HF 78

as introduced - 84th Legislature, 2005 1st Special Session (2005 - 2005) Posted on 12/15/2009 12:00am

A bill for an act
relating to natural resources; establishing a
Minnesota future resources fund; imposing a cigarette
fee to fund natural resources acceleration; amending
Minnesota Statutes 2004, section 325D.32, subdivision
9; proposing coding for new law in Minnesota Statutes,
chapter 116P.

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

Section 1.

new text begin [116P.17] FUND CREATION.
new text end

new text begin The commissioner of finance must create a Minnesota future
resources fund for deposit of revenue under section 116P.19.
new text end

Sec. 2.

new text begin [116P.18] MINNESOTA FUTURE RESOURCES FUND.
new text end

new text begin Subdivision 1. new text end

new text begin Revenue sources. new text end

new text begin The money in the
Minnesota future resources fund consists of revenue credited to
it under section 116P.19, subdivision 8.
new text end

new text begin Subd. 2. new text end

new text begin Interest. new text end

new text begin The interest attributable to the
investment of the Minnesota future resources fund must be
credited to the fund.
new text end

new text begin Subd. 3. new text end

new text begin Revenue purposes. new text end

new text begin Revenue in the Minnesota
future resources fund may be spent for purposes of natural
resources acceleration and outdoor recreation upon
recommendation of the Legislative Commission on Minnesota
Resources, including, but not limited to, the development,
maintenance, and operation of the state outdoor recreation
system under chapter 86A and regional recreation open space
systems as defined under section 473.351, subdivision 1.
new text end

Sec. 3.

new text begin [116P.19] MINNESOTA FUTURE RESOURCES FEE.
new text end

new text begin Subdivision 1. new text end

new text begin Definitions. new text end

new text begin The definitions under
section 297F.01 apply to this section.
new text end

new text begin Subd. 2. new text end

new text begin Fee imposed. new text end

new text begin A fee is imposed upon the sale of
cigarettes in this state, upon having cigarettes in possession
in this state with intent to sell, upon any person engaged in
business as a distributor, and upon the use or storage by
consumers of cigarettes. The fee is imposed at the following
rates:
new text end

new text begin (1) on cigarettes weighing not more than three pounds per
thousand, one mill on each cigarette; and
new text end

new text begin (2) on cigarettes weighing more than three pounds per
thousand, two mills on each cigarette.
new text end

new text begin Subd. 3. new text end

new text begin Payment. new text end

new text begin A distributor must pay the fee at the
same time and in the same manner as provided for payment of tax
under chapter 297F.
new text end

new text begin Subd. 4. new text end

new text begin Fee on use of unstamped cigarettes. new text end

new text begin Any person,
other than a distributor, that purchases or possesses cigarettes
that have not been stamped and on which the fee imposed under
this section has not been paid is liable for the fee under this
section on the possession or use of those cigarettes.
new text end

new text begin Subd. 5. new text end

new text begin Administration. new text end

new text begin The audit, assessment,
interest, appeal, refund, penalty, enforcement, administrative,
and collection provisions of chapters 270C and 297F apply to the
fee imposed under this section.
new text end

new text begin Subd. 6. new text end

new text begin Cigarette stamp. new text end

new text begin (a) The stamp in section
297F.08 must be affixed to each package and is prima facie
evidence that the fee imposed by this section has been paid.
new text end

new text begin (b) Notwithstanding any other provisions of this section,
the fee due on the return is based upon actual stamps purchased
during the reporting period.
new text end

new text begin Subd. 7. new text end

new text begin License revocation. new text end

new text begin The commissioner of revenue
may revoke or suspend the license of a distributor for failure
to pay the fee or otherwise comply with the requirements under
this section. The provisions and procedures under section
297F.04 apply to a suspension or revocation under this
subdivision.
new text end

new text begin Subd. 8. new text end

new text begin Deposit of revenues. new text end

new text begin The commissioner of
revenue shall deposit the revenues from the fee under this
section in the Minnesota future resources fund.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2005.
new text end

Sec. 4.

Minnesota Statutes 2004, section 325D.32,
subdivision 9, is amended to read:

Subd. 9.

Basic cost of cigarettes.

"Basic cost of
cigarettes" means the gross invoice cost of cigarettes to the
wholesaler or retailer plus the full face value of any stamps
which may be required by any cigarette tax new text begin or fee new text end act of this
state, unless included by the manufacturer in the list price.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2005.
new text end