Bill Text: MN SF644 | 2011-2012 | 87th Legislature | Introduced
Bill Title: Cloquet local sales and use tax and motor vehicle excise tax imposition and bonding authority
Spectrum: Partisan Bill (Democrat 2-0)
Status: (Introduced - Dead) 2011-03-07 - Referred to Taxes [SF644 Detail]
Download: Minnesota-2011-SF644-Introduced.html
1.2relating to taxes; authorizing the city of Cloquet to impose a local sales tax.
1.3BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:
1.4 Section 1. CITY OF CLOQUET; TAXES AUTHORIZED.
1.5 Subdivision 1. Sales and use tax. Notwithstanding Minnesota Statutes, section
1.6297A.99, subdivision 1, 477A.016, or any other provision of law, ordinance, or city
1.7charter, if approved by the voters pursuant to Minnesota Statutes, section 297A.99, or at
1.8a special election held for this purpose, the city of Cloquet may impose by ordinance a
1.9sales and use tax of up to one-half of one percent for the purpose specified in subdivision
1.103. Except as provided in this section, the provisions of Minnesota Statutes, section
1.11297A.99, govern the imposition, administration, collection, and enforcement of the tax
1.12authorized under this subdivision.
1.13 Subd. 2. Excise tax authorized. Notwithstanding Minnesota Statutes, section
1.14297A.99, subdivision 1, 477A.016, or any other provision of law, ordinance, or city
1.15charter, the city of Cloquet may impose by ordinance, for the purposes specified in
1.16subdivision 3, an excise tax of up to $20 per motor vehicle, as defined by ordinance,
1.17purchased or acquired from any person engaged within the city in the business of selling
1.18motor vehicles at retail.
1.19 Subd. 3. Use of revenues. Revenues received from taxes authorized by subdivisions
1.201 and 2 must be used by the city to pay the cost of collecting the taxes and to pay for the
1.21following projects:
1.22 (1) construction and completion of park improvement projects, including, but not
1.23limited to: St. Louis River riverfront improvements; Veteran's Park construction and
1.24improvements; improvements to the Hilltop Park soccer complex and Braun Park baseball
2.1complex; capital equipment and building and grounds improvements at the Pine Valley
2.2Park/Pine Valley Hockey Arena/Cloquet Area Recreation Center; and development of
2.3pedestrian trails within the city;
2.4 (2) extension of utilities and the construction of all improvements associated with
2.5the development of property adjacent to Highway 33 and Interstate Highway 35, including
2.6payment of all debt service on bonds issued for these; and
2.7(3) engineering and construction of infrastructure improvements, including, but not
2.8limited to, storm sewer, sanitary sewer, and water in areas identified as part of the city's
2.9comprehensive land use plan.
2.10 Authorized expenses include, but are not limited to, acquiring property and paying
2.11construction expenses related to these improvements, and paying debt service on bonds or
2.12other obligations issued to finance acquisition and construction of these improvements.
2.13 Subd. 4. Bonding authority. (a) The city may issue bonds under Minnesota
2.14Statutes, chapter 475, to pay capital and administrative expenses for the improvements
2.15described in subdivision 3 in an amount that does not exceed $16,500,000. An election to
2.16approve the bonds under Minnesota Statutes, section 475.58, is not required.
2.17 (b) The issuance of bonds under this subdivision is not subject to Minnesota Statutes,
2.18sections 275.60 and 275.61.
2.19 (c) The debt represented by the bonds is not included in computing any debt
2.20limitation applicable to the city, and any levy of taxes under Minnesota Statutes, section
2.21475.61, to pay principal of and interest on the bonds is not subject to any levy limitation.
2.22 Subd. 5. Termination of taxes. The taxes imposed under subdivisions 1 and 2
2.23expire at the earlier of (1) 30 years, or (2) when the city council determines that the amount
2.24of revenues received from the taxes to finance the improvements described in subdivision
2.253 first equals or exceeds $16,500,000, plus the additional amount needed to pay the costs
2.26related to issuance of bonds under subdivision 4, including interest on the bonds. Any
2.27funds remaining after completion of the project and retirement or redemption of the bonds
2.28may be placed in the general fund of the city. The taxes imposed under subdivisions 1 and
2.292 may expire at an earlier time if the city so determines by ordinance.
2.30EFFECTIVE DATE.This section is effective the day after the governing body of
2.31the city of Cloquet and its chief clerical officer timely comply with Minnesota Statutes,
2.32section 645.021, subdivisions 2 and 3.
1.3BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:
1.4 Section 1. CITY OF CLOQUET; TAXES AUTHORIZED.
1.5 Subdivision 1. Sales and use tax. Notwithstanding Minnesota Statutes, section
1.6297A.99, subdivision 1, 477A.016, or any other provision of law, ordinance, or city
1.7charter, if approved by the voters pursuant to Minnesota Statutes, section 297A.99, or at
1.8a special election held for this purpose, the city of Cloquet may impose by ordinance a
1.9sales and use tax of up to one-half of one percent for the purpose specified in subdivision
1.103. Except as provided in this section, the provisions of Minnesota Statutes, section
1.11297A.99, govern the imposition, administration, collection, and enforcement of the tax
1.12authorized under this subdivision.
1.13 Subd. 2. Excise tax authorized. Notwithstanding Minnesota Statutes, section
1.14297A.99, subdivision 1, 477A.016, or any other provision of law, ordinance, or city
1.15charter, the city of Cloquet may impose by ordinance, for the purposes specified in
1.16subdivision 3, an excise tax of up to $20 per motor vehicle, as defined by ordinance,
1.17purchased or acquired from any person engaged within the city in the business of selling
1.18motor vehicles at retail.
1.19 Subd. 3. Use of revenues. Revenues received from taxes authorized by subdivisions
1.201 and 2 must be used by the city to pay the cost of collecting the taxes and to pay for the
1.21following projects:
1.22 (1) construction and completion of park improvement projects, including, but not
1.23limited to: St. Louis River riverfront improvements; Veteran's Park construction and
1.24improvements; improvements to the Hilltop Park soccer complex and Braun Park baseball
2.1complex; capital equipment and building and grounds improvements at the Pine Valley
2.2Park/Pine Valley Hockey Arena/Cloquet Area Recreation Center; and development of
2.3pedestrian trails within the city;
2.4 (2) extension of utilities and the construction of all improvements associated with
2.5the development of property adjacent to Highway 33 and Interstate Highway 35, including
2.6payment of all debt service on bonds issued for these; and
2.7(3) engineering and construction of infrastructure improvements, including, but not
2.8limited to, storm sewer, sanitary sewer, and water in areas identified as part of the city's
2.9comprehensive land use plan.
2.10 Authorized expenses include, but are not limited to, acquiring property and paying
2.11construction expenses related to these improvements, and paying debt service on bonds or
2.12other obligations issued to finance acquisition and construction of these improvements.
2.13 Subd. 4. Bonding authority. (a) The city may issue bonds under Minnesota
2.14Statutes, chapter 475, to pay capital and administrative expenses for the improvements
2.15described in subdivision 3 in an amount that does not exceed $16,500,000. An election to
2.16approve the bonds under Minnesota Statutes, section 475.58, is not required.
2.17 (b) The issuance of bonds under this subdivision is not subject to Minnesota Statutes,
2.18sections 275.60 and 275.61.
2.19 (c) The debt represented by the bonds is not included in computing any debt
2.20limitation applicable to the city, and any levy of taxes under Minnesota Statutes, section
2.21475.61, to pay principal of and interest on the bonds is not subject to any levy limitation.
2.22 Subd. 5. Termination of taxes. The taxes imposed under subdivisions 1 and 2
2.23expire at the earlier of (1) 30 years, or (2) when the city council determines that the amount
2.24of revenues received from the taxes to finance the improvements described in subdivision
2.253 first equals or exceeds $16,500,000, plus the additional amount needed to pay the costs
2.26related to issuance of bonds under subdivision 4, including interest on the bonds. Any
2.27funds remaining after completion of the project and retirement or redemption of the bonds
2.28may be placed in the general fund of the city. The taxes imposed under subdivisions 1 and
2.292 may expire at an earlier time if the city so determines by ordinance.
2.30EFFECTIVE DATE.This section is effective the day after the governing body of
2.31the city of Cloquet and its chief clerical officer timely comply with Minnesota Statutes,
2.32section 645.021, subdivisions 2 and 3.
