1.1                          A bill for an act
  1.2             relating to taxation; sales and use; exempting the 
  1.3             purchase of certain property used in constructing a 
  1.4             city hall and police department facility in the city 
  1.5             of Blaine; amending Minnesota Statutes 2000, sections 
  1.6             297A.71, by adding a subdivision; and 297A.75, 
  1.7             subdivision 1. 
  1.8   BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.9      Section 1.  Minnesota Statutes 2000, section 297A.71, is 
  1.10  amended by adding a subdivision to read: 
  1.11     Subd. 23.  [CONSTRUCTION MATERIALS; BLAINE CITY HALL AND 
  1.12  POLICE DEPARTMENT FACILITY.] Materials and supplies used or 
  1.13  consumed in, and equipment incorporated into, the construction 
  1.14  of the Blaine city hall and police department facility are 
  1.15  exempt.  The tax must be imposed and collected as if the rate 
  1.16  under section 297A.62, subdivision 1, applied and then refunded 
  1.17  in the manner prescribed for refunds in section 297A.75. 
  1.18     <b>[EFFECTIVE DATE.]</b> This section is effective for purchases 
  1.19  made after June 30, 2000. 
  1.20     Sec. 2.  Minnesota Statutes 2000, section 297A.75, 
  1.21  subdivision 1, is amended to read: 
  1.22     Subdivision 1.  [TAX COLLECTED.] The tax on the gross 
  1.23  receipts from the sale of the following exempt items must be 
  1.24  imposed and collected as if the sale were taxable and the rate 
  1.25  under section 297A.62, subdivision 1, applied.  The exempt items 
  1.26  include: 
  2.1      (1) capital equipment exempt under section 297A.68, 
  2.2   subdivision 5; 
  2.3      (2) building materials for an agricultural processing 
  2.4   facility exempt under section 297A.71, subdivision 13; 
  2.5      (3) building materials for mineral production facilities 
  2.6   exempt under section 297A.71, subdivision 14; 
  2.7      (4) building materials for correctional facilities under 
  2.8   section 297A.71, subdivision 3, and for the Blaine city hall and 
  2.9   police department facility under section 297A.71, subdivision 
  2.10  23; 
  2.11     (5) building materials used in a residence for disabled 
  2.12  veterans exempt under section 297A.71, subdivision 11; and 
  2.13     (6) chair lifts, ramps, elevators, and associated building 
  2.14  materials exempt under section 297A.71, subdivision 12. 
  2.15     <b>[EFFECTIVE DATE.]</b> This section is effective for purchases 
  2.16  made after June 30, 2000.