Land-value taxation districts creation by cities authorization

Minnesota Senate File 1422 authorizes cities to create "land-value taxation districts" where property taxes are based primarily on land value (excluding improvements) rather than total property value. It directly affects property owners within designated districts, requiring cities to adopt ordinances describing the district boundaries and tax reallocation method. Key provisions include mandating a public hearing, requiring cities to evaluate the district's economic impact for 15+ years, and specifying that taxes must be distributed using uniform rates on land value (excluding improvements) as defined in state law. The bill takes effect for property taxes payable in 2026.