1999 Minnesota Statutes

     275.70 Levy limitations; definitions. 

    Subdivision 1.    Application.  For the purposes of 
 sections 275.70 to 275.74, the following terms shall have the 
 meanings given them, unless provided otherwise. 

    Subd. 2.    Implicit price deflator.  "Implicit price 
 deflator" means the implicit price deflator for government 
 consumption expenditures and gross investment for state and 
 local governments prepared by the bureau of economic analysis of 
 the United States Department of Commerce for the 12-month period 
 ending March 31 of the levy year. 

    Subd. 3.    Local governmental unit.  "Local 
 governmental unit" means a county, or a statutory or home rule 
 charter city with a population greater than 2,500. 

    Subd. 4.    Population; number of households.  
 "Population" or "number of households" means the population or 
 number of households for the local governmental unit as 
 established by the last federal census, by a census taken under 
 section 275.14, or by an estimate made by the metropolitan 
 council or by the state demographer under section 4A.02, 
 whichever is most recent as to the stated date of the count or 
 estimate up to and including July 1 of the current levy year. 

    Subd. 5.    Special levies.  "Special levies" means 
 those portions of ad valorem taxes levied by a local 
 governmental unit for the following purposes or in the following 
 manner: 

    (1) to pay the costs of the principal and interest on 
 bonded indebtedness or to reimburse for the amount of liquor 
 store revenues used to pay the principal and interest due on 
 municipal liquor store bonds in the year preceding the year for 
 which the levy limit is calculated; 

    (2) to pay the costs of principal and interest on 
 certificates of indebtedness issued for any corporate purpose 
 except for the following: 

    (i) tax anticipation or aid anticipation certificates of 
 indebtedness; 

    (ii) certificates of indebtedness issued under sections 
 298.28 and 298.282; 

    (iii) certificates of indebtedness used to fund current 
 expenses or to pay the costs of extraordinary expenditures that 
 result from a public emergency; or 

    (iv) certificates of indebtedness used to fund an 
 insufficiency in tax receipts or an insufficiency in other 
 revenue sources; 

    (3) to provide for the bonded indebtedness portion of 
 payments made to another political subdivision of the state of 
 Minnesota; 

    (4) to fund payments made to the Minnesota state armory 
 building commission under section 193.145, subdivision 2, to 
 retire the principal and interest on armory construction bonds; 

    (5) for unreimbursed expenses related to flooding that 
 occurred during the first half of calendar year 1997, as allowed 
 by the commissioner of revenue under section 275.74, paragraph 
 (b); 

    (6) for local units of government located in an area 
 designated by the Federal Emergency Management Agency pursuant 
 to a major disaster declaration issued for Minnesota by 
 President Clinton after April 1, 1997, and before June 11, 1997, 
 for the amount of tax dollars lost due to abatements authorized 
 under section 273.123, subdivision 7, and Laws 1997, chapter 
 231, article 2, section 64, to the extent that they are related 
 to the major disaster and to the extent that neither the state 
 or federal government reimburses the local government for the 
 amount lost; 

    (7) property taxes approved by voters which are levied 
 against the referendum market value as provided under section 
 275.61; 

    (8) to fund matching requirements needed to qualify for 
 federal or state grants or programs to the extent that either 
 (i) the matching requirement exceeds the matching requirement in 
 calendar year 1997, or (ii) it is a new matching requirement 
 that didn't exist prior to 1998; 

    (9) to pay the expenses reasonably and necessarily incurred 
 in preparing for or repairing the effects of natural disaster 
 including the occurrence or threat of widespread or severe 
 damage, injury, or loss of life or property resulting from 
 natural causes, in accordance with standards formulated by the 
 emergency services division of the state department of public 
 safety, as allowed by the commissioner of revenue under section 
 275.74, paragraph (b); 

    (10) for the amount of tax revenue lost due to abatements 
 authorized under section 273.123, subdivision 7, for damage 
 related to the tornadoes of March 29, 1998, to the extent that 
 neither the state or federal government provides reimbursement 
 for the amount lost; 

    (11) pay amounts required to correct an error in the levy 
 certified to the county auditor by a city or county in a levy 
 year, but only to the extent that when added to the preceding 
 year's levy it is not in excess of an applicable statutory, 
 special law or charter limitation, or the limitation imposed on 
 the governmental subdivision by sections 275.70 to 275.74 in the 
 preceding levy year; 

    (12) to pay an abatement under section 469.1815; 

    (13) to pay the employer contribution to the local 
 government correctional service retirement plan under section 
 353E.03, subdivision 2, to the extent that the employer 
 contribution exceeds 5.49 percent of total salary; and 

    (14) to pay the operating or maintenance costs of a county 
 jail as authorized in section 641.01 or 641.262, or of a 
 correctional facility as defined in section 241.021, subdivision 
 1, paragraph (5), to the extent that the county can demonstrate 
 to the commissioner of revenue that the amount has been included 
 in the county budget as a direct result of a rule, minimum 
 requirement, minimum standard, or directive of the department of 
 corrections.  If the county utilizes this special levy, any 
 amount levied by the county in the previous levy year for the 
 purposes specified under this clause and included in the 
 county's previous year's levy limitation computed under section 
 275.71, shall be deducted from the levy limit base under section 
 275.71, subdivision 2, when determining the county's current 
 year levy limitation.  The county shall provide the necessary 
 information to the commissioner of revenue for making this 
 determination. 

    Subd. 6.    Matching fund requirements.  The special 
 levy provided in subdivision 5, clause (8), does not include the 
 increased direct and indirect costs related to general increases 
 in program costs where there is no mandated increase regarding 
 the matching fund requirements.  Specifically, but without 
 limitation, the following provisions apply to the special levy 
 authorization in subdivision 5, clause (8):  

    (1) increases in direct or indirect income maintenance 
 administrative costs are not included; 

    (2) increases for social services and social services 
 administration are included, but only to the extent that the 
 minimum local share amount needed to receive community social 
 service aids exceeds the amount levied for social services and 
 social services administration for the taxes payable year 1997; 
 and 

    (3) increases in county costs for Title IV-E Foster Care 
 Services over the amount levied for the taxes payable year 1997 
 are included to the extent the amount from both years represents 
 the local matching fund requirement for the federal grant.  

    HIST: 1997 c 231 art 3 s 3; 1Sp1997 c 5 s 24; 1998 c 389 art 4 
 s 1,2; 1999 c 222 art 2 s 4; 1999 c 243 art 6 s 3 

*   NOTE:  This section, as added by Laws 1997, chapter 231, 
*article 3, section 3, is effective for taxes levied in 1997 
*through 1999, payable in 1998 through 2000.  Laws 1997, chapter 
*231, article 3, section 9, as amended by Laws 1999, chapter 243, 
*article 6, section 10.