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Contributors in Minnesota: Patrick Condon, J. Patrick Coolican, Patricia Lopez, Ricardo Lopez, Abby Simons, Rachel E. Stassen-Berger and Glen Stubbe. Contributors in D.C.: Corey Mitchell, Allison Sherry and Jim Spencer.

Minnesota House tax chairman to propose property tax changes

Posted by: Rachel E. Stassen-Berger Updated: November 11, 2011 - 5:12 PM

In an opening shot to may become a major issue in the next legislative session, House Taxes Chair Greg Davids Monday will propose a "property tax relief package for the 2012 legislative session."

Davids, R-Preston, said that it will address the Market Value Homestead Credit issues that have roiled local governments since the end of the last session but other issues as well.

"It will have something to do with that but it is much more than just that," Davids said.

The budget deal that helped end the state's summer government shutdown eliminated the Market Value Homestead Credit program, saving the state millions but costing local governments.

Republican lawmakers have said its elimination was DFL Gov. Mark Dayton's idea, he said it was theirs. One lawmaker said to the St. Cloud Times that he was blindsided by the change's impact. Local officials have property taxes increases said that may result are the state's fault and legislative officials have said local government officials could just cut to adjust.

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