Bill Text: MN SF2913 | 2013-2014 | 88th Legislature | Introduced
Bill Title: Isle local sales and use tax imposition and local bonding authorization
Spectrum: Partisan Bill (Republican 1-0)
Status: (Introduced - Dead) 2014-03-27 - Referred to Taxes [SF2913 Detail]
Download: Minnesota-2013-SF2913-Introduced.html
1.2relating to taxation; authorizing the city of Isle to impose a local sales and use tax.
1.3BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:
1.4 Section 1. CITY OF ISLE; TAXES AUTHORIZED.
1.5 Subdivision 1. Sales and use tax authorization. Notwithstanding Minnesota
1.6Statutes, section 297A.99, subdivisions 1 and 2, or 477A.016, or any other law, ordinance,
1.7or city charter, as approved by the voters at the next general election, the city of Isle may
1.8impose, by ordinance, a sales and use tax of up to one-half of one percent for the purposes
1.9specified in subdivision 2. Except as otherwise provided in this section, the provisions of
1.10Minnesota Statutes, section 297A.99, govern the imposition, administration, collection,
1.11and enforcement of the tax authorized under this subdivision.
1.12 Subd. 2. Use of sales and use tax revenues. The revenues derived from the
1.13tax authorized under subdivision 1 must be used by the city of Isle to pay the costs of
1.14collecting and administering the tax and to finance the costs of: (1) improvements to the
1.15city's park system of benefit to regional residents and to regional tourism; (2) street and
1.16related infrastructure improvements; (3) municipal building improvements; (4) airport
1.17improvements; (5) bridge replacement; and (6) utility systems improvements. Authorized
1.18costs include construction and engineering costs and associated bond costs.
1.19 Subd. 3. Bonding authority. The city of Isle may issue bonds under Minnesota
1.20Statutes, chapter 475, to finance all or a portion of the costs of the facilities authorized in
1.21subdivision 2. The aggregate principal amount of bonds issued under this subdivision may
1.22not exceed $3,000,000, plus an amount to be applied to the payment of the costs of issuing
1.23the bonds. The bonds may be paid from or secured by any funds available to the city of
2.1Isle, including the tax authorized under subdivision 1. The issuance of bonds under this
2.2subdivision is not subject to Minnesota Statutes, sections 275.60 and 275.61.
2.3The bonds are not included in computing any debt limitation applicable to the city of
2.4Isle, and any levy of taxes under Minnesota Statutes, section 475.61, to pay principal and
2.5interest on the bonds is not subject to any levy limitation. A separate election to approve
2.6the bonds under Minnesota Statutes, section 475.58, is not required.
2.7 Subd. 4. Termination of taxes. The tax imposed under subdivision 1 expires at
2.8the earlier of: (1) 20 years after the tax is first imposed; or (2) when the city council
2.9determines that $3,000,000 has been received from the tax to pay for the cost of the
2.10projects authorized under subdivision 2, plus an amount sufficient to pay the costs related
2.11to issuance of the bonds authorized under subdivision 3, including interest on the bonds.
2.12Any funds remaining after payment of all such costs and retirement or redemption of the
2.13bonds shall be placed in the general fund of the city. The tax imposed under subdivision 1
2.14may expire at an earlier time if the city so determines by ordinance.
2.15EFFECTIVE DATE.This section is effective the day after compliance by the
2.16governing body of the city of Isle with Minnesota Statutes, section 645.021, subdivisions
2.172 and 3.
1.3BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:
1.4 Section 1. CITY OF ISLE; TAXES AUTHORIZED.
1.5 Subdivision 1. Sales and use tax authorization. Notwithstanding Minnesota
1.6Statutes, section 297A.99, subdivisions 1 and 2, or 477A.016, or any other law, ordinance,
1.7or city charter, as approved by the voters at the next general election, the city of Isle may
1.8impose, by ordinance, a sales and use tax of up to one-half of one percent for the purposes
1.9specified in subdivision 2. Except as otherwise provided in this section, the provisions of
1.10Minnesota Statutes, section 297A.99, govern the imposition, administration, collection,
1.11and enforcement of the tax authorized under this subdivision.
1.12 Subd. 2. Use of sales and use tax revenues. The revenues derived from the
1.13tax authorized under subdivision 1 must be used by the city of Isle to pay the costs of
1.14collecting and administering the tax and to finance the costs of: (1) improvements to the
1.15city's park system of benefit to regional residents and to regional tourism; (2) street and
1.16related infrastructure improvements; (3) municipal building improvements; (4) airport
1.17improvements; (5) bridge replacement; and (6) utility systems improvements. Authorized
1.18costs include construction and engineering costs and associated bond costs.
1.19 Subd. 3. Bonding authority. The city of Isle may issue bonds under Minnesota
1.20Statutes, chapter 475, to finance all or a portion of the costs of the facilities authorized in
1.21subdivision 2. The aggregate principal amount of bonds issued under this subdivision may
1.22not exceed $3,000,000, plus an amount to be applied to the payment of the costs of issuing
1.23the bonds. The bonds may be paid from or secured by any funds available to the city of
2.1Isle, including the tax authorized under subdivision 1. The issuance of bonds under this
2.2subdivision is not subject to Minnesota Statutes, sections 275.60 and 275.61.
2.3The bonds are not included in computing any debt limitation applicable to the city of
2.4Isle, and any levy of taxes under Minnesota Statutes, section 475.61, to pay principal and
2.5interest on the bonds is not subject to any levy limitation. A separate election to approve
2.6the bonds under Minnesota Statutes, section 475.58, is not required.
2.7 Subd. 4. Termination of taxes. The tax imposed under subdivision 1 expires at
2.8the earlier of: (1) 20 years after the tax is first imposed; or (2) when the city council
2.9determines that $3,000,000 has been received from the tax to pay for the cost of the
2.10projects authorized under subdivision 2, plus an amount sufficient to pay the costs related
2.11to issuance of the bonds authorized under subdivision 3, including interest on the bonds.
2.12Any funds remaining after payment of all such costs and retirement or redemption of the
2.13bonds shall be placed in the general fund of the city. The tax imposed under subdivision 1
2.14may expire at an earlier time if the city so determines by ordinance.
2.15EFFECTIVE DATE.This section is effective the day after compliance by the
2.16governing body of the city of Isle with Minnesota Statutes, section 645.021, subdivisions
2.172 and 3.
