Minnesota 2025-2026 Regular Session

Minnesota House Bill HF1161

Introduced
2/19/25  

Caption

School district seasonal tax base replacement aid established, and money appropriated.

Impact

The proposed bill would have a significant impact on the way school districts in Minnesota receive funding, particularly those that rely heavily on seasonal properties for tax revenue. By adjusting the seasonal tax base through a replacement aid system, the bill seeks to enhance funding stability for districts whose resources may dwindle during off-peak seasons. This change could lead to a more equitable distribution of funds, ensuring that areas with seasonal economy impacts continue to meet their educational obligations.

Summary

House File 1161 introduces provisions regarding education finance, specifically targeting the establishment of a seasonal tax base replacement aid for school districts in Minnesota. The bill amends existing statutes to define how the seasonal tax base is calculated and how it affects general education aid for school districts starting in the fiscal year 2026. The primary aim is to provide financial support to districts disproportionately affected by seasonal property values, helping maintain consistent funding levels despite fluctuations in local tax baselines.

Contention

Despite its intent, the bill may face scrutiny regarding the long-term fiscal implications for the state's budget and its effects on public education funding overall. Stakeholders, including educators and local government officials, may raise concerns about how effectively this replacement aid can address the disparities in property tax revenue. There might also be debates about the efficiency of the adjusted formulas and the fairness of calculations used to determine seasonal tax base adjustments, which could lead to discussions during the legislative process.

Companion Bills

MN SF1197

Similar To School district seasonal tax base replacement aid establishment

Previously Filed As

MN SF4995

School district seasonal tax base replacement aid establishment

MN HF4986

School district seasonal tax base replacement aid established.

MN HF1694

Local optional aid and levy replaced with basic supplemental aid, and money appropriated.

MN HF4117

Local optional revenue modified, revenue for unemployment costs and family paid medical leave included in local optional revenue, referendum revenue simplified, equalization aid increased, and money appropriated.

MN SF4184

Local optional revenue modifications, unemployment costs and family paid medical leave in local optional revenue inclusion, referendum revenue simplification, equalization aid increase, and appropriating money

MN HF2218

Property tax provisions modified, school levy credit established, and money appropriated.

MN HF44

School districts required to provide access to menstrual products for students, operating capital aid increased to fund school district purchases of menstrual products, and money appropriated.

MN HF4415

Senior citizen property tax credit established, and money appropriated.

MN SF505

New source of state aid for school districts with low general education revenue and low property wealth per pupil establishment and appropriation

MN HF1118

New source of state aid for school districts with low general education revenue and low property wealth per pupil created, and money appropriated.

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