September Special Session Update

Governor Dayton and DFL legislative leaders have been meeting to discuss the agenda for a Special Session of the Minnesota Legislature to provide for disaster relief funds. On August 8, 2013, Governor Dayton indicated that he is open to expanding the Special Session agenda to include repeal of the provision enacted last session that extends the sales tax to farm equipment repairs.

DFL Legislative leaders quickly added their support to expanding the Special Session agenda to include the repeal of the farm equipment sales tax. Republican legislative leaders have weighed in with a letter to Governor Dayton asking him to include repeal of the expansion of the sales tax to warehouse services. The Minnesota Chamber of Commerce has expressed its desire to have the Special Session agenda include repeal of all of the business-to-business sales taxes adopted in the last session — commercial and farm repair and maintenance services, business storage and warehousing, and the purchase of telecommunications equipment.

The Governor previously indicated he would like to call the Special Session for September 9, 2013, with a limited agenda agreed to by all parties. There will probably be requests from legislators and affected parties to add even more topics to the agenda. In the end, it is likely that the Governor and DFL legislative leaders will try to keep the agenda limited to one or two topics.