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8/7/2024 11:37:59 AM
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MV Misc Documentation
Date
12/31/1979
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, <br /> • Willard C. Doty, Chairman • <br /> ,_. June 1 , 1979 , <br /> Page 2 <br /> Next you ask whether a charter can restrict or prohibit the issuance of revenue bonds to <br /> acquire or construct industrial sites under the Minnesota Municipal Industrial <br /> Development Act. Though, again the answer is not entirely free from doubt, it appears <br /> that the legislature in enacting Minnesota Statutes Chapter 474 was exemplifying a polic, <br /> to make the device available to all Minnesota cities. In M.S. 474.03, the act provides: <br /> "any municipality or redevelopment agency, in addition to the powers described elsewhere <br /> by the laws of this state shall have the power to: 1 . acquire, construct and hold. .." <br /> In M.S. 474.01 , subd. 5, the second paragraph reads: "It is also the purpose of this <br /> chapter to permit the exercise of thesepowers by such units,.authorities and agencies, <br /> in addition to any powers granted without regard to any limitations imposed by any other <br /> law, to aid in the redevelopment of existing areas of blighted, marginal land and <br /> substantial and persistent unemployment." Though sometimes the legislature uses the <br /> language any other law or charter, if it is their intent to supercede all charter provisions,,. <br /> sometimes they refer simply to any other law, on the basis that a local home rule charter <br /> is in effect local law, and thus is encompassed within the term law. The scope and thrust <br /> of the language appears quite plainly to have the intention of making this device very <br /> broadly available. T it would be .m o inion that the charter. lana ,aa of the . p <br /> menti iQ�ed i n question- 2, wou e i ne ec i ve. <br /> In question 3 you ask whether a charter could restrict or prohibit the conveyance of tax <br /> forfeited or city owned land to private interest for the purpose of promoting industry. <br /> M.S. 465.026 authorizes the conveyance of city owned lands for nominal consideration to . <br /> encourage and promote industry. Though again the matter is not entirely free from doubt, <br /> I see nothing in this very simple provision expressing a state policy that this device <br /> shall be available regardless of restrictions in charters, and it would be my opinion that <br /> a charter restriction along these lines would be effective. CAgain, however, .I would only <br /> comment that if you have elected trustworthy officials, there might times when that <br /> kind of authority might be advantageous to the city and its citizen <br /> As to tax-forfeited land, depending upon the way in which it was conveyed to the city, <br /> there may not be any conveyance possibility for industrial purposes regardless of whether <br /> or not the charter contains a restriction. Sae the enclosed Tax-forfeited Lands - <br /> Conveyance To Municipalities For Public Use. {However, if the appraised value is paid for <br /> tax-forfeited lands by the city, then a charter limitation would seem to add an effective <br /> restriction. You will have to judge whether that is desirable or not.7 <br /> In question 4 you ask whether a charter can restrict or prohibit the establishment of <br /> development districts or the issuance of bonds under the development district act. Again, <br /> the answer is not entirely free from doubt, but the purpose sections of chapter 474 of <br /> the Minnesota Statutes read to•ether with M.S. 472.04 ma well evidence a le•isla ' e <br /> policy to over-ride any home rule char er imi a ions. <br /> Question 5 asks the kinds of prohibitions and restrictions which a charter can place on <br /> general revenue bonds, revenue bonds and general obligation revenue bonds. Perhaps it <br /> would be useful to clarify that first term contained in your question I assume when you <br /> are speaking of general revenue bonds you mean general obligation municipal bonds payable <br /> from taxes and other general funds of the community issuing them. <br />
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