The proposed bill in question aims to exempt from sales and use taxes the construction materials that are purchased by contractors specifically for road construction or repair projects. This tax exemption would apply when materials are bought for use in projects contracted by school districts and local government entities. In terms of tax procedure, the contractor would initially pay the tax when purchasing the materials, but then they would be able to apply for a refund of those taxes. The bill addresses changes to existing Minnesota tax statutes to include this new exemption category for road construction materials.