1991-2001 HACA data for Arden Hills and North Oaks

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September 1991 HOUSE RESEARCH kai Daton, 290-/434 information Bile Steve H.inze, 296-8956 Legislative Analysts 1991 Changes to Minnesota's Property Tax System Property Tax Aids and Aid Reductions The state's aid programs for providing property tax relief have undergone major changes in the past few legislative sessions. This information brief gives the recent history and the current status of each of four major programs that provide property tax relief through general aid to local governments_ I This is one of a series of reports describing the 1991 changes to the property tax system. The four major general aid programs are • Homestead and Agricultural Credit Aid (HACA) • Local Government Aid (LGA) • Equalization Aid • • Disparity Reduction Aid (DRA) Aid payments under the HACA and DRA'formulas vary from year to year based on changes in the local tax base, due to changes in property classification rates. Payments under the HACA formula also vary based on population growth. Aid payments under the LGA prograzri are frozen at the amounts paid in 1990, with no provision for growth. Besides the change in aid levels occuring naturally through the workings of the aid formula, the actual amounts to be paid in 1991 and 1992 have been reduced for two reasons. The major reason for aid reductions is the need to balance the state budget; these reductions are discussed in detail below. 1 Since a number of the aid programs described provide aid to school districts, school district amounts are included in this brief. However, it should be noted that most of the state aid to school districts is provided through thelstate's school aid formula,and those aids are 131a discussed in this brief. Research Department . Minnesota House of Representatives . 600 State Office Building )n.A 9T:tT nnn7 n7 d3S 6OZ0-96Z-TS9:Xpd Xdl AJA d0?Jd