SF2657

Purpose of the Bill

This bill addresses the local sales tax in St. Paul, Minnesota. It proposes extending the expiration date of the authority granted to the city to impose this tax, providing the city with continued financial support for completing public projects and managing related debts.

Main Provisions

• Extension of Sales Tax Authority: The authority for St. Paul to impose this local sales tax, originally set to expire on December 31, 2042, is extended to December 31, 2060.
• Early Expiration Options: The city can choose to end the tax earlier if desired. This can be done through a city ordinance when either the projected costs are met or 20 years after the tax is first imposed.
• Use of Remaining Funds: Any funds remaining after the completion of approved projects and the settlement of bonds or obligations may be transferred to the city's general fund.

Significant Changes to Existing Law

• The expiration date for the local sales tax authority is extended by 18 years, from 2042 to 2060. This change allows for more extended support of city projects and financial obligations.

Relevant Terms

• Local sales tax
• St. Paul
• Tax expiration
• City ordinance
• General fund
• Bonds and obligations