Bill > HF2826

This bill provides a sales and use tax exemption for construction materials and equipment used in specific school improvement projects for Independent School District No. 186 in Pequot Lakes, Minnesota. The exemption covers materials, supplies, and equipment used in construction, reconstruction, upgrades, expansions, renovations, or remodeling of four specific projects: an addition and improvements to Eagle View Elementary School, Pequot Lakes Middle School, Pequot Lakes High School, and improvements to outdoor facilities. The tax exemption applies to purchases made between January 1, 2026, and December 31, 2036. While the sales tax will initially be collected at the standard rate, the school district will be eligible for a full refund of the sales tax paid, similar to other governmental project tax refund processes. The bill includes a provision that appropriates the necessary funds from the general fund to the commissioner of revenue to process these tax refunds. This targeted tax exemption is designed to help the school district manage costs for significant infrastructure improvements by reducing the financial burden of sales taxes on construction materials and equipment.

Budget and Finance

https://www.revisor.mn.gov/bills/bill.php?b=House&f=HF2826&ssn=0&y=2025