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<br />..-;' ~ <br /> <br />. <br /> <br />. <br /> <br />. <br /> <br />CITY OF ARDEN HILLS <br />COUNTY OF RAMSEY <br />STATE OF MINNESOTA <br /> <br />RESOLUTION NO. 99-12 <br /> <br />A RESOLUTION SUPPORTING REPEAL OF THE STATE SALES TAX <br />FOR LOCAL GOVERNMENT PURCHASES <br /> <br />WHEREAS, the Legislature imposed the sales tax on local governments in 1992 when facing a <br />significant state budget deficit; and <br /> <br />WHEREAS, the state government has collected hundreds of millions of dollars in sales tax since <br />1992 on local government purchases of items such as road maintenance equipment, wastewater <br />treatment facilities, and building materials; and <br /> <br />WHEREAS, the sales tax on local government purchases is passed on to residents in the form of <br />higher property taxes and fees; and <br /> <br />WHEREAS, the state's financial picture has improved dramatically and the need for the sales <br />tax no longer exists; and <br /> <br />WHEREAS, Minnesota is one of only seven (7) states which impose sales tax on local <br />government purchases; and <br /> <br />WHEREAS, imposing the sales tax on local government purchases is an inefficient way to raise <br />state revenues, especially where sales tax is paid for bonding projects with accompanying interest <br />costs; <br /> <br />NOW THEREFORE, BE IT RESOLVED by the City Council of the City of Arden Hills, <br />Minnesota that it encourages its state legislators to support the repeal of the sales tax on local <br />governments. <br /> <br />ATTE~ <br /> <br /> <br />BRTAN FRITSTNG~MTNISTRA TOR <br /> <br /> <br />PASSED AND ADOPTED BY THE CITY COUNCIL OF <br />THIS 29'. DAY OF MARCH, 1999. <br />