1.1                          A bill for an act 
  1.2             relating to community development; providing for a 
  1.3             center for rural policy and development; appropriating 
  1.4             money. 
  1.5   BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.6      Section 1.  [RURAL POLICY AND DEVELOPMENT CENTER.] 
  1.7      Subdivision 1.  [ESTABLISHED.] The rural policy and 
  1.8   development center is established as a nonprofit corporation 
  1.9   under section 501(c)(3) of the Internal Revenue Code. 
  1.10     Subd. 2.  [GOVERNANCE.] The center is governed by a board 
  1.11  of directors appointed to six-year terms by the governor 
  1.12  comprised of: 
  1.13     (1) two representatives of statewide farm organizations; 
  1.14     (2) a representative from a regional initiative 
  1.15  organization selected under Minnesota Statutes, section 
  1.16  116J.415, subdivision 3; 
  1.17     (3) a representative from a state university; 
  1.18     (4) a representative from the general public residing in a 
  1.19  town of less than 5,000 located outside of the metropolitan 
  1.20  area; and 
  1.21     (5) two representatives from business, including one 
  1.22  representing rural manufacturing and one rural retail and 
  1.23  service business. 
  1.24     Subd. 3.  [DUTIES.] The center shall: 
  1.25     (1) research issues affecting rural Minnesota, including 
  2.1   health care, transportation, crime, housing, and job training; 
  2.2   and 
  2.3      (2) forge alliances and partnerships to communicate the 
  2.4   research results and to implement proposals based on research 
  2.5   recommendations. 
  2.6      Sec. 2.  [CENTER FOR RURAL POLICY AND DEVELOPMENT FUND.] 
  2.7      A center for rural policy and development fund is 
  2.8   established as an account in the state treasury.  The 
  2.9   commissioner of finance shall credit to the account the amounts 
  2.10  authorized under this section and appropriations to the 
  2.11  account.  The state board of investment shall ensure that 
  2.12  account money is invested under Minnesota Statutes, section 
  2.13  11A.24.  All money earned by the account must be credited to the 
  2.14  account.  The principal of the account and any unexpended 
  2.15  earnings must be invested and reinvested by the state board of 
  2.16  investment. 
  2.17     Gifts and donations, including land or interests in land, 
  2.18  may be made to the account.  Noncash gifts and donations must be 
  2.19  disposed of for cash as soon as the board prudently can maximize 
  2.20  the value of the gift or donation.  Gifts and donations of 
  2.21  marketable securities may be held or be disposed of for cash at 
  2.22  the option of the board.  The cash receipts of gifts and 
  2.23  donations of cash or capital assets and marketable securities 
  2.24  disposed of for cash must be credited immediately to the 
  2.25  principal of the account.  The value of marketable securities at 
  2.26  the time the gift or donation is made must be credited to the 
  2.27  principal of the account and any earnings from the marketable 
  2.28  securities are earnings of the account.  The earnings in the 
  2.29  account are annually appropriated to the board of the center for 
  2.30  rural policy and development to carry out the duties of the 
  2.31  center. 
  2.32     Sec. 3.  [TRANSITION PROVISION.] 
  2.33     The governor shall appoint the board by August 1, 1997.  
  2.34  Original appointments shall be staggered so that three members 
  2.35  serve two-year terms, two serve four-year terms, and two serve 
  2.36  six-year terms.  Thereafter, all terms shall be for six years or 
  3.1   the unexpired term of a term that was not completed.  The 
  3.2   original board shall submit a plan with legislative 
  3.3   recommendations to the 1998 legislature for the structure, 
  3.4   location, and further duties of the center. 
  3.5      Sec. 4.  [APPROPRIATION.] 
  3.6      $5,000,000 is appropriated from the general fund to the 
  3.7   center for rural policy and development account.  This 
  3.8   appropriation does not cancel.