S.F. No. 500 Summary

• Exempts materials, supplies, and equipment used in school construction and renovation projects from Minnesota sales and use tax for eight school districts and education facilities.

• Applies to purchases made within specified date ranges (primarily 2019-2025) for Chisholm Public Schools, Duluth Public Schools, Ely Public Schools, Hibbing Public Schools, Nashwauk-Keewatin Public Schools, Northland Learning Center, Northern Lights Academy, and Rock Ridge Public Schools.

• Tax must be collected at the standard rate and then refunded through the existing project refund mechanism under Minnesota Statutes section 297A.75, subdivision 1, clause (17).

• Refunds cannot be issued until specified dates (June 30, 2023 or July 1, 2023 depending on the school district).

• Appropriates necessary funds from the general fund to the commissioner of revenue to pay all refunds, with retroactive effective dates matching each project's purchase period.