1.1                          A bill for an act 
  1.2             relating to counties; providing for payment of the 
  1.3             state sales tax on alcoholic beverages to counties; 
  1.4             dedicating these revenues to alcohol abuse related 
  1.5             costs of local governments; appropriating money; 
  1.6             amending Minnesota Statutes 2000, section 297A.94; 
  1.7             proposing coding for new law in Minnesota Statutes, 
  1.8             chapter 373. 
  1.9   BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.10     Section 1.  Minnesota Statutes 2000, section 297A.94, is 
  1.11  amended to read: 
  1.12     297A.94 [DEPOSIT OF REVENUES.] 
  1.13     (a) Except as provided in this section, the commissioner 
  1.14  shall deposit the revenues, including interest and penalties, 
  1.15  derived from the taxes imposed by this chapter in the state 
  1.16  treasury and credit them to the general fund.  
  1.17     (b) The commissioner shall deposit taxes in the Minnesota 
  1.18  agricultural and economic account in the special revenue fund if:
  1.19     (1) the taxes are derived from sales and use of property 
  1.20  and services purchased for the construction and operation of an 
  1.21  agricultural resource project; and 
  1.22     (2) the purchase was made on or after the date on which a 
  1.23  conditional commitment was made for a loan guaranty for the 
  1.24  project under section 41A.04, subdivision 3. 
  1.25  The commissioner of finance shall certify to the commissioner 
  1.26  the date on which the project received the conditional 
  1.27  commitment.  The amount deposited in the loan guaranty account 
  2.1   must be reduced by any refunds and by the costs incurred by the 
  2.2   department of revenue to administer and enforce the assessment 
  2.3   and collection of the taxes.  
  2.4      (c) The commissioner shall deposit the revenues, including 
  2.5   interest and penalties, derived from the taxes imposed on sales 
  2.6   and purchases included in section 297A.61, subdivision 16, 
  2.7   paragraphs (b) and (f), in the state treasury, and credit them 
  2.8   as follows: 
  2.9      (1) first to the general obligation special tax bond debt 
  2.10  service account in each fiscal year the amount required by 
  2.11  section 16A.661, subdivision 3, paragraph (b); and 
  2.12     (2) after the requirements of clause (1) have been met, the 
  2.13  balance to the general fund. 
  2.14     (d) The commissioner shall deposit the revenues, including 
  2.15  interest and penalties, collected under section 297A.64, 
  2.16  subdivision 5, in the state treasury and credit them to the 
  2.17  general fund.  By July 15 of each year the commissioner shall 
  2.18  transfer to the highway user tax distribution fund an amount 
  2.19  equal to the excess fees collected under section 297A.64, 
  2.20  subdivision 5, for the previous calendar year. 
  2.21     (e) For fiscal year 2001, 97 percent, and for fiscal year 
  2.22  2002 and thereafter, 87 percent of the revenues, including 
  2.23  interest and penalties, transmitted to the commissioner under 
  2.24  section 297A.65, must be deposited by the commissioner in the 
  2.25  state treasury as follows: 
  2.26     (1) 50 percent of the receipts must be deposited in the 
  2.27  heritage enhancement account in the game and fish fund, and may 
  2.28  be spent only on activities that improve, enhance, or protect 
  2.29  fish and wildlife resources, including conservation, 
  2.30  restoration, and enhancement of land, water, and other natural 
  2.31  resources of the state; 
  2.32     (2) 22.5 percent of the receipts must be deposited in the 
  2.33  natural resources fund, and may be spent only for state parks 
  2.34  and trails; 
  2.35     (3) 22.5 percent of the receipts must be deposited in the 
  2.36  natural resources fund, and may be spent only on metropolitan 
  3.1   park and trail grants; 
  3.2      (4) three percent of the receipts must be deposited in the 
  3.3   natural resources fund, and may be spent only on local trail 
  3.4   grants; and 
  3.5      (5) two percent of the receipts must be deposited in the 
  3.6   natural resources fund, and may be spent only for the Minnesota 
  3.7   zoological garden, the Como park zoo and conservatory, and the 
  3.8   Duluth zoo. 
  3.9      (f) The revenue dedicated under paragraph (e) may not be 
  3.10  used as a substitute for traditional sources of funding for the 
  3.11  purposes specified, but the dedicated revenue shall supplement 
  3.12  traditional sources of funding for those purposes.  Land 
  3.13  acquired with money deposited in the game and fish fund under 
  3.14  paragraph (e) must be open to public hunting and fishing during 
  3.15  the open season.  At least 87 percent of the money deposited in 
  3.16  the game and fish fund for improvement, enhancement, or 
  3.17  protection of fish and wildlife resources under paragraph (e) 
  3.18  must be allocated for field operations. 
  3.19     (g) The revenues, including interest and penalties, derived 
  3.20  from imposition of the tax under section 297A.62, subdivision 2, 
  3.21  must be deposited by the commissioner in the state treasury and 
  3.22  credited to a separate account in the general fund for alcohol 
  3.23  related costs of local governments.  By the end of each calendar 
  3.24  quarter, the commissioner shall pay to each county the tax 
  3.25  collected under section 297A.62 for sales made in the county 
  3.26  during the preceding calendar quarter.  If necessary, the 
  3.27  commissioner may estimate the sales made in the county in order 
  3.28  to make the payments.  An amount sufficient to make the payments 
  3.29  under this section is appropriated to the commissioner from the 
  3.30  account for alcohol related costs of local governments. 
  3.31     <b>[EFFECTIVE DATE.]</b> This section is effective for sales made 
  3.32  after July 1, 2001. 
  3.33     Sec. 2.  [373.46] [ALCOHOL SALES TAX REVENUES; PERMITTED 
  3.34  USES.] 
  3.35     A county may spend money received from payments of the 
  3.36  state sales tax on alcoholic beverages under section 297A.94, 
  4.1   paragraph (g), only for costs that are related to alcohol 
  4.2   abuse.  These costs include: 
  4.3      (1) chemical dependence treatment costs; 
  4.4      (2) law enforcement and related public safety costs for 
  4.5   alcohol abuse related offenses; 
  4.6      (3) correctional costs resulting from violation of alcohol 
  4.7   abuse related offenses; 
  4.8      (4) social services costs related to alcohol abuse; 
  4.9      (5) other costs of the county that it determines are 
  4.10  related to alcohol abuse; and 
  4.11     (6) payments to cities located in the county for costs 
  4.12  enumerated in clauses (1) to (5) but incurred by cities. 
  4.13     <b>[EFFECTIVE DATE.]</b> This section is effective July 1, 2001.