HF 2781

1st Engrossment - 79th Legislature (1995 - 1996) Posted on 12/15/2009 12:00am

  1.1                          A bill for an act 
  1.2             relating to taxation; providing for taxation of 
  1.3             certain property managed or owned by certain public 
  1.4             entities or partnerships which include such entities; 
  1.5             authorizing creation of joint powers boards for 
  1.6             purposes of housing ownership and management; amending 
  1.7             Minnesota Statutes 1994, sections 469.040, by adding a 
  1.8             subdivision; and section 471.59, by adding a 
  1.9             subdivision. 
  1.10  BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.11     Section 1.  Minnesota Statutes 1994, section 469.040, is 
  1.12  amended by adding a subdivision to read: 
  1.13     Subd. 4.  [FACILITIES FUNDED FROM MULTIPLE SOURCES.] In the 
  1.14  metropolitan area, as defined in section 473.121, subdivision 2, 
  1.15  the tax treatment provided in subdivision 3 applies to that 
  1.16  portion of any multifamily rental housing facility represented 
  1.17  by the ratio of (1) the number of units in the facility that are 
  1.18  subject to the requirements of Section 5 of the United States 
  1.19  Housing Act of 1937, as the result of the implementation of a 
  1.20  federal court order or consent decree to (2) the total number of 
  1.21  units within the facility. 
  1.22     The housing and redevelopment authority for the city in 
  1.23  which the facility is located, any public entity exercising the 
  1.24  powers of such housing and redevelopment authority, or the 
  1.25  county housing and redevelopment authority for the county in 
  1.26  which the facility is located, shall annually certify to the 
  1.27  assessor responsible for assessing the facility, at the time and 
  2.1   in the manner required by the assessor, the number of units in 
  2.2   the facility that are subject to the requirements of Section 5 
  2.3   of the United States Housing Act of 1937.  
  2.4      Nothing in this subdivision shall prevent that portion of 
  2.5   the facility not subject to this subdivision from meeting the 
  2.6   requirements of section 273.1317, and for that purpose the total 
  2.7   number of units in the facility must be taken into account. 
  2.8      Sec. 2.  Minnesota Statutes 1994, section 471.59, is 
  2.9   amended by adding a subdivision to read: 
  2.10     Subd. 13.  [JOINT POWERS BOARD FOR HOUSING.] (a) For 
  2.11  purposes of implementing a federal court order or decree, two or 
  2.12  more housing and redevelopment authorities, or public entities 
  2.13  exercising the public housing powers of housing and 
  2.14  redevelopment authorities, may by adoption of a joint powers 
  2.15  agreement that complies with the provisions of subdivisions 1 to 
  2.16  5, establish a joint board for the purpose of acquiring an 
  2.17  interest in, rehabilitating, constructing, owning, or managing 
  2.18  low-rent public housing located in the metropolitan area, as 
  2.19  defined in section 473.121, subdivision 2, and financed, in 
  2.20  whole or in part, with federal financial assistance under 
  2.21  Section 5 of the United States Housing Act of 1937.  The joint 
  2.22  board established pursuant to this subdivision shall: 
  2.23     (1) be composed of members designated by the governing 
  2.24  bodies of the governmental units which established such joint 
  2.25  board, and possess such representative and voting power provided 
  2.26  by the joint powers agreement; 
  2.27     (2) constitute a public body, corporate, and politic; and 
  2.28     (3) notwithstanding the provisions of subdivision 1, 
  2.29  requiring commonality of powers between parties to a joint 
  2.30  powers agreement, and solely for the purpose of acquiring an 
  2.31  interest in, rehabilitating, constructing, owning, or managing 
  2.32  federally financed low-rent public housing, shall possess all of 
  2.33  the powers and duties contained in sections 469.001 to 469.047 
  2.34  and, if at least one participant is an economic development 
  2.35  authority, sections 469.090 to 469.1081, except (i) as may be 
  2.36  otherwise limited by the terms of the joint powers agreement; 
  3.1   and (ii) a joint board shall not have the power to tax pursuant 
  3.2   to section 469.033, subdivision 6, or 469.107, nor shall it 
  3.3   exercise the power of eminent domain.  Every joint powers 
  3.4   agreement establishing a joint board shall specifically provide 
  3.5   which and under what circumstances the powers granted herein may 
  3.6   be exercised by that joint board. 
  3.7      (b) If a housing and redevelopment authority exists in a 
  3.8   city which intends to participate in the creation of a joint 
  3.9   board pursuant to paragraph (a), such housing and redevelopment 
  3.10  authority shall be the governmental unit which enters into the 
  3.11  joint powers agreement unless it determines not to do so, in 
  3.12  which event the governmental entity which enters into the joint 
  3.13  powers agreement may be any public entity of that city which 
  3.14  exercises the low-rent public housing powers of a housing and 
  3.15  redevelopment authority.  
  3.16     (c) A joint board shall not make any contract with the 
  3.17  federal government for low-rent public housing, unless the 
  3.18  governing body or bodies creating the participating authority in 
  3.19  whose jurisdiction the housing is located has, by resolution, 
  3.20  approved the provision of that low-rent public housing. 
  3.21     (d) This subdivision does not apply to any housing and 
  3.22  redevelopment authority, or public entity exercising the powers 
  3.23  of a housing and redevelopment authority, within the 
  3.24  jurisdiction of a county housing and redevelopment authority 
  3.25  which is actively carrying out a public housing program under 
  3.26  Section 5 of the United States Housing Act of 1937.  For 
  3.27  purposes of this paragraph, a county housing and redevelopment 
  3.28  authority is considered to be actively carrying out a public 
  3.29  housing program under Section 5 of the United States Housing Act 
  3.30  of 1937, if it (1) owns 200 or more public housing units 
  3.31  constructed under Section 5 of the United States Housing Act of 
  3.32  1937, and (2) has applied for public housing development funds 
  3.33  under Section 5 of the United States Housing Act of 1937, during 
  3.34  the three years immediately preceding January 1, 1996. 
  3.35     (e) For purposes of sections 469.001 to 469.047, "city" 
  3.36  means the city in which the housing units with respect to which 
  4.1   the joint board was created are located and "governing body" or 
  4.2   "governing body creating the authority" means the council of 
  4.3   such city. 
  4.4      Sec. 3.  [EFFECTIVE DATE.] 
  4.5      Sections 1 and 2 are effective the day following final 
  4.6   enactment.