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HomeMy WebLinkAboutResolution 99-42ACITY OF COLUMBIA HEIGHTS (!") 590 40TH AVENUE N.E:., COLUMBIA HEIGHTS, MN 5542 !-3878 (6 ! 2) 782-2800 TDD 782-2806 RESOLUTION NO. 99-42 - A BEING A RESOLUTION SUPPORTING REPEAL OF THE STATE SALES TAX FOR LOCAL GOVERNMENT PURCHASES WHEREAS, the Legislature imposed the sales tax on local govemments in 1992 when facing a significant state budget deficit; and WHEREAS, the state government has collected hundreds of millions of dollars in sales tax since 1992 on local govemment purchases of items such as road maintenance equipment, wastewater treatment facilities, and building materials; and WHEREAS, the sales tax on local government purchases is passed on to residents in the form of higher property taxes and fees; and WHEREAS, the state's financial picture has improved dramatically and the need for the sales tax no longer exists; and WHEREAS, Minnesota is one of only seven states which impose sales tax on local government purchases; and WHEREAS, imposing the sales tax on local government purchases is an inefficient way to raise state revenues, especially where sales tax is paid for bonding projects with accompanying interest costs; NOW, THEREFORE, BE IT RESOLVED, that the Columbia Heights City Council encourages its state legislators to support the repeal of the sales tax on local governments. 'Passed this 29th day of March, 1999. Offered by: Jolly Seconded by: Petenon Roll call: All ayes ~Jo-'Anne SmLdent, C'g//~ouncil S"'~ecretary Mayor ~ L. Peterson THE CITY OF COLUMBIA HEIGHTS DOES NOT DISCRIMINATE ON THE BASIS OF DISABILITY IN EMPLOYMENT OR THE PROVISION OF SERVICES EQUAL OPPORTUNITY EMPLOYER