SF 3788

Introduction - 94th Legislature (2025 - 2026)

Posted on 02/24/2026 10:02 a.m.

A bill for an act
relating to taxation; sales and use; authorizing Isanti County to impose a local sales
tax.

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

Section 1. new text begin ISANTI COUNTY; TAXES AUTHORIZED.
new text end

new text begin Subdivision 1. new text end

new text begin Sales and use tax authorization. new text end

new text begin Notwithstanding Minnesota Statutes,
sections 297A.99, subdivision 1, and 477A.016, or any other law, ordinance, or city charter,
and if approved by the voters at an election as required under Minnesota Statutes, section
297A.99, subdivision 3, Isanti County may impose, by ordinance, a sales and use tax of
one-quarter of one percent for the purposes specified in subdivision 2. Except as otherwise
provided in this section, the provisions of Minnesota Statutes, section 297A.99, govern the
imposition, administration, collection, and enforcement of the tax authorized under this
subdivision. The tax imposed under this subdivision is in addition to any local sales and
use tax imposed under any other special law.
new text end

new text begin Subd. 2. new text end

new text begin Use of sales and use tax revenues. new text end

new text begin The revenues derived from the tax authorized
under subdivision 1 must be used by Isanti County to pay the costs of collecting and
administering the tax, and to finance up to $25,000,000 for construction of the new highway
department facility, as well as the associated bond costs for any bonds issued under
subdivision 3.
new text end

new text begin Subd. 3. new text end

new text begin Bonding authority. new text end

new text begin (a) Isanti County may issue bonds under Minnesota Statutes,
chapter 475, to finance all or a portion of the costs of the project authorized in subdivision
2. The aggregate principal amount of bonds issued under this subdivision may not exceed
$25,000,000, plus an amount applied to the payment of costs of issuing the bonds.
new text end

new text begin (b) The bonds may be paid from or secured by any money available to the county,
including the tax authorized under subdivision 1. The issuance of bonds under this
subdivision is not subject to Minnesota Statutes, sections 275.60 and 275.61.
new text end

new text begin (c) The bonds are not included in computing any debt limitation applicable to the county.
Any levy of taxes under Minnesota Statutes, section 475.61, to pay principal of and interest
on the bonds is not subject to any levy limitation. A separate election to approve the bonds
under Minnesota Statutes, section 475.58, is not required.
new text end

new text begin Subd. 4. new text end

new text begin Termination of taxes. new text end

new text begin The tax imposed under subdivision 1 expires at the
earlier of: (1) 25 years after the tax is first imposed; or (2) when the county determines that
it has received from this tax $25,000,000 to fund the project listed in subdivision 2, plus an
amount sufficient to pay costs related to issuance of any bonds authorized under subdivision
3, including interest on the bonds. Except as otherwise provided in Minnesota Statutes,
section 297A.99, subdivision 3, paragraph (f), any money remaining after payment of the
allowed costs due to timing of the termination of the tax under Minnesota Statutes, section
297A.99, subdivision 12, shall be placed in the county's general fund. The tax imposed
under subdivision 1 may expire at an earlier time if the county determines by ordinance.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day after the governing body of Isanti
County and its chief clerical officer comply with Minnesota Statutes, section 645.021,
subdivisions 2 and 3.
new text end