Agenda Packets - 1997/04/28 - Laserfiche WebLink

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MI sectio. 1 0NLy 29 Limitations. Establishes a duration limit for the district of 20 years. Under general law, the111 area of the district probably would qualify as a redevelopment district for which a 25 year } duration is permitted, The section establishes rules for the use of increments from the housing transition district. These rules are less restrictive than general law. For example,increments can be used to construct essentially any private improvements and to make grants and loans to private entities. General law strictly limits the ability to directly finance private improvements with increments—i.e., to limited types of rehabilitation or low income housing. However, increments from the special law district may only be spent for activities in the district The bill restricts administrative expenses to 15 percent. General Iaw restricts these to 10 percent of budgeted expenditures. To the extent the district is analogous to a housing district under general law, the housing is not required to be targeted to low income individuals as required by general law. To the extent the district is analogous to a redevelopment district under general law, the district is not required to use its increments only for blight correction as general law requires for these districts. 30 Application of general law. Exempts the housing transition district from the general TIP law,except to the extent it is made specifically applicable by other provisions of the bill. The district would be subject to the state aid reduction or local contribution requirement law. 31 Effective date. Effective upon local approval by Minneapolis. 32 Effective dates. See individual sections. Article 14: Intergovernmental Relations Overview • This article regulates the development,imposition,and management of state mandates on counties,cities,and towns. It creates a division of state and local mandates in the Department of Finance and requires the preparation of fiscal notes, which must accompany a bill that imposes a mandate on local governments. It requires explanations of why and how the mandates are to be imposed and descriptions of efforts to involve the local units in the creation or development of the mandate. It provides for certain options and reimbursement of costs for mandates to political subdivisions. The article makes minor changes in the local performance aid program and increases its funding by$5 million for 1998 and 1999. • Research Department Minnesota House of Representatives 600 State Office Building T r •a S3IlID NW JO 31191:131 WdtZ:Za L61 12 �1dd