HF 3155

as introduced - 91st Legislature (2019 - 2020) Posted on 02/11/2020 03:35pm

A bill for an act
relating to taxation; authorizing Carlton County to impose a local sales and use
tax.

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

Section 1. new text begin CARLTON COUNTY; LOCAL SALES AND USE TAX 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 477A.016, or any other law or ordinance, and if approved by the voters at a general
election as required under Minnesota Statutes, section 297A.99, subdivision 3, Carlton
County may impose, by ordinance, a sales and use tax of one-half of one percent for the
purposes specified in subdivision 2. 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 sales and use tax revenues. new text end

new text begin The revenues derived from the tax authorized
under subdivision 1 must be used by Carlton County to pay the costs of collecting and
administering the tax, and to finance up to $40,000,000 for the construction of a new law
enforcement center and jail serving a regional female offender program. Authorized costs
include related parking, design, construction, reconstruction, mechanical upgrades, and
engineering costs, as well as the associated bond costs for any bonds issued under subdivision
3.
new text end

new text begin Subd. 3. new text end

new text begin Bonding authority. new text end

new text begin (a) Carlton County may issue bonds under Minnesota
Statutes, chapter 475, to finance all or a portion of the costs of the project authorized in
subdivision 2. The aggregate principal amount of bonds issued under this subdivision may
not exceed $40,000,000, plus an amount applied to the payment of costs of issuing the
bonds. The bonds may be paid from or secured by any funds available to the county,
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 county.
Any levy of taxes under Minnesota Statutes, section 475.61, to pay principal of 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
earlier of: (1) 20 years after the tax is first imposed; or (2) when the county determines that
it has received from this tax $40,000,000 to fund the project listed in subdivision 2, plus an
amount sufficient to pay costs, including interest costs, related to the issuance of the bonds
authorized in subdivision 3. Except as otherwise provided in Minnesota Statutes, section
297A.99, subdivision 3, paragraph (f), any funds remaining after payment of the allowed
costs due to timing of the termination of the tax under Minnesota Statutes, section 297A.99,
subdivision 12, shall be placed in the county's general fund. The tax imposed under
subdivision 1 may expire at an earlier time if the county 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
Carlton County and its chief clerical officer comply with Minnesota Statutes, section 645.021,
subdivisions 2 and 3.
new text end