Office of the Revisor of Statutes
Minnesota Session Laws - 1998, Regular Session
Key: (1) language to be deleted (2) new language
CHAPTER 383-H.F.No. 3862
An act relating to tornado and other natural disaster
relief; providing for temporary waivers of certain
programs and other relief; appropriating money;
amending Minnesota Statutes 1996, section 268.38, by
adding a subdivision; Minnesota Statutes 1997
Supplement, sections 41B.043, subdivision 2a; 168.16;
and 273.124, subdivision 14; Laws 1997, chapter 203,
article 1, sections 15 and 17, as added; proposing
coding for new law in Minnesota Statutes, chapters 12;
and 41B; repealing Laws 1997, chapter 203, article 1,
section 16, as added.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:
Section 1. [APPROPRIATIONS.]
The sums in the column under "APPROPRIATIONS" are
appropriated from the general fund to be spent for tornado
relief, as specified in this act, in the area designated under
Presidential Declaration of Major Disaster, DR1212, whether
included in the original declaration or added later by federal
government action. The appropriations are available until June
30, 1999, unless otherwise specified. If there is a shortage of
funds in any of the programs under section 2, 3, 4, or 5, unused
funds in any of the other programs under these sections may be
transferred by interagency agreement to cover the shortfall.
SUMMARY
PUBLIC SAFETY $ 8,800,000
HOUSING FINANCE AGENCY 4,000,000
TRADE AND ECONOMIC DEVELOPMENT 5,950,000
AGRICULTURE 4,000,000
REVENUE 500,000
HUMAN SERVICES 400,000
CHILDREN, FAMILIES, AND LEARNING 250,000
MINNESOTA HISTORICAL SOCIETY 1,000,000
FINANCE 2,700,000
TOTAL $ 27,600,000
APPROPRIATIONS
$
Sec. 2. PUBLIC SAFETY
Subdivision 1. To the commissioner
of public safety for the purposes of
this section 8,800,000
Subd. 2. Disaster Assistance Match 8,000,000
For the state and local match of
federal disaster assistance funds under
Minnesota Statutes, section 12.221.
This appropriation is available to fund
100 percent of the state and local
match obligations incurred through the
receipt of federal disaster assistance.
This appropriation is also available as
a match for eligible state agency
expenditures.
Subd. 3. Increases In Services 300,000
To provide for the cost of increases in
services by the division of emergency
management to respond to the tornado
disaster.
Subd. 4. Grants To Farmers 500,000
For grants to counties for costs
related to the burial and removal of
debris from rural residences and farms
from the March 29, 1998, tornado and
storm damage. The commissioner may
require documentation of costs. Grants
are available for debris removal and
burial costs not covered by private
insurance or federal reimbursement.
Sec. 3. HOUSING FINANCE
Subdivision 1. For transfer to the
housing development fund for the
programs specified in this section 4,000,000
Subd. 2. Affordable Rental
Investment Fund 500,000
For the affordable rental investment
fund under Minnesota Statutes, section
462A.21, subdivision 8b, to be used for
rental housing. Notwithstanding
Minnesota Statutes, section 462A.21,
subdivision 8b, assistance provided
from this appropriation for the
rehabilitation of existing rental
housing may be in the form of
forgivable loans. In making forgivable
loans from this appropriation, the
agency shall determine the
circumstances, terms, and conditions
under which all or any portion of the
grant shall be repaid. This
appropriation is available until
expended.
Subd. 3 Community
Rehabilitation Fund Program 3,500,000
For the community rehabilitation fund
program under Minnesota Statutes,
section 462A.206. This appropriation
is available until spent.
Subd. 4 Transfers
Money appropriated under this section
may be transferred between the
affordable rental investment fund
account and the community
rehabilitation fund account.
Sec. 4. TRADE AND ECONOMIC
DEVELOPMENT
Subdivision 1. To the commissioner of
trade and economic development for purposes
of this section 5,950,000
Subd. 2. Minnesota Investment Fund 4,800,000
To the Minnesota investment fund for
grants to local units of government for
locally administered operating loan
programs for businesses and farms
directly and adversely affected by the
tornadoes. Loan criteria and
requirements must be locally
established with approval by the
department. For the purposes of this
appropriation, Minnesota Statutes,
sections 116J.8731, subdivisions 3, 4,
5, and 7, and 116J.991, are waived.
Businesses that receive grants or loans
from this appropriation shall set goals
for jobs retained and wages paid within
the area designated under Presidential
Declaration of Major Disaster, DR1212,
whether included in the original
declaration or added later by federal
government action.
Subd. 3. Public Infrastructure 1,000,000
For grants to local units of government
to assist with the cost of repair and
replacement of publicly owned
buildings; storm sewers, wastewater and
municipal utility service; drinking
water systems; and streets, bridges,
and other infrastructure.
Subd. 4. Technical Assistance 150,000
For grants to local units of government
for technical assistance for loan
programs.
Sec. 5. AGRICULTURE 4,000,000
To the rural finance authority for
department of agriculture loans under
Minnesota Statutes, chapter 41B, to
farmers for repairs to farm buildings
and for working capital operating loans.
Sec. 6. REVENUE 500,000
To the commissioner of revenue to be
apportioned among the counties within
the area designated under Presidential
Declaration of Major Disaster, DR1212,
whether included in the original
declaration or added later by federal
government action to provide
reimbursement for abatements granted
for taxes payable in 1998 to properties
damaged in the March 29, 1998,
tornadoes. The apportionment shall be
based upon the amount of
tornado-related market value loss in
each county. Counties must be
reimbursed only for property taxes that
actually abated, not to exceed each
county's apportioned amount.
Sec. 7. HUMAN SERVICES 400,000
For grants to counties, nonprofit
social service agencies, and the state
farm advocate program for social
services and farm advocacy outreach.
Sec. 8. CHILDREN,
FAMILIES, AND LEARNING 250,000
For grants for after-school and
expanded day care services.
Sec. 9. MINNESOTA
HISTORICAL SOCIETY 1,000,000
For historic preservation loans or
grants.
Sec. 10. FINANCE 2,700,000
A contingency appropriation to the
commissioner of finance for allocations
to programs at the request of the
governor, for unanticipated needs to
aid disaster victims. This
appropriation includes the amounts
needed in fiscal years 1998 and 1999
for the department of children,
families, and learning for the costs of
sections 23, 24, and 25. Before
transfer of funds to specific programs,
the commissioner must seek a
recommendation on the proposed spending
from the legislative commission on
planning and fiscal policy. If no
recommendation is received by the
commissioner from the commission within
ten days of notice, the recommendation
is considered to be positive.
Sec. 11. [TEMPORARY WAIVER OF FEES.]
Notwithstanding any law to the contrary, for fiscal years
1998 and 1999, an agency, with the approval of the governor, may
waive fees that would otherwise be charged for agency services.
The waiver of fees must be confined to geographic areas within
counties included in the area designated under Presidential
Declaration of Major Disaster, DR1212, whether included in the
original declaration or added later by federal government
action, and to the minimum periods of times necessary to deal
with the emergency situation. The agency must promptly report
the reasons for and the impact of any suspended fees to the
chairs of the legislative committees that oversee the policy and
budgetary affairs of the agency. This section expires January
15, 1999.
Sec. 12. [EARLY PAYMENT OF STATE AIDS.]
Notwithstanding Minnesota Statutes, sections 273.1398,
subdivision 6, and 477A.015, the commissioner of revenue, in
consultation with the division of emergency management, shall
make payments of homestead and agricultural credit aid and local
government aid as provided in this section to all qualified
local units of government that the commissioner determines have
suffered financial hardship. As used in this section,
"qualified local units of government" means counties, home rule
charter or statutory cities, and towns that suffered damage in
the tornadoes and storms of March 29, 1998.
Payment of the homestead and agricultural credit aid and
local government aid that would otherwise have been payable on
July 20, 1998, shall be made as soon as practicable after the
date of final enactment of this act.
Sec. 13. [TORNADO DAMAGED SCHOOL RECONSTRUCTION.]
In order to expedite school reconstruction of school
buildings destroyed by the tornadoes of March 29, 1998, the
school districts of St. Peter, Comfrey, and Le Center may enter
into construction contracts, including but not limited to
design-build, that the districts determine to be in their best
interests. Construction of these educational facilities is
emergency construction and not subject to competitive bid
requirements of Minnesota Statutes, sections 123.37 and 471.345,
or other law or charter or the requirements of Minnesota
Statutes, section 16B.335. The department of children,
families, and learning shall notify the chairs of the senate
finance committees, the house ways and means committee, and the
house capital investment committee that the projects have been
approved under review and comment and necessary contracts have
been executed.
Sec. 14. [SCHOOL FACILITY STORM DAMAGE RELATED
BETTERMENT.]
The school districts of St. Peter, Comfrey, and Le Center
may make an additional levy for facility betterment under this
section.
The levy must be directly related to the costs of the
betterment of the damaged facility and may only be for costs not
otherwise paid for by insurance or other proceeds. The total
costs related to the levy may not exceed two percent of a
district's 1995 adjusted net tax capacity. The project must be
approved under Minnesota Statutes, section 121.15. The levy may
be spread over more than one year. The levy is not eligible for
state-aid payments under Minnesota Statutes, section 124.83 or
124.95, or any other aid program. A district must consult with
and receive approval from the city and county in which its
administrative offices are located prior to making this levy
according to Minnesota Statutes, section 124.239, subdivisions
3, 4, 5, and 6.
Sec. 15. [SOLID WASTE MANAGEMENT TAX WAIVER.]
Notwithstanding any law to the contrary, the commissioner
of revenue may waive solid waste management taxes under
Minnesota Statutes, chapter 297H, for construction debris
generated from repair and demolition activities in the area
designated under Presidential Declaration of Major Disaster,
DR1212, whether included in the original declaration or added
later by federal government action due to tornado and other
weather damage on March 29, 1998, and disposed of in a waste
management facility designated by the commissioner of the
pollution control agency. The commissioner of revenue's
authority under this section to waive the taxes expires for
waste transported to the designated facilities after March 31,
1999.
Sec. 16. [WAITING WEEK WAIVER.]
The waiting week requirement under Minnesota Statutes,
section 268.08, subdivision 1, clause (3), does not apply to
persons who became unemployed and filed an application for
reemployment insurance benefits as a direct result of the March
29, 1998, tornado and resulting storm damage.
Sec. 17. [WAIVER ON DEFINITION OF AT-RISK YOUTH.]
The limitation on the definition of an at-risk youth under
the Minnesota youth program, in Minnesota Statutes 1996, section
268.56, subdivision 3, is waived to include a youth affected by
the March 29, 1998, tornado disaster. The waiver is effective
until May 30, 1999.
Sec. 18. [WAIVER OF LIMITATION FOR FACILITY CHANGES.]
The limitation under Minnesota Statutes 1996, section
268.362, subdivision 1, paragraph (a), on the type of facilities
which may be rehabilitated, improved, or constructed as part of
a work experience component to provide education and work
experience to targeted youth is waived and shall include
low-income private residences, private businesses, municipal
parks, and other land areas in the area designated under
Presidential Declaration of Major Disaster, DR1212, whether
included in the original declaration or added later by federal
government action.
Sec. 19. [12.331] [LOCAL ASSISTANCE BETWEEN POLITICAL
SUBDIVISIONS.]
Subdivision 1. [AUTHORITY BETWEEN POLITICAL SUBDIVISIONS.]
When the public interest requires it because of an emergency, a
political subdivision may request the assistance of another
political subdivision. Upon receiving such a request, a
political subdivision, called the "sending political
subdivision," may go to the assistance of the requesting
political subdivision, called the "receiving political
subdivision." The receiving political subdivision may accept
and use the personnel, equipment, and supplies of the sending
political subdivision as agreed upon by both political
subdivisions.
Subd. 2. [EFFECT.] Unless there is a written agreement
between the political subdivisions establishing the rules for
conducting these activities, the provisions of paragraphs (a) to
(d) shall apply while the political subdivisions are engaged in
the activities described in subdivision 1.
(a) For the purposes of worker's compensation insurance,
the employees, officers, and members of the sending political
subdivision have the same powers, duties, rights, privileges,
and immunities as if they were performing similar services in
the sending political subdivision and are considered to be
acting within the scope of and in the course of their regular
employment, as employees of the sending political subdivision.
(b) For the purposes of chapter 466, the employees and
officers of the sending political subdivision are deemed to be
employees, as defined in section 466.01, subdivision 6, of the
receiving political subdivision.
(c) The sending political subdivision shall be responsible
for any damages to its equipment.
(d) The receiving political subdivision shall reimburse the
sending political subdivision for the supplies used and the
compensation paid to the officers and members of the forces
furnished, during the time when the rendition of aid prevents
them from performing their duties in the sending political
subdivision, and for the actual travel and maintenance expenses
of the officers and members while so engaged. A claim for loss,
damage, or expense in using equipment or supplies or for
additional expenses incurred in operating or maintaining them
must not be allowed unless within 90 days after the loss,
damage, or expense is sustained or incurred, an itemized notice
of it, verified by an officer or employee of the municipality
having knowledge of the facts, is filed with the clerk of the
receiving political subdivision.
Subd. 3. [RETROACTIVE EFFECT.] Notwithstanding other laws
this section is effective retroactive to March 29, 1998.
Sec. 20. [PROPERTY TAX ABATEMENTS; PROPERTY DAMAGED BY
TORNADO.]
Subdivision 1. [AUTHORIZATION.] Notwithstanding the
requirements of Minnesota Statutes, section 375.192, the county
board of a qualified county may grant abatements of the full
amount of taxes on eligible property for taxes payable in 1998
as provided in this section. The owner of the property is not
required to apply for the abatement.
Subd. 2. [DEFINITIONS.] (a) As used in this section, the
terms defined in this subdivision have the meanings given them.
(b) "Qualified county" means any county in the area
designated under Presidential Declaration of Major Disaster,
DR1212, whether included in the original declaration or added
later by federal government action.
(c) "Eligible property" means a parcel of taxable property
located in a qualified county that contains a structure that has
been determined by the assessor to have lost over 50 percent of
its estimated market value due to wind damage. In the case of
agricultural property, the abatement is limited to the taxes on
the parcel attributable to the value of the house, garage, and
surrounding one acre, if the house has lost over 50 percent of
its estimated market value, and the tax attributable to the
value of any farm buildings and structures that have lost over
50 percent of their estimated market value.
Subd. 3. [ASSESSORS' DUTIES.] As soon as practicable,
local and county assessors in qualified counties shall notify
the county board and property owners of parcels of eligible
property.
Sec. 21. [VALUATION EXCLUSION FOR IMPROVEMENTS TO CERTAIN
BUSINESS PROPERTY.]
Property classified under Minnesota Statutes, section
273.13, subdivision 24, which is eligible for the preferred
class rate on the market value up to $150,000, shall qualify for
a valuation exclusion for assessment purposes, provided all of
the following conditions are met:
(1) the building must be damaged by the tornadoes of March
29, 1998;
(2) the building must be located within an area designated
by the Federal Emergency Management Agency as eligible for
federal aid due to the tornadoes of March 29, 1998;
(3) the total estimated market value of the land and
buildings must be $150,000 or less prior to the damage caused by
the tornadoes of March 29, 1998;
(4) a building permit must have been issued prior to the
commencement of the improvement, or if the building is located
in a city or town which does not have a building permit process,
the property owner must notify the assessor prior to the
commencement of the improvement;
(5) the property, including its improvements, has received
no public assistance, grants, or financing;
(6) the property is not receiving a property tax abatement
under Minnesota Statutes, section 469.1813; and
(7) the improvements are made after the date of final
enactment of this act and prior to January 1, 2000.
The assessor shall estimate the market value of the
building in the assessment year immediately following the year
that (1) the building permit was taken out, or (2) the taxpayer
notified the assessor that an improvement was to be made. If
the estimated market value of the building has increased over
the prior year's assessment, the assessor shall note the amount
of the increase on the property's record, and that amount shall
be subtracted from the value of the property in each year for
five years after the improvement has been made, at which time an
amount equal to 20 percent of the excluded value shall be added
back in each of the five subsequent assessment years.
For any property, there can be no more than two
improvements qualifying for exclusion under this subdivision.
The maximum amount of value that can be excluded from any
property under this subdivision is $50,000.
The assessor shall require an application. Applications
must be received prior to July 1 of any year in order to be
effective for taxes payable in the following year.
Sec. 22. [DISASTER AREA; DUE DATE EXTENDED FOR BUSINESS
PROPERTY TAXES.]
(a) Notwithstanding Minnesota Statutes, section 279.01,
subdivision 1, a penalty shall not accrue if (1) because of a
natural disaster, a taxpayer is unable to pay the first half of
the payable 1998 property taxes on class 3a or 3b property,
classified under Minnesota Statutes, section 273.13, subdivision
24, located in an area designated under Presidential Declaration
of Major Disaster, DR1212, whether included in the original
declaration or added later by federal government action and (2)
the taxpayer pays the first half of the payable 1998 taxes by
October 15, 1998.
(b) If the first one-half payment is paid after October 15,
1998, then all penalties that would have occurred on the due
date under Minnesota Statutes, section 279.01, subdivision 1,
shall be charged on the amount of the unpaid tax.
(c) The property taxpayer shall attach to the payment a
statement that the property is located in the disaster area and
qualified for an extension under this section.
Sec. 23. [1997-1998 AVERAGE DAILY MEMBERSHIP.]
Notwithstanding Minnesota Statutes, section 124.17, the
1997-1998 average daily membership for a school building in the
school districts of St. Peter, Comfrey, and Le Center closed due
to tornado damage for part of the school year and reopened
before the end of the school year shall be the greater of the
amount that would have been computed if the school building had
not reopened or the amount computed using actual data for the
entire school year.
Sec. 24. [FISCAL YEAR 1999 AND 2000 DECLINING PUPIL UNIT
AID.]
This section applies to the school districts of St. Peter,
Comfrey, and Le Center. For fiscal year 1999 only, a school
district with one or more school buildings closed during the
1997-1998 school year due to tornado damage is eligible for
declining pupil unit aid equal to the greater of zero or the
product of the general education formula allowance for fiscal
year 1999 times the difference between the district's actual
pupil units for the 1997-1998 school year and the district's
actual pupil units for the 1998-1999 school year.
For fiscal year 2000 only, a school district with one or
more school buildings closed during the 1998-1999 school year
due to tornado damage is eligible for declining pupil unit aid
equal to the greater of zero or the product of the general
education formula allowance for fiscal year 2000 times the
difference between the district's actual pupil units for the
1997-1998 school year and the district's actual pupil units for
the 1999-2000 school year.
Sec. 25. [SCHOOL DISTRICT AVERAGE DAILY MEMBERSHIP.]
For fiscal year 1999, the commissioner of children,
families, and learning may adjust school district average daily
membership data calculated under Minnesota Statutes, section
124.17, for those school districts whose enrollment is affected
by tornado damage in the spring of 1998 because students have
not yet returned to their resident school districts because
school facilities or homes are not available for occupancy.
Sec. 26. [TEMPORARY AUTHORITY TO SUSPEND RULES.]
Notwithstanding any law to the contrary, for fiscal years
1998 and 1999, an agency with the approval of the governor, may
temporarily suspend specific agency rules because of the effects
of the March 29, 1998 tornadoes. The suspension of rules must
be confined to geographic areas affected within counties located
in the area designated under Presidential Declaration of Major
Disaster, DR1212, whether included in the original declaration
or added later by federal government action, and to the minimum
periods of time necessary to deal with the emergency situation.
The agency must promptly report the reasons for and the impact
of any suspended rules to the chairs of the legislative
committees that oversee the policy and budgetary affairs of the
agency and to the chairs of the legislative committees on
governmental operations. This section expires January 15, 1999.
Sec. 27. [FEDERAL FUNDS.]
State agencies may apply for any federal funds available
for tornado relief. Notwithstanding Minnesota Statutes, section
3.3005, the commissioner of finance may submit the request to
receive and spend federal funds to the legislative advisory
commission required under Minnesota Statutes, section 3.3005,
any time after the application is made for those funds. If a
recommendation is not made within five days, no further review
by the legislative advisory commission is required, and the
commissioner shall approve or disapprove the request. If a
recommendation is made for further review, the commissioner may
proceed according to Minnesota Statutes, section 3.3005,
subdivision 5. This section expires January 15, 1999.
Sec. 28. [WAIVER OF HUMAN SERVICES STATUTES.]
Subdivision 1. [WAIVER AUTHORIZED.] In response to the
immediate and long-term effects on individuals and public and
private entities because of the March 29, 1998, tornadoes, the
commissioner of human services may waive or grant variances to
provisions in chapters 245A, 252, 256, 256B, 256D, 256E, 256G,
256I, 257, 259, 260, 518, and 626 governing: the transference
of funds between grant accounts; rate setting or other funding
requirements or limits for specific services; documentation or
reporting requirements; licensing requirements; payments,
including MinnesotaCare premiums; emergency assistance time
limits; general assistance citizenship requirements for student
residents; restrictions on receipt of emergency general
assistance by MFIP-S recipients; and other administrative
procedures as needed to ensure timely and continuous service to
persons receiving or eligible to receive services administered
by the commissioner or by the counties under supervision of the
commissioner. In granting a waiver or variance, the
commissioner shall consider the impact on the health and safety
of vulnerable persons. Waivers or variances may be restricted
to specific geographical areas and specific time periods.
Subd. 2. [NOTICE TO LEGISLATIVE CHAIRS.] The commissioner
shall notify the chairs of the senate health and family security
committee, health and family security budget division, human
resources finance committee, the house health and human services
committee, health and human services finance division, and ways
and means committee ten days prior to the effective date of any
waiver or variance granted under subdivision 1.
Subd. 3. [APPEALS.] The appeal rights of applicants for,
or recipients of, public assistance or a program of social
services under Minnesota Statutes, section 256.045, are not
affected by this provision. Counties and other services
providers do not have a right to appeal the commissioner's
decision on whether to waive or grant a variance from a statute
under this provision.
Subd. 4. [SUMMARY TO LEGISLATIVE CHAIRS.] Expenditures
under the waivers or variances must not exceed the total
appropriation for the commissioner, including any special
appropriations for tornado relief. The commissioner shall issue
a summary to the chairs of the senate human resources finance
and house ways and means committees by January 15, 1999,
regarding variances and waivers granted under the terms under
this provision.
Subd. 5. [EXPIRATION.] This section is effective the day
following final enactment and expires February 15, 1999.
Sec. 29. [DISASTER CLEANUP VEHICLE EXEMPTIONS.]
A commercial motor vehicle that is involved in the cleanup
of or assistance to the victims of the tornado disaster of March
29, 1998, is not subject to enforcement of the following laws or
rules:
(1) federal intra-state transportation under Code of
Federal Regulations, title 49, parts 390 to 399;
(2) intra-state registration under Minnesota Statutes,
sections 168.181 to 168.187 and 169.79;
(3) inspections under Minnesota Statutes, sections 169.781
and 169.782; and
(4) size and weight under Minnesota Statutes, sections
169.80, 169.81, 169.825, and 169.87, and chapters 221 and 296.
Sec. 30. [CRIME VICTIM REPARATIONS DEADLINES EXTENDED.]
The time limitations in Minnesota Statutes, section
611A.53, subdivision 2, for filing claims for crime victim
reparations are tolled for one year for crime victims who
resided on March 29, 1998, in the geographic areas within
counties included in the area designated under Presidential
Declaration of Major Disaster, DR1212, whether included in the
original declaration or added later by federal government action.
Sec. 31. Minnesota Statutes 1997 Supplement, section
41B.043, subdivision 2a, is amended to read:
Subd. 2a. [SNOW OR, FLOOD, OR OTHER NATURALLY CAUSED
DAMAGE.] A prospective borrower applying for a loan
participation through an eligible lender may refinance an
existing debt in order to repair or replace farm driveways,
drainage ditches and tile lines, grassed waterways, or
agricultural buildings damaged due to snow or, flooding, or
other weather-related causes.
Sec. 32. [41B.047] [DISASTER RECOVERY LOAN PROGRAM.]
Subdivision 1. [ESTABLISHMENT.] The authority shall
establish and implement a disaster recovery loan program to help
farmers clean up, repair, or replace farm structures and septic
and water systems, as well as replacement of seed, other crop
inputs, feed, and livestock.
Subd. 2. [REVOLVING FUND.] There is established in the
state treasury a disaster recovery revolving fund which is
eligible to receive appropriations. All repayments of financial
assistance granted under subdivision 1, including principal and
interest, must be deposited into this fund. Interest earned on
money in the fund accrues to the fund, and money in the fund is
appropriated to the commissioner of agriculture for purposes of
the disaster recovery loan program, including costs incurred by
the authority to establish and administer the program.
Subd. 3. [ELIGIBILITY.] To be eligible for this program, a
borrower must:
(1) be a resident of this state or a domestic family farm
corporation or family farm partnership as defined in section
500.24, subdivision 2;
(2) certify that the damage or loss was sustained within a
county that was the subject of a state or federal disaster
declaration;
(3) demonstrate an ability to repay the loan;
(4) have a total net worth, including assets and
liabilities of the borrower's spouse and dependents, of less
than $400,000; and
(5) have received at least 50 percent of average annual
gross income from farming for the past three years.
Subd. 4. [LOANS.] (a) The authority may participate in a
disaster recovery loan with an eligible lender to a farmer who
is eligible under subdivision 3. Participation is limited to 45
percent of the principal amount of the loan or $50,000,
whichever is less. The interest rates and repayment terms of
the authority's participation interest may differ from the
interest rates and repayment terms of the lender's retained
portion of the loan, but the authority's interest rate must not
exceed four percent.
(b) Standards for loan amortization shall be set by the
rural finance authority not to exceed ten years.
(c) Loans under this program must not be included in the
lifetime limitation calculated under section 41B.03, subdivision
1.
(d) Security for the disaster recovery loans must be a
personal note executed by the borrower and whatever other
security is required by the eligible lender or the authority.
(e) The authority may impose a reasonable nonrefundable
application fee for a disaster recovery loan. The authority may
review the fee annually and make adjustments as necessary. The
application fee is initially $50. Application fees received by
the authority must be deposited in the disaster recovery
revolving fund.
(f) Disaster recovery loans under this program will be made
using money in the disaster recovery revolving fund established
under subdivision 2.
Sec. 33. Minnesota Statutes 1997 Supplement, section
168.16, is amended to read:
168.16 [REFUNDS; APPROPRIATION.]
After the tax upon any motor vehicle shall have been paid
for any year, refund shall be made for errors made in computing
the tax or fees and for the error on the part of an owner who
may in error have registered a motor vehicle that was not
before, nor at the time of registration, nor at any time
thereafter during the current past year, subject to tax in this
state as provided by section 168.012. Unless otherwise provided
in this chapter, a claim for a refund of an overpayment of
registration tax must be filed within 3-1/2 years from the date
of payment. The refundment shall be made from any fund in
possession of the registrar and shall be deducted from the
registrar's monthly report to the commissioner of finance. A
detailed report of the refundment shall accompany the report.
The former owner of a transferred vehicle by an assignment in
writing endorsed upon the registration certificate and delivered
to the registrar within the time provided herein may sell and
assign to the new owner thereof the right to have the tax paid
by the former owner accredited to the owner who duly registers
the vehicle. Any owner at the time of such occurrence, whose
vehicle is declared by an insurance company to be a total loss
due to flood or tornado damage, permanently destroyed, or sold
to the federal government, the state, or political subdivision
thereof, and any owner who sells a rental motor vehicle and
transfers the license plates issued to that motor vehicle under
section 168.15, subdivision 3, shall upon filing a verified
claim be entitled to a refund of the unused portion of the tax
paid upon the vehicle, computed as follows:
(1) if the vehicle is registered under the calendar year
system of registration, the refund is computed pro rata by the
month, 1/12 of the annual tax paid for each month of the year
remaining after the month in which the plates and certificate
were returned to the registrar;
(2) in the case of a vehicle registered under the monthly
series system of registration, the amount of the refund is equal
to the sum of the amounts of the license fee attributable to
those months remaining in the licensing period after the month
in which the plates and certificate were returned to the
registrar.
There is hereby appropriated to the persons entitled to a
refund, from the fund or account in the state treasury to which
the money was credited, an amount sufficient to make the refund
and payment. Refunds under this section to licensed motor
vehicle lessors must be made annually in a manner the registrar
determines.
Sec. 34. Minnesota Statutes 1996, section 268.38, is
amended by adding a subdivision to read:
Subd. 13. [AUTHORITY TO WAIVE REQUIREMENTS DURING DISASTER
PERIODS.] The commissioner may waive requirements under this
section for up to nine months after the disaster for grantees in
areas where a federal disaster has been declared under United
States Code, title 42, section 5121, et seq., or the governor
has exercised authority under chapter 12. The commissioner
shall notify the chairs of the senate family and early childhood
education budget division, the senate education finance
committee, the house family and early childhood education
finance division, the house education committee, and the house
ways and means committee ten days before the effective date of
any waiver granted under this section.
Sec. 35. Minnesota Statutes 1997 Supplement, section
273.124, subdivision 14, is amended to read:
Subd. 14. [AGRICULTURAL HOMESTEADS; SPECIAL PROVISIONS.]
(a) Real estate of less than ten acres that is the homestead of
its owner must be classified as class 2a under section 273.13,
subdivision 23, paragraph (a), if:
(1) the parcel on which the house is located is contiguous
on at least two sides to (i) agricultural land, (ii) land owned
or administered by the United States Fish and Wildlife Service,
or (iii) land administered by the department of natural
resources on which in lieu taxes are paid under sections 477A.11
to 477A.14;
(2) its owner also owns a noncontiguous parcel of
agricultural land that is at least 20 acres;
(3) the noncontiguous land is located not farther than two
townships or cities, or a combination of townships or cities
from the homestead; and
(4) the agricultural use value of the noncontiguous land
and farm buildings is equal to at least 50 percent of the market
value of the house, garage, and one acre of land.
Homesteads initially classified as class 2a under the
provisions of this paragraph shall remain classified as class
2a, irrespective of subsequent changes in the use of adjoining
properties, as long as the homestead remains under the same
ownership, the owner owns a noncontiguous parcel of agricultural
land that is at least 20 acres, and the agricultural use value
qualifies under clause (4).
(b) Except as provided in paragraph (d), noncontiguous land
shall be included as part of a homestead under section 273.13,
subdivision 23, paragraph (a), only if the homestead is
classified as class 2a and the detached land is located in the
same township or city, or not farther than two townships or
cities or combination thereof from the homestead.
(c) Agricultural land used for purposes of a homestead and
actively farmed by a person holding a vested remainder interest
in it must be classified as a homestead under section 273.13,
subdivision 23, paragraph (a). If agricultural land is
classified class 2a, any other dwellings on the land used for
purposes of a homestead by persons holding vested remainder
interests who are actively engaged in farming the property, and
up to one acre of the land surrounding each homestead and
reasonably necessary for the use of the dwelling as a home, must
also be assessed class 2a.
(d) Agricultural land and buildings that were class 2a
homestead property under section 273.13, subdivision 23,
paragraph (a), for the 1997 assessment shall remain classified
as agricultural homesteads for subsequent assessments if:
(1) the property owner abandoned the homestead dwelling
located on the agricultural homestead as a result of the April
1997 floods;
(2) the property is located in the county of Polk, Clay,
Kittson, Marshall, Norman, or Wilkin;
(3) the agricultural land and buildings remain under the
same ownership for the current assessment year as existed for
the 1997 assessment year;
(4) the dwelling occupied by the owner is located in
Minnesota and is within 30 miles of one of the parcels of
agricultural land that is owned by the taxpayer; and
(5) the owner notifies the county assessor that the
relocation was due to the 1997 floods, and the owner furnishes
the assessor any information deemed necessary by the assessor in
verifying the change in homestead dwelling. For taxes payable
in 1998, the owner must notify the assessor by December 1, 1997.
(e) Agricultural land and buildings that were class 2a
homestead property under section 273.13, subdivision 23,
paragraph (a), for the 1998 assessment shall remain classified
agricultural homesteads for subsequent assessments if:
(1) the property owner abandoned the homestead dwelling
located on the agricultural homestead as a result of damage
caused by a March 29, 1998, tornado;
(2) the property is located in the county of Blue Earth,
Brown, Cottonwood, LeSueur, Nicollet, Nobles, or Rice;
(3) the agricultural land and buildings remain under the
same ownership for the current assessment year as existed for
the 1998 assessment year;
(4) the dwelling occupied by the owner is located in this
state and is within 50 miles of one of the parcels of
agricultural land that is owned by the taxpayer; and
(5) the owner notifies the county assessor that the
relocation was due to a March 29, 1998, tornado, and the owner
furnishes the assessor any information deemed necessary by the
assessor in verifying the change in homestead dwelling. For
taxes payable in 1999, the owner must notify the assessor by
December 1, 1998. Further notifications to the assessor are not
required if the property continues to meet all the requirements
in this paragraph and any dwellings on the agricultural land
remain uninhabited.
Sec. 36. Laws 1997, chapter 203, article 1, section 15, as
added by Laws 1997, First Special Session chapter 5, section 46,
is amended to read:
Sec. 15. [119B.26] [AUTHORITY TO WAIVE REQUIREMENTS DURING
DISASTER PERIODS.]
The commissioner of children, families, and learning may
waive requirements under Minnesota Statutes, chapter 119B, for
up to nine months after the disaster in areas where a federal
disaster has been declared under United States Code, title 42,
section 5121, et seq., or the governor has exercised authority
under chapter 12. The commissioner shall notify the chairs of
the senate family and early childhood education budget division,
the senate education finance committee, the house family and
early childhood education finance division, the house education
committee, and the house ways and means committee ten days
before the effective date of any waiver granted under this
section.
Sec. 37. Laws 1997, chapter 203, article 1, section 17, as
added by Laws 1997, First Special Session chapter 5, section 46,
is amended to read:
Sec. 17. [268.9165] [AUTHORITY TO WAIVE REQUIREMENTS
DURING DISASTER PERIODS.]
The commissioner of children, families, and learning may
waive requirements under Minnesota Statutes, sections 268.912 to
268.916, for up to nine months after the disaster for Head Start
grantees in areas where a federal disaster has been declared
under United States Code, title 42, section 5121, et seq., or
the governor has exercised authority under chapter 12. The
commissioner shall notify the chairs of the senate family and
early childhood education budget division, the senate education
finance committee, the house family and early childhood
education finance division, the house education committee, and
the house ways and means committee ten days before the effective
date of any waiver granted under this section.
Sec. 38. [TORNADO DAMAGES; STATE EMPLOYEE VACATION
DONATION.]
Subdivision 1. [DONATION OF VACATION TIME.] A state
employee may donate up to 40 hours of accrued vacation time, in
addition to that donated under Minnesota Statutes, section
43A.181, in the biennium ending June 30, 1999, to the account
established by subdivision 2. The employee must notify the
employee's agency head of the amount of accrued vacation time
the employee wishes to donate. Vacation donations of more than
12 hours require the approval of the agency head. The agency
head shall determine the monetary value of the donated time,
using the gross salary of the employee making the donation. The
agency head shall transfer that amount, less deductions for
applicable taxes and retirement contributions, to the account
established by subdivision 2. A donation of accrued vacation
time is irrevocable once its monetary value has been transferred
to the account.
Subd. 2. [TORNADO DISASTER BENEFIT ACCOUNT.] The tornado
disaster benefit account, consisting of money transferred under
subdivision 1, is administered by the commissioner of employee
relations. Money in the account is appropriated to the
commissioner for purposes of this section.
Subd. 3. [USE OF ACCOUNT ASSETS.] Expenditures from the
account established by subdivision 2 must be used to assist
needy families and individuals affected by the tornadoes
occurring on March 29, 1998. The commissioner must consult with
charitable organizations and collective bargaining units in
targeting the money appropriately.
Subd. 4. [RECOVERY LEAVE BANK.] In the biennium ending
June 30, 1999, a state employee may donate up to 12 hours of
accrued vacation time to a recovery leave bank administered by
the commissioner of employee relations. This donation is in
addition to those permitted in subdivision 1 and Minnesota
Statutes, sections 43A.181 and 43A.1815. The recovery leave
bank is for the use of state employees who have been adversely
affected by the tornadoes occurring on March 29, 1998. The
donating employee must notify the employee's agency head of the
amount of accrued vacation time the employee wishes to donate to
the recovery leave bank. A donation of accrued vacation time is
irrevocable after the donor signs a donation request form. The
agency head must transfer that vacation time to the recovery
leave bank. The commissioner must establish procedures for
determining eligibility for receiving the time donated to the
recovery leave bank and other issues related to the
administration of this program. These procedures must be
established after consulting with the exclusive representatives
of affected employees and are not subject to the provisions of
Minnesota Statutes, chapter 14. The commissioner must
distribute all hours remaining in the recovery leave bank at the
end of the biennium to the sick leave balances of those
employees eligible to receive donated time under the provisions
of Minnesota Statutes, section 43A.1815.
Sec. 39. [DELAY OF FINANCIAL REPORT FILING; DISASTER
AREAS.]
For any city or town located in whole or in part within a
county that has been designated by the Federal Emergency
Management Agency as eligible for federal aid due to the
tornadoes of March 29, 1998, the deadline by which financial
reports are required to be filed under Minnesota Statutes,
section 471.697 or 471.698, is extended by 90 days.
Sec. 40. [VICTIMS OF TORNADO; EXTENSIONS OF TIME RELATING
TO TAXES.]
Subdivision 1. [INCOME TAX EXTENSION.] The limitations of
time provided by Minnesota Statutes, chapters 289 and 290,
relating to income taxes, and Minnesota Statutes, chapter 271,
relating to the tax court, for filing income tax returns, paying
income taxes, claiming income tax refunds, commencing actions
relating to income taxes, appealing to the tax court from orders
relating to income taxes, and appealing to the supreme court
from decisions of the tax court relating to income taxes are
extended until May 30, 1998, for individuals who are residents
in an area designated by the Federal Emergency Management Agency
pursuant to a disaster declaration issued for the tornadoes of
March 29, 1998.
Subd. 2. [INTEREST AND PENALTIES.] Interest on income tax
must not be assessed or collected from an individual with
respect to whom, and for the period during which, the
limitations of time are extended as provided in subdivision 1.
A penalty is not assessed or collected from an individual for
failure during that period to perform an act required by the
laws described in subdivision 1.
Subd. 3. [ABATEMENT.] The commissioner of revenue shall
abate penalties and interest on withholding taxes and
declarations under Minnesota Statutes, section 290.92, and on
sales taxes deposits and returns under Minnesota Statutes,
chapters 289A and 297B, for failure to pay amounts or file
returns due between April 1, 1998, and May 30, 1998, if:
(1) the taxpayer qualifies under subdivision 1; and
(2) the taxpayer files all required returns and
declarations and pays all tax amounts due by May 30, 1998.
Subd. 4. [APPLICABILITY.] Nothing in this section reduces
the time within which an act is required or permitted under
Minnesota Statutes, chapter 271, 289A, 290, 297A, or 297B.
Sec. 41. [REPEALER.]
Laws 1997, chapter 203, article 1, section 16, as added by
Laws 1997, First Special Session chapter 5, section 46, is
repealed.
Sec. 42. [EFFECTIVE DATE.]
Except as otherwise provided in this act, this act is
effective the day after its final enactment.
Presented to the governor April 9, 1998
Signed by the governor April 9, 1998, 6:45 p.m.
Official Publication of the State of Minnesota
Revisor of Statutes