HF 1655

1st Engrossment - 80th Legislature (1997 - 1998) Posted on 12/15/2009 12:00am

  1.1                          A bill for an act 
  1.2             relating to tax increment financing; authorizing the 
  1.3             city of Chanhassen to establish a housing tax 
  1.4             increment district; exempting the district from 
  1.5             certain requirements. 
  1.6   BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.7      Section 1.  [CITY OF CHANHASSEN; HOUSING DEVELOPMENT.] 
  1.8      Subdivision 1.  [AUTHORIZATION.] The housing and 
  1.9   redevelopment authority in and for the city of Chanhassen may 
  1.10  establish a housing tax increment financing district in the city 
  1.11  of Chanhassen to further compliance with the affordable housing 
  1.12  goals for the city under Minnesota Statutes, sections 473.25 to 
  1.13  473.254. 
  1.14     Subd. 2.  [SPECIAL RULES.] (a) A tax increment financing 
  1.15  district established under the authority of subdivision 1 is 
  1.16  subject to Minnesota Statutes, sections 469.174 to 469.179, 
  1.17  except as provided in this subdivision. 
  1.18     (b) Notwithstanding Minnesota Statutes, section 469.174, 
  1.19  subdivision 11, the fair market value of the improvements which 
  1.20  are constructed for uses other than housing may consist of no 
  1.21  more than 30 percent of the total fair market value of the 
  1.22  planned improvements in the development plan or agreement. 
  1.23     (c) Notwithstanding Minnesota Statutes, section 469.1761, 
  1.24  for owner-occupied residential property, at least 35 percent of 
  1.25  the housing units must be initially purchased for a price not to 
  2.1   exceed price limits for owner-occupied housing units established 
  2.2   from time to time by the metropolitan council pursuant to 
  2.3   sections 473.25 to 473.254 and at least 35 percent of the 
  2.4   housing units must be initially occupied by individuals whose 
  2.5   family income is less than or equal to the income requirements 
  2.6   for qualified mortgage bond projects under section 143(f) of the 
  2.7   Internal Revenue Code; and for residential rental property, the 
  2.8   requirements of Minnesota Statutes, section 469.1761, 
  2.9   subdivision 3, must be met. 
  2.10     (d) Notwithstanding Minnesota Statutes, section 469.176, 
  2.11  subdivision 1b, the duration of a tax increment financing 
  2.12  district created under this section shall be no more than 15 
  2.13  years from the receipt of the first tax increment by the 
  2.14  authority. 
  2.15     (e) Minnesota Statutes, section 469.176, subdivision 7, 
  2.16  does not apply to a tax increment financing district created 
  2.17  under this section. 
  2.18     (f) Minnesota Statutes, section 469.175, subdivision 3, 
  2.19  clause (2), does not apply to a tax increment financing district 
  2.20  created under this section. 
  2.21     (g) Notwithstanding Minnesota Statutes, section 469.176, 
  2.22  subdivision 4, the authority may use revenues derived from tax 
  2.23  increments from a tax increment financing district created under 
  2.24  this section for only the costs associated with the housing 
  2.25  facilities that meet the income and rent level requirements of 
  2.26  this section, including costs of construction and related public 
  2.27  improvements. 
  2.28     Sec. 2.  [APPROVALS REQUIRED; EFFECTIVE DATE.] 
  2.29     Subdivision 1.  [CERTIFICATION OF DISTRICT.] The authority 
  2.30  must request certification for a tax increment financing 
  2.31  district created under section 1, prior to December 31, 1998. 
  2.32     Subd. 2.  [EFFECTIVE DATE.] This act is effective upon 
  2.33  approval by the governing body of the city of Chanhassen 
  2.34  pursuant to Minnesota Statutes, section 645.021, subdivision 2.