Minnesota Legislature
HF 3149
4th Engrossment - 85th Legislature (2007 - 2008) Posted on 12/15/2009 12:00am
Current Version - 4th Engrossment
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 3.35 3.36 3.37 3.38 3.39 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 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 5.34 6.1 6.2 6.3 6.4 6.5 6.6 6.7 6.8 6.9 6.10 6.11 6.12 6.13 6.14 6.15 6.16 6.17 6.18 6.19 6.20 6.21 6.22 6.23 6.24 6.25 6.26 6.27 6.28 6.29 6.30 6.31 6.32 6.33 6.34 6.35 7.1 7.2 7.3 7.4 7.5 7.6 7.7 7.8 7.9 7.10 7.11 7.12 7.13 7.14 7.15 7.16 7.17 7.18 7.19 7.20 7.21 7.22 7.23 7.24 7.25 7.26 7.27 7.28 7.29 7.30 7.31 7.32 7.33 7.34 7.35 8.1 8.2 8.3 8.4 8.5 8.6 8.7 8.8 8.9 8.10 8.11 8.12 8.13 8.14 8.15 8.16 8.17 8.18 8.19 8.20 8.21 8.22 8.23 8.24 8.25 8.26 8.27 8.28 8.29 8.30 8.31 8.32 8.33 8.34 8.35 9.1 9.2 9.3 9.4 9.5 9.6 9.7 9.8 9.9 9.10 9.11 9.12 9.13 9.14 9.15 9.16 9.17 9.18 9.19 9.20 9.21 9.22 9.23 9.24 9.25 9.26 9.27 9.28 9.29 9.30 9.31 9.32 9.33 9.34 9.35 9.36 10.1 10.2 10.3 10.4 10.5 10.6 10.7 10.8 10.9 10.10 10.11 10.12 10.13 10.14 10.15 10.16 10.17 10.18 10.19 10.20 10.21 10.22 10.23 10.24 10.25 10.26 10.27 10.28 10.29 10.30 10.31 10.32 10.33 10.34 10.35 10.36 11.1 11.2 11.3 11.4 11.5
11.6 11.7
11.8 11.9 11.10 11.11 11.12 11.13 11.14 11.15 11.16
11.17 11.18
11.19 11.20 11.21 11.22 11.23 11.24 11.25 11.26 11.27 11.28 11.29 11.30 11.31 11.32 11.33 12.1 12.2 12.3 12.4 12.5 12.6 12.7 12.8 12.9 12.10 12.11
12.12 12.13
12.14 12.15 12.16 12.17 12.18
12.19 12.20
12.21 12.22 12.23 12.24 12.25 12.26 12.27 12.28 12.29 12.30 12.31 12.32 12.33 13.1 13.2 13.3 13.4 13.5 13.6
13.7 13.8
13.9 13.10 13.11 13.12 13.13 13.14 13.15 13.16 13.17 13.18 13.19 13.20 13.21 13.22 13.23 13.24 13.25 13.26 13.27 13.28 13.29
13.30 13.31 13.32
14.1 14.2 14.3 14.4 14.5 14.6 14.7 14.8 14.9 14.10 14.11 14.12 14.13 14.14 14.15 14.16 14.17 14.18 14.19 14.20 14.21 14.22 14.23 14.24 14.25 14.26 14.27 14.28 14.29 14.30 14.31 14.32 14.33 14.34 14.35 14.36
15.1 15.2 15.3
15.4 15.5 15.6 15.7 15.8 15.9 15.10 15.11 15.12 15.13 15.14 15.15 15.16 15.17 15.18 15.19 15.20 15.21 15.22 15.23 15.24 15.25 15.26 15.27 15.28 15.29 15.30 15.31 15.32 15.33 15.34 15.35 16.1 16.2 16.3 16.4 16.5 16.6 16.7 16.8 16.9 16.10 16.11
16.12 16.13
16.14 16.15 16.16 16.17 16.18 16.19 16.20 16.21 16.22 16.23 16.24 16.25 16.26 16.27 16.28 16.29 16.30 16.31 16.32 16.33 16.34 17.1 17.2 17.3 17.4 17.5 17.6 17.7 17.8 17.9 17.10 17.11 17.12 17.13 17.14 17.15 17.16 17.17
17.18 17.19
17.20 17.21 17.22 17.23 17.24 17.25 17.26 17.27 17.28 17.29
17.30 17.31 17.32 17.33 17.34 18.1 18.2 18.3 18.4 18.5 18.6 18.7 18.8 18.9 18.10
18.11
18.12 18.13 18.14 18.15 18.16 18.17 18.18 18.19 18.20
18.21
18.22 18.23 18.24
18.25
18.26 18.27
18.28 18.29 18.30 19.1 19.2 19.3 19.4 19.5 19.6 19.7 19.8 19.9 19.10 19.11 19.12 19.13 19.14 19.15 19.16 19.17 19.18 19.19 19.20 19.21 19.22 19.23 19.24 19.25 19.26 19.27 19.28 19.29 19.30 19.31 19.32 19.33 19.34 19.35 20.1 20.2 20.3 20.4 20.5 20.6 20.7 20.8 20.9 20.10 20.11 20.12 20.13 20.14 20.15 20.16 20.17 20.18 20.19 20.20 20.21 20.22 20.23 20.24 20.25 20.26 20.27 20.28 20.29 20.30 20.31 20.32 20.33 20.34 20.35 21.1 21.2 21.3 21.4 21.5 21.6 21.7 21.8 21.9 21.10 21.11 21.12 21.13 21.14 21.15 21.16 21.17 21.18 21.19 21.20 21.21 21.22 21.23 21.24 21.25 21.26 21.27 21.28 21.29 21.30 21.31 21.32 21.33 21.34 21.35 21.36
22.1 22.2
22.3 22.4 22.5 22.6 22.7 22.8 22.9 22.10 22.11 22.12 22.13
22.14 22.15
22.16 22.17 22.18 22.19 22.20 22.21 22.22 22.23 22.24 22.25 22.26 22.27 22.28 22.29 22.30 22.31 22.32 23.1 23.2 23.3 23.4 23.5 23.6 23.7 23.8 23.9 23.10 23.11 23.12 23.13 23.14 23.15 23.16 23.17 23.18 23.19 23.20 23.21 23.22 23.23 23.24 23.25 23.26 23.27 23.28 23.29 23.30 23.31 23.32 23.33 23.34 23.35 23.36 24.1 24.2 24.3 24.4 24.5 24.6 24.7 24.8 24.9 24.10 24.11 24.12 24.13 24.14 24.15 24.16 24.17 24.18 24.19 24.20 24.21
24.22 24.23
24.24 24.25 24.26 24.27 24.28 24.29 24.30 24.31 24.32 24.33 24.34 24.35 25.1 25.2 25.3 25.4 25.5 25.6 25.7 25.8 25.9
25.10 25.11
25.12 25.13 25.14 25.15 25.16 25.17 25.18
25.19 25.20
25.21 25.22 25.23 25.24 25.25 25.26 25.27 25.28 25.29 25.30 25.31 26.1 26.2 26.3 26.4 26.5 26.6
26.7 26.8
26.9 26.10 26.11 26.12 26.13 26.14 26.15
26.16 26.17
26.18 26.19 26.20 26.21 26.22 26.23 26.24 26.25 26.26 26.27 26.28 26.29 26.30 26.31 26.32 27.1 27.2 27.3 27.4 27.5 27.6 27.7 27.8 27.9 27.10 27.11 27.12
27.13 27.14
27.15 27.16 27.17 27.18 27.19 27.20 27.21 27.22 27.23 27.24 27.25 27.26 27.27 27.28 27.29 27.30 27.31 27.32 27.33 27.34 27.35 28.1 28.2 28.3 28.4 28.5 28.6 28.7 28.8 28.9 28.10 28.11 28.12 28.13 28.14 28.15 28.16 28.17 28.18 28.19 28.20 28.21 28.22 28.23 28.24 28.25 28.26 28.27 28.28 28.29 28.30 28.31 28.32 28.33 28.34 28.35 28.36 29.1 29.2 29.3 29.4 29.5 29.6 29.7 29.8 29.9 29.10 29.11 29.12 29.13 29.14 29.15 29.16 29.17 29.18 29.19 29.20 29.21 29.22 29.23 29.24 29.25 29.26 29.27 29.28 29.29 29.30 29.31 29.32 29.33 29.34 29.35 29.36 30.1 30.2 30.3 30.4 30.5 30.6 30.7 30.8 30.9 30.10 30.11 30.12 30.13
30.14 30.15 30.16
30.17 30.18 30.19 30.20 30.21 30.22 30.23 30.24 30.25 30.26 30.27 30.28 30.29 30.30 30.31 30.32 30.33 30.34 30.35 31.1 31.2 31.3 31.4 31.5 31.6 31.7 31.8 31.9 31.10 31.11 31.12 31.13 31.14 31.15 31.16 31.17 31.18 31.19 31.20 31.21 31.22 31.23 31.24 31.25 31.26 31.27 31.28 31.29 31.30 31.31 31.32 31.33 31.34 31.35 32.1 32.2 32.3 32.4 32.5 32.6 32.7 32.8 32.9 32.10 32.11 32.12 32.13 32.14 32.15 32.16 32.17 32.18 32.19 32.20 32.21 32.22 32.23 32.24 32.25 32.26 32.27 32.28 32.29 32.30 32.31 32.32 32.33 32.34 32.35 33.1 33.2 33.3 33.4 33.5 33.6 33.7 33.8 33.9 33.10 33.11 33.12 33.13 33.14 33.15 33.16 33.17 33.18 33.19 33.20 33.21
33.22 33.23
33.24 33.25 33.26 33.27 33.28 33.29 33.30 33.31 33.32 33.33 33.34 34.1 34.2 34.3 34.4 34.5 34.6 34.7 34.8 34.9 34.10 34.11 34.12 34.13 34.14 34.15 34.16 34.17 34.18 34.19 34.20 34.21 34.22 34.23 34.24 34.25 34.26 34.27 34.28 34.29 34.30 34.31 34.32 34.33 34.34 34.35 35.1 35.2 35.3 35.4 35.5 35.6 35.7 35.8 35.9 35.10 35.11 35.12 35.13 35.14 35.15 35.16 35.17 35.18 35.19 35.20 35.21 35.22 35.23 35.24 35.25 35.26 35.27 35.28 35.29 35.30 35.31 35.32 35.33 35.34 35.35 35.36 36.1 36.2 36.3 36.4 36.5 36.6 36.7 36.8 36.9 36.10 36.11 36.12 36.13
36.14 36.15
36.16 36.17 36.18 36.19 36.20 36.21 36.22 36.23 36.24 36.25 36.26 36.27 36.28 36.29 36.30 36.31
36.32 36.33
37.1 37.2 37.3 37.4 37.5 37.6 37.7 37.8 37.9 37.10 37.11 37.12 37.13 37.14 37.15 37.16 37.17
37.18 37.19
37.20 37.21 37.22 37.23 37.24 37.25 37.26 37.27 37.28
37.29 37.30
37.31 37.32 37.33 38.1 38.2 38.3 38.4 38.5 38.6 38.7 38.8 38.9 38.10 38.11 38.12 38.13 38.14
38.15 38.16
38.17 38.18 38.19 38.20
38.21 38.22
38.23 38.24 38.25 38.26 38.27 38.28 38.29 38.30 38.31 38.32 39.1 39.2 39.3 39.4 39.5 39.6 39.7 39.8 39.9 39.10 39.11 39.12 39.13 39.14 39.15 39.16 39.17 39.18 39.19 39.20 39.21 39.22 39.23 39.24 39.25 39.26 39.27 39.28 39.29 39.30 39.31 39.32 39.33 39.34 39.35 39.36 40.1 40.2 40.3 40.4 40.5 40.6 40.7 40.8
40.9 40.10
40.11 40.12 40.13 40.14 40.15 40.16 40.17 40.18 40.19 40.20 40.21 40.22 40.23 40.24 40.25 40.26 40.27 40.28 40.29 40.30 40.31 40.32 40.33 40.34 41.1 41.2 41.3 41.4 41.5 41.6 41.7 41.8 41.9 41.10 41.11 41.12 41.13 41.14 41.15 41.16 41.17 41.18 41.19 41.20 41.21 41.22 41.23 41.24 41.25 41.26 41.27 41.28 41.29 41.30 41.31 41.32 41.33 41.34 41.35 41.36 42.1 42.2 42.3 42.4 42.5 42.6 42.7 42.8 42.9 42.10 42.11 42.12 42.13 42.14 42.15 42.16 42.17 42.18 42.19 42.20 42.21 42.22 42.23 42.24 42.25 42.26 42.27 42.28 42.29 42.30 42.31 42.32 42.33 42.34 42.35
43.1 43.2
43.3 43.4 43.5 43.6 43.7 43.8 43.9 43.10 43.11 43.12 43.13 43.14 43.15 43.16 43.17 43.18 43.19 43.20 43.21 43.22 43.23 43.24 43.25 43.26 43.27 43.28 43.29 43.30 43.31 43.32 43.33 43.34 43.35 44.1 44.2 44.3 44.4 44.5 44.6 44.7 44.8 44.9 44.10 44.11 44.12 44.13 44.14 44.15 44.16 44.17 44.18 44.19 44.20 44.21 44.22 44.23 44.24 44.25 44.26 44.27 44.28 44.29 44.30 44.31 44.32 44.33 44.34 44.35 45.1 45.2 45.3 45.4 45.5 45.6 45.7 45.8 45.9 45.10 45.11 45.12 45.13 45.14 45.15 45.16 45.17 45.18 45.19 45.20 45.21 45.22 45.23 45.24 45.25 45.26
45.27 45.28
45.29 45.30 45.31 45.32 45.33 45.34 45.35 46.1 46.2 46.3 46.4 46.5 46.6 46.7 46.8 46.9 46.10 46.11 46.12 46.13 46.14 46.15 46.16 46.17 46.18 46.19 46.20
46.21 46.22
46.23 46.24 46.25 46.26 46.27
46.28 46.29
46.30 46.31
46.32 46.33 47.1 47.2
47.3 47.4
47.5 47.6 47.7 47.8 47.9 47.10 47.11 47.12 47.13 47.14 47.15 47.16 47.17 47.18 47.19 47.20 47.21 47.22 47.23 47.24 47.25 47.26 47.27 47.28 47.29 47.30 47.31 47.32 47.33 47.34 48.1 48.2 48.3 48.4 48.5 48.6 48.7 48.8 48.9 48.10 48.11 48.12 48.13 48.14 48.15 48.16 48.17 48.18 48.19 48.20 48.21 48.22 48.23 48.24 48.25 48.26 48.27 48.28
48.29
48.30 48.31 48.32 48.33 48.34 49.1 49.2 49.3 49.4 49.5 49.6 49.7 49.8 49.9 49.10 49.11 49.12 49.13 49.14 49.15 49.16 49.17 49.18 49.19 49.20 49.21 49.22 49.23 49.24 49.25 49.26 49.27 49.28 49.29 49.30 49.31 49.32 49.33 49.34 49.35 50.1 50.2 50.3 50.4 50.5 50.6 50.7 50.8 50.9 50.10
50.11 50.12 50.13 50.14 50.15 50.16 50.17 50.18 50.19 50.20 50.21 50.22 50.23 50.24 50.25 50.26 50.27 50.28 50.29
50.30 50.31 50.32 50.33 51.1 51.2 51.3 51.4 51.5 51.6 51.7 51.8 51.9 51.10 51.11 51.12 51.13 51.14 51.15 51.16 51.17 51.18 51.19 51.20 51.21 51.22 51.23 51.24 51.25 51.26 51.27
51.28 51.29 51.30 51.31 51.32 51.33 51.34 51.35 52.1 52.2 52.3 52.4 52.5 52.6 52.7 52.8 52.9 52.10 52.11 52.12 52.13 52.14 52.15 52.16 52.17 52.18 52.19 52.20 52.21 52.22 52.23 52.24 52.25 52.26 52.27 52.28 52.29 52.30 52.31
52.32 52.33 52.34 52.35 53.1 53.2 53.3 53.4 53.5 53.6 53.7 53.8 53.9 53.10 53.11 53.12 53.13 53.14 53.15 53.16 53.17 53.18 53.19 53.20 53.21 53.22 53.23 53.24 53.25 53.26 53.27 53.28 53.29 53.30 53.31 53.32 53.33 53.34 53.35 54.1 54.2 54.3 54.4 54.5 54.6 54.7 54.8 54.9 54.10 54.11 54.12 54.13 54.14 54.15 54.16 54.17 54.18 54.19
54.20
54.21 54.22 54.23 54.24 54.25 54.26 54.27 54.28
54.29
54.30 54.31 54.32 54.33 55.1 55.2 55.3 55.4 55.5 55.6 55.7 55.8 55.9 55.10 55.11 55.12 55.13 55.14
55.15 55.16
55.17 55.18 55.19 55.20 55.21 55.22 55.23 55.24 55.25 55.26 55.27 55.28 55.29 55.30 55.31 55.32 55.33 55.34 55.35 56.1 56.2 56.3 56.4 56.5 56.6 56.7 56.8 56.9 56.10 56.11 56.12 56.13 56.14 56.15 56.16 56.17 56.18 56.19 56.20 56.21 56.22 56.23 56.24 56.25 56.26 56.27 56.28 56.29 56.30 56.31 56.32 56.33 56.34 56.35 56.36 57.1 57.2 57.3
57.4 57.5 57.6 57.7
57.8 57.9 57.10 57.11 57.12 57.13 57.14 57.15 57.16 57.17 57.18 57.19 57.20 57.21 57.22 57.23
57.24 57.25 57.26
57.27 57.28 57.29 57.30 57.31 57.32 57.33 58.1 58.2 58.3 58.4 58.5 58.6 58.7 58.8 58.9 58.10 58.11 58.12 58.13 58.14 58.15 58.16
58.17
58.18 58.19 58.20 58.21 58.22 58.23 58.24 58.25 58.26 58.27 58.28 58.29 58.30 58.31 58.32 58.33 58.34 59.1 59.2 59.3 59.4 59.5 59.6 59.7 59.8 59.9 59.10 59.11 59.12
59.13 59.14 59.15
59.16 59.17 59.18 59.19 59.20 59.21 59.22 59.23 59.24 59.25 59.26 59.27 59.28 59.29 59.30 59.31 59.32 59.33 59.34 60.1 60.2 60.3 60.4 60.5 60.6 60.7 60.8 60.9 60.10 60.11 60.12 60.13 60.14 60.15 60.16 60.17 60.18 60.19 60.20 60.21 60.22 60.23 60.24 60.25 60.26 60.27 60.28 60.29 60.30 60.31 60.32 60.33 60.34 60.35 60.36 61.1 61.2 61.3 61.4 61.5 61.6 61.7 61.8 61.9 61.10 61.11 61.12 61.13 61.14 61.15 61.16 61.17 61.18 61.19 61.20 61.21 61.22 61.23 61.24 61.25 61.26 61.27 61.28 61.29 61.30 61.31 61.32 61.33 61.34 61.35 61.36 62.1 62.2 62.3 62.4 62.5 62.6 62.7 62.8 62.9 62.10 62.11 62.12 62.13 62.14 62.15 62.16 62.17 62.18 62.19 62.20 62.21 62.22 62.23 62.24 62.25 62.26 62.27 62.28 62.29
62.30 62.31 62.32 62.33 62.34 62.35 62.36
63.1 63.2 63.3 63.4 63.5 63.6 63.7 63.8 63.9 63.10 63.11 63.12 63.13 63.14 63.15 63.16 63.17 63.18 63.19 63.20 63.21 63.22 63.23 63.24 63.25 63.26 63.27 63.28 63.29 63.30 63.31 63.32 63.33 63.34 63.35 63.36 64.1 64.2 64.3 64.4 64.5 64.6 64.7 64.8 64.9 64.10
64.11 64.12 64.13
64.14 64.15 64.16 64.17 64.18 64.19
64.20 64.21
64.22 64.23 64.24 64.25 64.26 64.27 64.28 64.29 64.30 64.31 64.32 64.33 65.1 65.2 65.3 65.4 65.5 65.6 65.7 65.8 65.9 65.10 65.11 65.12 65.13 65.14
65.15
65.16 65.17 65.18 65.19 65.20 65.21 65.22 65.23 65.24 65.25 65.26 65.27 65.28
65.29
65.30 65.31 65.32 65.33 66.1 66.2 66.3
66.4 66.5
66.6 66.7 66.8 66.9 66.10 66.11 66.12 66.13 66.14 66.15 66.16 66.17 66.18 66.19 66.20 66.21 66.22 66.23 66.24 66.25 66.26 66.27 66.28 66.29
66.30
66.31 66.32 67.1 67.2 67.3 67.4 67.5 67.6 67.7 67.8 67.9 67.10 67.11 67.12 67.13 67.14 67.15 67.16
67.17 67.18 67.19 67.20 67.21 67.22
67.23 67.24 67.25 67.26 67.27 67.28 67.29 67.30 67.31 67.32 67.33
67.34
68.1 68.2 68.3 68.4 68.5 68.6 68.7 68.8 68.9 68.10 68.11 68.12
68.13 68.14
68.15 68.16 68.17 68.18 68.19 68.20 68.21 68.22 68.23 68.24 68.25 68.26 68.27 68.28 68.29 68.30 68.31 68.32 68.33 68.34 68.35 69.1 69.2 69.3 69.4 69.5 69.6 69.7 69.8 69.9 69.10 69.11 69.12 69.13 69.14 69.15 69.16 69.17 69.18 69.19 69.20 69.21 69.22 69.23
69.24 69.25 69.26
69.27 69.28 69.29 69.30 69.31 69.32 69.33 69.34 69.35 70.1 70.2 70.3 70.4 70.5 70.6 70.7 70.8 70.9 70.10
70.11 70.12 70.13
70.14 70.15 70.16 70.17 70.18 70.19 70.20 70.21
70.22 70.23
70.24 70.25 70.26 70.27 70.28 70.29 70.30
70.31 70.32 70.33
71.1 71.2 71.3 71.4 71.5 71.6 71.7 71.8 71.9 71.10 71.11 71.12 71.13 71.14 71.15 71.16 71.17 71.18 71.19 71.20 71.21 71.22 71.23 71.24 71.25 71.26 71.27 71.28 71.29 71.30 71.31 71.32 71.33 71.34 71.35 71.36 72.1 72.2 72.3 72.4 72.5 72.6 72.7 72.8 72.9 72.10 72.11 72.12 72.13 72.14 72.15 72.16 72.17 72.18 72.19 72.20 72.21 72.22 72.23 72.24 72.25 72.26 72.27 72.28 72.29 72.30 72.31 72.32 72.33 72.34 72.35 72.36 73.1 73.2 73.3 73.4 73.5 73.6 73.7 73.8 73.9 73.10 73.11 73.12 73.13 73.14 73.15 73.16 73.17 73.18 73.19 73.20 73.21 73.22 73.23 73.24 73.25 73.26 73.27 73.28 73.29 73.30 73.31 73.32 73.33 73.34 73.35 73.36 74.1 74.2 74.3 74.4 74.5 74.6 74.7 74.8 74.9 74.10 74.11 74.12 74.13 74.14 74.15 74.16 74.17
74.18 74.19 74.20 74.21
74.22 74.23 74.24 74.25 74.26 74.27 74.28 74.29 74.30 74.31 74.32 74.33 74.34 75.1 75.2 75.3 75.4 75.5 75.6 75.7 75.8 75.9 75.10 75.11 75.12 75.13 75.14 75.15 75.16 75.17 75.18 75.19 75.20 75.21 75.22 75.23 75.24 75.25 75.26 75.27 75.28 75.29 75.30 75.31 75.32 75.33 75.34 75.35 75.36
76.1 76.2 76.3
76.4 76.5 76.6 76.7 76.8 76.9 76.10 76.11 76.12 76.13 76.14 76.15 76.16 76.17 76.18 76.19 76.20 76.21 76.22 76.23 76.24 76.25 76.26 76.27 76.28 76.29 76.30 76.31 76.32 76.33 76.34 77.1 77.2 77.3 77.4 77.5 77.6 77.7 77.8 77.9 77.10 77.11 77.12 77.13 77.14 77.15 77.16 77.17 77.18 77.19 77.20 77.21 77.22 77.23 77.24 77.25 77.26 77.27 77.28 77.29 77.30 77.31 77.32 77.33 77.34 77.35 77.36 78.1 78.2 78.3 78.4 78.5 78.6 78.7 78.8 78.9 78.10 78.11 78.12 78.13 78.14 78.15 78.16 78.17 78.18 78.19 78.20 78.21 78.22 78.23 78.24 78.25 78.26 78.27 78.28 78.29 78.30 78.31 78.32 78.33 78.34 78.35 78.36 79.1 79.2 79.3 79.4 79.5 79.6 79.7 79.8 79.9 79.10 79.11 79.12 79.13 79.14 79.15 79.16 79.17 79.18 79.19 79.20 79.21
79.22 79.23 79.24 79.25
79.26 79.27 79.28 79.29 79.30 79.31 79.32 79.33 79.34 79.35 80.1 80.2 80.3 80.4 80.5 80.6 80.7 80.8 80.9 80.10 80.11 80.12 80.13 80.14 80.15 80.16 80.17 80.18 80.19 80.20 80.21 80.22 80.23 80.24 80.25 80.26 80.27 80.28 80.29 80.30 80.31 80.32 80.33 80.34 80.35 80.36 81.1 81.2 81.3 81.4 81.5 81.6 81.7 81.8 81.9 81.10 81.11 81.12 81.13 81.14 81.15 81.16
81.17 81.18 81.19 81.20
81.21 81.22 81.23 81.24 81.25 81.26 81.27 81.28 81.29 81.30 81.31 81.32
82.1 82.2 82.3
82.4 82.5 82.6 82.7 82.8 82.9 82.10 82.11 82.12 82.13
82.14 82.15 82.16
82.17 82.18 82.19 82.20 82.21 82.22 82.23 82.24 82.25 82.26 82.27 82.28 82.29
82.30 82.31
82.32 83.1 83.2 83.3 83.4 83.5 83.6 83.7 83.8 83.9 83.10 83.11 83.12
83.13 83.14 83.15
83.16 83.17 83.18 83.19 83.20 83.21 83.22 83.23 83.24 83.25 83.26 83.27 83.28 83.29 83.30 83.31 83.32
84.1 84.2 84.3
84.4 84.5 84.6 84.7 84.8 84.9 84.10 84.11 84.12 84.13 84.14 84.15 84.16 84.17 84.18 84.19 84.20 84.21 84.22 84.23 84.24 84.25 84.26 84.27 84.28 84.29 84.30 84.31
84.32 84.33
85.1 85.2 85.3 85.4 85.5 85.6 85.7 85.8 85.9 85.10 85.11 85.12 85.13 85.14 85.15 85.16 85.17 85.18 85.19 85.20 85.21 85.22 85.23 85.24 85.25 85.26 85.27 85.28
85.29 85.30
85.31 85.32 85.33 85.34 85.35 86.1 86.2 86.3 86.4 86.5 86.6 86.7 86.8 86.9 86.10 86.11 86.12 86.13 86.14 86.15 86.16 86.17 86.18 86.19 86.20 86.21 86.22 86.23 86.24 86.25 86.26 86.27 86.28 86.29 86.30 86.31 86.32 86.33 86.34 86.35 86.36 87.1 87.2 87.3 87.4 87.5 87.6 87.7 87.8 87.9 87.10 87.11 87.12 87.13 87.14 87.15 87.16 87.17 87.18 87.19 87.20 87.21 87.22 87.23 87.24 87.25 87.26 87.27 87.28 87.29 87.30 87.31 87.32 87.33 87.34 87.35 87.36 88.1 88.2 88.3 88.4 88.5 88.6 88.7 88.8 88.9 88.10 88.11 88.12 88.13 88.14 88.15 88.16 88.17 88.18 88.19 88.20 88.21
88.22
88.23 88.24
88.25 88.26 88.27 88.28 88.29 88.30 88.31 88.32
88.33 88.34
89.1 89.2 89.3 89.4 89.5 89.6 89.7 89.8 89.9 89.10 89.11 89.12 89.13 89.14 89.15 89.16 89.17 89.18 89.19 89.20 89.21 89.22 89.23 89.24 89.25 89.26 89.27 89.28 89.29 89.30 89.31 89.32 89.33
89.34 89.35
90.1 90.2 90.3 90.4 90.5 90.6 90.7 90.8 90.9 90.10 90.11 90.12 90.13 90.14 90.15 90.16 90.17 90.18 90.19
90.20 90.21 90.22 90.23 90.24 90.25 90.26 90.27 90.28 90.29 90.30 90.31 90.32 90.33
91.1 91.2 91.3 91.4 91.5 91.6 91.7 91.8 91.9 91.10 91.11 91.12 91.13
91.14 91.15
91.16 91.17 91.18 91.19 91.20 91.21 91.22 91.23 91.24 91.25 91.26 91.27 91.28 91.29 91.30 91.31 91.32 91.33 91.34 92.1 92.2
92.3 92.4
92.5 92.6 92.7 92.8 92.9 92.10 92.11 92.12 92.13
92.14
92.15 92.16 92.17 92.18 92.19 92.20 92.21 92.22 92.23 92.24 92.25 92.26 92.27 92.28 92.29
92.30
92.31 93.1 93.2 93.3 93.4 93.5 93.6 93.7 93.8 93.9 93.10 93.11 93.12 93.13 93.14 93.15 93.16 93.17 93.18 93.19 93.20 93.21 93.22
93.23 93.24
93.25 93.26 93.27 93.28 93.29 93.30 93.31 93.32 93.33 93.34 93.35 94.1 94.2 94.3 94.4 94.5 94.6 94.7 94.8 94.9 94.10
94.11 94.12
94.13 94.14 94.15 94.16 94.17 94.18 94.19 94.20 94.21 94.22 94.23 94.24 94.25 94.26 94.27 94.28 94.29 94.30 94.31 94.32 94.33 94.34 94.35 95.1 95.2 95.3 95.4 95.5 95.6 95.7 95.8 95.9
95.10 95.11 95.12
95.13 95.14 95.15 95.16 95.17 95.18 95.19 95.20 95.21 95.22 95.23 95.24 95.25 95.26 95.27 95.28 95.29 95.30 95.31 95.32 95.33 95.34 96.1 96.2 96.3 96.4 96.5 96.6 96.7 96.8 96.9 96.10 96.11 96.12 96.13 96.14 96.15 96.16 96.17 96.18 96.19 96.20 96.21 96.22 96.23 96.24 96.25 96.26 96.27 96.28 96.29 96.30 96.31 96.32 96.33 96.34 96.35
97.1 97.2
97.3 97.4 97.5 97.6 97.7 97.8 97.9 97.10 97.11 97.12 97.13 97.14 97.15 97.16 97.17 97.18 97.19 97.20 97.21 97.22 97.23 97.24
97.25
97.26 97.27 97.28 97.29 97.30 97.31 97.32 97.33 97.34 98.1 98.2 98.3 98.4 98.5 98.6 98.7 98.8 98.9 98.10 98.11
98.12 98.13
98.14 98.15 98.16 98.17 98.18 98.19 98.20 98.21 98.22 98.23 98.24
98.25 98.26
98.27 98.28 98.29 98.30 98.31 98.32 98.33 99.1 99.2 99.3 99.4 99.5 99.6
99.7 99.8
99.9 99.10 99.11 99.12 99.13 99.14 99.15 99.16 99.17 99.18 99.19 99.20 99.21 99.22 99.23 99.24 99.25
99.26 99.27
99.28 99.29 99.30 99.31 99.32 99.33 100.1 100.2 100.3
100.4 100.5
100.6 100.7 100.8 100.9 100.10 100.11 100.12 100.13 100.14 100.15 100.16
100.17
100.18 100.19 100.20 100.21 100.22 100.23 100.24
100.25 100.26 100.27 100.28 100.29 100.30 100.31 101.1 101.2 101.3 101.4 101.5 101.6 101.7 101.8 101.9 101.10 101.11 101.12 101.13 101.14 101.15 101.16 101.17 101.18 101.19 101.20 101.21 101.22 101.23 101.24 101.25 101.26 101.27 101.28 101.29 101.30 101.31 101.32 101.33 101.34 101.35 101.36 102.1 102.2 102.3 102.4 102.5 102.6 102.7 102.8 102.9 102.10 102.11 102.12 102.13 102.14 102.15 102.16 102.17 102.18 102.19 102.20 102.21 102.22 102.23 102.24 102.25 102.26 102.27 102.28 102.29 102.30 102.31 102.32 102.33 102.34 102.35 102.36 103.1 103.2 103.3 103.4 103.5 103.6 103.7 103.8 103.9 103.10 103.11 103.12 103.13 103.14 103.15 103.16 103.17 103.18 103.19 103.20 103.21 103.22 103.23 103.24 103.25 103.26 103.27 103.28 103.29 103.30 103.31 103.32 103.33 103.34
103.35 103.36 104.1 104.2
104.3 104.4 104.5 104.6 104.7 104.8 104.9 104.10 104.11 104.12 104.13 104.14 104.15 104.16 104.17 104.18 104.19 104.20 104.21 104.22 104.23 104.24 104.25 104.26 104.27 104.28 104.29 104.30 104.31 104.32 104.33 104.34 104.35
105.1 105.2 105.3 105.4 105.5 105.6 105.7 105.8 105.9 105.10 105.11 105.12 105.13 105.14 105.15 105.16 105.17 105.18 105.19 105.20 105.21 105.22 105.23 105.24 105.25 105.26 105.27 105.28 105.29 105.30 105.31 105.32 105.33 105.34 106.1 106.2 106.3
106.4 106.5
106.6 106.7 106.8 106.9 106.10 106.11 106.12 106.13 106.14 106.15 106.16 106.17 106.18 106.19 106.20 106.21 106.22 106.23 106.24 106.25 106.26 106.27 106.28 106.29 106.30 106.31 106.32 106.33 106.34 106.35 107.1 107.2 107.3 107.4 107.5 107.6 107.7 107.8 107.9 107.10 107.11 107.12 107.13 107.14 107.15 107.16 107.17 107.18 107.19 107.20 107.21 107.22 107.23 107.24 107.25 107.26 107.27 107.28 107.29 107.30 107.31 107.32 107.33 107.34 108.1 108.2 108.3 108.4 108.5 108.6 108.7 108.8 108.9 108.10 108.11 108.12 108.13 108.14 108.15 108.16 108.17 108.18 108.19 108.20 108.21 108.22 108.23 108.24 108.25 108.26 108.27 108.28 108.29 108.30 108.31 108.32 108.33 108.34 108.35 109.1 109.2 109.3 109.4 109.5 109.6
109.7 109.8
109.9 109.10 109.11 109.12 109.13 109.14 109.15 109.16 109.17 109.18 109.19 109.20 109.21 109.22 109.23 109.24 109.25 109.26 109.27 109.28 109.29 109.30 109.31 109.32 109.33 109.34 109.35 110.1 110.2 110.3 110.4 110.5 110.6 110.7 110.8 110.9 110.10 110.11 110.12 110.13 110.14 110.15 110.16 110.17 110.18 110.19 110.20 110.21 110.22 110.23 110.24 110.25 110.26 110.27 110.28 110.29 110.30 110.31 110.32 110.33 110.34 110.35 111.1 111.2 111.3 111.4 111.5 111.6 111.7 111.8 111.9 111.10 111.11 111.12 111.13 111.14 111.15 111.16 111.17 111.18 111.19 111.20 111.21 111.22 111.23 111.24 111.25 111.26 111.27 111.28 111.29 111.30 111.31 111.32 111.33 111.34 111.35 111.36 112.1 112.2 112.3 112.4 112.5 112.6 112.7 112.8 112.9 112.10 112.11 112.12 112.13 112.14 112.15 112.16 112.17 112.18 112.19 112.20 112.21 112.22 112.23 112.24 112.25 112.26 112.27 112.28 112.29 112.30 112.31 112.32 112.33 112.34 112.35 112.36 113.1 113.2 113.3 113.4 113.5 113.6 113.7 113.8 113.9 113.10 113.11 113.12 113.13 113.14 113.15 113.16 113.17
113.18 113.19
113.20 113.21 113.22 113.23 113.24 113.25 113.26 113.27 113.28 113.29 113.30 113.31 113.32 113.33 113.34 113.35 114.1 114.2 114.3 114.4 114.5 114.6 114.7 114.8 114.9 114.10 114.11 114.12 114.13 114.14 114.15 114.16 114.17 114.18 114.19 114.20 114.21 114.22 114.23 114.24 114.25 114.26 114.27 114.28 114.29 114.30 114.31 114.32 114.33 114.34 114.35 114.36 115.1 115.2 115.3 115.4 115.5 115.6 115.7 115.8 115.9 115.10 115.11 115.12 115.13 115.14 115.15 115.16 115.17 115.18 115.19 115.20 115.21 115.22 115.23 115.24 115.25 115.26 115.27 115.28 115.29 115.30 115.31 115.32 115.33 115.34 116.1 116.2 116.3 116.4 116.5 116.6 116.7 116.8 116.9 116.10 116.11 116.12 116.13 116.14 116.15 116.16 116.17 116.18 116.19 116.20 116.21 116.22 116.23 116.24 116.25 116.26 116.27 116.28 116.29 116.30 116.31 116.32 116.33 116.34 116.35 117.1 117.2 117.3 117.4 117.5 117.6 117.7 117.8 117.9 117.10 117.11 117.12 117.13 117.14 117.15 117.16 117.17 117.18 117.19 117.20 117.21 117.22 117.23 117.24 117.25 117.26 117.27 117.28 117.29 117.30 117.31 117.32 117.33 117.34 117.35 117.36 118.1 118.2 118.3 118.4 118.5 118.6 118.7 118.8 118.9 118.10 118.11 118.12 118.13 118.14 118.15 118.16 118.17 118.18 118.19 118.20
118.21 118.22 118.23 118.24 118.25
118.26 118.27 118.28 118.29 118.30 118.31 118.32 118.33 118.34 118.35 119.1 119.2 119.3 119.4 119.5 119.6 119.7 119.8 119.9 119.10 119.11 119.12 119.13 119.14 119.15 119.16 119.17 119.18 119.19 119.20 119.21 119.22 119.23 119.24 119.25 119.26 119.27 119.28 119.29 119.30 119.31 119.32 119.33 119.34 119.35 119.36 120.1 120.2 120.3 120.4 120.5 120.6 120.7 120.8 120.9 120.10 120.11 120.12 120.13 120.14 120.15 120.16 120.17 120.18 120.19 120.20 120.21 120.22 120.23 120.24 120.25 120.26 120.27 120.28 120.29 120.30 120.31 120.32 120.33 120.34 120.35 121.1 121.2 121.3 121.4 121.5 121.6 121.7 121.8 121.9 121.10 121.11 121.12 121.13 121.14 121.15 121.16 121.17 121.18 121.19 121.20 121.21 121.22 121.23 121.24 121.25 121.26 121.27 121.28 121.29 121.30 121.31 121.32 121.33 121.34 121.35 121.36 122.1 122.2 122.3 122.4 122.5 122.6 122.7 122.8 122.9 122.10 122.11 122.12 122.13 122.14 122.15 122.16 122.17 122.18 122.19 122.20 122.21 122.22 122.23 122.24 122.25 122.26 122.27 122.28 122.29 122.30 122.31 122.32 122.33 122.34 122.35 122.36 123.1 123.2 123.3 123.4 123.5 123.6 123.7 123.8 123.9 123.10 123.11 123.12 123.13 123.14 123.15 123.16 123.17 123.18 123.19 123.20 123.21 123.22 123.23 123.24 123.25 123.26 123.27 123.28 123.29 123.30 123.31 123.32 123.33 123.34
124.1 124.2 124.3
124.4 124.5 124.6 124.7 124.8 124.9 124.10 124.11 124.12 124.13
124.14 124.15
124.16 124.17 124.18 124.19 124.20 124.21 124.22 124.23 124.24 124.25 124.26 124.27 124.28 124.29 124.30
124.31 124.32
125.1 125.2 125.3 125.4 125.5 125.6 125.7 125.8 125.9 125.10 125.11 125.12 125.13 125.14 125.15
125.16 125.17
125.18 125.19 125.20 125.21 125.22 125.23 125.24 125.25 125.26 125.27 125.28
125.29 125.30
125.31 125.32 126.1 126.2 126.3 126.4 126.5 126.6 126.7 126.8 126.9 126.10 126.11 126.12 126.13 126.14 126.15 126.16
126.17 126.18
126.19 126.20 126.21 126.22 126.23 126.24 126.25
126.26 126.27
126.28 126.29 126.30 126.31 126.32 127.1 127.2 127.3 127.4 127.5 127.6 127.7 127.8
127.9 127.10
127.11 127.12 127.13 127.14 127.15 127.16 127.17 127.18 127.19 127.20 127.21 127.22 127.23 127.24 127.25 127.26 127.27 127.28 127.29 127.30 127.31 127.32 127.33 127.34 128.1 128.2 128.3 128.4 128.5 128.6 128.7 128.8 128.9 128.10
128.11
128.12 128.13 128.14 128.15 128.16 128.17 128.18 128.19 128.20 128.21 128.22 128.23 128.24 128.25 128.26 128.27 128.28 128.29 128.30 128.31 128.32 128.33 129.1 129.2 129.3 129.4 129.5 129.6 129.7 129.8 129.9 129.10 129.11 129.12 129.13
129.14
129.15 129.16 129.17 129.18 129.19 129.20 129.21 129.22 129.23 129.24 129.25 129.26 129.27 129.28 129.29 129.30 129.31 129.32 129.33 129.34 130.1 130.2 130.3 130.4 130.5 130.6 130.7 130.8 130.9 130.10 130.11
130.12
130.13 130.14 130.15 130.16 130.17 130.18 130.19 130.20
130.21
130.22 130.23 130.24 130.25 130.26 130.27 130.28 130.29 130.30 130.31 130.32 130.33 131.1 131.2 131.3 131.4 131.5 131.6 131.7 131.8 131.9 131.10 131.11 131.12 131.13
131.14
131.15 131.16 131.17 131.18 131.19 131.20 131.21 131.22
131.23 131.24
131.25 131.26 131.27 131.28 131.29 131.30 131.31 131.32 131.33 132.1 132.2 132.3 132.4 132.5 132.6 132.7 132.8 132.9 132.10 132.11 132.12 132.13
132.14
132.15 132.16 132.17 132.18 132.19 132.20 132.21 132.22 132.23 132.24 132.25 132.26 132.27 132.28 132.29 132.30 132.31 132.32 132.33 132.34 133.1 133.2 133.3 133.4 133.5 133.6 133.7 133.8 133.9 133.10 133.11 133.12 133.13
133.14
133.15 133.16 133.17 133.18 133.19 133.20 133.21 133.22 133.23
133.24 133.25
133.26 133.27
133.28 133.29 133.30 133.31
133.32
134.1 134.2 134.3 134.4 134.5 134.6 134.7 134.8 134.9 134.10
134.11 134.12
134.13 134.14 134.15 134.16 134.17 134.18 134.19 134.20 134.21 134.22 134.23 134.24 134.25 134.26 134.27 134.28 134.29 134.30 134.31 134.32 134.33 134.34 135.1 135.2 135.3 135.4 135.5 135.6 135.7 135.8 135.9 135.10 135.11 135.12 135.13 135.14 135.15 135.16 135.17 135.18 135.19 135.20 135.21 135.22 135.23 135.24 135.25 135.26 135.27 135.28 135.29 135.30 135.31 135.32 135.33 135.34
135.35 135.36 136.1 136.2
136.3 136.4 136.5 136.6 136.7 136.8 136.9 136.10 136.11 136.12 136.13 136.14 136.15 136.16 136.17
136.18
136.19 136.20 136.21 136.22 136.23 136.24 136.25 136.26 136.27 136.28 136.29 136.30 136.31 136.32 136.33 136.34 137.1 137.2 137.3 137.4 137.5 137.6 137.7 137.8 137.9 137.10 137.11 137.12 137.13 137.14 137.15 137.16 137.17 137.18 137.19 137.20 137.21 137.22 137.23 137.24 137.25 137.26 137.27 137.28
137.29 137.30 137.31 137.32
137.33 137.34 137.35 138.1 138.2 138.3 138.4 138.5 138.6 138.7 138.8 138.9 138.10 138.11 138.12 138.13 138.14 138.15 138.16 138.17 138.18 138.19 138.20 138.21 138.22 138.23 138.24 138.25 138.26 138.27 138.28 138.29 138.30 138.31 138.32 138.33 138.34
138.35 138.36
139.1 139.2 139.3 139.4 139.5 139.6 139.7 139.8 139.9 139.10 139.11 139.12
139.13 139.14
139.15 139.16 139.17 139.18 139.19 139.20 139.21 139.22
139.23
139.24 139.25 139.26 139.27
139.28 139.29
140.1 140.2
140.3 140.4 140.5 140.6 140.7 140.8 140.9
140.10 140.11
140.12 140.13 140.14 140.15 140.16 140.17 140.18 140.19 140.20 140.21 140.22 140.23 140.24 140.25 140.26 140.27 140.28 140.29 140.30 140.31 140.32 140.33 140.34 141.1 141.2 141.3 141.4 141.5 141.6 141.7 141.8 141.9 141.10 141.11 141.12 141.13 141.14 141.15 141.16 141.17 141.18 141.19 141.20 141.21 141.22 141.23
141.24 141.25
141.26 141.27 141.28 141.29 141.30 141.31 141.32 141.33 141.34 141.35 142.1 142.2
142.3 142.4
142.5 142.6 142.7 142.8 142.9 142.10 142.11 142.12 142.13 142.14 142.15 142.16 142.17 142.18 142.19 142.20 142.21 142.22 142.23 142.24 142.25 142.26 142.27 142.28 142.29 142.30 142.31 142.32 142.33 142.34 142.35 143.1 143.2 143.3 143.4 143.5 143.6 143.7 143.8 143.9 143.10 143.11 143.12 143.13 143.14
143.15 143.16
143.17 143.18 143.19 143.20 143.21 143.22 143.23 143.24 143.25
143.26 143.27
143.28 143.29 143.30 143.31 143.32 143.33 144.1 144.2 144.3 144.4 144.5 144.6 144.7 144.8 144.9 144.10 144.11 144.12 144.13 144.14 144.15 144.16 144.17 144.18 144.19 144.20 144.21 144.22 144.23 144.24 144.25 144.26 144.27 144.28 144.29 144.30 144.31 144.32 144.33 144.34 144.35 144.36 145.1 145.2 145.3 145.4 145.5 145.6 145.7 145.8 145.9 145.10 145.11 145.12 145.13 145.14 145.15 145.16 145.17 145.18 145.19 145.20 145.21 145.22 145.23 145.24 145.25
145.26
145.27 145.28 145.29 145.30 145.31 145.32 145.33 145.34 145.35 146.1 146.2 146.3 146.4 146.5 146.6 146.7 146.8 146.9
146.10
146.11 146.12 146.13 146.14 146.15 146.16 146.17 146.18 146.19 146.20 146.21 146.22 146.23 146.24 146.25 146.26 146.27 146.28 146.29 146.30 146.31 146.32 146.33 146.34 147.1 147.2 147.3 147.4 147.5 147.6 147.7 147.8 147.9 147.10 147.11 147.12 147.13 147.14 147.15 147.16 147.17 147.18 147.19 147.20 147.21 147.22 147.23 147.24 147.25 147.26 147.27 147.28 147.29 147.30 147.31 147.32 147.33 147.34 147.35 147.36 148.1
148.2 148.3
148.4 148.5 148.6 148.7 148.8 148.9 148.10 148.11 148.12 148.13 148.14 148.15 148.16 148.17 148.18 148.19 148.20
148.21 148.22 148.23
148.24 148.25 148.26 148.27 148.28 148.29 148.30 148.31 148.32 148.33
149.1 149.2 149.3
149.4 149.5 149.6 149.7 149.8
149.9 149.10 149.11
149.12 149.13 149.14 149.15 149.16 149.17 149.18 149.19 149.20 149.21
149.22 149.23 149.24 149.25 149.26 149.27 149.28 149.29 149.30 149.31 149.32 149.33 150.1 150.2 150.3 150.4 150.5 150.6
150.7 150.8 150.9
150.10 150.11 150.12 150.13 150.14 150.15 150.16 150.17 150.18 150.19 150.20 150.21 150.22 150.23 150.24 150.25 150.26 150.27 150.28 150.29 150.30
150.31 150.32 150.33
151.1 151.2 151.3 151.4 151.5 151.6 151.7 151.8 151.9 151.10 151.11 151.12 151.13 151.14 151.15 151.16 151.17 151.18
151.19
151.20 151.21 151.22 151.23 151.24 151.25 151.26 151.27 151.28 151.29 151.30 151.31 151.32 151.33 151.34 152.1 152.2 152.3 152.4 152.5 152.6 152.7 152.8 152.9 152.10 152.11 152.12
152.13 152.14 152.15
152.16 152.17 152.18 152.19 152.20 152.21 152.22 152.23 152.24 152.25 152.26 152.27 152.28 152.29 152.30 152.31 152.32 152.33 152.34
153.1 153.2
153.3 153.4 153.5 153.6 153.7 153.8 153.9 153.10 153.11 153.12 153.13 153.14 153.15 153.16 153.17 153.18 153.19 153.20 153.21 153.22 153.23 153.24 153.25 153.26 153.27 153.28 153.29 153.30 153.31 153.32 153.33 153.34 153.35 154.1 154.2 154.3
154.4 154.5 154.6
154.7 154.8 154.9 154.10 154.11 154.12 154.13 154.14 154.15 154.16 154.17 154.18 154.19 154.20 154.21 154.22 154.23 154.24 154.25 154.26 154.27 154.28 154.29 154.30 154.31 154.32 154.33 154.34 154.35 155.1 155.2 155.3 155.4 155.5 155.6 155.7
155.8 155.9 155.10
155.11 155.12 155.13 155.14 155.15 155.16 155.17 155.18 155.19 155.20 155.21 155.22 155.23 155.24 155.25 155.26 155.27 155.28 155.29 155.30 155.31 155.32 155.33 155.34 156.1 156.2 156.3 156.4 156.5 156.6 156.7 156.8 156.9 156.10 156.11
156.12 156.13 156.14
156.15 156.16 156.17 156.18 156.19 156.20 156.21 156.22 156.23 156.24 156.25 156.26 156.27 156.28 156.29 156.30 156.31 156.32 156.33 156.34 157.1 157.2 157.3 157.4 157.5 157.6 157.7 157.8 157.9 157.10 157.11
157.12 157.13 157.14
157.15 157.16
157.17
157.18 157.19
157.20 157.21 157.22 157.23 157.24 157.25 157.26 157.27 157.28 157.29 157.30 157.31 157.32 157.33 158.1 158.2 158.3 158.4 158.5 158.6 158.7 158.8 158.9 158.10
158.11 158.12
158.13 158.14 158.15 158.16 158.17 158.18 158.19 158.20 158.21 158.22
158.23 158.24
158.25 158.26 158.27 158.28 158.29 158.30 158.31 158.32 158.33 159.1 159.2 159.3 159.4 159.5 159.6 159.7
159.8 159.9
159.10 159.11 159.12 159.13 159.14 159.15 159.16 159.17 159.18 159.19 159.20 159.21 159.22 159.23 159.24
159.25 159.26
159.27 159.28
159.29 159.30 159.31 159.32 159.33 160.1 160.2 160.3 160.4 160.5 160.6 160.7 160.8 160.9 160.10
160.11 160.12 160.13 160.14 160.15 160.16 160.17 160.18 160.19 160.20 160.21 160.22 160.23 160.24 160.25 160.26 160.27 160.28 160.29 160.30 160.31 160.32 160.33 160.34 160.35 161.1 161.2 161.3 161.4 161.5 161.6 161.7 161.8 161.9 161.10 161.11 161.12 161.13 161.14 161.15 161.16 161.17 161.18 161.19 161.20 161.21 161.22 161.23 161.24 161.25 161.26 161.27 161.28 161.29 161.30 161.31 161.32 161.33 161.34 161.35 161.36 162.1 162.2 162.3 162.4 162.5 162.6 162.7 162.8 162.9
162.10 162.11 162.12 162.13 162.14
162.15 162.16
162.17 162.18 162.19 162.20 162.21 162.22 162.23 162.24 162.25 162.26 162.27 162.28 162.29 162.30 162.31 162.32 162.33 162.34 162.35 163.1 163.2 163.3 163.4 163.5 163.6 163.7 163.8 163.9 163.10 163.11 163.12 163.13 163.14 163.15 163.16 163.17 163.18 163.19 163.20 163.21 163.22 163.23 163.24 163.25 163.26 163.27 163.28 163.29 163.30 163.31 163.32 163.33 163.34
163.35 164.1 164.2 164.3 164.4 164.5 164.6 164.7 164.8 164.9 164.10 164.11 164.12 164.13 164.14 164.15 164.16 164.17 164.18
164.19 164.20
164.21 164.22 164.23 164.24 164.25
164.26 164.27
164.28 164.29 164.30 164.31 164.32 164.33 165.1 165.2 165.3 165.4 165.5
165.6 165.7
165.8 165.9 165.10 165.11 165.12 165.13 165.14 165.15 165.16 165.17 165.18 165.19 165.20 165.21 165.22 165.23 165.24 165.25
165.26 165.27 165.28 165.29 165.30 165.31 165.32 165.33 166.1 166.2 166.3 166.4 166.5 166.6
166.7 166.8
166.9 166.10 166.11
166.12 166.13
166.14 166.15 166.16 166.17 166.18
166.19 166.20 166.21 166.22 166.23 166.24 166.25 166.26 166.27 166.28 166.29 166.30 166.31 167.1 167.2
167.3 167.4 167.5
167.6 167.7
167.8 167.9 167.10 167.11 167.12 167.13 167.14 167.15 167.16 167.17 167.18 167.19 167.20 167.21 167.22
167.23 167.24
167.25 167.26 167.27 167.28
167.29 167.30 167.31 168.1 168.2 168.3 168.4 168.5 168.6 168.7 168.8 168.9 168.10 168.11 168.12 168.13 168.14 168.15 168.16 168.17 168.18 168.19 168.20 168.21 168.22 168.23 168.24 168.25
168.26 168.27 168.28 168.29 168.30 168.31 168.32 168.33 168.34 168.35 169.1 169.2 169.3 169.4 169.5 169.6 169.7 169.8 169.9 169.10 169.11
169.12
169.13 169.14 169.15 169.16 169.17 169.18 169.19 169.20 169.21
169.22 169.23 169.24 169.25 169.26 169.27 169.28 169.29 169.30 169.31 169.32 169.33 170.1 170.2 170.3 170.4 170.5 170.6 170.7 170.8 170.9 170.10 170.11 170.12 170.13 170.14 170.15 170.16 170.17 170.18 170.19 170.20 170.21 170.22 170.23 170.24 170.25 170.26 170.27 170.28 170.29 170.30 170.31 170.32 170.33 170.34 170.35 170.36 171.1 171.2 171.3 171.4 171.5 171.6 171.7 171.8 171.9 171.10 171.11 171.12 171.13 171.14
171.15
171.16 171.17 171.18 171.19 171.20 171.21 171.22 171.23 171.24 171.25 171.26 171.27 171.28 171.29 171.30 171.31 171.32 171.33 171.34 172.1 172.2 172.3 172.4 172.5 172.6 172.7 172.8 172.9 172.10 172.11 172.12 172.13 172.14 172.15 172.16 172.17 172.18 172.19 172.20 172.21 172.22 172.23 172.24 172.25 172.26 172.27 172.28 172.29 172.30 172.31 172.32 172.33 172.34 172.35 173.1 173.2 173.3 173.4 173.5 173.6 173.7 173.8 173.9 173.10 173.11 173.12 173.13
173.14 173.15
173.16 173.17 173.18 173.19 173.20 173.21 173.22 173.23 173.24 173.25 173.26 173.27 173.28 173.29 173.30 173.31 173.32 173.33 173.34 174.1 174.2 174.3 174.4 174.5 174.6 174.7 174.8 174.9 174.10 174.11 174.12 174.13 174.14 174.15 174.16 174.17 174.18
174.19
174.20 174.21 174.22 174.23 174.24 174.25 174.26 174.27 174.28 174.29 174.30 174.31 174.32 174.33 174.34 174.35 175.1 175.2 175.3 175.4 175.5 175.6 175.7 175.8 175.9 175.10 175.11 175.12 175.13 175.14 175.15 175.16 175.17
175.18 175.19
175.20 175.21 175.22 175.23 175.24 175.25 175.26 175.27 175.28
175.29 175.30
175.31 175.32 175.33 176.1 176.2 176.3 176.4 176.5 176.6 176.7 176.8 176.9 176.10 176.11 176.12 176.13 176.14 176.15 176.16 176.17 176.18 176.19 176.20 176.21 176.22 176.23 176.24 176.25
176.26
176.27 176.28 176.29 176.30 176.31 176.32 176.33 176.34 176.35 177.1 177.2 177.3 177.4 177.5 177.6 177.7 177.8 177.9 177.10 177.11 177.12 177.13 177.14 177.15 177.16 177.17 177.18 177.19 177.20 177.21 177.22 177.23 177.24 177.25 177.26 177.27 177.28 177.29 177.30 177.31
177.32 177.33 177.34 178.1 178.2 178.3 178.4 178.5 178.6 178.7 178.8 178.9 178.10 178.11 178.12 178.13 178.14 178.15 178.16 178.17 178.18 178.19 178.20 178.21 178.22 178.23 178.24 178.25 178.26 178.27 178.28 178.29 178.30 178.31
178.32 178.33
178.34 178.35
179.1 179.2 179.3 179.4 179.5 179.6 179.7
179.8 179.9 179.10 179.11 179.12 179.13 179.14 179.15 179.16 179.17 179.18 179.19 179.20 179.21 179.22 179.23 179.24 179.25 179.26 179.27 179.28 179.29 179.30 179.31 179.32 179.33 179.34 180.1 180.2 180.3 180.4 180.5 180.6 180.7 180.8 180.9 180.10 180.11 180.12 180.13 180.14 180.15 180.16 180.17 180.18
180.19 180.20
180.21 180.22
180.23 180.24 180.25 180.26 180.27 180.28 180.29 180.30
180.31
180.32 181.1 181.2 181.3 181.4 181.5 181.6 181.7 181.8 181.9 181.10 181.11 181.12 181.13 181.14 181.15 181.16 181.17 181.18 181.19 181.20 181.21 181.22
181.23
181.24 181.25 181.26 181.27 181.28 181.29 181.30 181.31 181.32 181.33 181.34 182.1 182.2
182.3
182.4 182.5 182.6 182.7 182.8 182.9 182.10
182.11
182.12 182.13 182.14 182.15 182.16 182.17 182.18 182.19 182.20 182.21 182.22 182.23 182.24
182.25
182.26 182.27 182.28 182.29 182.30 182.31 182.32 183.1 183.2 183.3 183.4 183.5 183.6 183.7 183.8
183.9
183.10 183.11 183.12 183.13
183.14
183.15 183.16 183.17 183.18 183.19
183.20
183.21 183.22 183.23
183.24
183.25 183.26 183.27 183.28 183.29 183.30 184.1 184.2 184.3 184.4 184.5 184.6 184.7 184.8 184.9 184.10 184.11 184.12 184.13 184.14 184.15 184.16 184.17 184.18 184.19 184.20 184.21 184.22 184.23 184.24 184.25 184.26 184.27 184.28 184.29 184.30 184.31 184.32 184.33 184.34 184.35 184.36 185.1 185.2 185.3 185.4 185.5 185.6 185.7 185.8 185.9 185.10 185.11 185.12 185.13 185.14 185.15 185.16 185.17 185.18 185.19 185.20 185.21 185.22 185.23 185.24
185.25
185.26 185.27 185.28 185.29 185.30 185.31 185.32 185.33 185.34 185.35 186.1 186.2 186.3 186.4 186.5 186.6 186.7 186.8 186.9 186.10 186.11 186.12 186.13 186.14 186.15 186.16 186.17 186.18 186.19 186.20 186.21 186.22 186.23 186.24 186.25 186.26 186.27 186.28 186.29 186.30 186.31 186.32 186.33 186.34 186.35 186.36 187.1 187.2 187.3 187.4 187.5 187.6 187.7 187.8 187.9 187.10 187.11 187.12 187.13 187.14 187.15 187.16 187.17 187.18 187.19 187.20 187.21 187.22 187.23 187.24 187.25 187.26 187.27 187.28 187.29 187.30 187.31 187.32 187.33 187.34 187.35 188.1 188.2 188.3 188.4 188.5 188.6 188.7 188.8 188.9 188.10 188.11 188.12 188.13 188.14 188.15 188.16 188.17 188.18 188.19 188.20 188.21 188.22 188.23 188.24 188.25 188.26 188.27 188.28 188.29 188.30 188.31 188.32 188.33 188.34 188.35 188.36 189.1 189.2
189.3
189.4 189.5 189.6 189.7 189.8 189.9 189.10 189.11 189.12 189.13 189.14 189.15 189.16 189.17 189.18 189.19 189.20 189.21 189.22 189.23 189.24 189.25 189.26 189.27
189.28
189.29 189.30 189.31 189.32 189.33 190.1 190.2 190.3 190.4 190.5 190.6 190.7 190.8 190.9 190.10 190.11 190.12 190.13 190.14 190.15 190.16 190.17 190.18 190.19 190.20 190.21 190.22 190.23 190.24 190.25 190.26 190.27 190.28 190.29 190.30 190.31 190.32 190.33 190.34 190.35 190.36 191.1 191.2 191.3 191.4 191.5 191.6 191.7 191.8 191.9 191.10 191.11 191.12 191.13 191.14 191.15 191.16 191.17 191.18 191.19 191.20 191.21 191.22 191.23 191.24 191.25 191.26 191.27 191.28 191.29 191.30 191.31 191.32 191.33 191.34 191.35 192.1 192.2 192.3 192.4 192.5 192.6 192.7 192.8 192.9 192.10 192.11 192.12 192.13 192.14 192.15 192.16 192.17 192.18 192.19 192.20 192.21 192.22 192.23 192.24 192.25 192.26 192.27 192.28 192.29 192.30 192.31 192.32 192.33 192.34 192.35 193.1 193.2 193.3 193.4 193.5 193.6 193.7 193.8 193.9 193.10 193.11 193.12 193.13 193.14 193.15 193.16 193.17 193.18 193.19 193.20 193.21 193.22 193.23 193.24 193.25 193.26 193.27 193.28 193.29 193.30 193.31 193.32 193.33 193.34 193.35 194.1 194.2 194.3 194.4 194.5 194.6 194.7 194.8 194.9 194.10 194.11 194.12 194.13 194.14 194.15 194.16 194.17 194.18 194.19 194.20 194.21 194.22 194.23 194.24 194.25 194.26 194.27 194.28 194.29
194.30
194.31 194.32 194.33 195.1 195.2 195.3 195.4 195.5 195.6 195.7 195.8 195.9 195.10 195.11 195.12 195.13 195.14 195.15
195.16
195.17 195.18 195.19 195.20 195.21 195.22 195.23 195.24
195.25 195.26 195.27 195.28 195.29
195.30
195.31 196.1 196.2 196.3 196.4 196.5 196.6 196.7 196.8 196.9 196.10 196.11 196.12 196.13 196.14 196.15 196.16 196.17 196.18 196.19 196.20 196.21 196.22 196.23 196.24 196.25 196.26 196.27 196.28 196.29 196.30 196.31 196.32 196.33 196.34 196.35 197.1 197.2 197.3 197.4 197.5 197.6 197.7 197.8 197.9
197.10
197.11 197.12 197.13 197.14 197.15 197.16 197.17 197.18 197.19 197.20 197.21 197.22 197.23 197.24 197.25 197.26 197.27 197.28 197.29 197.30 197.31 197.32 197.33 197.34 198.1 198.2 198.3 198.4 198.5 198.6 198.7 198.8 198.9 198.10 198.11 198.12 198.13 198.14 198.15 198.16 198.17 198.18
198.19
198.20 198.21 198.22 198.23
198.24
198.25 198.26 198.27 198.28 198.29 198.30 198.31 198.32 198.33 199.1 199.2 199.3 199.4 199.5 199.6 199.7 199.8 199.9 199.10 199.11 199.12 199.13 199.14 199.15 199.16 199.17 199.18
199.19
199.20 199.21 199.22 199.23 199.24
199.25
199.26 199.27 199.28 199.29 199.30 199.31 199.32 199.33 200.1 200.2 200.3 200.4 200.5 200.6 200.7 200.8 200.9 200.10 200.11 200.12 200.13 200.14 200.15 200.16 200.17 200.18 200.19 200.20 200.21 200.22 200.23 200.24 200.25 200.26 200.27 200.28 200.29 200.30 200.31 200.32 200.33 200.34 200.35 201.1 201.2 201.3 201.4 201.5 201.6 201.7 201.8 201.9 201.10 201.11 201.12 201.13 201.14
201.15
201.16 201.17 201.18 201.19
201.20
201.21 201.22 201.23 201.24
201.25
201.26 201.27 201.28 201.29 201.30 201.31 202.1 202.2 202.3 202.4
202.5
202.6 202.7
202.8 202.9 202.10 202.11 202.12 202.13 202.14 202.15 202.16 202.17 202.18 202.19 202.20 202.21 202.22 202.23 202.24 202.25 202.26 202.27 202.28 202.29 202.30 202.31 202.32 202.33 202.34 203.1 203.2 203.3 203.4 203.5 203.6 203.7 203.8 203.9 203.10 203.11
203.12 203.13 203.14
203.15 203.16 203.17 203.18 203.19 203.20 203.21 203.22 203.23 203.24 203.25 203.26 203.27 203.28 203.29 203.30 203.31 203.32 203.33
203.34
204.1 204.2 204.3 204.4 204.5 204.6 204.7 204.8 204.9 204.10 204.11 204.12 204.13 204.14 204.15 204.16 204.17 204.18
204.19 204.20
204.21 204.22 204.23 204.24 204.25 204.26 204.27 204.28 204.29 204.30 204.31 204.32 204.33 204.34 205.1 205.2
205.3 205.4
205.5 205.6 205.7 205.8 205.9 205.10 205.11 205.12 205.13 205.14 205.15 205.16 205.17 205.18 205.19 205.20 205.21 205.22 205.23 205.24 205.25 205.26 205.27 205.28 205.29 205.30 205.31 205.32 205.33 205.34 205.35 206.1 206.2 206.3 206.4 206.5 206.6 206.7 206.8 206.9 206.10 206.11 206.12 206.13 206.14 206.15 206.16 206.17 206.18 206.19 206.20 206.21 206.22 206.23 206.24 206.25 206.26 206.27 206.28 206.29 206.30 206.31 206.32 206.33
206.34 206.35
207.1 207.2 207.3 207.4 207.5 207.6 207.7 207.8 207.9 207.10 207.11 207.12 207.13 207.14 207.15 207.16 207.17 207.18 207.19 207.20 207.21 207.22 207.23 207.24 207.25 207.26 207.27 207.28 207.29 207.30 207.31 207.32 207.33 207.34 207.35 207.36 208.1 208.2 208.3 208.4 208.5 208.6
208.7 208.8
208.9 208.10 208.11 208.12 208.13 208.14 208.15 208.16 208.17 208.18 208.19 208.20 208.21 208.22 208.23 208.24 208.25 208.26 208.27
208.28
208.29 208.30 208.31 208.32 208.33
209.1 209.2
209.3 209.4 209.5 209.6
209.7 209.8
209.9 209.10 209.11 209.12
209.13 209.14
209.15 209.16 209.17
209.18
209.19 209.20 209.21 209.22 209.23 209.24 209.25 209.26 209.27 209.28 209.29 209.30 209.31 210.1 210.2 210.3 210.4 210.5 210.6 210.7 210.8 210.9 210.10 210.11 210.12 210.13 210.14 210.15 210.16 210.17
210.18 210.19
210.20 210.21 210.22 210.23 210.24 210.25 210.26 210.27 210.28 210.29 210.30 210.31 210.32 210.33 210.34 210.35 211.1 211.2 211.3 211.4 211.5 211.6 211.7 211.8 211.9 211.10 211.11 211.12 211.13 211.14 211.15 211.16 211.17 211.18 211.19 211.20 211.21 211.22 211.23 211.24 211.25 211.26 211.27 211.28 211.29 211.30 211.31 211.32 211.33 211.34 211.35 212.1 212.2 212.3 212.4 212.5 212.6 212.7 212.8 212.9 212.10 212.11
212.12
212.13 212.14 212.15 212.16 212.17 212.18 212.19 212.20 212.21 212.22 212.23 212.24 212.25 212.26 212.27 212.28 212.29 212.30 212.31 212.32
212.33 212.34
213.1 213.2 213.3 213.4 213.5 213.6 213.7 213.8 213.9 213.10 213.11 213.12 213.13 213.14 213.15
213.16 213.17
213.18 213.19 213.20 213.21 213.22
213.23 213.24
213.25 213.26
213.27 213.28 213.29 213.30 213.31 213.32 213.33 214.1 214.2 214.3 214.4 214.5 214.6 214.7 214.8 214.9 214.10 214.11 214.12 214.13 214.14 214.15 214.16 214.17 214.18 214.19 214.20 214.21 214.22 214.23 214.24 214.25 214.26 214.27 214.28 214.29 214.30 214.31 214.32 214.33
214.34
215.1 215.2 215.3 215.4 215.5 215.6 215.7 215.8 215.9
215.10
215.11 215.12 215.13 215.14 215.15 215.16 215.17 215.18 215.19 215.20 215.21 215.22 215.23 215.24 215.25 215.26 215.27 215.28 215.29 215.30 215.31 215.32 215.33 215.34 216.1 216.2 216.3 216.4 216.5 216.6 216.7 216.8 216.9 216.10 216.11 216.12 216.13 216.14 216.15 216.16 216.17
216.18 216.19 216.20
216.21 216.22 216.23 216.24 216.25 216.26 216.27 216.28 216.29 216.30
216.31
216.32 217.1 217.2 217.3 217.4 217.5 217.6
217.7
217.8 217.9 217.10 217.11 217.12 217.13 217.14
217.15
217.16 217.17 217.18 217.19 217.20 217.21 217.22 217.23 217.24 217.25 217.26 217.27 217.28 217.29 217.30 217.31 217.32 217.33 218.1 218.2 218.3 218.4 218.5 218.6 218.7 218.8 218.9 218.10 218.11 218.12 218.13 218.14 218.15 218.16 218.17 218.18 218.19 218.20 218.21 218.22 218.23 218.24 218.25 218.26
218.27 218.28
218.29 218.30 218.31 218.32 218.33 218.34 219.1 219.2 219.3 219.4 219.5 219.6 219.7 219.8 219.9 219.10 219.11 219.12 219.13 219.14 219.15 219.16 219.17 219.18 219.19 219.20 219.21 219.22
219.23
219.24 219.25
219.26 219.27 219.28 219.29 219.30
219.31 219.32
219.33 220.1 220.2 220.3 220.4 220.5
220.6 220.7
220.8 220.9 220.10 220.11 220.12 220.13 220.14 220.15 220.16 220.17 220.18 220.19 220.20 220.21 220.22 220.23 220.24 220.25
220.26
220.27 220.28 220.29 220.30 220.31 220.32 220.33
221.1
221.2 221.3 221.4 221.5 221.6
221.7
221.8 221.9 221.10 221.11 221.12 221.13 221.14 221.15
221.16
221.17 221.18 221.19 221.20 221.21 221.22 221.23 221.24 221.25 221.26 221.27 221.28 221.29 221.30 221.31 222.1 222.2 222.3 222.4 222.5 222.6 222.7 222.8 222.9 222.10 222.11 222.12
222.13
222.14 222.15 222.16 222.17 222.18 222.19 222.20 222.21 222.22 222.23 222.24 222.25 222.26 222.27 222.28 222.29 222.30
222.31
223.1 223.2 223.3 223.4 223.5 223.6 223.7 223.8 223.9 223.10 223.11 223.12 223.13 223.14 223.15 223.16 223.17 223.18 223.19
223.20
223.21 223.22 223.23 223.24 223.25 223.26 223.27 223.28 223.29 223.30 223.31
223.32
224.1 224.2 224.3 224.4 224.5 224.6 224.7 224.8 224.9 224.10 224.11
224.12
224.13 224.14 224.15 224.16 224.17 224.18 224.19 224.20 224.21 224.22 224.23 224.24 224.25 224.26 224.27 224.28 224.29 224.30 224.31 224.32 224.33 224.34 224.35 225.1 225.2 225.3 225.4 225.5 225.6 225.7 225.8 225.9 225.10 225.11 225.12 225.13 225.14 225.15 225.16 225.17 225.18 225.19 225.20 225.21 225.22 225.23 225.24 225.25 225.26 225.27 225.28 225.29 225.30 225.31 225.32 225.33 225.34 225.35 226.1 226.2 226.3 226.4 226.5 226.6 226.7 226.8 226.9 226.10 226.11 226.12 226.13 226.14 226.15 226.16 226.17 226.18 226.19 226.20 226.21 226.22 226.23 226.24 226.25 226.26 226.27 226.28 226.29 226.30 226.31 226.32 226.33 226.34 226.35 226.36 227.1 227.2 227.3 227.4 227.5 227.6 227.7 227.8 227.9 227.10 227.11 227.12 227.13 227.14 227.15 227.16 227.17 227.18 227.19 227.20 227.21 227.22 227.23 227.24 227.25 227.26 227.27 227.28 227.29 227.30 227.31 227.32 227.33 227.34 227.35 228.1 228.2 228.3 228.4 228.5 228.6 228.7 228.8 228.9 228.10 228.11 228.12 228.13 228.14 228.15 228.16 228.17 228.18 228.19 228.20 228.21 228.22 228.23 228.24 228.25 228.26 228.27 228.28 228.29 228.30 228.31 228.32 228.33 228.34 228.35 228.36
229.1
229.2 229.3 229.4 229.5 229.6 229.7 229.8 229.9 229.10 229.11 229.12 229.13 229.14 229.15 229.16 229.17 229.18 229.19 229.20 229.21 229.22 229.23 229.24 229.25 229.26 229.27 229.28 229.29
229.30
229.31 229.32 229.33 229.34 230.1 230.2 230.3 230.4 230.5 230.6 230.7 230.8 230.9 230.10 230.11 230.12 230.13 230.14 230.15 230.16 230.17 230.18 230.19 230.20 230.21 230.22 230.23 230.24 230.25 230.26 230.27 230.28 230.29 230.30 230.31 230.32 230.33 230.34 230.35 230.36 231.1 231.2 231.3 231.4 231.5 231.6 231.7 231.8 231.9 231.10 231.11 231.12 231.13 231.14 231.15 231.16 231.17 231.18 231.19 231.20 231.21 231.22 231.23 231.24 231.25 231.26 231.27 231.28 231.29 231.30 231.31 231.32 231.33 231.34 231.35 232.1 232.2 232.3 232.4 232.5 232.6 232.7 232.8 232.9 232.10
232.11 232.12
232.13 232.14 232.15 232.16 232.17 232.18 232.19 232.20 232.21 232.22 232.23 232.24 232.25 232.26 232.27 232.28 232.29 232.30 232.31 232.32 232.33 233.1 233.2 233.3 233.4 233.5 233.6 233.7 233.8 233.9 233.10
233.11 233.12 233.13
233.14 233.15 233.16 233.17 233.18 233.19 233.20 233.21 233.22 233.23 233.24 233.25 233.26 233.27 233.28 233.29 233.30 233.31 233.32 233.33 234.1 234.2 234.3
234.4
234.5 234.6 234.7 234.8 234.9 234.10 234.11 234.12 234.13 234.14 234.15 234.16 234.17 234.18 234.19 234.20 234.21 234.22 234.23 234.24 234.25 234.26 234.27 234.28 234.29 234.30 234.31 234.32 234.33 234.34 234.35 235.1 235.2 235.3 235.4 235.5 235.6 235.7 235.8 235.9 235.10 235.11 235.12 235.13 235.14 235.15 235.16 235.17 235.18 235.19 235.20 235.21 235.22 235.23
235.24
235.25 235.26 235.27 235.28 235.29 235.30 235.31 235.32 235.33 235.34 236.1 236.2 236.3 236.4 236.5 236.6 236.7 236.8 236.9 236.10 236.11 236.12 236.13 236.14 236.15 236.16 236.17 236.18 236.19 236.20 236.21 236.22 236.23 236.24 236.25 236.26 236.27 236.28 236.29 236.30 236.31 236.32 236.33 236.34 236.35 236.36 237.1 237.2 237.3 237.4
237.5 237.6
237.7 237.8 237.9 237.10 237.11 237.12 237.13 237.14 237.15 237.16 237.17 237.18 237.19 237.20 237.21 237.22
237.23 237.24
237.25 237.26 237.27 237.28 237.29 237.30 237.31 238.1 238.2 238.3 238.4 238.5
238.6
238.7 238.8 238.9 238.10 238.11 238.12 238.13 238.14 238.15 238.16 238.17 238.18 238.19 238.20 238.21 238.22 238.23 238.24 238.25 238.26
238.27
238.28 238.29
238.30 238.31 238.32 238.33 239.1 239.2 239.3 239.4 239.5 239.6 239.7 239.8 239.9 239.10 239.11 239.12 239.13
239.14
239.15 239.16 239.17 239.18 239.19 239.20
239.21
239.22 239.23 239.24 239.25 239.26 239.27 239.28 239.29 239.30 239.31 239.32 239.33 240.1 240.2 240.3 240.4 240.5 240.6 240.7 240.8 240.9 240.10
240.11 240.12
240.13 240.14 240.15 240.16 240.17 240.18 240.19 240.20 240.21 240.22 240.23 240.24 240.25
240.26 240.27
240.28 240.29 240.30 240.31 240.32 240.33 241.1 241.2 241.3 241.4 241.5 241.6 241.7
241.8
241.9 241.10
241.11 241.12 241.13 241.14 241.15 241.16 241.17 241.18 241.19 241.20 241.21 241.22 241.23 241.24 241.25 241.26 241.27 241.28 241.29 241.30 241.31 241.32 241.33
242.1 242.2
242.3 242.4 242.5 242.6 242.7 242.8 242.9 242.10 242.11 242.12 242.13 242.14 242.15 242.16 242.17 242.18 242.19 242.20 242.21 242.22 242.23 242.24 242.25 242.26 242.27 242.28 242.29 242.30 242.31 242.32 242.33 242.34 242.35 243.1 243.2 243.3 243.4 243.5 243.6 243.7 243.8 243.9 243.10 243.11 243.12 243.13 243.14 243.15 243.16 243.17 243.18 243.19 243.20 243.21 243.22 243.23 243.24 243.25 243.26 243.27 243.28 243.29 243.30 243.31 243.32 243.33 243.34 243.35 243.36 244.1 244.2 244.3 244.4 244.5 244.6 244.7 244.8 244.9 244.10 244.11 244.12 244.13 244.14 244.15 244.16 244.17 244.18 244.19 244.20 244.21 244.22 244.23 244.24 244.25
244.26 244.27
244.28 244.29 244.30 244.31 244.32 244.33 244.34 244.35 245.1 245.2 245.3 245.4 245.5 245.6 245.7 245.8 245.9 245.10 245.11 245.12 245.13 245.14 245.15 245.16 245.17 245.18 245.19 245.20 245.21
245.22 245.23
245.24 245.25 245.26 245.27 245.28 245.29 245.30 245.31 245.32 245.33 245.34 245.35 246.1 246.2 246.3 246.4 246.5 246.6 246.7 246.8 246.9 246.10 246.11 246.12 246.13 246.14 246.15 246.16 246.17 246.18 246.19 246.20 246.21 246.22 246.23 246.24 246.25 246.26 246.27 246.28 246.29 246.30 246.31 246.32 246.33 246.34 246.35 246.36 247.1 247.2 247.3 247.4 247.5 247.6 247.7 247.8 247.9 247.10 247.11 247.12 247.13 247.14 247.15 247.16 247.17 247.18 247.19 247.20 247.21 247.22 247.23 247.24 247.25 247.26 247.27 247.28 247.29 247.30 247.31 247.32 247.33 247.34 247.35 247.36 248.1 248.2 248.3 248.4 248.5 248.6 248.7 248.8 248.9 248.10
248.11
248.12 248.13 248.14 248.15 248.16 248.17 248.18 248.19 248.20 248.21 248.22 248.23 248.24
248.25 248.26 248.27
248.28 248.29 248.30 248.31 248.32 248.33
249.1 249.2 249.3 249.4 249.5 249.6 249.7 249.8 249.9 249.10 249.11 249.12 249.13 249.14 249.15 249.16 249.17
A bill for an act
relating to the financing and operation of state and local government; modifying
property tax refund; making policy, technical, administrative, enforcement,
collection, refund, clarifying, and other changes to income, franchise, property,
sales and use, minerals, aggregate, motor vehicle, wheelage, mortgage, deed,
cigarette and tobacco, gasoline, and estate taxes, and other taxes and tax-related
provisions; providing for aids to local governments; changing, eliminating,
and providing property tax exemptions and credits; modifying job opportunity
building zone program; modifying green acres; providing aggregate resource
preservation property tax law; modifying levies, property valuation procedures,
homestead provisions, property tax classes, and class rates; providing for and
modifying sales tax exemptions; exempting two-wheel, motorized vehicles
from wheelage tax; providing credits; providing for additional financing of
metropolitan area transit and paratransit capital expenditures; authorizing
issuance of certain obligations; modifying provision governing bonding for
county libraries; changing and authorizing powers, duties, and requirements
of local governments and authorities and state departments or agencies;
modifying, extending, and authorizing certain tax increment financing districts;
authorizing and modifying local sales taxes; providing federal updates; changing
accelerated sales tax; creating Surplus Lines Association of Minnesota;
changing provisions related to data practices and debt collection; requiring
studies; providing appointments; providing levy limits; modifying taxation
of foreign operating corporations; requiring a state review and approval of a
local economic development project; modifying park board fees; modifying
certain tax districts; providing for sale of forest lands; prohibiting imposition
of new local sales tax; providing income tax credit for military service;
providing economic development powers and incentives; providing health
insurance credit; appropriating money; amending Minnesota Statutes 2006,
sections 13.51, subdivision 3; 13.585, subdivision 5; 16D.02, subdivisions
3, 6; 16D.04, subdivision 2, as amended; 60A.196; 116J.993, subdivision 3;
116J.994, subdivisions 2, 5, 8; 126C.41, subdivision 2; 163.051, subdivision
1; 168.012, subdivision 1, by adding a subdivision; 168.013, subdivision 1f;
168A.03, subdivision 1; 169.01, by adding a subdivision; 169.781, subdivisions
1, as amended, 2, as amended; 270A.08, subdivision 1; 270B.15; 270C.33,
subdivision 5; 270C.56, subdivision 1, as amended; 270C.85, subdivision 2;
272.02, subdivisions 13, 20, 21, 27, 31, 38, 49, 55, 84, by adding subdivisions;
272.03, subdivision 3, by adding a subdivision; 273.11, subdivisions 8, 14a, 14b,
by adding a subdivision; 273.111, subdivisions 3, as amended, 4, 8, 9, 11, 11a,
14, by adding subdivisions; 273.121, as amended; 273.124, subdivisions 1, 6,
13, as amended, 21; 273.128, subdivision 1, as amended; 273.13, subdivisions
22, as amended, 23, as amended, 25, as amended, 33, 34, as added; 273.1384,
subdivision 2; 273.19, subdivision 1; 274.014, subdivision 3; 274.14; 275.065,
subdivision 8, by adding a subdivision; 275.70, subdivision 5, by adding a
subdivision; 275.71; 275.74, subdivision 2; 276.04, subdivision 2, as amended;
282.08; 287.20, subdivisions 3a, 9, by adding a subdivision; 289A.12, by adding
a subdivision; 289A.18, subdivision 1, as amended; 289A.19, subdivision
2, by adding a subdivision; 289A.20, subdivision 4, as amended; 289A.55,
by adding a subdivision; 289A.60, subdivision 15, as amended, by adding a
subdivision; 290.01, subdivisions 6b, 19c, as amended, 19d, as amended; 290.06,
subdivision 33, as amended, by adding a subdivision; 290.0677, subdivisions
1, as amended, 2, 3, by adding a subdivision; 290.068, subdivision 3; 290.07,
subdivision 1; 290.091, subdivision 2, as amended; 290.191, subdivisions 5,
6; 290.21, subdivision 4; 290.92, subdivisions 26, 31, as added; 290A.04,
subdivision 2; 290B.04, subdivision 1; 291.03, subdivision 1, by adding a
subdivision; 295.50, subdivision 4; 295.52, subdivision 4, as amended; 295.53,
subdivision 4a; 296A.07, subdivision 4; 296A.08, subdivision 3; 296A.16,
subdivision 2; 297A.61, subdivisions 22, 29; 297A.665, as amended; 297A.67,
subdivisions 7, as amended, 28; 297A.70, subdivision 8; 297A.71, subdivision
23, by adding a subdivision; 297A.75; 297A.99, subdivision 1, as amended;
297A.995, subdivision 10, by adding subdivisions; 297B.01, subdivision 7, by
adding a subdivision; 297B.03; 297F.01, subdivision 8; 297F.09, subdivision
10, as amended; 297F.21, subdivision 1; 297G.01, subdivision 9; 297G.09,
subdivision 9, as amended; 297H.09; 297I.05, subdivision 12; 298.01, by adding
a subdivision; 298.22, subdivisions 2, 5a, as added, by adding a subdivision;
298.24, subdivision 1, as amended; 298.25, as amended; 298.28, subdivisions
3, 9d, as added, 12; 298.292, subdivision 2, as amended; 298.405, subdivision
1; 298.75, subdivisions 1, as amended, 2, 6, 7, as amended; 365.243, by adding
a subdivision; 365A.095, as amended; 383A.80, subdivision 4; 383A.81,
subdivisions 1, 2; 383B.80, subdivision 4; 383B.81, subdivision 2; 383E.20;
429.101, subdivision 1; 469.033, subdivision 6; 469.040, subdivision 4;
469.174, subdivision 10b; 469.177, subdivision 1c, by adding a subdivision;
469.1813, subdivision 8; 469.319; 469.3201; 473.39, by adding a subdivision;
474A.047, subdivision 1; 477A.011, subdivisions 34, 36, as amended, by
adding subdivisions; 477A.0124, subdivision 5; 477A.013, subdivisions 8,
as amended, 9, as amended; 477A.03; Minnesota Statutes 2007 Supplement,
sections 115A.1314, subdivision 2; 268.19, subdivision 1, as amended;
273.1231, subdivision 7, by adding a subdivision; 273.1232, subdivision 1;
273.1233, subdivisions 1, 3; 273.1234; 273.1235, subdivisions 1, 3; 273.124,
subdivision 14, as amended; 273.1393; 290.01, subdivision 19b, as amended;
297A.70, subdivision 3; 298.227; Laws 1991, chapter 291, article 8, section 27,
subdivisions 3, as amended, 4, as amended; Laws 1995, chapter 264, article
5, section 46, subdivision 2; Laws 1998, chapter 389, article 8, section 45,
subdivision 3; Laws 1999, chapter 243, article 4, section 18, subdivisions 1, 3,
4; Laws 2003, chapter 127, article 10, section 31, subdivision 1; Laws 2006,
chapter 259, article 10, section 14, subdivision 1; Laws 2006, chapter 269,
section 2; Laws 2008, chapter 154, article 2, sections 11; 27; article 3, section
3; article 8, section 14; article 9, sections 23; 24; proposing coding for new law
in Minnesota Statutes, chapters 60A; 116J; 169; 272; 273; 275; 469; 477A;
proposing coding for new law as Minnesota Statutes, chapter 62U; repealing
Minnesota Statutes 2006, sections 272.027, subdivision 3; 273.11, subdivision
14; 273.111, subdivision 6; 298.405, subdivisions 2, 3, 4; 477A.014, subdivision
5; Minnesota Statutes 2007 Supplement, section 477A.014, subdivision 4; Laws
2005, First Special Session chapter 3, article 5, section 24; Minnesota Rules,
parts 8031.0100, subpart 3; 8093.2100.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:
ARTICLE 1
HOMEOWNER PROPERTY TAX REFUND
Section 1.
Minnesota Statutes 2006, section 290A.04, subdivision 2, is amended to
read:
Subd. 2.
Homeowners.
A claimant whose property taxes payable are in excess
of the percentage of the household income stated below shall pay an amount equal to
the percent of income shown for the appropriate household income level along with the
percent to be paid by the claimant of the remaining amount of property taxes payable.
The state refund equals the amount of property taxes payable that remain, up to the state
refund amount shown below.
| Household Income |
Percent of Income |
Percent Paid by Claimant |
Maximum State Refund |
| $0 to 1,189 |
1.0 percent |
15 percent |
deleted text begin
$1,450
deleted text end
new text begin
$1,850 new text end |
| 1,190 to 2,379 |
1.1 percent |
15 percent |
deleted text begin
$1,450
deleted text end
new text begin
$1,850 new text end |
| 2,380 to 3,589 |
1.2 percent |
15 percent |
deleted text begin
$1,410
deleted text end
new text begin
$1,800 new text end |
| 3,590 to 4,789 |
1.3 percent |
20 percent |
deleted text begin
$1,410
deleted text end
new text begin
$1,800 new text end |
| 4,790 to 5,979 |
1.4 percent |
20 percent |
deleted text begin
$1,360
deleted text end
new text begin
$1,730 new text end |
| 5,980 to 8,369 |
1.5 percent |
20 percent |
deleted text begin
$1,360
deleted text end
new text begin
$1,730 new text end |
| 8,370 to 9,559 |
1.6 percent |
25 percent |
deleted text begin
$1,310
deleted text end
new text begin
$1,670 new text end |
| 9,560 to 10,759 |
1.7 percent |
25 percent |
deleted text begin
$1,310
deleted text end
new text begin
$1,670 new text end |
| 10,760 to 11,949 |
1.8 percent |
25 percent |
deleted text begin
$1,260
deleted text end
new text begin
$1,610 new text end |
| 11,950 to 13,139 |
1.9 percent |
30 percent |
deleted text begin
$1,260
deleted text end
new text begin
$1,610 new text end |
| 13,140 to 14,349 |
2.0 percent |
30 percent |
deleted text begin
$1,210
deleted text end
new text begin
$1,540 new text end |
| 14,350 to 16,739 |
2.1 percent |
30 percent |
deleted text begin
$1,210
deleted text end
new text begin
$1,540 new text end |
| 16,740 to 17,929 |
2.2 percent |
35 percent |
deleted text begin
$1,160
deleted text end
new text begin
$1,480 new text end |
| 17,930 to 19,119 |
2.3 percent |
35 percent |
deleted text begin
$1,160
deleted text end
new text begin
$1,480 new text end |
| 19,120 to 20,319 |
2.4 percent |
35 percent |
deleted text begin
$1,110
deleted text end
new text begin
$1,420 new text end |
| 20,320 to 25,099 |
2.5 percent |
40 percent |
deleted text begin
$1,110
deleted text end
new text begin
$1,420 new text end |
| 25,100 to 28,679 |
2.6 percent |
40 percent |
deleted text begin
$1,070
deleted text end
new text begin
$1,360 new text end |
| 28,680 to 35,849 |
2.7 percent |
40 percent |
deleted text begin
$1,070
deleted text end
new text begin
$1,360 new text end |
| 35,850 to 41,819 |
2.8 percent |
45 percent |
deleted text begin $ 970deleted text end new text begin $1,240new text end |
| 41,820 to 47,799 |
3.0 percent |
45 percent |
deleted text begin $ 970deleted text end new text begin $1,240new text end |
| 47,800 to 53,779 |
3.2 percent |
45 percent |
deleted text begin $ 870deleted text end new text begin $1,110new text end |
| 53,780 to 59,749 |
3.5 percent |
50 percent |
deleted text begin $ 780deleted text end new text begin $990new text end |
| 59,750 to 65,729 |
deleted text begin 4.0deleted text end new text begin 3.5new text end percent |
50 percent |
deleted text begin
$ 680
deleted text end
new text begin
$870 new text end |
| 65,730 to 69,319 |
deleted text begin 4.0deleted text end new text begin 3.5new text end percent |
50 percent |
deleted text begin
$ 580
deleted text end
new text begin
$740 new text end |
| 69,320 to 71,719 |
deleted text begin 4.0deleted text end new text begin 3.5new text end percent |
50 percent |
deleted text begin $ 480deleted text end new text begin $610new text end |
| 71,720 to 74,619 |
deleted text begin 4.0deleted text end new text begin 3.5new text end percent |
50 percent |
deleted text begin $ 390deleted text end new text begin $500new text end |
| 74,620 to 77,519 |
deleted text begin 4.0deleted text end new text begin 3.5new text end percent |
50 percent |
deleted text begin $ 290deleted text end new text begin $370new text end |
The payment made to a claimant shall be the amount of the state refund calculated
under this subdivision. No payment is allowed if the claimant's household income is
$77,520 or more.
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective beginning with refunds based on
property taxes payable in 2009.
new text end
Sec. 2. new text begin TAXPAYER ASSISTANCE SERVICES; PROPERTY TAX REFUND.
new text end
new text begin
(a) $100,000 in fiscal year 2009 is appropriated from the general fund to the
commissioner of revenue to make grants to one or more nonprofit organizations, qualifying
under section 501(c)(3) of the Internal Revenue Code of 1986, to coordinate, facilitate,
encourage, and aid in the provision of taxpayer assistance services. The commissioner
must award grants under this section so as to increase the availability of taxpayer
assistance services after April 15, to assist homeowners in filing claims for the property
tax refund, and to increase participation in the program. This appropriation is onetime and
is not added to the agency's base budget.
new text end
new text begin
(b) "Taxpayer assistance services" means accounting and tax preparation services
provided by volunteers to low-income and disadvantaged Minnesota residents to help
them file federal and state income tax returns, Minnesota property tax refund claims, and
may include provision of personal representation before the Department of Revenue and
Internal Revenue Service.
new text end
ARTICLE 2
AIDS TO LOCAL GOVERNMENTS
Section 1.
Minnesota Statutes 2006, section 477A.011, subdivision 34, is amended to
read:
Subd. 34.
City revenue need.
(a) For a city with a population equal to or greater
than 2,500, "city revenue need" is the sum of (1) 5.0734098 times the pre-1940 housing
percentage; plus (2) 19.141678 times the population decline percentage; plus (3)
2504.06334 times the road accidents factor; plus (4) 355.0547; minus (5) the metropolitan
area factor; minus (6) 49.10638 times the household size.
(b) For a city with a population less than 2,500, "city revenue need" is the sum of
(1) 2.387 times the pre-1940 housing percentage; plus (2) 2.67591 times the commercial
industrial percentage; plus (3) 3.16042 times the population decline percentage; plus (4)
1.206 times the transformed population; minus (5) 62.772.
(c) For a city with a population of 2,500 or more and a population in one of the most
recently available five years that was less than 2,500, "city revenue need" is the sum of (1)
its city revenue need calculated under paragraph (a) multiplied by its transition factor;
plus (2) its city revenue need calculated under the formula in paragraph (b) multiplied
by the difference between one and its transition factor. For purposes of this paragraph, a
city's "transition factor" is equal to 0.2 multiplied by the number of years that the city's
population estimate has been 2,500 or more. This provision only applies for aids payable
in calendar years 2006 to 2008 to cities with a 2002 population of less than 2,500. It
applies to any city for aids payable in 2009 and thereafter. new text begin The city revenue need under
this paragraph may not be less than 285.
new text end
(d) The city revenue need cannot be less than zero.
(e) For calendar year 2005 and subsequent years, the city revenue need for a city,
as determined in paragraphs (a) to (d), is multiplied by the ratio of the annual implicit
price deflator for government consumption expenditures and gross investment for state
and local governments as prepared by the United States Department of Commerce, for
the most recently available year to the 2003 implicit price deflator for state and local
government purchases.
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective for aids payable in calendar year
2009 and thereafter.
new text end
Sec. 2.
Minnesota Statutes 2006, section 477A.011, subdivision 36, as amended by
Laws 2008, chapter 154, article 1, section 1, is amended to read:
Subd. 36.
City aid base.
(a) Except as otherwise provided in this subdivision,
"city aid base" is zero.
(b) The city aid base for any city with a population less than 500 is increased by
$40,000 for aids payable in calendar year 1995 and thereafter, and the maximum amount
of total aid it may receive under section 477A.013, subdivision 9, paragraph (c), is also
increased by $40,000 for aids payable in calendar year 1995 only, provided that:
(i) the average total tax capacity rate for taxes payable in 1995 exceeds 200 percent;
(ii) the city portion of the tax capacity rate exceeds 100 percent; and
(iii) its city aid base is less than $60 per capita.
(c) The city aid base for a city is increased by $20,000 in 1998 and thereafter and
the maximum amount of total aid it may receive under section 477A.013, subdivision 9,
paragraph (c), is also increased by $20,000 in calendar year 1998 only, provided that:
(i) the city has a population in 1994 of 2,500 or more;
(ii) the city is located in a county, outside of the metropolitan area, which contains a
city of the first class;
(iii) the city's net tax capacity used in calculating its 1996 aid under section
477A.013 is less than $400 per capita; and
(iv) at least four percent of the total net tax capacity, for taxes payable in 1996, of
property located in the city is classified as railroad property.
(d) The city aid base for a city is increased by $200,000 in 1999 and thereafter and
the maximum amount of total aid it may receive under section 477A.013, subdivision 9,
paragraph (c), is also increased by $200,000 in calendar year 1999 only, provided that:
(i) the city was incorporated as a statutory city after December 1, 1993;
(ii) its city aid base does not exceed $5,600; and
(iii) the city had a population in 1996 of 5,000 or more.
deleted text begin
(e) The city aid base for a city is increased by $450,000 in 1999 to 2008 and the
maximum amount of total aid it may receive under section 477A.013, subdivision 9,
paragraph (c), is also increased by $450,000 in calendar year 1999 only, provided that:
deleted text end
deleted text begin
(i) the city had a population in 1996 of at least 50,000;
deleted text end
deleted text begin
(ii) its population had increased by at least 40 percent in the ten-year period ending
in 1996; and
deleted text end
deleted text begin
(iii) its city's net tax capacity for aids payable in 1998 is less than $700 per capita.
deleted text end
deleted text begin (f)deleted text end new text begin (e)new text end The city aid base for a city is increased by $150,000 for aids payable in
2000 and thereafter, and the maximum amount of total aid it may receive under section
477A.013, subdivision 9, paragraph (c), is also increased by $150,000 in calendar year
2000 only, provided that:
(1) the city has a population that is greater than 1,000 and less than 2,500;
(2) its commercial and industrial percentage for aids payable in 1999 is greater
than 45 percent; and
(3) the total market value of all commercial and industrial property in the city
for assessment year 1999 is at least 15 percent less than the total market value of all
commercial and industrial property in the city for assessment year 1998.
deleted text begin (g)deleted text end new text begin (f)new text end The city aid base for a city is increased by $200,000 in 2000 and thereafter,
and the maximum amount of total aid it may receive under section 477A.013, subdivision
9, paragraph (c), is also increased by $200,000 in calendar year 2000 only, provided that:
(1) the city had a population in 1997 of 2,500 or more;
(2) the net tax capacity of the city used in calculating its 1999 aid under section
477A.013 is less than $650 per capita;
(3) the pre-1940 housing percentage of the city used in calculating 1999 aid under
section 477A.013 is greater than 12 percent;
(4) the 1999 local government aid of the city under section 477A.013 is less than
20 percent of the amount that the formula aid of the city would have been if the need
increase percentage was 100 percent; and
(5) the city aid base of the city used in calculating aid under section 477A.013
is less than $7 per capita.
deleted text begin (h)deleted text end new text begin (g)new text end The city aid base for a city is increased by $102,000 in 2000 and thereafter,
and the maximum amount of total aid it may receive under section 477A.013, subdivision
9, paragraph (c), is also increased by $102,000 in calendar year 2000 only, provided that:
(1) the city has a population in 1997 of 2,000 or more;
(2) the net tax capacity of the city used in calculating its 1999 aid under section
477A.013 is less than $455 per capita;
(3) the net levy of the city used in calculating 1999 aid under section 477A.013 is
greater than $195 per capita; and
(4) the 1999 local government aid of the city under section 477A.013 is less than
38 percent of the amount that the formula aid of the city would have been if the need
increase percentage was 100 percent.
deleted text begin (i)deleted text end new text begin (h)new text end The city aid base for a city is increased by $32,000 in 2001 and thereafter, and
the maximum amount of total aid it may receive under section 477A.013, subdivision 9,
paragraph (c), is also increased by $32,000 in calendar year 2001 only, provided that:
(1) the city has a population in 1998 that is greater than 200 but less than 500;
(2) the city's revenue need used in calculating aids payable in 2000 was greater
than $200 per capita;
(3) the city net tax capacity for the city used in calculating aids available in 2000
was equal to or less than $200 per capita;
(4) the city aid base of the city used in calculating aid under section 477A.013
is less than $65 per capita; and
(5) the city's formula aid for aids payable in 2000 was greater than zero.
deleted text begin (j)deleted text end new text begin (i)new text end The city aid base for a city is increased by $7,200 in 2001 and thereafter, and
the maximum amount of total aid it may receive under section 477A.013, subdivision 9,
paragraph (c), is also increased by $7,200 in calendar year 2001 only, provided that:
(1) the city had a population in 1998 that is greater than 200 but less than 500;
(2) the city's commercial industrial percentage used in calculating aids payable in
2000 was less than ten percent;
(3) more than 25 percent of the city's population was 60 years old or older according
to the 1990 census;
(4) the city aid base of the city used in calculating aid under section 477A.013
is less than $15 per capita; and
(5) the city's formula aid for aids payable in 2000 was greater than zero.
deleted text begin (k)deleted text end new text begin (j)new text end The city aid base for a city is increased by $45,000 in 2001 and thereafter
and by an additional $50,000 in calendar years 2002 to 2011, and the maximum amount
of total aid it may receive under section 477A.013, subdivision 9, paragraph (c), is also
increased by $45,000 in calendar year 2001 only, and by $50,000 in calendar year 2002
only, provided that:
(1) the net tax capacity of the city used in calculating its 2000 aid under section
477A.013 is less than $810 per capita;
(2) the population of the city declined more than two percent between 1988 and 1998;
(3) the net levy of the city used in calculating 2000 aid under section 477A.013 is
greater than $240 per capita; and
(4) the city received less than $36 per capita in aid under section 477A.013,
subdivision 9, for aids payable in 2000.
deleted text begin (l)deleted text end new text begin (k)new text end The city aid base for a city with a population of 10,000 or more which is
located outside of the seven-county metropolitan area is increased in 2002 and thereafter,
and the maximum amount of total aid it may receive under section 477A.013, subdivision
9, paragraph (b) or (c), is also increased in calendar year 2002 only, by an amount equal to
the lesser of:
(1)(i) the total population of the city, as determined by the United States Bureau of
the Census, in the 2000 census, (ii) minus 5,000, (iii) times 60; or
(2) $2,500,000.
deleted text begin (m)deleted text end new text begin (l)new text end The city aid base is increased by $50,000 in 2002 and thereafter, and the
maximum amount of total aid it may receive under section 477A.013, subdivision 9,
paragraph (c), is also increased by $50,000 in calendar year 2002 only, provided that:
(1) the city is located in the seven-county metropolitan area;
(2) its population in 2000 is between 10,000 and 20,000; and
(3) its commercial industrial percentage, as calculated for city aid payable in 2001,
was greater than 25 percent.
deleted text begin (n)deleted text end new text begin (m)new text end The city aid base for a city is increased by $150,000 in calendar years 2002
to 2011 and by an additional $75,000 in calendar years 2009 to 2014 and the maximum
amount of total aid it may receive under section 477A.013, subdivision 9, paragraph (c), is
also increased by $150,000 in calendar year 2002 only and by $75,000 in calendar year
2009 only, provided that:
(1) the city had a population of at least 3,000 but no more than 4,000 in 1999;
(2) its home county is located within the seven-county metropolitan area;
(3) its pre-1940 housing percentage is less than 15 percent; and
(4) its city net tax capacity per capita for taxes payable in 2000 is less than $900
per capita.
deleted text begin (o)deleted text end new text begin (n)new text end The city aid base for a city is increased by $200,000 beginning in calendar
year 2003 and the maximum amount of total aid it may receive under section 477A.013,
subdivision 9, paragraph (c), is also increased by $200,000 in calendar year 2003 only,
provided that the city qualified for an increase in homestead and agricultural credit aid
under Laws 1995, chapter 264, article 8, section 18.
deleted text begin (p)deleted text end new text begin (o)new text end The city aid base for a city is increased by $200,000 in 2004 only and the
maximum amount of total aid it may receive under section 477A.013, subdivision 9, is
also increased by $200,000 in calendar year 2004 only, if the city is the site of a nuclear
dry cask storage facility.
deleted text begin (q)deleted text end new text begin (p)new text end The city aid base for a city is increased by $10,000 in 2004 and thereafter
and the maximum total aid it may receive under section 477A.013, subdivision 9, is also
increased by $10,000 in calendar year 2004 only, if the city was included in a federal
major disaster designation issued on April 1, 1998, and its pre-1940 housing stock was
decreased by more than 40 percent between 1990 and 2000.
deleted text begin (r)deleted text end new text begin (q)new text end The city aid base for a city is increased by $30,000 in 2009 and thereafter
and the maximum total aid it may receive under section 477A.013, subdivision 9, is also
increased by $25,000 in calendar year 2006 only if the city had a population in 2003
of at least 1,000 and has a state park for which the city provides rescue services and
which comprised at least 14 percent of the total geographic area included within the
city boundaries in 2000.
deleted text begin
(s) The city aid base for a city with a population less than 5,000 is increased in
2006 and thereafter and the minimum and maximum amount of total aid it may receive
under this section is also increased in calendar year 2006 only by an amount equal to
$6 multiplied by its population.
deleted text end
deleted text begin (t)deleted text end new text begin (r)new text end The city aid base for a city is increased by $80,000 in 2009 and thereafter and
the minimum and maximum amount of total aid it may receive under section 477A.013,
subdivision 9, is also increased by $80,000 in calendar year 2009 only, if:
(1) as of May 1, 2006, at least 25 percent of the tax capacity of the city is proposed
to be placed in trust status as tax-exempt Indian land;
(2) the placement of the land is being challenged administratively or in court; and
(3) due to the challenge, the land proposed to be placed in trust is still on the tax
rolls as of May 1, 2006.
deleted text begin (u)deleted text end new text begin (s)new text end The city aid base for a city is increased by $100,000 in 2007 and thereafter
and the minimum and maximum total amount of aid it may receive under this section is
also increased in calendar year 2007 only, provided that:
(1) the city has a 2004 estimated population greater than 200 but less than 2,000;
(2) its city net tax capacity for aids payable in 2006 was less than $300 per capita;
(3) the ratio of its pay 2005 tax levy compared to its city net tax capacity for aids
payable in 2006 was greater than 110 percent; and
(4) it is located in a county where at least 15,000 acres of land are classified as
tax-exempt Indian reservations according to the 2004 abstract of tax-exempt property.
deleted text begin (v)deleted text end new text begin (t)new text end The city aid base for a city is increased by $30,000 in 2009 only, and the
maximum total aid it may receive under section 477A.013, subdivision 9, is also increased
by $30,000 in calendar year 2009, only if the city had a population in 2005 of less than
3,000 and the city's boundaries as of 2007 were formed by the consolidation of two cities
and one township in 2002.
new text begin
(u) The city aid base for a city is increased by $100,000 in 2009 and thereafter, and
the maximum total aid it may receive under section 477A.013, subdivision 9, is also
increased by $100,000 in calendar year 2009 only, if the city had a city net tax capacity for
aids payable in 2007 of less than $150 per capita and the city experienced flooding on
March 14, 2007, that resulted in evacuation of at least 40 homes.
new text end
new text begin
(v) The city aid base for a city is increased by $100,000 in 2009 to 2013, and the
maximum total aid it may receive under section 477A.013, subdivision 9, is also increased
by $100,000 in calendar year 2009 only, if the city:
new text end
new text begin
(1) is located outside of the Minneapolis-St. Paul standard metropolitan statistical
area;
new text end
new text begin
(2) has a 2005 population greater than 7,000 but less than 8,000; and
new text end
new text begin
(3) has a 2005 net tax capacity per capita of less than $500.
new text end
new text begin
(w) The city aid base is increased by $25,000 in calendar years 2009 to 2013 and the
maximum amount of total aid it may receive under section 477A.013, subdivision 9, is
increased by $25,000 in calendar year 2009 only, provided that:
new text end
new text begin
(1) the city is located in the seven-county metropolitan area;
new text end
new text begin
(2) its population in 2006 is less than 200; and
new text end
new text begin
(3) the percentage of its housing stock built before 1940, according to the 2000
United States Census, is greater than 40 percent.
new text end
new text begin
(x) The city aid base is increased by $90,000 in calendar year 2009 only and the
minimum and maximum total amount of aid it may receive under section 477A.013,
subdivision 9, is also increased by $90,000 in calendar year 2009 only, provided that the
city is located in the seven-county metropolitan area, has a 2006 population between 5,000
and 7,000 and has a 1997 population of over 7,000.
new text end
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective for aids payable in calendar year
2009 and thereafter.
new text end
Sec. 3.
Minnesota Statutes 2006, section 477A.011, is amended by adding a
subdivision to read:
new text begin Subd. 41. new text end
new text begin Small city aid base. new text end
new text begin
(a) "Small city aid base" for a city with a population
less than 5,000 is equal to $8.50 multiplied by its population. The small city aid base for
all other cities is equal to zero.
new text end
new text begin
(b) For calendar year 2010 and subsequent years, the small city aid base for a city, as
determined in paragraph (a), is multiplied by the ratio of the appropriation under section
477A.03, subdivision 2a, for the year in which the aid is paid to the appropriation under
that section for aids payable in 2009.
new text end
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective for aids payable in calendar year
2009 and thereafter.
new text end
Sec. 4.
Minnesota Statutes 2006, section 477A.011, is amended by adding a
subdivision to read:
new text begin Subd. 42. new text end
new text begin City jobs base. new text end
new text begin
(a) "City jobs base" for a city with a population of 5,000
or more is equal to the product of (1) $25.20, (2) the number of jobs per capita in the
city, and (3) its population. For cities with a population less than 5,000, the city jobs
base is equal to zero. For a city receiving aid under section 477A.011, subdivision 36,
paragraph (l), its city jobs base is reduced by the lesser of 36 percent of the amount of
aid received under that paragraph or $1,000,000. No city's city jobs base may exceed
$4,725,000 under this paragraph.
new text end
new text begin
(b) For calendar year 2010 and subsequent years, the city jobs base for a city, as
determined in paragraph (a), is multiplied by the ratio of the appropriation under section
477A.03, subdivision 2a, for the year in which the aid is paid to the appropriation under
that section for aids payable in 2009.
new text end
new text begin
(c) For purposes of this subdivision, "jobs per capita in the city" means (1) the
average annual number of employees in the city based on the data from the Quarterly
Census of Employment and Wages, as reported by the Department of Employment and
Economic Development, for the most recent calendar year available as of May 1, 2008,
divided by (2) the city's population for the same calendar year as the employment data.
The commissioner of the Department of Employment and Economic Development shall
certify to the city the average annual number of employees for each city by June 1, 2008.
A city may challenge an estimate under this paragraph by filing its specific objection,
including the names of employers that it feels may have misreported data, in writing with
the commissioner by June 20, 2008. The commissioner shall make every reasonable effort
to address the specific objection and adjust the data as necessary. The commissioner shall
certify the estimates of the annual employment to the commissioner of revenue by July 15,
2008, including any estimates still under objection.
new text end
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective for aids payable in calendar year
2009 and thereafter.
new text end
Sec. 5.
Minnesota Statutes 2006, section 477A.011, is amended by adding a
subdivision to read:
new text begin Subd. 43. new text end
new text begin Unmet need. new text end
new text begin
"Unmet need" for a city is equal to the difference between
(1) its city revenue need multiplied by its population, and (2) its city net tax capacity
multiplied by the tax effort rate.
new text end
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective for aids payable in calendar year
2009 and thereafter.
new text end
Sec. 6.
Minnesota Statutes 2006, section 477A.0124, subdivision 5, is amended to read:
Subd. 5.
County transition aid.
(a) deleted text begin For 2005, a county is eligible for transition
aid equal to the amount, if any, by which:
deleted text end
deleted text begin
(1) the difference between:
deleted text end
deleted text begin
(i) the aid the county received under subdivision 1 in 2004, divided by the total aid
paid to all counties under subdivision 1, multiplied by $205,000,000; and
deleted text end
deleted text begin
(ii) the amount of aid the county is certified to receive in 2005 under subdivisions
3 and 4;
deleted text end
deleted text begin
exceeds:
deleted text end
deleted text begin
(2) three percent of the county's adjusted net tax capacity.
deleted text end
deleted text begin
A county's aid under this paragraph may not be less than zero.
deleted text end
deleted text begin
(b) In 2006, a county is eligible to receive two-thirds of the transition aid it received
in 2005.
deleted text end
deleted text begin (c) In 2007,deleted text end new text begin For 2009 and each year thereafter, new text end a county is eligible to receive
deleted text begin one-third ofdeleted text end the transition aid it received in deleted text begin 2005deleted text end new text begin 2007new text end .
deleted text begin
(d) No county shall receive aid under this subdivision after 2007.
deleted text end
new text begin
(b) In 2009 only, a county with (1) a 2006 population less than 30,000, and (2)
an average Part I crimes per capita greater than 3.9 percent based on factors used in
determining county program aid payable in 2008, shall receive $100,000.
new text end
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective for aids payable in 2009 and
thereafter.
new text end
Sec. 7.
Minnesota Statutes 2006, section 477A.013, subdivision 8, as amended by
Laws 2008, chapter 154, article 1, section 2, is amended to read:
Subd. 8.
City formula aid.
new text begin
(a) In calendar year 2009, the formula aid for a city
is equal to the sum of (1) its city jobs base, (2) its small city aid base, and (3) the need
increase percentage multiplied by its unmet need.
new text end
new text begin (b) new text end In calendar year deleted text begin 2004deleted text end new text begin 2010new text end and subsequent years, the formula aid for a city is
equal to deleted text begin the need increase percentage multiplied by the difference between (1) the city's
revenue need multiplied by its population, and (2) the sum of the city's net tax capacity
multiplied by the tax effort rate.deleted text end new text begin the sum of (1) its city jobs base, (2) its small city aid
base, and (3) the need increase percentage multiplied by the average of its unmet need
for the most recently available two years.
new text end
No city may have a formula aid amount less than zero. The need increase percentage
must be the same for all cities.
The applicable need increase percentage must be calculated by the Department of
Revenue so that the total of the aid under subdivision 9 equals the total amount available
for aid under section 477A.03 deleted text begin after the subtraction under section 477A.014, subdivisions
4 and 5deleted text end . new text begin For aids payable in 2009 only, all data used in calculating aid to cities under
sections 477A.011 to 477A.013 will be based on the data available for calculating aid to
cities for aids payable in 2008. For aids payable in 2010 and thereafter, data used in
calculating aids to cities under sections 477A.011 to 477A.013 shall be the most recently
available data as of January 1 in the year in which the aid is calculated.
new text end
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective for aids payable in calendar year
2009 and thereafter, provided that the appropriation increase for aids payable in 2009
under section 477A.03, subdivision 2a, goes into effect.
new text end
Sec. 8.
Minnesota Statutes 2006, section 477A.013, subdivision 9, as amended by
Laws 2008, chapter 154, article 1, section 3, is amended to read:
Subd. 9.
City aid distribution.
(a) In calendar year 2009new text begin and thereafternew text end , each
city shall receive an aid distribution equal to the sum of (1) the city formula aid under
subdivision 8,new text begin andnew text end (2) its city aid basedeleted text begin , and (3) one-half of the difference between its total
aid in the previous year under this subdivision and its city aid base in the previous yeardeleted text end .
(b) For aids payable in deleted text begin 2010 and thereafter, each city shall receive an aid distribution
equal to (1) the city aid formula under subdivision 8, (2) its city aid base, and (3) its
formula aid under subdivision 8 in the previous year, prior to any adjustments under
this subdivisiondeleted text end new text begin 2009 only, the total aid for any city shall not exceed the sum of (1) 35
percent of the city's net levy for the year prior to the aid distribution, plus (2) its total
aid in the previous yearnew text end .
(c) For aids payable in deleted text begin 2009deleted text end new text begin 2010new text end and thereafter, the total aid for any city shall
not exceed the sum of (1) ten percent of the city's net levy for the year prior to the aid
distribution plus (2) its total aid in the previous year. For aids payable in 2009 and
thereafter, the total aid for any city with a population of 2,500 or more may not be less than
its total aid under this section in the previous year minus the lesser of deleted text begin $15deleted text end new text begin $10new text end multiplied
by its population, or ten percent of its net levy in the year prior to the aid distribution.
(d) For aids payable in deleted text begin 2009deleted text end new text begin 2010new text end and thereafter, the total aid for a city with a
population less than 2,500 must not be less than the amount it was certified to receive in
the previous year minus the lesser of deleted text begin $15deleted text end new text begin $10new text end multiplied by its population, or five percent
of its 2003 certified aid amount. new text begin For aids payable in 2009 only, the total aid for a city with
a population less than 2,500 must not be less than what it received under this section in the
previous year unless its total aid in calendar year 2008 was aid under section 477A.011,
subdivision 36, paragraph (s), in which case its minimum aid is zero.new text end
(e) new text begin A city's aid loss under this section may not exceed $300,000 in any year in
which the total city aid appropriation under section 477A.03, subdivision 2a, is equal or
greater than the appropriation under that subdivision in the previous year, unless the
city has an adjustment in its city net tax capacity under the process described in section
469.174, subdivision 28.
new text end
new text begin (f) new text end If a city's net tax capacity used in calculating aid under this section has decreased
in any year by more than 25 percent from its net tax capacity in the previous year due to
property becoming tax-exempt Indian land, the city's maximum allowed aid increase
under paragraph (c) shall be increased by an amount equal to (1) the city's tax rate in the
year of the aid calculation, multiplied by (2) the amount of its net tax capacity decrease
resulting from the property becoming tax exempt.
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective for aids payable in calendar year
2009 and thereafter, provided that the appropriation increase for aids payable in 2009
under section 477A.03, subdivision 2a, goes into effect.
new text end
Sec. 9.
Minnesota Statutes 2006, section 477A.03, is amended to read:
477A.03 APPROPRIATION.
Subd. 2.
Annual appropriation.
A sum sufficient to discharge the duties imposed
by sections 477A.011 to 477A.014 is annually appropriated from the general fund to the
commissioner of revenue.
Subd. 2a.
Cities.
For aids payable in deleted text begin 2004deleted text end new text begin 2009 and thereafternew text end , the total deleted text begin aidsdeleted text end new text begin aidnew text end
paid under section 477A.013, subdivision 9, deleted text begin are limited to $429,000,000deleted text end new text begin is $526,148,487,
subject to adjustment in subdivision 5new text end . deleted text begin For aids payable in 2005, the total aids paid under
section 477A.013, subdivision 9, are limited to $437,052,000. For aids payable in 2006
and thereafter, the total aids paid under section 477A.013, subdivision 9, is limited to
$485,052,000.
deleted text end
Subd. 2b.
Counties.
(a) deleted text begin For aids payable in calendar year 2005 and thereafter,
the total aids paid to counties under section 477A.0124, subdivision 3, are limited to
$100,500,000.deleted text end new text begin For aids payable in 2009 and thereafter, the total aid payable under section
477A.0124, subdivision 3, is $111,500,000 minus one-half of the total aid amount
determined under section 477A.0124, subdivision 5, paragraph (b), subject to adjustment
in subdivision 5. new text end Each calendar year, $500,000 shall be retained by the commissioner of
revenue to make reimbursements to the commissioner of finance for payments made
under section 611.27. For calendar year 2004, the amount shall be in addition to the
payments authorized under section 477A.0124, subdivision 1. For calendar year 2005
and subsequent years, the amount shall be deducted from the appropriation under
this paragraph. The reimbursements shall be to defray the additional costs associated
with court-ordered counsel under section 611.27. Any retained amounts not used for
reimbursement in a year shall be included in the next distribution of county need aid
that is certified to the county auditors for the purpose of property tax reduction for the
next taxes payable year.
(b) For aids payable in deleted text begin 2005deleted text end new text begin 2009 and thereafternew text end , the total deleted text begin aidsdeleted text end new text begin aidnew text end under section
477A.0124, subdivision 4, deleted text begin are limited to $105,000,000deleted text end new text begin is $116,132,923 minus one-half
of the total aid amount determined under section 477A.0124, subdivision 5, paragraph
(b), subject to adjustment in subdivision 5new text end . deleted text begin For aids payable in 2006 and thereafter,
the total aid under section 477A.0124, subdivision 4, is limited to $105,132,923.deleted text end The
commissioner of finance shall bill the commissioner of revenue for the cost of preparation
of local impact notes as required by section 3.987, not to exceed $207,000 in fiscal year
2004 and thereafter. The commissioner of education shall bill the commissioner of
revenue for the cost of preparation of local impact notes for school districts as required by
section 3.987, not to exceed $7,000 in fiscal year 2004 and thereafter. The commissioner
of revenue shall deduct the amounts billed under this paragraph from the appropriation
under this paragraph. The amounts deducted are appropriated to the commissioner of
finance and the commissioner of education for the preparation of local impact notes.
new text begin Subd. 5. new text end
new text begin Aid adjustments. new text end
new text begin
For aids payable in 2010, the aid amounts contained
in subdivisions 2a and 2b are increased by two percent. For aids payable in 2011 and
thereafter, the aids amounts contained in subdivisions 2a and 2b are equal to 104 percent
of the amounts for aids payable in 2010 under this section.
new text end
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective for aids payable in calendar year
2009 and thereafter.
new text end
Sec. 10.
new text begin
[477A.16] UTILITY VALUATION TRANSITION AID.
new text end
new text begin Subdivision 1. new text end
new text begin Definitions. new text end
new text begin
(a) When used in this section, the following terms have
the meanings indicated in this subdivision.
new text end
new text begin
(b) "Local unit" means a home rule charter or statutory city, or a town.
new text end
new text begin
(c) "Old rule utility net tax capacity" means the net tax capacity of all public utility
property within the local unit's taxing jurisdiction for assessment year 2007, calculated as
if the property were valued under valuation rules in effect prior to assessment year 2007.
new text end
new text begin
(d) "New rule utility net tax capacity" means the net tax capacity of all public utility
property within the local unit's taxing jurisdiction for assessment year 2007, calculated as
if the property were valued under valuation rules in effect for assessment year 2007, but
without the phase-in provisions of Minnesota Rules, part 8100.0800.
new text end
new text begin
(e) "Modified net tax capacity" means the local unit's net tax capacity for taxes
payable in 2008, modified by substituting the old rule utility net tax capacity for the actual
net tax capacity of utility property. Modified net tax capacity must be determined by the
commissioner of revenue based on information and data available to the commissioner
as of July 1, 2008.
new text end
new text begin
(f) "Net tax capacity differential" means the positive difference, if any, by which the
local unit's old rule utility net tax capacity exceeds its new rule utility net tax capacity.
new text end
new text begin
(g) "Current year net tax capacity differential" means the positive difference, if any,
by which the local unit's old rule utility net tax capacity exceeds its total tax capacity of
utility property for taxes payable in the current year.
new text end
new text begin Subd. 2. new text end
new text begin Aid eligibility; payment. new text end
new text begin
(a) If the net tax capacity differential of the
local unit exceeds four percent of its modified net tax capacity, the local unit is eligible
for transition aid computed under paragraphs (b) and (c).
new text end
new text begin
(b) For aids payable in 2009, transition aid under this section for an eligible local
unit equals 50 percent of (1) the net tax capacity differential, times (2) the jurisdiction's
tax rate for taxes payable in 2008.
new text end
new text begin
(c) For aids payable in 2010 and thereafter, transition aid under this section for
an eligible local unit equals (1) the current year net tax capacity differential for taxes
payable in the year preceding the aid distribution year, times (2) the jurisdiction's tax rate
for taxes payable in 2008.
new text end
new text begin
(c) The commissioner of revenue shall compute the amount of transition aid payable
to each local unit under this section. On or before August 1 of each year, the commissioner
shall certify the amount of transition aid computed for aids payable in the following year
for each recipient local unit. The commissioner shall pay transition aid to local units
annually at the times provided in section 477A.015.
new text end
new text begin Subd. 3. new text end
new text begin Appropriation. new text end
new text begin
An amount sufficient to pay transition aid under this
section is annually appropriated to the commissioner of revenue from the general fund.
new text end
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective for aids payable in 2009 and
thereafter.
new text end
Sec. 11. new text begin STATE PARKS LOCATED ON LAKE VERMILION; DISTRIBUTION
OF PAYMENTS IN LIEU OF TAXES.
new text end
new text begin
(a) Notwithstanding Minnesota Statutes, section 477A.14, payments in lieu of
taxation under Minnesota Statutes, sections 477A.11 to 477A.145, for the land included
in any state park located in whole or in part on the shores of Lake Vermilion must be
distributed to the taxing jurisdictions containing the property as follows: one-third to the
school district, one-third to the township, and one-third to the county. Each of those taxing
jurisdictions may use the payments for their general purposes.
new text end
new text begin
(b) Notwithstanding Minnesota Statutes, section 477A.11, the payments for all lands
described in paragraph (a) must be made at the rate set for acquired natural resources land.
new text end
Sec. 12. new text begin STUDY OF AIDS TO LOCAL GOVERNMENTS.
new text end
new text begin
The chairs of the senate and house of representatives committees with jurisdiction
over taxes shall each appoint five members to a study group of the tax committees to
examine the current system of aids to local governments and make recommendations on
improvements to the system. Of the five members appointed by each chair, two must be
members of the tax committee, one of whom is a majority party member and one of
whom is a minority party member. The remaining members must represent local units of
government. The chairs of the divisions of the tax committees having jurisdiction over
property taxes shall also be members and shall serve as cochairs of the study group.
The study shall include, but not be limited to, consideration of existing disparities in
the distribution of local government aid, an analysis of current law need and capacity
factors as well as alternative need factors, alternative analytical methods for determining
correlations between factors and need, the formula used to calculate aid for small cities,
and volatility in the local government aid distribution. The group must report on its
specific recommendations to the legislature by December 15, 2010.
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
Sec. 13. new text begin OUT-OF-HOME PLACEMENT AID.
new text end
new text begin
In calendar year 2009 only, $500,000 shall be distributed to any county in which (1)
the 2006 estimated population exceeds 30,000, and (2) the 2006 percentage of households
receiving food stamps exceeds 15 percent, based on data used in computing county
program aids for aids payable in 2008 and the 2006 estimated household count according
to the state demographer. The aid must be used to meet the county's cost of out-of-home
placement programs. $500,000 is appropriated to the commissioner of revenue from
the general fund to make the payment authorized under this section. The payment must
be made prior to June 30, 2009.
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
Sec. 14. new text begin REPEALER.
new text end
new text begin
Minnesota Statutes 2006, section 477A.014, subdivision 5,
new text end
new text begin
and
new text end
new text begin
Minnesota Statutes
2007 Supplement, section 477A.014, subdivision 4,
new text end
new text begin
are repealed.
new text end
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective for aid payable in 2009 and thereafter.
new text end
ARTICLE 3
LEVY LIMITS
Section 1.
Minnesota Statutes 2006, section 275.70, subdivision 5, is amended to read:
Subd. 5.
Special levies.
"Special levies" means those portions of ad valorem taxes
levied by a local governmental unit for the following purposes or in the following manner:
(1) to pay the costs of the principal and interest on bonded indebtedness or to
reimburse for the amount of liquor store revenues used to pay the principal and interest
due on municipal liquor store bonds in the year preceding the year for which the levy
limit is calculated;
(2) to pay the costs of principal and interest on certificates of indebtedness issued for
any corporate purpose except for the following:
(i) tax anticipation or aid anticipation certificates of indebtedness;
(ii) certificates of indebtedness issued under sections 298.28 and 298.282;
(iii) certificates of indebtedness used to fund current expenses or to pay the costs of
extraordinary expenditures that result from a public emergency; or
(iv) certificates of indebtedness used to fund an insufficiency in tax receipts or
an insufficiency in other revenue sources;
(3) to provide for the bonded indebtedness portion of payments made to another
political subdivision of the state of Minnesota;
(4) to fund payments made to the Minnesota State Armory Building Commission
under section 193.145, subdivision 2, to retire the principal and interest on armory
construction bonds;
(5) property taxes approved by voters which are levied against the referendum
market value as provided under section 275.61;
(6) to fund matching requirements needed to qualify for federal or state grants or
programs to the extent that either (i) the matching requirement exceeds the matching
requirement in calendar year 2001, or (ii) it is a new matching requirement that did not
exist prior to 2002;
(7) to pay the expenses reasonably and necessarily incurred in preparing for or
repairing the effects of natural disaster including the occurrence or threat of widespread
or severe damage, injury, or loss of life or property resulting from natural causes, in
accordance with standards formulated by the Emergency Services Division of the state
Department of Public Safety, as allowed by the commissioner of revenue under section
275.74, subdivision 2;
(8) pay amounts required to correct an error in the levy certified to the county
auditor by a city or county in a levy year, but only to the extent that when added to the
preceding year's levy it is not in excess of an applicable statutory, special law or charter
limitation, or the limitation imposed on the governmental subdivision by sections 275.70
to 275.74 in the preceding levy year;
(9) to pay an abatement under section 469.1815;
(10) to pay any costs attributable to increases in the employer contribution rates
under chapter 353new text begin , or locally administered pension plans,new text end that are effective after June
30, 2001;
(11) to pay the operating or maintenance costs of a county jail as authorized in
section 641.01 or 641.262, or of a correctional facility as defined in section 241.021,
subdivision 1, paragraph (f), to the extent that the county can demonstrate to the
commissioner of revenue that the amount has been included in the county budget as
a direct result of a rule, minimum requirement, minimum standard, or directive of the
Department of Corrections, or to pay the operating or maintenance costs of a regional jail
as authorized in section 641.262. For purposes of this clause, a district court order is
not a rule, minimum requirement, minimum standard, or directive of the Department of
Corrections. If the county utilizes this special levy, except to pay operating or maintenance
costs of a new regional jail facility under sections 641.262 to 641.264 which will not
replace an existing jail facility, any amount levied by the county in the previous levy year
for the purposes specified under this clause and included in the county's previous year's
levy limitation computed under section 275.71, shall be deducted from the levy limit
base under section 275.71, subdivision 2, when determining the county's current year
levy limitation. The county shall provide the necessary information to the commissioner
of revenue for making this determination;
(12) to pay for operation of a lake improvement district, as authorized under section
103B.555. If the county utilizes this special levy, any amount levied by the county in the
previous levy year for the purposes specified under this clause and included in the county's
previous year's levy limitation computed under section 275.71 shall be deducted from
the levy limit base under section 275.71, subdivision 2, when determining the county's
current year levy limitation. The county shall provide the necessary information to the
commissioner of revenue for making this determination;
(13) to repay a state or federal loan used to fund the direct or indirect required
spending by the local government due to a state or federal transportation project or other
state or federal capital project. This authority may only be used if the project is not a
local government initiative;
(14) to pay for court administration costs as required under section 273.1398,
subdivision 4b, less the (i) county's share of transferred fines and fees collected by the
district courts in the county for calendar year 2001 and (ii) the aid amount certified to be
paid to the county in 2004 under section 273.1398, subdivision 4c; however, for taxes
levied to pay for these costs in the year in which the court financing is transferred to the
state, the amount under this clause is limited to the amount of aid the county is certified to
receive under section 273.1398, subdivision 4a;
(15) to fund a police or firefighters relief association as required under section 69.77
to the extent that the required amount exceeds the amount levied for this purpose in 2001;
(16) for purposes of a storm sewer improvement district under section 444.20; deleted text begin and
deleted text end
(17) to pay for the maintenance and support of a city or county society for the
prevention of cruelty to animals under section 343.11. If the city or county uses this
special levy, any amount levied by the city or county in the previous levy year for the
purposes specified in this clause and included in the city's or county's previous year's levy
limit computed under section 275.71, must be deducted from the levy limit base under
section 275.71, subdivision 2, in determining the city's or county's current year levy limitdeleted text begin .deleted text end new text begin ;
new text end
new text begin
(18) for counties, to pay for the increase in their share of health and human service
costs caused by reductions in federal health and human services grants effective after
September 30, 2007;
new text end
new text begin
(19) for a city, for the costs reasonably and necessarily incurred for securing,
maintaining, or demolishing foreclosed or abandoned residential properties, as allowed by
the commissioner of revenue under section 275.74, subdivision 2. A city must have either
(i) a foreclosure rate of at least 1.4 percent in 2007, or (ii) a foreclosure rate in 2007 in
the city or in a zip code area of the city that is at least 50 percent higher than the average
foreclosure rate in the metropolitan area, as defined in Minnesota Statutes section 473.121,
subdivision 2, to use this special levy. For purposes of this paragraph, "foreclosure rate"
means the number of foreclosures, as indicated by sheriff sales records, divided by the
number of households in the city in 2007;
new text end
new text begin
(20) for a city, for the unreimbursed costs of redeployed traffic control agents and
lost traffic citation revenue due to the collapse of the Interstate 35W bridge, as certified
to the Federal Highway Administration;
new text end
new text begin
(21) to pay costs attributable to wages and benefits for sheriff, police, and fire
personnel. If a local governmental unit did not use this special levy in the previous year its
levy limit base under section 275.71 shall be reduced by the amount equal to the amount it
levied for the purposes specified in this clause in the previous year; and
new text end
new text begin
(22) an amount equal to any reductions in the certified aids or credits payable
under sections 477A.011 to 477A.014, and section 273.1384, due to unallotment under
section 16A.152. The amount of the levy allowed under this clause is equal to the amount
unallotted in the calendar year in which the tax is levied unless the unallotment amount is
not known by September 1 of the levy year, in which case the unallotment amount may
be levied in the following year.
new text end
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective for taxes levied in calendar year 2008
and thereafter, payable in 2009 and thereafter.
new text end
Sec. 2.
Minnesota Statutes 2006, section 275.70, is amended by adding a subdivision
to read:
new text begin Subd. 6. new text end
new text begin Levy aid base. new text end
new text begin
"Levy aid base" for a local governmental unit for a levy
year means its total levy spread on net tax capacity, minus any amounts that would
qualify as a special levy under section 275.70, plus the sum of (1) the total amount of
aids and reimbursements that the local governmental unit is certified to receive under
sections 477A.011 to 477A.014 in the same year, (2) taconite aids under sections 298.28
and 298.282 in the same year, including any aid which was required to be placed in a
special fund for expenditure in the next succeeding year, and (3) payments to the local
governmental unit under section 272.029 in the same year, adjusted for any error in
estimation in the preceding year.
new text end
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective for levies certified in calendar year
2008, payable in calendar year 2009 and thereafter.
new text end
Sec. 3.
Minnesota Statutes 2006, section 275.71, is amended to read:
275.71 LEVY LIMITS.
Subdivision 1.
Limit on levies.
Notwithstanding any other provision of law or
municipal charter to the contrary which authorize ad valorem taxes in excess of the limits
established by sections 275.70 to 275.74, the provisions of this section apply to local
governmental units for all purposes other than those for which special levies and special
assessments are made.
Subd. 2.
Levy limit base.
new text begin (a) new text end The levy limit base for a local governmental unit for
taxes levied in deleted text begin 2003 deleted text end deleted text begin is equal to its adjusted levy limit base in the previous year, subject
to any adjustments under section 275.72, plus any aid amounts received in 2003 under
section 273.138 or 273.166, minus the difference between its levy limit under subdivision
5 for taxes levied in 2002 and the amount it actually levied under that subdivision in that
year, and certified property tax replacement aid payable in 2003 under section 174.242.deleted text end
new text begin 2008 is its levy aid base from the previous year, subject to any adjustments under section
275.72. For taxes levied in 2009 and 2010, the levy limit base for a local governmental
unit is its adjusted levy limit base in the previous year, subject to any adjustments under
section 275.72.
new text end
deleted text begin Subd. 3. deleted text end
deleted text begin Adjustments for state takeovers. deleted text end
deleted text begin
(a) The levy limit base for each local
unit of government shall be adjusted to reflect the assumption by the state of financing for
certain government functions as indicated in this subdivision.
deleted text end
deleted text begin
(b) For a county in a judicial district for which financing has not been transferred
to the state by January 1, 2001, the levy limit base for 2001 is permanently reduced by
the amount of the county's 2001 budget for court administration costs, as certified under
section 273.1398, subdivision 4b, paragraph (b), net of the county's share of transferred
fines and fees collected by the district courts in the county for the same budget period.
deleted text end
deleted text begin
(c) For a governmental unit which levied a tax in 2000 under section 473.388,
subdivision 7, the levy limit base for 2001 is permanently reduced by an amount equal
to the sum of the governmental unit's taxes payable 2001 nondebt transit services levy
plus the portion of its 2001 homestead and agricultural credit aid under section 273.1398,
subdivision 2, attributable to nondebt transit services.
deleted text end
deleted text begin
(d) For counties in a judicial district in which the state assumed financing of
mandated services costs as defined in section 480.181, subdivision 4, on July 1, 2001, the
levy limit base for taxes levied in 2001 is permanently reduced by an amount equal to
one-half of the aid reduction under section 273.1398, subdivision 4a, paragraph (g).
deleted text end
Subd. 4.
Adjusted levy limit base.
deleted text begin (a)deleted text end For taxes levied in deleted text begin 2003deleted text end new text begin 2008 through 2010new text end ,
the adjusted levy limit base is equal to the levy limit base computed under deleted text begin subdivisions 2
and 3deleted text end new text begin subdivision 2new text end or section 275.72,deleted text begin reduced by 40 percent of the difference between
(1) the sum of 2003 certified aid payments, under sections 273.138, 273.1398 except for
amounts certified under subdivision 4a, paragraph (b), 273.166, 477A.011 to 477A.03,
477A.06, and 477A.07, before any reduction under Laws 2003, First Special Session
chapter 21, articles 5 and 6, and (2) the sum of the aids paid in 2004 under those same
sections, after any reductions in 2004 under Laws 2003, First Special Session chapter 21,
articles 5 and 6.deleted text end new text begin multiplied by:
new text end
new text begin
(1) one plus the lessor of 3.9 percent or the percentage growth in the implicit price
deflator;
new text end
new text begin
(2) one plus a percentage equal to 50 percent of the percentage increase in the number
of households, if any, for the most recent 12-month period for which data is available; and
new text end
new text begin
(3) one plus a percentage equal to 50 percent of the percentage increase in the
taxable market value of the jurisdiction due to new construction of class 3 property, as
defined in section 273.13, subdivision 4, except for state-assessed utility and railroad
property, for the most recent year for which data is available.
new text end
deleted text begin
(b) For taxes levied in 2003 only, the adjusted levy limit base is increased by 60
percent of the difference between a jurisdiction's market value credit in 2003 before any
reductions under Laws 2003, First Special Session chapter 21, articles 5 and 6, and its
market value credit in 2004 after reductions in Laws 2003, First Special Session chapter
21, articles 5 and 6.
deleted text end
Subd. 5.
Property tax levy limit.
For taxes levied in deleted text begin 2003deleted text end new text begin 2008 through 2010new text end , the
property tax levy limit for a local governmental unit is equal to its adjusted levy limit
base determined under subdivision 4 plus any additional levy authorized under section
275.73, which is levied against net tax capacity, reduced by the sum of (i) the total amount
of aids and reimbursements that the local governmental unit is certified to receive under
sections 477A.011 to 477A.014, deleted text begin except for the increases in city aid bases in calendar
year 2002 under section 477A.011, subdivision 36, paragraphs (l), (n), and (o), (ii)
homestead and agricultural aids it is certified to receive under section 273.1398, (iii)deleted text end new text begin (ii)new text end
taconite aids under sections 298.28 and 298.282 including any aid which was required to
be placed in a special fund for expenditure in the next succeeding year, deleted text begin (iv) temporary
court aid under section 273.1398, subdivision 4a, and (v)deleted text end new text begin (iii)new text end estimated payments to the
local governmental unit under section 272.029, adjusted for any error in estimation in the
preceding yearnew text begin , and (iv) aids under section 477A.16new text end .
Subd. 6.
Levies in excess of levy limits.
If the levy made by a city or county
exceeds the levy limit provided in sections 275.70 to 275.74, except when the excess
levy is due to the rounding of the rate in accordance with section 275.28, the county
auditor shall only extend the amount of taxes permitted under sections 275.70 to 275.74,
as provided for in section 275.16.
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective for levies certified in calendar years
2008 through 2010, payable in 2009 through 2011.
new text end
Sec. 4.
Minnesota Statutes 2006, section 275.74, subdivision 2, is amended to read:
Subd. 2.
Authorization for special levies.
new text begin (a) new text end A local governmental unit may
request authorization to levy for unreimbursed costs for natural disasters under section
275.70, subdivision 5, clause (7). The local governmental unit shall submit a request to
levy under section 275.70, subdivision 5, clause (7), to the commissioner of revenue by
September 30 of the levy year and the request must include information documenting the
estimated unreimbursed costs. The commissioner of revenue may grant levy authority,
up to the amount requested based on the documentation submitted. All decisions of the
commissioner are final.
new text begin
(b) A city may request authorization to levy for reasonable and necessary costs for
securing, maintaining, or demolishing foreclosed or abandoned residential properties
under section 275.70, subdivision 5, clause (19). The local governmental unit shall submit
a request to levy under section 275.70, subdivision 5, clause (19), to the commissioner
of revenue by September 30 of the levy year and the request must include information
documenting the estimated costs. For taxes payable in 2009, the amount may include
unanticipated costs incurred above the amount budgeted for these purposes in 2008. Costs
of securing foreclosed or abandoned residential properties include payment for police and
fire department services. The commissioner of revenue may grant levy authority, up to the
lesser of (1) the amount requested based on the documentation submitted, or (2) $3,000
multiplied by the number of foreclosed residential properties, as defined by sheriff sales
records, in calendar year 2007. All decisions of the commissioner are final.
new text end
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective for levies certified in 2008 through
2010, payable in 2009 through 2011.
new text end
Sec. 5.
new text begin
[275.76] MAINTENANCE OF EFFORT AND MATCHING
REQUIREMENTS SUSPENDED.
new text end
new text begin
Notwithstanding any law to the contrary, all maintenance of effort and matching
fund requirements for counties, including, but not limited to, those under sections
116L.872, 119B.11, 134.34, 145A.131, 145.882, 242.39, 245.4835, 245.714, 254B.02,
254B.03, 256B.0625, 256F.10, and 256F.13, are suspended for the taxes payable years that
levy limits are in effect.
new text end
ARTICLE 4
INCOME AND ESTATE TAXES
Section 1.
Minnesota Statutes 2006, section 289A.19, subdivision 2, is amended to
read:
Subd. 2.
Corporate franchise and mining company taxes.
Corporations or mining
companies shall receive an extension of seven months new text begin or the amount of time granted by
the Internal Revenue Service, whichever is longer, new text end for filing the return of a corporation
subject to tax under chapter 290 or for filing the return of a mining company subject to
tax under sections 298.01 and 298.015. Interest on any balance of tax not paid when the
regularly required return is due must be paid at the rate specified in section 270C.40,
from the date such payment should have been made if no extension was granted, until
the date of payment of such tax.
If a corporation or mining company does not:
(1) pay at least 90 percent of the amount of tax shown on the return on or before the
regular due date of the return, the penalty prescribed by section 289A.60, subdivision 1,
shall be imposed on the unpaid balance of tax; or
(2) pay the balance due shown on the regularly required return on or before the
extended due date of the return, the penalty prescribed by section 289A.60, subdivision 1,
shall be imposed on the unpaid balance of tax from the original due date of the return.
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective the day following final enactment
and applies to any federal extension that allows filing after that date.
new text end
Sec. 2.
Minnesota Statutes 2006, section 289A.19, is amended by adding a subdivision
to read:
new text begin Subd. 7. new text end
new text begin Federal extensions. new text end
new text begin
When an extension of time to file a partnership or
S corporation tax return is granted by the Internal Revenue Service, the commissioner
shall grant an automatic extension to file the comparable Minnesota return for that period.
An extension granted under this subdivision does not affect the due date for making
payments of tax.
new text end
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective the day following final enactment
and applies to any federal extension that allows filing after that date.
new text end
Sec. 3.
Minnesota Statutes 2006, section 290.01, subdivision 6b, is amended to read:
Subd. 6b.
Foreign operating corporation.
The term "foreign operating
corporation," when applied to a corporation, means a domestic corporation with the
following characteristics:
(1) it is part of a unitary business at least one member of which is taxable in this state;
(2) it is not a foreign sales corporation under section 922 of the Internal Revenue
Code, as amended through December 31, 1999, for the taxable year;
(3)new text begin it is not an interest charge domestic international sales corporation under sections
992, 993, 994, and 995 of the Internal Revenue Code;
new text end
new text begin (4)new text end new text begin either new text end (i) deleted text begin the average of the percentages of its property and payrolls, including
the pro rata share of its unitary partnerships' property and payrolls, assigned to locations
outside the United States, where the United States includes the District of Columbia and
excludes the commonwealth of Puerto Rico and possessions of the United States, as
determined under section 290.191 or 290.20, is 80 percent or more; or (ii)deleted text end it has in effect a
valid election under section 936 of the Internal Revenue Code; new text begin or (ii) at least 80 percent
of the gross income from all sources of the corporation in the tax year is active foreign
business income; new text end and
deleted text begin
(4) it has $1,000,000 of payroll and $2,000,000 of property, as determined under
section 290.191 or 290.20, that are located outside the United States. If the domestic
corporation does not have payroll as determined under section 290.191 or 290.20, but it
or its partnerships have paid $1,000,000 for work, performed directly for the domestic
corporation or the partnerships, outside the United States, then paragraph (3)(i) shall not
require payrolls to be included in the average calculation
deleted text end
new text begin (5) for purposes of this subdivision, active foreign business income means gross
income that is (i) derived from sources without the United States, as defined in subtitle A,
chapter 1, subchapter N, part 1, of the Internal Revenue Code; and (ii) attributable to the
active conduct of a trade or business in a foreign countrynew text end .
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective for taxable years beginning after
December 31, 2007.
new text end
Sec. 4.
Minnesota Statutes 2007 Supplement, section 290.01, subdivision 19b, as
amended by Laws 2008, chapter 154, article 3, section 3, is amended to read:
Subd. 19b.
Subtractions from federal taxable income.
For individuals, estates,
and trusts, there shall be subtracted from federal taxable income:
(1) net interest income on obligations of any authority, commission, or
instrumentality of the United States to the extent includable in taxable income for federal
income tax purposes but exempt from state income tax under the laws of the United States;
(2) if included in federal taxable income, the amount of any overpayment of income
tax to Minnesota or to any other state, for any previous taxable year, whether the amount
is received as a refund or as a credit to another taxable year's income tax liability;
(3) the amount paid to others, less the amount used to claim the credit allowed under
section 290.0674, not to exceed $1,625 for each qualifying child in grades kindergarten
to 6 and $2,500 for each qualifying child in grades 7 to 12, for tuition, textbooks, and
transportation of each qualifying child in attending an elementary or secondary school
situated in Minnesota, North Dakota, South Dakota, Iowa, or Wisconsin, wherein a
resident of this state may legally fulfill the state's compulsory attendance laws, which
is not operated for profit, and which adheres to the provisions of the Civil Rights Act
of 1964 and chapter 363A. For the purposes of this clause, "tuition" includes fees or
tuition as defined in section 290.0674, subdivision 1, clause (1). As used in this clause,
"textbooks" includes books and other instructional materials and equipment purchased
or leased for use in elementary and secondary schools in teaching only those subjects
legally and commonly taught in public elementary and secondary schools in this state.
Equipment expenses qualifying for deduction includes expenses as defined and limited in
section 290.0674, subdivision 1, clause (3). "Textbooks" does not include instructional
books and materials used in the teaching of religious tenets, doctrines, or worship, the
purpose of which is to instill such tenets, doctrines, or worship, nor does it include books
or materials for, or transportation to, extracurricular activities including sporting events,
musical or dramatic events, speech activities, driver's education, or similar programs. For
purposes of the subtraction provided by this clause, "qualifying child" has the meaning
given in section 32(c)(3) of the Internal Revenue Code;
(4) income as provided under section 290.0802;
(5) to the extent included in federal adjusted gross income, income realized on
disposition of property exempt from tax under section 290.491;
(6) to the extent not deducted or not deductible pursuant to section 408(d)(8)(E)
of the Internal Revenue Code in determining federal taxable income by an individual
who does not itemize deductions for federal income tax purposes for the taxable year, an
amount equal to 50 percent of the excess of charitable contributions over $500 allowable
as a deduction for the taxable year under section 170(a) of the Internal Revenue Code and
under the provisions of Public Law 109-1;
(7) for taxable years beginning before January 1, 2008, the amount of the federal
small ethanol producer credit allowed under section 40(a)(3) of the Internal Revenue Code
which is included in gross income under section 87 of the Internal Revenue Code;
(8) for individuals who are allowed a federal foreign tax credit for taxes that do not
qualify for a credit under section 290.06, subdivision 22, an amount equal to the carryover
of subnational foreign taxes for the taxable year, but not to exceed the total subnational
foreign taxes reported in claiming the foreign tax credit. For purposes of this clause,
"federal foreign tax credit" means the credit allowed under section 27 of the Internal
Revenue Code, and "carryover of subnational foreign taxes" equals the carryover allowed
under section 904(c) of the Internal Revenue Code minus national level foreign taxes to
the extent they exceed the federal foreign tax credit;
(9) in each of the five tax years immediately following the tax year in which an
addition is required under subdivision 19a, clause (7), or 19c, clause (15), in the case
of a shareholder of a corporation that is an S corporation, an amount equal to one-fifth
of the delayed depreciation. For purposes of this clause, "delayed depreciation" means
the amount of the addition made by the taxpayer under subdivision 19a, clause (7), or
subdivision 19c, clause (15), in the case of a shareholder of an S corporation, minus the
positive value of any net operating loss under section 172 of the Internal Revenue Code
generated for the tax year of the addition. The resulting delayed depreciation cannot be
less than zero;
(10) job opportunity building zone income as provided under section 469.316;
(11) to the extent included in federal taxable income, the amount of compensation
paid to members of the Minnesota National Guard or other reserve components of the
United States military for active service performed in Minnesota, excluding compensation
for services performed under the Active Guard Reserve (AGR) program. For purposes of
this clause, "active service" means (i) state active service as defined in section 190.05,
subdivision 5a, clause (1); (ii) federally funded state active service as defined in section
190.05, subdivision 5b; or (iii) federal active service as defined in section 190.05,
subdivision 5c, but "active service" excludes deleted text begin services performed exclusively for purposes
of basic combat training, advanced individual training, annual training, and periodic
inactive duty training; special training periodically made available to reserve members;
anddeleted text end service performed in accordance with section 190.08, subdivision 3;
(12) to the extent included in federal taxable income, the amount of compensation
paid to Minnesota residents who are members of the armed forces of the United States or
United Nations for active duty performed outside Minnesota under United States Code,
title 10, section 101(d); United States Code, title 32, section 101(12); or the authority of
the United Nations;
(13) an amount, not to exceed $10,000, equal to qualified expenses related to a
qualified donor's donation, while living, of one or more of the qualified donor's organs
to another person for human organ transplantation. For purposes of this clause, "organ"
means all or part of an individual's liver, pancreas, kidney, intestine, lung, or bone marrow;
"human organ transplantation" means the medical procedure by which transfer of a human
organ is made from the body of one person to the body of another person; "qualified
expenses" means unreimbursed expenses for both the individual and the qualified donor
for (i) travel, (ii) lodging, and (iii) lost wages net of sick pay, except that such expenses
may be subtracted under this clause only once; and "qualified donor" means the individual
or the individual's dependent, as defined in section 152 of the Internal Revenue Code. An
individual may claim the subtraction in this clause for each instance of organ donation for
transplantation during the taxable year in which the qualified expenses occur;
(14) in each of the five tax years immediately following the tax year in which an
addition is required under subdivision 19a, clause (8), or 19c, clause (16), in the case of a
shareholder of a corporation that is an S corporation, an amount equal to one-fifth of the
addition made by the taxpayer under subdivision 19a, clause (8), or 19c, clause (16), in the
case of a shareholder of a corporation that is an S corporation, minus the positive value of
any net operating loss under section 172 of the Internal Revenue Code generated for the
tax year of the addition. If the net operating loss exceeds the addition for the tax year, a
subtraction is not allowed under this clause;
(15) to the extent included in federal taxable income, compensation paid to a
deleted text begin nonresident who is adeleted text end service member as defined in United States Code, title 10, section
101(a)(5), for military service as defined in the Service Member Civil Relief Act, Public
Law 108-189, section 101(2); deleted text begin anddeleted text end
(16) international economic development zone income as provided under section
469.325new text begin ; and
new text end
new text begin (17) to the extent included in federal taxable income, the amount of national service
educational awards received from the National Service Trust under United States Code,
title 42, sections 12601 to 12604, for service in an approved Americorps National Service
programnew text end .
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective for tax years beginning after
December 31, 2008, except clause (17) is effective for tax years beginning after December
31, 2007.
new text end
Sec. 5.
Minnesota Statutes 2006, section 290.01, subdivision 19c, as amended by Laws
2008, chapter 154, article 3, section 4, is amended to read:
Subd. 19c.
Corporations; additions to federal taxable income.
For corporations,
there shall be added to federal taxable income:
(1) the amount of any deduction taken for federal income tax purposes for income,
excise, or franchise taxes based on net income or related minimum taxes, including but not
limited to the tax imposed under section 290.0922, paid by the corporation to Minnesota,
another state, a political subdivision of another state, the District of Columbia, or any
foreign country or possession of the United States;
(2) interest not subject to federal tax upon obligations of: the United States, its
possessions, its agencies, or its instrumentalities; the state of Minnesota or any other
state, any of its political or governmental subdivisions, any of its municipalities, or any
of its governmental agencies or instrumentalities; the District of Columbia; or Indian
tribal governments;
(3) exempt-interest dividends received as defined in section 852(b)(5) of the Internal
Revenue Code;
(4) the amount of any net operating loss deduction taken for federal income tax
purposes under section 172 or 832(c)(10) of the Internal Revenue Code or operations loss
deduction under section 810 of the Internal Revenue Code;
(5) the amount of any special deductions taken for federal income tax purposes
under sections 241 to 247 and 965 of the Internal Revenue Code;
(6) losses from the business of mining, as defined in section 290.05, subdivision 1,
clause (a), that are not subject to Minnesota income tax;
(7) the amount of any capital losses deducted for federal income tax purposes under
sections 1211 and 1212 of the Internal Revenue Code;
(8) the exempt foreign trade income of a foreign sales corporation under sections
921(a) and 291 of the Internal Revenue Code;
(9) the amount of percentage depletion deducted under sections 611 through 614 and
291 of the Internal Revenue Code;
(10) for certified pollution control facilities placed in service in a taxable year
beginning before December 31, 1986, and for which amortization deductions were elected
under section 169 of the Internal Revenue Code of 1954, as amended through December
31, 1985, the amount of the amortization deduction allowed in computing federal taxable
income for those facilities;
(11) the amount of any deemed dividend from a foreign operating corporation
determined pursuant to section 290.17, subdivision 4, paragraph (g)new text begin . The deemed dividend
shall be reduced by the amount of the addition to income required by clauses (20), (21),
(22), and (23)new text end ;
(12) the amount of a partner's pro rata share of net income which does not flow
through to the partner because the partnership elected to pay the tax on the income under
section 6242(a)(2) of the Internal Revenue Code;
(13) the amount of net income excluded under section 114 of the Internal Revenue
Code;
(14) any increase in subpart F income, as defined in section 952(a) of the Internal
Revenue Code, for the taxable year when subpart F income is calculated without regard
to the provisions of section 103 of Public Law 109-222;
(15) 80 percent of the depreciation deduction allowed under section 168(k)(1)(A)
and (k)(4)(A) of the Internal Revenue Code. For purposes of this clause, if the taxpayer
has an activity that in the taxable year generates a deduction for depreciation under
section 168(k)(1)(A) and (k)(4)(A) and the activity generates a loss for the taxable year
that the taxpayer is not allowed to claim for the taxable year, "the depreciation allowed
under section 168(k)(1)(A) and (k)(4)(A)" for the taxable year is limited to excess of the
depreciation claimed by the activity under section 168(k)(1)(A) and (k)(4)(A) over the
amount of the loss from the activity that is not allowed in the taxable year. In succeeding
taxable years when the losses not allowed in the taxable year are allowed, the depreciation
under section 168(k)(1)(A) and (k)(4)(A) is allowed;
(16) 80 percent of the amount by which the deduction allowed by section 179 of the
Internal Revenue Code exceeds the deduction allowable by section 179 of the Internal
Revenue Code of 1986, as amended through December 31, 2003;
(17) to the extent deducted in computing federal taxable income, the amount of the
deduction allowable under section 199 of the Internal Revenue Code;
(18) the exclusion allowed under section 139A of the Internal Revenue Code for
federal subsidies for prescription drug plans; deleted text begin anddeleted text end
(19) the amount of expenses disallowed under section 290.10, subdivision 2new text begin ;
new text end
new text begin
(20) an amount equal to the interest and intangible expenses, losses, and costs paid,
accrued, or incurred by any member of the taxpayer's unitary group to or for the benefit
of a corporation that is a member of the taxpayer's unitary business group that qualifies
as a foreign operating corporation. For purposes of this clause, intangible expenses and
costs include:
new text end
new text begin
(i) expenses, losses, and costs for, or related to, the direct or indirect acquisition,
use, maintenance or management, ownership, sale, exchange, or any other disposition of
intangible property;
new text end
new text begin
(ii) losses incurred, directly or indirectly, from factoring transactions or discounting
transactions;
new text end
new text begin
(iii) royalty, patent, technical, and copyright fees;
new text end
new text begin
(iv) licensing fees; and
new text end
new text begin (v) other similar expenses and costsnew text end .
new text begin
For purposes of this clause, "intangible property" includes stocks, bonds, patents, patent
applications, trade names, trademarks, service marks, copyrights, mask works, trade
secrets, and similar types of intangible assets.
new text end
new text begin
This clause does not apply to any item of interest or intangible expenses or costs paid,
accrued, or incurred, directly or indirectly, to a foreign operating corporation with respect
to such item of income to the extent that the income to the foreign operating corporation
is income from sources without the United States as defined in subtitle A, chapter 1,
subchapter N, part 1, of the Internal Revenue Code;
new text end
new text begin
(21) except as already included in the taxpayer's taxable income pursuant to clause
(20), any interest income and income generated from intangible property received or
accrued by a foreign operating corporation that is a member of the taxpayer's unitary
group. For purposes of this clause, income generated from intangible property includes:
new text end
new text begin
(i) income related to the direct or indirect acquisition, use, maintenance or
management, ownership, sale, exchange, or any other disposition of intangible property;
new text end
new text begin
(ii) income from factoring transactions or discounting transactions;
new text end
new text begin
(iii) royalty, patent, technical, and copyright fees;
new text end
new text begin
(iv) licensing fees; and
new text end
new text begin
(v) other similar income.
new text end
new text begin
For purposes of this clause, "intangible property" includes stocks, bonds, patents, patent
applications, trade names, trademarks, service marks, copyrights, mask works, trade
secrets, and similar types of intangible assets.
new text end
new text begin
This clause does not apply to any item of interest or intangible income received or accrued
by a foreign operating corporation with respect to such item of income to the extent that
the income is income from sources without the United States as defined in subtitle A,
chapter 1, subchapter N, part 1, of the Internal Revenue Code;
new text end
new text begin
(22) the dividends attributable to the income of a foreign operating corporation that
is a member of the taxpayer's unitary group in an amount that is equal to the dividends
paid deduction of a real estate investment trust under section 561(a) of the Internal
Revenue Code for amounts paid or accrued by the real estate investment trust to the
foreign operating corporation; and
new text end
new text begin
(23) the income of a foreign operating corporation that is a member of the taxpayer's
unitary group in an amount that is equal to gains derived from the sale of real or personal
property located in the United States.
new text end
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective for taxable years beginning after
December 31, 2007.
new text end
Sec. 6.
Minnesota Statutes 2006, section 290.01, subdivision 19d, as amended by Laws
2008, chapter 154, article 11, section 12, is amended to read:
Subd. 19d.
Corporations; modifications decreasing federal taxable income.
For
corporations, there shall be subtracted from federal taxable income after the increases
provided in subdivision 19c:
(1) the amount of foreign dividend gross-up added to gross income for federal
income tax purposes under section 78 of the Internal Revenue Code;
(2) the amount of salary expense not allowed for federal income tax purposes due to
claiming the work opportunity credit under section 51 of the Internal Revenue Code;
(3) any dividend (not including any distribution in liquidation) paid within the
taxable year by a national or state bank to the United States, or to any instrumentality of
the United States exempt from federal income taxes, on the preferred stock of the bank
owned by the United States or the instrumentality;
(4) amounts disallowed for intangible drilling costs due to differences between
this chapter and the Internal Revenue Code in taxable years beginning before January
1, 1987, as follows:
(i) to the extent the disallowed costs are represented by physical property, an amount
equal to the allowance for depreciation under Minnesota Statutes 1986, section 290.09,
subdivision 7, subject to the modifications contained in subdivision 19e; and
(ii) to the extent the disallowed costs are not represented by physical property, an
amount equal to the allowance for cost depletion under Minnesota Statutes 1986, section
290.09, subdivision 8;
(5) the deduction for capital losses pursuant to sections 1211 and 1212 of the
Internal Revenue Code, except that:
(i) for capital losses incurred in taxable years beginning after December 31, 1986,
capital loss carrybacks shall not be allowed;
(ii) for capital losses incurred in taxable years beginning after December 31, 1986,
a capital loss carryover to each of the 15 taxable years succeeding the loss year shall be
allowed;
(iii) for capital losses incurred in taxable years beginning before January 1, 1987, a
capital loss carryback to each of the three taxable years preceding the loss year, subject to
the provisions of Minnesota Statutes 1986, section 290.16, shall be allowed; and
(iv) for capital losses incurred in taxable years beginning before January 1, 1987,
a capital loss carryover to each of the five taxable years succeeding the loss year to the
extent such loss was not used in a prior taxable year and subject to the provisions of
Minnesota Statutes 1986, section 290.16, shall be allowed;
(6) an amount for interest and expenses relating to income not taxable for federal
income tax purposes, if (i) the income is taxable under this chapter and (ii) the interest and
expenses were disallowed as deductions under the provisions of section 171(a)(2), 265 or
291 of the Internal Revenue Code in computing federal taxable income;
(7) in the case of mines, oil and gas wells, other natural deposits, and timber for
which percentage depletion was disallowed pursuant to subdivision 19c, clause (9), a
reasonable allowance for depletion based on actual cost. In the case of leases the deduction
must be apportioned between the lessor and lessee in accordance with rules prescribed
by the commissioner. In the case of property held in trust, the allowable deduction must
be apportioned between the income beneficiaries and the trustee in accordance with the
pertinent provisions of the trust, or if there is no provision in the instrument, on the basis
of the trust's income allocable to each;
(8) for certified pollution control facilities placed in service in a taxable year
beginning before December 31, 1986, and for which amortization deductions were elected
under section 169 of the Internal Revenue Code of 1954, as amended through December
31, 1985, an amount equal to the allowance for depreciation under Minnesota Statutes
1986, section 290.09, subdivision 7;
(9) amounts included in federal taxable income that are due to refunds of income,
excise, or franchise taxes based on net income or related minimum taxes paid by the
corporation to Minnesota, another state, a political subdivision of another state, the
District of Columbia, or a foreign country or possession of the United States to the extent
that the taxes were added to federal taxable income under section 290.01, subdivision 19c,
clause (1), in a prior taxable year;
(10) 80 percent of royalties, fees, or other like income accrued or received from a
foreign operating corporation or a foreign corporation which is part of the same unitary
business as the receiving corporationnew text begin , unless the income resulting from such payments or
accruals is income from sources within the United States as defined in subtitle A, chapter
1, subchapter N, part 1, of the Internal Revenue Codenew text end ;
(11) income or gains from the business of mining as defined in section 290.05,
subdivision 1, clause (a), that are not subject to Minnesota franchise tax;
(12) the amount of disability access expenditures in the taxable year which are not
allowed to be deducted or capitalized under section 44(d)(7) of the Internal Revenue Code;
(13) the amount of qualified research expenses not allowed for federal income tax
purposes under section 280C(c) of the Internal Revenue Code, but only to the extent that
the amount exceeds the amount of the credit allowed under section 290.068;
(14) the amount of salary expenses not allowed for federal income tax purposes due
to claiming the Indian employment credit under section 45A(a) of the Internal Revenue
Code;
(15) for taxable years beginning before January 1, 2008, the amount of the federal
small ethanol producer credit allowed under section 40(a)(3) of the Internal Revenue Code
which is included in gross income under section 87 of the Internal Revenue Code;
(16) for a corporation whose foreign sales corporation, as defined in section 922
of the Internal Revenue Code, constituted a foreign operating corporation during any
taxable year ending before January 1, 1995, and a return was filed by August 15, 1996,
claiming the deduction under section 290.21, subdivision 4, for income received from
the foreign operating corporation, an amount equal to 1.23 multiplied by the amount of
income excluded under section 114 of the Internal Revenue Code, provided the income is
not income of a foreign operating company;
(17) any decrease in subpart F income, as defined in section 952(a) of the Internal
Revenue Code, for the taxable year when subpart F income is calculated without regard
to the provisions of section 103 of Public Law 109-222;
deleted text begin (16)deleted text end new text begin (18)new text end in each of the five tax years immediately following the tax year in which
an addition is required under subdivision 19c, clause (15), an amount equal to one-fifth
of the delayed depreciation. For purposes of this clause, "delayed depreciation" means
the amount of the addition made by the taxpayer under subdivision 19c, clause (15). The
resulting delayed depreciation cannot be less than zero; and
deleted text begin (17)deleted text end new text begin (19)new text end in each of the five tax years immediately following the tax year in which an
addition is required under subdivision 19c, clause (16), an amount equal to one-fifth of the
amount of the addition.
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective for taxable years beginning after
December 31, 2007.
new text end
Sec. 7.
Minnesota Statutes 2006, section 290.06, subdivision 33, as amended by Laws
2008, chapter 154, article 11, section 13, is amended to read:
Subd. 33.
Bovine testing credit.
(a) An owner of cattle in Minnesota may take a
credit against the tax due under this chapter for an amount equal tonew text begin : (1) for corporate
filers, including shareholders of an "S" corporation under section 290.9725, 25 percent
of the expenses incurred during the taxable year to conduct tuberculosis testing on those
cattle; and (2) for all other filers,new text end one-half the expenses incurred during the taxable year to
conduct tuberculosis testing on those cattle.
(b) If the amount of credit which the taxpayer is eligible to receive under this
subdivision exceeds the taxpayer's tax liability under this chapter, the commissioner of
revenue shall refund the excess to the taxpayer.
(c) The amount necessary to pay claims for the refund provided in this subdivision is
appropriated from the general fund to the commissioner of revenue.
(d) Expenses incurred in a calendar year in which tuberculosis testing of cattle in
Minnesota is not federally required are not allowed in claiming the credit under paragraph
(a).
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective for taxable years beginning after
December 31, 2008.
new text end
Sec. 8.
Minnesota Statutes 2006, section 290.0677, subdivision 1, as amended by Laws
2008, chapter 154, article 3, section 5, is amended to read:
Subdivision 1.
Credit allowednew text begin ; current military servicenew text end .
(a) An individual is
allowed a credit against the tax due under this chapter equal to $59 for each month or
portion thereof that the individual was in active military service in a designated area after
September 11, 2001, new text begin and before January 1, 2009, new text end while a Minnesota domiciliary.
(b) new text begin An individual is allowed a credit against the tax due under this chapter equal to
$120 for each month or portion thereof that the individual was in active military service in
a designated area after December 31, 2008, while a Minnesota domiciliary.
new text end
new text begin (c) new text end For active service performed after September 11, 2001, and before December 31,
2006, the individual may claim the credit in the taxable year beginning after December 31,
2005, and before January 1, 2007.
deleted text begin (c)deleted text end new text begin (d) new text end For active service performed after December 31, 2006, the individual may
claim the credit for the taxable year in which the active service was performed.
deleted text begin (d)deleted text end new text begin (e) new text end If an individual entitled to the credit died prior to January 1, 2006, the
individual's estate or heirs at law, if the individual's probate estate has closed or the estate
was not probated, may claim the credit.
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective for taxable years beginning after
December 31, 2008.
new text end
Sec. 9.
Minnesota Statutes 2006, section 290.0677, is amended by adding a subdivision
to read:
new text begin Subd. 1a. new text end
new text begin Credit allowed; past military service. new text end
new text begin
(a) A qualified individual is
allowed a credit against the tax imposed under this chapter for past military service. The
credit equals $750. The credit allowed under this subdivision is reduced by 10 percent of
adjusted gross income in excess of $30,000, but in no case is the credit less than zero.
new text end
new text begin
(b) For a nonresident or a part-year resident, the credit under this subdivision
must be allocated based on the percentage calculated under section 290.06, subdivision
2c, paragraph (e).
new text end
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective for taxable years beginning after
December 31, 2008.
new text end
Sec. 10.
Minnesota Statutes 2006, section 290.0677, subdivision 2, is amended to read:
Subd. 2.
Definitions.
(a) For purposes of this section the following terms have
the meanings given.
(b) "Designated area" means a:
(1) combat zone designated by Executive Order from the President of the United
States;
(2) qualified hazardous duty area, designated in Public Law; or
(3) location certified by the U. S. Department of Defense as eligible for combat zone
tax benefits due to the location's direct support of military operations.
(c) "Active military service" means active duty service in any of the United States
Armed Forces, the National Guard, or reserves.
new text begin
(d) "Qualified individual" means an individual who has
new text end
new text begin
(1) either (i) served at least 20 years in the military or (ii) has a service-connected
disability rating of 100 percent for a total and permanent disability; and
new text end
new text begin
(2) separated from military service before the end of the taxable year.
new text end
new text begin
(e) "Adjusted gross income" has the meaning given in section 61 of the Internal
Revenue Code.
new text end
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective for taxable years beginning after
December 31, 2008.
new text end
Sec. 11.
Minnesota Statutes 2006, section 290.0677, subdivision 3, is amended to read:
Subd. 3.
Credit refundable.
If the amount of credit which the individual is eligible
to receive under deleted text begin this sectiondeleted text end new text begin subdivision 1new text end exceeds the individual's tax liability under this
chapter, the commissioner shall refund the excess to the individual.
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective for taxable years beginning after
December 31, 2008.
new text end
Sec. 12.
Minnesota Statutes 2006, section 290.091, subdivision 2, as amended by Laws
2008, chapter 154, article 4, section 7, is amended to read:
Subd. 2.
Definitions.
For purposes of the tax imposed by this section, the following
terms have the meanings given:
(a) "Alternative minimum taxable income" means the sum of the following for
the taxable year:
(1) the taxpayer's federal alternative minimum taxable income as defined in section
55(b)(2) of the Internal Revenue Code;
(2) the taxpayer's itemized deductions allowed in computing federal alternative
minimum taxable income, but excluding:
(i) the charitable contribution deduction under section 170 of the Internal Revenue
Codedeleted text begin :deleted text end new text begin ;new text end
deleted text begin (A) for taxable years beginning before January 1, 2006, to the extent that the
deduction exceeds 1.0 percent of adjusted gross income;deleted text end
deleted text begin
(B) for taxable years beginning after December 31, 2005, to the full extent of the
deduction.
deleted text end
deleted text begin
For purposes of this clause, "adjusted gross income" has the meaning given in
section 62 of the Internal Revenue Code;
deleted text end
(ii) the medical expense deduction;
(iii) the casualty, theft, and disaster loss deduction; and
(iv) the impairment-related work expenses of a disabled person;
(3) for depletion allowances computed under section 613A(c) of the Internal
Revenue Code, with respect to each property (as defined in section 614 of the Internal
Revenue Code), to the extent not included in federal alternative minimum taxable income,
the excess of the deduction for depletion allowable under section 611 of the Internal
Revenue Code for the taxable year over the adjusted basis of the property at the end of the
taxable year (determined without regard to the depletion deduction for the taxable year);
(4) to the extent not included in federal alternative minimum taxable income, the
amount of the tax preference for intangible drilling cost under section 57(a)(2) of the
Internal Revenue Code determined without regard to subparagraph (E);
(5) to the extent not included in federal alternative minimum taxable income, the
amount of interest income as provided by section 290.01, subdivision 19a, clause (1); and
(6) the amount of addition required by section 290.01, subdivision 19a, clauses
(7) to (9), (11), and (12);
less the sum of the amounts determined under the following:
(1) interest income as defined in section 290.01, subdivision 19b, clause (1);
(2) an overpayment of state income tax as provided by section 290.01, subdivision
19b, clause (2), to the extent included in federal alternative minimum taxable income;
(3) the amount of investment interest paid or accrued within the taxable year on
indebtedness to the extent that the amount does not exceed net investment income, as
defined in section 163(d)(4) of the Internal Revenue Code. Interest does not include
amounts deducted in computing federal adjusted gross income; and
(4) amounts subtracted from federal taxable income as provided by section 290.01,
subdivision 19b, clauses new text begin (6) and new text end (9) to (16).
In the case of an estate or trust, alternative minimum taxable income must be
computed as provided in section 59(c) of the Internal Revenue Code.
(b) "Investment interest" means investment interest as defined in section 163(d)(3)
of the Internal Revenue Code.
(c) "Tentative minimum tax" equals 6.4 percent of alternative minimum taxable
income after subtracting the exemption amount determined under subdivision 3.
(d) "Regular tax" means the tax that would be imposed under this chapter (without
regard to this section and section 290.032), reduced by the sum of the nonrefundable
credits allowed under this chapter.
(e) "Net minimum tax" means the minimum tax imposed by this section.
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective for taxable years beginning after
December 31, 2007.
new text end
Sec. 13.
Minnesota Statutes 2006, section 290.191, subdivision 5, is amended to read:
Subd. 5.
Determination of sales factor.
For purposes of this section, the following
rules apply in determining the sales factor.
(a) The sales factor includes all sales, gross earnings, or receipts received in the
ordinary course of the business, except that the following types of income are not included
in the sales factor:
(1) interest;
(2) dividends;
(3) sales of capital assets as defined in section 1221 of the Internal Revenue Code;
(4) sales of property used in the trade or business, except sales of leased property of
a type which is regularly sold as well as leased;
(5) sales of debt instruments as defined in section 1275(a)(1) of the Internal Revenue
Code or sales of stock; and
(6) royalties, fees, or other like income of a type which qualify for a subtraction from
federal taxable income under section 290.01, subdivision 19d(10).
(b) Sales of tangible personal property are made within this state if the property is
received by a purchaser at a point within this state, and the taxpayer is taxable in this state,
regardless of the f.o.b. point, other conditions of the sale, or the ultimate destination
of the property.
(c) Tangible personal property delivered to a common or contract carrier or foreign
vessel for delivery to a purchaser in another state or nation is a sale in that state or nation,
regardless of f.o.b. point or other conditions of the sale.
(d) Notwithstanding paragraphs (b) and (c), when intoxicating liquor, wine,
fermented malt beverages, cigarettes, or tobacco products are sold to a purchaser who is
licensed by a state or political subdivision to resell this property only within the state of
ultimate destination, the sale is made in that state.
(e) Sales made by or through a corporation that is qualified as a domestic
international sales corporation under section 992 of the Internal Revenue Code are not
considered to have been made within this state.
(f) Sales, rents, royalties, and other income in connection with real property is
attributed to the state in which the property is located.
(g) Receipts from the lease or rental of tangible personal property, including finance
leases and true leases, must be attributed to this state if the property is located in this
state and to other states if the property is not located in this state. Receipts from the
lease or rental of moving property including, but not limited to, motor vehicles, rolling
stock, aircraft, vessels, or mobile equipment are included in the numerator of the receipts
factor to the extent that the property is used in this state. The extent of the use of moving
property is determined as follows:
(1) A motor vehicle is used wholly in the state in which it is registered.
(2) The extent that rolling stock is used in this state is determined by multiplying
the receipts from the lease or rental of the rolling stock by a fraction, the numerator of
which is the miles traveled within this state by the leased or rented rolling stock and the
denominator of which is the total miles traveled by the leased or rented rolling stock.
(3) The extent that an aircraft is used in this state is determined by multiplying the
receipts from the lease or rental of the aircraft by a fraction, the numerator of which is
the number of landings of the aircraft in this state and the denominator of which is the
total number of landings of the aircraft.
(4) The extent that a vessel, mobile equipment, or other mobile property is used in
the state is determined by multiplying the receipts from the lease or rental of the property
by a fraction, the numerator of which is the number of days during the taxable year the
property was in this state and the denominator of which is the total days in the taxable year.
(h) Royalties and other income not described in paragraph (a), clause (6), received
for the use of or for the privilege of using intangible property, including patents,
know-how, formulas, designs, processes, patterns, copyrights, trade names, service names,
franchises, licenses, contracts, customer lists, or similar items, must be attributed to the
state in which the property is used by the purchaser. If the property is used in more
than one state, the royalties or other income must be apportioned to this state pro rata
according to the portion of use in this state. If the portion of use in this state cannot be
determined, the royalties or other income must be excluded from both the numerator
and the denominator. Intangible property is used in this state if the purchaser uses the
intangible property or the rights therein in the regular course of its business operations in
this state, regardless of the location of the purchaser's customers.
(i) Sales of intangible property are made within the state in which the property is
used by the purchaser. If the property is used in more than one state, the sales must be
apportioned to this state pro rata according to the portion of use in this state. If the
portion of use in this state cannot be determined, the sale must be excluded from both the
numerator and the denominator of the sales factor. Intangible property is used in this
state if the purchaser used the intangible property in the regular course of its business
operations in this state.
(j) Receipts from the performance of services must be attributed to the state where
the services are received. For the purposes of this section, receipts from the performance
of services provided to a corporation, partnership, or trust may only be attributed to a state
where it has a fixed place of doing business. If the state where the services are received is
not readily determinable or is a state where the corporation, partnership, or trust receiving
the service does not have a fixed place of doing business, the services shall be deemed
to be received at the location of the office of the customer from which the services were
ordered in the regular course of the customer's trade or business. If the ordering office
cannot be determined, the services shall be deemed to be received at the office of the
customer to which the services are billed.
new text begin
(k) For the purposes of this subdivision and subdivision 6, paragraph (l), receipts
from management, distribution, or administrative services performed by a corporation
or trust for a fund of a corporation or trust regulated under United States Code, title 15,
sections 80a-1 through 80a-64, must be attributed to the state where the shareholder of
the fund resides. Under this paragraph, receipts for services attributed to shareholders are
determined on the basis of the ratio of: (1) the average of the outstanding shares in the
fund owned by shareholders residing within Minnesota at the beginning and end of each
year; and (2) the average of the total number of outstanding shares in the fund at the
beginning and end of each year. Residence of the shareholder, in the case of an individual,
is determined by the mailing address furnished by the shareholder to the fund. Residence
of the shareholder, when the shares are held by an insurance company as a depositor for
the insurance company policyholders, is the mailing address of the policyholders. In
the case of an insurance company holding the shares as a depositor for the insurance
company policyholders, if the mailing address of the policyholders cannot be determined
by the taxpayer, the receipts must be excluded from both the numerator and denominator.
Residence of other shareholders is the mailing address of the shareholder.
new text end
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective for taxable years beginning after
December 31, 2009.
new text end
Sec. 14.
Minnesota Statutes 2006, section 290.191, subdivision 6, is amended to read:
Subd. 6.
Determination of receipts factor for financial institutions.
(a) For
purposes of this section, the rules in this subdivision and deleted text begin subdivisiondeleted text end new text begin subdivisions 5,
paragraph (k), and new text end 8 apply in determining the receipts factor for financial institutions.
(b) "Receipts" for this purpose means gross income, including net taxable gain on
disposition of assets, including securities and money market instruments, when derived
from transactions and activities in the regular course of the taxpayer's trade or business.
(c) "Money market instruments" means federal funds sold and securities purchased
under agreements to resell, commercial paper, banker's acceptances, and purchased
certificates of deposit and similar instruments to the extent that the instruments are
reflected as assets under generally accepted accounting principles.
(d) "Securities" means United States Treasury securities, obligations of United States
government agencies and corporations, obligations of state and political subdivisions,
corporate stock, bonds, and other securities, participations in securities backed by
mortgages held by United States or state government agencies, loan-backed securities and
similar investments to the extent the investments are reflected as assets under generally
accepted accounting principles.
(e) Receipts from the lease or rental of real or tangible personal property, including
both finance leases and true leases, must be attributed to this state if the property is
located in this state. Receipts from the lease or rental of tangible personal property that is
characteristically moving property, including, but not limited to, motor vehicles, rolling
stock, aircraft, vessels, or mobile equipment are included in the numerator of the receipts
factor to the extent that the property is used in this state. The extent of the use of moving
property is determined as follows:
(1) A motor vehicle is used wholly in the state in which it is registered.
(2) The extent that rolling stock is used in this state is determined by multiplying
the receipts from the lease or rental of the rolling stock by a fraction, the numerator of
which is the miles traveled within this state by the leased or rented rolling stock and the
denominator of which is the total miles traveled by the leased or rented rolling stock.
(3) The extent that an aircraft is used in this state is determined by multiplying the
receipts from the lease or rental of the aircraft by a fraction, the numerator of which is
the number of landings of the aircraft in this state and the denominator of which is the
total number of landings of the aircraft.
(4) The extent that a vessel, mobile equipment, or other mobile property is used in
the state is determined by multiplying the receipts from the lease or rental of property by a
fraction, the numerator of which is the number of days during the taxable year the property
was in this state and the denominator of which is the total days in the taxable year.
(f) Interest income and other receipts from assets in the nature of loans that are
secured primarily by real estate or tangible personal property must be attributed to this state
if the security property is located in this state under the principles stated in paragraph (e).
(g) Interest income and other receipts from consumer loans not secured by real or
tangible personal property that are made to residents of this state, whether at a place
of business, by traveling loan officer, by mail, by telephone or other electronic means,
must be attributed to this state.
(h) Interest income and other receipts from commercial loans and installment
obligations that are unsecured by real or tangible personal property or secured by
intangible property must be attributed to this state if the proceeds of the loan are to be
applied in this state. If it cannot be determined where the funds are to be applied, the
income and receipts are attributed to the state in which the office of the borrower from
which the application would be made in the regular course of business is located. If this
cannot be determined, the transaction is disregarded in the apportionment formula.
(i) Interest income and other receipts from a participating financial institution's
portion of participation and syndication loans must be attributed under paragraphs (e) to
(h). A participation loan is an arrangement in which a lender makes a loan to a borrower
and then sells, assigns, or otherwise transfers all or a part of the loan to a purchasing
financial institution. A syndication loan is a loan transaction involving multiple financial
institutions in which all the lenders are named as parties to the loan documentation, are
known to the borrower, and have privity of contract with the borrower.
(j) Interest income and other receipts including service charges from financial
institution credit card and travel and entertainment credit card receivables and credit
card holders' fees must be attributed to the state to which the card charges and fees are
regularly billed.
(k) Merchant discount income derived from financial institution credit card holder
transactions with a merchant must be attributed to the state in which the merchant is
located. In the case of merchants located within and outside the state, only receipts from
merchant discounts attributable to sales made from locations within the state are attributed
to this state. It is presumed, subject to rebuttal, that the location of a merchant is the
address shown on the invoice submitted by the merchant to the taxpayer.
(l) Receipts from the performance of fiduciary and other services must be attributed
to the state in which the services are received. For the purposes of this section, services
provided to a corporation, partnership, or trust must be attributed to a state where it has a
fixed place of doing business. If the state where the services are received is not readily
determinable or is a state where the corporation, partnership, or trust does not have a fixed
place of doing business, the services shall be deemed to be received at the location of the
office of the customer from which the services were ordered in the regular course of the
customer's trade or business. If the ordering office cannot be determined, the services shall
be deemed to be received at the office of the customer to which the services are billed.
(m) Receipts from the issuance of travelers checks and money orders must be
attributed to the state in which the checks and money orders are purchased.
(n) Receipts from investments of a financial institution in securities and from money
market instruments must be apportioned to this state based on the ratio that total deposits
from this state, its residents, including any business with an office or other place of
business in this state, its political subdivisions, agencies, and instrumentalities bear to the
total deposits from all states, their residents, their political subdivisions, agencies, and
instrumentalities. In the case of an unregulated financial institution subject to this section,
these receipts are apportioned to this state based on the ratio that its gross business income,
excluding such receipts, earned from sources within this state bears to gross business
income, excluding such receipts, earned from sources within all states. For purposes
of this subdivision, deposits made by this state, its residents, its political subdivisions,
agencies, and instrumentalities must be attributed to this state, whether or not the deposits
are accepted or maintained by the taxpayer at locations within this state.
(o) A financial institution's interest in property described in section 290.015,
subdivision 3, paragraph (b), is included in the receipts factor in the same manner as assets
in the nature of securities or money market instruments are included in paragraph (n).
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective for taxable years beginning after
December 31, 2009.
new text end
Sec. 15.
Minnesota Statutes 2006, section 291.03, subdivision 1, is amended to read:
Subdivision 1.
Tax amount.
new text begin (a) new text end The tax imposed shall be an amount equal to the
proportion of the maximum credit for state death taxes computed under section 2011 of
the Internal Revenue Code, deleted text begin as amended through December 31, 2000,deleted text end but using Minnesota
adjusted taxable estate instead of federal adjusted taxable estate, as the Minnesota gross
estate bears to the value of the federal gross estate. deleted text begin The tax determined under this
paragraph shall not be greater than the amount computed by applying the rates and
brackets under section 2001(c) of the Internal Revenue Code to the Minnesota adjusted
gross estate and subtracting the federal credit allowed under section 2010 of the Internal
Revenue Code of 1986, as amended through December 31, 2000. For the purposes of
this section, expenses which are deducted for federal income tax purposes under section
642(g) of the Internal Revenue Code as amended through December 31, 2002, are not
allowable in computing the tax under this chapter.
deleted text end
new text begin
(b) The tax determined under this subdivision must not be greater than the sum of
the following amounts multiplied by a fraction, the numerator of which is the Minnesota
gross estate and the denominator of which is the federal gross estate:
new text end
new text begin
(1) the rates and brackets under section 2001(c) of the Internal Revenue Code
multiplied by the sum of:
new text end
new text begin
(A) the taxable estate, as defined under section 2051 of the Internal Revenue Code;
plus
new text end
new text begin
(B) adjusted taxable gifts, as defined in section 2001(b) of the Internal Revenue
Code; less
new text end
new text begin
(2) the amount of tax allowed under section 2001(b)(2) of the Internal Revenue
Code; and less
new text end
new text begin
(3) the federal credit allowed under section 2010 of the Internal Revenue Code.
new text end
new text begin
(c) For purposes of this subdivision, "Internal Revenue Code" means the Internal
Revenue Code of 1986, as amended through December 31, 2000.
new text end
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective for estates of decedents dying after
December 31, 2005.
new text end
Sec. 16.
Minnesota Statutes 2006, section 291.03, is amended by adding a subdivision
to read:
new text begin Subd. 1a. new text end
new text begin Expenses disallowed. new text end
new text begin
For the purposes of this section, expenses which
are deducted for federal income tax purposes under section 642(g) of the Internal Revenue
Code are not allowable in computing the tax under this chapter.
new text end
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective for estates of decedents dying after
December 31, 2005.
new text end
Sec. 17.
Laws 2008, chapter 154, article 3, section 3, the effective date, is amended to
read:
EFFECTIVE DATE.
This section is effective for tax years beginning after
December 31, 2007new text begin , except that clause (11) and the phrase "to the extent included in
federal taxable income," added in clause (12) are effective retroactively for taxable years
beginning after December 31, 2004new text end .
ARTICLE 5
LOCAL DEVELOPMENT
Section 1.
new text begin
[116J.8732] SEED CAPITAL INVESTMENT CREDIT;
COMMISSIONER'S RESPONSIBILITIES.
new text end
new text begin Subdivision 1. new text end
new text begin Scope. new text end
new text begin
This section establishes rules that businesses must satisfy to
qualify for the seed capital investment credit under section 290.06, subdivision 34, and the
commissioner's responsibility for certifying the qualifying businesses.
new text end
new text begin Subd. 2. new text end
new text begin Definitions. new text end
new text begin
(a) For purposes of this section and section 290.06,
subdivision 34, the following terms have the meanings given.
new text end
new text begin
(b) "Border city" means a city qualifying to designate a border city development
zone under section 469.1731.
new text end
new text begin
(c) "Pass-through entity" means a corporation that for the applicable tax year is
treated as an S corporation or a general partnership, limited partnership, limited liability
partnership, trust, or limited liability company and which for the applicable taxable year is
not taxed as a corporation under chapter 290.
new text end
new text begin
(d) "Primary sector business" means a qualified business that through the
employment of knowledge or labor adds value to a product, process, or service and
increases revenues to a Minnesota business generated by sales of products or services to
customers outside of the state or increases revenues to a qualified business the customers
of which previously were unable to acquire, or had limited availability of the product or
service from a Minnesota provider.
new text end
new text begin
(e) "Qualified business" means a business certified by the commissioner as meeting
the requirements of subdivision 3.
new text end
new text begin Subd. 3. new text end
new text begin Qualified business. new text end
new text begin
(a) The commissioner shall certify whether a business
that has requested to become a qualified business meets the requirements of paragraph (b).
new text end
new text begin
(b) For purposes of this section, a qualified business must be a primary sector
business, other than a real estate investment trust, that:
new text end
new text begin
(1) is incorporated or its satellite operation is incorporated as a for-profit corporation
or is a partnership, limited partnership, limited liability company, limited liability
partnership, or joint venture;
new text end
new text begin
(2) is in compliance with the requirements for filings with the commissioner of
commerce under the securities laws of this state;
new text end
new text begin
(3) has Minnesota residents as a majority of its employees in its principal office or
the satellite operation, which is located in a border city;
new text end
new text begin
(4) has its principal office in a border city and has the majority of its business
activity performed in a border city, except sales activity, or has a significant operation in
a border city that has or is projected to have more than ten employees or $150,000 of
sales annually; and
new text end
new text begin
(5) relies on innovation, research, or the development of new products and processes
in its plans for growth and profitability.
new text end
new text begin
(c) The commissioner shall establish the necessary forms and procedures for
certifying qualified businesses.
new text end
new text begin
(d) A qualified business may apply to the commissioner for a recertification. Only
one recertification is available to a qualified business. The application for recertification
must be filed with the commissioner within 90 days before the original certification
expiration date. The recertification issued by the director must comply with the provisions
of paragraph (e).
new text end
new text begin
(e) The commissioner shall issue a certification letter to a business the commissioner
determines is a qualified business. The certification letter must include:
new text end
new text begin
(1) the certification effective date; and
new text end
new text begin
(2) the certification expiration date, which may not be more than four years from the
certification effective date.
new text end
new text begin Subd. 4. new text end
new text begin Seed capital investment credit reporting. new text end
new text begin
Within 30 days after the date
that an investment in a qualified business is purchased, the qualified business shall file with
the commissioner and the commissioner of revenue and provide to the investor completed
forms prescribed by the commissioner of revenue that show as to each investment in the
qualified business the following:
new text end
new text begin
(1) the name, address, and Social Security number of the taxpayer who made the
investment; and
new text end
new text begin
(2) the dollar amount paid for the investment by the taxpayer.
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
Sec. 2.
Minnesota Statutes 2006, section 116J.993, subdivision 3, is amended to read:
Subd. 3.
Business subsidy.
"Business subsidy" or "subsidy" means a state or local
government agency grant, contribution of personal property, real property, infrastructure,
the principal amount of a loan at rates below those commercially available to the recipient,
any reduction or deferral of any tax or any fee, any guarantee of any payment under any
loan, lease, or other obligation, or any preferential use of government facilities given
to a business.
The following forms of financial assistance are not a business subsidy:
(1) a business subsidy of less than deleted text begin $25,000deleted text end new text begin $150,000new text end ;
(2) assistance that is generally available to all businesses or to a general class of
similar businesses, such as a line of business, size, location, or similar general criteria;
(3) public improvements to buildings or lands owned by the state or local
government that serve a public purpose and do not principally benefit a single business or
defined group of businesses at the time the improvements are made;
(4) redevelopment property polluted by contaminants as defined in section 116J.552,
subdivision 3;
(5) assistance provided for the sole purpose of renovating old or decaying building
stock or bringing it up to code and assistance provided for designated historic preservation
districts, provided that the assistance is equal to or less than 50 percent of the total cost;
(6) assistance to provide job readiness and training services if the sole purpose of
the assistance is to provide those services;
(7) assistance for housing;
(8) assistance for pollution control or abatement, including assistance for a tax
increment financing hazardous substance subdistrict as defined under section 469.174,
subdivision 23;
(9) assistance for energy conservation;
(10) tax reductions resulting from conformity with federal tax law;
(11) workers' compensation and unemployment insurance;
(12) benefits derived from regulation;
(13) indirect benefits derived from assistance to educational institutions;
(14) funds from bonds allocated under chapter 474A, bonds issued to refund
outstanding bonds, and bonds issued for the benefit of an organization described in section
501(c)(3) of the Internal Revenue Code of 1986, as amended through December 31, 1999;
(15) assistance for a collaboration between a Minnesota higher education institution
and a business;
(16) assistance for a tax increment financing soils condition district as defined under
section 469.174, subdivision 19;
(17) redevelopment when the recipient's investment in the purchase of the site and in
site preparation is 70 percent or more of the assessor's current year's estimated market
value;
(18) general changes in tax increment financing law and other general tax law
changes of a principally technical nature;
(19) federal assistance until the assistance has been repaid to, and reinvested by, the
state or local government agency;
(20) funds from dock and wharf bonds issued by a seaway port authority;
(21) business loans and loan guarantees of deleted text begin $75,000deleted text end new text begin $150,000 new text end or less;
(22) federal loan funds provided through the United States Department of
Commerce, Economic Development Administration; and
(23) property tax abatements granted under section 469.1813 to property that is
subject to valuation under Minnesota Rules, chapter 8100.
Sec. 3.
Minnesota Statutes 2006, section 116J.994, subdivision 2, is amended to read:
Subd. 2.
Developing a set of criteria.
A business subsidy may not be granted until
the grantor has adopted criteria after a public hearing for awarding business subsidies
that comply with this section. The criteria may not be adopted on a case-by-case basis.
The criteria must set specific minimum requirements that recipients must meet in order
to be eligible to receive business subsidies. The criteria must include a specific wage
floor for the wages to be paid for the jobs created. The wage floor may be stated as a
specific dollar amount or may be stated as a formula that will generate a specific dollar
amount. A grantor may deviate from its criteria by documenting in writing the reason
for the deviation and attaching a copy of the document to its next annual report to the
department. The commissioner of employment and economic development may assist
local government agencies in developing criteria. A copy of the criteria must be submitted
to the Department of Employment and Economic Development along with the first annual
report following the enactment of this section or with the first annual report after it has
adopted criteria, whichever is earlier.new text begin Notwithstanding section 116J.993, subdivision 3,
clauses (1) and (21), for the purpose of this subdivision, "business subsidies" as defined
under section 116J.993 includes the following forms of financial assistance:
new text end
new text begin
(1) a business subsidy of $25,000 or more; and
new text end
new text begin
(2) business loans and guarantees of $75,000 or more.
new text end
Sec. 4.
Minnesota Statutes 2006, section 116J.994, subdivision 5, is amended to read:
Subd. 5.
Public notice and hearing.
(a) Before granting a business subsidy that
exceeds $500,000 for a state government grantor and deleted text begin $100,000deleted text end new text begin $150,000 new text end for a local
government grantor, the grantor must provide public notice and a hearing on the subsidy.
A public hearing and notice under this subdivision is not required if a hearing and notice
on the subsidy is otherwise required by law.
(b) Public notice of a proposed business subsidy under this subdivision by a state
government grantor, other than the Iron Range Resources and Rehabilitation Board, must
be published in the State Register. Public notice of a proposed business subsidy under this
subdivision by a local government grantor or the Iron Range Resources and Rehabilitation
Board must be published in a local newspaper of general circulation. The public notice
must identify the location at which information about the business subsidy, including a
summary of the terms of the subsidy, is available. Published notice should be sufficiently
conspicuous in size and placement to distinguish the notice from the surrounding text.
The grantor must make the information available in printed paper copies and, if possible,
on the Internet. The government agency must provide at least a ten-day notice for the
public hearing.
(c) The public notice must include the date, time, and place of the hearing.
(d) The public hearing by a state government grantor other than the Iron Range
Resources and Rehabilitation Board must be held in St. Paul.
(e) If more than one nonstate grantor provides a business subsidy to the same
recipient, the nonstate grantors may designate one nonstate grantor to hold a single
public hearing regarding the business subsidies provided by all nonstate grantors. For
the purposes of this paragraph, "nonstate grantor" includes the iron range resources and
rehabilitation board.
(f) The public notice of any public meeting about a business subsidy agreement,
including those required by this subdivision and by subdivision 4, must include notice that
a person with residence in or the owner of taxable property in the granting jurisdiction
may file a written complaint with the grantor if the grantor fails to comply with sections
116J.993 to 116J.995, and that no action may be filed against the grantor for the failure to
comply unless a written complaint is filed.
Sec. 5.
Minnesota Statutes 2006, section 116J.994, subdivision 8, is amended to read:
Subd. 8.
Reports by grantors.
(a) Local government agencies of a local
government with a population of more than 2,500 and state government agencies,
regardless of whether or not they have awarded any business subsidies, must file a report
by April 1 of each year with the commissioner. Local government agencies of a local
government with a population of 2,500 or less are exempt from filing this report if they
have not awarded a business subsidy in the past five years. The report must include a list
of recipients that did not complete the recipient report required under subdivision 7 and a
list of recipients that have not met their job and wage goals within two years and the steps
being taken to bring them into compliance or to recoup the subsidy.
If the commissioner has not received the report by April 1 from an entity required
to report, the commissioner shall issue a warning to the government agency. If the
commissioner has still not received the report by June 1 of that same year from an entity
required to report, then that government agency may not award any business subsidies
until the report has been filed.
(b) new text begin The report required under paragraph (a) is also required for financial assistance
of $25,000 and greater that is excluded from the definition of "business subsidy" by
section 116J.993, subdivision 3, clause (1), and of $75,000 and greater that is excluded
from the definition of "business subsidy" by section 116J.993, subdivision 3, clause (21).
The report for the financial assistance under this paragraph must be completed within one
year of the granting of the financial assistance. The report required for financial assistance
under this paragraph must include:
new text end
new text begin
(1) the name of the recipient, its organizational structure, its address and contact
information, and its industry sector;
new text end
new text begin
(2) a description of the amount and use of the financial assistance and the total
project budget, including a list of all financial assistance by all grantors for the project and
the private sources of financial assistance;
new text end
new text begin
(3) the public purpose of the financial assistance, the job goals associated with both
the financial assistance and the total project in which the financial assistance is included,
the hourly wage of each job created, and the cost of health insurance provided by the
employer;
new text end
new text begin
(4) the date the project will be completed;
new text end
new text begin
(5) the name and address of the parent corporation of the recipient, if any; and
new text end
new text begin
(6) any other information the commissioner may request.
new text end
new text begin
(c) Within one year of completing a report under paragraph (b), the local government
agency must report to the commissioner on progress in achieving the purposes and goals
under clause (3).
new text end
new text begin (d) new text end The commissioner of employment and economic development must provide
information on reporting requirements to state and local government agencies.
Sec. 6.
Minnesota Statutes 2007 Supplement, section 268.19, subdivision 1, as
amended by Laws 2008, chapter 315, section 16, is amended to read:
Subdivision 1.
Use of data.
(a) Except as provided by this section, data gathered
from any person under the administration of the Minnesota Unemployment Insurance Law
are private data on individuals or nonpublic data not on individuals as defined in section
13.02, subdivisions 9 and 12, and may not be disclosed except according to a district court
order or section 13.05. A subpoena is not considered a district court order. These data
may be disseminated to and used by the following agencies without the consent of the
subject of the data:
(1) state and federal agencies specifically authorized access to the data by state
or federal law;
(2) any agency of any other state or any federal agency charged with the
administration of an unemployment insurance program;
(3) any agency responsible for the maintenance of a system of public employment
offices for the purpose of assisting individuals in obtaining employment;
(4) the public authority responsible for child support in Minnesota or any other
state in accordance with section 256.978;
(5) human rights agencies within Minnesota that have enforcement powers;
(6) the Department of Revenue to the extent necessary for its duties under Minnesota
laws;
(7) public and private agencies responsible for administering publicly financed
assistance programs for the purpose of monitoring the eligibility of the program's
recipients;
(8) the Department of Labor and Industry and the Division of Insurance Fraud
Prevention in the Department of Commerce for uses consistent with the administration of
their duties under Minnesota law;
(9) local and state welfare agencies for monitoring the eligibility of the data subject
for assistance programs, or for any employment or training program administered by those
agencies, whether alone, in combination with another welfare agency, or in conjunction
with the department or to monitor and evaluate the statewide Minnesota family investment
program by providing data on recipients and former recipients of food stamps or food
support, cash assistance under chapter 256, 256D, 256J, or 256K, child care assistance
under chapter 119B, or medical programs under chapter 256B, 256D, or 256L;
(10) local and state welfare agencies for the purpose of identifying employment,
wages, and other information to assist in the collection of an overpayment debt in an
assistance program;
(11) local, state, and federal law enforcement agencies for the purpose of ascertaining
the last known address and employment location of an individual who is the subject of
a criminal investigation;
(12) the United States Citizenship and Immigration Services has access to data on
specific individuals and specific employers provided the specific individual or specific
employer is the subject of an investigation by that agency;
(13) the Department of Health for the purposes of epidemiologic investigations; deleted text begin anddeleted text end
(14) the Department of Corrections for the purpose of preconfinement and
postconfinement employment tracking of committed offenders for the purpose of case
planningdeleted text begin .deleted text end new text begin ; andnew text end
new text begin
(15) the state auditor to the extent necessary to conduct audits of job opportunity
building zones as required under section 469.3201.
new text end
(b) Data on individuals and employers that are collected, maintained, or used by
the department in an investigation under section 268.182 are confidential as to data
on individuals and protected nonpublic data not on individuals as defined in section
13.02, subdivisions 3 and 13, and must not be disclosed except under statute or district
court order or to a party named in a criminal proceeding, administrative or judicial, for
preparation of a defense.
(c) Data gathered by the department in the administration of the Minnesota
unemployment insurance program must not be made the subject or the basis for any
suit in any civil proceedings, administrative or judicial, unless the action is initiated by
the department.
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective the day following final enactment.
new text end
Sec. 7.
Minnesota Statutes 2006, section 270B.15, is amended to read:
270B.15 DISCLOSURE TO LEGISLATIVE AUDITORnew text begin AND STATE
AUDITORnew text end .
new text begin (a) new text end Returns and return information must be disclosed to the legislative auditor to the
extent necessary for the legislative auditor to carry out sections 3.97 to 3.979.
new text begin
(b) The commissioner must disclose return information, including the report
required under section 289A.12, subdivision 15, to the state auditor to the extent necessary
to conduct audits of job opportunity building zones as required under section 469.3201.
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
Sec. 8.
Minnesota Statutes 2006, section 289A.12, is amended by adding a subdivision
to read:
new text begin Subd. 15. new text end
new text begin
Report of job opportunity zone benefits; penalty for failure to file
report.
new text end
new text begin
(a) By October 15 of each year, every qualified business, as defined under section
469.310, subdivision 11, must file with the commissioner, on a form prescribed by the
commissioner, a report listing the tax benefits under section 469.315 received by the
business for the previous year.
new text end
new text begin
(b) The commissioner shall send notice to each business that fails to timely submit
the report required under paragraph (a). The notice shall demand that the business submit
the report within 60 days. Where good cause exists, the commissioner may extend
the period for submitting the report as long as a request for extension is filed by the
business before the expiration of the 60-day period. The commissioner shall notify the
commissioner of the Department of Employment and Economic Development and the
appropriate job opportunity subzone administrator whenever notice is sent to a business
under this paragraph.
new text end
new text begin
(c) A business that fails to submit the report as required under paragraph (b) is no
longer a qualified business under section 469.310, subdivision 11, and is subject to the
repayment provisions of section 469.319.
new text end
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective beginning with reports required to be
filed October 15, 2008.
new text end
Sec. 9.
Minnesota Statutes 2006, section 290.06, is amended by adding a subdivision
to read:
new text begin Subd. 35. new text end
new text begin Seed capital investment credit. new text end
new text begin
(a) An individual, estate, or trust is
allowed a credit against the tax imposed by this chapter for investments in a qualifying
business certified under section 116J.8732, subdivision 3. The credit equals 45 percent
of the amount invested by the taxpayer in qualified businesses during the taxable year.
The credit must not exceed $112,500 for each taxable year.
new text end
new text begin
(b) A pass-through entity that invests in a qualified business must be considered to
be the taxpayer for purposes of the investment limitations in this subdivision and the
amount of the credit allowed with respect to a pass-through entity's investment in a
qualified business must be determined at the pass-through entity level. The amount of the
total credit determined at the pass-through entity level must be allowed to the members in
proportion to their respective interests in the pass-through entity.
new text end
new text begin
(c) An investment made in a qualified business from the assets of a retirement
plan is deemed to be the retirement plan participant's investment for the purpose of this
subdivision if a separate account is maintained for the plan participant and the participant
directly controls where the account assets are invested.
new text end
new text begin
(d) The investment must be made on or after the certification effective date and
must be at risk in the business to be eligible for the tax credit under this subdivision.
An investment for which a credit is received under this subdivision must remain in the
qualified business for at least three years. Investments placed in escrow do not qualify
for the credit.
new text end
new text begin
(e) The entire amount of an investment for which a credit is claimed under this
subdivision must be expended by the qualified business for plant, equipment, research and
development, marketing and sales activity, or working capital for the qualified business.
new text end
new text begin
(f) A taxpayer who owns a controlling interest in the qualified business or who
receives more than 50 percent of the taxpayer's gross annual income from the qualified
business is not entitled to a credit under this subdivision. A member of the immediate
family of a taxpayer disqualified by this subdivision is not entitled to the credit under this
subdivision. For purposes of this subdivision, "immediate family" means the taxpayer's
spouse, parent, sibling, or child or the spouse of any such person.
new text end
new text begin
(g) The commissioner may disallow any credit otherwise allowed under this
subdivision if any representation by a business in the application for certification as a
qualified business proves to be false or if the taxpayer or qualified business fails to satisfy
any conditions under this subdivision or section 116J.8732 or any conditions consistent
with those requirements otherwise determined by the commissioner. The commissioner
has four years after the due date of the return or after the return was filed, whichever
period expires later, to audit the credit and assess additional tax that may be found due
to failure to comply with the provisions of this subdivision and section 116J.8732. The
amount of any credit disallowed by the commissioner that reduced the taxpayer's income
tax liability for any or all applicable tax years, plus penalty and interest as provided under
chapter 289A, must be paid by the taxpayer.
new text end
new text begin
(h) If the amount of the credit under this subdivision for any taxable year exceeds
the limitations under paragraph (a), the excess is a credit carryover to each of the four
succeeding taxable years. The entire amount of the excess unused credit for the taxable
year must be carried first to the earliest of the taxable years to which the credit may be
carried. The amount of the unused credit that may be added under this paragraph may
not exceed the taxpayer's liability for tax, less the credit for the taxable year. Each year,
the aggregate amount of seed capital investment tax credit allowed for investments under
this subdivision is limited to allocations that a border city has available for tax reductions
in border city enterprise zones under section 469.169. The city must annually notify the
commissioner of the amount of its section 469.169 allocations that it wishes to use to
provide credits under this paragraph and the commissioner, after verifying the available
allocation, shall implement the limit under this paragraph. If investments in qualified
businesses reported to the commissioner exceed the limit on credits for investments
imposed by this subdivision, the credit must be allowed to taxpayers in the chronological
order of their investments in qualified businesses as determined from the forms filed
under section 116J.8732.
new text end
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective July 1, 2008, for taxable years
beginning after December 31, 2007, and only applies to investments made after the
qualified business has been certified by the commissioner of employment and economic
development.
new text end
Sec. 10.
Minnesota Statutes 2006, section 383E.20, is amended to read:
383E.20 BONDING FOR COUNTY LIBRARY BUILDINGS.
The Anoka County Board may, by resolution adopted by a four-sevenths vote,
issue and sell general obligation bonds of the county in the manner provided in chapter
475 to acquire, better, and construct county library buildings. The bonds shall not be
subject to the requirements of sections 475.57 to 475.59. The maturity years and amounts
and interest rates of each series of bonds shall be fixed so that the maximum amount of
principal and interest to become due in any year, on the bonds of that series and of all
outstanding series issued by or for the purposes of libraries, shall not exceed an amount
equal to deleted text begin the lesser of (i)deleted text end .01 percent of the taxable market value of all taxable property in
the county, excluding any taxable property taxed by any city for the support of any free
public librarydeleted text begin , or (ii) $1,250,000deleted text end . When the tax levy authorized in this section is collected,
it shall be appropriated and credited to a debt service fund for the bonds. The tax levy for
the debt service fund under section 475.61 shall be reduced by the amount available or
reasonably anticipated to be available in the fund to make payments otherwise payable
from the levy pursuant to section 475.61.
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective the day after the governing body
of Anoka County and its chief clerical officer timely complete their compliance with
Minnesota Statutes, section 645.021, subdivisions 2 and 3.
new text end
Sec. 11.
Minnesota Statutes 2006, section 469.033, subdivision 6, is amended to read:
Subd. 6.
Operation area as taxing district, special tax.
All of the territory
included within the area of operation of any authority shall constitute a taxing district for
the purpose of levying and collecting special benefit taxes as provided in this subdivision.
All of the taxable property, both real and personal, within that taxing district shall be
deemed to be benefited by projects to the extent of the special taxes levied under this
subdivision. Subject to the consent by resolution of the governing body of the city in and
for which it was created, an authority may levy a tax upon all taxable property within that
taxing district. The tax shall be extended, spread, and included with and as a part of
the general taxes for state, county, and municipal purposes by the county auditor, to be
collected and enforced therewith, together with the penalty, interest, and costs. As the tax,
including any penalties, interest, and costs, is collected by the county treasurer it shall be
accumulated and kept in a separate fund to be known as the "housing and redevelopment
project fund." The money in the fund shall be turned over to the authority at the same time
and in the same manner that the tax collections for the city are turned over to the city, and
shall be expended only for the purposes of sections 469.001 to 469.047. It shall be paid
out upon vouchers signed by the chair of the authority or an authorized representative.
The amount of the levy shall be an amount approved by the governing body of the city, but
shall not exceed deleted text begin 0.0144deleted text end new text begin 0.0185new text end percent of taxable market value deleted text begin for the current levy year,
notwithstanding section 273.032deleted text end . The authority shall each year formulate and file a budget
in accordance with the budget procedure of the city in the same manner as required of
executive departments of the city or, if no budgets are required to be filed, by August 1.
The amount of the tax levy for the following year shall be based on that budget.
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective for property taxes payable in 2009.
new text end
Sec. 12.
Minnesota Statutes 2006, section 469.177, is amended by adding a subdivision
to read:
new text begin Subd. 13. new text end
new text begin Correction of errors. new text end
new text begin
(a) If the county auditor, as a result of an error
or mistake, decertifies a district, fails to certify a district, incorrectly certifies a district,
or otherwise fails to correctly compute the amount of increment, the county auditor may
undertake one or more of the following actions to correct the error or mistake:
new text end
new text begin
(1) certify the original tax capacity of the affected parcels at the appropriate value
for a later taxes payable year and extend the duration of the district, in whole or in part,
to compensate;
new text end
new text begin
(2) recertify the affected parcels and extend duration of the district, in whole or in
part, to compensate;
new text end
new text begin
(3) recertify or correct the original tax capacity rate for the district;
new text end
new text begin
(4) adjust the tax rates of one or more of the taxing districts imposing taxes in the tax
increment financing districts for one or more years to recoup amounts advanced by the
county or other entity to the authority to replace the reduced increments; or
new text end
new text begin
(5) take other appropriate action so that the amount of increment compensates for or
offsets the error or mistake and correctly reflects application of the law.
new text end
new text begin
(b) At least 30 days before exercising authority under this subdivision, the county
auditor must notify the authority and the municipality, in writing, of the intent to do so,
including supporting information to describe reason for the proposed action. The authority
and municipality may waive the time requirement of this paragraph. If the city or the
authority objects before expiration of the 30-day period, the matter must be submitted to
the commissioner of revenue for a decision or resolution of the dispute. The commissioner
of revenue shall consult with the Office of the State Auditor before making a decision.
new text end
new text begin
(c) The county auditor must notify the commissioner of revenue and the Office
of the State Auditor of corrections made under this subdivision. The notification must
be made in the form and manner and at the time prescribed by the commissioner. The
commissioner shall incorporate the corrections in the tax increment financing district tax
list supplement, as appropriate.
new text end
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective the day following final enactment
and applies to all tax increment financing districts, regardless of when the request for
certification was made or when the error occurred.
new text end
Sec. 13.
Minnesota Statutes 2006, section 469.319, is amended to read:
469.319 REPAYMENT OF TAX BENEFITSnew text begin BY BUSINESSES THAT NO
LONGER OPERATE IN A ZONEnew text end .
Subdivision 1.
Repayment obligation.
A business must repay the deleted text begin amount of thedeleted text end
total tax deleted text begin reductiondeleted text end new text begin benefits new text end listed in section 469.315 deleted text begin and any refund under section 469.318
in excess of tax liability,deleted text end received during the two years immediately before it new text begin (1) new text end ceased to
deleted text begin operate in the zone, if the business:
deleted text end
deleted text begin
(1) received tax reductions authorized by section 469.315; and
deleted text end
deleted text begin
(2)(i) did not meet the goals specified in an agreement entered into with the applicant
that states any obligation the qualified business must fulfill in order to be eligible for tax
benefits. The commissioner of employment and economic development may extend for
up to one year the period for meeting any goals provided in an agreement. The applicant
may extend the period for meeting other goals by documenting in writing the reason
for the extension and attaching a copy of the document to its next annual report to the
commissioner of employment and economic development; or
deleted text end
deleted text begin (ii) ceased to operate its facility located within the job opportunity building zonedeleted text end
new text begin perform a substantial level of activities described in the business subsidy agreement, new text end or
new text begin (2) new text end otherwise deleted text begin ceasesdeleted text end new text begin ceased new text end to be deleted text begin or is notdeleted text end a qualified businessnew text begin , other than those subject to
the provisions of section 469.3191new text end .
new text begin Subd. 1a. new text end
new text begin Repayment obligation of businesses not operating in zone. new text end
new text begin
Persons
that receive benefits without operating a business in a zone are subject to repayment
under this section if the business for which those benefits relate is subject to repayment
under this section. Such persons are deemed to have ceased performing in the zone on
the same day that the qualified business for which the benefits relate becomes subject to
repayment under subdivision 1.
new text end
Subd. 2.
Definitions.
(a) For purposes of this section, the following terms have
the meanings given.
(b) "Business" means any person deleted text begin whodeleted text end new text begin that new text end received tax benefits enumerated in
section 469.315.
(c) "Commissioner" means the commissioner of revenue.
new text begin
(d) "Persons that receive benefits without operating a business in a zone" means
persons that claim benefits under section 469.316, subdivision 2 or 4, as well as persons
that own property leased by a qualified business and are eligible for benefits under section
272.02, subdivision 64, or 297A.68, subdivision 37, paragraph (b).
new text end
Subd. 3.
Disposition of repayment.
The repayment must be paid to the state to
the extent it represents a state tax reduction and to the county to the extent it represents a
property tax reduction. Any amount repaid to the state must be deposited in the general
fund. Any amount repaid to the county for the property tax exemption must be distributed
to the deleted text begin local governmentsdeleted text end new text begin taxing authorities new text end with authority to levy taxes in the zone in the
same manner provided for distribution of payment of delinquent property taxes. Any
repayment of local sales taxes must be repaid to new text begin the commissioner for distribution to new text end the
city or county imposing the local sales tax.
Subd. 4.
Repayment procedures.
(a) For the repayment of taxes imposed under
chapter 290 or 297A or local taxes collected pursuant to section 297A.99, a business must
file an amended return with the commissioner of revenue and pay any taxes required
to be repaid within 30 days after deleted text begin ceasing to do business in the zonedeleted text end new text begin becoming subject
to repayment under this sectionnew text end . The amount required to be repaid is determined by
calculating the tax for the period or periods for which repayment is required without
regard to the exemptions and credits allowed under section 469.315.
(b) For the repayment of taxes imposed under chapter 297B, a business must pay any
taxes required to be repaid to the motor vehicle registrar, as agent for the commissioner
of revenue, within 30 days after deleted text begin ceasing to do business in the zonedeleted text end new text begin becoming subject
to repayment under this sectionnew text end .
(c) For the repayment of property taxes, the county auditor shall prepare a tax
statement for the business, applying the applicable tax extension rates for each payable
year and provide a copy to the businessnew text begin and to the taxpayer of recordnew text end . The business must
pay the taxes to the county treasurer within 30 days after receipt of the tax statement.
Thenew text begin business or thenew text end taxpayernew text begin of recordnew text end may appeal the valuation and determination of the
property tax to the Tax Court within 30 days after receipt of the tax statement.
(d) The provisions of chapters 270C and 289A relating to the commissioner's
authority to audit, assess, and collect the tax and to hear appeals are applicable to the
repayment required under paragraphs (a) and (b). The commissioner may impose civil
penalties as provided in chapter 289A, and the additional tax and penalties are subject to
interest at the rate provided in section 270C.40, from 30 days after deleted text begin ceasing to do business
in the job opportunity building zonedeleted text end new text begin becoming subject to repayment under this sectionnew text end
until the date the tax is paid.
(e) If a property tax is not repaid under paragraph (c), the county treasurer shall add
the amount required to be repaid to the property taxes assessed against the property for
payment in the year following the year in which the deleted text begin treasurer discovers that the business
ceased to operate in the job opportunity building zonedeleted text end new text begin auditor provided the statement
under paragraph (c)new text end .
(f) For determining the tax required to be repaid, a deleted text begin taxdeleted text end reduction new text begin of a state or local
sales or use tax new text end is deemed to have been received on the date that the deleted text begin tax would have
been due if the taxpayer had not been entitled to the exemption or on the date a refund
was issued for a refundable tax credit.deleted text end new text begin good or service was purchased or first put to a
taxable use. In the case of an income tax or franchise tax, including the credit payable
under section 469.318, a reduction of tax is deemed to have been received for the two
most recent tax years that have ended prior to the date that the business became subject to
repayment under this section. In the case of a property tax, a reduction of tax is deemed to
have been received for the taxes payable in the year that the business became subject to
repayment under this section and for the taxes payable in the prior year.
new text end
(g) The commissioner may assess the repayment of taxes under paragraph (d)
any time within two years after the business deleted text begin ceases to operate in the job opportunity
building zonedeleted text end new text begin becomes subject to repayment under subdivision 1new text end , or within any period of
limitations for the assessment of tax under section 289A.38, whichever period is later.new text begin The
county auditor may send the statement under paragraph (c) any time within three years
after the business becomes subject to repayment under subdivision 1.
new text end
new text begin
(h) A business is not entitled to any income tax or franchise tax benefits, including
refundable credits, for any part of the year in which the business becomes subject to
repayment under this section nor for any year thereafter. Property is not exempt from tax
under section 272.02, subdivision 64, for any taxes payable in the year following the year
in which the property became subject to repayment under this section nor for any year
thereafter. A business is not eligible for any sales tax benefits beginning with goods
or services purchased or first put to a taxable use on the day that the business becomes
subject to repayment under this section.
new text end
Subd. 5.
Waiver authority.
new text begin (a) new text end The commissioner may waive all or part of a
repaymentnew text begin required under subdivision 1new text end , if the commissioner, in consultation with
the commissioner of employment and economic development and appropriate officials
from the local government units in which the qualified business is located, determines
that requiring repayment of the tax is not in the best interest of the state or the local
government units and the business ceased operating as a result of circumstances beyond
its control including, but not limited to:
(1) a natural disaster;
(2) unforeseen industry trends; or
(3) loss of a major supplier or customer.
new text begin
(b)(1) The commissioner shall waive repayment required under subdivision 1a if
the commissioner has waived repayment by the operating business under subdivision 1,
unless the person that received benefits without having to operate a business in the zone
was a contributing factor in the qualified business becoming subject to repayment under
subdivision 1;
new text end
new text begin
(2) the commissioner shall waive the repayment required under subdivision 1a, even
if the repayment has not been waived for the operating business if:
new text end
new text begin
(i) the person that received benefits without having to operate a business in the zone
and the business that operated in the zone are not related parties as defined in section
267(b) of the Internal Revenue Code of 1986, as amended through December 31, 2007; and
new text end
new text begin
(ii) actions of the person were not a contributing factor in the qualified business
becoming subject to repayment under subdivision 1.
new text end
Subd. 6.
Reconciliation.
Where this section is inconsistent with section 116J.994,
subdivision 3, paragraph (e), or 6, or any other provisions of sections 116J.993 to
116J.995, this section prevails.
new text begin EFFECTIVE DATE. new text end
new text begin
The amendment to subdivision 4, paragraph (c), of this
section is effective the day following final enactment. The amendment to subdivision
4, paragraph (f), is effective retroactively from January 1, 2008, and applies to all
businesses that become subject to this section in 2008. The rest of this section is effective
retroactively from January 1, 2004, except that for violations that occur before the day
following final enactment, this section does not apply if the business has repaid the
benefits or the commissioner has granted a waiver.
new text end
Sec. 14.
new text begin
[469.3191] BREACH OF AGREEMENTS BY BUSINESSES THAT
CONTINUE TO OPERATE IN ZONE.
new text end
new text begin
(a) A "business in violation of its business subsidy agreement but not subject to
section 469.319" means a business that is operating in violation of the business subsidy
agreement but maintains a level of operations in the zone that does not subject it to the
repayment provisions of section 469.319, subdivision 1, clause (1).
new text end
new text begin
(b) A business described in paragraph (a) that does not sign a new or amended
business subsidy agreement, as authorized under paragraph (h), is subject to repayment
of benefits under section 469.319 from the day that it ceases to perform in the zone a
substantial level of activities described in the business subsidy agreement.
new text end
new text begin
(c) A business described in paragraph (a) ceases being a qualified business after the
last day that it has to meet the goals stated in the agreement.
new text end
new text begin
(d) A business is not entitled to any income tax or franchise tax benefits, including
refundable credits, for any part of the year in which the business is no longer a qualified
business under paragraph (c), and thereafter. A business is not eligible for sales tax
benefits beginning with goods or services purchased or put to a taxable use on the day that
it is no longer a qualified business under paragraph (c). Property is not exempt from tax
under section 272.02, subdivision 64, for any taxes payable in the year following the year
in which the business is no longer a qualified business under paragraph (c), and thereafter.
new text end
new text begin
(e) A business described in paragraph (a) that wants to resume eligibility for benefits
under section 469.315 must request that the commissioner of employment and economic
development determine the length of time that the business is ineligible for benefits. The
commissioner shall determine the length of ineligibility by applying the proportionate
level of performance under the agreement to the total duration of the zone as measured
from the date that the business subsidy agreement was executed. The length of time
must not be less than one full year for each tax benefit listed in section 469.315. The
commissioner of employment and economic development and the appropriate local
government officials shall consult with the commissioner of revenue to ensure that the
period of ineligibility includes at least one full year of benefits for each tax.
new text end
new text begin
(f) The length of ineligibility determined under paragraph (e) must be applied by
reducing the zone duration for the property by the duration of the ineligibility.
new text end
new text begin
(g) The zone duration of property that has been adjusted under paragraph (f) must
not be altered again to permit the business additional benefits under section 469.315.
new text end
new text begin
(h) A business described in paragraph (a) becomes eligible for benefits available
under section 469.315 by entering into a new or amended business subsidy agreement
with the appropriate local government unit. The new or amended agreement must cover
a period beginning from the date of ineligibility under the original business subsidy
agreement, through the zone duration determined by the commissioner under paragraph
(f). No exemption of property taxes under section 272.02, subdivision 64, is available
under the new or amended agreement for property taxes due or paid before the date of
the final execution of the new or amended agreement, but unpaid taxes due after that
date need not be paid.
new text end
new text begin
(i) A business that violates the terms of an agreement authorized under paragraph
(h) is permanently barred from seeking benefits under section 469.315 and is subject to
the repayment provisions under section 469.319 effective from the day that the business
ceases to operate as a qualified business in the zone under the second agreement.
new text end
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective retroactively from January 1, 2004.
For violations that occur before the day following final enactment, this section does not
apply if the business has repaid the benefits or the commissioner has granted a waiver.
new text end
Sec. 15.
new text begin
[469.3192] PROHIBITION AGAINST AMENDMENTS TO BUSINESS
SUBSIDY AGREEMENT.
new text end
new text begin
Except as authorized under section 469.3191, under no circumstance shall terms
of any agreement required as a condition for eligibility for benefits listed under section
469.315 be amended to change job creation, job retention, or wage goals included in
the agreement.
new text end
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective the day following final enactment
and applies to all agreements executed before, on, or after the effective date.
new text end
Sec. 16.
new text begin
[469.3193] CERTIFICATION OF CONTINUING ELIGIBILITY FOR
JOBZ BENEFITS.
new text end
new text begin
(a) By December 1 of each year, every qualified business must certify to the
commissioner of revenue, on a form prescribed by the commissioner of revenue, whether
it is in compliance with any agreement required as a condition for eligibility for benefits
listed under section 469.315. A business that fails to submit the certification, or any
business, including those still operating in the zone, that submits a certification that
the commissioner of revenue later determines materially misrepresents the business's
compliance with the agreement, is subject to the repayment provisions under section
469.319 from January 1 of the year in which the report is due or the date that the business
became subject to section 469.319, whichever is earlier. Any such business is permanently
barred from obtaining benefits under section 469.315. For purposes of this section, the bar
applies to an entity and also applies to any individuals or entities that have an ownership
interest of at least 20 percent of the entity.
new text end
new text begin
(b) Before the sanctions under paragraph (a) apply to a business that fails to
submit the certification, the commissioner of revenue shall send notice to the business,
demanding that the certification be submitted within 30 days and advising the business
of the consequences for failing to do so. The commissioner of revenue shall notify
the commissioner of employment and economic development and the appropriate job
opportunity subzone administrator whenever notice is sent to a business under this
paragraph.
new text end
new text begin
(c) The certification required under this section is public.
new text end
new text begin
(d) The commissioner of revenue shall promptly notify the commissioner of
employment and economic development of all businesses that certify that they are not
in compliance with the terms of their business subsidy agreement and all businesses
that fail to file the certification.
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
Sec. 17.
Minnesota Statutes 2006, section 469.3201, is amended to read:
469.3201 deleted text begin JOBZ EXPENDITURE LIMITATIONS; AUDITSdeleted text end new text begin STATE
AUDITOR; AUDITS OF JOB OPPORTUNITY BUILDING ZONES AND
BUSINESS SUBSIDY AGREEMENTSnew text end .
The deleted text begin Tax Increment Financing, Investment and Finance Division of thedeleted text end Office of the
State Auditor must annually audit the creation and operation of all job opportunity building
zones and business subsidy agreements entered into under Minnesota Statutes, sections
469.310 to 469.320.new text begin To the extent necessary to perform this audit, the state auditor may
request from the commissioner of revenue tax return information of taxpayers who are
eligible to receive tax benefits authorized under section 469.315. To the extent necessary
to perform this audit, the state auditor may request from the commissioner of employment
and economic development wage detail report information required under section 268.044
of taxpayers eligible to receive tax benefits authorized under section 469.315.
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
Sec. 18.
Minnesota Statutes 2006, section 473.39, is amended by adding a subdivision
to read:
new text begin Subd. 1n. new text end
new text begin Obligations. new text end
new text begin
After July 1, 2008, in addition to other authority in this
section, the council may issue certificates of indebtedness, bonds, or other obligations
under this section in an amount not exceeding $33,000,000 for capital expenditures as
prescribed in the council's regional transit master plan and transit capital improvement
program and for related costs, including the costs of issuance and sale of the obligations.
new text end
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective July 1, 2008, and applies in the
counties of Anoka, Carver, Dakota, Hennepin, Ramsey, Scott, and Washington.
new text end
Sec. 19.
Minnesota Statutes 2006, section 474A.047, subdivision 1, is amended to read:
Subdivision 1.
Eligibility.
(a) An issuer may only use the proceeds from residential
rental bonds if the proposed project meets the following requirements:
(1) the proposed residential rental project meets the requirements of section 142(d)
of the Internal Revenue Code regarding the incomes of the occupants of the housing; and
(2) the maximum rent for at least 20 percent of the units in the proposed residential
rental project do not exceed the area fair market rent or exception fair market rents for
existing housing, if applicable, as established by the federal Department of Housing and
Urban Development.new text begin The rental rates of units in a residential rental project for which
project-based federal assistance payments are made are deemed to be within the rent
limitations of this clause.
new text end
(b) The proceeds from residential rental bonds may be used for a project for which
project-based federal rental assistance payments are made only if:
(1) the owner of the project enters into a binding agreement with the Minnesota
Housing Finance Agency under which the owner is obligated to extend any existing
low-income affordability restrictions and any contract or agreement for rental assistance
payments for the maximum term permitted, including any renewals thereof; and
(2) the Minnesota Housing Finance Agency certifies that project reserves will be
maintained at closing of the bond issue and budgeted in future years at the lesser of:
(i) the level described in Minnesota Rules, part 4900.0010, subpart 7, item A,
subitem (2), effective May 1, 1997; or
(ii) the level of project reserves available prior to the bond issue, provided that
additional money is available to accomplish repairs and replacements needed at the time
of bond issue.
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective the day following final enactment.
new text end
Sec. 20.
Laws 1995, chapter 264, article 5, section 46, subdivision 2, is amended to
read:
Subd. 2.
Limitation on use of tax increments.
new text begin (a) new text end All revenues derived from tax
increments must be used in accordance with the housing replacement district plan. The
revenues must be used solely to pay the costs of site acquisition, relocation, demolition
of existing structures, site preparation, and pollution abatement on parcels identified in
the housing replacement district plan, as well as public improvements and administrative
costs directly related to those parcels.
new text begin
(b) Notwithstanding paragraph (a), the city of Minneapolis may use revenues
derived from tax increments from its housing replacement district for activities related
to parcels not identified in the housing replacement plan, but which would qualify for
inclusion under section 45, subdivision 1, paragraph (b), clauses (1) to (3).
new text end
new text begin
(c) Notwithstanding paragraph (a), or any other provisions of sections 44 to 47, the
Crystal Economic Development Authority may use revenues derived from tax increments
from its housing replacement districts numbers one and two as if those districts were
housing districts under Minnesota Statutes, section 469.174, subdivision 11, provided that
eligible activities may be located anywhere in the city without regard to the boundaries of
housing replacement district numbers one and two or any project area.
new text end
new text begin EFFECTIVE DATE. new text end
new text begin
This section applies to revenues from the housing replacement
districts, regardless of when they were received, and is effective the day following final
enactment and for the city of Minneapolis, upon compliance by the governing body of
the city of Minneapolis with Minnesota Statutes, section 645.021, subdivision 3, and, for
the city of Crystal, upon compliance by the governing body of the city of Crystal with
Minnesota Statutes, section 645.021, subdivision 3.
new text end
Sec. 21.
Laws 2003, chapter 127, article 10, section 31, subdivision 1, is amended to
read:
Subdivision 1.
District extension.
(a) The governing body of the city of Hopkins
may elect to extend the duration of its redevelopment tax increment financing district
2-11 by up to four additional years.
(b) Notwithstanding any law to the contrary, effective upon approval of this
subdivision, no increments may be spent on activities located outside of the area of the
district, other thannew text begin :
new text end
new text begin (1)new text end to pay administrative expensesnew text begin ; or
new text end
new text begin (2) to pay the costs of housing activities, provided that expenditures under this
clause may not exceed 20 percent of the total tax increments from the districtnew 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
Sec. 22.
Laws 2006, chapter 259, article 10, section 14, subdivision 1, is amended to
read:
Subdivision 1.
Definitions.
(a) "City" means the city of Minneapolis.
(b) "Homeless assistance tax increment district" means a contiguous area of the
city that:
(1) is no larger than deleted text begin sixdeleted text end new text begin eightnew text end acres;
(2) is located within the boundaries of a city municipal development district; and
(3) contains at least two shelters for homeless persons that have been owned or
operated by nonprofit corporations that (i) are qualified charitable organizations under
section 501(c)(3) of the United States Internal Revenue Code, (ii) have operated such
homeless facilities within the district for at least five years, and (iii) have been recipients
of emergency services grants under Minnesota Statutes, section 256E.36.
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective upon compliance by the city of
Minneapolis with Minnesota Statutes, section 645.021.
new text end
Sec. 23.
Laws 2008, chapter 154, article 9, section 23, is amended to read:
Sec. 23. CITY OF FRIDLEY; TAX INCREMENT FINANCING DISTRICT;
SPECIAL RULES.
(a) If the city elects upon the adoption of a tax increment financing plan for a district,
the rules under this section apply to a redevelopment tax increment financing district
established by the city of Fridley or the housing and redevelopment authority of the city.
The deleted text begin redevelopment tax increment district includesdeleted text end new text begin city may include one or more ofnew text end the
following parcels and adjacent railroad property deleted text begin anddeleted text end new text begin in the redevelopment tax increment
district, whichnew text end shall be referred to as the Northstar Transit Station District: parcel
numbers 223024120010, 223024120009, 223024120017, 223024120016, 223024120018,
223024120012, 223024120011, 223024120005, 223024120004, 223024120003,
223024120013, 223024120008, 223024120007, 223024120006, 223024130005,
223024130010, 223024130011, 223024130003, 153024440039, 153024440037,
153024440041, 153024440042, 223024110013, 223024110016, 223024110017,
223024140008, 223024130002, 223024420004, 223024410002, 223024410003,
223024110008, 223024110007, 223024110019, 223024110018, 223024110003,
223024140003, 223024140009, 223024140002, 223024140010, and 223024410007.
(b) The requirements for qualifying a redevelopment tax increment district under
Minnesota Statutes, section 469.174, subdivision 10, do not apply to the parcels located
within the Northstar Transit Station District, which are deemed eligible for inclusion
in a redevelopment tax increment district.
(c) In addition to the costs permitted by Minnesota Statutes, section 469.176,
subdivision 4j, eligible expenditures within the Northstar Transit Station District include
those costs necessary to provide for the construction and land acquisition for a tunnel
under the Burlington Northern Santa Fe railroad tracksnew text begin to allow access to the Northstar
Commuter Railnew text end .
(d) Notwithstanding the provisions of Minnesota Statutes, section 469.1763,
subdivision 2, the city of Fridley may expend increments generated from its tax increment
financing districts Nos. 11, 12, and 13 for costs permitted by paragraph (c) and Minnesota
Statutes, section 469.176, subdivision 4j, outside the boundaries of tax increment financing
districts Nos. 11, 12, and 13, but only within the Northstar Transit Station District.
(e) The five-year rule under Minnesota Statutes, section 469.1763, subdivision 3,
does not apply to the Northstar Transit Station District or to tax increment financing
districts Nos. 11, 12, and 13.
(f) The use of revenues for decertification under Minnesota Statutes, section
469.1763, subdivision 4, does not apply to tax increment financing districts Nos. 11,
12, and 13.
new text begin
(g) The city may establish additional tax increment financing districts consisting
of parcels identified in paragraph (a), which it does not include in the Northstar Transit
District, under general law. The provisions of paragraph (c) apply to these districts and the
permitted pooling percentage for the districts under Minnesota Statutes, section 469.1763,
subdivision 2, is increased to 30 percent. The provisions of paragraphs (b), (d), (e), and
(f) do not apply to these districts. The authority to create districts under this authority
expires on December 30, 2017.
new text end
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective upon approval by the governing body
of the city of Fridley and upon compliance by the city with Minnesota Statutes, section
645.021, subdivision 3.
new text end
Sec. 24.
Laws 2008, chapter 154, article 9, section 24, is amended to read:
Sec. 24. CITY OF NEW BRIGHTON; TAX INCREMENT FINANCINGdeleted text begin ;
EXPENDITURES OUTSIDE DISTRICTdeleted text end .
new text begin Subdivision 1. new text end
new text begin Expenditures outside district. new text end
Notwithstanding the provisions of
Minnesota Statutes, deleted text begin sectiondeleted text end new text begin sections 469.176, subdivision 4d, and new text end 469.1763, subdivision
2, new text begin or any other law to the contrary, new text end the city of New Brighton may expend increments
generated from its tax increment financing deleted text begin district No. 26 to facilitate eligible activitiesdeleted text end new text begin
districts 9, 20, and 26. The increments may be used to pay eligible expensesnew text end as permitted
by Minnesota Statutes, section 469.176, subdivision deleted text begin 4edeleted text end new text begin 4jnew text end , outside the boundaries of
tax increment financing deleted text begin district No. 26deleted text end new text begin districts 9, 20, and 26new text end , but only within the area
described in Laws 1998, chapter 389, article 11, section 24, subdivision 1, deleted text begin anddeleted text end commonly
referred to as the Northwest Quadrant. Minnesota Statutes, section 469.1763, subdivisions
3 and 4, do not apply to expenditures permitted by this section.
new text begin Subd. 2. new text end
new text begin District duration extension. new text end
new text begin
Notwithstanding the provisions of Minnesota
Statutes, section 469.176, subdivision 1b, or any other law to the contrary, the duration
limits that apply to redevelopment tax increment financing districts numbers 31 and 32
established under Laws 1998, chapter 389, article 11, section 24, and hazardous substance
subdistricts numbers 31A and 32A established under Minnesota Statutes, sections 469.174
to 469.1799, are extended by four years.
new text end
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective upon approval by the governing body
of the city of New Brighton and upon compliance by the city with Minnesota Statutes,
section 645.021, subdivision 3.
new text end
Sec. 25. new text begin CITY OF AUSTIN; TAX INCREMENT FINANCING AUTHORITY.
new text end
new text begin
Notwithstanding the requirements of Minnesota Statutes, section 469.1763,
subdivision 3, that activities must be undertaken within a five-year period from the date of
certification of tax increment financing district and notwithstanding the provisions of any
other law, the governing body of the city of Austin may use tax increments from its Tax
Increment Financing District No. 9 to reimburse the city's housing and redevelopment
authority for money spent disposing of soils and debris in the tax increment financing
district, as required by the Minnesota Pollution Control Agency.
new text end
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective upon compliance by the governing
body of the city of Austin with the requirements of Minnesota Statutes, section 645.021.
new text end
Sec. 26. new text begin BLOOMINGTON TAX INCREMENT FINANCING; FIVE-YEAR
RULE.
new text end
new text begin
The requirements of Minnesota Statutes, section 469.1763, subdivision 3, that
activities must be undertaken within a five-year period from the date of certification of a
tax increment financing district, are increased to a ten-year period for the Port Authority
of the City of Bloomington's Tax Increment Financing District No. 1-I, Bloomington
Central Station.
new text end
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective upon compliance by the governing
body of the Port Authority of the City of Bloomington with the requirements of Minnesota
Statutes, section 645.021.
new text end
Sec. 27. new text begin CITY OF BLOOMINGTON; TAX INCREMENT FINANCING
DISTRICT; PROJECT REQUIREMENTS.
new text end
new text begin Subdivision 1. new text end
new text begin
Addition of parcels to Tax Increment Financing District No. 1-G.
new text end
new text begin
Notwithstanding the provisions of Minnesota Statutes, section 469.175, subdivision 4,
or any other law to the contrary, the governing bodies of the Port Authority of the city
of Bloomington and the city of Bloomington may elect to eliminate certain real property
from Tax Increment Financing District No. 1-C within Industrial Development District
No. 1 Airport South in the city of Bloomington, Minnesota, and expand the boundaries of
Tax Increment Financing District No. 1-G to include real property, which is described
as follows:
new text end
new text begin
(1) PARCEL C: That part of Lindau Lane lying westerly of 24th Avenue South and
lying easterly of State Highway No. 77; and
new text end
new text begin
(2) PARCEL D: Lot 1, Block 1, MALL OF AMERICA 3RD ADDITION, according
to the recorded plat thereof, Hennepin County, Minnesota, Except that part of said Lot 1
described as commencing at the most easterly corner of Lot 2, said Block 1, said MALL
OF AMERICA 3RD ADDITION; thence on an assumed bearing of South 45 degrees 00
minutes 00 seconds West, along the southeasterly line of said Lot 2, Block 1, MALL OF
AMERICA 3RD ADDITION, a distance of 18.58 feet to the point of beginning of the
land to be described: thence South 45 degrees 00 minutes 29 seconds East a distance of
30.69 feet; thence South 89 degrees 59 minutes 52 seconds East a distance of 303.62 feet;
thence South 0 degrees 00 minutes 08 seconds West a distance of 10.00 feet; thence North
89 degrees 57 minutes 47 seconds East a distance of 55.90 feet; thence North 0 degrees 06
minutes 52 minutes West a distance of 10.01 feet; thence North 89 degrees 59 minutes 04
seconds East a distance of 332.04 feet; thence North 44 degrees 57 minutes 59 seconds
East a distance 10.55 feet to the southwesterly line of Lot 3, Block 1, said MALL OF
AMERICA 3RD ADDITION; thence South 45 degrees 00 minutes 00 seconds East along
said southwesterly line of Lot 3, a distance of 244.08 feet to the most southerly southwest
corner of said Lot 3; thence on a bearing of East along the south line of said Lot 3 a
distance of 1.37 feet; thence South 0 degrees 10 minutes 07 seconds West a distance of
30.07 feet; thence North 89 degrees 58 minutes 07 seconds East a distance of 83.84 feet;
thence South 0 degrees 00 minutes 40 seconds West a distance of 540.08 feet; thence
North 89 degrees 58 minutes 39 seconds West a distance of 53.64 feet; thence South 0
degrees 02 minutes 43 seconds West a distance of 29.71 feet to the north line of Lot 4,
Block 1, said MALL OF AMERICA 3RD ADDITION; thence on a bearing of West
along said north line of Lot 4 a distance of 1.13 feet to the most northerly northwest
corner of said Lot 4; thence South 45 degrees 00 minutes 00 seconds West along the
northwesterly line of said Lot 4 a distance of 293.65 feet; thence North 45 degrees 03
minutes 26 seconds West a distance of 59.81 feet; thence North 89 degrees 59 minutes 24
seconds West a distance 277.25 feet; thence North 0 degrees 02 minutes 42 seconds East a
distance of 10.21 feet; thence North 89 degrees 59 minutes 24 seconds West a distance of
55.93 feet; thence South 0 degrees 00 minutes 36 seconds West a distance of 10.17 feet;
thence South 89 degrees 59 minutes 32 seconds West a distance of 261.98 feet; thence
South 45 degrees 07 minutes 13 seconds West a distance of 70.69 feet to the northeasterly
line of Lot 5, Block 1, said MALL OF AMERICA 3RD ADDITION; thence North 45
degrees 00 minutes 00 seconds West along said northeasterly line of Lot 5 a distance of
363.21 feet to the most northerly northeast corner of said Lot 5; thence on a bearing of
West along the north line of said Lot 5 a distance of 1.74 feet; thence North 0 degrees 05
minutes 14 seconds East a distance of 30.30 feet; thence South 89 degrees 56 minutes 58
seconds West a distance of 81.56 feet; thence North 0 degrees 00 minutes 24 seconds East
a distance of 497.92 feet; thence South 89 degrees 58 minutes 55 seconds East a distance
of 123.79 feet; thence North 0 degrees 01 minutes 54 seconds East a distance of 30.06 feet
to the south line of said Lot 2, Block 1, MALL OF AMERICA 3RD ADDITION; thence
on a bearing of East along said south line of Lot 2, Block 1, MALL OF AMERICA 3RD
ADDITION; thence on a bearing of East along said south line of Lot 2, Block 1, MALL
OF AMERICA 3RD ADDITION, a distance of 1.22 feet to the most southerly southeast
corner of said Lot 2, Block 1, MALL OF AMERICA 3RD ADDITION; thence North 45
degrees 00 minutes 00 seconds East along said southeasterly line of Lot 2, Block 1, MALL
OF AMERICA 3RD ADDITION, a distance of 264.05 feet to the point of beginning.
new text end
new text begin Subd. 2. new text end
new text begin
Original tax capacity of Tax Increment Financing District No. 1-G.
new text end
new text begin
Upon inclusion of the real property described above in the Tax Increment District No. 1-G,
the Hennepin County auditor must increase the original tax capacity of Tax Increment
District No. 1-G by $208,000.
new text end
new text begin Subd. 3. new text end
new text begin Use of increments. new text end
new text begin
Notwithstanding Laws 1996, chapter 464, article
1, section 8, subdivision 3, paragraph (d), clauses (1) and (2), the tax increments,
assessments, and other revenues derived from any portion of Tax Increment Financing
District No. 1-G may be used:
new text end
new text begin
(1) to pay debt service on revenue bonds issued under section 29;
new text end
new text begin
(2) to reimburse or otherwise pay the developer for public improvements because
of counted value resulting from investment in property in Tax Increment Financing
District No. 1-G under section 9.2(05) of the restated contract for purchase and private
redevelopment of land, by and among the city of Bloomington, the Port Authority of the
city of Bloomington, and the Mall of America Company, dated May 31, 1988; and
new text end
new text begin
(3) to pay the principal, premium, and interest on bonds, notes, or other obligations
issued by the city of Bloomington or the Port Authority of the city of Bloomington to
finance capital and related costs of public improvements in Tax Increment Financing
District No. 1-G. In sections 27 to 30, "public improvements" are limited to public
improvements for which tax increments may be expended under the tax increment
financing plan for Tax Increment Financing District No. 1-G as amended November
15, 2001.
new text end
new text begin Subd. 4. new text end
new text begin Public hearing on district modification. new text end
new text begin
When the governing bodies of
the port authority or the city elect to exercise the authority provided in subdivision 1 to
modify the districts, they must conduct a public hearing after published notice on the
issue, with the meeting beginning between 6:00 p.m. and 7:00 p.m. on a weeknight.
new text end
new text begin Subd. 5. new text end
new text begin Construction of Mall of America phase II. new text end
new text begin
(a) The governing bodies of
the city of Bloomington and the Bloomington Port Authority, as a condition of providing
tax increments or other financial assistance for parking facilities and other public
improvements, must enter into an agreement with the developers of the project that ensures
that the facility complies with the sustainable building guidelines in Minnesota Statutes,
section 16B.325, and that it must be, to the greatest extent practicable, constructed of
American-made steel.
new text end
new text begin
(b) The agreement must prohibit any additional draw from an aquifer for the purpose
of a man-made lake, waterpark, or similar entertainment venue.
new text end
new text begin
(c) The agreement must also prohibit inclusion of an auditorium, theater, or similar
live entertainment venue. This paragraph does not prohibit inclusion of multi-screen
movie theaters, nightclubs, restaurants, or museums.
new text end
new text begin Subd. 6. new text end
new text begin Living wage. new text end
new text begin
Any agreement to provide financial assistance to phase II of
the Mall of America project must include a provision that requires payment of wages that
meet the requirements of Minnesota Statutes, section 469.310, subdivision 11, paragraph
(g), to persons employed on a full-time basis at the facility. This subdivision does not
apply to seasonal or temporary employees or to internships or similar positions intended
to provide career experience or training. This subdivision does not apply to nonprofit
organizations, educational institutions, or businesses that employ fewer than 50 employees.
new text end
new text begin Subd. 7. new text end
new text begin Affordable access. new text end
new text begin
To the extent determined by the governing body of
the city or the port authority, any agreement to provide financial assistance to phase II
of the Mall of America project must provide for affordable access to the amusement
areas of the facility.
new text end
new text begin Subd. 8. new text end
new text begin Labor peace. new text end
new text begin
As a condition to exercising the authority provided in
subdivision 1, the governing bodies of the city of Bloomington and the Bloomington Port
Authority shall require the developers of phase II of the Mall of America project to enter
into a labor peace agreement with the labor organization which is most actively engaged in
representing and attempting to represent hotel workers in Hennepin and Ramsey Counties.
The labor peace agreement must be an enforceable agreement and must prohibit the labor
organization and its members from engaging in any boycott or other activity advising
customers not to patronize any hotel that is part of Phase II for at least the first five years
of the hotel's operation, and must cover all operations at the hotel, other than construction,
alteration, or repair of the premises separately owned and operated, which are conducted
by lessees or tenants or under management agreements, except retail operations, including
gift, jewelry, and clothing shops that have annual gross revenues of less than $250,000.
new text end
new text begin Subd. 9. new text end
new text begin Certificate of compliance; affirmative action. new text end
new text begin
As a condition of
exercising the authority provided in this section and sections 28 and 29, the governing
bodies of the city of Bloomington and the Bloomington Port Authority must enter into an
agreement with the developers of the project that requires each contractor or subcontractor
in connection with construction of the project to comply with the requirements of
Minnesota Statutes, section 363A.36, as if the contract were with a state agency or
department.
new text end
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective the day after the governing body of
the city of Bloomington and its chief clerical officer timely complete their compliance
with Minnesota Statutes, section 645.021, subdivision 3, with respect to this section and
section 30.
new text end
Sec. 28. new text begin CITY OF BLOOMINGTON; LOCAL TAXING AUTHORITY.
new text end
new text begin Subdivision 1. new text end
new text begin Additional taxes authorized; use of proceeds. new text end
new text begin
Notwithstanding
Minnesota Statutes, section 477A.016, or any other law, ordinance, or charter provision
to the contrary, the governing body of the city of Bloomington may impose any or all of
the taxes described in this section. The proceeds of any taxes imposed under this section
or section 27, less refunds and the cost of collection, must be used to provide financing
for parking facilities or other public improvements for the Mall of America phase II. The
Port Authority of the city of Bloomington may, but is not required to, issue or cause
the sale of bonds, a developer's note, or other obligations to finance the improvements.
If a governmental entity other than the city of Bloomington issues the obligations used
to finance the parking facilities and other public improvements, the city may transfer the
funds available under this section and section 27 for financing the project to the entity
that issued the bonds.
new text end
new text begin Subd. 2. new text end
new text begin Sales tax. new text end
new text begin
The city of Bloomington may charter a special taxing authority,
which is a separate political subdivision. The geographic area of the special taxing
authority consists of Tax Increment Financing Districts No. 1-C and No. 1-G in the
city. The city council is the governing body of the special taxing authority. The special
taxing authority may impose, by resolution, a sales tax of not less than one-half of one
percent and not more than one percent within its boundaries. The provisions of Minnesota
Statutes, section 297A.99, except for subdivisions 2 and 3, govern the imposition,
administration, collection, and enforcement of the tax authorized in this subdivision.
new text end
new text begin Subd. 3. new text end
new text begin Lodging tax. new text end
new text begin
The city may impose, by ordinance, a tax of up to one
percent on the gross receipts subject to the lodging tax under Minnesota Statutes, section
469.190. This tax is in addition to any tax imposed under Minnesota Statutes, section
469.190, and may be imposed within a tax district defined by the city council, which must
include Tax Increment Districts No. 1-C and No. 1-G in the city of Bloomington and may
include additional areas of the city, which are not required to be contiguous.
new text end
new text begin Subd. 4. new text end
new text begin Admissions and recreation tax. new text end
new text begin
The city may impose, by ordinance, a tax
of up to one percent on admissions to entertainment and recreational facilities and rental of
recreation equipment at sites within a tax district defined by the city council, which must
include Tax Increment Financing Districts No. 1-C and No. 1-G in the city of Bloomington
and may include additional areas of the city, which are not required to be contiguous.
new text end
new text begin Subd. 5. new text end
new text begin Food and beverage tax. new text end
new text begin
The city may impose, by ordinance, an additional
sales tax of up to three percent on sales of food and beverages primarily for consumption
on or off the premises by restaurants and places of refreshment as defined by resolution
of the city within Tax Increment Financing Districts No. 1-C and No. 1-G in the city of
Bloomington.
new text end
new text begin Subd. 6. new text end
new text begin Lodging taxes. new text end
new text begin
Notwithstanding any law or ordinance, the city may
use the unobligated proceeds of any existing city lodging tax attributable to imposition
of the tax on lodging facilities constructed after the date of enactment of this act within
Tax Increment Financing District No. 1-G. In this subdivision, "unobligated proceeds
of any existing city lodging tax" means the proceeds of a lodging tax imposed by the
city of Bloomington prior to May 1, 2008, to the extent the proceeds of the tax are not
contractually pledged to any other specific uses. Lodging tax proceeds derived from
lodging facilities constructed after the date of enactment of this act within Tax Increment
Financing District No. 1-G that have been required by law to be expended for promotion
of the metropolitan sports area or for marketing and promotion of the city by the city
convention bureau may be expended for the purposes described in subdivision 1,
notwithstanding the dedications in those laws.
new text end
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective the day after compliance by the
governing body of the city of Bloomington with Minnesota Statutes, section 645.021,
subdivision 3, with respect to this section and section 30.
new text end
Sec. 29. new text begin MALL OF AMERICA PHASE II PARKING FACILITY REVENUE
BONDS.
new text end
new text begin Subdivision 1. new text end
new text begin Issuing authority. new text end
new text begin
(a) The city of Bloomington may contract with
any of the following authorities to issue and sell revenue bonds for the purposes and
in the amounts specified in subdivision 2:
new text end
new text begin
(1) the commissioner of finance, exercising the authority granted under this section
and Minnesota Statutes, sections 16A.672 to 16A.675;
new text end
new text begin
(2) the Agricultural and Economic Development Board, exercising the powers
granted under this section and Minnesota Statutes, chapter 41A; or
new text end
new text begin
(3) the Minnesota Public Facilities Authority, exercising the powers granted under
this section and Minnesota Statutes, chapter 446A.
new text end
new text begin
(b) The authority granted in this section is in addition to the statutes in paragraph
(a) and notwithstanding any contrary provisions in them.
new text end
new text begin
(c) The contract must include as a party the developer of phase II of the Mall of
America and may include as a party any other entity deemed appropriate by the city of
Bloomington, the issuing authority, and the developer.
new text end
new text begin Subd. 2. new text end
new text begin Purposes and amounts. new text end
new text begin
(a) The revenue bonds may be issued in a single
or multiple issues and sold for the following purposes:
new text end
new text begin
(1) to pay the costs to design, construct, furnish, and equip parking facilities and
related public improvements for phase II of the Mall of America;
new text end
new text begin
(2) to pay the costs of issuance, debt service, and bond insurance or other credit
enhancements, and to fund reserves; and
new text end
new text begin
(3) to refund bonds issued under this section.
new text end
new text begin
(b) The amount of bonds that may be issued for the purposes of paragraph (a), clause
(1), may not exceed per issue the estimated cost from time to time of the parking facilities
and other public improvements, including soft costs; the amount of bonds that may be
issued for the purposes of paragraph (a), clauses (2) and (3), is not limited.
new text end
new text begin Subd. 3. new text end
new text begin Revenue sources. new text end
new text begin
The debt service on the bonds is payable only from the
following sources:
new text end
new text begin
(1) the tax revenues referred to in section 28; and
new text end
new text begin
(2) other nonstate revenues pledged to the payment of the bonds.
new text end
new text begin Subd. 4. new text end
new text begin Sale and issuance; proceeds. new text end
new text begin
(a) The issuing authority may sell and issue
the bonds on the terms and conditions the issuing authority determines to be in the best
interests of the state after reviewing an agreement between the city of Bloomington and
the developer of phase II of the Mall of America setting out the terms upon which the city
of Bloomington will use the proceeds of the bond sales. The bonds may be sold at public
or private sale at a price or prices the issuing authority finds appropriate. The issuing
authority may enter any agreements or pledges the issuing authority determines necessary
or useful to sell the bonds that are not inconsistent with this section.
new text end
new text begin
(b) The city may enter into a preliminary agreement with the issuing authority under
which the city agrees, if the revenue bonds are not issued, to pay or cause to be paid the
costs and expenses incurred by the issuing authority relating to the proposed issuance of
the revenue bonds.
new text end
new text begin
(c) The proceeds of the bonds issued under this section must be credited to a special
Mall of America revenue bond proceeds account with the issuing authority or a trustee
and are appropriated to the issuing authority for payment to the city of Bloomington
for the purposes specified in subdivision 2.
new text end
new text begin Subd. 5. new text end
new text begin Security. new text end
new text begin
The issuing authority may irrevocably pledge and appropriate
for payment of the revenue bonds and premium, if any, and interest thereon the revenues
it receives from the city of Bloomington derived from tax increments and taxes the city
is authorized to impose under section 28. By a resolution of the issuing authority or
by an indenture of trust executed under its authority, the issuing authority may make
any and all covenants with bondholders, or with a trustee for the bondholders, that are
determined by the issuing authority to be necessary and proper to ensure the marketability
of the revenue bonds and the segregation and application of the revenues pledged to the
payment of the revenue bonds. Any tax revenues transferred to the issuing authority
that are not required by the terms of the bonds or other obligations issued under this
section, or related documents, to be applied to the payment of the principal, premium, or
interest on the bonds or other obligations, the funding of reserves, or the payment of fees,
costs, or reimbursements, must be transferred to the city of Bloomington. The revenue
bonds are not general obligations of the issuing authority but are payable solely from the
revenues received by the city of Bloomington and the proceeds thereof that are pledged
to the payment of the revenue bonds. The revenue bonds must not be taken into account
for purposes of any limitation on the principal amount of bonds of the issuing authority
under Minnesota Statutes, section 446A.12, subdivision 1, or other law. The proceeds
of the revenue bonds to be applied to the costs of parking facilities and other public
improvements may be made available by the issuing authority to the city of Bloomington
for those purposes by a loan agreement or other agreement between the issuing authority
and the city. The city may, by resolution or in a loan agreement or other instrument with
the issuing authority, pledge to the payment of the revenue bonds issued by the authority
all or a portion of the revenues collected from the imposition of the taxes the city is
authorized to impose under section 28 and make any or all covenants determined by the
city and the issuing authority to be necessary and proper for the security or marketability
of the revenue bonds to be issued by the issuing authority and the payment of the costs and
expenses incurred by the issuing authority relating to the revenue bonds.
new text end
new text begin Subd. 6. new text end
new text begin Refunding bonds. new text end
new text begin
The issuing authority may issue bonds to refund
outstanding bonds issued under subdivision 1, including the payment of any redemption
premiums on the bonds and any interest accrued or to accrue to the first redemption date
after delivery of the refunding bonds. The proceeds of the refunding bonds may, in the
discretion of the issuing authority, be applied to the purchases or payment at maturity of the
bonds to be refunded, or the redemption of the outstanding bonds on the first redemption
date after delivery of the refunding bonds and may, until so used, be placed in escrow to
be applied to the purchase, retirement, or redemption. Refunding bonds issued under this
subdivision must be issued and secured in the manner provided by the issuing authority.
new text end
new text begin Subd. 7. new text end
new text begin Not a general or moral obligation. new text end
new text begin
Bonds issued under this section
are not general or moral obligations of the issuing authority, and the full faith, credit,
and taxing powers of the state are not pledged for their payment. The bonds may not be
paid directly, in whole or in part, from a tax of statewide application on any class of
property, income, transaction, or privilege. Payment of the bonds is limited to the revenues
explicitly authorized to be pledged under this section. The state neither makes nor has
a moral obligation to pay the bonds if the pledged revenues and other legal security for
them is insufficient.
new text end
new text begin Subd. 8. new text end
new text begin Trustee. new text end
new text begin
The issuing authority may contract with and appoint a trustee
for bond holders. The trustee has the powers and authority vested in it by the issuing
authority under the bond and trust indentures.
new text end
new text begin Subd. 9. new text end
new text begin Pledges. new text end
new text begin
Any pledge made of money, property, or other revenues to the
bonds by the issuing authority is valid and binding from the time the pledge is made. The
money or property pledged and later received by the issuing authority is immediately
subject to the lien of the pledge without any physical delivery of the property or money or
further act, and the lien of any pledge is valid and binding as against all parties having
claims of any kind in tort, contract, or otherwise against the issuing authority, whether or
not those parties have notice of the lien or pledge. The resolution, indenture, agreement,
or other instrument by which a pledge is created need not be recorded. Any tax revenues
pledged to the issuing authority that are not required by the terms of the bonds or other
obligations issued under this section, or related documents, to be applied to the payment
of the principal, premium, or interest on the bonds or other obligations, the funding of
reserves, or the payment of fees, costs, or reimbursements, must be released from the
pledge to the bonds and other obligations in accordance with the terms of the bonds,
other obligations, and related documents.
new text end
new text begin Subd. 10. new text end
new text begin Bonds; purchase and cancellation. new text end
new text begin
The issuing authority, subject to
agreements with bondholders that may then exist, may, out of any money available for
the purpose, purchase bonds of the issuing authority at a price not exceeding (1) if the
bonds are then redeemable, the redemption price then applicable plus accrued interest,
or (2) if the bonds are not redeemable, the redemption price applicable on the first date
after the purchase upon which the bonds become subject to redemption plus accrued
interest to that date.
new text end
new text begin Subd. 11. new text end
new text begin State pledge against impairment of contracts. new text end
new text begin
The state pledges and
agrees with the holders of any bonds that the state will not limit or alter the rights vested in
the issuing authority to fulfill the terms of any agreements made with the bondholders, or
in any way impair the rights and remedies of the holders until the bonds, together with
interest on them, with interest on any unpaid installments of interest, and all costs and
expenses in connection with any action or proceeding by or on behalf of the bondholders,
are fully met and discharged. The issuing authority may include this pledge and agreement
of the state in any agreement with the holders of bonds issued under this section.
new text end
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective the day after the governing body of
the city of Bloomington and its chief clerical officer timely complete their compliance
with Minnesota Statutes, section 645.021, subdivision 3, with respect to this section and
section 30.
new text end
Sec. 30. new text begin STATE REVIEW; BUT-FOR DETERMINATION; DEVELOPMENT
AGREEMENT.
new text end
new text begin Subdivision 1. new text end
new text begin Required conditions. new text end
new text begin
All of the conditions required under this
section must be satisfied before the city and authority may contract with an issuing
authority as provided in section 29. This section only applies if the city and authority
contract with an issuing authority under section 29.
new text end
new text begin Subd. 2. 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.
new text end
new text begin
(b) "Authority" means the port authority of the city of Bloomington.
new text end
new text begin
(c) "City" means the city of Bloomington.
new text end
new text begin
(d) "Commissioner" means the commissioner of finance.
new text end
new text begin Subd. 3. new text end
new text begin Required disclosure. new text end
new text begin
The authority, city, and developer shall provide to
the commissioner on a confidential basis all of the materials and information necessary
to carry out the commissioner's responsibilities under this section. The developer shall
provide information or access to its financial records and books as requested by the
commissioner on a confidential basis.
new text end
new text begin Subd. 4. new text end
new text begin But-for determination. new text end
new text begin
The commissioner shall determine, in writing,
whether the assistance to be funded by the provisions of sections 27 to 29 is necessary to
make the project financially feasible. The determination must be based on full disclosure
by the developer of all costs and other information on the project and a determination
by the commissioner that the amount of assistance to be provided is required to permit
a competitive market return on the investment. The commissioner shall consider an
executed letter of intent to issue financing for the project from a licensed financial
institution or institutions that requires the funding described in this section as a condition
of placing the financing to be evidence of the financial necessity of such assistance and
must subsequently affirm in writing whether assistance is necessary to make the project
financially feasible.
new text end
new text begin Subd. 5. new text end
new text begin Development agreement required. new text end
new text begin
The city, authority, developer, and
commissioner must enter into a development agreement that includes, at least, the
following provisions:
new text end
new text begin
(1) the minimum private improvements that must be undertaken to qualify for
assistance;
new text end
new text begin
(2) the developer's contribution to the parking facility or facilities;
new text end
new text begin
(3) the dates for commencement and completion of the facility;
new text end
new text begin
(4) a requirement that the assistance will be used solely for construction of the
parking facilities and other public improvements and to reimburse the costs of the state in
evaluation of the development and negotiation of the development agreement;
new text end
new text begin
(5) the authority is the owner of the parking facilities;
new text end
new text begin
(6) construction of the parking facilities and all private improvement construction
are subject to payment of prevailing wage as defined in Minnesota Statutes, section
177.42, subdivision 7, and construction of the parking facilities is subject to competitive
bidding requirements, unless constructed under Minnesota Statutes, section 469.071;
new text end
new text begin
(7) all costs for operation, maintenance, capital improvement and repair of the
parking facilities must be paid by the developer; and
new text end
new text begin
(8) the developer shall be allowed to utilize bond funds based on progress work in
place for the construction of the parking facilities as design and construction progresses
based on costs incurred and certified by the developer, port authority, and independent
inspecting architect or engineer on a monthly basis subject to the provision of a completion
guarantee by the developer or performance bond assuring the completion of the minimum
parking and public improvements. The developer may assign its right to reimbursement
under the development agreement as collateral for any loan to fund the construction.
new text end
new text begin Subd. 6. new text end
new text begin Recovery of state costs. new text end
new text begin
The developer shall advance all of the costs of
the commissioner to evaluate the need for the assistance and negotiate the development
agreement as a condition of commencement of the negotiation. Notwithstanding the
provisions of Minnesota Statutes, section 16C.095, the commissioner may contract with
outside entities for any assistance needed in developing this development agreement.
new text end
new text begin Subd. 7. new text end
new text begin LCPFP Review. new text end
new text begin
The commissioner shall submit the completed
development agreement to the Legislative Commission on Planning and Fiscal Policy for
approval. The development agreement is not effective until approved by the commission,
provided that, if the commission has not approved or rejected the development agreement
within 120 days of its submission by the commissioner, it will be deemed to have been
approved.
new text end
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective the day after the governing body of
the city of Bloomington and its chief clerical officer timely complete their compliance
with Minnesota Statutes, section 645.021, subdivision 3, with respect to this section and
section 29.
new text end
Sec. 31. new text begin CITY OF DULUTH; EXTENSION OF TIME FOR ACTIVITY IN TAX
INCREMENT FINANCING DISTRICTS.
new text end
new text begin Subdivision 1. new text end
new text begin District No. 20. new text end
new text begin
The requirements of Minnesota Statutes, section
469.1763, subdivision 3, that activities must be undertaken within a five-year period from
the date of certification of a tax increment financing district, must be considered to be met
for Duluth Economic Development Authority Tax Increment Financing District No. 20 if
the activities are undertaken within ten years from the date of certification of the district.
new text end
new text begin Subd. 2. new text end
new text begin District No. 21. new text end
new text begin
The requirements of Minnesota Statutes, section
469.1763, subdivision 3, that activities must be undertaken within a five-year period from
the date of certification of a tax increment financing district, must be considered to be met
for Duluth Economic Development Authority Tax Increment Financing District No. 21 if
the activities are undertaken within ten years from the date of certification of the district.
new text end
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective upon compliance by the governing
body of the city of Duluth with the requirements of Minnesota Statutes, section 645.021,
subdivision 3.
new text end
Sec. 32. new text begin CITY OF WELLS; DISPOSITION OF TAX INCREMENT FINANCING
REVENUES.
new text end
new text begin
Notwithstanding the provisions of Minnesota Statutes, section 469.174, subdivision
25, the following are deemed not to be "increments," "tax increments," or "revenues
derived from tax increment" for purposes of the redevelopment district in the city of
Wells, identified as Downtown Development Program 1, for amounts received after
decertification of the district:
new text end
new text begin
(1) rents paid by private tenants for use of a building acquired in whole or in part
with tax increments; and
new text end
new text begin
(2) proceeds from the sale of the building.
new text end
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective upon compliance by the governing
body of the city of Wells with the requirements of Minnesota Statutes, section 645.021,
subdivision 3.
new text end
Sec. 33. new text begin MULTICOUNTY HOUSING AND REDEVELOPMENT AUTHORITY
LEVY AUTHORITY.
new text end
new text begin
Notwithstanding Minnesota Statutes, section 469.033, subdivision 6, or any other
law to the contrary, the governing body of the Northwest Minnesota Multicounty Housing
and Redevelopment Authority, upon approval by a two-thirds majority of all its members,
may levy an amount not to exceed 25 percent of the total levy permitted under Minnesota
Statutes, section 469.033, subdivision 6, without approval of that levy by the governing
body of the city or county within which the authority operates. The authority to levy the
remainder of the total levy permitted under that provision remains subject to approval
by the governing body of the city or county. For purposes of the levy authorized under
this section only, the Northwest Minnesota Multicounty Housing and Redevelopment
Authority is considered a special taxing jurisdiction as provided in Minnesota Statutes,
section 275.066.
new text end
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective for taxes levied in 2008, payable in
2009, and is repealed effective for taxes levied in 2013, payable in 2014, and thereafter.
new text end
Sec. 34. new text begin CITY OF OAKDALE; ORIGINAL TAX CAPACITY.
new text end
new text begin
(a) The provisions of this section apply to redevelopment tax increment financing
districts created by the Housing and Redevelopment Authority in and for the city of
Oakdale in the areas comprised of the parcels with the following parcel identification
numbers: (1) 3102921320053; 3102921320054; 3102921320055; 3102921320056;
3102921320057; 3102921320058; 3102921320062; 3102921320063; 3102921320059;
3102921320060; and 3102921320061; and (2) 3102921330005 and 3102921330004.
new text end
new text begin
(b) For a district subject to this section, the Housing and Redevelopment Authority
may, when requesting certification of the original tax capacity of the district under
Minnesota Statutes, section 469.177, elect to have the original tax capacity of the district
be certified as the tax capacity of the land.
new text end
new text begin
(c) The authority to request certification of a district under this section expires on
July 1, 2013.
new text end
new text begin EFFECTIVE DATE; LOCAL APPROVAL. new text end
new text begin
This section is effective upon
approval by the governing body of the city of Oakdale and compliance with Minnesota
Statutes, section 645.021, subdivision 3.
new text end
Sec. 35. new text begin DAKOTA COUNTY COMMUNITY DEVELOPMENT AUTHORITY;
PLAN MODIFICATION.
new text end
new text begin
Notwithstanding Minnesota Statutes, section 469.175, subdivision 4, the Dakota
County Community Development Authority may designate additional property to be
acquired by the authority for a tax increment financing project without meeting the
requirements for approval of an original tax increment financing plan if the property:
new text end
new text begin
(1) consists of one or more parcels under common ownership;
new text end
new text begin
(2) is acquired from a willing seller;
new text end
new text begin
(3) is acquired for purposes of development as a housing project as defined in
Minnesota Statutes, section 469.174, subdivision 11; and
new text end
new text begin
(4) the acquisition is approved by the governing body of the authority after holding
a public hearing thereon after published notice in a newspaper of general circulation in
the municipality in which the property is located at least once not less than ten days nor
more than 30 days prior to the date of the hearing. The published notice must include a
map depicting the property and the general area of the municipality within which the
property is located. The hearing may be held before or at the time of authority approval
of the acquisition.
new text end
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective upon compliance by the governing
body of the Dakota County Community Development Authority with the requirements of
Minnesota Statutes, section 645.021, subdivision 3.
new text end
Sec. 36. new text begin CITY OF ST. PAUL; TAX INCREMENT FINANCING DISTRICT.
new text end
new text begin Subdivision 1. new text end
new text begin Authorization. new text end
new text begin
Notwithstanding the provisions of any other
law, upon approval of the governing body of the city of St. Paul, the Housing and
Redevelopment Authority of the city of St. Paul may establish a redevelopment tax
increment financing district comprised of the properties included in the existing downtown
and Seventh Place tax increment district (County #82). Notwithstanding Minnesota
Statutes, section 469.177, subdivision 6, if certification of the district is requested by July
31, 2008, the certification will be recognized by the county auditor in determining local
tax rates for taxes payable in 2009 and subsequent years. The district created under this
section terminates December 31, 2023. The city may create the district under this section
only if it enters into an agreement with Ramsey County to pay the county annually out of
the increment from this district an amount equal to the tax that would have been payable
to the county on the captured tax capacity of the district had the district not been created.
new text end
new text begin Subd. 2. new text end
new text begin Special rules. new text end
new text begin
The requirements for qualifying a redevelopment district
under Minnesota Statutes, section 469.174, subdivision 10, do not apply to parcels located
within the district. Minnesota Statutes, section 469.176, subdivisions 4j and 4l, do not
apply to the district. The original tax capacity of the district is $1,801,052.
new text end
new text begin Subd. 3. new text end
new text begin Authorized expenditures. new text end
new text begin
Tax increment from the district may be
expended only to pay principal and interest on bond obligations issued by the St. Paul
Housing and Redevelopment Authority in 1996 for the convention center, including
payment of principal and interest on any bonds issued to repay the bonds or loans. All
such expenditures are deemed to be activities within the district under Minnesota Statutes,
section 469.1763, subdivisions 2, 3, and 4.
new text end
new text begin Subd. 4. new text end
new text begin Adjusted net tax capacity. new text end
new text begin
The captured tax capacity of the district must
be included in the adjusted net tax capacity of the city, county, and school district for the
purposes of determining local government aid, education aid, and county program aid.
The county auditor shall report to the commissioner of revenue the amount of the captured
tax capacity for the district at the time the assessment abstracts are filed.
new text end
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective upon compliance with Minnesota
Statutes, section 645.021, subdivision 3.
new text end
Sec. 37. new text begin CITY OF MINNEAPOLIS; TAX INCREMENT FINANCING
DISTRICT.
new text end
new text begin Subdivision 1. new text end
new text begin Authorization. new text end
new text begin
Notwithstanding the provisions of any other law,
the city of Minneapolis may establish a redevelopment tax increment financing district
comprised of the properties included in the existing tax increment districts in the city
that are exempt under Minnesota Statutes, section 469.179, subdivision 1, and were not
decertified before July 1, 2008. The district created under this section may be certified
after January 1, 2010, and terminates no later than December 31, 2020. The city may
create the district under this section only if it enters into an agreement with Hennepin
County to pay the county annually out of the increment from this district an amount equal
to the tax that would have been payable to the county on the captured tax capacity of the
district had the district not been created.
new text end
new text begin Subd. 2. new text end
new text begin Special rules. new text end
new text begin
The requirements for qualifying a redevelopment district
under Minnesota Statutes, section 469.174, subdivision 10, do not apply to parcels located
within the district. Minnesota Statutes, section 469.176, subdivisions 4j and 4l, do not
apply to the district. The original tax capacity of the district is $2,731,854.
new text end
new text begin Subd. 3. new text end
new text begin Authorized expenditures. new text end
new text begin
Tax increment from the district may be
expended only to pay principal and interest on bond obligations issued by the city of
Minneapolis or the Minneapolis Community Development Agency for Target Center,
including payment of principal and interest on any bonds issued to repay bonds or loans
and for neighborhood revitalization purposes. All such expenditures are deemed to be
activities within the district under Minnesota Statutes, section 469.1763, subdivisions 2,
3, and 4.
new text end
new text begin Subd. 4. new text end
new text begin Adjusted net tax capacity. new text end
new text begin
The captured tax capacity of the district must
be included in the adjusted net tax capacity of the city, county, and school district for the
purposes of determining local government aid, education aid, and county program aid.
The county auditor shall report to the commissioner of revenue the amount of the captured
tax capacity for the district at the time the assessment abstracts are filed.
new text end
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective upon compliance with Minnesota
Statutes, section 645.021, subdivision 3.
new text end
Sec. 38. new text begin TEMPORARY INCREASE IN ANNUAL VOLUME CAP.
new text end
new text begin Subdivision 1. new text end
new text begin Applicability. new text end
new text begin
This section applies if federal tax law is amended
after April 28, 2008, to provide a temporary increase in the annual volume cap for private
activity bonds for housing purposes for calendar year 2008 or 2009, and applies only to the
amount of the annual volume cap attributable to the temporary increase for those purposes.
new text end
new text begin Subd. 2. new text end
new text begin Definitions. new text end
new text begin
As used in this section, "annual volume cap," "bonding
authority," "commissioner," "federal tax law," and "housing pool" have the meanings given
in Minnesota Statutes, section 474A.02. As used in this section, "agency" and "city" have
the meanings given in Minnesota Statutes, section 474A.061, subdivision 2a, paragraph
(c). As used in this section, "carryforward" means the ability to issue obligations in a year
subsequent to the year in which an allocation of bonding authority was obtained under this
section as provided in section 146(f) of federal tax law.
new text end
new text begin Subd. 3. new text end
new text begin Allocations. new text end
new text begin
(a) The commissioner shall determine the aggregate dollar
amount attributable to the temporary increase in the annual volume cap for housing
purposes. Of this amount, the commissioner shall make the following allocations for 2008:
new text end
new text begin
(1) 43 percent to the housing pool, of which 31 percent of the allocation is reserved
for single-family housing programs for a period ending on the earlier of:
new text end
new text begin
(i) October 31, 2008, or October 31, 2009, if the increase is made available for
calendar year 2009; or
new text end
new text begin
(ii) 180 days after the allocation by the commissioner of the temporary increase
in the volume cap;
new text end
new text begin
(2) 30 percent to the agency;
new text end
new text begin
(3) 12 percent to the city of Minneapolis;
new text end
new text begin
(4) nine percent to the city of St. Paul; and
new text end
new text begin
(5) six percent to the Dakota County Community Development Agency for the
county of Dakota and all political subdivisions located within the county.
new text end
new text begin
(b) Allocations provided under this subdivision must be used for mortgage bonds or
residential rental project bonds.
new text end
new text begin
(c) Data on the home purchase price amount, mortgage amount, income, household
size, and race of the households served with the proceeds of mortgage bonds and
mortgage credit certificates using an allocation under this section in a calendar year
must be submitted by each issuer to the agency by December 31 of the following year.
Compliance by the agency with the provisions of Minnesota Statutes, section 462A.073,
subdivision 5, shall be deemed to be in compliance by the agency with the reporting
requirements of this paragraph.
new text end
new text begin
(d) Any amount allocated under paragraph (a), clause (2), (3), (4), or (5), may be
transferred as provided in Minnesota Statutes, section 474A.04, subdivision 6.
new text end
new text begin Subd. 4. new text end
new text begin Housing pool. new text end
new text begin
Any amounts allocated to the housing pool under
subdivision 3 that are not reserved for single-family housing programs must be allocated
according to Minnesota Statutes, section 474A.061, subdivisions 2a and 4, subject to
the following conditions:
new text end
new text begin
(1) other amounts in the housing pool, if any, must be allocated from the housing
pool before any allocation is made from amounts attributable to the temporary increase in
annual volume cap;
new text end
new text begin
(2) any amount of the temporary increase in the annual volume cap remaining in
the housing pool on the last Monday of July 2008, or on the last Monday of July 2009, if
the temporary increase in annual volume cap is made available for calendar year 2009, or
that is allocated to the housing pool under subdivision 3, thereafter shall remain in the
housing pool for allocation until the last Monday in November 2008, or the last Monday
in November 2009, if the temporary increase in the annual volume is made available
for calendar year 2009;
new text end
new text begin
(3) any allocation of the temporary increase in the annual volume cap that is
canceled under Minnesota Statutes, section 474A.061, subdivision 4, shall be returned to
the housing pool for reallocation, unless the cancellation occurs after the last Monday in
November 2008, or after the last Monday in November 2009, if the temporary increase in
the annual volume is made available for calendar year 2009, in which case the canceled
allocation is allocated to the agency; and
new text end
new text begin
(4) any bonding authority attributable to the temporary increase in the annual
volume cap that has not been allocated on December 1, 2008, or on December 1, 2009, if
the temporary increase in the annual volume is made available for calendar year 2009, is
allocated to the agency.
new text end
new text begin Subd. 5. new text end
new text begin Single-family housing programs. new text end
new text begin
(a) Bonding authority reserved in the
housing pool for single-family housing programs under subdivision 3 is available for
single-family housing programs for cities that applied in January 2008, and received an
allocation under Minnesota Statutes, section 474A.061, subdivision 2a, in 2008. If the
temporary increase in the annual volume is made available for calendar year 2009, the
bonding authority reserved in the housing pool for single-family housing programs under
subdivision 3 is available for single-family housing programs for cities that applied in
January 2009, and received an allocation under Minnesota Statutes, section 474A.061,
subdivision 2a, in 2009. The agency shall receive an allocation for mortgage bonds
pursuant to this subdivision. For a period of time determined by the agency, the agency
may accept applications from the cities for the volume cap.
new text end
new text begin
(b) The agency may issue bonds on behalf of participating cities. The agency shall
request an allocation from the commissioner for all applicants and the commissioner
shall allocate the requested amount to the agency. Allocations shall be awarded by the
commissioner through the last Monday in November 2008 for applications received by
4:30 p.m. on the Monday of the week preceding an allocation. If the temporary increase in
the annual volume is made available for calendar year 2009, the commissioner shall award
allocations through the last Monday in November 2009 for applications received by 4:30
p.m. on the Monday of the week preceding an allocation.
new text end
new text begin
Allocations must be made for each loan on a first-come, first-served basis among
the cities. The agency shall submit an application fee under Minnesota Statutes, section
474A.03, subdivision 4, and an application deposit equal to two percent of the requested
allocation to the commissioner when requesting an allocation from the housing pool
under this subdivision. After awarding an allocation and receiving a notice of issuance
for mortgage bonds issued on behalf of the participating cities, the commissioner shall
transfer the application deposit to the agency.
new text end
new text begin
(c) Total allocations from the housing pool for single-family housing programs
under this subdivision may not exceed 31 percent of the allocation to the housing pool
under subdivision 3 until November 1, 2008. If the temporary increase in the annual
volume is made available for calendar year 2009, the total allocations from the housing
pool for single-family housing programs under this subdivision may not exceed 31 percent
of the allocation to the housing pool under subdivision 3 until November 1, 2009.
new text end
new text begin
(d) An allocation awarded to the agency for mortgage bonds under this subdivision
may be carried forward by the agency as provided in subdivision 6.
new text end
new text begin Subd. 6. new text end
new text begin Carryforward. new text end
new text begin
Any issuer that receives an allocation under this section
may carry forward the allocation to the extent permitted by federal tax law. The provisions
of Minnesota Statutes, section 474A.04, subdivision 1a, do not apply to the carryforward.
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
ARTICLE 6
PROPERTY TAXES
Section 1.
Minnesota Statutes 2006, section 126C.41, subdivision 2, is amended to read:
Subd. 2.
Retired employee health benefits.
A district may levy an amount up to the
amount the district is required by the collective bargaining agreement in effect on March
30, 1992, to pay for health insurance or unreimbursed medical expenses for licensed
and nonlicensed employees who have terminated services in the employing district and
withdrawn from active teaching service or other active service, as applicable, before July
1, deleted text begin 1992deleted text end new text begin 1998, if a sunset clause is in effect for the current collective bargaining agreementnew text end .
The total amount of the levy each year may not exceed $600,000.
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective for taxes payable in 2009 and
thereafter.
new text end
Sec. 2.
Minnesota Statutes 2006, section 270C.85, subdivision 2, is amended to read:
Subd. 2.
Powers and duties.
The commissioner shall have and exercise the
following powers and duties in administering the property tax laws.
(a) Confer with, advise, and give the necessary instructions and directions to local
assessors and local boards of review throughout the state as to their duties under the
laws of the state.
(b) Direct proceedings, actions, and prosecutions to be instituted to enforce the
laws relating to the liability and punishment of public officers and officers and agents of
corporations for failure or negligence to comply with the provisions of the property tax
laws, and cause complaints to be made against local assessors, members of boards of
equalization, members of boards of review, or any other assessing or taxing officer, to the
proper authority, for their removal from office for misconduct or negligence of duty.
(c) Require county attorneys to assist in the commencement of prosecutions in
actions or proceedings for removal, forfeiture, and punishment, for violation of the
property tax laws in their respective districts or counties.
(d) Require town, city, county, and other public officers to report information as to
the assessment of property, and such other information as may be needful in the work of
the commissioner, in such form as the commissioner may prescribe.
(e) Transmit to the governor, on or before the third Monday in December of each
even-numbered year, and to each member of the legislature, on or before November
15 of each even-numbered year, the report of the department for the preceding years,
showing all the taxable property subject to the property tax laws and the value of the
same, in tabulated form.
(f) Inquire into the methods of assessment and taxation and ascertain whether the
assessors faithfully discharge their duties.
new text begin
(g) Assist local assessors in determining the estimated market value of industrial
special-use property. For purposes of this paragraph, "industrial special-use property"
means property that:
new text end
new text begin
(1) is designed and equipped for a particular type of industry;
new text end
new text begin
(2) is not easily adapted to some other use due to the unique nature of the facilities;
new text end
new text begin
(3) has facilities totaling at least 75,000 square feet in size; and
new text end
new text begin
(4) has a total estimated market value of $10,000,000 or greater based on the
assessor's preliminary determination.
new text end
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective for assessment year 2009 and
thereafter, for taxes payable in 2010 and thereafter.
new text end
Sec. 3.
Minnesota Statutes 2006, section 272.02, subdivision 55, is amended to read:
Subd. 55.
Electric generation facility; personal property.
Notwithstanding
subdivision 9, clause (a), attached machinery and other personal property which is part of
an electric generating facility that meets the requirements of this subdivision is exempt.
At the time of construction, the facility must (i) be designated as an innovative energy
project as defined in section 216B.1694, (ii) be within a tax relief area as defined in
section 273.134, (iii) have access to existing railroad infrastructure within less than three
miles, (iv) have received by resolution approval from the governing body of the county
and township or city in which the proposed facility is to be located for the exemption
of personal property under this subdivision, and (v) be designed to host at least 500
megawatts of electrical generation.
Construction of the first 500 megawatts of the facility must be commenced after
January 1, 2006, and before January 1, deleted text begin 2010deleted text end new text begin 2012new text end . Construction of up to an additional 750
megawatts of generation must be commenced before January 1, 2015. Property eligible
for this exemption does not include electric transmission lines and interconnections or gas
pipelines and interconnections appurtenant to the property or the facility. To qualify for an
exemption under this subdivision, the owner of the electric generation facility must have
an agreement with the host county, township or city, and school district, for payment in
lieu of personal property taxes to the host county, township or city, and school district.
Sec. 4.
Minnesota Statutes 2006, section 272.02, subdivision 84, is amended to read:
Subd. 84.
Electric generation facility; personal property.
Notwithstanding
subdivision 9, clause (a), attached machinery and other personal property which is part
of a 10.3 megawatt run-of-the-river hydroelectric generation facility and that meets the
requirements of this subdivision is exempt. At the time of construction, the facility must:
(1) utilize between 12 and 16 turbine generators at a dam site existing on March
31, 1994;
(2) be located on land within 3,000 feet of a 13.8 kilovolt distribution substation; and
(3) be eligible to receive a renewable energy production incentive payment under
section 216C.41.
Construction of the facility must be commenced after April 30, 2006, and before
January 1, deleted text begin 2009deleted text end new text begin 2011new text end . Property eligible for this exemption does not include electric
transmission lines and interconnections or gas pipelines and interconnections appurtenant
to the property or the facility.
Sec. 5.
Minnesota Statutes 2006, section 272.02, is amended by adding a subdivision
to read:
new text begin Subd. 88. new text end
new text begin Fergus Falls historical zone. new text end
new text begin
(a) Property located in the area of the
campus of the former state regional treatment center in the city of Fergus Falls, including
the five buildings and associated land that were acquired by the city prior to January 1,
2007, is exempt from ad valorem taxes levied under chapter 275.
new text end
new text begin
(b) The exemption applies for 15 calendar years from the date specified by resolution
of the governing body of the city of Fergus Falls. For the final three assessment years of
the duration limit, the exemption applies to the following percentages of estimated market
value of the property:
new text end
new text begin
(1) for the third to the last assessment year of the duration, 75 percent;
new text end
new text begin
(2) for the second to the last assessment year of the duration, 50 percent; and
new text end
new text begin
(3) for the last assessment year of the duration, 25 percent.
new text end
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective for property taxes payable in 2009
and thereafter.
new text end
Sec. 6.
Minnesota Statutes 2006, section 272.02, is amended by adding a subdivision
to read:
new text begin Subd. 89. new text end
new text begin Electric generation facility; personal property. new text end
new text begin
(a) Notwithstanding
subdivision 9, paragraph (a), attached machinery and other personal property which is
part of a simple-cycle combustion-turbine electric generation facility that exceeds 150
megawatts of installed capacity and that meets the requirements of this subdivision is
exempt. At the time of construction, the facility must:
new text end
new text begin
(1) utilize natural gas as a primary fuel;
new text end
new text begin
(2) be owned by an electric generation and transmission cooperative;
new text end
new text begin
(3) be located within one mile of an existing 16-inch natural gas pipeline and a
69-kilovolt and a 230-kilovolt high-voltage electric transmission line;
new text end
new text begin
(4) be designed to provide peaking, emergency backup, or contingency services;
new text end
new text begin
(5) have received a certificate of need under section 216B.243 demonstrating
demand for its capacity; and
new text end
new text begin
(6) have received by resolution the approval from the governing bodies of the county
and the city in which the proposed facility is to be located for the exemption of personal
property under this subdivision.
new text end
new text begin
(b) Construction of the facility must be commenced after January 1, 2008, and
before January 1, 2012. Property eligible for this exemption does not include electric
transmission lines and interconnections or gas pipelines and interconnections appurtenant
to the property or the facility.
new text end
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective for the 2008 assessment payable in
2009 and thereafter.
new text end
Sec. 7.
new text begin
[272.0213] LEASED SEASONAL-RECREATIONAL LAND.
new text end
new text begin
A county board may elect, by resolution, to exempt from taxation, including the
tax under section 273.19, qualified lands. "Qualified lands" for purposes of this section
means property that:
new text end
new text begin
(1) is owned by a county, city, town, the state, or the federal governments;
new text end
new text begin
(2) is rented by the entity for noncommercial seasonal-recreational or noncommercial
seasonal-recreational residential use; and
new text end
new text begin
(3) was rented for the purposes specified in clause (2) and was exempt from taxation
for property taxes payable in 2008.
new text end
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective beginning for taxes payable in 2009.
new text end
Sec. 8.
new text begin
[273.0645] COMMISSIONER REVIEW OF LOCAL ASSESSMENT
PRACTICES.
new text end
new text begin
The commissioner of revenue must review the assessment practices in a taxing
jurisdiction if requested in writing by a qualifying number of property owners in that
taxing jurisdiction. The request must be signed by the greater of:
new text end
new text begin
(1) ten percent of the registered voters who voted in the last general election; or
new text end
new text begin
(2) five property owners.
new text end
new text begin
The request must identify the city, town, or county and describe why a review is
sought for that taxing jurisdiction. The commissioner must conduct the review in a
reasonable amount of time and report the findings to the county board of the affected
county, to the affected city council or town board, if the review is for a specific city or
town, and to the property owner designated in the request as the person to receive the
report on behalf of all the property owners who signed the request. The commissioner
must also provide the report electronically to all property owners who signed the request
and provided an e-mail address in order to receive the report electronically.
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
Sec. 9.
Minnesota Statutes 2006, section 273.11, subdivision 14a, is amended to read:
Subd. 14a.
Vacant land platted on or after August 1, 2001; located in
metropolitan counties.
(a) new text begin Except as provided in subdivision 14c, new text end all land platted on or
after August 1, 2001, located in a metropolitan county, and not improved with a permanent
structure, shall be assessed as provided in this subdivision. The assessor shall determine
the market value of each individual lot based upon the highest and best use of the property
as unplatted land. In establishing the market value of the property, the assessor shall
consider the sale price of the unplatted land or comparable sales of unplatted land of
similar use and similar availability of public utilities.
(b) The market value determined in paragraph (a) shall be increased as follows for
each of the three assessment years immediately following the final approval of the plat:
one-third of the difference between the property's unplatted market value as determined
under paragraph (a) and the market value based upon the highest and best use of the land
as platted property shall be added in each of the three subsequent assessment years.
(c) Any increase in market value after the first assessment year following the plat's
final approval shall be added to the property's market value in the next assessment year.
Notwithstanding paragraph (b), if new text begin the property is sold or transferred, or new text end construction
begins before the expiration of the three years in paragraph (b), that lot shall be eligible
for revaluation in the next assessment year. The market value of a platted lot determined
under this subdivision shall not exceed the value of that lot based upon the highest and
best use of the property as platted land.
(d) For purposes of this section, "metropolitan county" means the counties of Anoka,
Carver, Dakota, Hennepin, Ramsey, Scott, and Washington.
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective for taxes payable in 2010 and
thereafter.
new text end
Sec. 10.
Minnesota Statutes 2006, section 273.11, subdivision 14b, is amended to read:
Subd. 14b.
Vacant land platted on or after August 1, 2001; located in
nonmetropolitan counties.
(a) All land platted on or after August 1, 2001, located in a
nonmetropolitan county, and not improved with a permanent structure, shall be assessed
as provided in this subdivision. The assessor shall determine the market value of each
individual lot based upon the highest and best use of the property as unplatted land. In
establishing the market value of the property, the assessor shall consider the sale price
of the unplatted land or comparable sales of unplatted land of similar use and similar
availability of public utilities.
(b) The market value determined in paragraph (a) shall be increased as follows for
each of the seven assessment years immediately following the final approval of the plat:
one-seventh of the difference between the property's unplatted market value as determined
under paragraph (a) and the market value based upon the highest and best use of the land
as platted property shall be added in each of the seven subsequent assessment years.
(c) Any increase in market value after the first assessment year following the plat's
final approval shall be added to the property's market value in the next assessment year.
Notwithstanding paragraph (b), if new text begin the property is sold or transferred, or new text end construction
begins before the expiration of the seven years in paragraph (b), that lot shall be eligible
for revaluation in the next assessment year. The market value of a platted lot determined
under this subdivision shall not exceed the value of that lot based upon the highest and
best use of the property as platted land.
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective for taxes payable in 2010 and
thereafter.
new text end
Sec. 11.
Minnesota Statutes 2006, section 273.11, is amended by adding a subdivision
to read:
new text begin Subd. 14c. new text end
new text begin
Certain vacant land platted on or after August 1, 2001; located
in metropolitan county.
new text end
new text begin
(a) All land platted on or after August 1, 2001, located in a
metropolitan county and not improved with a structure shall be eligible for the phase-in
assessment schedule under this subdivision, provided the property (i) is classified
homestead under section 273.13, subdivision 22 or 23, in the assessment year prior to the
year the initial platting begins on the property; (ii) has been owned or part-owned by the
same person for the ten consecutive years prior to the initial platting; and (iii) remains
under the same ownership in the current assessment year.
new text end
new text begin
(b) Based upon the assessor's records, the assessor shall obtain the estimated market
value of each individual lot based upon the highest and best use of the property as unplatted
land for the assessment year that the property was platted. In establishing the market value
of the property, the assessor shall have considered the sale price of the unplatted land or
comparable sales of unplatted land of similar use and similar availability of public utilities.
new text end
new text begin
(c) To the market value determined in paragraph (b) shall be added one-seventh
of the difference between the property's unplatted market value as determined under
paragraph (b) and the market value based upon the highest and best use of the land as
platted property in the current year, multiplied by the number of assessment years since
the property was platted, in each of the subsequent assessment years.
new text end
new text begin
(d) Notwithstanding paragraph (c), if the property is sold or transferred, or
construction begins before the expiration of the phase-in in paragraph (c), that lot shall
be eligible for revaluation in the next assessment year. The market value of a platted lot
determined under this subdivision shall not exceed the value of that lot based upon the
highest and best use of the property as platted land.
new text end
new text begin
(e) Any owner of eligible property platted before July 1, 2008, must file an
application with the assessor in order to receive the phase-in under this subdivision for the
remainder of the seven-year period. The application must be filed before July 1 in order
for the property to be eligible for the current year's assessment. The commissioner shall
prescribe a uniform application form and instructions.
new text end
new text begin
(f) For purposes of this section, "metropolitan county" means the counties of Anoka,
Carver, Dakota, Hennepin, Ramsey, Scott, and Washington.
new text end
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective for taxes payable in 2009 and
thereafter, except that the portion of paragraph (d) referring to a lot that is sold or
transferred is effective for taxes payable in 2010 and thereafter.
new text end
Sec. 12.
Minnesota Statutes 2006, section 273.111, subdivision 3, as amended by Laws
2008, chapter 154, article 13, section 26, is amended to read:
Subd. 3.
Requirements.
(a) Real estate consisting of ten acres or more or a nursery
or greenhouse, and qualifying for classification as class deleted text begin 1b,deleted text end 2adeleted text begin , or 2bdeleted text end under section 273.13,
shall be entitled to valuation and tax deferment under this section deleted text begin onlydeleted text end if it is primarily
devoted to agricultural use,deleted text begin and meets the qualifications in subdivision 6, deleted text end and either:
(1) is the homestead of the owner, or of a surviving spouse, child, or sibling of the
owner or is real estate which is farmed with the real estate which contains the homestead
property; or
(2) has been in possession of the applicant, the applicant's spouse, parent, or sibling,
or any combination thereof, for a period of at least seven years prior to application for
benefits under the provisions of this section, or is real estate which is farmed with the
real estate which qualifies under this clause and is within four townships or cities or
combination thereof from the qualifying real estate; or
(3) is the homestead of deleted text begin a shareholder in a family farm corporation as defined in
section 500.24, notwithstanding the fact that legal title to the real estate may be held in
the name of the family farm corporationdeleted text end new text begin an individual who is part of an entity described
in paragraph (b), clause (1), (2), or (3)new text end ; or
(4) is in the possession of a nursery or greenhouse or an entity owned by a proprietor,
partnership, or corporation which also owns the nursery or greenhouse operations on the
parcel or parcelsnew text begin , provided that only the acres used to produce nursery stock qualify
for treatment under this sectionnew text end .
(b) Valuation of real estate under this section is limited to parcels deleted text begin the ownership of
which is in noncorporate entitiesdeleted text end new text begin owned by individuals new text end except for:
(1) new text begin a new text end family farm deleted text begin corporations organized pursuant todeleted text end new text begin entity or authorized farm entity
regulated under new text end section 500.24; deleted text begin anddeleted text end
(2) new text begin a poultry entity other than a limited liability entity in which the majority of the
members, partners, or shareholders are related and at least one of the members, partners,
or shareholders either resides on the land or actively operates the land; and
new text end
new text begin (3) new text end corporations that derive 80 percent or more of their gross receipts from the
wholesale or retail sale of horticultural or nursery stock.
new text begin
The terms in this paragraph have the meanings given in section 500.24, where
applicable.
new text end
(c) Land that previously qualified for tax deferment under this section and no longer
qualifies because it is not primarily used for agricultural purposes but would otherwise
qualify under deleted text begin subdivisionsdeleted text end new text begin Minnesota Statutes 2006, section 273.111, subdivisionnew text end 3 deleted text begin and 6deleted text end new text begin ,
new text end for a period of at least three years will not be required to make payment of the previously
deferred taxes, notwithstanding the provisions of subdivision 9. Sale of the land prior to
the expiration of the three-year period requires payment of deferred taxes as follows: sale
in the year the land no longer qualifies requires payment of the current year's deferred
taxes plus payment of deferred taxes for the two prior years; sale during the second year
the land no longer qualifies requires payment of the current year's deferred taxes plus
payment of the deferred taxes for the prior year; and sale during the third year the land
no longer qualifies requires payment of the current year's deferred taxes. Deferred taxes
shall be paid even if the land qualifies pursuant to subdivision 11a. When such property is
sold or no longer qualifies under this paragraph, or at the end of the three-year period,
whichever comes first, all deferred special assessments plus interest are payable in equal
installments spread over the time remaining until the last maturity date of the bonds issued
to finance the improvement for which the assessments were levied. If the bonds have
matured, the deferred special assessments plus interest are payable within 90 days. The
provisions of section 429.061, subdivision 2, apply to the collection of these installments.
Penalties are not imposed on any such special assessments if timely paid.
new text begin
(d) Land that is enrolled in the reinvest in Minnesota program under sections
103F.501 to 103F.535, the federal Conservation Reserve Program as contained in Public
Law 99-198, or a similar state or federal conservation program does not qualify for
valuation and assessment deferral under this section. This paragraph applies to land that
has not qualified under this section for taxes payable in 2009 or previous years.
new text end
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective for taxes payable in 2010 and
thereafter.
new text end
Sec. 13.
Minnesota Statutes 2006, section 273.111, is amended by adding a subdivision
to read:
new text begin Subd. 3a. new text end
new text begin Property no longer eligible for deferment. new text end
new text begin
(a) Real estate receiving
the tax deferment under this section for assessment year 2008, but that does not qualify
for the 2009 assessment year due to changes in qualification requirements under this act,
shall continue to qualify until any part of the land is sold, transferred, or subdivided,
provided that the property continues to meet the requirements of Minnesota Statutes 2006,
section 273.111, subdivision 3.
new text end
new text begin
(b) When property assessed under this subdivision is withdrawn from the program or
becomes ineligible, the property shall be subject to additional taxes, in the amount equal
to the average difference between the taxes determined in accordance with subdivision
4, and the amount determined under subdivision 5, for the current year and the two
preceding years, multiplied by (1) three, in the case of class 2a property under section
273.13, subdivision 23, or any property withdrawn before January 2, 2009, or (2) seven, in
the case of property withdrawn after January 2, 2009, that is not class 2a property. The
number of years used as the multiplier must not exceed the number of years during which
the property was subject to this section. The amount determined under subdivision 5 shall
not be greater than it would have been had the actual bona fide sale price of the real
property at an arm's-length transaction been used in lieu of the market value determined
under subdivision 5. The additional taxes shall be extended against the property on the
tax list for the current year, provided that no interest or penalties shall be levied on the
additional taxes if timely paid.
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
Sec. 14.
Minnesota Statutes 2006, section 273.111, subdivision 4, is amended to read:
Subd. 4.
Determination of value.
new text begin (a) new text end The value of any real estate described
in subdivision 3 shall upon timely application by the owner, in the manner provided
in subdivision 8, be determined solely with reference to its appropriate agricultural
classification and value notwithstanding sections 272.03, subdivision 8, and 273.11. deleted text begin In
determining the value for ad valorem tax purposes, the assessor shall use sales data for
agricultural lands located outside the seven metropolitan counties having similar soil
types, number of degree days, and other similar agricultural characteristics.deleted text end Furthermore,
the assessor shall not consider any added values resulting from nonagricultural factors.
new text begin In order to account for the presence of nonagricultural influences that may affect the value
of agricultural land, the commissioner of revenue shall develop a fair and uniform method
of determining agricultural values for each county in the state that are consistent with this
subdivision. The commissioner shall annually assign the resulting values to each county,
and these values shall be used as the basis for determining the agricultural value for all
properties in the county qualifying for tax deferment under this section.
new text end
new text begin
(b) In the case of property qualifying for tax deferment only under subdivision 3a,
the value shall be based on the value in effect for assessment year 2008, multiplied by
the ratio of the total taxable market value of all property in the county for the current
assessment year divided by the total taxable market value of all property in the county
for assessment year 2008.
new text end
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective for assessment year 2009 and
thereafter.
new text end
Sec. 15.
Minnesota Statutes 2006, section 273.111, subdivision 8, is amended to read:
Subd. 8.
Application.
Application for deferment of taxes and assessment under this
section shall be filed by May 1 of the year prior to the year in which the taxes are payable.
Any application filed hereunder and granted shall continue in effect for subsequent years
until the property no longer qualifies. deleted text begin Suchdeleted text end new text begin Thenew text end application deleted text begin shalldeleted text end new text begin mustnew text end be filed with the
assessor of the taxing district in which the real property is located on deleted text begin suchdeleted text end new text begin thenew text end form deleted text begin as
may bedeleted text end prescribed by the commissioner of revenue. The assessor may require proof by
affidavit or otherwise that the property qualifies under deleted text begin subdivisionsdeleted text end new text begin subdivisionnew text end 3 deleted text begin and 6deleted text end new text begin
and may require the applicant to provide a copy of the appropriate schedule or form
showing farm income that is attested to by the applicant as having been included in the
most recently filed federal income tax return of the applicantnew text end .
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective for applications filed after May
1, 2008.
new text end
Sec. 16.
Minnesota Statutes 2006, section 273.111, subdivision 9, is amended to read:
Subd. 9.
Additional taxes.
When real property which is being, or has been valued
and assessed under this section no longer qualifies under deleted text begin subdivisionsdeleted text end new text begin subdivisionnew text end 3 deleted text begin and 6deleted text end ,
the portion no longer qualifying shall be subject to additional taxes, in the amount equal to
the difference between the taxes determined in accordance with subdivision 4, and the
amount determined under subdivision 5. Provided, however, that the amount determined
under subdivision 5 shall not be greater than it would have been had the actual bona fide
sale price of the real property at an arm's-length transaction been used in lieu of the market
value determined under subdivision 5. Such additional taxes shall be extended against
the property on the tax list for the current year, provided, however, that no interest or
penalties shall be levied on such additional taxes if timely paid, and provided further, that
such additional taxes shall only be levied with respect to the last three years that the said
property has been valued and assessed under this section.
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective for deferred taxes payable in 2009
and thereafter.
new text end
Sec. 17.
Minnesota Statutes 2006, section 273.111, subdivision 11, is amended to read:
Subd. 11.
Special local assessments.
The payment of special local assessments
levied after June 1, 1967, for improvements made to any real property described in
subdivision 3 together with the interest thereon shall, on timely application as provided
in subdivision 8, be deferred as long as such property meets the conditions contained in
deleted text begin subdivisionsdeleted text end new text begin subdivisionnew text end 3 deleted text begin and 6deleted text end new text begin or 3anew text end or is transferred to an agricultural preserve under
sections 473H.02 to 473H.17. If special assessments against the property have been
deferred pursuant to this subdivision, the governmental unit shall file with the county
recorder in the county in which the property is located a certificate containing the legal
description of the affected property and of the amount deferred. When such property
no longer qualifies under deleted text begin subdivisionsdeleted text end new text begin subdivisionnew text end 3 deleted text begin and 6deleted text end new text begin or 3anew text end , all deferred special
assessments plus interest shall be payable in equal installments spread over the time
remaining until the last maturity date of the bonds issued to finance the improvement
for which the assessments were levied. If the bonds have matured, the deferred special
assessments plus interest shall be payable within 90 days. The provisions of section
429.061, subdivision 2, apply to the collection of these installments. Penalty shall not be
levied on any such special assessments if timely paid.
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective for deferred taxes payable in 2009
and thereafter.
new text end
Sec. 18.
Minnesota Statutes 2006, section 273.111, subdivision 11a, is amended to read:
Subd. 11a.
Continuation of tax treatment upon sale.
When real property
qualifying under deleted text begin subdivisionsdeleted text end new text begin subdivisionnew text end 3 deleted text begin and 6deleted text end is sold, no additional taxes or deferred
special assessments plus interest shall be extended against the property provided the
property continues to qualify pursuant to deleted text begin subdivisionsdeleted text end new text begin subdivisionnew text end 3 deleted text begin and 6deleted text end , and provided
the new owner files an application for continued deferment within 30 days after the sale.
deleted text begin
For purposes of meeting the income requirements of subdivision 6, the property
purchased shall be considered in conjunction with other qualifying property owned by
the purchaser.
deleted text end
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective for deferred taxes payable in 2009
and thereafter.
new text end
Sec. 19.
Minnesota Statutes 2006, section 273.111, subdivision 14, is amended to read:
Subd. 14.
Applicability of special assessment provisions.
new text begin (a) new text end This section shall
apply to special local assessments levied after July 1, 1967, and payable in the years
thereafter, but shall not apply to any special assessments levied at any time by a county
or district court under deleted text begin the provisions ofdeleted text end chapter 116Anew text begin or by a watershed district under
chapter 103Dnew text end .
new text begin
(b) For special assessments levied by a watershed district under chapter 103D before
June 1, 2008, this section is effective only for real property initially qualifying for tax
deferment after May 31, 2008. For special assessments by a watershed district under
chapter 103D levied after May 31, 2008, this section is effective for all real property
qualifying for tax deferment under this section.
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
Sec. 20.
Minnesota Statutes 2006, section 273.111, is amended by adding a subdivision
to read:
new text begin Subd. 17. new text end
new text begin Implementation of program. new text end
new text begin
This section must be applied to eligible
properties by all county assessors, beginning no later than assessments for taxes levied
in 2009, payable in 2010, and thereafter, unless the commissioner of revenue determines
that a county is unable to comply with this requirement, in which case the county must
implement it for taxes levied in 2010, payable in 2011, and thereafter.
new text end
Sec. 21.
new text begin
[273.1115] AGGREGATE RESOURCE PRESERVATION PROPERTY
TAX LAW.
new text end
new text begin Subdivision 1. new text end
new text begin Definitions. new text end
new text begin
For purposes of this section, "commercial aggregate
deposit" and "actively mined" have the meanings given them in section 273.13,
subdivision 23, paragraph (l).
new text end
new text begin Subd. 2. new text end
new text begin Requirement. new text end
new text begin
Real estate is entitled to valuation under this section only if
all of the following requirements are met:
new text end
new text begin
(1) the property is classified 1a, 1b, 2a, or 2b property under section 273.13,
subdivisions 22 and 23;
new text end
new text begin
(2) the property is at least ten contiguous acres, when the application is filed under
subdivision 3;
new text end
new text begin
(3) the owner has filed a completed application for deferment as specified in
subdivision 3 with the county assessor in the county in which the property is located;
new text end
new text begin
(4) there are no delinquent taxes on the property; and
new text end
new text begin
(5) a covenant on the land restricts its use as provided in subdivision 3, clause (4).
new text end
new text begin Subd. 3. new text end
new text begin Application. new text end
new text begin
Application for valuation deferment under this section
must be filed by May 1 of the assessment year. Any application filed and granted
continues in effect for subsequent years until the property no longer qualifies, provided
that supplemental affidavits under subdivision 8 are timely filed. The application must
be filed with the assessor of the county in which the real property is located on such
form as may be prescribed by the commissioner of revenue. The application must be
executed and acknowledged in the manner required by law to execute and acknowledge a
deed and must contain at least the following information and any other information the
commissioner deems necessary:
new text end
new text begin
(1) the legal description of the area;
new text end
new text begin
(2) the name and address of owner;
new text end
new text begin
(3) a copy of the affidavit filed under section 273.13, subdivision 23, paragraph
(l), when property is classified as:
new text end
new text begin
(i) 1b under section 273.13, subdivision 22, paragraph (b);
new text end
new text begin
(ii) 2a under section 273.13, subdivision 23;
new text end
new text begin
(iii) 2b under section 273.13, subdivision 23; or
new text end
new text begin
(iv) 2e under section 273.13, subdivision 23, paragraph (l).
new text end
new text begin
The application must include a similar document with the same information as
contained in the affidavit under section 273.13, subdivision 23, paragraph (l); and
new text end
new text begin
(4) a statement of proof from the owner that the land contains a restrictive covenant
limiting its use for the property's surface to that which exists on the date of the application
and limiting its future use to the preparation and removal of the commercial aggregate
deposit under its surface. To qualify under this clause, the covenant must be binding on
the owner or the owner's successor or assignee, and run with the land, except as provided
in subdivision 5 allowing for the cancellation of the covenant under certain conditions.
new text end
new text begin Subd. 4. new text end
new text begin Determination of value. new text end
new text begin
Upon timely application by the owner as provided
in subdivision 3, notwithstanding sections 272.03, subdivision 8, and 273.11, the value of
any qualifying land described in subdivision 3 must be valued as if it were agricultural
property, using a per acre valuation equal to the current assessment year's average per acre
valuation of agricultural land in the county. The assessor shall not consider any additional
value resulting from potential alternative and future uses of the property. The buildings
located on the land shall be valued by the assessor in the normal manner.
new text end
new text begin Subd. 5. new text end
new text begin Cancellation of covenant. new text end
new text begin
The covenant required under subdivision
3 may be canceled in two ways:
new text end
new text begin
(1) by the owner beginning with the next subsequent assessment year provided
that the additional taxes as determined under subdivision 7 are paid by the owner at the
time of cancellation; or
new text end
new text begin
(2) by the city or town in which the property is located beginning with the next
subsequent assessment year, if the city council or town board:
new text end
new text begin
(i) changes the conditional use of the property;
new text end
new text begin
(ii) revokes the mining permit; or
new text end
new text begin
(iii) changes the zoning to disallow mining.
new text end
new text begin
No additional taxes are imposed on the property under this clause.
new text end
new text begin Subd. 6. new text end
new text begin County termination. new text end
new text begin
Within two years of the effective date of this section,
a county may, following notice and public hearing, terminate application of this section
in the county. The termination is effective upon adoption of a resolution of the county
board. A county has 60 days from receipt of the first application for enrollment under
this section to notify the applicant and any subsequent applicants of the county's intent
to begin the process of terminating application of this section in the county. The county
must act on the termination within six months. Upon termination by a vote of the county
board, all applications received prior to and during notification of intent to terminate shall
be deemed void. If the county board does not act on the termination within six months of
notification, all applications for valuation for deferment received shall be deemed eligible
for consideration to be enrolled under this section. Following this initial 60-day grace
period, a termination applies prospectively and does not affect property enrolled under this
section prior to the termination date. A county may reauthorize application of this section
by a resolution of the county board revoking the termination.
new text end
new text begin Subd. 7. new text end
new text begin Additional taxes. new text end
new text begin
When real property which has been valued and assessed
under this section no longer qualifies, the portion of the land classified under subdivision
2, clause (1), is subject to additional taxes. The additional tax amount is determined by:
new text end
new text begin
(1) computing the difference between (i) the current year's taxes determined in
accordance with subdivision 4, and (ii) an amount as determined by the assessor based
upon the property's current year's estimated market value of like real estate at its highest
and best use and the appropriate local tax rate; and
new text end
new text begin
(2) multiplying the amount determined in clause (1) by the number of years the
land was in the program under this section. The current year's estimated market value as
determined by the assessor must not exceed the market value that would result if the
property was sold in an arms-length transaction and must not be greater than it would have
been had the actual bona fide sale price of the property been used in lieu of that market
value. The additional taxes must be extended against the property on the tax list for the
current year, except that interest or penalties must not be levied on these additional taxes if
timely paid. The additional tax under this subdivision must not be imposed on that portion
of the property which has actively been mined and has been removed from the program
based upon the supplemental affidavits filed under subdivision 8.
new text end
new text begin Subd. 8. new text end
new text begin Supplemental affidavits; mining activity on land. new text end
new text begin
When any portion
of the property begins to be actively mined, the owner must file a supplemental affidavit
within 60 days from the day any aggregate is removed stating the number of acres of the
property that is actively being mined. The acres actively being mined shall be (1) valued
and classified under section 273.13, subdivision 24, in the next subsequent assessment
year, and (2) removed from the aggregate resource preservation property tax program
under this section. The additional taxes under subdivision 7 must not be imposed on the
acres that are actively being mined and have been removed from the program under this
section. Copies of the original affidavit and all supplemental affidavits must be filed
with the county assessor, the local zoning administrator, and the Department of Natural
Resources, Division of Land and Minerals. A supplemental affidavit must be filed each
time a subsequent portion of the property is actively mined, provided that the minimum
acreage change is five acres, even if the actual mining activity constitutes less than five
acres. Failure to file the affidavits timely shall result in the property losing its valuation
deferment under this section, and additional taxes must be imposed as calculated under
subdivision 7.
new text end
new text begin Subd. 9. new text end
new text begin Lien. new text end
new text begin
The additional tax imposed by this section is a lien upon the property
assessed to the same extent and for the same duration as other taxes imposed upon
property within this state and, when collected, must be distributed in the manner provided
by law for the collection and distribution of other property taxes.
new text end
new text begin Subd. 10. new text end
new text begin Continuation of tax treatment upon sale. new text end
new text begin
When real property qualifying
under subdivision 2 is sold, additional taxes must not be extended against the property
if the property continues to qualify under subdivision 2, and the new owner files an
application with the assessor for continued deferment within 30 days after the sale.
new text end
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective for taxes levied in 2009, payable
in 2010, and thereafter, except that for the 2009 assessment year, the application date
under subdivision 5 shall be September 1, 2009, and subdivision 6 is effective the day
following final enactment.
new text end
Sec. 22.
new text begin
[273.113] TAX CREDIT FOR PROPERTY IN PROPOSED BOVINE
TUBERCULOSIS MODIFIED ACCREDITED ZONE.
new text end
new text begin Subdivision 1. new text end
new text begin Definition. new text end
new text begin
For the purposes of this section, the following terms
have the meanings given to them:
new text end
new text begin
(1) "proposed bovine tuberculosis modified accredited zone" means the modified
accredited zone proposed by the Board of Animal Health under section 35.244; and
new text end
new text begin
(2) "located within" means that the herd is kept in the area for at least a part of
calendar year 2007.
new text end
new text begin Subd. 2. new text end
new text begin Eligibility; amount of credit. new text end
new text begin
Agricultural land classified under section
273.13, subdivision 23, located within a proposed bovine tuberculosis modified accredited
zone is eligible for a property tax credit equal to the property tax on the parcel where the
herd had been located, excluding any tax attributable to residential structures. To begin to
qualify for the tax credit, the owner shall file an application with the county by December
1 of the levy year. The credit must be given for each subsequent taxes payable year until
the credit terminates under subdivision 4. The assessor shall indicate the amount of the
property tax reduction on the property tax statement of each taxpayer receiving a credit
under this section. The credit paid pursuant to this section shall be deducted from the tax
due on the property as provided in section 273.1393.
new text end
new text begin Subd. 3. new text end
new text begin Reimbursement for lost revenue. new text end
new text begin
The county auditor shall certify to the
commissioner of revenue, as part of the abstracts of tax lists required to be filed with
the commissioner under section 275.29, the amount of tax lost to the county from the
property tax credit under subdivision 2. Any prior year adjustments must also be certified
in the abstracts of tax lists. The commissioner of revenue shall review the certifications to
determine their accuracy. The commissioner may make the changes in the certification
that are considered necessary or return a certification to the county auditor for corrections.
The commissioner shall reimburse each taxing district for the taxes lost. The payments
must be made at the time provided in section 473H.10 for payment to taxing jurisdictions
in the same proportion that the ad valorem tax is distributed. The amount necessary to
make the reimbursements under this section is annually appropriated from the general
fund to the commissioner of revenue.
new text end
new text begin Subd. 4. new text end
new text begin Termination of credit. new text end
new text begin
The credits provided under this section cease to be
available beginning with taxes payable in the year following the date when the Board of
Animal Health has certified that the state is free of bovine tuberculosis.
new text end
Sec. 23.
Minnesota Statutes 2006, section 273.121, as amended by Laws 2008, chapter
154, article 13, section 28, is amended to read:
273.121 VALUATION OF REAL PROPERTY, NOTICE.
new text begin Subdivision 1. new text end
new text begin Notice. new text end
Any county assessor or city assessor having the powers of a
county assessor, valuing or classifying taxable real property shall in each year notify those
persons whose property is to be included on the assessment roll that year if the person's
address is known to the assessor, otherwise the occupant of the property. The notice shall
be in writing and shall be sent by ordinary mail at least ten days before the meeting of
the local board of appeal and equalization under section 274.01 or the review process
established under section 274.13, subdivision 1c. Upon written request by the owner of the
property, the assessor may send the notice in electronic form or by electronic mail instead
of on paper or by ordinary mail. It shall contain: (1) the market value for the current and
prior assessment, (2) the limited market value under section 273.11, subdivision 1a, for
the current and prior assessment, (3) the qualifying amount of any improvements under
section 273.11, subdivision 16, for the current assessment, (4) the market value subject
to taxation after subtracting the amount of any qualifying improvements for the current
assessment, (5) the classification of the property for the current and prior assessment,
(6) a note that if the property is homestead and at least 45 years old, improvements
made to the property may be eligible for a valuation exclusion under section 273.11,
subdivision 16, (7) the assessor's office address, and (8) the dates, places, and times set for
the meetings of the local board of appeal and equalization, the review process established
under section 274.13, subdivision 1c, and the county board of appeal and equalization.
The commissioner of revenue shall specify the form of the notice. The assessor shall
attach to the assessment roll a statement that the notices required by this section have been
mailed. Any assessor who is not provided sufficient funds from the assessor's governing
body to provide such notices, may make application to the commissioner of revenue
to finance such notices. The commissioner of revenue shall conduct an investigation
and, if satisfied that the assessor does not have the necessary funds, issue a certification
to the commissioner of finance of the amount necessary to provide such notices. The
commissioner of finance shall issue a warrant for such amount and shall deduct such
amount from any state payment to such county or municipality. The necessary funds to
make such payments are hereby appropriated. Failure to receive the notice shall in no way
affect the validity of the assessment, the resulting tax, the procedures of any board of
review or equalization, or the enforcement of delinquent taxes by statutory means.
new text begin Subd. 2. new text end
new text begin Availability of data. new text end
new text begin
The notice must state where the information on
the property is available, the times when the information may be viewed by the public,
and the county's Web site address.
new text end
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective for notices prepared in 2009 and
thereafter.
new text end
Sec. 24.
Minnesota Statutes 2006, section 273.124, subdivision 1, is amended to read:
Subdivision 1.
General rule.
(a) Residential real estate that is occupied and used
for the purposes of a homestead by its owner, who must be a Minnesota resident, is
a residential homestead.
Agricultural land, as defined in section 273.13, subdivision 23, that is occupied and
used as a homestead by its owner, who must be a Minnesota resident, is an agricultural
homestead.
Dates for establishment of a homestead and homestead treatment provided to
particular types of property are as provided in this section.
Property held by a trustee under a trust is eligible for homestead classification if the
requirements under this chapter are satisfied.
The assessor shall require proof, as provided in subdivision 13, of the facts upon
which classification as a homestead may be determined. Notwithstanding any other law,
the assessor may at any time require a homestead application to be filed in order to verify
that any property classified as a homestead continues to be eligible for homestead status.
Notwithstanding any other law to the contrary, the Department of Revenue may, upon
request from an assessor, verify whether an individual who is requesting or receiving
homestead classification has filed a Minnesota income tax return as a resident for the most
recent taxable year for which the information is available.
When there is a name change or a transfer of homestead property, the assessor may
reclassify the property in the next assessment unless a homestead application is filed to
verify that the property continues to qualify for homestead classification.
(b) For purposes of this section, homestead property shall include property which
is used for purposes of the homestead but is separated from the homestead by a road,
street, lot, waterway, or other similar intervening property. The term "used for purposes
of the homestead" shall include but not be limited to uses for gardens, garages, or other
outbuildings commonly associated with a homestead, but shall not include vacant land
held primarily for future development. In order to receive homestead treatment for
the noncontiguous property, the owner must use the property for the purposes of the
homestead, and must apply to the assessor, both by the deadlines given in subdivision
9. After initial qualification for the homestead treatment, additional applications for
subsequent years are not required.
(c) Residential real estate that is occupied and used for purposes of a homestead by a
relative of the owner is a homestead but only to the extent of the homestead treatment
that would be provided if the related owner occupied the property. For purposes of this
paragraph and paragraph (g), "relative" means a parent, stepparent, child, stepchild,
grandparent, grandchild, brother, sister, uncle, aunt, nephew, or niece. This relationship
may be by blood or marriage. Property that has been classified as seasonal residential
recreational property at any time during which it has been owned by the current owner or
spouse of the current owner will not be reclassified as a homestead unless it is occupied as
a homestead by the owner; this prohibition also applies to property that, in the absence of
this paragraph, would have been classified as seasonal residential recreational property at
the time when the residence was constructed. Neither the related occupant nor the owner
of the property may claim a property tax refund under chapter 290A for a homestead
occupied by a relative. In the case of a residence located on agricultural land, only the
house, garage, and immediately surrounding one acre of land shall be classified as a
homestead under this paragraph, except as provided in paragraph (d).
(d) Agricultural property that is occupied and used for purposes of a homestead by
a relative of the owner, is a homestead, only to the extent of the homestead treatment
that would be provided if the related owner occupied the property, and only if all of the
following criteria are met:
(1) the relative who is occupying the agricultural property is a son, daughter, new text begin brother,
sister, new text end grandson, granddaughter, father, or mother of the owner of the agricultural property
or a son, daughter, new text begin brother, sister, new text end grandson, or granddaughter of the spouse of the owner
of the agricultural property;
(2) the owner of the agricultural property must be a Minnesota resident;
(3) the owner of the agricultural property must not receive homestead treatment on
any other agricultural property in Minnesota; and
(4) the owner of the agricultural property is limited to only one agricultural
homestead per family under this paragraph.
Neither the related occupant nor the owner of the property may claim a property
tax refund under chapter 290A for a homestead occupied by a relative qualifying under
this paragraph. For purposes of this paragraph, "agricultural property" means the house,
garage, other farm buildings and structures, and agricultural land.
Application must be made to the assessor by the owner of the agricultural property to
receive homestead benefits under this paragraph. The assessor may require the necessary
proof that the requirements under this paragraph have been met.
(e) In the case of property owned by a property owner who is married, the assessor
must not deny homestead treatment in whole or in part if only one of the spouses occupies
the property and the other spouse is absent due to: (1) marriage dissolution proceedings,
(2) legal separation, (3) employment or self-employment in another location, or (4) other
personal circumstances causing the spouses to live separately, not including an intent to
obtain two homestead classifications for property tax purposes. To qualify under clause
(3), the spouse's place of employment or self-employment must be at least 50 miles distant
from the other spouse's place of employment, and the homesteads must be at least 50 miles
distant from each other. Homestead treatment, in whole or in part, shall not be denied to
the owner's spouse who previously occupied the residence with the owner if the absence
of the owner is due to one of the exceptions provided in this paragraph.
(f) The assessor must not deny homestead treatment in whole or in part if:
(1) in the case of a property owner who is not married, the owner is absent due to
residence in a nursing home, boarding care facility, or an elderly assisted living facility
property as defined in section 273.13, subdivision 25a, and the property is not otherwise
occupied; or
(2) in the case of a property owner who is married, the owner or the owner's spouse
or both are absent due to residence in a nursing home, boarding care facility, or an elderly
assisted living facility property as defined in section 273.13, subdivision 25a, and the
property is not occupied or is occupied only by the owner's spouse.
(g) If an individual is purchasing property with the intent of claiming it as a
homestead and is required by the terms of the financing agreement to have a relative
shown on the deed as a co-owner, the assessor shall allow a full homestead classification.
This provision only applies to first-time purchasers, whether married or single, or to a
person who had previously been married and is purchasing as a single individual for the
first time. The application for homestead benefits must be on a form prescribed by the
commissioner and must contain the data necessary for the assessor to determine if full
homestead benefits are warranted.
(h) If residential or agricultural real estate is occupied and used for purposes of a
homestead by a child of a deceased owner and the property is subject to jurisdiction of
probate court, the child shall receive relative homestead classification under paragraph (c)
or (d) to the same extent they would be entitled to it if the owner was still living, until
the probate is completed. For purposes of this paragraph, "child" includes a relationship
by blood or by marriage.
(i) If a single-family home, duplex, or triplex classified as either residential
homestead or agricultural homestead is also used to provide licensed child care, the
portion of the property used for licensed child care must be classified as a part of the
homestead property.
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective for taxes payable in 2009 and
thereafter.
new text end
Sec. 25.
Minnesota Statutes 2007 Supplement, section 273.124, subdivision 14, as
amended by Laws 2008, chapter 154, article 2, section 7, is amended to read:
Subd. 14.
Agricultural homesteads; special provisions.
(a) Real estate of less than
ten acres that is the homestead of its owner must be classified as class 2a under section
273.13, subdivision 23, paragraph (a), if:
(1) the parcel on which the house is located is contiguous on at least two sides to (i)
agricultural land, (ii) land owned or administered by the United States Fish and Wildlife
Service, or (iii) land administered by the Department of Natural Resources on which in
lieu taxes are paid under sections 477A.11 to 477A.14;
(2) its owner also owns a noncontiguous parcel of agricultural land that is at least
20 acres;
(3) the noncontiguous land is located not farther than four townships or cities, or a
combination of townships or cities from the homestead; and
(4) the agricultural use value of the noncontiguous land and farm buildings is equal
to at least 50 percent of the market value of the house, garage, and one acre of land.
Homesteads initially classified as class 2a under the provisions of this paragraph shall
remain classified as class 2a, irrespective of subsequent changes in the use of adjoining
properties, as long as the homestead remains under the same ownership, the owner owns a
noncontiguous parcel of agricultural land that is at least 20 acres, and the agricultural use
value qualifies under clause (4). Homestead classification under this paragraph is limited
to property that qualified under this paragraph for the 1998 assessment.
(b)(i) Agricultural property shall be classified as the owner's homestead, to the same
extent as other agricultural homestead property, if all of the following criteria are met:
(1) the property consists of at least 40 acres including undivided government lots
and correctional 40's;
(2) the owner, the owner's spouse, the son or daughter of the owner or owner's
spouse, new text begin the brother or sister of the owner or owner's spouse, new text end or the grandson or
granddaughter of the owner or the owner's spouse, is actively farming the agricultural
property, either on the person's own behalf as an individual or on behalf of a partnership
operating a family farm, family farm corporation, joint family farm venture, or limited
liability company of which the person is a partner, shareholder, or member;
(3) both the owner of the agricultural property and the person who is actively
farming the agricultural property under clause (2), are Minnesota residents;
(4) neither the owner nor the spouse of the owner claims another agricultural
homestead in Minnesota; and
(5) neither the owner nor the person actively farming the property lives farther
than four townships or cities, or a combination of four townships or cities, from the
agricultural property, except that if the owner or the owner's spouse is required to live in
employer-provided housing, the owner or owner's spouse, whichever is actively farming
the agricultural property, may live more than four townships or cities, or combination of
four townships or cities from the agricultural property.
The relationship under this paragraph may be either by blood or marriage.
(ii) Real property held by a trustee under a trust is eligible for agricultural homestead
classification under this paragraph if the qualifications in clause (i) are met, except that
"owner" means the grantor of the trust.
(iii) Property containing the residence of an owner who owns qualified property
under clause (i) shall be classified as part of the owner's agricultural homestead, if that
property is also used for noncommercial storage or drying of agricultural crops.
(c) Noncontiguous land shall be included as part of a homestead under section
273.13, subdivision 23, paragraph (a), only if the homestead is classified as class 2a
and the detached land is located in the same township or city, or not farther than four
townships or cities or combination thereof from the homestead. Any taxpayer of these
noncontiguous lands must notify the county assessor that the noncontiguous land is part of
the taxpayer's homestead, and, if the homestead is located in another county, the taxpayer
must also notify the assessor of the other county.
(d) Agricultural land used for purposes of a homestead and actively farmed by a
person holding a vested remainder interest in it must be classified as a homestead under
section 273.13, subdivision 23, paragraph (a). If agricultural land is classified class 2a,
any other dwellings on the land used for purposes of a homestead by persons holding
vested remainder interests who are actively engaged in farming the property, and up to
one acre of the land surrounding each homestead and reasonably necessary for the use of
the dwelling as a home, must also be assessed class 2a.
(e) Agricultural land and buildings that were class 2a homestead property under
section 273.13, subdivision 23, paragraph (a), for the 1997 assessment shall remain
classified as agricultural homesteads for subsequent assessments if:
(1) the property owner abandoned the homestead dwelling located on the agricultural
homestead as a result of the April 1997 floods;
(2) the property is located in the county of Polk, Clay, Kittson, Marshall, Norman,
or Wilkin;
(3) the agricultural land and buildings remain under the same ownership for the
current assessment year as existed for the 1997 assessment year and continue to be used
for agricultural purposes;
(4) the dwelling occupied by the owner is located in Minnesota and is within 30
miles of one of the parcels of agricultural land that is owned by the taxpayer; and
(5) the owner notifies the county assessor that the relocation was due to the 1997
floods, and the owner furnishes the assessor any information deemed necessary by the
assessor in verifying the change in dwelling. Further notifications to the assessor are not
required if the property continues to meet all the requirements in this paragraph and any
dwellings on the agricultural land remain uninhabited.
(f) Agricultural land and buildings that were class 2a homestead property under
section 273.13, subdivision 23, paragraph (a), for the 1998 assessment shall remain
classified agricultural homesteads for subsequent assessments if:
(1) the property owner abandoned the homestead dwelling located on the agricultural
homestead as a result of damage caused by a March 29, 1998, tornado;
(2) the property is located in the county of Blue Earth, Brown, Cottonwood,
LeSueur, Nicollet, Nobles, or Rice;
(3) the agricultural land and buildings remain under the same ownership for the
current assessment year as existed for the 1998 assessment year;
(4) the dwelling occupied by the owner is located in this state and is within 50 miles
of one of the parcels of agricultural land that is owned by the taxpayer; and
(5) the owner notifies the county assessor that the relocation was due to a March 29,
1998, tornado, and the owner furnishes the assessor any information deemed necessary by
the assessor in verifying the change in homestead dwelling. For taxes payable in 1999, the
owner must notify the assessor by December 1, 1998. Further notifications to the assessor
are not required if the property continues to meet all the requirements in this paragraph
and any dwellings on the agricultural land remain uninhabited.
(g) Agricultural property of a family farm corporation, joint family farm venture,
family farm limited liability company, or partnership operating a family farm as described
under subdivision 8 shall be classified homestead, to the same extent as other agricultural
homestead property, if all of the following criteria are met:
(1) the property consists of at least 40 acres including undivided government lots
and correctional 40's;
(2) a shareholder, member, or partner of that entity is actively farming the
agricultural property;
(3) that shareholder, member, or partner who is actively farming the agricultural
property is a Minnesota resident;
(4) neither that shareholder, member, or partner, nor the spouse of that shareholder,
member, or partner claims another agricultural homestead in Minnesota; and
(5) that shareholder, member, or partner does not live farther than four townships or
cities, or a combination of four townships or cities, from the agricultural property.
Homestead treatment applies under this paragraph for property leased to a family
farm corporation, joint farm venture, limited liability company, or partnership operating a
family farm if legal title to the property is in the name of an individual who is a member,
shareholder, or partner in the entity.
(h) To be eligible for the special agricultural homestead under this subdivision, an
initial full application must be submitted to the county assessor where the property is
located. Owners and the persons who are actively farming the property shall be required
to complete only a one-page abbreviated version of the application in each subsequent
year provided that none of the following items have changed since the initial application:
(1) the day-to-day operation, administration, and financial risks remain the same;
(2) the owners and the persons actively farming the property continue to live within
the four townships or city criteria and are Minnesota residents;
(3) the same operator of the agricultural property is listed with the Farm Service
Agency;
(4) a Schedule F or equivalent income tax form was filed for the most recent year;
(5) the property's acreage is unchanged; and
(6) none of the property's acres have been enrolled in a federal or state farm program
since the initial application.
The owners and any persons who are actively farming the property must include
the appropriate Social Security numbers, and sign and date the application. If any of the
specified information has changed since the full application was filed, the owner must
notify the assessor, and must complete a new application to determine if the property
continues to qualify for the special agricultural homestead. The commissioner of revenue
shall prepare a standard reapplication form for use by the assessors.
(i) Agricultural land and buildings that were class 2a homestead property under
section 273.13, subdivision 23, paragraph (a), for the 2007 assessment shall remain
classified agricultural homesteads for subsequent assessments if:
(1) the property owner abandoned the homestead dwelling located on the agricultural
homestead as a result of damage caused by the August 2007 floods;
(2) the property is located in the county of Dodge, Fillmore, Houston, Olmsted,
Steele, Wabasha, or Winona;
(3) the agricultural land and buildings remain under the same ownership for the
current assessment year as existed for the 2007 assessment year;
(4) the dwelling occupied by the owner is located in this state and is within 50 miles
of one of the parcels of agricultural land that is owned by the taxpayer; and
(5) the owner notifies the county assessor that the relocation was due to the August
2007 floods, and the owner furnishes the assessor any information deemed necessary by
the assessor in verifying the change in homestead dwelling. For taxes payable in 2009, the
owner must notify the assessor by December 1, 2008. Further notifications to the assessor
are not required if the property continues to meet all the requirements in this paragraph
and any dwellings on the agricultural land remain uninhabited.
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective for taxes payable in 2009 and
thereafter.
new text end
Sec. 26.
Minnesota Statutes 2006, section 273.13, subdivision 23, as amended by Laws
2008, chapter 154, article 2, section 12, is amended to read:
Subd. 23.
Class 2.
(a) deleted text begin Class 2a property is agricultural land including any
improvementsdeleted text end new text begin An agricultural homestead consists of class 2a agricultural landnew text end that is
homesteadednew text begin , along with any class 2b rural vacant land that is contiguous to the class
2a land under the same ownershipnew text end . The market value of the house and garage and
immediately surrounding one acre of land has the same class rates as class 1anew text begin or 1bnew text end
property under subdivision 22. The value of the remaining land including improvements
up to the first tier valuation limit of agricultural homestead property has a net class rate of
deleted text begin 0.55deleted text end new text begin 0.5new text end percent of market value. The remaining property over the first tier has a class rate
of one percent of market value. For purposes of this subdivision, the "first tier valuation
limit of agricultural homestead property" and "first tier" means the limit certified under
section 273.11, subdivision 23.
(b) new text begin Class 2a agricultural land consists of parcels of property, or portions thereof, that
are agricultural land and buildings. Class 2a property has a net class rate of one percent of
market value, unless it is part of an agricultural homestead under paragraph (a). Class 2a
property may contain property that would otherwise be classified as 2b, including but not
limited to sloughs, wooded wind shelters, acreage abutting ditches, and other similar land
impractical for the assessor to value separately from the rest of the property.
new text end
new text begin
An assessor may classify the part of a parcel described in this subdivision that is used
for agricultural purposes as class 2a and the remainder in the class appropriate to its use.
new text end
new text begin (c)new text end Class 2b deleted text begin property is (1)deleted text end new text begin rural vacant land consists of parcels of property,
or portions thereof, that are unplatted new text end real estate, rural in character andnew text begin not used for
agricultural purposes, including landnew text end used deleted text begin exclusivelydeleted text end for growing trees for timber,
lumber, and wood and wood productsdeleted text begin ; (2) real estatedeleted text end new text begin ,new text end that is not improved with a structure
deleted text begin and is used exclusively for growing trees for timber, lumber, and wood and wood products,
if the owner has participated or is participating in a cost-sharing program for afforestation,
reforestation, or timber stand improvement on that particular property, administered or
coordinated by the commissioner of natural resources; (3) real estate that is nonhomestead
agricultural land; or (4) a landing area or public access area of a privately owned public
use airportdeleted text end .new text begin The presence of a minor, ancillary nonresidential structure as defined by the
commissioner of revenue does not disqualify the property from classification under this
paragraph. Any parcel of 20 acres or more improved with a structure that is not a minor,
ancillary nonresidential structure must be split-classified, and ten acres must be assigned
to the split parcel containing the structure.new text end Class 2b property has a net class rate of one
percent of market valuedeleted text begin , except that unplatted property described in clause (1) or (2) has
a net class rate of .65 percent if it consistsdeleted text end new text begin unless it is part of an agricultural homestead
under paragraph (a), or qualifies as class 2c under paragraph (d).
new text end
new text begin (d) Class 2c managed forest land consists new text end of no less than deleted text begin tendeleted text end new text begin 20new text end and no more than
1,920 acres deleted text begin anddeleted text end new text begin statewide per taxpayer thatnew text end is being managed under a forest management
plan that meets the requirements of chapter 290C, but is not enrolled in the sustainable
forest resource management incentive programnew text begin . It has a class rate of .65 percentnew text end , provided
that the owner of the property must apply to the assessor deleted text begin annuallydeleted text end to receive the reduced
class rate and provide the information required by the assessor to verify that the property
qualifies for the reduced rate. new text begin The commissioner of natural resources must concur that the
land is qualified. The commissioner of natural resources shall annually provide county
assessors verification information on a timely basis.
new text end
deleted text begin (c)deleted text end new text begin (e)new text end Agricultural land as used in this section means contiguous acreage of ten
acres or more, used during the preceding year for agricultural purposes. "Agricultural
purposes" as used in this section means the raising deleted text begin ordeleted text end new text begin ,new text end cultivationnew text begin , drying, or storagenew text end of
agricultural productsnew text begin for sale, or the storage of machinery or equipment used in support
of agricultural production by the same farm entitynew text end . new text begin For a property to be classified as
agricultural based only on the drying or storage of agricultural products, the products
being dried or stored must have been produced by the same farm entity as the entity
operating the drying or storage facility.new text end "Agricultural purposes" also includes enrollment
in the Reinvest in Minnesota program under sections 103F.501 to 103F.535 or the federal
Conservation Reserve Program as contained in Public Law 99-198 new text begin or a similar state
or federal conservation program new text end if the property was classified as agricultural (i) under
this subdivision for the assessment year 2002 or (ii) in the year prior to its enrollment.
deleted text begin Contiguous acreage on the same parcel, or contiguous acreage on an immediately adjacent
parcel under the same ownership, may also qualify as agricultural land, but only if it
is pasture, timber, waste, unusable wild land, or land included in state or federal farm
programs.deleted text end Agricultural classification deleted text begin for property shall be determined excluding the
house, garage, and immediately surrounding one acre of land, anddeleted text end shall not be based
upon the market value of any residential structures on the parcel or contiguous parcels
under the same ownership.
deleted text begin (d)deleted text end new text begin (f)new text end Real estatenew text begin of less than ten acresnew text end , deleted text begin excluding the house, garage, and
immediately surrounding one acre of land,deleted text end deleted text begin of less than ten acresdeleted text end which is exclusively deleted text begin anddeleted text end
new text begin ornew text end intensively used for raising or cultivating agricultural products, shall be considered as
agricultural landnew text begin . To qualify under this paragraph, property that includes a residential
structure must be used intensively for one of the following purposes:
new text end
new text begin
(i) for drying or storage of grain or storage of machinery or equipment used to
support agricultural activities on other parcels of property operated by the same farming
entity;
new text end
new text begin
(ii) as a nursery, provided that only those acres used to produce nursery stock are
considered agricultural land;
new text end
new text begin
(iii) for livestock or poultry confinement, provided that land that is used only for
pasturing and grazing does not qualify; or
new text end
new text begin (iv) for market farming; for purposes of this paragraph, "market farming" means the
cultivation of one or more fruits or vegetables or production of animal or other agricultural
products for sale to local markets by the farmer or an organization with which the farmer
is affiliatednew text end .
new text begin (g) new text end Land shall be classified as agricultural even if all or a portion of the agricultural
use of that property is the leasing to, or use by another person for agricultural purposes.
Classification under this subdivision is not determinative for qualifying under
section 273.111.
new text begin (h) new text end The property classification under this section supersedes, for property tax
purposes only, any locally administered agricultural policies or land use restrictions that
define minimum or maximum farm acreage.
deleted text begin (e)deleted text end new text begin (i)new text end The term "agricultural products" as used in this subdivision includes
production for sale of:
(1) livestock, dairy animals, dairy products, poultry and poultry products, fur-bearing
animals, horticultural and nursery stock, fruit of all kinds, vegetables, forage, grains,
bees, and apiary products by the owner;
(2) fish bred for sale and consumption if the fish breeding occurs on land zoned
for agricultural use;
(3) the commercial boarding of horses if the boarding is done in conjunction with
raising or cultivating agricultural products as defined in clause (1);
(4) property which is owned and operated by nonprofit organizations used for
equestrian activities, excluding racing;
(5) game birds and waterfowl bred and raised for use on a shooting preserve licensed
under section 97A.115;
(6) insects primarily bred to be used as food for animals;
(7) trees, grown for sale as a crop,new text begin including short rotation woody crops,new text end and not
sold for timber, lumber, wood, or wood products; and
(8) maple syrup taken from trees grown by a person licensed by the Minnesota
Department of Agriculture under chapter 28A as a food processor.
deleted text begin (f)deleted text end new text begin (j)new text end If a parcel used for agricultural purposes is also used for commercial or
industrial purposes, including but not limited to:
(1) wholesale and retail sales;
(2) processing of raw agricultural products or other goods;
(3) warehousing or storage of processed goods; and
(4) office facilities for the support of the activities enumerated in clauses (1), (2),
and (3),
the assessor shall classify the part of the parcel used for agricultural purposes as class
1b, 2a, or 2b, whichever is appropriate, and the remainder in the class appropriate to its
use. The grading, sorting, and packaging of raw agricultural products for first sale is
considered an agricultural purpose. A greenhouse or other building where horticultural
or nursery products are grown that is also used for the conduct of retail sales must be
classified as agricultural if it is primarily used for the growing of horticultural or nursery
products from seed, cuttings, or roots and occasionally as a showroom for the retail sale of
those products. Use of a greenhouse or building only for the display of already grown
horticultural or nursery products does not qualify as an agricultural purpose.
The assessor shall determine and list separately on the records the market value of
the homestead dwelling and the one acre of land on which that dwelling is located. If any
farm buildings or structures are located on this homesteaded acre of land, their market
value shall not be included in this separate determination.
deleted text begin (g)deleted text end new text begin (k) Class 2d airport landing area consists of a landing area or public access area
of a privately owned public use airport. It has a class rate of one percent of market value.new text end
To qualify for classification undernew text begin thisnew text end paragraph deleted text begin (b), clause (4)deleted text end , a privately owned public
use airport must be licensed as a public airport under section 360.018. For purposes ofnew text begin thisnew text end
paragraph deleted text begin (b), clause (4)deleted text end , "landing area" means that part of a privately owned public use
airport properly cleared, regularly maintained, and made available to the public for use by
aircraft and includes runways, taxiways, aprons, and sites upon which are situated landing
or navigational aids. A landing area also includes land underlying both the primary surface
and the approach surfaces that comply with all of the following:
(i) the land is properly cleared and regularly maintained for the primary purposes of
the landing, taking off, and taxiing of aircraft; but that portion of the land that contains
facilities for servicing, repair, or maintenance of aircraft is not included as a landing area;
(ii) the land is part of the airport property; and
(iii) the land is not used for commercial or residential purposes.
The land contained in a landing area undernew text begin thisnew text end paragraph deleted text begin (b), clause (4),deleted text end must be described
and certified by the commissioner of transportation. The certification is effective until it
is modified, or until the airport or landing area no longer meets the requirements of new text begin this
new text end paragraph deleted text begin (b), clause (4)deleted text end . For purposes of new text begin this new text end paragraph deleted text begin (b), clause (4)deleted text end , "public access
area" means property used as an aircraft parking ramp, apron, or storage hangar, or an
arrival and departure building in connection with the airport.
new text begin
(l) Class 2e consists of land with a commercial aggregate deposit that is not actively
being mined and is not otherwise classified as class 2a or 2b. It has a class rate of one
percent of market value. To qualify for classification under this paragraph, the property
must be at least ten contiguous acres in size and the owner of the property must record with
the county recorder of the county in which the property is located an affidavit containing:
new text end
new text begin
(1) a legal description of the property;
new text end
new text begin
(2) a disclosure that the property contains a commercial aggregate deposit that is not
actively being mined but is present on the entire parcel enrolled;
new text end
new text begin
(3) documentation that the conditional use under the county or local zoning
ordinance of this property is for mining; and
new text end
new text begin
(4) documentation that a permit has been issued by the local unit of government
or the mining activity is allowed under local ordinance. The disclosure must include a
statement from a registered professional geologist, engineer, or soil scientist delineating
the deposit and certifying that it is a commercial aggregate deposit.
new text end
new text begin
For purposes of this section and section 273.1115, "commercial aggregate deposit"
means a deposit that will yield crushed stone or sand and gravel that is suitable for use
as a construction aggregate; and "actively mined" means the removal of top soil and
overburden in preparation for excavation or excavation of a commercial deposit.
new text end
new text begin
(m) When any portion of the property under this subdivision or subdivision 22
begins to be actively mined, the owner must file a supplemental affidavit within 60 days
from the day any aggregate is removed stating the number of acres of the property that is
actively being mined. The acres actively being mined must be (1) valued and classified
under subdivision 24 in the next subsequent assessment year, and (2) removed from the
aggregate resource preservation property tax program under section 273.1115, if the
land was enrolled in that program. Copies of the original affidavit and all supplemental
affidavits must be filed with the county assessor, the local zoning administrator, and the
Department of Natural Resources, Division of Land and Minerals. A supplemental
affidavit must be filed each time a subsequent portion of the property is actively mined,
provided that the minimum acreage change is five acres, even if the actual mining activity
constitutes less than five acres.
new text end
new text begin EFFECTIVE DATE. new text end
new text begin
The portions of this section reducing the agricultural class
rate, expanding the definition of "agricultural purposes" in paragraph (e) and "agricultural
products" in paragraph (h), and relating to managed forest land in paragraph (d), are
effective for taxes payable in 2009 and thereafter. The remainder of the section is effective
for taxes payable in 2010 and thereafter.
new text end
Sec. 27.
Minnesota Statutes 2006, section 273.13, subdivision 25, as amended by Laws
2008, chapter 154, article 2, section 13, is amended to read:
Subd. 25.
Class 4.
(a) Class 4a is residential real estate containing four or more
units and used or held for use by the owner or by the tenants or lessees of the owner
as a residence for rental periods of 30 days or more, excluding property qualifying for
class 4d. Class 4a also includes hospitals licensed under sections 144.50 to 144.56, other
than hospitals exempt under section 272.02, and contiguous property used for hospital
purposes, without regard to whether the property has been platted or subdivided. The
market value of class 4a property has a class rate of 1.25 percent.
(b) Class 4b includes:
(1) residential real estate containing less than four units that does not qualify as class
4bb, other than seasonal residential recreational property;
(2) manufactured homes not classified under any other provision;
(3) a dwelling, garage, and surrounding one acre of property on a nonhomestead
farm classified under subdivision 23, paragraph (b) containing two or three units; and
(4) unimproved property that is classified residential as determined under subdivision
33.
The market value of class 4b property has a class rate of 1.25 percent.
(c) Class 4bb includes:
(1) nonhomestead residential real estate containing one unit, other than seasonal
residential recreational property; and
(2) a single family dwelling, garage, and surrounding one acre of property on a
nonhomestead farm classified under subdivision 23, paragraph (b).
Class 4bb property has the same class rates as class 1a property under subdivision 22.
Property that has been classified as seasonal residential recreational property at
any time during which it has been owned by the current owner or spouse of the current
owner does not qualify for class 4bb.
(d) Class 4c property includes:
(1) except as provided in subdivision 22, paragraph (c), or subdivision 23, paragraph
(b), clause (1), real and personal property devoted to temporary and seasonal residential
occupancy for recreation purposes, including real and personal property devoted to
temporary and seasonal residential occupancy for recreation purposes and not devoted to
commercial purposes for more than 250 days in the year preceding the year of assessment.
For purposes of this clause, property is devoted to a commercial purpose on a specific
day if any portion of the property is used for residential occupancy, and a fee is charged
for residential occupancy. Class 4c property must contain three or more rental units. A
"rental unit" is defined as a cabin, condominium, townhouse, sleeping room, or individual
camping site equipped with water and electrical hookups for recreational vehicles. Class
4c property must provide recreational activities such as renting ice fishing houses, boats
and motors, snowmobiles, downhill or cross-country ski equipment; provide marina
services, launch services, or guide services; or sell bait and fishing tackle. A camping
pad offered for rent by a property that otherwise qualifies for class 4c is also class 4c
regardless of the term of the rental agreement, as long as the use of the camping pad
does not exceed 250 days. In order for a property to be classified as class 4c, seasonal
residential recreational for commercial purposesnew text begin under this clausenew text end , at least 40 percent of
the annual gross lodging receipts related to the property must be from business conducted
during 90 consecutive days and either (i) at least 60 percent of all paid bookings by
lodging guests during the year must be for periods of at least two consecutive nights; or
(ii) at least 20 percent of the annual gross receipts must be from charges for rental of fish
houses, boats and motors, snowmobiles, downhill or cross-country ski equipment, or
charges for marina services, launch services, and guide services, or the sale of bait and
fishing tackle. For purposes of this determination, a paid booking of five or more nights
shall be counted as two bookings. Class 4c also includes commercial use real property
used exclusively for recreational purposes in conjunction with class 4c property devoted
to temporary and seasonal residential occupancy for recreational purposes, up to a total of
two acres, provided the property is not devoted to commercial recreational use for more
than 250 days in the year preceding the year of assessment and is located within two
miles of the class 4c property with which it is used. Owners of real and personal property
devoted to temporary and seasonal residential occupancy for recreation purposes and all
or a portion of which was devoted to commercial purposes for not more than 250 days in
the year preceding the year of assessment desiring classification as class 4c, must submit a
declaration to the assessor designating the cabins or units occupied for 250 days or less in
the year preceding the year of assessment by January 15 of the assessment year. Those
cabins or units and a proportionate share of the land on which they are located must be
designated class 4c as otherwise provided. The remainder of the cabins or units and
a proportionate share of the land on which they are located will be designated as class
3a. The owner of property desiring designation as class 4c property must provide guest
registers or other records demonstrating that the units for which class 4c designation is
sought were not occupied for more than 250 days in the year preceding the assessment if
so requested. The portion of a property operated as a (1) restaurant, (2) bar, (3) gift shop,
(4) conference center or meeting room, and (5) other nonresidential facility operated on a
commercial basis not directly related to temporary and seasonal residential occupancy for
recreation purposes does not qualify for class 4c;
(2) qualified property used as a golf course if:
(i) it is open to the public on a daily fee basis. It may charge membership fees or
dues, but a membership fee may not be required in order to use the property for golfing,
and its green fees for golfing must be comparable to green fees typically charged by
municipal courses; and
(ii) it meets the requirements of section 273.112, subdivision 3, paragraph (d).
A structure used as a clubhouse, restaurant, or place of refreshment in conjunction
with the golf course is classified as class 3a property;
(3) real property up to a maximum of three acres of land owned and used by a
nonprofit community service oriented organization and that is not used for residential
purposes on either a temporary or permanent basis, qualifies for class 4c provided that
it meets either of the following:
(i) the property is not used for a revenue-producing activity for more than six days
in the calendar year preceding the year of assessment; or
(ii) the organization makes annual charitable contributions and donations at least
equal to the property's previous year's property taxes and the property is allowed to be
used for public and community meetings or events for no charge, as appropriate to the
size of the facility.
For purposes of this clause,
(A) "charitable contributions and donations" has the same meaning as lawful
gambling purposes under section 349.12, subdivision 25, excluding those purposes
relating to the payment of taxes, assessments, fees, auditing costs, and utility payments;
(B) "property taxes" excludes the state general tax;
(C) a "nonprofit community service oriented organization" means any corporation,
society, association, foundation, or institution organized and operated exclusively for
charitable, religious, fraternal, civic, or educational purposes, and which is exempt from
federal income taxation pursuant to section 501(c)(3), (10), or (19) of the Internal Revenue
Code of 1986, as amended through December 31, 1990; and
(D) "revenue-producing activities" shall include but not be limited to property or that
portion of the property that is used as an on-sale intoxicating liquor or 3.2 percent malt
liquor establishment licensed under chapter 340A, a restaurant open to the public, bowling
alley, a retail store, gambling conducted by organizations licensed under chapter 349, an
insurance business, or office or other space leased or rented to a lessee who conducts a
for-profit enterprise on the premises.
Any portion of the property qualifying under item (i) which is used for revenue-producing
activities for more than six days in the calendar year preceding the year of assessment
shall be assessed as class 3a. The use of the property for social events open exclusively
to members and their guests for periods of less than 24 hours, when an admission is
not charged nor any revenues are received by the organization shall not be considered a
revenue-producing activity.
The organization shall maintain records of its charitable contributions and donations
and of public meetings and events held on the property and make them available upon
request any time to the assessor to ensure eligibility. An organization meeting the
requirement under item (ii) must file an application by May 1 with the assessor for
eligibility for the current year's assessment. The commissioner shall prescribe a uniform
application form and instructions;
(4) postsecondary student housing of not more than one acre of land that is owned by
a nonprofit corporation organized under chapter 317A and is used exclusively by a student
cooperative, sorority, or fraternity for on-campus housing or housing located within two
miles of the border of a college campus;
(5) manufactured home parks as defined in section 327.14, subdivision 3;
(6) real property that is actively and exclusively devoted to indoor fitness, health,
social, recreational, and related uses, is owned and operated by a not-for-profit corporation,
and is located within the metropolitan area as defined in section 473.121, subdivision 2;
(7) a leased or privately owned noncommercial aircraft storage hangar not exempt
under section 272.01, subdivision 2, and the land on which it is located, provided that:
(i) the land is on an airport owned or operated by a city, town, county, Metropolitan
Airports Commission, or group thereof; and
(ii) the land lease, or any ordinance or signed agreement restricting the use of the
leased premise, prohibits commercial activity performed at the hangar.
If a hangar classified under this clause is sold after June 30, 2000, a bill of sale must
be filed by the new owner with the assessor of the county where the property is located
within 60 days of the sale;
(8) a privately owned noncommercial aircraft storage hangar not exempt under
section 272.01, subdivision 2, and the land on which it is located, provided that:
(i) the land abuts a public airport; and
(ii) the owner of the aircraft storage hangar provides the assessor with a signed
agreement restricting the use of the premises, prohibiting commercial use or activity
performed at the hangar; and
(9) residential real estate, a portion of which is used by the owner for homestead
purposes, and that is also a place of lodging, if all of the following criteria are met:
(i) rooms are provided for rent to transient guests that generally stay for periods
of 14 or fewer days;
(ii) meals are provided to persons who rent rooms, the cost of which is incorporated
in the basic room rate;
(iii) meals are not provided to the general public except for special events on fewer
than seven days in the calendar year preceding the year of the assessment; and
(iv) the owner is the operator of the property.
The market value subject to the 4c classification under this clause is limited to five rental
units. Any rental units on the property in excess of five, must be valued and assessed as
class 3a. The portion of the property used for purposes of a homestead by the owner must
be classified as class 1a property under subdivision 22deleted text begin .deleted text end new text begin ; andnew text end
new text begin
(10) real property up to a maximum of three acres and operated as a restaurant
as defined under section 157.15, subdivision 12, provided it: (A) is located on a lake
as defined under section 103G.005, subdivision 15, paragraph (a), clause (3); and (B)
is either devoted to commercial purposes for not more than 250 consecutive days, or
receives at least 60 percent of its annual gross receipts from business conducted during
four consecutive months. Gross receipts from the sale of alcoholic beverages must be
included in determining the property's qualification under subitem (B). The property's
primary business must be as a restaurant and not as a bar. Gross receipts from gift shop
sales located on the premises must be excluded. Owners of real property desiring 4c
classification under this clause must submit an annual declaration to the assessor by
February 1 of the current assessment year, based on the property's relevant information for
the preceding assessment year.
new text end
Class 4c property has a class rate of 1.5 percent of market value, except that (i) each
parcel of seasonal residential recreational property not used for commercial purposes has
the same class rates as class 4bb property, (ii) manufactured home parks assessed under
clause (5) have the same class rate as class 4b property, (iii) commercial-use seasonal
residential recreational property has a class rate of one percent for the first $500,000 of
market value, and 1.25 percent for the remaining market value, (iv) the market value of
property described in clause (4) has a class rate of one percent, (v) the market value
of property described in clauses (2) deleted text begin anddeleted text end new text begin ,new text end (6)new text begin , and (10)new text end has a class rate of 1.25 percent,
and (vi) that portion of the market value of property in clause (9) qualifying for class 4c
property has a class rate of 1.25 percent.
(e) Class 4d property is qualifying low-income rental housing certified to the assessor
by the Housing Finance Agency under section 273.128, subdivision 3. If only a portion
of the units in the building qualify as low-income rental housing units as certified under
section 273.128, subdivision 3, only the proportion of qualifying units to the total number
of units in the building qualify for class 4d. The remaining portion of the building shall be
classified by the assessor based upon its use. Class 4d also includes the same proportion of
land as the qualifying low-income rental housing units are to the total units in the building.
For all properties qualifying as class 4d, the market value determined by the assessor must
be based on the normal approach to value using normal unrestricted rents.
Class 4d property has a class rate of 0.75 percent.
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective for taxes payable in 2009 and
thereafter, except that for the 2008 assessment year, the declaration to the assessor shall be
September 1, 2008.
new text end
Sec. 28.
Minnesota Statutes 2006, section 273.13, subdivision 33, is amended to read:
Subd. 33.
Classification of unimproved property.
(a) All real property that is not
improved with a structure must be classified according to its current use.
(b) new text begin Except as provided in subdivision 23, paragraph (c), new text end real property that is not
improved with a structure and for which there is no identifiable current use must be
classified according to its highest and best use permitted under the local zoning ordinance.
If the ordinance permits more than one use, the land must be classified according to the
highest and best use permitted under the ordinance. If no such ordinance exists, the
assessor shall consider the most likely potential use of the unimproved land based upon
the use made of surrounding land or land in proximity to the unimproved land.
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective for taxes payable in 2010 and
thereafter.
new text end
Sec. 29.
Minnesota Statutes 2006, section 273.1384, subdivision 2, is amended to read:
Subd. 2.
Agricultural homestead market value credit.
Property classified as deleted text begin class
2adeleted text end agricultural homestead new text begin under section 273.13, subdivision 23, paragraph (a), new text end is eligible
for an agricultural credit. The credit is computed using the property's agricultural credit
market value, defined for this purpose as the property's deleted text begin class 2adeleted text end market value excluding
the market value of the house, garage, and immediately surrounding one acre of land. The
credit is equal to 0.3 percent of the first $115,000 of the property's agricultural credit
market value minus .05 percent of the property's agricultural credit market value in excess
of $115,000, subject to a maximum reduction of $115. In the case of property that is
classified deleted text begin indeleted text end new text begin asnew text end part deleted text begin as class 2a agriculturaldeleted text end homestead and deleted text begin indeleted text end part deleted text begin as class 2bdeleted text end nonhomestead
deleted text begin farm landdeleted text end solely because not all the owners occupy or farm the property, not all the owners
have qualifying relatives occupying or farming the property, or solely because not all the
spouses of owners occupy the property, the credit must be initially computed as if that
nonhomestead agricultural land was also classified as deleted text begin class 2adeleted text end agricultural homestead and
then prorated to the owner-occupant's percentage of ownership.
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective for taxes payable in 2010 and
thereafter.
new text end
Sec. 30.
Minnesota Statutes 2007 Supplement, section 273.1393, is amended to read:
273.1393 COMPUTATION OF NET PROPERTY TAXES.
Notwithstanding any other provisions to the contrary, "net" property taxes are
determined by subtracting the credits in the order listed from the gross tax:
(1) disaster credit as provided in sections 273.1231 to 273.1235;
(2) powerline credit as provided in section 273.42;
(3) agricultural preserves credit as provided in section 473H.10;
(4) enterprise zone credit as provided in section 469.171;
(5) disparity reduction credit;
(6) conservation tax credit as provided in section 273.119;
(7) homestead and agricultural credits as provided in section 273.1384;
(8) taconite homestead credit as provided in section 273.135; deleted text begin anddeleted text end
(9) supplemental homestead credit as provided in section 273.1391new text begin ; and
new text end
new text begin (10) the bovine tuberculosis zone credit, as provided in section 273.113new text end .
The combination of all property tax credits must not exceed the gross tax amount.
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective for taxes payable in 2009 and
thereafter.
new text end
Sec. 31.
Minnesota Statutes 2006, section 273.19, subdivision 1, is amended to read:
Subdivision 1.
Tax-exempt property; lease.
Except as provided in subdivision 3 or
4, tax-exempt property held under a lease for a term of at least one year, and not taxable
under section 272.01, subdivision 2, or under a contract for the purchase thereof, shall be
considered, for all purposes of taxation, as the property of the person holding it. In this
subdivision, "tax-exempt property" means property owned by the United States, the state,
a school, or any religious, scientific, or benevolent society or institution, incorporated
or unincorporated, or any corporation whose property is not taxed in the same manner
as other property. This subdivision does not apply to property exempt from taxation
under section 272.01, subdivision 2, paragraph (b), clauses (2), (3), and (4)new text begin , or to property
exempt from taxation under section 272.0213new text end .
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective for taxes payable in 2009 and
thereafter.
new text end
Sec. 32.
Minnesota Statutes 2006, section 274.14, is amended to read:
274.14 LENGTH OF SESSION; RECORD.
The board may meet on any ten consecutive meeting days in June, after the second
Friday in June. The actual meeting dates must be contained on the valuation notices
mailed to each property owner in the county as provided in section 273.121. For this
purpose, "meeting days" is defined as any day of the week excluding deleted text begin Saturday anddeleted text end Sunday.new text begin
At the board's discretion, "meeting days" may include Saturday.new text end No action taken by the
county board of review after June 30 is valid, except for corrections permitted in sections
273.01 and 274.01. The county auditor shall keep an accurate record of the proceedings
and orders of the board. The record must be published like other proceedings of county
commissioners. A copy of the published record must be sent to the commissioner of
revenue, with the abstract of assessment required by section 274.16.
new text begin
For counties that conduct either regular board of review meetings or open book
meetings, at least one of the meeting days must include a meeting that does not end
before 7:00 p.m. For counties that require taxpayer appointments for the board of review,
appointments must include some available times that extend until at least 7:00 p.m. The
county may have a Saturday meeting in lieu of, or in addition to, the extended meeting
times under this paragraph.
new text end
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective for assessment year 2009 and
thereafter.
new text end
Sec. 33.
Minnesota Statutes 2006, section 275.065, is amended by adding a subdivision
to read:
new text begin Subd. 1d. new text end
new text begin Failure to certify proposed levy. new text end
new text begin
If a taxing authority fails to certify
its proposed levy by the due dates specified under subdivisions 1, 1a, and 1c, the county
auditor shall use the authority's previous year's final levy under section 275.07, subdivision
1, for purposes of determining its proposed property tax notices and public advertisements
under this section.
new text end
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective for notices prepared in 2008, for
property taxes payable in 2009 and thereafter.
new text end
Sec. 34.
Minnesota Statutes 2006, section 275.065, subdivision 8, is amended to read:
Subd. 8.
Hearing.
Notwithstanding any other provision of law, Ramsey County,
the city of St. Paul, and Independent School District No. 625 are authorized to and shall
hold their initial public hearing jointly. The hearing must be held deleted text begin ondeleted text end new text begin during the week ofnew text end
the second Tuesday of December each year. The advertisement required in subdivision
5a may be a joint advertisement. The hearing is otherwise subject to the requirements
of this section.
Ramsey County is authorized to hold an additional initial hearing or hearings as
provided under this section, provided that any additional hearings must not conflict
with the initial or continuation hearing dates of the other taxing districts. However, if
Ramsey County elects not to hold such additional initial hearing or hearings, the joint
initial hearing required by this subdivision must be held in a St. Paul location convenient
to residents of Ramsey County.
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective for proposed notices and hearings
held in 2008 and thereafter.
new text end
Sec. 35.
Minnesota Statutes 2006, section 282.08, is amended to read:
282.08 APPORTIONMENT OF PROCEEDS TO TAXING DISTRICTS.
The net proceeds from the sale or rental of any parcel of forfeited land, or from the
sale of products from the forfeited land, must be apportioned by the county auditor to the
taxing districts interested in the land, as follows:
(1) the portion required to pay any amounts included in the appraised value
under section 282.01, subdivision 3, as representing increased value due to any public
improvement made after forfeiture of the parcel to the state, but not exceeding the amount
certified by the deleted text begin clerk of the municipalitydeleted text end new text begin appropriate governmental authoritynew text end must be
apportioned to the deleted text begin municipaldeleted text end new text begin governmentalnew text end subdivision entitled to it;
(2) the portion required to pay any amount included in the appraised value under
section 282.019, subdivision 5, representing increased value due to response actions
taken after forfeiture of the parcel to the state, but not exceeding the amount of expenses
certified by the Pollution Control Agency or the commissioner of agriculture, must be
apportioned to the agency or the commissioner of agriculture and deposited in the fund
from which the expenses were paid;
(3) the portion of the remainder required to discharge any special assessment
chargeable against the parcel for drainage or other purpose whether due or deferred at
the time of forfeiture, must be apportioned to the deleted text begin municipaldeleted text end new text begin governmentalnew text end subdivision
entitled to it; and
(4) any balance must be apportioned as follows:
(i) The county board may annually by resolution set aside no more than 30 percent
of the receipts remaining to be used for forest development on tax-forfeited land and
dedicated memorial forests, to be expended under the supervision of the county board. It
must be expended only on projects improving the health and management of the forest
resource.
(ii) The county board may annually by resolution set aside no more than 20 percent
of the receipts remaining to be used for the acquisition and maintenance of county parks
or recreational areas as defined in sections 398.31 to 398.36, to be expended under the
supervision of the county board.
(iii) Any balance remaining must be apportioned as follows: county, 40 percent;
town or city, 20 percent; and school district, 40 percent, provided, however, that in
unorganized territory that portion which would have accrued to the township must be
administered by the county board of commissioners.
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective the day following final enactment.
new text end
Sec. 36.
Minnesota Statutes 2006, section 298.75, subdivision 1, as amended by Laws
2008, chapter 154, article 8, section 15, is amended to read:
Subdivision 1.
Definitions.
Except as may otherwise be provided, the following
words, when used in this section, shall have the meanings herein ascribed to them.
(a) "Aggregate material" means:
(1) nonmetallic natural mineral aggregate including, but not limited to sand, silica
sand, gravel, crushed rock, limestone, granite, and borrow, but only if the borrow is
transported on a public road, street, or highway, provided that nonmetallic aggregate
material does not include dimension stone and dimension granite; and
(2) taconite tailings, crushed rock, and architectural or dimension stone and
dimension granite removed from a taconite mine or the site of a previously operated
taconite mine.
Aggregate material must be measured or weighed after it has been extracted from
the pit, quarry, or deposit.
(b) "Person" means any individual, firm, partnership, corporation, organization,
trustee, association, or other entity.
(c) "Operator" means any person engaged in the business of removing aggregate
material from the surface or subsurface of the soil, for the purpose of sale, either directly
or indirectly, through the use of the aggregate material in a marketable product or service.
(d) "Extraction site" means a pit, quarry, or deposit containing aggregate material
and any contiguous property to the pit, quarry, or deposit which is used by the operator for
stockpiling the aggregate material.
(e) "Importer" means any person who buys aggregate material deleted text begin produceddeleted text end new text begin excavatednew text end
from a county not listed in paragraph (f) or another state and causes the aggregate material
to be imported into a county in this state which imposes a tax on aggregate material.
(f) "County" means the counties of Pope, Stearns, Benton, Sherburne, Carver, Scott,
Dakota, Le Sueur, Kittson, Marshall, Pennington, Red Lake, Polk, Norman, Mahnomen,
Clay, Becker, Carlton, St. Louis, Rock, Murray, Wilkin, Big Stone, Sibley, Hennepin,
Washington, Chisago, and Ramsey. County also means any other county whose board
has voted after a public hearing to impose the tax under this section and has notified the
commissioner of revenue of the imposition of the tax.
(g) "Borrow" means granular borrow, consisting of durable particles of gravel and
sand, crushed quarry or mine rock, crushed gravel or stone, or any combination thereof,
the ratio of the portion passing the (#200) sieve divided by the portion passing the (1 inch)
sieve may not exceed 20 percent by mass.
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective January 1, 2009.
new text end
Sec. 37.
Minnesota Statutes 2006, section 298.75, subdivision 2, is amended to read:
Subd. 2.
Tax imposed.
new text begin (a) new text end A county new text begin that imposes the aggregate production tax new text end shall
impose upon every deleted text begin importer anddeleted text end operator a production tax deleted text begin up to ten centsdeleted text end new text begin of 21.5 cents new text end per
cubic yard or deleted text begin up to sevendeleted text end new text begin 15 new text end cents per ton of aggregate material deleted text begin removeddeleted text end new text begin excavated in the
county new text end except that the county board may decide not to impose this tax if it determines
that in the previous year operators removed less than 20,000 tons or 14,000 cubic yards of
aggregate material from that county. The tax shall new text begin not new text end be imposed on aggregate material
deleted text begin produceddeleted text end new text begin excavatednew text end in the county deleted text begin whendeleted text end new text begin until new text end the aggregate material is transported from
the extraction site or soldnew text begin , whichever occurs firstnew text end . When aggregate material is stored in a
stockpile within the state of Minnesota and a public highway, road or street is not used
for transporting the aggregate material, the tax shall new text begin not new text end be imposed new text begin until new text end either when the
aggregate material is sold, or when it is transported from the stockpile site, or when it is
used from the stockpile, whichever occurs first.
new text begin (b) A county that imposes the aggregate production tax under paragraph (a) shall
impose upon every importer a production tax of 21.5 cents per cubic yard or 15 cents per
ton of aggregate material imported into the county. The tax shall be imposed when the
aggregate material is imported from the extraction site or sold. When imported aggregate
material is stored in a stockpile within the state of Minnesota and a public highway, road,
or street is not used for transporting the aggregate material, the tax shall be imposed either
when the aggregate material is sold, when it is transported from the stockpile site, or when
it is used from the stockpile, whichever occurs first.new text end The tax shall be imposed on an
importer when the aggregate material is imported into the county that imposes the tax.
new text begin (c) new text end If the aggregate material is transported directly from the extraction site to a
waterway, railway, or another mode of transportation other than a highway, road or street,
the tax imposed by this section shall be apportioned equally between the county where the
aggregate material is extracted and the county to which the aggregate material is originally
transported. If that destination is not located in Minnesota, then the county where the
aggregate material was extracted shall receive all of the proceeds of the tax.
new text begin
(d) A county, city, or town that receives revenue under this section is prohibited
from imposing any additional host community fees on aggregate production within that
county, city, or town.
new text end
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective January 1, 2009.
new text end
Sec. 38.
Minnesota Statutes 2006, section 298.75, subdivision 6, is amended to read:
Subd. 6.
Penalties; removal of aggregate if previous tax not paid; false report.
It is a misdemeanor for any operator or importer to remove aggregate material from a
pit, quarry, or deposit or for any importer to import aggregate material unless all taxes
due under this section for deleted text begin thedeleted text end new text begin all new text end previous reporting deleted text begin perioddeleted text end new text begin periods new text end have been paid or
objections thereto have been filed pursuant to subdivision 4.
It is a misdemeanor for the operator or importer who is required to file a report to file
a false report with intent to evade the tax.
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective January 1, 2009.
new text end
Sec. 39.
Minnesota Statutes 2006, section 298.75, subdivision 7, as amended by Laws
2008, chapter 154, article 8, section 17, is amended to read:
Subd. 7.
Proceeds of taxes.
new text begin (a) new text end All money collected as taxes under this section
on aggregate material as defined in subdivision 1, paragraph (a), clause (1), shall be
deposited in the county treasury and credited deleted text begin as follows, for expenditure by the county
board:deleted text end new text begin according to this subdivision.new text end
new text begin
(b) The county auditor may retain an annual administrative fee of up to five percent
of the total taxes collected in any year.
new text end
new text begin
(c) The balance of the taxes, after any deduction under paragraph (b), shall be
credited as follows:
new text end
deleted text begin (a) Sixtydeleted text end new text begin (1) 42.5new text end percent to the county road and bridge fund for expenditure for the
maintenance, construction and reconstruction of roads, highways and bridges;
deleted text begin (b) Thirtydeleted text end new text begin (2) 42.5new text end percent to the deleted text begin road and bridge fund of those towns as determined
by the county board and to thedeleted text end general fund deleted text begin or other designated fund of those cities as
determined by the county boarddeleted text end new text begin of the city or town in which the mine is located, or to the
county, if the mine is located in an unorganized townnew text end , to be expended for maintenance,
construction and reconstruction of roads, highways and bridges; and
deleted text begin (c) Tendeleted text end new text begin (3) 15new text end percent to a special reserve fund which is hereby established, for
expenditure for the restoration of abandoned pits, quarries, or deposits located deleted text begin upon public
and tax forfeited landsdeleted text end within the county.
If there are no abandoned pits, quarries or deposits located deleted text begin upon public or tax
forfeited landsdeleted text end within the county, this portion of the tax shall be deleted text begin deposited in the county
road and bridge fund for expenditure for the maintenance, construction and reconstruction
of roads, highways and bridgesdeleted text end new text begin used for any other unmet reclamation need or for
conservation or other environmental needsnew text end .
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective January 1, 2009.
new text end
Sec. 40.
Minnesota Statutes 2006, section 365.243, is amended by adding a subdivision
to read:
new text begin Subd. 3. new text end
new text begin Levy for first responder association. new text end
new text begin
A county board may annually levy
taxes on property located within the area of unorganized territory to which a first responder
or fire protection association provides first responder services. By July 1 of the levy year,
the association must certify to the county board the area of the unorganized township to
which the association will provide first responder services during the following calendar
year. The proceeds of the levy must be distributed to the association.
new text end
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective for taxes payable in 2009 and
thereafter.
new text end
Sec. 41.
Minnesota Statutes 2006, section 365A.095, as amended by Laws 2008,
chapter 154, article 10, section 8, is amended to read:
365A.095 PETITION FOR REMOVAL OF DISTRICT; PROCEDUREnew text begin ;
REFUND OF SURPLUSnew text end .
Subdivision 1.
Petitionnew text begin ; procedurenew text end .
A petition signed by at least 75 percent of the
property owners in the territory of the subordinate service district requesting the removal
of the district may be presented to the town board. Within 30 days after the town board
receives the petition, the town clerk shall determine the validity of the signatures on
the petition. If the requisite number of signatures are certified as valid, the town board
must hold a public hearing on the petitioned matter. Within 30 days after the end of
the hearing, the town board must decide whether to discontinue the subordinate service
district, continue as it is, or take some other action with respect to it.
Subd. 2.
deleted text begin Bondsdeleted text end new text begin Option to refund surplusnew text end .
deleted text begin
If obligations have been issued for the
benefit of the subordinate service district, the rates, charges, and tax levies, if any, continue
until the obligations and any obligations issued to refund them have been paid in full.
deleted text end
new text begin
If the
district is removed under subdivision 1, after all outstanding obligations of the district
have been paid in full, the town board may vote to refund any surplus tax revenue or
service charge, or any part of it, collected from the district under section 365A.08. The
refund must be distributed equally to the owners of any property within the discontinued
district that were charged the extra tax or service fee during the most recent tax year for
which the tax or service fee was imposed. Any surplus not refunded under this section
must be transferred to the town's general fund.
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
Sec. 42.
Minnesota Statutes 2006, section 429.101, subdivision 1, is amended to read:
Subdivision 1.
Ordinances.
(a) In addition to any other method authorized by
law or charter, the governing body of any municipality may provide for the collection
of unpaid special charges new text begin as a special assessment against the property benefited new text end for all
or any part of the cost of:
(1) snow, ice, or rubbish removal from sidewalks;
(2) weed elimination from streets or private property;
(3) removal or elimination of public health or safety hazards from private property,
excluding any structure included under the provisions of sections 463.15 to 463.26;
(4) installation or repair of water service lines, street sprinkling or other dust
treatment of streets;
(5) the trimming and care of trees and the removal of unsound trees from any street;
(6) the treatment and removal of insect infested or diseased trees on private property,
the repair of sidewalks and alleys;
(7) the operation of a street lighting system;
(8) the operation and maintenance of a fire protection or a pedestrian skyway system;
(9) deleted text begin reinspections which find noncompliance after the due date for compliance with
an order to correctdeleted text end new text begin inspections relating tonew text end a municipal housing maintenance code violation;
(10) the recovery of any disbursements under section 504B.445, subdivision 4,
clause (5), including disbursements for payment of utility bills and other services, even if
provided by a third party, necessary to remedy violations as described in section 504B.445,
subdivision 4, clause (2); or
(11) [Repealed, 2004 c 275 s 5]
deleted text begin
as a special assessment against the property benefited.
deleted text end
new text begin
(12) the recovery of delinquent vacant building registration fees under a municipal
program designed to identify and register vacant buildings.
new text end
(b) The council may by ordinance adopt regulations consistent with this section to
make this authority effective, including, at the option of the council, provisions for placing
primary responsibility upon the property owner or occupant to do the work personally
(except in the case of street sprinkling or other dust treatment, alley repair, tree trimming,
care, and removal or the operation of a street lighting system) upon notice before the work
is undertaken, and for collection from the property owner or other person served of the
charges when due before unpaid charges are made a special assessment.
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective the day following final enactment.
new text end
Sec. 43.
Minnesota Statutes 2006, section 469.1813, subdivision 8, is amended to read:
Subd. 8.
Limitation on abatements.
In any year, the total amount of property
taxes abated by a political subdivision under this section may not exceed (1) ten percent
of the deleted text begin current levydeleted text end new text begin net tax capacity of the political subdivision for the taxes payable year
to which the abatement appliesnew text end , or (2) $200,000, whichever is greater. The limit under
this subdivision does not apply to:
(i) an uncollected abatement from a prior year that is added to the abatement levy; or
(ii) a taxpayer whose real and personal property is subject to valuation under
Minnesota Rules, chapter 8100.
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective for abatement resolutions approved
after the day following final enactment.
new text end
Sec. 44.
Laws 2008, chapter 154, article 2, section 11, the effective date, is amended to
read:
EFFECTIVE DATE.
The amendments of this section to paragraph (b) new text begin and to the
class rate decrease and the market value increase of the first tier of class 1c homestead
resorts new text end are effective for taxes payable in 2009 and thereafter. The rest of this section is
effective for taxes payable in 2010 and thereafter.
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective the day following final enactment.
new text end
Sec. 45.
Laws 2008, chapter 154, article 2, section 27, is amended to read:
[360.0427] TAX LEVY MAY BE CERTIFIED BY AN AIRPORT
AUTHORITY.
deleted text begin In any year in which it imposesdeleted text end new text begin Imposition ofnew text end a property tax levy under sections
275.065 to 275.07, deleted text begin whichdeleted text end requires an affirmative vote of at least two-thirds of the members
of the authoritydeleted text begin , an airport authority must submit its proposed levy to the governing body
of the municipality that contains the airport. The municipal governing body may approve
or modify the amount of the levy, and, when it has determined the amount, the authority
must certify to the auditor of the county where the airport is located the amount to be
levied on all taxable property within the boundaries of the airport authoritydeleted text end .
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective for taxes payable in 2009 and
thereafter.
new text end
Sec. 46. new text begin WHITE COMMUNITY HOSPITAL DISTRICT.
new text end
new text begin Subdivision 1. new text end
new text begin Authorized. new text end
new text begin
Notwithstanding the contiguity requirement in
Minnesota Statutes, section 447.31, subdivision 2, any two or more of the following cities
and towns in St. Louis County may establish by resolution of their respective governing
bodies the White Community Hospital District: the cities of Aurora, Biwabik, and Hoyt
Lakes, and the towns of Biwabik, White, and Colvin. The proposed resolution to establish
the hospital district must be published and is subject to referendum as provided in section
447.31, subdivision 2.
new text end
new text begin Subd. 2. new text end
new text begin Powers; may make grants. new text end
new text begin
(a) Except as otherwise provided in this
section, the White Community Hospital District shall be organized and have the powers
and duties provided in Minnesota Statutes, sections 447.31, except subdivisions 2, 5, and
6; 447.32, subdivisions 5, 7, and 9; 447.345; 447.37; and 447.38.
new text end
new text begin
(b) The hospital district may levy taxes as provided in this section to provide funding
to make grants to the White Community Hospital and any affiliated health care facility or
provider for any purpose authorized for hospital districts in Minnesota Statutes, sections
447.31 to 447.38, except 447.331. A grant must not be made under this section until the
governing body of the White Community Hospital, and any of its affiliated health care
facilities or providers receiving a grant, have entered into a written agreement with the
hospital district board stating that the governing body will comply with and is subject to
all provisions of the Minnesota open meeting law in Minnesota Statutes, chapter 13D.
new text end
new text begin Subd. 3. new text end
new text begin Annexation; detachment. new text end
new text begin
Once the hospital district is established, any
other city, town, or unorganized area in St. Louis County may join the hospital district
in the same manner provided in subdivision 1 for establishment of the hospital district.
A city, town, or unorganized area that is a member of the hospital district may detach
from the district in the same manner as it may join. An annexation to or detachment
from the hospital district is effective for taxes payable in the following calendar year if
the resolution is adopted, or in the case of an unorganized area the petition submitted
to the county auditor, before July 1 of the levy year. A resolution adopted or petition
submitted after July 1 of any year is effective for the taxes payable the year following
the next levy year.
new text end
new text begin Subd. 4. new text end
new text begin Unorganized areas. new text end
new text begin
An unorganized area in St. Louis County shall
become a member of the hospital district if at least 51 percent of the residents of the
unorganized area signed a petition submitted to the hospital district board and the county
auditor requesting to participate in the hospital district.
new text end
new text begin Subd. 5. new text end
new text begin Hospital district board. new text end
new text begin
The hospital district shall be governed by a
hospital board composed of one member of each participating city and town's governing
body, appointed by the governing body. If the hospital district only has two members,
each member city or town shall appoint two board members. The hospital district board
must appoint from among its members a chair, clerk, treasurer, and any other officers the
board deems necessary or useful. The St. Louis County Board of Commissioners shall
appoint a resident of any unorganized area that is participating in the hospital district. All
board members serve at the pleasure of the respective appointing authorities.
new text end
new text begin Subd. 6. new text end
new text begin No compensation; expenses. new text end
new text begin
Board members shall serve without
compensation but shall be eligible for per diem and expenses provided by, and at the
discretion of, their respective appointing authorities.
new text end
new text begin Subd. 7. new text end
new text begin Operating tax levy. new text end
new text begin
The hospital district board may levy a tax as
provided in Minnesota Statutes, section 447.34, except as provided in this subdivision.
If the hospital district board levies it must be a uniform tax rate levied against the net
tax capacity of all taxable properties located within each participating city, town, or
unorganized area. The maximum amount that may be levied in the hospital district must
not exceed 0.066088 percent of the fully taxable market value of all taxable properties
located within each participating city, town, or unorganized area.
new text end
new text begin
Any tax levied by the hospital district is in addition to all other taxes levied on the
property, including taxes levied for any other hospital purpose by a participating city
or town. The levy must be disregarded in the calculation of all other rate or per capita
levy limitations imposed by law.
new text end
new text begin EFFECTIVE DATE; NO LOCAL APPROVAL. new text end
new text begin
This section is effective the
day following final enactment without local approval under Minnesota Statutes, section
645.023, subdivision 1, paragraph (a), for taxes levied in 2008, payable in 2009, and
thereafter.
new text end
Sec. 47. new text begin VADNAIS LAKE AREA WATER MANAGEMENT ORGANIZATION;
STORM SEWER UTILITY FEES.
new text end
new text begin
Notwithstanding any other law to the contrary and pursuant to joint powers
agreements authorized under Minnesota Statutes, sections 103B.211 and 471.59, the
Vadnais Lake Area Water Management Organization may certify to the county auditor any
fees or charges imposed by the organization under Minnesota Statutes, section 103B.211
or 444.075, and the parcels on which the charges are imposed. The county auditor shall
extend the charges on the property tax statements. The amounts must be certified by
November 30 to appear on statements for taxes payable in the following year. The charges,
if not paid, become delinquent and are subject to the same penalties, the same rate of
interest, and become a lien upon the property in the same manner, as real property taxes.
The charges shall be paid to the Vadnais Lake Area Water Management Organization by
the county auditor in the same manner and at the same time as property taxes. The county
auditor may charge the Vadnais Lake Area Water Management Organization a fee in the
amount necessary to recover the costs of administering the charges.
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
Sec. 48. new text begin CITY OF BROOKLYN CENTER; PARTICIPATION IN CRIME-FREE
MULTIHOUSING PROGRAM.
new text end
new text begin
(a) In addition to the requirements of Minnesota Statutes, section 273.128, if
property located in the city of Brooklyn Center qualifies under paragraph (b), the owners
or managers must complete the three phases of the city's crime-free multihousing program
and the qualifying property must be annually certified by the police as participating
in the program. If a qualifying property is not certified within one year after it is first
determined to be a qualifying property under paragraph (b), or does not annually maintain
its certification in the program, the city shall notify the property owner that the qualifying
property must comply with the requirements of this section to maintain its classification
as class 4d property. If a qualifying property is not in compliance within one year after
receiving the notice from the city, the city shall issue a second notice and require the
owners to enter into a plan to achieve compliance within one year. If, upon expiration
of the one-year time period, the qualifying property has not been certified by the police
as completing the program, the city shall notify the commissioner of the Housing
Finance Agency and the commissioner shall remove the property from the list of class 4d
properties certified to the assessor under Minnesota Statutes, section 273.128, subdivision
3. Once removed from the list, the property is not eligible for class 4d classification until
it complies with this section and its compliance has been certified to the Housing Finance
Agency by the city. Certification to the Housing Finance Agency must be made by May
15 to be effective for taxes payable in the following year.
new text end
new text begin
(b) A property is a qualifying property for purposes of this section's requirements if
it satisfies each of the following requirements:
new text end
new text begin
(1) the city offers a crime-free multihousing program through its city police;
new text end
new text begin
(2) over the preceding three-year period, the number of police calls to the property
exceeded the city's average number of calls for multiunit rental properties for the period
by at least 25 percent, adjusted for the number of rental units;
new text end
new text begin
(3) the police department has requested, in writing, the owners or managers of the
property to enroll in the crime-free multihousing program and the owners or managers
refused or failed to enroll within 60 days after the request, or failed to complete phases
one and three within 90 days and all three phases of the program within a one-year time
period; and
new text end
new text begin
(4) the governing body of the city, by resolution, determines the property is a
qualifying property under clauses (1) to (3).
new text end
new text begin
(c) Calls for police or emergency assistance in response to domestic abuse or
medical assistance shall not be counted toward the number of calls in paragraph (b), clause
(2). For purposes of this section, "domestic abuse" has the meaning given in Minnesota
Statutes, section 518B.01, subdivision 2.
new text end
new text begin
(d) Low-income qualifying rental housing property classified as class 4d property
for taxes payable in 2008 must meet the requirements of this section by May 15, 2011, in
order to retain the classification for taxes payable in 2012.
new text end
new text begin
(e) Provided that the city utilizes the crime-free multihousing program under this
section, on or before January 1, 2017, the city shall make a report to the chairs of the house
of representatives and senate tax committees describing the effectiveness of the program.
new text end
new text begin EFFECTIVE DATE; LOCAL APPROVAL. new text end
new text begin
This section is effective the day after
compliance by the governing body of the city of Brooklyn Center and its chief clerical
officer with Minnesota Statutes, section 645.021, subdivisions 2 and 3. This section
expires after taxes payable in 2017.
new text end
Sec. 49. new text begin ASSESSMENT OF PROPERTIES OF PURELY PUBLIC CHARITIES.
new text end
new text begin Subdivision 1. new text end
new text begin Application. new text end
new text begin
(a) To facilitate a review by the 2009 legislature of
the property tax exemption for property of nonprofit organizations as purely public
charities and the development of standards and criteria for the tax status of these facilities,
this section:
new text end
new text begin
(1) requires the commissioner of revenue to conduct an analysis of standards applied
to determine the tax status of these organizations; and
new text end
new text begin
(2) prohibits changes in assessment practices and policies regarding the property of
these organizations.
new text end
new text begin
(b) The purpose of this study is to allow the legislature to evaluate whether the
judicially established rules and the assessment practices and policies in applying those
rules to determine the tax status of these properties ensure that public benefits are, at
least, commensurate with the costs of the exemption. The legislature does not intend, in
requiring this study, to indicate an intention to expand or to narrow the existing rules for
exempting institutions of purely public charity.
new text end
new text begin Subd. 2. new text end
new text begin Report by commissioner of revenue. new text end
new text begin
(a) The commissioner of revenue
shall survey all county assessors on:
new text end
new text begin
(1) the tax status of property of institutions of purely public charity located in the
state, including detail on the type of organization and the use of the property; and
new text end
new text begin
(2) their practices and policies in determining the tax status of property of institutions
of purely public charity, including the extent to which the assessment practices and
policies require the institutions to provide goods or services at free or below market prices
and on the treatment of government payments.
new text end
new text begin
(b) The commissioner shall report the findings to the chairs of the house and senate
committees with jurisdiction over taxation by February 1, 2009.
new text end
new text begin Subd. 3. new text end
new text begin Moratorium on changes in assessment practices. new text end
new text begin
(a) An assessor
may not change the current practices or policies used generally in assessing property
of institutions of purely public charities.
new text end
new text begin
(b) An assessor may not change the assessment of the taxable status of an existing
property of an organization of purely public charity, unless the change is made as a result of
a change in ownership, occupancy or use of the facility, or to correct an error. For currently
taxable properties, the assessor may change the estimated market value of the property.
new text end
new text begin
(c) This subdivision expires on the earlier of:
new text end
new text begin
(1) the enactment of legislation establishing criteria for the property taxation of
purely public charities; or
new text end
new text begin
(2) adjournment of the 2009 regular legislative session to a date in calendar year
2010.
new text end
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective for the 2008 assessment, taxes
payable in 2009.
new text end
Sec. 50. new text begin FEDERAL AUDIT; SCHOOL DISTRICT LEVY.
new text end
new text begin Subdivision 1. new text end
new text begin Calculation. new text end
new text begin
The commissioner of education must calculate the total
amount of revenue that each school district and intermediate school district needs to
replace federal funds that have been disallowed resulting from the settlement of an audit
by the federal Office of Inspector General of Local Collaborative Time Study school-based
services claimed in Minnesota.
new text end
new text begin Subd. 2. new text end
new text begin Levy. new text end
new text begin
A school district may levy a property tax for taxes payable in 2009,
2010, and 2011 only, not to exceed one-third of the amount calculated in subdivision 1 in
each year. A school district that is a member of an intermediate school district may include
in its levy authority under this subdivision the proportionate share of the intermediate
school district's loss calculated under subdivision. One-half of the levy for taxes payable
in 2009 shall be recognized in fiscal year 2009.
new text end
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective for taxes payable in 2009 and
thereafter.
new text end
Sec. 51. new text begin COMFORT LAKE-FOREST LAKE WATERSHED DISTRICT.
new text end
new text begin
Notwithstanding any law to the contrary, the Comfort Lake-Forest Lake Watershed
District established under Minnesota Statutes, chapter 103D, shall be considered a
watershed management organization as defined in Minnesota Statutes, section 103B.205,
subdivision 13. The Comfort Lake-Forest Lake Watershed District shall manage or plan
for the management of surface water within the watershed district boundary in Chisago
and Washington Counties as it existed on April 1, 2008, through the authorities contained
in Minnesota Statutes, sections 103B.205 to 103B.255 and chapter 103D.
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
Sec. 52. new text begin REPEALER.
new text end
new text begin
(a)
new text end
new text begin
Minnesota Statutes 2006, section 272.027, subdivision 3,
new text end
new text begin
is repealed.
new text end
new text begin
(b)
new text end
new text begin
Minnesota Statutes 2006, section 273.11, subdivision 14,
new text end
new text begin
is repealed.
new text end
new text begin
(c)
new text end
new text begin
Minnesota Statutes 2006, section 273.111, subdivision 6,
new text end
new text begin
is repealed.
new text end
new text begin EFFECTIVE DATE. new text end
new text begin
Paragraphs (a) and (b) are effective for taxes payable in 2009
and thereafter. Paragraph (c) is effective for taxes payable in 2010 and thereafter.
new text end
ARTICLE 7
SALES AND USE TAXES
Section 1.
Minnesota Statutes 2006, section 297A.67, subdivision 28, is amended to
read:
Subd. 28.
Ambulance supplies, parts, and equipment.
The following sales to or
use by an ambulance service licensed under section 144E.10 are exempt:
(1) supplies and equipment used to provide medical care; and
(2) repair and replacement parts for ambulancesnew text begin and vehicles equipped and
specifically intended for emergency responsenew text end .
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective for sales and purchases made after
June 30, 2008.
new text end
Sec. 2.
Minnesota Statutes 2007 Supplement, section 297A.70, subdivision 3, is
amended to read:
Subd. 3.
Sales of certain goods and services to government.
(a) The following
sales to or use by the specified governments and political subdivisions of the state are
exempt:
(1) repair and replacement parts for emergency rescue vehicles, fire trucks, and
fire apparatus to a political subdivision;
(2) machinery and equipment, except for motor vehicles, used directly for mixed
municipal solid waste management services at a solid waste disposal facility as defined in
section 115A.03, subdivision 10;
(3) chore and homemaking services to a political subdivision of the state to be
provided to elderly or disabled individuals;
(4) telephone services to the Office of Enterprise Technology that are used to provide
telecommunications services through the enterprise technology revolving fund;
(5) firefighter personal protective equipment as defined in paragraph (b), if purchased
or authorized by and for the use of an organized fire department, fire protection district, or
fire company regularly charged with the responsibility of providing fire protection to the
state or a political subdivision;
(6) bullet-resistant body armor that provides the wearer with ballistic and trauma
protection, if purchased by a law enforcement agency of the state or a political subdivision
of the state, or a licensed peace officer, as defined in section 626.84, subdivision 1;
(7) motor vehicles purchased or leased by political subdivisions of the state if the
vehicles are exempt from registration under section 168.012, subdivision 1, paragraph (b),
exempt from taxation under section 473.448, or exempt from the motor vehicle sales tax
under section 297B.03, clause (12);
(8) equipment designed to process, dewater, and recycle biosolids for wastewater
treatment facilities of political subdivisions, and materials incidental to installation of
that equipment;
(9) sales to a town of gravel and of machinery, equipment, and accessories, except
motor vehicles, used exclusively for road and bridge maintenance, and leases by a town of
motor vehicles exempt from tax under section 297B.03, clause (10); deleted text begin anddeleted text end
(10) the removal of trees, bushes, or shrubs for the construction and maintenance
of roads, trails, or firebreaks when purchased by an agency of the state or a political
subdivision of the statenew text begin ; and
new text end
new text begin (11) purchases by the Metropolitan Council or the Department of Transportation of
vehicles and repair parts to equip operations provided for in section 174.90, including, but
not limited to, the Northstar Corridor Rail projectnew text end .
(b) For purposes of this subdivision, "firefighters personal protective equipment"
means helmets, including face shields, chin straps, and neck liners; bunker coats and
pants, including pant suspenders; boots; gloves; head covers or hoods; wildfire jackets;
protective coveralls; goggles; self-contained breathing apparatus; canister filter masks;
personal alert safety systems; spanner belts; optical or thermal imaging search devices;
and all safety equipment required by the Occupational Safety and Health Administration.
new text begin
(c) For purchases of items listed in paragraph (a), clause (11), the tax must be
imposed and collected as if the rate under section 297A.62, subdivision 1, applied and
then refunded in the manner provided in section 297A.75.
new text end
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective retroactively for sales and purchases
made after December 31, 2006.
new text end
Sec. 3.
Minnesota Statutes 2006, section 297A.70, subdivision 8, is amended to read:
Subd. 8.
Regionwide public safety radio communication system; products and
services.
Products and services including, but not limited to, end user equipment used
for construction, ownership, operation, maintenance, and enhancement of the backbone
system of the regionwide public safety radio communication system established under
sections 403.21 to , are exempt. For purposes of this subdivision, backbone
system is defined in section 403.21, subdivision 9. This subdivision is effective for
purchases, sales, storage, use, or consumption for use in the first and second phases of the
system, as defined in section 403.21, subdivisions 3, 10, and 11, deleted text begin anddeleted text end that portion of the
third phase of the system that is located in the southeast district of the State Patrol and
the counties of Benton, Sherburne, Stearns, and Wrightnew text begin , and that portion of the system
that is located in Itasca Countynew text end .
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective for sales and purchases made after
June 30, 2008.
new text end
Sec. 4.
Minnesota Statutes 2006, section 297A.71, subdivision 23, is amended to read:
Subd. 23.
Construction materials for qualified low-income housing projects.
(a)
Purchases of materials and supplies used or consumed in and equipment incorporated into
the construction, improvement, or expansion of qualified low-income housing projects are
exempt from the tax imposed under this chapter if the owner of the qualified low-income
housing project is:
(1) the public housing agency or housing and redevelopment authority of a political
subdivision;
(2) an entity exercising the powers of a housing and redevelopment authority within
a political subdivision;
(3) a limited partnership in which the sole new text begin or managing new text end general partner is an
authority under clause (1) or an entity under clause (2)new text begin or (4)new text end ;
(4) a nonprofit corporation subject to the provisions of chapter 317A, and qualifying
under section 501(c)(3) or 501(c)(4) of the Internal Revenue Code of 1986, as amended; or
(5) an owner entity, as defined in Code of Federal Regulations, title 24, part 941.604,
for a qualified low-income housing project described in paragraph (b), clause (5).
This exemption applies regardless of whether the purchases are made by the owner
of the facility or a contractor.
(b) For purposes of this exemption, "qualified low-income housing project" means:
(1) a housing or mixed use project in which at least 20 percent of the residential units
are qualifying low-income rental housing units as defined in section 273.126;
(2) a federally assisted low-income housing project financed by a mortgage insured
or held by the United States Department of Housing and Urban Development under
United States Code, title 12, section 1701s, 1715l(d)(3), 1715l(d)(4), or 1715z-1; United
States Code, title 42, section 1437f; the Native American Housing Assistance and
Self-Determination Act, United States Code, title 25, section 4101 et seq.; or any similar
successor federal low-income housing program;
(3) a qualified low-income housing project as defined in United States Code, title
26, section 42(g), meeting all of the requirements for a low-income housing credit under
section 42 of the Internal Revenue Code regardless of whether the project actually applies
for or receives a low-income housing credit;
(4) a project that will be operated in compliance with Internal Revenue Service
revenue procedure 96-32; or
(5) a housing or mixed use project in which all or a portion of the residential units
are subject to the requirements of section 5 of the United States Housing Act of 1937.
(c) For a project, a portion of which is not used for low-income housing units,
the amount of purchases that are exempt under this subdivision must be determined by
multiplying the total purchases, as specified in paragraph (a), by the ratio of:
(1) the total gross square footage of units subject to the income limits under section
273.126, the financing for the project, the federal low-income housing tax credit, revenue
procedure 96-32, or section 5 of the United States Housing Act of 1937, as applicable
to the project; and
(2) the total gross square footage of all units in the project.
(d) The tax must be imposed and collected as if the rate under section 297A.62,
subdivision 1, applied, and then refunded in the manner provided in section 297A.75.
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective for sales and purchases made after
June 30, 2009.
new text end
Sec. 5.
Minnesota Statutes 2006, section 297A.71, is amended by adding a subdivision
to read:
new text begin Subd. 40. new text end
new text begin Construction materials; Central Corridor light rail transit. new text end
new text begin
Materials
and supplies used or consumed in, and equipment incorporated into, the construction
or improvement of the Central Corridor light rail transit line and associated facilities
including, but not limited to, stations, park-and-ride facilities, and maintenance facilities,
are exempt. The tax must be imposed and collected as if the rate under section 297A.62,
subdivision 1, applied and then refunded in the manner provided in section 297A.75.
Refunds must not be applied for or issued until after July 1, 2009.
new text end
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective for sales and purchases made after
June 30, 2008.
new text end
Sec. 6.
Minnesota Statutes 2006, section 297A.75, is amended to read:
297A.75 REFUND; APPROPRIATION.
Subdivision 1.
Tax collected.
The tax on the gross receipts from the sale of the
following exempt items must be imposed and collected as if the sale were taxable and the
rate under section 297A.62, subdivision 1, applied. The exempt items include:
(1) capital equipment exempt under section 297A.68, subdivision 5;
(2) building materials for an agricultural processing facility exempt under section
297A.71, subdivision 13;
(3) building materials for mineral production facilities exempt under section
297A.71, subdivision 14;
(4) building materials for correctional facilities under section 297A.71, subdivision
3;
(5) building materials used in a residence for disabled veterans exempt under section
297A.71, subdivision 11;
(6) elevators and building materials exempt under section 297A.71, subdivision 12;
(7) building materials for the Long Lake Conservation Center exempt under section
297A.71, subdivision 17;
(8) materials, supplies, fixtures, furnishings, and equipment for a county law
enforcement and family service center under section 297A.71, subdivision 26;
(9) materials and supplies for qualified low-income housing under section 297A.71,
subdivision 23;
(10) materials, supplies, and equipment for municipal electric utility facilities under
section 297A.71, subdivision 35;
(11) equipment and materials used for the generation, transmission, and distribution
of electrical energy and an aerial camera package exempt under section 297A.68,
subdivision 37; deleted text begin and
deleted text end
(12) tangible personal property and taxable services and construction materials,
supplies, and equipment exempt under section 297A.68, subdivision 41new text begin ;
new text end
new text begin
(13) commuter rail vehicle and repair parts under section 297A.70, subdivision
3, clause (11); and
new text end
new text begin (14) materials, supplies, and equipment for construction or improvement of projects
and facilities under section 297A.71, subdivision 40new text end .
Subd. 2.
Refund; eligible persons.
Upon application on forms prescribed by the
commissioner, a refund equal to the tax paid on the gross receipts of the exempt items
must be paid to the applicant. Only the following persons may apply for the refund:
(1) for subdivision 1, clauses (1) to (3), the applicant must be the purchaser;
(2) for subdivision 1, clauses (4), (7), and (8), the applicant must be the governmental
subdivision;
(3) for subdivision 1, clause (5), the applicant must be the recipient of the benefits
provided in United States Code, title 38, chapter 21;
(4) for subdivision 1, clause (6), the applicant must be the owner of the homestead
property;
(5) for subdivision 1, clause (9), the owner of the qualified low-income housing
project;
(6) for subdivision 1, clause (10), the applicant must be a municipal electric utility or
a joint venture of municipal electric utilities; deleted text begin anddeleted text end
(7) for subdivision 1, clauses (11) and (12), the owner of the qualifying businessnew text begin ; and
new text end
new text begin (8) for subdivision 1, clauses (13) and (14), the applicant must be the governmental
entity that owns or contracts for the project or facilitynew text end .
Subd. 3.
Application.
(a) The application must include sufficient information
to permit the commissioner to verify the tax paid. If the tax was paid by a contractor,
subcontractor, or builder, under subdivision 1, clause (4), (5), (6), (7), (8), (9), (10),
(11), deleted text begin ordeleted text end (12)new text begin , (13), or (14)new text end , the contractor, subcontractor, or builder must furnish to the
refund applicant a statement including the cost of the exempt items and the taxes paid on
the items unless otherwise specifically provided by this subdivision. The provisions of
sections 289A.40 and 289A.50 apply to refunds under this section.
(b) An applicant may not file more than two applications per calendar year for
refunds for taxes paid on capital equipment exempt under section 297A.68, subdivision 5.
new text begin
(c) Total refunds for purchases of items in section 297A.71, subdivision 40, must not
exceed $5,000,000 in fiscal years 2010 and 2011. Applications for refunds for purchases
of items in sections 297A.70, subdivision 3, paragraph (a), clause (11), and 297A.71,
subdivision 40, must not be filed until after June 30, 2009.
new text end
Subd. 4.
Interest.
Interest must be paid on the refund at the rate in section 270C.405
from 90 days after the refund claim is filed with the commissioner for taxes paid under
subdivision 1.
Subd. 5.
Appropriation.
The amount required to make the refunds is annually
appropriated to the commissioner.
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective the day following final enactment.
new text end
Sec. 7.
Minnesota Statutes 2006, section 297A.99, subdivision 1, as amended by Laws
2008, chapter 152, article 4, section 1, is amended to read:
Subdivision 1.
Authorization; scope.
(a) A political subdivision of this state may
impose a general sales tax (1) under section 297A.992, (2) under section 297A.993,
(3) if permitted by special lawnew text begin enacted prior to May 20, 2008new text end , or (4) if the political
subdivision enacted and imposed the tax before the effective date of section 477A.016 and
its predecessor provision.
(b) This section governs the imposition of a general sales tax by the political
subdivision. The provisions of this section preempt the provisions of any special law:
(1) enacted before June 2, 1997, or
(2) enacted on or after June 2, 1997, new text begin new text end that does not explicitly exempt the special law
provision from this section's rules by reference.
(c) This section does not apply to or preempt a sales tax on motor vehicles or a
special excise tax on motor vehicles.
new text begin
(d) Until after May 31, 2010, a political subdivision may not advertise, promote,
expend funds, or hold a referendum to support imposing a local option sales tax unless
it is for extension of an existing tax or the tax was authorized by a special law enacted
prior to May 20, 2008.
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
Sec. 8.
Minnesota Statutes 2006, section 297B.03, is amended to read:
297B.03 EXEMPTIONS.
There is specifically exempted from the provisions of this chapter and from
computation of the amount of tax imposed by it the following:
(1) purchase or use, including use under a lease purchase agreement or installment
sales contract made pursuant to section 465.71, of any motor vehicle by the United States
and its agencies and instrumentalities and by any person described in and subject to the
conditions provided in section 297A.67, subdivision 11;
(2) purchase or use of any motor vehicle by any person who was a resident of
another state or country at the time of the purchase and who subsequently becomes a
resident of Minnesota, provided the purchase occurred more than 60 days prior to the date
such person began residing in the state of Minnesota and the motor vehicle was registered
in the person's name in the other state or country;
(3) purchase or use of any motor vehicle by any person making a valid election to be
taxed under the provisions of section 297A.90;
(4) purchase or use of any motor vehicle previously registered in the state of
Minnesota when such transfer constitutes a transfer within the meaning of section 118,
331, 332, 336, 337, 338, 351, 355, 368, 721, 731, 1031, 1033, or 1563(a) of the Internal
Revenue Code of 1986, as amended through December 31, 1999;
(5) purchase or use of any vehicle owned by a resident of another state and leased
to a Minnesota-based private or for-hire carrier for regular use in the transportation of
persons or property in interstate commerce provided the vehicle is titled in the state of
the owner or secured party, and that state does not impose a sales tax or sales tax on
motor vehicles used in interstate commerce;
(6) purchase or use of a motor vehicle by a private nonprofit or public educational
institution for use as an instructional aid in automotive training programs operated by the
institution. "Automotive training programs" includes motor vehicle body and mechanical
repair courses but does not include driver education programs;
(7) purchase of a motor vehicle for use as an ambulance by an ambulance service
licensed under section 144E.10;
(8) purchase of a motor vehicle by or for a public library, as defined in section
134.001, subdivision 2, as a bookmobile or library delivery vehicle;
(9) purchase of a ready-mixed concrete truck;
(10) purchase or use of a motor vehicle by a town for use exclusively for road
maintenance, including snowplows and dump trucks, but not including automobiles,
vans, or pickup trucks;
(11) purchase or use of a motor vehicle by a corporation, society, association,
foundation, or institution organized and operated exclusively for charitable, religious,
or educational purposes, except a public school, university, or library, but only if the
vehicle is:
(i) a truck, as defined in section 168.011, a bus, as defined in section 168.011, or a
passenger automobile, as defined in section 168.011, if the automobile is designed and
used for carrying more than nine persons including the driver; and
(ii) intended to be used primarily to transport tangible personal property or
individuals, other than employees, to whom the organization provides service in
performing its charitable, religious, or educational purpose;
(12) purchase of a motor vehicle for use by a transit provider exclusively to provide
transit service is exempt if the transit provider is either (i) receiving financial assistance or
reimbursement under section 174.24 or 473.384, or (ii) operating under section 174.29,
473.388, or 473.405;
(13) purchase or use of a motor vehicle by a qualified business, as defined in section
469.310, located in a job opportunity building zone, if the motor vehicle is principally
garaged in the job opportunity building zone and is primarily used as part of or in direct
support of the person's operations carried on in the job opportunity building zone. The
exemption under this clause applies to sales, if the purchase was made and delivery
received during the duration of the job opportunity building zone. The exemption under
this clause also applies to any local sales and use taxdeleted text begin .deleted text end new text begin ; and
new text end
new text begin
(14) purchase of a leased vehicle by the lessee who was a participant in a
lease-to-own program from a charitable organization that is:
new text end
new text begin
(i) described in section 501(c)(3) of the Internal Revenue Code; and
new text end
new text begin
(ii) licensed as a motor vehicle lessor under section 168.27, subdivision 4.
new text end
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective for sales and purchases made after
June 30, 2008.
new text end
Sec. 9.
Laws 1991, chapter 291, article 8, section 27, subdivision 3, as amended by
Laws 1998, chapter 389, article 8, section 28, is amended to read:
Subd. 3.
Use of revenues.
Revenues received from taxes authorized by subdivisions
1 and 2 shall be used by the city to pay the cost of collecting the tax and to pay all or a
portion of the expenses of constructing and deleted text begin operatingdeleted text end new text begin improving new text end facilities as part of an
urban revitalization project in downtown Mankato known as Riverfront 2000. Authorized
expenses include, but are not limited to, acquiring property and paying relocation expenses
related to the development of Riverfront 2000 and related facilities, and securing or paying
debt service on bonds or other obligations issued to finance the construction of Riverfront
2000 and related facilities. For purposes of this section, "Riverfront 2000 and related
facilities" means a civic-convention center, an arena, a riverfront park, a technology center
and related educational facilities, and all publicly owned real or personal property that
the governing body of the city determines will be necessary to facilitate the use of these
facilities, including but not limited to parking, skyways, pedestrian bridges, lighting, and
landscaping.new text begin It also includes the performing arts theatre and the Southern Minnesota
Women's Hockey Exposition Center, attached to the Mankato Civic Center for use by
Minnesota State University, Mankato.
new text end
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective the day after the governing body of
the city of Mankato and its chief clerical officer comply with Minnesota Statutes, section
645.021, subdivisions 2 and 3, and after compliance with section 15.
new text end
Sec. 10.
Laws 1991, chapter 291, article 8, section 27, subdivision 4, as amended by
Laws 2005, First Special Session chapter 3, article 5, section 25, is amended to read:
Subd. 4.
Expiration of taxing authority and expenditure limitation.
The
authority granted by subdivisions 1 and 2 to the city to impose a sales tax and an excise
tax shall expire on deleted text begin December 31, 2015, unless sufficient revenues are not available to
defease any bonds or obligations issued to finance construction of Riverfront 2000 and
related facilities. If sufficient funds are not available to defease the bonds, the tax expiresdeleted text end
December 31, deleted text begin 2018, but all revenues from taxes imposed after December 31, 2015, must
be used to defease the bonds. The city may, by ordinance, terminate the tax at an earlier
datedeleted text end new text begin 2022new text end .
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective the day after the governing body of
the city of Mankato and its chief clerical officer comply with Minnesota Statutes, section
645.021, subdivisions 2 and 3, and after compliance with section 16.
new text end
Sec. 11.
Laws 1998, chapter 389, article 8, section 45, subdivision 3, is amended to
read:
Subd. 3.
Use of revenues.
Revenues received from the taxes authorized under
subdivision 1 must be used for sanitary sewer separation, wastewater treatment, new text begin water
system improvements, new text end and harbor refuge development projects.
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective the day following final enactment,
upon compliance by the city of Two Harbors with Minnesota Statutes, section 645.021,
subdivision 3.
new text end
Sec. 12.
Laws 1999, chapter 243, article 4, section 18, subdivision 1, is amended to
read:
Subdivision 1.
Sales and use tax.
Notwithstanding Minnesota Statutes, section
deleted text begin 297A.48, subdivision 1a,deleted text end 477A.016, or any other provision of law, ordinance, or city
charter, if approved by the city voters at the first municipal general election held after the
date of final enactment of this act or at a special election held November 2, 1999, the city
of Proctor may impose by ordinance a sales and use tax of up to one-half of one percent
for the purposes specified in subdivision 3. The provisions of Minnesota Statutes, section
, govern the imposition, administration, collection, and enforcement of
the tax authorized under this subdivision.
Sec. 13.
Laws 1999, chapter 243, article 4, section 18, subdivision 3, is amended to
read:
Subd. 3.
Use of revenues.
new text begin (a) new text end Revenues received from taxes authorized by
subdivisions 1 and 2 must be used by the city to pay the cost of collecting the taxes and to
pay for construction and improvement of the following city facilities:
(1) streets; and
(2) constructing and equipping the Proctor community activity center.
Authorized expenses include, but are not limited to, acquiring property, paying
construction and operating expenses related to the development of an authorized facility,
and paying debt service on bonds or other obligations, including lease obligations, issued
to finance the construction, expansion, or improvement of an authorized facility. The
capital expenses for all projects authorized under this paragraph that may be paid with
these taxes is limited to $3,600,000, plus an amount equal to the costs related to issuance
of the bonds.
new text begin
(b) Additional revenues received from taxes authorized by subdivision 1, may be
used by the city to pay for the following capital improvement projects: public utilities,
including water, sanitary sewer, storm sewer, and electric; sidewalks; bikeways and trails;
and parks and recreation.
new text end
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective the day following final enactment,
upon compliance by the city of Proctor with Minnesota Statutes, section 645.021,
subdivision 3.
new text end
Sec. 14.
Laws 1999, chapter 243, article 4, section 18, subdivision 4, is amended to
read:
Subd. 4.
Bonding authority.
(a) The city may issue bonds under Minnesota
Statutes, chapter 475, to finance the capital expenditure and improvement projects
described in subdivision 3. An election to approve the bonds under Minnesota Statutes,
section 475.58, is not required.
(b) The issuance of bonds under this subdivision is not subject to Minnesota Statutes,
sections 275.60 and .
(c) The bonds are not included in computing any debt limitation applicable to the
city, and the levy of taxes under Minnesota Statutes, section 475.61, to pay principal of
and interest on the bonds is not subject to any levy limitation.
(d) new text begin For projects described in subdivision 3, paragraph (a), new text end the aggregate principal
amount of bonds, plus the aggregate of the taxes used directly to pay eligible capital
expenditures and improvements, may not exceed $3,600,000, plus an amount equal to
the costs related to issuance of the bonds, including interest on the bonds.new text begin For projects
described in subdivision 3, paragraph (b), the aggregate principal amount of bonds may
not exceed $7,200,000, plus an amount equal to the costs related to issuance of the bonds,
including interest on the bonds.
new text end
(e) The sales and use and excise taxes authorized in this section may be pledged to
and used for the payment of the bonds and any bonds issued to refund them only if the
bonds and any refunding bonds are general obligations of the city.
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective the day following final enactment,
upon compliance by the city of Proctor with Minnesota Statutes, section 645.021,
subdivision 3.
new text end
Sec. 15. new text begin CITY OF MANKATO; REVERSE REFERENDUM REQUIRED.
new text end
new text begin
If the Mankato city council intends to extend the local sales tax and modify the use
of revenues from the tax, authorized under sections 9 and 10, it shall pass a resolution
stating the intent. The resolution must be published for two successive weeks in the
official newspaper of the city or, if there is no official newspaper, in a newspaper of general
circulation in the city, together with a notice fixing a date for a public hearing on the
matter. The hearing must be held at least two weeks but not more than four weeks after the
first publication of the resolution. Following the public hearing, the city may determine
to take no further action or adopt a resolution confirming its intention to exercise the
authority. That resolution must also be published in the official newspaper of the city or, if
there is no official newspaper, in a newspaper of general circulation in the city. If within
30 days after publication of the resolution a petition signed by voters equal in number to
ten percent of the votes cast in the city in the last general election requesting a vote on the
proposed resolution is filed with the county auditor, the resolution is not effective until it
has been submitted to the voters at a general or special election and a majority of votes
cast on the question of approving the resolution are in the affirmative. The commissioner
of revenue shall prepare a suggested form of question to be presented at the election. This
section applies notwithstanding any city charter provision to the contrary.
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
Sec. 16. new text begin CITY OF MANKATO, LOCAL TAXES AUTHORIZED.
new text end
new text begin Subdivision 1. new text end
new text begin Food and beverage tax authorized. new text end
new text begin
Notwithstanding Minnesota
Statutes, section 477A.016, or any ordinance, city charter, or other provision of law, the
city of Mankato may, by ordinance, impose a sales tax of up to one percent on the gross
receipts on all sales of food and beverages by a restaurant or place of refreshment, as
defined by resolution of the city, that are located within the city. For purposes of this
section, "food and beverages" include retail on-sale of intoxicating liquor and fermented
malt beverages.
new text end
new text begin Subd. 2. new text end
new text begin Entertainment tax. new text end
new text begin
Notwithstanding Minnesota Statutes, section
477A.016, or any ordinance, city charter, or other provision of law, the city of Mankato
may, by ordinance, impose a tax of up to one percent on the gross receipts on admissions to
an entertainment event located within the city. For purposes of this section "entertainment
event" means any event for which persons pay money in order to be admitted to the
premises and to be entertained including, but not limited to, theaters, concerts, and
sporting events.
new text end
new text begin Subd. 3. new text end
new text begin Use of proceeds from authorized taxes. new text end
new text begin
The proceeds of any tax imposed
under subdivisions 1 and 2 shall be used by the city to pay all or a portion of the expenses
of operation and maintenance of the Riverfront 2000 and related facilities, including a
performing arts theatre and the Southern Minnesota Women's Hockey Exposition Center,
attached to the Mankato Civic Center for use by Minnesota State University, Mankato.
Authorized expenses include securing or paying debt service on bonds or other obligations
issued to finance the construction of the facilities.
new text end
new text begin Subd. 4. new text end
new text begin Collection, administration, and enforcement. new text end
new text begin
If the city desires, it may
enter into an agreement with the commissioner of revenue to administer, collect, and
enforce the taxes authorized under subdivisions 1 and 2. If the commissioner agrees
to collect the tax, the provisions of Minnesota Statutes, section 297A.99, related to
collection, administration, and enforcement apply.
new text end
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective the day after the governing body of
the city of Mankato and its chief clerical officer comply with Minnesota Statutes, section
645.021, subdivisions 2 and 3.
new text end
Sec. 17. new text begin COOK COUNTY; LODGING AND ADMISSIONS TAXES.
new text end
new text begin Subdivision 1. new text end
new text begin Lodging tax. new text end
new text begin
Notwithstanding Minnesota Statutes, section
477A.016, or any other provision of law, ordinance, or city charter, the Board of
Commissioners of Cook County may impose, by ordinance, a tax of up to one percent on
the gross receipts subject to the lodging tax under Minnesota Statutes, section 469.190.
This tax is in addition to any tax imposed under Minnesota Statutes, section 469.190, and
the total tax imposed under that section and this provision must not exceed four percent.
new text end
new text begin Subd. 2. new text end
new text begin Admissions and recreation tax. new text end
new text begin
Notwithstanding Minnesota Statutes,
section 477A.016, or any other provision of law, ordinance, or city charter, the Board of
Commissioners of Cook County may impose, by ordinance, a tax of up to three percent on
admissions to entertainment and recreational facilities and rental of recreation equipment.
new text end
new text begin Subd. 3. new text end
new text begin Use of taxes. new text end
new text begin
The taxes imposed in subdivisions 1 and 2 must be used
to fund a new Cook County Event and Visitors Bureau as established by the Board of
Commissioners of Cook County. The Board of Commissioners of Cook County must
annually review the budget of the Cook County Event and Visitors Bureau. The event and
visitors bureau may not receive revenues raised from the taxes imposed in subdivisions 1
and 2 until the board of commissioners approves the annual budget.
new text end
new text begin Subd. 4. new text end
new text begin Termination. new text end
new text begin
The taxes imposed in subdivisions 1 and 2 terminate 15
years after they are first imposed.
new text end
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective for sales and purchases after June
30, 2008.
new text end
Sec. 18. new text begin COOK COUNTY; TAXES AUTHORIZED.
new text end
new text begin Subdivision 1. new text end
new text begin Sales and use tax. new text end
new text begin
Notwithstanding Minnesota Statutes, section
477A.016, or any other provision of law, ordinance, or city charter, if approved by the
voters at a general or special election held before December 31, 2009, Cook County
may impose by ordinance a sales and use tax of up to one percent for the purposes
specified in subdivision 2. Except as otherwise provided in this section, the provisions
of Minnesota Statutes, section 297A.99, govern the imposition of the tax authorized
under this subdivision.
new text end
new text begin Subd. 2. new text end
new text begin Use of revenues. new text end
new text begin
Revenues received from the tax authorized by
subdivision 1 must be used by Cook County to pay the costs of collecting the tax and
to pay for the following projects:
new text end
new text begin
(1) construction and improvements to a county community center and recreation
area, including, but not limited to, improvements and additions to the skateboard park,
hockey rink, ball fields, community center addition, county parking area, tennis courts,
and all associated improvements; and
new text end
new text begin
(2) construction and improvements to the Grand Marais Public Library.
new text end
new text begin
Authorized expenses include, but are not limited to, paying construction expenses related
to these improvements, and paying debt service on bonds or other obligations issued to
finance acquisition and construction of these improvements. The total amount of revenues
from the taxes in subdivision 1 that may be used to fund these projects is $14,000,000
plus any associated bond costs.
new text end
new text begin Subd. 3. new text end
new text begin Bonding authority. new text end
new text begin
Cook County may issue bonds under Minnesota
Statutes, chapter 475, to pay capital and administrative expenses for the projects authorized
in subdivision 2, in an amount that does not exceed $14,000,000. An election to approve
the bonds under Minnesota Statutes, section 475.58, is not required. The issuance of bonds
under this subdivision is not subject to Minnesota Statutes, sections 275.60 and 275.61.
The debt represented by the bonds is not included in computing any debt limitation
applicable to the county, and any levy of taxes under Minnesota Statutes, section 475.61,
to pay principal and interest on the bonds is not subject to any levy limitation.
new text end
new text begin Subd. 4. new text end
new text begin Termination of tax. new text end
new text begin
The tax imposed under subdivision 1 expires at the
later of (1) 20 years or (2) when the county board determines that the amount of revenues
received is sufficient to pay for the principal and interest on any bonds or obligation
issued to finance the projects in subdivision 2. Any funds remaining after completion of
the projects and retirement or redemption of the bonds may be placed in the general fund
of the county. The tax imposed under subdivision 1 may expire at an earlier time if the
county board so determines by ordinance.
new text end
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective the day after the governing body of
Cook County and its chief clerical officer timely comply with Minnesota Statutes, section
645.021, subdivisions 2 and 3.
new text end
Sec. 19. new text begin CITY OF CLEARWATER; TAXES AUTHORIZED.
new text end
new text begin Subdivision 1. new text end
new text begin Sales and use tax. new text end
new text begin
Notwithstanding Minnesota Statutes, section
477A.016, or any other provision of law, ordinance, or city charter, pursuant to the
approval of the voters on November 7, 2006, the city of Clearwater may impose by
ordinance a sales and use tax of up to one-half of one percent for the purposes specified in
subdivision 2. Except as otherwise provided in this section, the provisions of Minnesota
Statutes, section 297A.99, govern the imposition, administration, collection, and
enforcement of the tax authorized under this subdivision.
new text end
new text begin Subd. 2. new text end
new text begin Excise tax authorized. new text end
new text begin
Notwithstanding Minnesota Statutes, section
477A.016, or any other provision of law, ordinance, or city charter, the city of Clearwater
may impose by ordinance, for the purposes specified in subdivision 3, an excise tax of up
to $20 per motor vehicle, as defined by ordinance, purchased or acquired from any person
engaged within the city in the business of selling motor vehicles at retail.
new text end
new text begin Subd. 3. new text end
new text begin Use of revenues. new text end
new text begin
The proceeds of the tax imposed under this section shall
be used to pay for the costs of acquisition, construction, improvement, and development
of a pedestrian bridge, and land and buildings for a community and recreation center. The
total amount of revenues from the taxes in subdivisions 1 and 2 that may be used to fund
these projects is $12,000,000 plus any associated bond costs.
new text end
new text begin Subd. 4. new text end
new text begin Bonding authority. new text end
new text begin
The city of Clearwater may issue bonds in an amount
not to exceed $12,000,000 under Minnesota Statutes, chapter 475, to finance the capital
expenditures and improvements authorized by the referendum under subdivision 1. An
election to approve the bonds under Minnesota Statutes, section 475.59, is not required.
The issuance of bonds under this subdivision is not subject to Minnesota Statutes, section
275.60 or 275.61. The debt represented by the bonds must not be included in computing
any debt limitations applicable to the city, and the levy of taxes required by Minnesota
Statutes, section 475.61, to pay the principal or any interest on the bonds must not be
subject to any levy limitation.
new text end
new text begin Subd. 5. new text end
new text begin Termination of tax. new text end
new text begin
The tax authorized under subdivision 1 terminates at
the earlier of (1) 20 years after the date of initial imposition of the tax, or (2) when the
city council determines that sufficient funds have been raised from the tax to finance the
capital and administrative costs of the improvements described in subdivision 3, plus the
additional amount needed to pay the costs related to issuance of bonds under subdivision
4, including interest on the bonds. Any funds remaining after completion of the projects
specified in subdivision 3 and retirement or redemption of the bonds in subdivision 4 may
be placed in the general fund of the city. The tax imposed under subdivision 1 may expire
at an earlier time if the city so determines by ordinance.
new text end
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective the day after compliance by the
governing body of the city of Clearwater with Minnesota Statutes, section 645.021,
subdivisions 2 and 3.
new text end
Sec. 20. new text begin CITY OF NORTH MANKATO; TAXES AUTHORIZED.
new text end
new text begin Subdivision 1. new text end
new text begin Sales and use tax authorized. new text end
new text begin
Notwithstanding Minnesota Statutes,
section 477A.016, or any other provision of law, ordinance, or city charter, pursuant to
the approval of the voters on November 7, 2006, the city of North Mankato may impose
by ordinance a sales and use tax of one-half of one percent for the purposes specified
in subdivision 2. The provisions of Minnesota Statutes, section 297A.99, govern the
imposition, administration, collection, and enforcement of the taxes authorized under
this subdivision.
new text end
new text begin Subd. 2. new text end
new text begin Use of revenues. new text end
new text begin
Revenues received from the tax authorized by
subdivision 1 must be used to pay all or part of the capital costs of the following projects:
new text end
new text begin
(1) the local share of the Trunk Highway 14/County State-Aid Highway 41
interchange project;
new text end
new text begin
(2) development of regional parks and hiking and biking trails;
new text end
new text begin
(3) expansion of the North Mankato Taylor Library;
new text end
new text begin
(4) riverfront redevelopment; and
new text end
new text begin
(5) lake improvement projects.
new text end
new text begin
The total amount of revenues from the tax in subdivision 1 that may be used to fund
these projects is $6,000,000 plus any associated bond costs.
new text end
new text begin Subd. 3. new text end
new text begin Bonds. new text end
new text begin
(a) The city of North Mankato, pursuant to the approval of the
voters at the November 7, 2006 referendum authorizing the imposition of the taxes in
this section, may issue bonds under Minnesota Statutes, chapter 475, to pay capital and
administrative expenses for the projects described in subdivision 2, in an amount that
does not exceed $6,000,000. A separate election to approve the bonds under Minnesota
Statutes, section 475.58, is not required.
new text end
new text begin
(b) The debt represented by the bonds is not included in computing any debt
limitation applicable to the city, and any levy of taxes under Minnesota Statutes, section
475.61, to pay principal and interest on the bonds is not subject to any levy limitation.
new text end
new text begin Subd. 4. new text end
new text begin Termination of taxes. new text end
new text begin
The tax imposed under subdivision 1 expires
when the city council determines that the amount of revenues received from the taxes
to pay for the projects under subdivision 2 first equals or exceeds $6,000,000 plus the
additional amount needed to pay the costs related to issuance of bonds under subdivision
3, including interest on the bonds. Any funds remaining after completion of the projects
and retirement or redemption of the bonds shall be placed in a capital facilities and
equipment replacement fund of the city. The tax imposed under subdivision 1 may expire
at an earlier time if the city so determines by ordinance.
new text end
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective the day after compliance by the
governing body of the city of North Mankato with Minnesota Statutes, section 645.021,
subdivision 3.
new text end
Sec. 21. new text begin CITY OF WINONA; TAXES AUTHORIZED.
new text end
new text begin Subdivision 1. new text end
new text begin Sales and use tax. new text end
new text begin
Notwithstanding Minnesota Statutes, section
477A.016, or any other provision of law, ordinance, or city charter, if approved by the
voters at a general or special election held before December 31, 2009, the city of Winona
may impose by ordinance a sales and use tax of up to one-half of one percent for the
purpose specified in subdivision 2. Except as otherwise provided in this section, the
provisions of Minnesota Statutes, section 297A.99, govern the imposition, administration,
collection, and enforcement of the tax authorized under this subdivision.
new text end
new text begin Subd. 2. new text end
new text begin Use of revenues. new text end
new text begin
The proceeds of the tax imposed under this section shall
be used to pay the city-borne costs for the construction of a street connection from the city
of Winona to Minnesota marked State Highways 61 and 43. The construction will provide
access to the city's newly built industrial park and additional access to a hospital. The total
amount of revenues from the tax in subdivision 1 that may be used to fund this project is
$8,000,000 plus any associated bond costs.
new text end
new text begin Subd. 3. new text end
new text begin Bonding authority. new text end
new text begin
The city of Winona may issue bonds in an amount
not to exceed $8,000,000 under Minnesota Statutes, chapter 475, to finance the capital
expenditures under subdivision 2. An election to approve the bonds under Minnesota
Statutes, section 475.58, is not required. The issuance of bonds under this subdivision is
not subject to Minnesota Statutes, section 275.60 or 275.61. The debt represented by the
bonds must not be included in computing any debt limitations applicable to the city, and
the levy of taxes required by Minnesota Statutes, section 475.61, to pay the principal or
any interest on the bonds must not be subject to any levy limitation.
new text end
new text begin Subd. 4. new text end
new text begin Termination of tax. new text end
new text begin
The tax authorized under subdivision 1 terminates
at the earlier of: (1) five years after the date of initial imposition of the tax; or (2) when
the city council determines that sufficient funds have been raised from the tax to finance
the capital and administrative costs of the project described in subdivision 2, plus the
additional amount needed to pay the costs related to issuance of bonds under subdivision
3, including interest on the bonds. Any funds remaining after completion of the project
specified in subdivision 2 and retirement or redemption of the bonds in subdivision 3 may
be placed in the general fund of the city. The tax imposed under subdivision 1 may expire
at an earlier time if the city so determines by ordinance.
new text end
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective the day after compliance by
the governing body of the city of Winona with Minnesota Statutes, section 645.021,
subdivisions 2 and 3.
new text end
Sec. 22. new text begin REPEALER.
new text end
new text begin
Laws 2005, First Special Session chapter 3, article 5, section 24,
new text end
new text begin
is repealed.
new text end
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective upon enactment of section 9.
new text end
ARTICLE 8
JUNE ACCELERATED TAX PAYMENTS
Section 1.
Minnesota Statutes 2006, section 289A.20, subdivision 4, as amended by
Laws 2008, chapter 154, article 6, section 1, is amended to read:
Subd. 4.
Sales and use tax.
(a) The taxes imposed by chapter 297A are due and
payable to the commissioner monthly on or before the 20th day of the month following the
month in which the taxable event occurred, or following another reporting period as the
commissioner prescribes or as allowed under section 289A.18, subdivision 4, paragraph
(f) or (g), except that use taxes due on an annual use tax return as provided under section
289A.11, subdivision 1, are payable by April 15 following the close of the calendar year.
(b) A vendor having a liability of $120,000 or more during a fiscal year ending June
30 must remit the June liability for the next year in the following manner:
(1) Two business days before June 30 of the year, the vendor must remit deleted text begin 80deleted text end new text begin 90new text end
percent of the estimated June liability to the commissioner.
(2) On or before August 20 of the year, the vendor must pay any additional amount
of tax not remitted in June.
(c) A vendor having a liability of:
(1) $20,000 or more in the fiscal year ending June 30, 2005; or
(2) $10,000 or more in the fiscal year ending June 30, 2006, and fiscal years
thereafter,
must remit all liabilities on returns due for periods beginning in the subsequent calendar
year by electronic means on or before the 20th day of the month following the month in
which the taxable event occurred, or on or before the 20th day of the month following the
month in which the sale is reported under section 289A.18, subdivision 4, except for deleted text begin 80deleted text end new text begin 90new text end
percent of the estimated June liability, which is due two business days before June 30. The
remaining amount of the June liability is due on August 20.
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective beginning with June 2009 tax
liabilities.
new text end
Sec. 2.
Minnesota Statutes 2006, section 289A.60, subdivision 15, as amended by
Laws 2008, chapter 154, article 6, section 2, is amended to read:
Subd. 15.
Accelerated payment of June sales tax liability; penalty for
underpayment.
For payments made after December 31, 2006, if a vendor is required by
law to submit an estimation of June sales tax liabilities and deleted text begin 80deleted text end new text begin 90new text end percent payment by a
certain date, the vendor shall pay a penalty equal to ten percent of the amount of actual
June liability required to be paid in June less the amount remitted in June. The penalty
must not be imposed, however, if the amount remitted in June equals the lesser of deleted text begin 80deleted text end new text begin 90new text end
percent of the preceding May's liability or deleted text begin 80deleted text end new text begin 90new text end percent of the average monthly liability
for the previous calendar year.
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective beginning with June 2009 tax
liabilities.
new text end
Sec. 3.
Minnesota Statutes 2006, section 297F.09, subdivision 10, as amended by Laws
2008, chapter 154, article 6, section 3, is amended to read:
Subd. 10.
Accelerated tax payment; cigarette or tobacco products distributor.
A cigarette or tobacco products distributor having a liability of $120,000 or more during a
fiscal year ending June 30, shall remit the June liability for the next year in the following
manner:
(a) Two business days before June 30 of the year, the distributor shall remit the
actual May liability and deleted text begin 80deleted text end new text begin 90new text end percent of the estimated June liability to the commissioner
and file the return in the form and manner prescribed by the commissioner.
(b) On or before August 18 of the year, the distributor shall submit a return showing
the actual June liability and pay any additional amount of tax not remitted in June. A
penalty is imposed equal to ten percent of the amount of June liability required to be paid
in June, less the amount remitted in June. However, the penalty is not imposed if the
amount remitted in June equals the lesser of:
(1) deleted text begin 80deleted text end new text begin 90new text end percent of the actual June liability; or
(2) deleted text begin 80deleted text end new text begin 90new text end percent of the preceding May's liability.
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective beginning with June 2009 tax
liabilities.
new text end
Sec. 4.
Minnesota Statutes 2006, section 297G.09, subdivision 9, as amended by Laws
2008, chapter 154, article 6, section 4, is amended to read:
Subd. 9.
Accelerated tax payment; penalty.
A person liable for tax under this
chapter having a liability of $120,000 or more during a fiscal year ending June 30, shall
remit the June liability for the next year in the following manner:
(a) Two business days before June 30 of the year, the taxpayer shall remit the actual
May liability and deleted text begin 80deleted text end new text begin 90new text end percent of the estimated June liability to the commissioner and file
the return in the form and manner prescribed by the commissioner.
(b) On or before August 18 of the year, the taxpayer shall submit a return showing
the actual June liability and pay any additional amount of tax not remitted in June. A
penalty is imposed equal to ten percent of the amount of June liability required to be paid
in June less the amount remitted in June. However, the penalty is not imposed if the
amount remitted in June equals the lesser of:
(1) deleted text begin 80deleted text end new text begin 90new text end percent of the actual June liability; or
(2) deleted text begin 80deleted text end new text begin 90new text end percent of the preceding May liability.
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective beginning with June 2009 tax
liabilities.
new text end
ARTICLE 9
SPECIAL TAXES
Section 1.
Minnesota Statutes 2006, section 163.051, subdivision 1, is amended to read:
Subdivision 1.
Tax authorized.
new text begin (a) Except as provided in paragraph (b), new text end the board
of commissioners of each metropolitan county is authorized to levy a wheelage tax of $5
for the year 1972 and each subsequent year thereafter by resolution on each motor vehicledeleted text begin ,
except motorcycles as defined in section 169.01, subdivision 4, whichdeleted text end new text begin that new text end is kept in such
county when not in operation and deleted text begin whichdeleted text end new text begin that new text end is subject to annual registration and taxation
under chapter 168. The board may provide by resolution for collection of the wheelage
tax by county officials or it may request that the tax be collected by the state registrar of
motor vehicles, and the state registrar of motor vehicles shall collect such tax on behalf
of the county if requested, as provided in subdivision 2.
new text begin
(b) The following vehicles are exempt from the wheelage tax:
new text end
new text begin
(1) motorcycles, as defined in section 169.01, subdivision 4;
new text end
new text begin
(2) motorized bicycles, as defined in section 169.01, subdivision 4a;
new text end
new text begin
(3) electric-assisted bicycles, as defined in section 169.01, subdivision 4b; and
new text end
new text begin
(4) motorized foot scooters, as defined in section 169.01, subdivision 4c.
new text end
Sec. 2.
Minnesota Statutes 2006, section 168.012, subdivision 1, is amended to read:
Subdivision 1.
Vehicles exempt from tax, fees, or plate display.
(a) The following
vehicles are exempt from the provisions of this chapter requiring payment of tax and
registration fees, except as provided in subdivision 1c:
(1) vehicles owned and used solely in the transaction of official business by the
federal government, the state, or any political subdivision;
(2) vehicles owned and used exclusively by educational institutions and used solely
in the transportation of pupils to and from those institutions;
(3) vehicles used solely in driver education programs at nonpublic high schools;
(4) vehicles owned by nonprofit charities and used exclusively to transport disabled
persons for charitable, religious, or educational purposes;
new text begin
(5) vehicles owned by nonprofit charities and used exclusively for disaster response
and related activities;
new text end
deleted text begin (5) ambulancesdeleted text end new text begin (6) vehiclesnew text end owned by ambulance services licensed under section
144E.10, deleted text begin the general appearance of which is unmistakabledeleted text end new text begin that are equipped and
specifically intended for emergency response or providing ambulance servicesnew text end ; and
deleted text begin (6)deleted text end new text begin (7)new text end vehicles owned by a commercial driving school licensed under section
171.34, or an employee of a commercial driving school licensed under section 171.34, and
the vehicle is used exclusively for driver education and training.
(b) Vehicles owned by the federal government, municipal fire apparatuses including
fire-suppression support vehicles, police patrols, and ambulances, the general appearance
of which is unmistakable, are not required to register or display number plates.
(c) Unmarked vehicles used in general police work, liquor investigations, or arson
investigations, and passenger automobiles, pickup trucks, and buses owned or operated by
the Department of Corrections, must be registered and must display appropriate license
number plates, furnished by the registrar at cost. Original and renewal applications for
these license plates authorized for use in general police work and for use by the Department
of Corrections must be accompanied by a certification signed by the appropriate chief of
police if issued to a police vehicle, the appropriate sheriff if issued to a sheriff's vehicle,
the commissioner of corrections if issued to a Department of Corrections vehicle, or the
appropriate officer in charge if issued to a vehicle of any other law enforcement agency.
The certification must be on a form prescribed by the commissioner and state that the
vehicle will be used exclusively for a purpose authorized by this section.
(d) Unmarked vehicles used by the Departments of Revenue and Labor and Industry,
fraud unit, in conducting seizures or criminal investigations must be registered and must
display passenger vehicle classification license number plates, furnished at cost by the
registrar. Original and renewal applications for these passenger vehicle license plates
must be accompanied by a certification signed by the commissioner of revenue or the
commissioner of labor and industry. The certification must be on a form prescribed by
the commissioner and state that the vehicles will be used exclusively for the purposes
authorized by this section.
(e) Unmarked vehicles used by the Division of Disease Prevention and Control of the
Department of Health must be registered and must display passenger vehicle classification
license number plates. These plates must be furnished at cost by the registrar. Original
and renewal applications for these passenger vehicle license plates must be accompanied
by a certification signed by the commissioner of health. The certification must be on a
form prescribed by the commissioner and state that the vehicles will be used exclusively
for the official duties of the Division of Disease Prevention and Control.
(f) Unmarked vehicles used by staff of the Gambling Control Board in gambling
investigations and reviews must be registered and must display passenger vehicle
classification license number plates. These plates must be furnished at cost by the
registrar. Original and renewal applications for these passenger vehicle license plates must
be accompanied by a certification signed by the board chair. The certification must be on a
form prescribed by the commissioner and state that the vehicles will be used exclusively
for the official duties of the Gambling Control Board.
(g) All other motor vehicles must be registered and display tax-exempt number
plates, furnished by the registrar at cost, except as provided in subdivision 1c. All
vehicles required to display tax-exempt number plates must have the name of the state
department or political subdivision, nonpublic high school operating a driver education
program, or licensed commercial driving school, plainly displayed on both sides of the
vehicle; except that each state hospital and institution for persons who are mentally ill
and developmentally disabled may have one vehicle without the required identification
on the sides of the vehicle, and county social service agencies may have vehicles used
for child and vulnerable adult protective services without the required identification on
the sides of the vehicle. This identification must be in a color giving contrast with that
of the part of the vehicle on which it is placed and must endure throughout the term of
the registration. The identification must not be on a removable plate or placard and must
be kept clean and visible at all times; except that a removable plate or placard may be
utilized on vehicles leased or loaned to a political subdivision or to a nonpublic high
school driver education program.
Sec. 3.
Minnesota Statutes 2006, section 168.012, is amended by adding a subdivision
to read:
new text begin Subd. 2c. new text end
new text begin Spotter trucks. new text end
new text begin
Spotter trucks, as defined in section 169.01, subdivision
7a, must not be taxed as motor vehicles using the public streets and highways, and are
exempt from the provisions of this chapter.
new text end
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective the day following final enactment
and expires June 30, 2013.
new text end
Sec. 4.
Minnesota Statutes 2006, section 168.013, subdivision 1f, is amended to read:
Subd. 1f.
Bus; commuter van.
(a) On all intercity buses, the tax during each
the first two years of vehicle life shall be based on the gross weight of the vehicle and
graduated according to the following schedule:
|
Gross Weight of Vehicle
.
Tax
|
|
|
Under 6,000 lbs.
.
$125
|
|
|
6,000 to 8,000 lbs., incl.
.
125
|
|
|
8,001 to 10,000 lbs., incl.
.
125
|
|
|
10,001 to 12,000 lbs., incl.
.
150
|
|
|
12,001 to 14,000 lbs., incl.
.
190
|
|
|
14,001 to 16,000 lbs., incl.
.
210
|
|
|
16,001 to 18,000 lbs., incl.
.
225
|
|
|
18,001 to 20,000 lbs., incl.
.
260
|
|
|
20,001 to 22,000 lbs., incl.
.
300
|
|
|
22,001 to 24,000 lbs., incl.
.
350
|
|
|
24,001 to 26,000 lbs., incl.
.
400
|
|
|
26,001 to 28,000 lbs., incl.
.
450
|
|
|
28,001 to 30,000 lbs., incl.
.
500
|
|
|
30,001 and over
.
550
|
(b) During each of the third and fourth years of vehicle life, the tax shall be 75
percent of the foregoing scheduled tax; during the fifth year of vehicle life, the tax shall be
50 percent of the foregoing scheduled tax; during the sixth year of vehicle life, the tax
shall be 37-1/2 percent of the foregoing scheduled tax; and during the seventh and each
succeeding year of vehicle life, the tax shall be 25 percent of the foregoing scheduled tax;
provided that the annual tax paid in any year of its life for an intercity bus shall be not less
than $175 for a vehicle of over 25 passenger seating capacity and not less than $125 for a
vehicle of 25 passenger and less seating capacity.
(c) On all intracity buses operated by an auto transportation company in the business
of transporting persons for compensation as a common carrier and operating within the
limits of cities deleted text begin having populations in excess of 200,000 inhabitantsdeleted text end , the tax during each
year of the vehicle life of each such bus shall be deleted text begin $40deleted text end deleted text begin ; on all of such intracity buses operated
deleted text end deleted text begin in cities having a population of less than 200,000 and more than 70,000 inhabitants, the
deleted text end deleted text begin tax during each year of vehicle life of each bus shall be $10; and on all of such intracity
deleted text end deleted text begin buses operating in cities having a population of less than 70,000 inhabitants, the tax during
deleted text end deleted text begin each year of vehicle life of each bus shall bedeleted text end $2.
(d) On all other buses and commuter vans, as defined in section 168.126, the tax
during each of the first three years of the vehicle life shall be based on the gross weight of
the vehicle and graduated according to the following schedule: Where the gross weight
of the vehicle is 6,000 pounds or less, $25. Where the gross weight of the vehicle is
more than 6,000 pounds, and not more than 8,000 pounds, the tax shall be $25 plus an
additional tax of $5 per ton for the ton or major portion in excess of 6,000 pounds. Where
the gross weight of the vehicle is more than 8,000 pounds, and not more than 20,000
pounds, the tax shall be $30 plus an additional tax of $10 per ton for each ton or major
portion in excess of 8,000 pounds. Where the gross weight of the vehicle is more than
20,000 pounds and not more than 24,000 pounds, the tax shall be $90 plus an additional
tax of $15 per ton for each ton or major portion in excess of 20,000 pounds. Where the
gross weight of the vehicle is more than 24,000 pounds and not more than 28,000 pounds,
the tax shall be $120 plus an additional tax of $25 per ton for each ton or major portion
in excess of 24,000 pounds. Where the gross weight of the vehicle is more than 28,000
pounds, the tax shall be $170 plus an additional tax of $30 per ton for each ton or major
portion in excess of 28,000 pounds.
(e) During the fourth and succeeding years of vehicle life, the tax shall be 80 percent
of the foregoing scheduled tax but in no event less than $20 per vehicle.
Sec. 5.
Minnesota Statutes 2006, section 168A.03, subdivision 1, is amended to read:
Subdivision 1.
No certificate issued.
The registrar shall not issue a certificate of
title for:
(1) a vehicle owned by the United States;
(2) a vehicle owned by a nonresident and not required by law to be registered in
this state;
(3) a vehicle owned by a nonresident and regularly engaged in the interstate
transportation of persons or property for which a currently effective certificate of title
has been issued in another state;
(4) a vehicle moved solely by animal power;
(5) an implement of husbandry;
(6) special mobile equipment;
(7) a self-propelled wheelchair or invalid tricycle;
(8) a trailer (i) having a gross weight of 4,000 pounds or less unless a secured party
holds an interest in the trailer or a certificate of title was previously issued by this state or
any other state or (ii) designed primarily for agricultural purposes except a recreational
vehicle or a manufactured home, both as defined in section 168.011, subdivisions 8 and 25;
(9) a snowmobiledeleted text begin .deleted text end new text begin ; and
new text end
new text begin
(10) a spotter truck, as defined in section 169.01, subdivision 7a.
new text end
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective the day following final enactment
and expires June 30, 2013.
new text end
Sec. 6.
Minnesota Statutes 2006, section 169.01, is amended by adding a subdivision
to read:
new text begin Subd. 7a. new text end
new text begin Spotter truck. new text end
new text begin
"Spotter truck" means a truck-tractor with a manufacturer's
certificate of origin "not for on road use" specification, used exclusively for staging or
shuttling trailers in the course of a truck freight operation or freight shipping operation.
new text end
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective the day following final enactment
and expires June 30, 2013.
new text end
Sec. 7.
new text begin
[169.228] SPOTTER TRUCKS.
new text end
new text begin
Notwithstanding any other law, a spotter truck may be operated on public streets
and highways if:
new text end
new text begin
(1) the operator has the appropriate class of driver's license;
new text end
new text begin
(2) the vehicle complies with the size, weight, and load restrictions under this
chapter;
new text end
new text begin
(3) the vehicle meets all inspection requirements under section 169.781; and
new text end
new text begin
(4) the vehicle is operated within (i) a zone of two air miles from the truck freight
operation or freight shipping operation where the vehicle is housed, or (ii) directly to and
from a repair shop, service station, or fueling station for the purpose of repair, servicing,
or refueling.
new text end
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective the day following final enactment
and expires June 30, 2013.
new text end
Sec. 8.
Minnesota Statutes 2006, section 169.781, subdivision 1, as amended by Laws
2008, chapter 287, article 1, section 48, is amended to read:
Subdivision 1.
Definitions.
For purposes of sections 169.781 to 169.783:
(a) "Commercial motor vehicle":
(1) means a motor vehicle or combination of motor vehicles used to transport
passengers or property if the motor vehicle:
(i) has a gross vehicle weight of more than 26,000 pounds;
(ii) is a vehicle in a combination of more than 26,000 pounds;
(iii) is a bus; or
(iv) is of any size and is used in the transportation of hazardous materials that are
required to be placarded under Code of Federal Regulations, title 49, parts 100-185; deleted text begin anddeleted text end
(2) does not include (i) a school bus or Head Start bus displaying a certificate under
section 169.451, or (ii) a bus operated by the Metropolitan Council or by a local transit
commission created in chapter 458Adeleted text begin .deleted text end new text begin ; andnew text end
new text begin
(3) a spotter truck.
new text end
(b) "Commissioner" means the commissioner of public safety.
(c) "Owner" means a person who owns, or has control, under a lease of more than 30
days' duration, of one or more commercial motor vehicles.
Sec. 9.
Minnesota Statutes 2006, section 169.781, subdivision 2, as amended by Laws
2008, chapter 287, article 1, section 48, is amended to read:
Subd. 2.
Inspection required.
(a) It is unlawful for a person to operate or permit
the operation of:
(1) a commercial motor vehicle registered in Minnesotanew text begin or a spotter trucknew text end ; or
(2) special mobile equipment as defined in section 168.011, subdivision 22, and
which is self-propelled, if it is mounted on a commercial motor vehicle chassis,
in violation of the requirements of paragraph (b).
(b) A vehicle described in paragraph (a):
(1) must display a valid safety inspection decal issued by an inspector certified
by the commissioner; or
(2) must carry (i) proof that the vehicle complies with federal motor vehicle
inspection requirements for vehicles in interstate commerce, and (ii) a certificate of
compliance with federal requirements issued by the commissioner under subdivision 9.
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective the day following final enactment
and expires June 30, 2013.
new text end
Sec. 10.
Minnesota Statutes 2006, section 383A.80, subdivision 4, is amended to read:
Subd. 4.
Expiration.
The authority to impose the tax under this section expires
January 1, deleted text begin 2008deleted text end new text begin 2013new text end .
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective the day following final enactment
and the tax may be imposed on or after that date.
new text end
Sec. 11.
Minnesota Statutes 2006, section 383A.81, subdivision 1, is amended to read:
Subdivision 1.
Creation.
An environmental response fund is created for the
purposes specified in this section. The taxes imposed by section 383A.80 must be
deposited in the fund. The board of county commissioners shall administer the fund either
as a county boarddeleted text begin ,deleted text end new text begin ornew text end a housing and redevelopment authoritydeleted text begin , or a regional rail authoritydeleted text end .
Sec. 12.
Minnesota Statutes 2006, section 383A.81, subdivision 2, is amended to read:
Subd. 2.
Uses of fund.
new text begin (a) new text end The fund created in subdivision 1 must be used for
the following purposes:
(1) acquisition through purchase or condemnation of lands or property which are
polluted or contaminated with hazardous substances;
(2) paying the costs associated with indemnifying or holding harmless the
entity taking title to lands or property from any liability arising out of the ownership,
remediation, or use of the land or property;
(3) paying for the costs of remediating the acquired land or property;new text begin or
new text end
(4) paying the costs associated with remediating lands or property which are polluted
or contaminated with hazardous substancesdeleted text begin ; or
deleted text end
deleted text begin (5) paying for the costs associated with improving the property for economic
development, recreational, housing, transportation or rail trafficdeleted text end .
new text begin
(b) No more than three percent of the fund may be used each year for the costs
of administration.
new text end
Sec. 13.
Minnesota Statutes 2006, section 383B.80, subdivision 4, is amended to read:
Subd. 4.
Expiration.
The authority to impose the tax under this section expires
January 1, deleted text begin 2008deleted text end new text begin 2013new text end .
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective the day following final enactment
and the tax may be imposed on or after that date.
new text end
Sec. 14.
Minnesota Statutes 2006, section 383B.81, subdivision 2, is amended to read:
Subd. 2.
Uses of fund.
new text begin (a) new text end The fund created in subdivision 1 must be used for
the following purposes:
(1) acquisition through purchase or condemnation of lands or property which are
polluted or contaminated with hazardous substances;
(2) paying the costs associated with indemnifying or holding harmless the
entity taking title to lands or property from any liability arising out of the ownership,
remediation, or use of the land or property;
(3) paying for the costs of remediating the acquired land or property;
(4) paying the costs associated with remediating lands or property which are polluted
or contaminated with hazardous substances; or
(5) paying for the costs associated with improving the property for economic
development, recreational, housing, transportation or rail traffic.
new text begin
(b) No more than three percent of the fund may be used each year for the costs
of administration.
new text end
ARTICLE 10
MINERALS
Section 1.
Minnesota Statutes 2006, section 298.01, is amended by adding a
subdivision to read:
new text begin Subd. 9. new text end
new text begin Other iron bearing material. new text end
new text begin
"Other iron bearing material" means the
material described in section 298.405.
new text end
Sec. 2.
Minnesota Statutes 2006, section 298.22, subdivision 2, is amended to read:
Subd. 2.
Iron Range Resources and Rehabilitation Board.
There is hereby
created the Iron Range Resources and Rehabilitation Board, consisting of 13 members,
five of whom are state senators appointed by the Subcommittee on Committees of the
Rules Committee of the senate, and five of whom are representatives, appointed by the
speaker of the house of representatives. The remaining members shall be appointed one
each by the senate majority leader, the speaker of the house of representatives, and the
governor and must be nonlegislators who reside in a taconite assistance area as defined in
section 273.1341. The members shall be appointed in January of every odd-numbered
year, except that the initial nonlegislator members shall be appointed by July 1, 1999, and
shall serve until January of the next odd-numbered year. Vacancies on the board shall be
filled in the same manner as the original members were chosen. At least a majority of
the legislative members of the board shall be elected from state senatorial or legislative
districts in which over 50 percent of the residents reside within a taconite assistance area
as defined in section 273.1341. All expenditures and projects made by the commissioner
of Iron Range resources and rehabilitation shall be consistent with the priorities
established in subdivision 8 and shall first be submitted to the Iron Range Resources and
Rehabilitation Board for approval by a majority of the board of expenditures and projects
for rehabilitation purposes as provided by this section, and the method, manner, and time
of payment of all funds proposed to be disbursed shall be first approved or disapproved by
the board. The board shall biennially make its report to the governor and the legislature on
or before November 15 of each even-numbered year. The expenses of the board shall be
paid by the state from the funds raised pursuant to this section. new text begin Members of the board who
are legislators may be reimbursed for expenses in the manner provided in sections 3.099,
subdivision 1, and 3.101, and may receive per diem payments during the interims between
legislative sessions in the manner provided in section 3.099, subdivision 1. Members of
the board who are not legislators may receive per diem payments and be reimbursed for
expenses at the lowest rate provided for legislative members.
new text end
Sec. 3.
Minnesota Statutes 2006, section 298.22, subdivision 5a, as added by Laws
2008, chapter 154, article 8, section 3, is amended to read:
Subd. 5a.
Forest trust.
The commissioner, upon the affirmative vote of a majority
of the members of the board, may purchase forest lands in the taconite assistance area
defined in under section 273.1341 with funds specifically authorized for the purchase. The
acquired forest lands must be held in trust for the benefit of the citizens of the taconite
assistance area as the Iron Range Miners' Memorial Forest. The forest trust lands shall
be managed and developed for recreation and economic development purposes. new text begin The
commissioner, upon the affirmative vote of a majority of the members of the board, may
sell forest lands purchased under this subdivision if the board finds that the sale advances
the purposes of the trust. new text end Proceeds derived from the management new text begin or sale new text end of the lands and
from the sale of timber or removal of gravel or other minerals from these forest lands shall
be deposited into an Iron Range Miners' Memorial Forest account that is established within
the state financial accounts. Funds may be expended from the account upon approval of a
majority of the members of the board to purchase, manage, administer, convey interests
in, and improve the forest lands. By majority vote of the members of the board, money in
the Iron Range Miners' Memorial Forest account may be transferred into the corpus of the
Douglas J. Johnson economic protection trust fund established under sections 298.291
to 298.294. The property acquired under the authority granted by this subdivision and
income derived from the property or the operation or management of the property are
exempt from taxation by the state or its political subdivisionsnew text begin while held by the forest trustnew 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
Sec. 4.
Minnesota Statutes 2006, section 298.22, is amended by adding a subdivision
to read:
new text begin Subd. 12. new text end
new text begin Data classification. new text end
new text begin
Data collected by the commissioner on any
application to determine the eligibility of an applicant for any loan or equity investment
made from funds that are available to the commissioner under this section or otherwise
by law, and to assess or monitor the applicant's or recipient's default risk or to collect
payments owed are: (1) private data on individuals as defined in section 13.02, subdivision
12; and (2) nonpublic data as defined in section 13.02, subdivision 9. The names of the
recipients of the financial assistance and the amounts of financial assistance are public data.
new text end
Sec. 5.
Minnesota Statutes 2007 Supplement, section 298.227, is amended to read:
298.227 TACONITE ECONOMIC DEVELOPMENT FUND.
new text begin (a) new text end An amount equal to that distributed pursuant to each taconite producer's taxable
production and qualifying sales under section 298.28, subdivision 9a, shall be held by
the Iron Range Resources and Rehabilitation Board in a separate taconite economic
development fund for each taconite and direct reduced ore producer. Money from the
fund for each producer shall be released by the commissioner after review by a joint
committee consisting of an equal number of representatives of the salaried employees and
the nonsalaried production and maintenance employees of that producer. The District 11
director of the United States Steelworkers of America, on advice of each local employee
president, shall select the employee members. In nonorganized operations, the employee
committee shall be elected by the nonsalaried production and maintenance employees.
The review must be completed no later than six months after the producer presents a
proposal for expenditure of the funds to the committee. The funds held pursuant to this
section may be released only for new text begin workforce development and associated public facility
improvement, or for new text end acquisition of plant and stationary mining equipment and facilities
for the producer or for research and development in Minnesota on new mining, or
taconite, iron, or steel production technology, but only if the producer provides a matching
expenditure to be used for the same purpose of at least 50 percent of the distribution
based on 14.7 cents per ton beginning with distributions in 2002. Effective for proposals
for expenditures of money from the fund beginning May 26, 2007, the commissioner
may not release the funds before the next scheduled meeting of the board. If the board
rejects a proposed expenditure, the funds must be deposited in the Taconite Environmental
Protection Fund under sections 298.222 to 298.225. If a producer uses money which has
been released from the fund prior to May 26, 2007 to procure haulage trucks, mobile
equipment, or mining shovels, and the producer removes the piece of equipment from
the taconite tax relief area defined in section 273.134 within ten years from the date of
receipt of the money from the fund, a portion of the money granted from the fund must
be repaid to the taconite economic development fund. The portion of the money to be
repaid is 100 percent of the grant if the equipment is removed from the taconite tax relief
area within 12 months after receipt of the money from the fund, declining by ten percent
for each of the subsequent nine years during which the equipment remains within the
taconite tax relief area. If a taconite production facility is sold after operations at the
facility had ceased, any money remaining in the fund for the former producer may be
released to the purchaser of the facility on the terms otherwise applicable to the former
producer under this section. If a producer fails to provide matching funds for a proposed
expenditure within six months after the commissioner approves release of the funds,
the funds are available for release to another producer in proportion to the distribution
provided and under the conditions of this section. Any portion of the fund which is not
released by the commissioner within deleted text begin two yearsdeleted text end new text begin one yearnew text end of its deposit in the fund shall be
divided between the taconite environmental protection fund created in section 298.223
and the Douglas J. Johnson economic protection trust fund created in section 298.292 for
placement in their respective special accounts. Two-thirds of the unreleased funds shall be
distributed to the taconite environmental protection fund and one-third to the Douglas J.
Johnson economic protection trust fund.
new text begin
(b) Notwithstanding the requirements of paragraph (a), setting the amount of
distributions and the review process, an amount equal to ten cents per taxable ton of
production in 2007, for distribution in 2008 only, that would otherwise be distributed
under paragraph (a), may be used for a loan for the cost of construction of a biomass
energy facility. This amount must be deducted from the distribution under paragraph
(a) for which a matching expenditure by the producer is not required. The granting of
the loan is subject to approval by the Iron Range Resources and Rehabilitation Board;
interest must be payable on the loan at the rate prescribed in section 298.2213, subdivision
3. Repayments of the loan and interest must be deposited in the northeast Minnesota
economic development fund established in section 298.2213. If a loan is not made under
this paragraph by July 1, 2009, the amount that had been made available for the loan under
this paragraph must be transferred to the northeast Minnesota economic development
fund. Money distributed in 2008 to the fund established under this section that exceeds ten
cents per ton is available to qualifying producers under paragraph (a) on a pro rata basis.
new text end
new text begin
If 2008 H.F. No. 1812 is enacted and includes a provision that amends this section
in a manner that is different from the amendment in this section, the amendment in this
section supersedes the amendment in 2008 H.F. No. 1812, notwithstanding section 645.26.
new text end
new text begin EFFECTIVE DATE. new text end
new text begin
The section is effective the day following final enactment.
new text end
Sec. 6.
Minnesota Statutes 2006, section 298.24, subdivision 1, as amended by Laws
2008, chapter 154, article 8, section 5, is amended to read:
Subdivision 1.
Imposed; calculation.
(a) For concentrate produced in 2001, 2002,
and 2003, there is imposed upon taconite and iron sulphides, and upon the mining and
quarrying thereof, and upon the production of iron ore concentrate therefrom, and upon
the concentrate so produced, a tax of $2.103 per gross ton of merchantable iron ore
concentrate produced therefrom. For concentrates produced in 2005, the tax rate is the
same rate imposed for concentrates produced in 2004.new text begin For concentrates produced in 2009
and subsequent years, the tax is also imposed upon other iron bearing material.
new text end
(b) For concentrates produced in 2006 and subsequent years, the tax rate shall be
equal to the preceding year's tax rate plus an amount equal to the preceding year's tax rate
multiplied by the percentage increase in the implicit price deflator from the fourth quarter
of the second preceding year to the fourth quarter of the preceding year. "Implicit price
deflator" means the implicit price deflator for the gross domestic product prepared by the
Bureau of Economic Analysis of the United States Department of Commerce.
(c) deleted text begin On concentrates produced in 1997 and thereafter,deleted text end An additional tax is imposed
equal to three cents per gross ton of merchantable iron ore concentrate for each one
percent that the iron content of the product exceeds 72 percent, when dried at 212 degrees
Fahrenheit.
(d) The tax new text begin on taconite and iron sulphides new text end shall be imposed on the average of the
production for the current year and the previous two years. The rate of the tax imposed
will be the current year's tax rate. This clause shall not apply in the case of the closing
of a taconite facility if the property taxes on the facility would be higher if this clause
and section 298.25 were not applicable.new text begin The tax on other iron bearing material shall be
imposed on the current year production.
new text end
(e) If the tax or any part of the tax imposed by this subdivision is held to be
unconstitutional, a tax of $2.103 per gross ton of merchantable iron ore concentrate
produced shall be imposed.
(f) Consistent with the intent of this subdivision to impose a tax based upon the
weight of merchantable iron ore concentrate, the commissioner of revenue may indirectly
determine the weight of merchantable iron ore concentrate included in fluxed pellets by
subtracting the weight of the limestone, dolomite, or olivine derivatives or other basic
flux additives included in the pellets from the weight of the pellets. For purposes of this
paragraph, "fluxed pellets" are pellets produced in a process in which limestone, dolomite,
olivine, or other basic flux additives are combined with merchantable iron ore concentrate.
No subtraction from the weight of the pellets shall be allowed for binders, mineral and
chemical additives other than basic flux additives, or moisture.
(g)(1) Notwithstanding any other provision of this subdivision, for the first two years
of a plant's commercial production of direct reduced orenew text begin from ore mined in this statenew text end , no
tax is imposed under this section. As used in this paragraph, "commercial production" is
production of more than 50,000 tons of direct reduced ore in the current year or in any
prior year, "noncommercial production" is production of 50,000 tons or less of direct
reduced ore in any year, and "direct reduced ore" is ore that results in a product that has an
iron content of at least 75 percent. For the third year of a plant's commercial production of
direct reduced ore, the rate to be applied to direct reduced ore is 25 percent of the rate
otherwise determined under this subdivision. For the fourth commercial production year,
the rate is 50 percent of the rate otherwise determined under this subdivision; for the fifth
commercial production year, the rate is 75 percent of the rate otherwise determined under
this subdivision; and for all subsequent commercial production years, the full rate is
imposed.
(2) Subject to clause (1), production of direct reduced ore in this state is subject to
the tax imposed by this section, but if that production is not produced by a producer of
taconite deleted text begin ordeleted text end new text begin ,new text end iron sulfides, new text begin or other iron bearing material, new text end the production of taconite deleted text begin ordeleted text end new text begin ,new text end
iron sulfidesnew text begin , or other iron bearing material, that isnew text end consumed in the production of direct
reduced iron in this state is not subject to the tax imposed by this section on taconite deleted text begin ordeleted text end new text begin ,new text end
iron sulfidesnew text begin , or other iron bearing materialnew text end .
(3) Notwithstanding any other provision of this subdivision, no tax is imposed
on direct reduced ore under this section during the facility's noncommercial production
of direct reduced ore. The taconite or iron sulphides consumed in the noncommercial
production of direct reduced ore is subject to the tax imposed by this section on taconite
and iron sulphides. Three-year average production of direct reduced ore does not
include production of direct reduced ore in any noncommercial year. Three-year average
production for a direct reduced ore facility that has noncommercial production is the
average of the commercial production of direct reduced ore for the current year and the
previous two commercial years.
(4) This paragraph applies only to plants for which all environmental permits have
been obtained and construction has begun before July 1, 2008.
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective for production in 2009 and thereafter,
except that the amendment to paragraph (g) is effective the day following final enactment.
new text end
Sec. 7.
Minnesota Statutes 2006, section 298.25, as amended by Laws 2008, chapter
154, article 8, section 6, is amended to read:
298.25 TAXES ADDITIONAL TO OCCUPATION TAX; IN LIEU OF OTHER
TAXES.
The taxes imposed under section 298.24 shall be in addition to the occupation tax
imposed upon the business of mining and producing iron ore. Except as herein otherwise
provided, such taxes shall be in lieu of all other taxes upon deleted text begin suchdeleted text end taconite, iron sulphides,
deleted text begin anddeleted text end direct reduced orenew text begin , and other iron bearing materialnew text end or the lands in which they are
contained, or upon the mining or quarrying thereof, or the production of concentrate or
direct reduced ore therefrom, or upon the concentrate or direct reduced ore produced,
or upon the machinery, equipment, tools, supplies and buildings used in such mining,
quarrying or production, or upon the lands occupied by, or used in connection with, such
mining, quarrying or production facilities. If electric or steam power for the mining,
transportation or concentration of deleted text begin suchdeleted text end taconite, concentrates deleted text begin ordeleted text end new text begin ,new text end direct reduced orenew text begin , or
other iron bearing materialnew text end produced therefrom is generated in plants principally devoted
to the generation of power for such purposes, the plants in which such power is generated
and all machinery, equipment, tools, supplies, transmission and distribution lines used in
the generation and distribution of such power, shall not be considered to be machinery,
equipment, tools, supplies and buildings used in the mining, quarrying, or production of
taconite, taconite concentrates or direct reduced ore within the meaning of this section,
and shall be subject to general property taxation. Nothing deleted text begin herein shall preventdeleted text end new text begin in this
section preventsnew text end the assessment and taxation new text begin under the general property tax law new text end ofnew text begin :
new text end
new text begin (1)new text end the surface of reserve land containing taconite new text begin or other iron bearing material
new text end and not occupied by such facilities or used in connection deleted text begin therewithdeleted text end new text begin with themnew text end at the
value deleted text begin thereofdeleted text end new text begin of the landnew text end without regard to the taconite deleted text begin ordeleted text end new text begin ,new text end iron sulphides deleted text begin therein, nor the
assessment and taxation ofdeleted text end new text begin , or other iron bearing materials in the land;
new text end
new text begin (2)new text end merchantable iron ore or other minerals, or iron-bearing materials other than
taconite or iron sulphides in deleted text begin suchdeleted text end new text begin thenew text end lands deleted text begin in the manner provided by law, nor the
assessment and taxation ofdeleted text end new text begin ;
new text end
new text begin (3)new text end facilities used in producing sulphur or sulphur products from iron sulphide
concentrates, or in refining deleted text begin suchdeleted text end sulphur productsdeleted text begin , under the general property tax laws.
Nothing herein shall except from general taxation or from taxation as provided by other
lawsdeleted text end new text begin ; or
new text end
new text begin (4)new text end any property used for residential or townsite purposes, including utility services
deleted text begin theretodeleted text end new text begin to that propertynew text end .
This section does not provide an exemption from general property taxation for ore
docks even if located at the site of a taconite production facility.
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective for production in 2009 and thereafter.
new text end
Sec. 8.
Minnesota Statutes 2006, section 298.28, subdivision 3, is amended to read:
Subd. 3.
Cities; towns.
(a) 12.5 cents per taxable ton, less any amount distributed
under subdivision 8, and paragraph (b), must be allocated to the taconite municipal aid
account to be distributed as provided in section 298.282.
(b) An amount must be allocated to towns or cities that is annually certified by
the county auditor of a county containing a taconite tax relief area as defined in section
273.134, paragraph (b), within which there is (1) an organized township if, as of January
2, 1982, more than 75 percent of the assessed valuation of the township consists of iron
ore or (2) a city if, as of January 2, 1980, more than 75 percent of the assessed valuation
of the city consists of iron ore.
(c) The amount allocated under paragraph (b) will be the portion of a township's or
city's certified levy equal to the proportion of (1) the difference between 50 percent of
January 2, 1982, assessed value in the case of a township and 50 percent of the January 2,
1980, assessed value in the case of a city and its current assessed value to (2) the sum of
its current assessed value plus the difference determined in (1), provided that the amount
distributed shall not exceed $55 per capita in the case of a township or $75 per capita in
the case of a city. For purposes of this limitation, population will be determined according
to the 1980 decennial census conducted by the United States Bureau of the Census. If the
current assessed value of the township exceeds 50 percent of the township's January 2,
1982, assessed value, or if the current assessed value of the city exceeds 50 percent of the
city's January 2, 1980, assessed value, this paragraph shall not apply. For purposes of this
paragraph, "assessed value," when used in reference to years other than 1980 or 1982,
means the appropriate net tax capacities multiplied by 10.2.
new text begin
(d) In addition to other distributions under this subdivision, three cents per taxable
ton for distributions in 2009 must be allocated for distribution to towns that are entirely
located within the taconite tax relief area defined in section 273.134, paragraph (b).
For distribution in 2010 and subsequent years, the three-cent amount must be annually
increased in the same proportion as the increase in the implicit price deflator as provided
in section 298.24, subdivision 1. The amount available under this paragraph will be
distributed to eligible towns on a per capita basis, provided that no town may receive more
than $50,000 in any year under this paragraph. Any amount of the distribution that exceeds
the $50,000 limitation for a town under this paragraph must be redistributed on a per
capita basis among the other eligible towns, to whose distributions do not exceed $50,000.
new text end
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective for distributions in 2009 and
thereafter.
new text end
Sec. 9.
Minnesota Statutes 2006, section 298.28, subdivision 9d, as added by Laws
2008, chapter 154, article 8, section 9, is amended to read:
Subd. 9d.
Iron Range higher education account.
deleted text begin Twodeleted text end new text begin Fivenew text end cents per taxable ton
must be allocated to the Iron Range Resources and Rehabilitation Board to be deposited
in an Iron Range higher education account that is hereby created, to be used for higher
education programs conducted at educational institutions in the taconite assistance area
defined in section 273.1341. The Iron Range Higher Education committee under section
298.2214 and the Iron Range Resources and Rehabilitation Board must approve all
expenditures from the account.
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective for production in 2007, distributions
in 2008, and thereafter.
new text end
Sec. 10.
Minnesota Statutes 2006, section 298.28, subdivision 12, is amended to read:
Subd. 12.
Estimates.
On or before October 10 of each calendar year each
producer of taconite deleted text begin ordeleted text end new text begin ,new text end iron sulphidesnew text begin , and other iron-bearing materialnew text end subject to taxation
under section 298.24 deleted text begin (deleted text end new text begin , new text end hereinafter deleted text begin calleddeleted text end new text begin referred to asnew text end "taxpayer"deleted text begin )deleted text end new text begin ,new text end shall file with the
commissioner of revenue an estimate of the amount of tax deleted text begin whichdeleted text end new text begin thatnew text end would be payable by
deleted text begin suchdeleted text end new text begin thenew text end taxpayer under deleted text begin saiddeleted text end new text begin thenew text end law for deleted text begin suchdeleted text end new text begin thenew text end calendar year; provided deleted text begin suchdeleted text end new text begin that the
new text end estimate shall be in an amount not less than the amount due on the mining and production
of concentrates up to September 30 of deleted text begin saiddeleted text end new text begin thenew text end year plus the amount becoming due
because of probable production between September 30 and December 31 of deleted text begin saiddeleted text end new text begin thenew text end year,
less any credit allowable as provided in subdivision 13. The commissioner of revenue
shall annually on or before October 10 report an estimated distribution amount to each
taxing district and the officers with whom such report is so filed shall use the amount so
indicated as being distributable to each taxing district in computing the permissible tax
levy of deleted text begin suchdeleted text end new text begin thenew text end county or city in the year in which deleted text begin suchdeleted text end new text begin thenew text end estimate is made, and payable
in the next deleted text begin ensuingdeleted text end calendar year, except that one cent per taxable ton of the amount
distributed under subdivision 5, paragraph (d), shall not be deducted in calculating the
permissible levy. In any calendar year in which a general property tax levy has been
made, if the taxes distributable to any deleted text begin suchdeleted text end county or city are greater than the amount
estimated by the commissioner to be paid to deleted text begin any suchdeleted text end new text begin thenew text end county or city deleted text begin in suchdeleted text end new text begin thatnew text end
year, the excess of deleted text begin suchdeleted text end new text begin thenew text end distribution shall be held in a special fund by the county or
city and shall not be expended until the succeeding calendar year, and shall be included
in computing the permissible levies of deleted text begin suchdeleted text end new text begin the new text end county or city payable in such year. If
the amounts distributable to deleted text begin any suchdeleted text end new text begin the new text end county or city after final determination by the
commissioner of revenue under this section are less than the amounts by which a taxing
district's levies were reduced pursuant to this section, deleted text begin suchdeleted text end new text begin thenew text end county or city may issue
certificates of indebtedness in the amount of the shortage, and may include in its next tax
levy an amount sufficient to pay deleted text begin suchdeleted text end new text begin thenew text end certificates of indebtedness and interest thereon,
or, if no certificates were issued, an amount equal to deleted text begin suchdeleted text end new text begin thenew text end shortage.
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective for production in 2009 and thereafter.
new text end
Sec. 11.
Minnesota Statutes 2006, section 298.292, subdivision 2, as amended by Laws
2008, chapter 154, article 8, section 11, is amended to read:
Subd. 2.
Use of money.
Money in the Douglas J. Johnson economic protection trust
fund may be used for the following purposes:
(1) to provide loans, loan guarantees, interest buy-downs and other forms of
participation with private sources of financing, but a loan to a private enterprise shall be
for a principal amount not to exceed one-half of the cost of the project for which financing
is sought, and the rate of interest on a loan to a private enterprise shall be no less than the
lesser of eight percent or an interest rate three percentage points less than a full faith
and credit obligation of the United States government of comparable maturity, at the
time that the loan is approved;
(2) to fund reserve accounts established to secure the payment when due of the
principal of and interest on bonds issued pursuant to section 298.2211;
(3) to pay in periodic payments or in a lump sum payment any or all of the interest
on bonds issued pursuant to chapter 474 for the purpose of constructing, converting,
or retrofitting heating facilities in connection with district heating systems or systems
utilizing alternative energy sources;
(4) to invest in a venture capital fund or enterprise that will provide capital to other
entities that are engaging in, or that will engage in, projects or programs that have the
purposes set forth in subdivision 1. No investments may be made in a venture capital fund
or enterprise unless at least two other unrelated investors make investments of at least
$500,000 in the venture capital fund or enterprise, and the investment by the Douglas
J. Johnson economic protection trust fund may not exceed the amount of the largest
investment by an unrelated investor in the venture capital fund or enterprise. For purposes
of this subdivision, an "unrelated investor" is a person or entity that is not related to
the entity in which the investment is made or to any individual who owns more than 40
percent of the value of the entity, in any of the following relationships: spouse, parent,
child, sibling, employee, or owner of an interest in the entity that exceeds ten percent of
the value of all interests in it. For purposes of determining the limitations under this
clause, the amount of investments made by an investor other than the Douglas J. Johnson
economic protection trust fund is the sum of all investments made in the venture capital
fund or enterprise during the period beginning one year before the date of the investment
by the Douglas J. Johnson economic protection trust fund; and
(5) to purchase forest land in the taconite assistance area defined in section 273.1341
to be held and managed as a public trust for the benefit of the area for the purposes
authorized in section 298.22, subdivision 5a. new text begin Property purchased under this section may
be sold by the commissioner upon approval by a majority vote of the board. The net
proceeds must be deposited in the trust fund for the purposes and uses of this section.
new text end
Money from the trust fund shall be expended only in or for the benefit of the taconite
assistance area defined in section 273.1341.
Sec. 12.
Minnesota Statutes 2006, section 298.405, subdivision 1, is amended to read:
Subdivision 1.
deleted text begin Imposition of taxdeleted text end new text begin Definitionnew text end .
deleted text begin In any year in whichdeleted text end Iron bearing
material other than taconite and semitaconite deleted text begin as defined by lawdeleted text end , having not more than 46.5
percent natural iron content on the average,new text begin is subject to taxation under section 298.24.
The tax under that section applies to material that is:
new text end
new text begin (1) new text end deleted text begin produced from any 40 acre tract or governmental lot, but not from more than
three such tracts or lots by an individual producer, isdeleted text end finer than or deleted text begin isdeleted text end ground to 90 percent
passing 20 mesh deleted text begin and isdeleted text end new text begin ; and
new text end
new text begin (2)new text end treated new text begin in Minnesota new text end for the purpose of separating the iron particles from silica,
alumina, or other detrimental compounds or elements unless used in a direct reduction
processdeleted text begin , and is treated in Minnesotadeleted text end :
deleted text begin (a)deleted text end new text begin (i)new text end by deleted text begin eitherdeleted text end electrostatic separation, roasting and magnetic separation, or
flotation deleted text begin ordeleted text end new text begin ;
new text end
deleted text begin (b)deleted text end new text begin (ii)new text end by a direct reduction process deleted text begin ordeleted text end new text begin ;
new text end
deleted text begin (c)deleted text end new text begin (iii)new text end by any combination of such processesnew text begin ;new text end or
deleted text begin (d)deleted text end new text begin (iv)new text end by any other process or method not presently employed in gravity separation
plants employing only crushing, screening, washing, jigging, heavy media separation,
spirals, cyclones, drying or any combination thereofdeleted text begin , the production of such ore shall
be taxed in the manner and at the rates provided for the taxation of semitaconite under
section 298.35 provided that the
deleted text end
deleted text begin amount of concentrates or final product deleted text end deleted text begin sodeleted text end deleted text begin produced each year from any one 40 acre
tract or governmental lotdeleted text end deleted text begin exceeds 100,000 tons ordeleted text end deleted text begin exceeds 25,000 tons from any one
40 acre tract or governmental lot where the average phosphorus content exceeds .125
percent dry analysis or .10 percent sulphur dry analysisdeleted text end deleted text begin . deleted text end deleted text begin Suchdeleted text end deleted text begin tax shall be in addition to
the occupation and royalty taxes but shall be in lieu of all other taxes upon the said 40
acre tract or governmental lot, the iron ore contained therein, the concentrates produced,
and the mining and beneficiating facilities used in such production. The determination
as to what materials will qualify under this law will be made by the commissioner of
revenue who may use the services of the Ore Estimate Division of the University of
Minnesota, Department of Civil and Mineral Engineering, which is hereby established
as a technical consultant to the commissioner for the purposes of this section. The tax
imposed shall be collected, paid, and the proceeds thereof distributed in the same manner
and at the same time as the tax imposed upon semitaconite by section 298.35 is collected,
paid, and distributeddeleted text end .
Sec. 13.
Laws 2008, chapter 154, article 8, section 14, the effective date, is amended to
read:
EFFECTIVE DATE.
This section is effective for distributions made in deleted text begin 2008deleted text end new text begin 2007new text end
and thereafter.
Sec. 14. new text begin ELECTRIC GENERATING PLANTS IN TACONITE TAX RELIEF
AREAS.
new text end
new text begin
For purposes of definitions of "taconite tax relief area" and "taconite assistance area"
in Minnesota Statutes, sections 273.134, 273.1341, and related laws, the elimination
of the property tax exemption for certain electric generating plants under Laws 2008,
chapter 154, article 8, section 6, does not change the status of any electric generating plant
qualifying as a taconite facility.
new text end
Sec. 15. new text begin 2008 DISTRIBUTIONS ONLY.
new text end
new text begin
For distribution in 2008 only, a special fund is established to receive 11.4 cents
per ton that otherwise would be allocated under Minnesota Statutes, section 298.28,
subdivision 6. If sufficient funds are not available under Minnesota Statutes, section
298.28, subdivision 6, to make the payments required under this section and under
Minnesota Statutes, section 298.28, subdivision 6, the remaining amount needed to total
11.4 cents per ton may be taken from funds available under Minnesota Statutes, section
298.28, subdivision 9. If 2008 H.F. No. 1812 is enacted and includes a provision that
distributes funds that would otherwise be allocated under Minnesota Statutes, section
298.28, subdivision 6, in a manner different from the distribution required in this section,
the distribution in this section supersedes the distribution set in 2008 H.F. No. 1812
notwithstanding Minnesota Statutes, section 645.26. The following amounts are allocated
to St. Louis County acting as the fiscal agent for the recipients for the following specified
purposes:
new text end
new text begin
(1) two cents per ton must be paid to the Hibbing Economic Development Authority
to retire bonds and for economic development purposes;
new text end
new text begin
(2) one cent per ton must be divided among and paid in equal shares to each of the
board of St. Louis County School District No. 2142, the board of Ely School District No.
696, the board of Mountain Iron-Buhl School District No. 712, and the board of Virginia
School District No. 706 for each to study the potential for and impact of consolidation
and streamlining the operations of their school districts;
new text end
new text begin
(3) 0.25 cent per ton must be paid to the city of Grand Rapids, for industrial park
work;
new text end
new text begin
(4) 0.65 cent per ton must be paid to the city of Aitkin, for sewer and water for
housing projects;
new text end
new text begin
(5) 0.5 cent per ton must be paid to the city of Crosby, for well and water tower
infrastructure;
new text end
new text begin
(6) 0.5 cent per ton must be paid to the city of Two Harbors, for well and water
tower infrastructure;
new text end
new text begin
(7) 1.5 cents per ton must be paid to the city of Silver Bay to pay for health and
safety and maintenance improvements at a former elementary school building that is
currently owned by the city, to be used for economic development purposes;
new text end
new text begin
(8) 1.5 cents per ton must be paid to St. Louis County to extend water and sewer
lines from the city of Chisholm to the St. Louis County fairgrounds;
new text end
new text begin
(9) 1.5 cents per ton must be paid to the White Community Hospital for debt
restructuring;
new text end
new text begin
(10) 0.5 cent per ton must be paid to the city of Keewatin for street, sewer, and
water improvements;
new text end
new text begin
(11) 0.5 cent per ton must be paid to the city of Calumet for street, sewer, and water
improvements; and
new text end
new text begin
(12) one cent per ton must be paid to Breitung township for sewer and water
extensions associated with the development of a state park, provided that if a new state
park is not established in Breitung township by July 1, 2009, the money provided in
this clause must be transferred to the northeast Minnesota economic development fund
established in Minnesota Statutes, section 298.2213.
new text end
Sec. 16. new text begin REPEALER.
new text end
new text begin
Minnesota Statutes 2006, section 298.405, subdivisions 2, 3, and 4,
new text end
new text begin
are repealed.
new text end
ARTICLE 11
FEDERAL UPDATE
Section 1.
Minnesota Statutes 2006, section 272.02, subdivision 13, is amended to read:
Subd. 13.
Emergency shelters for victims of domestic abuse.
Property used in
a continuous program to provide emergency shelter for victims of domestic abuse is
exempt, provided the organization that owns and sponsors the shelter is exempt from
federal income taxation pursuant to section 501(c)(3) of the Internal Revenue Code
deleted text begin of 1986, as amended through December 31, 1992deleted text end , notwithstanding the fact that the
sponsoring organization receives funding under Section 8 of the United States Housing
Act of 1937, as amended.
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.
Minnesota Statutes 2006, section 272.02, subdivision 20, is amended to read:
Subd. 20.
Transitional housing facilities.
Transitional housing facilities are
exempt. "Transitional housing facility" means a facility that meets the following
requirements. (i) It provides temporary housing to individuals, couples, or families. (ii)
It has the purpose of reuniting families and enabling parents or individuals to obtain
self-sufficiency, advance their education, get job training, or become employed in jobs
that provide a living wage. (iii) It provides support services such as child care, work
readiness training, and career development counseling; and a self-sufficiency program
with periodic monitoring of each resident's progress in completing the program's goals.
(iv) It provides services to a resident of the facility for at least three months but no longer
than three years, except residents enrolled in an educational or vocational institution or job
training program. These residents may receive services during the time they are enrolled
but in no event longer than four years. (v) It is owned and operated or under lease from a
unit of government or governmental agency under a property disposition program and
operated by one or more organizations exempt from federal income tax under section
501(c)(3) of the Internal Revenue Code deleted text begin of 1986, as amended through December 31,
1992deleted text end . This exemption applies notwithstanding the fact that the sponsoring organization
receives financing by a direct federal loan or federally insured loan or a loan made by the
Minnesota Housing Finance Agency under the provisions of either Title II of the National
Housing Actnew text begin , as amended,new text end or the Minnesota Housing Finance Agency Law of 1971new text begin ,
chapter 462A,new text end or rules promulgated by the agency pursuant to it, and notwithstanding the
fact that the sponsoring organization receives funding under Section 8 of the United
States Housing Act of 1937, as amended.
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective the day following final enactment.
new text end
Sec. 3.
Minnesota Statutes 2006, section 272.02, subdivision 21, is amended to read:
Subd. 21.
Property used to provide computing resources to University of
Minnesota.
Real and personal property, including leasehold or other personal property
interests, is exempt if it is owned and operated by a corporation of which more than 50
percent of the total voting power of the stock of the corporation is owned collectively by:
(i) the Board of Regents of the University of Minnesota, (ii) the University of Minnesota
Foundation, an organization exempt from federal income taxation under section 501(c)(3)
of the Internal Revenue Code deleted text begin of 1986, as amended through December 31, 1992deleted text end , and (iii)
a corporation organized under chapter 317A, which by its articles of incorporation is
prohibited from providing pecuniary gain to any person or entity other than the regents
of the University of Minnesota; which property is used primarily to manage or provide
goods, services, or facilities utilizing or relating to large-scale advanced scientific
computing resources to the regents of the University of Minnesota and others.
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective the day following final enactment.
new text end
Sec. 4.
Minnesota Statutes 2006, section 272.02, subdivision 27, is amended to read:
Subd. 27.
Superior National Forest; recreational property for use by disabled
veterans.
Real and personal property is exempt if it is located in the Superior National
Forest, and owned or leased and operated by a nonprofit organization that is exempt
from federal income taxation under section 501(c)(3) of the Internal Revenue Codedeleted text begin of
1986, as amended through December 31, 1992,deleted text end and primarily used to provide recreational
opportunities for disabled veterans and their families.
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective the day following final enactment.
new text end
Sec. 5.
Minnesota Statutes 2006, section 272.02, subdivision 31, is amended to read:
Subd. 31.
Business incubator property.
Property owned by a nonprofit charitable
organization that qualifies for tax exemption under section 501(c)(3) of the Internal
Revenue Code deleted text begin of 1986, as amended through December 31, 1997,deleted text end that is intended to be
used as a business incubator in a high-unemployment county, is exempt. As used in this
subdivision, a "business incubator" is a facility used for the development of nonretail
businesses, offering access to equipment, space, services, and advice to the tenant
businesses, for the purpose of encouraging economic development, diversification, and
job creation in the area served by the organization, and "high-unemployment county" is a
county that had an average annual unemployment rate of 7.9 percent or greater in 1997.
Property that qualifies for the exemption under this subdivision is limited to no more than
two contiguous parcels and structures that do not exceed in the aggregate 40,000 square
feet. This exemption expires after taxes payable in 2011.
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective the day following final enactment.
new text end
Sec. 6.
Minnesota Statutes 2006, section 272.02, subdivision 49, is amended to read:
Subd. 49.
Agricultural historical society property.
Property is exempt from
taxation if it is owned by a nonprofit charitable or educational organization that qualifies
for exemption under section 501(c)(3) of the Internal Revenue Code deleted text begin of 1986, as amended
through December 31, 2000,deleted text end and meets the following criteria:
(1) the property is primarily used for storing and exhibiting tools, equipment, and
artifacts useful in providing an understanding of local or regional agricultural history.
Primary use is determined each year based on the number of days the property is used
solely for storage and exhibition purposes;
(2) the property is limited to a maximum of 20 acres per owner per county, but
includes the land and any taxable structures, fixtures, and equipment on the land;
(3) the property is not used for a revenue-producing activity for more than ten days
in each calendar year; and
(4) the property is not used for residential purposes on either a temporary or
permanent basis.
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective the day following final enactment.
new text end
Sec. 7.
Minnesota Statutes 2006, section 272.03, subdivision 3, is amended to read:
Subd. 3.
Construction of terms.
For the purposes of chapters 270 to 284, unless a
different meaning is indicated by the context, the words, phrases, and terms defined in
deleted text begin subdivisions 4 to 11 shalldeleted text end new text begin this sectionnew text end have the meanings given them.
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective the day following final enactment.
new text end
Sec. 8.
Minnesota Statutes 2006, section 272.03, is amended by adding a subdivision
to read:
new text begin Subd. 13. new text end
new text begin Internal Revenue Code. new text end
new text begin
Unless specifically defined otherwise, "Internal
Revenue Code" means the Internal Revenue Code as defined in section 289A.02,
subdivision 7.
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
Sec. 9.
new text begin
[273.105] INTERNAL REVENUE CODE.
new text end
new text begin
Unless specifically defined otherwise, for purposes of this chapter, "Internal Revenue
Code" means the Internal Revenue Code as defined in section 289A.02, subdivision 7.
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
Sec. 10.
Minnesota Statutes 2006, section 273.11, subdivision 8, is amended to read:
Subd. 8.
Limited equity cooperative apartments.
For the purposes of this
subdivision, the terms defined in this subdivision have the meanings given them.
A "limited equity cooperative" is a corporation organized under chapter 308A or
308B, which has as its primary purpose the provision of housing and related services to
its members which meets one of the following criteria with respect to the income of its
members: (1) a minimum of 75 percent of members must have incomes at or less than
90 percent of area median income, (2) a minimum of 40 percent of members must have
incomes at or less than 60 percent of area median income, or (3) a minimum of 20 percent
of members must have incomes at or less than 50 percent of area median income. For
purposes of this clause, "member income" shall mean the income of a member existing at
the time the member acquires cooperative membership, and median income shall mean
the St. Paul-Minneapolis metropolitan area median income as determined by the United
States Department of Housing and Urban Development. It must also meet the following
requirements:
(a) The articles of incorporation set the sale price of occupancy entitling cooperative
shares or memberships at no more than a transfer value determined as provided in the
articles. That value may not exceed the sum of the following:
(1) the consideration paid for the membership or shares by the first occupant of the
unit, as shown in the records of the corporation;
(2) the fair market value, as shown in the records of the corporation, of any
improvements to the real property that were installed at the sole expense of the member
with the prior approval of the board of directors;
(3) accumulated interest, or an inflation allowance not to exceed the greater of a ten
percent annual noncompounded increase on the consideration paid for the membership or
share by the first occupant of the unit, or the amount that would have been paid on that
consideration if interest had been paid on it at the rate of the percentage increase in the
revised Consumer Price Index for All Urban Consumers for the Minneapolis-St. Paul
metropolitan area prepared by the United States Department of Labor, provided that the
amount determined pursuant to this clause may not exceed $500 for each year or fraction
of a year the membership or share was owned; plus
(4) real property capital contributions shown in the records of the corporation to
have been paid by the transferor member and previous holders of the same membership,
or of separate memberships that had entitled occupancy to the unit of the member
involved. These contributions include contributions to a corporate reserve account the
use of which is restricted to real property improvements or acquisitions, contributions to
the corporation which are used for real property improvements or acquisitions, and the
amount of principal amortized by the corporation on its indebtedness due to the financing
of real property acquisition or improvement or the averaging of principal paid by the
corporation over the term of its real property-related indebtedness.
(b) The articles of incorporation require that the board of directors limit the purchase
price of stock or membership interests for new member-occupants or resident shareholders
to an amount which does not exceed the transfer value for the membership or stock as
defined in clause (a).
(c) The articles of incorporation require that the total distribution out of capital to a
member shall not exceed that transfer value.
(d) The articles of incorporation require that upon liquidation of the corporation any
assets remaining after retirement of corporate debts and distribution to members will
be conveyed to a charitable organization described in section 501(c)(3) of the Internal
Revenue Code deleted text begin of 1986, as amended through December 31, 1992,deleted text end or a public agency.
A "limited equity cooperative apartment" is a dwelling unit owned by a limited
equity cooperative.
"Occupancy entitling cooperative share or membership" is the ownership interest
in a cooperative organization which entitles the holder to an exclusive right to occupy a
dwelling unit owned or leased by the cooperative.
For purposes of taxation, the assessor shall value a unit owned by a limited equity
cooperative at the lesser of its market value or the value determined by capitalizing the net
operating income of a comparable apartment operated on a rental basis at the capitalization
rate used in valuing comparable buildings that are not limited equity cooperatives. If a
cooperative fails to operate in accordance with the provisions of clauses (a) to (d), the
property shall be subject to additional property taxes in the amount of the difference
between the taxes determined in accordance with this subdivision for the last ten years that
the property had been assessed pursuant to this subdivision and the amount that would
have been paid if the provisions of this subdivision had not applied to it. The additional
taxes, plus interest at the rate specified in section 549.09, shall be extended against the
property on the tax list for the current year.
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective the day following final enactment.
new text end
Sec. 11.
Minnesota Statutes 2006, section 273.124, subdivision 6, is amended to read:
Subd. 6.
Leasehold cooperatives.
When one or more dwellings or one or more
buildings which each contain several dwelling units is owned by a nonprofit corporation
subject to the provisions of chapter 317A and qualifying under section 501(c)(3) or
501(c)(4) of the Internal Revenue Code deleted text begin of 1986, as amended through December 31,
1990deleted text end , or a limited partnership which corporation or partnership operates the property in
conjunction with a cooperative association, and has received public financing, homestead
treatment may be claimed by the cooperative association on behalf of the members of
the cooperative for each dwelling unit occupied by a member of the cooperative. The
cooperative association must provide the assessor with the Social Security numbers of
those members. To qualify for the treatment provided by this subdivision, the following
conditions must be met:
(a) the cooperative association must be organized under chapter 308A or 308B and
all voting members of the board of directors must be resident tenants of the cooperative
and must be elected by the resident tenants of the cooperative;
(b) the cooperative association must have a lease for occupancy of the property for a
term of at least 20 years, which permits the cooperative association, while not in default on
the lease, to participate materially in the management of the property, including material
participation in establishing budgets, setting rent levels, and hiring and supervising a
management agent;
(c) to the extent permitted under state or federal law, the cooperative association
must have a right under a written agreement with the owner to purchase the property if the
owner proposes to sell it; if the cooperative association does not purchase the property it is
offered for sale, the owner may not subsequently sell the property to another purchaser at
a price lower than the price at which it was offered for sale to the cooperative association
unless the cooperative association approves the sale;
(d) a minimum of 40 percent of the cooperative association's members must have
incomes at or less than 60 percent of area median gross income as determined by the
United States Secretary of Housing and Urban Development under section 142(d)(2)(B)
of the Internal Revenue Code deleted text begin of 1986, as amended through December 31, 1991deleted text end . For
purposes of this clause, "member income" means the income of a member existing at the
time the member acquires cooperative membership;
(e) if a limited partnership owns the property, it must include as the managing
general partner a nonprofit organization operating under the provisions of chapter 317A
and qualifying under section 501(c)(3) or 501(c)(4) of the Internal Revenue Code deleted text begin of 1986,
as amended through December 31, 1990,deleted text end and the limited partnership agreement must
provide that the managing general partner have sufficient powers so that it materially
participates in the management and control of the limited partnership;
(f) prior to becoming a member of a leasehold cooperative described in this
subdivision, a person must have received notice that (1) describes leasehold cooperative
property in plain language, including but not limited to the effects of classification
under this subdivision on rents, property taxes and tax credits or refunds, and operating
expenses, and (2) states that copies of the articles of incorporation and bylaws of the
cooperative association, the lease between the owner and the cooperative association, a
sample sublease between the cooperative association and a tenant, and, if the owner is a
partnership, a copy of the limited partnership agreement, can be obtained upon written
request at no charge from the owner, and the owner must send or deliver the materials
within seven days after receiving any request;
(g) if a dwelling unit of a building was occupied on the 60th day prior to the date on
which the unit became leasehold cooperative property described in this subdivision, the
notice described in paragraph (f) must have been sent by first class mail to the occupant of
the unit at least 60 days prior to the date on which the unit became leasehold cooperative
property. For purposes of the notice under this paragraph, the copies of the documents
referred to in paragraph (f) may be in proposed version, provided that any subsequent
material alteration of those documents made after the occupant has requested a copy
shall be disclosed to any occupant who has requested a copy of the document. Copies of
the articles of incorporation and certificate of limited partnership shall be filed with the
secretary of state after the expiration of the 60-day period unless the change to leasehold
cooperative status does not proceed;
(h) the county attorney of the county in which the property is located must certify to
the assessor that the property meets the requirements of this subdivision;
(i) the public financing received must be from at least one of the following sources:
(1) tax increment financing proceeds used for the acquisition or rehabilitation of the
building or interest rate write-downs relating to the acquisition of the building;
(2) government issued bonds exempt from taxes under section 103 of the Internal
Revenue Code deleted text begin of 1986, as amended through December 31, 1991deleted text end , the proceeds of which
are used for the acquisition or rehabilitation of the building;
(3) programs under section 221(d)(3), 202, or 236, of Title II of the National
Housing Act;
(4) rental housing program funds under Section 8 of the United States Housing Act
of 1937new text begin , as amended,new text end or the market rate family graduated payment mortgage program
funds administered by the Minnesota Housing Finance Agency that are used for the
acquisition or rehabilitation of the building;
(5) low-income housing credit under section 42 of the Internal Revenue Code deleted text begin of
1986, as amended through December 31, 1991deleted text end ;
(6) public financing provided by a local government used for the acquisition or
rehabilitation of the building, including grants or loans from (i) federal community
development block grants; (ii) HOME block grants; or (iii) residential rental bonds issued
under chapter 474A; or
(7) other rental housing program funds provided by the Minnesota Housing Finance
Agency for the acquisition or rehabilitation of the building;
(j) at the time of the initial request for homestead classification or of any transfer of
ownership of the property, the governing body of the municipality in which the property is
located must hold a public hearing and make the following findings:
(1) that the granting of the homestead treatment of the apartment's units will
facilitate safe, clean, affordable housing for the cooperative members that would otherwise
not be available absent the homestead designation;
(2) that the owner has presented information satisfactory to the governing body
showing that the savings garnered from the homestead designation of the units will be
used to reduce tenant's rents or provide a level of furnishing or maintenance not possible
absent the designation; and
(3) that the requirements of paragraphs (b), (d), and (i) have been met.
Homestead treatment must be afforded to units occupied by members of the
cooperative association and the units must be assessed as provided in subdivision 3,
provided that any unit not so occupied shall be classified and assessed pursuant to the
appropriate class. No more than three acres of land may, for assessment purposes,
be included with each dwelling unit that qualifies for homestead treatment under this
subdivision.
When dwelling units no longer qualify under this subdivision, the current owner
must notify the assessor within 60 days. Failure to notify the assessor within 60 days shall
result in the loss of benefits under this subdivision for taxes payable in the year that the
failure is discovered. For these purposes, "benefits under this subdivision" means the
difference in the net tax capacity of the units which no longer qualify as computed under
this subdivision and as computed under the otherwise applicable law, times the local tax
rate applicable to the building for that taxes payable year. Upon discovery of a failure to
notify, the assessor shall inform the auditor of the difference in net tax capacity for the
building or buildings in which units no longer qualify, and the auditor shall calculate the
benefits under this subdivision. Such amount, plus a penalty equal to 100 percent of that
amount, shall then be demanded of the building's owner. The property owner may appeal
the county's determination by serving copies of a petition for review with county officials
as provided in section 278.01 and filing a proof of service as provided in section 278.01
with the Minnesota Tax Court within 60 days of the date of the notice from the county.
The appeal shall be governed by the Tax Court procedures provided in chapter 271, for
cases relating to the tax laws as defined in section 271.01, subdivision 5; disregarding
sections 273.125, subdivision 5, and 278.03, but including section 278.05, subdivision 2.
If the amount of the benefits under this subdivision and penalty are not paid within 60
days, and if no appeal has been filed, the county auditor shall certify the amount of the
benefit and penalty to the succeeding year's tax list to be collected as part of the property
taxes on the affected buildings.
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective the day following final enactment.
new text end
Sec. 12.
Minnesota Statutes 2006, section 273.128, subdivision 1, as amended by Laws
2008, chapter 154, article 2, section 10, is amended to read:
Subdivision 1.
Requirement.
Low-income rental property classified as class 4d
under section 273.13, subdivision 25, is entitled to valuation under this section if at least 20
percent of the units in the rental housing property meet any of the following qualifications:
(1) the units are subject to a housing assistance payments contract under Section 8
of the United States Housing Act of 1937, as amended;
(2) the units are rent-restricted and income-restricted units of a qualified low-income
housing project receiving tax credits under section 42(g) of the Internal Revenue Code
deleted text begin of 1986, as amendeddeleted text end ;
(3) the units are financed by the Rural Housing Service of the United States
Department of Agriculture and receive payments under the rental assistance program
pursuant to section 521(a) of the Housing Act of 1949, as amended; or
(4) the units are subject to rent and income restrictions under the terms of financial
assistance provided to the rental housing property by the federal government or the
state of Minnesota, or a local unit of government, as evidenced by a document recorded
against the property.
The restrictions must require assisted units to be occupied by residents whose
household income at the time of initial occupancy does not exceed 60 percent of the
greater of area or state median income, adjusted for family size, as determined by the
United States Department of Housing and Urban Development. The restriction must also
require the rents for assisted units to not exceed 30 percent of 60 percent of the greater of
area or state median income, adjusted for family size, as determined by the United States
Department of Housing and Urban Development.
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective the day following final enactment.
new text end
Sec. 13.
Minnesota Statutes 2006, section 273.13, subdivision 25, as amended by Laws
2008, chapter 154, article 2, section 13, is amended to read:
Subd. 25.
Class 4.
(a) Class 4a is residential real estate containing four or more
units and used or held for use by the owner or by the tenants or lessees of the owner
as a residence for rental periods of 30 days or more, excluding property qualifying for
class 4d. Class 4a also includes hospitals licensed under sections 144.50 to 144.56, other
than hospitals exempt under section 272.02, and contiguous property used for hospital
purposes, without regard to whether the property has been platted or subdivided. The
market value of class 4a property has a class rate of 1.25 percent.
(b) Class 4b includes:
(1) residential real estate containing less than four units that does not qualify as class
4bb, other than seasonal residential recreational property;
(2) manufactured homes not classified under any other provision;
(3) a dwelling, garage, and surrounding one acre of property on a nonhomestead
farm classified under subdivision 23, paragraph (b) containing two or three units; and
(4) unimproved property that is classified residential as determined under subdivision
33.
The market value of class 4b property has a class rate of 1.25 percent.
(c) Class 4bb includes:
(1) nonhomestead residential real estate containing one unit, other than seasonal
residential recreational property; and
(2) a single family dwelling, garage, and surrounding one acre of property on a
nonhomestead farm classified under subdivision 23, paragraph (b).
Class 4bb property has the same class rates as class 1a property under subdivision 22.
Property that has been classified as seasonal residential recreational property at
any time during which it has been owned by the current owner or spouse of the current
owner does not qualify for class 4bb.
(d) Class 4c property includes:
(1) except as provided in subdivision 22, paragraph (c), or subdivision 23, paragraph
(b), clause (1), real and personal property devoted to temporary and seasonal residential
occupancy for recreation purposes, including real and personal property devoted to
temporary and seasonal residential occupancy for recreation purposes and not devoted to
commercial purposes for more than 250 days in the year preceding the year of assessment.
For purposes of this clause, property is devoted to a commercial purpose on a specific
day if any portion of the property is used for residential occupancy, and a fee is charged
for residential occupancy. Class 4c property must contain three or more rental units. A
"rental unit" is defined as a cabin, condominium, townhouse, sleeping room, or individual
camping site equipped with water and electrical hookups for recreational vehicles. Class
4c property must provide recreational activities such as renting ice fishing houses, boats
and motors, snowmobiles, downhill or cross-country ski equipment; provide marina
services, launch services, or guide services; or sell bait and fishing tackle. A camping
pad offered for rent by a property that otherwise qualifies for class 4c is also class 4c
regardless of the term of the rental agreement, as long as the use of the camping pad
does not exceed 250 days. In order for a property to be classified as class 4c, seasonal
residential recreational for commercial purposes, at least 40 percent of the annual gross
lodging receipts related to the property must be from business conducted during 90
consecutive days and either (i) at least 60 percent of all paid bookings by lodging guests
during the year must be for periods of at least two consecutive nights; or (ii) at least 20
percent of the annual gross receipts must be from charges for rental of fish houses, boats
and motors, snowmobiles, downhill or cross-country ski equipment, or charges for marina
services, launch services, and guide services, or the sale of bait and fishing tackle. For
purposes of this determination, a paid booking of five or more nights shall be counted as
two bookings. Class 4c also includes commercial use real property used exclusively
for recreational purposes in conjunction with class 4c property devoted to temporary
and seasonal residential occupancy for recreational purposes, up to a total of two acres,
provided the property is not devoted to commercial recreational use for more than 250
days in the year preceding the year of assessment and is located within two miles of the
class 4c property with which it is used. Owners of real and personal property devoted
to temporary and seasonal residential occupancy for recreation purposes and all or a
portion of which was devoted to commercial purposes for not more than 250 days in the
year preceding the year of assessment desiring classification as class 4c, must submit a
declaration to the assessor designating the cabins or units occupied for 250 days or less in
the year preceding the year of assessment by January 15 of the assessment year. Those
cabins or units and a proportionate share of the land on which they are located must be
designated class 4c as otherwise provided. The remainder of the cabins or units and
a proportionate share of the land on which they are located will be designated as class
3a. The owner of property desiring designation as class 4c property must provide guest
registers or other records demonstrating that the units for which class 4c designation is
sought were not occupied for more than 250 days in the year preceding the assessment if
so requested. The portion of a property operated as a (1) restaurant, (2) bar, (3) gift shop,
(4) conference center or meeting room, and (5) other nonresidential facility operated on a
commercial basis not directly related to temporary and seasonal residential occupancy for
recreation purposes does not qualify for class 4c;
(2) qualified property used as a golf course if:
(i) it is open to the public on a daily fee basis. It may charge membership fees or
dues, but a membership fee may not be required in order to use the property for golfing,
and its green fees for golfing must be comparable to green fees typically charged by
municipal courses; and
(ii) it meets the requirements of section 273.112, subdivision 3, paragraph (d).
A structure used as a clubhouse, restaurant, or place of refreshment in conjunction
with the golf course is classified as class 3a property;
(3) real property up to a maximum of three acres of land owned and used by a
nonprofit community service oriented organization and that is not used for residential
purposes on either a temporary or permanent basis, qualifies for class 4c provided that
it meets either of the following:
(i) the property is not used for a revenue-producing activity for more than six days
in the calendar year preceding the year of assessment; or
(ii) the organization makes annual charitable contributions and donations at least
equal to the property's previous year's property taxes and the property is allowed to be
used for public and community meetings or events for no charge, as appropriate to the
size of the facility.
For purposes of this clause,
(A) "charitable contributions and donations" has the same meaning as lawful
gambling purposes under section 349.12, subdivision 25, excluding those purposes
relating to the payment of taxes, assessments, fees, auditing costs, and utility payments;
(B) "property taxes" excludes the state general tax;
(C) a "nonprofit community service oriented organization" means any corporation,
society, association, foundation, or institution organized and operated exclusively for
charitable, religious, fraternal, civic, or educational purposes, and which is exempt from
federal income taxation pursuant to section 501(c)(3), (10), or (19) of the Internal Revenue
Code deleted text begin of 1986, as amended through December 31, 1990deleted text end ; and
(D) "revenue-producing activities" shall include but not be limited to property or that
portion of the property that is used as an on-sale intoxicating liquor or 3.2 percent malt
liquor establishment licensed under chapter 340A, a restaurant open to the public, bowling
alley, a retail store, gambling conducted by organizations licensed under chapter 349, an
insurance business, or office or other space leased or rented to a lessee who conducts a
for-profit enterprise on the premises.
Any portion of the property qualifying under item (i) which is used for revenue-producing
activities for more than six days in the calendar year preceding the year of assessment
shall be assessed as class 3a. The use of the property for social events open exclusively
to members and their guests for periods of less than 24 hours, when an admission is
not charged nor any revenues are received by the organization shall not be considered a
revenue-producing activity.
The organization shall maintain records of its charitable contributions and donations
and of public meetings and events held on the property and make them available upon
request any time to the assessor to ensure eligibility. An organization meeting the
requirement under item (ii) must file an application by May 1 with the assessor for
eligibility for the current year's assessment. The commissioner shall prescribe a uniform
application form and instructions;
(4) postsecondary student housing of not more than one acre of land that is owned by
a nonprofit corporation organized under chapter 317A and is used exclusively by a student
cooperative, sorority, or fraternity for on-campus housing or housing located within two
miles of the border of a college campus;
(5) manufactured home parks as defined in section 327.14, subdivision 3;
(6) real property that is actively and exclusively devoted to indoor fitness, health,
social, recreational, and related uses, is owned and operated by a not-for-profit corporation,
and is located within the metropolitan area as defined in section 473.121, subdivision 2;
(7) a leased or privately owned noncommercial aircraft storage hangar not exempt
under section 272.01, subdivision 2, and the land on which it is located, provided that:
(i) the land is on an airport owned or operated by a city, town, county, Metropolitan
Airports Commission, or group thereof; and
(ii) the land lease, or any ordinance or signed agreement restricting the use of the
leased premise, prohibits commercial activity performed at the hangar.
If a hangar classified under this clause is sold after June 30, 2000, a bill of sale must
be filed by the new owner with the assessor of the county where the property is located
within 60 days of the sale;
(8) a privately owned noncommercial aircraft storage hangar not exempt under
section 272.01, subdivision 2, and the land on which it is located, provided that:
(i) the land abuts a public airport; and
(ii) the owner of the aircraft storage hangar provides the assessor with a signed
agreement restricting the use of the premises, prohibiting commercial use or activity
performed at the hangar; and
(9) residential real estate, a portion of which is used by the owner for homestead
purposes, and that is also a place of lodging, if all of the following criteria are met:
(i) rooms are provided for rent to transient guests that generally stay for periods
of 14 or fewer days;
(ii) meals are provided to persons who rent rooms, the cost of which is incorporated
in the basic room rate;
(iii) meals are not provided to the general public except for special events on fewer
than seven days in the calendar year preceding the year of the assessment; and
(iv) the owner is the operator of the property.
The market value subject to the 4c classification under this clause is limited to five rental
units. Any rental units on the property in excess of five, must be valued and assessed as
class 3a. The portion of the property used for purposes of a homestead by the owner must
be classified as class 1a property under subdivision 22.
Class 4c property has a class rate of 1.5 percent of market value, except that (i) each
parcel of seasonal residential recreational property not used for commercial purposes has
the same class rates as class 4bb property, (ii) manufactured home parks assessed under
clause (5) have the same class rate as class 4b property, (iii) commercial-use seasonal
residential recreational property has a class rate of one percent for the first $500,000 of
market value, and 1.25 percent for the remaining market value, (iv) the market value of
property described in clause (4) has a class rate of one percent, (v) the market value of
property described in clauses (2) and (6) has a class rate of 1.25 percent, and (vi) that
portion of the market value of property in clause (9) qualifying for class 4c property
has a class rate of 1.25 percent.
(e) Class 4d property is qualifying low-income rental housing certified to the assessor
by the Housing Finance Agency under section 273.128, subdivision 3. If only a portion
of the units in the building qualify as low-income rental housing units as certified under
section 273.128, subdivision 3, only the proportion of qualifying units to the total number
of units in the building qualify for class 4d. The remaining portion of the building shall be
classified by the assessor based upon its use. Class 4d also includes the same proportion of
land as the qualifying low-income rental housing units are to the total units in the building.
For all properties qualifying as class 4d, the market value determined by the assessor must
be based on the normal approach to value using normal unrestricted rents.
Class 4d property has a class rate of 0.75 percent.
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective the day following final enactment.
new text end
Sec. 14.
Minnesota Statutes 2006, section 287.20, subdivision 3a, is amended to read:
Subd. 3a.
Designated transfer.
"Designated transfer" means any of the following:
(1) a transfer between (i) an entity owned by a sole owner, and (ii) that sole owner;
(2) a transfer between (i) an entity in which a husband, a wife, or both are the sole
owners, and (ii) the husband, wife, or both;
(3) a transfer between (i) an entity with multiple co-owners, and (ii) all of the
co-owners, so long as each of the co-owners maintains the same percentage ownership
interest in the transferred real property, whether directly or through ownership of a
percentage of the entity;
(4) a transfer between (i) a revocable trust, and (ii) the grantor or grantors of the
revocable trust; or
(5) a transfer of substantially all of the assets of one or more entities pursuant to a
reorganization, as defined in section 287.20, subdivision 9.
For purposes of this definition of designated transfer, an interest in an entity that is
owned, directly or indirectly, by or for another entity shall be considered as being owned
proportionately by or for the owners of the other entity under provisions similar to those
of section 267(c)(1) and (5) of the Internal Revenue Code deleted text begin of 1986, as amended through
December 31, 2004deleted 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
Sec. 15.
Minnesota Statutes 2006, section 287.20, subdivision 9, is amended to read:
Subd. 9.
Reorganization.
"Reorganization" means the transfer of substantially all
of the assets of a corporation, a limited liability company, or a partnership not in the usual
or regular course of business if at the time of the transfer the transfer qualifies as: (i) a
corporate reorganization under section 368(a) of the Internal Revenue Code deleted text begin of 1986, as
amended through December 31, 2004deleted text end ; or (ii) a transfer from a partnership to another
partnership when the transferee is treated as a continuation of the transferor under section
708 of the Internal Revenue Code deleted text begin of 1986, as amended through December 31, 2004deleted text end .
Sec. 16.
Minnesota Statutes 2006, section 287.20, is amended by adding a subdivision
to read:
new text begin Subd. 10. new text end
new text begin Internal Revenue Code. new text end
new text begin
Unless specifically defined otherwise, "Internal
Revenue Code" means the Internal Revenue Code as defined in section 289A.02,
subdivision 7.
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
Sec. 17.
Minnesota Statutes 2006, section 295.53, subdivision 4a, is amended to read:
Subd. 4a.
Credit for research.
(a) In addition to the exemptions allowed under
subdivision 1, a hospital or health care provider may claim an annual credit against the
total amount of tax, if any, the hospital or health care provider owes for that calendar year
under sections 295.50 to 295.57. The credit shall equal 2.5 percent of revenues for patient
services used to fund expenditures for qualifying research conducted by an allowable
research program. The amount of the credit shall not exceed the tax liability of the hospital
or health care provider under sections 295.50 to 295.57.
(b) For purposes of this subdivision, the following requirements apply:
(1) expenditures must be for program costs of qualifying research conducted by
an allowable research program;
(2) an allowable research program must be a formal program of medical and health
care research conducted by an entity which is exempt under section 501(c)(3) of the
Internal Revenue Code deleted text begin of 1986deleted text end new text begin as defined in section 289A.02, subdivision 7,new text end or is owned
and operated under authority of a governmental unit;
(3) qualifying research must:
(A) be approved in writing by the governing body of the hospital or health care
provider which is taking the deduction under this subdivision;
(B) have as its purpose the development of new knowledge in basic or applied
science relating to the diagnosis and treatment of conditions affecting the human body;
(C) be subject to review by individuals with expertise in the subject matter of the
proposed study but who have no financial interest in the proposed study and are not
involved in the conduct of the proposed study; and
(D) be subject to review and supervision by an institutional review board operating
in conformity with federal regulations if the research involves human subjects or
an institutional animal care and use committee operating in conformity with federal
regulations if the research involves animal subjects. Research expenses are not exempt if
the study is a routine evaluation of health care methods or products used in a particular
setting conducted for the purpose of making a management decision. Costs of clinical
research activities paid directly for the benefit of an individual patient are excluded from
this exemption. Basic research in fields including biochemistry, molecular biology, and
physiology are also included if such programs are subject to a peer review process.
(c) No credit shall be allowed under this subdivision for any revenue received by the
hospital or health care provider in the form of a grant, gift, or otherwise, whether from a
government or nongovernment source, on which the tax liability under section 295.52 is
not imposed.
(d) The taxpayer shall apply for the credit under this section on the annual return
under section 295.55, subdivision 5.
(e) Beginning September 1, 2001, if the actual or estimated amount paid under
this section for the calendar year exceeds $2,500,000, the commissioner of finance shall
determine the rate of the research credit for the following calendar year to the nearest
one-half percent so that refunds paid under this section will most closely equal $2,500,000.
The commissioner of finance shall publish in the State Register by October 1 of each year
the rate of the credit for the following calendar year. A determination under this section
is not subject to the rulemaking provisions of chapter 14.
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective the day following final enactment.
new text end
Sec. 18.
Minnesota Statutes 2006, section 296A.16, subdivision 2, is amended to read:
Subd. 2.
Fuel used in other vehicle; claim for refund.
Any person who buys and
uses gasoline for a qualifying purpose other than use in motor vehicles, snowmobiles
except as provided in clause (2), or motorboats, or special fuel for a qualifying purpose
other than use in licensed motor vehicles, and who paid the tax directly or indirectly
through the amount of the tax being included in the price of the gasoline or special fuel, or
otherwise, shall be reimbursed and repaid the amount of the tax paid upon filing with the
commissioner a claim for refund in the form and manner prescribed by the commissioner,
and containing the information the commissioner shall require. By signing any such claim
which is false or fraudulent, the applicant shall be subject to the penalties provided in this
chapter for knowingly making a false claim. The claim shall set forth the total amount
of the gasoline so purchased and used by the applicant other than in motor vehicles, or
special fuel purchased and used by the applicant other than in licensed motor vehicles,
and shall state when and for what purpose it was used. When a claim contains an error
in computation or preparation, the commissioner is authorized to adjust the claim in
accordance with the evidence shown on the claim or other information available to the
commissioner. The commissioner, on being satisfied that the claimant is entitled to the
payments, shall approve the claim and transmit it to the commissioner of finance. The
words "gasoline" or "special fuel" as used in this subdivision do not include aviation
gasoline or special fuel for aircraft. Gasoline or special fuel bought and used for a
"qualifying purpose" means:
(1) Gasoline or special fuel used in carrying on a trade or business, used on a farm
situated in Minnesota, and used for a farming purpose. "Farm" and "farming purpose"
have the meanings given them in section 6420(c)(2), (3), and (4) of the Internal Revenue
Code deleted text begin of 1986, as amended through December 31, 1997deleted text end new text begin as defined in section 289A.02,
subdivision 7new text end .
(2) Gasoline or special fuel used for off-highway business use.
(i) "Off-highway business use" means any use off the public highway by a person in
that person's trade, business, or activity for the production of income.
(ii) Off-highway business use includes use of a passenger snowmobile off the public
highways as part of the operations of a resort as defined in section 157.15, subdivision 11;
and use of gasoline or special fuel to operate a power takeoff unit on a vehicle, but not
including fuel consumed during idling time.
(iii) Off-highway business use does not include use as a fuel in a motor vehicle
which, at the time of use, is registered or is required to be registered for highway use under
the laws of any state or foreign country; or use of a licensed motor vehicle fuel tank in lieu
of a separate storage tank for storing fuel to be used for a qualifying purpose, as defined in
this section. Fuel purchased to be used for a qualifying purpose cannot be placed in the
fuel tank of a licensed motor vehicle and must be stored in a separate supply tank.
(3) Gasoline or special fuel placed in the fuel tanks of new motor vehicles,
manufactured in Minnesota, and shipped by interstate carrier to destinations in other
states or foreign countries.
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective the day following final enactment.
new text end
Sec. 19.
Minnesota Statutes 2006, section 297A.61, subdivision 22, is amended to read:
Subd. 22.
Internal Revenue Code.
Unless specifically provided otherwise,
"Internal Revenue Code" means the Internal Revenue Code deleted text begin of 1986, as amended through
December 31, 2000deleted text end new text begin as defined in section 289A.02, subdivision 7new 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
Sec. 20.
Minnesota Statutes 2006, section 297B.01, subdivision 7, is amended to read:
Subd. 7.
Sale, sells, selling, purchase, purchased, or acquired.
(a) "Sale," "sells,"
"selling," "purchase," "purchased," or "acquired" means any transfer of title of any motor
vehicle, whether absolutely or conditionally, for a consideration in money or by exchange
or barter for any purpose other than resale in the regular course of business.
(b) Any motor vehicle utilized by the owner only by leasing such vehicle to others
or by holding it in an effort to so lease it, and which is put to no other use by the owner
other than resale after such lease or effort to lease, shall be considered property purchased
for resale.
(c) The terms also shall include any transfer of title or ownership of a motor vehicle
by other means, for or without consideration, except that these terms shall not include:
(1) the acquisition of a motor vehicle by inheritance from or by bequest of, a
decedent who owned it;
(2) the transfer of a motor vehicle which was previously licensed in the names of
two or more joint tenants and subsequently transferred without monetary consideration to
one or more of the joint tenants;
(3) the transfer of a motor vehicle by way of gift between individuals, or gift
from a limited used vehicle dealer licensed under section 168.27, subdivision 4a, to an
individual, when the transfer is with no monetary or other consideration or expectation
of consideration and the parties to the transfer submit an affidavit to that effect at the
time the title transfer is recorded;
(4) the voluntary or involuntary transfer of a motor vehicle between a husband and
wife in a divorce proceeding; or
(5) the transfer of a motor vehicle by way of a gift to an organization that is exempt
from federal income taxation under section 501(c)(3) of the Internal Revenue Codedeleted text begin , as
amended through December 31, 1996,deleted text end when the motor vehicle will be used exclusively for
religious, charitable, or educational purposes.
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective the day following final enactment.
new text end
Sec. 21.
Minnesota Statutes 2006, section 297B.01, is amended by adding a
subdivision to read:
new text begin Subd. 10. new text end
new text begin Internal Revenue Code. new text end
new text begin
Unless specifically defined otherwise, "Internal
Revenue Code" means the Internal Revenue Code as defined in section 289A.02,
subdivision 7.
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
Sec. 22.
Minnesota Statutes 2006, section 297B.03, is amended to read:
297B.03 EXEMPTIONS.
There is specifically exempted from the provisions of this chapter and from
computation of the amount of tax imposed by it the following:
(1) purchase or use, including use under a lease purchase agreement or installment
sales contract made pursuant to section 465.71, of any motor vehicle by the United States
and its agencies and instrumentalities and by any person described in and subject to the
conditions provided in section 297A.67, subdivision 11;
(2) purchase or use of any motor vehicle by any person who was a resident of
another state or country at the time of the purchase and who subsequently becomes a
resident of Minnesota, provided the purchase occurred more than 60 days prior to the date
such person began residing in the state of Minnesota and the motor vehicle was registered
in the person's name in the other state or country;
(3) purchase or use of any motor vehicle by any person making a valid election to be
taxed under the provisions of section 297A.90;
(4) purchase or use of any motor vehicle previously registered in the state of
Minnesota when such transfer constitutes a transfer within the meaning of section 118,
331, 332, 336, 337, 338, 351, 355, 368, 721, 731, 1031, 1033, or 1563(a) of the Internal
Revenue Code deleted text begin of 1986, as amended through December 31, 1999deleted text end ;
(5) purchase or use of any vehicle owned by a resident of another state and leased
to a Minnesota-based private or for-hire carrier for regular use in the transportation of
persons or property in interstate commerce provided the vehicle is titled in the state of
the owner or secured party, and that state does not impose a sales tax or sales tax on
motor vehicles used in interstate commerce;
(6) purchase or use of a motor vehicle by a private nonprofit or public educational
institution for use as an instructional aid in automotive training programs operated by the
institution. "Automotive training programs" includes motor vehicle body and mechanical
repair courses but does not include driver education programs;
(7) purchase of a motor vehicle for use as an ambulance by an ambulance service
licensed under section 144E.10;
(8) purchase of a motor vehicle by or for a public library, as defined in section
134.001, subdivision 2, as a bookmobile or library delivery vehicle;
(9) purchase of a ready-mixed concrete truck;
(10) purchase or use of a motor vehicle by a town for use exclusively for road
maintenance, including snowplows and dump trucks, but not including automobiles,
vans, or pickup trucks;
(11) purchase or use of a motor vehicle by a corporation, society, association,
foundation, or institution organized and operated exclusively for charitable, religious,
or educational purposes, except a public school, university, or library, but only if the
vehicle is:
(i) a truck, as defined in section 168.011, a bus, as defined in section 168.011, or a
passenger automobile, as defined in section 168.011, if the automobile is designed and
used for carrying more than nine persons including the driver; and
(ii) intended to be used primarily to transport tangible personal property or
individuals, other than employees, to whom the organization provides service in
performing its charitable, religious, or educational purpose;
(12) purchase of a motor vehicle for use by a transit provider exclusively to provide
transit service is exempt if the transit provider is either (i) receiving financial assistance or
reimbursement under section 174.24 or 473.384, or (ii) operating under section 174.29,
473.388, or 473.405;
(13) purchase or use of a motor vehicle by a qualified business, as defined in section
469.310, located in a job opportunity building zone, if the motor vehicle is principally
garaged in the job opportunity building zone and is primarily used as part of or in direct
support of the person's operations carried on in the job opportunity building zone. The
exemption under this clause applies to sales, if the purchase was made and delivery
received during the duration of the job opportunity building zone. The exemption under
this clause also applies to any local sales and use tax.
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective the day following final enactment.
new text end
Sec. 23.
Minnesota Statutes 2006, section 297F.01, subdivision 8, is amended to read:
Subd. 8.
Internal Revenue Code.
Unless specifically defined otherwise, "Internal
Revenue Code" means the Internal Revenue Code deleted text begin of 1986, as amended through December
31, 1996deleted text end new text begin as defined in section 289A.02, subdivision 7new 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
Sec. 24.
Minnesota Statutes 2006, section 297G.01, subdivision 9, is amended to read:
Subd. 9.
Internal Revenue Code.
Unless specifically defined otherwise, "Internal
Revenue Code" means the Internal Revenue Code deleted text begin of 1986, as amended through December
31, 1996deleted text end new text begin as defined in section 289A.02, subdivision 7new 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
Sec. 25.
Minnesota Statutes 2006, section 297H.09, is amended to read:
297H.09 BAD DEBTS.
The remitter of the solid waste management tax may offset against the tax payable,
with respect to any reporting period, the amount of tax imposed by this chapter previously
remitted to the commissioner of revenue which qualified as a bad debt under section
166(a) of the Internal Revenue Codedeleted text begin ,deleted text end as deleted text begin amended through December 31, 1993deleted text end new text begin defined
in section 289A.02, subdivision 7new text end , during such reporting period, but only in proportion
to the portion of such debt which became uncollectable. This section applies only to
accrual basis remitters that remit tax before it is collected and to the extent they are
unable to collect the tax.
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective the day following final enactment.
new text end
ARTICLE 12
DEPARTMENT INDIVIDUAL INCOME AND CORPORATE FRANCHISE TAXES
Section 1.
Minnesota Statutes 2006, section 289A.18, subdivision 1, as amended by
Laws 2008, chapter 154, article 11, section 5, is amended to read:
Subdivision 1.
Individual income, fiduciary income, corporate franchise, and
entertainment taxes; partnership and S corporation returns; information returns;
mining company returns.
The returns required to be made under sections 289A.08 and
289A.12 must be filed at the following times:
(1) returns made on the basis of the calendar year must be filed on April 15 following
the close of the calendar year, except that returns of corporations must be filed on March
15 following the close of the calendar year;
(2) returns made on the basis of the fiscal year must be filed on the 15th day of the
fourth month following the close of the fiscal year, except that returns of corporations
must be filed on the 15th day of the third month following the close of the fiscal year;
(3) returns for a fractional part of a year must be filed on the 15th day of the fourth
month following the end of the month in which falls the last day of the period for which
the return is made, except that the returns of corporations must be filed on the 15th day of
the third month following the end of the tax yearnew text begin ; or, in the case of a corporation which is
a member of a unitary group, the return of the corporation must be filed on the 15th day of
the third month following the end of the tax yearnew text end of the unitary group in which falls the
last day of the period for which the return is made;
(4) in the case of a final return of a decedent for a fractional part of a year, the return
must be filed on the 15th day of the fourth month following the close of the 12-month
period that began with the first day of that fractional part of a year;
(5) in the case of the return of a cooperative association, returns must be filed on or
before the 15th day of the ninth month following the close of the taxable year;
(6) if a corporation has been divested from a unitary group and files a return for
a fractional part of a year in which it was a member of a unitary business that files a
combined report under section deleted text begin 290.34deleted text end new text begin 290.17new text end , subdivision deleted text begin 2deleted text end new text begin new text end new text begin 4new text end , the divested corporation's
return must be filed on the 15th day of the third month following the close of the common
accounting period that includes the fractional year;
(7) returns of entertainment entities must be filed on April 15 following the close of
the calendar year;
(8) returns required to be filed under section 289A.08, subdivision 4, must be filed
on the 15th day of the fifth month following the close of the taxable year;
(9) returns of mining companies must be filed on May 1 following the close of the
calendar year; and
(10) returns required to be filed with the commissioner under section 289A.12,
subdivision 2 or 4 to 10, must be filed within 30 days after being demanded by the
commissioner.
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective the day following final enactment
except that the change in clause (6) is effective for taxable years beginning after December
31, 2007.
new text end
Sec. 2.
Minnesota Statutes 2006, section 290.01, subdivision 6b, is amended to read:
Subd. 6b.
Foreign operating corporation.
The term "foreign operating
corporation," when applied to a corporation, means a domestic corporation with the
following characteristics:
(1) it is part of a unitary business at least one member of which is taxable in this state;
(2) it is not a foreign sales corporation under section 922 of the Internal Revenue
Code, as amended through December 31, 1999, for the taxable year;
(3)(i) the average of the percentages of its property and payrolls, including the pro
rata share of its unitary partnerships' property and payrolls, assigned to locations outside
the United States, where the United States includes the District of Columbia and excludes
the commonwealth of Puerto Rico and possessions of the United States, as determined
under section 290.191 or 290.20, is 80 percent or more; or (ii) it has in effect a valid
election under section 936 of the Internal Revenue Code; and
(4) it has new text begin a minimum of new text end $1,000,000 of payroll and $2,000,000 of property, as
determined under section 290.191 or 290.20, that are located outside the United States. If
the domestic corporation does not have payroll as determined under section 290.191 or
290.20, but it or its partnerships have paid $1,000,000 for work, performed directly for the
domestic corporation or the partnerships, outside the United States, then paragraph (3)(i)
shall not require payrolls to be included in the average calculation.
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective the day following final enactment.
new text end
Sec. 3.
Minnesota Statutes 2006, section 290.068, subdivision 3, is amended to read:
Subd. 3.
Limitation; carryover.
(a)(1) The credit for the taxable year shall not
exceed the liability for tax. "Liability for tax" for purposes of this section means the tax
imposed under deleted text begin this chapterdeleted text end new text begin section 290.06, subdivision 1,new text end for the taxable year reduced by
the sum of the nonrefundable credits allowed under this chapter.
(2) In the case of a corporation which is a partner in a partnership, the credit allowed
for the taxable year shall not exceed the lesser of the amount determined under clause (1)
for the taxable year or an amount (separately computed with respect to the corporation's
interest in the trade or business or entity) equal to the amount of tax attributable to that
portion of taxable income which is allocable or apportionable to the corporation's interest
in the trade or business or entity.
(b) If the amount of the credit determined under this section for any taxable year
exceeds the limitation under clause (a), the excess shall be a research credit carryover to
each of the 15 succeeding taxable years. The entire amount of the excess unused credit for
the taxable year shall be carried first to the earliest of the taxable years to which the credit
may be carried and then to each successive year to which the credit may be carried. The
amount of the unused credit which may be added under this clause shall not exceed the
taxpayer's liability for tax less the research credit for the taxable year.
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective for taxable years beginning after
December 31, 2007.
new text end
Sec. 4.
Minnesota Statutes 2006, section 290.07, subdivision 1, is amended to read:
Subdivision 1.
Annual accounting period.
Net income and taxable net income
shall be computed upon the basis of the taxpayer's annual accounting period. If a taxpayer
has no annual accounting period, or has one other than a fiscal year, as heretofore defined,
the net income and taxable net income shall be computed on the basis of the calendar year.
Taxpayers shall employ the same accounting period on which they report, or would be
required to report, their net income under the Internal Revenue Code. The commissioner
shall provide by rule for the determination of the accounting period for taxpayers who
file a combined report under section deleted text begin 290.34deleted text end new text begin 290.17new text end , subdivision deleted text begin 2deleted text end new text begin 4new text end , when members of
the group use different accounting periods for federal income tax purposes. Unless the
taxpayer changes its accounting period for federal purposes, the due date of the return
is not changed.
A taxpayer may change accounting periods only with the consent of the
commissioner. In case of any such change, the taxpayer shall pay a tax for the period
not included in either the taxpayer's former or newly adopted taxable year, computed as
provided in section 290.32.
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective for taxable years beginning after
December 31, 2007.
new text end
Sec. 5.
Minnesota Statutes 2006, section 290.21, subdivision 4, is amended to read:
Subd. 4.
Dividends received from another corporation.
(a)(1) Eighty percent
of dividends received by a corporation during the taxable year from another corporation,
in which the recipient owns 20 percent or more of the stock, by vote and value, not
including stock described in section 1504(a)(4) of the Internal Revenue Code when the
corporate stock with respect to which dividends are paid does not constitute the stock in
trade of the taxpayer or would not be included in the inventory of the taxpayer, or does not
constitute property held by the taxpayer primarily for sale to customers in the ordinary
course of the taxpayer's trade or business, or when the trade or business of the taxpayer
does not consist principally of the holding of the stocks and the collection of the income
and gains therefrom; and
(2)(i) the remaining 20 percent of dividends if the dividends received are the stock in
an affiliated company transferred in an overall plan of reorganization and the dividend
is eliminated in consolidation under Treasury Department Regulation 1.1502-14(a), as
amended through December 31, 1989;
(ii) the remaining 20 percent of dividends if the dividends are received from a
corporation which is subject to tax under section 290.36 and which is a member of an
affiliated group of corporations as defined by the Internal Revenue Code and the dividend
is eliminated in consolidation under Treasury Department Regulation 1.1502-14(a), as
amended through December 31, 1989, or is deducted under an election under section
243(b) of the Internal Revenue Code; or
(iii) the remaining 20 percent of the dividends if the dividends are received from a
property and casualty insurer as defined under section 60A.60, subdivision 8, which is a
member of an affiliated group of corporations as defined by the Internal Revenue Code
and either: (A) the dividend is eliminated in consolidation under Treasury Regulation
1.1502-14(a), as amended through December 31, 1989; or (B) the dividend is deducted
under an election under section 243(b) of the Internal Revenue Code.
(b) Seventy percent of dividends received by a corporation during the taxable year
from another corporation in which the recipient owns less than 20 percent of the stock,
by vote or value, not including stock described in section 1504(a)(4) of the Internal
Revenue Code when the corporate stock with respect to which dividends are paid does not
constitute the stock in trade of the taxpayer, or does not constitute property held by the
taxpayer primarily for sale to customers in the ordinary course of the taxpayer's trade or
business, or when the trade or business of the taxpayer does not consist principally of the
holding of the stocks and the collection of income and gain therefrom.
(c) The dividend deduction provided in this subdivision shall be allowed only with
respect to dividends that are included in a corporation's Minnesota taxable net income
for the taxable year.
The dividend deduction provided in this subdivision does not apply to a dividend
from a corporation which, for the taxable year of the corporation in which the distribution
is made or for the next preceding taxable year of the corporation, is a corporation exempt
from tax under section 501 of the Internal Revenue Code.
The dividend deduction provided in this subdivision applies to the amount of
regulated investment company dividends only to the extent determined under section
854(b) of the Internal Revenue Code.
The dividend deduction provided in this subdivision shall not be allowed with
respect to any dividend for which a deduction is not allowed under the provisions of
section 246(c) of the Internal Revenue Code.
(d) If dividends received by a corporation that does not have nexus with Minnesota
under the provisions of Public Law 86-272 are included as income on the return of
an affiliated corporation permitted or required to file a combined report under sectionnew text begin
290.17, subdivision 4 ornew text end 290.34, subdivision 2, then for purposes of this subdivision the
determination as to whether the trade or business of the corporation consists principally
of the holding of stocks and the collection of income and gains therefrom shall be made
with reference to the trade or business of the affiliated corporation having a nexus with
Minnesota.
(e) The deduction provided by this subdivision does not apply if the dividends are
paid by a FSC as defined in section 922 of the Internal Revenue Code.
(f) If one or more of the members of the unitary group whose income is included on
the combined report received a dividend, the deduction under this subdivision for each
member of the unitary business required to file a return under this chapter is the product
of: (1) 100 percent of the dividends received by members of the group; (2) the percentage
allowed pursuant to paragraph (a) or (b); and (3) the percentage of the taxpayer's business
income apportionable to this state for the taxable year under section 290.191 or 290.20.
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective for taxable years beginning after
December 31, 2007.
new text end
Sec. 6.
Minnesota Statutes 2006, section 290.92, subdivision 26, is amended to read:
Subd. 26.
Extension of withholding to certain payments where identifying
number not furnished or inaccurate.
(a) If, in the case of any reportable payment, (1)
the payee fails to furnish the payee's Social Security account number to the payor, deleted text begin ordeleted text end
(2) new text begin the payee is subject to federal backup withholding on the reportable payment under
section 3406 of the Internal Revenue Code, or (3) new text end the commissioner notifies the payor that
the Social Security account number furnished by the payee is incorrect, then the payor
shall deduct and withhold from the payment a tax equal to the amount of the payment
multiplied by the highest rate used in determining the income tax liability of an individual
under section 290.06, subdivision 2c.
(b)(1) In the case of any failure described in clause (a)(1), clause (a) shall apply to
any reportable payment made by the payor during the period during which the Social
Security account number has not been furnished.
(2) In any case where there is a notification described in clause (a)deleted text begin (2)deleted text end new text begin (3)new text end , clause (a)
shall apply to any reportable payment made by the payor (i) after the close of the 30th
day after the day on which the payor received the notification, and (ii) before the payee
furnishes another Social Security account number.
(3)(i) Unless the payor elects not to have this subparagraph apply with respect to
the payee, clause (a) shall also apply to any reportable payment made after the close of
the period described in paragraph (1) or (2) (as the case may be) and before the 30th
day after the close of the period.
(ii) If the payor elects the application of this subparagraph with respect to the payee,
clause (a) shall also apply to any reportable payment made during the 30-day period
described in paragraph (2).
(iii) The payor may elect a period shorter than the grace period set forth in
subparagraph (i) or (ii) as the case may be.
(c) The provisions of section 3406 of the Internal Revenue Code shall apply and
shall govern when withholding shall be required and the definition of terms. The term
"reportable payment" shall include only those payments for personal services. No tax
shall be deducted or withheld under this subdivision with respect to any amount for
which withholding is otherwise required under this section. For purposes of this section,
payments which are subject to withholding under this subdivision shall be treated as if
they were wages paid by an employer to an employee and amounts deducted and withheld
under this subdivision shall be treated as if deducted and withheld under subdivision 2a.
(d) Whenever the commissioner notifies a payor under this subdivision that the
Social Security account number furnished by any payee is incorrect, the commissioner
shall at the same time furnish a copy of the notice to the payor, and the payor shall
promptly furnish the copy to the payee. If the commissioner notifies a payor under this
subdivision that the Social Security account number furnished by any payee is incorrect
and the payee subsequently furnishes another Social Security account number to the
payor, the payor shall promptly notify the commissioner of the other Social Security
account number furnished.
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective for payments made after December
31, 2008.
new text end
Sec. 7.
Minnesota Statutes 2006, section 290.92, subdivision 31, as added by Laws
2008, chapter 154, article 3, section 8, is amended to read:
Subd. 31.
Payments to persons who are not employees.
(a) For purposes of this
subdivision, "contractor" means a person carrying on a trade or business described in
industry code numbers 23 through 238990 of the North American Industry Classification
System.
(b) A contractor deleted text begin or a third-party bulk filer acting on behalf of a contractor,deleted text end who
makes payments to an individualdeleted text begin ,deleted text end carrying on a trade or business described in paragraph
(a) as a sole proprietorshipdeleted text begin ,deleted text end must deduct and withhold two percent of the payment as
Minnesota withholding tax when the amount the contractor paid to that individual during
the calendar year exceeds $600.
(c) A payment subject to withholding under this subdivision must be treated as if
the payment were a wage paid by an employer to an employee. The requirements in the
definitions of "employee" and "employer" in subdivision 1 relating to geographic location
apply in determining whether withholding tax applies under this subdivision, but without
regard to whether the contractor or the individual otherwise satisfy the definition of an
employer or an employee. Each recipient of a payment subject to withholding under this
subdivision must furnish the contractor with a statement of the recipient's name, address,
and Social Security account number.
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective the day following final enactment.
new text end
Sec. 8. new text begin REPEALER.
new text end
new text begin
Minnesota Rules, part 8031.0100, subpart 3,
new text end
new text begin
is repealed effective the day following
final enactment.
new text end
new text begin
Minnesota Rules, part 8093.2100,
new text end
new text begin
is repealed effective the day following final
enactment.
new text end
ARTICLE 13
DEPARTMENT SALES AND USE TAXES
Section 1.
Minnesota Statutes 2006, section 289A.55, is amended by adding a
subdivision to read:
new text begin Subd. 10. new text end
new text begin Relief for purchasers. new text end
new text begin
A purchaser that meets the requirements of section
297A.995, subdivision 11, is relieved from the imposition of interest on tax and penalty.
new text end
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective for sales and purchases made after
December 31, 2008.
new text end
Sec. 2.
Minnesota Statutes 2006, section 289A.60, is amended by adding a subdivision
to read:
new text begin Subd. 30. new text end
new text begin Relief for purchasers. new text end
new text begin
A purchaser that meets the requirements of
section 297A.995, subdivision 11, is relieved from the imposition of penalty.
new text end
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective for sales and purchases made after
December 31, 2008.
new text end
Sec. 3.
Minnesota Statutes 2006, section 297A.61, subdivision 29, is amended to read:
Subd. 29.
State.
Unless specifically provided otherwise, "state" means any state of
the United Statesnew text begin , the Commonwealth of Puerto Rico,new text end and the District of Columbia.
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective the day following final enactment.
new text end
Sec. 4.
Minnesota Statutes 2006, section 297A.665, as amended by Laws 2008, chapter
154, article 12, section 20, is amended to read:
297A.665 PRESUMPTION OF TAX; BURDEN OF PROOF.
(a) For the purpose of the proper administration of this chapter and to prevent
evasion of the tax, until the contrary is established, it is presumed that:
(1) all gross receipts are subject to the tax; and
(2) all retail sales for delivery in Minnesota are for storage, use, or other consumption
in Minnesota.
(b) The burden of proving that a sale is not a taxable retail sale is on the seller.
However, a seller is relieved of liability if:
(1) the seller obtains a fully completed exemption certificate or all the relevant
information required by section 297A.72, subdivision 2, at the time of the sale or within
90 days after the date of the sale; or
(2) if the seller has not obtained a fully completed exemption certificate or all the
relevant information required by section 297A.72, subdivision 2, within the time provided
in clause (1), within 120 days after a request for substantiation by the commissioner,
the seller either:
(i) obtains in good faith a fully completed exemption certificate or all the relevant
information required by section 297A.72, subdivision 2, from the purchaser; or
(ii) proves by other means that the transaction was not subject to tax.
(c) Notwithstanding paragraph (b), relief from liability does not apply to a seller who:
(1) fraudulently fails to collect the tax; or
(2) solicits purchasers to participate in the unlawful claim of an exemption.
new text begin
(d) A certified service provider, as defined in section 297A.995, subdivision 2, is
relieved of liability under this section to the extent a seller who is its client is relieved of
liability.
new text end
deleted text begin (d)deleted text end new text begin (e) new text end A purchaser of tangible personal property or any items listed in section
297A.63 that are shipped or brought to Minnesota by the purchaser has the burden
of proving that the property was not purchased from a retailer for storage, use, or
consumption in Minnesota.
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective retroactively for sales and purchases
made after December 31, 2007.
new text end
Sec. 5.
Minnesota Statutes 2006, section 297A.67, subdivision 7, as amended by Laws
2008, chapter 154, article 12, section 26, is amended to read:
Subd. 7.
Drugs; medical devices.
(a) Sales of the following drugs and medical
devices new text begin for human use new text end are exempt:
(1) drugs deleted text begin for human usedeleted text end , including over-the-counter drugs;
(2) single-use finger-pricking devices for the extraction of blood and other single-use
devices and single-use diagnostic agents used in diagnosing, monitoring, or treating
diabetes;
(3) insulin and medical oxygen for human use, regardless of whether prescribed
or sold over the counter;
(4) prosthetic devices;
(5) durable medical equipment for home use only;
(6) mobility enhancing equipment;
(7) prescription corrective eyeglasses; and
(8) kidney dialysis equipment, including repair and replacement parts.
(b) For purposes of this subdivision:
(1) "Drug" means a compound, substance, or preparation, and any component of
a compound, substance, or preparation, other than food and food ingredients, dietary
supplements, or alcoholic beverages that is:
(i) recognized in the official United States Pharmacopoeia, official Homeopathic
Pharmacopoeia of the United States, or official National Formulary, and supplement
to any of them;
(ii) intended for use in the diagnosis, cure, mitigation, treatment, or prevention
of disease; or
(iii) intended to affect the structure or any function of the body.
(2) "Durable medical equipment" means equipment, including repair and
replacement parts, but not including mobility enhancing equipment, that:
(i) can withstand repeated use;
(ii) is primarily and customarily used to serve a medical purpose;
(iii) generally is not useful to a person in the absence of illness or injury; and
(iv) is not worn in or on the body.
new text begin
For purposes of this clause, "repair and replacement parts" includes all components
or attachments used in conjunction with the durable medical equipment, but does not
include repair and replacement parts which are for single patient use only.
new text end
(3) "Mobility enhancing equipment" means equipment, including repair and
replacement parts, but not including durable medical equipment, that:
(i) is primarily and customarily used to provide or increase the ability to move from
one place to another and that is appropriate for use either in a home or a motor vehicle;
(ii) is not generally used by persons with normal mobility; and
(iii) does not include any motor vehicle or equipment on a motor vehicle normally
provided by a motor vehicle manufacturer.
(4) "Over-the-counter drug" means a drug that contains a label that identifies the
product as a drug as required by Code of Federal Regulations, title 21, section 201.66. The
label must include a "drug facts" panel or a statement of the active ingredients with a list of
those ingredients contained in the compound, substance, or preparation. Over-the-counter
drugs do not include grooming and hygiene products, regardless of whether they otherwise
meet the definition. "Grooming and hygiene products" are soaps, cleaning solutions,
shampoo, toothpaste, mouthwash, antiperspirants, and suntan lotions and sunscreens.
(5) "Prescribed" and "prescription" means a direction in the form of an order,
formula, or recipe issued in any form of oral, written, electronic, or other means of
transmission by a duly licensed health care professional.
(6) "Prosthetic device" means a replacement, corrective, or supportive device,
including repair and replacement parts, worn on or in the body to:
(i) artificially replace a missing portion of the body;
(ii) prevent or correct physical deformity or malfunction; or
(iii) support a weak or deformed portion of the body.
Prosthetic device does not include corrective eyeglasses.
(7) "Kidney dialysis equipment" means equipment that:
(i) is used to remove waste products that build up in the blood when the kidneys are
not able to do so on their own; and
(ii) can withstand repeated use, including multiple use by a single patientnew text begin ,
notwithstanding the provisions of clause (2)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
Sec. 6.
Minnesota Statutes 2006, section 297A.995, subdivision 10, is amended to read:
Subd. 10.
Relief from certain liability.
new text begin (a) new text end Notwithstanding subdivision 9, sellers
and certified service providers are relieved from liability to the state for having charged
and collected the incorrect amount of sales or use tax resulting from the seller or certified
service provider (1) relying on erroneous data provided by deleted text begin this statedeleted text end new text begin the commissioner
in the database files new text end on tax rates, boundaries, or taxing jurisdiction assignments, or (2)
relying on erroneous data provided by the state in its taxability matrix concerning the
taxability of products and services.
new text begin
(b) Notwithstanding subdivision 9, sellers and certified service providers are
relieved from liability to the state for having charged and collected the incorrect amount
of sales or use tax resulting from the seller or certified service provider relying on the
certification by the commissioner as to the accuracy of a certified automated system as to
the taxability of product categories. The relief from liability provided by this paragraph
does not apply when the sellers or certified service providers have incorrectly classified
an item or transaction into a product category, unless the item or transaction within a
product category was approved by the commissioner or approved jointly by the states that
are signatories to the agreement. The sellers and certified service providers must revise a
classification within ten days after receipt of notice from the commissioner that an item or
transaction within a product category is incorrectly classified as to its taxability, or they
are not relieved from liability for the incorrect classification following the notification.
new text end
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective retroactively for sales and purchases
made after December 31, 2007.
new text end
Sec. 7.
Minnesota Statutes 2006, section 297A.995, is amended by adding a
subdivision to read:
new text begin Subd. 11. new text end
new text begin Purchaser relief from certain liability. new text end
new text begin
(a) Notwithstanding other
provisions in the law, a purchaser is relieved from liability resulting from having paid
the incorrect amount of sales or use tax if a purchaser, whether or not holding a direct
pay permit, or a purchaser's seller or certified service provider relied on erroneous data
provided by this state in the database files on tax rates, boundaries, taxing jurisdiction
assignments, or in the taxability matrix. After providing an address-based database for
assigning taxing jurisdictions and their associated rates, no relief for errors resulting from
the purchaser's reliance on a database using zip codes is allowed.
new text end
new text begin new text end
new text begin new text end
new text begin
(b) With respect to reliance on the taxability matrix provided by this state in
paragraph (a), relief is limited to erroneous classifications in the taxability matrix for
items included within the classifications as "taxable," "exempt," "included in sales
price," "excluded from sales price," "included in the definition," and "excluded from
the definition."
new text end
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective for sales and purchases made after
December 31, 2008.
new text end
Sec. 8.
Minnesota Statutes 2006, section 297A.995, is amended by adding a
subdivision to read:
new text begin Subd. 12. new text end
new text begin Database files. new text end
new text begin
For purposes of this section, "database files on tax rates,
boundaries, and taxing jurisdiction assignments" and the "taxability matrix" means those
databases and the taxability matrix required under the agreement.
new text end
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective retroactively for sales and purchases
made after December 31, 2007.
new text end
ARTICLE 14
DEPARTMENT SPECIAL TAXES AND FEES
Section 1.
Minnesota Statutes 2007 Supplement, section 115A.1314, subdivision 2,
is amended to read:
Subd. 2.
Creation of account; appropriations.
(a) The electronic waste account
is established in the environmental fund. The commissioner of revenue must deposit
receipts from the fee established in subdivision 1 in the account. Any interest earned on
the account must be credited to the account. Money from other sources may be credited to
the account. Beginning in the second program year and continuing each program year
thereafter, as of the last day of each program year, the commissioner new text begin of revenue new text end shall
determine the total amount of the variable fees that were collected. new text begin By July 15, 2009, and
each July 15 thereafter, the commissioner of the Pollution Control Agency shall inform
the commissioner of revenue of the amount necessary to operate the program in the new
program year. new text end To the extent that the total fees collected by the commissioner new text begin of revenue new text end in
connection with this section deleted text begin exceedsdeleted text end new text begin exceednew text end the amount the commissioner new text begin of the Pollution
Control Agency new text end determines necessary to operate the program for the new program
year, the commissioner new text begin of revenue new text end shall refund on a pro rata basis, to all manufacturers
who paid any fees for the previous program year, the amount of fees collected by the
commissioner new text begin of revenue new text end in excess of the amount necessary to operate the program for the
new program year. No individual refund is required of amounts of $100 or less for a fiscal
year. Manufacturers who report collections less than 50 percent of their obligation for the
previous program year are not eligible for a refund.new text begin Amounts not refunded pursuant to this
paragraph shall remain in the account. The commissioner of revenue shall issue refunds
by August 10. In lieu of issuing a refund, the commissioner of revenue may grant credit
against a manufacturer's variable fee due by September 1.
new text end
(b) Until June 30, 2009, money in the account is annually appropriated to the
Pollution Control Agency:
(1) for the purpose of implementing sections 115A.1312 to 115A.1330, including
transfer to the commissioner of revenue to carry out the department's duties under
section 115A.1320, subdivision 2, and transfer to the commissioner of administration for
responsibilities under section 115A.1324; and
(2) to the commissioner of the Pollution Control Agency to be distributed on a
competitive basis through contracts with counties outside the 11-county metropolitan
area, as defined in paragraph (c), and with private entities that collect for recycling
covered electronic devices in counties outside the 11-county metropolitan area, where the
collection and recycling is consistent with the respective county's solid waste plan, for
the purpose of carrying out the activities under sections 115A.1312 to 115A.1330. In
awarding competitive grants under this clause, the commissioner must give preference to
counties and private entities that are working cooperatively with manufacturers to help
them meet their recycling obligations under section 115A.1318, subdivision 1.
(c) The 11-county metropolitan area consists of the counties of Anoka, Carver,
Chisago, Dakota, Hennepin, Isanti, Ramsey, Scott, Sherburne, Washington, and Wright.
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.
Minnesota Statutes 2006, section 270C.56, subdivision 1, as amended by Laws
2008, chapter 154, article 15, section 7, is amended to read:
Subdivision 1.
Liability imposed.
A person who, either singly or jointly with
others, has the control of, supervision of, or responsibility for filing returns or reports,
paying taxes, or collecting or withholding and remitting taxes and who fails to do so, or a
person who is liable under any other law, is liable for the payment of taxes, penalties, and
interest arising under chapters 295, 296A, 297A, 297F, and 297G, or sections new text begin 256.9658,
new text end 290.92new text begin ,new text end and 297E.02, and, for the taxes listed in this subdivision, the applicable penalties
for nonpayment under section 289A.60.
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective for fees due after June 30, 2008.
new text end
Sec. 3.
Minnesota Statutes 2006, section 295.50, subdivision 4, is amended to read:
Subd. 4.
Health care provider.
(a) "Health care provider" means:
(1) a person whose health care occupation is regulated or required to be regulated by
the state of Minnesota furnishing any or all of the following goods or services directly to a
patient or consumer: medical, surgical, optical, visual, dental, hearing, nursing services,
drugs, laboratory, diagnostic or therapeutic services;
(2) a person who provides goods and services not listed in clause (1) that qualify for
reimbursement under the medical assistance program provided under chapter 256B;
(3) a staff model health plan company;
(4) an ambulance service required to be licensed; or
(5) a person who sells or repairs hearing aids and related equipment or prescription
eyewear.
(b) Health care provider does not include:
(1) hospitals; medical supplies distributors, except as specified under paragraph
(a), clause (5); nursing homes licensed under chapter 144A or licensed in any other
jurisdiction;new text begin wholesale drug distributors;new text end pharmacies; surgical centers; bus and taxicab
transportation, or any other providers of transportation services other than ambulance
services required to be licensed; supervised living facilities for persons with developmental
disabilities, licensed under Minnesota Rules, parts 4665.0100 to 4665.9900; housing
with services establishments required to be registered under chapter 144D; board
and lodging establishments providing only custodial services that are licensed under
chapter 157 and registered under section 157.17 to provide supportive services or health
supervision services; adult foster homes as defined in Minnesota Rules, part 9555.5105;
day training and habilitation services for adults with developmental disabilities as defined
in section 252.41, subdivision 3; boarding care homes, as defined in Minnesota Rules, part
4655.0100; and adult day care centers as defined in Minnesota Rules, part 9555.9600;
(2) home health agencies as defined in Minnesota Rules, part 9505.0175, subpart
15; a person providing personal care services and supervision of personal care services
as defined in Minnesota Rules, part 9505.0335; a person providing private duty nursing
services as defined in Minnesota Rules, part 9505.0360; and home care providers required
to be licensed under chapter 144A;
(3) a person who employs health care providers solely for the purpose of providing
patient services to its employees; deleted text begin and
deleted text end
(4) an educational institution that employs health care providers solely for the
purpose of providing patient services to its students if the institution does not receive fee
for service payments or payments for extended coveragenew text begin ; and
new text end
new text begin (5) a person who receives all payments for patient services from health care
providers, surgical centers, or hospitals for goods and services that are taxable to the
paying health care providers, surgical centers, or hospitals, as provided under section
295.53, subdivision 1, clause (3) or (4), or from a source of funds that is exempt from tax
under this chapternew text end .
new text begin EFFECTIVE DATE. new text end
new text begin
Paragraph (b), clause (1), is effective the day following
final enactment. Paragraph (b), clause (5), is effective for payments received after June
30, 2008.
new text end
Sec. 4.
Minnesota Statutes 2006, section 295.52, subdivision 4, as amended by Laws
2008, chapter 154, article 14, section 5, is amended to read:
Subd. 4.
Use tax; deleted text begin prescriptiondeleted text end new text begin legendnew text end drugs.
(a) A person that receives
deleted text begin prescriptiondeleted text end new text begin legendnew text end drugs for resale or use in Minnesota, other than from a wholesale drug
distributor that is subject to tax under subdivision 3, is subject to a tax equal to the price
paid deleted text begin to the wholesale drug distributordeleted text end new text begin for the legend drugs new text end multiplied by the tax percentage
specified in this section. Liability for the tax is incurred when deleted text begin prescriptiondeleted text end new text begin legendnew text end drugs
are received or delivered in Minnesota by the person.
(b) A tax imposed under this subdivision does not apply to purchases by an
individual for personal consumption.
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective the day following final enactment.
new text end
Sec. 5.
Minnesota Statutes 2006, section 296A.07, subdivision 4, is amended to read:
Subd. 4.
Exemptions.
The provisions of subdivision 1 do not apply to gasoline new text begin or
denatured ethanol new text end purchased by:
(1) a transit system or transit provider receiving financial assistance or
reimbursement under section 174.24, 256B.0625, subdivision 17, or 473.384; deleted text begin or
deleted text end
(2) an ambulance service licensed under chapter 144Enew text begin ; or
new text end
new text begin (3) a licensed distributor to be delivered to a terminal for use in blendingnew 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
Sec. 6.
Minnesota Statutes 2006, section 296A.08, subdivision 3, is amended to read:
Subd. 3.
Exemptions.
The provisions of subdivisions 1 and 2 do not apply to
special fuel or alternative fuels purchased by:
(1) a transit system or transit provider receiving financial assistance or
reimbursement under section 174.24, 256B.0625, subdivision 17, or 473.384; deleted text begin ordeleted text end
(2) an ambulance service licensed under chapter 144Enew text begin ; or
new text end
new text begin (3) a licensed distributor to be delivered to a terminal for use in blendingnew 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
Sec. 7.
Minnesota Statutes 2006, section 297F.21, subdivision 1, is amended to read:
Subdivision 1.
Contraband defined.
The following are declared to be contraband
and therefore subject to civil and criminal penalties under this chapter:
(a) Cigarette packages which do not have stamps affixed to them as provided in this
chapter, including but not limited to (i) packages with illegible stamps and packages with
stamps that are not complete or whole even if the stamps are legible, and (ii) all devices
for the vending of cigarettes in which packages as defined in item (i) are found, including
all contents contained within the devices.
(b) A device for the vending of cigarettes and all packages of cigarettes, where the
device does not afford at least partial visibility of contents. Where any package exposed
to view does not carry the stamp required by this chapter, it shall be presumed that all
packages contained in the device are unstamped and contraband.
(c) A device for the vending of cigarettes to which the commissioner or authorized
agents have been denied access for the inspection of contents. In lieu of seizure, the
commissioner or an agent may seal the device to prevent its use until inspection of
contents is permitted.
(d) A device for the vending of cigarettes which does not carry the name and address
of the owner, plainly marked and visible from the front of the machine.
(e) A device including, but not limited to, motor vehicles, trailers, snowmobiles,
airplanes, and boats used with the knowledge of the owner or of a person operating with
the consent of the owner for the storage or transportation of more than 5,000 cigarettes
which are contraband under this subdivision. When cigarettes are being transported in
the course of interstate commerce, or are in movement from either a public warehouse to
a distributor upon orders from a manufacturer or distributor, or from one distributor to
another, the cigarettes are not contraband, notwithstanding the provisions of clause (a).
(f) A device including, but not limited to, motor vehicles, trailers, snowmobiles,
airplanes, and boats used with the knowledge of the owner, or of a person operating with
the consent of the owner, for the storage or transportation of untaxed tobacco products
intended for sale in Minnesota other than those in the possession of a licensed distributor
on or before the due date for payment of the tax under section 297F.09, subdivision 2.
(g) Cigarette packages or tobacco products obtained from an unlicensed seller.
(h) Cigarette packages offered for sale or held as inventory in violation of section
297F.20, subdivision 7.
(i) Tobacco products on which the tax has not been paid by a licensed distributor.
(j) Any cigarette packages or tobacco products offered for sale or held as inventory
for which there is not an invoice from a licensed seller as required under section 297F.13,
subdivision 4.
(k) Cigarette packages which have been imported into the United States in violation
of United States Code, title 26, section 5754. All cigarettes held in violation of that section
shall be presumed to have entered the United States after December 31, 1999, in the
absence of proof to the contrary.
new text begin
(l) Cigarettes subject to forfeiture under section 299F.854, subdivision 5, and
cigarette packaging and markings, including the cigarettes contained therein, which do not
meet the requirements under section 299F.853, paragraph (a).
new text end
new text begin EFFECTIVE DATE. new text end
new text begin
Property added in paragraph (l) of this section is contraband
effective December 1, 2008.
new text end
Sec. 8.
Minnesota Statutes 2006, section 297I.05, subdivision 12, is amended to read:
Subd. 12.
Other entities.
(a) A tax is imposed equal to two percent of:
(1) gross premiums less return premiums written for risks resident or located in
Minnesota by a risk retention group;
(2) gross premiums less return premiums received by an attorney in fact acting
in accordance with chapter 71A;
(3) gross premiums less return premiums received pursuant to assigned risk policies
and contracts of coverage under chapter 79;
(4) the direct funded premium received by the reinsurance association under section
79.34 from self-insurers approved under section 176.181 and political subdivisions that
self-insure; new text begin and
new text end
(5)deleted text begin gross premiums less return premiums received by a nonprofit health service plan
corporation authorized under chapter 62C; and
deleted text end
deleted text begin (6)deleted text end gross premiums less return premiums paid to an insurer other than a licensed
insurance company or a surplus lines licensee for coverage of risks resident or located in
Minnesota by a purchasing group or any members of the purchasing group to a broker or
agent for the purchasing group.
(b) A tax is imposed on a joint self-insurance plan operating under chapter 60F. The
rate of tax is equal to two percent of the total amount of claims paid during the fund year,
with no deduction for claims wholly or partially reimbursed through stop-loss insurance.
(c) A tax is imposed on a joint self-insurance plan operating under chapter 62H.
The rate of tax is equal to two percent of the total amount of claims paid during the
fund's fiscal year, with no deduction for claims wholly or partially reimbursed through
stop-loss insurance.
(d) A tax is imposed equal to the tax imposed under section 297I.05, subdivision 5,
on the gross premiums less return premiums on all coverages received by an accountable
provider network or agents of an accountable provider network in Minnesota, in cash or
otherwise, during the year.
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective the day following final enactment.
new text end
ARTICLE 15
DEPARTMENT PROPERTY TAXES AND AIDS
Section 1.
Minnesota Statutes 2006, section 13.51, subdivision 3, is amended to read:
Subd. 3.
Data on income of individuals.
Income information on individuals
collected and maintained by political subdivisions to determine eligibility of property for
class 4d under deleted text begin section 273.126deleted text end new text begin sections 273.128new text end and 273.13, is private data on individuals
as defined in section 13.02, subdivision 12.
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective for data collected or maintained by
political subdivisions beginning the day following final enactment.
new text end
Sec. 2.
Minnesota Statutes 2006, section 13.585, subdivision 5, is amended to read:
Subd. 5.
Private data on individuals.
Income information on individuals collected
and maintained by a housing agency to determine eligibility of property for class 4d
under sections and 273.13, is private data on individuals as defined in
section 13.02, subdivision 12. The data may be disclosed to the county and local assessors
responsible for determining eligibility of the property for classification 4d.
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective for data collected or maintained by a
housing agency beginning the day following final enactment.
new text end
Sec. 3.
Minnesota Statutes 2006, section 272.02, subdivision 38, is amended to read:
Subd. 38.
Conversion to exempt or taxable uses.
(a) Any propertynew text begin , except
property taxed as personal property under section 273.125, that isnew text end exempt from taxation on
January 2 of any year which, due to sale or other reason, loses its exemption prior to July 1
of any year, shall be placed on the current assessment rolls for that year.
The valuation shall be determined with respect to its value on January 2 of such
year. The classification shall be based upon the use to which the property was put by the
purchaser, or in the event the purchaser has not utilized the property by July 1, the intended
use of the property, determined by the county assessor, based upon all relevant facts.
(b) Propertynew text begin , except property taxed as personal property under section 273.125, that
isnew text end subject to tax on January 2 that is acquired before July 1 of the year is exempt for that
assessment year if the property is to be used for an exempt purpose under subdivisions 2
to 8.
(c) Property which forfeits to the state for nonpayment of real estate taxes on or
before December 31 in an assessment year, shall be removed from the assessment rolls for
that assessment year. Forfeited property that is repurchased, or sold at a public or private
sale, on or before December 31 of an assessment year shall be placed on the assessment
rolls for that year's assessment.
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective the day following final enactment.
new text end
Sec. 4.
Minnesota Statutes 2007 Supplement, section 273.1231, subdivision 7, is
amended to read:
Subd. 7.
Reassessed market value.
"Reassessed market value" means the taxable
market value of the property established for the January 2 assessment in the year that the
disaster or destruction occurs, as adjusted by the county assessor or the commissioner of
revenue to reflect the loss in market value caused by the damage. deleted text begin As soon as practical, the
assessor or commissioner shall report the reassessed value to the county auditor.deleted 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
Sec. 5.
Minnesota Statutes 2007 Supplement, section 273.1231, is amended by adding
a subdivision to read:
new text begin Subd. 8. new text end
new text begin Utility property. new text end
new text begin
"Utility property" means property appraised and
classified for tax purposes by the commissioner of revenue under sections 273.33 to
273.3711.
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
Sec. 6.
Minnesota Statutes 2007 Supplement, section 273.1232, subdivision 1, is
amended to read:
Subdivision 1.
Reassessments required.
For the purposes of sections 273.1231
to 273.1235, the county assessor must reassess all damaged property in a disaster or
emergency area, deleted text begin and the county assessor ordeleted text end new text begin except that new text end the commissioner of revenue
deleted text begin as appropriatedeleted text end shall reassess all property for which an application is submitted new text begin to the
commissioner new text end under section 273.1233 or 273.1235. new text begin As soon as practical, the assessor or
commissioner of revenue must report the reassessed value to the county auditor.
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
Sec. 7.
Minnesota Statutes 2007 Supplement, section 273.1233, subdivision 1, is
amended to read:
Subdivision 1.
Abatement authorization.
(a) Notwithstanding section 375.192,
a county board may grant an abatement of net tax for homestead and nonhomestead
property under the provisions of this paragraph for taxes payable in the year in which
the destruction occurs if:
(1) the owner submits a written application to the county assessor as soon as
practical after the damage has occurred;
(2) the owner submits a written application to the county board as soon as practical
after the damage has occurred; and
(3) the county assessor determines that 50 percent or more of a homestead dwelling
or other building has been (i) unintentionally or accidentally destroyed, or (ii) destroyed
by arson or vandalism by someone other than the owner.
Abatements granted under this paragraph are not subject to approval by the
commissioner of revenue.
(b) Notwithstanding sections 270C.86 and 375.192, the commissioner of revenue
may grant an abatement of net tax for new text begin utility new text end property deleted text begin that the commissioner is required by
law to appraisedeleted text end for taxes payable in the year in which the destruction occurs if:
(1) the owner submits a written application to the commissioner as soon as practical
after the damage has occurred;
(2) the owner forwards a copy of the written application to the county board as soon
as practical after the damage has occurred; and
(3) the commissioner determines that 50 percent or more of the property has been
(i) unintentionally or accidentally destroyed, or (ii) destroyed by arson or vandalism by
someone other than the owner.
Abatements granted under this paragraph are not subject to approval by the county
board of the county where the property is located.
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective the day following final enactment.
new text end
Sec. 8.
Minnesota Statutes 2007 Supplement, section 273.1233, subdivision 3, is
amended to read:
Subd. 3.
Reimbursement, levy, and appropriation.
(a) If the destruction occurs as
a result of a disaster or emergency and the property is located in a disaster or emergency
area, the county auditor shall certify the abatements granted under this section to the
commissioner of revenue for reimbursement to each taxing jurisdiction in which the
damaged property is located. The commissioner shall make the payments to the taxing
jurisdictions containing the property, other than school districts and the state, at the time
distributions are made under section 473H.10, subdivision 3. Reimbursements to school
districts shall be made as provided in section 273.1392. No reimbursement is to be paid
to the state treasury.
(b) Local taxing authorities may levy in the following year the amount of
unreimbursed tax dollars lost as a result of the reductions granted pursuant to this
deleted text begin subdivisiondeleted text end new text begin section and sections 273.1234 and 273.1235 new text end outside of any statutory
restriction as to levy amount or tax rate.
(c) There is annually appropriated from the general fund to the commissioner of
revenue an amount necessary to make the payments required by this section.
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective the day following final enactment.
new text end
Sec. 9.
Minnesota Statutes 2007 Supplement, section 273.1234, is amended to read:
273.1234 TAX RELIEF FOR DESTROYED PROPERTY; HOMESTEAD
AND DISASTER CREDITS.
Subdivision 1.
Credit provided.
The county auditor shall compute a credit for taxes
payable in the year following the year in which the damage or destruction occurred for
each reassessed homestead new text begin property new text end within the county that is located within a disaster
or emergency area. The credit is equal to the difference in the net tax on the property
computed using the market value of the property established for the January 2 assessment
in the year in which the damage occurred and as computed using the reassessed value.
Subd. 2.
Credit reimbursements.
The county auditor shall certify the credits
granted under this section to the commissioner of revenue for reimbursement to each
taxing jurisdiction in which the damaged property is located. The commissioner shall
make the payments to the taxing jurisdictions containing the property, other than
school districts and the state, at the time distributions are made under section 473H.10,
subdivision 3. Reimbursements to school districts shall be made as provided in section
273.1392. deleted text begin No reimbursement is to be paid to the state treasury.deleted text end
Subd. 3.
Appropriation.
There is annually appropriated from the general fund
to the commissioner of revenue an amount necessary to make the payments required
by this section.
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective the day following final enactment.
new text end
Sec. 10.
Minnesota Statutes 2007 Supplement, section 273.1235, subdivision 1,
is amended to read:
Subdivision 1.
Credit provided.
The county board may grant a credit for taxes
payable in the year following the year in which the damage or destruction occurred
for: (1) homestead deleted text begin propertiesdeleted text end new text begin property that meets all the requirements under section
273.1233, subdivision 1, paragraph (a), butnew text end that deleted text begin dodeleted text end new text begin doesnew text end not qualify for a credit under
section 273.1234new text begin , except that an application need only be submitted by the end of the
year in which the damage occurrednew text end ; and (2) nonhomesteadnew text begin and utilitynew text end property deleted text begin meeting
the requirementsdeleted text end new text begin that meets all the requirementsnew text end under section 273.1233new text begin , subdivision 1,
paragraph (b), except that an application need only be submitted by the end of the year
in which the damage occurrednew 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
Sec. 11.
Minnesota Statutes 2007 Supplement, section 273.1235, subdivision 3,
is amended to read:
Subd. 3.
Credit reimbursements.
The county auditor shall certify the credits
granted under this section for property within a disaster or emergency area to the
commissioner of revenue for reimbursement to each taxing jurisdiction in which the
damaged property is located. The commissioner shall make the payments to the taxing
jurisdictions containing the property, other than school districts and the state, at the time
distributions are made under section 473H.10, subdivision 3. Reimbursements to school
districts shall be made as provided in section 273.1392. deleted text begin No reimbursement is to be paid
to the state treasury.deleted text end No reimbursement is to be made for credits to property not located
in a disaster or emergency area.
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective the day following final enactment.
new text end
Sec. 12.
Minnesota Statutes 2006, section 273.124, subdivision 13, as amended by
Laws 2008, chapter 154, article 13, section 29, is amended to read:
Subd. 13.
Homestead application.
(a) A person who meets the homestead
requirements under subdivision 1 must file a homestead application with the county
assessor to initially obtain homestead classification.
(b) The format and contents of a uniform homestead application shall be prescribed
by the commissioner of revenue. The application must clearly inform the taxpayer that
this application must be signed by all owners who occupy the property or by the qualifying
relative and returned to the county assessor in order for the property to receive homestead
treatment.
(c) Every property owner applying for homestead classification must furnish to the
county assessor the Social Security number of each occupant who is listed as an owner
of the property on the deed of record, the name and address of each owner who does not
occupy the property, and the name and Social Security number of each owner's spouse who
occupies the property. The application must be signed by each owner who occupies the
property and by each owner's spouse who occupies the property, or, in the case of property
that qualifies as a homestead under subdivision 1, paragraph (c), by the qualifying relative.
If a property owner occupies a homestead, the property owner's spouse may not
claim another property as a homestead unless the property owner and the property owner's
spouse file with the assessor an affidavit or other proof required by the assessor stating that
the property qualifies as a homestead under subdivision 1, paragraph (e).
Owners or spouses occupying residences owned by their spouses and previously
occupied with the other spouse, either of whom fail to include the other spouse's name
and Social Security number on the homestead application or provide the affidavits or
other proof requested, will be deemed to have elected to receive only partial homestead
treatment of their residence. The remainder of the residence will be classified as
nonhomestead residential. When an owner or spouse's name and Social Security number
appear on homestead applications for two separate residences and only one application is
signed, the owner or spouse will be deemed to have elected to homestead the residence for
which the application was signed.
The Social Security numbersnew text begin , state or federal tax returns or tax return information,
including the federal income tax schedule F required by this section,new text end or affidavits or other
proofs of the property owners and spousesdeleted text begin , and the federal income tax schedule F required
by this section,deleted text end new text begin submitted under this or another section to support a claim for a property
tax homestead classificationnew text end are private data on individuals as defined by section 13.02,
subdivision 12, but, notwithstanding that section, the private data may be disclosed to the
commissioner of revenue, or, for purposes of proceeding under the Revenue Recapture
Act to recover personal property taxes owing, to the county treasurer.
(d) If residential real estate is occupied and used for purposes of a homestead by a
relative of the owner and qualifies for a homestead under subdivision 1, paragraph (c), in
order for the property to receive homestead status, a homestead application must be filed
with the assessor. The Social Security number of each relative and spouse of a relative
occupying the property shall be required on the homestead application filed under this
subdivision. If a different relative of the owner subsequently occupies the property, the
owner of the property must notify the assessor within 30 days of the change in occupancy.
The Social Security number of a relative or relative's spouse occupying the property
is private data on individuals as defined by section 13.02, subdivision 12, but may be
disclosed to the commissioner of revenue, or, for the purposes of proceeding under the
Revenue Recapture Act to recover personal property taxes owing, to the county treasurer.
(e) The homestead application shall also notify the property owners that the
application filed under this section will not be mailed annually and that if the property
is granted homestead status for any assessment year, that same property shall remain
classified as homestead until the property is sold or transferred to another person, or
the owners, the spouse of the owner, or the relatives no longer use the property as their
homestead. Upon the sale or transfer of the homestead property, a certificate of value must
be timely filed with the county auditor as provided under section 272.115. Failure to
notify the assessor within 30 days that the property has been sold, transferred, or that the
owner, the spouse of the owner, or the relative is no longer occupying the property as a
homestead, shall result in the penalty provided under this subdivision and the property
will lose its current homestead status.
(f) If the homestead application is not returned within 30 days, the county will send a
second application to the present owners of record. The notice of proposed property taxes
prepared under section 275.065, subdivision 3, shall reflect the property's classification. If
a homestead application has not been filed with the county by December 15, the assessor
shall classify the property as nonhomestead for the current assessment year for taxes
payable in the following year, provided that the owner may be entitled to receive the
homestead classification by proper application under section 375.192.
(g) At the request of the commissioner, each county must give the commissioner a
list that includes the name and Social Security number of each occupant of homestead
property who is the property owner, property owner's spouse, qualifying relative of a
property owner, or a spouse of a qualifying relative. The commissioner shall use the
information provided on the lists as appropriate under the law, including for the detection
of improper claims by owners, or relatives of owners, under chapter 290A.
(h) If the commissioner finds that a property owner may be claiming a fraudulent
homestead, the commissioner shall notify the appropriate counties. Within 90 days of
the notification, the county assessor shall investigate to determine if the homestead
classification was properly claimed. If the property owner does not qualify, the county
assessor shall notify the county auditor who will determine the amount of homestead
benefits that had been improperly allowed. For the purpose of this section, "homestead
benefits" means the tax reduction resulting from the classification as a homestead under
section 273.13, the taconite homestead credit under section 273.135, the residential
homestead and agricultural homestead credits under section 273.1384, and the
supplemental homestead credit under section 273.1391.
The county auditor shall send a notice to the person who owned the affected property
at the time the homestead application related to the improper homestead was filed,
demanding reimbursement of the homestead benefits plus a penalty equal to 100 percent
of the homestead benefits. The person notified may appeal the county's determination
by serving copies of a petition for review with county officials as provided in section
278.01 and filing proof of service as provided in section 278.01 with the Minnesota Tax
Court within 60 days of the date of the notice from the county. Procedurally, the appeal
is governed by the provisions in chapter 271 which apply to the appeal of a property tax
assessment or levy, but without requiring any prepayment of the amount in controversy. If
the amount of homestead benefits and penalty is not paid within 60 days, and if no appeal
has been filed, the county auditor shall certify the amount of taxes and penalty to the county
treasurer. The county treasurer will add interest to the unpaid homestead benefits and
penalty amounts at the rate provided in section 279.03 for real property taxes becoming
delinquent in the calendar year during which the amount remains unpaid. Interest may be
assessed for the period beginning 60 days after demand for payment was made.
If the person notified is the current owner of the property, the treasurer may add the
total amount of homestead benefits, penalty, interest, and costs to the ad valorem taxes
otherwise payable on the property by including the amounts on the property tax statements
under section 276.04, subdivision 3. The amounts added under this paragraph to the ad
valorem taxes shall include interest accrued through December 31 of the year preceding
the taxes payable year for which the amounts are first added. These amounts, when added
to the property tax statement, become subject to all the laws for the enforcement of real or
personal property taxes for that year, and for any subsequent year.
If the person notified is not the current owner of the property, the treasurer may
collect the amounts due under the Revenue Recapture Act in chapter 270A, or use any of
the powers granted in sections 277.20 and 277.21 without exclusion, to enforce payment
of the homestead benefits, penalty, interest, and costs, as if those amounts were delinquent
tax obligations of the person who owned the property at the time the application related
to the improperly allowed homestead was filed. The treasurer may relieve a prior owner
of personal liability for the homestead benefits, penalty, interest, and costs, and instead
extend those amounts on the tax lists against the property as provided in this paragraph
to the extent that the current owner agrees in writing. On all demands, billings, property
tax statements, and related correspondence, the county must list and state separately the
amounts of homestead benefits, penalty, interest and costs being demanded, billed or
assessed.
(i) Any amount of homestead benefits recovered by the county from the property
owner shall be distributed to the county, city or town, and school district where the
property is located in the same proportion that each taxing district's levy was to the total
of the three taxing districts' levy for the current year. Any amount recovered attributable
to taconite homestead credit shall be transmitted to the St. Louis County auditor to be
deposited in the taconite property tax relief account. Any amount recovered that is
attributable to supplemental homestead credit is to be transmitted to the commissioner of
revenue for deposit in the general fund of the state treasury. The total amount of penalty
collected must be deposited in the county general fund.
(j) If a property owner has applied for more than one homestead and the county
assessors cannot determine which property should be classified as homestead, the county
assessors will refer the information to the commissioner. The commissioner shall make
the determination and notify the counties within 60 days.
(k) In addition to lists of homestead properties, the commissioner may ask the
counties to furnish lists of all properties and the record owners. The Social Security
numbers and federal identification numbers that are maintained by a county or city
assessor for property tax administration purposes, and that may appear on the lists retain
their classification as private or nonpublic data; but may be viewed, accessed, and used by
the county auditor or treasurer of the same county for the limited purpose of assisting the
commissioner in the preparation of microdata samples under section 270C.12.
(l) On or before April 30 each year beginning in 2007, each county must provide the
commissioner with the following data for each parcel of homestead property by electronic
means as defined in section 289A.02, subdivision 8:
(i) the property identification number assigned to the parcel for purposes of taxes
payable in the current year;
(ii) the name and Social Security number of each occupant of homestead property
who is the property owner, property owner's spouse, qualifying relative of a property
owner, or spouse of a qualifying relative;
(iii) the classification of the property under section 273.13 for taxes payable in the
current year and in the prior year;
(iv) an indication of whether the property was classified as a homestead for taxes
payable in the current year because of occupancy by a relative of the owner or by a
spouse of a relative;
(v) the property taxes payable as defined in section 290A.03, subdivision 13, for the
current year and the prior year;
(vi) the market value of improvements to the property first assessed for tax purposes
for taxes payable in the current year;
(vii) the assessor's estimated market value assigned to the property for taxes payable
in the current year and the prior year;
(viii) the taxable market value assigned to the property for taxes payable in the
current year and the prior year;
(ix) whether there are delinquent property taxes owing on the homestead;
(x) the unique taxing district in which the property is located; and
(xi) such other information as the commissioner decides is necessary.
The commissioner shall use the information provided on the lists as appropriate
under the law, including for the detection of improper claims by owners, or relatives
of owners, under chapter 290A.
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective the day following final enactment.
new text end
Sec. 13.
Minnesota Statutes 2006, section 273.124, subdivision 21, is amended to read:
Subd. 21.
Trust property; homestead.
Real property held by a trustee under a trust
is eligible for classification as homestead property if:
(1) the grantor or surviving spouse of the grantor of the trust occupies and uses the
property as a homestead;
(2) a relative or surviving relative of the grantor who meets the requirements of
subdivision 1, paragraph (c), in the case of residential real estate; or subdivision 1,
paragraph (d), in the case of agricultural property, occupies and uses the property as
a homestead;
(3) a family farm corporation, joint farm venture, limited liability company, or
partnership operating a family farm new text begin in which the grantor or the grantor's surviving spouse
is a shareholder, member, or partner new text end rents the property deleted text begin held by a trustee under a trustdeleted text end , and
deleted text begin the grantor, the spouse of the grantor, or the son or daughter of the grantor, who is alsodeleted text end a
shareholder, member, or partner of the corporation, joint farm venture, limited liability
company, or partnership occupies and uses the property as a homestead, or is actively
farming new text begin at least 40 acres, including undivided government lots and correctional 40'snew text end the
property on behalf of the corporation, joint farm venture, limited liability company, or
partnership; or
(4) a person who has received homestead classification for property taxes payable in
2000 on the basis of an unqualified legal right under the terms of the trust agreement to
occupy the property as that person's homestead and who continues to use the property as
a homestead or a person who received the homestead classification for taxes payable in
2005 under clause (3) who does not qualify under clause (3) for taxes payable in 2006
or thereafter but who continues to qualify under clause (3) as it existed for taxes payable
in 2005.
For purposes of this subdivision, "grantor" is defined as the person creating or
establishing a testamentary, inter Vivos, revocable or irrevocable trust by written
instrument or through the exercise of a power of appointment.
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective the day following final enactment.
new text end
Sec. 14.
Minnesota Statutes 2006, section 273.13, subdivision 22, as amended by Laws
2008, chapter 154, article 2, section 11, is amended to read:
Subd. 22.
Class 1.
(a) Except as provided in subdivision 23 and in paragraphs (b)
and (c), real estate which is residential and used for homestead purposes is class 1a. In the
case of a duplex or triplex in which one of the units is used for homestead purposes, the
entire property is deemed to be used for homestead purposes. The market value of class 1a
property must be determined based upon the value of the house, garage, and land.
The first $500,000 of market value of class 1a property has a net class rate of
one percent of its market value; and the market value of class 1a property that exceeds
$500,000 has a class rate of 1.25 percent of its market value.
(b) Class 1b property includes homestead real estate or homestead manufactured
homes used for the purposes of a homestead by
(1) any person who is blind as defined in section 256D.35, or the blind person and
the blind person's spouse; deleted text begin ordeleted text end
(2) any person who is permanently and totally disablednew text begin or by the disabled person and
the disabled person's spousenew text end deleted text begin .deleted text end new text begin ; or
new text end
new text begin
(3) the surviving spouse of a permanently and totally disabled veteran homesteading
a property classified under this paragraph for taxes payable in 2008.
new text end
Property is classified and assessed under clause (2) only if the government agency or
income-providing source certifies, upon the request of the homestead occupant, that the
homestead occupant satisfies the disability requirements of this paragraphnew text begin , and that the
property is not eligible for the valuation exclusion under subdivision 34new text end .
Property is classified and assessed under paragraph (b) only if the commissioner
of revenue or the county assessor certifies that the homestead occupant satisfies the
requirements of this paragraph.
Permanently and totally disabled for the purpose of this subdivision means a
condition which is permanent in nature and totally incapacitates the person from working
at an occupation which brings the person an income. The first $50,000 market value of
class 1b property has a net class rate of .45 percent of its market value. The remaining
market value of class 1b property has a class rate using the rates for class 1a or class 2a
property, whichever is appropriate, of similar market value.
(c) Class 1c property is commercial use real and personal property that abuts public
water as defined in section 103G.005, subdivision 15, and is devoted to temporary and
seasonal residential occupancy for recreational purposes but not devoted to commercial
purposes for more than 250 days in the year preceding the year of assessment, and that
includes a portion used as a homestead by the owner, which includes a dwelling occupied
as a homestead by a shareholder of a corporation that owns the resort, a partner in a
partnership that owns the resort, or a member of a limited liability company that owns
the resort even if the title to the homestead is held by the corporation, partnership, or
limited liability company. For purposes of this clause, property is devoted to a commercial
purpose on a specific day if any portion of the property, excluding the portion used
exclusively as a homestead, is used for residential occupancy and a fee is charged for
residential occupancy. Class 1c property must contain three or more rental units. A
"rental unit" is defined as a cabin, condominium, townhouse, sleeping room, or individual
camping site equipped with water and electrical hookups for recreational vehicles. Class
1c property must provide recreational activities such as the rental of ice fishing houses,
boats and motors, snowmobiles, downhill or cross-country ski equipment; provide marina
services, launch services, or guide services; or sell bait and fishing tackle. Any unit in
which the right to use the property is transferred to an individual or entity by deeded
interest, or the sale of shares or stock, no longer qualifies for class 1c even though it may
remain available for rent. A camping pad offered for rent by a property that otherwise
qualifies for class 1c is also class 1c, regardless of the term of the rental agreement, as long
as the use of the camping pad does not exceed 250 days. The portion of the property used
as a homestead is class 1a property under paragraph (a). The remainder of the property is
classified as follows: the first $600,000 of market value is tier I, the next $1,700,000 of
market value is tier II, and any remaining market value is tier III. The class rates for class
1c are: tier I, 0.50 percent; tier II, 1.0 percent; and tier III, 1.25 percent. Owners of real and
personal property devoted to temporary and seasonal residential occupancy for recreation
purposes in which all or a portion of the property was devoted to commercial purposes for
not more than 250 days in the year preceding the year of assessment desiring classification
as class 1c, must submit a declaration to the assessor designating the cabins or units
occupied for 250 days or less in the year preceding the year of assessment by January 15 of
the assessment year. Those cabins or units and a proportionate share of the land on which
they are located must be designated as class 1c as otherwise provided. The remainder of
the cabins or units and a proportionate share of the land on which they are located must be
designated as class 3a commercial. The owner of property desiring designation as class
1c property must provide guest registers or other records demonstrating that the units for
which class 1c designation is sought were not occupied for more than 250 days in the
year preceding the assessment if so requested. The portion of a property operated as a
(1) restaurant, (2) bar, (3) gift shop, (4) conference center or meeting room, and (5) other
nonresidential facility operated on a commercial basis not directly related to temporary
and seasonal residential occupancy for recreation purposes does not qualify for class 1c.
(d) Class 1d property includes structures that meet all of the following criteria:
(1) the structure is located on property that is classified as agricultural property under
section 273.13, subdivision 23;
(2) the structure is occupied exclusively by seasonal farm workers during the time
when they work on that farm, and the occupants are not charged rent for the privilege of
occupying the property, provided that use of the structure for storage of farm equipment
and produce does not disqualify the property from classification under this paragraph;
(3) the structure meets all applicable health and safety requirements for the
appropriate season; and
(4) the structure is not salable as residential property because it does not comply
with local ordinances relating to location in relation to streets or roads.
The market value of class 1d property has the same class rates as class 1a property
under paragraph (a).
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective for taxes payable in 2009 and
thereafter.
new text end
Sec. 15.
Minnesota Statutes 2006, section 273.13, subdivision 34, as added by Laws
2008, chapter 154, article 2, section 14, is amended to read:
Subd. 34.
Homestead of disabled veteran.
(a) All or a portion of the market value
of property new text begin owned by a veteran or by the veteran and the veteran's spouse new text end qualifying
for homestead classification under subdivision 22 or 23 is excluded in determining the
property's taxable market value if it serves as the homestead of a military veteran, as
defined in section 197.447, who has a service-connected disability of 70 percent or more.
To qualify for exclusion under this subdivision, the veteran must have been honorably
discharged from the United States armed forces, as indicated by United States Government
Form DD214 or other official military discharge papers, and must be certified by the
United States Veterans Administration as having a service-connected disability.
(b)(1) For a disability rating of 70 percent or more, $150,000 of market value is
excluded, except as provided in clause (2); and
(2) for a total (100 percent) and permanent disability, $300,000 of market value is
excluded.
(c) If a disabled veteran qualifying for a valuation exclusion under paragraph (b),
clause (2), predeceases the veteran's spouse, and if upon the death of the veteran the
spouse holds the legal or beneficial title to the homestead and permanently resides there,
the exclusion shall carry over to the benefit of the veteran's spouse new text begin for one additional
assessment year or new text end until such time as the spouse sells, transfers, or otherwise disposes of
the propertynew text begin , whichever comes firstnew text end .
(d) In the case of an agricultural homestead, only the portion of the property
consisting of the house and garage and immediately surrounding one acre of land qualifies
for the valuation exclusion under this subdivision.
(e) A property qualifying for a valuation exclusion under this subdivision is not
eligible for the credit under section 273.1384, subdivision 1new text begin , or classification under
subdivision 22, paragraph (b)new text end .
(f) To qualify for a valuation exclusion under this subdivision a property owner must
apply to the assessor by July 1 of each assessment year, except that an annual reapplication
is not required once a property has been accepted for a valuation exclusion under paragraph
(b), clause (2), and the property continues to qualify until there is a change in ownership.
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective for assessment year 2008 and
thereafter, for taxes payable in 2009 and thereafter, except that the application date in
paragraph (f) for the 2008 assessment year is extended to September 1, 2008.
new text end
Sec. 16.
Minnesota Statutes 2006, section 274.014, subdivision 3, is amended to read:
Subd. 3.
Proof of compliance; transfer of duties.
(a) Any city or town that
conducts local boards of appeal and equalization meetings must provide proof to the
county assessor by December 1, 2006, and each year thereafter, that it is in compliance
with the requirements of subdivision 2. Beginning in 2006, this notice must also verify
that there was a quorum of voting members at each meeting of the board of appeal
and equalization in the current year. A city or town that does not comply with these
requirements is deemed to have transferred its board of appeal and equalization powers
to the county beginning with the following year's assessment and continuing unless the
powers are reinstated under paragraph (c).
(b) The county shall notify the taxpayers when the board of appeal and equalization
for a city or town has been transferred to the county under this subdivision and, prior to
the meeting time of the county board of equalization, the county shall make available to
those taxpayers a procedure for a review of the assessments, including, but not limited to,
open book meetings. This alternate review process shall take place in April and May.
(c) A local board whose powers are transferred to the county under this subdivision
may be reinstated by resolution of the governing body of the city or town and upon proof
of compliance with the requirements of subdivision 2. The resolution and proofs must be
provided to the county assessor by December 1 in order to be effective for the following
year's assessment.
new text begin
(d) A local board whose powers are transferred to the county under this subdivision
may continue to employ a local assessor and is not deemed to have transferred its powers
to make assessments.
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
Sec. 17.
Minnesota Statutes 2006, section 276.04, subdivision 2, as amended by Laws
2008, chapter 154, article 2, section 19, is amended to read:
Subd. 2.
Contents of tax statements.
(a) The treasurer shall provide for the
printing of the tax statements. The commissioner of revenue shall prescribe the form
of the property tax statement and its contents. The statement must contain a tabulated
statement of the dollar amount due to each taxing authority and the amount of the state
tax from the parcel of real property for which a particular tax statement is prepared. The
dollar amounts attributable to the county, the state tax, the voter approved school tax, the
other local school tax, the township or municipality, and the total of the metropolitan
special taxing districts as defined in section 275.065, subdivision 3, paragraph (i), must
be separately stated. The amounts due all other special taxing districts, if any, may be
aggregated except that any levies made by the regional rail authorities in the county of
Anoka, Carver, Dakota, Hennepin, Ramsey, Scott, or Washington under chapter 398A
shall be listed on a separate line directly under the appropriate county's levy. If the county
levy under this paragraph includes an amount for a lake improvement district as defined
under sections 103B.501 to 103B.581, the amount attributable for that purpose must be
separately stated from the remaining county levy amount. In the case of Ramsey County,
if the county levy under this paragraph includes an amount for public library service
under section 134.07, the amount attributable for that purpose may be separated from the
remaining county levy amount. The amount of the tax on homesteads qualifying under the
senior citizens' property tax deferral program under chapter 290B is the total amount of
property tax before subtraction of the deferred property tax amount. The amount of the
tax on contamination value imposed under sections 270.91 to 270.98, if any, must also
be separately stated. The dollar amounts, including the dollar amount of any special
assessments, may be rounded to the nearest even whole dollar. For purposes of this section
whole odd-numbered dollars may be adjusted to the next higher even-numbered dollar.
The amount of market value excluded under section 273.11, subdivision 16, if any, must
also be listed on the tax statement.
(b) The property tax statements for manufactured homes and sectional structures
taxed as personal property shall contain the same information that is required on the
tax statements for real property.
(c) Real and personal property tax statements must contain the following information
in the order given in this paragraph. The information must contain the current year tax
information in the right column with the corresponding information for the previous year
in a column on the left:
(1) the property's estimated market value under section 273.11, subdivision 1;
(2) the property's taxable market value after reductions under section 273.11,
subdivisions 1a and 16;
(3) the property's gross tax, before credits;
(4) for homestead residential and agricultural properties, the credits under section
273.1384;
(5) any credits received under sections 273.119; deleted text begin 273.123deleted text end new text begin 273.1234 or 273.1235new text end ;
273.135; 273.1391; 273.1398, subdivision 4; 469.171; and 473H.10, except that the
amount of credit received under section 273.135 must be separately stated and identified
as "taconite tax relief"; and
(6) the net tax payable in the manner required in paragraph (a).
(d) If the county uses envelopes for mailing property tax statements and if the county
agrees, a taxing district may include a notice with the property tax statement notifying
taxpayers when the taxing district will begin its budget deliberations for the current
year, and encouraging taxpayers to attend the hearings. If the county allows notices to
be included in the envelope containing the property tax statement, and if more than
one taxing district relative to a given property decides to include a notice with the tax
statement, the county treasurer or auditor must coordinate the process and may combine
the information on a single announcement.
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective the day following final enactment.
new text end
Sec. 18.
Minnesota Statutes 2006, section 290B.04, subdivision 1, is amended to read:
Subdivision 1.
Initial application.
(a) A taxpayer meeting the program
qualifications under section 290B.03 may apply to the commissioner of revenue for the
deferral of taxes. Applications are due on or before July 1 for deferral of any of the
following year's property taxes. A taxpayer may apply in the year in which the taxpayer
becomes 65 years old, provided that no deferral of property taxes will be made until the
calendar year after the taxpayer becomes 65 years old. The application, which shall be
prescribed by the commissioner of revenue, shall include the following items and any
other information which the commissioner deems necessary:
(1) the name, address, and Social Security number of the owner or owners;
(2) a copy of the property tax statement for the current payable year for the
homesteaded property;
(3) the initial year of ownership and occupancy as a homestead;
(4) the owner's household income for the previous calendar year; and
(5) information on any mortgage loans or other amounts secured by mortgages or
other liens against the property, for which purpose the commissioner may require the
applicant to provide a copy of the mortgage note, the mortgage, or a statement of the
balance owing on the mortgage loan provided by the mortgage holder. The commissioner
may require the appropriate documents in connection with obtaining and confirming
information on unpaid amounts secured by other liens.
The application must state that program participation is voluntary. The application
must also state that the deferred amount depends directly on the applicant's household
income, and that program participation includes authorization for the annual deferred
amount, the cumulative deferral and interest that appear on each year's notice prepared by
the county under subdivision 6, is public data.
The application must state that program participants may claim the property tax
refund based on the full amount of property taxes eligible for the refund, including any
deferred amounts. The application must also state that property tax refunds will be used to
offset any deferral and interest under this program, and that any other amounts subject to
revenue recapture under section 270A.03, subdivision 7, will also be used to offset any
deferral and interest under this program.
(b) As part of the initial application process, the commissioner may require the
applicant to obtain at the applicant's own cost and submit:
(1) if the property is registered property under chapter 508 or 508A, a copy of the
original certificate of title in the possession of the county registrar of titles (sometimes
referred to as "condition of register"); or
(2) if the property is abstract property, a report prepared by a licensed abstracter
showing the last deed and any unsatisfied mortgages, liens, judgments, and state and
federal tax lien notices which were recorded on or after the date of that last deed with
respect to the property or to the applicant.
The certificate or report under clauses (1) and (2) need not include references to
any documents filed or recorded more than 40 years prior to the date of the certification
or report. The certification or report must be as of a date not more than 30 days prior
to submission of the application.
The commissioner may also require the county recorder or county registrar of the
county where the property is located to provide copies of recorded documents related to
the applicant or the property, for which the recorder or registrar shall not charge a fee. The
commissioner may use any information available to determine or verify eligibility under
this section.new text begin The household income from the application is private data on individuals as
defined in section 13.02, subdivision 12.
new text end
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective for data collected or maintained by
the commissioner of revenue beginning the day following final enactment.
new text end
Sec. 19.
Minnesota Statutes 2006, section 469.040, subdivision 4, is amended to read:
Subd. 4.
Facilities funded from multiple sources.
In the metropolitan area, as
defined in section 473.121, subdivision 2, the tax treatment provided in subdivision 3
applies to that portion of any multifamily rental housing facility represented by the ratio of
(1) the number of units in the facility that are subject to the requirements of Section 5 of
the United States Housing Act of 1937, as the result of the implementation of a federal
court order or consent decree to (2) the total number of units within the facility.
The housing and redevelopment authority for the city in which the facility is located,
any public entity exercising the powers of such housing and redevelopment authority, or
the county housing and redevelopment authority for the county in which the facility is
located, shall annually certify to the assessor responsible for assessing the facility, at the
time and in the manner required by the assessor, the number of units in the facility that are
subject to the requirements of Section 5 of the United States Housing Act of 1937.
Nothing in this subdivision shall prevent that portion of the facility not subject to
this subdivision from meeting the requirements of section deleted text begin 273.126deleted text end new text begin 273.128new text end , and for that
purpose the total number of units in the facility must be taken into account.
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective retroactively for taxes payable in
2006 and thereafter.
new text end
Sec. 20.
Minnesota Statutes 2006, section 469.174, subdivision 10b, is amended to
read:
Subd. 10b.
Qualified disaster area.
A "qualified disaster area" is an area that
meets the following requirements:
(1) parcels consisting of 70 percent of the area of the district were occupied by
buildings, streets, utilities, paved or gravel parking lots, or other similar structures
immediately before the disaster or emergency;
(2) the area of the district was subject to a disaster or emergency, as defined in
section deleted text begin 273.123, subdivision 1deleted text end new text begin 273.1231, subdivision 2new text end , within the 18-month period
ending on the day the request for certification of the district is made; and
(3) 50 percent or more of the buildings in the area have suffered substantial damage
as a result of the disaster or emergency.
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective the day following final enactment.
new text end
Sec. 21.
Minnesota Statutes 2006, section 469.177, subdivision 1c, is amended to read:
Subd. 1c.
Original net tax capacity adjustments; presidential disaster area.
(a)
The provisions of this subdivision apply to a district located in a disaster area, as described
in section deleted text begin 273.123, subdivision 1, paragraph (b)deleted text end new text begin 273.1231, subdivision 3, paragraph (a)new text end ,
clause (1), and are effective for taxes payable in the first calendar year beginning at least
four months after the date of the determination.
(b) For a district certified before the date of the disaster area determination as
provided in section deleted text begin 273.123, subdivision 1, paragraph (b)deleted text end new text begin 273.1231, subdivision 3,
paragraph (a)new text end , clause (1), upon the request of the municipality, the county auditor shall
reduce the original net tax capacity of the district by the reduction in the net tax capacity
of properties in the district that is attributable to the physical effects of the disaster, but not
below zero. The assessor shall determine the amount of the reduction in market value that
is attributable to the physical effects of the disaster to be used by the county auditor in
computing the reduction in net tax capacity.
(c) For a district that does not qualify under paragraph (b) and for which the request
for certification is made in the same calendar year as the disaster area determination,
upon the request of the municipality, the assessor shall determine the reduction in market
value of properties in the district that is attributable to the physical effects of the disaster.
The county auditor shall use the reduced market value in certifying the original net tax
capacity of the district.
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective the day following final enactment.
new text end
ARTICLE 16
DEPARTMENT MISCELLANEOUS
Section 1.
Minnesota Statutes 2006, section 16D.02, subdivision 3, is amended to read:
Subd. 3.
Debt.
"Debt" means an amount owed to the state directly, or through a
state agency, on account of a fee, duty, lease, direct loan, loan insured or guaranteed by
the state, rent, service, sale of real or personal property, overpayment, fine, assessment,
penalty, restitution, damages, interest, tax, bail bond, forfeiture, reimbursement, liability
owed, an assignment to the state including assignments under section 256.741, the Social
Security Act, or other state or federal law, recovery of costs incurred by the state, or any
other source of indebtedness to the state. Debt also includes amounts owed to individuals
as a result of civil, criminal, or administrative action brought by the state or a state agency
pursuant to its statutory authority or for which the state or state agency acts in a fiduciary
capacity in providing collection services in accordance with the regulations adopted under
the Social Security Act at Code of Federal Regulations, title 45, section 302.33. new text begin When the
commissioner provides collection services pursuant to a debt qualification plan, new text end debt also
includes an amount owed to the courtsnew text begin , local government units, Minnesota state colleges
and universities governed by the Board of Trustees of the Minnesota State Colleges and
Universities,new text end or University of Minnesota deleted text begin for which the commissioner provides collection
services pursuant to contractdeleted 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
Sec. 2.
Minnesota Statutes 2006, section 16D.02, subdivision 6, is amended to read:
Subd. 6.
Referring agency.
"Referring agency" means a state agencynew text begin , local
government unit, Minnesota state colleges and universities governed by the Board of
Trustees of the Minnesota State Colleges and Universities, University of Minnesota,new text end or
a courtnew text begin ,new text end that has entered into a debt qualification plan with the commissioner to refer
debts to the commissioner for collection.
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective the day following final enactment.
new text end
Sec. 3.
Minnesota Statutes 2006, section 16D.04, subdivision 2, as amended by Laws
2008, chapter 154, article 15, section 2, is amended to read:
Subd. 2.
Agency participation.
(a) A referring agency must refer, by electronic
means, debts to the commissioner for collection. deleted text begin Responsibility for the debt, including the
reporting of the debt to the commissioner of finance and the decision with regard to the
continuing collection and uncollectibility of the debt, remains with the referring agency.deleted text end
new text begin Decisions with regard to continuing collection and the uncollectibility of referred debts
shall be made by the commissioner who shall then notify the commissioner of finance and
the referring agency. A decision by the commissioner that a referred debt is uncollectible
does not prevent the referring agency from taking additional collection action.
new text end
(b) Before a debt becomes 121 days past due, a referring agency may refer the
debt to the commissioner for collection at any time after a debt becomes delinquent and
uncontested and the debtor has no further administrative appeal of the amount of the debt.
When a debt owed to a referring agency becomes 121 days past due, the referring agency
must refer the debt to the commissioner for collection. This requirement does not apply if
there is a dispute over the amount or validity of the debt, if the debt is the subject of legal
action or administrative proceedings, or the agency determines that the debtor is adhering
to acceptable payment arrangements. The commissioner may provide that certain types of
debt need not be referred to the commissioner for collection under this paragraph. Methods
and procedures for referral must follow internal guidelines prepared by the commissioner.
(c) If the referring agency is a court, the court must furnish a debtor's Social Security
number to the commissioner when the court refers the debt.
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective for debts referred after December
31, 2008.
new text end
Sec. 4.
Minnesota Statutes 2006, section 270A.08, subdivision 1, is amended to read:
Subdivision 1.
Notice to debtor.
new text begin (a) new text end Not later than five days after the claimant
agency has sent notification to the department pursuant to section 270A.07, subdivision 1,
the claimant agency shall send a written notification to the debtor asserting the right of the
claimant agency to the refund or any part thereof. If the notice is returned to the claimant
agency as undeliverable, or the claimant agency has reason to believe the debtor did not
receive the notice, the claimant agency shall obtain the deleted text begin currentdeleted text end new text begin last knownnew text end address of the
debtor from the commissioner and resend the corrected notice.
new text begin
(b) If a debt has been referred to the commissioner for collection under chapter 16D,
and the referring agency meets the definition of claimant agency under this chapter, the
commissioner must notify the debtor prior to using revenue recapture under this chapter
for collection of the debt. The notice must be sent by United States mail or personal
delivery to the last known address of the debtor.
new text end
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective for debts referred after December
31, 2008.
new text end
Sec. 5.
Minnesota Statutes 2006, section 270C.33, subdivision 5, is amended to read:
Subd. 5.
Prohibition against collection during appeal period of an order.
No
collection action can be taken on an order of assessment, new text begin or any other order imposing a
liability, new text end including the filing of liens under section 270C.63, and no late payment penalties
may be imposed when a return has been filed for the tax type and period upon which the
order is based, during the appeal period of an order. The appeal period of an order ends:
(1) 60 days after the order has been mailed to the taxpayer by the commissioner; (2) if an
administrative appeal is filed under section 270C.35, 60 days after determination of the
administrative appeal; (3) if an appeal to Tax Court is filed under chapter 271, when the
decision of the Tax Court is made; or (4) if an appeal to Tax Court is filed and the appeal is
based upon a constitutional challenge to the tax, 60 days after final determination of the
appeal. This subdivision does not apply to a jeopardy assessment under section 270C.36,
or a jeopardy collection under section 270C.36.
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective the day following final enactment.
new text end
ARTICLE 17
MISCELLANEOUS
Section 1.
Minnesota Statutes 2006, section 60A.196, is amended to read:
60A.196 DEFINITIONS.
Unless the context otherwise requires, the following terms have the meanings given
them for the purposes of sections 60A.195 to 60A.209:
(a) "Surplus lines insurance" means insurance placed with an insurer permitted
to transact the business of insurance in this state only pursuant to sections 60A.195 to
60A.209.
(b) "Eligible surplus lines insurer" means an insurer recognized as eligible to write
insurance business under sections 60A.195 to 60A.209 but not licensed by any other
Minnesota law to transact the business of insurance.
(c) "Ineligible surplus lines insurer" means an insurer not recognized as an eligible
surplus lines insurer pursuant to sections 60A.195 to 60A.209 and not licensed by any
other Minnesota law to transact the business of insurance. "Ineligible surplus lines
insurer" includes a risk retention group as defined under the Liability Risk Retention
Act, Public Law 99-563.
(d) "Surplus lines licensee" or "licensee" means a person licensed under sections
60A.195 to 60A.209 to place insurance with an eligible or ineligible surplus lines insurer.
(e) "Association" means an association registered under section 60A.208.
(f) "Alien insurer" means any insurer which is incorporated or otherwise organized
outside of the United States.
(g) "Insurance laws" means chapters 60 to 79 inclusive.
new text begin
(h) "Stamping" means electronically assigning a unique identifying number that is
specific to a submitted policy, contract, or insurance document.
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new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective the day following final enactment
and applies to policies written or renewed on or after that date.
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Sec. 2.
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[60A.2085] SURPLUS LINES ASSOCIATION OF MINNESOTA.
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new text begin Subdivision 1. new text end
new text begin Association created; duties. new text end
new text begin
There is hereby created a nonprofit
association to be known as the Surplus Lines Association of Minnesota. All surplus lines
licensees are members of this association. Section 60A.208, subdivision 5, does not apply
to the provisions of this section. The association shall perform its functions under the
plan of operation established under subdivision 3 and must exercise its powers through a
board of directors established under subdivision 2. The association shall be authorized
and have the duty to:
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(1) receive, record, and stamp all surplus lines insurance documents that surplus
lines licensees are required to file with the association;
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(2) prepare and deliver monthly to the commissioners of revenue and commerce a
report regarding surplus lines business. The report must include a list of all the business
procured during the preceding month, in the form the commissioners prescribe;
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(3) educate its members regarding the surplus lines law of this state including
insurance tax responsibilities and the rules and regulations of the commissioners of
revenue and commerce relative to surplus lines insurance;
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(4) communicate with organizations of agents, brokers, and admitted insurers with
respect to the proper use of the surplus lines market;
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(5) employ and retain persons necessary to carry out the duties of the association;
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(6) borrow money necessary to effect the purposes of the association;
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(7) enter contracts necessary to effect the purposes of the association;
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(8) provide other services to its members that are incidental or related to the
purposes of the association; and
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(9) take other actions reasonably required to implement the provisions of this section.
new text end
new text begin Subd. 2. new text end
new text begin Board of directors. new text end
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(a) The commissioner shall appoint an interim board
of five directors within 30 days of enactment of this section. The interim board must:
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(1) establish a plan of operation within 60 days after the appointment of the interim
board;
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(2) create a stamping office that is operational no later than December 31, 2008; and
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(3) conduct an election for a board of directors by the membership after December
31, 2008, and no later than one year after the appointment of the interim board.
new text end
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(b) Once the responsibilities of the interim board in paragraph (a) are fulfilled, the
association shall function through a board of directors composed of the following:
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(1) one director appointed by the commissioner of revenue;
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(2) one director appointed by the commissioner of commerce; and
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(3) at least five but no more than seven directors elected by the members. The
elected directors must be members of the association.
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new text begin
Directors may serve until their successors are appointed or elected and their terms
are completed as outlined in the plan of operation.
new text end
new text begin Subd. 3. new text end
new text begin Plan of operation. new text end
new text begin
(a) The plan of operation shall provide for the
formation, operation, and governance of the association. The plan of operation must
provide for the election of a board of directors by the members of the association. The
board of directors shall elect officers as provided for in the plan of operation. The plan
of operation shall establish the manner of voting and may weigh each member's vote to
reflect the annual surplus lines insurance premium written by the member. Members
employed by the same or affiliated employers may consolidate their premiums written
and delegate an individual officer or partner to represent the member in the exercise of
association affairs, including service on the board of directors.
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(b) The plan of operation shall provide for an independent audit once each year of all
the books and records of the association and a report of such independent audit shall be
made to the board of directors, the commissioner of revenue, and the commissioner of
commerce, with a copy made available to each member to review at the association office.
new text end
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(c) The plan of operation and any amendments to the plan of operation shall be
submitted to the commissioner and shall be effective upon approval in writing by the
commissioner. The association and all members shall comply with the plan of operation or
any amendments to it. Failure to comply with the plan of operation or any amendments
shall constitute a violation for which the commissioner may issue an order requiring
discontinuance of the violation.
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(d) If the interim board of directors fails to submit a suitable plan of operation
within 60 days following the creation of the interim board, or if at any time thereafter the
association fails to submit required amendments to the plan, the commissioner may submit
to the association a plan of operation or amendments to the plan, which the association
must follow. The plan of operation or amendments submitted by the commissioner shall
continue in force until amended by the commissioner or superseded by a plan of operation
or amendment submitted by the association and approved by the commissioner. A plan
of operation or an amendment submitted by the commissioner constitutes an order of
the commissioner.
new text end
new text begin Subd. 4. new text end
new text begin Reporting requirement. new text end
new text begin
The association shall file with the commissioner:
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(1) a copy of its plan of operation and any amendments to it;
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(2) a current list of its members revised at least annually; and
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(3) the name and address of a member of the board residing in this state upon
whom notices or orders of the commissioner or processes issued at the direction of the
commissioner may be served.
new text end
new text begin Subd. 5. new text end
new text begin Examination. new text end
new text begin
The commissioner shall, at such times as deemed necessary,
make or cause to be made an examination of the association. The officers, managers,
agents, and employees of the association may be examined at any time, under oath, and
shall exhibit all books, records, accounts, documents, or agreements governing its method
of operation. The commissioner shall furnish a copy of the examination report to the
association. If the commissioner finds the association to be in violation of this section, the
commissioner may issue an order requiring the discontinuance of the violation.
new text end
new text begin Subd. 6. new text end
new text begin Immunity. new text end
new text begin
There shall be no liability on the part of and no causes of action
of any nature shall arise against the association, its directors, officers, agents, or employees
for any action taken or omitted by them in the performance of their powers and duties
under this section, absent gross negligence or willful misconduct.
new text end
new text begin Subd. 7. new text end
new text begin Stamping fee. new text end
new text begin
The services performed by the association shall be
funded by a stamping fee assessed for each premium-bearing document submitted to
the association. The stamping fee shall be established by the board of directors of the
association from time to time. The stamping fee shall be paid by the insured to the surplus
lines licensee and remitted electronically to the association by the surplus lines licensee.
new text end
new text begin Subd. 8. new text end
new text begin Data classification. new text end
new text begin
Unless otherwise classified by statute, a temporary
classification under section 13.06, or federal law, information obtained by the
commissioner from the association is public, except that any data identifying insureds is
private data on individuals or nonpublic data as defined in section 13.02, subdivisions
9 and 12.
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new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective the day following final enactment
and applies to policies written or renewed on or after that date.
new text end
Sec. 3.
new text begin
[60A.2086] LICENSEE'S DUTY TO SUBMIT DOCUMENTS; PENALTY.
new text end
new text begin Subdivision 1. new text end
new text begin
Submission of documents to the Surplus Lines Association
of Minnesota; certification.
new text end
new text begin
(a) A surplus lines licensee shall submit every insurance
policy or contract issued under the licensee's license to the Surplus Lines Association of
Minnesota for recording and stamping. The submission and stamping must be effected
through electronic means. The submission must include:
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(1) the name of the insured;
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(2) a description and location of the insured property or risk;
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(3) the amount insured;
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(4) the gross premiums charged or returned;
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(5) the name of the surplus lines insurer from whom coverage has been procured;
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(6) the kind or kinds of insurance procured; and
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(7) the amount of premium subject to tax.
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(b) The submission of insurance policies or contracts to the Surplus Lines
Association of Minnesota constitutes a certification by the surplus lines licensee, or by the
insurance producer who presented the risk to the surplus lines licensee for placement as a
surplus lines risk, that the insurance policies or contracts were procured in accordance
with sections 60A.195 to 60A.209.
new text end
new text begin Subd. 2. new text end
new text begin Stamping requirement; penalty. new text end
new text begin
(a) It shall be unlawful for an insurance
agent, broker, or surplus lines licensee to deliver in this state any surplus lines insurance
policy or contract unless the insurance document is stamped by the association. A
licensee's failure to comply with the requirements of this subdivision shall not affect the
validity of the coverage.
new text end
new text begin
(b) Any insurance agent, broker, or surplus lines licensee who delivers in this state
any insurance policy or contract that has not been stamped by the association shall be
subject to a penalty payable to the commissioner as follows:
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(1) $50 for delivery of the first unstamped policy;
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(2) $250 for delivery of a second unstamped policy; and
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new text begin
(3) $1,000 per policy for delivery of any additional unstamped policies.
new text end
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective January 1, 2009, and applies to
policies written or renewed after December 31, 2008.
new text end
Sec. 4.
new text begin
[62U.071] HEALTH INSURANCE CREDIT.
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 them.
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new text begin
(b) "Commissioner" means the commissioner of commerce.
new text end
new text begin
(c) "Employee" means an employee currently on an employer's payroll other than a
retiree or disabled former employee.
new text end
new text begin
(d) "Employer" means a person, firm, corporation, partnership, association, business
trust, or other entity employing one or more persons, including a political subdivision of
the state, filing payroll tax information on such employed person or persons.
new text end
new text begin
(e) "Section 125 plan" means a cafeteria or premium-only plan under section 125 of
the Internal Revenue Code that allows employees to pay for health insurance premiums
with pretax dollars.
new text end
new text begin
(f) "Small employer" means an employer with two to 50 employees.
new text end
new text begin Subd. 2. new text end
new text begin Tax credits allowed; generally. new text end
new text begin
(a) Upon application, the commissioner
shall allow tax credits to eligible small employers as incentives for the employers to
provide section 125 plans or to encourage their employees to participate in existing section
125 plans. The applications for the credits must be made in the form and manner and at
the times prescribed by the commissioner.
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new text begin
(b) The credits allowed under this section must not exceed the liability for tax paid
by the employer. The liability for tax includes tax paid by the employer under chapter
290, ad valorem property tax on property used in the conduct of their trade or business,
and the insurance premiums tax under chapter 297I. The commissioner must verify that
the amount of the credit paid under this section does not exceed the employer's liability
for tax paid in the previous calendar year.
new text end
new text begin Subd. 3. new text end
new text begin Establishment credit. new text end
new text begin
(a) The commissioner shall pay a tax credit to
eligible small employers that establish section 125 plans to the extent that credit authority
is available under subdivision 5 for the fiscal year. An eligible small employer is eligible
for a credit under this subdivision only once.
new text end
new text begin
(b) To be eligible for a credit, a small employer must:
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new text begin
(1) not have offered health insurance to employees through a group health insurance
plan, as defined in section 62A.10, or through a self-insured plan, as defined in section
62E.02, in the 12 months before applying for a tax credit under this subdivision;
new text end
new text begin
(2) have established a section 125 plan within 90 days before applying for a tax
credit under this subdivision, and must not have offered a section 125 plan to employees
for at least a nine-month period before the establishment of the section 125 plan under
this subdivision; and
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new text begin
(3) certify to the commissioner that the employer has established a section 125 plan
and meets the requirements of 2008 S.F. 3780, article 4, section 10, subdivisions 2 and
3, if enacted.
new text end
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(c) The amount of the credit under this subdivision equals the lesser of:
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new text begin
(1) the employer's actual cost to establish the section 125 plan; or
new text end
new text begin
(2) $350.
new text end
new text begin Subd. 4. new text end
new text begin Participation credit. new text end
new text begin
(a) The commissioner shall pay a tax credit to
eligible small employers with section 125 plans. The amount of the credit equals the
least of the following amounts:
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new text begin
(1) 50 percent of the amount the employer spends during the calendar year for
incentives to encourage participation by the employer's nonparticipating employees in
the employer's section 125 plan;
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new text begin
(2) $200 for each nonparticipating employee who begins participating in the
employer's section 125 plan; or
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new text begin
(3) the amount of credit certificates the employer received for the calendar year.
new text end
new text begin
(b) An eligible employer is a small employer that:
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new text begin
(1) offers a section 125 plan to its employees;
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new text begin
(2) has five percent or more of its employees not participating in the section 125 plan
during the quarter prior to the application for the tax credit; and
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new text begin
(3) pays average compensation to its nonparticipating employees of no more
than the maximum annual income of an individual who is eligible to participate in the
MinnesotaCare program under chapter 256L.
new text end
new text begin
(c) For purposes of this subdivision, "incentives to encourage participation" includes
paying an increased employer share of the premium or other costs of the insurance,
contributing to the employee's health savings account, or taking other measures that the
commissioner considers likely to foster higher rates of participation; and "nonparticipating
employee" means an employee who is not participating in the section 125 plan, and who is
not otherwise covered by health insurance other than MinnesotaCare.
new text end
new text begin Subd. 5. new text end
new text begin Credits and credit certificates. new text end
new text begin
(a) The commissioner may transfer
all or part of the appropriation provided in 2008 S.F. 3780, article 4, section 10,
subdivision 4, if enacted, to provide tax credits under subdivision 3. The commissioner
shall allow tax credits under subdivision 3 to applicants on a first-come-first-served
basis and the maximum amount of credits allowed for each fiscal year is limited to the
amount transferred from the appropriation provided in S.F. 3780, article 4, section 10,
subdivision 4, if enacted. If applications for credits exceed the allowance for the fiscal
year, the commissioner shall hold the applications and award the credits from the amount
appropriated for that purpose in the next fiscal year. If the commissioner does not transfer
any of the appropriation provided in 2008 S.F. 3780, article 4, section 10, subdivision 4, if
enacted, no tax credits are allowed under subdivision 3.
new text end
new text begin
(b) Upon application, the commissioner shall award credit certificates to eligible
employers for credits under subdivision 4. The maximum amount of credit certificates
is limited to $730,000 per fiscal year. The commissioner shall award the certificates to
eligible employers on a first-come-first-served basis, and certificates will apply to the
calendar year in which the employer intends to provide incentives for nonparticipating
employees to begin participating in the employer's section 125 plan. No employer may be
awarded more than $5,000 in credit certificates. Following the close of the calendar year,
employers who have been awarded certificates must report to the commissioner on the
amount spent for incentives to encourage participation by nonparticipating employees,
and the number of nonparticipating employees who became participating employees, and
the commissioner must allow the appropriate credit amount as provided in subdivision 4,
paragraph (a).
new text end
new text begin
(c) The commissioner may transfer credit authority between the authorizations in
paragraphs (a) and (b) based on the applications for the credits under subdivisions 3 and 4
or on other factors so that in the commissioner's opinion the allocation between the two
credits will provide a more effective incentive to expand health care coverage.
new text end
new text begin Subd. 6. new text end
new text begin Appropriation. new text end
new text begin
The amount necessary to award credits under subdivision
5, paragraph (b), is appropriated from the general fund to the commissioner of commerce
in fiscal year 2009.
new text end
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective for fiscal year 2009.
new text end
Sec. 5.
Laws 2006, chapter 269, section 2, is amended to read:
Sec. 2. DEDICATION FEE.
The Minneapolis Park and Recreation Board and the Minneapolis City Council
may jointly exercise the powers conferred under Minnesota Statutes, section 462.358,
with respect to requiring that a reasonable portion of land be dedicated to the public
or imposing a dedication fee on new housing units new text begin and new commercial and industrial
development new text end in the city, wherever located, for public parks, playgrounds, recreational
facilities, wetlands, new text begin trails, new text end or open space. The dedication of land or dedication fee must
be imposed by an ordinance jointly enacted by the park board and the city council. The
ordinance may exclude senior housing and affordable housing from paying the fee or the
dedication of land. The provisions of Minnesota Statutes, section 462.358, subdivisions
2b, paragraph (b), and 2c, apply to the imposition, application, and use of the dedication of
land or the dedication fee.
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective upon compliance by the Minneapolis
Park and Recreation Board and the Minneapolis City Council with Minnesota Statutes,
section 645.021, subdivision 3.
new text end
Sec. 6. new text begin DATA UPDATE.
new text end
new text begin
The commissioner of revenue must continue to maintain, update, and make available
the information required under Laws 1987, chapter 268, article 7, section 1, subdivision
6, paragraph (b). The commissioner must provide the most complete and current data
available, when requested, to the chairs of the senate and house of representatives
committees on taxes.
new text end
Sec. 7. new text begin APPROPRIATIONS.
new text end
new text begin Subdivision 1. new text end
new text begin Department of Revenue; assessment assistance. new text end
new text begin
$100,000 is
appropriated to the commissioner of revenue from the general fund for fiscal year 2009 to
assist local assessors in valuing industrial special-use industrial properties.
new text end
new text begin Subd. 2. new text end
new text begin Department of Revenue; onetime appropriations. new text end
new text begin
(a) $15,000 is
appropriated to the commissioner of revenue to administer the study of the property tax
exemption for institutions of purely public charity.
new text end
new text begin
(b) $200,000 is appropriated to the commissioner of revenue to prepare the database
required in section 5 matching homeowners' property, property tax, income, and income
tax information.
new text end
new text begin
(c) The appropriations under this subdivision are onetime appropriations from the
general fund for fiscal year 2009 and are not added to the agency's base budget.
new text end
new text begin Subd. 3. new text end
new text begin Department of Administration. new text end
new text begin
$60,000 is appropriated from the general
fund in fiscal year 2009 to the commissioner of administration to pay the cost incurred by
the Land Management Information Center to prepare township acreage data. $50,000 of
this appropriation is onetime and is not added to the agency's base budget; $10,000 of this
appropriation is added to the agency's budget.
new text end