HF 597

as introduced - 84th Legislature (2005 - 2006) Posted on 12/15/2009 12:00am

A bill for an act
relating to capital improvements; authorizing
$100,000,000 in general obligation bonds for local
road improvement program; abolishing authority to use
program money for loans; establishing rural road
safety program in local road improvement fund;
appropriating money; amending Minnesota Statutes 2004,
section 174.52, subdivisions 2, 4, 5, by adding a
subdivision.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

Section 1.

Minnesota Statutes 2004, section 174.52,
subdivision 2, is amended to read:

Subd. 2.

Trunk highway corridor projects account.

A
trunk highway corridor projects account is established in the
local road improvement fund. Money in the account is annually
appropriated to the commissioner of transportation for
expenditure as specified in this section. Money in the account
must be used as grants deleted text begin or loans deleted text end to statutory or home rule
charter cities, towns, and counties to assist in paying the
local share of trunk highway projects that have local costs that
are directly or partially related to the trunk highway
improvement and that are not funded or are only partially funded
with other state and federal funds. The commissioner shall
determine the amount of the local share of costs eligible for
assistance from the account.

Sec. 2.

Minnesota Statutes 2004, section 174.52,
subdivision 4, is amended to read:

Subd. 4.

Local road account for routes of regional
significance.

A local road account for routes of regional
significance is established in the local road improvement fund.
Money in the account is annually appropriated to the
commissioner of transportation for expenditure as specified in
this section. Money in the account must be used as grants deleted text begin or
loans deleted text end to statutory or home rule charter cities, towns, and
counties to assist in paying the costs of constructing or
reconstructing city streets, county highways, or town roads with
statewide or regional significance that have not been fully
funded through other state, federal, or local funding sources.

Sec. 3.

Minnesota Statutes 2004, section 174.52, is
amended by adding a subdivision to read:

new text begin Subd. 4a. new text end

new text begin Rural road safety account; appropriation. new text end

new text begin (a)
A rural road safety account is established in the local road
improvement fund. Money in the account is annually appropriated
to the commissioner of transportation for expenditure as
specified in this subdivision. Money in the account must be
used as grants to counties to assist in paying the costs of
capital improvement projects on county state-aid highways that
are intended primarily to reduce traffic crashes, deaths,
injuries, and property damage.
new text end

new text begin (b) The commissioner shall establish procedures for
counties to apply for grants from the rural road safety account
and criteria to be used to select projects for funding. The
commissioner shall establish these procedures and criteria in
consultation with representatives appointed by the Association
of Minnesota Counties. Eligibility for project selection must
be based on the ability of each proposed project to reduce the
frequency and severity of crashes.
new text end

new text begin (c) Money in the account must be allocated in each fiscal
year as follows:
new text end

new text begin (1) one-half of money in the account must be used for
projects in the counties of Anoka, Chisago, Carver, Dakota,
Hennepin, Ramsey, Scott, and Washington; and
new text end

new text begin (2) the remainder must be used for projects elsewhere in
the state.
new text end

Sec. 4.

Minnesota Statutes 2004, section 174.52,
subdivision 5, is amended to read:

Subd. 5.

Grant procedures and criteria.

The commissioner
shall establish procedures for statutory or home rule charter
cities, towns, and counties to apply for grants deleted text begin or loans deleted text end from
the deleted text begin fund deleted text end new text begin trunk highway corridor projects account and local road
account for routes of regional significance new text end and criteria to be
used to select projects for funding. The commissioner shall
establish these procedures and criteria in consultation with
representatives appointed by the Association of Minnesota
Counties, League of Minnesota Cities, and Minnesota Township
Officers Association. The criteria for determining project
priority and the amount of a grant or loan must be based upon
consideration of:

(1) the availability of other state, federal, and local
funds;

(2) the regional significance of the route;

(3) effectiveness of the proposed project in eliminating a
transportation system deficiency;

(4) the number of persons who will be positively impacted
by the project;

(5) the project's contribution to other local, regional, or
state economic development or redevelopment efforts; and

(6) ability of the local unit of government to adequately
provide for the safe operation and maintenance of the facility
upon project completion.

Sec. 5. new text begin APPROPRIATION.
new text end

new text begin $100,000,000 is appropriated from the bond proceeds fund to
the commissioner of transportation for deposit in the local road
improvement fund. Of this appropriation:
new text end

new text begin (1) $50,000,000 is for the local road account for routes of
regional significance; and
new text end

new text begin (2) $50,000,000 is for the rural road safety account.
new text end

Sec. 6. new text begin BOND SALE.
new text end

new text begin To provide the money appropriated by section 5 from the
bond proceeds fund, the commissioner of finance shall sell and
issue bonds of the state in an amount up to $100,000,000 in the
manner, on the terms, and with the effect prescribed by
Minnesota Statutes, sections 16A.631 to 16A.675, and by the
Minnesota Constitution, article XI, sections 4 to 7.
new text end

Sec. 7. new text begin EFFECTIVE DATE.
new text end

new text begin Sections 1 to 6 are effective July 1, 2005.
new text end