Bill > HF3193

This bill establishes a new provision in Minnesota law that allows a municipality to stop tax increment financing (TIF) payments to a developer, property owner, or note holder if it finds that they or their subcontractors have violated state or municipal labor laws. The bill requires the municipality to hold a public hearing with at least 10 days' notice, during which they must provide specific details about the alleged labor law violation, including citations and supporting facts. Before finalizing such a finding, the municipality must allow the developer, property owner, or note holder to file written objections. If payments are stopped, the affected party has 30 days to challenge the decision in district court, where a judge will evaluate whether proper procedures were followed and whether a labor law violation actually occurred. If the court rules in favor of the challenger, the municipality must resume payments. Conversely, if the municipality's finding is upheld, the developer may be required to pay court costs and attorney fees. The law will apply to all TIF districts for which certification requests are made after the bill's enactment, providing a mechanism to enforce labor law compliance in development projects.

Budget and Finance

https://www.revisor.mn.gov/bills/bill.php?b=House&f=HF3193&ssn=0&y=2025