SF4328 (Legislative Session 94 (2025-2026))
City of Northern base year formula aid provision
Related bill: HF4161
AI Generated Summary
Purpose
The bill changes how the City of Northern receives a specific state payment called local government aid (LGA) for the year 2027. It sets a fixed rule for the base year used in the calculation, using population data from 2024 with a multiplier.
Main Provisions
- For calculating aids payable in 2027 under Minnesota Statutes section 477A.013 subdivisions 8 and 9, the city’s aid amount for 2026 (which is used as the base in the 2027 calculation) is deemed to be equal to 116.91 multiplied by Northern’s 2024 population.
Significant Changes to Existing Law
- Introduces a targeted base-year adjustment for the City of Northern’s LGA calculation for 2027.
- Uses a specific multiplier (116.91) and a specific base-year population (2024) to determine the 2026 aid amount that feeds into the 2027 aid calculation.
- Applies only to aids payable in 2027 and only to the City of Northern.
Practical Effect
- The 2027 LGA payment for the City of Northern will be determined using a pre-set value based on 2024 population, potentially altering the city’s expected state aid compared to prior calculations.
Key Terms (for quick reference)
- local government aid (LGA)
- base year formula aid
- City of Northern
- aids payable in 2027
- 2026 aid
- 2024 population
- multiplier 116.91
- Minnesota Statutes section 477A.013 subdivisions 8 and 9
- deemed
Relevant Terms - local government aid - base year formula aid - 2027 aids payable - 2026 aid - 2024 population - 116.91 - Minnesota Statutes 477A.013(8)(9)
Bill text versions
- Introduction PDF PDF file
Actions
| Date | Chamber | Where | Type | Name | Committee Name |
|---|---|---|---|---|---|
| March 11, 2026 | Senate | Action | Introduction and first reading | ||
| March 11, 2026 | Senate | Action | Referred to | Taxes |
Citations
[
{
"analysis": {
"added": [
"Introduces a base year formula aid provision for the City of Northern under section 477A.013 with a multiplier of 116.91 applied to the 2024 population, and specifies use of 2026 aid as the basis for calculating 2027 aid."
],
"removed": [],
"summary": "This bill modifies the base year formula aid for the City of Northern under Minnesota Statutes section 477A.013, subdivisions 8 and 9, to determine aids payable in 2027 by deeming the city's 2026 aid as the basis and using 116.91 times the city's 2024 population.",
"modified": [
"Modifies the calculation for aids payable in 2027 by using the 2026 aid as the basis and applying a multiplier (116.91) to the 2024 population."
]
},
"citation": "477A.013",
"subdivision": "subdivisions 8 and 9"
}
]Progress through the legislative process
In Committee