SF 2640

as introduced - 84th Legislature (2005 - 2006) Posted on 12/15/2009 12:00am

A bill for an act
relating to human services; providing for a contingent reduction in the
MinnesotaCare provider tax; amending Minnesota Statutes 2004, section 295.52,
by adding a subdivision.

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

Section 1.

Minnesota Statutes 2004, section 295.52, is amended by adding a
subdivision to read:

new text begin Subd. 8. new text end

new text begin Contingent reduction in tax rate. new text end

new text begin On September 1 of each odd-numbered
year, beginning September 1, 2007, the commissioner of finance shall determine the
projected balance of the health care access fund as of the end of the current biennium,
based on the most recent February forecast adjusted for any legislative session changes.
If the commissioner projects a surplus in the health care access fund as of the end of the
current biennium, the commissioner of finance, in consultation with the commissioner of
revenue, shall reduce the tax rates specified in subdivisions 1, 1a, 2, 3, and 4 in one-tenth
of one percent increments, making the largest reduction in tax rates consistent with
ensuring that the health care access fund retains a surplus as of the end of the current
biennium. The reduced tax rates shall take effect on the January 1 that immediately
follows the September 1 on which the commissioner determines the projected balance and
shall remain in effect for two tax years. If the commissioner does not project a surplus in
the health care access fund as of the end of the current biennium, the tax rates specified
in subdivisions 1, 1a, 2, 3, and 4 shall continue to apply. The commissioner of finance
shall publish in the State Register by October 1 of each year the amount of tax to be
imposed for the next two calendar years.
new text end