SF 1657

as introduced - 80th Legislature (1997 - 1998) Posted on 12/15/2009 12:00am

  1.1                          A bill for an act
  1.2             relating to transportation; providing for payment with 
  1.3             tax certificates for highway and transit 
  1.4             infrastructure; proposing coding for new law in 
  1.5             Minnesota Statutes, chapter 161. 
  1.6   BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.7      Section 1.  [161.075] [USE OF TAX CERTIFICATES.] 
  1.8      Subdivision 1.  [APPLICABILITY.] The commissioner shall pay 
  1.9   for state highway and transit infrastructure with tax 
  1.10  certificates to be issued under this section to the extent that 
  1.11  appropriations for that purpose direct the commissioner to do so.
  1.12  Each appropriation for state highway and transit infrastructure 
  1.13  must designate the amount of the expenditure to be made with tax 
  1.14  certificates and the amount to be made in other ways. 
  1.15     Subd. 2.  [FORM OF CERTIFICATES.] Tax certificates shall be 
  1.16  issued in book-entry form and transmitted electronically by 
  1.17  direct deposit to a checking account designated by the payee.  
  1.18  The payee's financial institution shall credit the payee's 
  1.19  account in dollars by the amount of the tax certificate. 
  1.20     Subd. 3.  [CONTRACTING.] All requests for bid and any 
  1.21  contracts involving work for which the state will pay with tax 
  1.22  certificates shall clearly indicate that mode of payment.  
  1.23     Subd. 4.  [TRANSFER OF TAX CERTIFICATES.] Tax certificates 
  1.24  shall be readily transferable and may be bought and sold. 
  1.25     Subd. 5.  [ACCEPTANCE BY FINANCIAL INSTITUTIONS.] Financial 
  2.1   institutions shall accept tax certificates for deposit at the 
  2.2   dollar value stated on the certificate.  For purposes of this 
  2.3   section, "financial institution" means a federally or state 
  2.4   chartered bank, savings bank, savings association, or credit 
  2.5   union. 
  2.6      Subd. 6.  [REDEMPTION.] The commissioner of transportation 
  2.7   shall, from the highway user tax distribution fund, redeem tax 
  2.8   certificates in each fiscal year of a dollar value equal to 
  2.9   one-half of the dollar value of the tax certificates issued 
  2.10  during that fiscal year.  The state shall not redeem tax 
  2.11  certificates for any other purpose.  
  2.12     Sec. 2.  [EFFECTIVE DATE.] 
  2.13     Section 1 is effective July 1, 1997.