8.3. SR 09-15-2003 - Laserfiche WebLink

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Seeking Input Dept. of Revenue taking public testimony on local sales taxes Jennifer O'Rourke The Dept. of P,.evenue has finalized the hearing details for three meetings to be held in September to take public testimony on local sales taxes. The department is conducting a study and is seeking public input, including input from city officials. If you need further information about the meetings, contact Kathy Yzermans, MN Dept. of Revenue, at (651) 297-4160; or Jennifer O'Rourke, LMC, at (651) 281-1261 orjorourke~ lmnc. org. Dates & Locations: · Sept. 16~Brainerd 11 a.m.-1 p.m. Brainerd Public Library, 416 Sonth 5th Street (Parking available in lower part of lot.) · Sept. 17--Rochester 1 l. a.m.-1 p.m. Rochester Public Library Auditorium, 101 2nd Street SE (Parking available in the attached ramp. Entrance on south side of building.) · Sept. 18~St. Paul 8:30-1.0:30 a.m. Dept. of P,.evenue, 600 North 1Kobert Street, Skjegstad Room, 2nd floor (Parking available in meters in lot at front of building.) The 2003 Legislature requested that the Dept. of Revenue conduct the study. During the last legislative session, several cities brought for~vard legislative requests for local sales taxes or special sales taxes, but none of th.ese were approved. Local Sales Tax Study The following summary was included in the LMC 2003 Law Summaries publication: Section 19 (of first special session HF 7*/Chapter 21) directs the cotnmissioner of revenue to conduct a study of local sales taxes in Minnesota. The department's study must report on: · Currently authorized local sales taxes and the proposed uses of revenues from local sales taxes recently proposed but not yet enacted. · The local approval requirements for local sales taxes. · The permitted dm'ation of local sales taxes and ~vhether the full duration authorized in law was necessary to provide sufficient revenues for the authorized projects. · Whether the authorized uses of local sales taxes are regional in nature or limited in benefit to the imposing jurisdiction. · The estimated portion of revenue raised from residents ofthejurisctiction, Minnesota residents living outside the jurisdiction, and non- Minnesota residents. · The ability of jurisdictions to raise revenues by other means, including the local property tax compared to other similar jurisdictions. · How-jurisdictions without local sales taxes fund similar projects. · Compatibility of local sales taxes ,vith the streamlined sales tax project. The study, due by Feb. 1,2004, must make recommendations on: · The appropriate role of local sales taxes in the state and local revenue system. · Whether local sales taxes should be limited to jurisdictions that do not have the capacity to raise revenues through other sources. · Criteria to be used iu evaluating local sales tax proposals such as projects of regional significance, projects requiring capital expenditure, or projects in jurisdictions without adequate fiscal capacity. · The feasibility of authorizing the commissioner of revenue to approve or deny applications from local jurisdictions seeking to impose a local sales tax. ~- /Visit the League N on the Web: www. lmnc.org for alt the tatest information about how your city can participate and benefit from LMC and LMCIT services, resources, and training opportunities. September3, 2003 L-./?}~,- (2i'~[~3 ~0~,([¢~',~ Page 7