.................... moves to amend H.F. No. .... as follows:
Delete everything after the enacting clause and insert:
"Section 1. Minnesota Statutes 2012, section 298.28, subdivision 4, is amended to read:
Subd. 4. School districts.
(a) 23.15 cents per taxable ton, plus the increase provided
in paragraph (d), less the amount that would have been computed under Minnesota
Statutes 2008, section
126C.21, subdivision 4
, for the current year for that district, must be
allocated to qualifying school districts to be distributed, based upon the certification of the
commissioner of revenue, under paragraphs (b), (c), and (f).
(b)(i) 3.43 cents per taxable ton must be distributed to the school districts in which
the lands from which taconite was mined or quarried were located or within which the
concentrate was produced. The distribution must be based on the apportionment formula
prescribed in subdivision 2.
(ii) Four cents per taxable ton from each taconite facility must be distributed to
each affected school district for deposit in a fund dedicated to building maintenance
and repairs, as follows:
(1) proceeds from Keewatin Taconite or its successor are distributed to Independent
School Districts Nos. 316, Coleraine, and 319, Nashwauk-Keewatin, or their successor
(2) proceeds from the Hibbing Taconite Company or its successor are distributed to
Independent School Districts Nos. 695, Chisholm, and 701, Hibbing, or their successor
(3) proceeds from the Mittal Steel Company and Minntac or their successors are
distributed to Independent School Districts Nos. 712, Mountain Iron-Buhl, 706, Virginia,
2711, Mesabi East, and 2154, Eveleth-Gilbert, or their successor districts;
(4) proceeds from the Northshore Mining Company or its successor are distributed
to Independent School Districts Nos. 2142, St. Louis County, and 381, Lake Superior,
or their successor districts; and
(5) proceeds from United Taconite or its successor are distributed to Independent
School Districts Nos. 2142, St. Louis County, and 2154, Eveleth-Gilbert, or their
Revenues that are required to be distributed to more than one district shall be
apportioned according to the number of pupil units identified in section
, enrolled in the second previous year.
(c)(i) 15.72 cents per taxable ton, less any amount distributed under paragraph (e),
shall be distributed to a group of school districts comprised of those school districts which
qualify as a tax relief area under section
273.134, paragraph (b)
, or in which there is a
qualifying municipality as defined by section
273.134, paragraph (a)
, in direct proportion
to school district indexes as follows: for each school district, its pupil units determined
for the prior school year shall be multiplied by the ratio of the
average adjusted net tax capacity per pupil unit for school districts receiving aid under
this clause as calculated pursuant to chapters 122A, 126C, and 127A for the school year
ending prior to distribution to the adjusted net tax capacity per pupil unit of the district.
Each district shall receive that portion of the distribution which its index bears to the sum
of the indices for all school districts that receive the distributions.
(ii) Notwithstanding clause (i), each school district that receives a distribution
, exclusive of any amount received under this
; or any law imposing a tax on
severed mineral values after reduction for any portion distributed to cities and towns
126C.48, subdivision 8
, paragraph (5), that is less than the amount of its
levy reduction under section
126C.48, subdivision 8
, for the second year prior to the
year of the distribution shall receive a distribution equal to the difference; the amount
necessary to make this payment shall be derived from proportionate reductions in the
initial distribution to other school districts under clause (i). If there are insufficient tax
proceeds to make the distribution provided under this paragraph in any year, money must
be transferred from the taconite property tax relief account in subdivision 6, to the extent
of the shortfall in the distribution.
(d) Any school district described in paragraph (c) where a levy increase pursuant to
126C.17, subdivision 9
, was authorized by referendum for taxes payable in 2001,
shall receive a distribution of 21.3 cents per ton. Each district shall receive $175 times the
pupil units identified in section
126C.05, subdivision 1
, enrolled in the second previous
year or the 1983-1984 school year, whichever is greater
, less the product of 1.8 percent
2.35 times the district's taxable net tax capacity in the second previous year
If the total amount provided by paragraph (d) is insufficient to make the payments
herein required then the entitlement of $175 per pupil unit shall be reduced uniformly
so as not to exceed the funds available. Any amounts received by a qualifying school
district in any fiscal year pursuant to paragraph (d) shall not be applied to reduce general
education aid which the district receives pursuant to section
or the permissible
levies of the district. Any amount remaining after the payments provided in this paragraph
shall be paid to the commissioner of Iron Range resources and rehabilitation who shall
deposit the same in the taconite environmental protection fund and the Douglas J. Johnson
economic protection trust fund as provided in subdivision 11.
Each district receiving money according to this paragraph shall reserve the lesser of
the amount received under this paragraph or $25 times the number of pupil units served
in the district. It may use the money for early childhood programs or for outcome-based
learning programs that enhance the academic quality of the district's curriculum. The
outcome-based learning programs must be approved by the commissioner of education.
(e) There shall be distributed to any school district the amount which the school
district was entitled to receive under section
(f) Four cents per taxable ton must be distributed to qualifying school districts
according to the distribution specified in paragraph (b), clause (ii), and two cents per taxable
ton must be distributed according to the distribution specified in paragraph (c). These
amounts are not subject to sections
126C.21, subdivision 4
126C.48, subdivision 8
3.21EFFECTIVE DATE.This section is effective beginning for the 2014 distribution.
Sec. 2. Minnesota Statutes 2012, section 298.28, subdivision 6, is amended to read:
Subd. 6. Property tax relief.
taxable ton, less any amount required to be distributed under paragraphs (b) and (c), or
, subdivision 5, must be allocated to St. Louis County acting as the
counties' fiscal agent, to be distributed as provided in sections
(b) If an electric power plant owned by and providing the primary source of power
for a taxpayer mining and concentrating taconite is located in a county other than the
county in which the mining and the concentrating processes are conducted, .1875 cent per
taxable ton of the tax imposed and collected from such taxpayer shall be paid to the county.
(c) If an electric power plant owned by and providing the primary source of power
for a taxpayer mining and concentrating taconite is located in a school district other than
a school district in which the mining and concentrating processes are conducted, .4541
cent per taxable ton of the tax imposed and collected from the taxpayer shall be paid to
the school district.
4.1EFFECTIVE DATE.This section is effective beginning for the 2014 distribution.
Sec. 3. Minnesota Statutes 2012, section 298.28, subdivision 9a, is amended to read:
Subd. 9a. Taconite economic development fund.
cents per ton
for distributions in
and thereafter must be paid to the taconite economic
development fund. No distribution shall be made under this paragraph in
year in which total industry production falls below 30 million tons. Distribution
shall only be made to a taconite producer's fund under section
if the producer
timely pays its tax under section
by the dates provided under section
pursuant to the due dates provided by an administrative agreement with the commissioner.
(b) An amount equal to 50 percent of the tax under section
sold in the form of pellet chips and fines not exceeding 5/16 inch in size and not including
crushed pellets shall be paid to the taconite economic development fund. The amount
paid shall not exceed $700,000 annually for all companies. If the initial amount to be
paid to the fund exceeds this amount, each company's payment shall be prorated so the
total does not exceed $700,000.
4.16EFFECTIVE DATE.This section is effective beginning for the 2014 distribution.
Sec. 4. 2013 DISTRIBUTION ONLY.
4.18For the 2013 distribution, a special fund is established to receive $..... of the amount
4.19that otherwise would be distributed under Minnesota Statutes, section 298.28, subdivision
4.206, and this amount must be paid as follows:
4.21(1) $ .... to the city of Hibbing for improvements to the city's water supply system; and
4.22(2) $ .... to the city of Mountain Iron for the cost of moving utilities required as a
4.23result of actions undertaken by United States Steel Corporation.
4.24EFFECTIVE DATE.This section is effective for the 2013 distribution, all of which
4.25must be made in the August 2013 payment.
Sec. 5. IRON RANGE RESOURCES AND REHABILITATION
4.27COMMISSIONER; BONDS AUTHORIZED.
4.28 Subdivision 1. Issuance; purpose. Notwithstanding any provision of Minnesota
4.29Statutes, chapter 298, to the contrary, the commissioner of Iron Range resources and
4.30rehabilitation may issue revenue bonds in a principal amount of $....... in one or more
4.31series, and bonds to refund those bonds. The proceeds of the bonds must be used to
4.32make grants to school districts located in the taconite tax relief area defined in Minnesota
5.1Statutes, section 273.134, or the taconite assistance area defined in Minnesota Statutes,
5.2section 273.1341, to be used by the school districts to pay for building projects, energy
5.3efficiency, technology, infrastructure, health, safety, and maintenance improvements.
5.4 Subd. 2. Appropriation. There is annually appropriated from the distribution of
5.5taconite production tax revenues under Minnesota Statues, section 298.28, prior to the
5.6calculation of the amount of the remainder under Minnesota Statutes, section 298.28,
5.7subdivision 11, an amount sufficient to pay when due the principal and interest on the
5.8bonds issued pursuant to subdivision 1. The appropriation under this section must not
5.9exceed an amount equal to 10 cents per taxable ton.
5.10(b) If in any year the amount available under paragraph (a) is insufficient to pay
5.11principal and interest due on the bonds in that year, an additional amount is appropriated
5.12from the Douglas J. Johnson fund to make up the deficiency.
5.13(c) The appropriation under this subdivision terminates upon payment or maturity of
5.14the last of the bonds issued under this section.
5.15 Subd. 3. Credit enhancement. The bonds issued under this section are "debt
5.16obligations" and the commissioner of Iron Range resources and rehabilitation is a "district"
5.17for purposes of Minnesota Statutes, section 126C.55, provided that advances made under
5.18Minnesota Statutes, section 126C.55, subdivision 2, are not subject to Minnesota Statutes,
5.19section 126C.55, subdivisions 4 to 7.
5.20EFFECTIVE DATE.This section is effective the day following final enactment and
5.21applies beginning with the 2014 distribution under Minnesota Statutes, section 298.28.