Bill Text: MN HF2303 | 2013-2014 | 88th Legislature | Introduced
Bill Title: Duluth; local food and beverage and lodging taxes modified.
Spectrum: Partisan Bill (Democrat 3-0)
Status: (Introduced - Dead) 2014-03-05 - Referred by Chair to Property and Local Tax Division [HF2303 Detail]
Download: Minnesota-2013-HF2303-Introduced.html
1.2relating to the city of Duluth; modifying local food and beverage and lodging
1.3taxes;amending Laws 1980, chapter 511, sections 1, subdivision 2, as amended;
1.42, as amended.
1.5BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:
1.6 Section 1. Laws 1980, chapter 511, section 1, subdivision 2, as amended by Laws
1.71991, chapter 291, article 8, section 22, Laws 1998, chapter 389, article 8, section 25,
1.8Laws 2003, First Special Session chapter 21, article 8, section 11, and Laws 2008, chapter
1.9154, article 5, section 2, is amended to read:
1.10 Subd. 2. (a) Notwithstanding Minnesota Statutes, section477A.016 , or any
1.11other law, ordinance, or city charter provision to the contrary, the city of Duluth may,
1.12by ordinance, impose an additional sales tax of up totwo and one-quarter one and
1.13three-quarter percent on sales transactions which are described in Minnesota Statutes 2000,
1.14section297A.01 , subdivision 3, clause (c). When the city council determines that the taxes
1.15imposed under this subdivision and under Laws 1998, chapter 389, article 8, section 26, at a
1.16rate of one-half of one percent have produced revenue sufficient to pay (1) the debt service
1.17on bonds in a principal amount of $8,000,000 issued for capital improvements to the
1.18Duluth Entertainment and Convention Center, and (2) debt service on outstanding bonds
1.19originally issued in the principal amount of $4,970,000 to finance capital improvements to
1.20the Great Lakes Aquarium since the imposition of the taxes at the rate of one and one-half
1.21percent, the rate of the tax under this subdivision is reduced by one-half of one percent.
1.22 The imposition of this tax shall not be subject to voter referendum under either state law
1.23or city charter provisions. When the city council determines that the taxes imposed under
1.24thissubdivision paragraph at a rate of three-quarters of one percent and other sources of
2.1revenue produce revenue sufficient to pay debt service on bonds in the principal amount
2.2of $40,285,000 plus issuance and discount costs, issued for capital improvements at the
2.3Duluth Entertainment and Convention Center, which include a new arena, the rate of tax
2.4under this subdivision must be reduced by three-quarters of one percent.
2.5(b) In addition to the tax in paragraph (a) and notwithstanding Minnesota Statutes,
2.6section 477A.016, or any other law, ordinance, or city charter provision to the contrary,
2.7the city of Duluth may, by ordinance, impose an additional sales tax of up to one-half of
2.8one percent on sales transactions which are described in Minnesota Statutes 2000, section
2.9297A.01, subdivision 3, clause (d). This tax expires when the city council determines that
2.10the tax imposed under this paragraph has produced revenues sufficient to pay the debt
2.11service on bonds in a principal amount of no more than $18,000,000, plus issuance and
2.12discount costs, to finance capital improvements to public facilities to support tourism and
2.13recreational activities in that portion of the city west of 34th Avenue West.
2.14EFFECTIVE DATE.This section is effective the day after the governing body of
2.15the city of Duluth and its chief clerical officer comply with Minnesota Statutes, section
2.16645.021, subdivisions 2 and 3.
2.17 Sec. 2. Laws 1980, chapter 511, section 2, as amended by Laws 1998, chapter 389,
2.18article 8, section 26, and Laws 2003, First Special Session chapter 21, article 8, section
2.1912, is amended to read:
2.20 Sec. 2. CITY OF DULUTH; TAX ON RECEIPTS BY HOTELS AND
2.21MOTELS.
2.22 (a) Notwithstanding Minnesota Statutes, section477A.016 , or any other law, or
2.23ordinance, or city charter provision to the contrary, the city of Duluth may, by ordinance,
2.24impose an additional tax of oneand one-half percent upon the gross receipts from the
2.25sale of lodging for periods of less than 30 days in hotels and motels located in the city.
2.26When the city council determines that the taxes imposed under this section and section 25
2.27at a rate of one-half of one percent have produced revenue sufficient to pay (1) the debt
2.28service on bonds in a principal amount of $8,000,000 issued for capital improvements
2.29for the Duluth Entertainment and Convention Center, and (2) the debt service on
2.30outstanding bonds originally issued in the principal amount of $4,970,000 to finance
2.31capital improvements to the Great Lakes Aquarium since the imposition of the taxes at the
2.32rate of one and one-half percent, the rate of the tax under this section is reduced to one
2.33percent. The tax shall be collected in the same manner as the tax set forth in the Duluth
2.34city charter, section 54(d), paragraph one. The imposition of this tax shall not be subject to
2.35voter referendum under either state law or city charter provisions.
3.1(b) In addition to the tax in paragraph (a) and notwithstanding Minnesota Statutes,
3.2section 477A.016, or any other law, ordinance, or city charter provision to the contrary,
3.3the city of Duluth may, by ordinance, impose an additional sales tax of up to one-half of
3.4one percent on the gross receipts from the sale of lodging for periods of less than 30 days
3.5in hotels and motels located in the city. Revenue from this tax shall be used for promotion
3.6of tourism and recreational activities in that portion of the city west of 34th Avenue West.
3.7The tax imposed under this paragraph expires December 31, 2024.
3.8EFFECTIVE DATE.This section is effective the day after the governing body of
3.9the city of Duluth and its chief clerical officer comply with Minnesota Statutes, section
3.10645.021, subdivisions 2 and 3.
1.3taxes;amending Laws 1980, chapter 511, sections 1, subdivision 2, as amended;
1.42, as amended.
1.5BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:
1.6 Section 1. Laws 1980, chapter 511, section 1, subdivision 2, as amended by Laws
1.71991, chapter 291, article 8, section 22, Laws 1998, chapter 389, article 8, section 25,
1.8Laws 2003, First Special Session chapter 21, article 8, section 11, and Laws 2008, chapter
1.9154, article 5, section 2, is amended to read:
1.10 Subd. 2. (a) Notwithstanding Minnesota Statutes, section
1.11other law, ordinance, or city charter provision to the contrary, the city of Duluth may,
1.12by ordinance, impose an additional sales tax of up to
1.13three-quarter percent on sales transactions which are described in Minnesota Statutes 2000,
1.14section
1.15
1.16
1.17
1.18
1.19
1.20
1.21
1.22 The imposition of this tax shall not be subject to voter referendum under either state law
1.23or city charter provisions. When the city council determines that the taxes imposed under
1.24this
2.1revenue produce revenue sufficient to pay debt service on bonds in the principal amount
2.2of $40,285,000 plus issuance and discount costs, issued for capital improvements at the
2.3Duluth Entertainment and Convention Center, which include a new arena, the rate of tax
2.4under this subdivision must be reduced by three-quarters of one percent.
2.5(b) In addition to the tax in paragraph (a) and notwithstanding Minnesota Statutes,
2.6section 477A.016, or any other law, ordinance, or city charter provision to the contrary,
2.7the city of Duluth may, by ordinance, impose an additional sales tax of up to one-half of
2.8one percent on sales transactions which are described in Minnesota Statutes 2000, section
2.9297A.01, subdivision 3, clause (d). This tax expires when the city council determines that
2.10the tax imposed under this paragraph has produced revenues sufficient to pay the debt
2.11service on bonds in a principal amount of no more than $18,000,000, plus issuance and
2.12discount costs, to finance capital improvements to public facilities to support tourism and
2.13recreational activities in that portion of the city west of 34th Avenue West.
2.14EFFECTIVE DATE.This section is effective the day after the governing body of
2.15the city of Duluth and its chief clerical officer comply with Minnesota Statutes, section
2.16645.021, subdivisions 2 and 3.
2.17 Sec. 2. Laws 1980, chapter 511, section 2, as amended by Laws 1998, chapter 389,
2.18article 8, section 26, and Laws 2003, First Special Session chapter 21, article 8, section
2.1912, is amended to read:
2.20 Sec. 2. CITY OF DULUTH; TAX ON RECEIPTS BY HOTELS AND
2.21MOTELS.
2.22 (a) Notwithstanding Minnesota Statutes, section
2.23ordinance, or city charter provision to the contrary, the city of Duluth may, by ordinance,
2.24impose an additional tax of one
2.25sale of lodging for periods of less than 30 days in hotels and motels located in the city.
2.26
2.27
2.28
2.29
2.30
2.31
2.32
2.33
2.34city charter, section 54(d), paragraph one. The imposition of this tax shall not be subject to
2.35voter referendum under either state law or city charter provisions.
3.1(b) In addition to the tax in paragraph (a) and notwithstanding Minnesota Statutes,
3.2section 477A.016, or any other law, ordinance, or city charter provision to the contrary,
3.3the city of Duluth may, by ordinance, impose an additional sales tax of up to one-half of
3.4one percent on the gross receipts from the sale of lodging for periods of less than 30 days
3.5in hotels and motels located in the city. Revenue from this tax shall be used for promotion
3.6of tourism and recreational activities in that portion of the city west of 34th Avenue West.
3.7The tax imposed under this paragraph expires December 31, 2024.
3.8EFFECTIVE DATE.This section is effective the day after the governing body of
3.9the city of Duluth and its chief clerical officer comply with Minnesota Statutes, section
3.10645.021, subdivisions 2 and 3.
