This bill amends Minnesota Statutes 2024, section 297A.94, to dedicate additional revenues from the sales tax on various products and services to the highway user tax distribution fund. Notably, it introduces new provisions that require the commissioner to deposit estimated revenues derived from specific categories, including bicycles, electric-assisted bicycles, their repair parts, and various food services, into the highway user tax distribution fund. The bill also specifies that revenues from vehicle services, motor vehicle paint, delivery of aggregate materials, and nonresidential parking services will be included in this dedication.

Additionally, the bill deletes a previous provision regarding the deposit of revenues generated by a specific sales tax imposed under section 297A.62, subdivision 1a, and replaces it with the new language that outlines the categories of products and services contributing to the highway user tax distribution fund. The effective date for these changes is set for taxes remitted after July 1, 2025. This legislative change aims to enhance funding for transportation infrastructure by broadening the base of taxable items contributing to the highway user tax distribution fund.

Statutes affected:
Introduction: 297A.94