MN SF1422

Authorizes Minnesota cities to establish land-value taxation districts by ordinance, allowing property taxes within the district to be reallocated based on land value rather than total property value (including improvements)

Tax reallocation options include basing taxes on net tax capacity, referendum market value, estimated market value excluding improvements, or market value excluding improvements made after a specified date

Requires cities to hold public hearings with notice published in the newspaper twice and mailed to property owners at least 10 days before the hearing; ordinance must include an economic impact evaluation covering at least 15 years

Cities must report revised tax amounts to county treasurers by April 30 each year and mail revised property tax statements to affected property owners; county treasurers must report distributions to the Commissioner of Revenue by September 1

Effective for property taxes payable beginning in 2026; property owners may appeal land valuations separately from improvement valuations