Fillmore County; payment of disparity reduction aid to jurisdictions required, and money appropriated.

2025-2026 Regular Session Introduced by Greg Davids

The bill requires and funds disparity reduction payments to local jurisdictions, including Fillmore County, establishing the appropriation and process for distributing the funds.

Introduction and first reading, referred to Taxes

#counties-specific #taxation

Overview

HF 4777, introduced in the 2025-2026 Minnesota legislative session and referred to the House Taxes committee, is sponsored (as a co-sponsor) by Greg Davids. The bill focuses on the distribution of disparity reduction aid to local jurisdictions, with a specific emphasis on Fillmore County, and articulates appropriations intended to fund these payments.

Purpose and intent

The primary aim is to ensure that disparity reduction aid is paid to jurisdictions (local units of government) as required, with Fillmore County highlighted as a jurisdiction subject to payment.

The bill also appropriates funds to enable these payments, establishing a financial mechanism to support the intended disparity reduction payments.

Key provisions and changes

Mandatory payments: The bill requires the payment of disparity reduction aid to applicable jurisdictions, including Fillmore County. This creates a formal obligation for distributing funds to the local government entities that qualify.

Appropriations: The bill appropriates a specified amount of state funds to cover the disparity reduction payments. The exact dollar figures would be defined in the bill’s appropriations section.

Administration and process: The bill would likely define how the payments are calculated, the entities responsible for distribution, and any timelines for when payments must be issued. While the exact formulas and procedures are not detailed in the summary available here, such provisions typically cover eligibility, calculation methodology, and payment schedules.

Jurisdiction scope: Although Fillmore County is named, the bill’s language may address disparity reduction payments to other qualified jurisdictions as well, consistent with existing state disparity reduction programs.

Who is affected

Local governments: Fillmore County, Minnesota, and potentially other qualifying counties or jurisdictions that receive disparity reduction aid under Minnesota law.

State government: State agencies responsible for distributing and administering disparity reduction funds, including the department or office overseeing tax and local government financing.

Taxpayers and residents: Increased clarity and predictability in funding for local services supported by disparity reduction aid.

Procedural and timeline aspects

Introduction and referral: HF 4777 was introduced and referred to the House Taxes committee on March 26, 2026.

Next steps: If advanced, the bill would proceed through committee hearings, potential amendments, and floor votes in the House, followed by consideration in the Senate (with its own committee process) and potential enactment into law.

Effective date: The bill would specify when the disparity reduction payments and associated appropriations take effect, typically tied to fiscal year timelines (e.g., starting July 1 of a given year) or another defined effective date.

Notes

The available summary does not include detailed numeric appropriation amounts, eligibility criteria, or exact payment formulas. For a complete understanding, consult the bill’s text, fiscal note, and any accompanying analyses.

As with all appropriations-related bills, final impact depends on enacted language, potential amendments, and the annual state budget process.

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