HF 3496

1st Engrossment - 80th Legislature (1997 - 1998) Posted on 12/15/2009 12:00am

  1.1                          A bill for an act 
  1.2             relating to the city of Owatonna; authorizing the city 
  1.3             to impose certain taxes. 
  1.4   BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.5      Section 1.  [CITY OF OWATONNA; SALES AND USE TAX.] 
  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, if approved 
  1.9   by the city voters at the next general election after final 
  1.10  enactment of this act, the city of Owatonna may impose by 
  1.11  ordinance a sales and use tax of up to one-half of one percent 
  1.12  for the purposes specified in subdivision 3.  The provisions of 
  1.13  Minnesota Statutes, section 297A.48, govern the imposition, 
  1.14  administration, collection, and enforcement of the tax 
  1.15  authorized under this subdivision. 
  1.16     Subd. 2.  [EXCISE TAX AUTHORIZED.] Notwithstanding 
  1.17  Minnesota Statutes, section 477A.016, or any other provision of 
  1.18  law, ordinance, or city charter, if a sales and use tax is 
  1.19  imposed under subdivision 1, the city of Owatonna may impose by 
  1.20  ordinance, for the purposes specified in subdivision 3, an 
  1.21  excise tax of up to $20 per motor vehicle, as defined by 
  1.22  ordinance, purchased or acquired from any person engaged within 
  1.23  the city in the business of selling motor vehicles at retail. 
  1.24     Subd. 3.  [USE OF REVENUES.] Revenues received from taxes 
  2.1   authorized by subdivisions 1 and 2 must be used by the city to 
  2.2   pay the costs of collecting the taxes and to pay all or part of 
  2.3   the capital and administrative costs of constructing and 
  2.4   operating facilities as part of Owatonna Economic Development 
  2.5   2000, including infrastructure related to the Heritage Halls 
  2.6   Museum and related projects.  Authorized expenses include, but 
  2.7   are not limited to, acquiring property and paying construction 
  2.8   and operating expenses related to the development of Owatonna 
  2.9   Economic Development 2000 and related facilities, and securing 
  2.10  or paying debt service on bonds or other obligations issued to 
  2.11  finance the construction of Owatonna Economic Development 2000 
  2.12  and related facilities. 
  2.13     Subd. 4.  [BONDS.] If approved by the city voters at the 
  2.14  next general election after final enactment of this act, the 
  2.15  city of Owatonna may issue without additional election general 
  2.16  obligation bonds of the city in an amount not to exceed 
  2.17  $5,000,000 to pay capital and administrative expenses for the 
  2.18  acquisition, construction, improvement, and maintenance of 
  2.19  Owatonna Economic Development 2000 and related facilities.  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 and any interest on the bonds must not be subject to 
  2.24  any levy limitation or be included in computing or applying any 
  2.25  levy limitation applicable to the city. 
  2.26     Subd. 5.  [TERMINATION OF TAXES.] The taxes imposed under 
  2.27  subdivisions 1 and 2 expire when the city council determines 
  2.28  that sufficient funds have been received from the taxes to 
  2.29  finance the capital and administrative costs for acquisition, 
  2.30  construction, improvement, and operation of Owatonna Economic 
  2.31  Development 2000 and related facilities and to prepay or retire 
  2.32  at maturity the principal, interest, and premium due on any 
  2.33  bonds issued for the project under subdivision 4.  Any funds 
  2.34  remaining after completion of the project and retirement or 
  2.35  redemption of the bonds may be placed in the general fund of the 
  2.36  city.  The taxes imposed under subdivisions 1 and 2 may expire 
  3.1   at an earlier time if the city so determines by ordinance. 
  3.2      Sec. 2.  [EFFECTIVE DATE.] 
  3.3      Section 1 is effective the day after compliance by the 
  3.4   governing body of the city of Owatonna with Minnesota Statutes, 
  3.5   section 645.021, subdivision 3.