HF511

The legislative bill proposes authorizing the city of Plymouth, Minnesota, to implement a local sales and use tax of up to 0.5%. This tax, once approved by Plymouth voters in a general election, will be used to finance specific community projects including:

1. $45 million for enhancements to the Plymouth Ice Center and a new public parking ramp.
2. $40 million for improvements to the Plymouth Community Center and the construction of a permanent fieldhouse.
3. $35 million for the development and improvement of regional sports complexes in Plymouth.

The city can issue bonds up to $120 million to fund these projects, paid back through the revenue generated from this tax. This tax will automatically end 20 years after its implementation, or earlier if the city collects enough funds to cover all approved project costs and bond-related expenses. Remaining funds post-tax termination would revert to the city’s general fund.

The bill places the tax under general Minnesota tax regulations, but with specific provisions for its expiration, collection, and use for the approved community improvements in Plymouth.