WeVote

Bill

Bill

HF 4361

Minneapolis; local sales tax use of revenue modified, and downtown taxing area modified.

2025-2026 Regular Session Introduced by Esther Agbaje and 1 co-sponsor

HF 4361 would change how Minneapolis local sales tax revenues are spent and modify the boundaries or rules of the downtown taxing district.

Introduction and first reading, referred to Taxes
0
WeVote Research Nonpartisan
Bill Summary · HF 4361

Summary of HF 4361 (2025-2026) – Minnesota

Overview

HF 4361 is a Minnesota bill introduced in the 2025-2026 legislative session, with additional co-sponsors Aisha Gomez and Esther Agbaje. The measure focuses on modifying the use of revenue from local sales taxes in Minneapolis, and altering the downtown taxing area. The bill was introduced and referred to the House Taxes Committee on March 16, 2026.

Purpose and intent

  • To adjust how revenue from local sales taxes in Minneapolis is allocated or used.
  • To modify the boundaries or rules governing the downtown taxing area in Minneapolis, potentially impacting tax revenue collection, exemptions, or applicability within that area.

Key provisions and changes (as described in the bill title and summary)

Given that the full text is not provided in the prompt, the following provisions are inferred from the bill’s title:
- Local sales tax revenue use in Minneapolis: The bill would change the authorized or actual uses of local sales tax revenue within the city. This could involve:
- Reallocating revenue to different city programs (e.g., transit, housing, infrastructure, public safety, or downtown redevelopment).
- Imposing new constraints or priorities on how the revenue can be spent.
- Establishing reporting or oversight requirements for expenditures funded by the local sales tax.
- Downtown taxing area modification: The bill would modify the scope or rules for the downtown taxing district. Possible changes may include:
- Redrawing the geographic boundaries of the downtown area subject to a specific tax.
- Altering the tax rate, exemptions, or collection rules within the downtown district.
- Changing governance or oversight mechanisms for revenue generated in the downtown area.

Note: The exact statutory language is not provided, so the above reflects typical elements such bills address when they modify local sales tax use and downtown taxing areas.

Affected parties

  • Minneapolis government and residents: Changes to local sales tax revenue use can affect city budgeting, funding priorities, and service delivery.
  • Businesses within Minneapolis’ downtown taxing area: Modifications to the downtown taxing area could change which properties are taxed, tax rates, or eligibility for exemptions within the district.
  • Public programs funded by local sales tax: Any shift in revenue use may impact funding levels for infrastructure, transportation, housing, or other community priorities.

Procedural and timeline aspects

  • Introduction and first reading: March 16, 2026.
  • Referral: Referred to the House Taxes Committee for consideration, which will review the bill’s provisions, hold hearings, and potentially amend or pass the bill to the next legislative stage.

Potential implications (high-level)

  • Redirection of revenues could enable new or expanded city initiatives but may require trade-offs in other programs.
  • Changes to the downtown taxing area may influence development incentives, property tax burdens within the district, or the economics of downtown investment.

If you can provide the full text or specific sections of HF 4361, I can produce a more detailed, line-by-line summary of the exact provisions, fiscal impact, and implementation timeline.

Compiled from official sources — confirm details with the bill’s official record.

Sign in to ask a question.