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

                            CHAPTER 290-S.F.No. 2756 
                  An act relating to hospital districts; authorizing the 
                  annexation of a city or town that is contiguous to a 
                  contiguous city or town; amending Minnesota Statutes 
                  1998, section 447.36. 
        BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
           Section 1.  Minnesota Statutes 1998, section 447.36, is 
        amended to read: 
           447.36 [ANNEXATION OF TERRITORY.] 
           After the creation or reorganization of a hospital 
        district, a city or town whose territory is contiguous to the 
        district or contiguous to a city or town that is contiguous to 
        the district at any point may ask to be annexed to the district. 
        The resolution is subject to referendum according to section 
        447.31, subdivision 3.  Annexed territory is subject to taxation 
        like other property in the district for the support of its 
        facilities and for the payment of principal and interest 
        becoming due after the annexation on bonds of the district, 
        whether authorized or issued before or after the annexation.  If 
        the hospital district has outstanding bonds or has voted bonds 
        that are not yet issued, the annexation must not be requested 
        unless approved by a majority of the electors of the city or 
        town voting on the question at a regular or special election.  
        The hospital board may condition its approval of the annexation 
        upon the contribution, by or on behalf of the city or town to be 
        annexed, to the capital improvement fund or the bond sinking 
        fund of the hospital district, of an amount agreed upon as a 
        reasonable estimate of the proportionate share, properly 
        applicable to the annexed territory, of capital costs previously 
        paid by the district, having regard to contributions previously 
        made by cities and towns in the district and their inhabitants, 
        and principal and interest already paid on bonds of the 
        district.  A city or town asking to be annexed may appropriate 
        money or may authorize, issue, and sell its bonds or may accept 
        and spend contributions from private parties to pay the 
        proportionate share agreed upon.  Each annexation becomes 
        effective upon the date of adoption of the hospital board's 
        resolution approving the annexation, or on a later date as the 
        resolution prescribes.  A certified copy of the resolution must 
        be filed as provided in section 447.31, subdivision 4, for 
        resolutions creating the district. 
           Presented to the governor March 24, 2000 
           Signed by the governor March 28, 2000, 2:33 p.m.