SF 2751

as introduced - 82nd Legislature (2001 - 2002) Posted on 12/15/2009 12:00am

  1.1                          A bill for an act 
  1.2             relating to taxation; increasing the local government 
  1.3             aid payable to certain cities; appropriating money; 
  1.4             amending Minnesota Statutes 2001 Supplement, sections 
  1.5             477A.011, subdivision 36; 477A.03, subdivision 2. 
  1.6   BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.7      Section 1.  Minnesota Statutes 2001 Supplement, section 
  1.8   477A.011, subdivision 36, is amended to read: 
  1.9      Subd. 36.  [CITY AID BASE.] (a) Except as provided in 
  1.10  paragraphs (b) to (o) otherwise in this subdivision, "city aid 
  1.11  base" means, for each city, the sum of the local government aid 
  1.12  and equalization aid it was originally certified to receive in 
  1.13  calendar year 1993 under Minnesota Statutes 1992, section 
  1.14  477A.013, subdivisions 3 and 5, and the amount of disparity 
  1.15  reduction aid it received in calendar year 1993 under Minnesota 
  1.16  Statutes 1992, section 273.1398, subdivision 3. 
  1.17     (b) For aids payable in 1996 and thereafter, a city that in 
  1.18  1992 or 1993 transferred an amount from governmental funds to 
  1.19  its sewer and water fund, which amount exceeded its net levy for 
  1.20  taxes payable in the year in which the transfer occurred, has a 
  1.21  "city aid base" equal to the sum of (i) its city aid base, as 
  1.22  calculated under paragraph (a), and (ii) one-half of the 
  1.23  difference between its city aid distribution under section 
  1.24  477A.013, subdivision 9, for aids payable in 1995 and its city 
  1.25  aid base for aids payable in 1995. 
  2.1      (c) The city aid base for any city with a population less 
  2.2   than 500 is increased by $40,000 for aids payable in calendar 
  2.3   year 1995 and thereafter, and the maximum amount of total aid it 
  2.4   may receive under section 477A.013, subdivision 9, paragraph 
  2.5   (c), is also increased by $40,000 for aids payable in calendar 
  2.6   year 1995 only, provided that: 
  2.7      (i) the average total tax capacity rate for taxes payable 
  2.8   in 1995 exceeds 200 percent; 
  2.9      (ii) the city portion of the tax capacity rate exceeds 100 
  2.10  percent; and 
  2.11     (iii) its city aid base is less than $60 per capita. 
  2.12     (d) The city aid base for a city is increased by $20,000 in 
  2.13  1998 and thereafter and the maximum amount of total aid it may 
  2.14  receive under section 477A.013, subdivision 9, paragraph (c), is 
  2.15  also increased by $20,000 in calendar year 1998 only, provided 
  2.16  that: 
  2.17     (i) the city has a population in 1994 of 2,500 or more; 
  2.18     (ii) the city is located in a county, outside of the 
  2.19  metropolitan area, which contains a city of the first class; 
  2.20     (iii) the city's net tax capacity used in calculating its 
  2.21  1996 aid under section 477A.013 is less than $400 per capita; 
  2.22  and 
  2.23     (iv) at least four percent of the total net tax capacity, 
  2.24  for taxes payable in 1996, of property located in the city is 
  2.25  classified as railroad property. 
  2.26     (e) The city aid base for a city is increased by $200,000 
  2.27  in 1999 and thereafter and the maximum amount of total aid it 
  2.28  may receive under section 477A.013, subdivision 9, paragraph 
  2.29  (c), is also increased by $200,000 in calendar year 1999 only, 
  2.30  provided that: 
  2.31     (i) the city was incorporated as a statutory city after 
  2.32  December 1, 1993; 
  2.33     (ii) its city aid base does not exceed $5,600; and 
  2.34     (iii) the city had a population in 1996 of 5,000 or more. 
  2.35     (f) The city aid base for a city is increased by $450,000 
  2.36  in 1999 to 2008 and the maximum amount of total aid it may 
  3.1   receive under section 477A.013, subdivision 9, paragraph (c), is 
  3.2   also increased by $450,000 in calendar year 1999 only, provided 
  3.3   that: 
  3.4      (i) the city had a population in 1996 of at least 50,000; 
  3.5      (ii) its population had increased by at least 40 percent in 
  3.6   the ten-year period ending in 1996; and 
  3.7      (iii) its city's net tax capacity for aids payable in 1998 
  3.8   is less than $700 per capita. 
  3.9      (g) Beginning in 2002, the city aid base for a city is 
  3.10  equal to the sum of its city aid base in 2001 and the amount of 
  3.11  additional aid it was certified to receive under section 477A.06 
  3.12  in 2001.  For 2002 only, the maximum amount of total aid a city 
  3.13  may receive under section 477A.013, subdivision 9, paragraph 
  3.14  (c), is also increased by the amount it was certified to receive 
  3.15  under section 477A.06 in 2001. 
  3.16     (h) The city aid base for a city is increased by $150,000 
  3.17  for aids payable in 2000 and thereafter, and the maximum amount 
  3.18  of total aid it may receive under section 477A.013, subdivision 
  3.19  9, paragraph (c), is also increased by $150,000 in calendar year 
  3.20  2000 only, provided that: 
  3.21     (1) the city has a population that is greater than 1,000 
  3.22  and less than 2,500; 
  3.23     (2) its commercial and industrial percentage for aids 
  3.24  payable in 1999 is greater than 45 percent; and 
  3.25     (3) the total market value of all commercial and industrial 
  3.26  property in the city for assessment year 1999 is at least 15 
  3.27  percent less than the total market value of all commercial and 
  3.28  industrial property in the city for assessment year 1998. 
  3.29     (i) The city aid base for a city is increased by $200,000 
  3.30  in 2000 and thereafter, and the maximum amount of total aid it 
  3.31  may receive under section 477A.013, subdivision 9, paragraph 
  3.32  (c), is also increased by $200,000 in calendar year 2000 only, 
  3.33  provided that: 
  3.34     (1) the city had a population in 1997 of 2,500 or more; 
  3.35     (2) the net tax capacity of the city used in calculating 
  3.36  its 1999 aid under section 477A.013 is less than $650 per 
  4.1   capita; 
  4.2      (3) the pre-1940 housing percentage of the city used in 
  4.3   calculating 1999 aid under section 477A.013 is greater than 12 
  4.4   percent; 
  4.5      (4) the 1999 local government aid of the city under section 
  4.6   477A.013 is less than 20 percent of the amount that the formula 
  4.7   aid of the city would have been if the need increase percentage 
  4.8   was 100 percent; and 
  4.9      (5) the city aid base of the city used in calculating aid 
  4.10  under section 477A.013 is less than $7 per capita. 
  4.11     (j) The city aid base for a city is increased by $225,000 
  4.12  in calendar years 2000 to 2002 and the maximum amount of total 
  4.13  aid it may receive under section 477A.013, subdivision 9, 
  4.14  paragraph (c), is also increased by $225,000 in calendar year 
  4.15  2000 only, provided that: 
  4.16     (1) the city had a population of at least 5,000; 
  4.17     (2) its population had increased by at least 50 percent in 
  4.18  the ten-year period ending in 1997; 
  4.19     (3) the city is located outside of the Minneapolis-St. Paul 
  4.20  metropolitan statistical area as defined by the United States 
  4.21  Bureau of the Census; and 
  4.22     (4) the city received less than $30 per capita in aid under 
  4.23  section 477A.013, subdivision 9, for aids payable in 1999. 
  4.24     (k) The city aid base for a city is increased by $102,000 
  4.25  in 2000 and thereafter, and the maximum amount of total aid it 
  4.26  may receive under section 477A.013, subdivision 9, paragraph 
  4.27  (c), is also increased by $102,000 in calendar year 2000 only, 
  4.28  provided that: 
  4.29     (1) the city has a population in 1997 of 2,000 or more; 
  4.30     (2) the net tax capacity of the city used in calculating 
  4.31  its 1999 aid under section 477A.013 is less than $455 per 
  4.32  capita; 
  4.33     (3) the net levy of the city used in calculating 1999 aid 
  4.34  under section 477A.013 is greater than $195 per capita; and 
  4.35     (4) the 1999 local government aid of the city under section 
  4.36  477A.013 is less than 38 percent of the amount that the formula 
  5.1   aid of the city would have been if the need increase percentage 
  5.2   was 100 percent. 
  5.3      (l) The city aid base for a city is increased by $32,000 in 
  5.4   2001 and thereafter, and the maximum amount of total aid it may 
  5.5   receive under section 477A.013, subdivision 9, paragraph (c), is 
  5.6   also increased by $32,000 in calendar year 2001 only, provided 
  5.7   that: 
  5.8      (1) the city has a population in 1998 that is greater than 
  5.9   200 but less than 500; 
  5.10     (2) the city's revenue need used in calculating aids 
  5.11  payable in 2000 was greater than $200 per capita; 
  5.12     (3) the city net tax capacity for the city used in 
  5.13  calculating aids available in 2000 was equal to or less than 
  5.14  $200 per capita; 
  5.15     (4) the city aid base of the city used in calculating aid 
  5.16  under section 477A.013 is less than $65 per capita; and 
  5.17     (5) the city's formula aid for aids payable in 2000 was 
  5.18  greater than zero. 
  5.19     (m) The city aid base for a city is increased by $7,200 in 
  5.20  2001 and thereafter, and the maximum amount of total aid it may 
  5.21  receive under section 477A.013, subdivision 9, paragraph (c), is 
  5.22  also increased by $7,200 in calendar year 2001 only, provided 
  5.23  that: 
  5.24     (1) the city had a population in 1998 that is greater than 
  5.25  200 but less than 500; 
  5.26     (2) the city's commercial industrial percentage used in 
  5.27  calculating aids payable in 2000 was less than ten percent; 
  5.28     (3) more than 25 percent of the city's population was 60 
  5.29  years old or older according to the 1990 census; 
  5.30     (4) the city aid base of the city used in calculating aid 
  5.31  under section 477A.013 is less than $15 per capita; and 
  5.32     (5) the city's formula aid for aids payable in 2000 was 
  5.33  greater than zero. 
  5.34     (n) The city aid base for a city is increased by $45,000 in 
  5.35  2001 and thereafter and by an additional $50,000 in calendar 
  5.36  years 2002 to 2011, and the maximum amount of total aid it may 
  6.1   receive under section 477A.013, subdivision 9, paragraph (c), is 
  6.2   also increased by $45,000 in calendar year 2001 only, and by 
  6.3   $50,000 in calendar year 2002 only, provided that: 
  6.4      (1) the net tax capacity of the city used in calculating 
  6.5   its 2000 aid under section 477A.013 is less than $810 per 
  6.6   capita; 
  6.7      (2) the population of the city declined more than two 
  6.8   percent between 1988 and 1998; 
  6.9      (3) the net levy of the city used in calculating 2000 aid 
  6.10  under section 477A.013 is greater than $240 per capita; and 
  6.11     (4) the city received less than $36 per capita in aid under 
  6.12  section 477A.013, subdivision 9, for aids payable in 2000. 
  6.13     (o) The city aid base for a city with a population of 
  6.14  10,000 or more which is located outside of the seven-county 
  6.15  metropolitan area is increased in 2002 and thereafter, and the 
  6.16  maximum amount of total aid it may receive under section 
  6.17  477A.013, subdivision 9, paragraph (b) or (c), is also increased 
  6.18  in calendar year 2002 only, by an amount equal to the lesser of: 
  6.19     (1)(i) the total population of the city, as determined by 
  6.20  the United States Bureau of the Census, in the 2000 census, (ii) 
  6.21  minus 5,000, (iii) times 60; or 
  6.22     (2) $2,500,000. 
  6.23     (p) The city aid base is increased by $50,000 in 2002 and 
  6.24  thereafter, and the maximum amount of total aid it may receive 
  6.25  under section 477A.013, subdivision 9, paragraph (c), is also 
  6.26  increased by $50,000 in calendar year 2002 only, provided that: 
  6.27     (1) the city is located in the seven-county metropolitan 
  6.28  area; 
  6.29     (2) its population in 2000 is between 10,000 and 20,000; 
  6.30  and 
  6.31     (3) its commercial industrial percentage, as calculated for 
  6.32  city aid payable in 2001, was greater than 25 percent. 
  6.33     (q) The city aid base for a city is increased by $150,000 
  6.34  in calendar years 2002 to 2011 and the maximum amount of total 
  6.35  aid it may receive under section 477A.013, subdivision 9, 
  6.36  paragraph (c), is also increased by $150,000 in calendar year 
  7.1   2002 only, provided that: 
  7.2      (1) the city had a population of at least 3,000 but no more 
  7.3   than 4,000 in 1999; 
  7.4      (2) its home county is located within the seven-county 
  7.5   metropolitan area; 
  7.6      (3) its pre-1940 housing percentage is less than 15 
  7.7   percent; and 
  7.8      (4) its city net tax capacity per capita for taxes payable 
  7.9   in 2000 is less than $900 per capita. 
  7.10     (r) The city aid base for a city is increased in calendar 
  7.11  year 2003 and thereafter, and the maximum amount of total aid it 
  7.12  may receive under section 477A.013, subdivision 9, paragraph (b) 
  7.13  or (c), is also increased, by an amount equal to the difference 
  7.14  between the sum of the aids received in calendar year 2001 by 
  7.15  the city under sections 273.1398, subdivision 2, and 477A.013, 
  7.16  subdivision 9, and the aid the city received in calendar year 
  7.17  2002 under section 477A.013, subdivision 9. 
  7.18     Sec. 2.  Minnesota Statutes 2001 Supplement, section 
  7.19  477A.03, subdivision 2, is amended to read: 
  7.20     Subd. 2.  [ANNUAL APPROPRIATION.] (a) A sum sufficient to 
  7.21  discharge the duties imposed by sections 477A.011 to 477A.014 is 
  7.22  annually appropriated from the general fund to the commissioner 
  7.23  of revenue.  
  7.24     (b) Aid payments to counties under section 477A.0121 are 
  7.25  limited to $20,265,000 in 1996.  Aid payments to counties under 
  7.26  section 477A.0121 are limited to $27,571,625 in 1997.  For aid 
  7.27  payable in 1998 and thereafter, the total aids paid under 
  7.28  section 477A.0121 are the amounts certified to be paid in the 
  7.29  previous year, adjusted for inflation as provided under 
  7.30  subdivision 3. 
  7.31     (c)(i) For aids payable in 1998 and thereafter, the total 
  7.32  aids paid to counties under section 477A.0122 are the amounts 
  7.33  certified to be paid in the previous year, adjusted for 
  7.34  inflation as provided under subdivision 3. 
  7.35     (ii) Aid payments to counties under section 477A.0122 in 
  7.36  2000 are further increased by an additional $20,000,000 in 2000. 
  8.1      (d) Aid payments to cities in 2002 under section 477A.013, 
  8.2   subdivision 9, are limited to the amounts certified to be paid 
  8.3   in the previous year, adjusted for inflation as provided in 
  8.4   subdivision 3, and increased by $140,000,000.  For aids payable 
  8.5   in 2003, the total aids paid under section 477A.013, subdivision 
  8.6   9, are the amounts certified to be paid in the previous year, 
  8.7   adjusted for inflation as provided under subdivision 3, and 
  8.8   further adjusted as provided in section 477A.011, subdivision 
  8.9   36, paragraph (r), and increased by $87,651,831.  For aids 
  8.10  payable in 2004, the total aids paid under section 477A.013, 
  8.11  subdivision 9, are the amounts certified to be paid in the 
  8.12  previous year, adjusted for inflation as provided under 
  8.13  subdivision 3, and increased by the amount certified to be paid 
  8.14  in 2003 under section 477A.06.  For aids payable in 2005 and 
  8.15  thereafter, the total aids paid under section 477A.013, 
  8.16  subdivision 9, are the amounts certified to be paid in the 
  8.17  previous year, adjusted for inflation as provided under 
  8.18  subdivision 3.  The additional amount authorized under 
  8.19  subdivision 4 is not included when calculating the appropriation 
  8.20  limits under this paragraph. 
  8.21     (e) Reimbursements made to counties under section 477A.0123 
  8.22  in calendar year 2004 and thereafter are limited to an amount 
  8.23  equal to the maximum allowed appropriation under this section in 
  8.24  the previous year, multiplied by a percent to be established by 
  8.25  law.