Taxes

FORTY NINTH MEETING

2021-2022 Regular Session - Friday, April 1, 2022

STATE OF MINNESOTA FORTY NINTH MEETING
HOUSE OF REPRESENTATIVES NINETY-SECOND SESSION

TAX COMMITTEE

MINUTES

Representative Paul Marquart, Chair of the Committee, called the virtual Tax Committee meeting to order at 10:30 A.M. on Friday, April 1, 2022, pursuant to House rule 10.01. The meeting is being broadcast via Zoom and House Public Information Services.

The Committee Legislative Assistant noted the roll.

Members present:

MARQUART, Paul CHAIR
LISLEGARD, Dave VC
DAVIDS, Greg Lead
AGBAJE, Esther
CARLSON, Andrew
DETTMER, Bob
GAROFALO, Pat
GOMEZ, Aisha
HER, Kaohly
HERTAUS, Jerry
HOWARD, Michael
MCDONALD, Joe
MILLER, Tim
MORAN, Rena
ROBBINS, Kristin
SANDELL, Steve
SCHULTZ, Jennifer
STEPHENSON, Zack
SWEDZINSKI, Chris
YOUAKIM, Cheryl

Members excused:

MORTENSON, Erik

A quorum was present.

Representative Youakim moved the approval of the March 31, 2022 minutes. THE MOTION PREVAILED.

HF 4305 (Long) Solar energy production tax exemption created.

Representative Youakim moved that HF 4305 be laid over for possible inclusion in the Tax Omnibus Bill.

Representative Youakim moved the H4305A2 amendment. THE AMENDMENT WAS ADOPTED.

Representative Long presented HF 4305, as amended.

Providing testimony:

Logan O'Grady, Executive Director, MnSEIA
Daniel Wellingham, Tax Counsel, Renewable Energy Alternatives
David Shaffer, Director of Policy & Government Affairs, Novel Energy Solutions

Representative Garofalo moved the H4305A3 amendment. THE AMENDMENT WAS NOT ADOPTED.

Chair Marquart laid over HF4305, as amended, for possible inclusion in the Tax Omnibus Bill.

HF 4640 (Huot) State Agricultural Society; temporary suspension of sales and use tax
remittance requirements for state fair sales.

Representative Her moved that HF 4640 be laid over for possible inclusion in the Tax Omnibus Bill.

Representative Huot presented HF 4640.

Providing testimony:

Jerry Hammer, General Manager of the State Fair

Chair Marquart laid over HF 4640 for possible inclusion in the Tax Omnibus Bill.

HF 4590 (Lislegard) Film production tax credit modified.

Representative Lislegard moved that HF4590 be laid over for possible inclusion in the Tax Omnibus Bill.

Representative Lislegard presented HF 4590.

Providing testimony:

Melodie Bahan, Executive Director of Minnesota Film and TV,

Chair Marquart laid over HF 4590 for possible inclusion in the Tax Omnibus Bill.

HF4591 (Lislegard) Cooperative utility distribution line appurtenance and attachment
definition modified.

Representative Lislegard moved that HF 4591 be laid over for possible inclusion in the Tax Omnibus Bill.

Representative Lislegard moved the H4591A1 amendment. THE AMENDMENT WAS ADOPTED.

Representative Lislegard presented HF 4591, as amended.

Providing testimony:

Robin Doege, CEO, Stearns Electric Association
Mike Henke, President and CEO of Peoples Energy Cooperative

Chair Marquart laid over HF 4591, as amended, for possible inclusion in the Tax Omnibus Bill.

Representative Youakim assumed the gavel at 11:13 A.M.

HF4678 (Marquart) Minnesota State High School League tickets and admission
exemption extended.

Representative Marquart moved that HF 4678 be laid over for possible inclusion in the Tax Omnibus Bill.

Representative Marquart presented HF 4678.

Chair Youakim laid over HF 4678 for possible inclusion in the Tax Omnibus Bill.

Chair Marquart assumed the gavel at 11:16 A.M.

HF 4446 (Schultz) Workforce incentive fund grant created, workforce incentive grant
designated as subtraction, and workforce incentive grant payment categorized as
nonincome

Representative Schultz moved that HF 4446 be laid over for possible inclusion in the Tax Omnibus Bill.

Representative Schultz presented HF 4446.

Providing testimony:

Kristy Graume, Minnesota Department of Humans Services
Maren Hulden, Legal Aid

Chair Marquart laid over HF 4446 for possible inclusion in the Tax Omnibus Bill.

HF 4318 (Agbaje) Single-member LLCs allowed to claim income tax credit for income
tax paid to other states, and trade or business property sale exemption modified.

Representative Agbaje moved that HF 4318 be laid over for possible inclusion in the Tax Omnibus Bill.

Representative Agbaje presented HF 4318.

Providing testimony:

Dan Kidney, Wipfli

Chair Marquart laid over HF 4318 for possible inclusion in the Tax Omnibus Bill.

HF 4689 (Agbaje) COVID-19; income tax subtractions for business assistance provided,
local government grants provided, report required, and money appropriated.

Representative Agbaje moved that HF 4689 be laid over for possible inclusion in the Tax Omnibus Bill.

Representative Agbaje moved the H4689A1 amendment. THE AMENDMENT WAS ADOPTED.

Representative Agbaje presented HF 4689, as amended.

Providing testimony:

Kristel Porter, MN Renewable Now
KB Brown, Wolfpack Promotionals LLC
Tabota Seyon, InfusedLife Plant Based Emporium

Chair Marquart laid over HF 4689, as amended, for possible inclusion in the Tax Omnibus Bill.

HF 3588 (Vang) Affordable housing market value exclusion established.

Representative Moran moved that HF 3588 be laid over for possible inclusion in the Tax Omnibus Bill.

Representative Moran moved the H3588A5 amendment. THE AMENDMENT WAS ADOPTED.

Representative Vang presented HF 3588, as amended.

Providing testimony:

Kelly Doran, Doran Companies
Matt Massman, MICA

Chair Marquart laid over HF 3588, as amended, for possible inclusion in the Tax Omnibus Bill.

The meeting was adjourned at 12:24 P.M.

Representative Paul Marquart, Chair

Urszula Gryska,
Committee Legislative Assistant

More Info On This Meeting..

Bills Added:

HF4305 (Long) - Solar energy production tax exemption created.
HF4446 (Schultz) - Workforce incentive fund grant created, workforce incentive grant designated as subtraction, and workforce incentive grant payment categorized as nonincome.
HF4590 (Lislegard) - Film production tax credit modified.
HF4318 (Agbaje) - Single-member LLCs allowed to claim income tax credit for income tax paid to other states, and trade or business property sale exemption modified.
HF3588 (Vang) - Affordable housing market value exclusion established.
HF4591 (Lislegard) - Cooperative utility distribution line appurtenance and attachment definition modified.
HF4640 (Huot) - State Agricultural Society; temporary suspension of sales and use tax remittance requirements allowed for state fair sales.
HF4678 (Marquart) - Minnesota State High School League tickets and admission exemption extended.
HF4689 (Agbaje) - COVID-19; income tax subtractions for business assistance provided, local government grants provided, report required, and money appropriated.

Documents:

H4591A1.pdf - 3/31/2022
H4305A3.pdf - 3/31/2022
H4305A2.pdf - 3/31/2022
H3588A5.pdf - 3/31/2022
H4689A1.pdf - 3/31/2022
Taxes Agenda 4.1.22.pdf - 3/31/2022
tax committee minutes 3-31-22.pdf - 3/31/2022
HF4305 Bill Summary.pdf - 3/31/2022
HF4640 Bill Summary.pdf - 3/31/2022
hf4640_1 State Fair Tickets.pdf - 3/31/2022
HF4590 Bill Summary.pdf - 3/31/2022
hf4590 Film Production Credit Modification.pdf - 3/31/2022
HF4591 Bill Summary.pdf - 3/31/2022
sf3898(hf4591)_pt_2.pdf - 3/31/2022
HF4678 Bill Summary.pdf - 3/31/2022
hf4678_1 Minnesota State High School League.pdf - 3/31/2022
4446 Schultz.dpsw.pdf - 3/31/2022
hf4446_1 Workforce Grant.pdf - 3/31/2022
HF4318 Bill Summary.pdf - 3/31/2022
sf3852(hf4318)_1 Single Member LLCs.pdf - 3/31/2022
HF4689 Bill Summary.pdf - 3/31/2022
hf4689 Income Tax Subtraction for COVID Business Assistance_1.pdf - 3/31/2022
HF3588 Bill Summary.pdf - 3/31/2022
sf3200(hf3588)_pt_2.pdf - 3/31/2022
LMC Comments - HF 3588 - House Taxes - 4-1-22.pdf - 3/31/2022
Metro Cities Comments on HF 3588 Vang 4.1.22.pdf - 3/31/2022
sf3801(hf4305)_pt_1.pdf - 4/1/2022

Audio:
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House TV Video:
View Archive

03:48 - HF4305 (Long) Solar energy production tax exemption created.
19:26 - HF4640 (Huot) State Agricultural Society; temporary suspension of sales and use tax remittance requirements for state fair sales.
26:11 - HF4590 (Lislegard) Film production tax credit modified.
30:08 - HF4591 (Lislegard) Cooperative utility distribution line appurtenance and attachment definition modified.
41:41 - HF4678 (Marquart) Minnesota State High School League tickets and admission exemption extended.
44:39 - HF4446 (Schultz) Workforce incentive fund grant created, workforce incentive grant designated as subtraction, and workforce incentive grant payment categorized as nonincome.
56:10 - HF4318 (Agbaje) Single-member LLCs allowed to claim income tax credit for income tax paid to other states, and trade or business property sale exemption modified.
1:03:36 - HF4689 (Agbaje) COVID-19; income tax subtractions for business assistance provided, local government grants provided, report required, and money appropriated.
1:17:25 - HF3588 (Vang) Affordable housing market value exclusion established.
Runs 1 hour, 54 minutes.

Show Full Schedule Agenda:

Approval of the Minutes from March 31st, 2022
HF 4305 (Long) Solar energy production tax exemption created.
HF 4640 (Huot) State Agricultural Society; temporary suspension of sales and use tax remittance requirements for state fair sales.
HF 4590 (Lislegard) Film production tax credit modified.
HF4591 (Lislegard) Cooperative utility distribution line appurtenance and attachment definition modified.
HF4678 (Marquart) Minnesota State High School League tickets and admission exemption extended.
HF 4446 (Schultz) Workforce incentive fund grant created, workforce incentive grant designated as subtraction, and workforce incentive grant payment categorized as nonincome
HF 4318 (Agbaje) Single-member LLCs allowed to claim income tax credit for income tax paid to other states, and trade or business property sale exemption modified.
HF 4689 (Agbaje) COVID-19; income tax subtractions for business assistance provided, local government grants provided, report required, and money appropriated.
HF 3588 (Vang) Affordable housing market value exclusion established.

Additional Bills May Be Added

Public Viewing:
This remote hearing may be viewed via the House webcast schedule page: https://www.house.leg.state.mn.us/htv/schedule.asp

Notes:
This remote hearing is taking place pursuant to Rule 10.01, which may be viewed here: https://www.house.leg.state.mn.us/cco/rules/permrule/permrule.asp

All events are closed-captioned.

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For questions about the agenda or the committee, please contact the Committee Administrator, Polly Cerkvenik, at polly.cerkvenik@house.mn or 651-296-5524.

Public Testimony:
If you are interested in providing testimony on the posted bills, please contact the committee administrator at: polly.cerkvenik@house.mn no later than 5pm the day before the hearing. Written testimony is encouraged.