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RELEVANT LINKS: <br />Minn. Stat. § 505.03 subd. 3. <br />Minn. Stat. §462.353 subd. 4 <br />(b). <br />Minn. Stat. §462.353 subd. 4 <br />(e), (a). <br />Sample fee schedule. <br />Minn. Stat. § 462.353 subd. 4 <br />(d). <br />For subdivision applications for projects of any size, cities should require <br />that an applicant provide the city with escrowed cash in an amount likely to <br />cover the city's costs for reviewing, approving, and inspecting a project. In <br />the alternative, cities may require some other type of security—such as a <br />letter of credit—in an amount sufficient to guarantee coverage of the city's <br />review costs. These requirements should also be stated in the subdivision <br />ordinance. <br />(1) Verification of plats and surveys <br />When a city requires a plat to be submitted along with a subdivision <br />application, cities have additional authority to seek reimbursement for city <br />review costs. Cities are authorized to employ qualified persons, such as a <br />surveyor, to check and verify surveys and plats and to determine the <br />suitability of the plat from the standpoint of community planning. Cities may <br />require the applicant to reimburse the city for such services. When the city <br />uses a city employee to perform these reviews, the city may charge for these <br />services based upon the employee's regular wage. <br />(2) Fee requirements: accounting/management <br />All cities are required to adopt management and accounting procedures to <br />ensure fees are maintained and used only for the purpose for which they are <br />collected. <br />(3) Fee ordinances and fee schedules <br />Generally, cities must adopt fees by ordinance. However, there is a statutory <br />exception to this general requirement. Cities that collect an annual <br />cumulative total of $5,000 or less of land use fees may adopt a fee schedule <br />by ordinance or by resolution after holding a public hearing. Notice must be <br />published at least 10 days before the public hearing. <br />Cities that collect an annual cumulative total in excess of $5,000 of land use <br />fees may also adopt a fee schedule if they wish, but they may only do so by <br />ordinance, after following the same notice and hearing procedures. <br />Jan. 1 is set by statute as the standard effective date for changes to fee <br />ordinances. A city may set a different effective date, but the new fee <br />ordinance must not apply to a project if its application for final approval was <br />submitted before the ordinance was adopted. <br />(4) Fee disputes <br />If a dispute arises over a specific fee imposed by a city related to a specific <br />application, the applicant may appeal the fee to district court. The applicant <br />must provide notice to the city of the appeal by certified letter and place the <br />disputed fee in an escrow account. <br />League of Minnesota Cities Information Memo: 4/15/2014 <br />Subdivision Guide for aties Page 14 <br />