SF3592 (Legislative Session 94 (2025-2026))
City of Robbinsdale local sales and use tax imposition authorization
Related bill: HF3464
AI Generated Summary
Purpose
This bill would let the city of Robbinsdale create its own local sales and use tax to fund a Public Works Facility Project. The tax would require voter approval and would be used to cover the costs of collecting the tax as well as to pay for the project through bonds.
Key Provisions
Local tax authorization
- Robbinsdale could impose a sales and use tax of up to 0.5% (one-half of one percent) if voters approve it.
Use of revenue
- Revenue from the tax would be used to pay for:
- the costs of collecting and administering the tax, and
- the Public Works Facility Project, up to $40,000,000 plus related bonding costs.
Bonding authority
- The city could issue bonds under state law (Chapter 475) to finance all or part of the project costs.
- The total bond principal could not exceed $40,000,000 plus issuance costs.
- Bond proceeds can be paid from the tax revenues or other city money.
- Bond issuance is not subject to certain debt-related statutes and is not counted in city debt limits.
- Any tax levy to pay bond principal and interest would not be limited by typical levy caps.
- A separate election to approve bonds is not required.
Termination and sunset
- The tax would expire at the earlier of:
- 20 years after the tax is first imposed, or
- when the city determines the tax revenue is enough to pay the project costs (including bond costs and interest) as approved by voters, plus associated issuance costs.
- Any remaining money after paying allowed costs would go to the city’s general fund.
- The city could end the tax earlier by ordinance.
Additional notes
- The tax is in addition to any other local sales tax.
- The proposal follows voter approval rules and local ordinance authority, with references to specific Minnesota statutes for administration and elections.
Significant Changes to Existing Law
- Establishment of a new local sales and use tax for Robbinsdale (up to 0.5%), subject to voter approval.
- Authorization for up to $40 million in bonding plus issuance costs to fund a Public Works Facility Project, with a streamlined process that does not require a separate bond election.
- Bonds and debt related provisions are made not to count toward certain debt limits and not to be restricted by some levy limitations.
- Tax termination is tied to a project funding goal and bonds, with a specified sunset mechanism (up to 20 years or earlier if funding goals are met).
- Funds from any remaining balance would be funneled to the city’s general fund after project and bond costs are covered.
Relevant Terms - local sales and use tax, 0.5% tax, Robbinsdale - Public Works Facility Project - bonding, bonds, Chapter 475, issuance costs - debt limits, levy limitations - voter approval, election, Minnesota Statutes 297A.99 - administration costs, collection costs - termination, sunset, general fund - ordinance, local option taxation
Bill text versions
- Introduction PDF PDF file
Actions
| Date | Chamber | Where | Type | Name | Committee Name |
|---|---|---|---|---|---|
| February 17, 2026 | Senate | Action | Introduction and first reading | ||
| February 17, 2026 | Senate | Action | Referred to | Taxes |
Citations
[
{
"analysis": {
"added": [],
"removed": [],
"summary": "Cites Minnesota Statutes section 477A.016 in relation to the authority granted to Robbinsdale to impose a local sales and use tax.",
"modified": []
},
"citation": "477A.016",
"subdivision": ""
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "Cites Minnesota Statutes section 297A.99, subdivision 3, governing voter approval and related requirements for bond issuance and the local sales tax authorized by the bill.",
"modified": []
},
"citation": "297A.99",
"subdivision": "subdivision 3"
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "Cites Minnesota Statutes section 297A.99, subdivision 1, paragraph a, relating to the authority and conditions for the tax authorization.",
"modified": []
},
"citation": "297A.99",
"subdivision": "subdivision 1, paragraph a"
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "Cites Minnesota Statutes section 297A.99, subdivision 3, paragraph a, addressing bond approval by voters as part of the financing.",
"modified": []
},
"citation": "297A.99",
"subdivision": "subdivision 3, paragraph a"
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "Cites Minnesota Statutes section 297A.99, subdivision 3, paragraph f, concerning disposition of funds remaining after costs upon termination.",
"modified": []
},
"citation": "297A.99",
"subdivision": "subdivision 3, paragraph f"
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "Cites Minnesota Statutes section 297A.99, subdivision 12, governing termination timing of the tax.",
"modified": []
},
"citation": "297A.99",
"subdivision": "subdivision 12"
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "Cites Minnesota Statutes section 275.60; the bond issuance is not subject to this levy limitation.",
"modified": []
},
"citation": "275.60",
"subdivision": ""
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "Cites Minnesota Statutes section 275.61; the bond issuance is not subject to this levy limitation.",
"modified": []
},
"citation": "275.61",
"subdivision": ""
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "Cites Minnesota Statutes section 475.61; levy for principal and interest on bonds is not subject to levy limitations.",
"modified": []
},
"citation": "475.61",
"subdivision": ""
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "Cites Minnesota Statutes section 475.58; a separate election to approve the bonds is not required.",
"modified": []
},
"citation": "475.58",
"subdivision": ""
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "Cites Minnesota Statutes, chapter 475, governing bonding authority related to the project.",
"modified": []
},
"citation": "475",
"subdivision": ""
}
]