HF 631

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

A bill for an act
relating to the city of Winona; authorizing the city
to impose a sales and use tax and issue general
obligation bonds.

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

Section 1. new text begin CITY OF WINONA; TAXES AUTHORIZED.
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, if approved by the voters pursuant to Minnesota
Statutes, section 297A.99, the city of Winona may impose by
ordinance a sales and use tax of one-half of one percent for the
purposes specified in subdivision 3. 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 Excise tax authorized. new text end

new text begin Notwithstanding
Minnesota Statutes, section 477A.016, or any other contrary
provision of law, ordinance, or city charter, the city of Winona
may impose by ordinance, for the purposes specified in
subdivision 3, an excise tax of up to $20 per motor vehicle, as
defined by ordinance, purchased or acquired from any person
engaged within the city in the business of selling motor
vehicles at retail.
new text end

new text begin Subd. 3. new text end

new text begin Use of revenues. new text end

new text begin Revenues received from the
taxes authorized by subdivisions 1 and 2 must be used to pay all
or part of the capital costs of transportation, cultural, or
library projects located within the city, including securing or
paying debt service on bonds issued under subdivision 4, for the
transportation, cultural, or library projects and to pay the
cost of collecting and administering the tax. Authorized costs
include, but are not limited to, acquiring property and paying
construction and engineering costs related to the projects.
new text end

new text begin Subd. 4. new text end

new text begin Bonds. new text end

new text begin The city of Winona, if approved by
voters pursuant to Minnesota Statutes, section 297A.99, may
issue general obligation bonds of the city, in one or more
series, in the aggregate principal amount not to exceed
$20,000,000 to pay capital and administrative costs of the
transportation, cultural, or library projects. The debt
represented by the bonds is not 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 of and interest on the bonds is not subject to any
levy limitation or included in computing or applying any levy
limitation applicable to the city.
new text end

new text begin Subd. 5. new text end

new text begin Termination of taxes. new text end

new text begin The taxes imposed under
subdivisions 1 and 2 expire at the later of 15 years after the
imposition of the tax or when the Winona city council determines
that sufficient funds have been received from the taxes to
prepay or retire at maturity the principal, interest, and
premium due on any bonds issued for the projects under
subdivision 4. Any funds remaining after expiration of the
taxes and retirement of the bonds may be placed in a capital
project fund of the city. The taxes imposed under subdivisions
1 and 2 may expire at an earlier time if the city so determines
by ordinance.
new text end

new text begin Subd. 6. 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 Winona
with Minnesota Statutes, section 645.021, subdivision 3.
new text end