1.1.................... moves to amend H.F. No. 1914 as follows:
1.2Page 3, after line 11, insert:

1.3    "Sec. 4. Minnesota Statutes 2011 Supplement, section 290A.03, subdivision 11,
1.4is amended to read:
1.5    Subd. 11. Rent constituting property taxes. "Rent constituting property taxes"
1.6means 17 15 percent of the gross rent actually paid in cash, or its equivalent, or the portion
1.7of rent paid in lieu of property taxes, in any calendar year by a claimant for the right
1.8of occupancy of the claimant's Minnesota homestead in the calendar year, and which
1.9rent constitutes the basis, in the succeeding calendar year of a claim for relief under this
1.10chapter by the claimant.
1.11EFFECTIVE DATE.This section is effective for claims based on rent paid in
1.122011 and thereafter.

1.13    Sec. 5. Minnesota Statutes 2011 Supplement, section 290A.03, subdivision 13, is
1.14amended to read:
1.15    Subd. 13. Property taxes payable. "Property taxes payable" means the property tax
1.16exclusive of special assessments, penalties, and interest payable on a claimant's homestead
1.17after deductions made under sections 273.135, 273.1384, 273.1391, 273.42, subdivision 2,
1.18and any other state paid property tax credits in any calendar year, and after any refund
1.19claimed and allowable under section 290A.04, subdivision 2h, that is first payable in
1.20the year that the property tax is payable. In the case of a claimant who makes ground
1.21lease payments, "property taxes payable" includes the amount of the payments directly
1.22attributable to the property taxes assessed against the parcel on which the house is located.
1.23No apportionment or reduction of the "property taxes payable" shall be required for the
1.24use of a portion of the claimant's homestead for a business purpose if the claimant does not
1.25deduct any business depreciation expenses for the use of a portion of the homestead in the
2.1determination of federal adjusted gross income. For homesteads which are manufactured
2.2homes as defined in section 273.125, subdivision 8, and for homesteads which are park
2.3trailers taxed as manufactured homes under section 168.012, subdivision 9, "property
2.4taxes payable" shall also include 17 15 percent of the gross rent paid in the preceding
2.5year for the site on which the homestead is located. When a homestead is owned by
2.6two or more persons as joint tenants or tenants in common, such tenants shall determine
2.7between them which tenant may claim the property taxes payable on the homestead. If
2.8they are unable to agree, the matter shall be referred to the commissioner of revenue
2.9whose decision shall be final. Property taxes are considered payable in the year prescribed
2.10by law for payment of the taxes.
2.11In the case of a claim relating to "property taxes payable," the claimant must have
2.12owned and occupied the homestead on January 2 of the year in which the tax is payable
2.13and (i) the property must have been classified as homestead property pursuant to section
2.14273.124 , on or before December 15 of the assessment year to which the "property taxes
2.15payable" relate; or (ii) the claimant must provide documentation from the local assessor
2.16that application for homestead classification has been made on or before December 15
2.17of the year in which the "property taxes payable" were payable and that the assessor has
2.18approved the application.
2.19EFFECTIVE DATE.This section is effective for claims based on rent paid in
2.202011 and thereafter."
2.21Page 4, after line 26, insert:

2.22    "Sec. 7. Minnesota Statutes 2010, section 290A.04, subdivision 2a, is amended to read:
2.23    Subd. 2a. Renters; senior or disabled. A claimant whose rent constituting property
2.24taxes exceeds the percentage of the household income stated below must pay an amount
2.25equal to the percent of income shown for the appropriate household income level along
2.26with the percent to be paid by the claimant of the remaining amount of rent constituting
2.27property taxes. The state refund equals the amount of rent constituting property taxes that
2.28remain, up to the maximum state refund amount shown below. This subdivision applies
2.29only if the claimant or the claimant's spouse was disabled or attained the age of 65 on or
2.30before December 31 of the year for which the rent was paid.

2.31 2.32 2.33	Household Income	Percent of Income	Percent Paid by Claimant	Maximum State Refund
2.34	$0 to 3,589	1.0 percent	5 percent	$	1,190
2.35	3,590 to 4,779	1.0 percent	10 percent	$	1,190
2.36	4,780 to 5,969	1.1 percent	10 percent	$	1,190
3.1	5,970 to 8,369	1.2 percent	10 percent	$	1,190
3.2	8,370 to 10,759	1.3 percent	15 percent	$	1,190
3.3	10,760 to 11,949	1.4 percent	15 percent	$	1,190
3.4	11,950 to 13,139	1.4 percent	20 percent	$	1,190
3.5	13,140 to 15,539	1.5 percent	20 percent	$	1,190
3.6	15,540 to 16,729	1.6 percent	20 percent	$	1,190
3.7	16,730 to 17,919	1.7 percent	25 percent	$	1,190
3.8	17,920 to 20,319	1.8 percent	25 percent	$	1,190
3.9	20,320 to 21,509	1.9 percent	30 percent	$	1,190
3.10	21,510 to 22,699	2.0 percent	30 percent	$	1,190
3.11	22,700 to 23,899	2.2 percent	30 percent	$	1,190
3.12	23,900 to 25,089	2.4 percent	30 percent	$	1,190
3.13	25,090 to 26,289	2.6 percent	35 percent	$	1,190
3.14	26,290 to 27,489	2.7 percent	35 percent	$	1,190
3.15	27,490 to 28,679	2.8 percent	35 percent	$	1,190
3.16	28,680 to 29,869	2.9 percent	40 percent	$	1,190
3.17	29,870 to 31,079	3.0 percent	40 percent	$	1,190
3.18	31,080 to 32,269	3.1 percent	40 percent	$	1,190
3.19	32,270 to 33,459	3.2 percent	40 percent	$	1,190
3.20	33,460 to 34,649	3.3 percent	45 percent	$	1,080
3.21	34,650 to 35,849	3.4 percent	45 percent	$	960
3.22	35,850 to 37,049	3.5 percent	45 percent	$	830
3.23	37,050 to 38,239	3.5 percent	50 percent	$	720
3.24	38,240 to 39,439	3.5 percent	50 percent	$	600
3.25	38,440 to 40,629	3.5 percent	50 percent	$	360
3.26	40,630 to 41,819	3.5 percent	50 percent	$	120

3.27 3.28 3.29	Household Income	Percent of Income	Percent Paid by Claimant	Maximum State Refund
3.30	$0 to 4,689	1.0 percent	5 percent	$	1,550
3.31	4,690 to 6,239	1.0 percent	10 percent	$	1,550
3.32	6,240 to 7,799	1.1 percent	10 percent	$	1,550
3.33	7,800 to 10,929	1.2 percent	10 percent	$	1,550
3.34	10,930 to 14,049	1.3 percent	15 percent	$	1,550
3.35	14,050 to 15,609	1.4 percent	15 percent	$	1,550
3.36	15,610 to 17,159	1.4 percent	20 percent	$	1,550
3.37	17,160 to 20,289	1.5 percent	20 percent	$	1,550
3.38	20,290 to 21,849	1.6 percent	20 percent	$	1,550
3.39	21,850 to 23,399	1.7 percent	25 percent	$	1,550
3.40	23,400 to 26,539	1.8 percent	25 percent	$	1,500
3.41	26,540 to 28,089	1.9 percent	30 percent	$	1,400
3.42	28,090 to 29,649	2.0 percent	30 percent	$	1,300
3.43	29,650 to 31,209	2.2 percent	30 percent	$	1,200
4.1	31,210 to 32,769	2.4 percent	30 percent	$	1,100
4.2	32,770 to 34,329	2.6 percent	35 percent	$	1,000
4.3	34,330 to 35,899	2.7 percent	35 percent	$	1,000
4.4	35,900 to 37,449	2.8 percent	35 percent	$	750
4.5	37,450 to 39,009	2.9 percent	40 percent	$	500
4.6	39,010 to 39,999	3.0 percent	40 percent	$	250

4.7The payment made to a claimant is the amount of the state refund calculated under
4.8this subdivision. No payment is allowed if the claimant's household income is $41,820
4.9$40,000 or more.
4.10EFFECTIVE DATE.This section is effective for claims based on rent paid in
4.112011 and following years.

4.12    Sec. 8. Minnesota Statutes 2010, section 290A.04, is amended by adding a subdivision
4.13to read:
4.14    Subd. 2k. Renters; nonsenior nondisabled. A claimant whose rent constituting
4.15property taxes exceeds the percentage of the household income stated below must pay
4.16an amount equal to the percent of income shown for the appropriate household income
4.17level along with the percent to be paid by the claimant of the remaining amount of rent
4.18constituting property taxes. The state refund equals the amount of rent constituting
4.19property taxes that remain, up to the maximum state refund amount shown below. This
4.20subdivision applies only if the claimant or the claimant's spouse is not eligible for a refund
4.21under subdivision 2a.

4.22 4.23 4.24	Household Income	Percent of Income	Percent Paid by Claimant	Maximum State Refund
4.25	$0 to 6,239	1.0 percent	15 percent	$	1,000
4.26	6,240 to 7,799	1.1 percent	20 percent	$	1,000
4.27	7,800 to 10,929	1.2 percent	20 percent	$	900
4.28	10,930 to 14,049	1.3 percent	25 percent	$	800
4.29	14,050 to 15,609	1.4 percent	25 percent	$	800
4.30	15,610 to 17,159	1.4 percent	30 percent	$	600
4.31	17,160 to 20,289	1.5 percent	30 percent	$	600
4.32	20,290 to 21,849	1.6 percent	35 percent	$	400
4.33	21,850 to 23,399	1.7 percent	35 percent	$	400
4.34	23,400 to 24,999	1.8 percent	40 percent	$	200

4.35The payment made to a claimant is the amount of the state refund calculated under
4.36this subdivision. No payment is allowed if the claimant's household income is $25,000
4.37or more.
5.1EFFECTIVE DATE.This section is effective for claims based on rent paid in
5.22011 and following years.

5.3    Sec. 9. Minnesota Statutes 2011 Supplement, section 290A.04, subdivision 4, is
5.4amended to read:
5.5    Subd. 4. Inflation adjustment. (a) Beginning for property tax refunds payable in
5.6calendar year 2002, the commissioner shall annually adjust the dollar amounts of the
5.7income thresholds and the maximum refunds under subdivisions 2 and 2a subdivision 2
5.8for inflation. The commissioner shall make the inflation adjustments in accordance with
5.9section 1(f) of the Internal Revenue Code, except that for purposes of this subdivision the
5.10percentage increase shall be determined as provided in this subdivision.
5.11(b) In adjusting the dollar amounts of the income thresholds and the maximum
5.12refunds under subdivision 2 for inflation, the percentage increase shall be determined from
5.13the year ending on June 30, 2011, to the year ending on June 30 of the year preceding that
5.14in which the refund is payable.
5.15(c) In adjusting the dollar amounts of the income thresholds and the maximum
5.16refunds under subdivision 2a for inflation, the percentage increase shall be determined
5.17from the year ending on June 30, 2000, to the year ending on June 30 of the year preceding
5.18that in which the refund is payable.
5.19(d) (c) The commissioner shall use the appropriate percentage increase to annually
5.20adjust the income thresholds and maximum refunds under subdivisions 2 and 2a for
5.21inflation without regard to whether or not the income tax brackets are adjusted for inflation
5.22in that year. The commissioner shall round the thresholds and the maximum amounts,
5.23as adjusted to the nearest $10 amount. If the amount ends in $5, the commissioner shall
5.24round it up to the next $10 amount.
5.25(e) (d) The commissioner shall annually announce the adjusted refund schedule at
5.26the same time provided under section 290.06. The determination of the commissioner
5.27under this subdivision is not a rule under the Administrative Procedure Act.
5.28EFFECTIVE DATE.This section is effective for claims based on rent paid in
5.292012 and following years.

5.30    Sec. 10. Minnesota Statutes 2010, section 290A.23, subdivision 1, is amended to read:
5.31    Subdivision 1. Renters credit. There is appropriated from the general fund in the
5.32state treasury to the commissioner of revenue the amount necessary to make the payments
5.33required under section 290A.04, subdivision 2a subdivisions 2a and 2k.
6.1EFFECTIVE DATE.This section is effective for claims based on rent paid in
6.22011 and following years.

6.3    Sec. 11. Minnesota Statutes 2011 Supplement, section 477A.013, subdivision 9,
6.4is amended to read:
6.5    Subd. 9. City aid distribution. (a) In calendar year 2009 2013 and thereafter, each
6.6city shall receive an aid distribution equal to the sum of (1) the city formula aid under
6.7subdivision 8, and (2) its city aid base amount of aid it received under subdivision 11 in
6.8calendar year 2012.
6.9    (b) For aids payable in 2013 only, the total aid in the previous year for any city
6.10shall mean the amount of aid it was certified to receive for aids payable in 2012 under
6.11this section. For aids payable in 2014 and thereafter, the total aid in the previous year
6.12for any city means the amount of aid it was certified to receive under this section in the
6.13previous payable year.
6.14    (c) For aids payable in 2010 and thereafter, the total aid for any city shall not exceed
6.15the sum of (1) ten percent of the city's net levy for the year prior to the aid distribution
6.16plus (2) its total aid in the previous year. For aids payable in 2009 and thereafter, the total
6.17aid for any city with a population of 2,500 or more may not be less than its total aid under
6.18this section in the previous year minus the lesser of $10 multiplied by its population, or ten
6.19percent of its net levy in the year prior to the aid distribution.
6.20    (d) For aids payable in 2010 and thereafter, the total aid for a city with a population
6.21less than 2,500 must not be less than the amount it was certified to receive in the
6.22previous year minus the lesser of $10 multiplied by its population, or five percent of its
6.232003 certified aid amount. For aids payable in 2009 only, the total aid for a city with a
6.24population less than 2,500 must not be less than what it received under this section in the
6.25previous year unless its total aid in calendar year 2008 was aid under section 477A.011,
6.26subdivision 36, paragraph (s), in which case its minimum aid is zero.
6.27    (e) A city's aid loss under this section may not exceed $300,000 in any year in
6.28which the total city aid appropriation under section 477A.03, subdivision 2a, is equal or
6.29greater than the appropriation under that subdivision in the previous year, unless the
6.30city has an adjustment in its city net tax capacity under the process described in section
6.31469.174, subdivision 28.
6.32    (f) If a city's net tax capacity used in calculating aid under this section has decreased
6.33in any year by more than 25 percent from its net tax capacity in the previous year due to
6.34property becoming tax-exempt Indian land, the city's maximum allowed aid increase
6.35under paragraph (c) shall be increased by an amount equal to (1) the city's tax rate in the
7.1year of the aid calculation, multiplied by (2) the amount of its net tax capacity decrease
7.2resulting from the property becoming tax exempt.
7.3EFFECTIVE DATE.This section is effective for aids payable in calendar year
7.42013 and thereafter."
7.5Page 5, after line 11, insert:

7.6    "Sec. 13. SPECIAL RECOVERY FUND; CANCELLATION.
7.7$4,000,000 of the balance in the Revenue Department service and recovery special
7.8revenue fund is canceled to the general fund.
7.9EFFECTIVE DATE.This section is effective the day following final enactment.

7.10    Sec. 14. ADMINISTRATION OF PROPERTY TAX REFUND CLAIMS; 2012.
7.11In administering this bill for claims for refunds submitted using 17 percent of gross
7.12rent as rent constituting property taxes under prior law, the commissioner shall recalculate
7.13and pay the refund amounts using 15 percent of gross rent, subject to the reduced
7.14maximum income limits, maximum refunds, and increased co-payment percentages in
7.15this bill. The commissioner shall notify the claimant that the recalculation was mandated
7.16by action of the 2012 legislature.

7.17    Sec. 15. REPEALER.
7.18Minnesota Statutes 2010, section 477A.013, subdivision 8, and Minnesota Statutes
7.192011 Supplement, section 477A.03, subdivision 2a, are repealed.
7.20EFFECTIVE DATE.This section is effective for aids payable in calendar year
7.212013 and thereafter."
7.22Renumber the sections in sequence and correct the internal references
7.23Amend the title accordingly