HF 1233

1st Engrossment - 82nd Legislature (2001 - 2002) Posted on 12/15/2009 12:00am

  1.1                          A bill for an act 
  1.2             relating to Brooklyn Park; providing for the city 
  1.3             economic development authority use of tax increment 
  1.4             for qualified redevelopment.  
  1.5   BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.6      Section 1.  [CITY OF BROOKLYN PARK REDEVELOPMENT; 
  1.7   DEFINITIONS.] 
  1.8      Subdivision 1.  [AUTHORITY.] "Authority" means the Brooklyn 
  1.9   Park economic development authority. 
  1.10     Subd. 2.  [CITY.] "City" means the city of Brooklyn Park, 
  1.11  Minnesota. 
  1.12     Subd. 3.  [CITY COUNCIL.] "City council" means the 
  1.13  governing body of the city of Brooklyn Park. 
  1.14     Subd. 4.  [ENHANCEMENT DISTRICT.] "Enhancement district" 
  1.15  means either of the authority tax increment districts numbered 
  1.16  15 and 18. 
  1.17     Subd. 5.  [CREEK.] "Creek" means a stream that flows 
  1.18  through the boundaries of the city and, as of the effective date 
  1.19  of sections 1 and 2, is regulated by a joint powers organization 
  1.20  of cities, subject to the jurisdiction of the department of 
  1.21  natural resources, and contained on Federal Emergency Management 
  1.22  Association mapping. 
  1.23     Subd. 6.  [CREEK IMPROVEMENT COSTS.] "Creek improvement 
  1.24  costs" means all costs related to the planning, financing, and 
  1.25  implementation of creek improvements as follows:  
  2.1      (1) water quality enhancement, including but not limited to 
  2.2   the construction of storm water runoff and retention facilities, 
  2.3   box culverts, nonpoint source water quality treatment ponds, and 
  2.4   aeration facilities; 
  2.5      (2) creek bank stabilization; 
  2.6      (3) wetland creation and restoration; 
  2.7      (4) aquatic habitat creation and restoration; 
  2.8      (5) creation and restoration of upland habitat for 
  2.9   terrestrial species, including but not limited to tree and other 
  2.10  plantings; 
  2.11     (6) the provision of side channel ponds, shallow well 
  2.12  structures, and drop structures; 
  2.13     (7) alteration and modification of channels and channel 
  2.14  beds; 
  2.15     (8) dam reconstruction; and 
  2.16     (9) low water crossings.  
  2.17  Costs described in clauses (1) to (9) shall constitute creek 
  2.18  improvement costs if such improvements are contained within a 
  2.19  qualified redevelopment district.  Costs described in clauses 
  2.20  (1), (2), (5), (7), and (8) shall also constitute creek 
  2.21  improvements costs if incurred with respect to improvements 
  2.22  located outside a qualified redevelopment district, so long as 
  2.23  such improvements are located within the project area and 
  2.24  upstream from the qualified redevelopment district.  Creek 
  2.25  improvement costs include the cost of acquiring interests in 
  2.26  real property reasonably necessary to carry out the activities 
  2.27  described in this subdivision. 
  2.28     Subd. 7.  [PROJECT AREA.] "Project area" means the 
  2.29  geographic area established pursuant to Minnesota Statutes, 
  2.30  section 469.028, to which the project plan applies and within 
  2.31  which the qualified redevelopment district is located. 
  2.32     Subd. 8.  [PROJECT PLAN.] "Project plan" means the village 
  2.33  master plan/Shingle Creek corridor plan. 
  2.34     Subd. 9.  [QUALIFIED COSTS.] "Qualified costs" means creek 
  2.35  improvement costs and other costs of a qualified redevelopment 
  2.36  district authorized by Minnesota Statutes, section 469.176, 
  3.1   subdivision 4.  
  3.2      Subd. 10.  [QUALIFIED REDEVELOPMENT DISTRICT.] "Qualified 
  3.3   redevelopment district" means a tax increment financing 
  3.4   redevelopment district, as defined in Minnesota Statutes, 
  3.5   section 469.174, subdivision 10, paragraph (a), clause (1), the 
  3.6   boundaries of which are as established on May 22, 2000, and that 
  3.7   is located within a project area which, as of May 22, 2000, 
  3.8   contained the following: 
  3.9      (1) at least 100 acres; 
  3.10     (2) a creek; 
  3.11     (3) at least 100,000 square feet of unoccupied commercial 
  3.12  space; 
  3.13     (4) commercial property, at least 25 percent of which, by 
  3.14  acreage, is proposed by the project plan to be down-zoned 
  3.15  through conversion to housing, open space, and tax-exempt uses; 
  3.16  and 
  3.17     (5) at least 700 multifamily rental housing units, all of 
  3.18  which have rent structures that are affordable to persons and 
  3.19  families of annual income at or below 60 percent of the 
  3.20  Minneapolis-St. Paul median income, as determined by the United 
  3.21  States Department of Housing and Urban Development. 
  3.22     [EFFECTIVE DATE.] This section is effective the day 
  3.23  following final enactment. 
  3.24     Sec. 2.  [BROOKLYN PARK; REDEVELOPMENT DISTRICT.] 
  3.25     Subdivision 1.  [AUTHORITY GRANTED.] Notwithstanding 
  3.26  anything to the contrary in Minnesota Statutes, sections 469.174 
  3.27  to 469.178, the authority may (1) expend tax increment derived 
  3.28  from a qualified redevelopment district for qualified costs, and 
  3.29  (2) pledge or expend tax increment derived from enhancement 
  3.30  districts, to the extent not otherwise obligated to the 
  3.31  enhancement districts, for the qualified costs of a qualified 
  3.32  redevelopment district.  The authority may expend tax increments 
  3.33  derived from a qualified redevelopment district for qualified 
  3.34  costs for 25 years from the date of the establishment of the 
  3.35  qualified redevelopment district. 
  3.36     Subd. 2.  [LIMITATIONS.] (a) At least 30 percent of the tax 
  4.1   increment pledged or transferred to a qualified redevelopment 
  4.2   district from the enhancement districts must be utilized for 
  4.3   creek improvement costs. 
  4.4      (b) Except as otherwise described in section 1, subdivision 
  4.5   6, tax increment derived from a qualified redevelopment 
  4.6   district, or derived from an enhancement district and pledged or 
  4.7   transferred to a qualified redevelopment district, must not be 
  4.8   expended outside of the qualified redevelopment district 
  4.9   boundaries. 
  4.10     (c) Tax increment derived from the enhancement districts 
  4.11  and pledged or transferred to a qualified redevelopment district 
  4.12  must be used exclusively for qualified costs of the qualified 
  4.13  redevelopment district or must be returned to the county auditor 
  4.14  for distribution to the municipality, county, and school 
  4.15  district in direct proportion to their respective local tax 
  4.16  rates. 
  4.17     (d) The boundaries of a qualified redevelopment district or 
  4.18  of the enhancement districts must not be modified following the 
  4.19  effective date of this section. 
  4.20     Subd. 3.  [LOCAL CONTRIBUTION.] With respect to any 
  4.21  enhancement district to which Minnesota Statutes, section 
  4.22  273.1399, applies, and notwithstanding anything to the contrary 
  4.23  in Minnesota Statutes, section 273.1399, in determining a local 
  4.24  contribution for a qualified redevelopment district and the 
  4.25  enhancement district under Minnesota Statutes, section 273.1399, 
  4.26  subdivision 6, paragraph (d), tax increment derived from the 
  4.27  enhancement district that is pledged or transferred to a 
  4.28  qualified redevelopment district must be (1) subtracted from the 
  4.29  tax increment derived from the enhancement district, and deemed 
  4.30  as not derived therefrom, and added to the tax increment derived 
  4.31  from the qualified redevelopment district, and deemed as derived 
  4.32  therefrom, and (2) treated as tax increment derived from the 
  4.33  qualified redevelopment district for all purposes including the 
  4.34  listed percentage of qualifying local contribution.  Any 
  4.35  qualifying local contributions related to a qualified 
  4.36  redevelopment district must be counted toward satisfaction of 
  5.1   the local contribution requirement for the qualified 
  5.2   redevelopment district, including tax increment deemed derived 
  5.3   from the qualified redevelopment district by operation of this 
  5.4   section.  A local contribution is not required with respect to 
  5.5   the enhancement district tax increment returned to the county 
  5.6   auditor as provided in subdivision 2, paragraph (c). 
  5.7      [EFFECTIVE DATE.] This section is effective the day 
  5.8   following final enactment.