HF 2463

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

  1.1                          A bill for an act 
  1.2             relating to taxation; authorizing the inclusion of 
  1.3             certain property in tax increment districts; extending 
  1.4             payment of deferred taxes if certain property is 
  1.5             removed for green acres treatment; amending Minnesota 
  1.6             Statutes 1996, sections 273.111, subdivision 9; and 
  1.7             469.176, subdivision 7. 
  1.8   BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.9      Section 1.  Minnesota Statutes 1996, section 273.111, 
  1.10  subdivision 9, is amended to read: 
  1.11     Subd. 9.  When real property which is being, or has been 
  1.12  valued and assessed under this section no longer qualifies under 
  1.13  subdivisions 3 and 6, the portion no longer qualifying shall be 
  1.14  subject to additional taxes, in the amount equal to the 
  1.15  difference between the taxes determined in accordance with 
  1.16  subdivision 4, and the amount determined under subdivision 5, 
  1.17  provided, however, that the amount determined under subdivision 
  1.18  5 shall not be greater than it would have been had the actual 
  1.19  bona fide sale price of the real property at an arms length 
  1.20  transaction been used in lieu of the market value determined 
  1.21  under subdivision 5.  Such additional taxes shall be extended 
  1.22  against the property on the tax list for the current year, 
  1.23  provided, however, that no interest or penalties shall be levied 
  1.24  on such additional taxes if timely paid, and provided further, 
  1.25  that such additional taxes shall only be levied with respect to 
  1.26  the last three years that the said property has been valued and 
  2.1   assessed under this section.  Notwithstanding the preceding 
  2.2   sentence, taxes owed may be paid over a period of ten years with 
  2.3   interest as provided under section 279.03 if: 
  2.4      (1) the property has been zoned industrial property at 
  2.5   least five years prior to the date the property no longer 
  2.6   qualifies under subdivisions 3 and 6; 
  2.7      (2) for property in the metropolitan area as defined in 
  2.8   section 473.121, subdivision 2, all of the parcels in the 
  2.9   district are within the urban service area as defined by the 
  2.10  metropolitan council; and 
  2.11     (3) the additional taxes exceed $10,000.  
  2.12     Sec. 2.  Minnesota Statutes 1996, section 469.176, 
  2.13  subdivision 7, is amended to read: 
  2.14     Subd. 7.  [PARCELS NOT INCLUDABLE IN DISTRICTS.] The 
  2.15  authority may request inclusion in a tax increment financing 
  2.16  district and the county auditor may certify the original tax 
  2.17  capacity of a parcel or a part of a parcel that qualified under 
  2.18  the provisions of section 273.111 or 273.112 or chapter 473H for 
  2.19  taxes payable in any of the five calendar years before the 
  2.20  filing of the request for certification only for 
  2.21     (1) a district in which 85 percent or more of the planned 
  2.22  buildings and facilities (determined on the basis of square 
  2.23  footage) are for: 
  2.24     (i) manufacturing or production of tangible personal 
  2.25  property, including processing resulting in the change in 
  2.26  condition of the property; 
  2.27     (ii) warehousing, storage, and distribution, excluding 
  2.28  retail sales; 
  2.29     (iii) space necessary for and related to the activities in 
  2.30  items (i) and (ii); or 
  2.31     (iv) any combination of the activities in items (i) to 
  2.32  (iii); or 
  2.33     (2) a qualified housing district as defined in section 
  2.34  273.1399, subdivision 1.