This bill proposes a sales and use tax exemption for construction materials and supplies used in the construction, reconstruction, upgrade, expansion, renovation, or remodeling of a water reclamation plant in the city of Rochester. Specifically, materials, supplies, and equipment purchased between August 31, 2024, and June 1, 2026, will be exempt from sales and use tax as imposed under Minnesota Statutes, chapter 297A. The tax will be collected initially but refunded in accordance with existing provisions for similar projects.

Additionally, the bill includes an appropriation from the general fund to the commissioner of revenue to cover the refunds associated with this exemption. The effective date for this exemption is retroactive for sales and purchases made within the specified timeframe.