HF 520

as introduced - 84th Legislature (2005 - 2006) Posted on 12/15/2009 12:00am

A bill for an act
relating to the city of Clearwater; authorizing the
city to impose a sales and use tax.

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

Section 1. new text begin CITY OF CLEARWATER.
new text end

new text begin Subdivision 1. new text end

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

new text begin Notwithstanding Minnesota Statutes, section 477A.016, or any
other provision of law, ordinance, or city charter, pursuant to
the approval of the city voters at the next general election or
at a special election held for this purpose, the city of
Clearwater may impose by ordinance a sales and use tax of
one-half of one percent for the purposes specified in
subdivision 2. The provisions of Minnesota Statutes, section
297A.99, govern the imposition, administration, collection, and
enforcement of the tax authorized under this subdivision.
new text end

new text begin Subd. 2. new text end

new text begin Use of revenues. new text end

new text begin Revenues received from the tax
authorized by subdivision 1 must be used for the cost of
collecting and administering the tax and to pay all or part of
the capital or administrative costs of the development,
acquisition, construction, and improvement of parks, trails,
parkland, open space, and land and buildings for a regional
community and recreation center. Authorized expenses include,
but are not limited to, acquiring property, paying construction
expenses related to the development of these facilities and
improvements, and securing and paying debt service on bonds or
other obligations issued to finance acquisition, construction,
improvement, or development.
new text end

new text begin Subd. 3. new text end

new text begin Bonds. new text end

new text begin Pursuant to the approval of the city
voters to impose the tax authorized in subdivision 1, the city
of Clearwater may issue without an additional election general
obligation bonds of the city in an amount not to exceed
$3,000,000 to pay capital and administrative expenses for the
acquisition, construction, improvement, and development of the
projects specified in subdivision 2. The debt represented by
the bonds must not be included in computing any debt limitations
applicable to the city, and the levy of taxes required by
Minnesota Statutes, section 475.61, to pay the principal or any
interest on the bonds must not be subject to any levy
limitations or be included in computing or applying any levy
limitation applicable to the city.
new text end

new text begin Subd. 4. new text end

new text begin Termination of tax. new text end

new text begin The tax imposed under
subdivision 1 expires when the Clearwater City Council
determines that the amount described in subdivision 3 has been
received from the tax to finance the capital and administrative
costs for acquisition, construction, improvement, and
development of the projects specified in subdivision 2 and to
repay or retire at maturity the principal, interest, and premium
due on any bonds issued for the projects under subdivision 3.
Any funds remaining after completion of the projects specified
in subdivision 2 and retirement or redemption of the bonds may
be placed in the general fund of the city. The tax imposed
under subdivision 1 may expire at an earlier time if the city so
determines by ordinance.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day after
compliance by the governing body of the city of Clearwater with
Minnesota Statutes, section 645.021, subdivision 3.
new text end