This bill amends the existing authorization for the city of Elk River to impose a local sales tax, as established in Laws 2019, First Special Session chapter 6, article 6, section 17. The city is permitted to impose a sales and use tax of one-half of one percent, with the revenues to be used for specified purposes. A new subdivision is added, allowing the city to finance up to $20,000,000, plus associated bonding costs, for the construction of a new fire station. This revenue usage does not extend the termination requirements previously established.

Additionally, the bill modifies the bonding authority for Elk River, increasing the maximum amount of bonds that can be issued from $35,000,000 to $55,000,000 for the projects outlined in the amended subdivisions. The bonds can be secured by any available funds, including the sales tax revenue, and are exempt from certain debt limitations and levy restrictions. The effective date for these changes will take effect once the city’s governing body and chief clerical officer comply with specific statutory requirements.