This bill establishes a "redevelopment area homestead credit" designed to provide property tax relief for eligible properties in designated redevelopment areas within second-class cities. The credit is calculated as 70% of the property's net tax capacity multiplied by the city capital debt tax rate. It outlines eligibility criteria, the process for determining tax reductions, and a reimbursement mechanism for local taxing jurisdictions. The bill also includes provisions for annual appropriations from the general fund to cover the costs associated with the credit and amends several sections of the Minnesota Statutes to incorporate this new credit into the computation of net property taxes.

Additionally, the bill enhances property tax statement requirements to improve transparency for taxpayers by mandating that statements for real and personal properties include specific details such as estimated market value and applicable credits. It allows counties to include notices from taxing districts about upcoming budget deliberations. Furthermore, the bill introduces a provision for rounding dollar amounts, including special assessments, to the nearest even whole dollar. These changes are set to take effect for taxes payable in 2026, ensuring that taxpayers will benefit from these updates soon.

Statutes affected:
Introduction: 273.1392, 273.1393, 275.065, 275.07, 275.08, 276.04