92-7931R83
RESOLUTION NO. 7931
RESOLUTION CREATING A CONSTITUTIONAL AMENDMENT
TO CREATE A NEW PROPERTY TAXPAYERS'
TRUST FUND IN MINNESOTA
WHEREAS, the State of Minnesota enacted a 3$ state sales
tax in 1967 with the promise to voters that the money would be
returned to them in the form of lower property tax relief for
property taxpayers; and
WHEREAS, in 1991, the Governor and State Legislature
approved the addition of a ~~ increase in the state sales tax,
raising it from 6~ to 6~$ with 2~ dedicated to fund the Local
Government Trust Fund which was created to continue the state's
commitment to local property tax relief; and
WHEREAS, in 1992, the Governor and State Legislature
extended the 6~~ sales tax to local government purchases with the
promise of continued property tax relief through the Local
Government Trust Fund; and
WHEREAS, each year, local governments are forced to combat
continued attempts to reduce the levels of state revenue
dedicated to local property tax relief through cuts in programs
such as Local Government Aid; and
WHEREAS, it is anticipated that the state will face another
budget deficit in 1993, making cuts in local property tax relief
programs tempting ways to solve the state's budget problems; and
WHEREAS, Governor Carlson has already publicly announced
that he will concentrate on eliminating local property tax relief
programs during the upcoming legislative session; and
WHEREAS, the League of Minnesota Cities and the Association
of Metropolitan Municipalities have taken positions supporting a
constitutional amendment dedicating 2~ of each 6~~ collected from
the state sales tax to the Local Government Trust Fund if such
dedication cannot be assured statutorily.
NOW, THEREFORE, BE IT RESOLVED that the City of Richfield
calls upon the State Legislature to support a constitutional
amendment dedicating 2~ of each 6~~ collected by the state sales
tax to a new Property Taxpayer's Trust Fund, to guarantee
continued property tax relief from the current Local Government
Trust Fund.
BE IT FURTHER RESOLVED that the City of Richfield strongly
urges that the League of Minnesota Cities and the Association of
Metropolitan Municipalities make one of their 1993 priorities
support for a new constitutional amendment dedicating 2~ of each
6~~ collected by the state sales tax to a new Property Taxpayer's
Trust Fund.
Resolution No. 7931
Page 2
BE IT FURTHER RESOLVE
League of Minnesota Cities
wide "Truth in Taxation" m
held this fall to educate
elected offices on the iss
constitutional amendment d
the state sales tax a new
protect local property tax
the 1993 Legislative Sessi
Passed by the City Cc
9th day of November, 1992.
that the City requests that the
Begin coordinating a series of state-
:tings with property taxpayers to be
ie public and candidates for state
:s regarding the need for a
iicating 2q of each 6~4 collected by
~operty Taxpayers' Trust Fund to
relief funds from budget cuts during
i.
it of the City of Richfield this
~~~' ,~
Martin J. Kir Mayor