CC_Minutes_2006_0717 - Laserfiche WebLink

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TIF and abatement area effective dates: For qualifYing condemnation actions (described below), the effective date phases-in the new eminent domain rules as follows: , Takings begun by February I, 2008, are exempt from all of the new rules. , , Takings begun after February 1,2008, are exempt from the new restrictions on public use, but are subject to the other changes in the act (e.g., the potential to pay compensation for going concern value, attorneys fees, etc.). TIF proiects. To be grandfathered in, a TIF plan must be approved by the city by February I, 2008 and must identify the property as intended to be acquired. (Under MillOesota Statutes, section 469.175, subdivision I, clause (2), a TIF plan must list the properties that development authority intends to acquire.) In addition, one of three conditions must be satisfied: I. The developer acquired property by May 1, 2006 in reliance on a contract with the condemning authority to condemn other property for the project. Note: There is no specific time limit on when these actions must be brought, aside from those listed above. 2. The condemning authority issued bonds (or entered a contract to issue bonds) to finance the project and begins the condemnation action within 2 years after issuing the bonds. 3. The TIF district was certified by February 1,2006 and the condemnation action is begun within 5 years after certification of the TIF district. Certification occurs after the TIF approval process by filing a request for certification with the county auditor. It can occur as soon as a few months after plan approval or a year or more later, depending upon when the authority requested certification and how quickly the county processed the request. This 5-year period corresponds to the rule under the TIF Act that allows the same period for completing in-district expenditures. MillO. Stat. S 469.1763, subd. 3. TIF districts authorized bv special laws (paragraph (b), clause (3)). A special law authorizing creation of a TIF district must have received local approval or become effective before February 1, 2006. The condemning authority must start the eminent domain action by the time period permitted under the 5-year rule, but not to exceed 10 years if the special law allows a longer period. Economic development abatement projects (paragraph (b), clause (4)). Similar to the TIF exemption under clause (3), the condemnation action must be started by February I, 2011 and at least one of the political subdivisions must adopt the abatement resolution before February 1, 2006.