Refundable sales and use tax exemption for Blue Line Extension light rail transit line construction materials provided.

This bill creates a refundable sales tax exemption for construction materials and equipment used to build Minnesota's Blue Line Extension light rail transit line and its associated facilities. Under the new provision, taxes collected on these purchases will be refunded to the governmental entity responsible for the project, rather than being waived at the point of sale. The exemption applies to materials for stations, park-and-ride lots, maintenance facilities, and other transit infrastructure, with refunds available starting July 1, 2029. The measure takes effect for purchases made after June 30, 2026, and aligns the Blue Line Extension with existing refundable tax exemptions for other public infrastructure projects.