89-185 WHITE - C�TV CIERK �+ _
PINK - FINANCE .��� G I TY OF SA I NT PA U L Council Q` /�J�/�
CANARV - DEPARTMENT ,;� � Flle NO. Q�� � ✓
BLUE - MAVOR \��
- Cou cil R lut 'o
Presented By
� �
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Referred To Committee: te
Out of Committee By te
WHEREAS the mor gage registry and deed tax was not applied to
local units of overnment until 1987 ; and
WHEREAS , the 19�7 Legislature amended the law by now requiring
local units of �overnment to pay the taxes ; and
WHEREAS , the mo tgage registry tax and the deed tax were
increased appre iably; and
WHEREAS , the st te' s commitment to providing funding for a
trust fund dedi ated to promoting affordable housing ; and
WHEREAS , the fe eral government has dramatically reduced
federal funding to promote the building and maintenance of
affordable housing;
THEREFORE, BE IT RESOLVED, that the City of Saint Paul
supports legisl tion that will dedicate the mortgage registry
and deed tax to a housing and redevelopment trust fund.
COUNCIL MEMBERS
Yeas Nays Requested by Department of:
Dimond �_
��s. I�� In Favor
coswitz
Rettman � B
Scheibel �_ Against Y
r-�6ewrrn
�''�°° FEB - ? 1989
Form Approved by City Attorney
Adopted by Council: Date
Certified Pa: e il Se r BY ��`�"� ��' -���� f�Z�J ��
By � �
Approv y �Vlavor: Da � � ' ���� Appro d by Mayor for Su i Council
B
PI1�L1S#�D :--,- ;- 1 _;_ 1989
� ' ' BR �FI�G_F�PEP__'i�hTG.AGE rEGISTRI` r'�VD DEED TAX ��
. - - �� '
ISSliL �
'I'1-ie 1987 St�ate Legislature amended tihe mortgage re�istry a�id
deed tates ! ti�� requiring local uni_ts of government to pay tl�ie
t;a�es . In i:he same ,year, the Legislature i_ncreased t:he
morLgage r gistrv ta� from l:i cents to `L3 cents upon each $100
or� fractio ,of ttie mortga�e ' s principle deUt . Iii addition,
the deed t� �: iilcreased from $2 . 21 Per �1 , 000 of �•alue to $3 . 30
per $1 , 000 of �-al.uc . The deed and mortga,�e registr�� taxes are
noca apport ' oned mont}�lv to the counl:�� in Lhe following
manner:
- 97% of ttie receipLs attributable to the ta::es are credited
to the county welfare costs
- this a�rlount is deducted from the count5' s claim for
Faelfar� reirnbursement
STATUS
If a count� collects $100, 000 per month in deed and mortgage
registry t xes, and claims a monthly welfare reimbursement of
$200 , 000 , i�he state would reimburse the county as follows:
Claim � $200 ,000
97% of tax s 97 .000
State reiml�ursement $103 , 000
The tax re�eipts remain with the county of collection. The
tax procee s are used to reduce the state' s welfare pa,yments
to the cour�ty.
CITY OF SAINT PAUL POSITION
Since stat funds for statewide housing trust funds are
extremelv �limited, the City of Saint Paul supports legislation
� that would dedicate the mortgage registry and deed tat to a
housing ancl redevelopment trust fund. The trust fund would be
used by houjsing and redevelopment authorities.
� �•�� � � ��
.
i 8�' �
�
.
WHEREAS th mortgage registr�� and deed ta� was not applied to
local unit of government until 1987 ; and
WHEREAS , tl�e 1987 Legislature amended the law by now requiring
local unit� of government to pay the taxes ; and _
WHEREAS , t�e mortgage registry tax and the deed tax were
increased ppreciably; and
WHEREAS, t e state' s commitment to providing funding for a
trust fund dedicated to promoting affordable housing; and
WHEREAS, t e federal government has dramatically reduced
federal fu ding to promote the building and maintenance of
affordable housing;
� THEREFORE, IBE IT RESOLVED, that the City of Saint Paul
� supports 1 gislation that will dedicate the mortgage registry
and deed t x to a housing and redevelopment trust fund.
�
�
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I
, 9�i��
� S
COMMITTEE REPORT - City Council Legislation Committee
Page Two
January 23, 1989
Recommenda ions of the Governor's Commission on Affordable Housing
COMMITTEE ECOMMENDED APPROVAL
Interest R 'duction Program
COMMITTEE ECOMMENDED APPROVAL
ed Tsx
. � t'�"�'.�_�'�
Fiscal Dis arities
COMMITTEE ECOMMENDED APPROVAL
Category: En ironment and ualit of Life
Regional P rk Operation and Maintenance Funding
COMMITTEE ECOMMENDED APPROVAL
Regional P rk Capital Improvement Funding
COMMITTEE ECOMMENDED APPROVAL
CSO Fundin
COMMITTEE ECOrIIr1ENDED APPROVAL
Solid Wast
COMMITTEE ECOMMENDED APPROVAL
Water Rate
COMMITTEE ECOMMENDED APPROVAL
Category: Tra s ortation
Airport La d-Banking
COMMITTEE ECOMMENDED APPROVAL, AS AMENDED
Transporta ion, Transit and Light Rail Transit Funding
COMMITTEE ECOMMENDED APPROVAL, AS AMENDED (4-1 vote)
Category: Mis ellaneous
Saint Paul School Board
COMMITTEE ECOMMENDED APPROVAL
Comparable Worth
COMMITTEE ECOMMENDED APPROVAL
Fingerpri ting of Firefighters
COMMITTEE ECOMMENDED APPROVAL
THE FOLLOWING MAT�ERS LISTED FOR CONSIDERATION AT THE MEETING WERE LAID OVER
AND WILL BE DISCU SED AT THE FEBRUARY 6, 1989, MEETING OF THE COMMITTEE:
�jyrl1f�g� CITY O F SAINT PAUL
�r�d a,;
OFF`ICF OF TITF, CITY COIINCIL
James Scheibel, Chair
Committee-of-the-Whole
JAMES SCHEfBEL
Council President
Date: January 23, 1989
COMMITTEE REPORT
To: SAINT PAUL CITY COUNCIL
From: CITY COUNCIL LEGISLATION COMMITTEE
1. "A" Priority Issue
Fire Protection Sprinklers
COMMITTEE RECOMMENDED NO ACTION BE TAKEN
2. Support Issues
Category: Health and Human Services
Community Health Services Funding
COMMITTEE RECOMMENDED APPROVAL
Co�unity Residential Facilities
COMMITTEE RECOMMENDED APPROVAL
Child Care
COMMITTEE RECOMMENDED APPROVAL
Alternate Test Site Funding (AIDS)
COMMITTEE RECOMMENDED APPROVAL
Minnesota Health Care Access
COMMITTEE RECOMMENDED APPROVAL
Maternal Child Health Funding
COMMITTEE RECOMMENDED APPROVAL
Category: Economic Development and Housing
Arts High School Funding
COMMITTEE RECOMMENDED APPROVAL
CITY HALL SEVENTH FLOOR SAINT PAUL, MINNESOTA 55102 612/298-5679
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