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Minn. Stat. §§ 469.152 to <br />469.1651. <br />For more information, contact <br />DEED 651.259.7114, <br />800.657.3858.. Main Office: 1st <br />National Bank Building 332 <br />Minnesota Street, Suite E200 <br />Saint Paul, MN 55101-1351. <br />Minn. Stat. § 469.184. <br />Minn. Stat. §§ 469.174 to <br />469.1794. <br />CHAPTER 15 <br />C. Industrial revenue bonds <br />The municipal industrial development laws help cities attract new <br />commercial and industrial development, and keep existing businesses in the <br />city. The law authorizes the council to issue revenue bonds, and use the <br />proceeds to acquire and construct industrial sites and facilities. The city then <br />leases these facilities to private industry and uses the rental fee proceeds to <br />retire the bonds. <br />A city may issue industrial revenue bonds, also known as municipal revenue <br />bonds, without public referendum. It cannot pledge the full faith and credit <br />of a community as security for these bonds. Thus, the city may not tax <br />property owners to pay principal and interest on the bonds. <br />If a city decides to investigate the use of industrial bond financing, it should <br />contact the Department of Employment and Economic Development. The <br />department provides the city with information, advice, and technical <br />assistance. This assistance is important, due to the adoption of federal and <br />state laws allocating issuance authority among the states and their political <br />subdivisions. The commissioner of Securities must approve the project. <br />D. Commercial rehabilitation <br />Cities have authority to carry out programs for the rehabilitation of small - <br />and medium-sized commercial buildings. The city must adopt a program <br />ordinance that provides for the adoption of program regulations, including a <br />definition of small- and medium-sized commercial buildings. Loans under <br />the program may be for amounts up to $200,000. The city may finance the <br />program through the sale of revenue bonds. <br />E. Tax increment financing (TIF) <br />Tax increment financing authority is available to most cities. Cities with <br />housing and redevelopment authorities, economic development authorities, <br />port authorities, redevelopment agencies, those cities administering <br />development districts or development projects, or cities exercising port <br />authority powers under a general or special law may use tax increment <br />financing. Amendments to the law, however, may make the use of this <br />development tool more complicated. <br />HANDBOOK FOR MINNESOTA CITIES <br />This chapter last revised 12/1/2012 <br />15:13 <br />