HF 82

as introduced - 84th Legislature (2005 - 2006) Posted on 12/15/2009 12:00am

A bill for an act
relating to taxes; increasing the population size of
cities permitted to hold land for economic development
purposes for 15 years; amending Minnesota Statutes
2004, section 272.02, subdivision 39.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA

Section 1.

Minnesota Statutes 2004, section 272.02,
subdivision 39, is amended to read:

Subd. 39.

Economic development; public purpose.

The
holding of property by a political subdivision of the state for
later resale for economic development purposes shall be
considered a public purpose in accordance with subdivision 8 for
a period not to exceed eight years, except that for property
located in a city of deleted text begin 5,000 deleted text end new text begin 15,000 new text end population or under that is
located outside of the metropolitan area as defined in section
473.121, subdivision 2, the period must not exceed 15 years.

The holding of property by a political subdivision of the
state for later resale (1) which is purchased or held for
housing purposes, or (2) which meets the conditions described in
section 469.174, subdivision 10, shall be considered a public
purpose in accordance with subdivision 8.

The governing body of the political subdivision which
acquires property which is subject to this subdivision shall
after the purchase of the property certify to the city or county
assessor whether the property is held for economic development
purposes or housing purposes, or whether it meets the conditions
of section 469.174, subdivision 10. If the property is acquired
for economic development purposes and buildings or other
improvements are constructed after acquisition of the property,
and if more than one-half of the floor space of the buildings or
improvements which is available for lease to or use by a private
individual, corporation, or other entity is leased to or
otherwise used by a private individual, corporation, or other
entity the provisions of this subdivision shall not apply to the
property. This subdivision shall not create an exemption from
section 272.01, subdivision 2; 272.68; 273.19; or 469.040,
subdivision 3; or other provision of law providing for the
taxation of or for payments in lieu of taxes for publicly held
property which is leased, loaned, or otherwise made available
and used by a private person.