Engrossments
Introduction		Posted on 03/08/2006
1st Engrossment		Posted on 03/27/2006
2nd Engrossment		Posted on 05/21/2006

Unofficial Engrossments
1st Unofficial Engrossment		Posted on 05/16/2006

Conference Committee Reports
CCR-HF3302		Posted on 05/20/2006

ARTICLE 1

MUNICIPAL AND COUNTY PLANNING AND ZONING PROVISIONS

Section 1.

Minnesota Statutes 2004, section 204B.14, subdivision 5, is amended to read:

Subd. 5.

Precinct boundaries; description; maps.

deleted text begin When deleted text end new text begin If new text end a precinct boundary
has been changeddeleted text begin ,deleted text end new text begin or an annexation has occurred affecting a precinct boundary,new text end the
municipal clerk shall immediately notify the new text begin county auditor and new text end secretary of state.
The new text begin municipal new text end clerk shall file a corrected base map with the secretary of state new text begin and
county auditor new text end within 30 days after the boundary change was made new text begin or, in the case of an
annexation, the later of: (1) 30 days after the approval of the annexation order; or (2) the
effective date of the annexation ordernew text end . Upon request, the deleted text begin secretary of state deleted text end new text begin county auditor
new text end shall provide a base map new text begin and precinct finder new text end to the municipal clerk. deleted text begin The secretary of
state shall update the precinct boundary database, prepare a corrected precinct map, and
provide the corrected precinct map to the county auditor and the municipal clerk who shall
make them available for public inspection.deleted text end new text begin The municipal clerk shall prepare a corrected
precinct map and provide the corrected map to the county auditor, who shall correct the
precinct finder in the statewide voter registration system and make the corrected map and
precinct finder available for public inspection, and to the secretary of state, who shall
update the precinct boundary database.new text end The county auditor shall prepare and file precinct
boundary maps for precincts in unorganized territories in the same manner as provided
for precincts in municipalities. For every election held in the municipality the election
judges shall be furnished precinct maps as provided in section 201.061, subdivision 6. If a
municipality changes the boundary of an election precinct, new text begin or if an annexation affecting a
precinct boundary occurs, new text end the county auditor shall notify each school district with territory
affected by the boundary change at least 30 days before the effective date of the change.

Sec. 2.

Minnesota Statutes 2004, section 394.25, subdivision 7, is amended to read:

Subd. 7.

Specific controls; other subjects.

(a) Specific controls pertaining to other
subjects incorporated in the comprehensive plan or establishing standards and procedures
to be employed in land development including, but not limited to, subdividing of land and
the approval of land plats and the preservation and dedication of streets and land for other
public purposes and the general design of physical improvement.

new text begin (b) A county must approve a preliminary plat that meets the applicable standards
and criteria contained in the county's zoning and subdivision regulations unless the
county adopts written findings based on a record from the public proceedings why the
application shall not be approved.
new text end

deleted text begin (b)deleted text end new text begin (c)new text end The controls may require that a portion of any proposed subdivision be
dedicated to the public or preserved for public use as parks, recreational facilities,
playgrounds, trails, wetlands, or open space. The requirement must be imposed by
ordinance.

deleted text begin (c)deleted text end new text begin (d)new text end If a county adopts the ordinance required by paragraph deleted text begin (b)deleted text end new text begin (c)new text end , the county
must adopt a capital improvement program and adopt a parks and open space plan or have
a parks, trails, and open space component in its comprehensive plan subject to the terms
and conditions in this paragraph and in paragraphs deleted text begin (d)deleted text end new text begin (e)new text end through deleted text begin (o)deleted text end new text begin (p)new text end .

deleted text begin (d)deleted text end new text begin (e)new text end The county may choose to accept a per lot cash fee as set by ordinance from
the applicant for some or all of the new lots created in the subdivision.

deleted text begin (e)deleted text end new text begin (f)new text end In establishing the portion to be dedicated or preserved or the per lot cash
fee, the controls must consider the open space, park, recreational, or common areas and
facilities that the applicant proposes to reserve for the subdivision.

deleted text begin (f)deleted text end new text begin (g)new text end The county must reasonably determine that it will need to acquire that portion
of land for the purposes stated in this subdivision as a result of approval of the subdivision.

deleted text begin (g)deleted text end new text begin (h)new text end The fees or dedication must be fair, reasonable, and proportionate to the
need created.

deleted text begin (h)deleted text end new text begin (i)new text end Any cash payments received must be placed by the county in a special fund to
be used only for the purposes for which the money was obtained.

deleted text begin (i)deleted text end new text begin (j)new text end Any cash payments received must be used only for the acquisition and
development or improvement of parks, recreational facilities, playgrounds, trails,
wetlands, or open space. Cash payments must not be used for ongoing operation,
maintenance, or redevelopment of parks, recreational facilities, playgrounds, trails,
wetlands, or open space.

deleted text begin (j)deleted text end new text begin (k)new text end The county must not deny the approval of a subdivision based on an
inadequate supply of parks, open spaces, trails, or recreational areas within the county.

deleted text begin (k)deleted text end new text begin (l)new text end The county must not condition the approval of any proposed subdivision
or development on an agreement to waive the right to challenge the validity of a fee
or dedication.

deleted text begin (l)deleted text end new text begin (m)new text end The county must use at least 75 percent of the funds collected under this
subdivision according to the plan required in paragraph deleted text begin (c)deleted text end new text begin (d)new text end in the township or city
where the collection of funds occurs. However, the township board or city council may
agree to allow the county to use these funds outside of the township or city in a manner
consistent with the county parks, trails, and open space capital improvement plan or the
county parks and open space component in its comprehensive plan. The remainder of the
funds may be used by the county only for parks and trails connectivity and accessibility
purposes. The county must annually report to cities and townships on where funds were
collected and where funds were expended in the past year.

deleted text begin (m)deleted text end new text begin (n)new text end Previously subdivided property from which a park dedication has been
received, being resubdivided with the same number of lots, is exempt from park dedication
requirements. If, as a result of resubdividing the property, the number of lots is increased,
then the park dedication or per lot cash fee must apply only to the net increase of lots.

deleted text begin (n)deleted text end new text begin (o)new text end A county must not require a dedication of a portion of a proposed subdivision
or a payment in lieu of dedication in a town or city that has adopted a requirement
to dedicate or a payment in place of dedication as a provision of the town or city's
subdivision regulations under section 462.358, subdivision 2b, or chapter 366.

deleted text begin (o)deleted text end new text begin (p)new text end A county may negotiate an agreement with a town or city to share the
revenue generated by dedicating a portion of a proposed subdivision or a payment in
place of dedication.

Sec. 3.

Minnesota Statutes 2004, section 394.36, subdivision 1, is amended to read:

Subdivision 1.

Continuous or it ends.

new text begin Except as provided in subdivision 2, 3,
or 4, new text end any nonconformitynew text begin ,new text end including the lawful use or occupation of land or premises
existing at the time of the adoption of an official control deleted text begin hereunder deleted text end new text begin under this chapter,new text end may
be continued, deleted text begin except as regulated, terminated or acquired by the board as provided in
subdivisions 2 or 3, although such use or occupation does not conform to the provisions
thereof, but deleted text end new text begin although the use or occupation does not conform to the official control. new text end If
deleted text begin suchdeleted text end new text begin thenew text end nonconformity or occupancy is discontinued for a period of more than one year,
or any nonconforming building or structure is destroyed by fire or other peril to the extent
of 50 percent of its market value, any subsequent use or occupancy of the land or premises
shall be a conforming use or occupancy.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment
and applies retroactively from August 1, 2004.
new text end

Sec. 4.

Minnesota Statutes 2004, section 394.36, is amended by adding a subdivision
to read:

new text begin Subd. 1b. new text end

new text begin Designated floodplains. new text end

new text begin Notwithstanding subdivision 1, a county
shall regulate the repair, replacement, maintenance, improvement, or expansion of
nonconforming uses and structures in floodplain areas to the extent necessary to maintain
eligibility in the National Flood Insurance Program and not increase flood damage
potential or increase the degree of obstruction to flood flows in the floodway.
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 retroactively from August 1, 2004.
new text end

Sec. 5.

Minnesota Statutes 2004, section 394.36, is amended by adding a subdivision
to read:

new text begin Subd. 4. new text end

new text begin Nonconformities; certain classes of property. new text end

new text begin This subdivision applies
to homestead and nonhomestead residential real estate and seasonal residential real
estate occupied for recreational purposes. A nonconformity, including the lawful use or
occupation of land or premises existing at the time of the adoption of an official control
under this chapter, may be continued, including through repair, replacement, restoration,
maintenance, or improvement, but not including expansion. If the nonconformity or
occupancy is discontinued for a period of more than one year, or any nonconforming
building or structure is destroyed by fire or other peril to the extent of 50 percent of its
market value, and no building permit has been applied for within 180 days of when the
property is damaged, any subsequent use or occupancy of the land or premises must be a
conforming use or occupancy. If a nonconforming building or structure is destroyed by
fire or other peril to the extent of 50 percent of its market value, the board may impose
reasonable conditions upon a building permit in order to mitigate any newly created
impact on adjacent property.
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 retroactively from August 1, 2004. For nonconforming property to which this
section applies that was destroyed by fire or other peril during the period from August 1,
2004, to the effective date of this section, the 180-day time limit to apply for a building
permit begins on the effective date of this section.
new text end

Sec. 6.

Minnesota Statutes 2004, section 462.358, subdivision 3b, is amended to read:

Subd. 3b.

Review procedures.

The regulations shall include provisions regarding
the content of applications for proposed subdivisions, the preliminary and final review and
approval or disapproval of applications, and the coordination of such reviews with affected
political subdivisions and state agencies. Subdivisions including lands abutting upon any
existing or proposed trunk highway, county road or highway, or county state-aid highway
shall also be subject to review. The regulations may provide for the consolidation of the
preliminary and final review and approval or disapproval of subdivisions. Preliminary
or final approval may be granted or denied for parts of subdivision applications. The
regulations may delegate the authority to review proposals to the planning commission,
but final approval or disapproval shall be the decision of the governing body of the
municipality unless otherwise provided by law or charter. new text begin A municipality must approve
a preliminary plat that meets the applicable standards and criteria contained in the
municipality's zoning and subdivision regulations unless the municipality adopts written
findings based on a record from the public proceedings why the application shall not
be approved.new text end The regulations shall require that a public hearing shall be held on all
subdivision applications prior to preliminary approval, unless otherwise provided by law
or charter. The hearing shall be held following publication of notice of the time and
place thereof in the official newspaper at least ten days before the day of the hearing. At
the hearing, all persons interested shall be given an opportunity to make presentations.
A subdivision application shall be preliminarily approved or disapproved within 120
days following delivery of an application completed in compliance with the municipal
ordinance by the applicant to the municipality, unless an extension of the review period has
been agreed to by the applicant. When a division or subdivision to which the regulations
of the municipality do not apply is presented to the city, the clerk of the municipality
shall within ten days certify that the subdivision regulations of the municipality do not
apply to the particular division.

If the municipality or the responsible agency of the municipality fails to preliminarily
approve or disapprove an application within the review period, the application shall
be deemed preliminarily approved, and upon demand the municipality shall execute
a certificate to that effect. Following preliminary approval the applicant may request
final approval by the municipality, and upon such request the municipality shall certify
final approval within 60 days if the applicant has complied with all conditions and
requirements of applicable regulations and all conditions and requirements upon which
the preliminary approval is expressly conditioned either through performance or the
execution of appropriate agreements assuring performance. If the municipality fails to
certify final approval as so required, and if the applicant has complied with all conditions
and requirements, the application shall be deemed finally approved, and upon demand the
municipality shall execute a certificate to that effect. After final approval a subdivision
may be filed or recorded.

ARTICLE 2

MUNICIPAL BOUNDARY ADJUSTMENT

Section 1. new text begin MUNICIPAL BOUNDARY ADJUSTMENT ADVISORY TASK
FORCE ESTABLISHED.
new text end

new text begin Subdivision 1. new text end

new text begin Membership. new text end

new text begin An advisory task force on municipal boundary
adjustments is established to study and make recommendations on what, if any, changes
should be made to the law governing municipal boundary adjustments. The task force
shall develop recommendations regarding best practices annexation training for city and
township officials to better communicate and jointly plan potential annexations. The task
force is comprised of the following members:
new text end

new text begin (1) two members of the senate, one appointed by the majority leader and one
appointed by the minority leader;
new text end

new text begin (2) two members of the house of representatives, one appointed by the speaker of the
house and one appointed by the minority leader;
new text end

new text begin (3) three representatives of city interests, appointed by the League of Minnesota
Cities in consultation with the Association of Metropolitan Municipalities, the Coalition
of Greater Minnesota Cities, and the Minnesota Association of Small Cities;
new text end

new text begin (4) three representatives of township interests, appointed by the Minnesota
Association of Townships; and
new text end

new text begin (5) one person appointed jointly by the senate majority leader and the speaker of the
house of representatives to serve as chair of the task force, selected based on knowledge
and experience in municipal boundary adjustment issues and who could serve without bias
towards either side of the issue of annexation.
new text end

new text begin All appointing authorities shall provide for balance of geographic areas of the state and
city and town interests.
new text end

new text begin Subd. 2. new text end

new text begin Report by January 2007. new text end

new text begin The task force shall report its recommendations
to the chairs and members of the house of representatives and senate committees with
jurisdiction over municipal boundary adjustments by January 1, 2007. The task force shall
also provide a copy of its recommendations to the Legislative Reference Library.
new text end

new text begin Subd. 3. new text end

new text begin Funds available. new text end

new text begin Any funds remaining in the committee budgets for the
house local government committee or the senate state and local government operations
committee as of the 2006 adjournment of the legislature will be available to pay for the
administrative expenses of the task force, including per diems and expenses of members
and the services of a facilitator from the management analysis division of the Department
of Administration.
new text end

Sec. 2.

Minnesota Statutes 2004, section 414.01, subdivision 1a, is amended to read:

Subd. 1a.

Legislative findings.

The legislature finds that:

(1) sound urban development and preservation of agricultural land and open spaces
through land use planning is essential to the continued economic growth of this state;

(2) municipal government most efficiently provides governmental services in areas
intensively developed for residential, commercial, industrial, and governmental purposes;
and township government most efficiently provides governmental services in areas used or
developed for agricultural, open space, and rural residential purposes;

(3) the public interest requires that municipalities be formed when there exists or will
likely exist the necessary resources to provide for their economical and efficient operation;

(4) annexation to existing municipalities of unincorporated areas unable to supply
municipal services should be facilitated; and

(5) deleted text begin the consolidation of municipalities should be encouraged.deleted text end new text begin long-range joint
powers planning or other cooperative efforts among counties, cities, and towns should
be encouraged.
new text end

Sec. 3.

Minnesota Statutes 2004, section 414.02, is amended by adding a subdivision
to read:

new text begin Subd. 1a. new text end

new text begin Notice of intent to incorporate. new text end

new text begin At least 30 days before submitting to the
director the petition or resolution under this section, the township must serve the clerk of
each municipality and each township that is contiguous to the township by certified mail a
notice of the township's intent to incorporate.
new text end

Sec. 4.

Minnesota Statutes 2004, section 414.031, is amended by adding a subdivision
to read:

new text begin Subd. 1a. new text end

new text begin Notice of intent to annex. new text end

new text begin At least 30 days before submitting to the
director a petition or resolution under this section, the municipality must serve the
township clerk of the affected township by certified mail a notice of the municipality's
intent to annex property within the township. The notice must clearly identify the
boundaries of the area proposed to be annexed.
new text end

Sec. 5.

Minnesota Statutes 2004, section 414.031, subdivision 4, is amended to read:

Subd. 4.

Relevant factors, order.

(a) In arriving at a decision, the director shall
consider the following new text begin sources and new text end factors:

new text begin (1) recordings and public documents from joint informational meetings under
section 414.0333 relevant to other factors listed in this subdivision;
new text end

deleted text begin (1)deleted text end new text begin (2)new text end present population and number of households, past population and projected
population growth of thenew text begin annexing municipality andnew text end subject area and adjacent units of
local government;

deleted text begin (2)deleted text end new text begin (3)new text end quantity of land within the subject area and adjacent units of local government;
and natural terrain including recognizable physical features, general topography, major
watersheds, soil conditions and such natural features as rivers, lakes and major bluffs;

deleted text begin (3)deleted text end new text begin (4)new text end degree of contiguity of the boundaries between the annexing municipality
and the subject area;

deleted text begin (4)deleted text end new text begin (5)new text end present pattern of physical development, planning, and intended land
uses in the subject area and the annexing municipality including residential, industrial,
commercial, agricultural and institutional land uses and the impact of the proposed action
on those land uses;

deleted text begin (5)deleted text end new text begin (6)new text end the present transportation network and potential transportation issues,
including proposed highway development;

deleted text begin (6)deleted text end new text begin (7)new text end land use controls and planning presently being utilized in the annexing
municipality and the subject area, including comprehensive plans for development in
the area and plans and policies of the Metropolitan Council, and whether there are
inconsistencies between proposed development and existing land use controls and the
reasons therefore;

deleted text begin (7)deleted text end new text begin (8)new text end existing levels of governmental services being provided in the annexing
municipality and the subject area, including water and sewer service, fire rating and
protection, law enforcement, street improvements and maintenance, administrative
services, and recreational facilities and the impact of the proposed action on the delivery
of said services;

new text begin (9) the implementation of previous annexation agreements and orders;
new text end

deleted text begin (8)deleted text end new text begin (10)new text end existing or potential environmental problems and whether the proposed
action is likely to improve or resolve these problems;

deleted text begin (9)deleted text end new text begin (11)new text end plans and programs by the annexing municipality for providing needednew text begin and
enhancednew text end governmental services to the subject areanew text begin in a cost-effective and feasible manner
within a reasonable time from the date of the annexationnew text end ;

deleted text begin (10)deleted text end new text begin (12)new text end an analysis of the fiscal impact on the annexing municipality, the subject
area, and adjacent units of local government, including net tax capacity and the present
bonded indebtedness, and the local tax rates of the county, school district, and township;

deleted text begin (11)deleted text end new text begin (13)new text end relationship and effect of the proposed action on affected and adjacent
school districts and communities;

deleted text begin (12)deleted text end new text begin (14)new text end adequacy of town government to deliver services to the subject area;

deleted text begin (13)deleted text end new text begin (15)new text end analysis of whether necessary governmental services can best be provided
through the proposed action or another type of boundary adjustment; and

deleted text begin (14)deleted text end new text begin (16)new text end if only a part of a township is annexed, the ability of the remainder of the
township to continue or the feasibility of it being incorporated separately or being annexed
to another municipality.

(b) Based upon the factors, the director may order the annexation on finding:

(1) that the subject area is now, or is about to become, urban or suburban in character;

(2) that municipal government in the area proposed for annexation is required to
protect the public health, safety, and welfare; or

(3) that the annexation would be in the best interest of the subject area.

(c) If only a part of a township is to be annexed, the director shall consider whether
the remainder of the township can continue to carry on the functions of government
without undue hardship.

(d) The director shall deny the annexation on finding that the increase in revenues for
the annexing municipality bears no reasonable relation to the monetary value of benefits
conferred upon the annexed area.

(e) The director may deny the annexation on finding:

(1) that annexation of all or a part of the property to an adjacent municipality would
better serve the interests of the residents of the property; or

(2) that the remainder of the township would suffer undue hardship.

(f) The director may alter the boundaries of the area to be annexed by increasing or
decreasing the area so as to include only that property which is now or is about to become
urban or suburban in character or to add property of such character abutting the area
proposed for annexation in order to preserve or improve the symmetry of the area, or to
exclude property that may better be served by another unit of government.

(g) The director may also alter the boundaries of the proposed annexation so as to
follow visible, clearly recognizable physical features.

(h) If the director determines that part of the area would be better served by another
municipality or township, the director may initiate and approve annexation by conducting
further hearings and issuing orders pursuant to subdivisions 3 and 4.

(i) In all cases, the director shall set forth the factors which are the basis for the
decision.

Sec. 6.

Minnesota Statutes 2004, section 414.0325, subdivision 1, is amended to read:

Subdivision 1.

Initiating the proceeding.

(a) One or more townships and one or
more municipalities, by joint resolution, may designate an unincorporated area as in
need of orderly annexation.new text begin One or more municipalities, by joint resolution with the
county, may designate an unincorporated area in which there is no organized township
government as in need of orderly annexation.
new text end

(b) The joint resolution will confer jurisdiction on the director over annexations in
the designated area and over the various provisions in said agreement by submission of
said joint resolution to the director.

(d) Thereafter, an annexation of any part of the designated area may be initiated by:

(1) submitting to the director a resolution of any signatory to the joint resolution; or

(2) the director.

(e) Whenever a state agency, other than the pollution control agency, orders a
municipality to extend a municipal service to an area, the order confers jurisdiction on the
director to consider designation of the area for orderly annexation.

(f) If a joint resolution designates an area as in need of orderly annexation and states
that no alteration of its stated boundaries is appropriate, the director may review and
comment, but may not alter the boundaries.

(g) If a joint resolution designates an area as in need of orderly annexation, provides
for the conditions for its annexation, and states that no consideration by the director is
necessary, the director may review and comment, but shall, within 30 days, order the
annexation in accordance with the terms of the resolution.

Sec. 7.

Minnesota Statutes 2004, section 414.0325, is amended by adding a subdivision
to read:

new text begin Subd. 1b. new text end

new text begin Notice of intent to designate an area. new text end

new text begin At least ten days before the
municipality or township adopts an orderly annexation agreement, a notice of the intent to
include property in an orderly annexation area must be published in a newspaper of general
circulation in both the township and municipality. The notice must clearly identify the
boundaries of the area proposed to be included in the orderly annexation agreement and the
date, time, and place of the public informational meeting to be held as provided in section
414.0333. The cost of providing notice must be equally divided between the municipality
and the township, unless otherwise agreed upon by the municipality and the township.
new text end

Sec. 8.

Minnesota Statutes 2004, section 414.033, subdivision 2, is amended to read:

Subd. 2.

Conditions.

A municipal council may by ordinance declare land annexed
to the municipality and any such land is deemed to be urban or suburban in character
or about to become so if:

(1) the land is owned by the municipality;

(2) the land is completely surrounded by land within the municipal limits;

(3) the land abuts the municipality and the area to be annexed is deleted text begin 60deleted text end new text begin 120new text end acres or less,
and the area to be annexed is not presently served by public deleted text begin sewerdeleted text end new text begin wastewaternew text end facilities
or public deleted text begin sewerdeleted text end new text begin wastewaternew text end facilities are not otherwise available, and the municipality
receives a petition for annexation from all the property owners of the landnew text begin . Except as
provided for by an orderly annexation agreement, the director must not accept a petition
from a property owner for more than one annexation per year of property contiguous to
the parcel previously annexed under this clausenew text end ; or

(4) the land has been approved after August 1, 1995, by a preliminary plat or final
plat for subdivision to provide residential lots that average 21,780 square feet or less in
area and the land is located within two miles of the municipal limits.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective until July 1, 2007.
new text end

Sec. 9.

Minnesota Statutes 2004, section 414.033, subdivision 12, is amended to read:

Subd. 12.

Property taxes.

When a municipality annexes land under subdivision 2,
clause (2), (3), or (4), property taxes payable on the annexed land shall continue to be paid
to the affected town or towns for the year in which the annexation becomes effective. If
the annexation becomes effective on or before August 1 of a levy year, the municipality
may levy on the annexed area beginning with that same levy year. If the annexation
becomes effective after August 1 of a levy year, the town may continue to levy on the
annexed area for that levy year, and the municipality may not levy on the annexed area
until the following levy year. deleted text begin In the first year following the year when the municipality
could first levy on the annexed area under this subdivision, and thereafter, property taxes
on the annexed land shall be paid to the municipality. In the first year following the year
the municipality could first levy on the annexed area, the municipality shall make a cash
payment to the affected town or towns in an amount equal to 90 percent of the property
taxes distributed to the town in regard to the annexed area in the last year the property
taxes from the annexed area were payable to the town; in the second year, an amount
equal to 70 percent; in the third year, an amount equal to 50 percent; in the fourth year,
an amount equal to 30 percent; and in the fifth year, an amount equal to ten percent. The
municipality and the affected township may agree to a different payment.
deleted text end

Sec. 10.

new text begin [414.0333] JOINT INFORMATIONAL MEETING.
new text end

new text begin There must be a joint informational meeting of the municipal council of the annexing
municipality and the town board of supervisors of the township containing the land
proposed to be annexed or included in annexation proceedings under section 414.031. For
an annexation under section 414.031, the joint information meeting must be held after the
final mediation meeting or the final meeting held pursuant to section 414.01, subdivision
16, if any, and before the hearing on the matter is held. If no mediation meetings are held,
the joint informational meeting must be held after the initiating documents have been filed
and before the hearing on the matter. The time, date, and place of the public informational
meeting must be determined jointly by the chair of the town board of supervisors and the
mayor of the annexing municipality. The chair of the town board of supervisors and
the mayor must serve as the cochairs for the informational meeting. Notice of the time,
date, place, and purpose of the informational meeting must be posted by the town clerk
in the township's designated place for posting notices, and by the municipal clerk in the
municipality's designated place for posting notices. A joint notice shall be published
in a newspaper of general circulation within both the municipality and the township.
All notice required by this section must be provided at least ten days before the date
for the public informational meeting. At the public informational meeting, all persons
appearing must have an opportunity to be heard. The municipal council, the town board of
supervisors, and any resident or affected property owner may be represented by counsel
and introduce evidence including, but not limited to, expert testimony into the record of the
informational meeting. The clerk of the township must record minutes of the proceedings
of the informational meeting and the municipal clerk must make an audio recording of
the informational meeting. The township must provide the director and the municipality
with a copy of the printed minutes and the municipality must provide the director and the
township with a copy of the audio recording. The record of the informational meeting for
a proceeding under section 414.031 is admissible in any proceeding under this chapter and
shall be taken into consideration by the director or the director's designee.
new text end

Sec. 11.

Minnesota Statutes 2004, section 414.036, is amended to read:

414.036 CITY REIMBURSEMENT TO TOWN TO ANNEX TAXABLE
PROPERTY.

new text begin Unless otherwise agreed to by the annexing municipality and the affected town, new text end when
an ordernew text begin or other approvalnew text end under deleted text begin section 414.0325deleted text end new text begin this chapternew text end annexes part of a town to a
municipality, the deleted text begin orderly annexation agreement between the town and municipality maydeleted text end new text begin
order or other approval mustnew text end provide a reimbursement from the municipality to the town
for all or part of the taxable property annexed as part of the order. The reimbursement shall
be completed in substantially equal payments over not less than two nor more than deleted text begin sixdeleted text end new text begin
eightnew text end years from the time of annexation. new text begin The municipality must reimburse the township
for all special assessments assigned by the township to the annexed property, and any
portion of debt incurred by the town prior to the annexation and attributable to the property
to be annexed but for which no special assessments are outstanding, in substantially equal
payments over a period of not less than two or no more than eight years.
new text end

Sec. 12.

Minnesota Statutes 2004, section 414.061, subdivision 5, is amended to read:

Subd. 5.

Property owners may initiate.

Property owners may initiate proceedings
for the concurrent detachment of their property from one municipality and its annexation
to an adjacent municipality by a petition signed by all of them that they submit to the
director accompanied by a resolution of the city council of deleted text begin at least onedeleted text end new text begin eachnew text end of the affected
municipalities. The director shall conduct hearings and issue an order pursuant to section
414.09. In arriving at a decision, the director shall consider the factors in section 414.02,
subdivision 3. The director shall order the proposed action on finding that it will be for the
best interests of the municipalities and the property owner. In all cases, the director shall
set forth the factors which are the basis for the decision.

Sec. 13. new text begin EFFECTIVE DATE.
new text end

new text begin Section 8 is effective until July 1, 2007.
new text end

HF 3302

Bill Text Versions

Current Version - 2nd Engrossment

ARTICLE 1

MUNICIPAL AND COUNTY PLANNING AND ZONING PROVISIONS

Section 1.

Subd. 5.

Precinct boundaries; description; maps.

Sec. 2.

Subd. 7.

Specific controls; other subjects.

Sec. 3.

Subdivision 1.

Continuous or it ends.

new text begin EFFECTIVE DATE. new text end

Sec. 4.

new text begin Subd. 1b. new text end

new text begin Designated floodplains. new text end

new text begin EFFECTIVE DATE. new text end

Sec. 5.

new text begin Subd. 4. new text end

new text begin Nonconformities; certain classes of property. new text end

new text begin EFFECTIVE DATE. new text end

Sec. 6.

Subd. 3b.

Review procedures.

ARTICLE 2

MUNICIPAL BOUNDARY ADJUSTMENT

Section 1. new text begin MUNICIPAL BOUNDARY ADJUSTMENT ADVISORY TASK FORCE ESTABLISHED.new text end

new text begin Subdivision 1. new text end

new text begin Membership. new text end

new text begin Subd. 2. new text end

new text begin Report by January 2007. new text end

new text begin Subd. 3. new text end

new text begin Funds available. new text end

Sec. 2.

Subd. 1a.

Legislative findings.

Sec. 3.

new text begin Subd. 1a. new text end

new text begin Notice of intent to incorporate. new text end

Sec. 4.

new text begin Subd. 1a. new text end

new text begin Notice of intent to annex. new text end

Sec. 5.

Subd. 4.

Relevant factors, order.

Sec. 6.

Subdivision 1.

Initiating the proceeding.

Sec. 7.

new text begin Subd. 1b. new text end

new text begin Notice of intent to designate an area. new text end

Sec. 8.

Subd. 2.

Conditions.

new text begin EFFECTIVE DATE. new text end

Sec. 9.

Subd. 12.

Property taxes.

Sec. 10.

new text begin [414.0333] JOINT INFORMATIONAL MEETING. new text end

Sec. 11.

414.036 CITY REIMBURSEMENT TO TOWN TO ANNEX TAXABLE PROPERTY.

Sec. 12.

Subd. 5.

Property owners may initiate.

Sec. 13. new text begin EFFECTIVE DATE.new text end

Section 1. new text begin MUNICIPAL BOUNDARY ADJUSTMENT ADVISORY TASK
FORCE ESTABLISHED.
new text end

new text begin [414.0333] JOINT INFORMATIONAL MEETING.
new text end

414.036 CITY REIMBURSEMENT TO TOWN TO ANNEX TAXABLE
PROPERTY.

Sec. 13. new text begin EFFECTIVE DATE.
new text end