HF 2098

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

A bill for an act
relating to St. Cloud area cities; authorizing local
sales taxes; modifying the use of revenues.

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

Section 1. new text begin ST. CLOUD AREA CITIES; SALES AND USE TAX
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, sections
297A.99, subdivision 3, paragraph (d), and 477A.016, or any
other provision of law, ordinance, or city charter, the
following cities may, by ordinance, impose a sales and use tax
of one-half of one percent for the purposes specified in
subdivision 2:
new text end

new text begin (1) the city of St. Cloud, pursuant to the approval of the
city voters at the general election held on November 2, 2004;
and
new text end

new text begin (2) the city of Waite Park, pursuant to the approval of the
city voters at the general election held on November 4, 2003.
new text end

new text begin The provisions of Minnesota Statutes, section 297A.99,
except subdivision 3, paragraph (d), govern the imposition,
administration, collection, and enforcement of the tax
authorized under this section, unless specifically provided for
otherwise in another subdivision.
new text end

new text begin Subd. 2. new text end

new text begin Use of revenues. new text end

new text begin (a) Revenues received from the
tax authorized by subdivision 1 by the city of St. Cloud 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, improvement, and
securing and paying debt service on bonds or other obligations
issued to finance the following regional projects as approved by
the voters and specifically detailed in the referendum
authorizing the tax:
new text end

new text begin (1) St. Cloud Regional Airport;
new text end

new text begin (2) regional transportation improvements;
new text end

new text begin (3) community and aquatics centers;
new text end

new text begin (4) regional public libraries; and
new text end

new text begin (5) acquisition and improvement of regional park land and
open space.
new text end

new text begin (b) Revenues received from the tax authorized by
subdivision 1 by the city of Waite Park 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, improvement, and securing and paying
debt service on bonds or other obligations issued to fund the
projects specifically approved by the voters at the referendum
authorizing the tax. The portion of revenues from the city
going to fund the regional airport will be as required under the
applicable joint powers agreement.
new text end

new text begin (c) The use of revenues received from the taxes authorized
in subdivision 1 for projects allowed under paragraphs (a) and
(b) are limited to the amount authorized for each project under
the enabling referendum.
new text end

new text begin Subd. 3. new text end [ST. CLOUD BONDING AUTHORIZED.] new text begin (a) The city of
St. Cloud may issue general obligation bonds of up to
$30,000,000 to pay for the costs of the regional public library
pursuant to the approval of the projects by the city voters at
the election held on November 2, 2004.
new text end

new text begin (b) Either city may issue general obligation bonds for
another project authorized under subdivision 2 without separate
bonding approval at a referendum only if the issuance of bonds
for that project was included in the authorizing question. The
amount of bonds issued for a project is limited to the maximum
amount of local sales tax revenues that may be spent on the
project under the authorizing question.
new text end

new text begin (c) The debt represented by the bonds authorized under this
subdivision 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 in the city
of St. Cloud under subdivision 1 expires when the city council
determines that sufficient funds have been collected from the
tax to retire or redeem the bonds and obligations authorized
under subdivision 2, paragraph (a), but no later than ... years
after the date the tax is first imposed.
new text end

new text begin The tax imposed in the city of Waite Park expires July 1,
2007. 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. Either 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 for the city
that approves it the day after compliance by the governing body
of either the city of St. Cloud or Waite Park with Minnesota
Statutes, section 645.021, subdivision 3, for sales and
purchases made on and after January 1, 2006.
new text end