1.1 	A bill for an act
1.2 	relating to taxation; property; requiring the establishment of a rural service 
1.3 	district in cities containing agricultural property;amending Minnesota Statutes 
1.4 	2014, section 272.67, by adding a subdivision.
1.5 	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

1.6 	Section 1. Minnesota Statutes 2014, section 272.67, is amended by adding a 
1.7 	subdivision to read:
1.8 		Subd. 9.Establishment of rural service district required. (a) A rural service 
1.9 	district must be created in each city eligible to create a rural service district under 
1.10 	subdivision 1 that contains property classified as class 2a or 2b under section 273.13, 
1.11 	subdivision 23.
1.12 	(b) Any rural service district created under this section must include all properties 
1.13 	classified as class 2a or 2b under section 273.13, subdivision 23, located within the city.
1.14 	(c) The service ratio of any rural service district created after January 1, 2015, that 
1.15 	includes property classified as class 2a or 2b, must not exceed 40 percent.

1.16 	EFFECTIVE DATE. This section is effective beginning with taxes payable in 2016.