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Minnesota Legislature

Office of the Revisor of Statutes

HF 2754

as introduced - 90th Legislature (2017 - 2018) Posted on 02/20/2018 10:11am

KEY: stricken = removed, old language.
underscored = added, new language.

Current Version - as introduced

Line numbers 1.1 1.2 1.3 1.4
1.5 1.6 1.7 1.8 1.9 1.10 1.11 1.12 1.13 1.14 1.15 1.16 1.17 1.18 1.19 1.20 1.21 1.22 1.23 2.1 2.2 2.3 2.4 2.5 2.6 2.7 2.8 2.9 2.10 2.11 2.12 2.13 2.14 2.15
2.16 2.17 2.18

A bill for an act
relating to taxation; sales and use; authorizing the city of Perham to impose a local
sales and use tax.


Section 1. new text beginCITY OF PERHAM; TAXES AUTHORIZED.
new text end

new text begin Subdivision 1. new text end

new text begin Sales and use tax authorization. new text end

new text begin Notwithstanding Minnesota Statutes,
section 297A.99, subdivisions 1 and 2, or 477A.016, or any other law, ordinance, or city
charter, the city of Perham may impose by ordinance a sales and use tax of up to one-half
of one percent for the purposes specified in subdivision 2, subject to voter approval at the
general election held on November 6, 2018. Except as otherwise provided in this section,
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 Use of revenues. new text end

new text begin The revenues derived from the tax authorized under subdivision
1 must be used by the city of Perham to: (1) pay the costs of collecting and administering
the tax; (2) finance the capital and administrative costs of site preparation, redevelopment,
renovation, design, construction, furnishing, and equipping of buildings, land, and
infrastructure at the site of the Perham Area Community Center; and (3) pay debt service
on bonds issued under subdivision 3 or other obligations issued to the improvements listed
in this subdivision in the city of Perham.
new text end

new text begin Subd. 3. new text end

new text begin Bonding authority. new text end

new text begin (a) The city of Perham may issue bonds under Minnesota
Statutes, chapter 475, to finance all or a portion of the costs of the projects authorized in
subdivision 2. The aggregate principal amount of bonds issued under this subdivision may
not exceed $8,000,000 plus an amount to be applied to the payment of the costs of issuing
the bonds. The bonds may be paid from or secured by any funds available to the city of
Perham, including the tax authorized under subdivision 1. The issuance of bonds under this
subdivision is not subject to Minnesota Statutes, sections 275.60 and 275.61.
new text end

new text begin (b) The bonds are not included in computing any debt limitation applicable to the city
of Perham, 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.
new text end

new text begin Subd. 4. new text end

new text begin Termination of taxes. new text end

new text begin The tax imposed under subdivision 1 expires at the later
of: (1) 25 years after the tax is first imposed; or (2) when the city council determines that
$8,000,000 has been received from the tax to pay for the cost of the projects authorized
under subdivision 2, plus an amount sufficient to pay the costs related to issuance of the
bonds authorized under subdivision 3, including interest on the bonds. Any funds remaining
after payment of all such costs and retirement or redemption of the bonds shall be placed
in the general fund of the city. The 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 the day after the governing body of the
city of Perham and its chief clerical officer comply with Minnesota Statutes, section 645.021,
subdivisions 2 and 3.
new text end