Bill > SF424

This bill authorizes cities in Minnesota to create land-value taxation districts. The key provisions of the bill are: 1. Definitions: The bill defines key terms such as "city," "district," and "ordinance" for the purposes of the land-value taxation districts. 2. Establishment of Land-Value Taxation District: The bill allows a city's governing body to adopt an ordinance establishing a land-value taxation district, which must describe the parcels of property in the district and the procedure for reallocating the property tax burden among the parcels. 3. Restrictions on Tax Reallocation Procedure: The bill specifies that the tax reallocation procedure must distribute taxes on taxable properties in the district by applying uniform rates to one or more tax bases, such as net tax capacity, referendum market value, or the estimated market value excluding the value of improvements. 4. Taxation Within District: The bill outlines the process for the city to compile and allocate the total property taxes imposed on the properties within the district, and requires the city to report the revised property tax amounts to the county treasurer and provide revised property tax statements to the property owners. 5. Appeal of Land Value: The bill allows the owner of any property in the land-value taxation district to appeal the valuation attributable to the land separately from the valuation attributable to improvements on the land. The bill is effective beginning with taxes payable in 2022.