HF3720 Summary

• Permits health insurance plans approved in other states to be sold in Minnesota if they meet specific requirements including state regulator approval, compliance with trade practice standards, and payment of applicable Minnesota taxes and assessments.

• Reduces the small employer threshold from 50 to 150 employees and allows flexible benefits plans for employers of any size, modifying health insurance regulation for small employers.

• Establishes a job growth investment tax credit for qualified small businesses investing in regional investment funds or directly, with credit equal to 50 percent of investment up to specified limits and carryover provisions for ten years.

• Modifies property tax classification for commercial-industrial property, reducing the class rate to one percent of market value, and changes the state general tax levy base from $592,000,000 to $38,950,000 effective for taxes payable in 2010.

• Repeals corporate franchise tax, prevailing wage requirements, and various mandatory health insurance coverage mandates; prohibits compulsory labor union membership; and makes tax changes related to individual income, fiduciary income, mining company, and corporate franchise taxation effective for taxable years beginning after December 31, 2009.