Why Are We Allowing MN Elected Officials to Use the Hard Work of MN Charities To PAYOFF U.S. BANK STADIUM BONDS?
See updated table below. The numbers come from the “Lawful Gambling Taxes – Stadium” line on page 2 of the November 2016 FBA.
Alan says, MN Charities need to know that over $55 Million was collected from Gaming/Gambling in FY 2016 under MN’s unrelated Business Income Tax. While anything over $36.9 Million goes to paying down U.S. Bank Stadium Bonds listed below as Gambling Tax. When in reality it’s from a income tax on MN Charities who offer Pull tabs, bingo, ETC..
Understanding the Stadium Bond Payoff, on a Big Picture basis, From Alan Roebke Informed TV............
When you here MN elected officials like Senate Stadium Authors Rosen and Ingebrigtsen, Governor Dayton, Senator Bakk, Speaker Daudt talk about taxpayer money and U.S. Bank Stadium it’s really money that Legislators Taxed away for the Mission of Local MN Charities! Plus Legislators just assigned Corporate tax revenue of $20 Million/year without a added corporate tax, which just depletes the General Fund. Money that if you really track the two sources of stadium money this happens! The Legislators assigned $20 million corporate, really just picks up the City of Minneapolis annual obligation and also funds Stadium operations and builds the Stadium reserve fund!
For as seen below the States original share ($348 million & Minneapolis $150 million equals the $498 million granted to the MSFA totaling $498 Million) which grows to $616 Million with interest! Which means $616 Million of Principle and Interest is owed by the state of MN itself. So the States share will actually be paid off in 30 years with just a annual payment of $20,533,000/year payment funded by MN Charities and not by MN taxpayers!
So when you add in the unfunded share to date from Minneapolis, the total annual bond payment is a little over $30 Million/year shown in charts/data from MMB! Now remember, MN Charities with Gaming/Gambling operations where actually taxed at over $55 million in FY 2016. Of which anything over $36.9 Million/year is assigned to the on going Financial needs/demands of the MN Vikings U.S. Bank Stadium!
Which actually received in FY 2016 $19,358,000 in usable dollars from MN Charities. All because of the states Unrelated business Income TAX and not a Gambling tax, as proclaimed/pushed by Politician's/Vikings in FY 2016 and before!
Now understand, the total revenue from the States UBIT is projected to grow with inflation and Supper Bracket creep tax rate. So anything over $36.9 million/year should average $25 million in FY 2016-19. Plus the FY 2019 shows that after FY 2019, income taxation of MN Charities will/should service the full bond payment obligation of a fixed June 1st annual payment of $30.15 million as seen here!
So with GCB/MMB/MDOR projecting assigned Taxes from MN Gaming Charities in FY 2019 of $29,300,000. MN Charities would payoff all the Stadium Bonds and interest over time without the need of any money from Minneapolis.
Is that Fair taxation for our hard working local MN Charities? Should Pull tab players or other MN Charitable Gamer's/Guests/bar patrons who enjoy gaming while hoping to support local causes also payoff the stadium?
More State responses to months of my questions:
Q: So under current law, how big can the stadium reserve be before annual payment from the states portion is reduced or stopped or simply kept in the general fund?
A: There is no limit to the stadium reserve under current law.
Q: The state’s share of this is $616.2 M ($322.84 M of principal and $293.35 M of interest). When MMB put the numbers together, how much was estimated from Gaming and corporate of the amount or was it based on the $881.8 breakdown?
| Annual Stadium Revenues - 2012 EOS versus November 2016 | ||||
| $s in 000s | ||||
| 2012 End of Session | 2016 November | |||
| Fiscal Year | Gambling Tax Revenue | Gambling Tax Revenue** | Corporate Tax Revenue | |
| FY 2013 | 35,200 | 89 | - | |
| FY 2014 | 57,900 | 6,359 | 20,000 | |
| FY 2015 | 57,900 | 12,107 | 20,000 | |
| FY 2016 | * | 19,358 | 20,000 | |
| FY 2017 | * | 24,300 | 20,000 | |
| FY 2018 | * | 27,300 | 20,000 | |
| FY 2019 | * | 29,300 | 20,000 | |
| * FY16-FY19 were not projected in 2012. | ||||
| ** Data includes actuals (FY13-FY16), and forecast estimates (FY17-19).
Note from Alan: The $57.9 million above is the pie in the SKY guess from MN Legislators in 2012 Dreaming that electronic Pull Tabs would FUND/shower the Stadium needs with Electronic Streaming Cash ........So build it.....yet that source failed big time so Legislators targeted MN Charities to cover their butt's and the Wilfs/NFL!!!!!!!! Now see debt service chart: Viking Stadium Debt Service Schedule 2014A and 2014B Bonds: Viking Stadium Debt Service Schedule 2014A and 2014B Bonds To see the actual $30 Million per year Payment amount!
MN Charities help pay for stadium operations as well seen below:Mr. Roebke, See answers below: Q: What is the revenue source for the operating portion the Stadium the State agreed to pay or split with the Vikings and total to date or end of FY A: The revenue sources for stadium related expenses (including the operating Q: What is the year the Stadium is projected to generate a positive cash flow or profit for the States portion so no operating money is needed for the 30 year agreement? A: Starting in FY18, we are projecting a slightly positive cash flow such that contributions could be made to the stadium reserve. This positive cash flow grows the stadium reserve balance, per statutory restrictions on the use of the funds. The operating payments, debt service, and other stadium related costs all must be accounted for before funds can be deposited into the reserve. Q: What was the $30 Million the smokers/tax contributed used for at the Stadium? A: This funding of $26.5 million didn't go straight to the stadium itself. Q: Then is appears $24 Million/year will come annually from GCB income taxes on MN Charities in FY 18 and 19 gaming. Will that increase or decrease the Corporate $20 Mill annually or the Charities tax rate over the life of the A: Charitable gambling tax revenue does not have an impact on the $20 million corporate tax revenue component of the stadium funding. Q: The city of MPLS. seems to be getting more revenue in there planning as well. Can or Will the State tap some of that MPLS. revenue before 2020? A: Current law does not provide for any revenue from the City of Minneapolis before 2021.
More State responses to months of my questions: Q: So under current law, how big can the stadium reserve be before annual payment from the states portion is reduced or stopped or simply kept in the general fund? A: There is no limit to the stadium reserve under current law. Q: The state’s share of this is $616.2 M ($322.84 M of principal and $293.35 M of interest). When MMB put the numbers together, how much was estimated from Gaming and corporate of the amount or was it based on the $881.8 breakdown? Funded BY MN’S UNRELATED BUSINESS INCOME TAX (UBIT). Open UBIT attached here Misc110516
See Tax Rates for MN Charities paying up to a 36% rate Forms & Instructions Worksheet While MN corporate tax rate is 9.8%., Individual Rates in MN: 2016 Tax Rates
Hi Alan. Information on what Unrelated Business Income Tax is and the filing requirements can be found here: Ubit Tax Info Please refer to the website for gambling rates: Tax Rates The following publications will also be helpful for Gaming and Unrelated Business Income: Publication 3079 Tax-Exempt Organizations and Gaming, and Publication 598 Tax on Unrelated Business Income of Exempt Organizations. Thanks.
Why should Minnesotans want to give the Buck Family or any other family that makes $100,000 per year or more a health insurance premium subsidy? As Minnesotans, shouldn't we have our MN Congressional Delegation as well as the folks in St Paul address the outrageous reality that today the actual cost of medical care in the USA in 2015 was $10,000 per person. So when the Bucks say for their family of 4 the premium cost $40,000 per year and that's likely with a $13,000 per year family deductible. So in reality, when the Buck family talks to their fellow Minnesotans, they're just explaining to MN the outrageous cost of health care in the US today, right?
The UBIT---Tax, actually TAXES MANY MN CHARITIES at OVER a 50% ANNUALLY. All because of a Compounding effect Tax Formula, as seen in this Informed TV video! MDOR told me: Alan, Currently, organizations pay the net receipts tax, not the gamblers. Which means its not a Gambling Tax but a income Tax on MN Charities. Alan Roebke & Informed TV IS YOUR SIGHT TO END the UBIT AND RECAPTURE THE UNCONSTITUTIONAL TAX THAT TOOK over $915 MILLION FROM MN NEIGHBORHOODS AND COMMUNITIES that MN Gaming Charities SERVED THIS CENTURY! State budget forecast holds steady, projects $1.4 billion surplus By Jonathan Avise A Republican-controlled Legislature and DFL governor are projected to have more surplus money available as they look to craft the state’s biennial budget during the 2017 legislative session. Insight from Alan Roebke should stop the GOVERNOR AND LEGISLATORS FROM RETURNING NEIGHBORHOOD MONEY, TO THEIR SPECIAL FRIENDS! A Healthcare Subsidy Fact sheet from Dayton: Minnesotans should say individual with a $47,500 per years or Families with income over $97,200 like the David & Ann Buck Family likely do not need subsidies! Click Governors fact sheet Gifts to bailout MNSURE! http://mn.gov/gov-stat/pdf/2016_10_27_FACT_SHEET_Premium_Rebate_Proposal.pdf
Buck Family ad: https://youtu.be/n_HbNnwKJSQ
From: Let Freedom Ring BLOG: RickyW says: This is the couple that runs Buck’s Unlimited, one of the biggest corporate dairy farms in Minnesota. David’s the vice president of the Minnesota Milk Producers Association. He and Ann and his brothers and son DJ are all big wheels in the Minnesota dairy world. They are not the small mom and pop farmers they are made out to be. They’re not eligible for the MNsure tax subsidy because they make much more than the $97,000 a year cutoff. Most dairy farms are less than 80 acres; Buck’s Unlimited LLC is over ten times that, with 907 acres on four separate farms. They don’t own any of the 907 acres on which they operate, which not only saves them from paying any real estate tax, they get to write off their rent payments on their Federal and state taxes! On top of that, David Buck has received over $600,000 in subsidies from the Federal government since 1995. (His brothers and son DJ have also got six figures worth of free money from the government.) Alan Roebke | informedTV.com d: 320.762.3737
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