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HF3140 (Legislative Session 94 (2025-2026))

Marshall; special tax increment financing rules authorized.

Related bill: SF2463

AI Generated Summary

Purpose of the Bill

The bill aims to provide the city of Marshall in Minnesota with special provisions regarding the use of tax increment financing (TIF). These provisions offer flexibility to the city, extending its ability to manage tax increments for specific purposes until the end of 2027.

Main Provisions

  • Temporary Use of Increment Extension: The bill permits the city of Marshall to use, loan, or invest tax increments collected from certain TIF Districts (No. 11, No. 17, and No. 21) through December 31, 2027. This extended timeframe allows the city to manage these funds as outlined in its pre-approved spending plan.

  • Return of Unspent Funds: Any tax increment funds not used, loaned, or invested by the deadline must be returned to the district. This includes any earnings or repayments from loans made from these increments.

Significant Changes to Existing Law

  • The bill overrides a specific paragraph in the Minnesota Statutes section 469.176 subdivision 4n, instituting a temporary change that allows the city of Marshall to manage and utilize its tax increment funds with added flexibility until the end of 2027.

Relevant Terms

  • Tax Increment Financing (TIF)
  • City of Marshall
  • Tax Increment District (TIF District)
  • Minnesota Statutes 469.176
  • Increment Extension

Bill text versions

Actions

DateChamberWhereTypeNameCommittee Name
April 06, 2025HouseFloorActionIntroduction and first reading, referred toTaxes

Citations

 
[
  {
    "analysis": {
      "added": [
        "Authorization for the city of Marshall to extend the use of transferred increment until December 31, 2027."
      ],
      "removed": [],
      "summary": "This bill provides special rules for the city of Marshall relating to the temporary use of tax increment financing under section 469.176, subdivision 4n.",
      "modified": []
    },
    "citation": "469.176",
    "subdivision": "4n"
  },
  {
    "analysis": {
      "added": [],
      "removed": [],
      "summary": "The bill references the definition of tax increment as explained in section 469.174, subdivision 25.",
      "modified": []
    },
    "citation": "469.174",
    "subdivision": "25"
  }
]

Sponsors