Agenda - Planning Commission - 09/10/2015

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CHAPTER 15 • Agricultural. • Private outdoor recreational, open space and park land. • Rural preserve property. • Metropolitan agricultural preserves. The authority to establish or approve a compact development district expired on June 30, 2012. Minn. Stat. § 469.176, subd. 4c. TIF economic development districts must: • Request certification of the district no later than June 30, 2012. • Must begin construction before Jan. 1, 2012, for development of housing. These districts may not be used to assist housing that is developed to qualify for owner -occupied or rental housing, or similar requirements of other law, if construction of the project begins later than July 1, 2011. Cities have temporary authority to spend TIF funds to stimulate construction using economic development districts for any type of project if three conditions are met: Minn. Stat. § 469.1761, subd. 2 or 3. Minn. Stat. § 469.176, subd. 4m. Minn. Stat. § 469.176, subd. 4m (d). Minn. Stat. § 469.175, subd. 5. Minn. Stat. § 469.1771, subds. 1, 2b. • The municipality funds projects that will create new jobs in the state, including construction jobs, and the project otherwise would not have begun before July 1, 2012, without assistance. • Construction of the project begins no later than July 1, 2012. • The request for certification is made by June 30, 2012. For a development consisting of housing, the authority to spend tax increments expires Dec. 31, 2011, and construction must commence before July 1, 2011, except the authority to spend tax increments on market rate housing developments expires July 31, 2012, and construction must commence before Jan. 1, 2012. This temporary authority to spend the tax increment expires Dec. 31, 2012. The city using TIF must report annually to the county board, the county auditor, the school board, and the state auditor as to the status of the TIF district or districts and publish the report. The state auditor has established a uniform system of accounting and financial reporting for TIF districts. The city must annually submit to the state auditor a financial report in compliance with these standards. The state auditor may audit TIF districts. If the state auditor notifies a TIF authority of an alleged violation, a copy of the notice is also forwarded to the county attorney. If no corrective action is brought within one year, the county attorney must notify the state auditor, who then notifies the attorney general. If the attorney general finds a substantial violation, the attorney general will petition the state tax court to suspend the authority's power to use TIF for a period of up to five years. HANDBOOK FOR MINNESOTA CITIES 15:15 This chapter last revised 12/1/2012