HF 1532

as introduced - 94th Legislature (2025 - 2026) Posted on 03/26/2025 12:23pm

A bill for an act
relating to eminent domain; increasing certain reimbursement amounts; amending
Minnesota Statutes 2024, section 117.036, subdivision 2.

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

Section 1.

Minnesota Statutes 2024, section 117.036, subdivision 2, is amended to read:

Subd. 2.

Appraisal.

(a) Before commencing an eminent domain proceeding under this
chapter for an acquisition greater than $25,000, the acquiring authority must obtain at least
one appraisal for the property proposed to be acquired. In making the appraisal, the appraiser
must confer with one or more of the owners of the property, if reasonably possible. For
acquisitions less than $25,000, the acquiring authority may obtain a minimum damage
acquisition report in lieu of an appraisal. In making the minimum damage acquisition report,
the qualified person with appraisal knowledge must confer with one or more of the owners
of the property, if reasonably possible. Notwithstanding section 13.44, the acquiring authority
must provide the owner with a copy of (1) each appraisal for property acquisitions over
$25,000, or (2) the minimum damage acquisition report for properties under $25,000, the
acquiring authority has obtained for the property at the time an offer is made, but no later
than 60 days before presenting a petition under section 117.055. The acquiring authority
must also inform the owner of the right to obtain an appraisal under this section. Upon
request, the acquiring authority must make available to the owner all appraisals for properties
over $25,000, or the minimum damage acquisition report for properties under $25,000. If
the acquiring authority is considering both a full and partial taking of the property, the
acquiring authority shall obtain and provide the owner with appraisals for properties over
$25,000 for both types of takings, or minimum damage acquisition reports for properties
under $25,000.

(b) The owner may obtain an appraisal by a qualified appraiser of the property proposed
to be acquired. The owner is entitled to reimbursement for the reasonable costs of the
appraisal from the acquiring authority up to a maximum of deleted text begin $1,500 deleted text end new text begin $3,000 new text end for single family
and two-family residential property and minimum damage acquisitions and deleted text begin $5,000 deleted text end new text begin $10,000 new text end
for other types of property, provided that the owner submits to the acquiring authority the
information necessary for reimbursement, including a copy of the owner's appraisal, at least
five days before a condemnation commissioners' hearing. For purposes of this subdivision,
a "minimum damage acquisition" means an interest in property that a qualified person having
an understanding of the local real estate market indicates can be acquired for $25,000 or
less.

(c) The acquiring authority must pay the reimbursement to the owner within 30 days
after receiving a copy of the appraisal and the reimbursement information. Upon agreement
between the acquiring authority and the owner, the acquiring authority may pay the
reimbursement directly to the appraiser.