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STATE OF MINNESOTA HOUSE OF REPRESENTATIVES
TWENTY-EIGHTH MEETING
EIGHTY-EIGHTH SESSION

COMMITTEE ON TAXES
Chair, Representative Ann Lenczewski

MINUTES

Representative Loeffler, Vice Chair of Committee on Taxes, called the meeting to order at 12:30 PM April 9 in Room 10 of the State Office Building.

The Committee Legislative Assistant noted the roll.

Members present:
Loeffler, Vice Chair
Davids, Lead
Anderson, S.
Anzelc
Barrett
Benson, J.
Carlson
Davnie
Drazkowski
Erhardt
Garofalo
Hansen
Lesch
Liebling
Lillie
Loon
Mack
Marquart
Myhra
Paymar
Peppin
Runbeck
Schoen
Simonson
Slocum
Zellers

Members excused:
Lenczewski
Melin

Representative Benson moved the minutes from March 21.

Representative Anzelc moved HF1382

Representative Anzelc presented HF1382 (Anzelc) Municipalities authorized to issue obligations without election for certain street improvements.

HF1382 was laid over for possible inclusion to an omnibus tax bill.

Representative Davids moved HF1593
Representative Persell presented HF1593 (Persell) Manufactured homes clarified as dealer inventory.
The following individuals testified on HF1593:

Mark Brunner
Scott Lund

HF1593 was laid over for possible inclusion to an omnibus tax bill.

Representative Schoen moved HF1341
Representative Schoen presented HF1341 (Schoen) Medical device sales and use tax exemption expanded.
The following individuals testified on HF1341:

Sarah Anderson
Cameo Zehnder

HF1341 was laid over for possible inclusion to an omnibus tax bill.

Representative Lillie moved HF1659
Representative Fritz presented HF1659 (Fritz) Nursing homes and boarding care homes most purchases exempted from sales and use tax.
The following individuals testified on HF1659:

Susan Von Mosch, Department of Revenue

HF1659 was laid over for possible inclusion to an omnibus tax bill.

There was an informational hearing on HF759 (Savick) Volunteer first responder credit provided.

The following individuals testified on HF759:

Ken Prillaman, Brooklyn Park Fire Chief

No action was taken on the bill.

Representative Erhardt moved HF1011

Representative Erhardt presented HF1011 (Erhardt) Metropolitan area transit and paratransit capital expenditures additional financing provided for, and obligation issuance authorized.

The following individuals testified on HF1011:

Judd Schetnan, Metropolitan Council

HF1011 was laid over for possible inclusion to an omnibus tax bill.

Representative Erhardt moved HF745

Representative Erhardt moved the H0745A6 amendment

There was an oral amendment to the amendment. The H0745A6 amendment was amended as follows:

Page 3, line 16, delete "previous"
Page, 3, line 17, delete "unoccupied", after the first "is"
Insert "built and", and after "occupied" insert "pursuant to a certificate of occupancy"

The motion prevailed. The amendment as amended was adopted.
Representative Erhardt presented HF745 as amended (Erhardt) Municipalities authorized to establish street improvement districts and apportion street improvement fees within districts, adoption of street improvement plan required, and collection of fees authorized.
The following individuals testified on HF745:

Peter Coyle, Builders Association of MN / Builders Association of the Twin Cities
Anne Finn, League of MN Cities
Jeannie Fox, MN Council of Nonprofits
Jacob Millner, MN Auto Dealers
Ethan Roberts
Kate Johansen, MN Chamber of Commerce
Kay Rockow
Amber Backhaus, MN Trucking Association
Mike Hickey, National Federation of Independent Business, Minnesota Chapter
Scott McMann, MN Private College Council
Lee Gusftason, City of Minnetonka
Betsy Stolfa, City of Delano
Jill Larson, MN Business Partnership

The Tax Committee went into recess at 2:00 PM.

The Tax Committee reconvened at 4:03 pm.

Representative Barrett moved HF1675
Representative Barrett presented HF1675 (Barrett) Exempt property held for economic development permitted holding period increased.
The following individuals testified on HF1675:

Bridgitte Konrad, City of North Branch
Patrick Hynes, League of MN Cities

HF1675 was laid over for possible inclusion to an omnibus tax bill.
There was a continuation of discussion on HF745 (Erhardt)
HF745 was laid over for possible inclusion to an omnibus tax bill.

Chair Lenczewski moved HF1686

Chair Lenczewski presented HF1686 (Lenczewski) Public fund investments authorized, energy improvement repayment provided for, capital equipment financing requirements changed, and street reconstruction bond election requirements changed.

Chair Lenczewski moved the A1686A1
The motion prevailed. The A1686A1 amendment was adopted.

The following individuals testified on
HF1686:

Kathy Hahne
Lynnette Slater-Crandle, MN Institute of Public Finance
Keith Carlson,
Brent Christensen, MN Telecom Alliance
Mike Martin, MN Cable Communications Association
Steve Bush, Airport Commission

Representative Anderson moved HF1677
Representative Anderson presented HF1677 (Anderson) Purchases made by cities who did not receive a city aid payment in the previous calendar year exempted from sales and use tax.
The following individuals testified on HF1677:

Dave Callister, City of Plymouth

HF1677 was laid over for possible inclusion to an omnibus tax bill.

Representative Davnie moved HF1724

Representative Davnie withdrew his motion to move HF1724

Representative Lesch moved HF389

Representative Lesch presented HF389 (Lesch) Collection of 911 fees from prepaid wireless telecommunications services and prepaid wireless E911 services provided for, broadband development grant program established, and money appropriated.

Representative Lesch moved the H0389A5 amendment

The motion prevailed. The H0389A5 amendment was adopted.

The following individuals testified on HF389:

Tom Murphy, AT&T
Susan Von Mosch, Department of Revenue
Jamie Pfuhl, MN Grocers Association
Jackie Mines, Department of Public Safety

Rep Lesch moved to amend the H0389A5 amendment as follows:

Delete, section 16

The motion prevailed. The amendment as amended was adopted.

HF389 was laid over for possible inclusion to an omnibus tax bill.

Representative Davnie renewed his motion to move HF1724
Representative Davnie presented HF1724 (Davnie) Truth in taxation budget hearing required, and notice of proposed property taxes requirement repealed.
The following individuals testified on HF1724:

Rolf Erickson, Reform Property Taxes MN
Beau Berentson, Association of MN Counties
Mark Haveman, MN Center for Fiscal Excellence

HF1724 was laid over for possible inclusion to an omnibus tax bill.

Representative Davids moved HF1660
Representative Davids presented HF1660 (Davids) Sales tax exemption expanded for complimentary meals and beverages and certain capital equipment used by restaurants.
The following individuals testified on HF1660:

Dan Macelroy, MN Restaurant Association
Scott Winer, MN Restaurant Association

HF1660 was laid over for possible inclusion to an omnibus tax bill.

The meeting was adjourned at 8:15 PM.




___________________________
Representative Ann Lenczewski, Chair



_________________________________________
Gina Kunesh, Committee Legislative Assistant

Related Audio & Video

Note: If there is a television recording of the meeting, links to that format will also be available.


    Tuesday, April 9, 2013
    Listen Now or Download MP3

    Agenda: HF1724 (Davnie) A bill for an act relating to taxation; property; requiring a truth in taxation budget hearing; repealing requirement for notice of proposed property taxes Informational Hearing on HF759 (Savick) Volunteer first responder credit provided.
    HF1593 (Persell) Manufactured homes clarified as dealer inventory.
    HF1382 (Anzelc) Municipalities authorized to issue obligations without election for certain street improvements.
    HF1341 (Schoen) Medical device sales and use tax exemption expanded.
    HF1011 (Erhardt) Metropolitan area transit and paratransit capital expenditures additional financing provided for, and obligation issuance authorized.
    HF745 (Erhardt) Municipalities authorized to establish street improvement districts and apportion street improvement fees within districts, adoption of street improvement plan required, and collection of fees authorized.
    HF389 (Lesch) Collection of 911 fees from prepaid wireless telecommunications services and prepaid wireless E911 services provided for, broadband development grant program established, and money appropriated.
    HF1659 (Fritz) Nursing homes and boarding care homes most purchases exempted from sales and use tax.
    HF1686 (Lenczewski) Public fund investments authorized, energy improvement repayment provided for, capital equipment financing requirements changed, and street reconstruction bond election requirements changed.
    HF1660 (Davids) Sales tax exemption expanded for complimentary meals and beverages and certain capital equipment used by restaurants.
    HF1675 (Barrett) Exempt property held for economic development permitted holding period increased.
    HF1677 (Anderson) Purchases made by cities who did not receive a city aid payment in the previous calendar year exempted from sales and use tax.


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