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zed by ex rises tually s p to to eat o tal nor ent ex otal in eme t p e s it ally• up to per o th or ad ni t e dit es fo a pr ec hic less' stmt oe t ze the ority to « a ' exile ses er en raent mer e o itse call th ep egard hethe 'TIF rity in he 0 refe ed this the Stearns Count on Febru 1999. Copies of the OS notic s of complian and s response reg en ' III. STATUTORY ISSUES Through ou municipalities'responses to notices of noncompliance and questions received from city and county officials and employees, the OSA has identified a number of areas where is ambiguous or the OSA's findings of noncompliance have conflicted with practitioners' varying interpretations of the law. This report to the legislative committees oons inder isdiction facilitate pubver lic identifies these ambiguities and conflicting statutory iriterps etati policy discussion and allow for amendments to clarify the law retroactively or to change the law prospectively. A. "POOLING" TAX INCREMENT FROM PRE-1982 TIF DISTRICTS . discussed in section II.A. on page 14 of this report,the OSA found that the City of Fdistrict� vi violated the TYF Act by spending tax increment on costs of activities located outsrde e that generated the increment,which commonly is called"pooling" tax increment. The OSA's past reports to the Legislature discussed similar findings of noncompliance involved m these findinregarding the cities oS r districts Cambridge,Deephaven, Foley,-andForest Lake� �7g�a n or before June had certification request dates on or after August The laws applicable to TIP' districts with certification request dates on or after August 1, 1979 and on or b fo J 0 19 �ddopot ermit the enditureof taxincrement to anis outside the eo a hic bo district. Under the TIF Act enacts m e Pan was required to contain a statement of the TIF authority's , includinvesg th imrovwi of th�pct a statement as to the development program for the district, inc g property e and an estimate of the cost o which the TIF authority intended the f the district." Moreover, . a , was required to find that the TIP plan affords the municipality, prior to approving the TIF plan, maximum opportunity for the development or redevelopment of the district." These provisions,read er August together,permitted the TIF plans for TIF districts with certification comment to be dates ent onlyaon costs f 1, 1979 and on or before June 30, 198210 authorize tax in P activities within each "district." The word "district" was defined to be synonymous with "tax sa 1vi'inn. Stat. § 469.176, subd. 3(a) (1998). . sa 1v inn. Stat. § 273.74, subd. 1 (Supp. 1979). ss Minn. Stat. § 273.74, subd. 3 (Supp. 1979). - 23 s'A S3I1I0 NW_jo :fn5U31 WdOO:Z0 66, 02 Ndd - --