2002 Minnesota Statutes

CHAPTER 275. Taxes; levy, extension

     275.01 Levy in specific amounts.  

    All taxes shall be levied or voted in specific amounts and 
 the rates percent shall be determined from the amount of 
 property as equalized by the state board of equalization each 
 year, except such general taxes as may be definitely fixed by 
 law.  

    HIST: (2055) RL s 866 

     275.011 Mill rate levy limitations; conversion from 
  mills to dollars. 

    Subdivision 1.    Determination of levy limit.  The 
 property tax levied for any purpose under a special law that is 
 not codified in Minnesota Statutes or a city charter provision 
 and that is subject to a mill rate limitation imposed by the 
 special law or city charter provision, excluding levies subject 
 to mill rate limitations that use adjusted assessed values 
 determined by the commissioner of revenue under section 
 124.2131, must not exceed the following amount for the years 
 specified: 

    (a) for taxes payable in 1988, the product of the 
 applicable mill rate limitation imposed by special law or city 
 charter provision multiplied by the total assessed valuation of 
 all taxable property subject to the tax as adjusted by the 
 provisions of Minnesota Statutes 1986, sections 272.64; 273.13, 
 subdivision 7a; and 275.49; 

    (b) for taxes payable in 1989, the product of (1) the 
 property tax levy limitation for the taxes payable year 1988 
 determined under clause (a) multiplied by (2) an index for 
 market valuation changes equal to the assessment year 1988 total 
 market valuation of all taxable property subject to the tax 
 divided by the assessment year 1987 total market valuation of 
 all taxable property subject to the tax; and 

    (c) for taxes payable in 1990 and subsequent years, the 
 product of (1) the property tax levy limitation for the previous 
 year determined pursuant to this subdivision multiplied by (2) 
 an index for market valuation changes equal to the total market 
 valuation of all taxable property subject to the tax for the 
 current assessment year divided by the total market valuation of 
 all taxable property subject to the tax for the previous 
 assessment year. 

    For the purpose of determining the property tax levy 
 limitation for the taxes payable year 1988 and subsequent years 
 under this subdivision, "total market valuation" means the total 
 market valuation of all taxable property subject to the tax 
 without valuation adjustments for fiscal disparities (chapters 
 276A and 473F), tax increment financing (sections 469.174 to 
 469.179), or powerline credit (section 273.425). 

    Subd. 2.    Construction of mill rate levy limit.  A 
 mill rate levy limitation imposed by a special law or city 
 charter provision that is presently in effect, excluding those 
 mill rate levy limitations that use adjusted assessed values 
 determined by the commissioner of revenue under section 
 124.2131, shall be construed to allow no more and no less 
 property taxes than the amount determined under this section. 

    Subd. 3.    County capital improvement mill limits.  For 
 purposes of determining the mill rate limits applicable to 
 county capital improvement programs under section 373.40, the 
 mill rate limit applicable to the county must be divided by 0.45 
 and multiplied by the county's assessed value for taxes payable 
 in 1988.  The resulting dollar amount must be used in 
 determining the limitation under the procedures provided by this 
 section.  

    HIST: 1988 c 719 art 5 s 36; 1989 c 277 art 4 s 21,22; 1989 c 
 329 art 13 s 8; 1997 c 31 art 3 s 8; 1998 c 254 art 1 s 78 

     275.02 State levy for bonded debt; certification of tax 
  rate. 

    A state tax for bonded debt pursuant to the Minnesota 
 Constitution, article XI, shall be levied on the tax capacity of 
 all taxable property in the state.  The rate of the tax shall be 
 certified by the state auditor to each county auditor on or 
 before November 1 annually.  The tax under this section is not 
 treated as a local tax rate under section 469.177.  

    HIST: (2056) RL s 867; 1935 c 282; Ex1959 c 70 art 2 s 1; 1965 
 c 45 s 49; 1984 c 593 s 33; 1Sp2001 c 5 art 3 s 45 

     275.025 State general tax. 

    Subdivision 1.    Levy amount.  The state general levy 
 is levied against commercial-industrial property and seasonal 
 recreational property, as defined in this section.  The state 
 general levy is $592,000,000 for taxes payable in 2002.  For 
 taxes payable in subsequent years, the levy is increased each 
 year by multiplying the amount for the prior year by the sum of 
 one plus the rate of increase, if any, in the implicit price 
 deflator for government consumption expenditures and gross 
 investment for state and local governments prepared by the 
 Bureau of Economic Analysts of the United States Department of 
 Commerce for the 12-month period ending March 31 of the year 
 prior to the year the taxes are payable.  The tax under this 
 section is not treated as a local tax rate under section 469.177 
 and is not the levy of a governmental unit under chapters 276A 
 and 473F.  Beginning in fiscal year 2004, and in each year 
 thereafter, the commissioner of finance shall deposit in an 
 education reserve account, which account is hereby established, 
 the increased amount of the state general levy received for 
 deposit in the general fund for that year over the amount of the 
 state general levy received for deposit in the general fund in 
 fiscal year 2003.  The amounts in the education reserve account 
 do not lapse or cancel each year, but remain until appropriated 
 by law for education aid or higher education funding. 

    Subd. 2.    Commercial-industrial tax capacity.  For the 
 purposes of this section, "commercial-industrial tax capacity" 
 means the tax capacity of all taxable property classified as 
 class 3 or class 5(1) under section 273.13, except for electric 
 generation attached machinery under class 3 and property 
 described in section 473.625.  County commercial-industrial tax 
 capacity amounts are not adjusted for the captured net tax 
 capacity of a tax increment financing district under section 
 469.177, subdivision 2, the net tax capacity of transmission 
 lines deducted from a local government's total net tax capacity 
 under section 273.425, or fiscal disparities contribution and 
 distribution net tax capacities under chapter 276A or 473F. 

    Subd. 3.    Seasonal recreational tax capacity.  For the 
 purposes of this section, "seasonal recreational tax capacity" 
 means the tax capacity of all class 4c(1) property under section 
 273.13, subdivision 25, except that the first $76,000 of market 
 value of each noncommercial class 4c(1) property has a tax 
 capacity for this purpose equal to 40 percent of its tax 
 capacity under section 273.13. 

    Subd. 4.    Apportionment and levy of state general tax. 
  The state general tax must be distributed among the counties 
 by applying a uniform rate to each county's 
 commercial-industrial tax capacity and its seasonal recreational 
 tax capacity.  Within each county, the tax must be levied by 
 applying a uniform rate against commercial-industrial tax 
 capacity and seasonal recreational tax capacity.  By November 1 
 each year, the commissioner of revenue shall certify the state 
 general levy rate to each county auditor. 

    HIST: 1Sp2001 c 5 art 3 s 46 

  275.03 Repealed, 1993 c 375 art 3 s 47 

  275.035 Repealed, 1988 c 719 art 6 s 21 

  275.04 Repealed, 1965 c 45 s 73 

  275.05 Repealed, 1965 c 45 s 73 

  275.06 Repealed, 1965 c 45 s 73 

  275.064 Repealed, 1996 c 310 s 1 

     275.065 Proposed property taxes; notice. 

    Subdivision 1.    Proposed levy.  (a) Notwithstanding 
 any law or charter to the contrary, on or before September 15, 
 each taxing authority, other than a school district, shall adopt 
 a proposed budget and shall certify to the county auditor the 
 proposed or, in the case of a town, the final property tax levy 
 for taxes payable in the following year. 

    (b) On or before September 30, each school district shall 
 certify to the county auditor the proposed property tax levy for 
 taxes payable in the following year.  The school district shall 
 certify the proposed levy as: 

    (1) the state determined school levy amount as prescribed 
 under section 126C.13, subdivision 2; 

    (2) voter approved referendum and debt levies; and 

    (3) the sum of the remaining school levies, or the maximum 
 levy limitation certified by the commissioner of children, 
 families, and learning according to section 126C.48, subdivision 
 1, less the amounts levied under clauses (1) and (2). 

    (c) If the board of estimate and taxation or any similar 
 board that establishes maximum tax levies for taxing 
 jurisdictions within a first class city certifies the maximum 
 property tax levies for funds under its jurisdiction by charter 
 to the county auditor by September 15, the city shall be deemed 
 to have certified its levies for those taxing jurisdictions. 

    (d) For purposes of this section, "taxing authority" 
 includes all home rule and statutory cities, towns, counties, 
 school districts, and special taxing districts as defined in 
 section 275.066.  Intermediate school districts that levy a tax 
 under chapter 124 or 136D, joint powers boards established under 
 sections 123A.44 to 123A.446, and common school districts No. 
 323, Franconia, and No. 815, Prinsburg, are also special taxing 
 districts for purposes of this section.  

    Subd. 1a.    Overlapping jurisdictions.  In the case of 
 a taxing authority lying in two or more counties, the home 
 county auditor shall certify the proposed levy and the proposed 
 local tax rate to the other county auditor by September 20.  The 
 home county auditor must estimate the levy or rate in preparing 
 the notices required in subdivision 3, if the other county has 
 not certified the appropriate information.  If requested by the 
 home county auditor, the other county auditor must furnish an 
 estimate to the home county auditor. 

    Subd. 1b. Repealed, 1992 c 511 art 3 s 9 

    Subd. 1c.    Levy; shared, merged, consolidated services. 
  If two or more taxing authorities are in the process of 
 negotiating an agreement for sharing, merging, or consolidating 
 services between those taxing authorities at the time the 
 proposed levy is to be certified under subdivision 1, each 
 taxing authority involved in the negotiation shall certify its 
 total proposed levy as provided in that subdivision, including a 
 notification to the county auditor of the specific service 
 involved in the agreement which is not yet finalized.  The 
 affected taxing authorities may amend their proposed levies 
 under subdivision 1 until October 10 for levy amounts relating 
 only to the specific service involved. 

    Subd. 2. Repealed, 1Sp1989 c 1 art 9 s 85 

    Subd. 3.    Notice of proposed property taxes.  (a) The 
 county auditor shall prepare and the county treasurer shall 
 deliver after November 10 and on or before November 24 each 
 year, by first class mail to each taxpayer at the address listed 
 on the county's current year's assessment roll, a notice of 
 proposed property taxes.  

    (b) The commissioner of revenue shall prescribe the form of 
 the notice. 

    (c) The notice must inform taxpayers that it contains the 
 amount of property taxes each taxing authority proposes to 
 collect for taxes payable the following year.  In the case of a 
 town, or in the case of the state general tax, the final tax 
 amount will be its proposed tax.  In the case of taxing 
 authorities required to hold a public meeting under subdivision 
 6, the notice must clearly state that each taxing authority, 
 including regional library districts established under section 
 134.201, and including the metropolitan taxing districts as 
 defined in paragraph (i), but excluding all other special taxing 
 districts and towns, will hold a public meeting to receive 
 public testimony on the proposed budget and proposed or final 
 property tax levy, or, in case of a school district, on the 
 current budget and proposed property tax levy.  It must clearly 
 state the time and place of each taxing authority's meeting, a 
 telephone number for the taxing authority that taxpayers may 
 call if they have questions related to the notice, and an 
 address where comments will be received by mail.  

    (d) The notice must state for each parcel: 

    (1) the market value of the property as determined under 
 section 273.11, and used for computing property taxes payable in 
 the following year and for taxes payable in the current year as 
 each appears in the records of the county assessor on November 1 
 of the current year; and, in the case of residential property, 
 whether the property is classified as homestead or 
 nonhomestead.  The notice must clearly inform taxpayers of the 
 years to which the market values apply and that the values are 
 final values; 

    (2) the items listed below, shown separately by county, 
 city or town, and state general tax, net of the residential and 
 agricultural homestead credit under section 273.1384, voter 
 approved school levy, other local school levy, and the sum of 
 the special taxing districts, and as a total of all taxing 
 authorities:  

    (i) the actual tax for taxes payable in the current year; 

    (ii) the tax change due to spending factors, defined as the 
 proposed tax minus the constant spending tax amount; 

    (iii) the tax change due to other factors, defined as the 
 constant spending tax amount minus the actual current year tax; 
 and 

    (iv) the proposed tax amount. 

    If the county levy under clause (2) includes an amount for 
 a lake improvement district as defined under sections 103B.501 
 to 103B.581, the amount attributable for that purpose must be 
 separately stated from the remaining county levy amount.  

    In the case of a town or the state general tax, the final 
 tax shall also be its proposed tax unless the town changes its 
 levy at a special town meeting under section 365.52.  If a 
 school district has certified under section 126C.17, subdivision 
 9, that a referendum will be held in the school district at the 
 November general election, the county auditor must note next to 
 the school district's proposed amount that a referendum is 
 pending and that, if approved by the voters, the tax amount may 
 be higher than shown on the notice.  In the case of the city of 
 Minneapolis, the levy for the Minneapolis library board and the 
 levy for Minneapolis park and recreation shall be listed 
 separately from the remaining amount of the city's levy.  In the 
 case of the city of St. Paul, the levy for the St. Paul library 
 agency must be listed separately from the remaining amount of 
 the city's levy.  In the case of a parcel where tax increment or 
 the fiscal disparities areawide tax under chapter 276A or 473F 
 applies, the proposed tax levy on the captured value or the 
 proposed tax levy on the tax capacity subject to the areawide 
 tax must each be stated separately and not included in the sum 
 of the special taxing districts; and 

    (3) the increase or decrease between the total taxes 
 payable in the current year and the total proposed taxes, 
 expressed as a percentage. 

    For purposes of this section, the amount of the tax on 
 homesteads qualifying under the senior citizens' property tax 
 deferral program under chapter 290B is the total amount of 
 property tax before subtraction of the deferred property tax 
 amount. 

    (e) The notice must clearly state that the proposed or 
 final taxes do not include the following: 

    (1) special assessments; 

    (2) levies approved by the voters after the date the 
 proposed taxes are certified, including bond referenda, school 
 district levy referenda, and levy limit increase referenda; 

    (3) amounts necessary to pay cleanup or other costs due to 
 a natural disaster occurring after the date the proposed taxes 
 are certified; 

    (4) amounts necessary to pay tort judgments against the 
 taxing authority that become final after the date the proposed 
 taxes are certified; and 

    (5) the contamination tax imposed on properties which 
 received market value reductions for contamination. 

    (f) Except as provided in subdivision 7, failure of the 
 county auditor to prepare or the county treasurer to deliver the 
 notice as required in this section does not invalidate the 
 proposed or final tax levy or the taxes payable pursuant to the 
 tax levy. 

    (g) If the notice the taxpayer receives under this section 
 lists the property as nonhomestead, and satisfactory 
 documentation is provided to the county assessor by the 
 applicable deadline, and the property qualifies for the 
 homestead classification in that assessment year, the assessor 
 shall reclassify the property to homestead for taxes payable in 
 the following year. 

    (h) In the case of class 4 residential property used as a 
 residence for lease or rental periods of 30 days or more, the 
 taxpayer must either: 

    (1) mail or deliver a copy of the notice of proposed 
 property taxes to each tenant, renter, or lessee; or 

    (2) post a copy of the notice in a conspicuous place on the 
 premises of the property.  

    The notice must be mailed or posted by the taxpayer by 
 November 27 or within three days of receipt of the notice, 
 whichever is later.  A taxpayer may notify the county treasurer 
 of the address of the taxpayer, agent, caretaker, or manager of 
 the premises to which the notice must be mailed in order to 
 fulfill the requirements of this paragraph. 

    (i) For purposes of this subdivision, subdivisions 5a and 
 6, "metropolitan special taxing districts" means the following 
 taxing districts in the seven-county metropolitan area that levy 
 a property tax for any of the specified purposes listed below: 

    (1) metropolitan council under section 473.132, 473.167, 
 473.249, 473.325, 473.446, 473.521, 473.547, or 473.834; 

    (2) metropolitan airports commission under section 473.667, 
 473.671, or 473.672; and 

    (3) metropolitan mosquito control commission under section 
 473.711. 

    For purposes of this section, any levies made by the 
 regional rail authorities in the county of Anoka, Carver, 
 Dakota, Hennepin, Ramsey, Scott, or Washington under chapter 
 398A shall be included with the appropriate county's levy and 
 shall be discussed at that county's public hearing. 

    (j) If a statutory or home rule charter city or a town has 
 exercised the local levy option provided by section 473.388, 
 subdivision 7, it may include in the notice of its proposed 
 taxes the amount of its proposed taxes attributable to its 
 exercise of the option.  In the first year of the city or town's 
 exercise of this option, the statement shall include an estimate 
 of the reduction of the metropolitan council's tax on the parcel 
 due to exercise of that option.  The metropolitan council's levy 
 shall be adjusted accordingly. 

    Subd. 3a.    Constant spending levy amount.  (a) For 
 purposes of this section, "constant spending levy amount" for a 
 county, city, town, or special taxing district means the 
 property tax levy that the taxing authority would need to levy 
 so that the sum of (i) its levy, including its fiscal 
 disparities distribution levy under section 276A.06, subdivision 
 3, clause (a), or 473F.08, subdivision 3, clause (a), plus (ii) 
 its property tax aid amounts, would remain constant from the 
 current year to the proposed year, taking into account the 
 fiscal disparities distribution levy amounts and the property 
 tax aid amounts that have been certified for the proposed year.  
 For the purposes of this paragraph, property tax aids include 
 homestead and agricultural credit aid under section 273.1398, 
 subdivision 2, local government aid under section 477A.013, 
 county criminal justice aid under section 477A.0121, and family 
 preservation aid under section 477A.0122. 

    (b) For the state determined school tax, "constant spending 
 levy amount" is the same as the proposed tax. 

    (c) For the voter approved school levy, "constant spending 
 levy amount" is the result of the following computation:  (i) 
 compute the current year's revenue per pupil in average daily 
 membership as the ratio of the voter approved referendum and 
 debt service levy plus aid revenue to the number of pupils in 
 average daily membership, as estimated at the time of levy 
 certification the previous December; (ii) compute the proposed 
 year's levy ratio as ratio of the proposed year's levy 
 limitation for voter approved referendum and debt service 
 revenue to the maximum referendum and debt service levy plus aid 
 revenue for the proposed year, at the time of proposed levy 
 certification in September; and (iii) compute the "constant 
 spending levy amount" as the product of the current year's 
 revenue per pupil from clause (i) times the proposed year's levy 
 ratio from clause (ii) times the proposed year's pupils in 
 average daily membership. 

    (d) For the sum of all other school levies not included in 
 paragraph (b) or (c), "constant spending levy amount" is the 
 result of the following computation:  (i) compute the current 
 year's revenue per pupil in average daily membership as the 
 ratio of the levy plus associated aid revenue to the number of 
 pupils in average daily membership, as estimated at the time of 
 levy certification the previous December; (ii) compute the 
 proposed year's levy ratio as ratio of the proposed year's levy 
 limitation to the maximum levy plus associated aid revenue for 
 the proposed year, estimated at the time of proposed levy 
 certification in September; and (iii) compute the "constant 
 spending levy amount" as the product of the current year's 
 revenue per pupil from clause (i) times the proposed year's levy 
 ratio from clause (ii) times the proposed year's pupils in 
 average daily membership. 

    (e) Each year, the commissioner of children, families, and 
 learning must compute and report to the county auditor each 
 school district's constant spending levy amounts by September 
 30.  In no case shall a constant spending levy amount be less 
 than $0.  For the purposes of this subdivision, school homestead 
 and agricultural credit aid under section 273.1398, subdivision 
 2, shall be included in the other school levy category.  For 
 purposes of this subdivision, the school fiscal disparities 
 distribution levy shall be apportioned proportionately among 
 levy categories. 

    (f) For the tax increment financing tax, and the fiscal 
 disparities tax, the "constant spending levy amount" is the same 
 as the proposed tax. 

    Subd. 4.    Costs.  If the reasonable cost of the county 
 auditor's services and the cost of preparing and mailing the 
 notice required in this section exceed the amount distributed to 
 the county by the commissioner of revenue to administer this 
 section, the taxing authority must reimburse the county for the 
 excess cost.  The excess cost must be apportioned between taxing 
 jurisdictions as follows:  

    (1) one-third is allocated to the county; 

    (2) one-third is allocated to cities and towns within the 
 county; and 

    (3) one-third is allocated to school districts within the 
 county.  

    The amounts in clause (2) must be further apportioned among 
 the cities and towns in the proportion that the number of 
 parcels in the city and town bears to the number of parcels in 
 all the cities and towns within the county.  The amount in 
 clause (3) must be further apportioned among the school 
 districts in the proportion that the number of parcels in the 
 school district bears to the number of parcels in all school 
 districts within the county. 

    Subd. 5. Repealed, 1Sp1989 c 1 art 9 s 85 

    Subd. 5a.    Public advertisement.  (a) A city that has 
 a population of more than 2,500, county, a metropolitan special 
 taxing district as defined in subdivision 3, paragraph (i), a 
 regional library district established under section 134.201, or 
 school district shall advertise in a newspaper a notice of its 
 intent to adopt a budget and property tax levy or, in the case 
 of a school district, to review its current budget and proposed 
 property taxes payable in the following year, at a public 
 hearing, if a public hearing is required under subdivision 6.  
 The notice must be published not less than two business days nor 
 more than six business days before the hearing. 

    The advertisement must be at least one-eighth page in size 
 of a standard-size or a tabloid-size newspaper.  The 
 advertisement must not be placed in the part of the newspaper 
 where legal notices and classified advertisements appear.  The 
 advertisement must be published in an official newspaper of 
 general circulation in the taxing authority.  The newspaper 
 selected must be one of general interest and readership in the 
 community, and not one of limited subject matter.  The 
 advertisement must appear in a newspaper that is published at 
 least once per week.  

    For purposes of this section, the metropolitan special 
 taxing district's advertisement must only be published in the 
 Minneapolis Star and Tribune and the Saint Paul Pioneer Press. 

    In addition to other requirements, a county and a city 
 having a population of more than 2,500 must show in the public 
 advertisement required under this subdivision the current local 
 tax rate, the proposed local tax rate if no property tax levy 
 increase is adopted, and the proposed rate if the proposed levy 
 is adopted.  For purposes of this subdivision, "local tax rate" 
 means the city's or county's net tax capacity levy divided by 
 the city's or county's taxable net tax capacity.  

    (b) The advertisement for school districts, metropolitan 
 special taxing districts, and regional library districts must be 
 in the following form, except that the notice for a school 
 district may include references to the current budget in regard 
 to proposed property taxes.  

                            "NOTICE OF
                     PROPOSED PROPERTY TAXES

                  (School District/Metropolitan
                 Special Taxing District/Regional
                  Library District) of .........

 The governing body of ........ will soon hold budget hearings 
 and vote on the property taxes for (metropolitan special taxing 
 district/regional library district services that will be 
 provided in (year)/school district services that will be 
 provided in (year) and (year)). 

                    NOTICE OF PUBLIC HEARING:

 All concerned citizens are invited to attend a public hearing 
 and express their opinions on the proposed (school 
 district/metropolitan special taxing district/regional library 
 district) budget and property taxes, or in the case of a school 
 district, its current budget and proposed property taxes, 
 payable in the following year.  The hearing will be held on 
 (Month/Day/Year) at (Time) at (Location, Address)." 

    (c) The advertisement for cities and counties must be in 
 the following form. 

                       "NOTICE OF PROPOSED
                 TOTAL BUDGET AND PROPERTY TAXES

 The (city/county) governing body or board of commissioners will 
 hold a public hearing to discuss the budget and to vote on the 
 amount of property taxes to collect for services the 
 (city/county) will provide in (year). 

    

 SPENDING:  The total budget amounts below compare 
 (city's/county's) (year) total actual budget with the amount the 
 (city/county) proposes to spend in (year). 

    

 (Year) Total          Proposed (Year)         Change from 

 Actual Budget         Budget                  (Year)-(Year)
    

 $.......              $.......                ...%

    

 TAXES:  The property tax amounts below compare that portion of 
 the current budget levied in property taxes in (city/county) for 
 (year) with the property taxes the (city/county) proposes to 
 collect in (year). 

    

 (Year) Property       Proposed (Year)          Change from

 Taxes                 Property Taxes           (Year)-(Year)
    
 $.......              $.......                 ...% 

    

 LOCAL TAX RATE COMPARISON:  The current local tax rate, the 
 local tax rate if no tax levy increase is adopted, and the 
 proposed local tax rate if the proposed levy is adopted. 

    

 (Year)                (Year)                       (Year) 
 Tax Rate              Tax Rate if NO               Proposed 
                       Levy Increase                Tax Rate 
 .......               .......                      ....... 

    

                    ATTEND THE PUBLIC HEARING

 All (city/county) residents are invited to attend the public 
 hearing of the (city/county) to express your opinions on the 
 budget and the proposed amount of (year) property taxes.  The 
 hearing will be held on: 

                      (Month/Day/Year/Time)
                        (Location/Address)

 If the discussion of the budget cannot be completed, a time and 
 place for continuing the discussion will be announced at the 
 hearing.  You are also invited to send your written comments to: 

                          (City/County)
                       (Location/Address)"

    (d) For purposes of this subdivision, the budget amounts 
 listed on the advertisement mean: 

    (1) for cities, the total government fund expenditures, as 
 defined by the state auditor under section 471.6965, less any 
 expenditures for improvements or services that are specially 
 assessed or charged under chapter 429, 430, 435, or the 
 provisions of any other law or charter; and 

    (2) for counties, the total government fund expenditures, 
 as defined by the state auditor under section 375.169, less any 
 expenditures for direct payments to recipients or providers for 
 the human service aids listed below: 

    (i) Minnesota family investment program under chapters 256J 
 and 256K; 

    (ii) medical assistance under sections 256B.041, 
 subdivision 5, and 256B.19, subdivision 1; 

    (iii) general assistance medical care under section 
 256D.03, subdivision 6; 

    (iv) general assistance under section 256D.03, subdivision 
 2; 

    (v) emergency assistance under section 256J.48; 

    (vi) Minnesota supplemental aid under section 256D.36, 
 subdivision 1; 

    (vii) preadmission screening under section 256B.0911, and 
 alternative care grants under section 256B.0913; 

    (viii) general assistance medical care claims processing, 
 medical transportation and related costs under section 256D.03, 
 subdivision 4; 

    (ix) medical transportation and related costs under section 
 256B.0625, subdivisions 17 to 18a; 

    (x) group residential housing under section 256I.05, 
 subdivision 8, transferred from programs in clauses (iv) and 
 (vi); or 

    (xi) any successor programs to those listed in clauses (i) 
 to (x). 

    (e) A city with a population of over 500 but not more than 
 2,500 that is required to hold a public hearing under 
 subdivision 6 must advertise by posted notice as defined in 
 section 645.12, subdivision 1.  The advertisement must be posted 
 at the time provided in paragraph (a).  It must be in the form 
 required in paragraph (b). 

    (f) For purposes of this subdivision, the population of a 
 city is the most recent population as determined by the state 
 demographer under section 4A.02. 

    (g) The commissioner of revenue, subject to the approval of 
 the chairs of the house and senate tax committees, shall 
 prescribe the form and format of the advertisements required 
 under this subdivision. 

    Subd. 6.    Public hearing; adoption of budget and levy. 
  (a) For purposes of this section, the following terms shall 
 have the meanings given: 

    (1) "Initial hearing" means the first and primary hearing 
 held to discuss the taxing authority's proposed budget and 
 proposed property tax levy for taxes payable in the following 
 year, or, for school districts, the current budget and the 
 proposed property tax levy for taxes payable in the following 
 year. 

    (2) "Continuation hearing" means a hearing held to complete 
 the initial hearing, if the initial hearing is not completed on 
 its scheduled date. 

    (3) "Subsequent hearing" means the hearing held to adopt 
 the taxing authority's final property tax levy, and, in the case 
 of taxing authorities other than school districts, the final 
 budget, for taxes payable in the following year. 

    (b) Between November 29 and December 20, the governing 
 bodies of a city that has a population over 500, county, 
 metropolitan special taxing districts as defined in subdivision 
 3, paragraph (i), and regional library districts shall each hold 
 an initial public hearing to discuss and seek public comment on 
 its final budget and property tax levy for taxes payable in the 
 following year, and the governing body of the school district 
 shall hold an initial public hearing to review its current 
 budget and proposed property tax levy for taxes payable in the 
 following year.  The metropolitan special taxing districts shall 
 be required to hold only a single joint initial public hearing, 
 the location of which will be determined by the affected 
 metropolitan agencies.  A city, county, metropolitan special 
 taxing district as defined in subdivision 3, paragraph (i), 
 regional library district established under section 134.201, or 
 school district is not required to hold a public hearing under 
 this subdivision unless its proposed property tax levy for taxes 
 payable in the following year, as certified under subdivision 1, 
 has increased over its final property tax levy for taxes payable 
 in the current year by a percentage that is greater than the 
 percentage increase in the implicit price deflator for 
 government consumption expenditures and gross investment for 
 state and local governments prepared by the Bureau of Economic 
 Analysts of the United States Department of Commerce for the 
 12-month period ending March 31 of the current year. 

    (c) The initial hearing must be held after 5:00 p.m. if 
 scheduled on a day other than Saturday.  No initial hearing may 
 be held on a Sunday.  

    (d) At the initial hearing under this subdivision, the 
 percentage increase in property taxes proposed by the taxing 
 authority, if any, and the specific purposes for which property 
 tax revenues are being increased must be discussed.  During the 
 discussion, the governing body shall hear comments regarding a 
 proposed increase and explain the reasons for the proposed 
 increase.  The public shall be allowed to speak and to ask 
 questions.  At the public hearing, the school district must also 
 provide and discuss information on the distribution of its 
 revenues by revenue source, and the distribution of its spending 
 by program area.  

    (e) If the initial hearing is not completed on its 
 scheduled date, the taxing authority must announce, prior to 
 adjournment of the hearing, the date, time, and place for the 
 continuation of the hearing.  The continuation hearing must be 
 held at least five business days but no more than 14 business 
 days after the initial hearing.  A continuation hearing may not 
 be held later than December 20 except as provided in paragraphs 
 (f) and (g).  A continuation hearing must be held after 5:00 
 p.m. if scheduled on a day other than Saturday.  No continuation 
 hearing may be held on a Sunday. 

    (f) The governing body of a county shall hold its initial 
 hearing on the first Thursday in December each year, and may 
 hold additional initial hearings on other dates before December 
 20 if necessary for the convenience of county residents.  If the 
 county needs a continuation of its hearing, the continuation 
 hearing shall be held on the third Tuesday in December.  If the 
 third Tuesday in December falls on December 21, the county's 
 continuation hearing shall be held on Monday, December 20.  

    (g) The metropolitan special taxing districts shall hold a 
 joint initial public hearing on the first Wednesday of 
 December.  A continuation hearing, if necessary, shall be held 
 on the second Wednesday of December even if that second 
 Wednesday is after December 10. 

    (h) The county auditor shall provide for the coordination 
 of initial and continuation hearing dates for all school 
 districts and cities within the county to prevent conflicts 
 under clauses (i) and (j). 

    (i) By August 10, each school board and the board of the 
 regional library district shall certify to the county auditors 
 of the counties in which the school district or regional library 
 district is located the dates on which it elects to hold its 
 initial hearing and any continuation hearing.  If a school board 
 or regional library district does not certify these dates by 
 August 10, the auditor will assign the initial and continuation 
 hearing dates.  The dates elected or assigned must not conflict 
 with the initial and continuation hearing dates of the county or 
 the metropolitan special taxing districts.  

    (j) By August 20, the county auditor shall notify the 
 clerks of the cities within the county of the dates on which 
 school districts and regional library districts have elected to 
 hold their initial and continuation hearings.  At the time a 
 city certifies its proposed levy under subdivision 1 it shall 
 certify the dates on which it elects to hold its initial hearing 
 and any continuation hearing.  Until September 15, the first and 
 second Mondays of December are reserved for the use of the 
 cities.  If a city does not certify its hearing dates by 
 September 15, the auditor shall assign the initial and 
 continuation hearing dates.  The dates elected or assigned for 
 the initial hearing must not conflict with the initial hearing 
 dates of the county, metropolitan special taxing districts, 
 regional library districts, or school districts within which the 
 city is located.  To the extent possible, the dates of the 
 city's continuation hearing should not conflict with the 
 continuation hearing dates of the county, metropolitan special 
 taxing districts, regional library districts, or school 
 districts within which the city is located.  This paragraph does 
 not apply to cities of 500 population or less. 

    (k) The county initial hearing date and the city, 
 metropolitan special taxing district, regional library district, 
 and school district initial hearing dates must be designated on 
 the notices required under subdivision 3.  The continuation 
 hearing dates need not be stated on the notices.  

    (l) At a subsequent hearing, each county, school district, 
 city over 500 population, and metropolitan special taxing 
 district may amend its proposed property tax levy and must adopt 
 a final property tax levy.  Each county, city over 500 
 population, and metropolitan special taxing district may also 
 amend its proposed budget and must adopt a final budget at the 
 subsequent hearing.  The final property tax levy must be adopted 
 prior to adopting the final budget.  A school district is not 
 required to adopt its final budget at the subsequent hearing.  
 The subsequent hearing of a taxing authority must be held on a 
 date subsequent to the date of the taxing authority's initial 
 public hearing.  If a continuation hearing is held, the 
 subsequent hearing must be held either immediately following the 
 continuation hearing or on a date subsequent to the continuation 
 hearing.  The subsequent hearing may be held at a regularly 
 scheduled board or council meeting or at a special meeting 
 scheduled for the purposes of the subsequent hearing.  The 
 subsequent hearing of a taxing authority does not have to be 
 coordinated by the county auditor to prevent a conflict with an 
 initial hearing, a continuation hearing, or a subsequent hearing 
 of any other taxing authority.  All subsequent hearings must be 
 held prior to five working days after December 20 of the levy 
 year.  The date, time, and place of the subsequent hearing must 
 be announced at the initial public hearing or at the 
 continuation hearing. 

    (m) The property tax levy certified under section 275.07 by 
 a city of any population, county, metropolitan special taxing 
 district, regional library district, or school district must not 
 exceed the proposed levy determined under subdivision 1, except 
 by an amount up to the sum of the following amounts: 

    (1) the amount of a school district levy whose voters 
 approved a referendum to increase taxes under section 123B.63, 
 subdivision 3, or 126C.17, subdivision 9, after the proposed 
 levy was certified; 

    (2) the amount of a city or county levy approved by the 
 voters after the proposed levy was certified; 

    (3) the amount of a levy to pay principal and interest on 
 bonds approved by the voters under section 475.58 after the 
 proposed levy was certified; 

    (4) the amount of a levy to pay costs due to a natural 
 disaster occurring after the proposed levy was certified, if 
 that amount is approved by the commissioner of revenue under 
 subdivision 6a; 

    (5) the amount of a levy to pay tort judgments against a 
 taxing authority that become final after the proposed levy was 
 certified, if the amount is approved by the commissioner of 
 revenue under subdivision 6a; 

    (6) the amount of an increase in levy limits certified to 
 the taxing authority by the commissioner of children, families, 
 and learning or the commissioner of revenue after the proposed 
 levy was certified; and 

    (7) the amount required under section 126C.55. 

    (n) This subdivision does not apply to towns and special 
 taxing districts other than regional library districts and 
 metropolitan special taxing districts. 

    (o) Notwithstanding the requirements of this section, the 
 employer is required to meet and negotiate over employee 
 compensation as provided for in chapter 179A.  

    Subd. 6a.    Approval of commissioner.  (a) A taxing 
 authority may appeal to the commissioner of revenue for 
 authorization to levy an amount over the amount of the proposed 
 levy.  The taxing authority must provide evidence satisfactory 
 to the commissioner that it has incurred costs for the purposes 
 specified in paragraph (b).  The commissioner may approve an 
 increase in the taxing authority's levy of up to the amount of 
 costs incurred or a lesser amount determined by the 
 commissioner.  The commissioner's decision is final.  

    (b) A levy addition may be made under paragraph (a) for the 
 following costs incurred after the proposed levy is certified:  
 (1) the unreimbursed costs to satisfy judgments rendered against 
 the taxing authority by a court of competent jurisdiction in a 
 tort action in excess of $50,000 or ten percent of the current 
 year's proposed certified levy whichever is less; and (2) the 
 costs incurred in clean up of a natural disaster.  For purposes 
 of this subdivision, "natural disaster" includes the occurrence 
 or threat of widespread or severe damage, injury, or loss of 
 life or property resulting from causes such as earthquake, fire, 
 flood, windstorm, wave action, oil spill, water contamination, 
 air contamination, or drought. 

    Subd. 6b.    Joint public hearings.  Notwithstanding any 
 other provision of law, any city with a population of 10,000 and 
 over, may conduct a more comprehensive public hearing than is 
 contained in subdivision 6 by including a board member from the 
 county, a board member from the school district located within 
 the city's boundary, and a representative of the metropolitan 
 council, if the city is in the metropolitan area, as defined in 
 section 473.121, subdivision 2, at the city's public hearing.  
 All provisions regarding the public hearings under subdivision 6 
 are applicable to the joint public hearings under this 
 subdivision. 

    Upon the adoption of a resolution by the governing body of 
 the city to hold a joint hearing, the city shall notify the 
 county, the school district, and the metropolitan council if the 
 city is in the metropolitan area, of the decision to hold a 
 joint public hearing and request a board member from each of 
 those taxing authorities, and the member or the designee of the 
 metropolitan council if applicable, to be at the joint hearing.  
 If the city is located in more than one county, the city may 
 choose to request a county board member from each county or only 
 from the county containing the majority of the city's market 
 value.  If more than one school district is partially or totally 
 located within the city, the city may choose to request a school 
 district board member from each school district, or a board 
 member only from the school district containing the majority of 
 the city's market value.  If, as a result of requests under this 
 subdivision, there are not sufficient board members in the 
 county or the school district to attend the joint hearing, the 
 county or school district may send a nonelected person working 
 for its taxing authority to speak on the authority's behalf.  
 The city may also invite each state senator and representative 
 who represents the city, or a portion of the city, to come to 
 the joint hearing. 

    The primary purpose of the joint hearing is to discuss the 
 city's budget and property tax levy.  The county and school 
 district officials, and metropolitan council representative, if 
 the city is in the metropolitan area, should be prepared to 
 answer questions relevant to its budget and levy and the effect 
 that its levy has on the property owners in the city. 

    If a city conducts a hearing under this subdivision, this 
 hearing is in lieu of the initial hearing required under 
 subdivision 6.  However, the city is still required to adopt its 
 proposed property tax levy at a subsequent hearing as provided 
 under subdivision 6.  The hearings under this subdivision do not 
 relieve a county, school district, or the metropolitan council 
 of the requirement to hold its individual hearing under 
 subdivision 6. 

    Subd. 7.    Certification of compliance.  At the time 
 the taxing authority certifies its tax levy under section 
 275.07, it shall certify to the commissioner of revenue its 
 compliance with this section.  The certification must contain 
 the information required by the commissioner of revenue to 
 determine compliance with this section.  If the commissioner 
 determines that the taxing authority has failed to substantially 
 comply with the requirements of this section, the commissioner 
 of revenue shall notify the county auditor.  The decision of the 
 commissioner is final.  When fixing rates under section 275.08 
 for a taxing authority that has not complied with this section, 
 the county auditor must use the taxing authority's previous 
 year's levy, plus any additional amounts necessary to pay 
 principal and interest on general obligation bonds of the taxing 
 authority for which its taxing powers have been pledged if the 
 bonds were issued before 1989.  

    Subd. 8.    Hearing.  Notwithstanding any other 
 provision of law, Ramsey county, the city of St. Paul, and 
 independent school district No. 625 are authorized to and shall 
 hold their initial public hearing jointly.  The hearing must be 
 held on the second Tuesday of December each year.  The 
 advertisement required in subdivision 5a may be a joint 
 advertisement.  The hearing is otherwise subject to the 
 requirements of this section. 

    Ramsey county is authorized to hold an additional initial 
 hearing or hearings as provided under this section, provided 
 that any additional hearings must not conflict with the initial 
 or continuation hearing dates of the other taxing districts.  
 However, if Ramsey county elects not to hold such additional 
 initial hearing or hearings, the joint initial hearing required 
 by this subdivision must be held in a St. Paul location 
 convenient to residents of Ramsey county. 

    HIST: 1988 c 719 art 5 s 30; 1Sp1989 c 1 art 2 s 11; art 9 s 
 31-38; 1990 c 604 art 3 s 23-26; 1991 c 130 s 28,37; 1991 c 199 
 art 2 s 20; 1991 c 265 art 9 s 64-66; 1991 c 291 art 5 s 1-3; 
 1992 c 499 art 8 s 21; art 12 s 24,29; 1992 c 511 art 3 s 2-7; 
 art 5 s 8; 1992 c 603 s 24; 1993 c 224 art 1 s 30; 1993 c 271 s 
 3; 1993 c 375 art 3 s 24; art 7 s 9-12,29; art 12 s 10; 1994 c 
 416 art 1 s 25-27; 1994 c 510 art 1 s 8; 1994 c 587 art 3 s 10; 
 art 7 s 5; 1994 c 628 art 3 s 23,24; 1995 c 264 art 3 s 14,15; 
 art 4 s 4; art 16 s 12; 1Sp1995 c 3 art 1 s 52; art 16 s 13; 
 1996 c 305 art 1 s 60; 1996 c 455 art 5 s 1,2; 1996 c 471 art 3 
 s 16-18,52; art 11 s 2; 1997 c 31 art 3 s 9; 1997 c 231 art 4 s 
 1-8,12; art 14 s 2; 1998 c 254 art 1 s 79; 1998 c 389 art 3 s 
 12,13; 1998 c 397 art 11 s 3; 1999 c 159 s 126; 2000 c 260 s 44; 
 1Sp2001 c 5 art 3 s 47-49; 2002 c 377 art 4 s 22; 2002 c 390 s 2 

     275.066 Special taxing districts; definition. 

    For the purposes of property taxation and property tax 
 state aids, the term "special taxing districts" includes the 
 following entities: 

    (1) watershed districts under chapter 103D; 

    (2) sanitary districts under sections 115.18 to 115.37; 

    (3) regional sanitary sewer districts under sections 115.61 
 to 115.67; 

    (4) regional public library districts under section 
 134.201; 

    (5) park districts under chapter 398; 

    (6) regional railroad authorities under chapter 398A; 

    (7) hospital districts under sections 447.31 to 447.38; 

    (8) St. Cloud metropolitan transit commission under 
 sections 458A.01 to 458A.15; 

    (9) Duluth transit authority under sections 458A.21 to 
 458A.37; 

    (10) regional development commissions under sections 
 462.381 to 462.398; 

    (11) housing and redevelopment authorities under sections 
 469.001 to 469.047; 

    (12) port authorities under sections 469.048 to 469.068; 

    (13) economic development authorities under sections 
 469.090 to 469.1081; 

    (14) metropolitan council under sections 473.123 to 
 473.549; 

    (15) metropolitan airports commission under sections 
 473.601 to 473.680; 

    (16) metropolitan mosquito control commission under 
 sections 473.701 to 473.716; 

    (17) Morrison county rural development financing authority 
 under Laws 1982, chapter 437, section 1; 

    (18) Croft Historical Park District under Laws 1984, 
 chapter 502, article 13, section 6; 

    (19) East Lake county medical clinic district under Laws 
 1989, chapter 211, sections 1 to 6; 

    (20) Floodwood area ambulance district under Laws 1993, 
 chapter 375, article 5, section 39; 

    (21) Middle Mississippi river watershed management 
 organization under sections 103B.211 and 103B.241; 

    (22) emergency medical services special taxing districts 
 under section 144F.01; 

    (23) a county levying under the authority of section 
 103B.241, 103B.245, or 103B.251; and 

    (24) any other political subdivision of the state of 
 Minnesota, excluding counties, school districts, cities, and 
 towns, that has the power to adopt and certify a property tax 
 levy to the county auditor, as determined by the commissioner of 
 revenue. 

    HIST: 1994 c 416 art 1 s 28; 1995 c 186 s 54; 1995 c 236 s 2; 
 2000 c 490 art 5 s 17; 1Sp2001 c 5 art 3 s 50 

*   NOTE:  The amendment to clause (22) by Laws 2001, First 
*Special Session chapter 5, article 3, section 50, is effective 
*for taxes levied in 2002, payable in 2003, through taxes levied 
*in 2007, payable in 2008.  Laws 2001, First Special Session 
*chapter 5, article 3, section 50, the effective date.

     275.067 Special taxing districts; organization date; 
  certification of levy or special assessments. 

    Special taxing districts as defined in section 275.066 
 organized on or before July 1 in a calendar year may certify a 
 levy to the county auditor in that same year for property taxes 
 or special assessments to be payable in the following calendar 
 year to the extent that the special taxing district is 
 authorized by statute or special act to levy taxes or special 
 assessments.  Special taxing districts organized after July 1 in 
 a calendar year may not certify a levy of property taxes or 
 special assessments to the county auditor under the powers 
 granted to them by statute or special act until the following 
 calendar year. 

    HIST: 1994 c 416 art 1 s 29 

     275.07 City, town, county, and school district taxes. 

    Subdivision 1.    Certification of levy.  (a) Except as 
 provided under paragraph (b), the taxes voted by cities, 
 counties, school districts, and special districts shall be 
 certified by the proper authorities to the county auditor on or 
 before five working days after December 20 in each year.  A town 
 must certify the levy adopted by the town board to the county 
 auditor by September 15 each year.  If the town board modifies 
 the levy at a special town meeting after September 15, the town 
 board must recertify its levy to the county auditor on or before 
 five working days after December 20.  The taxes certified shall 
 not be reduced by the county auditor by the aid received under 
 section 273.1398, subdivision 2, but shall be reduced by the 
 county auditor by the aid received under section 273.1398, 
 subdivision 3.  If a city, town, county, school district, or 
 special district fails to certify its levy by that date, its 
 levy shall be the amount levied by it for the preceding year. 

    (b)(i) The taxes voted by counties under sections 103B.241, 
 103B.245, and 103B.251 shall be separately certified by the 
 county to the county auditor on or before five working days 
 after December 20 in each year.  The taxes certified shall not 
 be reduced by the county auditor by the aid received under 
 section 273.1398, subdivisions 2 and 3.  If a county fails to 
 certify its levy by that date, its levy shall be the amount 
 levied by it for the preceding year.  

    (ii) For purposes of the proposed property tax notice under 
 section 275.065 and the property tax statement under section 
 276.04, for the first year in which the county implements the 
 provisions of this paragraph, the county auditor shall reduce 
 the county's levy for the preceding year to reflect any amount 
 levied for water management purposes under clause (i) included 
 in the county's levy. 

    Subd. 1a.    Application of limitations.  Any limitation 
 upon the amount that may be levied by a local taxing 
 jurisdiction shall apply to the sum of the levy as certified 
 under subdivision 1 plus the certified homestead and 
 agricultural credit aid amount under section 273.1398, 
 subdivision 2, unless the commissioner of revenue certifies to 
 the county auditor that the limitation applies to the levy under 
 subdivision 1 only. 

    Subd. 2.    School district in more than one county.  In 
 school districts lying in more than one county, the clerk shall 
 certify the tax levied to the auditor of the county in which the 
 administrative offices of the school district are located. 

    Subd. 3. Repealed, 1993 c 375 art 4 s 21 

    Subd. 4.    Report to commissioner.  (a) On or before 
 October 8 of each year, the county auditor shall report to the 
 commissioner of revenue the proposed levy certified by local 
 units of government under section 275.065, subdivision 1.  If 
 any taxing authorities have notified the county auditor that 
 they are in the process of negotiating an agreement for sharing, 
 merging, or consolidating services but that when the proposed 
 levy was certified under section 275.065, subdivision 1c, the 
 agreement was not yet finalized, the county auditor shall supply 
 that information to the commissioner when filing the report 
 under this section and shall recertify the affected levies as 
 soon as practical after October 10. 

    (b) On or before January 15 of each year, the county 
 auditor shall report to the commissioner of revenue the final 
 levy certified by local units of government under subdivision 1. 

    (c) The levies must be reported in the manner prescribed by 
 the commissioner.  The reports must show a total levy and the 
 amount of each special levy. 

    Subd. 5.    Revised final levy.  (a) If the final levy 
 of a taxing jurisdiction certified to the county auditor is 
 incorrect due to an error in the deduction of the aid received 
 under section 273.1398, subdivision 2, in determining the 
 certified levy as required under subdivision 1, the taxing 
 jurisdiction may apply to the commissioner of revenue to 
 increase the levy and recertify it in the correct amount.  The 
 commissioner must receive the request by January 2. 

    (b) If the commissioner determines that the requirements of 
 paragraph (a) have been met, the commissioner shall notify the 
 taxing jurisdiction that the revised final levy has been 
 approved.  Upon receipt of the approval, but no later than 
 January 15, the governing body of the taxing jurisdiction shall 
 adopt the revised final levy and the taxing jurisdiction shall 
 recertify the revised final levy to the county auditor.  The 
 county auditor shall use the revised final levy to compute the 
 tax rate for the taxing jurisdiction. 

    (c) The county auditor shall report to the commissioner of 
 revenue the revised final levy used to determine the tax rates 
 for the taxing jurisdiction.  The provisions of section 275.065, 
 subdivisions 6, 6a, and 7 do not apply to the revised final levy 
 for the taxing jurisdiction certified under this section. 

    (d) The taxing jurisdiction must publish in an official 
 newspaper of general circulation in the taxing jurisdiction a 
 notice of its revised final levy.  The notice shall contain 
 examples of the tax impact of the revised final levy on 
 homestead, apartment, and commercial classes of property in the 
 taxing jurisdiction.  The county auditor shall assist the taxing 
 jurisdiction in preparing the examples for the publication. 

    HIST: (2058) RL s 869; 1973 c 123 art 5 s 7; 1977 c 423 art 4 
 s 5; 1978 c 764 s 101; 1987 c 268 art 6 s 36; art 7 s 40; 1988 c 
 719 art 5 s 31,32; 1989 c 277 art 2 s 37; 1Sp1989 c 1 art 3 s 
 23; art 4 s 1,2; art 9 s 39,40; 1990 c 480 art 7 s 17; 1990 c 
 604 art 3 s 27,28; art 4 s 5; 1993 c 375 art 3 s 25,26; art 4 s 
 6,7; 1Sp1993 c 1 art 2 s 6; 1994 c 416 art 1 s 65; 1994 c 465 
 art 3 s 73; 1995 c 264 art 11 s 6; 1996 c 471 art 3 s 19; 1997 c 
 231 art 4 s 9; 1998 c 389 art 3 s 14; 1Sp2001 c 5 art 3 s 51 

     275.075 Omission by inadvertence; correction. 

    Whenever the amount of taxes as levied and certified by the 
 tax levying body of any county, city, town, special taxing 
 district, or school district has not been, as the result of 
 error, inadvertence, or from the estimates as provided in 
 section 275.08, by the county auditor extended and spread in 
 conformity therewith, such tax levying body may include in its 
 tax levy for the year following, the whole or any part of the 
 amount so omitted through error, inadvertence, or from the 
 estimates as provided in section 275.08, in addition to its 
 current levy and in addition to and notwithstanding any 
 limitations to the contrary. 

    HIST: 1947 c 71 s 1; 1973 c 123 art 5 s 7; 1Sp1981 c 1 art 8 s 
 9; 1997 c 84 art 1 s 1 

     275.077 Errors by county auditor affecting township levy.

    Subdivision 1.  If an error is made by a county auditor in 
 recording the levy of a township lower than the levy certified 
 by the township, the governing body of the county in which the 
 error was made shall appropriate and disburse to the affected 
 township sufficient funds to make up for the difference created 
 by the error within 30 days of notification of the error.  

    Subd. 2.  The difference between the correct levy and the 
 erroneous levy shall be added to the township levy for the 
 subsequent levy year; provided that if the amount of the 
 difference exceeds 0.12089 percent of taxable market value, the 
 excess shall be added to the township levy for the second and 
 later subsequent levy years, not to exceed an additional levy of 
 0.12089 percent of taxable market value in any year, until the 
 full amount of the difference has been levied.  The funds 
 collected from the corrected levies shall be used to reimburse 
 the county for the payment required by subdivision 1.  

    HIST: 1979 c 16 s 1,2; 1989 c 277 art 4 s 23 

  275.078 Repealed, 1Sp2001 c 5 art 3 s 96 

     275.08 Auditor to fix rate. 

    Subdivision 1.    Generally.  The rate percent of all 
 taxes, except the state tax and taxes the rate of which may be 
 fixed by law, shall be calculated and fixed by the county 
 auditor according to the limitations in this chapter hereinafter 
 prescribed; provided, that if any county, city, town, or school 
 district shall return a greater amount than the prescribed rates 
 will raise, the auditor shall extend only such amount of tax as 
 the limited rate will produce. 

    Subd. 1a.    Computation of tax capacity.  For taxes 
 payable in 1989, the county auditor shall compute the gross tax 
 capacity for each parcel according to the class rates specified 
 in section 273.13.  The gross tax capacity will be the 
 appropriate class rate multiplied by the parcel's market value.  
 For taxes payable in 1990 and subsequent years, the county 
 auditor shall compute the net tax capacity for each parcel 
 according to the class rates specified in section 273.13.  The 
 net tax capacity will be the appropriate class rate multiplied 
 by the parcel's market value.  

    Subd. 1b.    Computation of tax rates.  The amounts 
 certified to be levied against net tax capacity under section 
 275.07 by an individual local government unit shall be divided 
 by the total net tax capacity of all taxable properties within 
 the local government unit's taxing jurisdiction.  The resulting 
 ratio, the local government's local tax rate, multiplied by each 
 property's net tax capacity shall be each property's net tax 
 capacity tax for that local government unit before reduction by 
 any credits.  

    Any amount certified to the county auditor to be levied 
 against market value shall be divided by the total referendum 
 market value of all taxable properties within the taxing 
 district.  The resulting ratio, the taxing district's new 
 referendum tax rate, multiplied by each property's referendum 
 market value shall be each property's new referendum tax before 
 reduction by any credits.  For the purposes of this subdivision, 
 "referendum market value" means the market value as defined in 
 section 126C.01, subdivision 3. 

    Subd. 1c.    Adjustment of local tax rates.  After the 
 local tax rate of a local government has been determined 
 pursuant to subdivision 1b, the auditor shall adjust the local 
 government's local tax rate within each unique taxing 
 jurisdiction as defined in section 273.1398, subdivision 1, in 
 which the local government exercises taxing authority.  The 
 adjustment shall equal the unique taxing jurisdiction's 
 disparity reduction aids allocated to the local government 
 pursuant to section 273.1398, subdivision 3, divided by the 
 total tax capacity of all taxable property within the unique 
 taxing jurisdiction.  The adjustment shall reduce the local tax 
 rate of the local government within the unique taxing 
 jurisdiction for which the adjustment was calculated. 

    Subd. 1d.    Additional adjustment.  If, after computing 
 each local government's adjusted local tax rate within a unique 
 taxing jurisdiction pursuant to subdivision 1c, the auditor 
 finds that the total adjusted local tax rate of all local 
 governments combined is less than 90 percent of gross tax 
 capacity for taxes payable in 1989 and 90 percent of net tax 
 capacity for taxes payable in 1990 and thereafter, the auditor 
 shall increase each local government's adjusted local tax rate 
 proportionately so the total adjusted local tax rate of all 
 local governments combined equals 90 percent.  The total amount 
 of the increase in tax resulting from the increased local tax 
 rates must not exceed the amount of disparity aid allocated to 
 the unique taxing district under section 273.1398.  The auditor 
 shall certify to the department of revenue the difference 
 between the disparity aid originally allocated under section 
 273.1398, subdivision 3, and the amount necessary to reduce the 
 total adjusted local tax rate of all local governments combined 
 to 90 percent.  Each local government's disparity reduction aid 
 payment under section 273.1398, subdivision 6, must be reduced 
 accordingly. 

    Subd. 1e. Repealed, 1Sp2001 c 5 art 3 s 96 

    Subd. 2.    Estimates.  If, by January 15 of any year, 
 the county auditor has not received from another county auditor 
 the local tax rate or gross tax capacity applicable to any 
 taxing district lying in two or more counties, the county 
 auditor who has not received the necessary information may levy 
 taxes for the overlapping district by estimating the local tax 
 rate or the gross tax capacity.  

    Subd. 3.    Assistance of county auditor.  A county 
 auditor who has not furnished the local tax rate or gross tax 
 capacity of property in the county by January 15 shall, on 
 request, furnish the county auditor of a county in the 
 overlapping district an estimate of the tax capacities or the 
 local tax rate.  The auditor may request the assistance of the 
 county assessor in determining the estimate.  

    Subd. 4.    Subsequent adjustment.  After the correct 
 local tax rate or net tax capacity has been certified, the 
 amount of taxes over or under levied shall be computed and 
 notice sent to each affected taxing district.  If the estimated 
 tax levy exceeds the correct tax levy based on actual net tax 
 capacity and local tax rate, the county treasurer shall remit 
 any amount of excess collected to the affected taxing district.  
 In the following levy year, the estimating county auditor shall 
 adjust the levy of the affected taxing district to compensate 
 for the amount of variance.  

    In the event that the estimated tax levy is less than the 
 correct tax levy based on actual net tax capacity and local tax 
 rate, the auditor shall adjust the levy of the affected taxing 
 district as provided in section 275.075.  

    HIST: (2059) RL s 870; 1Sp1981 c 1 art 8 s 10; 1986 c 444; 
 1988 c 719 art 5 s 33-35,84; 1989 c 1 s 2; 1989 c 329 art 13 s 
 20; 1Sp1989 c 1 art 2 s 11; art 9 s 41,42; 1991 c 291 art 1 s 
 27; 1995 c 264 art 11 s 7; 1996 c 471 art 3 s 20; 1997 c 251 s 
 19; 1998 c 397 art 11 s 3 

  275.081 Repealed, 1988 c 719 art 5 s 81 

  275.082 Repealed, 1988 c 719 art 5 s 81 

    275.09 Subdivision 1.  Repealed, 1984 c 593 s 46 

    Subd. 2.  Repealed, 1984 c 593 s 46 

    Subd. 3.  Repealed, 1983 c 342 art 3 s 9 

    Subd. 3.  Repealed, 1983 c 342 art 3 s 9; 1984 c 
 593 s 46 

    Subd. 4.  Repealed, 1984 c 593 s 46 

  275.091 Repealed, 1984 c 593 s 46 

     275.092 Local acts limiting county levy or appropriation.

    Any special act for a single county relating to a 
 limitation on the authority of a county board to levy taxes or 
 make an appropriation for a particular purpose, however stated 
 in mills, dollars, or a per capita amount, which is inconsistent 
 with Laws 1973, chapter 583, sections 1 to 35 is superseded.  

    HIST: 1973 c 583 s 36 

  275.10 Repealed, 1979 c 153 s 2 

    275.11 Subdivision 1.  Repealed, 1Sp1989 c 1 art 5 s 
 51 

    Subd. 2.  Repealed, 1Sp1989 c 1 art 5 s 51 

    Subd. 3.  MS 1957 Repealed, 1961 c 500 s 2 

    Subd. 3.  MS 1990 Repealed, 1Sp1989 c 1 art 5 s 51 

    Subd. 4.  Repealed, 1Sp1989 c 1 art 5 s 51 

  275.12 Repealed, Ex1971 c 31 art 20 s 25 

  275.121 Local 

  275.122 Expired 

  275.123 Repealed, Ex1971 c 31 art 20 s 25 

     275.124 Report of certified levy. 

    Prior to April 1 of each year, each county auditor shall 
 report to the commissioner of children, families, and learning 
 on forms furnished by the commissioner, the amount of the 
 certified levy made by each school district within the county 
 which has taxable property and any other information concerning 
 these levies that is deemed necessary by the commissioner. 

    HIST: 1969 c 1109 s 3; 1975 c 162 s 40; 1977 c 447 art 7 s 25; 
 1978 c 764 s 102; 1Sp1989 c 1 art 9 s 43; 1Sp1995 c 3 art 16 s 
 13 

    275.125 Subdivision 1. Repealed, 1991 c 130 s 38 

    Subd. 1a. Repealed, 1982 c 548 art 7 s 13 

    Subd. 2.  Repealed, 1973 c 683 s 30 

    Subd. 2a. Renumbered 124A.03, subdivision 1 

    Subd. 2b. Repealed, 1981 c 358 art 1 s 49 

    Subd. 2c. Renumbered subd 2e 

    Subd. 2d. Renumbered 124A.03, subd 2 

    Subd. 2e. Renumbered 124A.03, subd 3 

    Subd. 2f. Repealed, 3Sp1981 c 2 art 2 s 19 

    Subd. 2g. Repealed, 1984 c 463 art 2 s 8 

    Subd. 2h. Repealed, 1984 c 463 art 2 s 8 

    Subd. 2i. Repealed, 1984 c 463 art 2 s 8 

    Subd. 2j. Repealed, 1984 c 463 art 2 s 8 subd 2; 
 1Sp1985 c 12 art 1 s 37 

    Subd. 2k. Renumbered 124A.03, subd 4 

    Subd. 2l. Renumbered 124A.03, subd 5 

    Subd. 3. Repealed, 1987 c 398 art 1 s 27 

    Subd. 4.  Renumbered 124.912, subdivision 1 

    Subd. 4a. Repealed, 1991 c 130 s 38 

    Subd. 5.  Renumbered 124.226, subdivision 1 

    Subd. 5a. Renumbered 124.226, subd 2 

    Subd. 5b. Renumbered 124.226, subd 3 

    Subd. 5c. Renumbered 124.226, subd 4 

    Subd. 5d. Repealed, 1987 c 398 art 2 s 14 

    Subd. 5e. Renumbered 124.226, subd 5 

    Subd. 5f. Renumbered 124.226, subd 6 

    Subd. 5g. Renumbered 124.226, subd 7 

    Subd. 5h. Renumbered 124.226, subd 8 

    Subd. 5i. Renumbered 124.226, subd 9 

    Subd. 6. Repealed, 1979 c 334 art 1 s 27 

    Subd. 6a. Renumbered 124.916, subd 3 

    Subd. 6b. Repealed, 1983 c 314 art 1 s 23 

    Subd. 6c. Repealed, 1983 c 314 art 1 s 23 

    Subd. 6d. Repealed, 1983 c 314 art 1 s 23 

    Subd. 6e. Renumbered 124.912, subd 2 

    Subd. 6f. Repealed, 1989 c 329 art 1 s 18 

    Subd. 6h. Renumbered 124.916, subd 4 

    Subd. 6i. Renumbered 124.912, subd 3 

    Subd. 6j. Renumbered 124.912, subd 6 

    Subd. 6k. Renumbered 124.916, subdivision 1 

    Subd. 7. Repealed, 1979 c 334 art 1 s 27 

    Subd. 7a. Repealed, 1983 c 314 art 1 s 23 

    Subd. 7b. Repealed, 1981 c 358 art 1 s 49 

    Subd. 7c. Repealed, 1983 c 314 art 1 s 23 

    Subd. 7d. Renumbered 124A.06, subd 3a; 124A.08, 
 subd 3a; 124A.10, subd 3a; 124A.12, subd 3a; 124A.14, subd 5a 

    Subd. 7e. Renumbered 124A.08, subd 5 

    Subd. 8. Repealed, 1989 c 329 art 4 s 20 

    Subd. 8a. Repealed, 1987 c 398 art 1 s 27 

    Subd. 8b. Repealed, 1991 c 265 art 4 s 33 

    Subd. 8c. Repealed, 1991 c 265 art 3 s 40 

    Subd. 8d. Repealed, 1991 c 130 s 38; 1991 c 265 
 art 6 s 67 

    Subd. 8e. Renumbered 124.912, subd 4 

    Subd. 8f. Renumbered 124.912, subd 5 

    Subd. 9. Renumbered 124.918, subd 8 

    Subd. 9a. Renumbered 124.914, subdivision 1 

    Subd. 9b. Renumbered 124.914, subd 2 

    Subd. 9c. Renumbered 124.914, subd 3 

    Subd. 10. Renumbered 124.918, subdivision 1 

    Subd. 11.  Repealed, 1976 c 271 s 98 subd 1 

    Subd. 11a. Repealed, 1987 c 398 art 6 s 20 

    Subd. 11b. Repealed, 1Sp1986 c 1 art 9 s 64 

    Subd. 11c. Repealed, 1988 c 718 art 8 s 27 

    Subd. 11d. Renumbered 124.91, subdivision 1 

    Subd. 11e. Renumbered 124.91, subd 4 

    Subd. 11f. Renumbered 124.91, subd 2 

    Subd. 11g. Renumbered 124.91, subd 5 

    Subd. 11h. Renumbered 124.91, subd 3 

    Subd. 12. Repealed, 1987 c 398 art 6 s 20 

    Subd. 12a. Renumbered 124.91, subd 6 

    Subd. 13. Repealed, 1979 c 334 art 5 s 29 

    Subd. 14. Repealed, 1981 c 358 art 5 s 47 

    Subd. 14a. Renumbered 136C.411 

    Subd. 15. Renumbered 124.918, subd 3 

    Subd. 16. Repealed, 1Sp1986 c 1 art 9 s 64 

    Subd. 17. Renumbered 124.918, subd 4 

    Subd. 18. Renumbered 124.918, subd 2 

    Subd. 19. Renumbered 124A.03, subd 6 

    Subd. 20. Renumbered 124.918, subd 5 

    Subd. 21. Renumbered 124.918, subd 7 

    Subd. 22. Repealed, 1988 c 719 art 5 s 81 

    Subd. 23. Renumbered 124.918, subd 6 

    Subd. 24. Renumbered 124.916, subd 2 

    Subd. 25. Renumbered 124.2716 

  275.126 Repealed, 1975 c 306 s 34 

  275.127 Repealed, 1976 c 271 s 98 subd 1 

  275.128 Repealed, 1989 c 329 art 9 s 34 

  275.13 Expired 

     275.14 Census. 

    For the purposes of sections 275.124 to 275.16, the 
 population of a city shall be that established by the last 
 federal census, by a special census taken by the United States 
 Bureau of the Census, by an estimate made by the metropolitan 
 council, or by the state demographer made according to section 
 4A.02, whichever has the latest stated date of count or 
 estimate, before July 2 of the current levy year.  The 
 population of a school district must be as certified by the 
 department of children, families, and learning from the most 
 recent federal census. 

    In any year in which no federal census is taken pursuant to 
 law in any school district affected by sections 275.124 to 
 275.16 a population estimate may be made and submitted to the 
 state demographer for approval as hereinafter provided.  The 
 school board of a school district, in case it desires a 
 population estimate, shall pass a resolution by July 1 
 containing a current estimate of the population of the school 
 district and shall submit the resolution to the state 
 demographer.  The resolution shall describe the criteria on 
 which the estimate is based and shall be in a form and 
 accompanied by the data prescribed by the state demographer.  
 The state demographer shall determine whether or not the 
 criteria and process described in the resolution provide a 
 reasonable basis for the population estimate and shall inform 
 the school district of that determination within 30 days of 
 receipt of the resolution.  If the state demographer determines 
 that the criteria and process described in the resolution do not 
 provide a reasonable basis for the population estimate, the 
 resolution shall be of no effect.  If the state demographer 
 determines that the criteria and process do provide a reasonable 
 basis for the population estimate, the estimate shall be treated 
 as the population of the school district for the purposes of 
 sections 275.124 to 275.16 until the population of the school 
 district has been established by the next federal census or 
 until a more current population estimate is prepared and 
 approved as provided herein, whichever occurs first.  The state 
 demographer shall establish guidelines for acceptable population 
 estimation criteria and processes.  The state demographer shall 
 issue advisory opinions upon request in writing to cities or 
 school districts as to proposed criteria and processes prior to 
 their implementation in an estimation.  The advisory opinion 
 shall be final and binding upon the demographer unless the 
 demographer can show cause why it should not be final and 
 binding.  

    In the event that a census tract employed in taking a 
 federal or local census overlaps two or more school districts, 
 the county auditor shall, on the basis of the best information 
 available, allocate the population of said census tract to the 
 school districts involved.  

    The term "council," as used in sections 275.124 to 275.16, 
 means any board or body, whether composed of one or more 
 branches, authorized to make ordinances for the government of a 
 city within this state.  

    HIST: (2064) 1921 c 417 s 4; 1951 c 447 s 1; 1961 c 593 s 1; 
 1971 c 16 s 1; 1971 c 783 s 1; 1973 c 123 art 5 s 7; 1980 c 487 
 s 3; 1985 c 65 s 1; 1989 c 329 art 4 s 16; 1Sp1989 c 1 art 5 s 
 9; art 9 s 46; 1991 c 345 art 2 s 48; 1Sp1995 c 3 art 16 s 13 

     275.15 Not to increase levies. 

    Sections 275.124 to 275.16 shall not authorize, nor be 
 construed as, in any instance, authorizing the levy of total 
 amounts of taxes in any year in excess of the amount allowed by 
 law at the time of the passage of these sections, but shall be 
 considered an additional limitation.  

    HIST: (2065) 1921 c 417 s 5; 1Sp1989 c 1 art 5 s 10 

     275.16 County auditor to fix amount of levy. 

    If any such municipality shall return to the county auditor 
 a levy greater than permitted by chapters 123A, 123B, 126C, 
 136C, and 136D, sections 275.124 to 275.16, and 275.70 to 
 275.74, such county auditor shall extend only such amount of 
 taxes as the limitations herein prescribed will permit; 
 provided, if such levy shall include any levy for the payment of 
 bonded indebtedness or judgments, such levies for bonded 
 indebtedness or judgments shall be extended in full, and the 
 remainder of the levies shall be reduced so that the total 
 thereof, including levies for bonds and judgments, shall not 
 exceed such amount as the limitations herein prescribed will 
 permit. 

    HIST: (2066) 1921 c 417 s 6; 1941 c 543 s 4; 1Sp1989 c 1 art 5 
 s 11; 1991 c 130 s 33; 1997 c 231 art 3 s 1,9; 1998 c 397 art 11 
 s 3; 1999 c 243 art 6 s 10; 2000 c 260 s 45; 1Sp2001 c 5 art 16 
 s 1 

  275.161 Repealed, 1984 c 593 s 46 

  275.17 Local 

  275.18 Local 

  275.19 Local 

  275.20 Local 

  275.21 Local 

  275.22 Repealed, 1967 c 584 s 1 

  275.23 Repealed, 1984 c 593 s 46 

  275.24 Repealed, 1976 c 44 s 70 

  275.25 Repealed, 1969 c 9 s 100 

     275.26 Excessive levy; injunction.  

    When any county board shall levy taxes for any purpose in 
 excess of the amount allowed by law, any taxpayer thereby 
 affected, personally and for all other interested taxpayers in 
 the county, may bring an action against the treasurer, the 
 auditor, and the board of such county, to enjoin the collection 
 of such taxes, and for an order requiring the defendants, or 
 either of them, to correct the levy, and for such other order as 
 may be proper for the correction and adjustment of such taxes 
 and levy, notwithstanding that such taxpayers have a speedy and 
 adequate remedy in the ordinary course of law.  When so 
 corrected and adjusted, the taxes may be collected as other 
 taxes.  

    HIST: (2069) RL s 873; 1986 c 444 

     275.27 Contracts in excess void; liability of officers.  

    It shall be unlawful for the authorities of any county, 
 town, city, or school district, unless expressly authorized by 
 law, to contract any debt or incur any pecuniary liability for 
 the payment of either the principal or the interest of which, 
 during the current or any subsequent year, it shall be necessary 
 to levy a rate of taxes higher than the maximum prescribed by 
 law.  Every such contract shall be null and void in regard to 
 any obligation thereby sought to be imposed upon such 
 corporation; but every officer, agent, or member thereof who 
 participates in or authorizes the making of such contract shall 
 be individually liable for its performance.  Every such officer 
 or agent who is present when such contract is made or authorized 
 shall be deemed to participate in or authorize the making 
 thereof, as the case may be, unless the officer or agent enter 
 or cause to be entered a dissent therefrom in the records of 
 such corporation. 

    HIST: (2070) RL s 874; 1973 c 123 art 5 s 7; 1986 c 444 

     275.28 Tax lists. 

    Subdivision 1.    Auditor to make.  The county auditor 
 shall make out the tax lists according to the prescribed form, 
 and to correspond with the assessment districts.  The rate 
 percent necessary to raise the required amount of the various 
 taxes shall be calculated on the net tax capacity of property as 
 determined by the state board of equalization, but, in 
 calculating such rates, no rate shall be used resulting in a 
 fraction other than a decimal fraction, or less than a gross 
 local tax rate of .01 percent or a net local tax rate of .01 
 percent; and, in extending any tax, whenever it amounts to the 
 fractional part of a cent, it shall be made one cent.  The tax 
 lists shall also be made out to correspond with the assessment 
 books in reference to ownership and description of property, 
 with columns for the valuation and for the various items of tax 
 included in the total amount of all taxes set down opposite each 
 description.  The auditor shall enter both the state tax 
 determined under sections 275.02 and 275.025, and the local tax 
 determined under section 275.08, on the tax lists.  The total ad 
 valorem property tax for each description of property before 
 credits is the sum of the amounts of the various local taxes 
 that apply to the parcel plus the amount of any applicable state 
 tax.  Opposite each description which has been sold for taxes, 
 and which is subject to redemption, but not redeemed, shall be 
 placed the words "sold for taxes."  The amount of all special 
 taxes shall be entered in the proper columns, but the general 
 taxes may be shown by entering the rate percent of each tax at 
 the head of the proper columns, without extending the same, in 
 which case a schedule of the rates percent of such taxes shall 
 be made on the first page of each tax list.  If the auditor 
 fails to enter on any such list before its delivery to the 
 treasurer any tax levied, the tax may be subsequently entered.  
 The tax lists shall be deemed completed, and all taxes extended 
 thereon, as of January 1 annually. 

    Subd. 2.    Certificate of auditor.  The auditor shall 
 make in each assessment book or list a certificate in the 
 following form: 

    I, A.B., auditor of ............ county, and the state of 
 Minnesota, do hereby certify that the following is a correct 
 list of the taxes levied on the real and personal property in 
 the (town or district, as the case may be) of ............ for 
 the year ....... (being the same year the property was assessed 
 and the tax levied), to become payable in the year ....... . 

    Witness my hand and official seal this ...... day of 
 ............, ....... . 

    ............... 

    County Auditor. 

    Subd. 3.    Designation of year of tax.  Taxes on real 
 and personal property shall be related to and designated on the 
 property tax statement by the year in which they become payable 
 but the liens shall relate back to the assessment date preceding 
 except as otherwise provided.  For cash basis taxpayers, taxes 
 on real and personal property shall relate to the year in which 
 they become payable.  For accrual basis taxpayers, taxes on real 
 and personal property shall relate to the year in which the lien 
 arose.  

    Subd. 4.    Unit card ledger counties.  In any county 
 in this state in which the county auditor has elected to come 
 under the provisions of section 273.03, subdivision 2, the 
 auditor shall cause to be prepared a record to be known as "Real 
 estate assessment and tax list for the year ..............." In 
 addition to the information provided for in subdivision 1, to be 
 shown in tax lists, there shall also be included the amount of 
 market value of land, building, and machinery, if any, and the 
 total market value assessed against each parcel of real estate 
 contained in such lists.  

    In such counties the auditor shall make in each list a 
 certificate in the following form: 

    "I, ..............., auditor of ............... county and 
 State of Minnesota, do hereby certify that the following is a 
 correct list of the taxes levied on the real property, based on 
 the total market value indicated therein, in the (town or 
 district, as the case may be) of .................. for the year 
 ....... . 

    Witness my hand and official seal this ................... 
 day of ............... ....... 

    ................ 

    County Auditor." 

    HIST: (2071, 2072) RL s 875,876; 1963 c 39 s 1,2; 1963 c 781 s 
 5; 1965 c 545 s 1; 1969 c 323 s 1; 1973 c 458 s 1; 1975 c 339 s 
 8; 1980 c 607 art 2 s 18; 1986 c 444; 1988 c 719 art 5 s 84; 
 1989 c 277 art 4 s 24; 1989 c 329 art 15 s 20; 1Sp1989 c 1 art 2 
 s 11; art 9 s 47; 1993 c 375 art 2 s 1; 1998 c 254 art 1 s 107; 
 1Sp2001 c 5 art 3 s 52; 2002 c 379 art 1 s 65 

     275.29 Abstracts to commissioner of revenue. 

    Not later than March 31, in each year, the county auditor 
 shall make and transmit to the commissioner of revenue, in such 
 form as may be prescribed by the commissioner of revenue, 
 complete abstracts of the tax lists of the county, showing the 
 number of acres of land assessed; its value, including the 
 structures thereon; the value of town and city lots, including 
 structures; the total value of all taxable personal property in 
 the several assessment districts; the aggregate amount of all 
 taxable property in the county, and the total amount of taxes 
 levied therein for state, county, town, and all other purposes 
 for that year.  

    HIST: (2073) RL s 877; 1974 c 86 s 1; 1975 c 46 s 4; 1Sp1989 c 
 1 art 9 s 48 

     275.295 Wetlands exemption; replacement of revenue. 

    Subdivision 1.    Certification.  The total amount of 
 revenue lost as a result of the exemption provided in section 
 272.02, subdivision 11, clause (iii), must be certified by the 
 county auditor to the commissioner of revenue and submitted to 
 the commissioner as part of the abstract of tax lists to be 
 filed with the commissioner under the provisions of section 
 275.29.  The amount of revenue lost as a result of the exemption 
 must be computed each year by applying the current local tax 
 rates of the taxing jurisdictions in which the wetlands are 
 located to the net tax capacity of the wetlands.  Payment to the 
 county for lost revenue must not be less than the revenue that 
 would have been received in taxes if the wetlands had a net tax 
 capacity of 50 cents per acre.  The commissioner of revenue 
 shall review the certification for accuracy and may make 
 necessary changes or return the certification to the county 
 auditor for corrections. 

    Subd. 2.    Payment.  Based on current year tax data 
 reported in the abstracts of tax lists, the commissioner of 
 revenue shall annually determine the taxing district 
 distribution of the amounts certified under subdivision 1.  The 
 commissioner shall pay to each taxing district, other than 
 school districts, its total payment for the year at the time 
 distributions are made under section 473H.10. 

    Subd. 3.    Appropriation.  There is appropriated from 
 the general fund to the commissioner of revenue the amount 
 necessary to make the payments required in subdivision 2.  There 
 is appropriated from the general fund to the commissioner of 
 children, families, and learning the amount necessary to make 
 the payments determined under subdivisions 1 and 2 for school 
 districts. 

    HIST: 1991 c 354 art 4 s 7; 1993 c 375 art 3 s 27; 1997 c 31 
 art 3 s 10 

  275.30 Repealed, 1974 c 14 s 1 

  275.31 Repealed, 1980 c 437 s 19 

  275.32 Repealed, 1980 c 437 s 19 

  275.33 Repealed, 1980 c 437 s 19 

  275.34 Repealed, 1980 c 437 s 19 

  275.35 Repealed, 1980 c 437 s 19 

  275.36 Repealed, 1976 c 44 s 70 

  275.37 Repealed, 1953 c 29 s 1 

  275.38 Expired 

  275.39 Repealed, 1976 c 271 s 98 subd 1 

  275.40 Expired 

  275.41 Repealed, 1976 c 271 s 98 subd 1 

  275.42 Repealed, 1976 c 271 s 98 subd 1 

  275.43 Repealed, 1965 c 45 s 73 

  275.44 Repealed, 1984 c 593 s 46 

  275.45 Repealed, 1984 c 593 s 46 

  275.46 Repealed, 1984 c 593 s 46 

  275.47 Repealed, 1984 c 593 s 46 

     275.48 Additional tax levies in certain taxing districts.

    When by virtue of chapter 278, sections 270.07, 375.192, or 
 otherwise, the net tax capacity of a city or township for a 
 taxable year is reduced after the taxes for the year have been 
 spread by the county auditor, and when the local tax rate 
 determined by the county auditor based on the original net tax 
 capacity is applied on the reduced net tax capacity and does not 
 produce the full amount of taxes actually levied and certified 
 for that taxable year on the original net tax capacity, the city 
 or township may include an additional amount in its tax levy 
 made following final determination and notice of the reduction 
 in net tax capacity.  The amount shall equal the difference 
 between the total amount of taxes actually levied and certified 
 for that taxable year upon the original net tax capacity, not 
 exceeding the maximum amount which could be raised on the net 
 tax capacity as reduced, within existing local tax rate 
 limitations, if any, and the amount of taxes collected for that 
 taxable year on the reduced net tax capacity.  

    The amount of taxes so included shall be levied separately 
 and shall be levied in addition to all limitations imposed by 
 law; and further shall not result in any penalty in the nature 
 of a reduction in state aid of any kind. 

    HIST: 1943 c 523 s 1,2; 1973 c 123 art 5 s 7; 1975 c 432 s 82; 
 1978 c 764 s 112; 1982 c 548 art 6 s 23; 1988 c 719 art 5 s 84; 
 1989 c 329 art 13 s 20; 1Sp1989 c 1 art 2 s 11; 1991 c 130 s 37; 
 1992 c 499 art 12 s 29; 1993 c 224 art 8 s 11; 1994 c 647 art 8 
 s 28 

  275.49 Repealed, 1988 c 719 art 5 s 81 

    275.50 Subdivision 1.  Repealed, 1Sp1989 c 1 art 5 s 
 51 

    Subd. 2.  Repealed, 1Sp1989 c 1 art 5 s 51 

    Subd. 3.  Repealed, 1988 c 719 art 5 s 81 

    Subd. 4.  Repealed, 1Sp1989 c 1 art 5 s 51 

    Subd. 5.  Repealed, 1Sp1989 c 1 art 5 s 51 

    Subd. 5a.  Repealed, 1Sp1989 c 1 art 5 s 51 

    Subd. 5b.  Repealed, 1Sp1989 c 1 art 5 s 51 

    Subd. 6.  Repealed, 1983 c 342 art 3 s 9; 1Sp1989 c 1 
 art 5 s 51 

    Subd. 7.  Repealed, 1988 c 719 art 5 s 81; 1Sp1989 c 
 1 art 5 s 51 

    Subd. 8.  Repealed, 1988 c 719 art 5 s 81; 1Sp1989 c 
 1 art 5 s 51 

    275.51 Subdivision 1.  Repealed, 1Sp1989 c 1 art 5 s 
 51 

    Subd. 2.  Expired 

    Subd. 3.  Repealed, 1975 c 437 art 4 s 10; 1Sp1989 c 
 1 art 5 s 51 

    Subd. 3a.  Repealed, 1975 c 437 art 4 s 10; 1Sp1989 c 
 1 art 5 s 51 

    Subd. 3b.  Repealed, 1977 c 423 art 5 s 7; 1Sp1989 c 
 1 art 5 s 51 

    Subd. 3c.  Repealed, 1977 c 423 art 5 s 7; 1Sp1989 c 
 1 art 5 s 51 

    Subd. 3d.  Repealed, 1Sp1981 c 1 art 5 s 13; 1Sp1989 
 c 1 art 5 s 51 

    Subd. 3e.  Repealed, 1983 c 342 art 3 s 9 ; 1Sp1989 c 
 1 art 5 s 51 

    Subd. 3f.  Repealed, 1Sp1989 c 1 art 5 s 51 

    Subd. 3g.  Repealed, 1Sp1989 c 1 art 5 s 51 

    Subd. 3h.  Repealed, 1Sp1989 c 1 art 5 s 51 

    Subd. 3i.  Repealed, 1Sp1989 c 1 art 5 s 51 

    Subd. 3j.  Repealed, 1Sp1989 c 1 art 5 s 51 

    Subd. 4.  Repealed, 1Sp1989 c 1 art 5 s 51 

    Subd. 5.  Repealed, 1983 c 342 art 3 s 9; 1Sp1989 c 1 
 art 5 s 51 

    Subd. 6.  Repealed, 1Sp1989 c 1 art 5 s 51 

    Subd. 7.  Repealed, 1Sp1989 c 1 art 5 s 51 

  275.515 Repealed, 3Sp1981 c 2 art 4 s 16 

  275.52 Repealed, 1Sp1981 c 1 art 5 s 13 

    275.53 Subdivision 1.  Repealed, 1Sp1981 c 1 art 5 
 s 13 

    Subd. 1a. Repealed, 1980 c 487 s 23; 1Sp1981 c 1 
 art 5 s 13 

    Subd. 2. Repealed, 1Sp1981 c 1 art 5 s 13 

    Subd. 3. Repealed, 1Sp1981 c 1 art 5 s 13 

    Subd. 4. Repealed, 1Sp1981 c 1 art 5 s 13 

  275.54 Repealed, 1Sp1989 c 1 art 5 s 51 

  275.55 Repealed, 1Sp1989 c 1 art 5 s 51 

  275.551 Repealed, 1Sp1981 c 1 art 5 s 13 

  275.552 Repealed, 1Sp1981 c 1 art 5 s 13 

  275.56 Repealed, 1Sp1989 c 1 art 5 s 51 

  275.561 Repealed, 1Sp1989 c 1 art 5 s 51 

  275.57 Repealed, 1989 c 277 art 2 s 77 

    275.58 Subdivision 1.  Repealed, 1Sp1989 c 1 art 5 s 
 51 

    Subd. 2.  Repealed, 1Sp1989 c 1 art 5 s 51 

    Subd. 3.  Repealed, 1Sp1989 c 1 art 5 s 51 

    Subd. 4.  Repealed, 1989 c 277 art 2 s 77; 1Sp1989 c 
 1 art 5 s 51 

    Subd. 5.  Repealed, 1Sp1989 c 1 art 5 s 51 

    Subd. 6.  Repealed, 1Sp1989 c 1 art 5 s 51 

  275.59 Repealed, 1Sp1981 c 1 art 5 s 13 

     275.60 Levy or bond referendum; ballot notice. 

    (a) Notwithstanding any general or special law or any 
 charter provisions, but subject to section 126C.17, subdivision 
 9, any question submitted to the voters by any local 
 governmental subdivision at a general or special election after 
 June 8, 1995, authorizing a property tax levy or tax rate 
 increase, including the issuance of debt obligations payable in 
 whole or in part from property taxes, must include on the ballot 
 the following notice in boldface type:  

    "BY VOTING "YES" ON THIS BALLOT QUESTION, YOU ARE VOTING 
    FOR A PROPERTY TAX INCREASE." 

    (b) For purposes of this section and section 275.61, "local 
 governmental subdivision" includes counties, home rule and 
 statutory cities, towns, school districts, and all special 
 taxing districts.  This statement is in addition to any general 
 or special laws or any charter provisions that govern the 
 contents of a ballot question and, in the case of a question on 
 the issuance of debt obligations, may be supplemented by a 
 description of revenues pledged to payment of the obligations 
 that are intended as the primary source of payment. 

    (c) This section does not apply to a school district bond 
 election if the debt service payments are to be made entirely 
 from transfers of revenue from the capital fund to the debt 
 service fund. 

    HIST: 1991 c 291 art 1 s 28; 1Sp1995 c 3 art 1 s 53; 1998 c 
 397 art 11 s 3; 2001 c 214 s 3 

     275.61 Voter approved levy; market value; net tax 
  capacity conversion. 

    Subdivision 1.    Market value.  For local governmental 
 subdivisions other than school districts, any levy, including 
 the issuance of debt obligations payable in whole or in part 
 from property taxes, required to be approved and approved by the 
 voters at a general or special election for taxes payable in 
 1993 and thereafter, shall be levied against the referendum 
 market value of all taxable property within the governmental 
 subdivision, as defined in section 126C.01, subdivision 3.  Any 
 levy amount subject to the requirements of this section shall be 
 certified separately to the county auditor under section 275.07. 

    The ballot shall state the maximum amount of the increased 
 levy as a percentage of market value and the amount that will be 
 raised by the new referendum tax rate in the first year it is to 
 be levied. 

    Subd. 2.    Conversion to net tax capacity.  Any 
 referendum levy approved under subdivision 1 prior to January 1, 
 2001, may be converted from a referendum market value basis to a 
 net tax capacity basis, provided that the proportion of the 
 jurisdiction's referendum market value exempted under section 
 126C.01, subdivision 3, is at least ten percent for property 
 taxes payable in 2001.  A jurisdiction choosing to exercise the 
 option to convert the referendum tax to a net tax capacity basis 
 must notify the county auditor of its intent prior to October 1, 
 2001.  A decision to convert a referendum levy under this 
 subdivision shall be a permanent change affecting all future 
 years.  The option to convert a levy under this subdivision 
 shall cease after October 1, 2001. 

    HIST: 1991 c 291 art 1 s 29; 1992 c 511 art 2 s 22; 1996 c 471 
 art 3 s 21; 1998 c 397 art 11 s 3; 1Sp2001 c 5 art 3 s 53 

     275.62 Tax levies; report to the commissioner of revenue.

    Subdivision 1.    Report on taxes levied.  The 
 commissioner of revenue shall establish procedures for the 
 annual reporting of local government levies.  Each local 
 governmental unit shall submit a report to the commissioner by 
 December 30 of the year in which the tax is levied.  The report 
 shall include, but is not limited to, information on the amount 
 of the tax levied by the governmental unit for the following 
 purposes: 

    (1) social services and related programs, which include 
 taxes levied for the purposes defined in Minnesota Statutes 1991 
 Supplement, section 275.50, subdivision 5, clauses (a), (j), and 
 (v); 

    (2) the amounts levied for each of the purposes listed in 
 section 275.70, subdivision 5; and 

    (3) other levies, which include the taxes levied for all 
 purposes not included in clause (1), (2), or (3). 

    Subd. 2.    Local governments required to report.  For 
 purposes of this section, "local governmental unit" means a 
 county, home rule charter or statutory city with a population 
 greater than 2,500, a town with a population greater than 5,000, 
 or a home rule charter or statutory city or town that receives a 
 distribution from the taconite municipal aid account in the levy 
 year. 

    Subd. 3.    Population estimate.  For the purposes of 
 this section, the population of a local governmental unit shall 
 be that 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 made under 
 section 4A.02, whichever is the most recent as to the stated 
 date of count or estimate for the calendar year preceding the 
 current levy year. 

    Subd. 4.    Penalty for late reporting.  If a local 
 government unit fails to submit the report required in 
 subdivision 1 by January 30 of the year after the year in which 
 the tax was levied, aid payments to the local governmental unit 
 in the year after the year in which the tax was levied shall be 
 reduced as follows: 

    (1) for a county, the aid amount under section 256E.06 
 shall be reduced by five percent; and 

    (2) for other local governmental units, the aid certified 
 to be received under sections 477A.011 to 477A.014 shall be 
 reduced by five percent. 

    HIST: 1992 c 511 art 5 s 10; 1995 c 186 s 119; 1997 c 231 art 
 3 s 2; 1999 c 243 art 6 s 10; 1Sp2001 c 5 art 3 s 54 

     275.70 Levy limitations; definitions. 

    Subdivision 1.  MS 1998 Expired 

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

    Subd. 2.  MS 1998 Expired 

    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.  MS 1998 Expired 

    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.  MS 1998 Expired 

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

    (6) 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 2001, or (ii) it is a new matching requirement 
 that did not exist prior to 2002; 

    (7) 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, subdivision 2; 

    (8) 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; 

    (9) to pay an abatement under section 469.1815; 

    (10) to pay any costs attributable to increases in the 
 employer contribution rates under chapter 353 that are effective 
 after June 30, 2001; 

    (11) 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, or to pay the operating or maintenance costs of a 
 regional jail as authorized in section 641.262.  For purposes of 
 this clause, a district court order is not 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; 

    (12) to pay for operation of a lake improvement district, 
 as authorized under section 103B.555.  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; 

    (13) to repay a state or federal loan used to fund the 
 direct or indirect required spending by the local government due 
 to a state or federal transportation project or other state or 
 federal capital project.  This authority may only be used if the 
 project is not a local government initiative; 

    (14) for counties only, to pay the costs reasonably 
 expected to be incurred in 2002 related to the redistricting of 
 election districts and establishment of election precincts under 
 sections 204B.135 and 204B.14, the notice required by section 
 204B.14, subdivision 4, and the reassignment of voters in the 
 statewide registration system, not to exceed $1 per capita, 
 provided that the county shall distribute a portion of the 
 amount levied under this clause equal to 25 cents times the 
 population of the city to all cities in the county with a 
 population of 30,000 or more; 

    (15) to pay for court administration costs as required 
 under section 273.1398, subdivision 4b, less the county's share 
 of transferred fines and fees collected by the district courts 
 in the county for calendar year 2001; however, for taxes levied 
 to pay for these costs in the year in which the court financing 
 is transferred to the state, the amount under this section is 
 limited to one-third of the aid reduction under section 
 273.1398, subdivision 4a; and 

    (16) to fund a police or firefighters relief association as 
 required under section 69.77 to the extent that the required 
 amount exceeds the amount levied for this purpose in 2001. 

    Subd. 6.  MS 1998 Expired 

    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; 2000 c 396 s 
 6; 2000 c 490 art 6 s 4; 1Sp2001 c 5 art 16 s 2-6; 2002 c 377 
 art 6 s 5; 2002 c 379 art 1 s 66 

*   NOTE:  Subdivision 5 is effective for any year in which 
*general levy limits are imposed, notwithstanding Laws 1997, 
*chapter 231, article 3, section 9, as amended by Laws 1999, 
*chapter 243, article 6, section 10.  Laws 2000, chapter 490, 
*article 6, section 4, the effective date.

  275.71 Levy limits. 

    Subdivision 1.  MS 1998 Expired 

    Subdivision 1.    Limit on levies.  Notwithstanding any 
 other provision of law or municipal charter to the contrary 
 which authorize ad valorem taxes in excess of the limits 
 established by sections 275.70 to 275.74, the provisions of this 
 section apply to local governmental units for all purposes other 
 than those for which special levies and special assessments are 
 made. 

    Subd. 2.  MS 1999 Supp Expired 

    Subd. 2.    Levy limit base.  (a) The levy limit base 
 for a local governmental unit for taxes levied in 2001 is equal 
 to the greater of: 

    (1) the sum of its adjusted levy limit base for taxes 
 levied in 1999 plus the amount it levied in 1999 under Minnesota 
 Statutes 1999 Supplement, section 275.70, subdivision 5, clauses 
 (8) and (13), multiplied by: 

    (i) one plus the percentage growth in the implicit price 
 deflator for the 12-month period ending March 30, 2000; 

    (ii) one plus a percentage equal to the annual percentage 
 increase in the estimated number of households, if any, for the 
 most recent 12-month period that was available on July 1, 2000; 
 and 

    (iii) one plus a percentage equal to 50 percent of the 
 percentage increase in the taxable market value of the 
 jurisdiction due to new construction of class 3 property, as 
 defined in section 273.13, subdivision 24, except for 
 state-assessed utility and railroad operating property, for the 
 most recent year for which data was available as of July 1, 
 2000; or 

    (2) an amount equal to: 

    (i) the sum of the amount it levied in 2000 plus the amount 
 of aids it was certified to receive in calendar year 2001 under 
 sections 273.1398, 298.282, 477A.011 to 477A.03, prior to any 
 aid reductions under section 273.1399, subdivision 5, 477A.06, 
 and 477A.065; less 

    (ii) the amount it levied in 2000 that would qualify as 
 special levies under section 275.70, subdivision 6, for taxes 
 levied in 2001.  The local governmental unit shall provide the 
 commissioner of revenue with sufficient information to make this 
 calculation. 

    (b) If the governmental unit was not subject to levy limits 
 for taxes levied in 1999, its levy limit base for taxes levied 
 in 2001 is equal to the amount calculated under paragraph (a), 
 clause (2). 

    (c) The levy limit base for a local governmental unit for 
 taxes levied in 2002 is equal to its adjusted levy limit base in 
 the previous year, plus the amount of tree growth tax it 
 received in calendar year 2001 under sections 270.31 to 270.39, 
 and plus, in the case of a city, the amount it was certified to 
 receive in calendar year 2001 under section 273.166, subject to 
 any adjustments under section 275.72. 

    Subd. 3.  MS 1999 Supp Expired 

    Subd. 3.    Adjustments for state takeovers.  (a) The 
 levy limit base for each local unit of government shall be 
 adjusted to reflect the assumption by the state of financing for 
 certain government functions as indicated in this subdivision. 

    (b) For a county in a judicial district for which financing 
 has not been transferred to the state by January 1, 2001, the 
 levy limit base for 2001 is permanently reduced by the amount of 
 the county's 2001 budget for court administration costs, as 
 certified under section 273.1398, subdivision 4b, paragraph (b), 
 net of the county's share of transferred fines and fees 
 collected by the district courts in the county for the same 
 budget period. 

    (c) For a governmental unit which levied a tax in 2000 
 under section 473.388, subdivision 7, the levy limit base for 
 2001 is permanently reduced by an amount equal to the sum of the 
 governmental unit's taxes payable 2001 nondebt transit services 
 levy plus the portion of its 2001 homestead and agricultural 
 credit aid under section 273.1398, subdivision 2, attributable 
 to nondebt transit services. 

    (d) For counties in a judicial district in which the state 
 assumed financing of mandated services costs as defined in 
 section 480.181, subdivision 4, on July 1, 2001, the levy limit 
 base for taxes levied in 2001 is permanently reduced by an 
 amount equal to one-half of the aid reduction under section 
 273.1398, subdivision 4a, paragraph (g). 

    Subd. 4.  MS 1999 Supp Expired 

    Subd. 4.    Adjusted levy limit base.  (a) For taxes 
 levied in 2001 and 2002, the adjusted levy limit base is equal 
 to the levy limit base computed under subdivisions 2 and 3 or 
 section 275.72, multiplied by: 

    (1) one plus a percentage equal to the percentage growth in 
 the implicit price deflator; 

    (2) one plus a percentage equal to the percentage increase 
 in number of households, if any, for the most recent 12-month 
 period for which data is available; and 

    (3) one plus a percentage equal to 50 percent of the 
 percentage increase in the taxable market value of the 
 jurisdiction due to new construction of class 3 property, as 
 defined in section 273.13, subdivision 24, except for 
 state-assessed utility and railroad operating property, for the 
 most recent year for which data is available. 

    (b) For counties only, for taxes levied in 2001 and 2002, 
 the adjusted levy limit base is also reduced by any amount of 
 levy reduction required under section 275.07, subdivision 1, 
 paragraph (b), clause (ii). 

    Subd. 5.  MS 1998 Expired 

    Subd. 5.    Property tax levy limit.  Notwithstanding 
 any other provision of a municipal charter which limits ad 
 valorem taxes to a lesser amount, or which would require a 
 separate voter approval for any increase, for taxes levied in 
 2001 and 2002, the property tax levy limit for a local 
 governmental unit is equal to its adjusted levy limit base 
 determined under subdivision 4 plus any additional levy 
 authorized under section 275.73, which is levied against net tax 
 capacity, reduced by the sum of (i) the total amount of aids and 
 reimbursements that the local governmental unit is certified to 
 receive under sections 477A.011 to 477A.014, except for the 
 increases in city aid bases in calendar year 2002 under section 
 477A.011, subdivision 36, paragraphs (n), (p), and (q), (ii) 
 homestead and agricultural aids it is certified to receive under 
 section 273.1398, (iii) taconite aids under sections 298.28 and 
 298.282 including any aid which was required to be placed in a 
 special fund for expenditure in the next succeeding year, (iv) 
 low-income housing aid under sections 477A.06 and 477A.065, and 
 (v) property tax replacement aids under section 174.242. 

    Subd. 6.    Levies in excess of levy limits.  (a) If the 
 levy made by a city or county exceeds the levy limit provided in 
 sections 275.70 to 275.74, except when the excess levy is due to 
 the rounding of the rate in accordance with section 275.28, the 
 county auditor shall only extend the amount of taxes permitted 
 under sections 275.70 to 275.74, as provided for in section 
 275.16. 

    (b) For taxes levied in 2002, payable in 2003 only, if an 
 error was made in calculating the levy limit adjustment related 
 to a special levy for jails authorized under section 275.70, 
 subdivision 5, clause (11), in the previous year, the following 
 adjustments must be made: 

    (1) the county's levy limit base for taxes levied in 2002 
 must be based on the corrected adjusted levy limit base for 
 taxes levied in 2001; and 

    (2) the county's final levy limit for taxes levied in 2002, 
 payable in 2003, must also be temporarily reduced by an amount 
 equal to the amount of county levy spread in the previous year 
 in excess of the total recalculated levy limit plus authorized 
 special levies for taxes levied in 2001, payable in 2002. 

    (c) The commissioner of revenue shall inform counties 
 affected by paragraph (b) of the levy error and levy adjustments 
 required under this provision by June 15, 2002.  The county may 
 provide additional information to the commissioner indicating 
 why these adjustments may be in error by July 15, 2002.  The 
 commissioner shall certify the final levy adjustment to the 
 affected counties by August 1, 2002.  The levy reduction imposed 
 under paragraph (b), clause (2), may be spread over a period not 
 to exceed three years, upon agreement between the county and the 
 commissioner. 

    HIST: 1Sp2001 c 5 art 16 s 7; 2002 c 377 art 6 s 6-8 

  275.72 Levy limit adjustments for consolidation and 
  annexation. 

    Subdivision 1.    Adjustments for consolidation.  If all 
 of the area included in two or more local governmental units is 
 consolidated, merged, or otherwise combined to constitute a 
 single governmental unit, the levy limit base for the resulting 
 governmental unit in the first levy year in which the 
 consolidation is effective shall be equal to (1) the highest tax 
 rate in any of the merging governmental units in the previous 
 year multiplied by the net tax capacity of all the merging 
 governmental units in the previous year, minus (2) the sum of 
 all levies in the merging governmental units in the previous 
 year that qualify as special levies under section 275.70, 
 subdivision 5. 

    Subd. 2.    Adjustments for annexation.  If a local 
 governmental unit increases its tax base through annexation of 
 an area which is not the area of an entire local governmental 
 unit and the area of annexation contains a population of 50 or 
 more, the levy limit base of the local governmental unit in the 
 first year in which the annexation is effective shall be equal 
 to its levy limit base established before the adjustment under 
 section 275.71, subdivision 3, for the current levy year 
 multiplied by the ratio of the net tax capacity in the local 
 governmental unit after the annexation compared to its net tax 
 capacity before the annexation.  

    Subd. 3.    Adjustments for changes in service levels.  
 If a local governmental unit, as a result of an annexation 
 agreement prior to January 1, 1999, has different tax rates in 
 various parts of the jurisdiction due to different service 
 levels, it may petition the commissioner of revenue to adjust 
 its levy limits established under section 275.71.  The 
 commissioner shall adjust the levy limits to reflect scheduled 
 changes in tax rates related to increasing service levels in 
 areas currently receiving less city services.  The local 
 governmental unit shall provide the commissioner with any 
 information the commissioner deems necessary in making the levy 
 limit adjustment. 

    Subd. 4.    Transfer of governmental functions.  If a 
 function or service of one local governmental unit is 
 transferred to another local governmental unit, the levy limits 
 established under section 275.71 must be adjusted by the 
 commissioner of revenue in such manner so as to fairly and 
 equitably reflect the reduced or increased property tax burden 
 resulting from the transfer.  The aggregate of the adjusted 
 limitations must not exceed the aggregate of the limitations 
 prior to adjustment. 

    Subd. 5.    Effective date for levy limits purposes.  
 Annexations, mergers, and shifts in services and functional 
 responsibilities that are effective by June 30 of the levy year 
 are included in the calculation of the levy limit for that levy 
 year.  Annexations, mergers, and shifts in services and 
 functional responsibilities that are effective after June 30 of 
 a levy year are not included in the calculation of the levy 
 limit until the subsequent levy year. 

    HIST: 1Sp2001 c 5 art 16 s 8 

  275.73 Elections for additional levies. 

    Subdivision 1.    Additional levy authorization.  
 Notwithstanding the provisions of sections 275.70 to 275.72, but 
 subject to other law or charter provisions establishing other 
 limitations on the amount of property taxes a local governmental 
 unit may levy, a local governmental unit may levy an additional 
 levy in any amount which is approved by the majority of voters 
 of the governmental unit voting on the question at a general or 
 special election.  Notwithstanding section 275.61, any levy 
 authorized under this section must be levied against net tax 
 capacity unless the levy required voter approval under another 
 general or special law or any charter provisions.  When the 
 governing body of the local governmental unit resolves to 
 increase the levy pursuant to this section, it shall provide for 
 submission of the proposition of an additional levy at a general 
 or special election.  Notice of the election must be given in 
 the manner required by law.  The notice must state the purpose 
 and the maximum yearly amount of the additional levy. 

    Subd. 2.    Levy effective date.  An additional levy 
 approved under subdivision 1 at a general or special election 
 held prior to September 1 in any levy year may be levied in that 
 same levy year and subsequent levy years.  An additional levy 
 approved under subdivision 1 at a general or special election 
 held after August 31 in any levy year shall not be levied in 
 that same levy but may be levied in subsequent levy years. 

    HIST: 1Sp2001 c 5 art 16 s 9 

  275.74 State regulation of levies. 

    Subdivision 1.    Calculation and notification.  The 
 commissioner of revenue shall make all necessary calculations 
 for determining levy limits for local governmental units and 
 notify the affected governmental units of their levy limits 
 directly by September 1 of each levy year.  The local 
 governmental units shall, upon request, provide the commissioner 
 with any information needed to make the calculations.  The local 
 governmental unit shall report by September 30, in a manner 
 prescribed by the commissioner, the maximum amount of taxes it 
 plans to levy for each of the purposes listed under special 
 levies and any additional levy authorized under section 275.73, 
 along with any necessary documentation.  The commissioner shall 
 review the proposed special levies and make any adjustments 
 needed.  The commissioner's decision is final.  The final 
 allowed special levy amounts and any levy limit adjustments must 
 be certified back to the local governments by December 10.  In 
 addition, the commissioner of revenue shall notify all county 
 auditors on or before five working days after December 20 of the 
 sum of the levy limit plus the total of allowed special levies 
 for each local governmental unit located within their boundaries 
 so that they may fix the levies as required in section 275.16.  
 The local governmental units shall provide the commissioner of 
 revenue with all information that the commissioner deems 
 necessary to make the calculations provided for in sections 
 275.70 to 275.73. 

    Subd. 2.    Authorization for special levies.  A local 
 governmental unit may request authorization to levy for 
 unreimbursed costs for natural disasters under section 275.70, 
 subdivision 5, clause (7).  The local governmental unit shall 
 submit a request to levy under section 275.70, subdivision 5, 
 clause (7), to the commissioner of revenue by September 30 of 
 the levy year and the request must include information 
 documenting the estimated unreimbursed costs.  The commissioner 
 of revenue may grant levy authority, up to the amount requested 
 based on the documentation submitted.  All decisions of the 
 commissioner are final. 

    Subd. 3.    Information necessary to calculate the 2001 
 levy limit base.  A local governmental unit must provide the 
 commissioner with the information required to calculate the 
 alternative 2001 levy limit base under section 275.71, 
 subdivision 2, paragraph (a), clause (2), by July 20, 2001.  If 
 the information is not received by the commissioner by that 
 date, or is not deemed sufficient to make the calculation under 
 that clause, the commissioner has the discretion to set the 
 local governmental unit's 2001 levy limit base equal to the 
 amount calculated under section 275.71, subdivision 2, paragraph 
 (a), clause (1). 

    HIST: 1Sp2001 c 5 art 16 s 10; 2002 c 377 art 10 s 9