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SF3317 (Legislative Session 94 (2025-2026))

City of Brooklyn Park clean water infrastructure construction materials refundable exemption provision and appropriation

Related bill: HF3083

AI Generated Summary

Purpose of the Bill

The purpose of this bill is to support infrastructure development in the city of Brooklyn Park, Minnesota, specifically targeting the city's biotech innovation district. The bill seeks to provide a financial incentive for construction by offering a tax exemption on materials used in building new water mains.

Main Provisions

  • Sales Tax Exemption: The bill provides a refundable exemption for sales and use tax on construction materials. This applies to materials, supplies, and equipment involved in constructing two water mains that will run from east to west across U.S. Highway 169.
  • Eligibility Period: The exemption applies to purchases made between November 30, 2025, and January 1, 2029.
  • Refund Process: Taxes are to be initially collected at the standard rate and later refunded as outlined by existing tax refund procedures for certain types of construction projects.

Significant Changes to Existing Law

  • The bill introduces a specific sales tax exemption for the construction of water infrastructure in Brooklyn Park, which is a new provision not currently part of Minnesota's statutes.
  • It designates funds from the general fund to cover the cost of these sales tax refunds, ensuring the process is budgeted at the state level.

Relevant Terms

  • Sales Tax Exemption
  • Refundable Tax
  • Water Mains Construction
  • Infrastructure Development
  • Biotech Innovation District
  • Brooklyn Park

Bill text versions

Actions

DateChamberWhereTypeNameCommittee Name
April 06, 2025SenateFloorActionIntroduction and first reading
April 06, 2025SenateFloorActionReferred toTaxes

Citations

 
[
  {
    "analysis": {
      "added": [
        "Adds a temporary refundable exemption specific to construction materials for the Brooklyn Park infrastructure project."
      ],
      "removed": [],
      "summary": "This bill references the existing tax rates applied under section 297A.62 for a temporary sales and use tax refund.",
      "modified": []
    },
    "citation": "297A.62",
    "subdivision": "subdivisions 1 and 1a"
  },
  {
    "analysis": {
      "added": [
        "Includes the Brooklyn Park project under the refund provisions previously outlined in existing law."
      ],
      "removed": [],
      "summary": "This bill ensures refunds follow the process outlined in section 297A.75 for qualifying projects.",
      "modified": []
    },
    "citation": "297A.75",
    "subdivision": "subdivision 1 clause 17"
  }
]

Sponsors