The Legislature has Adjourned. Now it's Time to Look Ahead with Housing First this Thursday
After five months of legislative action, the session adjourned yesterday just minutes before the midnight constitutional mandate. Overall the results for BATC were positive with one important exception. As we expected from the outset, we faced consistent waves of problematic legislation throughout the session. We were able to stop, redirect, and modify most of the proposals we opposed. The disappointment of the session undoubtedly was not being able to pass a sprinkler mandate prohibition into law.
Our efforts on the sprinkler issue were strategic, thorough, and aided by hundreds of BATC members who helped carry our message to lawmakers via letters, emails, one-on-one visits and phone calls. Our message was heard, and bi-partisan support remains strong in both the House and Senate. Over the last two years, the Minnesota Senate has three times voted strongly to ban sprinklers, the Minnesota House has twice done the same and the Department of Labor Codes Advisory Committee has also twice voted to remove the mandate from the proposed code. Unfortunately, Governor Dayton remains staunchly opposed to our efforts to establish a policy which prohibits any sprinkler mandate in the code, and overcoming the Governor has been challenging.
Major 2013 Issues:
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Sprinklers: The sprinkler mandate prohibition language was placed into two bills by 2012 BATC Legislator of the Year, Sen. David Senjem (R-Rochester), only to be lost in conference committee reconciliation both times amidst opposition from the Governor and Department of Labor and Industry. Now, this issue moves to the Administrative Law Judge process once the code is promulgated, which we expect will occur in the next several weeks. We’ll keep you updated as events unfold.
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Park Fees: In a major victory on legislation that BATC first initiated well over a year ago, fair-market value protections for developer/builders on park fees were passed by the legislature and sent to Governor for his signature. In related action, a ‘new’ park facilities fee initiative was stopped from advancing.
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Street Improvement Districts: Down to the wire, the effort to create a new revenue stream for local governments dedicated to road improvements failed at the eleventh hour. The proposal would have given cities the right to create a taxing district for street maintenance and improvements. We had earlier successfully negotiated an exemption for developed lots and new projects that ensured they would be exempted until at least three years after the home was constructed and occupied. This issue will return in 2014.
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Design Professionals Licensing: One of the biggest remodeling issues heard this session, it was addressed for information only in 2013. This issue will be back in 2014 as Interior Designers continue their licensure push.
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Taxes: Income tax on top two percent goes up; as do cigarette taxes and some Business-to-Business (B2B) taxes for warehousing & storage (phased-in 2014). Gas tax and broader B2B sales tax were not adopted. The Governor is expected to sign this into law.
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Radon: Mandatory radon testing of all homes did not pass; however risks of radon are now required to be disclosed to all homeowners as a part of the Minnesota Department of Health’s Healthy Homes Initiative.
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Indemnification: Peace in the valley was achieved between general contractors, sub-contractors, and insurance companies on a bill that passed which clarifies risk transfer practices without upsetting the established industry practices in this area.
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Rochester Destination Medical Center: BATC was pleased to lend our name to the list of supportive organizations who successfully encouraged the legislature to make a strategic infrastructure investment in Rochester that will keep the Mayo Clinic a vibrant Minnesota institution while creating thousands of construction jobs.
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Coming Soon: The comprehensive BATC 2013 Legislative Review will feature deeper looks at these issues and more. Look for this to be available digitally in early June and in print later that same month.
- Housing First: To learn more about the session and the political ramifications that have begun rippling towards the 2014 elections, join us at the Housing First event on Thursday, May 23rd from 4-6 at BATC. Light appetizers and drinks will be served, admission is FREE.
