HF 3603

as introduced - 89th Legislature (2015 - 2016) Posted on 03/24/2016 02:27pm

A bill for an act
relating to taxation; sales and use; modifying the uses of revenues from the
Hermantown local option sales tax; amending Laws 1996, chapter 471, article 2,
section 29, subdivision 1, as amended.

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

Section 1.

Laws 1996, chapter 471, article 2, section 29, subdivision 1, as amended by
Laws 2006, chapter 259, article 3, section 3, and Laws 2011, First Special Session chapter
7, article 4, section 4, is amended to read:

Subdivision 1.

Sales tax authorized.

(a) Notwithstanding Minnesota Statutes,
section 477A.016, or any other contrary provision of law, ordinance, or city charter, the
city of Hermantown may, by ordinance, impose an additional sales tax of up to one
percent on sales transactions taxable pursuant to Minnesota Statutes, chapter 297A, that
occur within the city. The proceeds of the tax imposed under this section must be used to
meet the costs of:

(1) extending a sewer interceptor line;

(2) construction of a booster pump station, reservoirs, and related improvements
to the water system; deleted text begin and
deleted text end

(3) construction of a building containing a police and fire station and an
administrative services facility new text begin ; and
new text end

new text begin (4) debt service payments for construction of the Hermantown Wellness Center new text end .

(b) If the city imposed a sales tax of only one-half of one percent under paragraph
(a), it may increase the tax to one percent to fund the purposes under paragraph (a)
provided it is approved by the voters at a general election held before December 31, 2012.

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 Hermantown and its chief clerical officer comply with Minnesota Statutes,
section 645.021, subdivisions 2 and 3.
new text end