Minnesota Session Laws - 1988, Regular Session

  

                         Laws of Minnesota 1988 

                        CHAPTER 594-S.F.No. 1608 
           An act relating to the city of Minneapolis; updating 
          references in its development laws; authorizing small 
          business loans; amending Laws 1980, chapter 595, 
          section 3, subdivisions 1, as amended, 3, 6, and 7; 
          and section 4. 
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
     Section 1.  Laws 1980, chapter 595, section 3, subdivision 
1, as amended by Laws 1985, chapter 194, section 29, is amended 
to read: 
    Subdivision 1.  Notwithstanding any contrary law or 
provision of the Minneapolis city charter, the city council may 
exercise the powers presently, or hereafter granted to a 
governmental agency or subdivision by Minnesota 
Statutes, Chapters 458 and 462 sections 469.001 to 469.068 
except the power to operate and maintain public housing as 
provided in Minnesota Statutes, Chapter 462.  The city council 
shall not exercise the powers contained in Minnesota 
Statutes, Chapter 462 sections 469.001 to 469.047 prior to the 
initial adoption of an ordinance provided for in section 2, 
subdivision 1, or this subdivision.  Notwithstanding any 
contrary law or provision of the Minneapolis city charter, the 
agency or the Minneapolis housing and redevelopment authority or 
the Minneapolis industrial development commission may after 
approval by the city council by ordinance exercise any of the 
powers presently or hereafter granted to a governmental 
subdivision by Minnesota Statutes, Chapters 458, 462, 472, 472A, 
and 474 sections 469.001 to 469.068, 469.109 to 469.134, and 
469.152 to 469.165.  The city council or the agency or the 
Minneapolis housing and redevelopment authority or the 
Minneapolis industrial development commission may exercise the 
powers granted by this subdivision and any other development or 
redevelopment powers authorized by other laws, independently or 
in conjunction with each other as though all of the powers had 
been granted to a single entity, provided, however, that any 
project undertaken pursuant to authority granted by Minnesota 
Statutes, Chapter 458, 462, 472, 472A, sections 3 to 7, or 
474 sections 469.001 to 469.068, 469.109 to 469.134, 469.136 to 
469.140, and 469.152 to 469.165 is subject to all of the 
limitations contained within that chapter those sections. 
    Sec. 2.  Laws 1980, chapter 595, section 3, subdivision 3, 
is amended to read: 
    Subd. 3.  The city council may, upon the request of the 
department, levy a general ad valorem tax for any purpose for 
which a housing and redevelopment authority pursuant to 
Minnesota Statutes, Chapter 462 sections 469.001 to 469.047 may 
levy an ad valorem tax.  The agency may levy a general ad 
valorem tax upon all taxable property in the city of Minneapolis 
for any economic development, housing, or redevelopment purpose 
for which the city council may levy a tax, or for which a 
housing and redevelopment authority pursuant to Minnesota 
Statutes, Chapter 462 sections 469.001 to 469.047 may levy a tax.
The levy of this tax shall be in the same manner as for a tax 
levied by the city council.  The tax levied by the agency 
pursuant to this subdivision shall not exceed three mills levied 
upon all taxable property in the city of Minneapolis, provided 
that this limitation shall not apply to any levy for the 
repayment of bonds or obligations of the agency. 
     Sec. 3.  Laws 1980, chapter 595, section 3, subdivision 6, 
is amended to read: 
     Subd. 6.  Notwithstanding any contrary law or provision of 
the Minneapolis city charter, the city council may, by 
resolution, transfer the control, authority, and operation of 
any project as defined in Minnesota Statutes, section 273.73 
469.174, Subdivision 8, or any other program or project 
authorized by Minnesota Statutes, Chapter 462 sections 469.001 
to 469.047, for the purpose of rehabilitation of housing units 
or for the purpose of providing public housing as provided in 
Minnesota Statutes, Chapter 462 sections 469.001 to 469.047, 
located within the city of Minneapolis, from the governmental 
agency or subdivision which established the project to any other 
governmental agency or subdivision established in whole or in 
part for the purpose of economic development housing or 
redevelopment within the city of Minneapolis, including the city 
council.  The city council may also require acceptance of 
control, authority, and operation of the project by the 
governmental entity to which the transfer is intended.  The 
governmental agency or subdivision to which the control, 
authority, and operation of the project is transferred, may 
exercise all of the powers and only the powers which the 
governmental unit which established the project could exercise 
with respect to the project. 
     Upon the transfer of a project or program, the receiving 
agency or body shall covenant and pledge to perform the terms, 
conditions, and covenants of bond indenture or other agreement 
executed for the security of any bonds issued by the 
governmental subdivision which initiated the project or 
program.  The receiving governmental subdivision is granted by 
this act all powers necessary to perform the terms, conditions, 
and covenants of any indenture or other agreement executed for 
the security of bonds on which it shall become obligated by 
operation of this subdivision.  
     The powers authorized by this subdivision may be exercised 
only after either (a) the city council adopts the first 
ordinance exercising the powers granted pursuant to section 2, 
subdivision 1, or (b) the city council adopts the first 
ordinance granting to the Minneapolis housing and redevelopment 
authority or the Minneapolis industrial development commission 
powers authorized pursuant to section 3, subdivision 1. 
     Sec. 4.  Laws 1980, chapter 595, section 3, subdivision 7, 
is amended to read:  
     Subd. 7.  Notwithstanding any contrary law or provision of 
the Minneapolis city charter, the city council may, by 
resolution, require any governmental subdivision which is 
conducting a project as defined in Minnesota Statutes, 
section 273.73 469.174, Subdivision 8, or any other program or 
project authorized by Minnesota Statutes, Chapter 462 sections 
469.001 to 469.047, for the purpose of rehabilitation of housing 
units or for the purpose of providing public housing as provided 
in Minnesota Statutes, Chapter 462 sections 469.001 to 469.047, 
within the city of Minneapolis, to contract for services for 
administration of the project or any portion of the project with 
any other governmental subdivision established in whole or in 
part for the purpose of economic development or redevelopment or 
housing within the city of Minneapolis, including the city 
council.  The city council may also require the acceptance of 
the contract for services by the governmental subdivision 
intended to provide the service for administration. 
     The powers authorized by this subdivision may be exercised 
only after either (a) the city council adopts the first 
ordinance exercising the powers granted pursuant to section 2, 
subdivision 1, or (b) the city council adopts the first 
ordinance granting to the Minneapolis housing and redevelopment 
authority or the Minneapolis industrial development commission 
powers authorized pursuant to section 3, subdivision 1.  
     Sec. 5.  Laws 1980, chapter 595, section 4, is amended to 
read: 
    Sec. 4.  [LIMITATIONS.] The city council may, by ordinance, 
impose the following limitations upon the actions of the agency: 
    (a) That the sale of any or all bonds or obligations issued 
by the agency be approved before issuance by the city council by 
resolution. 
     (b) That the agency must follow the budget process for city 
departments as provided in the Minneapolis city charter and as 
implemented by the city council and mayor. 
     (c) That all official actions of the agency be consistent 
with the adopted comprehensive plan of the city of Minneapolis, 
and any official controls implementing the comprehensive plan. 
     (d) That the agency submit to the city council for approval 
by resolution any proposed project as defined in Minnesota 
Statutes, Section 273.73 469.174, Subdivision 8. 
    (e) That the agency submit all planned activities for 
influencing the action of any other governmental agency, 
subdivision, or body to the city council for approval by 
resolution. 
     (f) That the agency submit its administrative structure and 
management practices to the city council for approval by 
resolution. 
     (g) That the levy of any tax by the agency be approved by 
the city council by ordinance prior to the levy of the tax. 
     (h) Any other limitation or control established by the city 
council by ordinance. 
    Limitations imposed pursuant to this section shall not be 
applied in a manner which impairs the security of any bonds 
issued prior to the imposition of the limitation.  The city 
council shall not amend any limitations in effect at the time 
any bonds or obligations are issued pursuant to this act to the 
detriment of the holder of the bonds or obligations.  A 
determination by the city council that the limitations imposed 
pursuant to this section have been complied with by the agency 
shall be conclusive. 
    Sec. 6.  [SMALL BUSINESS LOANS.] 
    The city council or the agency may make or guarantee 
working capital loans in an aggregate principal amount not 
exceeding $450,000 outstanding at any time, subject to such 
terms and conditions as established by ordinance by the city, to 
expanding small businesses which are located in the city for the 
purpose of increasing the tax base and providing employment 
opportunities within the city.  As used in this subdivision, the 
term "small business" has the meaning given it in Minnesota 
Statutes, section 645.445, subdivision 2.  This section expires 
June 30, 1991. 
    Sec. 7.  [LOCAL APPROVAL.] 
    Upon compliance with Minnesota Statutes, section 645.021, 
subdivision 3, by the governing body of the city of Minneapolis, 
this act takes effect August 1, 1987. 
    Approved April 21, 1988