Minnesota 2023-2024 Regular Session

Minnesota House Bill HF1014

Introduced
1/30/23  

Caption

Brooklyn Center; local sales and use tax provisions modified, and local sales and use tax imposition authorized.

Impact

The bill has significant implications for local taxation and financing in Brooklyn Center. By allowing the city to impose a local sales tax, it empowers local authorities to generate revenue that is directly tied to the needs and priorities of the community. The revenue can be used not only for the community center project but also for the costs involved in managing and administering the tax itself. Furthermore, the bill allows the city to issue bonds to finance the authorized projects without being subject to the usual state debt limitations, which could facilitate quicker project implementation.

Summary

House File 1014, known as the Brooklyn Center Sales and Use Tax Bill, authorizes the city of Brooklyn Center to impose a local sales and use tax of 0.5% pending voter approval at a general election. This tax is designed as a mechanism for generating revenue aimed at funding specific local projects, most notably the renovation and expansion of the Brooklyn Center Community Center, which is estimated to cost $44 million. The bill outlines the procedures and criteria for implementing the tax, as well as the management of revenues generated from it.

Contention

Discussion surrounding HF1014 may reveal points of contention, particularly regarding the additional tax burden on residents and businesses. While supporters of the bill advocate for the necessity of funding local infrastructure projects, critics may argue against raising taxes in an already economic uncertain environment. The requirement for voter approval adds a layer of democratic legitimacy to the process, but it could also lead to scrutiny and debate during election times about the fiscal responsibility of such measures and the long-term financial implications for residents.

Companion Bills

MN SF761

Similar To Brooklyn Center imposition of a local sales and use tax authorization

Similar Bills

MN HF916

Tax expenditure provisions modified, and past tax expenditure purpose statements provided.

MN HF3284

REAL ID implementation law repealed.

MN SF3492

REAL ID implementation law repealer

MN SF32

Wage credits modification and reimbursement provision; unemployment insurance aid establishment and appropriation

MN HF20

Wage credits modified and reimbursement provided, general fund transfers authorized, unemployment insurance aid provided, report required, and money appropriated.

MN HF4840

Refundable sales and use tax exemptions provided for independent school district construction projects.

MN SF4803

Various independent school district construction projects sales and use tax exemption provision and appropriation

MN HF5267

Governor's budget bill for early childhood programs; child welfare and child care licensing provisions modified; technical changes to early childhood law made; Department of Children, Youth, and Families recodification updated; and money appropriated.