Bill Text: MN SF447 | 2011-2012 | 87th Legislature | Introduced
Bill Title: Sustainable forest incentive program repeal
Spectrum: Partisan Bill (Republican 1-0)
Status: (Introduced - Dead) 2011-02-24 - Referred to Taxes [SF447 Detail]
Download: Minnesota-2011-SF447-Introduced.html
1.2relating to taxation; eliminating the sustainable forest incentive program;
1.3amending Minnesota Statutes 2010, sections 88.49, subdivisions 5, 9a; 273.114,
1.4subdivision 2; repealing Minnesota Statutes 2010, sections 13.4967, subdivision
1.52b; 88.491, subdivision 2; 290C.01; 290C.02; 290C.03; 290C.04; 290C.05;
1.6290C.055; 290C.06; 290C.07; 290C.08; 290C.09; 290C.10; 290C.11; 290C.12;
1.7290C.13.
1.8BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:
1.9 Section 1. Minnesota Statutes 2010, section 88.49, subdivision 5, is amended to read:
1.10 Subd. 5. Cancellation. Upon the failure of the owner faithfully to fulfill and
1.11perform such contract or any provision thereof, or any requirement of sections88.47 to
1.1288.53
, or any rule adopted by the commissioner thereunder, the commissioner may cancel
1.13the contract in the manner herein provided. The commissioner shall give to the owner, in
1.14the manner prescribed in section88.48, subdivision 4 , 60 days' notice of a hearing thereon
1.15at which the owner may appear and show cause, if any, why the contract should not be
1.16canceled. The commissioner shall thereupon determine whether the contract should be
1.17canceled and make an order to that effect. Notice of the commissioner's determination
1.18and the making of the order shall be given to the owner in the manner provided in section
1.1988.48, subdivision 4
. On determining that the contract should be canceled and no appeal
1.20therefrom be taken, the commissioner shall send notice thereof to the auditor of the county
1.21and to the town clerk of the town affected and file with the recorder a certified copy of the
1.22order, who shall forthwith note the cancellation upon the record thereof, and thereupon the
1.23land therein described shall cease to be an auxiliary forest and, together with the timber
1.24thereon, become liable to all taxes and assessments that otherwise would have been levied
1.25against it had it never been an auxiliary forest from the time of the making of the contract,
2.1any provisions of the statutes of limitation to the contrary notwithstanding, less the amount
2.2of taxes paid under the provisions of section88.51, subdivision 1 , together with interest on
2.3such taxes and assessments at six percent per annum, but without penalties.
2.4The commissioner may in like manner and with like effect cancel the contract upon
2.5written application of the owner.
2.6The commissioner shall cancel any contract if the owner has made successful
2.7application under sections
290C.01 to
290C.11, the Sustainable Forest Incentive Act, and
2.8has paid to the county treasurer the difference between the amount which would have been
2.9paid had the land under contract been subject to the Minnesota Tree Growth Tax Law and
2.10the Sustainable Forest Incentive Act from the date of the recording of the contract and
2.11the amount actually paid under section
88.51, subdivisions 1 and 2. This tax difference
2.12must be calculated based on the years the lands would have been taxed under the Tree
2.13Growth Tax Law and the Sustainable Forest Incentive Act. The sustainable forest tax
2.14difference is net of the incentive payment of section
290C.07. If the amount which would
2.15have been paid, had the land under contract been under the Minnesota Tree Growth Tax
2.16Law and the Sustainable Forest Incentive Act from the date of the filing of the contract,
2.17is less than the amount actually paid under the contract, the cancellation shall be made
2.18without further payment by the owner.
2.19When the execution of any contract creating an auxiliary forest shall have been
2.20procured through fraud or deception practiced upon the county board or the commissioner
2.21or any other person or body representing the state, it may be canceled upon suit brought by
2.22the attorney general at the direction of the commissioner. This cancellation shall have the
2.23same effect as the cancellation of a contract by the commissioner.
2.24 Sec. 2. Minnesota Statutes 2010, section 88.49, subdivision 9a, is amended to read:
2.25 Subd. 9a. Land trades with governmental units. Notwithstanding subdivisions
2.266 and 9,or section
88.491, subdivision 2, if an owner trades land under auxiliary forest
2.27contract for land owned by a governmental unit and the owner agrees to use the land
2.28received in trade from the governmental unit for the production of forest products, upon
2.29resolution of the county board, no taxes and assessments shall be levied against the land
2.30traded, except that any current or delinquent annual taxes or yield taxes due on that land
2.31while it was under the auxiliary forest provision must be paid prior to the land exchange.
2.32The land received from the governmental unit in the land trade automatically qualifies for
2.33inclusion in the Sustainable Forest Incentive Act.
2.34 Sec. 3. Minnesota Statutes 2010, section 273.114, subdivision 2, is amended to read:
3.1 Subd. 2. Requirements. Class 2a or 2b property that had been assessed under
3.2Minnesota Statutes 2006, section 273.111, or that is part of an agricultural homestead
3.3under Minnesota Statutes, section 273.13, subdivision 23, paragraph (a), is entitled to
3.4valuation and tax deferment under this section if:
3.5(1) the land consists of at least ten acres;
3.6(2) a conservation assessment plan for the land must be prepared by an approved
3.7plan writer and implemented during the period in which the land is subject to valuation
3.8and deferment under this section;
3.9(3) the land must be enrolled for a minimum of eight years;
3.10(4) there are no delinquent property taxes on the land; and
3.11(5) the property is not also enrolled for valuation and deferment under section
3.12273.111 or 273.112, or chapter290C or 473H.
3.13 Sec. 4. REPEALER.
3.14Minnesota Statutes 2010, sections 13.4967, subdivision 2b; 88.491, subdivision 2;
3.15290C.01; 290C.02; 290C.03; 290C.04; 290C.05; 290C.055; 290C.06; 290C.07; 290C.08;
3.16290C.09; 290C.10; 290C.11; 290C.12; and 290C.13, are repealed.
3.17 Sec. 5. EFFECTIVE DATE.
3.18This act is effective the day following final enactment. Covenants entered into prior
3.19to that date are terminated on the day following final enactment.
1.3amending Minnesota Statutes 2010, sections 88.49, subdivisions 5, 9a; 273.114,
1.4subdivision 2; repealing Minnesota Statutes 2010, sections 13.4967, subdivision
1.52b; 88.491, subdivision 2; 290C.01; 290C.02; 290C.03; 290C.04; 290C.05;
1.6290C.055; 290C.06; 290C.07; 290C.08; 290C.09; 290C.10; 290C.11; 290C.12;
1.7290C.13.
1.8BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:
1.9 Section 1. Minnesota Statutes 2010, section 88.49, subdivision 5, is amended to read:
1.10 Subd. 5. Cancellation. Upon the failure of the owner faithfully to fulfill and
1.11perform such contract or any provision thereof, or any requirement of sections
1.13the contract in the manner herein provided. The commissioner shall give to the owner, in
1.14the manner prescribed in section
1.15at which the owner may appear and show cause, if any, why the contract should not be
1.16canceled. The commissioner shall thereupon determine whether the contract should be
1.17canceled and make an order to that effect. Notice of the commissioner's determination
1.18and the making of the order shall be given to the owner in the manner provided in section
1.20therefrom be taken, the commissioner shall send notice thereof to the auditor of the county
1.21and to the town clerk of the town affected and file with the recorder a certified copy of the
1.22order, who shall forthwith note the cancellation upon the record thereof, and thereupon the
1.23land therein described shall cease to be an auxiliary forest and, together with the timber
1.24thereon, become liable to all taxes and assessments that otherwise would have been levied
1.25against it had it never been an auxiliary forest from the time of the making of the contract,
2.1any provisions of the statutes of limitation to the contrary notwithstanding, less the amount
2.2of taxes paid under the provisions of section
2.3such taxes and assessments at six percent per annum, but without penalties.
2.4The commissioner may in like manner and with like effect cancel the contract upon
2.5written application of the owner.
2.6
2.7
2.8
2.9
2.10
2.11
2.12
2.13
2.14
2.15
2.16
2.17
2.18
2.19When the execution of any contract creating an auxiliary forest shall have been
2.20procured through fraud or deception practiced upon the county board or the commissioner
2.21or any other person or body representing the state, it may be canceled upon suit brought by
2.22the attorney general at the direction of the commissioner. This cancellation shall have the
2.23same effect as the cancellation of a contract by the commissioner.
2.24 Sec. 2. Minnesota Statutes 2010, section 88.49, subdivision 9a, is amended to read:
2.25 Subd. 9a. Land trades with governmental units. Notwithstanding subdivisions
2.266 and 9,
2.27contract for land owned by a governmental unit and the owner agrees to use the land
2.28received in trade from the governmental unit for the production of forest products, upon
2.29resolution of the county board, no taxes and assessments shall be levied against the land
2.30traded, except that any current or delinquent annual taxes or yield taxes due on that land
2.31while it was under the auxiliary forest provision must be paid prior to the land exchange.
2.32
2.33
2.34 Sec. 3. Minnesota Statutes 2010, section 273.114, subdivision 2, is amended to read:
3.1 Subd. 2. Requirements. Class 2a or 2b property that had been assessed under
3.2Minnesota Statutes 2006, section 273.111, or that is part of an agricultural homestead
3.3under Minnesota Statutes, section 273.13, subdivision 23, paragraph (a), is entitled to
3.4valuation and tax deferment under this section if:
3.5(1) the land consists of at least ten acres;
3.6(2) a conservation assessment plan for the land must be prepared by an approved
3.7plan writer and implemented during the period in which the land is subject to valuation
3.8and deferment under this section;
3.9(3) the land must be enrolled for a minimum of eight years;
3.10(4) there are no delinquent property taxes on the land; and
3.11(5) the property is not also enrolled for valuation and deferment under section
3.12273.111 or 273.112, or chapter
3.13 Sec. 4. REPEALER.
3.14Minnesota Statutes 2010, sections 13.4967, subdivision 2b; 88.491, subdivision 2;
3.15290C.01; 290C.02; 290C.03; 290C.04; 290C.05; 290C.055; 290C.06; 290C.07; 290C.08;
3.16290C.09; 290C.10; 290C.11; 290C.12; and 290C.13, are repealed.
3.17 Sec. 5. EFFECTIVE DATE.
3.18This act is effective the day following final enactment. Covenants entered into prior
3.19to that date are terminated on the day following final enactment.
