Skip to main content Skip to office menu Skip to footer
Minnesota Legislature

Office of the Revisor of Statutes

HF 1280

as introduced - 91st Legislature (2019 - 2020) Posted on 03/07/2019 07:28pm

KEY: stricken = removed, old language.
underscored = added, new language.

Bill Text Versions

Engrossments
Introduction Posted on 02/15/2019

Current Version - as introduced

Line numbers 1.1 1.2 1.3 1.4 1.5 1.6
1.7 1.8 1.9 1.10 1.11 1.12 1.13 1.14 1.15 1.16 1.17 1.18 1.19 1.20 2.1 2.2 2.3 2.4 2.5 2.6 2.7 2.8 2.9 2.10 2.11 2.12 2.13 2.14 2.15 2.16 2.17 2.18 2.19 2.20 2.21 2.22 2.23 2.24
2.25
2.26 2.27 2.28 2.29 3.1 3.2 3.3 3.4 3.5 3.6 3.7 3.8 3.9 3.10 3.11 3.12 3.13 3.14 3.15 3.16 3.17 3.18 3.19 3.20 3.21 3.22 3.23 3.24 3.25 3.26 3.27 3.28 3.29 3.30 3.31 3.32 3.33 3.34 4.1 4.2 4.3 4.4 4.5 4.6 4.7 4.8 4.9 4.10 4.11 4.12 4.13 4.14 4.15 4.16 4.17 4.18 4.19 4.20 4.21 4.22 4.23 4.24 4.25 4.26 4.27 4.28 4.29 4.30 4.31 4.32 4.33 5.1 5.2 5.3 5.4 5.5 5.6 5.7 5.8 5.9 5.10 5.11 5.12 5.13 5.14 5.15 5.16 5.17 5.18 5.19 5.20 5.21 5.22 5.23 5.24 5.25 5.26 5.27 5.28 5.29 5.30 5.31 5.32 5.33 6.1 6.2
6.3

A bill for an act
relating to political subdivisions; authorizing the creation of fire protection special
taxing districts; authorizing property tax levies and issuance of bonds; amending
Minnesota Statutes 2018, section 275.066; proposing coding for new law as
Minnesota Statutes, chapter 299O.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

Section 1.

Minnesota Statutes 2018, section 275.066, is amended to read:


275.066 SPECIAL TAXING DISTRICTS; DEFINITION.

For the purposes of property taxation and property tax state aids, the term "special taxing
districts" includes the following entities:

(1) watershed districts under chapter 103D;

(2) sanitary districts under sections 442A.01 to 442A.29;

(3) regional sanitary sewer districts under sections 115.61 to 115.67;

(4) regional public library districts under section 134.201;

(5) park districts under chapter 398;

(6) regional railroad authorities under chapter 398A;

(7) hospital districts under sections 447.31 to 447.38;

(8) St. Cloud Metropolitan Transit Commission under sections 458A.01 to 458A.15;

(9) Duluth Transit Authority under sections 458A.21 to 458A.37;

(10) regional development commissions under sections 462.381 to 462.398;

(11) housing and redevelopment authorities under sections 469.001 to 469.047;

(12) port authorities under sections 469.048 to 469.068;

(13) economic development authorities under sections 469.090 to 469.1081;

(14) Metropolitan Council under sections 473.123 to 473.549;

(15) Metropolitan Airports Commission under sections 473.601 to 473.679;

(16) Metropolitan Mosquito Control Commission under sections 473.701 to 473.716;

(17) Morrison County Rural Development Financing Authority under Laws 1982, chapter
437, section 1;

(18) Croft Historical Park District under Laws 1984, chapter 502, article 13, section 6;

(19) East Lake County Medical Clinic District under Laws 1989, chapter 211, sections
1 to 6;

(20) Floodwood Area Ambulance District under Laws 1993, chapter 375, article 5,
section 39;

(21) Middle Mississippi River Watershed Management Organization under sections
103B.211 and 103B.241;

(22) emergency medical services special taxing districts under section 144F.01;

(23) a county levying under the authority of section 103B.241, 103B.245, or 103B.251;

(24) Southern St. Louis County Special Taxing District; Chris Jensen Nursing Home
under Laws 2003, First Special Session chapter 21, article 4, section 12;

(25) an airport authority created under section 360.0426; deleted text beginand
deleted text end

(26) new text beginfire protection special taxing districts under section 299O.01; and
new text end

new text begin (27) new text endany other political subdivision of the state of Minnesota, excluding counties, school
districts, cities, and towns, that has the power to adopt and certify a property tax levy to the
county auditor, as determined by the commissioner of revenue.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment.
new text end

Sec. 2.

new text begin [299O.01] FIRE PROTECTION SPECIAL TAXING DISTRICTS.
new text end

new text begin Subdivision 1. new text end

new text begin Definitions. new text end

new text begin (a) For purposes of this section, the following terms have
the meanings given unless the context clearly requires otherwise.
new text end

new text begin (b) "City" means a statutory or home rule charter city.
new text end

new text begin (c) "Governing body" means for a city, its city council; for a county, its county board;
and for a town, the board of supervisors.
new text end

new text begin (d) "Political subdivision" means a county, a city, or a township organized to provide
town government.
new text end

new text begin Subd. 2. new text end

new text begin Authority to establish. new text end

new text begin (a) Two or more political subdivisions may establish,
by resolution of their governing bodies, a special taxing district to provide fire protection
or emergency medical services or both in the area of the district, comprising the jurisdiction
of each of the political subdivisions forming the district. For a county that participates in
establishing a district, the county's jurisdiction comprises the unorganized territory of the
county that it designates in its resolution for inclusion in the district. The area of the special
taxing district does not need to be contiguous or its boundaries continuous.
new text end

new text begin (b) Before establishing a district under this section, the participating political subdivisions
must enter an agreement that specifies how any liabilities, other than debt issued under
subdivision 6, and assets of the district will be distributed if the district is dissolved. The
agreement may also include other terms, including a method for apportioning the levy of
the district among participating political subdivisions under subdivision 4, paragraph (b),
as the political subdivisions determine appropriate. The agreement must be adopted no later
than upon passage of the resolution establishing the district under paragraph (a), but may
be later amended by agreement of each of the political subdivisions participating in the
district.
new text end

new text begin Subd. 3. new text end

new text begin Board. new text end

new text begin The special taxing district established under this section is governed
by a board made up initially of representatives of each participating political subdivision
in the proportions set out in the establishing resolution, subject to change as provided in the
district's charter, if any, or in the district's bylaws. Each participating political subdivision's
representative must be an elected member of the governing body of the political subdivision
and serves at the pleasure of that participant's governing body.
new text end

new text begin Subd. 4. new text end

new text begin Property tax levy. new text end

new text begin (a) The board may levy a tax on the taxable real and personal
property in the district. The proceeds of the levy must be used as provided in subdivision
5. The board shall certify the levy at the times provided under section 275.07. The board
shall provide the county with whatever information is necessary to identify the property
that is located within the district. If the boundaries include a part of a parcel, the entire parcel
is included in the district. The county auditors must spread, collect, and distribute the
proceeds of the tax at the same time and in the same manner as provided by law for all other
property taxes.
new text end

new text begin (b) As an alternative to paragraph (a), the board may apportion its levy among the political
subdivisions that are members of the district under a formula or method, such as population,
number of service calls, cost of providing service, the market value of improvements, or
other measure or measures, that was approved by the governing body of each of the political
subdivisions that is a member of the district. The amount of the levy allocated to each
political subdivision must be added to that political subdivision's levy and spread at the
same time and in the same manner as provided by law for other taxes. The proceeds of the
levy must be collected and remitted to the district and used as provided in subdivision 5.
new text end

new text begin Subd. 5. new text end

new text begin Use of levy proceeds. new text end

new text begin The proceeds of property taxes levied under this section
must be used to provide fire protection or emergency medical services to residents of the
district and property located in the district, as well as to pay debt issued under subdivision
6. Services may be provided by employees of the district or by contracting for services
provided by other governmental or private entities.
new text end

new text begin Subd. 6. new text end

new text begin Debt. new text end

new text begin (a) The district may incur debt under chapter 475 when the board
determines doing so is necessary to accomplish its duties.
new text end

new text begin (b) In addition, the board of the district may issue certificates of indebtedness or capital
notes under section 412.301 to purchase capital equipment. In applying section 412.301,
paragraph (e), to the district the following rules apply:
new text end

new text begin (1) the taxable property of the entire district must be used to calculate the percent of
estimated market value; and
new text end

new text begin (2) "the number of voters at the last municipal election" means the sum of the number
of voters at the last municipal election for each of the cities that is a member of the district
plus the number of registered voters in each town that is a participating member of the
district.
new text end

new text begin Subd. 7. new text end

new text begin Powers. new text end

new text begin (a) In addition to authority expressly granted in this section, a special
taxing district may exercise any power that may be exercised by any of its participating
political subdivisions and that is necessary or reasonable to support the services set out in
subdivision 5. The district may only levy the taxes authorized in subdivision 4. These powers
include, without limitation, the authority to participate in state programs and to enforce or
carry out state laws related to fire protection or emergency medical services, including
programs providing state aid, reimbursement or funding of employee benefits, authorizing
local enforcement of state standards, and similar. These include but are not limited to fire
protection related programs and political subdivision powers or responsibilities under
chapters 299A and 424A; sections 6.495, 69.011, and 353.64; and any administrative rules
related to the fire code.
new text end

new text begin (b) To the extent that the district's authority under this subdivision overlaps with or may
conflict with the authority of the participating political subdivision, the agreement under
subdivision 2, paragraph (b), must provide for allocation of those powers or responsibilities
between the participating political subdivisions and the district and may provide for resolution
of conflicts in the exercise of those powers.
new text end

new text begin Subd. 8. new text end

new text begin Additions and withdrawals. new text end

new text begin (a) Additional eligible political subdivisions may
be added to a special taxing district under this section as provided by the board of the district
and agreed to in a resolution of the governing body of the political subdivision proposed to
be added.
new text end

new text begin (b) A political subdivision may withdraw from a special taxing district under this section
by resolution of its governing body. The political subdivision must notify the board of the
special taxing district of the withdrawal by providing a copy of the resolution at least two
years in advance of the proposed withdrawal. The taxable property of the withdrawing
member is subject to the property tax levy under subdivision 4 for the two taxes payable
years following the notice of the withdrawal, unless the board and the withdrawing member
agree otherwise by a resolution adopted by each of their governing bodies. If a political
subdivision withdraws from a district for which debt was issued under subdivision 6 when
the political subdivision was a participating member of the district and which is outstanding
when the political subdivision withdraws from the district, the taxable property of the
withdrawing political subdivision remains subject to the special taxing district debt levy
until that outstanding debt has been paid or defeased. If the district's property levy to repay
the debt was apportioned among the political subdivisions under an alternative formula or
method under subdivision 4, paragraph (b), the withdrawing political subdivision is subject
to the same percentage of the debt levy as applied in the taxes payable year immediately
before its withdrawal from the district.
new text end

new text begin (c) Notwithstanding subdivision 2, a special taxing district comprised of two political
subdivisions continues to exist even if one of the political subdivisions withdraws.
new text end

new text begin Subd. 9. new text end

new text begin Dissolution. new text end

new text begin The special taxing district may be dissolved by resolution approved
by majority vote of the board. If the special taxing district is dissolved, the assets and
liabilities may be assigned to a successor entity, if any, or otherwise disposed of for public
purposes as provided in the agreement adopted under subdivision 2, paragraph (b), or
otherwise agreed to by the participating political subdivisions. A district may not be dissolved
until all debt issued under subdivision 6 has been paid or defeased.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment.
new text end