Minnesota Senate Bill SF1382

Minnesota 2023-2024 Regular Session

• Introduced: 2/8/23
• Refer: 2/8/23

Caption

City of Marshall authorization to extend its local sales and use tax

Impact

The passage of SF1382 would effectively amend existing Minnesota tax laws by granting the city of Marshall the authority to impose an additional local sales and use tax. Beyond simply increasing local revenue, the measure dictates that the revenues derived from this tax must specifically fund costs related to administering the tax itself as well as supporting the selected facility projects. Importantly, the provisions of existing Minnesota statutes relating to sales and use taxes will continue to apply, thus ensuring compliance with broader state tax protocols.

Summary

Senate File 1382 (SF1382) is a legislative proposal that seeks to authorize the city of Marshall, Minnesota, to extend its local sales and use tax for specific purposes. The bill allows for a tax of up to one-half of one percent, provided that voters in the city approve this measure at a general election scheduled within two years from the bill's enactment. This extension of the tax is intended to facilitate funding for two significant local projects - the Minnesota Emergency Response and Industry Training Center and a new municipal aquatic center.

Contention

Discussions surrounding SF1382 may evoke various opinions among local stakeholders, particularly concerning the burden of tax on residents versus the anticipated benefits from the authorized projects. Supporters of the bill could argue that funding these critical facilities will enhance local economic development and community services. Conversely, opponents may raise concerns about the implications of a tax increase during financially challenging times, questioning the priorities of city funding and the overall effectiveness of the proposed infrastructure investments.