1.1 	A bill for an act
1.2 	relating to taxation; taconite production tax; establishing the Iron Range education 
1.3 	account;amending Minnesota Statutes 2020, section 298.28, by adding a 
1.4 	subdivision.
1.5 	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

1.6 	Section 1. Minnesota Statutes 2020, section 298.28, is amended by adding a subdivision 
1.7 	to read:
1.8 		Subd. 7b.Iron Range education account. (a) Five cents per taxable ton for distributions 
1.9 	in 2024 through 2034 must be allocated to the commissioner of Iron Range Resources and 
1.10 	Rehabilitation to be deposited in the Iron Range education account that is hereby created.
1.11 	(b) Funds from this account shall be allocated in equal shares to Independent School 
1.12 	District No. 695, Chisholm, and Independent School District No. 701, Hibbing, to assist 
1.13 	with the payment of bonds issued for school construction or improvement projects that were 
1.14 	approved by the commissioner of education pursuant to section 123B.71.
1.15 	(c) Funds shall only be released under paragraph (b) once the district provides an 
1.16 	expenditure equal to twice the amount of the expenditure released from the Iron Range 
1.17 	education account for each school project.
1.18 	(d) A district must use the distribution under this subdivision to reduce its equalized 
1.19 	debt service levy under section 123B.53. The commissioner of education must not recompute 
1.20 	the debt service equalization aid under section 123B.53 as a result of a disbursement under 
1.21 	this subdivision.

1.22 	EFFECTIVE DATE. This section is effective beginning with distributions in 2024.