123A.67 ALLOCATION OF ASSETS AND LIABILITIES; LEVY.
Subdivision 1. Title to property.
Title to all the property, real and personal, of any district
dissolved under the provisions of sections
and all legally valid and
enforceable claims and contract obligations, pass to the district to which such dissolved district
is attached. If a district is divided by virtue of the proceedings, the commissioner shall issue a
subsequent order providing for the division of the assets and liabilities according to such terms as
the commissioner may deem just and equitable.
Subd. 2. Taxable property.
As of the effective date of the attachment, all the taxable
property in the newly enlarged district is taxable for the payment of any bonded debt already
incurred by any component district in the proportion which the net tax capacity of that part of a
preexisting district which is included in the newly enlarged district bears to the net tax capacity of
the entire preexisting district as of the time of the attachment. The county auditor shall make this
apportionment and incorporate the apportionment as an annex to the order of the commissioner
dividing the assets and liabilities of the component parts. This subdivision shall not relieve any
property from any tax liability for payment of any bonded obligation but taxable property in the
newly enlarged district becomes primarily liable for the payment of bonded debts to the extent of
the proportion stated.
Subd. 3. Reimbursement; special levy.
(a) Liabilities of a dissolved district existing at the
time of the attachment other than bonded debt within the purview of subdivision 2 must be
obligations of the consolidated district after attachment (in the amount and kind determined by the
commissioner according to subdivision 1, where a dissolved district is divided), for the payment
of which the consolidated district has a right to reimbursement by special levy or levies. The
amount of reimbursement will be equal to the liabilities of the dissolved district for which the
consolidated district is obligated less the aggregate of the following which has been or will be
received by the consolidated district at or after the time of attachment from or as a result of the
dissolution and attachment of the dissolved district:
(1) all taxes inuring to the consolidating district upon levies made by the dissolved district;
(2) all cash, bank accounts, investments, and other current assets;
(3) earned state aids of the dissolved districts;
(4) returns from the sale of property of the dissolved district.
(b) The amount of such special levy so computed shall be certified to the county auditor
with the other tax requirements of the consolidated district but separately stated and identified.
The auditor shall add the amount of special levy so certified to the school rate for the territory
in the consolidated district which came from the dissolved district and include it in the levy on
the taxable property in that territory. The county auditor shall not spread more of the amount
certified for special levy in any year than will amount to 20 percent of the school levy without
the special levy, leaving the remaining part of the certified amount for levy in successive years
without further certification. Any amount of reimbursement to which it is entitled omitted by the
consolidated district from its initial certification for special levy may be certified in a subsequent
year for levy in the same manner as the levy upon initial certification.
The levy authorized by this subdivision shall be in addition to those otherwise authorized for
History: 1967 c 833 s 5; Ex1971 c 31 art 20 s 20; 1975 c 162 s 19,41; 1976 c 271 s 36-38;
1983 c 314 art 1 s 22; 1986 c 444; 1988 c 486 s 12; 1988 c 719 art 5 s 84; 1989 c 329 art 13 s
20; 1998 c 397 art 5 s 53,54,104; art 11 s 3