MN HF3716

City of Proctor may impose a 0.5 percent local sales and use tax upon voter approval at a general election.

Tax revenues must be used to pay collection and administration costs and finance up to $3,850,000 for construction of a new regional trail, including debt service on bonds.

City may issue bonds under Minnesota Statutes chapter 475 with aggregate principal not to exceed $3,850,000 plus bond issuance costs.

Tax expires at the earlier of 20 years after first imposed or when city council determines sufficient revenue has been collected to pay project costs and bond obligations.

Remaining funds after project completion are placed in the city's general fund; tax may terminate earlier by city ordinance.