HF 516

as introduced - 89th Legislature (2015 - 2016) Posted on 02/23/2015 03:40pm

A bill for an act
relating to taxes; sales and use; allocating the estimated revenue from the sale
of motor vehicle tires to the highway user tax distribution fund; amending
Minnesota Statutes 2014, section 297A.94.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

Section 1.

Minnesota Statutes 2014, section 297A.94, is amended to read:

297A.94 DEPOSIT OF REVENUES.

(a) Except as provided in this section, the commissioner shall deposit the revenues,
including interest and penalties, derived from the taxes imposed by this chapter in the state
treasury and credit them to the general fund.

(b) The commissioner shall deposit taxes in the Minnesota agricultural and economic
account in the special revenue fund if:

(1) the taxes are derived from sales and use of property and services purchased for
the construction and operation of an agricultural resource project; and

(2) the purchase was made on or after the date on which a conditional commitment
was made for a loan guaranty for the project under section 41A.04, subdivision 3.

The commissioner of management and budget shall certify to the commissioner the date
on which the project received the conditional commitment. The amount deposited in
the loan guaranty account must be reduced by any refunds and by the costs incurred by
the Department of Revenue to administer and enforce the assessment and collection of
the taxes.

(c) The commissioner shall deposit the revenues, including interest and penalties,
derived from the taxes imposed on sales and purchases included in section 297A.61,
subdivision 3, paragraph (g), clauses (1) and (4), in the state treasury, and credit them
as follows:

(1) first to the general obligation special tax bond debt service account in each fiscal
year the amount required by section 16A.661, subdivision 3, paragraph (b); and

(2) after the requirements of clause (1) have been met, the balance to the general fund.

(d) The commissioner shall deposit the revenues, including interest and penalties,
collected under section 297A.64, subdivision 5, in the state treasury and credit them to the
general fund. By July 15 of each year the commissioner shall transfer to the highway user
tax distribution fund an amount equal to the excess fees collected under section 297A.64,
subdivision 5, for the previous calendar year.

new text begin (e) Beginning June 30, 2016, and by June 30 of every fourth year thereafter, the
commissioner will estimate the percentage of total sales tax revenues collected in the
previous calendar year that is attributable to sales and purchases of motor vehicle tires.
For purposes of this paragraph, "motor vehicle tire" means any tire of the type used on
highway vehicles if wholly or partially made of rubber and if marked according to federal
regulations for highway use. The amount of sales tax revenue estimated to be collected
from the sales and purchase of motor vehicle tires in any year is equal to the most recently
calculated percentage estimated under this paragraph multiplied by the total sales tax
revenues collected in the calendar year, including penalties and interest, and minus any
refunds. By July 15 of each calendar year, the following amount shall be transferred by
the commissioner from the general fund to the highway user tax distribution fund:
new text end

new text begin (1) by July 15, 2016, one-third of the estimated revenues collected in tax from the
sale or purchase of motor vehicle tires during the previous calendar year;
new text end

new text begin (2) by July 15, 2017, two-thirds of the estimated revenues collected in tax from the
sale or purchase of motor vehicle tires during the previous calendar year; and
new text end

new text begin (3) by July 15, 2018, and every July 15 thereafter, all of the estimated revenues
collected in tax from the sale or purchase of motor vehicle tires during the previous
calendar year.
new text end

deleted text begin (e) deleted text end new text begin (f) new text end 72.43 percent of the revenues, including interest and penalties, transmitted
to the commissioner under section 297A.65, must be deposited by the commissioner
in the state treasury as follows:

(1) 50 percent of the receipts must be deposited in the heritage enhancement account
in the game and fish fund, and may be spent only on activities that improve, enhance, or
protect fish and wildlife resources, including conservation, restoration, and enhancement
of land, water, and other natural resources of the state;

(2) 22.5 percent of the receipts must be deposited in the natural resources fund, and
may be spent only for state parks and trails;

(3) 22.5 percent of the receipts must be deposited in the natural resources fund, and
may be spent only on metropolitan park and trail grants;

(4) three percent of the receipts must be deposited in the natural resources fund, and
may be spent only on local trail grants; and

(5) two percent of the receipts must be deposited in the natural resources fund,
and may be spent only for the Minnesota Zoological Garden, the Como Park Zoo and
Conservatory, and the Duluth Zoo.

deleted text begin (f) deleted text end new text begin (g) new text end The revenue dedicated under paragraph deleted text begin (e) deleted text end new text begin (f) new text end may not be used as a substitute
for traditional sources of funding for the purposes specified, but the dedicated revenue
shall supplement traditional sources of funding for those purposes. Land acquired with
money deposited in the game and fish fund under paragraph deleted text begin (e) deleted text end new text begin (f) new text end must be open to public
hunting and fishing during the open season, except that in aquatic management areas or
on lands where angling easements have been acquired, fishing may be prohibited during
certain times of the year and hunting may be prohibited. At least 87 percent of the money
deposited in the game and fish fund for improvement, enhancement, or protection of fish
and wildlife resources under paragraph deleted text begin (e) deleted text end new text begin (f) new text end must be allocated for field operations.

deleted text begin (g) deleted text end new text begin (h) new text end The revenues deposited under paragraphs (a) to deleted text begin (f) deleted text end new text begin (g) new text end do not include
the revenues, including interest and penalties, generated by the sales tax imposed
under section 297A.62, subdivision 1a, which must be deposited as provided under the
Minnesota Constitution, article XI, section 15.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective for sales and purchases made after
January 1, 2015.
new text end