This week, the Legislature came back from Easter/Passover Break and hit the ground running. Nearly every omnibus bill has a hearing this week or next… only one month remains before the 2022 legislative session is required to end.
Ruud’s Legislation Improves Snowmobile Safety Signed into Law
Last week, the Governor signed into law key legislation that improves snowmobile safety. Authored by Senator Carrie Ruud, this SF3063 increases penalties and fines given to snowmobile operators that knowingly leave marked trails to trespass on private property. Last month, the bill was passed with bipartisan support in both the House and the Senate.
Minnesota is currently home to over 22,000 miles of groomed snowmobiles trails, with over 21,000 of those miles maintained by local snowmobile club volunteers, contributing to a $1 billion industry that drives tourism throughout the state. There are currently approximately 220,000 registered snowmobiles in Minnesota.
“It has been a point of frustration that some snowmobilers have ignored trail signage to leave marked trails. These bad apples travel off-trail and often enter onto private property or fields that can be easily damaged. To deal with this, snowmobile clubs and landowners have worked together to maintain trails and educate snowmobile operators. This bill will add increased penalties as a deterrent meant to encourage snowmobile operators to stay on marked trails, and I’m glad the Governor acted quickly in signing it into law,” said Ruud.
Senate Passes Environment and Natural Resources Legislation
This week, the Senate passed a comprehensive environment and natural resources bill supporting Minnesota’s environment initiatives. The legislation focuses on commitment to groundwater preservation, recycling, regulatory reform, clean lakes & rivers, and protection of our lands.
“Our state has been blessed with an abundance of natural lands and resources that we have a duty to preserve. While there are many good portions of this bill, I am disappointed it falls short by excluding environmentally focused provisions.”
A few important bills were left out: a limit reduction of 4-walleyes to protect the population, a requirement for a watercraft operation safety course, and language that would protect our waterways from salt pollution. I found it especially disappointing that this bill instead found it necessary to use lottery in lieu dollars to draw sporting events to Minnesota. These lottery proceeds were always supposed to go back into the Environment and Natural Resources fund so our state could protect our water, fish, game, parks, trails, and zoos. This bill does a lot of good things, but it also deviates greatly from its intended purpose of prioritizing the protection of Minnesota’s beautiful lands.
Property Taxes—Information from Senate Property Tax Committee
Almost all types of property in 2022 are going up in value and real estate taxes are as well. Here is some basic information to help understand the issue… it should be noted that the state gets no property tax monies except for the State General Levy. This totals quite a bit, close to $1 billion and comes from commercial/industrial properties as well as seasonal recreational properties or cabins as we like to call them. This amount is determined by local assessors as the rate is figured by dividing the total tax levy amount by the total tax capacity. Thus, the rate can vary but typically stays similar from year to year. The real estate tax is generated by the amount of the levies of local government, i.e., cities, townships, counties, and school districts. The only input the legislature have into real estate taxes is the determination of property classes, tax classification rates, and homestead exclusions and credits—which have remained unchanged for the most part. The valuation of property is done by the local assessors and is based on an annual study of sales within their county. The assessor’s value estimate, or Estimated Market Value (EMV), must fall within the range of 90 to 105% of the average value as shown by the sales study.
One of the main areas that causes some angst is the shifting of taxes… this can occur due to value and or policy changes. Should one type of property increase substantially in value and no other types, the tax burden will shift towards the type that went up substantially creating an increase in taxes and a lowering of taxes for other types of property. If all property types go up equally in value and the local government units do not increase their levies, technically, no one will see an increase in taxes because added value will reduce the mil rate and most properties will not change. Recent information from the Department of Revenue, shows the following median value increases for 2022 on a statewide basis: Agriculture 15.1%, Apartment 9.6%, Commercial 3.6%, Industrial 5.2%, Residential 19.2%, Seasonal Recreation 17.1%. These numbers may vary on respective communities with some higher and some lower… based on these increases, tax increases will not be equal.
Common misconceptions are that values and or taxes can only go up a certain amount… not so. If taxes go up greatly, senior citizens can find some relief—and the Minnesota Senate will be proposing modest changes to improve that relief. The property tax refund will produce some relief for those who qualify from an income standpoint or if their taxes increased by more than 12% and at least $100. The program was revised in 2013 and indexed to inflation. By 2023, it is estimated that the program will have increased by 113% compared to a growth in the general fund of 52% over 10 years. These numbers come from the Coalition of Minnesota Cities.
Information: Property Tax Refund
Information: General Property Tax
Additional Information…
Minnesota Department of Natural Resources Free Park Days
On Four days in 2022, all 75 Minnesota state parks and state recreation areas will offer free admission to everyone. Mark your calendar for these fee-free dates: Free Park Days
– Saturday, February 19
– Saturday, April 23
– Saturday, June 11
– Friday, November 25
Avian Flu Article…Star Tribune
Spring is Time to Prepare for Possible Flooding: DNR Spring Flooding Information
Minnesota Arbor Day
2022 will mark the 150th anniversary of Arbor Day—the holiday that celebrates planting trees. Please join Northland Arboretum Arbor Day Celebration on Saturday, April 30, 2022… many great activities. More information: Northland Arboretum
Thank you for taking the time to read my weekly legislative update. If you’re looking to hear more from the Capitol, please like me on Facebook.
As always please feel free to contact my office with any questions you might have. My office can be reached by phone at (651) 296-4913 or at sen.carrie.ruud@senate.mn.
Talk to you soon!
Carrie Ruud