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HF3082 (Legislative Session 94 (2025-2026))

Brooklyn Park; refundable sales and use tax exemption provided for construction materials for a regional athletic facility.

Related bill: SF3319

AI Generated Summary

Purpose of the Bill

The purpose of this bill is to introduce a tax benefit for the construction of a regional athletic facility in Brooklyn Park, Minnesota. Specifically, it aims to support this development by offering a financial incentive in the form of a sales and use tax exemption.

Main Provisions

  • Sales Tax Exemption: The bill proposes a refundable exemption from sales and use tax for materials, supplies, and equipment used in building, reconstructing, upgrading, expanding, or renovating a regional athletic facility in Brooklyn Park.

  • Time Frame for Purchases: To qualify for the tax exemption, the materials and equipment must be purchased between December 1, 2025, and December 31, 2028.

  • Tax Collection and Refund: Although sales tax on these items is to be initially applied as per usual tax law, it will be refunded afterward, following a specific procedure outlined in existing Minnesota Statutes related to similar projects.

Significant Changes to Existing Law

The bill establishes a temporary exemption from the sales and use tax specifically for the construction materials related to the athletic facility within a designated period. This change applies specifically to enable the Brooklyn Park project and follows a structured refund process already available for certain other types of projects under Minnesota law.

Relevant Terms

  • Tax exemption
  • Sales and use tax
  • Construction materials
  • Refund
  • Regional athletic facility
  • Brooklyn Park
  • Minnesota Statutes chapter 297A
  • General fund appropriation

Bill text versions

Actions

DateChamberWhereTypeNameCommittee Name
April 02, 2025HouseFloorActionIntroduction and first reading, referred toTaxes
April 02, 2025HouseFloorActionIntroduction and first reading, referred toTaxes

Citations

 
[
  {
    "analysis": {
      "added": [
        "Clarifies that the sales tax rate should apply before a refund is processed."
      ],
      "removed": [],
      "summary": "The bill applies the standard sales tax rates as described in section 297A.62, subdivisions 1 and 1a.",
      "modified": []
    },
    "citation": "297A.62",
    "subdivision": "subdivisions 1 and 1a"
  },
  {
    "analysis": {
      "added": [
        "Includes a new refund mechanism for specific construction projects in Brooklyn Park."
      ],
      "removed": [],
      "summary": "This bill modifies the process for refunding taxes on construction materials, referencing section 297A.75, subdivision 1, clause 17.",
      "modified": []
    },
    "citation": "297A.75",
    "subdivision": "subdivision 1 clause 17"
  }
]

Sponsors