SF 1307

as introduced - 79th Legislature (1995 - 1996) Posted on 12/15/2009 12:00am

  1.1                          A bill for an act 
  1.2             relating to the city of Hutchinson; authorizing the 
  1.3             city to impose certain sales, liquor, and food taxes. 
  1.4   BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.5      Section 1.  [CITY OF HUTCHINSON; SALES TAX.] 
  1.6      Subdivision 1.  [SALES TAX AUTHORIZED.] Notwithstanding 
  1.7   Minnesota Statutes, section 477A.016, or any other contrary 
  1.8   provision of law, ordinance, or city charter, the city of 
  1.9   Hutchinson may, by ordinance, impose an additional sales tax of 
  1.10  up to one-half of one percent on sales transactions taxable 
  1.11  pursuant to Minnesota Statutes, chapter 297A, that occur within 
  1.12  the city. 
  1.13     Subd. 2.  [EXCISE TAX.] Notwithstanding Minnesota Statutes, 
  1.14  section 477A.016, or any other contrary provision of law, 
  1.15  ordinance, or city charter, the city of Hutchinson may, by 
  1.16  ordinance, impose an excise tax of up to $20 per motor vehicle, 
  1.17  as defined by ordinance, purchased or acquired from any person 
  1.18  engaged within the city in the business of selling motor 
  1.19  vehicles at retail. 
  1.20     Subd. 3.  [USE OF REVENUES.] Revenues received from taxes 
  1.21  authorized by subdivisions 1 and 2 shall be used by the city to 
  1.22  pay the cost of collecting the tax and to: 
  1.23     (1) eliminate navigational hazards and threats to the 
  1.24  public safety located in the Crow River; 
  2.1      (2) complete a regional softball complex and other related 
  2.2   recreational facilities; 
  2.3      (3) complete a bicycle path and walking paths commenced by 
  2.4   the state of Minnesota through the city of Hutchinson; 
  2.5      (4) acquire a radio and dispatch system for police and fire 
  2.6   services; and 
  2.7      (5) undertake similar projects that are used by residents 
  2.8   of the area as well as by residents of the city. 
  2.9      Subd. 4.  [REFERENDUM.] If the Hutchinson city council 
  2.10  intends to exercise the authority provided by this section, it 
  2.11  shall conduct a referendum on the issue.  The question of 
  2.12  imposing the tax must be submitted to the voters at a general or 
  2.13  special election.  The tax may not be imposed unless a majority 
  2.14  of votes cast on the question of imposing the tax is in the 
  2.15  affirmative.  The commissioner of revenue shall prepare a 
  2.16  suggested form of question to be presented at the election.  The 
  2.17  referendum must be held at a special or general election before 
  2.18  December 1, 1995. This subdivision applies notwithstanding any 
  2.19  city charter provision to the contrary.  
  2.20     Subd. 5.  [ENFORCEMENT; COLLECTION; AND ADMINISTRATION OF 
  2.21  TAXES.] A sales tax imposed under this section must be reported 
  2.22  and paid to the commissioner of revenue with the state sales 
  2.23  taxes, and be subject to the same penalties, interest, and 
  2.24  enforcement provisions.  The proceeds of the tax, less refunds 
  2.25  and a proportionate share of the cost of collection, shall be 
  2.26  remitted at least quarterly to the city.  The commissioner shall 
  2.27  deduct from the proceeds remitted an amount that equals the 
  2.28  indirect statewide cost as well as the direct and indirect 
  2.29  department costs necessary to administer, audit, and collect the 
  2.30  tax.  The amount deducted shall be deposited in the state 
  2.31  general fund.  
  2.32     Subd. 6.  [EXPIRATION.] The tax imposed under this section 
  2.33  expires five years after it first becomes effective.  
  2.34     Sec. 2.  [CITY OF HUTCHINSON; LIQUOR AND FOOD TAX.] 
  2.35     Subdivision 1.  [LIQUOR AND FOOD TAX AUTHORIZED.] 
  2.36  Notwithstanding Minnesota Statutes, section 477A.016, or any 
  3.1   ordinance, city charter, or other provision of law, the city of 
  3.2   Hutchinson may, by ordinance, impose a sales tax supplemental to 
  3.3   the general sales tax imposed in Minnesota Statutes, chapter 
  3.4   297A, the proceeds of which shall be used in accordance with 
  3.5   subdivision 2.  The tax imposed by the city may be not more than 
  3.6   one percent on the gross receipts from all retail on-sales of 
  3.7   intoxicating liquor and fermented malt beverages sold at 
  3.8   licensed on-sale liquor establishments located within the city, 
  3.9   or not more than one percent on the gross receipts from the 
  3.10  retail sale of food and beverages not subject to the liquor tax 
  3.11  by a restaurant or place of refreshment located within the city, 
  3.12  or both.  For purposes of this section, the city shall define 
  3.13  the terms "restaurant" and "place of refreshment" by resolution. 
  3.14     Subd. 2.  [USE OF PROCEEDS OF LIQUOR AND FOOD TAX.] The 
  3.15  proceeds of any tax imposed under subdivision 1 shall be used by 
  3.16  the city to pay expenses as determined by the city by 
  3.17  resolution, including the expenses of operating or maintaining 
  3.18  the improvements and acquisitions described in section 1, 
  3.19  subdivision 3. 
  3.20     Subd. 3.  [ENFORCEMENT, COLLECTION, AND ADMINISTRATION.] A 
  3.21  tax imposed under this section shall be reported and paid to the 
  3.22  commissioner of revenue with the state sales and use taxes, and 
  3.23  be subject to the same penalties, interest, and enforcement 
  3.24  provisions.  The proceeds of the tax, less refunds and a 
  3.25  proportionate share of the costs of collection, shall be 
  3.26  remitted at least quarterly to the city.  The commissioner shall 
  3.27  deduct from the proceeds remitted an amount that equals the 
  3.28  indirect statewide costs as well as the direct and indirect 
  3.29  department costs necessary to administer, audit, and collect the 
  3.30  tax.  The amount deducted shall be deposited in the state 
  3.31  general fund. 
  3.32     Sec. 3.  [LOCAL APPROVAL; EFFECTIVE DATE.] 
  3.33     Sections 1 and 2 are effective the day after compliance 
  3.34  with Minnesota Statutes, section 645.021, subdivision 3, by the 
  3.35  governing body of the city of Hutchinson.