.................... moves to amend H.F. No. 920 as follows:
Page 1, after line 5, insert:
"Section 1. Minnesota Statutes 2008, section 3.842, subdivision 4a, is amended to read:
Subd. 4a. Objections to rules.
(a) For purposes of this subdivision, "committee"
means the house of representatives policy committee or senate policy committee with
primary jurisdiction over state governmental operations. The commission, the Legislative
1.7Commission on Mandate Reform,
or a committee may object to a rule as provided in
this subdivision. If the commission, the Legislative Commission on Mandate Reform,
or a committee objects to all or some portion of a rule because the commission, the
1.10Legislative Commission on Mandate Reform,
committee considers it to be beyond
the procedural or substantive authority delegated to the agency, including a proposed rule
submitted under section
14.15, subdivision 4
14.26, subdivision 3
, paragraph (c), the
commission, the Legislative Commission on Mandate Reform,
committee may file
that objection in the Office of the Secretary of State. The filed objection must contain a
concise statement of the commission's, the Legislative Commission on Mandate Reform,
committee's reasons for its action. An objection to a proposed rule submitted by the
commission, the Legislative Commission on Mandate Reform,
or a committee under
14.15, subdivision 4
14.26, subdivision 3
, paragraph (c), may not be filed
before the rule is adopted.
(b) The secretary of state shall affix to each objection a certification of the date and
time of its filing and as soon after the objection is filed as practicable shall transmit a
certified copy of it to the agency issuing the rule in question and to the revisor of statutes.
The secretary of state shall also maintain a permanent register open to public inspection of
all objections by the commission, the Legislative Commission on Mandate Reform,
(c) The commission, the Legislative Commission on Mandate Reform,
committee shall publish and index an objection filed under this section in the next issue
of the State Register. The revisor of statutes shall indicate the existence of the objection
adjacent to the rule in question when that rule is published in Minnesota Rules.
(d) Within 14 days after the filing of an objection by the commission, the Legislative
2.4Commission on Mandate Reform,
committee to a rule, the issuing agency shall
respond in writing to the objecting entity. After receipt of the response, the commission,
2.6the Legislative Commission on Mandate Reform,
committee may withdraw or modify
(e) After the filing of an objection by the commission, the Legislative Commission
2.9on Mandate Reform,
committee that is not subsequently withdrawn, the burden is
upon the agency in any proceeding for judicial review or for enforcement of the rule to
establish that the whole or portion of the rule objected to is valid.
(f) The failure of the commission, the Legislative Commission on Mandate Reform,
or a committee to object to a rule is not an implied legislative authorization of its validity.
(g) In accordance with sections
, the commission, the Legislative
2.15Commission on Mandate Reform,
or a committee may petition for a declaratory judgment
to determine the validity of a rule objected to by the commission, the Legislative
2.17Commission on Mandate Reform,
committee. The action must be started within two
years after an objection is filed in the Office of the Secretary of State.
(h) The commission, the Legislative Commission on Mandate Reform,
committee may intervene in litigation arising from agency action. For purposes of this
paragraph, agency action means the whole or part of a rule, or the failure to issue a rule.
Sec. 2. Minnesota Statutes 2008, section 3.843, is amended to read:
2.233.843 PUBLIC HEARINGS BY STATE AGENCIES.
By a vote of a majority of its members, the commission or the Legislative
2.25Commission on Mandate Reform
may request any agency issuing rules to hold a
public hearing in respect to recommendations made under section
recommendations made by the commission or the Legislative Commission on Mandate
to promote adequate and proper rules by that agency and recommendations
contained in the commission's biennial report. The agency shall give notice as provided in
14.14, subdivision 1
, of a hearing under this section, to be conducted in accordance
. The hearing must be held not more than 60 days after receipt
of the request or within any other longer time period specified by the commission or the
2.33Legislative Commission on Mandate Reform
in the request.
Sec. 3. [3.99] LEGISLATIVE COMMISSION ON MANDATE REFORM;
3.1 Subdivision 1. Established. The Legislative Commission on Mandate Reform is
3.2established as provided in this section, with the powers and duties given it in sections
3.33.842, subdivision 4a; 3.843; and 3.99 to 3.993.
3.4 Subd. 2. Membership. The commission consists of four senators appointed by the
3.5senate Subcommittee on Committees of the Committee on Rules and Administration,
3.6three senators appointed by the senate minority leader, four state representatives appointed
3.7by the speaker of the house, and three state representatives appointed by the house
3.8of representatives minority leader. The appointing authorities must ensure balanced
3.9geographic representation. Each appointing authority must make appointments as soon as
3.11 Subd. 3. Terms; vacancies. Members of the commission serve for a two-year term
3.12beginning upon appointment and expiring upon appointment of a successor after the
3.13opening of the next regular session of the legislature in the odd-numbered year. A vacancy
3.14in the membership of the commission must be filled for the unexpired term in a manner
3.15that will preserve the representation established by this section.
3.16 Subd. 4. Chair. The commission must meet as soon as practicable after members
3.17are appointed in each odd-numbered year to elect its chair and other officers as it may
3.18determine necessary. A chair serves a two-year term, expiring in the odd-numbered year
3.19after a successor is elected. The chair must alternate biennially between the senate and the
3.20house of representatives.
3.21 Subd. 5. Compensation. Members may be reimbursed for their reasonable
3.22expenses as members of the legislature.
3.23 Subd. 6. Staff. The Legislative Coordinating Commission must provide
3.24administrative support to the commission, including secretarial services, record keeping,
3.25and grants administration.
3.26 Subd. 7. Meetings; procedures; tie votes. The first meeting of the biennium must
3.27be convened by the member designated by the senate majority leader if a senator is to chair
3.28the commission for the biennium, or by the speaker of the house if a state representative
3.29is to chair the commission for the biennium. The commission meets at the call of the
3.30chair. Commission action requires a positive vote of at least four house of representatives
3.31members and at least four senate members.
3.32 Subd. 8. Funding. The Legislative Coordinating Commission shall annually bill the
3.33commissioner of revenue for costs incurred by the Legislative Coordinating Commission
3.34in providing administrative support and to make the grants authorized by the legislative
3.35commission on unnecessary mandates, in an amount not to exceed $100,000 per year. The
4.1commissioner of revenue shall deduct one-half of the certified costs from payments to
4.2counties under section 477A.03, subdivision 2b, and one-half of the certified costs from
4.3payments to cities under section 477A.03, subdivision 2a.
Sec. 4. [3.991] LEGISLATIVE COMMISSION ON MANDATE REFORM;
4.5REVIEW AND RECOMMENDATIONS TO LEGISLATURE.
4.6The Legislative Commission on Mandate Reform must solicit from local
4.7governments information on state laws and rules that local governments consider to be
4.8problematic mandates. The commission must review the mandates identified and consider
4.9why each mandate was enacted or adopted, whether the reason for it still exists, the costs
4.10to local governments to comply with the mandate, and whether repeal or modification
4.11of the mandate is appropriate. Before the beginning of each legislative session, the
4.12commission must prepare for introduction a bill to repeal or modify those laws or rules the
4.13commission determines are unnecessary.
Sec. 5. [3.992] LEGISLATIVE COMMISSION ON MANDATE REFORM;
4.16Upon recommendation of the Legislative Commission on Mandate Reform,
4.17the commissioner of revenue may make grants to the League of Minnesota Cities,
4.18the Association of Minnesota Counties, Minnesota Association of Townships, other
4.19organizations representing local governments, the Board of Regents of the University of
4.20Minnesota, the Board of Trustees of Minnesota State Colleges and Universities, or other
4.21accredited postsecondary institutions to research and make recommendations on mandate
4.22reform. A grant may be in any amount up to $........ The commissioner must specify the
4.23work to be done, the completion date, and the maximum grant amount, and may specify
4.24any other conditions the commissioner deems necessary or useful.
Sec. 6. [3.993] LEGISLATIVE COMMISSION ON MANDATES REFORM;
4.26TEMPORARY RULE SUSPENSION.
4.27The Legislative Commission on Mandate Reform may suspend any rule on which
4.28the commission received negative testimony at a public hearing. If any rule is suspended,
4.29the commission must, as soon as possible, place before the legislature, at the next year's
4.30session, a bill to repeal the suspended rule. If the bill is not enacted in that year's session,
4.31the rule is effective upon adjournment of the session unless the agency has repealed it.
4.32If the bill is enacted, the rule is repealed.
Sec. 7. [3.994] EXPIRATION.
4.34Sections 3.99 to 3.993 expire June 30, 2013.
Sec. 8. FIRST MEETING AFTER EFFECTIVE DATE OF ACT.
5.2The first meeting of the Legislative Commission on Mandate Reform must be held
5.3as soon as practicable after all appointments are made. The speaker of the house must
5.4designate a commission member to convene the first meeting. The first commission serves
5.5until a new commission is appointed at the beginning of the next biennium.
Sec. 9. Minnesota Statutes 2008, section 120B.021, subdivision 1, is amended to read:
Subdivision 1. Required academic standards.
The following subject areas are
required for statewide accountability:
(1) language arts;
(4) social studies, including history, geography, economics, and government and
(5) health and physical education, for which locally developed academic standards
(6) the arts, for which statewide or locally developed academic standards apply,
as determined by the school district. Public elementary and middle schools must offer
at least three
and require at least two of the following four arts areas: dance; music;
theater; and visual arts. Public high schools, consistent with section 120B.024, paragraph
5.20(a), clause (5),
at least three
and require at least one of the following five arts
areas: media arts; dance; music; theater; and visual arts.
The commissioner must submit proposed standards in science and social studies to
the legislature by February 1, 2004.
For purposes of applicable federal law, the academic standards for language arts,
mathematics, and science apply to all public school students, except the very few students
with extreme cognitive or physical impairments for whom an individualized education
plan team has determined that the required academic standards are inappropriate.
An individualized education plan team that makes this determination must establish
A school district, no later than the 2007-2008 school year, must adopt graduation
requirements that meet or exceed state graduation requirements established in law or
rule. A school district that incorporates these state graduation requirements before the
2007-2008 school year must provide students who enter the 9th grade in or before
the 2003-2004 school year the opportunity to earn a diploma based on existing locally
established graduation requirements in effect when the students entered the 9th grade.
District efforts to develop, implement, or improve instruction or curriculum as a result
of the provisions of this section must be consistent with sections
The commissioner must include the contributions of Minnesota American Indian
tribes and communities as they relate to the academic standards during the review and
revision of the required academic standards.
6.7EFFECTIVE DATE.This section is effective for the 2009-2010 school year and
Sec. 10. Minnesota Statutes 2008, section 120B.11, subdivision 5, is amended to read:
Subd. 5. Report.
(a) By October 1 of each year, the school board shall use standard
statewide reporting procedures the commissioner develops and adopt a report, consistent
6.12with section 120B.36, subdivision 1,
that includes the following:
(1) student achievement goals for meeting state academic standards;
(2) results of local assessment data, and any additional test data;
(3) the annual school district improvement plans including staff development goals
(4) information about district and learning site progress in realizing previously
adopted improvement plans; and
(5) the amount and type of revenue attributed to each education site as defined
(b) The school board shall publish the report in the local newspaper with the largest
circulation in the district, by mail, or by electronic means such as the district Web site. If
electronic means are used, school districts must publish notice of the report in a periodical
of general circulation in the district. School districts must make copies of the report
available to the public on request.
The board shall make a copy of the report available to
6.26 the public for inspection. The board shall send a copy of the report to the commissioner
6.27 of education by October 15 of each year.
The title of the report shall contain the name and number of the school district and
6.29 read "Annual Report on Curriculum, Instruction, and Student Achievement."
must include at least the following information about advisory committee membership:
(1) the name of each committee member and the date when that member's term
(2) the method and criteria the school board uses to select committee members; and
(3) the date by which a community resident must apply to next serve on the
7.1EFFECTIVE DATE.This section is effective for the 2009-2010 school year and
Sec. 11. Minnesota Statutes 2008, section 123B.10, subdivision 1, is amended to read:
Subdivision 1. Budgets; form of notification.
(a) Every board must publish revenue
and expenditure budgets for the current year and the actual revenues, expenditures, fund
balances for the prior year and projected fund balances for the current year in a form
prescribed by the commissioner within one week of the acceptance of the final audit by
the board, or November 30, whichever is earlier. The forms prescribed must be designed
so that year to year comparisons of revenue, expenditures and fund balances can be made.
(b) A school board annually must notify the public of its revenue, expenditures, fund
balances, and other relevant budget information. The board must
include the budget
7.12 information required by this section in the materials provided as a part of its truth in
7.13 taxation hearing,
post the materials in a conspicuous place on the district's official Web
site, including a link to the district's school report card on the Department of Education's
Web site, and publish either
the information or the address of the district's official Web
7.16site where the information can be found
in a qualified newspaper of general circulation
in the district.
7.18EFFECTIVE DATE.This section is effective the day following final enactment.
Page 2, after line 24, insert:
"Sec. 13. Minnesota Statutes 2008, section 123B.57, subdivision 1, is amended to read:
Subdivision 1. Health and safety program.
To receive health and safety
revenue for any fiscal year a district must submit to the commissioner an application for
aid and levy by the date determined by the commissioner. The application may be for
hazardous substance removal, fire and life safety code repairs, labor and industry regulated
facility and equipment violations, and health, safety, and environmental management,
including indoor air quality management. The application must include a health and safety
program adopted by the school district board. The program must include the estimated
cost, per building, of the program by fiscal year. Upon approval through the adoption of
a resolution by each of an intermediate district's member school district boards and the
approval of the Department of Education, a school district may include its proportionate
share of the costs of health and safety projects for an intermediate district in its application.
(b) Health and safety projects with an estimated cost of $500,000 or more per site,
7.33 approved after February 1, 2003, are not eligible for health and safety revenue. Health
7.34 and safety projects with an estimated cost of $500,000 or more per site, approved after
7.35 February 1, 2003, that meet all other requirements for health and safety funding, are
8.1 eligible for alternative facilities bonding and levy revenue according to section
8.2 A school board shall not separate portions of a single project into components to qualify
8.3 for health and safety revenue, and shall not combine unrelated projects into a single project
8.4 to qualify for alternative facilities bonding and levy revenue.
8.5EFFECTIVE DATE.This section is effective July 1, 2009.
Sec. 14. Minnesota Statutes 2008, section 123B.59, subdivision 2, is amended to read:
Subd. 2. Facility plan.
(a) A district qualifying under subdivision 1, paragraph
(a), must have a ten-year facility plan approved by the commissioner that includes an
inventory of projects and costs that would be eligible for:
(1) health and safety revenue, without restriction as to project size;
(2) disabled access levy; and
(3) deferred capital expenditures and maintenance projects necessary to prevent
further erosion of facilities.
A district qualifying under subdivision 1, paragraph (b), must have a five-year
8.15 plan approved by the commissioner that includes an inventory of projects and costs for
8.16 health and safety projects with an estimated cost of $500,000 or more per site that would
8.17 qualify for health and safety revenue except for the project size limitation in section
8.18 123B.57, subdivision 1 , paragraph (b).
The school district must:
(1) annually update the plans;
(2) biennially submit a facility maintenance plan; and
(3) indicate whether the district will issue bonds to finance the plan or levy for
8.24EFFECTIVE DATE.This section is effective July 1, 2009.
Sec. 15. Minnesota Statutes 2008, section 123B.71, subdivision 8, is amended to read:
Subd. 8. Review and comment.
A school district, a special education cooperative,
or a cooperative unit of government, as defined in section
123A.24, subdivision 2
must not initiate an installment contract for purchase or a lease agreement, hold a
referendum for bonds, nor solicit bids for new construction, expansion, or remodeling of
an educational facility that requires an expenditure in excess of
per school site prior to review and comment by the commissioner. The commissioner
may exempt a facility maintenance project funded with general education aid and levy,
alternative facilities bonding and levy program, or health and safety revenue from this
provision after reviewing a written request from a school district describing the scope of
work. A school board shall not separate portions of a single project into components to
avoid the requirements of this subdivision.
9.3EFFECTIVE DATE.This section is effective for review and comments requested
9.4on or after July 1, 2009.
Sec. 16. Minnesota Statutes 2008, section 123B.76, subdivision 3, is amended to read:
Subd. 3. Expenditures by building.
(a) For the purposes of this section, "building"
means education site as defined in section
123B.04, subdivision 1
(b) Each district shall
maintain separate accounts to
identify general fund
expenditures for each building to the extent provided by the uniform financial accounting
9.10and reporting standards for school units
All expenditures for regular instruction,
9.11 secondary vocational instruction, and school administration must be reported to
9.12 the department separately for each building. All expenditures for special education
9.13 instruction, instructional support services, and pupil support services provided within a
9.14 specific building must be reported to the department separately for each building. Salary
9.15 expenditures reported by building must reflect actual salaries for staff at the building and
9.16 must not be based on districtwide averages. All other
General fund expenditures not
9.17available at the building level through the uniform financial accounting and reporting
may be reported by building or on a districtwide basis.
(c) The department must annually report information showing school district general
fund expenditures per pupil by program category for each building and estimated school
district general fund revenue generated by pupils attending each building on its Web
site. For purposes of this report:
(1) expenditures not reported by building shall be allocated among buildings on a
uniform per pupil basis;
(2) basic skills revenue shall be allocated according to section
(3) secondary sparsity revenue and elementary sparsity revenue shall be allocated
according to section
126C.10, subdivisions 7 and 8
(4) alternative teacher compensation revenue shall be allocated according to section
, subdivision 1;
(5) other general education revenue shall be allocated on a uniform per pupil unit
(6) first grade preparedness aid shall be allocated according to section
(7) state and federal special education aid and Title I aid shall be allocated in
proportion to district expenditures for these programs by building; and
(8) other general fund revenues shall be allocated on a uniform per pupil basis,
except that the department may allocate other revenues attributable to specific buildings
directly to those buildings.
10.4EFFECTIVE DATE.This section is effective for fiscal years 2010 and later.
Sec. 17. Minnesota Statutes 2008, section 124D.68, subdivision 5, is amended to read:
Subd. 5. Pupil enrollment. (a)
Any eligible pupil may apply to enroll in an eligible
program. Approval of the resident district is not required for:
(1) an eligible pupil to enroll in any eligible program in a nonresident district under
subdivision 3 or 4 or an area learning center established under section
(2) an eligible pupil under subdivision 2, to enroll in an adult basic education
program approved under section
10.12(b) Notwithstanding paragraph (a), a nonresident district must first approve the
10.13enrollment application of any eligible pupil who was expelled under section 121A.45 for a
10.14reason state in section 124D.03, subdivision 1, paragraph (b).
10.15EFFECTIVE DATE.This section is effective for the 2009-2010 school year and
Sec. 18. Minnesota Statutes 2008, section 126C.44, is amended to read:
10.18126C.44 SAFE SCHOOLS LEVY.
(a) Each district may make a levy on all taxable property located within the district
for the purposes specified in this section. The maximum amount which may be levied
for all costs under this section shall be equal to $30 multiplied by the district's adjusted
marginal cost pupil units for the school year. The proceeds of the levy must be reserved and
used for directly funding the following purposes or for reimbursing the cities and counties
who contract with the district for the following purposes: (1) to pay the costs incurred for
the salaries, benefits, and transportation costs of peace officers and sheriffs for liaison in
services in the district's schools; (2) to pay the costs for a drug abuse prevention program
as defined in section
609.101, subdivision 3
, paragraph (e), in the elementary schools;
(3) to pay the costs for a gang resistance education training curriculum in the district's
schools; (4) to pay the costs for security in the district's schools and on school property; (5)
to pay the costs for other crime prevention, drug abuse, student and staff safety, voluntary
opt-in suicide prevention tools, and violence prevention measures taken by the school
district; or (6) to pay costs for licensed school counselors, licensed school nurses, licensed
school social workers, licensed school psychologists, and licensed alcohol and chemical
dependency counselors to help provide early responses to problems. For expenditures
under clause (1), the district must initially attempt to contract for services to be provided
by peace officers or sheriffs with the police department of each city or the sheriff's
department of the county within the district containing the school receiving the services. If
a local police department or a county sheriff's department does not wish to provide the
necessary services, the district may contract for these services with any other police or
sheriff's department located entirely or partially within the school district's boundaries.
(b) A school district that is a member of an intermediate school district may
include in its authority under this section the costs associated with safe schools activities
authorized under paragraph (a) for intermediate school district programs. This authority
must not exceed $10 times the adjusted marginal cost pupil units of the member districts.
This authority is in addition to any other authority authorized under this section. Revenue
raised under this paragraph must be transferred to the intermediate school district.
(c) A school district must set aside at least $3 per adjusted marginal cost pupil
unit of the safe schools levy proceeds for the purposes authorized under paragraph (a),
clause (6). The district must annually certify either
its total spending on services
provided by the employees listed in paragraph (a), clause (6), is not less than the sum of
its expenditures for these purposes, excluding amounts spent under this section, in the
previous year plus the amount spent under this section; or (2) that the district's full time
11.19equivalent number of employees listed in paragraph (a), clause (6), is not less than the
11.20number for the previous year
11.21EFFECTIVE DATE.This section is effective for revenue for fiscal years 2010
Sec. 19. Minnesota Statutes 2008, section 275.065, subdivision 3, is amended to read:
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. Upon written request by
the taxpayer, the treasurer may send the notice in electronic form or by electronic mail
instead of on paper or by ordinary mail.
(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
In the case of taxing authorities required to hold a public meeting under
11.35 subdivision 6, the notice must clearly state that each taxing authority, including regional
12.1 library districts established under section
134.201 , and including the metropolitan taxing
12.2 districts as defined in paragraph (i), but excluding all other special taxing districts and
12.3 towns, will hold a public meeting to receive public testimony on the proposed budget and
12.4 proposed or final property tax levy, or, in case of a school district, on the current budget
12.5 and proposed property tax levy. The notice must clearly state for each city, county, school
12.6district, regional library authority established under section 134.201, and metropolitan
12.7taxing districts as defined in paragraph (i), the time and place of the taxing authorities
12.8regularly scheduled meetings in which the budget and levy will be discussed and the final
12.9budget and levy determined. The taxing authorities must provide the county auditor with
12.10the information to be included in the notice.
clearly state the time and place of
12.11 each taxing authority's meeting, provide
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
, 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
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; and
(ii) the proposed tax amount.
If the county levy under clause (2) includes an amount for a lake improvement
district as defined under sections
, 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
. 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 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 Ramsey County, any amount levied
may be listed separately from the remaining amount of the county'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
(1) special assessments;
(2) levies approved by the voters after the date the proposed taxes are certified,
including bond referenda and school district levy referenda;
(3) a levy limit increase approved by the voters by the first Tuesday after the first
Monday in November of the levy year as provided under section
(4) amounts necessary to pay cleanup or other costs due to a natural disaster
occurring after the date the proposed taxes are certified;
(5) amounts necessary to pay tort judgments against the taxing authority that become
final after the date the proposed taxes are certified; and
(6) 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 and subdivision
"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
(1) Metropolitan Council under section
(2) Metropolitan Airports Commission under section
(3) Metropolitan Mosquito Control Commission under section
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
14.20 county's public hearing
(j) The governing body of a county, city, or school district may, with the consent
of the county board, include supplemental information with the statement of proposed
property taxes about the impact of state aid increases or decreases on property tax
increases or decreases and on the level of services provided in the affected jurisdiction.
This supplemental information may include information for the following year, the current
year, and for as many consecutive preceding years as deemed appropriate by the governing
body of the county, city, or school district. It may include only information regarding:
(1) the impact of inflation as measured by the implicit price deflator for state and
local government purchases;
(2) population growth and decline;
(3) state or federal government action; and
(4) other financial factors that affect the level of property taxation and local services
that the governing body of the county, city, or school district may deem appropriate to
The information may be presented using tables, written narrative, and graphic
representations and may contain instruction toward further sources of information or
opportunity for comment.
15.4EFFECTIVE DATE.This section is effective for taxes payable in 2010 and
Sec. 20. Minnesota Statutes 2008, section 275.065, subdivision 6, is amended to read:
Public hearing; Adoption of budget and levy. (a) For purposes of this
15.8 section, the following terms shall have the meanings given:
15.9 (1) "Initial hearing" means the first and primary hearing held to discuss the taxing
15.10 authority's proposed budget and proposed property tax levy for taxes payable in the
15.11 following year, or, for school districts, the current budget and the proposed property tax
15.12 levy for taxes payable in the following year.
15.13 (2) "Continuation hearing" means a hearing held to complete the initial hearing, if
15.14 the initial hearing is not completed on its scheduled date.
15.15 (3) "Subsequent hearing" means the hearing held to adopt the taxing authority's final
15.16 property tax levy, and, in the case of taxing authorities other than school districts, the final
15.17 budget, for taxes payable in the following year.
15.18 (b) Between November 29 and December 20, the governing bodies of a city that has a
15.19 population over 500, county, metropolitan special taxing districts as defined in subdivision
15.20 3, paragraph (i), and regional library districts shall each hold an initial public hearing
15.21 to discuss and seek public comment on its final budget and property tax levy for taxes
15.22 payable in the following year, and the governing body of the school district shall hold an
15.23 initial public hearing to review its current budget and proposed property tax levy for taxes
15.24 payable in the following year. The metropolitan special taxing districts shall be required to
15.25 hold only a single joint initial public hearing, the location of which will be determined by
15.26 the affected metropolitan agencies. A city, county, metropolitan special taxing district as
15.27 defined in subdivision 3, paragraph (i), regional library district established under section
15.28 134.201 , or school district is not required to hold a public hearing under this subdivision
15.29 unless its proposed property tax levy for taxes payable in the following year, as certified
15.30 under subdivision 1, has increased over its final property tax levy for taxes payable in the
15.31 current year by a percentage that is greater than the percentage increase in the implicit
15.32 price deflator for government consumption expenditures and gross investment for state
15.33 and local governments prepared by the Bureau of Economic Analysts of the United States
15.34 Department of Commerce for the 12-month period ending March 31 of the current year.
16.1 (c) The initial hearing must be held after 5:00 p.m. if scheduled on a day other than
16.2 Saturday. No initial hearing may be held on a Sunday.
16.3 (d) At the initial hearing under this subdivision, the percentage increase in property
16.4 taxes proposed by the taxing authority, if any, and the specific purposes for which property
16.5 tax revenues are being increased must be discussed. During the discussion, the governing
16.6 body shall hear comments regarding a proposed increase and explain the reasons for the
16.7 proposed increase. The public shall be allowed to speak and to ask questions. At the public
16.8 hearing, the school district must also provide and discuss information on the distribution
16.9 of its revenues by revenue source, and the distribution of its spending by program area.
16.10 (e) If the initial hearing is not completed on its scheduled date, the taxing authority
16.11 must announce, prior to adjournment of the hearing, the date, time, and place for the
16.12 continuation of the hearing. The continuation hearing must be held at least five business
16.13 days but no more than 14 business days after the initial hearing. A continuation hearing
16.14 may not be held later than December 20 except as provided in paragraphs (f) and (g).
16.15 A continuation hearing must be held after 5:00 p.m. if scheduled on a day other than
16.16 Saturday. No continuation hearing may be held on a Sunday.
16.17 (f) The governing body of a county shall hold its initial hearing on the first Thursday
16.18 in December each year, and may hold additional initial hearings on other dates before
16.19 December 20 if necessary for the convenience of county residents. If the county needs a
16.20 continuation of its hearing, the continuation hearing shall be held on the third Tuesday
16.21 in December. If the third Tuesday in December falls on December 21, the county's
16.22 continuation hearing shall be held on Monday, December 20.
16.23 (g) The metropolitan special taxing districts shall hold a joint initial public hearing
16.24 on the first Wednesday of December. A continuation hearing, if necessary, shall be held on
16.25 the second Wednesday of December even if that second Wednesday is after December 10.
16.26 (h) The county auditor shall provide for the coordination of initial and continuation
16.27 hearing dates for all school districts and cities within the county to prevent conflicts under
16.28 clauses (i) and (j).
16.29 (i) By August 10, each school board and the board of the regional library district
16.30 shall certify to the county auditors of the counties in which the school district or regional
16.31 library district is located the dates on which it elects to hold its initial hearing and any
16.32 continuation hearing. If a school board or regional library district does not certify these
16.33 dates by August 10, the auditor will assign the initial and continuation hearing dates. The
16.34 dates elected or assigned must not conflict with the initial and continuation hearing dates
16.35 of the county or the metropolitan special taxing districts.
17.1 (j) By August 20, the county auditor shall notify the clerks of the cities within the
17.2 county of the dates on which school districts and regional library districts have elected to
17.3 hold their initial and continuation hearings. At the time a city certifies its proposed levy
17.4 under subdivision 1 it shall certify the dates on which it elects to hold its initial hearing and
17.5 any continuation hearing. Until September 15, the first and second Mondays of December
17.6 are reserved for the use of the cities. If a city does not certify its hearing dates by
17.7 September 15, the auditor shall assign the initial and continuation hearing dates. The dates
17.8 elected or assigned for the initial hearing must not conflict with the initial hearing dates
17.9 of the county, metropolitan special taxing districts, regional library districts, or school
17.10 districts within which the city is located. To the extent possible, the dates of the city's
17.11 continuation hearing should not conflict with the continuation hearing dates of the county,
17.12 metropolitan special taxing districts, regional library districts, or school districts within
17.13 which the city is located. This paragraph does not apply to cities of 500 population or less.
17.14 (k) The county initial hearing date and the city, metropolitan special taxing district,
17.15 regional library district, and school district initial hearing dates must be designated on
17.16 the notices required under subdivision 3. The continuation hearing dates need not be
17.17 stated on the notices.
17.18 (l) At a subsequent hearing, each county, school district, city over 500 population,
17.19 and metropolitan special taxing district may amend its proposed property tax levy
17.20 and must adopt a final property tax levy. Each county, city over 500 population, and
17.21 metropolitan special taxing district may also amend its proposed budget and must adopt a
17.22 final budget at the subsequent hearing. The final property tax levy must be adopted prior
17.23 to adopting the final budget. A school district is not required to adopt its final budget at the
17.24 subsequent hearing. The subsequent hearing of a taxing authority must be held on a date
17.25 subsequent to the date of the taxing authority's initial public hearing. If a continuation
17.26 hearing is held, the subsequent hearing must be held either immediately following the
17.27 continuation hearing or on a date subsequent to the continuation hearing. The subsequent
17.28 hearing may be held at a regularly scheduled board or council meeting or at a special
17.29 meeting scheduled for the purposes of the subsequent hearing. The subsequent hearing
17.30 of a taxing authority does not have to be coordinated by the county auditor to prevent a
17.31 conflict with an initial hearing, a continuation hearing, or a subsequent hearing of any
17.32 other taxing authority. All subsequent hearings must be held prior to five working days
17.33 after December 20 of the levy year. The date, time, and place of the subsequent hearing
17.34 must be announced at the initial public hearing or at the continuation hearing.
17.35 (m) (a)
The property tax levy certified under section
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
126C.17, subdivision 9
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
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 education or the commissioner of revenue after the proposed levy was
(7) the amount required under section
This subdivision does not apply to towns and special taxing districts other
than regional library districts and metropolitan special taxing districts.
Notwithstanding the requirements of this section, the employer is required to
meet and negotiate over employee compensation as provided for in chapter 179A.
18.24EFFECTIVE DATE.This section is effective for taxes payable in 2010 and
Sec. 21. Laws 2008, chapter 363, article 2, section 46, subdivision 1, is amended to
Subdivision 1. Capital account transfers.
Notwithstanding any law to the contrary,
on June 30, of
2008, 2009, and 2010,
a school district may transfer money from its
reserved for operating capital account to its undesignated balance in the general fund. The
amount transferred by any school district must not exceed $51 times the district's adjusted
marginal cost pupil units for the second preceding
. This transfer annually
may occur only after the school board has adopted a written resolution stating the amount
of the transfer and declaring that the school district's operating capital needs are being met.
18.35EFFECTIVE DATE.This section is effective the day following final enactment.
Page 2, line 26, before "Minnesota
" insert "(a)
Page 2, after line 26, insert
"(b) Minnesota Statutes 2008, section 275.065, subdivisions 5a, 6b, 6c, 8, 9, and 10,
Page 2, line 27, after the first period insert "Paragraph (a) of
" and before the second
period, insert "and paragraph (b) is effective for taxes payable in 2010 and thereafter.
Renumber the sections in sequence and correct the internal references
Amend the title accordingly