Item Description:
title
Authorization to adopt Laws of Minnesota 2025, 1st Special Session, Chapter 13, Article 5, Section 4, as requested by the City of Maple Grove, for the purpose of extending the maximum duration of the Gravel Mining Area Soils Deficiency Tax Increment Financing District (County No. 1913) by five years, to June 29, 2046
end
Resolution:
body
BE IT RESOLVED, that having received a request from the City of Maple Grove, the Hennepin County Board of Commissioners hereby adopts Laws of Minnesota 2025, 1st Special Session, Chapter 13, Article 5, Section 4, for the purpose of extending the maximum duration of the Gravel Mining Area Soils Deficiency Tax Increment Financing District (County No. 1913) by five years to June 29, 2046.
end
Background:
In 2014, the City of Maple Grove received special legislation to create the Gravel Mining Area Soils Deficiency Tax Increment Financing District, for the purpose of facilitating development of the gravel mining area. The district was approved by the City on February 5, 2018, and certified by the County Auditor on June 29, 2018, with a 20-year term. The first tax increment for the district was collected in 2021.
State law requires TIF authorities to complete expenditures for qualified costs and to have an obligation in place to reimburse those expenditures (such as a pay-as-you-go TIF Note, bonds, etc.) within five years of the district’s certification. The “five year rule” would have required the TIF authority to complete these actions by June 29, 2023.
Laws of Minnesota 2017, 1st Special Session, Chapter 1, Article 6, Section 12, provided for a three year extension of the “five year rule” requirements to June 29, 2026, for a new total of eight years in order to complete project expenditures and obligate the tax increment revenue.
Laws of Minnesota 2025, 1st Special Session, Chapter 13, Article 5, Section 4, provided an additional five year extension for the “five-year rule” to June 29, 2031, for a new total of 13 years to complete the project and obligate the tax increment revenue. This special legislation also allows the city to use TIF district revenues for infrastructure improvements in the gravel mining area, including the interchange at CSAH 130 (Elm Creek Boulevard) and Highway 169, and then collect tax increment for an additional five years, for a new total of 25 years (from 2041 to 2046).
The 2025 special legislation requires the City of Maple Grove, the Hennepin County Board of Commissioners and the Independent School Board District No. 279 to adopt the Special Law. This resolution would meet that requirement.
On July 21, 2025, the City Council of Maple Grove adopted a resolution approving Laws of Minnesota 2025, 1st Special Session, Chapter 13, Article 5, Section 4.
On October 21, 2025, the Independent School Board District No. 279 adopted a resolution approving Laws of Minnesota 2025, 1st Special Session, Chapter 13, Article 5, Section 4.
recommendation
Recommendation from County Administrator: No Recommendation