SAINT PAUL, Minn. – Today as the Minnesota House unveiled its 2023 Tax Bill, Rep. Dave Lislegard (DFL – Aurora), chair of the House Property Tax Division, and Sen. Grant Hauschild (DFL – Hermantown) announced a historic package of investments in the Iron Range and in northern Minnesota.
“Too many Minnesotans are facing increased costs, including rising property taxes, threatening their ability to stay in their homes. Meanwhile, support from the state of Minnesota for local communities hasn’t kept pace with inflation or the needs of our communities. If we don’t take action now, the trends will only get worse, as will the impact Minnesota families are feeling,” Rep. Lislegard said. “With a historic budget surplus, Sen. Hauschild and I are partnering to advance important measures to reduce property taxes, invest in our local communities, and deliver funding for key priorities throughout northern Minnesota. The investments in our Tax bill just scratch the surface of the work we’re doing to strengthen the Iron Range, and with other budget bills advancing in the coming days, we will deliver additional investments in our students, roads and bridges, health care, and much more.”
"The tax bill makes historic investments in the Iron Range that will improve our infrastructure and allow our communities to cut property taxes," said Sen. Hauschild. "Rep. Lislegard and I have pushed to include millions of dollars in Local Government Aid (LGA), County Program Aid (CPA), Payments in Lieu of Taxes (PILT), and direct funding to nearly two dozen projects in our districts. These are generational investments in our region that will improve our schools, shore up our outdoor recreation facilities, renovate our infrastructure, and support veterans across the Iron Range, all while keeping the bills low for local governments.”
Rep. Lislegard and Sen. Hauschild have championed important provisions in the legislation, including new investments in Local Government Aid and County Program Aid, a cut to the state Social Security income tax, a subtraction for certain public pensions, and new funding to fix inequities in the Payment in Lieu of Taxes program. The bill fundamentally reforms the Renter’s Property Tax Refund program, incorporating the credit onto income tax filings, resulting in an additional $378 million back to renters over the next two years. The bill also includes expansion of the Homestead Credit Refund, targeting an additional $41 million of assistance over the biennium to homeowners who will benefit the most.
The Tax bill contains investments in numerous projects Rep. Lislegard and Sen. Hauschild have fought for to fund projects across the region. These are funded through a $6 million one-time transfer of excess Taconite Production Tax proceeds. The investments are targeted to smaller communities across the region, strengthening outdoor recreation, schools, and main streets.
In Rep. Lislegard’s District
- $250,000 to St. Louis County for a grant to the St. Louis County Agricultural Society? for construction and furnishing of a facility to house a food booth and equipment for the? St. Louis County 4-H Club
- $100,000 to Alborn Snow Devils Inc. for trail grooming costs and equipment
- $300,000 to School District No. 2142, St. Louis County Schools, for the purchase? and installation of lights at the Cherry School baseball and softball fields
- $150,000 to the Seitaniemi Housebarn and Sisu Heritage Site in Embarrass for facility upgrades
- $600,000 to the city of Aurora for downtown beautification projects
- $500,000 to School District No. 2142, St. Louis County Schools, for wastewater? upgrades at the South Ridge School
- $500,000 to the city of Mountain Iron for the Outdoor Recreation Center
- $100,000 to the city of Buhl for capital improvements to the city hall
- $150,000 to School District No. 712, Mountain Iron-Buhl Public School, for fitness? equipment and capital upgrades to the fitness center
- $100,000 to the Mesabi Sno Voyageurs Snowmobile Club for trail grooming costs? and equipment
- $100,000 to the PathBlazers Snowmobile Club for trail grooming costs and equipment
- $50,000 to the United States Hockey Hall of Fame
In Sen. Hauschild’s District
- $100,000 to the Ely Igloo Snowmobile Club for trail grooming costs and equipment
- $100,000 to the Voyageur Trail Society, Inc. for trail grooming costs and equipment
- $200,000 to Veterans On The Lake Resort in Ely for cabin accessibility upgrades, a? handicap dock, tennis court repaving, and replacement of an underground power cable
- $650,000 to School District No. 2142, St. Louis County Schools, for wastewater? upgrades at the North Woods School in Cook
- $200,000 to the City of Babbitt for capital improvements to city-owned buildings
- $750,000 to the Boundary Waters Care Center in Ely for capital equipment purchases
- $800,000 to the Cook County Historical Society to predesign, design, construct,? furnish, and equip the renovation of several Historic Cook County sites
- $100,000 to the Ranger Snowmobile and ATV Club in Hoyt Lakes for trail grooming costs and? equipment
- $100,000 to the Crane Lake Voyageurs Snowmobile Club for trail grooming costs? and equipment.?
Due to Rep. Lislegard and Sen. Hauschild’s advocacy, construction projects in several school districts will be included in the tax bill for exemption from sales taxes under the bill, including Rock Ridge and Ely. The legislators also worked to deliver a debt limit exemption for Virginia to finance the construction of a new public safety building and a measure to expand the sales tax exemption for snowmobile clubs for the construction of certain snowmobile trails.
The House Taxes Committee will hold a series of public hearings this week to review the bill, listen to public testimony, and take action on the legislation.