Local Options Sales Tax (LOST)
April 1, 2022
CONTEXT
The City Council is asking the State of Minnesota to change our city’s sales tax to include 0.5% for City projects identified below. State Senator Melissa Wiklund introduced S.F. 3393 on February 25, 2022, to approve the City’s request yet this spring. The City must prove to the legislature there is “regional value” for each project. If passed by the legislature, voters will see a ballot question for each project separately, most likely in this November’s general election.
BY THE NUMBERS1
- Bloomington Ice Garden renovation: $32 million estimated cost (est. cost)
- A new community health and wellness center (replace Public Health and Creekside): $70 million est. cost
- Dwan Golf Course improvements: $15 million est. cost
- Bloomington Center for the Arts (Add concert hall and Schneider Theater updates) $33 million est. cost
1 Bloomington Briefing dated March 2022
WHY IT MATTERS
This extra 0.5% of revenue doesn’t sound like much but it adds up to about $11 million dollars each year over 20 years. While the Council claims that 75% will come from out-of-town visitors, there is no way to objectively prove their claims. Instead, we see yet another tax on Bloomington residents, at an estimated $72 per year / per average Bloomington homeowner2.
The City Council ignores the fact that most taxes and fees are regressive in nature; meaning they hurt those residents who can least afford the additional tax burden. Our neighbors on a fixed income (especially seniors), lower-income residents, and families raising children are most negatively affected by a steadily rising tax burden, including LOST.
2 Bloomington Briefing dated March 2022
ACT TODAY!
Please email David Clark, RFABB Chair, at dpc2016@protonmail.com to voice your concerns about this issue. David will host a Zoom meeting to answer questions and discuss next steps with our legislatures.
© 2022 Published by Residents for a Better Bloomington, MN