves the percent of the population <br/>
<a id="pl.68.6"></a><var>68.6</var>and the estimated market value of each service area. The agreement must be in writing <br/>
<a id="pl.68.7"></a><var>68.7</var>and must be filed with the commissioner.<br/>
<a id="pl.68.8"></a><var>68.8</var>    (d) The minimum fire state aid allocation amount is the amount in addition to the <br/>
<a id="pl.68.9"></a><var>68.9</var>initial fire state allocation amount that is derived from any additional funding amount <br/>
<a id="pl.68.10"></a><var>68.10</var>to support a minimum fire state aid amount under section 
         <statute_ref>423A.02, subdivision 3</statute_ref>, and <br/>
<a id="pl.68.11"></a><var>68.11</var>allocated to municipalities with volunteer firefighters relief associations or covered by the <br/>
<a id="pl.68.12"></a><var>68.12</var>voluntary statewide lump-sum volunteer firefighter retirement plan based on the number <br/>
<a id="pl.68.13"></a><var>68.13</var>of active volunteer firefighters who are members of the relief association as reported <br/>
<a id="pl.68.14"></a><var>68.14</var>in the annual financial reporting for the calendar year 1993 to the Office of the State <br/>
<a id="pl.68.15"></a><var>68.15</var>Auditor, but not to exceed 30 active volunteer firefighters, so that all municipalities or <br/>
<a id="pl.68.16"></a><var>68.16</var>fire departments with volunteer firefighters relief associations receive in total at least a <br/>
<a id="pl.68.17"></a><var>68.17</var>minimum fire state aid amount per 1993 active volunteer firefighter to a maximum of <br/>
<a id="pl.68.18"></a><var>68.18</var>30 firefighters. If a relief association is established after calendar year 1993 and before <br/>
<a id="pl.68.19"></a><var>68.19</var>calendar year 2000, the number of active volunteer firefighters who are members of the <br/>
<a id="pl.68.20"></a><var>68.20</var>relief association as reported in the annual financial reporting for calendar year 1998 <br/>
<a id="pl.68.21"></a><var>68.21</var>to the Office of the State Auditor, but not to exceed 30 active volunteer firefighters, <br/>
<a id="pl.68.22"></a><var>68.22</var>shall be used in this determination. If a relief association is established after calendar <br/>
<a id="pl.68.23"></a><var>68.23</var>year 1999, the number of active volunteer firefighters who are members of the relief <br/>
<a id="pl.68.24"></a><var>68.24</var>association as reported in the first annual financial reporting submitted to the Office of <br/>
<a id="pl.68.25"></a><var>68.25</var>the State Auditor, but not to exceed 20 active volunteer firefighters, must be used in this <br/>
<a id="pl.68.26"></a><var>68.26</var>determination. If a relief association is terminated as a result of providing retirement <br/>
<a id="pl.68.27"></a><var>68.27</var>coverage for volunteer firefighters by the voluntary statewide lump-sum volunteer <br/>
<a id="pl.68.28"></a><var>68.28</var>firefighter retirement plan under chapter 353G, the number of active volunteer firefighters <br/>
<a id="pl.68.29"></a><var>68.29</var>of the municipality covered by the statewide plan as certified by the executive director of <br/>
<a id="pl.68.30"></a><var>68.30</var>the Public Employees Retirement Association to the commissioner and the state auditor, <br/>
<a id="pl.68.31"></a><var>68.31</var>but not to exceed 30 active firefighters, must be used in this determination.<br/>
<a id="pl.68.32"></a><var>68.32</var>    (e) Unless the firefighters of the applicable fire department are members of the <br/>
<a id="pl.68.33"></a><var>68.33</var>voluntary statewide lump-sum volunteer firefighter retirement plan, the fire state aid must <br/>
<a id="pl.68.34"></a><var>68.34</var>be paid to the treasurer of the municipality where the fire department is located and the <br/>
<a id="pl.68.35"></a><var>68.35</var>treasurer of the municipality shall, within 30 days of receipt of the fire state aid, transmit <br/>
<a id="pl.68.36"></a><var>68.36</var>the aid to the relief association if the relief association has filed a financial report with the <br/>
<a id="pl.69.1"></a><var>69.1</var>treasurer of the municipality and has met all other statutory provisions pertaining to the <br/>
<a id="pl.69.2"></a><var>69.2</var>aid apportionment. If the firefighters of the applicable fire department are members of <br/>
<a id="pl.69.3"></a><var>69.3</var>the voluntary statewide lump-sum volunteer firefighter retirement plan, the fire state aid <br/>
<a id="pl.69.4"></a><var>69.4</var>must be paid to the executive director of the Public Employees Retirement Association <br/>
<a id="pl.69.5"></a><var>69.5</var>and deposited in the voluntary statewide lump-sum volunteer firefighter retirement fund.<br/>
<a id="pl.69.6"></a><var>69.6</var>    (f) The commissioner may make rules to permit the administration of the provisions <br/>
<a id="pl.69.7"></a><var>69.7</var>of this section.<br/>
<a id="pl.69.8"></a><var>69.8</var>    (g) Any adjustments needed to correct prior misallocations must be made to <br/>
<a id="pl.69.9"></a><var>69.9</var>subsequent apportionments.<br/>
<br/>
<a id="bill.7.5.0"></a><a id="pl.69.10"></a><var>69.10</var>    Sec. 5. Minnesota Statutes 2012, section 69.021, subdivision 8, is amended to read:<br/>
<a id="pl.69.11"></a><var>69.11</var>    Subd. 8. <b>Population and </b><b>estimated </b><b>market value.</b> (a) In computations relating to <br/>
<a id="pl.69.12"></a><var>69.12</var>fire state aid requiring the use of population figures, only official statewide federal census <br/>
<a id="pl.69.13"></a><var>69.13</var>figures are to be used. Increases or decreases in population disclosed by reason of any <br/>
<a id="pl.69.14"></a><var>69.14</var>special census must not be taken into consideration.<br/>
<a id="pl.69.15"></a><var>69.15</var>    (b) In calculations relating to fire state aid requiring the use of estimated market <br/>
<a id="pl.69.16"></a><var>69.16</var>value property figures, only the latest available estimated market value property figures <br/>
<a id="pl.69.17"></a><var>69.17</var>may be used.<br/>
<br/>
<a id="bill.7.6.0"></a><a id="pl.69.18"></a><var>69.18</var>    Sec. 6. Minnesota Statutes 2012, section 88.51, subdivision 3, is amended to read:<br/>
<a id="pl.69.19"></a><var>69.19</var>    Subd. 3. <b>Determination of</b><b> estimated</b><b> market value.</b> In determining the net tax <br/>
<a id="pl.69.20"></a><var>69.20</var>capacity of property within any taxing district the value of the surface of lands within any <br/>
<a id="pl.69.21"></a><var>69.21</var>auxiliary forest therein, as determined by the county board under the provisions of section <br/>
<statute_ref><a id="pl.69.22"></a><var>69.22</var>88.48, subdivision 3
         </statute_ref>, shall, for all purposes except the levying of taxes on lands within any <br/>
<a id="pl.69.23"></a><var>69.23</var>such forest, be deemed the estimated market value thereof.<br/>
<br/>
<a id="bill.7.7.0"></a><a id="pl.69.24"></a><var>69.24</var>    Sec. 7. Minnesota Statutes 2012, section 103B.245, subdivision 3, is amended to read:<br/>
<a id="pl.69.25"></a><var>69.25</var>    Subd. 3. <b>Tax.</b> After adoption of the ordinance under subdivision 2, a local <br/>
<a id="pl.69.26"></a><var>69.26</var>government unit may annually levy a tax on all taxable property in the district for the <br/>
<a id="pl.69.27"></a><var>69.27</var>purposes for which the tax district is established. The tax may not exceed 0.02418 percent <br/>
<a id="pl.69.28"></a><var>69.28</var>of estimated market value on taxable property located in rural towns other than urban <br/>
<a id="pl.69.29"></a><var>69.29</var>towns, unless allowed by resolution of the town electors. The proceeds of the tax shall <br/>
<a id="pl.69.30"></a><var>69.30</var>be paid into a fund reserved for these purposes. Any proceeds remaining in the reserve <br/>
<a id="pl.69.31"></a><var>69.31</var>fund at the time the tax is terminated or the district is dissolved shall be transferred and <br/>
<a id="pl.69.32"></a><var>69.32</var>irrevocably pledged to the debt service fund of the local unit to be used solely to reduce <br/>
<a id="pl.69.33"></a><var>69.33</var>tax levies for bonded indebtedness of taxable property in the district.<br/>
<br/>
<a id="bill.7.8.0"></a><a id="pl.70.1"></a><var>70.1</var>    Sec. 8. Minnesota Statutes 2012, section 103B.251, subdivision 8, is amended to read:<br/>
<a id="pl.70.2"></a><var>70.2</var>    Subd. 8. <b>Tax.</b> (a) For the payment of principal and interest on the bonds issued <br/>
<a id="pl.70.3"></a><var>70.3</var>under subdivision 7 and the payment required under subdivision 6, the county shall <br/>
<a id="pl.70.4"></a><var>70.4</var>irrevocably pledge and appropriate the proceeds of a tax levied on all taxable property <br/>
<a id="pl.70.5"></a><var>70.5</var>located within the territory of the watershed management organization or subwatershed <br/>
<a id="pl.70.6"></a><var>70.6</var>unit for which the bonds are issued. Each year until the reserve for payment of the bonds <br/>
<a id="pl.70.7"></a><var>70.7</var>is sufficient to retire the bonds, the county shall levy on all taxable property in the territory <br/>
<a id="pl.70.8"></a><var>70.8</var>of the organization or unit, without respect to any statutory or other limitation on taxes, an <br/>
<a id="pl.70.9"></a><var>70.9</var>amount of taxes sufficient to pay principal and interest on the bonds and to restore any <br/>
<a id="pl.70.10"></a><var>70.10</var>deficiencies in reserves required to be maintained for payment of the bonds.<br/>
<a id="pl.70.11"></a><var>70.11</var>    (b) The tax levied on rural towns other than urban towns may not exceed 0.02418 <br/>
<a id="pl.70.12"></a><var>70.12</var>percent of taxable estimated market value, unless approved by resolution of the town <br/>
<a id="pl.70.13"></a><var>70.13</var>electors.<br/>
<a id="pl.70.14"></a><var>70.14</var>    (c) If at any time the amounts available from the levy on property in the territory of <br/>
<a id="pl.70.15"></a><var>70.15</var>the organization are insufficient to pay principal and interest on the bonds when due, the <br/>
<a id="pl.70.16"></a><var>70.16</var>county shall make payment from any available funds in the county treasury.<br/>
<a id="pl.70.17"></a><var>70.17</var>    (d) The amount of any taxes which are required to be levied outside of the territory <br/>
<a id="pl.70.18"></a><var>70.18</var>of the watershed management organization or unit or taken from the general funds of the <br/>
<a id="pl.70.19"></a><var>70.19</var>county to pay principal or interest on the bonds shall be reimbursed to the county from <br/>
<a id="pl.70.20"></a><var>70.20</var>taxes levied within the territory of the watershed management organization or unit.<br/>
<br/>
<a id="bill.7.9.0"></a><a id="pl.70.21"></a><var>70.21</var>    Sec. 9. Minnesota Statutes 2012, section 103B.635, subdivision 2, is amended to read:<br/>
<a id="pl.70.22"></a><var>70.22</var>    Subd. 2. <b>Municipal funding of district.</b> (a) The governing body or board of <br/>
<a id="pl.70.23"></a><var>70.23</var>supervisors of each municipality in the district must provide the funds necessary to meet <br/>
<a id="pl.70.24"></a><var>70.24</var>its proportion of the total cost determined by the board, provided the total funding from <br/>
<a id="pl.70.25"></a><var>70.25</var>all municipalities in the district for the costs shall not exceed an amount equal to .00242 <br/>
<a id="pl.70.26"></a><var>70.26</var>percent of the total taxable estimated market value within the district, unless three-fourths <br/>
<a id="pl.70.27"></a><var>70.27</var>of the municipalities in the district pass a resolution concurring to the additional costs.<br/>
<a id="pl.70.28"></a><var>70.28</var>    (b) The funds must be deposited in the treasury of the district in amounts and at <br/>
<a id="pl.70.29"></a><var>70.29</var>times as the treasurer of the district requires.<br/>
<br/>
<a id="bill.7.10.0"></a><a id="pl.70.30"></a><var>70.30</var>    Sec. 10. Minnesota Statutes 2012, section 103B.691, subdivision 2, is amended to read:<br/>
<a id="pl.70.31"></a><var>70.31</var>    Subd. 2. <b>Municipal funding of district.</b> (a) The governing body or board of <br/>
<a id="pl.70.32"></a><var>70.32</var>supervisors of each municipality in the district shall provide the funds necessary to meet its <br/>
<a id="pl.70.33"></a><var>70.33</var>proportion of the total cost to be borne by the municipalities as finally certified by the board.<br/>
<a id="pl.71.1"></a><var>71.1</var>    (b) The municipality's funds may be raised by any means within the authority of <br/>
<a id="pl.71.2"></a><var>71.2</var>the municipality. The municipalities may each levy a tax not to exceed .02418 percent of <br/>
<a id="pl.71.3"></a><var>71.3</var>taxable estimated market value on the taxable property located in the district to provide <br/>
<a id="pl.71.4"></a><var>71.4</var>the funds. The levy shall be within all other limitations provided by law.<br/>
<a id="pl.71.5"></a><var>71.5</var>    (c) The funds must be deposited into the treasury of the district in amounts and at <br/>
<a id="pl.71.6"></a><var>71.6</var>times as the treasurer of the district requires.<br/>
<br/>
<a id="bill.7.11.0"></a><a id="pl.71.7"></a><var>71.7</var>    Sec. 11. Minnesota Statutes 2012, section 103D.905, subdivision 2, is amended to read:<br/>
<a id="pl.71.8"></a><var>71.8</var>    Subd. 2. <b>Organizational expense fund.</b> (a) An organizational expense fund, <br/>
<a id="pl.71.9"></a><var>71.9</var>consisting of an ad valorem tax levy, shall not exceed 0.01596 percent of taxable estimated<br/>
<a id="pl.71.10"></a><var>71.10</var> market value, or $60,000, whichever is less. The money in the fund shall be used for <br/>
<a id="pl.71.11"></a><var>71.11</var>organizational expenses and preparation of the watershed management plan for projects.<br/>
<a id="pl.71.12"></a><var>71.12</var>    (b) The managers may borrow from the affected counties up to 75 percent of the <br/>
<a id="pl.71.13"></a><var>71.13</var>anticipated funds to be collected from the organizational expense fund levy and the <br/>
<a id="pl.71.14"></a><var>71.14</var>counties affected may make the advancements.<br/>
<a id="pl.71.15"></a><var>71.15</var>    (c) The advancement of anticipated funds shall be apportioned among affected <br/>
<a id="pl.71.16"></a><var>71.16</var>counties in the same ratio as the net tax capacity of the area of the counties within <br/>
<a id="pl.71.17"></a><var>71.17</var>the watershed district bears to the net tax capacity of the entire watershed district. If a <br/>
<a id="pl.71.18"></a><var>71.18</var>watershed district is enlarged, an organizational expense fund may be levied against the <br/>
<a id="pl.71.19"></a><var>71.19</var>area added to the watershed district in the same manner as provided in this subdivision.<br/>
<a id="pl.71.20"></a><var>71.20</var>    (d) Unexpended funds collected for the organizational expense may be transferred to <br/>
<a id="pl.71.21"></a><var>71.21</var>the administrative fund and used for the purposes of the administrative fund.<br/>
<br/>
<a id="bill.7.12.0"></a><a id="pl.71.22"></a><var>71.22</var>    Sec. 12. Minnesota Statutes 2012, section 103D.905, subdivision 3, is amended to read:<br/>
<a id="pl.71.23"></a><var>71.23</var>    Subd. 3. <b>General fund.</b> A general fund, consisting of an ad valorem tax levy, may <br/>
<a id="pl.71.24"></a><var>71.24</var>not exceed 0.048 percent of taxable estimated market value, or $250,000, whichever is <br/>
<a id="pl.71.25"></a><var>71.25</var>less. The money in the fund shall be used for general administrative expenses and for <br/>
<a id="pl.71.26"></a><var>71.26</var>the construction or implementation and maintenance of projects of common benefit to <br/>
<a id="pl.71.27"></a><var>71.27</var>the watershed district. The managers may make an annual levy for the general fund as <br/>
<a id="pl.71.28"></a><var>71.28</var>provided in section 
         <statute_ref>103D.911</statute_ref>. In addition to the annual general levy, the managers may <br/>
<a id="pl.71.29"></a><var>71.29</var>annually levy a tax not to exceed 0.00798 percent of taxable estimated market value <br/>
<a id="pl.71.30"></a><var>71.30</var>for a period not to exceed 15 consecutive years to pay the cost attributable to the basic <br/>
<a id="pl.71.31"></a><var>71.31</var>water management features of projects initiated by petition of a political subdivision <br/>
<a id="pl.71.32"></a><var>71.32</var>within the watershed district or by petition of at least 50 resident owners whose property <br/>
<a id="pl.71.33"></a><var>71.33</var>is within the watershed district.<br/>
<br/>
<a id="bill.7.13.0"></a><a id="pl.72.1"></a><var>72.1</var>    Sec. 13. Minnesota Statutes 2012, section 103D.905, subdivision 8, is amended to read:<br/>
<a id="pl.72.2"></a><var>72.2</var>    Subd. 8. <b>Survey and data acquisition fund.</b> (a) A survey and data acquisition fund <br/>
<a id="pl.72.3"></a><var>72.3</var>is established and used only if other funds are not available to the watershed district to pay <br/>
<a id="pl.72.4"></a><var>72.4</var>for making necessary surveys and acquiring data.<br/>
<a id="pl.72.5"></a><var>72.5</var>    (b) The survey and data acquisition fund consists of the proceeds of a property tax <br/>
<a id="pl.72.6"></a><var>72.6</var>that can be levied only once every five years. The levy may not exceed 0.02418 percent of <br/>
<a id="pl.72.7"></a><var>72.7</var>taxable estimated market value.<br/>
<a id="pl.72.8"></a><var>72.8</var>    (c) The balance of the survey and data acquisition fund may not exceed $50,000.<br/>
<a id="pl.72.9"></a><var>72.9</var>    (d) In a subsequent proceeding for a project where a survey has been made, the <br/>
<a id="pl.72.10"></a><var>72.10</var>attributable cost of the survey as determined by the managers shall be included as a part of <br/>
<a id="pl.72.11"></a><var>72.11</var>the cost of the work and the sum shall be repaid to the survey and data acquisition fund.<br/>
<br/>
<a id="bill.7.14.0"></a><a id="pl.72.12"></a><var>72.12</var>    Sec. 14. Minnesota Statutes 2012, section 117.025, subdivision 7, is amended to read:<br/>
<a id="pl.72.13"></a><var>72.13</var>    Subd. 7. <b>Structurally substandard.</b> "Structurally substandard" means a building:<br/>
<a id="pl.72.14"></a><var>72.14</var>    (1) that was inspected by the appropriate local government and cited for one or more <br/>
<a id="pl.72.15"></a><var>72.15</var>enforceable housing, maintenance, or building code violations;<br/>
<a id="pl.72.16"></a><var>72.16</var>    (2) in which the cited building code violations involve one or more of the following:<br/>
<a id="pl.72.17"></a><var>72.17</var>    (i) a roof and roof framing element;<br/>
<a id="pl.72.18"></a><var>72.18</var>    (ii) support walls, beams, and headers;<br/>
<a id="pl.72.19"></a><var>72.19</var>    (iii) foundation, footings, and subgrade conditions;<br/>
<a id="pl.72.20"></a><var>72.20</var>    (iv) light and ventilation;<br/>
<a id="pl.72.21"></a><var>72.21</var>    (v) fire protection, including egress;<br/>
<a id="pl.72.22"></a><var>72.22</var>    (vi) internal utilities, including electricity, gas, and water;<br/>
<a id="pl.72.23"></a><var>72.23</var>    (vii) flooring and flooring elements; or<br/>
<a id="pl.72.24"></a><var>72.24</var>    (viii) walls, insulation, and exterior envelope;<br/>
<a id="pl.72.25"></a><var>72.25</var>    (3) in which the cited housing, maintenance, or building code violations have not <br/>
<a id="pl.72.26"></a><var>72.26</var>been remedied after two notices to cure the noncompliance; and<br/>
<a id="pl.72.27"></a><var>72.27</var>    (4) has uncured housing, maintenance, and building code violations, satisfaction of <br/>
<a id="pl.72.28"></a><var>72.28</var>which would cost more than 50 percent of the assessor's taxable estimated market value <br/>
<a id="pl.72.29"></a><var>72.29</var>for the building, excluding land value, as determined under section 
         <statute_ref>273.11</statute_ref> for property <br/>
<a id="pl.72.30"></a><var>72.30</var>taxes payable in the year in which the condemnation is commenced.<br/>
<a id="pl.72.31"></a><var>72.31</var>A local government is authorized to seek from a judge or magistrate an administrative <br/>
<a id="pl.72.32"></a><var>72.32</var>warrant to gain access to inspect a specific building in a proposed development or <br/>
<a id="pl.72.33"></a><var>72.33</var>redevelopment area upon showing of probable cause that a specific code violation has <br/>
<a id="pl.72.34"></a><var>72.34</var>occurred and that the violation has not been cured, and that the owner has denied the local <br/>
<a id="pl.72.35"></a><var>72.35</var>government access to the property. Items of evidence that may support a conclusion of <br/>
<a id="pl.73.1"></a><var>73.1</var>probable cause may include recent fire or police inspections, housing inspection, exterior <br/>
<a id="pl.73.2"></a><var>73.2</var>evidence of deterioration, or other similar reliable evidence of deterioration in the specific <br/>
<a id="pl.73.3"></a><var>73.3</var>building.<br/>
<br/>
<a id="bill.7.15.0"></a><a id="pl.73.4"></a><var>73.4</var>    Sec. 15. Minnesota Statutes 2012, section 127A.48, subdivision 1, is amended to read:<br/>
<a id="pl.73.5"></a><var>73.5</var>    Subdivision 1. <b>Computation.</b> The Department of Revenue must annually conduct <br/>
<a id="pl.73.6"></a><var>73.6</var>an assessment/sales ratio study of the taxable property in each county, city, town, and <br/>
<a id="pl.73.7"></a><var>73.7</var>school district in accordance with the procedures in subdivisions 2 and 3. Based upon the <br/>
<a id="pl.73.8"></a><var>73.8</var>results of this assessment/sales ratio study, the Department of Revenue must determine an <br/>
<a id="pl.73.9"></a><var>73.9</var>aggregate equalized net tax capacity for the various classes of taxable property in each <br/>
<a id="pl.73.10"></a><var>73.10</var>taxing district, the aggregate of which tax capacity shall be is designated as the adjusted net <br/>
<a id="pl.73.11"></a><var>73.11</var>tax capacity. The adjusted net tax capacity must be reduced by the captured tax capacity of <br/>
<a id="pl.73.12"></a><var>73.12</var>tax increment districts under section 469.177, subdivision 2, fiscal disparities contribution <br/>
<a id="pl.73.13"></a><var>73.13</var>tax capacities under sections 276A.06 and 473F.08, and the tax capacity of transmission <br/>
<a id="pl.73.14"></a><var>73.14</var>lines required to be subtracted from the local tax base under section 273.425; and increased <br/>
<a id="pl.73.15"></a><var>73.15</var>by fiscal disparities distribution tax capacities under sections 276A.06 and 473F.08. The <br/>
<a id="pl.73.16"></a><var>73.16</var>adjusted net tax capacities shall be determined using the net tax capacity percentages in <br/>
<a id="pl.73.17"></a><var>73.17</var>effect for the assessment year following the assessment year of the study. The Department <br/>
<a id="pl.73.18"></a><var>73.18</var>of Revenue must make whatever estimates are necessary to account for changes in the <br/>
<a id="pl.73.19"></a><var>73.19</var>classification system. The Department of Revenue may incur the expense necessary to <br/>
<a id="pl.73.20"></a><var>73.20</var>make the determinations. The commissioner of revenue may reimburse any county or <br/>
<a id="pl.73.21"></a><var>73.21</var>governmental official for requested services performed in ascertaining the adjusted net tax <br/>
<a id="pl.73.22"></a><var>73.22</var>capacity. On or before March 15 annually, the Department of Revenue shall file with the <br/>
<a id="pl.73.23"></a><var>73.23</var>chair of the Tax Committee of the house of representatives and the chair of the Committee <br/>
<a id="pl.73.24"></a><var>73.24</var>on Taxes and Tax laws of the senate a report of adjusted net tax capacities for school <br/>
<a id="pl.73.25"></a><var>73.25</var>districts. On or before June 15 annually, the Department of Revenue shall file its final report <br/>
<a id="pl.73.26"></a><var>73.26</var>on the adjusted net tax capacities for school districts established by the previous year's <br/>
<a id="pl.73.27"></a><var>73.27</var>assessments and the current year's net tax capacity percentages with the commissioner of <br/>
<a id="pl.73.28"></a><var>73.28</var>education and each county auditor for those school districts for which the auditor has the <br/>
<a id="pl.73.29"></a><var>73.29</var>responsibility for determination of local tax rates. A copy of the report so filed shall be <br/>
<a id="pl.73.30"></a><var>73.30</var>mailed to the clerk of each school district involved and to the county assessor or supervisor <br/>
<a id="pl.73.31"></a><var>73.31</var>of assessments of the county or counties in which each school district is located.<br/>
<a id="pl.73.32"></a><var>73.32</var><b>EFFECTIVE DATE.</b>This section is effective the day following final enactment.<br/>
<br/>
<a id="bill.7.16.0"></a><a id="pl.74.1"></a><var>74.1</var>    Sec. 16. Minnesota Statutes 2012, section 138.053, is amended to read:<br/>
<a id="pl.74.2"></a><var>74.2</var><b>138.053 COUNTY HISTORICAL SOCIETY; TAX LEVY; CITIES OR </b><br/>
<a id="pl.74.3"></a><var>74.3</var><b>TOWNS.</b><br/>
<a id="pl.74.4"></a><var>74.4</var>    The governing body of any home rule charter or statutory city or town may annually <br/>
<a id="pl.74.5"></a><var>74.5</var>appropriate from its general fund an amount not to exceed 0.02418 percent of taxable<br/>
<a id="pl.74.6"></a><var>74.6</var> estimated market value, derived from ad valorem taxes on property or other revenues, to <br/>
<a id="pl.74.7"></a><var>74.7</var>be paid to the historical society of its respective county to be used for the promotion of <br/>
<a id="pl.74.8"></a><var>74.8</var>historical work and to aid in defraying the expenses of carrying on the historical work in the <br/>
<a id="pl.74.9"></a><var>74.9</var>county. No city or town may appropriate any funds for the benefit of any historical society <br/>
<a id="pl.74.10"></a><var>74.10</var>unless the society is affiliated with and approved by the Minnesota Historical Society.<br/>
<br/>
<a id="bill.7.17.0"></a><a id="pl.74.11"></a><var>74.11</var>    Sec. 17. Minnesota Statutes 2012, section 144F.01, subdivision 4, is amended to read:<br/>
<a id="pl.74.12"></a><var>74.12</var>    Subd. 4. <b>Property tax levy authority.</b> The district's board may levy a tax on the <br/>
<a id="pl.74.13"></a><var>74.13</var>taxable real and personal property in the district. The ad valorem tax levy may not exceed <br/>
<a id="pl.74.14"></a><var>74.14</var>0.048 percent of the taxable estimated market value of the district or $400,000, whichever <br/>
<a id="pl.74.15"></a><var>74.15</var>is less. The proceeds of the levy must be used as provided in subdivision 5. The board shall <br/>
<a id="pl.74.16"></a><var>74.16</var>certify the levy at the times as provided under section 
         <statute_ref>275.07</statute_ref>. The board shall provide the <br/>
<a id="pl.74.17"></a><var>74.17</var>county with whatever information is necessary to identify the property that is located within <br/>
<a id="pl.74.18"></a><var>74.18</var>the district. If the boundaries include a part of a parcel, the entire parcel shall be included <br/>
<a id="pl.74.19"></a><var>74.19</var>in the district. The county auditors must spread, collect, and distribute the proceeds of the <br/>
<a id="pl.74.20"></a><var>74.20</var>tax at the same time and in the same manner as provided by law for all other property taxes.<br/>
<br/>
<a id="bill.7.18.0"></a><a id="pl.74.21"></a><var>74.21</var>    Sec. 18. Minnesota Statutes 2012, section 162.07, subdivision 3, is amended to read:<br/>
<a id="pl.74.22"></a><var>74.22</var>    Subd. 3. <b>Computation for rural counties.</b> An amount equal to a levy of 0.01596 <br/>
<a id="pl.74.23"></a><var>74.23</var>percent on each rural county's total taxable estimated market value for the last preceding <br/>
<a id="pl.74.24"></a><var>74.24</var>calendar year shall be computed and shall be subtracted from the county's total estimated <br/>
<a id="pl.74.25"></a><var>74.25</var>construction costs. The result thereof shall be the money needs of the county. For the <br/>
<a id="pl.74.26"></a><var>74.26</var>purpose of this section, "rural counties" means all counties having a population of less <br/>
<a id="pl.74.27"></a><var>74.27</var>than 175,000.<br/>
<br/>
<a id="bill.7.19.0"></a><a id="pl.74.28"></a><var>74.28</var>    Sec. 19. Minnesota Statutes 2012, section 162.07, subdivision 4, is amended to read:<br/>
<a id="pl.74.29"></a><var>74.29</var>    Subd. 4. <b>Computation for urban counties.</b> An amount equal to a levy of 0.00967 <br/>
<a id="pl.74.30"></a><var>74.30</var>percent on each urban county's total taxable estimated market value for the last preceding <br/>
<a id="pl.74.31"></a><var>74.31</var>calendar year shall be computed and shall be subtracted from the county's total estimated <br/>
<a id="pl.74.32"></a><var>74.32</var>construction costs. The result thereof shall be the money needs of the county. For <br/>
<a id="pl.75.1"></a><var>75.1</var>the purpose of this section, "urban counties" means all counties having a population <br/>
<a id="pl.75.2"></a><var>75.2</var>of 175,000 or more.<br/>
<br/>
<a id="bill.7.20.0"></a><a id="pl.75.3"></a><var>75.3</var>    Sec. 20. Minnesota Statutes 2012, section 163.04, subdivision 3, is amended to read:<br/>
<a id="pl.75.4"></a><var>75.4</var>    Subd. 3. <b>Bridges within certain cities.</b> When the council of any statutory city or <br/>
<a id="pl.75.5"></a><var>75.5</var>city of the third or fourth class may determine that it is necessary to build or improve any <br/>
<a id="pl.75.6"></a><var>75.6</var>bridge or bridges, including approaches thereto, and any dam or retaining works connected <br/>
<a id="pl.75.7"></a><var>75.7</var>therewith, upon or forming a part of streets or highways either wholly or partly within <br/>
<a id="pl.75.8"></a><var>75.8</var>its limits, the county board shall appropriate one-half of the money as may be necessary <br/>
<a id="pl.75.9"></a><var>75.9</var>therefor from the county road and bridge fund, not exceeding during any year one-half <br/>
<a id="pl.75.10"></a><var>75.10</var>the amount of taxes paid into the county road and bridge fund during the preceding year, <br/>
<a id="pl.75.11"></a><var>75.11</var>on property within the corporate limits of the city. The appropriation shall be made upon <br/>
<a id="pl.75.12"></a><var>75.12</var>the petition of the council, which petition shall be filed by the council with the county <br/>
<a id="pl.75.13"></a><var>75.13</var>board prior to the fixing by the board of the annual county tax levy. The county board <br/>
<a id="pl.75.14"></a><var>75.14</var>shall determine the plans and specifications, shall let all necessary contracts, shall have <br/>
<a id="pl.75.15"></a><var>75.15</var>charge of construction, and upon its request, warrants in payment thereof shall be issued <br/>
<a id="pl.75.16"></a><var>75.16</var>by the county auditor, from time to time, as the construction work proceeds. Any unpaid <br/>
<a id="pl.75.17"></a><var>75.17</var>balance may be paid or advanced by the city. On petition of the council, the appropriations <br/>
<a id="pl.75.18"></a><var>75.18</var>of the county board, during not to exceed three successive years, may be made to apply <br/>
<a id="pl.75.19"></a><var>75.19</var>on the construction of the same items and to repay any money advanced by the city in <br/>
<a id="pl.75.20"></a><var>75.20</var>the construction thereof. None of the provisions of this section shall be construed to <br/>
<a id="pl.75.21"></a><var>75.21</var>be mandatory as applied to any city whose estimated market value exceeds $2,100 per <br/>
<a id="pl.75.22"></a><var>75.22</var>capita of its population.<br/>
<br/>
<a id="bill.7.21.0"></a><a id="pl.75.23"></a><var>75.23</var>    Sec. 21. Minnesota Statutes 2012, section 163.06, subdivision 6, is amended to read:<br/>
<a id="pl.75.24"></a><var>75.24</var>    Subd. 6. <b>Expenditure in certain counties.</b> In any county having not less than 95 <br/>
<a id="pl.75.25"></a><var>75.25</var>nor more than 105 full and fractional townships, and having a an estimated market value <br/>
<a id="pl.75.26"></a><var>75.26</var>of not less than $12,000,000 nor more than $21,000,000, exclusive of money and credits,<br/>
<a id="pl.75.27"></a><var>75.27</var> the county board, by resolution, may expend the funds provided in subdivision 4 in any <br/>
<a id="pl.75.28"></a><var>75.28</var>organized or unorganized township town or unorganized territory or portion thereof in <br/>
<a id="pl.75.29"></a><var>75.29</var>such county.<br/>
<br/>
<a id="bill.7.22.0"></a><a id="pl.75.30"></a><var>75.30</var>    Sec. 22. Minnesota Statutes 2012, section 165.10, subdivision 1, is amended to read:<br/>
<a id="pl.75.31"></a><var>75.31</var>    Subdivision 1. <b>Certain counties may issue and sell.</b> The county board of any <br/>
<a id="pl.75.32"></a><var>75.32</var>county having no outstanding road and bridge bonds may issue and sell county road bonds <br/>
<a id="pl.75.33"></a><var>75.33</var>in an amount not exceeding 0.12089 percent of the estimated market value of the taxable <br/>
<a id="pl.76.1"></a><var>76.1</var>property within the county exclusive of money and credits, for the purpose of constructing, <br/>
<a id="pl.76.2"></a><var>76.2</var>reconstructing, improving, or maintaining any bridge or bridges on any highway under its <br/>
<a id="pl.76.3"></a><var>76.3</var>jurisdiction, without submitting the matter to a vote of the electors of the county.<br/>
<br/>
<a id="bill.7.23.0"></a><a id="pl.76.4"></a><var>76.4</var>    Sec. 23. Minnesota Statutes 2012, section 272.03, is amended by adding a subdivision <br/>
<a id="pl.76.5"></a><var>76.5</var>to read:<br/>
<a id="pl.76.6"></a><var>76.6</var>    Subd. 14. <b>Estimated market value.</b> "Estimated market value" means the assessor's <br/>
<a id="pl.76.7"></a><var>76.7</var>determination of market value, including the effects of any orders made under section <br/>
<a id="pl.76.8"></a><var>76.8</var>270.12 or chapter 274, for the parcel. The provisions of section 273.032 apply for certain <br/>
<a id="pl.76.9"></a><var>76.9</var>uses in determining the total estimated market value for the taxing jurisdiction.<br/>
<br/>
<a id="bill.7.24.0"></a><a id="pl.76.10"></a><var>76.10</var>    Sec. 24. Minnesota Statutes 2012, section 272.03, is amended by adding a subdivision <br/>
<a id="pl.76.11"></a><var>76.11</var>to read:<br/>
<a id="pl.76.12"></a><var>76.12</var>    Subd. 15. <b>Taxable market value.</b> "Taxable market value" means estimated market <br/>
<a id="pl.76.13"></a><var>76.13</var>value for the parcel as reduced by market value exclusions, deferments of value, or other <br/>
<a id="pl.76.14"></a><var>76.14</var>adjustments required by law, that reduce market value before the application of class rates.<br/>
<br/>
<a id="bill.7.25.0"></a><a id="pl.76.15"></a><var>76.15</var>    Sec. 25. Minnesota Statutes 2012, section 273.032, is amended to read:<br/>
<a id="pl.76.16"></a><var>76.16</var><b>273.032 MARKET VALUE DEFINITION.</b><br/>
<a id="pl.76.17"></a><var>76.17</var>    (a) Unless otherwise provided, for the purpose of determining any property tax <br/>
<a id="pl.76.18"></a><var>76.18</var>levy limitation based on market value or any limit on net debt, the issuance of bonds, <br/>
<a id="pl.76.19"></a><var>76.19</var>certificates of indebtedness, or capital notes based on market value, any qualification to <br/>
<a id="pl.76.20"></a><var>76.20</var>receive state aid based on market value, or any state aid amount based on market value, the <br/>
<a id="pl.76.21"></a><var>76.21</var>terms "market value," "taxable estimated market value," and "market valuation," whether <br/>
<a id="pl.76.22"></a><var>76.22</var>equalized or unequalized, mean the total taxable estimated market value of taxable property <br/>
<a id="pl.76.23"></a><var>76.23</var>within the local unit of government before any of the following or similar adjustments for:<br/>
<a id="pl.76.24"></a><var>76.24</var>    (1) the market value exclusions under:<br/>
<a id="pl.76.25"></a><var>76.25</var>    (i) section 273.11, subdivisions 14a and 14c (vacant platted land);<br/>
<a id="pl.76.26"></a><var>76.26</var>    (ii) section 273.11, subdivision 16 (certain improvements to homestead property);<br/>
<a id="pl.76.27"></a><var>76.27</var>    (iii) section 273.11, subdivisions 19 and 20 (certain improvements to business <br/>
<a id="pl.76.28"></a><var>76.28</var>properties);<br/>
<a id="pl.76.29"></a><var>76.29</var>    (iv) section 273.11, subdivision 21 (homestead property damaged by mold);<br/>
<a id="pl.76.30"></a><var>76.30</var>    (v) section 273.11, subdivision 22 (qualifying lead hazardous reduction projects);<br/>
<a id="pl.76.31"></a><var>76.31</var>    (vi) section 273.13, subdivision 34 (homestead of a disabled veteran or family <br/>
<a id="pl.76.32"></a><var>76.32</var>caregiver);<br/>
<a id="pl.76.33"></a><var>76.33</var>    (vii) section 273.13, subdivision 35 (homestead market value exclusion); or<br/>
<a id="pl.77.1"></a><var>77.1</var>    (2) the deferment of value under:<br/>
<a id="pl.77.2"></a><var>77.2</var>    (i) the Minnesota Agricultural Property Tax Law, section 273.111;<br/>
<a id="pl.77.3"></a><var>77.3</var>    (ii) the Aggregate Resource Preservation Law, section 273.1115;<br/>
<a id="pl.77.4"></a><var>77.4</var>    (iii) the Minnesota Open Space Property Tax Law, section 273.112;<br/>
<a id="pl.77.5"></a><var>77.5</var>    (iv) the rural preserves property tax program, section 273.114; or<br/>
<a id="pl.77.6"></a><var>77.6</var>    (v) the Metropolitan Agricultural Preserves Act, section 473H.10; or<br/>
<a id="pl.77.7"></a><var>77.7</var>    (3) the adjustments to tax capacity for:<br/>
<a id="pl.77.8"></a><var>77.8</var>    (i) tax increment, financing under sections 469.174 to 469.1794;<br/>
<a id="pl.77.9"></a><var>77.9</var>    (ii) fiscal disparity, disparities under chapter 276A or 473F; or<br/>
<a id="pl.77.10"></a><var>77.10</var>    (iii)  powerline credit, or wind energy values, but after the limited market adjustments <br/>
<a id="pl.77.11"></a><var>77.11</var>under section 
<statute_ref>273.11, subdivision 1a</statute_ref>, and after the market value exclusions of certain <br/>
<a id="pl.77.12"></a><var>77.12</var>improvements to homestead property under section 
<statute_ref>273.11, subdivision 16</statute_ref> under section <br/>
<a id="pl.77.13"></a><var>77.13</var>273.425.<br/>
<a id="pl.77.14"></a><var>77.14</var>    (b) Estimated market value under paragraph (a) also includes the market value <br/>
<a id="pl.77.15"></a><var>77.15</var>of tax-exempt property if the applicable law specifically provides that the limitation, <br/>
<a id="pl.77.16"></a><var>77.16</var>qualification, or aid calculation includes tax-exempt property.<br/>
<a id="pl.77.17"></a><var>77.17</var>    (c) Unless otherwise provided, "market value," "taxable estimated market value," <br/>
<a id="pl.77.18"></a><var>77.18</var>and "market valuation" for purposes of this paragraph property tax levy limitations and <br/>
<a id="pl.77.19"></a><var>77.19</var>calculation of state aid, refer to the taxable estimated market value for the previous <br/>
<a id="pl.77.20"></a><var>77.20</var>assessment year and for purposes of limits on net debt, the issuance of bonds, certificates of <br/>
<a id="pl.77.21"></a><var>77.21</var>indebtedness, or capital notes refer to the estimated market value as last finally equalized.<br/>
<a id="pl.77.22"></a><var>77.22</var>    For the purpose of determining any net debt limit based on market value, or any limit <br/>
<a id="pl.77.23"></a><var>77.23</var>on the issuance of bonds, certificates of indebtedness, or capital notes based on market <br/>
<a id="pl.77.24"></a><var>77.24</var>value, the terms "market value," "taxable market value," and "market valuation," whether <br/>
<a id="pl.77.25"></a><var>77.25</var>equalized or unequalized, mean the total taxable market value of property within the local <br/>
<a id="pl.77.26"></a><var>77.26</var>unit of government before any adjustments for tax increment, fiscal disparity, powerline <br/>
<a id="pl.77.27"></a><var>77.27</var>credit, or wind energy values, but after the limited market value adjustments under section <br/>
<a id="pl.77.28"></a><var>77.28</var><statute_ref>273.11</statute_ref>, subdivision 1a, and after the market value exclusions of certain improvements to <br/>
<a id="pl.77.29"></a><var>77.29</var>homestead property under section 
<statute_ref>273.11</statute_ref>, subdivision 16. Unless otherwise provided, <br/>
<a id="pl.77.30"></a><var>77.30</var>"market value," "taxable market value," and "market valuation" for purposes of this <br/>
<a id="pl.77.31"></a><var>77.31</var>paragraph, mean the taxable market value as last finally equalized.<br/>
<a id="pl.77.32"></a><var>77.32</var>    (d) For purposes of a provision of a home rule charter or of any special law that is not <br/>
<a id="pl.77.33"></a><var>77.33</var>codified in the statutes and that imposes a levy limitation based on market value or any limit <br/>
<a id="pl.77.34"></a><var>77.34</var>on debt, the issuance of bonds, certificates of indebtedness, or capital notes based on market <br/>
<a id="pl.77.35"></a><var>77.35</var>value, the terms "market value," "taxable market value," and "market valuation," whether <br/>
<a id="pl.77.36"></a><var>77.36</var>equalized or unequalized, mean "estimated market value" as defined in paragraph (a).<br/>
<br/>
<a id="bill.7.26.0"></a><a id="pl.78.1"></a><var>78.1</var>    Sec. 26. Minnesota Statutes 2012, section 273.11, subdivision 1, is amended to read:<br/>
<a id="pl.78.2"></a><var>78.2</var>    Subdivision 1. <b>Generally.</b> Except as provided in this section or section 
         <statute_ref>273.17, <br/>
<a id="pl.78.3"></a><var>78.3</var>subdivision 1
         </statute_ref>, all property shall be valued at its market value. The market value as <br/>
<a id="pl.78.4"></a><var>78.4</var>determined pursuant to this section shall be stated such that any amount under $100 is <br/>
<a id="pl.78.5"></a><var>78.5</var>rounded up to $100 and any amount exceeding $100 shall be rounded to the nearest $100. <br/>
<a id="pl.78.6"></a><var>78.6</var>In estimating and determining such value, the assessor shall not adopt a lower or different <br/>
<a id="pl.78.7"></a><var>78.7</var>standard of value because the same is to serve as a basis of taxation, nor shall the assessor <br/>
<a id="pl.78.8"></a><var>78.8</var>adopt as a criterion of value the price for which such property would sell at a forced sale, <br/>
<a id="pl.78.9"></a><var>78.9</var>or in the aggregate with all the property in the town or district; but the assessor shall value <br/>
<a id="pl.78.10"></a><var>78.10</var>each article or description of property by itself, and at such sum or price as the assessor <br/>
<a id="pl.78.11"></a><var>78.11</var>believes the same to be fairly worth in money. The assessor shall take into account the <br/>
<a id="pl.78.12"></a><var>78.12</var>effect on the market value of property of environmental factors in the vicinity of the <br/>
<a id="pl.78.13"></a><var>78.13</var>property. In assessing any tract or lot of real property, the value of the land, exclusive of <br/>
<a id="pl.78.14"></a><var>78.14</var>structures and improvements, shall be determined, and also the value of all structures and <br/>
<a id="pl.78.15"></a><var>78.15</var>improvements thereon, and the aggregate value of the property, including all structures <br/>
<a id="pl.78.16"></a><var>78.16</var>and improvements, excluding the value of crops growing upon cultivated land. In valuing <br/>
<a id="pl.78.17"></a><var>78.17</var>real property upon which there is a mine or quarry, it shall be valued at such price as such <br/>
<a id="pl.78.18"></a><var>78.18</var>property, including the mine or quarry, would sell for at a fair, voluntary sale, for cash, <br/>
<a id="pl.78.19"></a><var>78.19</var>if the material being mined or quarried is not subject to taxation under section 
         <statute_ref>298.015</statute_ref> <br/>
<a id="pl.78.20"></a><var>78.20</var>and the mine or quarry is not exempt from the general property tax under section 
         <statute_ref>298.25</statute_ref>. <br/>
<a id="pl.78.21"></a><var>78.21</var>In valuing real property which is vacant, platted property shall be assessed as provided <br/>
<a id="pl.78.22"></a><var>78.22</var>in subdivision 14 subdivisions 14a and 14c. All property, or the use thereof, which is <br/>
<a id="pl.78.23"></a><var>78.23</var>taxable under section 
         <statute_ref>272.01, subdivision 2</statute_ref>, or 
         <statute_ref>273.19</statute_ref>, shall be valued at the market <br/>
<a id="pl.78.24"></a><var>78.24</var>value of such property and not at the value of a leasehold estate in such property, or at <br/>
<a id="pl.78.25"></a><var>78.25</var>some lesser value than its market value.<br/>
<br/>
<a id="bill.7.27.0"></a><a id="pl.78.26"></a><var>78.26</var>    Sec. 27. Minnesota Statutes 2012, section 273.124, subdivision 3a, is amended to read:<br/>
<a id="pl.78.27"></a><var>78.27</var>    Subd. 3a. <b>Manufactured home park cooperative.</b> (a) When a manufactured home <br/>
<a id="pl.78.28"></a><var>78.28</var>park is owned by a corporation or association organized under chapter 308A or 308B, <br/>
<a id="pl.78.29"></a><var>78.29</var>and each person who owns a share or shares in the corporation or association is entitled <br/>
<a id="pl.78.30"></a><var>78.30</var>to occupy a lot within the park, the corporation or association may claim homestead <br/>
<a id="pl.78.31"></a><var>78.31</var>treatment for the park. Each lot must be designated by legal description or number, and <br/>
<a id="pl.78.32"></a><var>78.32</var>each lot is limited to not more than one-half acre of land.<br/>
<a id="pl.78.33"></a><var>78.33</var>    (b) The manufactured home park shall be entitled to homestead treatment if all <br/>
<a id="pl.78.34"></a><var>78.34</var>of the following criteria are met:<br/>
<a id="pl.79.1"></a><var>79.1</var>    (1) the occupant or the cooperative corporation or association is paying the ad <br/>
<a id="pl.79.2"></a><var>79.2</var>valorem property taxes and any special assessments levied against the land and structure <br/>
<a id="pl.79.3"></a><var>79.3</var>either directly, or indirectly through dues to the corporation or association; and<br/>
<a id="pl.79.4"></a><var>79.4</var>    (2) the corporation or association organized under chapter 308A or 308B is wholly <br/>
<a id="pl.79.5"></a><var>79.5</var>owned by persons having a right to occupy a lot owned by the corporation or association.<br/>
<a id="pl.79.6"></a><var>79.6</var>    (c) A charitable corporation, organized under the laws of Minnesota with no <br/>
<a id="pl.79.7"></a><var>79.7</var>outstanding stock, and granted a ruling by the Internal Revenue Service for 501(c)(3) <br/>
<a id="pl.79.8"></a><var>79.8</var>tax-exempt status, qualifies for homestead treatment with respect to a manufactured home <br/>
<a id="pl.79.9"></a><var>79.9</var>park if its members hold residential participation warrants entitling them to occupy a lot <br/>
<a id="pl.79.10"></a><var>79.10</var>in the manufactured home park.<br/>
<a id="pl.79.11"></a><var>79.11</var>    (d) "Homestead treatment" under this subdivision means the class rate provided for <br/>
<a id="pl.79.12"></a><var>79.12</var>class 4c property classified under section 
         <statute_ref>273.13, subdivision 25</statute_ref>, paragraph (d), clause (5), <br/>
<a id="pl.79.13"></a><var>79.13</var>item (ii). The homestead market value credit exclusion under section 
         <statute_ref>273.1384</statute_ref> 273.13, <br/>
<a id="pl.79.14"></a><var>79.14</var>subdivision 35, does not apply and the property taxes assessed against the park shall not <br/>
<a id="pl.79.15"></a><var>79.15</var>be included in the determination of taxes payable for rent paid under section 
         <statute_ref>290A.03</statute_ref>.<br/>
<a id="pl.79.16"></a><var>79.16</var><b>EFFECTIVE DATE.</b>This section is effective for taxes payable in 2013 and <br/>
<a id="pl.79.17"></a><var>79.17</var>thereafter.<br/>
<br/>
<a id="bill.7.28.0"></a><a id="pl.79.18"></a><var>79.18</var>    Sec. 28. Minnesota Statutes 2012, section 273.124, subdivision 13, is amended to read:<br/>
<a id="pl.79.19"></a><var>79.19</var>    Subd. 13. <b>Homestead application.</b> (a) A person who meets the homestead <br/>
<a id="pl.79.20"></a><var>79.20</var>requirements under subdivision 1 must file a homestead application with the county <br/>
<a id="pl.79.21"></a><var>79.21</var>assessor to initially obtain homestead classification.<br/>
<a id="pl.79.22"></a><var>79.22</var>    (b) The format and contents of a uniform homestead application shall be prescribed <br/>
<a id="pl.79.23"></a><var>79.23</var>by the commissioner of revenue. The application must clearly inform the taxpayer that <br/>
<a id="pl.79.24"></a><var>79.24</var>this application must be signed by all owners who occupy the property or by the qualifying <br/>
<a id="pl.79.25"></a><var>79.25</var>relative and returned to the county assessor in order for the property to receive homestead <br/>
<a id="pl.79.26"></a><var>79.26</var>treatment.<br/>
<a id="pl.79.27"></a><var>79.27</var>    (c) Every property owner applying for homestead classification must furnish to the <br/>
<a id="pl.79.28"></a><var>79.28</var>county assessor the Social Security number of each occupant who is listed as an owner <br/>
<a id="pl.79.29"></a><var>79.29</var>of the property on the deed of record, the name and address of each owner who does not <br/>
<a id="pl.79.30"></a><var>79.30</var>occupy the property, and the name and Social Security number of each owner's spouse who <br/>
<a id="pl.79.31"></a><var>79.31</var>occupies the property. The application must be signed by each owner who occupies the <br/>
<a id="pl.79.32"></a><var>79.32</var>property and by each owner's spouse who occupies the property, or, in the case of property <br/>
<a id="pl.79.33"></a><var>79.33</var>that qualifies as a homestead under subdivision 1, paragraph (c), by the qualifying relative.<br/>
<a id="pl.79.34"></a><var>79.34</var>    If a property owner occupies a homestead, the property owner's spouse may not <br/>
<a id="pl.79.35"></a><var>79.35</var>claim another property as a homestead unless the property owner and the property owner's <br/>
<a id="pl.80.1"></a><var>80.1</var>spouse file with the assessor an affidavit or other proof required by the assessor stating that <br/>
<a id="pl.80.2"></a><var>80.2</var>the property qualifies as a homestead under subdivision 1, paragraph (e).<br/>
<a id="pl.80.3"></a><var>80.3</var>    Owners or spouses occupying residences owned by their spouses and previously <br/>
<a id="pl.80.4"></a><var>80.4</var>occupied with the other spouse, either of whom fail to include the other spouse's name <br/>
<a id="pl.80.5"></a><var>80.5</var>and Social Security number on the homestead application or provide the affidavits or <br/>
<a id="pl.80.6"></a><var>80.6</var>other proof requested, will be deemed to have elected to receive only partial homestead <br/>
<a id="pl.80.7"></a><var>80.7</var>treatment of their residence. The remainder of the residence will be classified as <br/>
<a id="pl.80.8"></a><var>80.8</var>nonhomestead residential. When an owner or spouse's name and Social Security number <br/>
<a id="pl.80.9"></a><var>80.9</var>appear on homestead applications for two separate residences and only one application is <br/>
<a id="pl.80.10"></a><var>80.10</var>signed, the owner or spouse will be deemed to have elected to homestead the residence for <br/>
<a id="pl.80.11"></a><var>80.11</var>which the application was signed.<br/>
<a id="pl.80.12"></a><var>80.12</var>    The Social Security numbers, state or federal tax returns or tax return information, <br/>
<a id="pl.80.13"></a><var>80.13</var>including the federal income tax schedule F required by this section, or affidavits or other <br/>
<a id="pl.80.14"></a><var>80.14</var>proofs of the property owners and spouses submitted under this or another section to <br/>
<a id="pl.80.15"></a><var>80.15</var>support a claim for a property tax homestead classification are private data on individuals as <br/>
<a id="pl.80.16"></a><var>80.16</var>defined by section 
         <statute_ref>13.02, subdivision 12</statute_ref>, but, notwithstanding that section, the private data <br/>
<a id="pl.80.17"></a><var>80.17</var>may be disclosed to the commissioner of revenue, or, for purposes of proceeding under the <br/>
<a id="pl.80.18"></a><var>80.18</var>Revenue Recapture Act to recover personal property taxes owing, to the county treasurer.<br/>
<a id="pl.80.19"></a><var>80.19</var>    (d) If residential real estate is occupied and used for purposes of a homestead by a <br/>
<a id="pl.80.20"></a><var>80.20</var>relative of the owner and qualifies for a homestead under subdivision 1, paragraph (c), in <br/>
<a id="pl.80.21"></a><var>80.21</var>order for the property to receive homestead status, a homestead application must be filed <br/>
<a id="pl.80.22"></a><var>80.22</var>with the assessor. The Social Security number of each relative and spouse of a relative <br/>
<a id="pl.80.23"></a><var>80.23</var>occupying the property shall be required on the homestead application filed under this <br/>
<a id="pl.80.24"></a><var>80.24</var>subdivision. If a different relative of the owner subsequently occupies the property, the <br/>
<a id="pl.80.25"></a><var>80.25</var>owner of the property must notify the assessor within 30 days of the change in occupancy. <br/>
<a id="pl.80.26"></a><var>80.26</var>The Social Security number of a relative or relative's spouse occupying the property <br/>
<a id="pl.80.27"></a><var>80.27</var>is private data on individuals as defined by section 
         <statute_ref>13.02, subdivision 12</statute_ref>, but may be <br/>
<a id="pl.80.28"></a><var>80.28</var>disclosed to the commissioner of revenue, or, for the purposes of proceeding under the <br/>
<a id="pl.80.29"></a><var>80.29</var>Revenue Recapture Act to recover personal property taxes owing, to the county treasurer.<br/>
<a id="pl.80.30"></a><var>80.30</var>    (e) The homestead application shall also notify the property owners that the <br/>
<a id="pl.80.31"></a><var>80.31</var>application filed under this section will not be mailed annually and that if the property <br/>
<a id="pl.80.32"></a><var>80.32</var>is granted homestead status for any assessment year, that same property shall remain <br/>
<a id="pl.80.33"></a><var>80.33</var>classified as homestead until the property is sold or transferred to another person, or <br/>
<a id="pl.80.34"></a><var>80.34</var>the owners, the spouse of the owner, or the relatives no longer use the property as their <br/>
<a id="pl.80.35"></a><var>80.35</var>homestead. Upon the sale or transfer of the homestead property, a certificate of value must <br/>
<a id="pl.80.36"></a><var>80.36</var>be timely filed with the county auditor as provided under section 
         <statute_ref>272.115</statute_ref>. Failure to <br/>
<a id="pl.81.1"></a><var>81.1</var>notify the assessor within 30 days that the property has been sold, transferred, or that the <br/>
<a id="pl.81.2"></a><var>81.2</var>owner, the spouse of the owner, or the relative is no longer occupying the property as a <br/>
<a id="pl.81.3"></a><var>81.3</var>homestead, shall result in the penalty provided under this subdivision and the property <br/>
<a id="pl.81.4"></a><var>81.4</var>will lose its current homestead status.<br/>
<a id="pl.81.5"></a><var>81.5</var>    (f) If the homestead application is not returned within 30 days, the county will send a <br/>
<a id="pl.81.6"></a><var>81.6</var>second application to the present owners of record. The notice of proposed property taxes <br/>
<a id="pl.81.7"></a><var>81.7</var>prepared under section 
         <statute_ref>275.065, subdivision 3</statute_ref>, shall reflect the property's classification. If <br/>
<a id="pl.81.8"></a><var>81.8</var>a homestead application has not been filed with the county by December 15, the assessor <br/>
<a id="pl.81.9"></a><var>81.9</var>shall classify the property as nonhomestead for the current assessment year for taxes <br/>
<a id="pl.81.10"></a><var>81.10</var>payable in the following year, provided that the owner may be entitled to receive the <br/>
<a id="pl.81.11"></a><var>81.11</var>homestead classification by proper application under section 
         <statute_ref>375.192</statute_ref>.<br/>
<a id="pl.81.12"></a><var>81.12</var>    (g) At the request of the commissioner, each county must give the commissioner a <br/>
<a id="pl.81.13"></a><var>81.13</var>list that includes the name and Social Security number of each occupant of homestead <br/>
<a id="pl.81.14"></a><var>81.14</var>property who is the property owner, property owner's spouse, qualifying relative of a <br/>
<a id="pl.81.15"></a><var>81.15</var>property owner, or a spouse of a qualifying relative. The commissioner shall use the <br/>
<a id="pl.81.16"></a><var>81.16</var>information provided on the lists as appropriate under the law, including for the detection <br/>
<a id="pl.81.17"></a><var>81.17</var>of improper claims by owners, or relatives of owners, under chapter 290A.<br/>
<a id="pl.81.18"></a><var>81.18</var>    (h) If the commissioner finds that a property owner may be claiming a fraudulent <br/>
<a id="pl.81.19"></a><var>81.19</var>homestead, the commissioner shall notify the appropriate counties. Within 90 days of <br/>
<a id="pl.81.20"></a><var>81.20</var>the notification, the county assessor shall investigate to determine if the homestead <br/>
<a id="pl.81.21"></a><var>81.21</var>classification was properly claimed. If the property owner does not qualify, the county <br/>
<a id="pl.81.22"></a><var>81.22</var>assessor shall notify the county auditor who will determine the amount of homestead <br/>
<a id="pl.81.23"></a><var>81.23</var>benefits that had been improperly allowed. For the purpose of this section, "homestead <br/>
<a id="pl.81.24"></a><var>81.24</var>benefits" means the tax reduction resulting from the classification as a homestead and the <br/>
<a id="pl.81.25"></a><var>81.25</var>homestead market value exclusion under section 
         <statute_ref>273.13</statute_ref>, the taconite homestead credit <br/>
<a id="pl.81.26"></a><var>81.26</var>under section 
         <statute_ref>273.135</statute_ref>, the residential homestead and agricultural homestead credits credit<br/>
<a id="pl.81.27"></a><var>81.27</var> under section 
         <statute_ref>273.1384</statute_ref>, and the supplemental homestead credit under section 
         <statute_ref>273.1391</statute_ref>.<br/>
<a id="pl.81.28"></a><var>81.28</var>    The county auditor shall send a notice to the person who owned the affected property <br/>
<a id="pl.81.29"></a><var>81.29</var>at the time the homestead application related to the improper homestead was filed, <br/>
<a id="pl.81.30"></a><var>81.30</var>demanding reimbursement of the homestead benefits plus a penalty equal to 100 percent <br/>
<a id="pl.81.31"></a><var>81.31</var>of the homestead benefits. The person notified may appeal the county's determination <br/>
<a id="pl.81.32"></a><var>81.32</var>by serving copies of a petition for review with county officials as provided in section <br/>
<statute_ref><a id="pl.81.33"></a><var>81.33</var>278.01
         </statute_ref> and filing proof of service as provided in section 
         <statute_ref>278.01</statute_ref> with the Minnesota Tax <br/>
<a id="pl.81.34"></a><var>81.34</var>Court within 60 days of the date of the notice from the county. Procedurally, the appeal <br/>
<a id="pl.81.35"></a><var>81.35</var>is governed by the provisions in chapter 271 which apply to the appeal of a property tax <br/>
<a id="pl.81.36"></a><var>81.36</var>assessment or levy, but without requiring any prepayment of the amount in controversy. If <br/>
<a id="pl.82.1"></a><var>82.1</var>the amount of homestead benefits and penalty is not paid within 60 days, and if no appeal <br/>
<a id="pl.82.2"></a><var>82.2</var>has been filed, the county auditor shall certify the amount of taxes and penalty to the county <br/>
<a id="pl.82.3"></a><var>82.3</var>treasurer. The county treasurer will add interest to the unpaid homestead benefits and <br/>
<a id="pl.82.4"></a><var>82.4</var>penalty amounts at the rate provided in section 
         <statute_ref>279.03</statute_ref> for real property taxes becoming <br/>
<a id="pl.82.5"></a><var>82.5</var>delinquent in the calendar year during which the amount remains unpaid. Interest may be <br/>
<a id="pl.82.6"></a><var>82.6</var>assessed for the period beginning 60 days after demand for payment was made.<br/>
<a id="pl.82.7"></a><var>82.7</var>    If the person notified is the current owner of the property, the treasurer may add the <br/>
<a id="pl.82.8"></a><var>82.8</var>total amount of homestead benefits, penalty, interest, and costs to the ad valorem taxes <br/>
<a id="pl.82.9"></a><var>82.9</var>otherwise payable on the property by including the amounts on the property tax statements <br/>
<a id="pl.82.10"></a><var>82.10</var>under section 
         <statute_ref>276.04, subdivision 3</statute_ref>. The amounts added under this paragraph to the ad <br/>
<a id="pl.82.11"></a><var>82.11</var>valorem taxes shall include interest accrued through December 31 of the year preceding <br/>
<a id="pl.82.12"></a><var>82.12</var>the taxes payable year for which the amounts are first added. These amounts, when added <br/>
<a id="pl.82.13"></a><var>82.13</var>to the property tax statement, become subject to all the laws for the enforcement of real or <br/>
<a id="pl.82.14"></a><var>82.14</var>personal property taxes for that year, and for any subsequent year.<br/>
<a id="pl.82.15"></a><var>82.15</var>    If the person notified is not the current owner of the property, the treasurer may <br/>
<a id="pl.82.16"></a><var>82.16</var>collect the amounts due under the Revenue Recapture Act in chapter 270A, or use any of <br/>
<a id="pl.82.17"></a><var>82.17</var>the powers granted in sections 
         <statute_ref>277.20</statute_ref> and 
         <statute_ref>277.21</statute_ref> without exclusion, to enforce payment <br/>
<a id="pl.82.18"></a><var>82.18</var>of the homestead benefits, penalty, interest, and costs, as if those amounts were delinquent <br/>
<a id="pl.82.19"></a><var>82.19</var>tax obligations of the person who owned the property at the time the application related to <br/>
<a id="pl.82.20"></a><var>82.20</var>the improperly allowed homestead was filed. The treasurer may relieve a prior owner of <br/>
<a id="pl.82.21"></a><var>82.21</var>personal liability for the homestead benefits, penalty, interest, and costs, and instead extend <br/>
<a id="pl.82.22"></a><var>82.22</var>those amounts on the tax lists against the property as provided in this paragraph to the extent <br/>
<a id="pl.82.23"></a><var>82.23</var>that the current owner agrees in writing. On all demands, billings, property tax statements, <br/>
<a id="pl.82.24"></a><var>82.24</var>and related correspondence, the county must list and state separately the amounts of <br/>
<a id="pl.82.25"></a><var>82.25</var>homestead benefits, penalty, interest and costs being demanded, billed or assessed.<br/>
<a id="pl.82.26"></a><var>82.26</var>    (i) Any amount of homestead benefits recovered by the county from the property <br/>
<a id="pl.82.27"></a><var>82.27</var>owner shall be distributed to the county, city or town, and school district where the <br/>
<a id="pl.82.28"></a><var>82.28</var>property is located in the same proportion that each taxing district's levy was to the total <br/>
<a id="pl.82.29"></a><var>82.29</var>of the three taxing districts' levy for the current year. Any amount recovered attributable <br/>
<a id="pl.82.30"></a><var>82.30</var>to taconite homestead credit shall be transmitted to the St. Louis County auditor to be <br/>
<a id="pl.82.31"></a><var>82.31</var>deposited in the taconite property tax relief account. Any amount recovered that is <br/>
<a id="pl.82.32"></a><var>82.32</var>attributable to supplemental homestead credit is to be transmitted to the commissioner of <br/>
<a id="pl.82.33"></a><var>82.33</var>revenue for deposit in the general fund of the state treasury. The total amount of penalty <br/>
<a id="pl.82.34"></a><var>82.34</var>collected must be deposited in the county general fund.<br/>
<a id="pl.82.35"></a><var>82.35</var>    (j) If a property owner has applied for more than one homestead and the county <br/>
<a id="pl.82.36"></a><var>82.36</var>assessors cannot determine which property should be classified as homestead, the county <br/>
<a id="pl.83.1"></a><var>83.1</var>assessors will refer the information to the commissioner. The commissioner shall make <br/>
<a id="pl.83.2"></a><var>83.2</var>the determination and notify the counties within 60 days.<br/>
<a id="pl.83.3"></a><var>83.3</var>    (k) In addition to lists of homestead properties, the commissioner may ask the <br/>
<a id="pl.83.4"></a><var>83.4</var>counties to furnish lists of all properties and the record owners. The Social Security <br/>
<a id="pl.83.5"></a><var>83.5</var>numbers and federal identification numbers that are maintained by a county or city <br/>
<a id="pl.83.6"></a><var>83.6</var>assessor for property tax administration purposes, and that may appear on the lists retain <br/>
<a id="pl.83.7"></a><var>83.7</var>their classification as private or nonpublic data; but may be viewed, accessed, and used by <br/>
<a id="pl.83.8"></a><var>83.8</var>the county auditor or treasurer of the same county for the limited purpose of assisting the <br/>
<a id="pl.83.9"></a><var>83.9</var>commissioner in the preparation of microdata samples under section 
         <statute_ref>270C.12</statute_ref>.<br/>
<a id="pl.83.10"></a><var>83.10</var>    (l) On or before April 30 each year beginning in 2007, each county must provide the <br/>
<a id="pl.83.11"></a><var>83.11</var>commissioner with the following data for each parcel of homestead property by electronic <br/>
<a id="pl.83.12"></a><var>83.12</var>means as defined in section 
         <statute_ref>289A.02, subdivision 8</statute_ref>:<br/>
<a id="pl.83.13"></a><var>83.13</var>    (i) the property identification number assigned to the parcel for purposes of taxes <br/>
<a id="pl.83.14"></a><var>83.14</var>payable in the current year;<br/>
<a id="pl.83.15"></a><var>83.15</var>    (ii) the name and Social Security number of each occupant of homestead property <br/>
<a id="pl.83.16"></a><var>83.16</var>who is the property owner, property owner's spouse, qualifying relative of a property <br/>
<a id="pl.83.17"></a><var>83.17</var>owner, or spouse of a qualifying relative;<br/>
<a id="pl.83.18"></a><var>83.18</var>    (iii) the classification of the property under section 
         <statute_ref>273.13</statute_ref> for taxes payable in the <br/>
<a id="pl.83.19"></a><var>83.19</var>current year and in the prior year;<br/>
<a id="pl.83.20"></a><var>83.20</var>    (iv) an indication of whether the property was classified as a homestead for taxes <br/>
<a id="pl.83.21"></a><var>83.21</var>payable in the current year because of occupancy by a relative of the owner or by a <br/>
<a id="pl.83.22"></a><var>83.22</var>spouse of a relative;<br/>
<a id="pl.83.23"></a><var>83.23</var>    (v) the property taxes payable as defined in section 
         <statute_ref>290A.03, subdivision 13</statute_ref>, for the <br/>
<a id="pl.83.24"></a><var>83.24</var>current year and the prior year;<br/>
<a id="pl.83.25"></a><var>83.25</var>    (vi) the market value of improvements to the property first assessed for tax purposes <br/>
<a id="pl.83.26"></a><var>83.26</var>for taxes payable in the current year;<br/>
<a id="pl.83.27"></a><var>83.27</var>    (vii) the assessor's estimated market value assigned to the property for taxes payable <br/>
<a id="pl.83.28"></a><var>83.28</var>in the current year and the prior year;<br/>
<a id="pl.83.29"></a><var>83.29</var>    (viii) the taxable market value assigned to the property for taxes payable in the <br/>
<a id="pl.83.30"></a><var>83.30</var>current year and the prior year;<br/>
<a id="pl.83.31"></a><var>83.31</var>    (ix) whether there are delinquent property taxes owing on the homestead;<br/>
<a id="pl.83.32"></a><var>83.32</var>    (x) the unique taxing district in which the property is located; and<br/>
<a id="pl.83.33"></a><var>83.33</var>    (xi) such other information as the commissioner decides is necessary.<br/>
<a id="pl.83.34"></a><var>83.34</var>    The commissioner shall use the information provided on the lists as appropriate <br/>
<a id="pl.83.35"></a><var>83.35</var>under the law, including for the detection of improper claims by owners, or relatives <br/>
<a id="pl.83.36"></a><var>83.36</var>of owners, under chapter 290A.<br/>
<a id="pl.84.1"></a><var>84.1</var><b>EFFECTIVE DATE.</b>This section is effective for taxes payable in 2013 and <br/>
<a id="pl.84.2"></a><var>84.2</var>thereafter.<br/>
<br/>
<a id="bill.7.29.0"></a><a id="pl.84.3"></a><var>84.3</var>    Sec. 29. Minnesota Statutes 2012, section 273.13, subdivision 21b, is amended to read:<br/>
<a id="pl.84.4"></a><var>84.4</var>    Subd. 21b. <b>Net </b><b>tax capacity.</b> (a) Gross tax capacity means the product of the <br/>
<a id="pl.84.5"></a><var>84.5</var>appropriate gross class rates in this section and market values.<br/>
<a id="pl.84.6"></a><var>84.6</var>    (b) Net tax capacity means the product of the appropriate net class rates in this <br/>
<a id="pl.84.7"></a><var>84.7</var>section and taxable market values.<br/>
<a id="pl.84.8"></a><var>84.8</var><b>EFFECTIVE DATE.</b>This section is effective the day following final enactment.<br/>
<br/>
<a id="bill.7.30.0"></a><a id="pl.84.9"></a><var>84.9</var>    Sec. 30. Minnesota Statutes 2012, section 273.1398, subdivision 3, is amended to read:<br/>
<a id="pl.84.10"></a><var>84.10</var>    Subd. 3. <b>Disparity reduction aid.</b>  The amount of disparity aid certified for each <br/>
<a id="pl.84.11"></a><var>84.11</var>taxing district within each unique taxing jurisdiction for taxes payable in the prior year <br/>
<a id="pl.84.12"></a><var>84.12</var>shall be multiplied by the ratio of (1) the jurisdiction's tax capacity using the class rates for <br/>
<a id="pl.84.13"></a><var>84.13</var>taxes payable in the year for which aid is being computed, to (2) its tax capacity using <br/>
<a id="pl.84.14"></a><var>84.14</var>the class rates for taxes payable in the year prior to that for which aid is being computed, <br/>
<a id="pl.84.15"></a><var>84.15</var>both based upon taxable market values for taxes payable in the year prior to that for which <br/>
<a id="pl.84.16"></a><var>84.16</var>aid is being computed. If the commissioner determines that insufficient information is <br/>
<a id="pl.84.17"></a><var>84.17</var>available to reasonably and timely calculate the numerator in this ratio for the first taxes <br/>
<a id="pl.84.18"></a><var>84.18</var>payable year that a class rate change or new class rate is effective, the commissioner shall <br/>
<a id="pl.84.19"></a><var>84.19</var>omit the effects of that class rate change or new class rate when calculating this ratio for <br/>
<a id="pl.84.20"></a><var>84.20</var>aid payable in that taxes payable year. For aid payable in the year following a year for <br/>
<a id="pl.84.21"></a><var>84.21</var>which such omission was made, the commissioner shall use in the denominator for the <br/>
<a id="pl.84.22"></a><var>84.22</var>class that was changed or created, the tax capacity for taxes payable two years prior to that <br/>
<a id="pl.84.23"></a><var>84.23</var>in which the aid is payable, based on taxable market values for taxes payable in the year <br/>
<a id="pl.84.24"></a><var>84.24</var>prior to that for which aid is being computed.<br/>
<br/>
<a id="bill.7.31.0"></a><a id="pl.84.25"></a><var>84.25</var>    Sec. 31. Minnesota Statutes 2012, section 273.1398, subdivision 4, is amended to read:<br/>
<a id="pl.84.26"></a><var>84.26</var>    Subd. 4. <b>Disparity reduction credit.</b> (a) Beginning with taxes payable in 1989, <br/>
<a id="pl.84.27"></a><var>84.27</var>class 4a and class 3a property qualifies for a disparity reduction credit if: (1) the property <br/>
<a id="pl.84.28"></a><var>84.28</var>is located in a border city that has an enterprise zone, as defined in section 
         <statute_ref>469.166</statute_ref>; (2) <br/>
<a id="pl.84.29"></a><var>84.29</var>the property is located in a city with a population greater than 2,500 and less than 35,000 <br/>
<a id="pl.84.30"></a><var>84.30</var>according to the 1980 decennial census; (3) the city is adjacent to a city in another state or <br/>
<a id="pl.84.31"></a><var>84.31</var>immediately adjacent to a city adjacent to a city in another state; and (4) the adjacent city <br/>
<a id="pl.84.32"></a><var>84.32</var>in the other state has a population of greater than 5,000 and less than 75,000 according to <br/>
<a id="pl.84.33"></a><var>84.33</var>the 1980 decennial census.<br/>
<a id="pl.85.1"></a><var>85.1</var>    (b) The credit is an amount sufficient to reduce (i) the taxes levied on class 4a <br/>
<a id="pl.85.2"></a><var>85.2</var>property to 2.3 percent of the property's taxable market value and (ii) the tax on class 3a <br/>
<a id="pl.85.3"></a><var>85.3</var>property to 2.3 percent of taxable market value.<br/>
<a id="pl.85.4"></a><var>85.4</var>    (c) The county auditor shall annually certify the costs of the credits to the <br/>
<a id="pl.85.5"></a><var>85.5</var>Department of Revenue. The department shall reimburse local governments for the <br/>
<a id="pl.85.6"></a><var>85.6</var>property taxes forgone as the result of the credits in proportion to their total levies.<br/>
<br/>
<a id="bill.7.32.0"></a><a id="pl.85.7"></a><var>85.7</var>    Sec. 32. Minnesota Statutes 2012, section 275.011, subdivision 1, is amended to read:<br/>
<a id="pl.85.8"></a><var>85.8</var>    Subdivision 1. <b>Determination of levy limit.</b> The property tax levied for any <br/>
<a id="pl.85.9"></a><var>85.9</var>purpose under a special law that is not codified in Minnesota Statutes or a city charter <br/>
<a id="pl.85.10"></a><var>85.10</var>provision and that is subject to a mill rate limitation imposed by the special law or city <br/>
<a id="pl.85.11"></a><var>85.11</var>charter provision, excluding levies subject to mill rate limitations that use adjusted <br/>
<a id="pl.85.12"></a><var>85.12</var>assessed values determined by the commissioner of revenue under section 
         <statute_ref>124.2131</statute_ref>, must <br/>
<a id="pl.85.13"></a><var>85.13</var>not exceed the following amount for the years specified:<br/>
<a id="pl.85.14"></a><var>85.14</var>    (a) for taxes payable in 1988, the product of the applicable mill rate limitation <br/>
<a id="pl.85.15"></a><var>85.15</var>imposed by special law or city charter provision multiplied by the total assessed valuation <br/>
<a id="pl.85.16"></a><var>85.16</var>of all taxable property subject to the tax as adjusted by the provisions of Minnesota <br/>
<a id="pl.85.17"></a><var>85.17</var>Statutes 1986, sections 
         <statute_ref>272.64</statute_ref>; 
         <statute_ref>273.13, subdivision 7a</statute_ref>; and 
         <statute_ref>275.49</statute_ref>;<br/>
<a id="pl.85.18"></a><var>85.18</var>    (b) for taxes payable in 1989, the product of (1) the property tax levy limitation for <br/>
<a id="pl.85.19"></a><var>85.19</var>the taxes payable year 1988 determined under clause (a) multiplied by (2) an index for <br/>
<a id="pl.85.20"></a><var>85.20</var>market valuation changes equal to the assessment year 1988 total market valuation of all <br/>
<a id="pl.85.21"></a><var>85.21</var>taxable property subject to the tax divided by the assessment year 1987 total market <br/>
<a id="pl.85.22"></a><var>85.22</var>valuation of all taxable property subject to the tax; and<br/>
<a id="pl.85.23"></a><var>85.23</var>    (c) for taxes payable in 1990 and subsequent years, the product of (1) the property <br/>
<a id="pl.85.24"></a><var>85.24</var>tax levy limitation for the previous year determined pursuant to this subdivision multiplied <br/>
<a id="pl.85.25"></a><var>85.25</var>by (2) an index for market valuation changes equal to the total market valuation of all <br/>
<a id="pl.85.26"></a><var>85.26</var>taxable property subject to the tax for the current assessment year divided by the total <br/>
<a id="pl.85.27"></a><var>85.27</var>market valuation of all taxable property subject to the tax for the previous assessment year.<br/>
<a id="pl.85.28"></a><var>85.28</var>    For the purpose of determining the property tax levy limitation for the taxes payable <br/>
<a id="pl.85.29"></a><var>85.29</var>year 1988 2014 and subsequent years under this subdivision, "total market valuation" <br/>
<a id="pl.85.30"></a><var>85.30</var>means the total estimated market valuation value of all taxable property subject to the <br/>
<a id="pl.85.31"></a><var>85.31</var>tax without valuation adjustments for fiscal disparities (chapters 276A and 473F), tax <br/>
<a id="pl.85.32"></a><var>85.32</var>increment financing (sections 
<statute_ref>469.174</statute_ref> to 469.179), or powerline credit (section 273.425)<br/>
<a id="pl.85.33"></a><var>85.33</var> as provided under section 273.032.<br/>
<br/>
<a id="bill.7.33.0"></a><a id="pl.85.34"></a><var>85.34</var>    Sec. 33. Minnesota Statutes 2012, section 275.077, subdivision 2, is amended to read:<br/>
<a id="pl.86.1"></a><var>86.1</var>    Subd. 2. <b>Correction of levy amount.</b> The difference between the correct levy and <br/>
<a id="pl.86.2"></a><var>86.2</var>the erroneous levy shall be added to the township levy for the subsequent levy year; <br/>
<a id="pl.86.3"></a><var>86.3</var>provided that if the amount of the difference exceeds 0.12089 percent of taxable estimated<br/>
<a id="pl.86.4"></a><var>86.4</var> market value, the excess shall be added to the township levy for the second and later <br/>
<a id="pl.86.5"></a><var>86.5</var>subsequent levy years, not to exceed an additional levy of 0.12089 percent of taxable<br/>
<a id="pl.86.6"></a><var>86.6</var> estimated market value in any year, until the full amount of the difference has been levied. <br/>
<a id="pl.86.7"></a><var>86.7</var>The funds collected from the corrected levies shall be used to reimburse the county for the <br/>
<a id="pl.86.8"></a><var>86.8</var>payment required by subdivision 1.<br/>
<br/>
<a id="bill.7.34.0"></a><a id="pl.86.9"></a><var>86.9</var>    Sec. 34. Minnesota Statutes 2012, section 275.71, subdivision 4, is amended to read:<br/>
<a id="pl.86.10"></a><var>86.10</var>    Subd. 4. <b>Adjusted levy limit base.</b>  For taxes levied in 2008 through 2010, the <br/>
<a id="pl.86.11"></a><var>86.11</var>adjusted levy limit base is equal to the levy limit base computed under subdivision 2 <br/>
<a id="pl.86.12"></a><var>86.12</var>or section 
         <statute_ref>275.72</statute_ref>, multiplied by:<br/>
<a id="pl.86.13"></a><var>86.13</var>    (1) one plus the percentage growth in the implicit price deflator, but the percentage <br/>
<a id="pl.86.14"></a><var>86.14</var>shall not be less than zero or exceed 3.9 percent;<br/>
<a id="pl.86.15"></a><var>86.15</var>    (2) one plus a percentage equal to 50 percent of the percentage increase in the number <br/>
<a id="pl.86.16"></a><var>86.16</var>of households, if any, for the most recent 12-month period for which data is available; and<br/>
<a id="pl.86.17"></a><var>86.17</var>    (3) one plus a percentage equal to 50 percent of the percentage increase in the <br/>
<a id="pl.86.18"></a><var>86.18</var>taxable estimated market value of the jurisdiction due to new construction of class 3 <br/>
<a id="pl.86.19"></a><var>86.19</var>property, as defined in section 
         <statute_ref>273.13, subdivision 4</statute_ref>, except for state-assessed utility and <br/>
<a id="pl.86.20"></a><var>86.20</var>railroad property, for the most recent year for which data is available.<br/>
<br/>
<a id="bill.7.35.0"></a><a id="pl.86.21"></a><var>86.21</var>    Sec. 35. Minnesota Statutes 2012, section 276.04, subdivision 2, is amended to read:<br/>
<a id="pl.86.22"></a><var>86.22</var>    Subd. 2. <b>Contents of tax statements.</b> (a) The treasurer shall provide for the printing <br/>
<a id="pl.86.23"></a><var>86.23</var>of the tax statements. The commissioner of revenue shall prescribe the form of the property <br/>
<a id="pl.86.24"></a><var>86.24</var>tax statement and its contents. The tax statement must not state or imply that property tax <br/>
<a id="pl.86.25"></a><var>86.25</var>credits are paid by the state of Minnesota. The statement must contain a tabulated statement <br/>
<a id="pl.86.26"></a><var>86.26</var>of the dollar amount due to each taxing authority and the amount of the state tax from the <br/>
<a id="pl.86.27"></a><var>86.27</var>parcel of real property for which a particular tax statement is prepared. The dollar amounts <br/>
<a id="pl.86.28"></a><var>86.28</var>attributable to the county, the state tax, the voter approved school tax, the other local school <br/>
<a id="pl.86.29"></a><var>86.29</var>tax, the township or municipality, and the total of the metropolitan special taxing districts <br/>
<a id="pl.86.30"></a><var>86.30</var>as defined in section 
         <statute_ref>275.065, subdivision 3</statute_ref>, paragraph (i), must be separately stated. <br/>
<a id="pl.86.31"></a><var>86.31</var>The amounts due all other special taxing districts, if any, may be aggregated except that <br/>
<a id="pl.86.32"></a><var>86.32</var>any levies made by the regional rail authorities in the county of Anoka, Carver, Dakota, <br/>
<a id="pl.86.33"></a><var>86.33</var>Hennepin, Ramsey, Scott, or Washington under chapter 398A shall be listed on a separate <br/>
<a id="pl.86.34"></a><var>86.34</var>line directly under the appropriate county's levy. If the county levy under this paragraph <br/>
<a id="pl.87.1"></a><var>87.1</var>includes an amount for a lake improvement district as defined under sections 
         <statute_ref>103B.501</statute_ref> <br/>
<a id="pl.87.2"></a><var>87.2</var>to 
         <statute_ref>103B.581</statute_ref>, the amount attributable for that purpose must be separately stated from the <br/>
<a id="pl.87.3"></a><var>87.3</var>remaining county levy amount. In the case of Ramsey County, if the county levy under this <br/>
<a id="pl.87.4"></a><var>87.4</var>paragraph includes an amount for public library service under section 
         <statute_ref>134.07</statute_ref>, the amount <br/>
<a id="pl.87.5"></a><var>87.5</var>attributable for that purpose may be separated from the remaining county levy amount. <br/>
<a id="pl.87.6"></a><var>87.6</var>The amount of the tax on homesteads qualifying under the senior citizens' property tax <br/>
<a id="pl.87.7"></a><var>87.7</var>deferral program under chapter 290B is the total amount of property tax before subtraction <br/>
<a id="pl.87.8"></a><var>87.8</var>of the deferred property tax amount. The amount of the tax on contamination value <br/>
<a id="pl.87.9"></a><var>87.9</var>imposed under sections 
         <statute_ref>270.91</statute_ref> to 
         <statute_ref>270.98</statute_ref>, if any, must also be separately stated. The dollar <br/>
<a id="pl.87.10"></a><var>87.10</var>amounts, including the dollar amount of any special assessments, may be rounded to the <br/>
<a id="pl.87.11"></a><var>87.11</var>nearest even whole dollar. For purposes of this section whole odd-numbered dollars may <br/>
<a id="pl.87.12"></a><var>87.12</var>be adjusted to the next higher even-numbered dollar. The amount of market value excluded <br/>
<a id="pl.87.13"></a><var>87.13</var>under section 
         <statute_ref>273.11, subdivision 16</statute_ref>, if any, must also be listed on the tax statement.<br/>
<a id="pl.87.14"></a><var>87.14</var>    (b) The property tax statements for manufactured homes and sectional structures <br/>
<a id="pl.87.15"></a><var>87.15</var>taxed as personal property shall contain the same information that is required on the <br/>
<a id="pl.87.16"></a><var>87.16</var>tax statements for real property.<br/>
<a id="pl.87.17"></a><var>87.17</var>    (c) Real and personal property tax statements must contain the following information <br/>
<a id="pl.87.18"></a><var>87.18</var>in the order given in this paragraph. The information must contain the current year tax <br/>
<a id="pl.87.19"></a><var>87.19</var>information in the right column with the corresponding information for the previous year <br/>
<a id="pl.87.20"></a><var>87.20</var>in a column on the left:<br/>
<a id="pl.87.21"></a><var>87.21</var>    (1) the property's estimated market value under section 
         <statute_ref>273.11, subdivision 1</statute_ref>;<br/>
<a id="pl.87.22"></a><var>87.22</var>    (2) the property's homestead market value exclusion under section 
         <statute_ref>273.13</statute_ref>, <br/>
<a id="pl.87.23"></a><var>87.23</var>subdivision 35;<br/>
<a id="pl.87.24"></a><var>87.24</var>    (3) the property's taxable market value after reductions under sections 
<statute_ref>273.11</statute_ref>, <br/>
<a id="pl.87.25"></a><var>87.25</var>subdivisions 1a and 16, and 
<statute_ref>273.13, subdivision 35</statute_ref> section 272.03, subdivision 15;<br/>
<a id="pl.87.26"></a><var>87.26</var>    (4) the property's gross tax, before credits;<br/>
<a id="pl.87.27"></a><var>87.27</var>    (5) for homestead agricultural properties, the credit under section 
         <statute_ref>273.1384</statute_ref>;<br/>
<a id="pl.87.28"></a><var>87.28</var>    (6) any credits received under sections 
         <statute_ref>273.119</statute_ref>; 
         <statute_ref>273.1234</statute_ref> or 
         <statute_ref>273.1235</statute_ref>; 
         <statute_ref>273.135</statute_ref>; <br/>
<statute_ref><a id="pl.87.29"></a><var>87.29</var>273.1391
         </statute_ref>; 
         <statute_ref>273.1398, subdivision 4</statute_ref>; 
         <statute_ref>469.171</statute_ref>; and 
         <statute_ref>473H.10</statute_ref>, except that the amount of <br/>
<a id="pl.87.30"></a><var>87.30</var>credit received under section 
         <statute_ref>273.135</statute_ref> must be separately stated and identified as "taconite <br/>
<a id="pl.87.31"></a><var>87.31</var>tax relief"; and<br/>
<a id="pl.87.32"></a><var>87.32</var>    (7) the net tax payable in the manner required in paragraph (a).<br/>
<a id="pl.87.33"></a><var>87.33</var>    (d) If the county uses envelopes for mailing property tax statements and if the county <br/>
<a id="pl.87.34"></a><var>87.34</var>agrees, a taxing district may include a notice with the property tax statement notifying <br/>
<a id="pl.87.35"></a><var>87.35</var>taxpayers when the taxing district will begin its budget deliberations for the current <br/>
<a id="pl.87.36"></a><var>87.36</var>year, and encouraging taxpayers to attend the hearings. If the county allows notices to <br/>
<a id="pl.88.1"></a><var>88.1</var>be included in the envelope containing the property tax statement, and if more than <br/>
<a id="pl.88.2"></a><var>88.2</var>one taxing district relative to a given property decides to include a notice with the tax <br/>
<a id="pl.88.3"></a><var>88.3</var>statement, the county treasurer or auditor must coordinate the process and may combine <br/>
<a id="pl.88.4"></a><var>88.4</var>the information on a single announcement.<br/>
<br/>
<a id="bill.7.36.0"></a><a id="pl.88.5"></a><var>88.5</var>    Sec. 36. Minnesota Statutes 2012, section 276A.01, subdivision 10, is amended to read:<br/>
<a id="pl.88.6"></a><var>88.6</var>    Subd. 10. <b>Adjusted </b><b>market value.</b> "Adjusted market value" of real and personal <br/>
<a id="pl.88.7"></a><var>88.7</var>property within a municipality means the assessor's estimated taxable market value, <br/>
<a id="pl.88.8"></a><var>88.8</var>as defined in section 272.03, of all real and personal property, including the value of <br/>
<a id="pl.88.9"></a><var>88.9</var>manufactured housing, within the municipality. For purposes of sections 
<statute_ref>276A.01</statute_ref> to <br/>
<a id="pl.88.10"></a><var>88.10</var><statute_ref>276A.09</statute_ref>, the commissioner of revenue shall annually make determinations and reports <br/>
<a id="pl.88.11"></a><var>88.11</var>with respect to each municipality which are comparable to those it makes for school <br/>
<a id="pl.88.12"></a><var>88.12</var>districts, adjusted for sales ratios in a manner similar to the adjustments made to city and <br/>
<a id="pl.88.13"></a><var>88.13</var>town net tax capacities under section 
         <statute_ref>127A.48, subdivisions 1 to 6</statute_ref>, in the same manner <br/>
<a id="pl.88.14"></a><var>88.14</var>and at the same times prescribed by the subdivision. The commissioner of revenue shall <br/>
<a id="pl.88.15"></a><var>88.15</var>annually determine, for each municipality, information comparable to that required by <br/>
<a id="pl.88.16"></a><var>88.16</var>section 
<statute_ref>475.53, subdivision 4</statute_ref>, for school districts, as soon as practicable after it becomes <br/>
<a id="pl.88.17"></a><var>88.17</var>available. The commissioner of revenue shall then compute the equalized market value of <br/>
<a id="pl.88.18"></a><var>88.18</var>property within each municipality.<br/>
<a id="pl.88.19"></a><var>88.19</var><b>EFFECTIVE DATE.</b>This section is effective the day following final enactment.<br/>
<br/>
<a id="bill.7.37.0"></a><a id="pl.88.20"></a><var>88.20</var>    Sec. 37. Minnesota Statutes 2012, section 276A.01, subdivision 12, is amended to read:<br/>
<a id="pl.88.21"></a><var>88.21</var>    Subd. 12. <b>Fiscal capacity.</b> "Fiscal capacity" of a municipality means its valuation<br/>
<a id="pl.88.22"></a><var>88.22</var> adjusted market value, determined as of January 2 of any year, divided by its population, <br/>
<a id="pl.88.23"></a><var>88.23</var>determined as of a date in the same year.<br/>
<br/>
<a id="bill.7.38.0"></a><a id="pl.88.24"></a><var>88.24</var>    Sec. 38. Minnesota Statutes 2012, section 276A.01, subdivision 13, is amended to read:<br/>
<a id="pl.88.25"></a><var>88.25</var>    Subd. 13. <b>Average fiscal capacity.</b> "Average fiscal capacity" of municipalities <br/>
<a id="pl.88.26"></a><var>88.26</var>means the sum of the valuations adjusted market values of all municipalities, determined <br/>
<a id="pl.88.27"></a><var>88.27</var>as of January 2 of any year, divided by the sum of their populations, determined as of <br/>
<a id="pl.88.28"></a><var>88.28</var>a date in the same year.<br/>
<br/>
<a id="bill.7.39.0"></a><a id="pl.88.29"></a><var>88.29</var>    Sec. 39. Minnesota Statutes 2012, section 276A.01, subdivision 15, is amended to read:<br/>
<a id="pl.88.30"></a><var>88.30</var>    Subd. 15. <b>Net tax capacity.</b> "Net tax capacity" means the taxable market value of <br/>
<a id="pl.88.31"></a><var>88.31</var>real and personal property multiplied by its net tax capacity rates in section 
         <statute_ref>273.13</statute_ref>.<br/>
<br/>
<a id="bill.7.40.0"></a><a id="pl.89.1"></a><var>89.1</var>    Sec. 40. Minnesota Statutes 2012, section 276A.06, subdivision 10, is amended to read:<br/>
<a id="pl.89.2"></a><var>89.2</var>    Subd. 10. <b>Adjustment of values </b><b>for other computations</b><b>.</b> For the purpose of <br/>
<a id="pl.89.3"></a><var>89.3</var>computing the amount or rate of any salary, aid, tax, or debt authorized, required, or <br/>
<a id="pl.89.4"></a><var>89.4</var>limited by any provision of any law or charter, where the authorization, requirement, or <br/>
<a id="pl.89.5"></a><var>89.5</var>limitation is related to any value or valuation of taxable property within any governmental <br/>
<a id="pl.89.6"></a><var>89.6</var>unit, the value or net tax capacity fiscal capacity under section 276A.01, subdivision 12, a <br/>
<a id="pl.89.7"></a><var>89.7</var>municipality's taxable market value must be adjusted to reflect the adjustments reductions<br/>
<a id="pl.89.8"></a><var>89.8</var> to net tax capacity effected by subdivision 2, clause (a), provided that: (1) in determining <br/>
<a id="pl.89.9"></a><var>89.9</var>the taxable market value of commercial-industrial property or any class thereof within <br/>
<a id="pl.89.10"></a><var>89.10</var>a governmental unit for any purpose other than section 
<statute_ref>276A.05</statute_ref> municipality, (a) the <br/>
<a id="pl.89.11"></a><var>89.11</var>reduction required by this subdivision is that amount which bears the same proportion to <br/>
<a id="pl.89.12"></a><var>89.12</var>the amount subtracted from the governmental unit's municipality's net tax capacity pursuant <br/>
<a id="pl.89.13"></a><var>89.13</var>to subdivision 2, clause (a), as the taxable market value of commercial-industrial property, <br/>
<a id="pl.89.14"></a><var>89.14</var>or such class thereof, located within the governmental unit municipality bears to the net <br/>
<a id="pl.89.15"></a><var>89.15</var>tax capacity of commercial-industrial property, or such class thereof, located within the <br/>
<a id="pl.89.16"></a><var>89.16</var>governmental unit, and (b) the increase required by this subdivision is that amount which <br/>
<a id="pl.89.17"></a><var>89.17</var>bears the same proportion to the amount added to the governmental unit's net tax capacity <br/>
<a id="pl.89.18"></a><var>89.18</var>pursuant to subdivision 2, clause (b), as the market value of commercial-industrial property, <br/>
<a id="pl.89.19"></a><var>89.19</var>or such class thereof, located within the governmental unit bears to the net tax capacity of <br/>
<a id="pl.89.20"></a><var>89.20</var>commercial-industrial property, or such class thereof, located within the governmental unit; <br/>
<a id="pl.89.21"></a><var>89.21</var>and (2) in determining the market value of real property within a municipality for purposes <br/>
<a id="pl.89.22"></a><var>89.22</var>of section 
<statute_ref>276A.05</statute_ref>, the adjustment prescribed by clause (1)(a) must be made and that <br/>
<a id="pl.89.23"></a><var>89.23</var>prescribed by clause (1)(b) must not be made municipality. No adjustment shall be made <br/>
<a id="pl.89.24"></a><var>89.24</var>to taxable market value for the increase in net tax capacity under subdivision 2, clause (b).<br/>
<br/>
<a id="bill.7.41.0"></a><a id="pl.89.25"></a><var>89.25</var>    Sec. 41. Minnesota Statutes 2012, section 287.08, is amended to read:<br/>
<a id="pl.89.26"></a><var>89.26</var><b>287.08 TAX, HOW PAYABLE; RECEIPTS.</b><br/>
<a id="pl.89.27"></a><var>89.27</var>    (a) The tax imposed by sections 
         <statute_ref>287.01</statute_ref> to 
         <statute_ref>287.12</statute_ref> must be paid to the treasurer of <br/>
<a id="pl.89.28"></a><var>89.28</var>any county in this state in which the real property or some part is located at or before <br/>
<a id="pl.89.29"></a><var>89.29</var>the time of filing the mortgage for record. The treasurer shall endorse receipt on the <br/>
<a id="pl.89.30"></a><var>89.30</var>mortgage and the receipt is conclusive proof that the tax has been paid in the amount <br/>
<a id="pl.89.31"></a><var>89.31</var>stated and authorizes any county recorder or registrar of titles to record the mortgage. Its <br/>
<a id="pl.89.32"></a><var>89.32</var>form, in substance, shall be "registration tax hereon of ..................... dollars paid." If the <br/>
<a id="pl.89.33"></a><var>89.33</var>mortgage is exempt from taxation the endorsement shall, in substance, be "exempt from <br/>
<a id="pl.89.34"></a><var>89.34</var>registration tax." In either case the receipt must be signed by the treasurer. In case the <br/>
<a id="pl.89.35"></a><var>89.35</var>treasurer is unable to determine whether a claim of exemption should be allowed, the tax <br/>
<a id="pl.90.1"></a><var>90.1</var>must be paid as in the case of a taxable mortgage. For documents submitted electronically, <br/>
<a id="pl.90.2"></a><var>90.2</var>the endorsements and tax amount shall be affixed electronically and no signature by the <br/>
<a id="pl.90.3"></a><var>90.3</var>treasurer will be required. The actual payment method must be arranged in advance <br/>
<a id="pl.90.4"></a><var>90.4</var>between the submitter and the receiving county.<br/>
<a id="pl.90.5"></a><var>90.5</var>    (b) The county treasurer may refund in whole or in part any mortgage registry tax <br/>
<a id="pl.90.6"></a><var>90.6</var>overpayment if a written application by the taxpayer is submitted to the county treasurer <br/>
<a id="pl.90.7"></a><var>90.7</var>within 3-1/2 years from the date of the overpayment. If the county has not issued a denial <br/>
<a id="pl.90.8"></a><var>90.8</var>of the application, the taxpayer may bring an action in Tax Court in the county in which <br/>
<a id="pl.90.9"></a><var>90.9</var>the tax was paid at any time after the expiration of six months from the time that the <br/>
<a id="pl.90.10"></a><var>90.10</var>application was submitted. A denial of refund may be appealed within 60 days from <br/>
<a id="pl.90.11"></a><var>90.11</var>the date of the denial by bringing an action in Tax Court in the county in which the tax <br/>
<a id="pl.90.12"></a><var>90.12</var>was paid. The action is commenced by the serving of a petition for relief on the county <br/>
<a id="pl.90.13"></a><var>90.13</var>treasurer, and by filing a copy with the court. The county attorney shall defend the action. <br/>
<a id="pl.90.14"></a><var>90.14</var>The county treasurer shall notify the treasurer of each county that has or would receive a <br/>
<a id="pl.90.15"></a><var>90.15</var>portion of the tax as paid.<br/>
<a id="pl.90.16"></a><var>90.16</var>    (c) If the county treasurer determines a refund should be paid, or if a refund is <br/>
<a id="pl.90.17"></a><var>90.17</var>ordered by the court, the county treasurer of each county that actually received a portion <br/>
<a id="pl.90.18"></a><var>90.18</var>of the tax shall immediately pay a proportionate share of three percent of the refund <br/>
<a id="pl.90.19"></a><var>90.19</var>using any available county funds. The county treasurer of each county that received, or <br/>
<a id="pl.90.20"></a><var>90.20</var>would have received, a portion of the tax shall also pay their county's proportionate share <br/>
<a id="pl.90.21"></a><var>90.21</var>of the remaining 97 percent of the court-ordered refund on or before the 20th day of the <br/>
<a id="pl.90.22"></a><var>90.22</var>following month using solely the mortgage registry tax funds that would be paid to the <br/>
<a id="pl.90.23"></a><var>90.23</var>commissioner of revenue on that date under section 
         <statute_ref>287.12</statute_ref>. If the funds on hand under <br/>
<a id="pl.90.24"></a><var>90.24</var>this procedure are insufficient to fully fund 97 percent of the court-ordered refund, the <br/>
<a id="pl.90.25"></a><var>90.25</var>county treasurer of the county in which the action was brought shall file a claim with the <br/>
<a id="pl.90.26"></a><var>90.26</var>commissioner of revenue under section 
         <statute_ref>16A.48</statute_ref> for the remaining portion of 97 percent of <br/>
<a id="pl.90.27"></a><var>90.27</var>the refund, and shall pay over the remaining portion upon receipt of a warrant from the <br/>
<a id="pl.90.28"></a><var>90.28</var>state issued pursuant to the claim.<br/>
<a id="pl.90.29"></a><var>90.29</var>    (d) When any mortgage covers real property located in more than one county in this <br/>
<a id="pl.90.30"></a><var>90.30</var>state the total tax must be paid to the treasurer of the county where the mortgage is first <br/>
<a id="pl.90.31"></a><var>90.31</var>presented for recording, and the payment must be receipted as provided in paragraph <br/>
<a id="pl.90.32"></a><var>90.32</var>(a). If the principal debt or obligation secured by such a multiple county mortgage <br/>
<a id="pl.90.33"></a><var>90.33</var>exceeds $10,000,000, the nonstate portion of the tax must be divided and paid over by <br/>
<a id="pl.90.34"></a><var>90.34</var>the county treasurer receiving it, on or before the 20th day of each month after receipt, <br/>
<a id="pl.90.35"></a><var>90.35</var>to the county or counties entitled in the ratio that the estimated market value of the real <br/>
<a id="pl.90.36"></a><var>90.36</var>property covered by the mortgage in each county bears to the estimated market value of <br/>
<a id="pl.91.1"></a><var>91.1</var>all the real property in this state described in the mortgage. In making the division and <br/>
<a id="pl.91.2"></a><var>91.2</var>payment the county treasurer shall send a statement giving the description of the real <br/>
<a id="pl.91.3"></a><var>91.3</var>property described in the mortgage and the estimated market value of the part located in <br/>
<a id="pl.91.4"></a><var>91.4</var>each county. For this purpose, the treasurer of any county may require the treasurer of <br/>
<a id="pl.91.5"></a><var>91.5</var>any other county to certify to the former the estimated market valuation value of any tract <br/>
<a id="pl.91.6"></a><var>91.6</var>of real property in any mortgage.<br/>
<a id="pl.91.7"></a><var>91.7</var>    (e) The mortgagor must pay the tax imposed by sections 
         <statute_ref>287.01</statute_ref> to 
         <statute_ref>287.12</statute_ref>. The <br/>
<a id="pl.91.8"></a><var>91.8</var>mortgagee may undertake to collect and remit the tax on behalf of the mortgagor. If the <br/>
<a id="pl.91.9"></a><var>91.9</var>mortgagee collects money from the mortgagor to remit the tax on behalf of the mortgagor, <br/>
<a id="pl.91.10"></a><var>91.10</var>the mortgagee has a fiduciary duty to remit the tax on behalf of the mortgagor as to the <br/>
<a id="pl.91.11"></a><var>91.11</var>amount of the tax collected for that purpose and the mortgagor is relieved of any further <br/>
<a id="pl.91.12"></a><var>91.12</var>obligation to pay the tax as to the amount collected by the mortgagee for this purpose.<br/>
<br/>
<a id="bill.7.42.0"></a><a id="pl.91.13"></a><var>91.13</var>    Sec. 42. Minnesota Statutes 2012, section 287.23, subdivision 1, is amended to read:<br/>
<a id="pl.91.14"></a><var>91.14</var>    Subdivision 1. <b>Real property outside county.</b> If any taxable deed or instrument <br/>
<a id="pl.91.15"></a><var>91.15</var>describes any real property located in more than one county in this state, the total tax must <br/>
<a id="pl.91.16"></a><var>91.16</var>be paid to the treasurer of the county where the document is first presented for recording, <br/>
<a id="pl.91.17"></a><var>91.17</var>and the payment must be receipted as provided in section 
         <statute_ref>287.08</statute_ref>. If the net consideration <br/>
<a id="pl.91.18"></a><var>91.18</var>exceeds $700,000, the nonstate portion of the tax must be divided and paid over by the <br/>
<a id="pl.91.19"></a><var>91.19</var>county treasurer receiving it, on or before the 20th day of each month after receipt, to <br/>
<a id="pl.91.20"></a><var>91.20</var>the county or counties entitled in the ratio which the estimated market value of the real <br/>
<a id="pl.91.21"></a><var>91.21</var>property covered by the document in each county bears to the estimated market value of <br/>
<a id="pl.91.22"></a><var>91.22</var>all the real property in this state described in the document. In making the division and <br/>
<a id="pl.91.23"></a><var>91.23</var>payment the county treasurer shall send a statement to the other involved counties giving <br/>
<a id="pl.91.24"></a><var>91.24</var>the description of the real property described in the document and the estimated market <br/>
<a id="pl.91.25"></a><var>91.25</var>value of the part located in each county. The treasurer of any county may require the <br/>
<a id="pl.91.26"></a><var>91.26</var>treasurer of any other county to certify to the former the estimated market valuation value<br/>
<a id="pl.91.27"></a><var>91.27</var> of any parcel of real property for this purpose.<br/>
<br/>
<a id="bill.7.43.0"></a><a id="pl.91.28"></a><var>91.28</var>    Sec. 43. Minnesota Statutes 2012, section 353G.08, subdivision 2, is amended to read:<br/>
<a id="pl.91.29"></a><var>91.29</var>    Subd. 2. <b>Cash flow funding requirement.</b> If the executive director determines that <br/>
<a id="pl.91.30"></a><var>91.30</var>an account in the voluntary statewide lump-sum volunteer firefighter retirement plan has <br/>
<a id="pl.91.31"></a><var>91.31</var>insufficient assets to meet the service pensions determined payable from the account, <br/>
<a id="pl.91.32"></a><var>91.32</var>the executive director shall certify the amount of the potential service pension shortfall <br/>
<a id="pl.91.33"></a><var>91.33</var>to the municipality or municipalities and the municipality or municipalities shall make <br/>
<a id="pl.91.34"></a><var>91.34</var>an additional employer contribution to the account within ten days of the certification. <br/>
<a id="pl.92.1"></a><var>92.1</var>If more than one municipality is associated with the account, unless the municipalities <br/>
<a id="pl.92.2"></a><var>92.2</var>agree to a different allocation, the municipalities shall allocate the additional employer <br/>
<a id="pl.92.3"></a><var>92.3</var>contribution one-half in proportion to the population of each municipality and one-half in <br/>
<a id="pl.92.4"></a><var>92.4</var>proportion to the estimated market value of the property of each municipality.<br/>
<br/>
<a id="bill.7.44.0"></a><a id="pl.92.5"></a><var>92.5</var>    Sec. 44. Minnesota Statutes 2012, section 365.025, subdivision 4, is amended to read:<br/>
<a id="pl.92.6"></a><var>92.6</var>    Subd. 4. <b>Major purchases: notice, petition, election.</b> Before buying anything <br/>
<a id="pl.92.7"></a><var>92.7</var>under subdivision 2 that costs more than 0.24177 percent of the estimated market value of <br/>
<a id="pl.92.8"></a><var>92.8</var>the town, the town must follow this subdivision.<br/>
<a id="pl.92.9"></a><var>92.9</var>    The town must publish in its official newspaper the board's resolution to pay for the <br/>
<a id="pl.92.10"></a><var>92.10</var>property over time. Then a petition for an election on the contract may be filed with the <br/>
<a id="pl.92.11"></a><var>92.11</var>clerk. The petition must be filed within ten days after the resolution is published. To require <br/>
<a id="pl.92.12"></a><var>92.12</var>the election the petition must be signed by a number of voters equal to ten percent of the <br/>
<a id="pl.92.13"></a><var>92.13</var>voters at the last regular town election. The contract then must be approved by a majority of <br/>
<a id="pl.92.14"></a><var>92.14</var>those voting on the question. The question may be voted on at a regular or special election.<br/>
<br/>
<a id="bill.7.45.0"></a><a id="pl.92.15"></a><var>92.15</var>    Sec. 45. Minnesota Statutes 2012, section 366.095, subdivision 1, is amended to read:<br/>
<a id="pl.92.16"></a><var>92.16</var>    Subdivision 1. <b>Certificates of indebtedness.</b> The town board may issue certificates <br/>
<a id="pl.92.17"></a><var>92.17</var>of indebtedness within the debt limits for a town purpose otherwise authorized by law. <br/>
<a id="pl.92.18"></a><var>92.18</var>The certificates shall be payable in not more than ten years and be issued on the terms and <br/>
<a id="pl.92.19"></a><var>92.19</var>in the manner as the board may determine. If the amount of the certificates to be issued <br/>
<a id="pl.92.20"></a><var>92.20</var>exceeds 0.25 percent of the estimated market value of the town, they shall not be issued <br/>
<a id="pl.92.21"></a><var>92.21</var>for at least ten days after publication in a newspaper of general circulation in the town of <br/>
<a id="pl.92.22"></a><var>92.22</var>the board's resolution determining to issue them. If within that time, a petition asking for <br/>
<a id="pl.92.23"></a><var>92.23</var>an election on the proposition signed by voters equal to ten percent of the number of voters <br/>
<a id="pl.92.24"></a><var>92.24</var>at the last regular town election is filed with the clerk, the certificates shall not be issued <br/>
<a id="pl.92.25"></a><var>92.25</var>until their issuance has been approved by a majority of the votes cast on the question at <br/>
<a id="pl.92.26"></a><var>92.26</var>a regular or special election. A tax levy shall be made to pay the principal and interest <br/>
<a id="pl.92.27"></a><var>92.27</var>on the certificates as in the case of bonds.<br/>
<br/>
<a id="bill.7.46.0"></a><a id="pl.92.28"></a><var>92.28</var>    Sec. 46. Minnesota Statutes 2012, section 366.27, is amended to read:<br/>
<a id="pl.92.29"></a><var>92.29</var><b>366.27 FIREFIGHTERS' RELIEF; TAX LEVY.</b><br/>
<a id="pl.92.30"></a><var>92.30</var>    The town board of any town in this state having therein a platted portion on <br/>
<a id="pl.92.31"></a><var>92.31</var>which resides 1,200 or more people, and wherein a duly incorporated firefighters' relief <br/>
<a id="pl.92.32"></a><var>92.32</var>association is located may each year levy a tax not to exceed 0.00806 percent of taxable<br/>
<a id="pl.92.33"></a><var>92.33</var> estimated market value for the benefit of the relief association.<br/>
<br/>
<a id="bill.7.47.0"></a><a id="pl.93.1"></a><var>93.1</var>    Sec. 47. Minnesota Statutes 2012, section 368.01, subdivision 23, is amended to read:<br/>
<a id="pl.93.2"></a><var>93.2</var>    Subd. 23. <b>Financing purchase of certain equipment.</b> The town board may issue <br/>
<a id="pl.93.3"></a><var>93.3</var>certificates of indebtedness within debt limits to purchase fire or police equipment or <br/>
<a id="pl.93.4"></a><var>93.4</var>ambulance equipment or street construction or maintenance equipment. The certificates <br/>
<a id="pl.93.5"></a><var>93.5</var>shall be payable in not more than five years and be issued on terms and in the manner as the <br/>
<a id="pl.93.6"></a><var>93.6</var>board may determine. If the amount of the certificates to be issued to finance a purchase <br/>
<a id="pl.93.7"></a><var>93.7</var>exceeds 0.24177 percent of the estimated market value of the town, excluding money <br/>
<a id="pl.93.8"></a><var>93.8</var>and credits, they shall not be issued for at least ten days after publication in the official <br/>
<a id="pl.93.9"></a><var>93.9</var>newspaper of a town board resolution determining to issue them. If before the end of that <br/>
<a id="pl.93.10"></a><var>93.10</var>time, a petition asking for an election on the proposition signed by voters equal to ten <br/>
<a id="pl.93.11"></a><var>93.11</var>percent of the number of voters at the last regular town election is filed with the clerk, the <br/>
<a id="pl.93.12"></a><var>93.12</var>certificates shall not be issued until the proposition of their issuance has been approved by a <br/>
<a id="pl.93.13"></a><var>93.13</var>majority of the votes cast on the question at a regular or special election. A tax levy shall be <br/>
<a id="pl.93.14"></a><var>93.14</var>made for the payment of the principal and interest on the certificates as in the case of bonds.<br/>
<br/>
<a id="bill.7.48.0"></a><a id="pl.93.15"></a><var>93.15</var>    Sec. 48. Minnesota Statutes 2012, section 368.47, is amended to read:<br/>
<a id="pl.93.16"></a><var>93.16</var><b>368.47 TOWNS MAY BE DISSOLVED.</b><br/>
<a id="pl.93.17"></a><var>93.17</var>    (1) When the voters residing within a town have failed to elect any town officials for <br/>
<a id="pl.93.18"></a><var>93.18</var>more than ten years continuously;<br/>
<a id="pl.93.19"></a><var>93.19</var>    (2) when a town has failed for a period of ten years to exercise any of the powers <br/>
<a id="pl.93.20"></a><var>93.20</var>and functions of a town;<br/>
<a id="pl.93.21"></a><var>93.21</var>    (3) when the estimated market value of a town drops to less than $165,000;<br/>
<a id="pl.93.22"></a><var>93.22</var>    (4) when the tax delinquency of a town, exclusive of taxes that are delinquent or <br/>
<a id="pl.93.23"></a><var>93.23</var>unpaid because they are contested in proceedings for the enforcement of taxes, amounts to <br/>
<a id="pl.93.24"></a><var>93.24</var>12 percent of its market value; or<br/>
<a id="pl.93.25"></a><var>93.25</var>    (5) when the state or federal government has acquired title to 50 percent of the <br/>
<a id="pl.93.26"></a><var>93.26</var>real estate of a town,<br/>
<a id="pl.93.27"></a><var>93.27</var>which facts, or any of them, may be found and determined by the resolution of the county <br/>
<a id="pl.93.28"></a><var>93.28</var>board of the county in which the town is located, according to the official records in the <br/>
<a id="pl.93.29"></a><var>93.29</var>office of the county auditor, the county board by resolution may declare the town, naming <br/>
<a id="pl.93.30"></a><var>93.30</var>it, dissolved and no longer entitled to exercise any of the powers or functions of a town.<br/>
<a id="pl.93.31"></a><var>93.31</var>    In Cass, Itasca, and St. Louis Counties, before the dissolution is effective the voters <br/>
<a id="pl.93.32"></a><var>93.32</var>of the town shall express their approval or disapproval. The town clerk shall, upon a <br/>
<a id="pl.93.33"></a><var>93.33</var>petition signed by a majority of the registered voters of the town, filed with the clerk at <br/>
<a id="pl.93.34"></a><var>93.34</var>least 60 days before a regular or special town election, give notice at the same time and <br/>
<a id="pl.93.35"></a><var>93.35</var>in the same manner of the election that the question of dissolution of the town will be <br/>
<a id="pl.94.1"></a><var>94.1</var>submitted for determination at the election. At the election the question shall be voted <br/>
<a id="pl.94.2"></a><var>94.2</var>upon by a separate ballot, the terms of which shall be either "for dissolution" or "against <br/>
<a id="pl.94.3"></a><var>94.3</var>dissolution." The ballot shall be deposited in a separate ballot box and the result of the <br/>
<a id="pl.94.4"></a><var>94.4</var>voting canvassed, certified, and returned in the same manner and at the same time as <br/>
<a id="pl.94.5"></a><var>94.5</var>other facts and returns of the election. If a majority of the votes cast at the election are <br/>
<a id="pl.94.6"></a><var>94.6</var>for dissolution, the town shall be dissolved. If a majority of the votes cast at the election <br/>
<a id="pl.94.7"></a><var>94.7</var>are against dissolution, the town shall not be dissolved.<br/>
<a id="pl.94.8"></a><var>94.8</var>    When a town is dissolved under sections 
         <statute_ref>368.47</statute_ref> to 
         <statute_ref>368.49</statute_ref> the county shall acquire <br/>
<a id="pl.94.9"></a><var>94.9</var>title to any telephone company or other business conducted by the town. The business <br/>
<a id="pl.94.10"></a><var>94.10</var>shall be operated by the board of county commissioners until it can be sold. The <br/>
<a id="pl.94.11"></a><var>94.11</var>subscribers or patrons of the business shall have the first opportunity of purchase. If the <br/>
<a id="pl.94.12"></a><var>94.12</var>town has any outstanding indebtedness chargeable to the business, the county auditor shall <br/>
<a id="pl.94.13"></a><var>94.13</var>levy a tax against the property situated in the dissolved town to pay the indebtedness <br/>
<a id="pl.94.14"></a><var>94.14</var>as it becomes due.<br/>
<br/>
<a id="bill.7.49.0"></a><a id="pl.94.15"></a><var>94.15</var>    Sec. 49. Minnesota Statutes 2012, section 370.01, is amended to read:<br/>
<a id="pl.94.16"></a><var>94.16</var><b>370.01 CHANGE OF BOUNDARIES; CREATION OF NEW COUNTIES.</b><br/>
<a id="pl.94.17"></a><var>94.17</var>    The boundaries of counties may be changed by taking territory from a county and <br/>
<a id="pl.94.18"></a><var>94.18</var>attaching it to an adjoining county, and new counties may be established out of territory of <br/>
<a id="pl.94.19"></a><var>94.19</var>one or more existing counties. A new county shall contain at least 400 square miles and <br/>
<a id="pl.94.20"></a><var>94.20</var>have at least 4,000 inhabitants. A proposed new county must have a total taxable estimated<br/>
<a id="pl.94.21"></a><var>94.21</var> market value of at least 35 percent of (i) the total taxable estimated market value of the <br/>
<a id="pl.94.22"></a><var>94.22</var>existing county, or (ii) the average total taxable estimated market value of the existing <br/>
<a id="pl.94.23"></a><var>94.23</var>counties, included in the proposition. The determination of the taxable estimated market <br/>
<a id="pl.94.24"></a><var>94.24</var>value of a county must be made by the commissioner of revenue. An existing county shall <br/>
<a id="pl.94.25"></a><var>94.25</var>not be reduced in area below 400 square miles, have less than 4,000 inhabitants, or have a <br/>
<a id="pl.94.26"></a><var>94.26</var>total taxable estimated market value of less than that required of a new county.<br/>
<a id="pl.94.27"></a><var>94.27</var>    No change in the boundaries of any county having an area of more than 2,500 square <br/>
<a id="pl.94.28"></a><var>94.28</var>miles, whether by the creation of a new county, or otherwise, shall detach from the existing <br/>
<a id="pl.94.29"></a><var>94.29</var>county any territory within 12 miles of the county seat.<br/>
<br/>
<a id="bill.7.50.0"></a><a id="pl.94.30"></a><var>94.30</var>    Sec. 50. Minnesota Statutes 2012, section 373.40, subdivision 1, is amended to read:<br/>
<a id="pl.94.31"></a><var>94.31</var>    Subdivision 1. <b>Definitions.</b> For purposes of this section, the following terms have <br/>
<a id="pl.94.32"></a><var>94.32</var>the meanings given.<br/>
<a id="pl.94.33"></a><var>94.33</var>    (a) "Bonds" means an obligation as defined under section 
         <statute_ref>475.51</statute_ref>.<br/>
<a id="pl.95.1"></a><var>95.1</var>    (b) "Capital improvement" means acquisition or betterment of public lands, <br/>
<a id="pl.95.2"></a><var>95.2</var>buildings, or other improvements within the county for the purpose of a county courthouse, <br/>
<a id="pl.95.3"></a><var>95.3</var>administrative building, health or social service facility, correctional facility, jail, law <br/>
<a id="pl.95.4"></a><var>95.4</var>enforcement center, hospital, morgue, library, park, qualified indoor ice arena, roads and <br/>
<a id="pl.95.5"></a><var>95.5</var>bridges, and the acquisition of development rights in the form of conservation easements <br/>
<a id="pl.95.6"></a><var>95.6</var>under chapter 84C. An improvement must have an expected useful life of five years or <br/>
<a id="pl.95.7"></a><var>95.7</var>more to qualify. "Capital improvement" does not include a recreation or sports facility <br/>
<a id="pl.95.8"></a><var>95.8</var>building (such as, but not limited to, a gymnasium, ice arena, racquet sports facility, <br/>
<a id="pl.95.9"></a><var>95.9</var>swimming pool, exercise room or health spa), unless the building is part of an outdoor <br/>
<a id="pl.95.10"></a><var>95.10</var>park facility and is incidental to the primary purpose of outdoor recreation.<br/>
<a id="pl.95.11"></a><var>95.11</var>    (c) "Metropolitan county" means a county located in the seven-county metropolitan <br/>
<a id="pl.95.12"></a><var>95.12</var>area as defined in section 
         <statute_ref>473.121</statute_ref> or a county with a population of 90,000 or more.<br/>
<a id="pl.95.13"></a><var>95.13</var>    (d) "Population" means the population established by the most recent of the <br/>
<a id="pl.95.14"></a><var>95.14</var>following (determined as of the date the resolution authorizing the bonds was adopted):<br/>
<a id="pl.95.15"></a><var>95.15</var>    (1) the federal decennial census,<br/>
<a id="pl.95.16"></a><var>95.16</var>    (2) a special census conducted under contract by the United States Bureau of the <br/>
<a id="pl.95.17"></a><var>95.17</var>Census, or<br/>
<a id="pl.95.18"></a><var>95.18</var>    (3) a population estimate made either by the Metropolitan Council or by the state <br/>
<a id="pl.95.19"></a><var>95.19</var>demographer under section 
         <statute_ref>4A.02</statute_ref>.<br/>
<a id="pl.95.20"></a><var>95.20</var>    (e) "Qualified indoor ice arena" means a facility that meets the requirements of <br/>
<a id="pl.95.21"></a><var>95.21</var>section 
         <statute_ref>373.43</statute_ref>.<br/>
<a id="pl.95.22"></a><var>95.22</var>    (f) "Tax capacity" means total taxable market value, but does not include captured <br/>
<a id="pl.95.23"></a><var>95.23</var>market value.<br/>
<br/>
<a id="bill.7.51.0"></a><a id="pl.95.24"></a><var>95.24</var>    Sec. 51. Minnesota Statutes 2012, section 373.40, subdivision 4, is amended to read:<br/>
<a id="pl.95.25"></a><var>95.25</var>    Subd. 4. <b>Limitations on amount.</b> A county may not issue bonds under this section <br/>
<a id="pl.95.26"></a><var>95.26</var>if the maximum amount of principal and interest to become due in any year on all the <br/>
<a id="pl.95.27"></a><var>95.27</var>outstanding bonds issued pursuant to this section (including the bonds to be issued) will <br/>
<a id="pl.95.28"></a><var>95.28</var>equal or exceed 0.12 percent of taxable the estimated market value of property in the <br/>
<a id="pl.95.29"></a><var>95.29</var>county. Calculation of the limit must be made using the taxable estimated market value for <br/>
<a id="pl.95.30"></a><var>95.30</var>the taxes payable year in which the obligations are issued and sold. This section does not <br/>
<a id="pl.95.31"></a><var>95.31</var>limit the authority to issue bonds under any other special or general law.<br/>
<br/>
<a id="bill.7.52.0"></a><a id="pl.95.32"></a><var>95.32</var>    Sec. 52. Minnesota Statutes 2012, section 375.167, subdivision 1, is amended to read:<br/>
<a id="pl.95.33"></a><var>95.33</var>    Subdivision 1. <b>Appropriations.</b> Notwithstanding any contrary law, a county board <br/>
<a id="pl.95.34"></a><var>95.34</var>may appropriate from the general revenue fund to any nonprofit corporation a sum not <br/>
<a id="pl.96.1"></a><var>96.1</var>to exceed 0.00604 percent of taxable estimated market value to provide legal assistance <br/>
<a id="pl.96.2"></a><var>96.2</var>to persons who are unable to afford private legal counsel.<br/>
<br/>
<a id="bill.7.53.0"></a><a id="pl.96.3"></a><var>96.3</var>    Sec. 53. Minnesota Statutes 2012, section 375.18, subdivision 3, is amended to read:<br/>
<a id="pl.96.4"></a><var>96.4</var>    Subd. 3. <b>Courthouse.</b> Each county board may erect, furnish, and maintain a <br/>
<a id="pl.96.5"></a><var>96.5</var>suitable courthouse. No indebtedness shall be created for a courthouse in excess of an <br/>
<a id="pl.96.6"></a><var>96.6</var>amount equal to a levy of 0.04030 percent of taxable estimated market value without the <br/>
<a id="pl.96.7"></a><var>96.7</var>approval of a majority of the voters of the county voting on the question of issuing the <br/>
<a id="pl.96.8"></a><var>96.8</var>obligation at an election.<br/>
<br/>
<a id="bill.7.54.0"></a><a id="pl.96.9"></a><var>96.9</var>    Sec. 54. Minnesota Statutes 2012, section 375.555, is amended to read:<br/>
<a id="pl.96.10"></a><var>96.10</var><b>375.555 FUNDING.</b><br/>
<a id="pl.96.11"></a><var>96.11</var>    To implement the county emergency jobs program, the county board may expend <br/>
<a id="pl.96.12"></a><var>96.12</var>an amount equal to what would be generated by a levy of 0.01209 percent of taxable<br/>
<a id="pl.96.13"></a><var>96.13</var> estimated market value. The money to be expended may be from any available funds <br/>
<a id="pl.96.14"></a><var>96.14</var>not otherwise earmarked.<br/>
<br/>
<a id="bill.7.55.0"></a><a id="pl.96.15"></a><var>96.15</var>    Sec. 55. Minnesota Statutes 2012, section 383B.152, is amended to read:<br/>
<a id="pl.96.16"></a><var>96.16</var><b>383B.152 BUILDING AND MAINTENANCE FUND.</b><br/>
<a id="pl.96.17"></a><var>96.17</var>    The county board may by resolution levy a tax to provide money which shall be kept <br/>
<a id="pl.96.18"></a><var>96.18</var>in a fund known as the county reserve building and maintenance fund. Money in the fund <br/>
<a id="pl.96.19"></a><var>96.19</var>shall be used solely for the construction, maintenance, and equipping of county buildings <br/>
<a id="pl.96.20"></a><var>96.20</var>that are constructed or maintained by the board. The levy shall not be subject to any limit <br/>
<a id="pl.96.21"></a><var>96.21</var>fixed by any other law or by any board of tax levy or other corresponding body, but shall <br/>
<a id="pl.96.22"></a><var>96.22</var>not exceed 0.02215 percent of taxable estimated market value, less the amount required by <br/>
<a id="pl.96.23"></a><var>96.23</var>chapter 475 to be levied in the year for the payment of the principal of and interest on all <br/>
<a id="pl.96.24"></a><var>96.24</var>bonds issued pursuant to Extra Session Laws 1967, chapter 47, section 1.<br/>
<br/>
<a id="bill.7.56.0"></a><a id="pl.96.25"></a><var>96.25</var>    Sec. 56. Minnesota Statutes 2012, section 383B.245, is amended to read:<br/>
<a id="pl.96.26"></a><var>96.26</var><b>383B.245 LIBRARY LEVY.</b><br/>
<a id="pl.96.27"></a><var>96.27</var>    (a) The county board may levy a tax on the taxable property within the county to <br/>
<a id="pl.96.28"></a><var>96.28</var>acquire, better, and construct county library buildings and branches and to pay principal <br/>
<a id="pl.96.29"></a><var>96.29</var>and interest on bonds issued for that purpose.<br/>
<a id="pl.96.30"></a><var>96.30</var>    (b) The county board may by resolution adopted by a five-sevenths vote issue and <br/>
<a id="pl.96.31"></a><var>96.31</var>sell general obligation bonds of the county in the manner provided in sections 
         <statute_ref>475.60</statute_ref> to <br/>
<statute_ref><a id="pl.97.1"></a><var>97.1</var>475.73
         </statute_ref>. The bonds shall not be subject to the limitations of sections 
         <statute_ref>475.51</statute_ref> to 
         <statute_ref>475.59</statute_ref>, <br/>
<a id="pl.97.2"></a><var>97.2</var>but the maturity years and amounts and interest rates of each series of bonds shall be <br/>
<a id="pl.97.3"></a><var>97.3</var>fixed so that the maximum amount of principal and interest to become due in any year, <br/>
<a id="pl.97.4"></a><var>97.4</var>on the bonds of that series and of all outstanding series issued by or for the purposes of <br/>
<a id="pl.97.5"></a><var>97.5</var>libraries, shall not exceed an amount equal to 0.01612 percent of estimated market value <br/>
<a id="pl.97.6"></a><var>97.6</var>of all taxable property in the county as last finally equalized before the issuance of the new <br/>
<a id="pl.97.7"></a><var>97.7</var>series. When the tax levy authorized in this section is collected it shall be appropriated <br/>
<a id="pl.97.8"></a><var>97.8</var>and credited to a debt service fund for the bonds in amounts required each year in lieu of a <br/>
<a id="pl.97.9"></a><var>97.9</var>countywide tax levy for the debt service fund under section 
         <statute_ref>475.61</statute_ref>.<br/>
<br/>
<a id="bill.7.57.0"></a><a id="pl.97.10"></a><var>97.10</var>    Sec. 57. Minnesota Statutes 2012, section 383B.73, subdivision 1, is amended to read:<br/>
<a id="pl.97.11"></a><var>97.11</var>    Subdivision 1. <b>Levy.</b> To provide funds for the purposes of the Three Rivers Park <br/>
<a id="pl.97.12"></a><var>97.12</var>District as set forth in its annual budget, in lieu of the levies authorized by any other <br/>
<a id="pl.97.13"></a><var>97.13</var>special law for such purposes, the Board of Park District Commissioners may levy taxes <br/>
<a id="pl.97.14"></a><var>97.14</var>on all the taxable property in the county and park district at a rate not exceeding 0.03224 <br/>
<a id="pl.97.15"></a><var>97.15</var>percent of estimated market value. Notwithstanding section 
         <statute_ref>398.16</statute_ref>, on or before October <br/>
<a id="pl.97.16"></a><var>97.16</var>1 of each year, after public hearing, the Board of Park District Commissioners shall adopt <br/>
<a id="pl.97.17"></a><var>97.17</var>a budget for the ensuing year and shall determine the total amount necessary to be raised <br/>
<a id="pl.97.18"></a><var>97.18</var>from ad valorem tax levies to meet its budget. The Board of Park District Commissioners <br/>
<a id="pl.97.19"></a><var>97.19</var>shall submit the budget to the county board. The county board may veto or modify an item <br/>
<a id="pl.97.20"></a><var>97.20</var>contained in the budget. If the county board determines to veto or to modify an item in the <br/>
<a id="pl.97.21"></a><var>97.21</var>budget, it must, within 15 days after the budget was submitted by the district board, state <br/>
<a id="pl.97.22"></a><var>97.22</var>in writing the specific reasons for its objection to the item vetoed or the reason for the <br/>
<a id="pl.97.23"></a><var>97.23</var>modification. The Park District Board, after consideration of the county board's objections <br/>
<a id="pl.97.24"></a><var>97.24</var>and proposed modifications, may reapprove a vetoed item or the original version of an item <br/>
<a id="pl.97.25"></a><var>97.25</var>with respect to which a modification has been proposed, by a two-thirds majority. If the <br/>
<a id="pl.97.26"></a><var>97.26</var>district board does not reapprove a vetoed item, the item shall be deleted from the budget. <br/>
<a id="pl.97.27"></a><var>97.27</var>If the district board does not reapprove the original version of a modified item, the item <br/>
<a id="pl.97.28"></a><var>97.28</var>shall be included in the budget as modified by the county board. After adoption of the final <br/>
<a id="pl.97.29"></a><var>97.29</var>budget and no later than October 1, the superintendent of the park district shall certify to the <br/>
<a id="pl.97.30"></a><var>97.30</var>office of the Hennepin County director of tax and public records exercising the functions <br/>
<a id="pl.97.31"></a><var>97.31</var>of the county auditor the total amount to be raised from ad valorem tax levies to meet its <br/>
<a id="pl.97.32"></a><var>97.32</var>budget for the ensuing year. The director of tax and public records shall add the amount of <br/>
<a id="pl.97.33"></a><var>97.33</var>any levy certified by the district to other tax levies on the property of the county within the <br/>
<a id="pl.97.34"></a><var>97.34</var>district for collection by the director of tax and public records with other taxes. When <br/>
<a id="pl.98.1"></a><var>98.1</var>collected, the director shall make settlement of such taxes with the district in the same <br/>
<a id="pl.98.2"></a><var>98.2</var>manner as other taxes are distributed to the other political subdivisions in Hennepin County.<br/>
<br/>
<a id="bill.7.58.0"></a><a id="pl.98.3"></a><var>98.3</var>    Sec. 58. Minnesota Statutes 2012, section 383E.20, is amended to read:<br/>
<a id="pl.98.4"></a><var>98.4</var><b>383E.20 BONDING FOR COUNTY LIBRARY BUILDINGS.</b><br/>
<a id="pl.98.5"></a><var>98.5</var>    The Anoka County Board may, by resolution adopted by a four-sevenths vote, issue <br/>
<a id="pl.98.6"></a><var>98.6</var>and sell general obligation bonds of the county in the manner provided in chapter 475 to <br/>
<a id="pl.98.7"></a><var>98.7</var>acquire, better, and construct county library buildings. The bonds shall not be subject to the <br/>
<a id="pl.98.8"></a><var>98.8</var>requirements of sections 475.57 to 475.59. The maturity years and amounts and interest <br/>
<a id="pl.98.9"></a><var>98.9</var>rates of each series of bonds shall be fixed so that the maximum amount of principal and <br/>
<a id="pl.98.10"></a><var>98.10</var>interest to become due in any year, on the bonds of that series and of all outstanding series <br/>
<a id="pl.98.11"></a><var>98.11</var>issued by or for the purposes of libraries, shall not exceed an amount equal to .01 percent <br/>
<a id="pl.98.12"></a><var>98.12</var>of the taxable estimated market value of all taxable property in the county, excluding any <br/>
<a id="pl.98.13"></a><var>98.13</var>taxable property taxed by any city for the support of any free public library. When the tax <br/>
<a id="pl.98.14"></a><var>98.14</var>levy authorized in this section is collected, it shall be appropriated and credited to a debt <br/>
<a id="pl.98.15"></a><var>98.15</var>service fund for the bonds. The tax levy for the debt service fund under section 475.61 <br/>
<a id="pl.98.16"></a><var>98.16</var>shall be reduced by the amount available or reasonably anticipated to be available in the <br/>
<a id="pl.98.17"></a><var>98.17</var>fund to make payments otherwise payable from the levy pursuant to section 475.61.<br/>
<br/>
<a id="bill.7.59.0"></a><a id="pl.98.18"></a><var>98.18</var>    Sec. 59. Minnesota Statutes 2012, section 383E.23, is amended to read:<br/>
<a id="pl.98.19"></a><var>98.19</var><b>383E.23 LIBRARY TAX.</b><br/>
<a id="pl.98.20"></a><var>98.20</var>    The Anoka County Board may levy a tax of not more than .01 percent of the taxable<br/>
<a id="pl.98.21"></a><var>98.21</var> estimated market value of taxable property located within the county excluding any <br/>
<a id="pl.98.22"></a><var>98.22</var>taxable property taxed by any city for the support of any free public library, to acquire, <br/>
<a id="pl.98.23"></a><var>98.23</var>better, and construct county library buildings and to pay principal and interest on bonds <br/>
<a id="pl.98.24"></a><var>98.24</var>issued for that purpose. The tax shall be disregarded in the calculation of levies or limits <br/>
<a id="pl.98.25"></a><var>98.25</var>on levies provided by section 373.40, or other law.<br/>
<br/>
<a id="bill.7.60.0"></a><a id="pl.98.26"></a><var>98.26</var>    Sec. 60. Minnesota Statutes 2012, section 385.31, is amended to read:<br/>
<a id="pl.98.27"></a><var>98.27</var><b>385.31 PAYMENT OF COUNTY ORDERS OR WARRANTS.</b><br/>
<a id="pl.98.28"></a><var>98.28</var>    When any order or warrant drawn on the treasurer is presented for payment, if there <br/>
<a id="pl.98.29"></a><var>98.29</var>is money in the treasury for that purpose, the county treasurer shall redeem the same, and <br/>
<a id="pl.98.30"></a><var>98.30</var>write across the entire face thereof the word "redeemed," the date of the redemption, and <br/>
<a id="pl.98.31"></a><var>98.31</var>the treasurer's official signature. If there is not sufficient funds in the proper accounts to <br/>
<a id="pl.98.32"></a><var>98.32</var>pay such orders they shall be numbered and registered in their order of presentation, <br/>
<a id="pl.99.1"></a><var>99.1</var>and proper endorsement thereof shall be made on such orders and they shall be entitled <br/>
<a id="pl.99.2"></a><var>99.2</var>to payment in like order. Such orders shall bear interest at not to exceed the rate of six <br/>
<a id="pl.99.3"></a><var>99.3</var>percent per annum from such date of presentment. The treasurer, as soon as there is <br/>
<a id="pl.99.4"></a><var>99.4</var>sufficient money in the treasury, shall appropriate and set apart a sum sufficient for the <br/>
<a id="pl.99.5"></a><var>99.5</var>payment of the orders so presented and registered, and, if entitled to interest, issue to the <br/>
<a id="pl.99.6"></a><var>99.6</var>original holder a notice that interest will cease in 30 days from the date of such notice; and, <br/>
<a id="pl.99.7"></a><var>99.7</var>if orders thus entitled to priority of payment are not then presented, the next in order of <br/>
<a id="pl.99.8"></a><var>99.8</var>registry may be paid until such orders are presented. No interest shall be paid on any order, <br/>
<a id="pl.99.9"></a><var>99.9</var>except upon a warrant drawn by the county auditor for that purpose, giving the number <br/>
<a id="pl.99.10"></a><var>99.10</var>and the date of the order on account of which the interest warrant is drawn. In any county <br/>
<a id="pl.99.11"></a><var>99.11</var>in this state now or hereafter having a an estimated market value of all taxable property, <br/>
<a id="pl.99.12"></a><var>99.12</var>exclusive of money and credits, of not less than $1,033,000,000, the county treasurer, in <br/>
<a id="pl.99.13"></a><var>99.13</var>order to save payment of interest on county warrants drawn upon a fund in which there <br/>
<a id="pl.99.14"></a><var>99.14</var>shall be temporarily insufficient money in the treasury to redeem the same, may borrow <br/>
<a id="pl.99.15"></a><var>99.15</var>temporarily from any other fund in the county treasury in which there is a sufficient balance <br/>
<a id="pl.99.16"></a><var>99.16</var>to care for the needs of such fund and allow a temporary loan or transfer to any other fund, <br/>
<a id="pl.99.17"></a><var>99.17</var>and may pay such warrants out of such funds. Any such money so transferred and used in <br/>
<a id="pl.99.18"></a><var>99.18</var>redeeming such county warrants shall be returned to the fund from which drawn as soon <br/>
<a id="pl.99.19"></a><var>99.19</var>as money shall come in to the credit of such fund on which any such warrant was drawn <br/>
<a id="pl.99.20"></a><var>99.20</var>and paid as aforesaid. Any county operating on a cash basis may use a combined form of <br/>
<a id="pl.99.21"></a><var>99.21</var>warrant or order and check, which, when signed by the chair of the county board and by <br/>
<a id="pl.99.22"></a><var>99.22</var>the auditor, is an order or warrant for the payment of the claim, and, when countersigned <br/>
<a id="pl.99.23"></a><var>99.23</var>by the county treasurer, is a check for the payment of the amount thereof.<br/>
<br/>
<a id="bill.7.61.0"></a><a id="pl.99.24"></a><var>99.24</var>    Sec. 61. Minnesota Statutes 2012, section 394.36, subdivision 1, is amended to read:<br/>
<a id="pl.99.25"></a><var>99.25</var>    Subdivision 1. <b>Continuation of nonconformity; limitations.</b> Except as provided in <br/>
<a id="pl.99.26"></a><var>99.26</var>subdivision 2, 3, or 4, any nonconformity, including the lawful use or occupation of land <br/>
<a id="pl.99.27"></a><var>99.27</var>or premises existing at the time of the adoption of an official control under this chapter, <br/>
<a id="pl.99.28"></a><var>99.28</var>may be continued, although the use or occupation does not conform to the official control. <br/>
<a id="pl.99.29"></a><var>99.29</var>If the nonconformity or occupancy is discontinued for a period of more than one year, or <br/>
<a id="pl.99.30"></a><var>99.30</var>any nonconforming building or structure is destroyed by fire or other peril to the extent of <br/>
<a id="pl.99.31"></a><var>99.31</var>50 percent of its estimated market value, any subsequent use or occupancy of the land or <br/>
<a id="pl.99.32"></a><var>99.32</var>premises shall be a conforming use or occupancy.<br/>
<br/>
<a id="bill.7.62.0"></a><a id="pl.99.33"></a><var>99.33</var>    Sec. 62. Minnesota Statutes 2012, section 398A.04, subdivision 8, is amended to read:<br/>
<a id="pl.100.1"></a><var>100.1</var>    Subd. 8. <b>Taxation.</b> Before deciding to exercise the power to tax, the authority shall <br/>
<a id="pl.100.2"></a><var>100.2</var>give six weeks' published notice in all municipalities in the region. If a number of voters <br/>
<a id="pl.100.3"></a><var>100.3</var>in the region equal to five percent of those who voted for candidates for governor at the <br/>
<a id="pl.100.4"></a><var>100.4</var>last gubernatorial election present a petition within nine weeks of the first published notice <br/>
<a id="pl.100.5"></a><var>100.5</var>to the secretary of state requesting that the matter be submitted to popular vote, it shall be <br/>
<a id="pl.100.6"></a><var>100.6</var>submitted at the next general election. The question prepared shall be:<br/>
<a id="pl.100.7"></a><var>100.7</var>    "Shall the regional rail authority have the power to impose a property tax?<br/>
<table>
<col width="50px"/>
<col width="40"/>
<col width="12.5"/>
<col width="12.5"/>
<tr>
<td><a id="pl.100.8"></a><var>100.8</var><br/>
</td>
<td align="left"></td>
<td align="left">Yes <br/>
<span>
                     							.....
                     						</span></td>
<td align="left"></td>
</tr>
<tr>
<td><a id="pl.100.9"></a><var>100.9</var><br/>
</td>
<td align="left"></td>
<td align="left">No <span>
                     							.....
                     						</span>"<br/>
</td>
<td align="left"></td>
</tr>
</table><a id="pl.100.10"></a><var>100.10</var>    If a majority of those voting on the question approve or if no petition is presented <br/>
<a id="pl.100.11"></a><var>100.11</var>within the prescribed time the authority may levy a tax at any annual rate not exceeding <br/>
<a id="pl.100.12"></a><var>100.12</var>0.04835 percent of estimated market value of all taxable property situated within the <br/>
<a id="pl.100.13"></a><var>100.13</var>municipality or municipalities named in its organization resolution. Its recording officer <br/>
<a id="pl.100.14"></a><var>100.14</var>shall file, on or before September 15, in the office of the county auditor of each county <br/>
<a id="pl.100.15"></a><var>100.15</var>in which territory under the jurisdiction of the authority is located a certified copy of the <br/>
<a id="pl.100.16"></a><var>100.16</var>board of commissioners' resolution levying the tax, and each county auditor shall assess <br/>
<a id="pl.100.17"></a><var>100.17</var>and extend upon the tax rolls of each municipality named in the organization resolution the <br/>
<a id="pl.100.18"></a><var>100.18</var>portion of the tax that bears the same ratio to the whole amount that the net tax capacity of <br/>
<a id="pl.100.19"></a><var>100.19</var>taxable property in that municipality bears to the net tax capacity of taxable property in <br/>
<a id="pl.100.20"></a><var>100.20</var>all municipalities named in the organization resolution. Collections of the tax shall be <br/>
<a id="pl.100.21"></a><var>100.21</var>remitted by each county treasurer to the treasurer of the authority. For taxes levied in 1991, <br/>
<a id="pl.100.22"></a><var>100.22</var>the amount levied for light rail transit purposes under this subdivision shall not exceed 75 <br/>
<a id="pl.100.23"></a><var>100.23</var>percent of the amount levied in 1990 for light rail transit purposes under this subdivision.<br/>
<br/>
<a id="bill.7.63.0"></a><a id="pl.100.24"></a><var>100.24</var>    Sec. 63. Minnesota Statutes 2012, section 401.05, subdivision 3, is amended to read:<br/>
<a id="pl.100.25"></a><var>100.25</var>    Subd. 3. <b>Leasing.</b> (a) A county or joint powers board of a group of counties <br/>
<a id="pl.100.26"></a><var>100.26</var>which acquires or constructs and equips or improves facilities under this chapter may, <br/>
<a id="pl.100.27"></a><var>100.27</var>with the approval of the board of county commissioners of each county, enter into a <br/>
<a id="pl.100.28"></a><var>100.28</var>lease agreement with a city situated within any of the counties, or a county housing and <br/>
<a id="pl.100.29"></a><var>100.29</var>redevelopment authority established under chapter 469 or any special law. Under the lease <br/>
<a id="pl.100.30"></a><var>100.30</var>agreement, the city or county housing and redevelopment authority shall:<br/>
<a id="pl.100.31"></a><var>100.31</var>    (1) construct or acquire and equip or improve a facility in accordance with plans <br/>
<a id="pl.100.32"></a><var>100.32</var>prepared by or at the request of a county or joint powers board of the group of counties <br/>
<a id="pl.100.33"></a><var>100.33</var>and approved by the commissioner of corrections; and<br/>
<a id="pl.100.34"></a><var>100.34</var>    (2) finance the facility by the issuance of revenue bonds.<br/>
<a id="pl.101.1"></a><var>101.1</var>    (b) The county or joint powers board of a group of counties may lease the facility <br/>
<a id="pl.101.2"></a><var>101.2</var>site, improvements, and equipment for a term upon rental sufficient to produce revenue <br/>
<a id="pl.101.3"></a><var>101.3</var>for the prompt payment of the revenue bonds and all interest accruing on them. Upon <br/>
<a id="pl.101.4"></a><var>101.4</var>completion of payment, the lessee shall acquire title. The real and personal property <br/>
<a id="pl.101.5"></a><var>101.5</var>acquired for the facility constitutes a project and the lease agreement constitutes a revenue <br/>
<a id="pl.101.6"></a><var>101.6</var>agreement as provided in sections 
         <statute_ref>469.152</statute_ref> to 
         <statute_ref>469.165</statute_ref>. All proceedings by the city or <br/>
<a id="pl.101.7"></a><var>101.7</var>county housing and redevelopment authority and the county or joint powers board shall be <br/>
<a id="pl.101.8"></a><var>101.8</var>as provided in sections 
         <statute_ref>469.152</statute_ref> to 
         <statute_ref>469.165</statute_ref>, with the following adjustments:<br/>
<a id="pl.101.9"></a><var>101.9</var>    (1) no tax may be imposed upon the property;<br/>
<a id="pl.101.10"></a><var>101.10</var>    (2) the approval of the project by the commissioner of employment and economic <br/>
<a id="pl.101.11"></a><var>101.11</var>development is not required;<br/>
<a id="pl.101.12"></a><var>101.12</var>    (3) the Department of Corrections shall be furnished and shall record information <br/>
<a id="pl.101.13"></a><var>101.13</var>concerning each project as it may prescribe, in lieu of reports required on other projects to <br/>
<a id="pl.101.14"></a><var>101.14</var>the commissioner of employment and economic development;<br/>
<a id="pl.101.15"></a><var>101.15</var>    (4) the rentals required to be paid under the lease agreement shall not exceed in any <br/>
<a id="pl.101.16"></a><var>101.16</var>year one-tenth of one percent of the estimated market value of property within the county <br/>
<a id="pl.101.17"></a><var>101.17</var>or group of counties as last equalized before the execution of the lease agreement;<br/>
<a id="pl.101.18"></a><var>101.18</var>    (5) the county or group of counties shall provide for payment of all rentals due <br/>
<a id="pl.101.19"></a><var>101.19</var>during the term of the lease agreement in the manner required in subdivision 4;<br/>
<a id="pl.101.20"></a><var>101.20</var>    (6) no mortgage on the facilities shall be granted for the security of the bonds, but <br/>
<a id="pl.101.21"></a><var>101.21</var>compliance with clause (5) may be enforced as a nondiscretionary duty of the county <br/>
<a id="pl.101.22"></a><var>101.22</var>or group of counties; and<br/>
<a id="pl.101.23"></a><var>101.23</var>    (7) the county or the joint powers board of the group of counties may sublease any <br/>
<a id="pl.101.24"></a><var>101.24</var>part of the facilities for purposes consistent with their maintenance and operation.<br/>
<br/>
<a id="bill.7.64.0"></a><a id="pl.101.25"></a><var>101.25</var>    Sec. 64. Minnesota Statutes 2012, section 410.32, is amended to read:<br/>
<a id="pl.101.26"></a><var>101.26</var><b>410.32 CITIES MAY ISSUE CAPITAL NOTES FOR CAPITAL EQUIPMENT.</b><br/>
<a id="pl.101.27"></a><var>101.27</var>    (a) Notwithstanding any contrary provision of other law or charter, a home rule <br/>
<a id="pl.101.28"></a><var>101.28</var>charter city may, by resolution and without public referendum, issue capital notes subject <br/>
<a id="pl.101.29"></a><var>101.29</var>to the city debt limit to purchase capital equipment.<br/>
<a id="pl.101.30"></a><var>101.30</var>    (b) For purposes of this section, "capital equipment" means:<br/>
<a id="pl.101.31"></a><var>101.31</var>    (1) public safety equipment, ambulance and other medical equipment, road <br/>
<a id="pl.101.32"></a><var>101.32</var>construction and maintenance equipment, and other capital equipment; and<br/>
<a id="pl.101.33"></a><var>101.33</var>    (2) computer hardware and software, whether bundled with machinery or equipment <br/>
<a id="pl.101.34"></a><var>101.34</var>or unbundled.<br/>
<a id="pl.102.1"></a><var>102.1</var>    (c) The equipment or software must have an expected useful life at least as long <br/>
<a id="pl.102.2"></a><var>102.2</var>as the term of the notes.<br/>
<a id="pl.102.3"></a><var>102.3</var>    (d) The notes shall be payable in not more than ten years and be issued on terms <br/>
<a id="pl.102.4"></a><var>102.4</var>and in the manner the city determines. The total principal amount of the capital notes <br/>
<a id="pl.102.5"></a><var>102.5</var>issued in a fiscal year shall not exceed 0.03 percent of the estimated market value of <br/>
<a id="pl.102.6"></a><var>102.6</var>taxable property in the city for that year.<br/>
<a id="pl.102.7"></a><var>102.7</var>    (e) A tax levy shall be made for the payment of the principal and interest on the <br/>
<a id="pl.102.8"></a><var>102.8</var>notes, in accordance with section 
         <statute_ref>475.61</statute_ref>, as in the case of bonds.<br/>
<a id="pl.102.9"></a><var>102.9</var>    (f) Notes issued under this section shall require an affirmative vote of two-thirds of <br/>
<a id="pl.102.10"></a><var>102.10</var>the governing body of the city.<br/>
<a id="pl.102.11"></a><var>102.11</var>    (g) Notwithstanding a contrary provision of other law or charter, a home rule charter <br/>
<a id="pl.102.12"></a><var>102.12</var>city may also issue capital notes subject to its debt limit in the manner and subject to the <br/>
<a id="pl.102.13"></a><var>102.13</var>limitations applicable to statutory cities pursuant to section 
         <statute_ref>412.301</statute_ref>.<br/>
<br/>
<a id="bill.7.65.0"></a><a id="pl.102.14"></a><var>102.14</var>    Sec. 65. Minnesota Statutes 2012, section 412.221, subdivision 2, is amended to read:<br/>
<a id="pl.102.15"></a><var>102.15</var>    Subd. 2. <b>Contracts.</b> The council shall have power to make such contracts as may <br/>
<a id="pl.102.16"></a><var>102.16</var>be deemed necessary or desirable to make effective any power possessed by the council. <br/>
<a id="pl.102.17"></a><var>102.17</var>The city may purchase personal property through a conditional sales contract and real <br/>
<a id="pl.102.18"></a><var>102.18</var>property through a contract for deed under which contracts the seller is confined to the <br/>
<a id="pl.102.19"></a><var>102.19</var>remedy of recovery of the property in case of nonpayment of all or part of the purchase <br/>
<a id="pl.102.20"></a><var>102.20</var>price, which shall be payable over a period of not to exceed five years. When the contract <br/>
<a id="pl.102.21"></a><var>102.21</var>price of property to be purchased by contract for deed or conditional sales contract <br/>
<a id="pl.102.22"></a><var>102.22</var>exceeds 0.24177 percent of the estimated market value of the city, the city may not enter <br/>
<a id="pl.102.23"></a><var>102.23</var>into such a contract for at least ten days after publication in the official newspaper of a <br/>
<a id="pl.102.24"></a><var>102.24</var>council resolution determining to purchase property by such a contract; and, if before the <br/>
<a id="pl.102.25"></a><var>102.25</var>end of that time a petition asking for an election on the proposition signed by voters equal <br/>
<a id="pl.102.26"></a><var>102.26</var>to ten percent of the number of voters at the last regular city election is filed with the clerk, <br/>
<a id="pl.102.27"></a><var>102.27</var>the city may not enter into such a contract until the proposition has been approved by a <br/>
<a id="pl.102.28"></a><var>102.28</var>majority of the votes cast on the question at a regular or special election.<br/>
<br/>
<a id="bill.7.66.0"></a><a id="pl.102.29"></a><var>102.29</var>    Sec. 66. Minnesota Statutes 2012, section 412.301, is amended to read:<br/>
<a id="pl.102.30"></a><var>102.30</var><b>412.301 FINANCING PURCHASE OF CERTAIN EQUIPMENT.</b><br/>
<a id="pl.102.31"></a><var>102.31</var>    (a) The council may issue certificates of indebtedness or capital notes subject to the <br/>
<a id="pl.102.32"></a><var>102.32</var>city debt limits to purchase capital equipment.<br/>
<a id="pl.102.33"></a><var>102.33</var>    (b) For purposes of this section, "capital equipment" means:<br/>
<a id="pl.103.1"></a><var>103.1</var>    (1) public safety equipment, ambulance and other medical equipment, road <br/>
<a id="pl.103.2"></a><var>103.2</var>construction and maintenance equipment, and other capital equipment; and<br/>
<a id="pl.103.3"></a><var>103.3</var>    (2) computer hardware and software, whether bundled with machinery or equipment <br/>
<a id="pl.103.4"></a><var>103.4</var>or unbundled.<br/>
<a id="pl.103.5"></a><var>103.5</var>    (c) The equipment or software must have an expected useful life at least as long as <br/>
<a id="pl.103.6"></a><var>103.6</var>the terms of the certificates or notes.<br/>
<a id="pl.103.7"></a><var>103.7</var>    (d) Such certificates or notes shall be payable in not more than ten years and shall be <br/>
<a id="pl.103.8"></a><var>103.8</var>issued on such terms and in such manner as the council may determine.<br/>
<a id="pl.103.9"></a><var>103.9</var>    (e) If the amount of the certificates or notes to be issued to finance any such purchase <br/>
<a id="pl.103.10"></a><var>103.10</var>exceeds 0.25 percent of the estimated market value of taxable property in the city, they <br/>
<a id="pl.103.11"></a><var>103.11</var>shall not be issued for at least ten days after publication in the official newspaper of <br/>
<a id="pl.103.12"></a><var>103.12</var>a council resolution determining to issue them; and if before the end of that time, a <br/>
<a id="pl.103.13"></a><var>103.13</var>petition asking for an election on the proposition signed by voters equal to ten percent <br/>
<a id="pl.103.14"></a><var>103.14</var>of the number of voters at the last regular municipal election is filed with the clerk, such <br/>
<a id="pl.103.15"></a><var>103.15</var>certificates or notes shall not be issued until the proposition of their issuance has been <br/>
<a id="pl.103.16"></a><var>103.16</var>approved by a majority of the votes cast on the question at a regular or special election.<br/>
<a id="pl.103.17"></a><var>103.17</var>    (f) A tax levy shall be made for the payment of the principal and interest on such <br/>
<a id="pl.103.18"></a><var>103.18</var>certificates or notes, in accordance with section 
         <statute_ref>475.61</statute_ref>, as in the case of bonds.<br/>
<br/>
<a id="bill.7.67.0"></a><a id="pl.103.19"></a><var>103.19</var>    Sec. 67. Minnesota Statutes 2012, section 428A.02, subdivision 1, is amended to read:<br/>
<a id="pl.103.20"></a><var>103.20</var>    Subdivision 1. <b>Ordinance.</b> The governing body of a city may adopt an ordinance <br/>
<a id="pl.103.21"></a><var>103.21</var>establishing a special service district. Only property that is classified under section 
         <statute_ref>273.13</statute_ref> <br/>
<a id="pl.103.22"></a><var>103.22</var>and used for commercial, industrial, or public utility purposes, or is vacant land zoned or <br/>
<a id="pl.103.23"></a><var>103.23</var>designated on a land use plan for commercial or industrial use and located in the special <br/>
<a id="pl.103.24"></a><var>103.24</var>service district, may be subject to the charges imposed by the city on the special service <br/>
<a id="pl.103.25"></a><var>103.25</var>district. Other types of property may be included within the boundaries of the special <br/>
<a id="pl.103.26"></a><var>103.26</var>service district but are not subject to the levies or charges imposed by the city on the <br/>
<a id="pl.103.27"></a><var>103.27</var>special service district. If 50 percent or more of the estimated market value of a parcel of <br/>
<a id="pl.103.28"></a><var>103.28</var>property is classified under section 
         <statute_ref>273.13</statute_ref> as commercial, industrial, or vacant land zoned <br/>
<a id="pl.103.29"></a><var>103.29</var>or designated on a land use plan for commercial or industrial use, or public utility for the <br/>
<a id="pl.103.30"></a><var>103.30</var>current assessment year, then the entire taxable market value of the property is subject to a <br/>
<a id="pl.103.31"></a><var>103.31</var>service charge based on net tax capacity for purposes of sections 
         <statute_ref>428A.01</statute_ref> to 
         <statute_ref>428A.10</statute_ref>. <br/>
<a id="pl.103.32"></a><var>103.32</var>The ordinance shall describe with particularity the area within the city to be included in <br/>
<a id="pl.103.33"></a><var>103.33</var>the district and the special services to be furnished in the district. The ordinance may not <br/>
<a id="pl.103.34"></a><var>103.34</var>be adopted until after a public hearing has been held on the question. Notice of the hearing <br/>
<a id="pl.103.35"></a><var>103.35</var>shall include the time and place of hearing, a map showing the boundaries of the proposed <br/>
<a id="pl.104.1"></a><var>104.1</var>district, and a statement that all persons owning property in the proposed district that <br/>
<a id="pl.104.2"></a><var>104.2</var>would be subject to a service charge will be given opportunity to be heard at the hearing. <br/>
<a id="pl.104.3"></a><var>104.3</var>Within 30 days after adoption of the ordinance under this subdivision, the governing body <br/>
<a id="pl.104.4"></a><var>104.4</var>shall send a copy of the ordinance to the commissioner of revenue.<br/>
<br/>
<a id="bill.7.68.0"></a><a id="pl.104.5"></a><var>104.5</var>    Sec. 68. Minnesota Statutes 2012, section 430.102, subdivision 2, is amended to read:<br/>
<a id="pl.104.6"></a><var>104.6</var>    Subd. 2. <b>Council approval; special tax levy limitation.</b> The council shall receive <br/>
<a id="pl.104.7"></a><var>104.7</var>and consider the estimate required in subdivision 1 and the items of cost after notice and <br/>
<a id="pl.104.8"></a><var>104.8</var>hearing before it or its appropriate committee as it considers necessary or expedient, and <br/>
<a id="pl.104.9"></a><var>104.9</var>shall approve the estimate, with necessary amendments. The amounts of each item of cost <br/>
<a id="pl.104.10"></a><var>104.10</var>estimated are then appropriated to operate, maintain, and improve the pedestrian mall <br/>
<a id="pl.104.11"></a><var>104.11</var>during the next fiscal year. The amount of the special tax to be charged under subdivision <br/>
<a id="pl.104.12"></a><var>104.12</var>1, clause (3), must not, however, exceed 0.12089 percent of estimated market value of <br/>
<a id="pl.104.13"></a><var>104.13</var>taxable property in the district. The council shall make any necessary adjustment in costs of <br/>
<a id="pl.104.14"></a><var>104.14</var>operating and maintaining the district to keep the amount of the tax within this limitation.<br/>
<br/>
<a id="bill.7.69.0"></a><a id="pl.104.15"></a><var>104.15</var>    Sec. 69. Minnesota Statutes 2012, section 447.10, is amended to read:<br/>
<a id="pl.104.16"></a><var>104.16</var><b>447.10 TAX LEVY FOR OPERATING AND MAINTAINING HOSPITAL.</b><br/>
<a id="pl.104.17"></a><var>104.17</var>    The governing body of a city of the first class owning a hospital may annually levy <br/>
<a id="pl.104.18"></a><var>104.18</var>a tax to operate and maintain the hospital. The tax must not exceed 0.00806 percent of <br/>
<a id="pl.104.19"></a><var>104.19</var>taxable estimated market value.<br/>
<br/>
<a id="bill.7.70.0"></a><a id="pl.104.20"></a><var>104.20</var>    Sec. 70. Minnesota Statutes 2012, section 450.19, is amended to read:<br/>
<a id="pl.104.21"></a><var>104.21</var><b>450.19 TOURIST CAMPING GROUNDS.</b><br/>
<a id="pl.104.22"></a><var>104.22</var>    A home rule charter or statutory city or town may establish and maintain public <br/>
<a id="pl.104.23"></a><var>104.23</var>tourist camping grounds. The governing body thereof may acquire by lease, purchase, or <br/>
<a id="pl.104.24"></a><var>104.24</var>gift, suitable lands located either within or without the corporate limits for use as public <br/>
<a id="pl.104.25"></a><var>104.25</var>tourist camping grounds and provide for the equipment, operation, and maintenance <br/>
<a id="pl.104.26"></a><var>104.26</var>of the same. The amount that may be expended for the maintenance, improvement, or <br/>
<a id="pl.104.27"></a><var>104.27</var>operation of tourist camping grounds shall not exceed, in any year, a sum equal to 0.00806 <br/>
<a id="pl.104.28"></a><var>104.28</var>percent of taxable estimated market value.<br/>
<br/>
<a id="bill.7.71.0"></a><a id="pl.104.29"></a><var>104.29</var>    Sec. 71. Minnesota Statutes 2012, section 450.25, is amended to read:<br/>
<a id="pl.104.30"></a><var>104.30</var><b>450.25 MUSEUM, GALLERY, OR SCHOOL OF ARTS OR CRAFTS; TAX </b><br/>
<a id="pl.104.31"></a><var>104.31</var><b>LEVY.</b><br/>
<a id="pl.105.1"></a><var>105.1</var>    After the acquisition of any museum, gallery, or school of arts or crafts, the board <br/>
<a id="pl.105.2"></a><var>105.2</var>of park commissioners of the city in which it is located shall cause to be included in the <br/>
<a id="pl.105.3"></a><var>105.3</var>annual tax levy upon all the taxable property of the county in which the museum, gallery, <br/>
<a id="pl.105.4"></a><var>105.4</var>or school of arts or crafts is located, a tax of 0.00846 percent of estimated market value. <br/>
<a id="pl.105.5"></a><var>105.5</var>The board shall certify the levy to the county auditor and it shall be added to, and collected <br/>
<a id="pl.105.6"></a><var>105.6</var>with and as part of, the general, real, and personal property taxes, with like penalties and <br/>
<a id="pl.105.7"></a><var>105.7</var>interest, in case of nonpayment and default, and all provisions of law in respect to the <br/>
<a id="pl.105.8"></a><var>105.8</var>levy, collection, and enforcement of other taxes shall, so far as applicable, be followed in <br/>
<a id="pl.105.9"></a><var>105.9</var>respect of these taxes. All of these taxes, penalties, and interest, when collected, shall be <br/>
<a id="pl.105.10"></a><var>105.10</var>paid to the city treasurer of the city in which is located the museum, gallery, or school <br/>
<a id="pl.105.11"></a><var>105.11</var>of arts or crafts and credited to a fund to be known as the park museum fund, and shall <br/>
<a id="pl.105.12"></a><var>105.12</var>be used only for the purposes specified in sections 
         <statute_ref>450.23</statute_ref> to 
         <statute_ref>450.25</statute_ref>. Any part of the <br/>
<a id="pl.105.13"></a><var>105.13</var>proceeds of the levy not expended for the purposes specified in section 
         <statute_ref>450.24</statute_ref> may be <br/>
<a id="pl.105.14"></a><var>105.14</var>used for the erection of new buildings for the same purposes.<br/>
<br/>
<a id="bill.7.72.0"></a><a id="pl.105.15"></a><var>105.15</var>    Sec. 72. Minnesota Statutes 2012, section 458A.10, is amended to read:<br/>
<a id="pl.105.16"></a><var>105.16</var><b>458A.10 PROPERTY TAX.</b><br/>
<a id="pl.105.17"></a><var>105.17</var>    The commission shall annually levy a tax not to exceed 0.12089 percent of estimated <br/>
<a id="pl.105.18"></a><var>105.18</var>market value on all the taxable property in the transit area at a rate sufficient to produce <br/>
<a id="pl.105.19"></a><var>105.19</var>an amount necessary for the purposes of sections 
         <statute_ref>458A.01</statute_ref> to 
         <statute_ref>458A.15</statute_ref>, other than the <br/>
<a id="pl.105.20"></a><var>105.20</var>payment of principal and interest due on any revenue bonds issued pursuant to section <br/>
<statute_ref><a id="pl.105.21"></a><var>105.21</var>458A.05
         </statute_ref>. Property taxes levied under this section shall be certified by the commission to <br/>
<a id="pl.105.22"></a><var>105.22</var>the county auditors of the transit area, extended, assessed, and collected in the manner <br/>
<a id="pl.105.23"></a><var>105.23</var>provided by law for the property taxes levied by the governing bodies of cities. The <br/>
<a id="pl.105.24"></a><var>105.24</var>proceeds of the taxes levied under this section shall be remitted by the respective county <br/>
<a id="pl.105.25"></a><var>105.25</var>treasurers to the treasurer of the commission, who shall credit the same to the funds of <br/>
<a id="pl.105.26"></a><var>105.26</var>the commission for use for the purposes of sections 
         <statute_ref>458A.01</statute_ref> to 
         <statute_ref>458A.15</statute_ref> subject to any <br/>
<a id="pl.105.27"></a><var>105.27</var>applicable pledges or limitations on account of tax anticipation certificates or other <br/>
<a id="pl.105.28"></a><var>105.28</var>specific purposes. At any time after making a tax levy under this section and certifying <br/>
<a id="pl.105.29"></a><var>105.29</var>it to the county auditors, the commission may issue general obligation certificates of <br/>
<a id="pl.105.30"></a><var>105.30</var>indebtedness in anticipation of the collection of the taxes as provided by section 
         <statute_ref>412.261</statute_ref>.<br/>
<br/>
<a id="bill.7.73.0"></a><a id="pl.105.31"></a><var>105.31</var>    Sec. 73. Minnesota Statutes 2012, section 458A.31, subdivision 1, is amended to read:<br/>
<a id="pl.105.32"></a><var>105.32</var>    Subdivision 1. <b>Levy limit.</b> Notwithstanding anything to the contrary contained in <br/>
<a id="pl.105.33"></a><var>105.33</var>the charter of the city of Duluth, any ordinance thereof, or any statute applicable thereto, <br/>
<a id="pl.105.34"></a><var>105.34</var>limiting the amount levied in any one year for general or special purposes, the city council <br/>
<a id="pl.106.1"></a><var>106.1</var>of the city of Duluth shall each year levy a tax in an amount not to exceed 0.07253 <br/>
<a id="pl.106.2"></a><var>106.2</var>percent of taxable estimated market value, by ordinance. An ordinance fixing the levy <br/>
<a id="pl.106.3"></a><var>106.3</var>shall take effect immediately upon its passage and approval. The proceeds of the levy <br/>
<a id="pl.106.4"></a><var>106.4</var>shall be paid into the city treasury and deposited in the operating fund provided for in <br/>
<a id="pl.106.5"></a><var>106.5</var>section 
         <statute_ref>458A.24, subdivision 3</statute_ref>.<br/>
<br/>
<a id="bill.7.74.0"></a><a id="pl.106.6"></a><var>106.6</var>    Sec. 74. Minnesota Statutes 2012, section 465.04, is amended to read:<br/>
<a id="pl.106.7"></a><var>106.7</var><b>465.04 ACCEPTANCE OF GIFTS.</b><br/>
<a id="pl.106.8"></a><var>106.8</var>    Cities of the second, third, or fourth class, having at any time a an estimated<br/>
<a id="pl.106.9"></a><var>106.9</var> market value of not more than $41,000,000, exclusive of money and credits, as officially <br/>
<a id="pl.106.10"></a><var>106.10</var>equalized by the commissioner of revenue, either under home rule charter or under the <br/>
<a id="pl.106.11"></a><var>106.11</var>laws of this state, in addition to all other powers possessed by them, hereby are authorized <br/>
<a id="pl.106.12"></a><var>106.12</var>and empowered to receive and accept gifts and donations for the use and benefit of <br/>
<a id="pl.106.13"></a><var>106.13</var>such cities and the inhabitants thereof upon terms and conditions to be approved by the <br/>
<a id="pl.106.14"></a><var>106.14</var>governing bodies of such cities; and such cities are authorized to comply with and perform <br/>
<a id="pl.106.15"></a><var>106.15</var>such terms and conditions, which may include payment to the donor or donors of interest <br/>
<a id="pl.106.16"></a><var>106.16</var>on the value of the gift at not exceeding five percent per annum payable annually or <br/>
<a id="pl.106.17"></a><var>106.17</var>semiannually, during the remainder of the natural life or lives of such donor or donors.<br/>
<br/>
<a id="bill.7.75.0"></a><a id="pl.106.18"></a><var>106.18</var>    Sec. 75. Minnesota Statutes 2012, section 469.033, subdivision 6, is amended to read:<br/>
<a id="pl.106.19"></a><var>106.19</var>    Subd. 6. <b>Operation area as taxing district, special tax.</b> All of the territory included <br/>
<a id="pl.106.20"></a><var>106.20</var>within the area of operation of any authority shall constitute a taxing district for the <br/>
<a id="pl.106.21"></a><var>106.21</var>purpose of levying and collecting special benefit taxes as provided in this subdivision. All <br/>
<a id="pl.106.22"></a><var>106.22</var>of the taxable property, both real and personal, within that taxing district shall be deemed <br/>
<a id="pl.106.23"></a><var>106.23</var>to be benefited by projects to the extent of the special taxes levied under this subdivision. <br/>
<a id="pl.106.24"></a><var>106.24</var>Subject to the consent by resolution of the governing body of the city in and for which <br/>
<a id="pl.106.25"></a><var>106.25</var>it was created, an authority may levy a tax upon all taxable property within that taxing <br/>
<a id="pl.106.26"></a><var>106.26</var>district. The tax shall be extended, spread, and included with and as a part of the general <br/>
<a id="pl.106.27"></a><var>106.27</var>taxes for state, county, and municipal purposes by the county auditor, to be collected and <br/>
<a id="pl.106.28"></a><var>106.28</var>enforced therewith, together with the penalty, interest, and costs. As the tax, including any <br/>
<a id="pl.106.29"></a><var>106.29</var>penalties, interest, and costs, is collected by the county treasurer it shall be accumulated <br/>
<a id="pl.106.30"></a><var>106.30</var>and kept in a separate fund to be known as the "housing and redevelopment project fund." <br/>
<a id="pl.106.31"></a><var>106.31</var>The money in the fund shall be turned over to the authority at the same time and in the same <br/>
<a id="pl.106.32"></a><var>106.32</var>manner that the tax collections for the city are turned over to the city, and shall be expended <br/>
<a id="pl.106.33"></a><var>106.33</var>only for the purposes of sections 
         <statute_ref>469.001</statute_ref> to 
         <statute_ref>469.047</statute_ref>. It shall be paid out upon vouchers <br/>
<a id="pl.106.34"></a><var>106.34</var>signed by the chair of the authority or an authorized representative. The amount of the <br/>
<a id="pl.107.1"></a><var>107.1</var>levy shall be an amount approved by the governing body of the city, but shall not exceed <br/>
<a id="pl.107.2"></a><var>107.2</var>0.0185 percent of taxable estimated market value. The authority shall each year formulate <br/>
<a id="pl.107.3"></a><var>107.3</var>and file a budget in accordance with the budget procedure of the city in the same manner as <br/>
<a id="pl.107.4"></a><var>107.4</var>required of executive departments of the city or, if no budgets are required to be filed, by <br/>
<a id="pl.107.5"></a><var>107.5</var>August 1. The amount of the tax levy for the following year shall be based on that budget.<br/>
<br/>
<a id="bill.7.76.0"></a><a id="pl.107.6"></a><var>107.6</var>    Sec. 76. Minnesota Statutes 2012, section 469.034, subdivision 2, is amended to read:<br/>
<a id="pl.107.7"></a><var>107.7</var>    Subd. 2. <b>General obligation revenue bonds.</b> (a) An authority may pledge the <br/>
<a id="pl.107.8"></a><var>107.8</var>general obligation of the general jurisdiction governmental unit as additional security for <br/>
<a id="pl.107.9"></a><var>107.9</var>bonds payable from income or revenues of the project or the authority. The authority <br/>
<a id="pl.107.10"></a><var>107.10</var>must find that the pledged revenues will equal or exceed 110 percent of the principal and <br/>
<a id="pl.107.11"></a><var>107.11</var>interest due on the bonds for each year. The proceeds of the bonds must be used for a <br/>
<a id="pl.107.12"></a><var>107.12</var>qualified housing development project or projects. The obligations must be issued and <br/>
<a id="pl.107.13"></a><var>107.13</var>sold in the manner and following the procedures provided by chapter 475, except the <br/>
<a id="pl.107.14"></a><var>107.14</var>obligations are not subject to approval by the electors, and the maturities may extend to <br/>
<a id="pl.107.15"></a><var>107.15</var>not more than 35 years for obligations sold to finance housing for the elderly and 40 years <br/>
<a id="pl.107.16"></a><var>107.16</var>for other obligations issued under this subdivision. The authority is the municipality for <br/>
<a id="pl.107.17"></a><var>107.17</var>purposes of chapter 475.<br/>
<a id="pl.107.18"></a><var>107.18</var>    (b) The principal amount of the issue must be approved by the governing body of <br/>
<a id="pl.107.19"></a><var>107.19</var>the general jurisdiction governmental unit whose general obligation is pledged. Public <br/>
<a id="pl.107.20"></a><var>107.20</var>hearings must be held on issuance of the obligations by both the authority and the general <br/>
<a id="pl.107.21"></a><var>107.21</var>jurisdiction governmental unit. The hearings must be held at least 15 days, but not more <br/>
<a id="pl.107.22"></a><var>107.22</var>than 120 days, before the sale of the obligations.<br/>
<a id="pl.107.23"></a><var>107.23</var>    (c) The maximum amount of general obligation bonds that may be issued and <br/>
<a id="pl.107.24"></a><var>107.24</var>outstanding under this section equals the greater of (1) one-half of one percent of the <br/>
<a id="pl.107.25"></a><var>107.25</var>taxable estimated market value of the general jurisdiction governmental unit whose <br/>
<a id="pl.107.26"></a><var>107.26</var>general obligation is pledged, or (2) $3,000,000. In the case of county or multicounty <br/>
<a id="pl.107.27"></a><var>107.27</var>general obligation bonds, the outstanding general obligation bonds of all cities in the <br/>
<a id="pl.107.28"></a><var>107.28</var>county or counties issued under this subdivision must be added in calculating the limit <br/>
<a id="pl.107.29"></a><var>107.29</var>under clause (1).<br/>
<a id="pl.107.30"></a><var>107.30</var>    (d) "General jurisdiction governmental unit" means the city in which the housing <br/>
<a id="pl.107.31"></a><var>107.31</var>development project is located. In the case of a county or multicounty authority, the <br/>
<a id="pl.107.32"></a><var>107.32</var>county or counties may act as the general jurisdiction governmental unit. In the case of <br/>
<a id="pl.107.33"></a><var>107.33</var>a multicounty authority, the pledge of the general obligation is a pledge of a tax on the <br/>
<a id="pl.107.34"></a><var>107.34</var>taxable property in each of the counties.<br/>
<a id="pl.108.1"></a><var>108.1</var>    (e) "Qualified housing development project" means a housing development project <br/>
<a id="pl.108.2"></a><var>108.2</var>providing housing either for the elderly or for individuals and families with incomes not <br/>
<a id="pl.108.3"></a><var>108.3</var>greater than 80 percent of the median family income as estimated by the United States <br/>
<a id="pl.108.4"></a><var>108.4</var>Department of Housing and Urban Development for the standard metropolitan statistical <br/>
<a id="pl.108.5"></a><var>108.5</var>area or the nonmetropolitan county in which the project is located. The project must be <br/>
<a id="pl.108.6"></a><var>108.6</var>owned for the term of the bonds either by the authority or by a limited partnership or other <br/>
<a id="pl.108.7"></a><var>108.7</var>entity in which the authority or another entity under the sole control of the authority is <br/>
<a id="pl.108.8"></a><var>108.8</var>the sole general partner and the partnership or other entity must receive (1) an allocation <br/>
<a id="pl.108.9"></a><var>108.9</var>from the Department of Management and Budget or an entitlement issuer of tax-exempt <br/>
<a id="pl.108.10"></a><var>108.10</var>bonding authority for the project and a preliminary determination by the Minnesota <br/>
<a id="pl.108.11"></a><var>108.11</var>Housing Finance Agency or the applicable suballocator of tax credits that the project <br/>
<a id="pl.108.12"></a><var>108.12</var>will qualify for four percent low-income housing tax credits or (2) a reservation of nine <br/>
<a id="pl.108.13"></a><var>108.13</var>percent low-income housing tax credits from the Minnesota Housing Finance Agency or a <br/>
<a id="pl.108.14"></a><var>108.14</var>suballocator of tax credits for the project. A qualified housing development project may <br/>
<a id="pl.108.15"></a><var>108.15</var>admit nonelderly individuals and families with higher incomes if:<br/>
<a id="pl.108.16"></a><var>108.16</var>    (1) three years have passed since initial occupancy;<br/>
<a id="pl.108.17"></a><var>108.17</var>    (2) the authority finds the project is experiencing unanticipated vacancies resulting in <br/>
<a id="pl.108.18"></a><var>108.18</var>insufficient revenues, because of changes in population or other unforeseen circumstances <br/>
<a id="pl.108.19"></a><var>108.19</var>that occurred after the initial finding of adequate revenues; and<br/>
<a id="pl.108.20"></a><var>108.20</var>    (3) the authority finds a tax levy or payment from general assets of the general <br/>
<a id="pl.108.21"></a><var>108.21</var>jurisdiction governmental unit will be necessary to pay debt service on the bonds if higher <br/>
<a id="pl.108.22"></a><var>108.22</var>income individuals or families are not admitted.<br/>
<a id="pl.108.23"></a><var>108.23</var>    (f) The authority may issue bonds to refund bonds issued under this subdivision in <br/>
<a id="pl.108.24"></a><var>108.24</var>accordance with section 
         <statute_ref>475.67</statute_ref>. The finding of the adequacy of pledged revenues required <br/>
<a id="pl.108.25"></a><var>108.25</var>by paragraph (a) and the public hearing required by paragraph (b) shall not apply to the <br/>
<a id="pl.108.26"></a><var>108.26</var>issuance of refunding bonds. This paragraph applies to refunding bonds issued on and <br/>
<a id="pl.108.27"></a><var>108.27</var>after July 1, 1992.<br/>
<br/>
<a id="bill.7.77.0"></a><a id="pl.108.28"></a><var>108.28</var>    Sec. 77. Minnesota Statutes 2012, section 469.053, subdivision 4, is amended to read:<br/>
<a id="pl.108.29"></a><var>108.29</var>    Subd. 4. <b>Mandatory city levy.</b> A city shall, at the request of the port authority, levy <br/>
<a id="pl.108.30"></a><var>108.30</var>a tax in any year for the benefit of the port authority. The tax must not exceed 0.01813 <br/>
<a id="pl.108.31"></a><var>108.31</var>percent of taxable estimated market value. The amount levied must be paid by the city <br/>
<a id="pl.108.32"></a><var>108.32</var>treasurer to the treasurer of the port authority, to be spent by the authority.<br/>
<br/>
<a id="bill.7.78.0"></a><a id="pl.108.33"></a><var>108.33</var>    Sec. 78. Minnesota Statutes 2012, section 469.053, subdivision 4a, is amended to read:<br/>
<a id="pl.109.1"></a><var>109.1</var>    Subd. 4a. <b>Seaway port authority levy.</b> A levy made under this subdivision shall <br/>
<a id="pl.109.2"></a><var>109.2</var>replace the mandatory city levy under subdivision 4. A seaway port authority is a special <br/>
<a id="pl.109.3"></a><var>109.3</var>taxing district under section 
         <statute_ref>275.066</statute_ref> and may levy a tax in any year for the benefit of the <br/>
<a id="pl.109.4"></a><var>109.4</var>seaway port authority. The tax must not exceed 0.01813 percent of taxable estimated<br/>
<a id="pl.109.5"></a><var>109.5</var> market value. The county auditor shall distribute the proceeds of the property tax levy to <br/>
<a id="pl.109.6"></a><var>109.6</var>the seaway port authority.<br/>
<br/>
<a id="bill.7.79.0"></a><a id="pl.109.7"></a><var>109.7</var>    Sec. 79. Minnesota Statutes 2012, section 469.053, subdivision 6, is amended to read:<br/>
<a id="pl.109.8"></a><var>109.8</var>    Subd. 6. <b>Discretionary city levy.</b> Upon request of a port authority, the port <br/>
<a id="pl.109.9"></a><var>109.9</var>authority's city may levy a tax to be spent by and for its port authority. The tax must <br/>
<a id="pl.109.10"></a><var>109.10</var>enable the port authority to carry out efficiently and in the public interest sections 
         <statute_ref>469.048</statute_ref> <br/>
<a id="pl.109.11"></a><var>109.11</var>to 
         <statute_ref>469.068</statute_ref> to create and develop industrial development districts. The levy must not be <br/>
<a id="pl.109.12"></a><var>109.12</var>more than 0.00282 percent of taxable estimated market value. The county treasurer shall <br/>
<a id="pl.109.13"></a><var>109.13</var>pay the proceeds of the tax to the port authority treasurer. The money may be spent by <br/>
<a id="pl.109.14"></a><var>109.14</var>the authority in performance of its duties to create and develop industrial development <br/>
<a id="pl.109.15"></a><var>109.15</var>districts. In spending the money the authority must judge what best serves the public <br/>
<a id="pl.109.16"></a><var>109.16</var>interest. The levy in this subdivision is in addition to the levy in subdivision 4.<br/>
<br/>
<a id="bill.7.80.0"></a><a id="pl.109.17"></a><var>109.17</var>    Sec. 80. Minnesota Statutes 2012, section 469.107, subdivision 1, is amended to read:<br/>
<a id="pl.109.18"></a><var>109.18</var>    Subdivision 1. <b>City tax levy.</b> A city may, at the request of the authority, levy a tax in <br/>
<a id="pl.109.19"></a><var>109.19</var>any year for the benefit of the authority. The tax must be not more than 0.01813 percent of <br/>
<a id="pl.109.20"></a><var>109.20</var>taxable estimated market value. The amount levied must be paid by the city treasurer to <br/>
<a id="pl.109.21"></a><var>109.21</var>the treasurer of the authority, to be spent by the authority.<br/>
<br/>
<a id="bill.7.81.0"></a><a id="pl.109.22"></a><var>109.22</var>    Sec. 81. Minnesota Statutes 2012, section 469.180, subdivision 2, is amended to read:<br/>
<a id="pl.109.23"></a><var>109.23</var>    Subd. 2. <b>Tax levies.</b> Notwithstanding any law, the county board of any county may <br/>
<a id="pl.109.24"></a><var>109.24</var>appropriate from the general revenue fund a sum not to exceed a county levy of 0.00080 <br/>
<a id="pl.109.25"></a><var>109.25</var>percent of taxable estimated market value to carry out the purposes of this section.<br/>
<br/>
<a id="bill.7.82.0"></a><a id="pl.109.26"></a><var>109.26</var>    Sec. 82. Minnesota Statutes 2012, section 469.187, is amended to read:<br/>
<a id="pl.109.27"></a><var>109.27</var><b>469.187 FIRST CLASS CITY SPENDING FOR PUBLICITY; PUBLICITY </b><br/>
<a id="pl.109.28"></a><var>109.28</var><b>BOARD.</b><br/>
<a id="pl.109.29"></a><var>109.29</var>    Any city of the first class may expend money for city publicity purposes. The city may <br/>
<a id="pl.109.30"></a><var>109.30</var>levy a tax, not exceeding 0.00080 percent of taxable estimated market value. The proceeds <br/>
<a id="pl.109.31"></a><var>109.31</var>of the levy shall be expended in the manner and for the city publicity purposes the council <br/>
<a id="pl.110.1"></a><var>110.1</var>directs. The council may establish and provide for a publicity board or bureau to administer <br/>
<a id="pl.110.2"></a><var>110.2</var>the fund, subject to the conditions and limitations the council prescribes by ordinance.<br/>
<br/>
<a id="bill.7.83.0"></a><a id="pl.110.3"></a><var>110.3</var>    Sec. 83. Minnesota Statutes 2012, section 469.206, is amended to read:<br/>
<a id="pl.110.4"></a><var>110.4</var><b>469.206 HAZARDOUS PROPERTY PENALTY.</b><br/>
<a id="pl.110.5"></a><var>110.5</var>    A city may assess a penalty up to one percent of the estimated market value of <br/>
<a id="pl.110.6"></a><var>110.6</var>real property, including any building located within the city that the city determines to <br/>
<a id="pl.110.7"></a><var>110.7</var>be hazardous as defined in section 
         <statute_ref>463.15, subdivision 3</statute_ref>. The city shall send a written <br/>
<a id="pl.110.8"></a><var>110.8</var>notice to the address to which the property tax statement is sent at least 90 days before it <br/>
<a id="pl.110.9"></a><var>110.9</var>may assess the penalty. If the owner of the property has not paid the penalty or fixed the <br/>
<a id="pl.110.10"></a><var>110.10</var>property within 90 days after receiving notice of the penalty, the penalty is considered <br/>
<a id="pl.110.11"></a><var>110.11</var>delinquent and is increased by 25 percent each 60 days the penalty is not paid and the <br/>
<a id="pl.110.12"></a><var>110.12</var>property remains hazardous. For the purposes of this section, a penalty that is delinquent <br/>
<a id="pl.110.13"></a><var>110.13</var>is considered a delinquent property tax and subject to chapters 279, 280, and 281, in the <br/>
<a id="pl.110.14"></a><var>110.14</var>same manner as delinquent property taxes.<br/>
<br/>
<a id="bill.7.84.0"></a><a id="pl.110.15"></a><var>110.15</var>    Sec. 84. Minnesota Statutes 2012, section 471.24, is amended to read:<br/>
<a id="pl.110.16"></a><var>110.16</var><b>471.24 TOWNS, STATUTORY CITIES; JOINT MAINTENANCE OF </b><br/>
<a id="pl.110.17"></a><var>110.17</var><b>CEMETERY.</b><br/>
<a id="pl.110.18"></a><var>110.18</var>    Where a statutory city or town owns and maintains an established cemetery or burial <br/>
<a id="pl.110.19"></a><var>110.19</var>ground, either within or without the municipal limits, the statutory city or town may, by <br/>
<a id="pl.110.20"></a><var>110.20</var>mutual agreement with contiguous statutory cities and towns, each having a an estimated<br/>
<a id="pl.110.21"></a><var>110.21</var> market value of not less than $2,000,000, join together in the maintenance of such public <br/>
<a id="pl.110.22"></a><var>110.22</var>cemetery or burial ground for the use of the inhabitants of each of such municipalities; and <br/>
<a id="pl.110.23"></a><var>110.23</var>each such municipality is hereby authorized, by action of its council or governing body, <br/>
<a id="pl.110.24"></a><var>110.24</var>to levy a tax or make an appropriation for the annual support and maintenance of such <br/>
<a id="pl.110.25"></a><var>110.25</var>cemetery or burial ground; provided, the amount thus appropriated by each municipality <br/>
<a id="pl.110.26"></a><var>110.26</var>shall not exceed a total of $10,000 in any one year.<br/>
<br/>
<a id="bill.7.85.0"></a><a id="pl.110.27"></a><var>110.27</var>    Sec. 85. Minnesota Statutes 2012, section 471.571, subdivision 1, is amended to read:<br/>
<a id="pl.110.28"></a><var>110.28</var>    Subdivision 1. <b>Application.</b> This section applies to each city in which the net tax <br/>
<a id="pl.110.29"></a><var>110.29</var>capacity of real and personal property consists in part of iron ore or lands containing <br/>
<a id="pl.110.30"></a><var>110.30</var>taconite or semitaconite and in which the total taxable estimated market value of real <br/>
<a id="pl.110.31"></a><var>110.31</var>and personal property exceeds $2,500,000.<br/>
<br/>
<a id="bill.7.86.0"></a><a id="pl.110.32"></a><var>110.32</var>    Sec. 86. Minnesota Statutes 2012, section 471.571, subdivision 2, is amended to read:<br/>
<a id="pl.111.1"></a><var>111.1</var>    Subd. 2. <b>Creation of fund, tax levy.</b> The governing body of the city may create a <br/>
<a id="pl.111.2"></a><var>111.2</var>permanent improvement and replacement fund to be maintained by an annual tax levy. <br/>
<a id="pl.111.3"></a><var>111.3</var>The governing body may levy a tax in excess of any charter limitation for the support of <br/>
<a id="pl.111.4"></a><var>111.4</var>the permanent improvement and replacement fund, but not exceeding the following:<br/>
<a id="pl.111.5"></a><var>111.5</var>    (a) in cities having a population of not more than 500 inhabitants, the lesser of $20 <br/>
<a id="pl.111.6"></a><var>111.6</var>per capita or 0.08059 percent of taxable estimated market value;<br/>
<a id="pl.111.7"></a><var>111.7</var>    (b) in cities having a population of more than 500 and less than 2500 2,500, the <br/>
<a id="pl.111.8"></a><var>111.8</var>greater of $12.50 per capita or $10,000 but not exceeding 0.08059 percent of taxable<br/>
<a id="pl.111.9"></a><var>111.9</var> estimated market value;<br/>
<a id="pl.111.10"></a><var>111.10</var>    (c) in cities having a population of more than 2500 2,500 or more inhabitants, <br/>
<a id="pl.111.11"></a><var>111.11</var>the greater of $10 per capita or $31,500 but not exceeding 0.08059 percent of taxable<br/>
<a id="pl.111.12"></a><var>111.12</var> estimated market value.<br/>
<br/>
<a id="bill.7.87.0"></a><a id="pl.111.13"></a><var>111.13</var>    Sec. 87. Minnesota Statutes 2012, section 471.73, is amended to read:<br/>
<a id="pl.111.14"></a><var>111.14</var><b>471.73 ACCEPTANCE OF PROVISIONS.</b><br/>
<a id="pl.111.15"></a><var>111.15</var>    In the case of any city within the class specified in section
<statute_ref>471.72</statute_ref> having a an <br/>
<a id="pl.111.16"></a><var>111.16</var>estimated market value, as defined in section 
<statute_ref>471.72</statute_ref>, in excess of $37,000,000; and in the <br/>
<a id="pl.111.17"></a><var>111.17</var>case of any statutory city within such class having a an estimated market value, as defined <br/>
<a id="pl.111.18"></a><var>111.18</var>in section 
<statute_ref>471.72</statute_ref>, of less than $5,000,000; and in the case of any statutory city within such <br/>
<a id="pl.111.19"></a><var>111.19</var>class which is governed by Laws 1933, chapter 211, or Laws 1937, chapter 356; and in <br/>
<a id="pl.111.20"></a><var>111.20</var>the case of any statutory city within such class which is governed by Laws 1929, chapter <br/>
<a id="pl.111.21"></a><var>111.21</var>208, and has a an estimated market value of less than $83,000,000; and in the case of <br/>
<a id="pl.111.22"></a><var>111.22</var>any school district within such class having a an estimated market value, as defined in <br/>
<a id="pl.111.23"></a><var>111.23</var>section 
<statute_ref>471.72</statute_ref>, of more than $54,000,000; and in the case of all towns within said class; <br/>
<a id="pl.111.24"></a><var>111.24</var>sections 
         <statute_ref>471.71</statute_ref> to 
         <statute_ref>471.83</statute_ref> apply only if the governing body of the city or statutory city, the <br/>
<a id="pl.111.25"></a><var>111.25</var>board of the school district, or the town board of the town shall have adopted a resolution <br/>
<a id="pl.111.26"></a><var>111.26</var>determining to issue bonds under the provisions of sections 
         <statute_ref>471.71</statute_ref> to 
         <statute_ref>471.83</statute_ref> or to go <br/>
<a id="pl.111.27"></a><var>111.27</var>upon a cash basis in accordance with the provisions thereof.<br/>
<br/>
<a id="bill.7.88.0"></a><a id="pl.111.28"></a><var>111.28</var>    Sec. 88. Minnesota Statutes 2012, section 473.325, subdivision 2, is amended to read:<br/>
<a id="pl.111.29"></a><var>111.29</var>    Subd. 2. <b>Chapter 475 applies; exceptions.</b> The Metropolitan Council shall sell and <br/>
<a id="pl.111.30"></a><var>111.30</var>issue the bonds in the manner provided in chapter 475, and shall have the same powers <br/>
<a id="pl.111.31"></a><var>111.31</var>and duties as a municipality issuing bonds under that law, except that the approval of a <br/>
<a id="pl.111.32"></a><var>111.32</var>majority of the electors shall not be required and the net debt limitations shall not apply. <br/>
<a id="pl.111.33"></a><var>111.33</var>The terms of each series of bonds shall be fixed so that the amount of principal and interest <br/>
<a id="pl.111.34"></a><var>111.34</var>on all outstanding and undischarged bonds, together with the bonds proposed to be issued, <br/>
<a id="pl.112.1"></a><var>112.1</var>due in any year shall not exceed 0.01209 percent of estimated market value of all taxable <br/>
<a id="pl.112.2"></a><var>112.2</var>property in the metropolitan area as last finally equalized prior to a proposed issue. The <br/>
<a id="pl.112.3"></a><var>112.3</var>bonds shall be secured in accordance with section 
         <statute_ref>475.61, subdivision 1</statute_ref>, and any taxes <br/>
<a id="pl.112.4"></a><var>112.4</var>required for their payment shall be levied by the council, shall not affect the amount or rate <br/>
<a id="pl.112.5"></a><var>112.5</var>of taxes which may be levied by the council for other purposes, shall be spread against all <br/>
<a id="pl.112.6"></a><var>112.6</var>taxable property in the metropolitan area and shall not be subject to limitation as to rate or <br/>
<a id="pl.112.7"></a><var>112.7</var>amount. Any taxes certified by the council to the county auditors for collection shall be <br/>
<a id="pl.112.8"></a><var>112.8</var>reduced by the amount received by the council from the commissioner of management and <br/>
<a id="pl.112.9"></a><var>112.9</var>budget or the federal government for the purpose of paying the principal and interest on <br/>
<a id="pl.112.10"></a><var>112.10</var>bonds to which the levy relates. The council shall certify the fact and amount of all money <br/>
<a id="pl.112.11"></a><var>112.11</var>so received to the county auditors, and the auditors shall reduce the levies previously made <br/>
<a id="pl.112.12"></a><var>112.12</var>for the bonds in the manner and to the extent provided in section 
         <statute_ref>475.61, subdivision 3</statute_ref>.<br/>
<br/>
<a id="bill.7.89.0"></a><a id="pl.112.13"></a><var>112.13</var>    Sec. 89. Minnesota Statutes 2012, section 473.629, is amended to read:<br/>
<a id="pl.112.14"></a><var>112.14</var><b>473.629 VALUE OF PROPERTY FOR BOND ISSUES BY SCHOOL </b><br/>
<a id="pl.112.15"></a><var>112.15</var><b>DISTRICTS.</b><br/>
<a id="pl.112.16"></a><var>112.16</var>    As to any lands to be detached from any school district under the provisions hereof<br/>
<a id="pl.112.17"></a><var>112.17</var> section 473.625, notwithstanding such prospective the detachment, the estimated market <br/>
<a id="pl.112.18"></a><var>112.18</var>value of such the detached lands and the net tax capacity of taxable properties now located <br/>
<a id="pl.112.19"></a><var>112.19</var>therein or thereon shall be and on the lands on the date of the detachment constitute <br/>
<a id="pl.112.20"></a><var>112.20</var>from and after the date of the enactment hereof a part of the estimated market value of <br/>
<a id="pl.112.21"></a><var>112.21</var>properties upon the basis of which such used to calculate the net debt limit of the school <br/>
<a id="pl.112.22"></a><var>112.22</var>district may issue its bonds,. The value of such the lands for such purpose to be and other <br/>
<a id="pl.112.23"></a><var>112.23</var>taxable properties for purposes of the school district's net debt limit are 33-1/3 percent of <br/>
<a id="pl.112.24"></a><var>112.24</var>the estimated market value thereof as determined and certified by said the assessor to said<br/>
<a id="pl.112.25"></a><var>112.25</var> the school district, and it shall be the duty of such the assessor annually on or before the <br/>
<a id="pl.112.26"></a><var>112.26</var>tenth day of October from and after the passage hereof, to so of each year, shall determine <br/>
<a id="pl.112.27"></a><var>112.27</var>and certify that value; provided, however, that the value of such the detached lands and <br/>
<a id="pl.112.28"></a><var>112.28</var>such taxable properties shall never exceed 20 percent of the estimated market value of <br/>
<a id="pl.112.29"></a><var>112.29</var>all properties constituting and making up the basis aforesaid used to calculate the net <br/>
<a id="pl.112.30"></a><var>112.30</var>debt limit of the school district.<br/>
<br/>
<a id="bill.7.90.0"></a><a id="pl.112.31"></a><var>112.31</var>    Sec. 90. Minnesota Statutes 2012, section 473.661, subdivision 3, is amended to read:<br/>
<a id="pl.112.32"></a><var>112.32</var>    Subd. 3. <b>Levy limit.</b> In any budget certified by the commissioners under this section, <br/>
<a id="pl.112.33"></a><var>112.33</var>the amount included for operation and maintenance shall not exceed an amount which, <br/>
<a id="pl.112.34"></a><var>112.34</var>when extended against the property taxable therefor under section 
         <statute_ref>473.621, subdivision 5</statute_ref>, <br/>
<a id="pl.113.1"></a><var>113.1</var>will require a levy at a rate of 0.00806 percent of estimated market value. Taxes levied by <br/>
<a id="pl.113.2"></a><var>113.2</var>the corporation shall not affect the amount or rate of taxes which may be levied by any other <br/>
<a id="pl.113.3"></a><var>113.3</var>local government unit within the metropolitan area under the provisions of any charter.<br/>
<br/>
<a id="bill.7.91.0"></a><a id="pl.113.4"></a><var>113.4</var>    Sec. 91. Minnesota Statutes 2012, section 473.667, subdivision 9, is amended to read:<br/>
<a id="pl.113.5"></a><var>113.5</var>    Subd. 9. <b>Additional taxes.</b> Nothing herein shall prevent the commission from <br/>
<a id="pl.113.6"></a><var>113.6</var>levying a tax not to exceed 0.00121 percent of estimated market value on taxable property <br/>
<a id="pl.113.7"></a><var>113.7</var>within its taxing jurisdiction, in addition to any levies found necessary for the debt <br/>
<a id="pl.113.8"></a><var>113.8</var>service fund authorized by section 
         <statute_ref>473.671</statute_ref>. Nothing herein shall prevent the levy and <br/>
<a id="pl.113.9"></a><var>113.9</var>appropriation for purposes of the commission of any other tax on property or on any <br/>
<a id="pl.113.10"></a><var>113.10</var>income, transaction, or privilege, when and if authorized by law. All collections of any <br/>
<a id="pl.113.11"></a><var>113.11</var>taxes so levied shall be included in the revenues appropriated for the purposes referred <br/>
<a id="pl.113.12"></a><var>113.12</var>to in this section, unless otherwise provided in the law authorizing the levies; but no <br/>
<a id="pl.113.13"></a><var>113.13</var>covenant as to the continuance or as to the rate and amount of any such levy shall be made <br/>
<a id="pl.113.14"></a><var>113.14</var>with the holders of the commission's bonds unless specifically authorized by law.<br/>
<br/>
<a id="bill.7.92.0"></a><a id="pl.113.15"></a><var>113.15</var>    Sec. 92. Minnesota Statutes 2012, section 473.671, is amended to read:<br/>
<a id="pl.113.16"></a><var>113.16</var><b>473.671 LIMIT OF TAX LEVY.</b><br/>
<a id="pl.113.17"></a><var>113.17</var>    The taxes levied against the property of the metropolitan area in any one year shall <br/>
<a id="pl.113.18"></a><var>113.18</var>not exceed 0.00806 percent of taxable estimated market value, exclusive of taxes levied <br/>
<a id="pl.113.19"></a><var>113.19</var>to pay the principal or interest on any bonds or indebtedness of the city issued under <br/>
<a id="pl.113.20"></a><var>113.20</var>Laws 1943, chapter 500, and exclusive of any taxes levied to pay the share of the city for <br/>
<a id="pl.113.21"></a><var>113.21</var>payments on bonded indebtedness of the corporation provided for in Laws 1943, chapter <br/>
<a id="pl.113.22"></a><var>113.22</var>500. The levy of taxes authorized in Laws 1943, chapter 500, shall be in addition to the <br/>
<a id="pl.113.23"></a><var>113.23</var>maximum rate allowed to be levied to defray the cost of government under the provisions <br/>
<a id="pl.113.24"></a><var>113.24</var>of the charter of any city affected by Laws 1943, chapter 500.<br/>
<br/>
<a id="bill.7.93.0"></a><a id="pl.113.25"></a><var>113.25</var>    Sec. 93. Minnesota Statutes 2012, section 473.711, subdivision 2a, is amended to read:<br/>
<a id="pl.113.26"></a><var>113.26</var>    Subd. 2a. <b>Tax levy.</b> (a) The commission may levy a tax on all taxable property in the <br/>
<a id="pl.113.27"></a><var>113.27</var>district as defined in section 
         <statute_ref>473.702</statute_ref> to provide funds for the purposes of sections 
         <statute_ref>473.701</statute_ref> <br/>
<a id="pl.113.28"></a><var>113.28</var>to 
         <statute_ref>473.716</statute_ref>. The tax shall not exceed the property tax levy limitation determined in this <br/>
<a id="pl.113.29"></a><var>113.29</var>subdivision. A participating county may agree to levy an additional tax to be used by the <br/>
<a id="pl.113.30"></a><var>113.30</var>commission for the purposes of sections 
         <statute_ref>473.701</statute_ref> to 
         <statute_ref>473.716</statute_ref> but the sum of the county's and <br/>
<a id="pl.113.31"></a><var>113.31</var>commission's taxes may not exceed the county's proportionate share of the property tax levy <br/>
<a id="pl.113.32"></a><var>113.32</var>limitation determined under this subdivision based on the ratio of its total net tax capacity <br/>
<a id="pl.113.33"></a><var>113.33</var>to the total net tax capacity of the entire district as adjusted by section 
         <statute_ref>270.12, subdivision <br/>
<a id="pl.114.1"></a><var>114.1</var>3
         </statute_ref>. The auditor of each county in the district shall add the amount of the levy made by the <br/>
<a id="pl.114.2"></a><var>114.2</var>district to other taxes of the county for collection by the county treasurer with other taxes. <br/>
<a id="pl.114.3"></a><var>114.3</var>When collected, the county treasurer shall make settlement of the tax with the district in <br/>
<a id="pl.114.4"></a><var>114.4</var>the same manner as other taxes are distributed to political subdivisions. No county shall <br/>
<a id="pl.114.5"></a><var>114.5</var>levy any tax for mosquito, disease vectoring tick, and black gnat (Simuliidae) control <br/>
<a id="pl.114.6"></a><var>114.6</var>except under this section. The levy shall be in addition to other taxes authorized by law.<br/>
<a id="pl.114.7"></a><var>114.7</var>    (b) The property tax levied by the Metropolitan Mosquito Control Commission shall <br/>
<a id="pl.114.8"></a><var>114.8</var>not exceed the product of (i) the commission's property tax levy limitation for the previous <br/>
<a id="pl.114.9"></a><var>114.9</var>year determined under this subdivision multiplied by (ii) an index for market valuation <br/>
<a id="pl.114.10"></a><var>114.10</var>changes equal to the total estimated market valuation value of all taxable property for the <br/>
<a id="pl.114.11"></a><var>114.11</var>current tax payable year located within the district plus any area that has been added to the <br/>
<a id="pl.114.12"></a><var>114.12</var>district since the previous year, divided by the total estimated market valuation value of all <br/>
<a id="pl.114.13"></a><var>114.13</var>taxable property located within the district for the previous taxes payable year.<br/>
<a id="pl.114.14"></a><var>114.14</var>    (c) For the purpose of determining the commission's property tax levy limitation <br/>
<a id="pl.114.15"></a><var>114.15</var>under this subdivision, "total market valuation" means the total market valuation of all <br/>
<a id="pl.114.16"></a><var>114.16</var>taxable property within the district without valuation adjustments for fiscal disparities <br/>
<a id="pl.114.17"></a><var>114.17</var>(chapter 473F), tax increment financing (sections 
<statute_ref>469.174</statute_ref> to 469.179), and high voltage <br/>
<a id="pl.114.18"></a><var>114.18</var>transmission lines (section 273.425).<br/>
<br/>
<a id="bill.7.94.0"></a><a id="pl.114.19"></a><var>114.19</var>    Sec. 94. Minnesota Statutes 2012, section 473F.02, subdivision 12, is amended to read:<br/>
<a id="pl.114.20"></a><var>114.20</var>    Subd. 12. <b>Adjusted </b><b>market value.</b> "Adjusted market value" of real and personal <br/>
<a id="pl.114.21"></a><var>114.21</var>property within a municipality means the assessor's estimated taxable market value, <br/>
<a id="pl.114.22"></a><var>114.22</var>as defined in section 272.03, of all real and personal property, including the value of <br/>
<a id="pl.114.23"></a><var>114.23</var>manufactured housing, within the municipality, adjusted for sales ratios in a manner <br/>
<a id="pl.114.24"></a><var>114.24</var>similar to the adjustments made to city and town net tax capacities. For purposes <br/>
<a id="pl.114.25"></a><var>114.25</var>of sections 
<statute_ref>473F.01</statute_ref> to 
<statute_ref>473F.13</statute_ref>, the commissioner of revenue shall annually make <br/>
<a id="pl.114.26"></a><var>114.26</var>determinations and reports with respect to each municipality which are comparable to <br/>
<a id="pl.114.27"></a><var>114.27</var>those it makes for school districts under section 
         <statute_ref>127A.48, subdivisions 1 to 6</statute_ref>, in the same <br/>
<a id="pl.114.28"></a><var>114.28</var>manner and at the same times as are prescribed by the subdivisions. The commissioner <br/>
<a id="pl.114.29"></a><var>114.29</var>of revenue shall annually determine, for each municipality, information comparable to <br/>
<a id="pl.114.30"></a><var>114.30</var>that required by section 
<statute_ref>475.53, subdivision 4</statute_ref>, for school districts, as soon as practicable <br/>
<a id="pl.114.31"></a><var>114.31</var>after it becomes available. The commissioner of revenue shall then compute the equalized <br/>
<a id="pl.114.32"></a><var>114.32</var>market value of property within each municipality using the aggregate sales ratios from <br/>
<a id="pl.114.33"></a><var>114.33</var>the Department of Revenue's sales ratio study.<br/>
<br/>
<a id="bill.7.95.0"></a><a id="pl.114.34"></a><var>114.34</var>    Sec. 95. Minnesota Statutes 2012, section 473F.02, subdivision 14, is amended to read:<br/>
<a id="pl.115.1"></a><var>115.1</var>    Subd. 14. <b>Fiscal capacity.</b> "Fiscal capacity" of a municipality means its valuation<br/>
<a id="pl.115.2"></a><var>115.2</var> adjusted market value, determined as of January 2 of any year, divided by its population, <br/>
<a id="pl.115.3"></a><var>115.3</var>determined as of a date in the same year.<br/>
<br/>
<a id="bill.7.96.0"></a><a id="pl.115.4"></a><var>115.4</var>    Sec. 96. Minnesota Statutes 2012, section 473F.02, subdivision 15, is amended to read:<br/>
<a id="pl.115.5"></a><var>115.5</var>    Subd. 15. <b>Average fiscal capacity.</b> "Average fiscal capacity" of municipalities <br/>
<a id="pl.115.6"></a><var>115.6</var>means the sum of the valuations adjusted market values of all municipalities, determined <br/>
<a id="pl.115.7"></a><var>115.7</var>as of January 2 of any year, divided by the sum of their populations, determined as of <br/>
<a id="pl.115.8"></a><var>115.8</var>a date in the same year.<br/>
<br/>
<a id="bill.7.97.0"></a><a id="pl.115.9"></a><var>115.9</var>    Sec. 97. Minnesota Statutes 2012, section 473F.02, subdivision 23, is amended to read:<br/>
<a id="pl.115.10"></a><var>115.10</var>    Subd. 23. <b>Net tax capacity.</b> "Net tax capacity" means the taxable market value of <br/>
<a id="pl.115.11"></a><var>115.11</var>real and personal property multiplied by its net tax capacity rates in section 
         <statute_ref>273.13</statute_ref>.<br/>
<br/>
<a id="bill.7.98.0"></a><a id="pl.115.12"></a><var>115.12</var>    Sec. 98. Minnesota Statutes 2012, section 473F.08, subdivision 10, is amended to read:<br/>
<a id="pl.115.13"></a><var>115.13</var>    Subd. 10. <b>Adjustment of value </b><b>or net tax capacity</b><b>.</b> For the purpose of computing <br/>
<a id="pl.115.14"></a><var>115.14</var>the amount or rate of any salary, aid, tax, or debt authorized, required, or limited by any <br/>
<a id="pl.115.15"></a><var>115.15</var>provision of any law or charter, where such authorization, requirement, or limitation <br/>
<a id="pl.115.16"></a><var>115.16</var>is related in any manner to any value or valuation of taxable property within any <br/>
<a id="pl.115.17"></a><var>115.17</var>governmental unit, such value or net tax capacity fiscal capacity under section 473F.02, <br/>
<a id="pl.115.18"></a><var>115.18</var>subdivision 14, a municipality's taxable market value shall be adjusted to reflect the <br/>
<a id="pl.115.19"></a><var>115.19</var>adjustments reductions to net tax capacity effected by subdivision 2, clause (a), provided <br/>
<a id="pl.115.20"></a><var>115.20</var>that: (1) in determining the taxable market value of commercial-industrial property <br/>
<a id="pl.115.21"></a><var>115.21</var>or any class thereof within a governmental unit for any purpose other than section <br/>
<a id="pl.115.22"></a><var>115.22</var><statute_ref>473F.07</statute_ref> municipality, (a) the reduction required by this subdivision shall be that amount <br/>
<a id="pl.115.23"></a><var>115.23</var>which bears the same proportion to the amount subtracted from the governmental unit's<br/>
<a id="pl.115.24"></a><var>115.24</var> municipality's net tax capacity pursuant to subdivision 2, clause (a), as the taxable <br/>
<a id="pl.115.25"></a><var>115.25</var>market value of commercial-industrial property, or such class thereof, located within the <br/>
<a id="pl.115.26"></a><var>115.26</var>governmental unit municipality bears to the net tax capacity of commercial-industrial <br/>
<a id="pl.115.27"></a><var>115.27</var>property, or such class thereof, located within the governmental unit, and (b) the increase <br/>
<a id="pl.115.28"></a><var>115.28</var>required by this subdivision shall be that amount which bears the same proportion to <br/>
<a id="pl.115.29"></a><var>115.29</var>the amount added to the governmental unit's net tax capacity pursuant to subdivision 2, <br/>
<a id="pl.115.30"></a><var>115.30</var>clause (b), as the market value of commercial-industrial property, or such class thereof, <br/>
<a id="pl.115.31"></a><var>115.31</var>located within the governmental unit bears to the net tax capacity of commercial-industrial <br/>
<a id="pl.115.32"></a><var>115.32</var>property, or such class thereof, located within the governmental unit; and (2) in determining <br/>
<a id="pl.115.33"></a><var>115.33</var>the market value of real property within a municipality for purposes of section 
<statute_ref>473F.07</statute_ref>, <br/>
<a id="pl.116.1"></a><var>116.1</var>the adjustment prescribed by clause (1)(a) hereof shall be made and that prescribed by <br/>
<a id="pl.116.2"></a><var>116.2</var>clause (1)(b) hereof shall not be made municipality. No adjustment shall be made to <br/>
<a id="pl.116.3"></a><var>116.3</var>taxable market value for the increase in net tax capacity under subdivision 2, clause (b).<br/>
<br/>
<a id="bill.7.99.0"></a><a id="pl.116.4"></a><var>116.4</var>    Sec. 99. Minnesota Statutes 2012, section 475.521, subdivision 4, is amended to read:<br/>
<a id="pl.116.5"></a><var>116.5</var>    Subd. 4. <b>Limitations on amount.</b> A municipality may not issue bonds under this <br/>
<a id="pl.116.6"></a><var>116.6</var>section if the maximum amount of principal and interest to become due in any year on <br/>
<a id="pl.116.7"></a><var>116.7</var>all the outstanding bonds issued under this section, including the bonds to be issued, <br/>
<a id="pl.116.8"></a><var>116.8</var>will equal or exceed 0.16 percent of the taxable estimated market value of property <br/>
<a id="pl.116.9"></a><var>116.9</var>in the municipality. Calculation of the limit must be made using the taxable estimated<br/>
<a id="pl.116.10"></a><var>116.10</var> market value for the taxes payable year in which the obligations are issued and sold. In <br/>
<a id="pl.116.11"></a><var>116.11</var>the case of a municipality with a population of 2,500 or more, the bonds are subject to <br/>
<a id="pl.116.12"></a><var>116.12</var>the net debt limits under section 
         <statute_ref>475.53</statute_ref>. In the case of a shared facility in which more <br/>
<a id="pl.116.13"></a><var>116.13</var>than one municipality participates, upon compliance by each participating municipality <br/>
<a id="pl.116.14"></a><var>116.14</var>with the requirements of subdivision 2, the limitations in this subdivision and the net debt <br/>
<a id="pl.116.15"></a><var>116.15</var>represented by the bonds shall be allocated to each participating municipality in proportion <br/>
<a id="pl.116.16"></a><var>116.16</var>to its required financial contribution to the financing of the shared facility, as set forth in <br/>
<a id="pl.116.17"></a><var>116.17</var>the joint powers agreement relating to the shared facility. This section does not limit the <br/>
<a id="pl.116.18"></a><var>116.18</var>authority to issue bonds under any other special or general law.<br/>
<br/>
<a id="bill.7.100.0"></a><a id="pl.116.19"></a><var>116.19</var>    Sec. 100. Minnesota Statutes 2012, section 475.53, subdivision 1, is amended to read:<br/>
<a id="pl.116.20"></a><var>116.20</var>    Subdivision 1. <b>Generally.</b> Except as otherwise provided in sections 
         <statute_ref>475.51</statute_ref> to <br/>
<statute_ref><a id="pl.116.21"></a><var>116.21</var>475.74
         </statute_ref>, no municipality, except a school district or a city of the first class, shall incur or be <br/>
<a id="pl.116.22"></a><var>116.22</var>subject to a net debt in excess of three percent of the estimated market value of taxable <br/>
<a id="pl.116.23"></a><var>116.23</var>property in the municipality.<br/>
<br/>
<a id="bill.7.101.0"></a><a id="pl.116.24"></a><var>116.24</var>    Sec. 101. Minnesota Statutes 2012, section 475.53, subdivision 3, is amended to read:<br/>
<a id="pl.116.25"></a><var>116.25</var>    Subd. 3. <b>Cities first class.</b> Unless its charter permits a greater net debt a city of <br/>
<a id="pl.116.26"></a><var>116.26</var>the first class may not incur a net debt in excess of two percent of the estimated market <br/>
<a id="pl.116.27"></a><var>116.27</var>value of all taxable property therein. If the charter of the city permits a net debt of the city <br/>
<a id="pl.116.28"></a><var>116.28</var>in excess of two percent of its valuation, it may not incur a net debt in excess of 3-2/3 <br/>
<a id="pl.116.29"></a><var>116.29</var>percent of the estimated market value of the taxable property therein.<br/>
<a id="pl.116.30"></a><var>116.30</var>    The county auditor, at the time of preparing the tax list of the city, shall compile a <br/>
<a id="pl.116.31"></a><var>116.31</var>statement setting forth the total net tax capacity and the total estimated market value of <br/>
<a id="pl.116.32"></a><var>116.32</var>each class of taxable property in such city for such year.<br/>
<br/>
<a id="bill.7.102.0"></a><a id="pl.117.1"></a><var>117.1</var>    Sec. 102. Minnesota Statutes 2012, section 475.53, subdivision 4, is amended to read:<br/>
<a id="pl.117.2"></a><var>117.2</var>    Subd. 4. <b>School districts.</b> Except as otherwise provided by law, no school district <br/>
<a id="pl.117.3"></a><var>117.3</var>shall be subject to a net debt in excess of 15 percent of the actual estimated market value of <br/>
<a id="pl.117.4"></a><var>117.4</var>all taxable property situated within its corporate limits, as computed in accordance with this <br/>
<a id="pl.117.5"></a><var>117.5</var>subdivision. The county auditor of each county containing taxable real or personal property <br/>
<a id="pl.117.6"></a><var>117.6</var>situated within any school district shall certify to the district upon request the estimated <br/>
<a id="pl.117.7"></a><var>117.7</var>market value of all such property. Whenever the commissioner of revenue, in accordance <br/>
<a id="pl.117.8"></a><var>117.8</var>with section 
         <statute_ref>127A.48, subdivisions 1 to 6</statute_ref>, has determined that the net tax capacity of any <br/>
<a id="pl.117.9"></a><var>117.9</var>district furnished by county auditors is not based upon the adjusted market value of taxable <br/>
<a id="pl.117.10"></a><var>117.10</var>property in the district exceeds the estimated market value of property within the district, <br/>
<a id="pl.117.11"></a><var>117.11</var>the commissioner of revenue shall certify to the district upon request the ratio most recently <br/>
<a id="pl.117.12"></a><var>117.12</var>ascertained to exist between such the estimated market value and the actual adjusted<br/>
<a id="pl.117.13"></a><var>117.13</var> market value of property within the district., and the actual market value of property <br/>
<a id="pl.117.14"></a><var>117.14</var>within a district, on which its debt limit under this subdivision is will be based, is (a) the <br/>
<a id="pl.117.15"></a><var>117.15</var>value certified by the county auditors, or (b) this on the estimated market value divided by <br/>
<a id="pl.117.16"></a><var>117.16</var>the ratio certified by the commissioner of revenue, whichever results in a higher value.<br/>
<br/>
<a id="bill.7.103.0"></a><a id="pl.117.17"></a><var>117.17</var>    Sec. 103. Minnesota Statutes 2012, section 475.58, subdivision 2, is amended to read:<br/>
<a id="pl.117.18"></a><var>117.18</var>    Subd. 2. <b>Funding, refunding.</b> Any county, city, town, or school district whose <br/>
<a id="pl.117.19"></a><var>117.19</var>outstanding gross debt, including all items referred to in section 
         <statute_ref>475.51, subdivision <br/>
<a id="pl.117.20"></a><var>117.20</var>4
         </statute_ref>, exceed in amount 1.62 percent of its estimated market value may issue bonds under <br/>
<a id="pl.117.21"></a><var>117.21</var>this subdivision for the purpose of funding or refunding such indebtedness or any part <br/>
<a id="pl.117.22"></a><var>117.22</var>thereof. A list of the items of indebtedness to be funded or refunded shall be made by the <br/>
<a id="pl.117.23"></a><var>117.23</var>recording officer and treasurer and filed in the office of the recording officer. The initial <br/>
<a id="pl.117.24"></a><var>117.24</var>resolution of the governing body shall refer to this subdivision as authority for the issue, <br/>
<a id="pl.117.25"></a><var>117.25</var>state the amount of bonds to be issued and refer to the list of indebtedness to be funded or <br/>
<a id="pl.117.26"></a><var>117.26</var>refunded. This resolution shall be published once each week for two successive weeks <br/>
<a id="pl.117.27"></a><var>117.27</var>in a legal newspaper published in the municipality or if there be no such newspaper, in <br/>
<a id="pl.117.28"></a><var>117.28</var>a legal newspaper published in the county seat. Such bonds may be issued without the <br/>
<a id="pl.117.29"></a><var>117.29</var>submission of the question of their issue to the electors unless within ten days after the <br/>
<a id="pl.117.30"></a><var>117.30</var>second publication of the resolution a petition requesting such election signed by ten or <br/>
<a id="pl.117.31"></a><var>117.31</var>more voters who are taxpayers of the municipality, shall be filed with the recording officer. <br/>
<a id="pl.117.32"></a><var>117.32</var>In event such petition is filed, no bonds shall be issued hereunder unless authorized by a <br/>
<a id="pl.117.33"></a><var>117.33</var>majority of the electors voting on the question.<br/>
<br/>
<a id="bill.7.104.0"></a><a id="pl.117.34"></a><var>117.34</var>    Sec. 104. Minnesota Statutes 2012, section 475.73, subdivision 1, is amended to read:<br/>
<a id="pl.118.1"></a><var>118.1</var>    Subdivision 1. <b>May purchase these bonds; conditions.</b> Obligations sold under the <br/>
<a id="pl.118.2"></a><var>118.2</var>provisions of section 
         <statute_ref>475.60</statute_ref> may be purchased by the State Board of Investment if the <br/>
<a id="pl.118.3"></a><var>118.3</var>obligations meet the requirements of section 
         <statute_ref>11A.24, subdivision 2</statute_ref>, upon the approval of <br/>
<a id="pl.118.4"></a><var>118.4</var>the attorney general as to form and execution of the application therefor, and under rules <br/>
<a id="pl.118.5"></a><var>118.5</var>as the board may specify, and the state board shall have authority to purchase the same <br/>
<a id="pl.118.6"></a><var>118.6</var>to an amount not exceeding 
         <statute_ref>3.63</statute_ref> percent of the estimated market value of the taxable <br/>
<a id="pl.118.7"></a><var>118.7</var>property of the municipality, according to the last preceding assessment. The obligations <br/>
<a id="pl.118.8"></a><var>118.8</var>shall not run for a shorter period than one year, nor for a longer period than 30 years and <br/>
<a id="pl.118.9"></a><var>118.9</var>shall bear interest at a rate to be fixed by the state board but not less than two percent per <br/>
<a id="pl.118.10"></a><var>118.10</var>annum. Forthwith upon the delivery to the state of Minnesota of any obligations issued by <br/>
<a id="pl.118.11"></a><var>118.11</var>virtue thereof, the commissioner of management and budget shall certify to the respective <br/>
<a id="pl.118.12"></a><var>118.12</var>auditors of the various counties wherein are situated the municipalities issuing the same, <br/>
<a id="pl.118.13"></a><var>118.13</var>the number, denomination, amount, rate of interest and date of maturity of each obligation.<br/>
<br/>
<a id="bill.7.105.0"></a><a id="pl.118.14"></a><var>118.14</var>    Sec. 105. Minnesota Statutes 2012, section 477A.011, subdivision 20, is amended to <br/>
<a id="pl.118.15"></a><var>118.15</var>read:<br/>
<a id="pl.118.16"></a><var>118.16</var>    Subd. 20. <b>City net tax capacity.</b> "City net tax capacity" means (1) the net tax <br/>
<a id="pl.118.17"></a><var>118.17</var>capacity computed using the net tax capacity rates in section 
<statute_ref>273.13</statute_ref> for taxes payable <br/>
<a id="pl.118.18"></a><var>118.18</var>in the year of the aid distribution, and the market values, after the exclusion in section <br/>
<a id="pl.118.19"></a><var>118.19</var><statute_ref>273.13, subdivision 35</statute_ref>, for taxes payable in the year prior to the aid distribution plus (2) <br/>
<a id="pl.118.20"></a><var>118.20</var>a city's fiscal disparities distribution tax capacity under section 
<statute_ref>276A.06, subdivision 2</statute_ref>, <br/>
<a id="pl.118.21"></a><var>118.21</var>paragraph (b), or 
<statute_ref>473F.08, subdivision 2</statute_ref>, paragraph (b), for taxes payable in the year prior <br/>
<a id="pl.118.22"></a><var>118.22</var>to that for which aids are being calculated. The market value utilized in computing city <br/>
<a id="pl.118.23"></a><var>118.23</var>net tax capacity shall be reduced by the sum of (1) a city's market value of commercial <br/>
<a id="pl.118.24"></a><var>118.24</var>industrial property as defined in section 
<statute_ref>276A.01, subdivision 3</statute_ref>, or 
<statute_ref>473F.02, subdivision 3</statute_ref>, <br/>
<a id="pl.118.25"></a><var>118.25</var>multiplied by the ratio determined pursuant to section 
<statute_ref>276A.06, subdivision 2</statute_ref>, paragraph <br/>
<a id="pl.118.26"></a><var>118.26</var>(a), or 
<statute_ref>473F.08, subdivision 2</statute_ref>, paragraph (a), (2) the market value of the captured value <br/>
<a id="pl.118.27"></a><var>118.27</var>of tax increment financing districts as defined in section 
<statute_ref>469.177, subdivision 2</statute_ref>, and (3) <br/>
<a id="pl.118.28"></a><var>118.28</var>the market value of transmission lines deducted from a city's total net tax capacity under <br/>
<a id="pl.118.29"></a><var>118.29</var>section 
<statute_ref>273.425</statute_ref>. The city net tax capacity will be computed using equalized market values<br/>
<a id="pl.118.30"></a><var>118.30</var> the city's adjusted net tax capacity under section 273.1325.<br/>
<a id="pl.118.31"></a><var>118.31</var><b>EFFECTIVE DATE.</b>This section is effective the day following final enactment.<br/>
<br/>
<a id="bill.7.106.0"></a><a id="pl.118.32"></a><var>118.32</var>    Sec. 106. Minnesota Statutes 2012, section 477A.011, subdivision 32, is amended to <br/>
<a id="pl.118.33"></a><var>118.33</var>read:<br/>
<a id="pl.119.1"></a><var>119.1</var>    Subd. 32. <b>Commercial industrial percentage.</b> "Commercial industrial percentage" <br/>
<a id="pl.119.2"></a><var>119.2</var>for a city is 100 times the sum of the estimated market values of all real property in the <br/>
<a id="pl.119.3"></a><var>119.3</var>city classified as class 3 under section 
         <statute_ref>273.13, subdivision 24</statute_ref>, excluding public utility <br/>
<a id="pl.119.4"></a><var>119.4</var>property, to the total estimated market value of all taxable real and personal property in <br/>
<a id="pl.119.5"></a><var>119.5</var>the city. The estimated market values are the amounts computed before any adjustments <br/>
<a id="pl.119.6"></a><var>119.6</var>for fiscal disparities under section 
         <statute_ref>276A.06</statute_ref> or 
         <statute_ref>473F.08</statute_ref>. The estimated market values <br/>
<a id="pl.119.7"></a><var>119.7</var>used for this subdivision are not equalized.<br/>
<a id="pl.119.8"></a><var>119.8</var><b>EFFECTIVE DATE.</b>This section is effective for aids payable in 2014 and thereafter.<br/>
<br/>
<a id="bill.7.107.0"></a><a id="pl.119.9"></a><var>119.9</var>    Sec. 107. Minnesota Statutes 2012, section 477A.0124, subdivision 2, is amended to <br/>
<a id="pl.119.10"></a><var>119.10</var>read:<br/>
<a id="pl.119.11"></a><var>119.11</var>    Subd. 2. <b>Definitions.</b> (a) For the purposes of this section, the following terms <br/>
<a id="pl.119.12"></a><var>119.12</var>have the meanings given them.<br/>
<a id="pl.119.13"></a><var>119.13</var>    (b) "County program aid" means the sum of "county need aid," "county tax base <br/>
<a id="pl.119.14"></a><var>119.14</var>equalization aid," and "county transition aid."<br/>
<a id="pl.119.15"></a><var>119.15</var>    (c) "Age-adjusted population" means a county's population multiplied by the county <br/>
<a id="pl.119.16"></a><var>119.16</var>age index.<br/>
<a id="pl.119.17"></a><var>119.17</var>    (d) "County age index" means the percentage of the population over age 65 within <br/>
<a id="pl.119.18"></a><var>119.18</var>the county divided by the percentage of the population over age 65 within the state, except <br/>
<a id="pl.119.19"></a><var>119.19</var>that the age index for any county may not be greater than 1.8 nor less than 0.8.<br/>
<a id="pl.119.20"></a><var>119.20</var>    (e) "Population over age 65" means the population over age 65 established as of <br/>
<a id="pl.119.21"></a><var>119.21</var>July 15 in an aid calculation year by the most recent federal census, by a special census <br/>
<a id="pl.119.22"></a><var>119.22</var>conducted under contract with the United States Bureau of the Census, by a population <br/>
<a id="pl.119.23"></a><var>119.23</var>estimate made by the Metropolitan Council, or by a population estimate of the state <br/>
<a id="pl.119.24"></a><var>119.24</var>demographer made pursuant to section 
         <statute_ref>4A.02</statute_ref>, whichever is the most recent as to the stated <br/>
<a id="pl.119.25"></a><var>119.25</var>date of the count or estimate for the preceding calendar year and which has been certified <br/>
<a id="pl.119.26"></a><var>119.26</var>to the commissioner of revenue on or before July 15 of the aid calculation year. A revision <br/>
<a id="pl.119.27"></a><var>119.27</var>to an estimate or count is effective for these purposes only if certified to the commissioner <br/>
<a id="pl.119.28"></a><var>119.28</var>on or before July 15 of the aid calculation year. Clerical errors in the certification or use of <br/>
<a id="pl.119.29"></a><var>119.29</var>estimates and counts established as of July 15 in the aid calculation year are subject to <br/>
<a id="pl.119.30"></a><var>119.30</var>correction within the time periods allowed under section 
         <statute_ref>477A.014</statute_ref>.<br/>
<a id="pl.119.31"></a><var>119.31</var>    (f) "Part I crimes" means the three-year average annual number of Part I crimes <br/>
<a id="pl.119.32"></a><var>119.32</var>reported for each county by the Department of Public Safety for the most recent years <br/>
<a id="pl.119.33"></a><var>119.33</var>available. By July 1 of each year, the commissioner of public safety shall certify to the <br/>
<a id="pl.119.34"></a><var>119.34</var>commissioner of revenue the number of Part I crimes reported for each county for the <br/>
<a id="pl.119.35"></a><var>119.35</var>three most recent calendar years available.<br/>
<a id="pl.120.1"></a><var>120.1</var>    (g) "Households receiving food stamps" means the average monthly number of <br/>
<a id="pl.120.2"></a><var>120.2</var>households receiving food stamps for the three most recent years for which data is <br/>
<a id="pl.120.3"></a><var>120.3</var>available. By July 1 of each year, the commissioner of human services must certify to the <br/>
<a id="pl.120.4"></a><var>120.4</var>commissioner of revenue the average monthly number of households in the state and in <br/>
<a id="pl.120.5"></a><var>120.5</var>each county that receive food stamps, for the three most recent calendar years available.<br/>
<a id="pl.120.6"></a><var>120.6</var>    (h) "County net tax capacity" means the net tax capacity of the county, computed <br/>
<a id="pl.120.7"></a><var>120.7</var>analogously to city net tax capacity under section 
<statute_ref>477A.011, subdivision 20</statute_ref> county's <br/>
<a id="pl.120.8"></a><var>120.8</var>adjusted net tax capacity under section 273.1325.<br/>
<a id="pl.120.9"></a><var>120.9</var><b>EFFECTIVE DATE.</b>This section is effective the day following final enactment.<br/>
<br/>
<a id="bill.7.108.0"></a><a id="pl.120.10"></a><var>120.10</var>    Sec. 108. Minnesota Statutes 2012, section 641.23, is amended to read:<br/>
<a id="pl.120.11"></a><var>120.11</var><b>641.23 FUNDS; HOW PROVIDED.</b><br/>
<a id="pl.120.12"></a><var>120.12</var>    Before any contract is made for the erection of a county jail, sheriff's residence, or <br/>
<a id="pl.120.13"></a><var>120.13</var>both, the county board shall either levy a sufficient tax to provide the necessary funds, or <br/>
<a id="pl.120.14"></a><var>120.14</var>issue county bonds therefor in accordance with the provisions of chapter 475, provided <br/>
<a id="pl.120.15"></a><var>120.15</var>that no election is required if the amount of all bonds issued for this purpose and interest <br/>
<a id="pl.120.16"></a><var>120.16</var>on them which are due and payable in any year does not exceed an amount equal to <br/>
<a id="pl.120.17"></a><var>120.17</var>0.09671 percent of estimated market value of taxable property within the county, as last <br/>
<a id="pl.120.18"></a><var>120.18</var>determined before the bonds are issued.<br/>
<br/>
<a id="bill.7.109.0"></a><a id="pl.120.19"></a><var>120.19</var>    Sec. 109. Minnesota Statutes 2012, section 641.24, is amended to read:<br/>
<a id="pl.120.20"></a><var>120.20</var><b>641.24 LEASING.</b><br/>
<a id="pl.120.21"></a><var>120.21</var>    The county may, by resolution of the county board, enter into a lease agreement with <br/>
<a id="pl.120.22"></a><var>120.22</var>any statutory or home rule charter city situated within the county, or a county housing and <br/>
<a id="pl.120.23"></a><var>120.23</var>redevelopment authority established pursuant to chapter 469 or any special law whereby <br/>
<a id="pl.120.24"></a><var>120.24</var>the city or county housing and redevelopment authority will construct a jail or other law <br/>
<a id="pl.120.25"></a><var>120.25</var>enforcement facilities for the county sheriff, deputy sheriffs, and other employees of the <br/>
<a id="pl.120.26"></a><var>120.26</var>sheriff and other law enforcement agencies, in accordance with plans prepared by or at <br/>
<a id="pl.120.27"></a><var>120.27</var>the request of the county board and, when required, approved by the commissioner of <br/>
<a id="pl.120.28"></a><var>120.28</var>corrections and will finance it by the issuance of revenue bonds, and the county may lease <br/>
<a id="pl.120.29"></a><var>120.29</var>the site and improvements for a term and upon rentals sufficient to produce revenue for the <br/>
<a id="pl.120.30"></a><var>120.30</var>prompt payment of the bonds and all interest accruing thereon and, upon completion of <br/>
<a id="pl.120.31"></a><var>120.31</var>payment, will acquire title thereto. The real and personal property acquired for the jail <br/>
<a id="pl.120.32"></a><var>120.32</var>shall constitute a project and the lease agreement shall constitute a revenue agreement <br/>
<a id="pl.120.33"></a><var>120.33</var>as contemplated in chapter 469, and all proceedings shall be taken by the city or county <br/>
<a id="pl.121.1"></a><var>121.1</var>housing and redevelopment authority and the county in the manner and with the force and <br/>
<a id="pl.121.2"></a><var>121.2</var>effect provided in chapter 469; provided that:<br/>
<a id="pl.121.3"></a><var>121.3</var>    (1) no tax shall be imposed upon or in lieu of a tax upon the property;<br/>
<a id="pl.121.4"></a><var>121.4</var>    (2) the approval of the project by the commissioner of commerce shall not be required;<br/>
<a id="pl.121.5"></a><var>121.5</var>    (3) the Department of Corrections shall be furnished and shall record such <br/>
<a id="pl.121.6"></a><var>121.6</var>information concerning each project as it may prescribe;<br/>
<a id="pl.121.7"></a><var>121.7</var>    (4) the rentals required to be paid under the lease agreement shall not exceed in any <br/>
<a id="pl.121.8"></a><var>121.8</var>year one-tenth of one percent of the estimated market value of property within the county, <br/>
<a id="pl.121.9"></a><var>121.9</var>as last finally equalized before the execution of the agreement;<br/>
<a id="pl.121.10"></a><var>121.10</var>    (5) the county board shall provide for the payment of all rentals due during the term <br/>
<a id="pl.121.11"></a><var>121.11</var>of the lease, in the manner required in section 
         <statute_ref>641.264, subdivision 2</statute_ref>;<br/>
<a id="pl.121.12"></a><var>121.12</var>    (6) no mortgage on the property shall be granted for the security of the bonds, but <br/>
<a id="pl.121.13"></a><var>121.13</var>compliance with clause (5) hereof may be enforced as a nondiscretionary duty of the <br/>
<a id="pl.121.14"></a><var>121.14</var>county board; and<br/>
<a id="pl.121.15"></a><var>121.15</var>    (7) the county board may sublease any part of the jail property for purposes consistent <br/>
<a id="pl.121.16"></a><var>121.16</var>with the maintenance and operation of a county jail or other law enforcement facility.<br/>
<br/>
<a id="bill.7.110.0"></a><a id="pl.121.17"></a><var>121.17</var>    Sec. 110. Minnesota Statutes 2012, section 645.44, is amended by adding a subdivision <br/>
<a id="pl.121.18"></a><var>121.18</var>to read:<br/>
<a id="pl.121.19"></a><var>121.19</var>    Subd. 20. <b>Estimated market value.</b> When used in determining or calculating a <br/>
<a id="pl.121.20"></a><var>121.20</var>limit on taxation, spending, state aid amounts, or debt, bond, certificate of indebtedness, or <br/>
<a id="pl.121.21"></a><var>121.21</var>capital note issuance by or for a local government unit, "estimated market value" has the <br/>
<a id="pl.121.22"></a><var>121.22</var>meaning given in section 273.032.<br/>
<br/>
<a id="bill.7.111.0"></a><a id="pl.121.23"></a><var>121.23</var>    Sec. 111. <b>REVISOR'S INSTRUCTION.</b><br/>
<a id="pl.121.24"></a><var>121.24</var>    The revisor of statutes shall recodify Minnesota Statutes, section 127.48, <br/>
<a id="pl.121.25"></a><var>121.25</var>subdivisions 1 to 6, as section 273.1325, subdivisions 1 to 6, and change all <br/>
<a id="pl.121.26"></a><var>121.26</var>cross-references to the affected subdivisions accordingly.<br/>
<a id="pl.121.27"></a><var>121.27</var><b>EFFECTIVE DATE.</b>This section is effective the day following final enactment.<br/>
<br/>
<a id="bill.7.112.0"></a><a id="pl.121.28"></a><var>121.28</var>    Sec. 112. <b> REPEALER.</b><br/>
<a id="pl.121.29"></a><var>121.29</var>Minnesota Statutes 2012, sections 273.11, subdivision 1a; 276A.01, subdivision 11; <br/>
<a id="pl.121.30"></a><var>121.30</var>473F.02, subdivision 13; and 477A.011, subdivision 21, are repealed.<br/>
<br/>
<a id="bill.7.113.0"></a><a id="pl.121.31"></a><var>121.31</var>    Sec. 113. <b>EFFECTIVE DATE.</b><br/>
<a id="pl.122.1"></a><var>122.1</var>    Unless otherwise specifically provided, this article is effective the day following <br/>
<a id="pl.122.2"></a><var>122.2</var>final enactment for purposes of limits on net debt, the issuance of bonds, certificates of <br/>
<a id="pl.122.3"></a><var>122.3</var>indebtedness, and capital notes and is effective beginning for taxes payable in 2014 for <br/>
<a id="pl.122.4"></a><var>122.4</var>all other purposes.<br/>
<br/>
<a id="bill.8.0.0"></a>

<a id="bill.8.1.0"></a><a id="pl.122.7"></a><var>122.7</var>    Section 1. Minnesota Statutes 2012, section 123A.455, subdivision 1, is amended to <br/>
<a id="pl.122.8"></a><var>122.8</var>read:<br/>
<a id="pl.122.9"></a><var>122.9</var>    Subdivision 1. <b>Definitions.</b> "Split residential property parcel" means a parcel of <br/>
<a id="pl.122.10"></a><var>122.10</var>real estate that is located within the boundaries of more than one school district and that <br/>
<a id="pl.122.11"></a><var>122.11</var>is classified as residential property under:<br/>
<a id="pl.122.12"></a><var>122.12</var>    (1) section 
         <statute_ref>273.13, subdivision 22</statute_ref>, paragraph (a) or (b);<br/>
<a id="pl.122.13"></a><var>122.13</var>    (2) section 
         <statute_ref>273.13, subdivision 25</statute_ref>, paragraph (b), clause (1); or<br/>
<a id="pl.122.14"></a><var>122.14</var>    (3) section 
         <statute_ref>273.13, subdivision 25</statute_ref>, paragraph (c), clause (1).<br/>
<a id="pl.122.15"></a><var>122.15</var><b>EFFECTIVE DATE.</b>This section is effective for taxes payable in 2014 and <br/>
<a id="pl.122.16"></a><var>122.16</var>thereafter.<br/>
<br/>
<a id="bill.8.2.0"></a><a id="pl.122.17"></a><var>122.17</var>    Sec. 2. Minnesota Statutes 2012, section 270.077, is amended to read:<br/>
<a id="pl.122.18"></a><var>122.18</var><b>270.077 TAXES CREDITED TO STATE AIRPORTS FUND.</b><br/>
<a id="pl.122.19"></a><var>122.19</var>    All taxes levied under sections 
         <statute_ref>270.071</statute_ref> to 
         <statute_ref>270.079</statute_ref> must be collected by the <br/>
<a id="pl.122.20"></a><var>122.20</var>commissioner and credited to the state airports fund created in section 
         <statute_ref>360.017</statute_ref>.<br/>
<a id="pl.122.21"></a><var>122.21</var><b>EFFECTIVE DATE.</b>This section is effective the day following final enactment.<br/>
<br/>
<a id="bill.8.3.0"></a><a id="pl.122.22"></a><var>122.22</var>    Sec. 3. Minnesota Statutes 2012, section 270.41, subdivision 5, is amended to read:<br/>
<a id="pl.122.23"></a><var>122.23</var>    Subd. 5. <b>Prohibited activity.</b> A licensed assessor or other person employed by an <br/>
<a id="pl.122.24"></a><var>122.24</var>assessment jurisdiction or contracting with an assessment jurisdiction for the purpose <br/>
<a id="pl.122.25"></a><var>122.25</var>of valuing or classifying property for property tax purposes is prohibited from making <br/>
<a id="pl.122.26"></a><var>122.26</var>appraisals or analyses, accepting an appraisal assignment, or preparing an appraisal report <br/>
<a id="pl.122.27"></a><var>122.27</var>as defined in section 
         <statute_ref>82B.021, subdivisions 2</statute_ref>, 4, 6, and 7, on any property within the <br/>
<a id="pl.122.28"></a><var>122.28</var>assessment jurisdiction where the individual is employed or performing the duties of the <br/>
<a id="pl.122.29"></a><var>122.29</var>assessor under contract. Violation of this prohibition shall result in immediate revocation <br/>
<a id="pl.122.30"></a><var>122.30</var>of the individual's license to assess property for property tax purposes. This prohibition <br/>
<a id="pl.122.31"></a><var>122.31</var>must not be construed to prohibit an individual from carrying out any duties required <br/>
<a id="pl.123.1"></a><var>123.1</var>for the proper assessment of property for property tax purposes or performing duties <br/>
<a id="pl.123.2"></a><var>123.2</var>enumerated in section 
         <statute_ref>273.061, subdivision 7</statute_ref> or 8. If a formal resolution has been adopted <br/>
<a id="pl.123.3"></a><var>123.3</var>by the governing body of a governmental unit, which specifies the purposes for which <br/>
<a id="pl.123.4"></a><var>123.4</var>such work will be done, this prohibition does not apply to appraisal activities undertaken <br/>
<a id="pl.123.5"></a><var>123.5</var>on behalf of and at the request of the governmental unit that has employed or contracted <br/>
<a id="pl.123.6"></a><var>123.6</var>with the individual. The resolution may only allow appraisal activities which are related to <br/>
<a id="pl.123.7"></a><var>123.7</var>condemnations, right-of-way acquisitions, land exchanges, or special assessments.<br/>
<a id="pl.123.8"></a><var>123.8</var><b>EFFECTIVE DATE.</b>This section is effective the day following final enactment.<br/>
<br/>
<a id="bill.8.4.0"></a><a id="pl.123.9"></a><var>123.9</var>    Sec. 4. Minnesota Statutes 2012, section 270C.34, subdivision 1, is amended to read:<br/>
<a id="pl.123.10"></a><var>123.10</var>    Subdivision 1. <b>Authority.</b> (a) The commissioner may abate, reduce, or refund any <br/>
<a id="pl.123.11"></a><var>123.11</var>penalty or interest that is imposed by a law administered by the commissioner, or imposed <br/>
<a id="pl.123.12"></a><var>123.12</var>by section 
         <statute_ref>270.0725, subdivision 1</statute_ref> or 2, or 270.075, subdivision 2, as a result of the late <br/>
<a id="pl.123.13"></a><var>123.13</var>payment of tax or late filing of a return, or any part of an additional tax charge under <br/>
<a id="pl.123.14"></a><var>123.14</var>section 
         <statute_ref>289A.25, subdivision 2</statute_ref>, or 
         <statute_ref>289A.26, subdivision 4</statute_ref>, if the failure to timely pay the <br/>
<a id="pl.123.15"></a><var>123.15</var>tax or failure to timely file the return is due to reasonable cause, or if the taxpayer is located <br/>
<a id="pl.123.16"></a><var>123.16</var>in a presidentially declared disaster or in a presidentially declared state of emergency area <br/>
<a id="pl.123.17"></a><var>123.17</var>or in an area declared to be in a state of emergency by the governor under section 
         <statute_ref>12.31</statute_ref>.<br/>
<a id="pl.123.18"></a><var>123.18</var>    (b) The commissioner shall abate any part of a penalty or additional tax charge <br/>
<a id="pl.123.19"></a><var>123.19</var>under section 
         <statute_ref>289A.25, subdivision 2</statute_ref>, or 
         <statute_ref>289A.26, subdivision 4</statute_ref>, attributable to erroneous <br/>
<a id="pl.123.20"></a><var>123.20</var>advice given to the taxpayer in writing by an employee of the department acting in <br/>
<a id="pl.123.21"></a><var>123.21</var>an official capacity, if the advice:<br/>
<a id="pl.123.22"></a><var>123.22</var>    (1) was reasonably relied on and was in response to a specific written request of the <br/>
<a id="pl.123.23"></a><var>123.23</var>taxpayer; and<br/>
<a id="pl.123.24"></a><var>123.24</var>    (2) was not the result of failure by the taxpayer to provide adequate or accurate <br/>
<a id="pl.123.25"></a><var>123.25</var>information.<br/>
<a id="pl.123.26"></a><var>123.26</var><b>EFFECTIVE DATE.</b>This section is effective the day following final enactment.<br/>
<br/>
<a id="bill.8.5.0"></a><a id="pl.123.27"></a><var>123.27</var>    Sec. 5. Minnesota Statutes 2012, section 272.01, subdivision 2, is amended to read:<br/>
<a id="pl.123.28"></a><var>123.28</var>    Subd. 2. <b>Exempt property used by private entity for profit.</b> (a) When any real or <br/>
<a id="pl.123.29"></a><var>123.29</var>personal property which is exempt from ad valorem taxes, and taxes in lieu thereof, is <br/>
<a id="pl.123.30"></a><var>123.30</var>leased, loaned, or otherwise made available and used by a private individual, association, <br/>
<a id="pl.123.31"></a><var>123.31</var>or corporation in connection with a business conducted for profit, there shall be imposed a <br/>
<a id="pl.123.32"></a><var>123.32</var>tax, for the privilege of so using or possessing such real or personal property, in the same <br/>
<a id="pl.123.33"></a><var>123.33</var>amount and to the same extent as though the lessee or user was the owner of such property.<br/>
<a id="pl.124.1"></a><var>124.1</var>    (b) The tax imposed by this subdivision shall not apply to:<br/>
<a id="pl.124.2"></a><var>124.2</var>    (1) property leased or used as a concession in or relative to the use in whole <br/>
<a id="pl.124.3"></a><var>124.3</var>or part of a public park, market, fairgrounds, port authority, economic development <br/>
<a id="pl.124.4"></a><var>124.4</var>authority established under chapter 469, municipal auditorium, municipal parking facility, <br/>
<a id="pl.124.5"></a><var>124.5</var>municipal museum, or municipal stadium;<br/>
<a id="pl.124.6"></a><var>124.6</var>    (2) property of an airport owned by a city, town, county, or group thereof which is:<br/>
<a id="pl.124.7"></a><var>124.7</var>    (i) leased to or used by any person or entity including a fixed base operator; and<br/>
<a id="pl.124.8"></a><var>124.8</var>    (ii) used as a hangar for the storage or repair of aircraft or to provide aviation goods, <br/>
<a id="pl.124.9"></a><var>124.9</var>services, or facilities to the airport or general public;<br/>
<a id="pl.124.10"></a><var>124.10</var>the exception from taxation provided in this clause does not apply to:<br/>
<a id="pl.124.11"></a><var>124.11</var>    (i) property located at an airport owned or operated by the Metropolitan Airports <br/>
<a id="pl.124.12"></a><var>124.12</var>Commission or by a city of over 50,000 population according to the most recent federal <br/>
<a id="pl.124.13"></a><var>124.13</var>census or such a city's airport authority; or<br/>
<a id="pl.124.14"></a><var>124.14</var>    (ii) hangars leased by a private individual, association, or corporation in connection <br/>
<a id="pl.124.15"></a><var>124.15</var>with a business conducted for profit other than an aviation-related business;<br/>
<a id="pl.124.16"></a><var>124.16</var>    (3) property constituting or used as a public pedestrian ramp or concourse in <br/>
<a id="pl.124.17"></a><var>124.17</var>connection with a public airport;<br/>
<a id="pl.124.18"></a><var>124.18</var>    (4) property constituting or used as a passenger check-in area or ticket sale counter, <br/>
<a id="pl.124.19"></a><var>124.19</var>boarding area, or luggage claim area in connection with a public airport but not the <br/>
<a id="pl.124.20"></a><var>124.20</var>airports owned or operated by the Metropolitan Airports Commission or cities of over <br/>
<a id="pl.124.21"></a><var>124.21</var>50,000 population or an airport authority therein. Real estate owned by a municipality <br/>
<a id="pl.124.22"></a><var>124.22</var>in connection with the operation of a public airport and leased or used for agricultural <br/>
<a id="pl.124.23"></a><var>124.23</var>purposes is not exempt;<br/>
<a id="pl.124.24"></a><var>124.24</var>    (5) property leased, loaned, or otherwise made available to a private individual, <br/>
<a id="pl.124.25"></a><var>124.25</var>corporation, or association under a cooperative farming agreement made pursuant to <br/>
<a id="pl.124.26"></a><var>124.26</var>section 
         <statute_ref>97A.135</statute_ref>; or<br/>
<a id="pl.124.27"></a><var>124.27</var>    (6) property leased, loaned, or otherwise made available to a private individual, <br/>
<a id="pl.124.28"></a><var>124.28</var>corporation, or association under section 
         <statute_ref>272.68, subdivision 4</statute_ref>.<br/>
<a id="pl.124.29"></a><var>124.29</var>    (c) Taxes imposed by this subdivision are payable as in the case of personal property <br/>
<a id="pl.124.30"></a><var>124.30</var>taxes and shall be assessed to the lessees or users of real or personal property in the same <br/>
<a id="pl.124.31"></a><var>124.31</var>manner as taxes assessed to owners of real or personal property, except that such taxes <br/>
<a id="pl.124.32"></a><var>124.32</var>shall not become a lien against the property. When due, the taxes shall constitute a debt due <br/>
<a id="pl.124.33"></a><var>124.33</var>from the lessee or user to the state, township, city, county, and school district for which the <br/>
<a id="pl.124.34"></a><var>124.34</var>taxes were assessed and shall be collected in the same manner as personal property taxes. <br/>
<a id="pl.124.35"></a><var>124.35</var>If property subject to the tax imposed by this subdivision is leased or used jointly by two or <br/>
<a id="pl.124.36"></a><var>124.36</var>more persons, each lessee or user shall be jointly and severally liable for payment of the tax.<br/>
<a id="pl.125.1"></a><var>125.1</var>    (d) The tax on real property of the federal government, the state or any of its political <br/>
<a id="pl.125.2"></a><var>125.2</var>subdivisions that is leased by, loaned, or otherwise made available to a private individual, <br/>
<a id="pl.125.3"></a><var>125.3</var>association, or corporation and becomes taxable under this subdivision or other provision <br/>
<a id="pl.125.4"></a><var>125.4</var>of law must be assessed and collected as a personal property assessment. The taxes do <br/>
<a id="pl.125.5"></a><var>125.5</var>not become a lien against the real property.<br/>
<a id="pl.125.6"></a><var>125.6</var><b>EFFECTIVE DATE.</b>This section is effective the day following final enactment.<br/>
<br/>
<a id="bill.8.6.0"></a><a id="pl.125.7"></a><var>125.7</var>    Sec. 6. Minnesota Statutes 2012, section 272.02, subdivision 97, is amended to read:<br/>
<a id="pl.125.8"></a><var>125.8</var>    Subd. 97. <b>Property used in business of mining subject to net proceeds tax.</b> The <br/>
<a id="pl.125.9"></a><var>125.9</var>following property used in the business of mining that is subject to the net proceeds tax <br/>
<a id="pl.125.10"></a><var>125.10</var>under section 
         <statute_ref>298.015</statute_ref> is exempt:<br/>
<a id="pl.125.11"></a><var>125.11</var>    (1) deposits of ores, metals, and minerals and the lands in which they are contained;<br/>
<a id="pl.125.12"></a><var>125.12</var>    (2) all real and personal property used in mining, quarrying, producing, or refining <br/>
<a id="pl.125.13"></a><var>125.13</var>ores, minerals, or metals, including lands occupied by or used in connection with the <br/>
<a id="pl.125.14"></a><var>125.14</var>mining, quarrying, production, or ore refining facilities; and<br/>
<a id="pl.125.15"></a><var>125.15</var>    (3) concentrate or direct reduced ore.<br/>
<a id="pl.125.16"></a><var>125.16</var>    This exemption applies for each year that a person subject to tax under section <br/>
<statute_ref><a id="pl.125.17"></a><var>125.17</var>298.015
         </statute_ref> uses the property for mining, quarrying, producing, or refining ores, metals, or <br/>
<a id="pl.125.18"></a><var>125.18</var>minerals.<br/>
<a id="pl.125.19"></a><var>125.19</var><b>EFFECTIVE DATE.</b>This section is effective the day following final enactment.<br/>
<br/>
<a id="bill.8.7.0"></a><a id="pl.125.20"></a><var>125.20</var>    Sec. 7. Minnesota Statutes 2012, section 272.03, subdivision 9, is amended to read:<br/>
<a id="pl.125.21"></a><var>125.21</var>    Subd. 9. <b>Person.</b> "Person" includes means an individual, association, estate, trust, <br/>
<a id="pl.125.22"></a><var>125.22</var>partnership, firm, company, or corporation.<br/>
<a id="pl.125.23"></a><var>125.23</var><b>EFFECTIVE DATE.</b>This section is effective the day following final enactment.<br/>
<br/>
<a id="bill.8.8.0"></a><a id="pl.125.24"></a><var>125.24</var>    Sec. 8. Minnesota Statutes 2012, section 273.032, is amended to read:<br/>
<a id="pl.125.25"></a><var>125.25</var><b>273.032 MARKET VALUE DEFINITION.</b><br/>
<a id="pl.125.26"></a><var>125.26</var>    For the purpose of determining any property tax levy limitation based on market <br/>
<a id="pl.125.27"></a><var>125.27</var>value, any qualification to receive state aid based on market value, or any state aid amount <br/>
<a id="pl.125.28"></a><var>125.28</var>based on market value, the terms "market value," "taxable market value," and "market <br/>
<a id="pl.125.29"></a><var>125.29</var>valuation," whether equalized or unequalized, mean the total taxable market value of <br/>
<a id="pl.125.30"></a><var>125.30</var>property within the local unit of government before any adjustments for tax increment, <br/>
<a id="pl.125.31"></a><var>125.31</var>fiscal disparity, powerline credit, or wind energy values, but after the limited market <br/>
<a id="pl.126.1"></a><var>126.1</var>adjustments under section 
<statute_ref>273.11, subdivision 1a</statute_ref>, and after the market value exclusions of <br/>
<a id="pl.126.2"></a><var>126.2</var>certain improvements to homestead property under section 
         <statute_ref>273.11, subdivision 16</statute_ref>. Unless <br/>
<a id="pl.126.3"></a><var>126.3</var>otherwise provided, "market value," "taxable market value," and "market valuation" for <br/>
<a id="pl.126.4"></a><var>126.4</var>purposes of this paragraph, refer to the taxable market value for the previous assessment <br/>
<a id="pl.126.5"></a><var>126.5</var>year.<br/>
<a id="pl.126.6"></a><var>126.6</var>    For the purpose of determining any net debt limit based on market value, or any limit <br/>
<a id="pl.126.7"></a><var>126.7</var>on the issuance of bonds, certificates of indebtedness, or capital notes based on market <br/>
<a id="pl.126.8"></a><var>126.8</var>value, the terms "market value," "taxable market value," and "market valuation," whether <br/>
<a id="pl.126.9"></a><var>126.9</var>equalized or unequalized, mean the total taxable market value of property within the local <br/>
<a id="pl.126.10"></a><var>126.10</var>unit of government before any adjustments for tax increment, fiscal disparity, powerline <br/>
<a id="pl.126.11"></a><var>126.11</var>credit, or wind energy values, but after the limited market value adjustments under section <br/>
<a id="pl.126.12"></a><var>126.12</var><statute_ref>273.11</statute_ref>, subdivision 1a, and after the market value exclusions of certain improvements to <br/>
<a id="pl.126.13"></a><var>126.13</var>homestead property under section 
         <statute_ref>273.11</statute_ref>, subdivision 16. Unless otherwise provided, <br/>
<a id="pl.126.14"></a><var>126.14</var>"market value," "taxable market value," and "market valuation" for purposes of this <br/>
<a id="pl.126.15"></a><var>126.15</var>paragraph, mean the taxable market value as last finally equalized.<br/>
<a id="pl.126.16"></a><var>126.16</var><b>EFFECTIVE DATE.</b>This section is effective the day following final enactment.<br/>
<br/>
<a id="bill.8.9.0"></a><a id="pl.126.17"></a><var>126.17</var>    Sec. 9. Minnesota Statutes 2012, section 273.114, subdivision 6, is amended to read:<br/>
<a id="pl.126.18"></a><var>126.18</var>    Subd. 6. <b>Additional taxes.</b> (a) When real property which is being, or has been <br/>
<a id="pl.126.19"></a><var>126.19</var>valued and assessed under this section is sold, transferred, or no longer qualifies under <br/>
<a id="pl.126.20"></a><var>126.20</var>subdivision 2, the portion sold, transferred, or no longer qualifying shall be subject to <br/>
<a id="pl.126.21"></a><var>126.21</var>additional taxes in the amount equal to the difference between the taxes determined in <br/>
<a id="pl.126.22"></a><var>126.22</var>accordance with subdivision 3 and the amount determined under subdivision 4, provided <br/>
<a id="pl.126.23"></a><var>126.23</var>that the amount determined under subdivision 4 shall not be greater than it would have <br/>
<a id="pl.126.24"></a><var>126.24</var>been had the actual bona fide sale price of the real property at an arm's-length transaction <br/>
<a id="pl.126.25"></a><var>126.25</var>been used in lieu of the market value determined under subdivision 4. The additional taxes <br/>
<a id="pl.126.26"></a><var>126.26</var>shall be extended against the property on the tax list for taxes payable in the current year, <br/>
<a id="pl.126.27"></a><var>126.27</var>provided that no interest or penalties shall be levied on the additional taxes if timely paid <br/>
<a id="pl.126.28"></a><var>126.28</var>and provided that the additional taxes shall only be levied with respect to the current year <br/>
<a id="pl.126.29"></a><var>126.29</var>plus two prior years that the property has been valued and assessed under this section.<br/>
<a id="pl.126.30"></a><var>126.30</var>    (b) In the case of a sale or transfer, the additional taxes under paragraph (a) shall not <br/>
<a id="pl.126.31"></a><var>126.31</var>be extended against the property if the new owner submits a successful application under <br/>
<a id="pl.126.32"></a><var>126.32</var>this section by the later of May 1 of the current year or 30 days after the sale or transfer.<br/>
<a id="pl.126.33"></a><var>126.33</var>    (c) For the purposes of this section, the following events do not constitute a sale or <br/>
<a id="pl.126.34"></a><var>126.34</var>transfer for property that qualified under subdivision 2 prior to the event:<br/>
<a id="pl.127.1"></a><var>127.1</var>    (1) death of a property owner when the surviving owners retain ownership of the <br/>
<a id="pl.127.2"></a><var>127.2</var>property;<br/>
<a id="pl.127.3"></a><var>127.3</var>    (2) divorce of a married couple when one of the spouses retains ownership of the <br/>
<a id="pl.127.4"></a><var>127.4</var>property;<br/>
<a id="pl.127.5"></a><var>127.5</var>    (3) marriage of a single property owner when that owner retains ownership of the <br/>
<a id="pl.127.6"></a><var>127.6</var>property in whole or in part;<br/>
<a id="pl.127.7"></a><var>127.7</var>    (4) the organization or reorganization of a farm ownership entity that is not prohibited <br/>
<a id="pl.127.8"></a><var>127.8</var>from owning agricultural land in this state under section 500.24, if all owners maintain the <br/>
<a id="pl.127.9"></a><var>127.9</var>same beneficial interest both before and after the organization or reorganization; and<br/>
<a id="pl.127.10"></a><var>127.10</var>    (5) transfer of the property to a trust or trustee, provided that the individual owners <br/>
<a id="pl.127.11"></a><var>127.11</var>of the property are the grantors of the trust and they maintain the same beneficial interest <br/>
<a id="pl.127.12"></a><var>127.12</var>both before and after placement of the property in trust.<br/>
<a id="pl.127.13"></a><var>127.13</var><b>EFFECTIVE DATE.</b>This section is effective the day following final enactment.<br/>
<br/>
<a id="bill.8.10.0"></a><a id="pl.127.14"></a><var>127.14</var>    Sec. 10. Minnesota Statutes 2012, section 273.13, subdivision 23, is amended to read:<br/>
<a id="pl.127.15"></a><var>127.15</var>    Subd. 23. <b>Class 2.</b> (a) An agricultural homestead consists of class 2a agricultural <br/>
<a id="pl.127.16"></a><var>127.16</var>land that is homesteaded, along with any class 2b rural vacant land that is contiguous to <br/>
<a id="pl.127.17"></a><var>127.17</var>the class 2a land under the same ownership. The market value of the house and garage <br/>
<a id="pl.127.18"></a><var>127.18</var>and immediately surrounding one acre of land has the same class rates as class 1a or 1b <br/>
<a id="pl.127.19"></a><var>127.19</var>property under subdivision 22. The value of the remaining land including improvements <br/>
<a id="pl.127.20"></a><var>127.20</var>up to the first tier valuation limit of agricultural homestead property has a net class rate <br/>
<a id="pl.127.21"></a><var>127.21</var>of 0.5 percent of market value. The remaining property over the first tier has a class rate <br/>
<a id="pl.127.22"></a><var>127.22</var>of one percent of market value. For purposes of this subdivision, the "first tier valuation <br/>
<a id="pl.127.23"></a><var>127.23</var>limit of agricultural homestead property" and "first tier" means the limit certified under <br/>
<a id="pl.127.24"></a><var>127.24</var>section 
         <statute_ref>273.11</statute_ref>, subdivision 23.<br/>
<a id="pl.127.25"></a><var>127.25</var>    (b) Class 2a agricultural land consists of parcels of property, or portions thereof, that <br/>
<a id="pl.127.26"></a><var>127.26</var>are agricultural land and buildings. Class 2a property has a net class rate of one percent of <br/>
<a id="pl.127.27"></a><var>127.27</var>market value, unless it is part of an agricultural homestead under paragraph (a). Class 2a <br/>
<a id="pl.127.28"></a><var>127.28</var>property must also include any property that would otherwise be classified as 2b, but is <br/>
<a id="pl.127.29"></a><var>127.29</var>interspersed with class 2a property, including but not limited to sloughs, wooded wind <br/>
<a id="pl.127.30"></a><var>127.30</var>shelters, acreage abutting ditches, ravines, rock piles, land subject to a setback requirement, <br/>
<a id="pl.127.31"></a><var>127.31</var>and other similar land that is impractical for the assessor to value separately from the rest of <br/>
<a id="pl.127.32"></a><var>127.32</var>the property or that is unlikely to be able to be sold separately from the rest of the property.<br/>
<a id="pl.127.33"></a><var>127.33</var>    An assessor may classify the part of a parcel described in this subdivision that is used <br/>
<a id="pl.127.34"></a><var>127.34</var>for agricultural purposes as class 2a and the remainder in the class appropriate to its use.<br/>
<a id="pl.128.1"></a><var>128.1</var>    (c) Class 2b rural vacant land consists of parcels of property, or portions thereof, <br/>
<a id="pl.128.2"></a><var>128.2</var>that are unplatted real estate, rural in character and not used for agricultural purposes, <br/>
<a id="pl.128.3"></a><var>128.3</var>including land used for growing trees for timber, lumber, and wood and wood products, <br/>
<a id="pl.128.4"></a><var>128.4</var>that is not improved with a structure. The presence of a minor, ancillary nonresidential <br/>
<a id="pl.128.5"></a><var>128.5</var>structure as defined by the commissioner of revenue does not disqualify the property from <br/>
<a id="pl.128.6"></a><var>128.6</var>classification under this paragraph. Any parcel of 20 acres or more improved with a <br/>
<a id="pl.128.7"></a><var>128.7</var>structure that is not a minor, ancillary nonresidential structure must be split-classified, and <br/>
<a id="pl.128.8"></a><var>128.8</var>ten acres must be assigned to the split parcel containing the structure. Class 2b property <br/>
<a id="pl.128.9"></a><var>128.9</var>has a net class rate of one percent of market value unless it is part of an agricultural <br/>
<a id="pl.128.10"></a><var>128.10</var>homestead under paragraph (a), or qualifies as class 2c under paragraph (d).<br/>
<a id="pl.128.11"></a><var>128.11</var>    (d) Class 2c managed forest land consists of no less than 20 and no more than 1,920 <br/>
<a id="pl.128.12"></a><var>128.12</var>acres statewide per taxpayer that is being managed under a forest management plan that <br/>
<a id="pl.128.13"></a><var>128.13</var>meets the requirements of chapter 290C, but is not enrolled in the sustainable forest <br/>
<a id="pl.128.14"></a><var>128.14</var>resource management incentive program. It has a class rate of .65 percent, provided that <br/>
<a id="pl.128.15"></a><var>128.15</var>the owner of the property must apply to the assessor in order for the property to initially <br/>
<a id="pl.128.16"></a><var>128.16</var>qualify for the reduced rate and provide the information required by the assessor to verify <br/>
<a id="pl.128.17"></a><var>128.17</var>that the property qualifies for the reduced rate. If the assessor receives the application <br/>
<a id="pl.128.18"></a><var>128.18</var>and information before May 1 in an assessment year, the property qualifies beginning <br/>
<a id="pl.128.19"></a><var>128.19</var>with that assessment year. If the assessor receives the application and information after <br/>
<a id="pl.128.20"></a><var>128.20</var>April 30 in an assessment year, the property may not qualify until the next assessment <br/>
<a id="pl.128.21"></a><var>128.21</var>year. The commissioner of natural resources must concur that the land is qualified. The <br/>
<a id="pl.128.22"></a><var>128.22</var>commissioner of natural resources shall annually provide county assessors verification <br/>
<a id="pl.128.23"></a><var>128.23</var>information on a timely basis. The presence of a minor, ancillary nonresidential structure <br/>
<a id="pl.128.24"></a><var>128.24</var>as defined by the commissioner of revenue does not disqualify the property from <br/>
<a id="pl.128.25"></a><var>128.25</var>classification under this paragraph.<br/>
<a id="pl.128.26"></a><var>128.26</var>    (e) Agricultural land as used in this section means:<br/>
<a id="pl.128.27"></a><var>128.27</var>    (1) contiguous acreage of ten acres or more, used during the preceding year for <br/>
<a id="pl.128.28"></a><var>128.28</var>agricultural purposes.; or<br/>
<a id="pl.128.29"></a><var>128.29</var>    (2) contiguous acreage used during the preceding year for an intensive livestock or <br/>
<a id="pl.128.30"></a><var>128.30</var>poultry confinement operation, provided that land used only for pasturing or grazing <br/>
<a id="pl.128.31"></a><var>128.31</var>does not qualify under this clause.<br/>
<a id="pl.128.32"></a><var>128.32</var>    "Agricultural purposes" as used in this section means the raising, cultivation, drying, <br/>
<a id="pl.128.33"></a><var>128.33</var>or storage of agricultural products for sale, or the storage of machinery or equipment <br/>
<a id="pl.128.34"></a><var>128.34</var>used in support of agricultural production by the same farm entity. For a property to be <br/>
<a id="pl.128.35"></a><var>128.35</var>classified as agricultural based only on the drying or storage of agricultural products, <br/>
<a id="pl.128.36"></a><var>128.36</var>the products being dried or stored must have been produced by the same farm entity as <br/>
<a id="pl.129.1"></a><var>129.1</var>the entity operating the drying or storage facility. "Agricultural purposes" also includes <br/>
<a id="pl.129.2"></a><var>129.2</var>enrollment in the Reinvest in Minnesota program under sections 
         <statute_ref>103F.501</statute_ref> to 
         <statute_ref>103F.535</statute_ref> or <br/>
<a id="pl.129.3"></a><var>129.3</var>the federal Conservation Reserve Program as contained in Public Law 99-198 or a similar <br/>
<a id="pl.129.4"></a><var>129.4</var>state or federal conservation program if the property was classified as agricultural (i) <br/>
<a id="pl.129.5"></a><var>129.5</var>under this subdivision for the assessment year 2002 taxes payable in 2003 because of its <br/>
<a id="pl.129.6"></a><var>129.6</var>enrollment in a qualifying program and the land remains enrolled or (ii) in the year prior <br/>
<a id="pl.129.7"></a><var>129.7</var>to its enrollment. Agricultural classification shall not be based upon the market value of <br/>
<a id="pl.129.8"></a><var>129.8</var>any residential structures on the parcel or contiguous parcels under the same ownership.<br/>
<a id="pl.129.9"></a><var>129.9</var>    "Contiguous acreage," for purposes of this paragraph, means all of, or a contiguous <br/>
<a id="pl.129.10"></a><var>129.10</var>portion of, a tax parcel as described in section 272.193, or all of, or a contiguous portion <br/>
<a id="pl.129.11"></a><var>129.11</var>of, a set of contiguous tax parcels under that section that are owned by the same person.<br/>
<a id="pl.129.12"></a><var>129.12</var>    (f) Real estate of Agricultural land under this section also includes:<br/>
<a id="pl.129.13"></a><var>129.13</var>    (1) contiguous acreage that is less than ten acres, which is in size and exclusively or <br/>
<a id="pl.129.14"></a><var>129.14</var>intensively used in the preceding year for raising or cultivating agricultural products, shall <br/>
<a id="pl.129.15"></a><var>129.15</var>be considered as agricultural land. To qualify under this paragraph, property that includes <br/>
<a id="pl.129.16"></a><var>129.16</var>a residential structure must be used intensively for one of the following purposes:; or<br/>
<a id="pl.129.17"></a><var>129.17</var>    (2) contiguous acreage that contains a residence and is less than 11 acres in size, if <br/>
<a id="pl.129.18"></a><var>129.18</var>the contiguous acreage exclusive of the house, garage, and surrounding one acre of land <br/>
<a id="pl.129.19"></a><var>129.19</var>was used in the preceding year for one or more of the following three uses:<br/>
<a id="pl.129.20"></a><var>129.20</var>    (i) for an intensive grain drying or storage of grain operation, or for intensive <br/>
<a id="pl.129.21"></a><var>129.21</var>machinery or equipment storage of machinery or equipment activities used to support <br/>
<a id="pl.129.22"></a><var>129.22</var>agricultural activities on other parcels of property operated by the same farming entity;<br/>
<a id="pl.129.23"></a><var>129.23</var>    (ii) as a nursery, provided that only those acres used intensively to produce nursery <br/>
<a id="pl.129.24"></a><var>129.24</var>stock are considered agricultural land; or<br/>
<a id="pl.129.25"></a><var>129.25</var>    (iii) for livestock or poultry confinement, provided that land that is used only for <br/>
<a id="pl.129.26"></a><var>129.26</var>pasturing and grazing does not qualify; or<br/>
<a id="pl.129.27"></a><var>129.27</var>    (iv) (iii) for intensive market farming; for purposes of this paragraph, "market <br/>
<a id="pl.129.28"></a><var>129.28</var>farming" means the cultivation of one or more fruits or vegetables or production of animal <br/>
<a id="pl.129.29"></a><var>129.29</var>or other agricultural products for sale to local markets by the farmer or an organization <br/>
<a id="pl.129.30"></a><var>129.30</var>with which the farmer is affiliated.<br/>
<a id="pl.129.31"></a><var>129.31</var>    "Contiguous acreage," for purposes of this paragraph, means all of a tax parcel as <br/>
<a id="pl.129.32"></a><var>129.32</var>described in section 272.193, or all of a set of contiguous tax parcels under that section <br/>
<a id="pl.129.33"></a><var>129.33</var>that are owned by the same person.<br/>
<a id="pl.129.34"></a><var>129.34</var>    (g) Land shall be classified as agricultural even if all or a portion of the agricultural <br/>
<a id="pl.129.35"></a><var>129.35</var>use of that property is the leasing to, or use by another person for agricultural purposes.<br/>
<a id="pl.130.1"></a><var>130.1</var>    Classification under this subdivision is not determinative for qualifying under <br/>
<a id="pl.130.2"></a><var>130.2</var>section 
         <statute_ref>273.111</statute_ref>.<br/>
<a id="pl.130.3"></a><var>130.3</var>    (h) The property classification under this section supersedes, for property tax <br/>
<a id="pl.130.4"></a><var>130.4</var>purposes only, any locally administered agricultural policies or land use restrictions that <br/>
<a id="pl.130.5"></a><var>130.5</var>define minimum or maximum farm acreage.<br/>
<a id="pl.130.6"></a><var>130.6</var>    (i) The term "agricultural products" as used in this subdivision includes production <br/>
<a id="pl.130.7"></a><var>130.7</var>for sale of:<br/>
<a id="pl.130.8"></a><var>130.8</var>    (1) livestock, dairy animals, dairy products, poultry and poultry products, fur-bearing <br/>
<a id="pl.130.9"></a><var>130.9</var>animals, horticultural and nursery stock, fruit of all kinds, vegetables, forage, grains, <br/>
<a id="pl.130.10"></a><var>130.10</var>bees, and apiary products by the owner;<br/>
<a id="pl.130.11"></a><var>130.11</var>    (2) fish bred for sale and consumption if the fish breeding occurs on land zoned <br/>
<a id="pl.130.12"></a><var>130.12</var>for agricultural use;<br/>
<a id="pl.130.13"></a><var>130.13</var>    (3) the commercial boarding of horses, which may include related horse training and <br/>
<a id="pl.130.14"></a><var>130.14</var>riding instruction, if the boarding is done on property that is also used for raising pasture <br/>
<a id="pl.130.15"></a><var>130.15</var>to graze horses or raising or cultivating other agricultural products as defined in clause (1);<br/>
<a id="pl.130.16"></a><var>130.16</var>    (4) property which is owned and operated by nonprofit organizations used for <br/>
<a id="pl.130.17"></a><var>130.17</var>equestrian activities, excluding racing;<br/>
<a id="pl.130.18"></a><var>130.18</var>    (5) game birds and waterfowl bred and raised (i) on a game farm licensed under <br/>
<a id="pl.130.19"></a><var>130.19</var>section 
         <statute_ref>97A.105</statute_ref>, provided that the annual licensing report to the Department of Natural <br/>
<a id="pl.130.20"></a><var>130.20</var>Resources, which must be submitted annually by March 30 to the assessor, indicates <br/>
<a id="pl.130.21"></a><var>130.21</var>that at least 500 birds were raised or used for breeding stock on the property during the <br/>
<a id="pl.130.22"></a><var>130.22</var>preceding year and that the owner provides a copy of the owner's most recent schedule F; <br/>
<a id="pl.130.23"></a><var>130.23</var>or (ii) for use on a shooting preserve licensed under section 
         <statute_ref>97A.115</statute_ref>;<br/>
<a id="pl.130.24"></a><var>130.24</var>    (6) insects primarily bred to be used as food for animals;<br/>
<a id="pl.130.25"></a><var>130.25</var>    (7) trees, grown for sale as a crop, including short rotation woody crops, and not <br/>
<a id="pl.130.26"></a><var>130.26</var>sold for timber, lumber, wood, or wood products; and<br/>
<a id="pl.130.27"></a><var>130.27</var>    (8) maple syrup taken from trees grown by a person licensed by the Minnesota <br/>
<a id="pl.130.28"></a><var>130.28</var>Department of Agriculture under chapter 28A as a food processor.<br/>
<a id="pl.130.29"></a><var>130.29</var>    (j) If a parcel used for agricultural purposes is also used for commercial or industrial <br/>
<a id="pl.130.30"></a><var>130.30</var>purposes, including but not limited to:<br/>
<a id="pl.130.31"></a><var>130.31</var>    (1) wholesale and retail sales;<br/>
<a id="pl.130.32"></a><var>130.32</var>    (2) processing of raw agricultural products or other goods;<br/>
<a id="pl.130.33"></a><var>130.33</var>    (3) warehousing or storage of processed goods; and<br/>
<a id="pl.130.34"></a><var>130.34</var>    (4) office facilities for the support of the activities enumerated in clauses (1), (2), <br/>
<a id="pl.130.35"></a><var>130.35</var>and (3),<br/>
<a id="pl.131.1"></a><var>131.1</var>the assessor shall classify the part of the parcel used for agricultural purposes as class <br/>
<a id="pl.131.2"></a><var>131.2</var>1b, 2a, or 2b, whichever is appropriate, and the remainder in the class appropriate to its <br/>
<a id="pl.131.3"></a><var>131.3</var>use. The grading, sorting, and packaging of raw agricultural products for first sale is <br/>
<a id="pl.131.4"></a><var>131.4</var>considered an agricultural purpose. A greenhouse or other building where horticultural <br/>
<a id="pl.131.5"></a><var>131.5</var>or nursery products are grown that is also used for the conduct of retail sales must be <br/>
<a id="pl.131.6"></a><var>131.6</var>classified as agricultural if it is primarily used for the growing of horticultural or nursery <br/>
<a id="pl.131.7"></a><var>131.7</var>products from seed, cuttings, or roots and occasionally as a showroom for the retail sale of <br/>
<a id="pl.131.8"></a><var>131.8</var>those products. Use of a greenhouse or building only for the display of already grown <br/>
<a id="pl.131.9"></a><var>131.9</var>horticultural or nursery products does not qualify as an agricultural purpose.<br/>
<a id="pl.131.10"></a><var>131.10</var>    (k) The assessor shall determine and list separately on the records the market value <br/>
<a id="pl.131.11"></a><var>131.11</var>of the homestead dwelling and the one acre of land on which that dwelling is located. If <br/>
<a id="pl.131.12"></a><var>131.12</var>any farm buildings or structures are located on this homesteaded acre of land, their market <br/>
<a id="pl.131.13"></a><var>131.13</var>value shall not be included in this separate determination.<br/>
<a id="pl.131.14"></a><var>131.14</var>    (l) Class 2d airport landing area consists of a landing area or public access area of <br/>
<a id="pl.131.15"></a><var>131.15</var>a privately owned public use airport. It has a class rate of one percent of market value. <br/>
<a id="pl.131.16"></a><var>131.16</var>To qualify for classification under this paragraph, a privately owned public use airport <br/>
<a id="pl.131.17"></a><var>131.17</var>must be licensed as a public airport under section 
         <statute_ref>360.018</statute_ref>. For purposes of this paragraph, <br/>
<a id="pl.131.18"></a><var>131.18</var>"landing area" means that part of a privately owned public use airport properly cleared, <br/>
<a id="pl.131.19"></a><var>131.19</var>regularly maintained, and made available to the public for use by aircraft and includes <br/>
<a id="pl.131.20"></a><var>131.20</var>runways, taxiways, aprons, and sites upon which are situated landing or navigational aids. <br/>
<a id="pl.131.21"></a><var>131.21</var>A landing area also includes land underlying both the primary surface and the approach <br/>
<a id="pl.131.22"></a><var>131.22</var>surfaces that comply with all of the following:<br/>
<a id="pl.131.23"></a><var>131.23</var>    (i) the land is properly cleared and regularly maintained for the primary purposes of <br/>
<a id="pl.131.24"></a><var>131.24</var>the landing, taking off, and taxiing of aircraft; but that portion of the land that contains <br/>
<a id="pl.131.25"></a><var>131.25</var>facilities for servicing, repair, or maintenance of aircraft is not included as a landing area;<br/>
<a id="pl.131.26"></a><var>131.26</var>    (ii) the land is part of the airport property; and<br/>
<a id="pl.131.27"></a><var>131.27</var>    (iii) the land is not used for commercial or residential purposes.<br/>
<a id="pl.131.28"></a><var>131.28</var>The land contained in a landing area under this paragraph must be described and certified <br/>
<a id="pl.131.29"></a><var>131.29</var>by the commissioner of transportation. The certification is effective until it is modified, <br/>
<a id="pl.131.30"></a><var>131.30</var>or until the airport or landing area no longer meets the requirements of this paragraph. <br/>
<a id="pl.131.31"></a><var>131.31</var>For purposes of this paragraph, "public access area" means property used as an aircraft <br/>
<a id="pl.131.32"></a><var>131.32</var>parking ramp, apron, or storage hangar, or an arrival and departure building in connection <br/>
<a id="pl.131.33"></a><var>131.33</var>with the airport.<br/>
<a id="pl.131.34"></a><var>131.34</var>    (m) Class 2e consists of land with a commercial aggregate deposit that is not actively <br/>
<a id="pl.131.35"></a><var>131.35</var>being mined and is not otherwise classified as class 2a or 2b, provided that the land is not <br/>
<a id="pl.131.36"></a><var>131.36</var>located in a county that has elected to opt-out of the aggregate preservation program as <br/>
<a id="pl.132.1"></a><var>132.1</var>provided in section 
         <statute_ref>273.1115, subdivision 6</statute_ref>. It has a class rate of one percent of market <br/>
<a id="pl.132.2"></a><var>132.2</var>value. To qualify for classification under this paragraph, the property must be at least <br/>
<a id="pl.132.3"></a><var>132.3</var>ten contiguous acres in size and the owner of the property must record with the county <br/>
<a id="pl.132.4"></a><var>132.4</var>recorder of the county in which the property is located an affidavit containing:<br/>
<a id="pl.132.5"></a><var>132.5</var>    (1) a legal description of the property;<br/>
<a id="pl.132.6"></a><var>132.6</var>    (2) a disclosure that the property contains a commercial aggregate deposit that is not <br/>
<a id="pl.132.7"></a><var>132.7</var>actively being mined but is present on the entire parcel enrolled;<br/>
<a id="pl.132.8"></a><var>132.8</var>    (3) documentation that the conditional use under the county or local zoning <br/>
<a id="pl.132.9"></a><var>132.9</var>ordinance of this property is for mining; and<br/>
<a id="pl.132.10"></a><var>132.10</var>    (4) documentation that a permit has been issued by the local unit of government <br/>
<a id="pl.132.11"></a><var>132.11</var>or the mining activity is allowed under local ordinance. The disclosure must include a <br/>
<a id="pl.132.12"></a><var>132.12</var>statement from a registered professional geologist, engineer, or soil scientist delineating <br/>
<a id="pl.132.13"></a><var>132.13</var>the deposit and certifying that it is a commercial aggregate deposit.<br/>
<a id="pl.132.14"></a><var>132.14</var>    For purposes of this section and section 
         <statute_ref>273.1115</statute_ref>, "commercial aggregate deposit" <br/>
<a id="pl.132.15"></a><var>132.15</var>means a deposit that will yield crushed stone or sand and gravel that is suitable for use <br/>
<a id="pl.132.16"></a><var>132.16</var>as a construction aggregate; and "actively mined" means the removal of top soil and <br/>
<a id="pl.132.17"></a><var>132.17</var>overburden in preparation for excavation or excavation of a commercial deposit.<br/>
<a id="pl.132.18"></a><var>132.18</var>    (n) When any portion of the property under this subdivision or subdivision 22 begins <br/>
<a id="pl.132.19"></a><var>132.19</var>to be actively mined, the owner must file a supplemental affidavit within 60 days from <br/>
<a id="pl.132.20"></a><var>132.20</var>the day any aggregate is removed stating the number of acres of the property that is <br/>
<a id="pl.132.21"></a><var>132.21</var>actively being mined. The acres actively being mined must be (1) valued and classified <br/>
<a id="pl.132.22"></a><var>132.22</var>under subdivision 24 in the next subsequent assessment year, and (2) removed from the <br/>
<a id="pl.132.23"></a><var>132.23</var>aggregate resource preservation property tax program under section 
         <statute_ref>273.1115</statute_ref>, if the <br/>
<a id="pl.132.24"></a><var>132.24</var>land was enrolled in that program. Copies of the original affidavit and all supplemental <br/>
<a id="pl.132.25"></a><var>132.25</var>affidavits must be filed with the county assessor, the local zoning administrator, and the <br/>
<a id="pl.132.26"></a><var>132.26</var>Department of Natural Resources, Division of Land and Minerals. A supplemental <br/>
<a id="pl.132.27"></a><var>132.27</var>affidavit must be filed each time a subsequent portion of the property is actively mined, <br/>
<a id="pl.132.28"></a><var>132.28</var>provided that the minimum acreage change is five acres, even if the actual mining activity <br/>
<a id="pl.132.29"></a><var>132.29</var>constitutes less than five acres.<br/>
<a id="pl.132.30"></a><var>132.30</var>    (o) The definitions prescribed by the commissioner under paragraphs (c) and (d) are <br/>
<a id="pl.132.31"></a><var>132.31</var>not rules and are exempt from the rulemaking provisions of chapter 14, and the provisions <br/>
<a id="pl.132.32"></a><var>132.32</var>in section 
         <statute_ref>14.386</statute_ref> concerning exempt rules do not apply.<br/>
<a id="pl.132.33"></a><var>132.33</var><b>EFFECTIVE DATE.</b>This section is effective for taxes payable in 2014 and <br/>
<a id="pl.132.34"></a><var>132.34</var>thereafter.<br/>
<br/>
<a id="bill.8.11.0"></a><a id="pl.132.35"></a><var>132.35</var>    Sec. 11. Minnesota Statutes 2012, section 273.13, subdivision 25, is amended to read:<br/>
<a id="pl.133.1"></a><var>133.1</var>    Subd. 25. <b>Class 4.</b> (a) Class 4a is residential real estate containing four or more <br/>
<a id="pl.133.2"></a><var>133.2</var>units and used or held for use by the owner or by the tenants or lessees of the owner <br/>
<a id="pl.133.3"></a><var>133.3</var>as a residence for rental periods of 30 days or more, excluding property qualifying for <br/>
<a id="pl.133.4"></a><var>133.4</var>class 4d. Class 4a also includes hospitals licensed under sections 
         <statute_ref>144.50</statute_ref> to 
         <statute_ref>144.56</statute_ref>, other <br/>
<a id="pl.133.5"></a><var>133.5</var>than hospitals exempt under section 
         <statute_ref>272.02</statute_ref>, and contiguous property used for hospital <br/>
<a id="pl.133.6"></a><var>133.6</var>purposes, without regard to whether the property has been platted or subdivided. The <br/>
<a id="pl.133.7"></a><var>133.7</var>market value of class 4a property has a class rate of 1.25 percent.<br/>
<a id="pl.133.8"></a><var>133.8</var>    (b) Class 4b includes:<br/>
<a id="pl.133.9"></a><var>133.9</var>    (1) residential real estate containing less than four units that does not qualify as class <br/>
<a id="pl.133.10"></a><var>133.10</var>4bb, other than seasonal residential recreational property;<br/>
<a id="pl.133.11"></a><var>133.11</var>    (2) manufactured homes not classified under any other provision;<br/>
<a id="pl.133.12"></a><var>133.12</var>    (3) a dwelling, garage, and surrounding one acre of property on a nonhomestead <br/>
<a id="pl.133.13"></a><var>133.13</var>farm classified under subdivision 23, paragraph (b) containing two or three units; and<br/>
<a id="pl.133.14"></a><var>133.14</var>    (4) unimproved property that is classified residential as determined under subdivision <br/>
<a id="pl.133.15"></a><var>133.15</var>33.<br/>
<a id="pl.133.16"></a><var>133.16</var>    The market value of class 4b property has a class rate of 1.25 percent.<br/>
<a id="pl.133.17"></a><var>133.17</var>    (c) Class 4bb includes:<br/>
<a id="pl.133.18"></a><var>133.18</var>    (1) nonhomestead residential real estate containing one unit, other than seasonal <br/>
<a id="pl.133.19"></a><var>133.19</var>residential recreational property; and<br/>
<a id="pl.133.20"></a><var>133.20</var>    (2) a single family dwelling, garage, and surrounding one acre of property on a <br/>
<a id="pl.133.21"></a><var>133.21</var>nonhomestead farm classified under subdivision 23, paragraph (b).<br/>
<a id="pl.133.22"></a><var>133.22</var>    Class 4bb property has the same class rates as class 1a property under subdivision 22.<br/>
<a id="pl.133.23"></a><var>133.23</var>    Property that has been classified as seasonal residential recreational property at <br/>
<a id="pl.133.24"></a><var>133.24</var>any time during which it has been owned by the current owner or spouse of the current <br/>
<a id="pl.133.25"></a><var>133.25</var>owner does not qualify for class 4bb.<br/>
<a id="pl.133.26"></a><var>133.26</var>    (d) Class 4c property includes:<br/>
<a id="pl.133.27"></a><var>133.27</var>    (1) except as provided in subdivision 22, paragraph (c), real and personal property <br/>
<a id="pl.133.28"></a><var>133.28</var>devoted to commercial temporary and seasonal residential occupancy for recreation <br/>
<a id="pl.133.29"></a><var>133.29</var>purposes, for not more than 250 days in the year preceding the year of assessment. For <br/>
<a id="pl.133.30"></a><var>133.30</var>purposes of this clause, property is devoted to a commercial purpose on a specific day <br/>
<a id="pl.133.31"></a><var>133.31</var>if any portion of the property is used for residential occupancy, and a fee is charged for <br/>
<a id="pl.133.32"></a><var>133.32</var>residential occupancy. Class 4c property under this clause must contain three or more <br/>
<a id="pl.133.33"></a><var>133.33</var>rental units. A "rental unit" is defined as a cabin, condominium, townhouse, sleeping room, <br/>
<a id="pl.133.34"></a><var>133.34</var>or individual camping site equipped with water and electrical hookups for recreational <br/>
<a id="pl.133.35"></a><var>133.35</var>vehicles. A camping pad offered for rent by a property that otherwise qualifies for class <br/>
<a id="pl.133.36"></a><var>133.36</var>4c under this clause is also class 4c under this clause regardless of the term of the rental <br/>
<a id="pl.134.1"></a><var>134.1</var>agreement, as long as the use of the camping pad does not exceed 250 days. In order for a <br/>
<a id="pl.134.2"></a><var>134.2</var>property to be classified under this clause, either (i) the business located on the property <br/>
<a id="pl.134.3"></a><var>134.3</var>must provide recreational activities, at least 40 percent of the annual gross lodging receipts <br/>
<a id="pl.134.4"></a><var>134.4</var>related to the property must be from business conducted during 90 consecutive days, <br/>
<a id="pl.134.5"></a><var>134.5</var>and either (A) at least 60 percent of all paid bookings by lodging guests during the year <br/>
<a id="pl.134.6"></a><var>134.6</var>must be for periods of at least two consecutive nights; or (B) at least 20 percent of the <br/>
<a id="pl.134.7"></a><var>134.7</var>annual gross receipts must be from charges for providing recreational activities, or (ii) the <br/>
<a id="pl.134.8"></a><var>134.8</var>business must contain 20 or fewer rental units, and must be located in a township or a city <br/>
<a id="pl.134.9"></a><var>134.9</var>with a population of 2,500 or less located outside the metropolitan area, as defined under <br/>
<a id="pl.134.10"></a><var>134.10</var>section 
         <statute_ref>473.121</statute_ref>, subdivision 2, that contains a portion of a state trail administered by the <br/>
<a id="pl.134.11"></a><var>134.11</var>Department of Natural Resources. For purposes of item (i)(A), a paid booking of five or <br/>
<a id="pl.134.12"></a><var>134.12</var>more nights shall be counted as two bookings. Class 4c property also includes commercial <br/>
<a id="pl.134.13"></a><var>134.13</var>use real property used exclusively for recreational purposes in conjunction with other class <br/>
<a id="pl.134.14"></a><var>134.14</var>4c property classified under this clause and devoted to temporary and seasonal residential <br/>
<a id="pl.134.15"></a><var>134.15</var>occupancy for recreational purposes, up to a total of two acres, provided the property is <br/>
<a id="pl.134.16"></a><var>134.16</var>not devoted to commercial recreational use for more than 250 days in the year preceding <br/>
<a id="pl.134.17"></a><var>134.17</var>the year of assessment and is located within two miles of the class 4c property with which <br/>
<a id="pl.134.18"></a><var>134.18</var>it is used. In order for a property to qualify for classification under this clause, the owner <br/>
<a id="pl.134.19"></a><var>134.19</var>must submit a declaration to the assessor designating the cabins or units occupied for 250 <br/>
<a id="pl.134.20"></a><var>134.20</var>days or less in the year preceding the year of assessment by January 15 of the assessment <br/>
<a id="pl.134.21"></a><var>134.21</var>year. Those cabins or units and a proportionate share of the land on which they are located <br/>
<a id="pl.134.22"></a><var>134.22</var>must be designated class 4c under this clause as otherwise provided. The remainder of the <br/>
<a id="pl.134.23"></a><var>134.23</var>cabins or units and a proportionate share of the land on which they are located will be <br/>
<a id="pl.134.24"></a><var>134.24</var>designated as class 3a. The owner of property desiring designation as class 4c property <br/>
<a id="pl.134.25"></a><var>134.25</var>under this clause must provide guest registers or other records demonstrating that the units <br/>
<a id="pl.134.26"></a><var>134.26</var>for which class 4c designation is sought were not occupied for more than 250 days in the <br/>
<a id="pl.134.27"></a><var>134.27</var>year preceding the assessment if so requested. The portion of a property operated as a <br/>
<a id="pl.134.28"></a><var>134.28</var>(1) restaurant, (2) bar, (3) gift shop, (4) conference center or meeting room, and (5) other <br/>
<a id="pl.134.29"></a><var>134.29</var>nonresidential facility operated on a commercial basis not directly related to temporary and <br/>
<a id="pl.134.30"></a><var>134.30</var>seasonal residential occupancy for recreation purposes does not qualify for class 4c. For <br/>
<a id="pl.134.31"></a><var>134.31</var>the purposes of this paragraph, "recreational activities" means renting ice fishing houses, <br/>
<a id="pl.134.32"></a><var>134.32</var>boats and motors, snowmobiles, downhill or cross-country ski equipment; providing <br/>
<a id="pl.134.33"></a><var>134.33</var>marina services, launch services, or guide services; or selling bait and fishing tackle;<br/>
<a id="pl.134.34"></a><var>134.34</var>    (2) qualified property used as a golf course if:<br/>
<a id="pl.134.35"></a><var>134.35</var>    (i) it is open to the public on a daily fee basis. It may charge membership fees or <br/>
<a id="pl.134.36"></a><var>134.36</var>dues, but a membership fee may not be required in order to use the property for golfing, <br/>
<a id="pl.135.1"></a><var>135.1</var>and its green fees for golfing must be comparable to green fees typically charged by <br/>
<a id="pl.135.2"></a><var>135.2</var>municipal courses; and<br/>
<a id="pl.135.3"></a><var>135.3</var>    (ii) it meets the requirements of section 
         <statute_ref>273.112, subdivision 3</statute_ref>, paragraph (d).<br/>
<a id="pl.135.4"></a><var>135.4</var>    A structure used as a clubhouse, restaurant, or place of refreshment in conjunction <br/>
<a id="pl.135.5"></a><var>135.5</var>with the golf course is classified as class 3a property;<br/>
<a id="pl.135.6"></a><var>135.6</var>    (3) real property up to a maximum of three acres of land owned and used by a <br/>
<a id="pl.135.7"></a><var>135.7</var>nonprofit community service oriented organization and not used for residential purposes <br/>
<a id="pl.135.8"></a><var>135.8</var>on either a temporary or permanent basis, provided that:<br/>
<a id="pl.135.9"></a><var>135.9</var>    (i) the property is not used for a revenue-producing activity for more than six days <br/>
<a id="pl.135.10"></a><var>135.10</var>in the calendar year preceding the year of assessment; or<br/>
<a id="pl.135.11"></a><var>135.11</var>    (ii) the organization makes annual charitable contributions and donations at least <br/>
<a id="pl.135.12"></a><var>135.12</var>equal to the property's previous year's property taxes and the property is allowed to be <br/>
<a id="pl.135.13"></a><var>135.13</var>used for public and community meetings or events for no charge, as appropriate to the <br/>
<a id="pl.135.14"></a><var>135.14</var>size of the facility.<br/>
<a id="pl.135.15"></a><var>135.15</var>    For purposes of this clause:<br/>
<a id="pl.135.16"></a><var>135.16</var>    (A) "charitable contributions and donations" has the same meaning as lawful <br/>
<a id="pl.135.17"></a><var>135.17</var>gambling purposes under section 
         <statute_ref>349.12, subdivision 25</statute_ref>, excluding those purposes <br/>
<a id="pl.135.18"></a><var>135.18</var>relating to the payment of taxes, assessments, fees, auditing costs, and utility payments;<br/>
<a id="pl.135.19"></a><var>135.19</var>    (B) "property taxes" excludes the state general tax;<br/>
<a id="pl.135.20"></a><var>135.20</var>    (C) a "nonprofit community service oriented organization" means any corporation, <br/>
<a id="pl.135.21"></a><var>135.21</var>society, association, foundation, or institution organized and operated exclusively for <br/>
<a id="pl.135.22"></a><var>135.22</var>charitable, religious, fraternal, civic, or educational purposes, and which is exempt from <br/>
<a id="pl.135.23"></a><var>135.23</var>federal income taxation pursuant to section 501(c)(3), (8), (10), or (19) of the Internal <br/>
<a id="pl.135.24"></a><var>135.24</var>Revenue Code; and<br/>
<a id="pl.135.25"></a><var>135.25</var>    (D) "revenue-producing activities" shall include but not be limited to property or that <br/>
<a id="pl.135.26"></a><var>135.26</var>portion of the property that is used as an on-sale intoxicating liquor or 3.2 percent malt <br/>
<a id="pl.135.27"></a><var>135.27</var>liquor establishment licensed under chapter 340A, a restaurant open to the public, bowling <br/>
<a id="pl.135.28"></a><var>135.28</var>alley, a retail store, gambling conducted by organizations licensed under chapter 349, an <br/>
<a id="pl.135.29"></a><var>135.29</var>insurance business, or office or other space leased or rented to a lessee who conducts a <br/>
<a id="pl.135.30"></a><var>135.30</var>for-profit enterprise on the premises.<br/>
<a id="pl.135.31"></a><var>135.31</var>Any portion of the property not qualifying under either item (i) or (ii) is class 3a. The use <br/>
<a id="pl.135.32"></a><var>135.32</var>of the property for social events open exclusively to members and their guests for periods <br/>
<a id="pl.135.33"></a><var>135.33</var>of less than 24 hours, when an admission is not charged nor any revenues are received by <br/>
<a id="pl.135.34"></a><var>135.34</var>the organization shall not be considered a revenue-producing activity.<br/>
<a id="pl.135.35"></a><var>135.35</var>    The organization shall maintain records of its charitable contributions and donations <br/>
<a id="pl.135.36"></a><var>135.36</var>and of public meetings and events held on the property and make them available upon <br/>
<a id="pl.136.1"></a><var>136.1</var>request any time to the assessor to ensure eligibility. An organization meeting the <br/>
<a id="pl.136.2"></a><var>136.2</var>requirement under item (ii) must file an application by May 1 with the assessor for <br/>
<a id="pl.136.3"></a><var>136.3</var>eligibility for the current year's assessment. The commissioner shall prescribe a uniform <br/>
<a id="pl.136.4"></a><var>136.4</var>application form and instructions;<br/>
<a id="pl.136.5"></a><var>136.5</var>    (4) postsecondary student housing of not more than one acre of land that is owned by <br/>
<a id="pl.136.6"></a><var>136.6</var>a nonprofit corporation organized under chapter 317A and is used exclusively by a student <br/>
<a id="pl.136.7"></a><var>136.7</var>cooperative, sorority, or fraternity for on-campus housing or housing located within two <br/>
<a id="pl.136.8"></a><var>136.8</var>miles of the border of a college campus;<br/>
<a id="pl.136.9"></a><var>136.9</var>    (5)(i) manufactured home parks as defined in section 
         <statute_ref>327.14, subdivision 3</statute_ref>, <br/>
<a id="pl.136.10"></a><var>136.10</var>excluding manufactured home parks described in section 
         <statute_ref>273.124, subdivision 3a</statute_ref>, and (ii) <br/>
<a id="pl.136.11"></a><var>136.11</var>manufactured home parks as defined in section 
         <statute_ref>327.14, subdivision 3</statute_ref>, that are described in <br/>
<a id="pl.136.12"></a><var>136.12</var>section 
         <statute_ref>273.124, subdivision 3a</statute_ref>;<br/>
<a id="pl.136.13"></a><var>136.13</var>    (6) real property that is actively and exclusively devoted to indoor fitness, health, <br/>
<a id="pl.136.14"></a><var>136.14</var>social, recreational, and related uses, is owned and operated by a not-for-profit corporation, <br/>
<a id="pl.136.15"></a><var>136.15</var>and is located within the metropolitan area as defined in section 
         <statute_ref>473.121, subdivision 2</statute_ref>;<br/>
<a id="pl.136.16"></a><var>136.16</var>    (7) a leased or privately owned noncommercial aircraft storage hangar not exempt <br/>
<a id="pl.136.17"></a><var>136.17</var>under section 
         <statute_ref>272.01, subdivision 2</statute_ref>, and the land on which it is located, provided that:<br/>
<a id="pl.136.18"></a><var>136.18</var>    (i) the land is on an airport owned or operated by a city, town, county, Metropolitan <br/>
<a id="pl.136.19"></a><var>136.19</var>Airports Commission, or group thereof; and<br/>
<a id="pl.136.20"></a><var>136.20</var>    (ii) the land lease, or any ordinance or signed agreement restricting the use of the <br/>
<a id="pl.136.21"></a><var>136.21</var>leased premise, prohibits commercial activity performed at the hangar.<br/>
<a id="pl.136.22"></a><var>136.22</var>    If a hangar classified under this clause is sold after June 30, 2000, a bill of sale must <br/>
<a id="pl.136.23"></a><var>136.23</var>be filed by the new owner with the assessor of the county where the property is located <br/>
<a id="pl.136.24"></a><var>136.24</var>within 60 days of the sale;<br/>
<a id="pl.136.25"></a><var>136.25</var>    (8) a privately owned noncommercial aircraft storage hangar not exempt under <br/>
<a id="pl.136.26"></a><var>136.26</var>section 
         <statute_ref>272.01, subdivision 2</statute_ref>, and the land on which it is located, provided that:<br/>
<a id="pl.136.27"></a><var>136.27</var>    (i) the land abuts a public airport; and<br/>
<a id="pl.136.28"></a><var>136.28</var>    (ii) the owner of the aircraft storage hangar provides the assessor with a signed <br/>
<a id="pl.136.29"></a><var>136.29</var>agreement restricting the use of the premises, prohibiting commercial use or activity <br/>
<a id="pl.136.30"></a><var>136.30</var>performed at the hangar; and<br/>
<a id="pl.136.31"></a><var>136.31</var>    (9) residential real estate, a portion of which is used by the owner for homestead <br/>
<a id="pl.136.32"></a><var>136.32</var>purposes, and that is also a place of lodging, if all of the following criteria are met:<br/>
<a id="pl.136.33"></a><var>136.33</var>    (i) rooms are provided for rent to transient guests that generally stay for periods <br/>
<a id="pl.136.34"></a><var>136.34</var>of 14 or fewer days;<br/>
<a id="pl.136.35"></a><var>136.35</var>    (ii) meals are provided to persons who rent rooms, the cost of which is incorporated <br/>
<a id="pl.136.36"></a><var>136.36</var>in the basic room rate;<br/>
<a id="pl.137.1"></a><var>137.1</var>    (iii) meals are not provided to the general public except for special events on fewer <br/>
<a id="pl.137.2"></a><var>137.2</var>than seven days in the calendar year preceding the year of the assessment; and<br/>
<a id="pl.137.3"></a><var>137.3</var>    (iv) the owner is the operator of the property.<br/>
<a id="pl.137.4"></a><var>137.4</var>The market value subject to the 4c classification under this clause is limited to five rental <br/>
<a id="pl.137.5"></a><var>137.5</var>units. Any rental units on the property in excess of five, must be valued and assessed as <br/>
<a id="pl.137.6"></a><var>137.6</var>class 3a. The portion of the property used for purposes of a homestead by the owner must <br/>
<a id="pl.137.7"></a><var>137.7</var>be classified as class 1a property under subdivision 22;<br/>
<a id="pl.137.8"></a><var>137.8</var>    (10) real property up to a maximum of three acres and operated as a restaurant <br/>
<a id="pl.137.9"></a><var>137.9</var>as defined under section 
         <statute_ref>157.15, subdivision 12</statute_ref>, provided it: (A) is located on a lake <br/>
<a id="pl.137.10"></a><var>137.10</var>as defined under section 
         <statute_ref>103G.005, subdivision 15</statute_ref>, paragraph (a), clause (3); and (B) <br/>
<a id="pl.137.11"></a><var>137.11</var>is either devoted to commercial purposes for not more than 250 consecutive days, or <br/>
<a id="pl.137.12"></a><var>137.12</var>receives at least 60 percent of its annual gross receipts from business conducted during <br/>
<a id="pl.137.13"></a><var>137.13</var>four consecutive months. Gross receipts from the sale of alcoholic beverages must be <br/>
<a id="pl.137.14"></a><var>137.14</var>included in determining the property's qualification under subitem (B). The property's <br/>
<a id="pl.137.15"></a><var>137.15</var>primary business must be as a restaurant and not as a bar. Gross receipts from gift shop <br/>
<a id="pl.137.16"></a><var>137.16</var>sales located on the premises must be excluded. Owners of real property desiring 4c <br/>
<a id="pl.137.17"></a><var>137.17</var>classification under this clause must submit an annual declaration to the assessor by <br/>
<a id="pl.137.18"></a><var>137.18</var>February 1 of the current assessment year, based on the property's relevant information for <br/>
<a id="pl.137.19"></a><var>137.19</var>the preceding assessment year;<br/>
<a id="pl.137.20"></a><var>137.20</var>    (11) lakeshore and riparian property and adjacent land, not to exceed six acres, used <br/>
<a id="pl.137.21"></a><var>137.21</var>as a marina, as defined in section 
         <statute_ref>86A.20, subdivision 5</statute_ref>, which is made accessible to <br/>
<a id="pl.137.22"></a><var>137.22</var>the public and devoted to recreational use for marina services. The marina owner must <br/>
<a id="pl.137.23"></a><var>137.23</var>annually provide evidence to the assessor that it provides services, including lake or river <br/>
<a id="pl.137.24"></a><var>137.24</var>access to the public by means of an access ramp or other facility that is either located on <br/>
<a id="pl.137.25"></a><var>137.25</var>the property of the marina or at a publicly owned site that abuts the property of the marina. <br/>
<a id="pl.137.26"></a><var>137.26</var>No more than 800 feet of lakeshore may be included in this classification. Buildings used <br/>
<a id="pl.137.27"></a><var>137.27</var>in conjunction with a marina for marina services, including but not limited to buildings <br/>
<a id="pl.137.28"></a><var>137.28</var>used to provide food and beverage services, fuel, boat repairs, or the sale of bait or fishing <br/>
<a id="pl.137.29"></a><var>137.29</var>tackle, are classified as class 3a property; and<br/>
<a id="pl.137.30"></a><var>137.30</var>    (12) real and personal property devoted to noncommercial temporary and seasonal <br/>
<a id="pl.137.31"></a><var>137.31</var>residential occupancy for recreation purposes.<br/>
<a id="pl.137.32"></a><var>137.32</var>    Class 4c property has a class rate of 1.5 percent of market value, except that (i) each <br/>
<a id="pl.137.33"></a><var>137.33</var>parcel of noncommercial seasonal residential recreational property under clause (12) <br/>
<a id="pl.137.34"></a><var>137.34</var>has the same class rates as class 4bb property, (ii) manufactured home parks assessed <br/>
<a id="pl.137.35"></a><var>137.35</var>under clause (5), item (i), have the same class rate as class 4b property, and the market <br/>
<a id="pl.137.36"></a><var>137.36</var>value of manufactured home parks assessed under clause (5), item (ii), has the same class <br/>
<a id="pl.138.1"></a><var>138.1</var>rate as class 4d property if more than 50 percent of the lots in the park are occupied by <br/>
<a id="pl.138.2"></a><var>138.2</var>shareholders in the cooperative corporation or association and a class rate of one percent if <br/>
<a id="pl.138.3"></a><var>138.3</var>50 percent or less of the lots are so occupied, (iii) commercial-use seasonal residential <br/>
<a id="pl.138.4"></a><var>138.4</var>recreational property and marina recreational land as described in clause (11), has a <br/>
<a id="pl.138.5"></a><var>138.5</var>class rate of one percent for the first $500,000 of market value, and 1.25 percent for the <br/>
<a id="pl.138.6"></a><var>138.6</var>remaining market value, (iv) the market value of property described in clause (4) has a <br/>
<a id="pl.138.7"></a><var>138.7</var>class rate of one percent, (v) the market value of property described in clauses (2), (6), and <br/>
<a id="pl.138.8"></a><var>138.8</var>(10) has a class rate of 1.25 percent, and (vi) that portion of the market value of property <br/>
<a id="pl.138.9"></a><var>138.9</var>in clause (9) qualifying for class 4c property has a class rate of 1.25 percent.<br/>
<a id="pl.138.10"></a><var>138.10</var>    (e) Class 4d property is qualifying low-income rental housing certified to the assessor <br/>
<a id="pl.138.11"></a><var>138.11</var>by the Housing Finance Agency under section 
         <statute_ref>273.128, subdivision 3</statute_ref>. If only a portion <br/>
<a id="pl.138.12"></a><var>138.12</var>of the units in the building qualify as low-income rental housing units as certified under <br/>
<a id="pl.138.13"></a><var>138.13</var>section 
         <statute_ref>273.128, subdivision 3</statute_ref>, only the proportion of qualifying units to the total number <br/>
<a id="pl.138.14"></a><var>138.14</var>of units in the building qualify for class 4d. The remaining portion of the building shall be <br/>
<a id="pl.138.15"></a><var>138.15</var>classified by the assessor based upon its use. Class 4d also includes the same proportion of <br/>
<a id="pl.138.16"></a><var>138.16</var>land as the qualifying low-income rental housing units are to the total units in the building. <br/>
<a id="pl.138.17"></a><var>138.17</var>For all properties qualifying as class 4d, the market value determined by the assessor must <br/>
<a id="pl.138.18"></a><var>138.18</var>be based on the normal approach to value using normal unrestricted rents.<br/>
<a id="pl.138.19"></a><var>138.19</var>    Class 4d property has a class rate of 0.75 percent.<br/>
<a id="pl.138.20"></a><var>138.20</var><b>EFFECTIVE DATE.</b>This section is effective for taxes payable in 2014 and <br/>
<a id="pl.138.21"></a><var>138.21</var>thereafter.<br/>
<br/>
<a id="bill.8.12.0"></a><a id="pl.138.22"></a><var>138.22</var>    Sec. 12. Minnesota Statutes 2012, section 273.19, subdivision 1, is amended to read:<br/>
<a id="pl.138.23"></a><var>138.23</var>    Subdivision 1. <b>Tax-exempt property; lease.</b> Except as provided in subdivision 3 or <br/>
<a id="pl.138.24"></a><var>138.24</var>4, tax-exempt property held under a lease for a term of at least one year, and not taxable <br/>
<a id="pl.138.25"></a><var>138.25</var>under section 
         <statute_ref>272.01, subdivision 2</statute_ref>, or under a contract for the purchase thereof, shall be <br/>
<a id="pl.138.26"></a><var>138.26</var>considered, for all purposes of taxation, as the property of the person holding it. In this <br/>
<a id="pl.138.27"></a><var>138.27</var>subdivision, "tax-exempt property" means property owned by the United States, the state<br/>
<a id="pl.138.28"></a><var>138.28</var> or any of its political subdivisions, a school, or any religious, scientific, or benevolent <br/>
<a id="pl.138.29"></a><var>138.29</var>society or institution, incorporated or unincorporated, or any corporation whose property <br/>
<a id="pl.138.30"></a><var>138.30</var>is not taxed in the same manner as other property. This subdivision does not apply to <br/>
<a id="pl.138.31"></a><var>138.31</var>property exempt from taxation under section 
         <statute_ref>272.01, subdivision 2</statute_ref>, paragraph (b), clauses <br/>
<a id="pl.138.32"></a><var>138.32</var>(2), (3), and (4), or to property exempt from taxation under section 
         <statute_ref>272.0213</statute_ref>.<br/>
<a id="pl.138.33"></a><var>138.33</var><b>EFFECTIVE DATE.</b>This section is effective the day following final enactment.<br/>
<br/>
<a id="bill.8.13.0"></a><a id="pl.139.1"></a><var>139.1</var>    Sec. 13. Minnesota Statutes 2012, section 273.372, subdivision 4, is amended to read:<br/>
<a id="pl.139.2"></a><var>139.2</var>    Subd. 4. <b>Administrative appeals.</b> (a) Companies that submit the reports under <br/>
<a id="pl.139.3"></a><var>139.3</var>section 
         <statute_ref>270.82</statute_ref> or 
         <statute_ref>273.371</statute_ref> by the date specified in that section, or by the date specified by <br/>
<a id="pl.139.4"></a><var>139.4</var>the commissioner in an extension, may appeal administratively to the commissioner prior <br/>
<a id="pl.139.5"></a><var>139.5</var>to bringing an action in court by submitting.<br/>
<a id="pl.139.6"></a><var>139.6</var>    (b) Companies that must submit reports under section 270.82 must submit a written <br/>
<a id="pl.139.7"></a><var>139.7</var>request with to the commissioner for a conference within ten days after the date of the <br/>
<a id="pl.139.8"></a><var>139.8</var>commissioner's valuation certification or notice to the company, or by May June 15, <br/>
<a id="pl.139.9"></a><var>139.9</var>whichever is earlier.<br/>
<a id="pl.139.10"></a><var>139.10</var>    (c) Companies that submit reports under section 273.371 must submit a written <br/>
<a id="pl.139.11"></a><var>139.11</var>request to the commissioner for a conference within ten days after the date of the <br/>
<a id="pl.139.12"></a><var>139.12</var>commissioner's valuation certification or notice to the company, or by July 1, whichever <br/>
<a id="pl.139.13"></a><var>139.13</var>is earlier.<br/>
<a id="pl.139.14"></a><var>139.14</var>    (d) The commissioner shall conduct the conference upon the commissioner's entire <br/>
<a id="pl.139.15"></a><var>139.15</var>files and records and such further information as may be offered. The conference must <br/>
<a id="pl.139.16"></a><var>139.16</var>be held no later than 20 days after the date of the commissioner's valuation certification <br/>
<a id="pl.139.17"></a><var>139.17</var>or notice to the company, or by the date specified by the commissioner in an extension. <br/>
<a id="pl.139.18"></a><var>139.18</var>Within 60 days after the conference the commissioner shall make a final determination of <br/>
<a id="pl.139.19"></a><var>139.19</var>the matter and shall notify the company promptly of the determination. The conference <br/>
<a id="pl.139.20"></a><var>139.20</var>is not a contested case hearing.<br/>
<a id="pl.139.21"></a><var>139.21</var>    (b) (e) In addition to the opportunity for a conference under paragraph (a), the <br/>
<a id="pl.139.22"></a><var>139.22</var>commissioner shall also provide the railroad and utility companies the opportunity to <br/>
<a id="pl.139.23"></a><var>139.23</var>discuss any questions or concerns relating to the values established by the commissioner <br/>
<a id="pl.139.24"></a><var>139.24</var>through certification or notice in a less formal manner. This does not change or modify <br/>
<a id="pl.139.25"></a><var>139.25</var>the deadline for requesting a conference under paragraph (a), the deadline in section <br/>
<statute_ref><a id="pl.139.26"></a><var>139.26</var>271.06
         </statute_ref> for appealing an order of the commissioner, or the deadline in section 
         <statute_ref>278.01</statute_ref> for <br/>
<a id="pl.139.27"></a><var>139.27</var>appealing property taxes in court.<br/>
<a id="pl.139.28"></a><var>139.28</var><b>EFFECTIVE DATE.</b>This section is effective beginning with assessment year 2014.<br/>
<br/>
<a id="bill.8.14.0"></a><a id="pl.139.29"></a><var>139.29</var>    Sec. 14. Minnesota Statutes 2012, section 273.39, is amended to read:<br/>
<a id="pl.139.30"></a><var>139.30</var><b>273.39 RURAL AREA.</b><br/>
<a id="pl.139.31"></a><var>139.31</var>    As used in sections 
         <statute_ref>273.39</statute_ref> to 
         <statute_ref>273.41</statute_ref>, the term "rural area" shall be deemed to mean <br/>
<a id="pl.139.32"></a><var>139.32</var>any area of the state not included within the boundaries of any incorporated statutory <br/>
<a id="pl.139.33"></a><var>139.33</var>city or home rule charter city, and such term shall be deemed to include both farm and <br/>
<a id="pl.139.34"></a><var>139.34</var>nonfarm population thereof.<br/>
<a id="pl.140.1"></a><var>140.1</var><b>EFFECTIVE DATE.</b>This section is effective the day following final enactment.<br/>
<br/>
<a id="bill.8.15.0"></a><a id="pl.140.2"></a><var>140.2</var>    Sec. 15. Minnesota Statutes 2012, section 279.06, subdivision 1, is amended to read:<br/>
<a id="pl.140.3"></a><var>140.3</var>    Subdivision 1. <b>List and notice.</b> Within five days after the filing of such list, the <br/>
<a id="pl.140.4"></a><var>140.4</var>court administrator shall return a copy thereof to the county auditor, with a notice prepared <br/>
<a id="pl.140.5"></a><var>140.5</var>and signed by the court administrator, and attached thereto, which may be substantially in <br/>
<a id="pl.140.6"></a><var>140.6</var>the following form:<br/>
<table>
<col width="50px"/>
<col width="15"/>
<col width="5"/>
<col width="20"/>
<col width="22.5"/>
<tr>
<td><a id="pl.140.7"></a><var>140.7</var><br/>
</td>
<td align="left">State of Minnesota<br/>
</td>
<td align="left">)<br/>
</td>
<td align="left"></td>
<td align="left"></td>
</tr>
<tr>
<td><a id="pl.140.8"></a><var>140.8</var><br/>
</td>
<td align="left"></td>
<td align="left">) ss.<br/>
</td>
<td align="left"></td>
<td align="left"></td>
</tr>
<tr>
<td><a id="pl.140.9"></a><var>140.9</var><br/>
</td>
<td align="left">County of <br/>
<span>
                     							.....
                     						</span></td>
<td align="left">)<br/>
</td>
<td align="left"></td>
<td align="left"></td>
</tr>
<tr>
<td><a id="pl.140.10"></a><var>140.10</var><br/>
</td>
<td align="left"></td>
<td align="left"></td>
<td align="left"></td>
<td align="right">District Court<br/>
</td>
</tr>
<tr>
<td><a id="pl.140.11"></a><var>140.11</var><br/>
</td>
<td align="left"></td>
<td align="left"></td>
<td align="left"></td>
<td align="right"><span>
                     							.....
                     						</span>Judicial District.<br/>
</td>
</tr>
</table><a id="pl.140.12"></a><var>140.12</var>    The state of Minnesota, to all persons, companies, or corporations who have or claim <br/>
<a id="pl.140.13"></a><var>140.13</var>any estate, right, title, or interest in, claim to, or lien upon, any of the several parcels of <br/>
<a id="pl.140.14"></a><var>140.14</var>land described in the list hereto attached:<br/>
<a id="pl.140.15"></a><var>140.15</var>    The list of taxes and penalties on real property for the county of ............................... <br/>
<a id="pl.140.16"></a><var>140.16</var>remaining delinquent on the first Monday in January, ......., has been filed in the office of <br/>
<a id="pl.140.17"></a><var>140.17</var>the court administrator of the district court of said county, of which that hereto attached is a <br/>
<a id="pl.140.18"></a><var>140.18</var>copy. Therefore, you, and each of you, are hereby required to file in the office of said court <br/>
<a id="pl.140.19"></a><var>140.19</var>administrator, on or before the 20th day after the publication of this notice and list, your <br/>
<a id="pl.140.20"></a><var>140.20</var>answer, in writing, setting forth any objection or defense you may have to the taxes, or any <br/>
<a id="pl.140.21"></a><var>140.21</var>part thereof, upon any parcel of land described in the list, in, to, or on which you have or <br/>
<a id="pl.140.22"></a><var>140.22</var>claim any estate, right, title, interest, claim, or lien, and, in default thereof, judgment will <br/>
<a id="pl.140.23"></a><var>140.23</var>be entered against such parcel of land for the taxes on such list appearing against it, and <br/>
<a id="pl.140.24"></a><var>140.24</var>for all penalties, interest, and costs. Based upon said judgment, the land shall be sold to <br/>
<a id="pl.140.25"></a><var>140.25</var>the state of Minnesota on the second Monday in May, ....... The period of redemption for <br/>
<a id="pl.140.26"></a><var>140.26</var>all lands sold to the state at a tax judgment sale shall be three years from the date of sale to <br/>
<a id="pl.140.27"></a><var>140.27</var>the state of Minnesota if the land is within an incorporated area unless it is:<br/>
<a id="pl.140.28"></a><var>140.28</var>    (a) nonagricultural homesteaded land as defined in section 
<statute_ref>273.13, subdivision 22</statute_ref>;<br/>
<a id="pl.140.29"></a><var>140.29</var>    (b) homesteaded agricultural land as defined in section 
<statute_ref>273.13, subdivision 23</statute_ref>, <br/>
<a id="pl.140.30"></a><var>140.30</var>paragraph (a);<br/>
<a id="pl.140.31"></a><var>140.31</var>    (c) seasonal residential recreational land as defined in section 
<statute_ref>273.13, subdivisions <br/>
<a id="pl.140.32"></a><var>140.32</var>22, paragraph (c)
</statute_ref>, and 25, paragraph (d), clause (1), in which event the period of <br/>
<a id="pl.140.33"></a><var>140.33</var>redemption is five years from the date of sale to the state of Minnesota;<br/>
<a id="pl.140.34"></a><var>140.34</var>    (d) abandoned property and pursuant to section 
<statute_ref>281.173</statute_ref> a court order has been <br/>
<a id="pl.140.35"></a><var>140.35</var>entered shortening the redemption period to five weeks; or<br/>
<a id="pl.141.1"></a><var>141.1</var>    (e) vacant property as described under section 
<statute_ref>281.174, subdivision 2</statute_ref>, and for which <br/>
<a id="pl.141.2"></a><var>141.2</var>a court order is entered shortening the redemption period under section 
<statute_ref>281.174</statute_ref>.<br/>
<a id="pl.141.3"></a><var>141.3</var>    The period of redemption for all other lands sold to the state at a tax judgment sale <br/>
<a id="pl.141.4"></a><var>141.4</var>shall be five years from the date of sale.<br/>
<a id="pl.141.5"></a><var>141.5</var>    Inquiries as to the proceedings set forth above can be made to the county auditor of <br/>
<a id="pl.141.6"></a><var>141.6</var>..... county whose address is ......<br/>
<table>
<col width="50px"/>
<col width="25"/>
<col width="40"/>
<tr>
<td><a id="pl.141.7"></a><var>141.7</var><br/>
</td>
<td align="left"></td>
<td align="right">(Signed) <span>
                     							.....
                     						</span>,<br/>
</td>
</tr>
<tr>
<td><a id="pl.141.8"></a><var>141.8</var><br/>
<a id="pl.141.9"></a><var>141.9</var><br/>
</td>
<td align="left"></td>
<td align="left">Court Administrator of the District Court of the<br/>
                  		County of <br/>
<span>
                     							.....
                     						</span></td>
</tr>
<tr>
<td><a id="pl.141.10"></a><var>141.10</var><br/>
</td>
<td align="left"></td>
<td align="left">(Here insert list.)<br/>
</td>
</tr>
</table><a id="pl.141.11"></a><var>141.11</var>    The notice must contain a narrative description of the various periods to redeem <br/>
<a id="pl.141.12"></a><var>141.12</var>specified in sections 281.17, 281.173, and 281.174, in the manner prescribed by the <br/>
<a id="pl.141.13"></a><var>141.13</var>commissioner of revenue under subdivision 2.<br/>
<a id="pl.141.14"></a><var>141.14</var>    The list referred to in the notice shall be substantially in the following form:<br/>
<a id="pl.141.15"></a><var>141.15</var>    List of real property for the county of ......................., on which taxes remain <br/>
<a id="pl.141.16"></a><var>141.16</var>delinquent on the first Monday in January, .......<br/>

<table>
<col width="50px"/>
<col width="18.5"/>
<col width="18.5"/>
<col width="10"/>
<col width="9"/>
<col width="9"/>
<tr>
<td><a id="pl.141.19"></a><var>141.19</var><br/>
<a id="pl.141.20"></a><var>141.20</var><br/>
<a id="pl.141.21"></a><var>141.21</var><br/>
<a id="pl.141.22"></a><var>141.22</var><br/>
<a id="pl.141.23"></a><var>141.23</var><br/>
<a id="pl.141.24"></a><var>141.24</var><br/>
<a id="pl.141.25"></a><var>141.25</var><br/>
<a id="pl.141.26"></a><var>141.26</var><br/>
</td>
<td align="left">Names (and Current <br/>
                  		Filed Addresses) for <br/>
                  		the Taxpayers and Fee <br/>
                  		Owners and in Addition <br/>
                  		Those Parties Who Have <br/>
                  		Filed Their Addresses <br/>
                  		Pursuant to section <br/>
<statute_ref>276.041</statute_ref> <br/>
</td>
<td align="center">Subdivision of<br/>
                  		Section<br/>
</td>
<td align="center">Section<br/>
</td>
<td align="center">Tax Parcel<br/>
                  		Number<br/>
</td>
<td align="center">Total Tax <br/>
                  		and Penalty<br/>
</td>
</tr>
<tr>
<td><a id="pl.141.27"></a><var>141.27</var><br/>
</td>
<td align="left"></td>
<td align="center"></td>
<td align="center"></td>
<td align="center"></td>
<td align="center">$ cts.<br/>
</td>
</tr>
<tr>
<td></td>
<td align="left"></td>
<td align="center"></td>
<td align="center"></td>
<td align="center"></td>
<td align="center"></td>
</tr>
<tr>
<td><a id="pl.141.28"></a><var>141.28</var><br/>
<a id="pl.141.29"></a><var>141.29</var><br/>
</td>
<td align="left">John Jones (825 Fremont <br/>
                  		Fairfield, MN 55000)<br/>
</td>
<td align="center" valign="top">S.E. 1/4 of S.W. 1/4<br/>
</td>
<td align="center" valign="top">10<br/>
</td>
<td align="center" valign="top">23101<br/>
</td>
<td align="center" valign="top">2.20<br/>
</td>
</tr>
<tr>
<td></td>
<td align="left"></td>
<td align="center" valign="top"></td>
<td align="center" valign="top"></td>
<td align="center" valign="top"></td>
<td align="center" valign="top"></td>
</tr>
<tr>
<td><a id="pl.142.1"></a><var>142.1</var><br/>
<a id="pl.142.2"></a><var>142.2</var><br/>
<a id="pl.142.3"></a><var>142.3</var><br/>
<a id="pl.142.4"></a><var>142.4</var><br/>
<a id="pl.142.5"></a><var>142.5</var><br/>
<a id="pl.142.6"></a><var>142.6</var><br/>
<a id="pl.142.7"></a><var>142.7</var><br/>
<a id="pl.142.8"></a><var>142.8</var><br/>
<a id="pl.142.9"></a><var>142.9</var><br/>
<a id="pl.142.10"></a><var>142.10</var><br/>
<a id="pl.142.11"></a><var>142.11</var><br/>
<a id="pl.142.12"></a><var>142.12</var><br/>
<a id="pl.142.13"></a><var>142.13</var><br/>
<a id="pl.142.14"></a><var>142.14</var><br/>
<a id="pl.142.15"></a><var>142.15</var><br/>
<a id="pl.142.16"></a><var>142.16</var><br/>
<a id="pl.142.17"></a><var>142.17</var><br/>
<a id="pl.142.18"></a><var>142.18</var><br/>
<a id="pl.142.19"></a><var>142.19</var><br/>
</td>
<td align="left" valign="top">Bruce Smith (2059 Hand <br/>
                  		Fairfield, MN 55000) <br/>
                  		and Fairfield State <br/>
                  		Bank (100 Main Street <br/>
                  		Fairfield, MN 55000)<br/>
</td>
<td align="left">That part of N.E. 1/4 <br/>
                  		of S.W. 1/4 desc. as <br/>
                  		follows: Beg. at the <br/>
                  		S.E. corner of said N.E. <br/>
                  		1/4 of S.W. 1/4; thence <br/>
                  		N. along the E. line of <br/>
                  		said N.E. 1/4 of S.W. <br/>
                  		1/4 a distance of 600 <br/>
                  		ft.; thence W. parallel <br/>
                  		with the S. line of said <br/>
                  		N.E. 1/4 of S.W. 1/4 <br/>
                  		a distance of 600 ft.; <br/>
                  		thence S. parallel with <br/>
                  		said E. line a distance of <br/>
                  		600 ft. to S. line of said <br/>
                  		N.E. 1/4 of S.W. 1/4; <br/>
                  		thence E. along said S. <br/>
                  		line a distance of 600 ft. <br/>
                  		to the point of beg.<br/>
</td>
<td align="center" valign="top">21<br/>
</td>
<td align="center" valign="top">33211<br/>
</td>
<td align="center" valign="top">3.15<br/>
</td>
</tr>
</table><a id="pl.142.20"></a><var>142.20</var>    As to platted property, the form of heading shall conform to circumstances and be <br/>
<a id="pl.142.21"></a><var>142.21</var>substantially in the following form:<br/>

<table>
<col width="50px"/>
<col width="18.5"/>
<col width="18.5"/>
<col width="10"/>
<col width="9"/>
<col width="9"/>
<tr>
<td><a id="pl.142.24"></a><var>142.24</var><br/>
<a id="pl.142.25"></a><var>142.25</var><br/>
<a id="pl.142.26"></a><var>142.26</var><br/>
<a id="pl.142.27"></a><var>142.27</var><br/>
<a id="pl.142.28"></a><var>142.28</var><br/>
<a id="pl.142.29"></a><var>142.29</var><br/>
<a id="pl.142.30"></a><var>142.30</var><br/>
<a id="pl.142.31"></a><var>142.31</var><br/>
</td>
<td align="left">Names (and Current <br/>
                  		Filed Addresses) for <br/>
                  		the Taxpayers and Fee <br/>
                  		Owners and in Addition <br/>
                  		Those Parties Who Have <br/>
                  		Filed Their Addresses <br/>
                  		Pursuant to section <br/>
<statute_ref>276.041<br/>
</statute_ref>
</td>
<td align="center">Lot<br/>
</td>
<td align="center">Block<br/>
</td>
<td align="center">Tax Parcel<br/>
                  		Number<br/>
</td>
<td align="center">Total Tax<br/>
                  		and Penalty<br/>
</td>
</tr>
<tr>
<td><a id="pl.142.32"></a><var>142.32</var><br/>
</td>
<td align="left"></td>
<td align="left"></td>
<td align="left"></td>
<td align="center"></td>
<td align="center">$ cts.<br/>
</td>
</tr>
<tr>
<td></td>
<td align="left"></td>
<td align="left"></td>
<td align="left"></td>
<td align="left"></td>
<td align="left"></td>
</tr>
<tr>
<td><a id="pl.142.33"></a><var>142.33</var><br/>
<a id="pl.142.34"></a><var>142.34</var><br/>
</td>
<td align="left">John Jones (825 Fremont <br/>
                  		Fairfield, MN 55000)<br/>
</td>
<td align="center" valign="top">15<br/>
</td>
<td align="center" valign="top">9<br/>
</td>
<td align="center" valign="top">58243<br/>
</td>
<td align="center" valign="top">2.20<br/>
</td>
</tr>
<tr>
<td><a id="pl.142.35"></a><var>142.35</var><br/>
<a id="pl.142.36"></a><var>142.36</var><br/>
<a id="pl.142.37"></a><var>142.37</var><br/>
<a id="pl.142.38"></a><var>142.38</var><br/>
<a id="pl.142.39"></a><var>142.39</var><br/>
</td>
<td align="left">Bruce Smith (2059 Hand <br/>
                  		Fairfield, MN 55000) <br/>
                  		and Fairfield State <br/>
                  		Bank (100 Main Street <br/>
                  		Fairfield, MN 55000)<br/>
</td>
<td align="center" valign="top">16<br/>
</td>
<td align="center" valign="top">9<br/>
</td>
<td align="center" valign="top">58244<br/>
</td>
<td align="center" valign="top">3.15<br/>
</td>
</tr>
</table><a id="pl.142.40"></a><var>142.40</var>    The names, descriptions, and figures employed in parentheses in the above forms are <br/>
<a id="pl.142.41"></a><var>142.41</var>merely for purposes of illustration.<br/>
<a id="pl.142.42"></a><var>142.42</var>    The name of the town, township, range or city, and addition or subdivision, as the <br/>
<a id="pl.142.43"></a><var>142.43</var>case may be, shall be repeated at the head of each column of the printed lists as brought <br/>
<a id="pl.142.44"></a><var>142.44</var>forward from the preceding column.<br/>
<a id="pl.142.45"></a><var>142.45</var>    Errors in the list shall not be deemed to be a material defect to affect the validity <br/>
<a id="pl.142.46"></a><var>142.46</var>of the judgment and sale.<br/>
<a id="pl.143.1"></a><var>143.1</var><b>EFFECTIVE DATE.</b>This section is effective for lists and notices required after <br/>
<a id="pl.143.2"></a><var>143.2</var>December 31, 2013.<br/>
<br/>
<a id="bill.8.16.0"></a><a id="pl.143.3"></a><var>143.3</var>    Sec. 16. Minnesota Statutes 2012, section 290B.04, subdivision 2, is amended to read:<br/>
<a id="pl.143.4"></a><var>143.4</var>    Subd. 2. <b>Approval; recording.</b> The commissioner shall approve all initial <br/>
<a id="pl.143.5"></a><var>143.5</var>applications that qualify under this chapter and shall notify qualifying homeowners on or <br/>
<a id="pl.143.6"></a><var>143.6</var>before December 1. The commissioner may investigate the facts or require confirmation <br/>
<a id="pl.143.7"></a><var>143.7</var>in regard to an application. The commissioner shall record or file a notice of qualification <br/>
<a id="pl.143.8"></a><var>143.8</var>for deferral, including the names of the qualifying homeowners and a legal description <br/>
<a id="pl.143.9"></a><var>143.9</var>of the property, in the office of the county recorder, or registrar of titles, whichever is <br/>
<a id="pl.143.10"></a><var>143.10</var>applicable, in the county where the qualifying property is located. The notice must state <br/>
<a id="pl.143.11"></a><var>143.11</var>that it serves as a notice of lien and that it includes deferrals under this section for future <br/>
<a id="pl.143.12"></a><var>143.12</var>years. The commissioner shall prescribe the form of the notice. Execution of the notice <br/>
<a id="pl.143.13"></a><var>143.13</var>by the original or facsimile signature of the commissioner or a delegate entitles them to <br/>
<a id="pl.143.14"></a><var>143.14</var>be recorded, and no other attestation, certification, or acknowledgment is necessary. The <br/>
<a id="pl.143.15"></a><var>143.15</var>homeowner shall pay the recording or filing fees for the notice, which, notwithstanding <br/>
<a id="pl.143.16"></a><var>143.16</var>section 
         <statute_ref>357.18</statute_ref>, shall be paid by the homeowner at the time of satisfaction of the lien.<br/>
<a id="pl.143.17"></a><var>143.17</var><b>EFFECTIVE DATE.</b>This section is effective for notices that are both executed <br/>
<a id="pl.143.18"></a><var>143.18</var>and recorded after June 30, 2013.<br/>
<br/>
<a id="bill.8.17.0"></a><a id="pl.143.19"></a><var>143.19</var>    Sec. 17. Minnesota Statutes 2012, section 298.01, subdivision 3, is amended to read:<br/>
<a id="pl.143.20"></a><var>143.20</var>    Subd. 3. <b>Occupation tax; other ores.</b>  Every person engaged in the business of <br/>
<a id="pl.143.21"></a><var>143.21</var>mining, refining, or producing ores, metals, or minerals in this state, except iron ore or <br/>
<a id="pl.143.22"></a><var>143.22</var>taconite concentrates, shall pay an occupation tax to the state of Minnesota as provided <br/>
<a id="pl.143.23"></a><var>143.23</var>in this subdivision. For purposes of this subdivision, mining includes the application of <br/>
<a id="pl.143.24"></a><var>143.24</var>hydrometallurgical processes. Hydrometallurgical processes are processes that extract <br/>
<a id="pl.143.25"></a><var>143.25</var>the ores, metals, or minerals, by use of aqueous solutions that leach, concentrate, and <br/>
<a id="pl.143.26"></a><var>143.26</var>recover the ore, metal, or mineral. The tax is determined in the same manner as the tax <br/>
<a id="pl.143.27"></a><var>143.27</var>imposed by section 
         <statute_ref>290.02</statute_ref>, except that sections 
         <statute_ref>290.05, subdivision 1</statute_ref>, clause (a), 
         <statute_ref>290.17, <br/>
<a id="pl.143.28"></a><var>143.28</var>subdivision 4
         </statute_ref>, and 
         <statute_ref>290.191, subdivision 2</statute_ref>, do not apply, and the occupation tax must <br/>
<a id="pl.143.29"></a><var>143.29</var>be computed by applying to taxable income the rate of 2.45 percent. A person subject <br/>
<a id="pl.143.30"></a><var>143.30</var>to occupation tax under this section shall apportion its net income on the basis of the <br/>
<a id="pl.143.31"></a><var>143.31</var>percentage obtained by taking the sum of:<br/>
<a id="pl.143.32"></a><var>143.32</var>    (1) 75 percent of the percentage which the sales made within this state in connection <br/>
<a id="pl.143.33"></a><var>143.33</var>with the trade or business during the tax period are of the total sales wherever made in <br/>
<a id="pl.143.34"></a><var>143.34</var>connection with the trade or business during the tax period;<br/>
<a id="pl.144.1"></a><var>144.1</var>    (2) 12.5 percent of the percentage which the total tangible property used by the <br/>
<a id="pl.144.2"></a><var>144.2</var>taxpayer in this state in connection with the trade or business during the tax period is of <br/>
<a id="pl.144.3"></a><var>144.3</var>the total tangible property, wherever located, used by the taxpayer in connection with the <br/>
<a id="pl.144.4"></a><var>144.4</var>trade or business during the tax period; and<br/>
<a id="pl.144.5"></a><var>144.5</var>    (3) 12.5 percent of the percentage which the taxpayer's total payrolls paid or incurred <br/>
<a id="pl.144.6"></a><var>144.6</var>in this state or paid in respect to labor performed in this state in connection with the trade <br/>
<a id="pl.144.7"></a><var>144.7</var>or business during the tax period are of the taxpayer's total payrolls paid or incurred in <br/>
<a id="pl.144.8"></a><var>144.8</var>connection with the trade or business during the tax period.<br/>
<a id="pl.144.9"></a><var>144.9</var>    The tax is in addition to all other taxes.<br/>
<a id="pl.144.10"></a><var>144.10</var><b>EFFECTIVE DATE.</b>This section is effective the day following final enactment.<br/>
<br/>
<a id="bill.8.18.0"></a><a id="pl.144.11"></a><var>144.11</var>    Sec. 18. Minnesota Statutes 2012, section 298.018, is amended to read:<br/>
<a id="pl.144.12"></a><var>144.12</var><b>298.018 DISTRIBUTION OF PROCEEDS.</b><br/>
<a id="pl.144.13"></a><var>144.13</var>    Subdivision 1. <b>Within taconite assistance area.</b> The proceeds of the tax paid <br/>
<a id="pl.144.14"></a><var>144.14</var>under sections 
         <statute_ref>298.015</statute_ref> and 
         <statute_ref>298.016</statute_ref> on ores, metals, or minerals and energy resources<br/>
<a id="pl.144.15"></a><var>144.15</var> mined or extracted within the taconite assistance area defined in section 
         <statute_ref>273.1341</statute_ref>, shall <br/>
<a id="pl.144.16"></a><var>144.16</var>be allocated as follows:<br/>
<a id="pl.144.17"></a><var>144.17</var>    (1) five percent to the city or town within which the minerals or energy resources <br/>
<a id="pl.144.18"></a><var>144.18</var>are mined or extracted;<br/>
<a id="pl.144.19"></a><var>144.19</var>    (2) ten percent to the taconite municipal aid account to be distributed as provided <br/>
<a id="pl.144.20"></a><var>144.20</var>in section 
         <statute_ref>298.282</statute_ref>;<br/>
<a id="pl.144.21"></a><var>144.21</var>    (3) ten percent to the school district within which the minerals or energy resources <br/>
<a id="pl.144.22"></a><var>144.22</var>are mined or extracted;<br/>
<a id="pl.144.23"></a><var>144.23</var>    (4) 20 percent to a group of school districts comprised of those school districts <br/>
<a id="pl.144.24"></a><var>144.24</var>wherein the mineral or energy resource was mined or extracted or in which there is a <br/>
<a id="pl.144.25"></a><var>144.25</var>qualifying municipality as defined by section 
         <statute_ref>273.134, paragraph (b)</statute_ref>, in direct proportion <br/>
<a id="pl.144.26"></a><var>144.26</var>to school district indexes as follows: for each school district, its pupil units determined <br/>
<a id="pl.144.27"></a><var>144.27</var>under section 
         <statute_ref>126C.05</statute_ref> for the prior school year shall be multiplied by the ratio of the <br/>
<a id="pl.144.28"></a><var>144.28</var>average adjusted net tax capacity per pupil unit for school districts receiving aid under <br/>
<a id="pl.144.29"></a><var>144.29</var>this clause as calculated pursuant to chapters 122A, 126C, and 127A for the school year <br/>
<a id="pl.144.30"></a><var>144.30</var>ending prior to distribution to the adjusted net tax capacity per pupil unit of the district. <br/>
<a id="pl.144.31"></a><var>144.31</var>Each district shall receive that portion of the distribution which its index bears to the sum <br/>
<a id="pl.144.32"></a><var>144.32</var>of the indices for all school districts that receive the distributions;<br/>
<a id="pl.144.33"></a><var>144.33</var>    (5) 20 percent to the county within which the minerals or energy resources are <br/>
<a id="pl.144.34"></a><var>144.34</var>mined or extracted;<br/>
<a id="pl.145.1"></a><var>145.1</var>    (6) 20 percent to St. Louis County acting as the counties' fiscal agent to be <br/>
<a id="pl.145.2"></a><var>145.2</var>distributed as provided in sections 
         <statute_ref>273.134</statute_ref> to 
         <statute_ref>273.136</statute_ref>;<br/>
<a id="pl.145.3"></a><var>145.3</var>    (7) five percent to the Iron Range Resources and Rehabilitation Board for the <br/>
<a id="pl.145.4"></a><var>145.4</var>purposes of section 
         <statute_ref>298.22</statute_ref>;<br/>
<a id="pl.145.5"></a><var>145.5</var>    (8) five percent to the Douglas J. Johnson economic protection trust fund; and<br/>
<a id="pl.145.6"></a><var>145.6</var>    (9) five percent to the taconite environmental protection fund.<br/>
<a id="pl.145.7"></a><var>145.7</var>    The proceeds of the tax shall be distributed on July 15 each year.<br/>
<a id="pl.145.8"></a><var>145.8</var>    Subd. 2. <b>Outside taconite assistance area.</b> The proceeds of the tax paid under <br/>
<a id="pl.145.9"></a><var>145.9</var>sections 
         <statute_ref>298.015</statute_ref> and 
         <statute_ref>298.016</statute_ref> on ores, metals, or minerals and energy resources mined <br/>
<a id="pl.145.10"></a><var>145.10</var>or extracted outside of the taconite assistance area defined in section 
         <statute_ref>273.1341</statute_ref>, shall <br/>
<a id="pl.145.11"></a><var>145.11</var>be deposited in the general fund.<br/>
<a id="pl.145.12"></a><var>145.12</var><b>EFFECTIVE DATE.</b>This section is effective the day following final enactment.<br/>
<br/>
<a id="bill.8.19.0"></a><a id="pl.145.13"></a><var>145.13</var>    Sec. 19. Minnesota Statutes 2012, section 373.01, subdivision 1, is amended to read:<br/>
<a id="pl.145.14"></a><var>145.14</var>    Subdivision 1. <b>Public corporation; listed powers.</b> (a) Each county is a body politic <br/>
<a id="pl.145.15"></a><var>145.15</var>and corporate and may:<br/>
<a id="pl.145.16"></a><var>145.16</var>    (1) Sue and be sued.<br/>
<a id="pl.145.17"></a><var>145.17</var>    (2) Acquire and hold real and personal property for the use of the county, and lands <br/>
<a id="pl.145.18"></a><var>145.18</var>sold for taxes as provided by law.<br/>
<a id="pl.145.19"></a><var>145.19</var>    (3) Purchase and hold for the benefit of the county real estate sold by virtue of <br/>
<a id="pl.145.20"></a><var>145.20</var>judicial proceedings, to which the county is a party.<br/>
<a id="pl.145.21"></a><var>145.21</var>    (4) Sell, lease, and convey real or personal estate owned by the county, and give <br/>
<a id="pl.145.22"></a><var>145.22</var>contracts or options to sell, lease, or convey it, and make orders respecting it as deemed <br/>
<a id="pl.145.23"></a><var>145.23</var>conducive to the interests of the county's inhabitants.<br/>
<a id="pl.145.24"></a><var>145.24</var>    (5) Make all contracts and do all other acts in relation to the property and concerns <br/>
<a id="pl.145.25"></a><var>145.25</var>of the county necessary to the exercise of its corporate powers.<br/>
<a id="pl.145.26"></a><var>145.26</var>    (b) No sale, lease, or conveyance of real estate owned by the county, except the lease <br/>
<a id="pl.145.27"></a><var>145.27</var>of a residence acquired for the furtherance of an approved capital improvement project, nor <br/>
<a id="pl.145.28"></a><var>145.28</var>any contract or option for it, shall be valid, without first advertising for bids or proposals in <br/>
<a id="pl.145.29"></a><var>145.29</var>the official newspaper of the county for three consecutive weeks and once in a newspaper <br/>
<a id="pl.145.30"></a><var>145.30</var>of general circulation in the area where the property is located. The notice shall state the <br/>
<a id="pl.145.31"></a><var>145.31</var>time and place of considering the proposals, contain a legal description of any real estate, <br/>
<a id="pl.145.32"></a><var>145.32</var>and a brief description of any personal property. Leases that do not exceed $15,000 for any <br/>
<a id="pl.145.33"></a><var>145.33</var>one year may be negotiated and are not subject to the competitive bid procedures of this <br/>
<a id="pl.145.34"></a><var>145.34</var>section. All proposals estimated to exceed $15,000 in any one year shall be considered at <br/>
<a id="pl.146.1"></a><var>146.1</var>the time set for the bid opening, and the one most favorable to the county accepted, but the <br/>
<a id="pl.146.2"></a><var>146.2</var>county board may, in the interest of the county, reject any or all proposals.<br/>
<a id="pl.146.3"></a><var>146.3</var>    (c) Sales of personal property the value of which is estimated to be $15,000 or <br/>
<a id="pl.146.4"></a><var>146.4</var>more shall be made only after advertising for bids or proposals in the county's official <br/>
<a id="pl.146.5"></a><var>146.5</var>newspaper, on the county's Web site, or in a recognized industry trade journal. At the same <br/>
<a id="pl.146.6"></a><var>146.6</var>time it posts on its Web site or publishes in a trade journal, the county must publish in the <br/>
<a id="pl.146.7"></a><var>146.7</var>official newspaper, either as part of the minutes of a regular meeting of the county board <br/>
<a id="pl.146.8"></a><var>146.8</var>or in a separate notice, a summary of all requests for bids or proposals that the county <br/>
<a id="pl.146.9"></a><var>146.9</var>advertises on its Web site or in a trade journal. After publication in the official newspaper, <br/>
<a id="pl.146.10"></a><var>146.10</var>on the Web site, or in a trade journal, bids or proposals may be solicited and accepted by <br/>
<a id="pl.146.11"></a><var>146.11</var>the electronic selling process authorized in section 
         <statute_ref>471.345, subdivision 17</statute_ref>. Sales of <br/>
<a id="pl.146.12"></a><var>146.12</var>personal property the value of which is estimated to be less than $15,000 may be made <br/>
<a id="pl.146.13"></a><var>146.13</var>either on competitive bids or in the open market, in the discretion of the county board. <br/>
<a id="pl.146.14"></a><var>146.14</var>"Web site" means a specific, addressable location provided on a server connected to the <br/>
<a id="pl.146.15"></a><var>146.15</var>Internet and hosting World Wide Web pages and other files that are generally accessible <br/>
<a id="pl.146.16"></a><var>146.16</var>on the Internet all or most of a day.<br/>
<a id="pl.146.17"></a><var>146.17</var>    (d) Notwithstanding anything to the contrary herein, the county may, when acquiring <br/>
<a id="pl.146.18"></a><var>146.18</var>real property for county highway right-of-way, exchange parcels of real property of <br/>
<a id="pl.146.19"></a><var>146.19</var>substantially similar or equal value without advertising for bids. The estimated values for <br/>
<a id="pl.146.20"></a><var>146.20</var>these parcels shall be determined by the county assessor.<br/>
<a id="pl.146.21"></a><var>146.21</var>    (e) Notwithstanding anything in this section to the contrary, the county may, when <br/>
<a id="pl.146.22"></a><var>146.22</var>acquiring real property for purposes other than county highway right-of-way, exchange <br/>
<a id="pl.146.23"></a><var>146.23</var>parcels of real property of substantially similar or equal value without advertising for <br/>
<a id="pl.146.24"></a><var>146.24</var>bids. The estimated values for these parcels must be determined by the county assessor <br/>
<a id="pl.146.25"></a><var>146.25</var>or a private appraisal performed by a licensed Minnesota real estate appraiser. For the <br/>
<a id="pl.146.26"></a><var>146.26</var>purpose of determining for the county the estimated values of parcels proposed to be <br/>
<a id="pl.146.27"></a><var>146.27</var>exchanged, the county assessor need not be licensed under chapter 82B. Before giving <br/>
<a id="pl.146.28"></a><var>146.28</var>final approval to any exchange of land, the county board shall hold a public hearing on <br/>
<a id="pl.146.29"></a><var>146.29</var>the exchange. At least two weeks before the hearing, the county auditor shall post a <br/>
<a id="pl.146.30"></a><var>146.30</var>notice in the auditor's office and the official newspaper of the county of the hearing that <br/>
<a id="pl.146.31"></a><var>146.31</var>contains a description of the lands affected.<br/>
<a id="pl.146.32"></a><var>146.32</var>    (f) If real estate or personal property remains unsold after advertising for and <br/>
<a id="pl.146.33"></a><var>146.33</var>consideration of bids or proposals the county may employ a broker to sell the property. <br/>
<a id="pl.146.34"></a><var>146.34</var>The broker may sell the property for not less than 90 percent of its appraised market value <br/>
<a id="pl.146.35"></a><var>146.35</var>as determined by the county. The broker's fee shall be set by agreement with the county but <br/>
<a id="pl.146.36"></a><var>146.36</var>may not exceed ten percent of the sale price and must be paid from the proceeds of the sale.<br/>
<a id="pl.147.1"></a><var>147.1</var>    (g) A county or its agent may rent a county-owned residence acquired for the <br/>
<a id="pl.147.2"></a><var>147.2</var>furtherance of an approved capital improvement project subject to the conditions set <br/>
<a id="pl.147.3"></a><var>147.3</var>by the county board and not subject to the conditions for lease otherwise provided by <br/>
<a id="pl.147.4"></a><var>147.4</var>paragraph (a), clause (4), and paragraphs (b), (c), (d), (f), and (h).<br/>
<a id="pl.147.5"></a><var>147.5</var>    (h) In no case shall lands be disposed of without there being reserved to the county <br/>
<a id="pl.147.6"></a><var>147.6</var>all iron ore and other valuable minerals in and upon the lands, with right to explore for, <br/>
<a id="pl.147.7"></a><var>147.7</var>mine and remove the iron ore and other valuable minerals, nor shall the minerals and <br/>
<a id="pl.147.8"></a><var>147.8</var>mineral rights be disposed of, either before or after disposition of the surface rights, <br/>
<a id="pl.147.9"></a><var>147.9</var>otherwise than by mining lease, in similar general form to that provided by section 
         <statute_ref>93.20 <br/>
</statute_ref><a id="pl.147.10"></a><var>147.10</var>for mining leases affecting state lands. The lease shall be for a term not exceeding 50 <br/>
<a id="pl.147.11"></a><var>147.11</var>years, and be issued on a royalty basis, the royalty to be not less than 25 cents per ton of <br/>
<a id="pl.147.12"></a><var>147.12</var>2,240 pounds, and fix a minimum amount of royalty payable during each year, whether <br/>
<a id="pl.147.13"></a><var>147.13</var>mineral is removed or not. Prospecting options for mining leases may be granted for <br/>
<a id="pl.147.14"></a><var>147.14</var>periods not exceeding one year. The options shall require, among other things, periodical <br/>
<a id="pl.147.15"></a><var>147.15</var>showings to the county board of the results of exploration work done.<br/>
<a id="pl.147.16"></a><var>147.16</var>    (i) Notwithstanding anything in this subdivision to the contrary, the county may, <br/>
<a id="pl.147.17"></a><var>147.17</var>when selling real property owned in fee simple that cannot be improved because of <br/>
<a id="pl.147.18"></a><var>147.18</var>noncompliance with local ordinances regarding minimum area, shape, frontage, or access, <br/>
<a id="pl.147.19"></a><var>147.19</var>proceed to sell the nonconforming parcel without advertising for bid. At the county's <br/>
<a id="pl.147.20"></a><var>147.20</var>discretion, the real property may be restricted to sale to adjoining landowners or may be <br/>
<a id="pl.147.21"></a><var>147.21</var>sold to any other interested party. The property shall be sold to the highest bidder, but in no <br/>
<a id="pl.147.22"></a><var>147.22</var>case shall the property be sold for less than 90 percent of its fair market value as determined <br/>
<a id="pl.147.23"></a><var>147.23</var>by the county assessor. All owners of land adjoining the land to be sold shall be given a <br/>
<a id="pl.147.24"></a><var>147.24</var>written notice at least 30 days before the sale. This paragraph shall be liberally construed to <br/>
<a id="pl.147.25"></a><var>147.25</var>encourage the sale of nonconforming real property and promote its return to the tax roles.<br/>
<a id="pl.147.26"></a><var>147.26</var><b>EFFECTIVE DATE.</b>This section is effective the day following final enactment.<br/>
<br/>
<a id="bill.8.20.0"></a><a id="pl.147.27"></a><var>147.27</var>    Sec. 20. <b> REPEALER.</b><br/>
<a id="pl.147.28"></a><var>147.28</var>Minnesota Statutes 2012, sections 272.69; and 273.11, subdivisions 1a and 22, are <br/>
<a id="pl.147.29"></a><var>147.29</var>repealed.<br/>
<a id="pl.147.30"></a><var>147.30</var><b>EFFECTIVE DATE.</b>This section is effective the day following final enactment.<br/>