MN HF3218

Creates a new type of tax increment financing district called a "transit improvement district" for projects within one-half mile of qualifying transit lines including light rail, commuter rail, bus rapid transit, or streetcar lines.

Defines "streetcar line" as a fixed guideway rail system providing circulator service with regular route transit interconnection, located entirely within a statutory or home rule charter city.

Requires municipalities to approve tax increment financing plans through public hearing with notice published 10-30 days in advance, and establishes findings municipalities must make including that development would not occur without tax increment financing.

Sets duration limits for tax increment districts: 15 years for renewal and renovation districts, 20 years for soils condition districts, 8 years for economic development districts, and 25 years for housing, transit improvement, and redevelopment districts.

Permits tax increments from transit improvement districts to fund transit stations, green space, streetscape improvements, paratransit systems, transit improvement loans, area improvement plans, streetcar capital and operating costs, and mitigation costs related to the qualifying transit line.