“Retail Delivery Fee” is one of many new Minnesota Laws to Take Effect

In 2023, Democrats of the Minnesotan legislature passed a policy law aimed at boosting funding for infrastructure. While the intention behind such legislation is ostensibly to improve our roads and public transit systems, hidden within the depths of the bill, is the retail delivery fee set to take effect from July 1, 2024.

Under this new law, a 50-cent fee will be slapped on retail delivery orders exceeding $100, affecting goods subject to the state general sales tax. Aimed at funding transportation advancements, this fee will hit consumers directly in their wallets, adding yet another layer of cost to everyday purchases. Ironically enough, this law was created as a measure to enhance public services while also burdening the very people it aims to serve.

Many claim it's a targeted approach to spare essentials as it leaves out prepared foods and baby products. However, this exemption doesn't shield the broader goods that everyday consumers rely on, including clothing and various household items. For many families already grappling with rising costs of living due to inflation and the $19 billion surplus, this fee represents an additional stress on Minnesotans and their wallets. 

While aiming to support small businesses, these exemptions could create gaps in how the fee impacts different segments of the retail market, potentially favoring larger corporations over smaller, locally-owned corporations. This law also reflects increased government control, something that this state and its people do not need more of.

While their intent may have been positive, the implications for everyday consumers and businesses are incredibly disturbing. Not to mention, the lack of transparency of this new law makes one wonder what it will bring. 

While investment in transportation infrastructure is needed, how these funds are raised and allocated must be subject to intense examination. The retail delivery fee appears more as a regressive tax in disguise—a burden that impacts working families and small businesses, while potentially benefiting larger ones. It is crucial to demand greater clarity, fairness, and efficiency in how our legislators enforce policies that affect our daily lives.