HF 327

as introduced - 79th Legislature (1995 - 1996) Posted on 12/15/2009 12:00am

  1.1                          A bill for an act 
  1.2             relating to taxation; indexing the rate of taxation on 
  1.3             gasoline; allocating 23 percent of proceeds from motor 
  1.4             vehicle excise tax to the transit assistance fund; 
  1.5             amending Minnesota Statutes 1994, sections 296.02, 
  1.6             subdivision 1b, and by adding a subdivision; and 
  1.7             297B.09, subdivision 1. 
  1.8   BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.9      Section 1.  Minnesota Statutes 1994, section 296.02, 
  1.10  subdivision 1b, is amended to read: 
  1.11     Subd. 1b.  [RATES IMPOSED.] The gasoline excise tax is 
  1.12  imposed at the following rate:  
  1.13     For the period on and after May July 1, 1988 1995 to March 
  1.14  31, 1996, gasoline is taxed at the rate of 20 25 cents per 
  1.15  gallon.  After March 31, 1996, gasoline is taxed at a rate 
  1.16  determined annually under subdivision 1c. 
  1.17     Sec. 2.  Minnesota Statutes 1994, section 296.02, is 
  1.18  amended by adding a subdivision to read: 
  1.19     Subd. 1c.  [ANNUAL GASOLINE TAX RATE ADJUSTMENT.] (a) 
  1.20  Beginning in 1996 and annually thereafter, before April 1 of 
  1.21  each year the commissioner of revenue shall adjust the rate of 
  1.22  the gasoline excise tax.  The new rate per gallon shall be 
  1.23  calculated by multiplying the rate in effect at the time of the 
  1.24  calculation by an amount obtained under paragraph (b).  The new 
  1.25  rate must be rounded to the nearest 0.1 cent and is effective on 
  1.26  April 1 of each year. 
  2.1      (b) Divide the annual average United States Consumer Price 
  2.2   Index for all urban consumers, United States city average, as 
  2.3   determined by the United States Department of Labor for the 
  2.4   previous year by that annual average for the year before the 
  2.5   previous year. 
  2.6      Sec. 3.  Minnesota Statutes 1994, section 297B.09, 
  2.7   subdivision 1, is amended to read: 
  2.8      Subdivision 1.  [GENERAL FUND SHARE.] (a) Money collected 
  2.9   and received under this chapter must be deposited in the state 
  2.10  treasury and credited to the general fund.  The amounts 
  2.11  collected and received shall be credited as provided in this 
  2.12  subdivision, and transferred from the general fund on July 15 
  2.13  and February 15 of each fiscal year.  The commissioner of 
  2.14  finance must make each transfer based upon the actual receipts 
  2.15  of the preceding six calendar months and include the interest 
  2.16  earned during that six-month period.  The commissioner of 
  2.17  finance may establish a quarterly or other schedule providing 
  2.18  for more frequent payments to the transit assistance fund if the 
  2.19  commissioner determines it is necessary or desirable to provide 
  2.20  for the cash flow needs of the recipients of money from the 
  2.21  transit assistance fund.  
  2.22     (b) Twenty-five Twenty-three percent of the money collected 
  2.23  and received under this chapter after June 30, 1990, and before 
  2.24  July 1, 1991, 1995, must be transferred to the highway user tax 
  2.25  distribution fund and the transit assistance fund for 
  2.26  apportionment as follows:  75 percent must be transferred to the 
  2.27  highway user tax distribution fund for apportionment in the same 
  2.28  manner and for the same purposes as other money in that fund, 
  2.29  and the remaining 25 percent of the money must be transferred to 
  2.30  the transit assistance fund to be appropriated to the 
  2.31  commissioner of transportation for transit assistance within the 
  2.32  state and to the metropolitan council.  
  2.33     (c) The distributions under this subdivision to the highway 
  2.34  user tax distribution fund until June 30, 1991, and to the trunk 
  2.35  highway fund thereafter, must be reduced by the amount necessary 
  2.36  to fund the appropriation under section 41A.09, subdivision 1.  
  3.1   For the fiscal years ending June 30, 1988, and June 30, 1989, 
  3.2   the commissioner of finance, before making the transfers 
  3.3   required on July 15 and January 15 of each year, shall estimate 
  3.4   the amount required to fund the appropriation under section 
  3.5   41A.09, subdivision 1, for the six-month period for which the 
  3.6   transfer is being made.  The commissioner shall then reduce the 
  3.7   amount transferred to the highway user tax distribution fund by 
  3.8   the amount of that estimate.  The commissioner shall reduce the 
  3.9   estimate for any six-month period by the amount by which the 
  3.10  estimate for the previous six-month period exceeded the amount 
  3.11  needed to fund the appropriation under section 41A.09, 
  3.12  subdivision 1, for that previous six-month period.  If at any 
  3.13  time during a six-month period in those fiscal years the amount 
  3.14  of reduction in the transfer to the highway user tax 
  3.15  distribution fund is insufficient to fund the appropriation 
  3.16  under section 41A.09, subdivision 1, for that period, the 
  3.17  commissioner shall transfer to the general fund from the highway 
  3.18  user tax distribution fund an additional amount sufficient to 
  3.19  fund the appropriation for that period, but the additional 
  3.20  amount so transferred to the general fund in a six-month period 
  3.21  may not exceed the amount transferred to the highway user tax 
  3.22  distribution fund for that six-month period. 
  3.23     Sec. 4.  [EFFECTIVE DATE.] 
  3.24     Sections 1 to 3 are effective July 1, 1995, and sections 1 
  3.25  and 2 apply to gasoline in distributor storage on and after that 
  3.26  date.