HF 599

as introduced - 83rd Legislature (2003 - 2004) Posted on 12/15/2009 12:00am

  1.1                          A bill for an act 
  1.2             relating to the city of Duluth; specifying the use of 
  1.3             certain proceeds of taxes on receipts by restaurants, 
  1.4             hotels, and motels; amending Laws 1980, chapter 511, 
  1.5             section 1, subdivision 2, as amended; Laws 1980, 
  1.6             chapter 511, section 2, as amended. 
  1.7   BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.8      Section 1.  Laws 1980, chapter 511, section 1, subdivision 
  1.9   2, as amended by Laws 1991, chapter 291, article 8, section 22, 
  1.10  and Laws 1998, chapter 389, article 8, section 25, is amended to 
  1.11  read: 
  1.12     Subd. 2.  Notwithstanding Minnesota Statutes, Section 
  1.13  477A.016, or any other law, ordinance, or city charter provision 
  1.14  to the contrary, the city of Duluth may, by ordinance, impose an 
  1.15  additional sales tax of up to one and one-half percent on sales 
  1.16  transactions which are described in Minnesota Statutes 2000, 
  1.17  Section 297A.01, Subdivision 3, Clause (c).  When the city 
  1.18  council determines that the taxes imposed under this subdivision 
  1.19  and under section 26 at a rate of one-half of one percent have 
  1.20  produced revenue sufficient to pay (1) the debt service on bonds 
  1.21  in a principal amount of $8,000,000 issued for capital 
  1.22  improvements to the Duluth Entertainment and Convention Center, 
  1.23  and (2) to pay debt service on outstanding bonds originally 
  1.24  issued in the principal amount of $4,970,000 to finance capital 
  1.25  improvements to the Great Lakes Aquarium since the imposition of 
  1.26  the taxes at the rate of one and one-half percent, the rate of 
  2.1   the tax under this subdivision is reduced to one percent.  The 
  2.2   imposition of this tax shall not be subject to voter referendum 
  2.3   under either state law or city charter provisions.  
  2.4      Section 2.  Laws 1980, chapter 511, section 2, as amended 
  2.5   by Laws 1998, chapter 389, article 8, section 26, is amended to 
  2.6   read: 
  2.7      Sec. 2.  [CITY OF DULUTH; TAX ON RECEIPTS BY HOTELS AND 
  2.8   MOTELS.] 
  2.9      Notwithstanding Minnesota Statutes, Section 477A.016, or 
  2.10  any other law, or ordinance, or city charter provision to the 
  2.11  contrary, the city of Duluth may, by ordinance, impose an 
  2.12  additional tax of one and one-half percent upon the gross 
  2.13  receipts from the sale of lodging for periods of less than 30 
  2.14  days in hotels and motels located in the city.  When the city 
  2.15  council determines that the taxes imposed under this section and 
  2.16  section 25 at a rate of one-half of one percent have produced 
  2.17  revenue sufficient to pay (1) the debt service on bonds in a 
  2.18  principal amount of $8,000,000 issued for capital improvements 
  2.19  for the Duluth Entertainment and Convention Center, and (2) to 
  2.20  pay the debt service on outstanding bonds originally issued in 
  2.21  the principal amount of $4,970,000 to finance capital 
  2.22  improvements to the Great Lakes Aquarium since the imposition of 
  2.23  the taxes at the rate of one and one-half percent, the rate of 
  2.24  the tax under this section is reduced to one percent.  The tax 
  2.25  shall be collected in the same manner as the tax set forth in 
  2.26  the Duluth city charter, section 54(d), paragraph one.  The 
  2.27  imposition of this tax shall not be subject to voter referendum 
  2.28  under either state law or city charter provisions. 
  2.29     Sec. 3.  [EFFECTIVE DATE.] 
  2.30     Sections 1 and 2 are effective the day after the governing 
  2.31  body of the city of Duluth and its chief clerical officer comply 
  2.32  with Minnesota Statutes, section 645.021, subdivisions 2 and 3.