1.1 	A bill for an act
1.2 	relating to taxation; sales and use tax; exempting certain materials and equipment 
1.3 	used to construct a commuter rail system; amending Minnesota Statutes 2006, 
1.4 	section 297A.71, by adding a subdivision.
1.5 	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

1.6 	Section 1. Minnesota Statutes 2006, section 297A.71, is amended by adding a 
1.7 	subdivision to read:
1.8 		Subd. 40.Commuter rail; material, supplies, and equipment. Materials and 
1.9 	supplies used or consumed in, and equipment incorporated into, the construction or 
1.10 	improvement of a commuter rail transportation system operated under sections 174.80 
1.11 	to 174.90 are exempt. This exemption includes railroad cars and engines and related 
1.12 	equipment.

1.13 	EFFECTIVE DATE. This section is effective for sales and purchases made after 
1.14 	December 31, 2006.