HF 1390

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 Park Rapids; authorizing the 
  1.3             city to impose a sales and use tax. 
  1.4   BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.5      Section 1.  [CITY OF PARK RAPIDS.] 
  1.6      Subdivision 1.  [SALES AND USE TAX AUTHORIZED.] 
  1.7   Notwithstanding Minnesota Statutes, section 477A.016, or any 
  1.8   other provision of law, ordinance, or city charter, pursuant to 
  1.9   the approval of the city voters at the next general election or 
  1.10  at a special election held for this purpose, the city of Park 
  1.11  Rapids may impose by ordinance a sales and use tax of one 
  1.12  percent for the purposes specified in subdivision 2.  The 
  1.13  provisions of Minnesota Statutes, section 297A.99, govern the 
  1.14  imposition, administration, collection, and enforcement of the 
  1.15  tax authorized under this subdivision. 
  1.16     Subd. 2.  [USE OF REVENUES.] Revenues received from the tax 
  1.17  authorized by subdivision 1 must be used for the cost of 
  1.18  collecting and administering the tax and to pay all or part of 
  1.19  the capital or administrative costs of the development, 
  1.20  acquisition, construction, and improvement of the following 
  1.21  projects:  
  1.22     (1) two-thirds of the cost of construction and operation of 
  1.23  a community center that may include a senior citizen center, 
  1.24  fitness center, swimming pool, meeting rooms, indoor track, and 
  2.1   racquetball, basketball, and tennis courts, provided that an 
  2.2   amount equal to one-third of the cost of construction is 
  2.3   received from private sources; 
  2.4      (2) capital improvement projects including, but not limited 
  2.5   to, installation of water, sewer, storm sewer, street 
  2.6   improvements, new city water tower and well, costs related to 
  2.7   improvements to marked trunk highway 34; and 
  2.8      (3) park improvements. 
  2.9      Authorized expenses include, but are not limited to, 
  2.10  acquiring property, paying construction expenses related to the 
  2.11  development of these facilities and improvements, and securing 
  2.12  and paying debt service on bonds or other obligations issued to 
  2.13  finance acquisition, construction, improvement, or development. 
  2.14     Subd. 3.  [BONDS.] Pursuant to the approval of the city 
  2.15  voters to impose the tax authorized in subdivision 1, the city 
  2.16  of Park Rapids may issue without an additional election general 
  2.17  obligation bonds of the city to pay capital and administrative 
  2.18  expenses for the acquisition, construction, improvement, and 
  2.19  development of the projects specified in subdivision 2.  The 
  2.20  debt represented by the bonds must not be included in computing 
  2.21  any debt limitations applicable to the city, and the levy of 
  2.22  taxes required by Minnesota Statutes, section 475.61, to pay the 
  2.23  principal or any interest on the bonds must not be subject to 
  2.24  any levy limitations or be included in computing or applying any 
  2.25  levy limitation applicable to the city. 
  2.26     Subd. 4.  [TERMINATION OF TAX.] The tax imposed under 
  2.27  subdivision 1 expires July 1, 2023.  Any funds remaining after 
  2.28  completion of the projects specified in subdivision 2 and 
  2.29  retirement or redemption of the bonds may be placed in the 
  2.30  general fund of the city.  The tax imposed under subdivision 1 
  2.31  may expire at an earlier time if the city so determines by 
  2.32  ordinance. 
  2.33     [EFFECTIVE DATE.] This section is effective the day after 
  2.34  compliance by the governing body of the city of Park Rapids with 
  2.35  Minnesota Statutes, section 645.021, subdivision 3.