SF1108

Purpose

To forgive the 2023 aid penalty for the City of Stewart and ensure the withheld local government aid for 2023 is paid, under a short-term, targeted adjustment to existing law.

Main provisions

• Notwithstanding Minnesota Statutes section 477A.017 subdivision 3, the City of Stewart must receive its calendar year 2023 local government aid payment under Minnesota Statutes section 477A.013 that was previously withheld under Minnesota Statutes section 477A.017 subdivision 3.
• The payment is contingent on the state auditor certifying to the commissioner of revenue that the state auditor received the city’s annual financial reporting form for 2022 by June 1, 2025.
• The commissioner of revenue must make a payment of $87,501.50 to the City of Stewart by June 30, 2025.
• An amount sufficient to pay this aid under the section is appropriated in fiscal year 2025 from the general fund to the commissioner of revenue.
• This is a one-time appropriation.

Timing and conditions

• Certification condition: state auditor must certify receipt of the 2022 annual financial reporting form by June 1, 2025.
• Payment deadline: June 30, 2025.

Financial impact

• One-time payment of $87,501.50 to the City of Stewart.
• Funding source: general fund appropriation in fiscal year 2025 to the commissioner of revenue.

Changes to law

• Introduces a temporary override via “Notwithstanding” to the existing penalty-forgiveness framework (477A.017 subdivision 3) to allow the 2023 aid payment, conditioned on certification, as a one-time action.

Relevant Terms - City of Stewart - 2023 aid penalty forgiveness - Minnesota Statutes section 477A.017 subdivision 3 - Minnesota Statutes section 477A.013 - annual financial reporting form for 2022 - state auditor - commissioner of revenue - June 1, 2025 - June 30, 2025 - 87,501.50 (or $87,501.50) - general fund - fiscal year 2025 - one-time appropriation