3.0 HRSR 12-07-2015 - Laserfiche WebLink

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RELEVANT LINKS: Minn.Stat.§ 13D.05,subd. A public body may close a public meeting to determine the asking price for 3(c). real or personal property to be sold by the city,to review confidential or nonpublic appraisal data, and to consider offers or counteroffers for the sale of real property. B. Leases Contact the League research Cities often lease unneeded property and buildings to others for their use. department for sample community center use Sometimes these agreements are long-term leases. Other times it may be an policies• afternoon rental of a room in a community center. Many cities have adopted policies regarding the rental and use of their community centers. 1. Authority Minn.Stat.§412.211.Minn. Statutory cities have the power to lease land and buildings that are no longer Stat.§410.33. needed for city purposes. Home rule charter cities often have similar authority in their city charters. Home rule cities whose charters are silent on this matter may use the authority given for statutory cities. Anderson v.City of A city has the right to let outside parties use city buildings so long as the use Montevideo,137 Minn.179, 162 NW 1073(1917). does not interfere with the city's purposes. Penn-O-Tex Oil Co.v.City of A city can charge rent for the use of unneeded facilities because the income Minneapolis,207 Minn.307, 291 NW 131(1940). can"lighten the burden of the taxpayers." See Part III-G-Getting Housing Redevelopment Authorities and some Economic Development permission to buy or sell land. Authorities must hold a public hearing before leasing most land. Minn.Stat.§471.64. All cities can lease land to the United States, its agencies, any state agency, and other political subdivisions of the state. 2. Property Taxes Minn.Stat.§272.01,subds. Although city property is generally exempt from property taxes, it loses its 2(a)and(c). exemption when it is leased to a private individual, association, or organization that is in business to make a profit. Even though state law makes those who lease land from a city responsible for paying the property tax,cities should address the responsibility for paying the property taxes in the lease. 3. Liability issues See LMC information Whether a long-term lease or an afternoon rental, a city should consider the memos,LMCIT Model Community Center Rental liability exposure that it may have through the lease agreement. Ownership Documents;LMCIT of a building is one basis for possible liability if a person has a claim related Coverage Guide,Section III- T-2,Events sponsored by to the building. private groups. League of Minnesota Cities Information Memo: 1/22/2015 Purchase and Sale of Real Property Page 12