HF 1671

as introduced - 93rd Legislature (2023 - 2024) Posted on 02/13/2023 01:07pm

A bill for an act
relating to local taxes; modifying the local sales and use tax for the city of Rogers;
amending Laws 2019, First Special Session chapter 6, article 6, section 26.

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

Section 1.

Laws 2019, First Special Session chapter 6, article 6, section 26, is amended
to read:

Sec. 26. CITY OF ROGERS; LOCAL TAXES AUTHORIZED.

Subdivision 1.

Sales and use tax authorization.

Notwithstanding Minnesota Statutes,
sections 297A.99 and 477A.016, or any other law or ordinance, and as approved by the
voters at the general election of November 6, 2018, the city of Rogers may impose, by
ordinance, a sales and use tax of one-quarter of one percent for the purposes specified in
subdivision 3. Except as otherwise provided in this section, the provisions of Minnesota
Statutes, section 297A.99, govern the imposition, administration, collection, and enforcement
of the taxes authorized under this subdivision.

Subd. 2.

Excise tax authorized.

Notwithstanding Minnesota Statutes, section 477A.016,
or any other contrary provision of law, or ordinance, the city of Rogers 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 of Rogers in the business of selling motor vehicles at retail.

Subd. 3.

Use of sales and use tax and excise tax revenues.

(a) The revenues derived
from the taxes authorized under subdivisions 1 and 2 must be used by the city of Rogers to
pay the costs of collecting and administering the taxes and the capital and administrative
costs of any or all of the following projects:

(1) trail and pedestrian facilities including an I-94 pedestrian crossing, a County Road
144 pedestrian tunnel, and other new trails and trail connections;

(2) aquatics facilities consisting of either or both of a splash pad and any contribution
toward the community portion of a school pool; and

(3) community athletic facilities including construction of South Community park, site
improvements for future recreation facilities, and a multipurpose indoor turf facility.

(b) The total that may be raised from the taxes to pay for these projects is limited to
deleted text begin $16,500,000 deleted text end new text begin $25,000,000 new text end , plus the costs related to the issuance and paying debt service on
bonds for these projects.

Subd. 4.

Bonding authority.

(a) The city of Rogers may issue bonds under Minnesota
Statutes, chapter 475, pursuant to approval by the voters at the general election of November
6, 2018, to finance all or a portion of the costs of the projects authorized in subdivision 3.
The aggregate principal amount of bonds issued under this subdivision may not exceed
deleted text begin $16,500,000 deleted text end new text begin $25,000,000 new text end , minus an amount equal to any state grant authorized before
October 1, 2019, to fund any of the projects listed in subdivision 3, and plus an amount
equal to interest on and the costs of issuing the bonds. The bonds may be paid from or
secured by any funds available to the city of Rogers, including the taxes authorized under
subdivisions 1 and 2.

(b) The bonds are not included in computing any debt limitation applicable to the city
of Rogers, and any levy of taxes under Minnesota Statutes, section 475.61, to pay principal
and interest on the bonds is not subject to any levy limitation. A separate election to approve
the bonds under Minnesota Statutes, section 475.58, is not required.

Subd. 5.

Termination of taxes.

The taxes imposed under subdivisions 1 and 2 expire
at the deleted text begin earlier deleted text end new text begin later new text end of: (1) 20 years after the taxes are first imposed; or (2) when the city
council determines that deleted text begin $16,500,000 deleted text end new text begin $25,000,000 new text end , minus an amount equal to any state grant
authorized before October 1, 2019, to fund any of the projects listed in subdivision 3, and
plus an amount sufficient to pay interest on and the costs of issuing the bonds authorized
under subdivision 4, has been received from the taxes to pay for the cost of the projects
authorized under subdivision 3. Any funds remaining after payment of all such costs and
payment of the bonds in full shall be placed in the general 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 begin EFFECTIVE DATE. new text end

new text begin This section is effective the day after the governing body of the
city of Rogers and its chief clerical officer comply with Minnesota Statutes, section 645.021,
subdivisions 2 and 3.
new text end