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Key: (1) language to be deleted (2) new language

  

                         Laws of Minnesota 1985 

                        CHAPTER 307-S.F.No. 676 
           An act relating to local government; authorizing the 
          conduct of town business and elections outside the 
          town; renewal of certain town off-sale liquor licenses;
          exempting town boards from liability arising from use 
          of certain roads; authorizing the town board of Cannon 
          Falls and the county boards of Pine and Kanabec 
          counties to issue one off-sale liquor license each; 
          permitting the establishment of special service 
          districts in the city of Mora; amending Minnesota 
          Statutes 1984, sections 204B.16, subdivision 1; and 
          365.51; proposing coding for new law in Minnesota 
          Statutes, chapter 164. 
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
    Section 1.  Minnesota Statutes 1984, section 204B.16, 
subdivision 1, is amended to read: 
    Subdivision 1.  [AUTHORITY; LOCATION.] The governing body 
of each municipality and of each county with precincts in 
unorganized territory shall designate by ordinance or resolution 
a polling place for each election precinct.  The polling place 
for a precinct in a municipality shall be located within the 
boundaries of the precinct or within 1500 feet of one of those 
boundaries unless a single polling place is designated for a 
city pursuant to subdivision 2.  The polling place for a 
precinct may be located up to 3,000 feet outside one of the 
boundaries of the precinct if necessary to locate a polling 
place that is accessible to and usable by elderly and 
handicapped individuals as required in subdivision 5.  The 
polling place for a precinct in unorganized territory may be 
located outside the precinct at a place which is convenient to 
the voters of the precinct.  If no suitable place is available 
within the town, then the polling place for a town may be 
located outside the town within five miles of one of the 
boundaries of the town. 
    Sec. 2.  Minnesota Statutes 1984, section 365.51, is 
amended to read: 
    365.51 [ANNUAL TOWN MEETING; PRECINCTS; POLLING PLACES.] 
    There shall be an annual town meeting held in each town on 
the second Tuesday of March at the place designated by the 
annual town meeting, and if no designation is so made then at 
the place designated by the town board.  The place designated 
may be located outside the town within five miles of one 
boundary of the town.  In the event of inclement weather the 
meeting shall be held on another March day designated by the 
board.  The clerk shall give ten days' published notice 
specifying time and place in a qualified newspaper having 
general circulation within the town, or by posted notice, as the 
town board shall direct unless the voters at the annual town 
meeting direct otherwise.  All town officers required by law to 
be elected shall be chosen thereat, and other business done as 
is by law required or permitted.  The town board may, with 
respect to an election by ballot at the annual town meeting for 
the purpose of selecting town officers or of determining any 
matter of town business, provide for the casting of ballots in 
precincts and at polling places.  Precincts and polling places 
shall be designated by the town board in the manner prescribed 
by sections 204B.14 and 204B.16. 
     Sec. 3.  [TOWN LIQUOR LICENSES.] 
     Notwithstanding any other law, a town described in section 
368.01, subdivision 1a, which erroneously issued an off-sale 
liquor license pursuant to section 340.11, subdivision 10b, 
prior to January 1, 1985, may continue to renew the license thus 
issued and the license shall remain in effect for so long as 
renewed. 
    Sec. 4.  [OFF-SALE LICENSE.] 
    Notwithstanding any law to the contrary, the town board of 
the town of Cannon Falls in Goodhue county may issue an off-sale 
license to an establishment located within the town, with the 
approval of the county board and the commissioner of public 
safety.  The license fee shall be fixed by the town board in an 
amount not to exceed $500.  A license issued pursuant to this 
section shall be governed by the appropriate provisions of 
Minnesota Statutes, chapter 340, except as otherwise provided by 
this section. 
    Sec. 5.  [PINE COUNTY OFF-SALE LICENSE.] 
    Notwithstanding any law to the contrary, the Pine county 
board may issue one off-sale liquor license to a premises 
located within the town of Finlayson, provided that the 
establishment is not located within three miles of a home rule 
charter or statutory city with a municipal liquor store and with 
the approval of the commissioner of public safety.  The fee for 
the license shall be fixed by the county board in an amount not 
to exceed $500 per year.  A license issued under this section 
shall otherwise be governed by Minnesota Statutes, chapter 340. 
    Sec. 6.  [KANABEC COUNTY OFF-SALE LICENSE.] 
    Notwithstanding any law to the contrary, the Kanabec county 
board may issue one off-sale liquor license to a premises 
located within the town of Haybrook, provided that the 
establishment is not located within three miles of a 
municipality with a municipal liquor store and with the approval 
of the commissioner of public safety.  The fee for the license 
shall be fixed by the county board in an amount not to exceed 
$500 per year.  A license issued under this section shall 
otherwise be governed by Minnesota Statutes, chapter 340.  
    Sec. 7.  [DEFINITIONS.] 
    Subdivision 1.  For the purpose of sections 7 to 17, the 
terms defined in this section have the following meanings. 
    Subd. 2.  "City" means the city of Mora. 
    Subd. 3.  "Special services" means all services rendered or 
contracted for by the city, including, but not limited to: 
    (a) the repair, maintenance, operation, and construction of 
any improvements authorized by Minnesota Statutes, section 
429.021; 
    (b) parking services rendered or contracted for by the 
city; and 
    (c) any other service provided to the public by the city 
that is authorized by law or charter provision. 
Special services do not include any service that is ordinarily 
provided throughout the city from general fund revenues of the 
city unless an increased level of the service is provided in the 
special service district. 
    Subd. 4.  "Special service district" means a defined area 
within the city where special services are rendered and the 
costs of the special services are paid from revenues collected 
from taxes and service charges imposed within that area. 
    Subd. 5.  "Assessed value" means the assessed value as most 
recently certified by the commissioner of revenue before the 
effective date of the ordinance or resolution adopted pursuant 
to section 8 or 9. 
    Subd. 6.  "Land area" means the land area in the district 
which is subject to property taxation. 
    Sec. 8.  [ESTABLISHMENT OF SPECIAL SERVICE DISTRICT.] 
    Subdivision 1.  [ORDINANCE.] The governing body of the city 
may adopt an ordinance establishing a special service district. 
Only property which is zoned for commercial, business, or 
industrial use under a municipal zoning ordinance may be 
included in a district.  The ordinance shall describe with 
particularity the area within the city to be included in the 
district and the special services to be furnished in the 
district.  The ordinance may not be adopted until after a public 
hearing has been held on the question.  Notice of the hearing 
shall include: 
    (a) the time and place of hearing; 
    (b) a map showing the boundaries of the proposed district; 
and 
    (c) a statement that all persons owning property in the 
proposed district will be given opportunity to be heard at the 
hearing. 
    Subd. 2.  [NOTICE.] Notice of the hearing shall be given by 
publication in two issues of the official newspaper of the 
city.  The two publications shall be a week apart and the 
hearing shall be held at least three days after the last 
publication.  Not less than ten days before the hearing, notice 
shall also be mailed to the owner of each parcel within the area 
proposed to be included in the district.  For the purpose of 
giving mailed notice, owners shall be those shown on the records 
of the county auditor.  Other records may be used to supply the 
necessary information.  For properties which are tax exempt or 
subject to taxation on a gross earnings basis in lieu of 
property tax and are not listed on the records of the county 
auditor, the owners shall be ascertained by any practicable 
means and mailed notice given them.  At the public hearing any 
person affected by the proposed district may be heard orally in 
respect to any issues relevant to the proposed district.  The 
hearing may be adjourned from time to time and the ordinance 
establishing the district may be adopted at any time within six 
months after the date of the conclusion of the hearing by a vote 
of the majority of the governing body of the city. 
    Sec. 9.  [TAXING AUTHORITY; NOTICE AND HEARING 
REQUIREMENTS.] 
    Subdivision 1.  [TAXES; HEARING.] Ad valorem taxes may be 
levied on taxable nonhomestead property or service charges may 
be imposed by the city within the special service district at a 
rate or amount sufficient to produce the revenues required to 
provide special services within the district.  To determine the 
appropriate mill rate, nonhomestead taxable property or value 
shall be determined without regard to captured or original 
assessed value under Minnesota Statutes, section 273.76 or to 
the distribution or contribution value under Minnesota Statutes, 
section 473F.08.  Taxes and service charges shall not be imposed 
to finance a special service if the service is ordinarily 
provided by the city from its general fund revenues unless the 
service is provided in the district at an increased level, in 
which case only an amount to pay for the increased level may be 
imposed.  A service charge shall not be imposed on the receipts 
from the sale of intoxicating liquor, food, or lodging.  Before 
the levy of taxes or imposition of service charges in a 
district, for each calendar year, notice shall be given and 
hearing shall be held pursuant to section 8 and notice shall 
also be mailed to any individual or business organization 
subject to a service charge.  For purposes of this section the 
notice shall also include: 
    (a) A statement that all interested persons will be given 
an opportunity to be heard at the hearing regarding a proposed 
tax levy or service charge. 
    (b) The estimated cost of improvements to be paid for in 
whole or in part by taxes or service charges imposed pursuant to 
this section, the estimated cost of operating and maintaining 
the improvements during the first year after completion of the 
improvements, the proposed method and source of financing the 
improvements, and the annual cost of operating and maintaining 
the improvements. 
    (c) The proposed rate or amount of taxes to be extended or 
the proposed service charge to be imposed in the district during 
the calendar year and the nature and character of special 
services to be rendered in the district during the calendar year.
    (d) A statement that the petition requirements of section 
14 have either been met or do not apply to the proposed taxes or 
service charge. 
    Within six months of the public hearing, the city may adopt 
a resolution levying a tax or imposing a service charge within 
the district not exceeding the amount or rate expressed in the 
notice issued pursuant to this section. 
    Subd. 2.  [EXEMPTION OF CERTAIN PROPERTIES FROM 
TAXES.] Property exempted from taxation by Minnesota Statutes, 
section 272.02, is exempt from any ad valorem taxes imposed 
pursuant to this act. 
    Subd. 3.  [LEVY LIMIT EXEMPTION.] Taxes and service charges 
imposed pursuant to this act shall not be included in the 
calculation of levies or limits on levies provided by other law 
or home rule charter provision. 
    Subd. 4.  [EXCLUSION FROM HOMESTEAD CREDIT.] Taxes levied 
under this section shall not be reduced pursuant to Minnesota 
Statutes, section 273.13, subdivision 6, 7, 7d, or 14a. 
    Sec. 10.  [ENLARGEMENT OF SPECIAL SERVICE DISTRICTS.] 
    Boundaries of a special service district may be enlarged 
only after hearing and notice as provided in sections 8 and 9. 
Notice shall be served in the original district and in the area 
proposed to be added to the district.  Property added to the 
district shall be subject to all taxes levied and service 
charges imposed within the district after the property becomes a 
part of the district.  The petition requirement in section 8 and 
the veto power in section 15 shall only apply to owners, 
individuals, and business organizations in the area proposed to 
be added to the district. 
    Sec. 11.  [COLLECTION OF TAXES.] 
    Ad valorem taxes levied within a special service district 
shall be collected and paid over as other ad valorem taxes, but 
shall be spread only upon the assessed value of property 
described in the ordinance.  Service charges imposed shall be 
collected as provided by ordinance.  Taxes collected pursuant to 
this act shall not be included in computations under Minnesota 
Statutes, section 273.76, chapter 473F, or any other law that 
applies to general ad valorem levies. 
    Sec. 12.  [BONDS.] 
    At any time after a contract for the construction of all or 
part of an improvement authorized pursuant to this act has been 
entered into or the work has been ordered done by day labor, the 
governing body of the city may issue obligations in the amount 
it deems necessary to defray in whole or in part the expense 
incurred and estimated to be incurred in making the improvement, 
including every item of cost from inception to completion and 
all fees and expenses incurred in connection with the 
improvement or the financing.  The obligations shall be payable 
primarily out of the proceeds of the tax levied pursuant to 
section 9, or from any other special assessment or nontax 
revenues available to be pledged for their payment under charter 
or other statutory authority, or from any two or more of such 
sources.  The governing body may, by resolution adopted prior to 
the sale of obligations, pledge the full faith, credit, and 
taxing power of the municipality to assure payment of the 
principal and interest if the proceeds of the tax levy in the 
district are insufficient to pay the principal and interest.  
The obligations shall be issued in accordance with Minnesota 
Statutes, chapter 475, except that an election shall not be 
required, and the amount of the obligations shall not be 
included in determining the net debt of the city under the 
provisions of any law or charter limiting debt. 
    Sec. 13.  [ADVISORY BOARD.] 
    The governing body of the city may create and appoint an 
advisory board for each special service district in the city to 
advise the governing body in connection with the construction, 
maintenance, and operation of improvements, and the furnishing 
of special services in a district.  The advisory board shall 
make recommendations to the governing body on the requests and 
complaints of owners, occupants, and users of property within 
the district and members of the public.  Before the adoption of 
any proposal by the governing body to provide services or impose 
taxes or service charges within the district, the advisory board 
of the district shall have an opportunity to review and comment 
upon the proposal. 
    Sec. 14.  [PETITION REQUIRED.] 
    No action may be taken pursuant to section 8 unless owners 
of ten percent or more of the land area of the proposed special 
service district and owners of ten percent or more of the 
assessed value of the proposed district file a petition 
requesting a public hearing on the proposed action with the city 
clerk.  No action may be taken pursuant to section 8 to impose 
an ad valorem tax unless owners of ten percent or more of the 
land area subject to a proposed tax and owners of ten percent or 
more of the assessed value subject to a proposed tax file a 
petition requesting a public hearing on the proposed action with 
the city clerk.  No action may be taken pursuant to section 9 to 
impose a service charge unless ten percent or more of the 
individual or business organizations subject to the proposed 
service charge file a petition requesting a public hearing on 
the proposed action with the city clerk.  If the boundaries of a 
proposed district are changed or the land area or assessed value 
subject to a tax or the individuals or business organizations 
subject to a service charge are changed after the public 
hearing, a petition meeting the requirements of this section 
must be filed with the city clerk before the ordinance 
establishing the district or resolution imposing the tax or 
service charge may become effective. 
    Sec. 15.  [VETO POWER OF OWNERS.] 
    Subdivision 1.  [NOTICE OF RIGHT TO FILE 
OBJECTIONS.] Except as provided in section 16, the effective 
date of any ordinance or resolution adopted pursuant to sections 
8 and 9 shall be at least 45 days after it is adopted.  Within 
five days after adoption of the ordinance or resolution, a copy 
of the ordinance or resolution shall be mailed to the owner of 
each parcel included in the special service district and any 
individual or business organization subject to a service charge 
in the same manner that notice is mailed pursuant to section 8. 
The mailing shall include a notice that owners subject to a tax 
and individuals and business organizations subject to a service 
charge have a right to veto the ordinance or resolution by 
filing the required number of objections with the city clerk 
before the effective date of the ordinance or resolution. 
    Subd. 2.  [REQUIREMENT FOR VETO.] If owners of 35 percent 
of the land area in the district and owners of 35 percent of the 
assessed value in the district file an objection to the 
ordinance adopted by the city pursuant to section 8 with the 
city clerk before the effective date of the ordinance, the 
ordinance shall not become effective.  If owners of 35 percent 
of the land area subject to a tax and owners of 35 percent of 
the assessed value subject to a tax file an objection to the 
resolution adopted levying an ad valorem tax pursuant to section 
8 with the city clerk before the effective date of the 
resolution, the resolution shall not become effective.  If 35 
percent of individuals and business organizations subject to a 
service charge file an objection to the resolution adopted 
imposing a service charge pursuant to section 9 with the city 
clerk before the effective date of the resolution, the 
resolution shall not become effective. 
    Sec. 16.  [EXCLUSION FROM PETITION REQUIREMENTS AND VETO 
POWER.] 
    The petition requirement of section 14 and the right of 
owners and those subject to a service charge to veto a 
resolution in section 15 do not apply to second or subsequent 
years' applications of a tax or service charge which is 
authorized to be in effect for more than one year pursuant to a 
resolution which has met the petition requirements of section 14 
and which has not been vetoed under section 15 for the first 
year's application.  A resolution levying a tax or imposing a 
service charge for more than one year shall not be adopted 
unless the notice of public hearing required by section 9 and 
the notice mailed with the adopted resolution pursuant to 
section 15 include the following information: 
    (a) In the case of improvements, the maximum rate or amount 
of taxes to be levied or the maximum service charge to be 
imposed in any year and the maximum number of years the taxes 
will be levied or service charges imposed to pay for the 
improvement. 
    (b) In the case of operating and maintenance services, the 
maximum rate or amount of taxes to be levied or the maximum 
service charge to be imposed in any year and the maximum number 
of years, or a statement that the tax will be imposed for an 
indefinite number of years, the taxes will be levied or service 
charges imposed to pay for operation and maintenance services. 
    The resolution may provide that the maximum amount of tax 
to be levied or maximum service charge to be imposed in any year 
will increase or decrease from the maximum amount authorized in 
the preceding year based on an indicator of increased cost or a 
percentage amount established by the resolution. 
    Sec. 17.  [REPORT TO LEGISLATURE.] 
    The administrator of the city of Mora shall file a written 
report with the chairman of the house local and urban affairs 
committee and the chairman of the senate local and urban 
government committee on or before January 31, 1986.  The report 
shall apprise the committee as to the activities undertaken 
pursuant to this act and recommend any changes that should be 
considered if the legislature were to enact statewide 
legislation for the establishment of special service districts. 
    Sec. 18.  [164.152] [BARRICADED ROADS; LIABILITY.] 
    When a town board, by resolution, closes and barricades a 
road under its jurisdiction to motor vehicle use, for seasonal 
recreation use or other purposes, the town board and its 
officers and employees are exempt from liability for any claim 
for injury to person or property arising from any use, whether 
recreational or otherwise, of the barricaded road. 
    Sec. 19.  [EFFECTIVE DATE.] 
    Sections 1 to 3 are effective the day following final 
enactment.  Section 4 is effective on approval by the town board 
of the town of Cannon Falls.  Section 5 is effective on approval 
by the Pine county board.  Section 6 is effective on approval by 
the Kanabec county board.  Sections 7 to 17 are effective on 
approval by the Mora city council.  All approvals must comply 
with section 645.021. 
    Approved June 7, 1985

Official Publication of the State of Minnesota
Revisor of Statutes