SF7

This bill is a proposal to amend several laws in Minnesota related to tax increment financing (TIF), primarily focused on redevelopment districts. The proposed changes include:

1. Defining a “redevelopment district” as an area where certain conditions exist, such as a significant portion of the land being occupied by substandard buildings or other deteriorated structures that need substantial renovation or clearance.

2. Specifying the criteria that make a building structurally substandard, which includes serious structural defects or significant deficiencies in necessary utilities and facilities, light, ventilation, and fire protection.

3. Clarifying that a building cannot be considered structurally substandard if it meets or can be modified to meet current building codes at a reasonable cost (less than 15% of the cost of constructing a new building).

4. Establishing conditions for a parcel to be considered as containing a structurally substandard building, such as the presence of a substandard building within three years prior to requesting inclusion in a redevelopment district.

5. Lastly, the proposal includes repealing certain statutes while modifying eligibility for redevelopment projects and shortening the duration limits for these districts.

The intention of this bill is to streamline and redefine the criteria and process for establishing and managing tax increment financing districts for redevelopment purposes, aiming to improve, adjust, or clear substandard or inadequately used areas.