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HF 132

2nd Engrossment - 91st Legislature, 2020 1st Special Session (2019 - 2020) Posted on 06/19/2020 05:42pm

KEY: stricken = removed, old language.
underscored = added, new language.

Bill Text Versions

Engrossments
Introduction Posted on 06/16/2020
1st Engrossment Posted on 06/18/2020
2nd Engrossment Posted on 06/19/2020

Current Version - 2nd Engrossment

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A bill for an act
relating to state government; establishing the PROMISE Act; creating a community
repair panel to consider claims and determine awards; classifying certain data;
creating redevelopment and relief programs; establishing a Metropolitan Area
Redevelopment Corporation; imposing a sales and use tax; requiring insurance
claims assistance; regulating certain leases; authorizing limited use of eminent
domain; exempting certain items from sales and use tax; requiring property tax
abatement for certain properties; establishing the Civil Unrest Investigatory
Commission; appropriating money; amending Minnesota Statutes 2018, section
297A.71, by adding a subdivision; Minnesota Statutes 2019 Supplement, section
297A.75, subdivisions 1, as amended, 2; proposing coding for new law as
Minnesota Statutes, chapter 473K.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

ARTICLE 1

PROMISE ACT

Section 1. new text beginTITLE.
new text end

new text begin This act may be cited as the "Providing Resources, Opportunity, and Maximizing
Investments in Striving Entrepreneurs (PROMISE) Act."
new text end

ARTICLE 2

COMMUNITY REPAIR PANEL

Section 1. new text beginPURPOSE; EMERGENCY ASSISTANCE FOR DAMAGE DUE TO
CIVIL UNREST.
new text end

new text begin Subdivision 1. new text end

new text begin Legislative findings. new text end

new text begin (a) The legislature recognizes the civil unrest that
occurred in Minnesota in May and June of 2020. While the immediate cause of the unrest
was the apparent murder of George Floyd by an officer of the Minneapolis Police
Department, it was compounded by other long-standing structural systems of inequality
and racism within the city, state, and nation. The legislature finds that the resulting protests
and acts of civil disobedience were largely a peaceful exercise of first amendment rights:
a genuine expression of grief at the death of Mr. Floyd and frustration and anger at the lack
of an adequate mechanism for communities long unheard or ignored by public institutions
to have their voices heard and meaningful action be taken as a result.
new text end

new text begin (b) The legislature further recognizes that some acts of protest and civil disobedience,
occurring among a small minority of participants, led to severe destruction or damage to
small businesses and other private property in Minneapolis, St. Paul, and other areas of the
state. In many cases, the damage and destruction impacted businesses and locations owned,
managed, or frequented by those communities that the acts of protest and civil disobedience
were intended to uplift. The physical and psychological toll from this devastation is immense
and touches all Minnesotans.
new text end

new text begin Subd. 2. new text end

new text begin Intent of award process. new text end

new text begin The award process established by this act is intended
to provide a onetime disaster assistance payment so that persons economically impacted by
the civil unrest are able to cover losses that are not eligible for compensation through
insurance policies. It furthers the public interest by ensuring affected communities have
access to immediate resources that allow them to regroup and rebuild, while minimizing
the uncertainty and expense of navigating complex and protracted administrative procedures
to seek relief.
new text end

Sec. 2. new text beginDEFINITIONS.
new text end

new text begin Subdivision 1. new text end

new text begin Application. new text end

new text begin The definitions in this section apply to this act.
new text end

new text begin Subd. 2. new text end

new text begin Damage. new text end

new text begin "Damage" means the following types of damage which are reasonably
the result of the civil unrest that occurred during the period of May 25, 2020, to June 8,
2020:
new text end

new text begin (1) physical damage to structures or personal property located within an eligible zone;
and
new text end

new text begin (2) economic damage impacting an organization's or business's operations within an
eligible zone including but not limited to a lost inventory, and lost wages or benefits of
employees.
new text end

new text begin Damage does not include the loss of future expected earnings, attorney fees, or other fees
incurred by an eligible person in applying for an award under this act.
new text end

new text begin Subd. 3. new text end

new text begin Eligible person. new text end

new text begin (a) "Eligible person" means:
new text end

new text begin (1) a nonprofit organization or a for-profit business located in an eligible zone;
new text end

new text begin (2) an employee of a nonprofit organization or for-profit business whose regular work
assignment is located in an eligible zone;
new text end

new text begin (3) an individual who owns real property within an eligible zone; or
new text end

new text begin (4) an individual who resides in an eligible zone.
new text end

new text begin (b) A for-profit business is not an eligible person if it employs more than the equivalent
of 50 full-time employees. This limitation does not restrict the eligibility of individual
employees of the business to file a claim.
new text end

new text begin Subd. 4. new text end

new text begin Eligible zone. new text end

new text begin "Eligible zone" means:
new text end

new text begin (1) in Minneapolis:
new text end

new text begin (i) Lake Street between Hennepin Avenue and West River Parkway, and any area within
two city blocks of that portion of Lake Street in any direction; and
new text end

new text begin (ii) West Broadway Avenue, and any area within two city blocks of West Broadway
Avenue in any direction;
new text end

new text begin (2) in Saint Paul, University Avenue between Rice Street and Highway 280, and any
area within two city blocks of that portion of University Avenue in any direction; and
new text end

new text begin (3) any additional locations or zones designated by the governor as experiencing
significant, widespread damage or destruction of private property due to the civil unrest
described in section 1.
new text end

new text begin Subd. 5. new text end

new text begin Award. new text end

new text begin "Award" means a onetime payment of money to an eligible person in
response to a properly submitted claim for disaster assistance under this act. An award is
not a grant for purposes of Minnesota Statutes, sections 16B.97 to 16B.991, or other
applicable law or rules governing grant administration, and does not constitute a payment
from a public benefit program for purposes of any applicable federal or state law.
new text end

new text begin Subd. 6. new text end

new text begin Panel. new text end

new text begin "Panel" means the community repair panel established in this act.
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. 3. new text beginCOMMUNITY REPAIR PANEL.
new text end

new text begin Subdivision 1. new text end

new text begin Appointment. new text end

new text begin (a) The governor shall establish a community repair panel
to consider claims and determine awards for disaster assistance to eligible persons on behalf
of the state. The panel must be established by July 1, 2020. The panel must consist of at
least three and not more than nine attorneys appointed by the governor. In making
appointments, the governor must consult with members of the legislature whose districts
include an eligible zone and ensure that the appointees are knowledgeable and representative
of the impacted communities. Members of the panel must have experience in legal and
business issues involving the calculation and determination of damages in a judicial setting.
The governor shall designate one member of the panel to serve as chair.
new text end

new text begin (b) Within available appropriations, the commissioner of management and budget shall
determine the pay and expenses to be received by the panel. A member's total pay, not
including expenses, may not exceed $25,000. The chair of the panel shall forward
documentation of salaries, expenses, and administrative costs incurred to the commissioner
of management and budget for payment of those amounts.
new text end

new text begin Subd. 2. new text end

new text begin Staff; community outreach. new text end

new text begin (a) The commissioner of management and budget,
in consultation with the panel, may hire employees or retain consultants necessary to assist
the panel in performing its duties under this section. Employees are in the unclassified state
civil service. The panel may also use consultants who are under a contract with the state or
current state employees to assist the panel in processing claims under this section.
new text end

new text begin (b) The panel must engage one or more nonprofit organizations with a primary mission
to serve communities located within each eligible zone to assist the panel in publicizing the
award opportunity provided by this act, and to provide technical assistance to applicants in
submitting a claim.
new text end

new text begin Subd. 3. new text end

new text begin General duties; procedure. new text end

new text begin The panel shall consider claims for damages and
determine award amounts as authorized by this section. The panel may adopt and modify
procedures, rules, and forms for receiving and considering claims, provided that the panel
must allow each eligible person who submits a claim to appear electronically or in person
before the panel or one of its members to describe the claim and respond to questions.
Procedures and rules of the panel are not rules for purposes of Minnesota Statutes, chapter
14, and Minnesota Statutes, section 14.386 does not apply.
new text end

new text begin Subd. 4. new text end

new text begin Deadlines. new text end

new text begin To be eligible to receive an award, an eligible person must file a
claim with the panel by September 1, 2020. On a case-by-case basis, the panel may accept
claims that are received after this deadline. The panel must make an award determination
for each claim no later than March 1, 2021.
new text end

new text begin Subd. 5. new text end

new text begin Calculation of award amount. new text end

new text begin (a) The panel shall determine a base award for
each eligible person that reflects the total damages incurred as described in the claim.
Damage that qualifies for compensation through an applicable insurance policy must be
excluded from the base award. After a base award is established, the panel may provide an
equity adjustment to increase or decrease the award, based on a review of the totality of the
eligible person's circumstances. Before any claim is reviewed for an award determination,
the panel must establish a reasonable maximum award amount that applies equally to all
eligible persons.
new text end

new text begin (b) The panel may not make an award determination for any eligible person until all
claims filed prior to the deadline established in subdivision 4 have been considered. Claims
arriving after the deadline may only be considered for an award after all awards for timely
claim filings have been determined.
new text end

new text begin (c) If the total amount of awards determined for all eligible persons exceeds the available
appropriation, the panel must make awards on a pro rata basis.
new text end

new text begin (d) The panel must not consider negligence or any other theory of liability on the part
of the eligible person or any other party in making an award determination.
new text end

new text begin Subd. 6. new text end

new text begin Payment. new text end

new text begin The panel shall promptly forward to the commissioner of management
and budget documentation of each award amount determined under this section. The
commissioner of management and budget shall pay that amount to the eligible person within
30 days after receiving the documentation and in the order in which the documentation from
the panel was received.
new text end

new text begin Subd. 7. new text end

new text begin Immunity; indemnification. new text end

new text begin Members of the panel, employees, and consultants
acting under the direction of the panel are employees of the state for purposes of Minnesota
Statutes, section 3.736.
new text end

new text begin Subd. 8. new text end

new text begin Data practices; meetings. new text end

new text begin (a) Data collected, created, or maintained by the
panel related to a claim filed by an eligible person are private data on individuals, as defined
in Minnesota Statutes, section 13.02, subdivision 12, or nonpublic data, as defined in
Minnesota Statutes, section 13.02, subdivision 9, except for:
new text end

new text begin (1) the name of an eligible person to whom an award is paid; and
new text end

new text begin (2) the amount awarded to that person.
new text end

new text begin (b) Data created by a member of the panel related to the member's service as a member
of the panel are not discoverable in any civil or administrative proceeding except a record
relating to any statement or conduct that may constitute a crime.
new text end

new text begin (c) Meetings of the panel are not subject to Minnesota Statutes, chapter 13D.
new text end

new text begin Subd. 9. new text end

new text begin Effect of awards process. new text end

new text begin (a) A determination by the panel regarding an award
is final and not subject to judicial review.
new text end

new text begin (b) The amount of damages incurred by an eligible person as calculated by the panel,
or the eligible person's award determination, may not be used in a subsequent court
proceeding in evidence or otherwise to determine any rights, duties, or responsibilities of
the state, the eligible person, or any other party.
new text end

new text begin (c) A member of the panel must not testify in any civil or administrative proceeding
regarding any matter involving or arising out of the member's service as a member of the
panel, except as to a statement or conduct that may constitute a crime.
new text end

new text begin Subd. 10. new text end

new text begin Panel recommendations for future action; truth and reconciliation. new text end

new text begin (a)
Upon conclusion of its work making award determinations, the panel must convene to
consider and recommend to the governor and legislature future steps that may be taken to
provide communities impacted by racism and race-based harm an opportunity to share their
experiences in public and private institutions, and how those experiences impact the quality
of life of those communities in Minnesota. The panel's recommendations must be informed,
in part, by lessons learned from the claims submitted by eligible persons under this section,
and adhere to a goal of providing an ongoing, meaningful structure to bring public attention
to the truth of the experience of these communities. The recommendations must also suggest
a process for engaging and reconciling those experiences with an expectation that all
Minnesotans can live free of the harms caused by systemic and institutional racism in the
state.
new text end

new text begin (b) A report describing the panel's work and recommendations under this subdivision
must be submitted to the governor and to the speaker of the house, president of the senate,
and majority and minority leaders of each body's respective political caucuses no later than
May 1, 2021.
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. 4. new text beginRELATIONSHIP TO OTHER LAW.
new text end

new text begin Subdivision 1. new text end

new text begin No state liability or duty created. new text end

new text begin The establishment of the award process
in this act is not an admission of liability by the state or a municipality or their employees
and does not establish a duty of the state, a municipality, or their employees to compensate
eligible persons for damage. The creation and funding of the compensation process under
this act is not admissible in a judicial or administrative proceeding to establish liability or
a legal duty.
new text end

new text begin Subd. 2. new text end

new text begin Payments as additional compensation. new text end

new text begin Payments made under this section are
intended to supplement and be in addition to any payments required to be made by a third
party under law or contract.
new text end

new text begin Subd. 3. new text end

new text begin Payments from other sources. new text end

new text begin (a) Notwithstanding any statutory or common
law or agreement to the contrary, a person who is not a third-party tortfeasor and who is
required to make payments to an eligible person may not eliminate or reduce those payments
as a result of compensation paid under this act. The obligation of any person other than the
state to make payments to an eligible person is primary as compared to any payment made
or to be made under this act. The persons referenced in and covered by this subdivision
include, without limitation:
new text end

new text begin (1) reparation obligors, as defined in Minnesota Statutes, section 65B.43, subdivision
9
, whether they are insurers or self-insurers;
new text end

new text begin (2) health plan companies, as defined in Minnesota Statutes, section 62Q.01, subdivision
4
;
new text end

new text begin (3) insurance companies, as defined in Minnesota Statutes, section 60A.02, subdivision
4
;
new text end

new text begin (4) self-insured pools of political subdivisions organized under Minnesota Statutes,
section 471.617 or 471.981, including service cooperatives pools organized under Minnesota
Statutes, section 123A.21;
new text end

new text begin (5) risk retention groups, as defined in Minnesota Statutes, section 60E.02, subdivision
12
;
new text end

new text begin (6) joint self-insurance plans governed by Minnesota Statutes, chapter 60F;
new text end

new text begin (7) joint self-insurance plans and multiple-employer welfare arrangements, governed
by Minnesota Statutes, chapter 62H, including agricultural cooperative health plans under
Minnesota Statutes, section 62H.18;
new text end

new text begin (8) workers' compensation insurers and private self-insurers, as defined in Minnesota
Statutes, section 79.01;
new text end

new text begin (9) the Minnesota Life and Health Insurance Guaranty Association governed by
Minnesota Statutes, chapter 61B;
new text end

new text begin (10) the Minnesota Insurance Guaranty Association governed by Minnesota Statutes,
chapter 60C;
new text end

new text begin (11) the Minnesota Joint Underwriting Association governed by Minnesota Statutes,
chapter 62I;
new text end

new text begin (12) all insurers providing credit life, credit accident and health, and credit involuntary
unemployment insurance under Minnesota Statutes, chapter 62B, but also including those
coverages written in connection with real estate mortgage loans and those provided to
borrowers at no additional cost;
new text end

new text begin (13) the Minnesota unemployment insurance program provided under Minnesota Statutes,
chapter 268;
new text end

new text begin (14) coverage offered by the state under medical assistance and MinnesotaCare; and
new text end

new text begin (15) any other plan providing health, life, disability income, or long-term care coverage.
new text end

new text begin (b) A third-party tortfeasor who is required to make payments, including future payments,
to an eligible person may not eliminate or reduce those payments as a result of compensation
paid to an eligible person under this act.
new text end

new text begin Subd. 4. new text end

new text begin Qualification for public assistance programs. new text end

new text begin Payments made to eligible
persons under this act shall not be counted as income, assets, or resources for purposes of
determining eligibility for health care, income maintenance, and assistance programs under
Minnesota Statutes, chapters 119B, 256B, 256D, 256I, 256J, 256L, and 256S, for eligible
persons and their households. The commissioner of human services shall seek any federal
approvals necessary to exclude payments made to eligible persons when determining
eligibility for a program that receives federal funding or a federal match, in order to continue
to receive that federal funding or federal match for services provided to eligible persons
and their households. Until and unless federal approval to exclude payments to eligible
persons when determining eligibility for a specific federal program is obtained, the
commissioner shall provide health coverage or income or other assistance under that program
using state-only dollars, to eligible persons and their households who otherwise meet program
eligibility requirements.
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. 5. new text beginAPPROPRIATIONS.
new text end

new text begin Subdivision 1. new text end

new text begin Compensation to eligible persons. new text end

new text begin $125,000,000 in fiscal year 2021 is
appropriated from the general fund to the commissioner of management and budget for the
purpose of making awards to eligible persons as authorized by this act. This is a onetime
appropriation.
new text end

new text begin Subd. 2. new text end

new text begin Administrative expenses. new text end

new text begin $5,000,000 in fiscal year 2021 is appropriated from
the general fund to the commissioner of management and budget to pay salaries, expenses,
and administrative costs of the community repair panel, including any costs associated with
consultants or other staff, necessary to make award determinations under this act. This is a
onetime appropriation.
new text end

new text begin Subd. 3. new text end

new text begin Report. new text end

new text begin No later than April 15, 2021, the commissioner of management and
budget must submit a report to the chairs and ranking minority members of the legislative
committees with jurisdiction over finance and ways and means on the expenditure of funds
appropriated under this section. The report must list the amount of compensation paid to
each eligible person and must detail any administrative expenses incurred by the special
master in conducting its work.
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 3

REBUILDING GENERAL DEVELOPMENT PROGRAMS

Section 1. new text beginCIVIL UNREST IMMEDIATE RELIEF PROGRAM.
new text end

new text begin Subdivision 1. new text end

new text begin Definitions. new text end

new text begin (a) For the purposes of this section, the following terms have
the meanings given.
new text end

new text begin (b) "Commissioner" means the commissioner of employment and economic development.
new text end

new text begin (c) "Community organization" means an organization that has the experience and capacity
to make grants and loans to entities under this section, including providing outreach to
affected populations and technical assistance to applicants. The cities of Minneapolis and
Saint Paul qualify as community organizations under this section.
new text end

new text begin (d) "Entity" includes any business or nonprofit organization. This includes businesses,
cooperatives, utilities, industrial, commercial, retail, and nonprofit organizations.
new text end

new text begin Subd. 2. new text end

new text begin Establishment. new text end

new text begin The commissioner shall establish a program to make grants to
community organizations to develop and implement local economic relief programs designed
with the primary goal of assisting areas adversely affected by civil unrest during the
peacetime emergency declared in governor's Executive Order No. 20-64 by preserving
incumbent entities and encouraging new entities to locate in those areas. To this end, local
programs should include outreach to cultural communities, support for microenterprises,
and preferences for entities that were already under stress from the COVID-19 peacetime
emergency.
new text end

new text begin Subd. 3. new text end

new text begin Available relief. new text end

new text begin (a) The local programs established by community organizations
under this section may include grants or loans as provided in this section. Prior to awarding
a grant to a community organization for a local program under this section:
new text end

new text begin (1) the community organization must develop criteria, procedures, and requirements
for:
new text end

new text begin (i) determining eligibility for assistance;
new text end

new text begin (ii) the duration, terms, underwriting and security requirements, and repayment
requirements for loans;
new text end

new text begin (iii) evaluating applications for assistance;
new text end

new text begin (iv) awarding assistance; and
new text end

new text begin (v) administering the grant and loan programs authorized under this section;
new text end

new text begin (2) the community organization must submit its criteria, procedures, and requirements
developed pursuant to clause (1) to the commissioner of employment and economic
development for review; and
new text end

new text begin (3) the commissioner must approve the criteria, procedures, and requirements as
developed pursuant to clause (1) to be used by a community organization in determining
eligibility for assistance, evaluating, awarding, and administering a grant and loan program.
new text end

new text begin (b) The relief authorized under this section includes:
new text end

new text begin (1) grants to entities. These grants are not to exceed $250,000 per entity. Grants may be
awarded to applicants only when a community organization determines that a loan is not
appropriate to address the needs of the applicant; and
new text end

new text begin (2) loans to entities, with or without interest, and deferred or forgivable loans. The
maximum loan amount under this subdivision is $500,000 per entity. The lending criteria
adopted by a community organization for loans under this subdivision must:
new text end

new text begin (i) specify that an entity receiving a deferred or forgivable loan must remain in the local
community a minimum of three years after the date of the loan. The maximum loan deferral
period must not exceed three years from the date the loan is approved; and
new text end

new text begin (ii) require submission of a plan for continued operation. The plan must document the
probable success of the applicant's plan and probable success in repaying the loan according
to the terms established for the loan program.
new text end

new text begin (c) All loan repayment funds under this subdivision must be paid to the commissioner
of employment and economic development for deposit in the general fund.
new text end

new text begin Subd. 4. new text end

new text begin Monitoring and reporting. new text end

new text begin (a) Participating community organizations must
establish performance measures that include but are not limited to the following components:
new text end

new text begin (1) the number of loans approved and the amounts and terms of the loans;
new text end

new text begin (2) the number of grants awarded, award amounts, and the reason that a grant award
was made in lieu of a loan;
new text end

new text begin (3) the loan default rate;
new text end

new text begin (4) the number of jobs created or retained as a result of the assistance, including
information on the wages and benefit levels, the status of the jobs as full-time or part-time,
and the status of the jobs as temporary or permanent;
new text end

new text begin (5) the amount of business activity and changes in gross revenues of the grant or loan
recipient as a result of the assistance; and
new text end

new text begin (6) the new tax revenue generated as a result of the assistance.
new text end

new text begin (b) The commissioner of employment and economic development must monitor the
participating community organizations' compliance with this section and the performance
measures developed under paragraph (a).
new text end

new text begin (c) Participating community organizations must comply with all requests made by the
commissioner under this section.
new text end

new text begin (d) By December 15 of each year the program is in existence, participating community
organizations must report their performance measures to the commissioner. By January 15
of each year the program is in existence, after the first, the commissioner must submit a
report of these performance measures to the chairs and ranking minority members of the
committees of the house of representatives and the senate having jurisdiction over economic
development that details the use of funds under this section.
new text end

new text begin Subd. 5. new text end

new text begin Business subsidy requirements. new text end

new text begin Minnesota Statutes, sections 116J.993 to
116J.995, do not apply to assistance under this section. Entities in receipt of assistance under
this section must provide for job creation and retention goals and wage and benefit goals.
new text end

new text begin Subd. 6. new text end

new text begin Administrative costs. new text end

new text begin The commissioner of employment and economic
development may use up to four percent of the appropriation made for this section for
administrative expenses of the department or for assisting participating community
organizations with their administrative expenses.
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 the day after the last loan is repaid or forgiven as provided under this section.
new text end

Sec. 2. new text beginCIVIL UNREST IMMEDIATE RELIEF PROGRAM.
new text end

new text begin $167,570,000 in fiscal year 2020 is appropriated from the general fund to the
commissioner of employment and economic development for the civil unrest immediate
relief program. Of this amount, $17,500,000 is for a grant to the city of Minneapolis and
$17,500,000 is for a grant to the city of Saint Paul. Of the amount granted to the city of
Minneapolis, $5,000,000 is for the city to acquire and hold property, either directly or
through an appropriate entity, in the area of the Lake Street business corridor to prevent
displacement, retain existing businesses, and maintain the character of the community. Of
the amount granted to the city of Saint Paul, $5,000,000 is for the city to acquire and hold
property, either directly or through an appropriate entity, in affected areas to prevent
displacement, retain existing businesses, and maintain the character of the community. Of
this appropriation, the commissioner of management and budget must transfer $750,000 to
the Office of the Legislative Auditor for fiscal agent responsibilities to the Civil Unrest
Investigatory Commission in article 9. This is a onetime appropriation and is available until
June 30, 2021.
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 4

METROPOLITAN AREA REDEVELOPMENT CORPORATION

Section 1.

new text begin [473K.01] DEFINITIONS.
new text end

new text begin Subdivision 1. new text end

new text begin Application. new text end

new text begin For the purposes of this chapter, the terms defined in this
section have the meanings given them.
new text end

new text begin Subd. 2. new text end

new text begin Board. new text end

new text begin "Board" means the governing body of the corporation or Metropolitan
Area Redevelopment Corporation established in section 473K.03.
new text end

new text begin Subd. 3. new text end

new text begin Bonds. new text end

new text begin "Bonds" means obligations as defined in section 475.51, subdivision
3.
new text end

new text begin Subd. 4. new text end

new text begin City. new text end

new text begin "City" means a statutory or home rule charter city in the metropolitan
area. Until December 31, 2025, "city" means only the cities included in Executive Order
No. 20-64. Thereafter, "city" includes any city in the metropolitan area.
new text end

new text begin Subd. 5. new text end

new text begin Metropolitan area. new text end

new text begin "Metropolitan area" 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 the day following final enactment.
new text end

Sec. 2.

new text begin [473K.03] METROPOLITAN AREA REDEVELOPMENT CORPORATION.
new text end

new text begin Subdivision 1. new text end

new text begin Findings; creation; purpose. new text end

new text begin The legislature finds that the adverse
impacts of past and ongoing racial discrimination in the metropolitan area in all areas of
life, including economic and small business development, health, education, and housing,
requires creation of a public entity that is led by people of color and indigenous people to
bring specific, personal knowledge and experience to the work of addressing the adverse
impacts. The Metropolitan Area Redevelopment Corporation is established as a public
corporation and political subdivision of the state with jurisdiction in the metropolitan area.
The corporation shall identify and address the adverse impacts of racial discrimination in
the metropolitan area by facilitating access by people of color and indigenous people to
resources for development, improvement, and expansion of health care facilities and services,
small businesses, safe and affordable housing, and other benefits of society that have
historically been unavailable to them due to systemic barriers. The corporation shall foster
equitable economic development to prevent gentrification and displacement of low-income
residents, homes, and small businesses owned by people of color and indigenous people.
The corporation shall foster enterprise development and wealth creation in communities
adversely affected by racial discrimination and poverty.
new text end

new text begin Subd. 2. new text end

new text begin Membership; qualifications; appointment. new text end

new text begin (a) The board of the corporation
consists of nine members appointed by the Executive Council. Until appointments made
after December 31, 2025, each member appointed must live in an area of a city that was
affected by the civil unrest between May 26, 2020, and June 10, 2020. For appointments
made after December 31, 2025, a member may be from any part of the metropolitan area.
new text end

new text begin (b) Each appointee must be a person of color or an indigenous person. At least five
members must have an interest in and knowledge of the needs of the areas affected by the
civil unrest. At least four members must have experience with or knowledge of public health,
economic development, urban redevelopment, nonprofit finance, or community
empowerment. The appointing authority is encouraged to also consider a candidate's
experience as a leader in community-based organizations working on economic development.
new text end

new text begin Subd. 3. new text end

new text begin Chair; other officers. new text end

new text begin The chair of the corporation shall be selected by and
from among members of the corporation to serve a one-year term. The chair may be
reappointed by the members.
new text end

new text begin Subd. 4. new text end

new text begin Terms. new text end

new text begin The initial terms of five members, determined by lot, shall end the first
Monday in January 2024. The initial terms of four members, determined by lot, shall end
the first Monday in January 2022. Thereafter, each member shall serve a four-year term
and until the member's successor is appointed. A member may be reappointed.
new text end

new text begin Subd. 5. new text end

new text begin Vacancies. new text end

new text begin A vacancy occurs as provided in section 351.02 or upon a member's
removal under subdivision 6. A vacancy must be filled by the appointing authority in
subdivision 2 for the balance of the term in the same manner as a regular appointment.
new text end

new text begin Subd. 6. new text end

new text begin Removal. new text end

new text begin A member may be removed by the board for inefficiency, neglect
of duty, or misconduct in office. A member may be removed only after a hearing of the
board. A written copy of the charges must be given to the board member subject to the
allegations in the charges at least ten days before the hearing. The board member must be
given an opportunity to be heard in person or by counsel at the hearing. The board may
temporarily suspend a board member if written charges are submitted against the member.
The board must immediately reinstate the suspended board member if the board finds that
the charges against the member are not substantiated. If a board member is removed, a
record of the proceedings, together with the charges and findings, must be filed with the
appointing authority in subdivision 2.
new text end

new text begin Subd. 7. new text end

new text begin Compensation. new text end

new text begin Members of the corporation shall be paid $10,000 per year, at
times and in the amounts provided in the bylaws. Members may also be reimbursed for
reasonable expenses as provided in section 15.059, subdivision 3.
new text end

new text begin Subd. 8. new text end

new text begin Audits. new text end

new text begin The state auditor shall audit the finances of the corporation.
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. 3.

new text begin [473K.05] POWERS; DUTIES.
new text end

new text begin Subdivision 1. new text end

new text begin General authority. new text end

new text begin The Metropolitan Area Redevelopment Corporation
has all powers necessary or convenient to accomplish the purposes for which it is created
and the duties assigned to it in law.
new text end

new text begin Subd. 2. new text end

new text begin Bylaws. new text end

new text begin The corporation shall adopt bylaws for the regulation of its affairs and
rules of procedure for governing its actions, not inconsistent with law.
new text end

new text begin Subd. 3. new text end

new text begin Meetings; data practices; records. new text end

new text begin The board must meet regularly at least
once a month. Meetings are subject to chapter 13D, the Minnesota Open Meeting Law. The
corporation is subject to chapter 13, the Minnesota Government Data Practices Act, and the
records retention law in section 15.17.
new text end

new text begin Subd. 4. new text end

new text begin Executive director; staff; facilities. new text end

new text begin (a) The corporation may hire an executive
director. Compensation shall be determined by the board. Until the corporation has hired
an executive director, the commissioner of employment and economic development, or the
commissioner's designee, shall serve as executive director and facilitate hiring an executive
director.
new text end

new text begin (b) The mayor of each city shall appoint a member of the city council or a department
head to serve as liaison to the corporation. The liaison shall attend all meetings to the extent
practicable, assist the board with assessing proposals, and help facilitate projects funded by
the board.
new text end

new text begin (c) The Metropolitan Council and any state agency, upon request by the executive
director, shall provide staff, technical and administrative assistance, and the use of facilities
for meetings. The council and state agencies must provide the assistance within existing
resources available to the council or state agency.
new text end

new text begin Subd. 5. new text end

new text begin Redevelopment plans. new text end

new text begin (a) The board shall develop both short-term and
long-term plans for the redevelopment of the cities. The board must consult with the mayors
and city councils, and all interested and affected parties, in the development of the plans.
The plans must provide for maximum grant amounts, the purposes for which grants may
be used, how grantees must account for use of grant funds, how results will be determined,
and what reports must be submitted to the corporation and the cities in which grant funds
are spent.
new text end

new text begin (b) The redevelopment plans must:
new text end

new text begin (1) be developed by the communities using a design process that includes using art and
culture to support and define the community;
new text end

new text begin (2) identify the expertise needed to implement long-term community redevelopment
plans;
new text end

new text begin (3) maximize resources from multiple sources and sectors;
new text end

new text begin (4) support projects that will act as incubators for small business ownership, including
ownership of the land and buildings in which the businesses and institutions grow; and
new text end

new text begin (5) use public investment as seed money to encourage public-private partnerships.
new text end

new text begin Subd. 6. new text end

new text begin Grants. new text end

new text begin (a) In addition to any other requirements in this chapter, the board shall
develop criteria for awarding grants and provide for the equitable distribution of grant funds.
All grants must be approved by the board before distribution.
new text end

new text begin (b) A grantee must be a nonprofit organization, organized under Internal Revenue Code,
section 501(c)(3). The organization must be one that is led by a person of color or an
indigenous person, or has a staff and board of which at least 51 percent are people of color
or indigenous people.
new text end

new text begin (c) At least 15 percent of the funds available each year must be used for grants to
organizations with annual operating budgets of less than $500,000.
new text end

new text begin (d) A grantee must substantially complete the project funded within two years of entering
into the grant agreement unless another time frame is specified in the grant agreement.
new text end

new text begin (e) Projects that may be funded include but are not limited to projects that:
new text end

new text begin (1) conduct community engagement processes to determine community priorities and
develop strategies to accomplish those priorities;
new text end

new text begin (2) plan and implement commercial and economic development projects;
new text end

new text begin (3) acquire property in order to obtain site control and ensure the property is maintained
and secured against further deterioration or incompatible development;
new text end

new text begin (4) serve as incubators for small business ownership, ownership of the land and buildings
in which the businesses and institutions grow;
new text end

new text begin (5) develop and improve a grantee's organizational infrastructure, including developing
database management systems, financial systems, and other administrative functions that
increase the organization's ability to access new funding sources;
new text end

new text begin (6) improve a grantee's organization with training and skills development, planning, and
other methods of increasing staff capacity and cultural competency; and
new text end

new text begin (7) increase the capacity of the grantee to improve other services in the community, such
as health care and education.
new text end

new text begin (f) A grantee may partner with other existing organizations, public or private, that have
useful specialized expertise or capacity, including but not limited to faith-based groups,
schools, health care clinics, government agencies, or for-profit entities.
new text end

new text begin Subd. 7. new text end

new text begin Report. new text end

new text begin By March 1 each year, the board must submit an annual report to the
chairs and ranking minority members of the legislative committees with jurisdiction over
government operations, jobs and economic development, and taxes. The report must include
aggregate and detailed information on the grants awarded, including the locations, amounts,
uses, and any other information that the board determines would be of interest or use to the
legislature.
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. 4.

new text begin [473K.07] FINANCING; BONDING.
new text end

new text begin Subdivision 1. new text end

new text begin Account. new text end

new text begin (a) A metropolitan area redevelopment account is established
in the special revenue fund. Money in the account, including interest, is appropriated to the
commissioner of management and budget to make payments to the Metropolitan Area
Redevelopment Corporation at least quarterly each year.
new text end

new text begin (b) The Metropolitan Area Redevelopment Corporation must use the funds for the
purposes of this chapter, including to make grants, pay debt service on any bonds issued
under this section, and to pay the compensation and reasonable expenses of board members.
new text end

new text begin Subd. 2. new text end

new text begin Bonds. new text end

new text begin The corporation may request a city, a county in the metropolitan area,
or the Metropolitan Council to issue bonds, the proceeds of which may be used to make
grants under this chapter. Notwithstanding any limit on debt in a home rule charter, ordinance,
or law, a city, county, or the Metropolitan Council may issue bonds under chapter 475
without an election in order to provide money for grants approved by the corporation. The
bonds may be issued as general obligation sales tax revenue bonds or any other debt
obligation form available to the city, and the issuing entity and the corporation may pledge
the sales tax revenues to the repayment of the bonds.
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. 5. new text beginMETROPOLITAN COUNTY SALES AND USE TAX.
new text end

new text begin Subdivision 1. new text end

new text begin Tax imposed; rates. new text end

new text begin Notwithstanding Minnesota Statutes, section
297A.99, subdivisions 1, 2, 3, 5, 12, and 13, or any other law, a metropolitan county as
defined in Minnesota Statutes, section 473.121, subdivision 4, beginning January 1, 2021,
shall impose a sales and use tax at a rate of 0.125 percent on retail sales and uses taxable
under Minnesota Statutes, chapter 297A, that are made within the imposing county's
boundaries or delivered to a destination within the imposing county's boundaries.
new text end

new text begin Subd. 2. new text end

new text begin Reverse referendum. new text end

new text begin If by August 1, 2020, a petition signed by voters equal
in number to 20 percent of the voters who voted in the county at the last state general election,
requesting a vote on the tax imposed by this section is filed with the county auditor, a tax
must not be imposed under this section until it has been submitted to the voters at the general
election held on November 3, 2020, and a majority of votes cast on the question of approving
the imposition of a tax under this section are in the affirmative. The petition submitted to
the county auditor must meet the standards adopted by rule of the secretary of state for the
format and content of petitions.
new text end

new text begin Subd. 3. new text end

new text begin Administration, collection, and enforcement. new text end

new text begin The administration, collection,
and enforcement provisions in Minnesota Statutes, section 297A.99, subdivisions 4 and 6
to 12, apply to all taxes imposed under this section.
new text end

new text begin Subd. 4. new text end

new text begin Allocation; account. new text end

new text begin The commissioner of revenue must retain and deposit to
the account created by Minnesota Statutes, section 473K.07, the proceeds from a tax imposed
under this section to be used for purposes specified in Minnesota Statutes, chapter 473K.
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 5

REBUILDING INSURANCE PROVISIONS

Section 1. new text beginINSURANCE CLAIMS.
new text end

new text begin Subdivision 1. new text end

new text begin Commissioner; responsibilities. new text end

new text begin The commissioner of commerce must
provide assistance to the public in order to ensure the timely resolution of property, casualty,
and liability claims for businesses affected by civil unrest during the peacetime emergency
declared by Executive Order 20-64. The commissioner must provide assistance via telephone
and publicly release information regarding the claims submission process. The commissioner
must accept, review, and work to resolve complaints regarding the handling of claims related
to businesses affected by civil unrest during the peacetime emergency declared by Executive
Order 20-64. The commissioner must review the information submitted under subdivision
2 for compliance with relevant statutes and regulations.
new text end

new text begin Subd. 2. new text end

new text begin Insurers; responsibilities. new text end

new text begin (a) An insurer that writes property, casualty, or
liability insurance in Minnesota must submit the following information to the commissioner
of commerce:
new text end

new text begin (1) the number of claims related to businesses affected by riot or civil commotion during
the peacetime emergency declared by Executive Order 20-64 that it has rejected or has not
fulfilled;
new text end

new text begin (2) the number of policies that were not renewed for businesses:
new text end

new text begin (i) affected by riot or civil commotion during the peacetime emergency declared by
Executive Order 20-64; or
new text end

new text begin (ii) unaffected but located in the geographic area where the riot or civil commotion
occurred;
new text end

new text begin (3) any increase in rates for businesses:
new text end

new text begin (i) affected by riot or civil commotion during the peacetime emergency declared by
Executive Order 20-64; or
new text end

new text begin (ii) unaffected but located in the geographic area where the riot or civil commotion
occurred; and
new text end

new text begin (4) any other information requested by the commissioner which is relevant to the
evaluation of an insurer's compliance with relevant statutes and regulations.
new text end

new text begin (b) The information required to be submitted under this subdivision must be:
new text end

new text begin (1) in form and substance acceptable to the commissioner;
new text end

new text begin (2) provided upon request of the commissioner; and
new text end

new text begin (3) provided to the commissioner by January 1, 2021, and June 1, 2021.
new text end

new text begin (c) Only insurers who have received claims, not renewed policies, or increased rates, as
described in paragraph (a), must submit information to the commissioner.
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

REBUILDING LEASE PROVISIONS

Section 1. new text beginCOMMERCIAL AND RESIDENTIAL LEASE ASSISTANCE;
PEACETIME EMERGENCY.
new text end

new text begin (a) A renewed or new commercial or residential lease must not require a rental amount
that is more than the amount of rent charged for the residential or commercial property on
or immediately before March 1, 2020, for entities that receive or are eligible to receive state
funding related to the civil unrest, including incumbent entities that are recipients of entity
grants or loans through the civil unrest immediate relief program or a person eligible for an
award determined by the emergency assistance community repair panel in areas affected
by civil unrest during the peacetime emergency declared in Executive Order 20-64. To
calculate the amount of rent charged prior to March 1, 2020, the landlord may use either an
average of monthly rent charged for January, February, and March 2020, or, if rent was
charged on an annual basis, the last annual rent paid by the residential or commercial tenant
prior to March 1, 2020. A lessor of a commercial or residential property affected by this
section may increase rent on April 1 of each year in an amount equal to the percentage
provided by the commissioner of the Housing Finance Agency consistent with paragraph
(b).
new text end

new text begin (b) By February 1 of each year, the commissioner of the Housing Finance Agency must
determine the percentage change in the Consumer Price Index for all urban consumers
(CPI-U) during the 12-month period ending in November of the previous year and publish
that percentage on the Housing Finance Agency website and make that information available
upon request.
new text end

new text begin (c) A residential tenant may file an action against a landlord under Minnesota Statutes,
section 504B.381, and if the court finds a violation of this section has occurred, the court
must order equitable and monetary damages, if any, to the tenant. A residential tenant has
an affirmative defense to an action brought under Minnesota Statutes, section 504B.285 or
504B.291, if the landlord for the residential property has violated this section. In a tenant
action to enforce this section under Minnesota Statutes, section 504B.381, or in an action
brought by a commercial lessee to enforce this section, the court shall award a prevailing
commercial or residential tenant reasonable attorney fees and costs.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2020, and applies to leases signed
or renewed on or after that date, and expires April 1, 2024.
new text end

ARTICLE 7

REDEVELOPMENT TOOLS

Section 1. new text beginLIMITED USE OF EMINENT DOMAIN.
new text end

new text begin Subdivision 1. new text end

new text begin Definitions. new text end

new text begin (a) For the purposes of this section, the following terms have
the meanings given them.
new text end

new text begin (b) "City" means the cities included in Executive Order 20-64.
new text end

new text begin (c) "Events" mean the civil unrest that resulted in damaged property in the cities between
May 26, 2020, and June 10, 2020, that are the subject of Executive Order 20-64.
new text end

new text begin (d) "Eligible zone" means:
new text end

new text begin (1) in Minneapolis:
new text end

new text begin (i) Lake Street between Hennepin Avenue and West River Parkway, and any area within
two city blocks of that portion of Lake Street in any direction; and
new text end

new text begin (ii) West Broadway Avenue, and any area within two city blocks of West Broadway
Avenue in any direction;
new text end

new text begin (2) in Saint Paul, University Avenue between Rice Street and Highway 280, and any
area within two city blocks of that portion of University Avenue in any direction; and
new text end

new text begin (3) any additional locations or zones designated by the governor as experiencing
significant, widespread damage or destruction of private property due to the civil unrest
described in Executive Order 20-64.
new text end

new text begin (e) "Property owner" includes all persons with any interest in the property subject to a
taking, whether as proprietors, tenants, life estate holders, encumbrancers, beneficial interest
holders, or otherwise.
new text end

new text begin Subd. 2. new text end

new text begin Authority. new text end

new text begin Notwithstanding any home rule charter provision, city ordinance,
or Minnesota Statutes, section 117.025, subdivision 11, paragraph (b), a city may use eminent
domain to acquire real property or interests in real property for the purposes of this section.
new text end

new text begin Subd. 3. new text end

new text begin Public purpose. new text end

new text begin It is a public purpose for a city to use the power of eminent
domain to acquire real property or an interest in real property in an eligible zone, and then
resell the property subject to redevelopment agreements in order to support the ability of
the businesses and uses directly and adversely affected by the events to be reestablished
consistent with the needs of the neighborhoods and property owners.
new text end

new text begin Subd. 4. new text end

new text begin Debt financing. new text end

new text begin For the purposes of this section, the city may issue obligations
under Minnesota Statutes, chapter 475, without an election, and not subject to debt limitations
in the home rule charter or in statute.
new text end

new text begin Subd. 5. new text end

new text begin Resale of property acquired by eminent domain. new text end

new text begin Any property acquired by
the city by eminent domain under this section may be sold to private parties, subject to the
redevelopment agreement. The redevelopment agreement must include reasonable limitations
on the use of the property and must be approved by a redevelopment oversight committee
established by the city.
new text end

new text begin Subd. 6. new text end

new text begin Effective date; expiration. new text end

new text begin This section is effective the day following final
enactment and expires December 31, 2022.
new text end

ARTICLE 8

TAX PROVISIONS FOR AFFECTED PROPERTIES

Section 1.

Minnesota Statutes 2018, section 297A.71, is amended by adding a subdivision
to read:


new text begin Subd. 53. new text end

new text begin Properties destroyed or damaged during protests and unrest in May and
June of 2020.
new text end

new text begin (a) The sale and purchase of the following items are exempt if the items are
used to repair, replace, clean, or otherwise recover from real and personal property damage
and destruction after May 24, 2020, and before June 16, 2020, resulting from protests and
unrest in the cities included in the peacetime emergency declared in the governor's Executive
Order No. 20-64:
new text end

new text begin (1) building materials and supplies used or consumed in, and equipment incorporated
into, the construction, replacement, or repair of real property;
new text end

new text begin (2) capital equipment, including retail fixtures, office equipment, and restaurant
equipment, with a cost of $5,000 or more and a useful life of more than one year; and
new text end

new text begin (3) building cleaning and disinfecting services related to mitigating smoke damage and
graffiti on and in impacted buildings.
new text end

new text begin (b) The exemption in this subdivision only applies to materials, supplies, and services
purchased to repair, replace, or clean buildings owned by a government entity or by a private
owner provided the building housed one or more of the following entities at the time of the
damage or destruction:
new text end

new text begin (1) a commercial establishment with annual gross income of $30,000,000 or less in
calendar year 2019;
new text end

new text begin (2) a nonprofit organization; or
new text end

new text begin (3) a low-income housing development that meets the certification requirements under
section 273.128, whether or not the development was occupied at the time of its damage or
destruction.
new text end

new text begin (c) 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. The
exemption under paragraph (a) applies to sales and purchases made after May 25, 2020,
and before December 1, 2022.
new text end

new text begin (d) Both the owner and occupants of the real property at the time of the damage or
destruction may apply for a refund under this subdivision but may only request a refund for
the goods and services they paid for, or were contracted and paid for on their behalf. The
exemption does not apply to purchases of an owner if the owner did not own the real property
at the time of the damage or destruction.
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 to sales and purchases made after May 25, 2020.
new text end

Sec. 2.

Minnesota Statutes 2019 Supplement, section 297A.75, subdivision 1, as amended
by Laws 2020, chapter 83, article 1, section 74, is amended to read:


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) building materials for an agricultural processing facility exempt under section
297A.71, subdivision 13;

(2) building materials for mineral production facilities exempt under section 297A.71,
subdivision 14
;

(3) building materials for correctional facilities under section 297A.71, subdivision 3;

(4) building materials used in a residence for veterans with a disability exempt under
section 297A.71, subdivision 11;

(5) elevators and building materials exempt under section 297A.71, subdivision 12;

(6) materials and supplies for qualified low-income housing under section 297A.71,
subdivision 23
;

(7) materials, supplies, and equipment for municipal electric utility facilities under
section 297A.71, subdivision 35;

(8) 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;

(9) commuter rail vehicle and repair parts under section 297A.70, subdivision 3, paragraph
(a), clause (10);

(10) materials, supplies, and equipment for construction or improvement of projects and
facilities under section 297A.71, subdivision 40;

(11) materials, supplies, and equipment for construction, improvement, or expansion of

a biopharmaceutical manufacturing facility exempt under section 297A.71, subdivision
45
;

(12) enterprise information technology equipment and computer software for use in a
qualified data center exempt under section 297A.68, subdivision 42;

(13) materials, supplies, and equipment for qualifying capital projects under section
297A.71, subdivision 44, paragraph (a), clause (1), and paragraph (b);

(14) items purchased for use in providing critical access dental services exempt under
section 297A.70, subdivision 7, paragraph (c);

(15) items and services purchased under a business subsidy agreement for use or
consumption primarily in greater Minnesota exempt under section 297A.68, subdivision
44
;

(16) building materials, equipment, and supplies for constructing or replacing real
property exempt under section 297A.71, subdivisions 49; 50, paragraph (b); and 51; deleted text beginand
deleted text end

(17) building materials, equipment, and supplies for qualifying capital projects under
section 297A.71, subdivision 52deleted text begin.deleted text endnew text begin; and
new text end

new text begin (18) building materials, equipment, supplies, and capital equipment for constructing or
replacing real property, and cleaning and disinfecting services for impacted property exempt
under section 297A.71, subdivision 53.
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. 3.

Minnesota Statutes 2019 Supplement, section 297A.75, subdivision 2, is amended
to read:


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), (2), and (14), the applicant must be the purchaser;

(2) for subdivision 1, clause (3), the applicant must be the governmental subdivision;

(3) for subdivision 1, clause (4), the applicant must be the recipient of the benefits
provided in United States Code, title 38, chapter 21;

(4) for subdivision 1, clause (5), the applicant must be the owner of the homestead
property;

(5) for subdivision 1, clause (6), the owner of the qualified low-income housing project;

(6) for subdivision 1, clause (7), the applicant must be a municipal electric utility or a
joint venture of municipal electric utilities;

(7) for subdivision 1, clauses (8), (11), (12), and (15), the owner of the qualifying
business;

(8) for subdivision 1, clauses (9), (10), (13), and (17), the applicant must be the
governmental entity that owns or contracts for the project or facility; deleted text beginand
deleted text end

(9) for subdivision 1, clause (16), the applicant must be the owner or developer of the
building or projectdeleted text begin.deleted text endnew text begin; and
new text end

new text begin (10) for subdivision 1, clause (18), the applicant must be an owner or occupant of the
real property at the time of its damage or destruction.
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. 4. new text beginPROPERTY TAX RELIEF FOR PROPERTIES DAMAGED BY FIRE OR
VANDALISM.
new text end

new text begin Subdivision 1. new text end

new text begin Definitions. new text end

new text begin (a) For the purposes of this section, the following terms have
the meanings given.
new text end

new text begin (b) "Damage amount" means the difference between (1) a property's estimated market
value as determined on January 2, 2020, and (2) the property's estimated market value as
determined under subdivision 4.
new text end

new text begin (c) "Qualifying property" means a property that:
new text end

new text begin (1) is located in the area included in the peacetime emergency declared in the governor's
Executive Order No. 20-64;
new text end

new text begin (2) was damaged or destroyed due to the unrest in the cities of Minneapolis and St. Paul
and surrounding communities after May 24, 2020, and before June 16, 2020;
new text end

new text begin (3) has a damage amount equal to at least 25 percent of the property's estimated market
value, excluding the value of the land, as determined on January 2, 2020; and
new text end

new text begin (4) has not received abatements or credits under Minnesota Statutes, sections 273.1231
to 273.1235, for a disaster or emergency that occurred in 2020.
new text end

new text begin (d) "Utility property" means property appraised and classified for tax purposes by order
of the commissioner of revenue under Minnesota Statutes, sections 273.33 to 273.3711.
new text end

new text begin Subd. 2. new text end

new text begin Application. new text end

new text begin The owner of a property that is not a utility property must apply
to the county board and county or local assessor by September 1, 2020, in a manner
prescribed by the assessor, in order to be eligible for an abatement under subdivision 3. The
owner of a utility property must apply to the commissioner of revenue by September 1,
2020, in a manner prescribed by the commissioner, in order to be eligible for an abatement
under subdivision 3.
new text end

new text begin Subd. 3. new text end

new text begin Abatements. new text end

new text begin (a) Notwithstanding Minnesota Statutes, sections 270C.86 and
375.192, the county board and commissioner of revenue must grant abatements in the
amounts provided in paragraphs (b) and (c) for qualifying properties that submitted an
application under subdivision 2.
new text end

new text begin (b) For a qualifying property with a damage amount equal to less than 50 percent of the
property's estimated market value, excluding the value of the land, as determined on January
2, 2020, the abatement amount is equal to 50 percent of the net property tax due on the
property in 2020.
new text end

new text begin (c) For a qualifying property with a damage amount equal to at least 50 percent of the
property's estimated market value, excluding the value of the land, as determined on January
2, 2020, the abatement amount is equal to 100 percent of the net property tax due on the
property in 2020.
new text end

new text begin (d) If application is made after payment of all or a portion of the taxes being abated, the
portion of the abatement already paid must be refunded to the taxpayer by the county
treasurer as soon as practicable.
new text end

new text begin Subd. 4. new text end

new text begin Reassessments required. new text end

new text begin For the purposes of this section, the county or local
assessor must reassess all damaged property for which an application is submitted under
subdivision 2, except that the commissioner of revenue must reassess all utility property
for which an application is submitted under subdivision 2.
new text end

new text begin Subd. 5. new text end

new text begin Valuation increase prohibited. new text end

new text begin (a) The estimated market value for qualifying
properties that receive an abatement under subdivision 3 must not exceed the property's
estimated market value as determined under subdivision 4 until assessment year 2025,
provided that the property retains the same ownership it had as of May 25, 2020.
new text end

new text begin (b) Owners of property meeting the requirements of this subdivision must submit any
information the county or local assessor or commissioner of revenue deems necessary to
determine continued eligibility under this subdivision by December 15 of each year prior
to the assessment year for which the property qualifies under paragraph (a).
new text end

new text begin Subd. 6. new text end

new text begin Reimbursement and appropriation. new text end

new text begin (a) The county auditor must certify the
abatements granted under this section to the commissioner of revenue for reimbursement
to each taxing jurisdiction in which qualifying property is located. The commissioner must
make the payments to the taxing jurisdictions containing qualifying property, other than
school districts and the state, at the time distributions are made under Minnesota Statutes,
section 473H.10, subdivision 3. Reimbursements to school districts must be made as provided
in Minnesota Statutes, section 273.1392. No reimbursement is to be paid to the state treasury.
new text end

new text begin (b) An amount necessary to make payments required by this section is appropriated to
the commissioner of revenue from the general fund in fiscal year 2021.
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 9

CIVIL UNREST INVESTIGATORY COMMISSION

Section 1. new text beginCIVIL UNREST INVESTIGATORY COMMISSION.
new text end

new text begin Subdivision 1. new text end

new text begin Purpose; finding of facts and time line of public responses. new text end

new text begin (a) The
legislature and governor of the state of Minnesota recognize that the civil unrest that occurred
in Minnesota in May and June of 2020 raises questions about the nature of orders given,
responses made, and actions taken by civil authorities. The Minnesota public lacks a
comprehensive and accurate timeline of events and the role played in those events by:
new text end

new text begin (1) local authorities;
new text end

new text begin (2) Minneapolis Police Department;
new text end

new text begin (3) Minneapolis Fire Department;
new text end

new text begin (4) State Patrol;
new text end

new text begin (5) National Guard;
new text end

new text begin (6) appointed and elected officials; and
new text end

new text begin (7) all other responsible parties whose duties commanded the public response to the
unprecedented events that tragically unfolded.
new text end

new text begin (b) Civil authorities remain actively engaged at this moment in time to perform ongoing
duties and manage the ongoing public interests in responding to unrest, and to help affected
citizens.
new text end

new text begin (c) However, the creation of an accurate timeline of civic responses is a crucial task that
must be completed to provide confidence to the Minnesota public regarding the capacity
of civil government in the current and future responses. Further, an investigation into
decisions and actions cannot be undertaken by persons currently in state or local government,
whose ongoing duties and past responsibilities render the persons too involved for
dispassionate analysis.
new text end

new text begin (d) Therefore, a Civil Unrest Investigatory Commission is established to examine and
create a public record of all actions, choices, orders, and responses by all local governments,
police and military authorities, and elected officials who were crucial to the government's
response to the civil unrest that unfolded in May and June 2020.
new text end

new text begin Subd. 2. new text end

new text begin Duties of commission. new text end

new text begin The commission must take public and private testimony,
hold public meetings, construct a timeline of official responses and actions, and issue a
public report with an accurate and dispassionate analysis of the responses of Minnesota
appointed and elected officials.
new text end

new text begin Subd. 3. new text end

new text begin Cooperation. new text end

new text begin The commission must be given access to all records and
documents held by any government entity that are in any way associated with the civil unrest
of May and June 2020. Within legal and constitutional rights, all elected and appointed
officials must cooperate with requests made by the commission.
new text end

new text begin Subd. 4. new text end

new text begin Data. new text end

new text begin All materials and information held by or created by the commission must
be made public upon completion of the report required under this act.
new text end

Sec. 2. new text beginCOMMISSION STRUCTURE.
new text end

new text begin (a) The chief justice of the Minnesota Supreme Court must appoint a panel of ten neutral
persons to constitute the Civil Unrest Investigatory Commission. Appointees must: (1) have
no current involvement with any political party; (2) have played no role in the events of
May and June 2020; and (3) have the highest personal probity and ability to command public
confidence. Members must be chosen for expertise in management of public crises and
knowledge of government responses to civil unrest.
new text end

new text begin (b) The commission must be established by July 1, 2020. The chief justice must designate
one member of the panel to serve as chair.
new text end

new text begin (c) The chief justice must determine the pay and expenses received by the panel. A
member's total pay, not including expenses, must not exceed $1,000.
new text end

new text begin (d) The commission may issue subpoenas, take testimony under oath, and hire outside
investigators and counsel.
new text end

new text begin (e) The legislative auditor must act as fiscal agent for the commission and must provide
administrative support to the commission.
new text end

Sec. 3. new text beginDUTIES AND REPORT.
new text end

new text begin (a) The Civil Unrest Investigatory Commission must:
new text end

new text begin (1) conduct and record interviews of all elected and appointed officials who played a
role in the response to civil unrest as it occurred in May and June 2020;
new text end

new text begin (2) establish a timeline of decisions taken and choices made by elected officials, including
the mayor of Saint Paul, the mayor of Minneapolis, and the governor;
new text end

new text begin (3) conduct a review of the responses of police, National Guard, and other responders;
new text end

new text begin (4) conduct a review of use of force versus protesters;
new text end

new text begin (5) analyze the effect of social media in promoting civil unrest; and
new text end

new text begin (6) create a timeline of events, with a detailed explanation of the choices made by public
officials.
new text end

new text begin (b) The commission may:
new text end

new text begin (1) determine, if possible, whether actions taken were consistent with the duties of elected
and appointed officials; and
new text end

new text begin (2) suggest best practices and specific policies and procedures that should be considered
for future responses in the event of civil unrest.
new text end

new text begin (c) The commission must issue a report no later than December 15, 2020, with the
commission's findings.
new text end

Sec. 4. new text beginEFFECTIVE DATE.
new text end

new text begin This act is effective the day following final enactment.
new text end