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. . . ARDEN HILLS CITY COUNCIL - MARCH 29, 1999 15 c. Resolution #99-12, Supporting Repeal of the State Sales Tax for Local Government Purchases Mr. Fritsinger explained that the League of Minnesota Cities has been working for the past three years to build legislative support for the repeal of the sales tax on loeal government purehases. This year, a reeord number of bills have been introdueed to repeal the tax, and eommittees in both the House and Senate have held hearings on the topic. The City has been delaying purehases on a number of items until the 1999 Legislative Session is eoncluded, in hopes that the sales tax is repealed and the City can save some taxpayers dollars. Should the Couneil adopt this Resolution, Staff will forward it to Senator Runbeek and Representative Krinkie. Mr. Fritsinger advised that the Staff reeommends adoption of Resolution #99-12, "Supporting Repeal ofthe State Sales Tax for Local Government Purehases." Mayor Probst asked if the purehases being delayed would be able to wait until June. He noted that this issue would most likely be discussed at the end of the Legislative session. Mr. Fritsinger stated that Staff is trying to hold off until the decision is made, however, some purchases cannot be put off indefinitely. Councilmember Malone asked if it is known whether or not the loeal representatives are in favor the tax repeal. Couneilmember Aplikowski stated that the local representatives unofficially support the tax repeal. MOTION: Councilmember Malone moved and Councilmember Rem seconded a motion to adopt Resolution #99-12, Supporting Repeal of the State Sales Tax for Loeal Government Purchases. The motion carried unanimously (5-0). ADMINISTRATOR COMMENTS Mr. Fritsinger stated that an on-site auction would be held on April 16, 1999, to sell the equipment acquired with the Indykiewicz property acquisition. The auctioneer, who conducts the State of Minnesota auetions, is familiar with this type of process and will eollect a 10% commission. Mr. Fritsinger stated that this was determined to be the best approach considering the timing issues. Mayor Probst asked if Staff had considered selling the equipment as scrap metal. Mr. Fritsinger stated that this had been considered, however, the equipment is not scrap and the City has the best opportunity to gain more money by holding an auction. He noted that the auctioneer would be advertising the auction in local newspapers. Mr. Fritsinger stated that he had attended the State of the Region with Metropolitan Couneil. He indicated that the meeting was well attended. He did have the opportunity to diseuss with El Tinklenberg some recent transportation issues. Mr. Tinklenberg had indieated that they were not aware of the issues with Shoreview and County Road I, and that he will look into this situation.