1.1 	A bill for an act
1.2 	relating to transportation finance; modifying and establishing transportation finance, 
1.3 	budgeting, and accounting requirements related to the Metropolitan Council;
1.4 	amending Minnesota Statutes 2016, section 473.13, subdivisions 1, 4.
1.5 	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

1.6 	Section 1. Minnesota Statutes 2016, section 473.13, subdivision 1, is amended to read:
1.7 		Subdivision 1.Budget. (a) Except as provided in paragraph (b), on or before December 
1.8 	20 of each year, the council shall adopt a final budget covering its anticipated receipts and 
1.9 	disbursements for the ensuing year and shall decide upon the total amount necessary to be 
1.10 	raised from ad valorem tax levies to meet its budget. The budget ~~shall~~ must state in detail 
1.11 	the expenditures for each program to be undertaken, including the expenses for salaries, 
1.12 	consultant services, overhead, travel, ~~printing,~~ and other items. The budget ~~shall~~ must state 
1.13 	in detail the council's nontransportation capital expenditures of the council for the budget 
1.14 	year, based on a five-year capital program adopted by the council and transmitted to the 
1.15 	legislature. After adoption of the budget and no later than five working days after December 
1.16 	20, the council shall certify to the auditor of each metropolitan county the share of the tax 
1.17 	to be levied within that county, which must be an amount bearing the same proportion to 
1.18 	the total levy agreed on by the council as the net tax capacity of the county bears to the net 
1.19 	tax capacity of the metropolitan area. The maximum amount of any levy made for the 
1.20 	purpose of this chapter may not exceed the limits set by the statute authorizing the levy.
1.21 	(b) For the transportation components of the council's budgeting, each fiscal year starts 
1.22 	July 1 and ends the following June 30. On or before June 15 of each year, the council must 
1.23 	adopt a final budget for the transportation components that identifies its anticipated receipts 
1.24 	and disbursements for the next fiscal year. The budget must state in detail the expenditures 
2.1 	to be undertaken for each program, including the expenses for salaries, consultant services, 
2.2 	overhead, travel, and other items. The budget must state in detail the council's transportation 
2.3 	capital expenditures for the budget year, based on a five-year capital program adopted by 
2.4 	the council and transmitted to the legislature.
2.5 	(c) As part of the budget under paragraph (b) in each even-numbered year, the council 
2.6 	~~shall~~ must prepare for its transit programs a financial plan for the succeeding three ~~calendar~~
2.7 	years~~, in half-year segments~~. The financial plan must contain schedules of user charges and 
2.8 	any changes in user charges planned or anticipated by the council during the period of the 
2.9 	plan. The financial plan must contain a proposed request for state financial assistance for 
2.10 	the succeeding biennium.
2.11 	~~(c)~~ (d) In addition, ~~the~~ each budget under paragraphs (a) and (b) must show for each 
2.12 	year:
2.13 	(1) the estimated operating revenues from all sources including funds on hand at the 
2.14 	beginning of the year, and estimated expenditures for costs of operation, administration, 
2.15 	maintenance, and debt service;
2.16 	(2) capital improvement funds estimated to be on hand at the beginning of the year and 
2.17 	estimated to be received during the year from all sources and estimated cost of capital 
2.18 	improvements to be paid out or expended during the year, all in such detail and form as the 
2.19 	council may prescribe; and
2.20 	(3) the estimated source and use of pass-through funds.

2.21 	EFFECTIVE DATE; APPLICATION. This section is effective beginning with the 
2.22 	transportation budget period under paragraph (b) that starts July 1, 2019, and applies in the 
2.23 	counties of Anoka, Carver, Dakota, Hennepin, Ramsey, Scott, and Washington.

2.24 	Sec. 2. Minnesota Statutes 2016, section 473.13, subdivision 4, is amended to read:
2.25 		Subd. 4.Accounts; accounting system; controls; audits. (a) The council shall keep 
2.26 	an accurate account of its receipts and disbursements. For the transportation components 
2.27 	of the council's financial activity, the council must use the state accounting system maintained 
2.28 	by the commissioner of management and budget under sections 16A.14 and 16A.15.
2.29 	(b) Disbursements of council money must be made by check or by electronic funds 
2.30 	transfer, signed or authorized by the chair or vice-chair of the council, and countersigned 
2.31 	or authorized by its regional administrator or designee after whatever auditing and approval 
2.32 	of the expenditure may be required by the council.
3.1 	(c) The state auditor shall audit the books and accounts of the council once each year, 
3.2 	or as often as funds and personnel of the state auditor permit. The council shall pay to the 
3.3 	state the total cost and expenses of the examination, including the salaries paid to the auditors 
3.4 	while actually engaged in making the examination. The general fund must be credited with 
3.5 	all collections made for any examination.

3.6 	EFFECTIVE DATE; APPLICATION. This section is effective July 1, 2019, for the 
3.7 	transportation budget period that starts on that date and applies in the counties of Anoka, 
3.8 	Carver, Dakota, Hennepin, Ramsey, Scott, and Washington.