The bill amends Minnesota Statutes 2024, section 469.175, subdivision 3, to establish that school district approval is a prerequisite for creating an economic development district under tax increment financing (TIF). Specifically, it stipulates that a county auditor cannot certify the original net tax capacity of a TIF district for economic development unless the governing board of each school district that includes part of the proposed district area has approved the TIF plan by resolution. This requirement does not apply to economic development districts established for workforce housing projects that meet specific criteria.

Additionally, the bill introduces an effective date for these changes, stating that they will apply to districts for which the request for certification is made after July 1, 2025. This legislative change aims to ensure that local school districts have a say in the economic development plans that may impact their communities, thereby fostering collaboration between municipalities and educational authorities.

Statutes affected:
Introduction: 469.175