Skip to main content Skip to office menu Skip to footer
Capital IconMinnesota Legislature

HF 1283

as introduced - 90th Legislature (2017 - 2018) Posted on 02/15/2017 11:47am

KEY: stricken = removed, old language.
underscored = added, new language.

Bill Text Versions

Engrossments
Introduction Posted on 02/15/2017

Current Version - as introduced

Line numbers 1.1 1.2 1.3 1.4 1.5 1.6
1.7 1.8 1.9 1.10 1.11 1.12 1.13 1.14 1.15 1.16 1.17 1.18 1.19 1.20 1.21 1.22 1.23
2.1 2.2 2.3
2.4 2.5 2.6 2.7 2.8 2.9 2.10 2.11 2.12 2.13 2.14 2.15 2.16 2.17 2.18 2.19 2.20 2.21 2.22 2.23 2.24 2.25 2.26 2.27 2.28
2.29 2.30 2.31
3.1 3.2 3.3 3.4 3.5 3.6 3.7 3.8 3.9 3.10 3.11 3.12 3.13 3.14 3.15 3.16
3.17 3.18 3.19

A bill for an act
relating to taxation; modifying authority for the city of Worthington to use revenues
from and issue debt associated with local sales and use taxes; modifying the use
of revenues and related provisions; amending Laws 2005, First Special Session
chapter 3, article 5, section 44, subdivisions 3, as amended, 4, 5, as amended.

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

Section 1.

Laws 2005, First Special Session chapter 3, article 5, section 44, subdivision
3, as amended by Laws 2014, chapter 308, article 7, section 3, is amended to read:


Subd. 3.

Use of revenues.

(a) Revenues received from taxes authorized by subdivisions
1 and 2 must be used by the city new text begin(1) new text endto pay the cost of collecting and administering the taxes
deleted text begin anddeleted text endnew text begin; (2)new text end to pay for the costs of a community center complex deleted text beginanddeleted text endnew text begin; (3)new text end to make renovations
to the Memorial Auditoriumnew text begin; and (4) to construct public athletic facilities, provided that
this use of the tax is subject to the same restrictions that apply to the issuance of debt provided
in subdivision 4, paragraph (c)
new text end. Authorized expenses include, but are not limited to, acquiring
property and paying construction expenses related to these improvements, and paying debt
service on bonds or other obligations issued to finance acquisition and construction of these
improvements.

(b) Notwithstanding Minnesota Statutes, section 297A.99, subdivisions 2 and 3, if the
city decides to extend the taxes in subdivisions 1 and 2, as allowed under subdivision 5,
paragraph (b), the city must use any amounts in excess of the amounts necessary to meet
the obligations under paragraph (a) to pay the city's share of debt service on bonds issued
under Minnesota Statutes, section 469.194, to fund the Lewis and Clark Regional Water
System Project.

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

Sec. 2.

Laws 2005, First Special Session chapter 3, article 5, section 44, subdivision 4, is
amended to read:


Subd. 4.

Bonding authority.

(a) If the tax authorized under subdivision 1 is approved
by the voters, the city may issue bonds under Minnesota Statutes, chapter 475, to pay capital
and administrative expenses for the improvements described in subdivision 3 deleted text beginin an amount
that does not exceed $6,000,000
deleted text end. An election to approve the bonds under Minnesota Statutes,
section 475.58, is not required.

(b) The debt represented by the bonds is not included in computing any debt limitation
applicable to the city, and any levy of taxes under Minnesota Statutes, section 475.61, to
pay principal of and interest on the bonds is not subject to any levy limitation.

new text begin (c) If the Worthington City Council intends to issue debt after June 30, 2017, for the
purposes of this subdivision, it must pass a resolution stating the intent to issue debt and
proposing a public hearing. The resolution must be published for two successive weeks in
the official newspaper of the city together with a notice setting a date for the public hearing.
The hearing must be held at least two weeks, but not more than four weeks, after the first
publication after passage of the resolution. Following the public hearing, if the city adopts
a resolution confirming its intention to issue additional debt, that resolution must also be
published in the official newspaper of the city, but the resolution is not effective for 30 days.
If within 30 days after publication of the resolution confirming the city's intention to issue
additional debt a petition signed by voters equal in number to ten percent of the votes cast
in the city in the last general election requesting a vote on the proposed resolution is filed
with the county auditor, the resolution is not effective until it has been submitted to the
voters in a general or special election and a majority of the votes cast on the question of
approving the resolution are in the affirmative. The commissioner of revenue shall prepare
a suggested form of question to be presented at the election.
new text end

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

Sec. 3.

Laws 2005, First Special Session chapter 3, article 5, section 44, subdivision 5, as
amended by Laws 2014, chapter 308, article 7, section 4, is amended to read:


Subd. 5.

Termination of taxes.

(a) The taxes imposed under subdivisions 1 and 2 expire
at the earlier of (1) ten years, or (2) when the city council determines that the amount of
revenue received from the taxesnew text begin is sufficientnew text end to pay for the projects under subdivision 3
deleted text begin equals or exceeds $6,000,000deleted text end plus the additional amount needed to pay the costs related to
issuance of bonds under subdivision 4, including interest on the bonds. Any funds remaining
after completion of the project and retirement or redemption of the bonds shall be placed
in a capital project fund of the city. The taxes imposed under subdivisions 1 and 2 may
expire at an earlier time if the city so determines by ordinance.

(b) Notwithstanding paragraph (a), the city council may, by ordinance, extend the taxes
imposed under subdivisions 1 and 2 through December 31, 2039, provided that all additional
revenues that exceed those necessary to fund the projects and associated financing costs
listed in subdivision 3, paragraph (a), are committed to pay debt service on bonds issued
under Minnesota Statutes, section 469.194, to fund the Lewis and Clark Regional Water
System Project.

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