2006 Minnesota Statutes

572A.03 ARBITRATION PANEL DECISION STANDARDS.
    Subdivision 1. Decision standards. The arbitration panel, based upon the factors in section
572A.02, subdivision 5, shall decide the matter based upon the decision standards in subdivisions
2 to 6.
    Subd. 2. Comprehensive land use planning. For comprehensive land use planning disputes
under section 462.3535, if a community-based comprehensive plan addresses the goals of section
4A.08 and the arbitrators find that the city's projected estimates found in its comprehensive plan
are reasonable with respect to an identified urban growth area, the arbitration panel may order
approval of the city plan. If the order is to approve the community-based comprehensive plan, the
order shall contain notice directing the county to approve the city plan within ten days of receipt
of the arbitration order. The city shall, thereafter, adopt the plan. If the order is to deny the plan,
the arbitration order shall state the reasons for the denial in the order and transmit the order to the
city, the county, and the Office of Strategic and Long-Range Planning. The city shall within 30
days of receipt of the order amend its plan and resubmit the plan to the county for review and
approval under this subdivision. The county shall not unreasonably withhold approval of the plan
if the resubmitted city plan is in keeping with the arbitration panel's order.
    Subd. 3. Municipal incorporations. For municipal incorporations under section 414.02, the
arbitration panel may order the incorporation if it finds that: (1) the property to be incorporated is
now, or is about to become, urban or suburban in character; (2) that the existing township form of
government is not adequate to protect the public health, safety, and welfare; or (3) the proposed
incorporation would be in the best interests of the area under consideration. The panel may deny
the incorporation if the area, or a part of it, would be better served by annexation to an adjacent
municipality. The panel may alter the boundaries of the proposed incorporation by increasing or
decreasing the area to be incorporated so as to include only that property which is now, or is about
to become, urban or suburban in character, or may exclude property that may be better served by
another unit of government. The panel may also alter the boundaries of the proposed incorporation
so as to follow visible, clearly recognizable physical features for municipal boundaries. In all
cases, the panel shall set forth the factors which are the basis for the decision.
    Subd. 4. Annexations of unincorporated property. For annexations of unincorporated
property under section 414.031 or 414.033, subdivisions 3 and 5, the arbitration panel may order
the annexation: (1) if it finds that the subject area is now, or is about to become, urban or suburban
in character; (2) if it finds that municipal government in the area proposed for annexation is
required to protect the public health, safety, and welfare; or (3) if it finds that the annexation
would be in the best interest of the subject area. If only a part of a township is to be annexed, the
panel shall consider whether the remainder of the township can continue to carry on the functions
of government without undue hardship. The panel shall deny the annexation if it finds that the
increase in revenues for the annexing municipality bears no reasonable relation to the monetary
value of benefits conferred upon the annexed area. The panel may deny the annexation: (1) if
it appears that annexation of all or a part of the property to an adjacent municipality would
better serve the interests of the residents of the property; or (2) if the remainder of the township
would suffer undue hardship.
The panel may alter the boundaries of the area to be annexed by increasing or decreasing the
area so as to include only that property which is now or is about to become urban or suburban in
character or to add property of that character abutting the area proposed for annexation in order to
preserve or improve the symmetry of the area, or to exclude property that may better be served by
another unit of government. The panel may also alter the boundaries of the proposed annexation
so as to follow visible, clearly recognizable physical features. If the panel determines that part of
the area would be better served by another municipality or township, the panel may initiate and
approve annexation on its own motion by conducting further hearings. In all cases, the arbitration
panel shall set forth the factors that are the basis for the decision.
    Subd. 5. Orderly annexations within a designated area. For orderly annexations within
a designated area under section 414.0325, which require a hearing, the arbitration panel may
order the annexation: (1) if it finds that the subject area is now or is about to become urban or
suburban in character and that the annexing municipality is capable of providing the services
required by the area within a reasonable time; (2) if it finds that the existing township form of
government is not adequate to protect the public health, safety, and welfare; or (3) if it finds that
annexation would be in the best interests of the subject area. The panel may deny the annexation
if it conflicts with any provision of the joint agreement. The panel may alter the boundaries of the
proposed annexation by increasing or decreasing the area so as to include that property within the
designated area which is in need of municipal services or will be in need of municipal services.
If the annexation is denied, no proceeding for the annexation of substantially the same area
may be initiated within two years from the date of the board's order unless the new proceeding
is initiated by a majority of the area's property owners and the petition is supported by affected
parties to the resolution. In all cases, the arbitration panel shall set forth the factors which are
the basis for the decision.
    Subd. 6. Consolidation of municipalities. For municipal consolidations under section
414.041, the arbitration panel shall consider and may accept, amend, return to the commission for
amendment or further study, or reject the commission's findings and recommendations based upon
the panel's written determination of what is in the best interests of the affected municipalities.
The panel shall order the consolidation if it finds that consolidation will be for the best interests
of the municipalities. In all cases, the arbitration panel shall set forth the factors that are the
basis for the decision.
    Subd. 7. Detachment of property from a municipality. For detachments of property from
a municipality under section 414.06, the arbitration panel may order the detachment if it finds
that the requisite number of property owners have signed the petition if initiated by the property
owners, that the property is rural in character and not developed for urban residential, commercial,
or industrial purposes, that the property is within the boundaries of the municipality and abuts
a boundary, that the detachment would not unreasonably affect the symmetry of the detaching
municipality, and that the land is not needed for reasonably anticipated future development. The
panel shall deny the detachment if it finds that the remainder of the municipality cannot continue
to carry on the functions of government without undue hardship. The panel shall have authority to
decrease the area of property to be detached and may include only a part of the proposed area to
be detached. If the tract abuts more than one township, it shall become a part of each township,
being divided by projecting through it the boundary line between the townships. The detached
area may be relieved of the primary responsibility for existing indebtedness of the municipality
and be required to assume the indebtedness of the township of which it becomes a part, in the
proportion that the panel deems just and equitable considering the amount of taxes due and
delinquent and the indebtedness of each township and the municipality affected, if any, and for
what purpose the indebtedness was incurred, in relation to the benefit inuring to the detached
area as a result of the indebtedness and the last net tax capacity of the taxable property in each
township and municipality.
    Subd. 8. Concurrent detachment and annexation of incorporated property. For
concurrent detachment and annexation of incorporated property under section 414.061,
subdivisions 4 and 5 , the arbitration panel shall order the proposed action if it finds that it will
be for the best interests of the municipalities and the property owner. In all cases, the arbitration
panel shall set forth the factors which are the basis for the decision.
History: 1997 c 202 art 6 s 4; 2003 c 2 art 5 s 16