MN HF3381

Political subdivisions seeking to impose a new local sales tax or modify an existing local sales tax authorized by special law must adopt a resolution each year requesting legislative approval, rather than a one-time resolution.

Resolutions must include the proposed tax rate, description of up to five capital projects, documentation of regional significance of each project, the amount of tax revenue for each project with estimated timeframe, and total revenue projections before tax expiration.

Political subdivisions may not advertise or promote referendums for local sales taxes, but may only spend funds to conduct referendums, disseminate project information, conduct public forums with equal time for proponents and opponents, and provide facts about tax impacts and funded projects.

Jurisdictions must submit resolutions and supporting documentation to legislative committee chairs and ranking minority members by January 31 each year, and submit amended resolutions if they seek to add projects, increase project funding amounts, increase total revenue, or extend the tax duration.

All amendments are effective for local sales tax proposals submitted for approval after the bill's enactment date.