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Township expenditures authorized <br />Chapter 166 (HF 2636*/SF 2807) authorizes certain <br />expenditures by townships. Section 1 amends Minn. Stat. <br />§ 365.10, subd. 8 by removing a requirement that the <br />amount of money spent by a township board to purchase <br />park land must be approved by referendum. Language <br />that restricts a township board from purchasing park land <br />without explicit voter approval is preserved. Section 2 <br />amends Minn. Stat. § 365.10, subd. 12 by allowing voters <br />in a township to approve expenditures to recognize vol- <br />unteers, service efforts, and retiring town officers, or to <br />host or support a community celebration. Effective <br />Aug. 1, 2008. (AF) <br />~~~ Conflict of interest rules for local economic devel- <br />opment authorities <br />Chapter 197 (HF 3295/SF 2806*) clarifies conflict of <br />interest rules for local economic development authorities <br />by amending Minn. Stat. ~ 469.098. It requires a com- <br />missioner or employee to submit a statement to the other <br />commissioners of the economic development author- <br />ity prior to taking action or making a decision that would <br />substantially affect the financial interest of the commis- <br />sioner, an employee, or an associated organization.The new <br />law provides that a person who fails to submit a state- <br />ment, omits required information, or knowingly submits <br />a statement with false information is guilty of a misde- <br />meanor.The employee's superior is tasked with reassigning <br />the employee's duty when there is a potential conflict of <br />interest, and the law states that any individual who know- <br />ingly violates the subdivision is guilty of a misdemeanor. <br />The new law prohibits a commissioner or employee <br />from appearing before a court or government agency as <br />an agent for anyone other than the economic develop- <br />ment authority in connection with specified instances in <br />which the authority is substantially interested for one year <br />after termination of employment. Additionally, a commis- <br />sioner or employee is prohibited from receiving financial <br />assistance or financing for real property other than rental <br />assistance programs more than once.The county attor- <br />ney is authorized to seek an injunction in district court <br />to enforce the provisions of the section. Effective April 18, <br />2008, except for the criminal penalties, which are e~ectiveJune 1, <br />2008. (JO) <br />Definitions of "political subdivision" and "spe- <br />cial district" provided; special district reporting <br />required <br />Chapter 200 (HF 1309/SF 1436*) makes changes to stat- <br />utes pertaining to the state auditor.The chapter defines <br />"political subdivision" and "special district" for purposes of <br />the laws governing the state auditor. Other sections make <br />conforming changes related to the new general definition <br />of political subdivision.The chapter also contains some <br />new requirements that apply to special districts.The provi- <br />sions that may be relevant to city operations include the <br />following: <br />• Definitions of "political subdivision" and "spe- <br />cial district" provided. Section 1 creates Minn. Stat. <br />6,465, which contains definitions for "political subdivi- <br />sion" and "special district." <br />^ "Political subdivision" means a county, home rule <br />charter, or statutory city, town, school district, met- <br />ropolitan or regional agency, public corporation, <br />political subdivision, or special district. "Political <br />subdivision" does not include a metropolitan or <br />regional agency or a public corporation audited by <br />the legislative auditor. <br />^ "Special district" means a public entity with a spe- <br />cial or limited purpose, financed by property tax <br />revenues or other public fiords, that is not included <br />in a city, county, or town financial report as a com- <br />ponent of that local government; that is created <br />or authorized by law; and that is governed by (1) <br />persons directly elected to the governing board of <br />the district, (2) persons appointed to the govern- <br />ing board of the district by local elected officials, <br />(3) local elected officials who serve on the board <br />by virtue of their elected office, or (4) a combina- <br />tion of these methods of selection. Special district <br />includes special taxing districts listed in Minn. Stat. <br />275.066. <br />Special district reporting required. Section 19 <br />creates Minn. Stat. ~ 6.756, which requires special dis- <br />tricts to file information with the state auditor. <br />The section requires each special district to file with <br />the state auditor, within 60 days of adoption, any <br />document relating to the governance of the district, <br />including articles of incorporation, bylaws, or agree- <br />ments, and any amendment to these documents. <br />Special district audits required. Section 19 <br />requires a special district with total annual revenue <br />greater than the threshold amount for cities under <br />Minn. Stat. ~ 412.591, subd. 3, paragraph (b), to pro- <br />vide for an annual audit of the district's financial <br />affairs by the state auditor or a public accountant in <br />accordance with minimum auditing procedures pre- <br />scribed by the state auditor. <br />A special district with total annual revenue that <br />is equal to or less than the threshold amount for cit- <br />ies under ~ 412.591, subd. 3, paragraph (b), must <br />provide for an audit of the district's financial affairs <br />by the state auditor or a public accountant in accor- <br />dance with minimum audit procedures prescribed by <br />the statc auditor at Icast oncc cvcry fivc ycars.The <br />audit must be for aone-year period to be deter- <br />2008 Law Summaries Page 43 <br />