This bill establishes a refundable sales and use tax exemption for materials and supplies used in construction projects within designated redevelopment districts in St. Cloud, Minnesota. The exemption applies to specific parcels of land identified in the bill, provided that the resulting developments are subject to property taxes. The tax exemption is applicable for sales and purchases made between July 1, 2025, and December 31, 2040. Additionally, the bill outlines the process for obtaining refunds for taxes paid on exempt items, requiring applicants to provide sufficient documentation to verify the tax paid.

Furthermore, the bill appropriates funds from the general fund to cover the refunds, with a cap set at $13,000,000 for the total amount of refunds issued. Refunds will be processed in the order that complete applications are received by the commissioner of revenue. The provisions of existing Minnesota Statutes regarding tax refunds will also apply to this new exemption. The effective date of this legislation is the day following its final enactment.