S.F. 2568 Summary

• Establishes small business investment tax credit allowing qualified investors to claim 25% credit on investments of at least $10,000 in certified Minnesota startups with fewer than 25 employees engaged in high-technology or innovative fields; credit capped at $10 million total and expires after 2015.

• Creates historic structure rehabilitation tax credit equal to 100% of federal rehabilitation credit (or 90% grant alternative) for certified historic properties, with credits capped and expiring after fiscal year 2016.

• Authorizes voluntary energy improvement financing program for local governments allowing property owners to finance renewable energy and efficiency upgrades through special assessments with bond proceeds; principal capped at 10% of assessed property value or actual improvement costs.

• Expands tax increment financing (TIF) district types including compact development districts for dense commercial areas and create automotive recovery zones for motor vehicle assembly facilities; establishes temporary authority for TIF spending on construction projects through December 2011.

• Modifies job opportunity building zone provisions to allow create automotive recovery zones within metro areas and establishes jobs credit of $2,500 per full-time employee for qualified businesses in those zones.