SF 194

as introduced - 90th Legislature (2017 - 2018) Posted on 01/20/2017 08:38am

A bill for an act
relating to taxation; authorizing the city of Walker to impose a local sales and use
tax.

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

Section 1. new text begin CITY OF WALKER; LOCAL TAXES AUTHORIZED.
new text end

new text begin Subdivision 1. new text end

new text begin Sales and use tax authorized. new text end

new text begin Notwithstanding Minnesota Statutes,
section 477A.016, or any ordinance, city charter, or other provision of law, pursuant to the
approval of the voters at the general election on November 6, 2012, the city of Walker may
impose by ordinance a sales and use tax of 1-1/2 percent for the purposes specified in
subdivision 2. The provisions of Minnesota Statutes, section 297A.99, govern the imposition,
administration, collection, and enforcement of the taxes authorized under this subdivision.
new text end

new text begin Subd. 2. new text end

new text begin Use of revenues. new text end

new text begin Revenues received from the tax authorized by subdivision 1
must be used to pay all or part of the capital and administrative costs of underground utility,
street, curb, gutter, and sidewalk improvements in the city of Walker as outlined in the 2012
capital improvement plan of the engineer of the city of Walker.
new text end

new text begin Subd. 3. new text end

new text begin Bonding authority. new text end

new text begin The city of Walker, pursuant to the approval of the voters
at the November 6, 2012, referendum authorizing the imposition of the taxes in this section,
may issue bonds under Minnesota Statutes, chapter 475, to pay capital and administrative
expenses for the projects described in subdivision 2, in an amount that does not exceed
$20,000,000. A separate election to approve the bonds under Minnesota Statutes, section
475.58, is not required.
new text end

new text begin Subd. 4. new text end

new text begin Termination of tax. new text end

new text begin (a) The tax authorized under subdivision 1 terminates at
the earlier of:
new text end

new text begin (1) 20 years after the date of initial imposition of the tax; or
new text end

new text begin (2) when the city council determines that sufficient funds have been raised from the tax
to finance the capital and administrative costs of the improvements described in subdivision
2, plus the additional amount needed to pay the costs related to issuance of bonds under
subdivision 3, including interest on the bonds.
new text end

new text begin (b) Any funds remaining after completion of the projects specified in subdivision 2 and
retirement or redemption of bonds in subdivision 3 shall be placed in the general fund of
the city. The tax imposed under subdivision 1 may expire at an earlier time if the city so
determines by ordinance.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day after compliance by the governing
body of the city of Walker with Minnesota Statutes, section 645.021, subdivisions 2 and 3.
new text end