1.1 	A bill for an act
1.2 	relating to taxation; property; requiring state to pay costs of property tax judgments 
1.3 	against state-assessed property; appropriating money;amending Minnesota Statutes 
1.4 	2020, section 278.12.
1.5 	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

1.6 	Section 1. Minnesota Statutes 2020, section 278.12, is amended to read:
1.7 	278.12 REFUNDS OF OVERPAYMENT.
1.8 	(a) If upon final determination the petitioner has paid more than the amount so determined 
1.9 	to be due, judgment shall be entered in favor of the petitioner for such excess, and. In the 
1.10 	case of a petition under section 273.372, relative to property value determined by the 
1.11 	commissioner of revenue, the petitioner may file a copy of the judgment with the 
1.12 	commissioner of revenue, who must issue a warrant for payment of the judgment within 30 
1.13 	days. In the case of a judgment relative to all other property, upon filing a copy thereofof 
1.14 	the judgment with the county auditor, the auditor shall forthwith draw a warrant upon the 
1.15 	county treasurer for the payment thereof; provided that, with the consent of the petitioner, 
1.16 	the county auditor may, in lieu of drawing such warrant, issue to the petitioner a certificate 
1.17 	stating the amount of such judgment, which amount may be used to apply upon any taxes 
1.18 	due or to become due for the taxing district or districts whose taxes or assessments are 
1.19 	reduced, or their successors in the event of a reorganization or reincorporation of any such 
1.20 	taxing district. In the event the auditor shall issue a warrant for refund or certificates, the 
1.21 	amount thereof shall be charged to the state and other taxing districts in proportion to the 
1.22 	amount of their respective taxes included in the levy and deduct the same in the subsequent 
1.23 	distribution of any tax proceeds to the state or such taxing districts, and upon receiving any 
2.1 	such certificate in payment of other taxes, the amount thereof shall be distributed to the 
2.2 	state and other taxing districts in proportion to the amount of their respective taxes included 
2.3 	in the levy; provided that if in the judgment the levy of one or more of the districts be found 
2.4 	to be illegal, to the extent that the tax so levied is reduced on account of the illegal levies, 
2.5 	the amount to be charged back shall be charged to the districts and the amount thereof 
2.6 	deducted from any distributions thereafter made to them.
2.7 	(b) An amount sufficient to make the payments required to be made by the commissioner 
2.8 	of revenue under paragraph (a) is annually appropriated from the general fund to the 
2.9 	commissioner of revenue.

2.10 	EFFECTIVE DATE. This section is effective retroactively for judgments entered on 
2.11 	or after March 1, 2021.