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HOMESTEAD from Si. •
<br /> t
<br /> Home buyers get tax breaks,
<br /> but expanded zone criticized ..
<br /> •
<br /> But without waiting for that tion that would mitigate the im-
<br /> evaluation, the 1996 Legislature pact of airport noise, especially al
<br /> approved a major expansion of on housing prices.
<br /> the program.It created a zone of The group decided to focus on
<br /> almost 43,000 homes in parts of .adapting techniques the Legisla-
<br /> 1.0 cities around Minneapolis-St. ture already had approved. Rep.
<br /> Paul International Airport.Buyers Edwina Garcia,DFL-Richfield,got
<br /> in that area will get the same tax the tax break for the airport at-
<br /> break,in the name of stabilizing tached in a conference corn-
<br /> communities that suffer airport mittee.
<br /> noise. But Larry Miller, Hennepin
<br /> That expansion has drawn County's principal appraiser-for
<br /> critics ranging from some local Richfield, said that the zone.in=
<br /> assessors who feel overwhelmed eludes many homes outside the
<br /> by the program's paperwork to area of most bothersome noise
<br /> Gov. Arne Carlson, who warns and that he hasn't noticed a lack
<br /> that it's too expensive. The test of home sales in those areas. - '
<br /> program's legislative sponsor, The airport zone has caused
<br /> Rep. Todd Van Dellen, R-Plym- some criticism.If homes around
<br /> outh, calls the expansion."pork the airport aren't keeping up with
<br /> barrel-style tax relief." the market, then home buyers:.
<br /> already get one break in the pur-
<br /> Mansions included chase price and another from the
<br /> The decibel-defined airport tax break,so"why should we dive
<br /> zone stretches from mansions on these people more money?"
<br /> Lake Harriet's southeastern Sundstrom asked.
<br /> shore, an area with some of the Jim Prosser, ,Richfield's city
<br /> strongest property values in Min- manager, replied: "Even those
<br /> neapolis, to the western edge of who shop in a discount store •
<br /> exclusive Sunfish Lake,the metro want a rebate coupon." -
<br /> area's second-wealthiest city. The law also has created some
<br /> Bill Sundstrom, a homestead ill will. "Some people who lived
<br /> supervisor in the Minneapolis as- there for a long time are upset
<br /> sessor's office,called the admin- because they don't qualify and
<br /> istrative requirements..Of.the,gxi,':someone new does„ Hennepjn,
<br /> pansion"a nightmare." • . • . .•County Assessor Tom May said.
<br /> The city has had 11 applica:-::":-Dennis Schulstad,the Minne
<br /> tions for the tax break from the apolis City Council member who
<br /> McKinley-Folwell zone, but 449 represents the area closest to the
<br /> from its part of the airport zone. airport,said: "It doesn't benefitill
<br /> Each year, assessors must someone who's been living there
<br /> make •sure those seeking the for 25 years..: That's the person
<br /> • credit still live in the house; are who is really suffering.The per-
<br /> keeping it up to code and haven't son who just bought it knows that
<br /> committed a felony that would it is noisy.:"
<br /> bar:' them from 'participation. There's also some doubt about
<br /> With 29,000 Minneapolis homes whether the law has.been stiffs=
<br /> In the airport zone, Sundstrom ciently publicized to actually'at-
<br /> envisions an ever-growing :tract buyers to an area.
<br /> workload. "I haven't had anybody come
<br /> Assessors point out that their to me and say, 'Hey, I've got'to
<br /> role is to help tax property and buy in that neighborhood,'"said •
<br /> that it's the state's job to tax in- Ron Stevens,a real-estate agent..
<br /> - come.The program has been off-active in the West Side zone.-
<br /> to a confusing start, they'say, ' Minneapolis Assessor J. Scott
<br /> with multiple cities and counties, Renne said,"I'm not sure people
<br /> the Met Council and.the.Minne-. base their decision on a five-year
<br /> sota Department of Revenue all tax break." ' r _, '
<br /> . playing roles., •. . , But Nancy Beals,chairwoman
<br /> indeed, Ramsey County offi- of the.McKinley Neighborhood •
<br /> vials didn't know until shortly be- 'Association, said the tax break
<br /> fore the 1996 application_dead- attracted considerable interest
<br /> line that the airport-noise zone 'when she handed put brochures
<br /> included the southwestern tip of at a housing fair last fall '_'
<br /> St. Paul. Application forms "I ran out of them, in fact,"
<br /> weren't available until after the she said."We'd be very interested
<br /> deadline,and now the assessor's in continuing it,:if it attracts re-,
<br /> office is asking the Ramsey Coun sponsible homeowners." .
<br /> ty attorney whether the.deadline Although Johnson didn't know
<br /> can be extended. ' • ' ; " about the break when he bought
<br /> The tax break originally was, his house,.he said it improved his
<br /> proposed In 1995,when Van Del-' outlook.!" t`turned around-the
<br /> len unveiled a Republican alter- apprehension about where I was
<br /> -native in the debate over how to moving into," he said. "It was
<br /> . address inequities in metro-area ,like,;Wow,did I luck out!'"
<br /> distribution of subsidized hous- But some worry about the cost i,
<br /> ing.The aim was to give middle . of tax breaks in the airport zone.
<br /> class homeowners an incentive to The Revenue Department esti11/
<br /> buy in areas in danger of being mated that cost at$9 million an.
<br /> engulfed by urban blight. nually after the initial years. .I,
<br /> "We think it's not good:tax
<br /> Criticism and ill will policy,"; said Brian Dietz;'a
<br /> The Livable Communities Act spokesman for Carlson."We be-
<br /> incorporated the .tax break. lieve that market value should'de=
<br /> Meanwhile,a group of communi- termine home values in this
<br /> ties around the airport, led by area."
<br /> Richfield,were discussing legisla-
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