MN SF4176

Establishes a residential rental housing market value exclusion program allowing cities to exclude up to 50 percent of market value from property taxation for eligible affordable rental properties.

Requires participating cities to adopt resolutions by majority vote with public notice and hearing at least 30 days prior, and separately approve each property receiving the exclusion.

Limits eligibility to class 4a rental properties with construction begun on or after January 1, 2020, where at least 20 percent of units are available to residents earning no more than 60 percent of area or state median income, and at least 80 percent of units are occupied by qualifying income residents.

Requires Minnesota Housing Finance Agency to certify eligible properties by March 1 each assessment year, with property owners filing applications by February 1; cities must determine exclusion duration of 10 to 20 assessment years.

Adds residential rental housing market value exclusion to property tax statement disclosures and amends market value definition statutes to include the new exclusion as of assessment year 2021.