HomeMy WebLinkAboutResolution No. 2023-49 Resolution Approving Local Sales Tax & Authorizing an Election222586v1
RESOLUTION NO. 2023-49
A RESOLUTION APPROVING THE PROPOSED LOCAL
SALES TAX QUESTION AND AUTHORIZING AN ELECTION
THEREON DURING THE 2023 GENERAL ELECTION
WHEREAS, Minnesota Statutes Section 297A.99, provides the City of Edina with
authority to impose a local sales tax if that tax is approved by a legislative special law and by the
voters at a general election; and
WHEREAS, The City Council approved the City’s 2023 State Legislative Platform on
January 17, 2023. Included in that platform was an initiative to amend the approved spending
plan for expansion related improvements to Braemar Arena as identified in the Braemar Park
master plan to be funded by the new local sales tax that was approved by Edina voters on
November 8, 2022. The initiative was ultimately included in the 2023 Tax Bill and approved by
the House, Senate and Governor.
WHEREAS, The form of the initiative that was approved by the State authorizes the
City to amend the spending plan approved by Edina voters on November 8, 2022, to increase
spending on ice arena expansion improvements from $21.6 million to $53.3 million, provided
that Edina voters approve the proposed spending plan change in a public referendum. The
question before the voters is limited to the proposed amendment of the spending plan and its
use to fund an expansion of Braemar Arena. If a majority of those voting in the referendum
approve the request, the spending plan will be amended to fund the proposed arena
expansion. If voters do not approve the request, the City will proceed with facility
infrastructure improvements at the arena, but will not move forward with the arena
expansion. In either case, the sales tax rate will remain at 0.5% and the maximum duration of
the tax will remain at 19 years.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Edina,
Minnesota that:
1. The local sales tax benefiting Braemar Arena described herein is approved, subject to voter
consent. The additional local sales and use tax will be used exclusively to fund the following
capital improvements from the concept approved in 2022: Facility and building improvements
related to an expansion of an additional sheet of indoor ice as included in the Braemar Park
Master Plan.
2. The local sales tax will remain at 0.5% on the purchase of items and services in the City that
are taxable by the State. The City anticipates that the total amount generated by the local sales
tax will fund the additional $31.7 million in new capital improvements and betterments plus
associated costs for debt service on any bonds issued to finance or refinance such capital
improvements, and that the tax will last for a period up to 19 years.
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5. If the question is approved by a majority of voters, the City of Edina is only authorized to
impose a single one-half of one percent (0.5%) sales and use tax increase for a maximum of 19
years or until enough sales tax revenue has been raised to pay for the costs of the projects.
6. The City Clerk is hereby directed by the City Council to follow the notification and election
procedures applicable to placing the local sales tax question on the ballot for the November
2023 General Election in order to seek the approval of the proposed sales tax by the voters of
the City.
7. The City Clerk is hereby directed to notify the County Auditor of the ballot questions by the
deadline outlined in Minnesota Statutes, Section 205.16, Subdivision 4, and submit the title and
question for inclusion on the 2023 Election Ballot in substantially the following form:
CITY QUESTION 1
AMENDMENT TO THE VOTER-APPROVED SPENDING PLAN FOR
EDINA LOCAL SALES TAX
Shall the City of Edina be authorized to amend the spending plan for Braemar Park and
Arena from $21.6 million to a total of $53.3 million for the expansion and additional
improvements of Braemar Arena and associated bonding and administrative costs?
If this question is approved by a majority of voters, the rate of the sales tax approved by
Edina voters will remain unchanged at 0.5% and will remain in place for a maximum of
19 years or until enough sales tax revenue has been collected to pay for the costs of the
project. Approval of this question will not impact funding from the sales tax for Fred
Richards Park that was approved by voters in November 2022.
Dated: July 18, 2023
Attest:__________________________ ______________________________
Sharon Allison, City Clerk James B. Hovland, Mayor
STATE OF MINNESOTA )
COUNTY OF HENNEPIN) SS
CITY OF EDINA )
CERTIFICATE OF CITY CLERK
I, the undersigned duly appointed and acting City Clerk for the City of Edina do hereby certify that
the attached and foregoing Resolution was duly adopted by the Edina City Council at its Regular
Meeting of July 18, 2023, and as recorded in the Minutes of said Regular Meeting.
WITNESS my hand and seal of said City this _______ day of ___________________, 2023.
City Clerk