In April 1983 Governor Rudy Perpich issued an executive order providing for the creation of the Minnesota Tax Study Commission. The commission was to study the relationship between state taxes and the business climate, and the relationship between state and local governments, including state aid and links between state and local taxes. Perpich said his intention is that the study will be similar to the J. Cameron Thomson study of 1956, and will make a "top-to-bottom review of Minnesota's tax system."
The commission was expected to make recommendations in two stages - for the 1984 legislative session, and again for the 1985 session. The Commission began its work in October 1983 and issued its final two volume report in December 1985.
The Commission became known as the "Latimer Commission" reflecting the leadership of its chair, St. Paul Mayor George Latimer.