MN SF3716

Establishes a new payment program for statutory or home rule charter cities with populations of 5,000 or less where exempt property comprises more than 45 percent of total market value.

Eligible cities receive an annual payment equal to one percent of the exempt market value within the city, calculated using the most recent property valuation under Minnesota Statutes section 273.18.

Commissioner of Revenue must determine payment amounts and certify them by July 1 of the payment year, with payments made at the same time as the first installment of local government aid.

An amount sufficient to cover required payments is annually appropriated from the general fund to the Commissioner of Revenue.

Provision is effective beginning with aids payable in 2024.