The Minnesota Strategic Industrial Development Enhancement Act is a bill aimed at promoting economic development through tax credits for industrial projects in Minnesota.

Key Provisions:

1. Definitions & Eligibility:

   • Establishes definitions for eligible entities, project sponsors, qualifying projects, and expenditures.
   • Eligible entities must be incorporated and located in Minnesota.
   • Qualifying projects involve new construction, expansion, or infrastructure improvements in industrial parks, economic development zones, or near rail facilities.

2. Tax Credits:

   • Provides tax credits against Minnesota income tax for qualifying expenditures:
     • 10% of economic development expenditures, up to $8 million per project.
     • 50% of initial infrastructure expenditures, up to $4 million per project.
     • Combined tax credits cannot exceed $10 million per project.
   • The total state allocation is capped at $50 million per tax year.
   • Unused tax credits can be carried forward for up to five years.

3. Administration & Implementation:

   • The Commissioner of Employment and Economic Development will oversee the program.
   • Requires pre-approval and verification of project expenditures.
   • A certificate of verification will be issued upon project completion to confirm eligibility.

4. Transferability of Credits:

   • Tax credits can be assigned to other Minnesota taxpayers through a written agreement.
   • Assignments must be reported to the Department of Revenue.

5. Expiration:

   • The program is set to expire on January 1, 2035, with credits no longer available for tax years after December 31, 2034.

This bill aims to incentivize industrial and infrastructure development in Minnesota, particularly in smaller counties and rail-accessible areas, by offering targeted tax benefits.