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SF159 (Legislative Session 94 (2025-2026))

Worthington Independent School District sales and use tax exemption for construction materials authorization

Related bill: HF891

AI Generated Summary

The legislative bill SF No 159 proposes an exemption from sales and use taxes on construction materials, supplies, and equipment used for various construction and renovation projects in the Worthington Independent School District, Minnesota. The exemption applies if the purchases are made between April 30, 2020, and January 1, 2028. Specific projects mentioned include:

  1. Building a new school for grades 3-5.
  2. Building a new community education building.
  3. Constructing a new storage facility.
  4. Reconstructing the parking lot at Worthington Middle School.
  5. Adding to and remodeling the high school.
  6. Building a new ice arena.
  7. Installing a new turf football field.
  8. Demolishing an old school building and constructing sports fields.
  9. Reconstructing Trojan Field and other facilities.
  10. Improving the Worthington Learning Center and the gymnastics facility.

The taxes will be collected as usual but will be refunded in accordance with specified Minnesota statutes. Additionally, there’s a provision for late claims of these exemptions for purchases made up to October 1, 2021, to be filed until January 1, 2025. Funds required for these refunds will come from the state's general fund.

Bill text versions

Actions

DateChamberWhereTypeNameCommittee Name
January 15, 2025SenateFloorActionIntroduction and first reading
January 15, 2025SenateFloorActionReferred toTaxes

Citations

 
[
  {
    "analysis": {
      "added": [
        "Exempts specified projects from sales tax if materials are purchased within a specified timeframe."
      ],
      "removed": [],
      "summary": "This bill provides a sales and use tax exemption for certain construction materials used by Worthington Independent School District under Minnesota Statutes chapter 297A.",
      "modified": []
    },
    "citation": "297A"
  },
  {
    "analysis": {
      "added": [
        "Tax imposed as if rate under sections 1 and 1a applied, followed by a refund process."
      ],
      "removed": [],
      "summary": "This bill references the tax rate imposed under Minnesota Statutes section 297A.62 for applicable construction projects.",
      "modified": []
    },
    "citation": "297A.62"
  },
  {
    "analysis": {
      "added": [
        "Refund process for construction projects uses procedures in clause 17 of subdivision 1."
      ],
      "removed": [],
      "summary": "The refund mechanism for the tax exemption is similar to provisions in Minnesota Statutes section 297A.75.",
      "modified": []
    },
    "citation": "297A.75"
  },
  {
    "analysis": {
      "added": [
        "Allows filing of refund claims after purchases made within a specific date range until January 1, 2025."
      ],
      "removed": [],
      "summary": "Extensions for filing refunds adhere to limitations set in Minnesota Statutes section 289A.40.",
      "modified": []
    },
    "citation": "289A.40"
  }
]

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