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SF 970

as introduced - 85th Legislature (2007 - 2008) Posted on 12/15/2009 12:00am

KEY: stricken = removed, old language.
underscored = added, new language.
Version List Authors and Status
Rtf

Current Version - as introduced

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A bill for an act
 relating to transportation; creating transit fund in state treasury and establishing
accounts; imposing a sales tax within the metropolitan area with the proceeds
dedicated to metropolitan transit operations; appropriating money; amending
Minnesota Statutes 2006, sections 16A.88; 174.24, subdivision 1; proposing
coding for new law as Minnesota Statutes, chapter 473J.

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

Section 1.

Minnesota Statutes 2006, section 16A.88, is amended to read:


16A.88 TRANSIT deleted text begin FUNDSdeleted text end new text begin FUNDnew text end .

Subdivision 1.

new text begin Transit fund. new text end

new text begin A transit fund is established within the state treasury.
The fund receives money distributed under section 297B.09, and other money as specified
by law. Money in the fund must be allocated to the greater Minnesota transit account
under subdivision 1a and the metropolitan area transit account under subdivision 2, and
must be used for public transit assistance purposes.
 new text end

new text begin Subd. 1a. new text end

Greater Minnesota transit deleted text begin funddeleted text end new text begin accountnew text end .

The greater Minnesota
transit deleted text begin funddeleted text end new text begin accountnew text end is established within the deleted text begin state treasurydeleted text end new text begin transit fundnew text end . Money in the
deleted text begin funddeleted text end new text begin account new text end is annually appropriated to the commissioner of transportation for assistance
to new text begin public new text end transit systems outside the metropolitan area under section 174.24. deleted text begin Beginning in
fiscal year 2003,deleted text end The commissioner may use up to $400,000 each year for administration
of the transit program. The commissioner shall use the deleted text begin funddeleted text end new text begin accountnew text end for transit operations
as provided in section 174.24 and related program administration.

Subd. 2.

Metropolitan area transit deleted text begin funddeleted text end new text begin accountnew text end .

The metropolitan area transit
deleted text begin funddeleted text end new text begin accountnew text end is established within the deleted text begin state treasurydeleted text end new text begin transit fundnew text end . All money in the deleted text begin funddeleted text end new text begin
account new text end is annually appropriated to the Metropolitan Council for the funding of new text begin public
new text end transit systems within the metropolitan area under sections 473.384, 473.387, 473.388,
and 473.405 to 473.449.

deleted text begin Subd. 3. deleted text end

deleted text begin Metropolitan area transit appropriation account. deleted text end

deleted text begin The metropolitan
area transit appropriation account is established within the general fund. Money in the
account is to be used for the funding of transit systems in the metropolitan area, subject to
legislative appropriation.
 deleted text end

Sec. 2.

Minnesota Statutes 2006, section 174.24, subdivision 1, is amended to read:


Subdivision 1.

Establishment; purpose.

A public transit participation program is
established to carry out the objectives stated in section 174.21 by providing financial
assistance from the state, including the greater Minnesota transit deleted text begin funddeleted text end new text begin accountnew text end established
in section 16A.88, to eligible recipients outside of the metropolitan area.

Sec. 3.

new text begin [473J.01] METROPOLITAN TRANSPORTATION AREA.
 new text end

new text begin The metropolitan transportation area is the area within the counties of Anoka,
Carver, Dakota, Hennepin, Ramsey, Scott, and Washington.
 new text end

Sec. 4.

new text begin [473J.02] SALES TAX.
 new text end

new text begin A sales tax and a use tax of 0.50 percent is imposed on retail sales and uses taxable
under chapter 297A that occur in the metropolitan transportation area. These taxes are in
addition to the taxes imposed by sections 297A.62, subdivision 1; 297A.63, subdivision
1; 473.757, subdivision 10; Laws 2006, chapter 257, section 21; and any local taxes
imposed pursuant to a special law.
 new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective for sales and purchases made after
June 30, 2007.
 new text end

Sec. 5.

new text begin [473J.03] TAX COLLECTION.
 new text end

new text begin The taxes imposed by section 473J.02 must be reported and paid to the commissioner
of revenue with the taxes imposed by chapter 297A and in accordance with an agreement
between the counties in the metropolitan transportation area and the commissioner of
revenue. The taxes are subject to the same interest, penalty, and other provisions provided
for sales and use taxes under chapters 289A and 297A. The commissioner has the same
powers to assess and collect the taxes as are given the commissioner in chapters 270C,
289A, and 297A to assess and collect sales and use taxes. The commissioner shall deposit
the revenues, including interest and penalties, derived from the taxes in the state treasury
and credit them to the general fund.
 new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective for sales and purchases made after
June 30, 2007.
 new text end

Sec. 6.

new text begin [473J.04] SALES TAX PROCEEDS FOR TRANSIT; APPROPRIATION.
 new text end

new text begin Subdivision 1. new text end

new text begin Transfer to fund. new text end

new text begin (a) The revenue collected under section 473J.03,
less the cost of collection, is appropriated from the general fund to the commissioner of
finance for transfer to the metropolitan area transit account in the transit fund.
 new text end

new text begin (b) The cost of collection equals the direct and indirect costs of the Department of
Revenue to administer, audit, and collect the revenue, plus the metropolitan transportation
area's proportionate share of the indirect cost of administering all local sales and use taxes
under section 297A.99.
 new text end

new text begin Subd. 2. new text end

new text begin Use of fund. new text end

new text begin Money transferred to the metropolitan area transit account
under subdivision 1 is appropriated to the Metropolitan Council for capital costs,
including debt service on bonds, for light rail transit; and for operating costs of bus, rail,
and paratransit service within the metropolitan transportation area, including special
transportation service under section 473.386 and replacement transit service under section
473.388.
 new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective for sales and purchases made after
June 30, 2007.
 new text end