1.1                          A bill for an act 
  1.2             relating to taxation; exempting ambulance services 
  1.3             from motor fuel taxation; making technical 
  1.4             corrections; amending Minnesota Statutes 2000, 
  1.5             sections 296A.07, subdivision 4; 296A.08, subdivision 
  1.6             3; and 297A.68, subdivision 19. 
  1.7   BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.8      Section 1.  Minnesota Statutes 2000, section 296A.07, 
  1.9   subdivision 4, is amended to read: 
  1.10     Subd. 4.  [TRANSIT SYSTEM EXEMPT EXEMPTIONS.] The 
  1.11  provisions of subdivision 1 do not apply to gasoline purchased 
  1.12  by: 
  1.13     (1) a transit system or transit provider receiving 
  1.14  financial assistance or reimbursement under section 174.24, 
  1.15  256B.0625, subdivision 17, or 473.384; or 
  1.16     (2) an ambulance service licensed under chapter 144. 
  1.17     Sec. 2.  Minnesota Statutes 2000, section 296A.08, 
  1.18  subdivision 3, is amended to read: 
  1.19     Subd. 3.  [TRANSIT SYSTEM EXEMPT EXEMPTIONS.] The 
  1.20  provisions of subdivisions 1 and 2 do not apply to special fuel 
  1.21  or alternative fuels purchased by: 
  1.22     (1) a transit system or transit provider receiving 
  1.23  financial assistance or reimbursement under section 174.24, 
  1.24  256B.0625, subdivision 17, or 473.384; or 
  1.25     (2) an ambulance service licensed under chapter 144.  
  1.26     Sec. 3.  Minnesota Statutes 2000, section 297A.68, 
  2.1   subdivision 19, is amended to read: 
  2.2      Subd. 19.  [PETROLEUM PRODUCTS.] The following petroleum 
  2.3   products are exempt: 
  2.4      (1) products upon which a tax has been imposed and paid 
  2.5   under chapter 296A, and for which no refund has been or will be 
  2.6   allowed because the buyer used the fuel for nonhighway use; 
  2.7      (2) products that are used in the improvement of 
  2.8   agricultural land by constructing, maintaining, and repairing 
  2.9   drainage ditches, tile drainage systems, grass waterways, water 
  2.10  impoundment, and other erosion control structures; 
  2.11     (3) products purchased by a transit system receiving 
  2.12  financial assistance under section 174.24, 256B.0625, 
  2.13  subdivision 17, or 473.384; 
  2.14     (4) products purchased by an ambulance service licensed 
  2.15  under chapter 144; 
  2.16     (5) products used in a passenger snowmobile, as defined in 
  2.17  section 296A.01, subdivision 39, for off-highway business use as 
  2.18  part of the operations of a resort as provided under section 
  2.19  296A.16, subdivision 2, clause (2); or 
  2.20     (5) (6) products purchased by a state or a political 
  2.21  subdivision of a state for use in motor vehicles exempt from 
  2.22  registration under section 168.012, subdivision 1, paragraph (b).
  2.23     Sec. 4.  [EFFECTIVE DATE.] 
  2.24     Sections 1 to 3 are effective July 1, 2001, for taxes 
  2.25  payable on and after that date.