SF 847

as introduced - 80th Legislature (1997 - 1998) Posted on 12/15/2009 12:00am

  1.1                          A bill for an act
  1.2             relating to taxation; tax increment financing; 
  1.3             allowing additional districts to elect a local 
  1.4             contribution in lieu of the state aid reduction; 
  1.5             amending Minnesota Statutes 1996, section 273.1399, by 
  1.6             adding a subdivision. 
  1.7   BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.8      Section 1.  Minnesota Statutes 1996, section 273.1399, is 
  1.9   amended by adding a subdivision to read: 
  1.10     Subd. 9.  [ADDITIONAL AUTHORITY TO ELECT LOCAL CONTRIBUTION 
  1.11  OPTION.] (a) A municipality may elect to make a local 
  1.12  contribution under subdivision 6, paragraph (d), in lieu of the 
  1.13  state aid reduction for a district for which the request for 
  1.14  certification was made before June 30, 1994, if the following 
  1.15  conditions are met: 
  1.16     (1) the district is an economic development district; 
  1.17     (2) at least four calendar years of payments to the 
  1.18  municipality of local government aid or homestead and 
  1.19  agricultural aid have been reduced under the provisions of this 
  1.20  section as a result of the district; 
  1.21     (3) the aid reduction for each of the last two years 
  1.22  exceeded one percent of the municipality's net tax capacity; 
  1.23     (4) the municipality has not received reimbursement from 
  1.24  the developer, property owner, or another party intended or used 
  1.25  to offset, in whole or in part, the aid reductions; and 
  1.26     (5) the municipality makes an election as required by 
  2.1   subdivision 6, paragraph (d), and otherwise satisfies the 
  2.2   requirement of that paragraph. 
  2.3      (b) The provisions of subdivision 6 apply to a district 
  2.4   meeting the requirements of paragraph (a) beginning with aid 
  2.5   payable in the first calendar year after the election is made. 
  2.6      Sec. 2.  [EFFECTIVE DATE.] 
  2.7      Section 1 is effective the day following final enactment.