On Tuesday, our busy day started with a Senate Taxes hearing on the proposed Wayzata Food and Beverage Tax, SF1470 brought forward by Senator Morrison. Hospitality Minnesota members Randy Stanley of 6Smith and Terri Huml of Gianni’s Steakhouse testified, expressing concerns regarding the establishment of a food and beverage tax of up to 1% in the city of Wayzata. City officials testified for the need to implement the tax as Wayzata is a regional destination and publicly available services need to be covered. The bill was laid over for potential inclusion in the tax omnibus bill, but Chair Rest encouraged Senator Morrison to work with the restaurant community to better explain the need for the tax.  

The proposed tax would include all sales of food and beverages by a restaurant or place of refreshment, including retail on-sale of intoxicating liquor and fermented malted beverages. The tax may be used to pay for city parks, public safety, costs related to downtown business attraction and retention, and authorize capital expenses including securing or paying debt service on bonds or other obligations issued to finance the construction of park capital improvements.