SF 11

1st Engrossment - 80th Legislature, 1997 3rd Special Session

Posted on 12/15/2009 12:00 a.m.

  1.1                          A bill for an act 
  1.2             relating to public administration; providing for 
  1.3             baseball stadium construction and funding; authorizing 
  1.4             revenue bonds; appropriating money; amending Minnesota 
  1.5             Statutes 1996, sections 349A.01, by adding 
  1.6             subdivisions; 349A.10, subdivision 5; 473.551, 
  1.7             subdivision 8, and by adding subdivisions; 473.552; 
  1.8             473.553, subdivision 1; 473.556, subdivisions 3, 4, 5, 
  1.9             and by adding subdivisions; and 609.761, subdivision 
  1.10            2; Minnesota Statutes 1997 Supplement, section 
  1.11            297A.259; proposing coding for new law in Minnesota 
  1.12            Statutes, chapters 349A; and 473; proposing coding for 
  1.13            new law as Minnesota Statutes, chapter 473I. 
  1.14  BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.15                             ARTICLE 1
  1.16                     BASEBALL PARK CONSTRUCTION
  1.17     Section 1.  Minnesota Statutes 1996, section 473.551, 
  1.18  subdivision 8, is amended to read: 
  1.19     Subd. 8.  [SPORTS FACILITY OR SPORTS FACILITIES.] "Sports 
  1.20  facility" or "sports facilities" means real or personal property 
  1.21  comprising a stadium, stadiums, baseball parks, or arenas 
  1.22  suitable for university or major league professional baseball, 
  1.23  for university or major league professional football and soccer, 
  1.24  or for both, or for university or major league hockey or 
  1.25  basketball, or for both, together with adjacent parking 
  1.26  facilities, including on the effective date of Laws 1994, 
  1.27  chapter 648, the metrodome, the baseball park, the met center, 
  1.28  and, upon acquisition by the commission, the basketball and 
  1.29  hockey arena. 
  2.1      Sec. 2.  Minnesota Statutes 1996, section 473.551, is 
  2.2   amended by adding a subdivision to read: 
  2.3      Subd. 18.  [BASEBALL PARK.] "Baseball park" means a park 
  2.4   owned by the commission and designed for playing major league 
  2.5   professional baseball, as specified in section 473.5991. 
  2.6      Sec. 3.  Minnesota Statutes 1996, section 473.551, is 
  2.7   amended by adding a subdivision to read: 
  2.8      Subd. 19.  [BASEBALL PARK REVENUE.] "Baseball park revenue" 
  2.9   means all revenue received by or payable to the commission 
  2.10  arising from its ownership and operation of the baseball park 
  2.11  including, but not limited to, revenues from admission taxes or 
  2.12  other special taxes, bond proceeds, fees, lottery proceeds, 
  2.13  loans, and gifts. 
  2.14     Sec. 4.  Minnesota Statutes 1996, section 473.551, is 
  2.15  amended by adding a subdivision to read: 
  2.16     Subd. 20.  [BASEBALL TEAM.] "Baseball team" means a major 
  2.17  league professional baseball team. 
  2.18     Sec. 5.  Minnesota Statutes 1996, section 473.551, is 
  2.19  amended by adding a subdivision to read: 
  2.20     Subd. 21.  [CITY.] "City" when referring to anything 
  2.21  involving the baseball park means the city in which the baseball 
  2.22  park is located. 
  2.23     Sec. 6.  Minnesota Statutes 1996, section 473.551, is 
  2.24  amended by adding a subdivision to read: 
  2.25     Subd. 22.  [COUNTY.] "County" when referring to anything 
  2.26  involving the baseball park means the county in which the 
  2.27  baseball park is located. 
  2.28     Sec. 7.  Minnesota Statutes 1996, section 473.551, is 
  2.29  amended by adding a subdivision to read: 
  2.30     Subd. 23.  [OWNER.] "Owner" means the individual or person 
  2.31  who directly or indirectly owns an interest in the baseball team.
  2.32  Owner does not mean the commission.  
  2.33     Sec. 8.  Minnesota Statutes 1996, section 473.552, is 
  2.34  amended to read: 
  2.35     473.552 [LEGISLATIVE POLICY; PURPOSE.] 
  2.36     The legislature finds that: 
  3.1      (a) (1) the population in the metropolitan area has a need 
  3.2   for sports facilities and that this need cannot be met 
  3.3   adequately by the activities of individual municipalities, by 
  3.4   agreements among municipalities, or by the private efforts of 
  3.5   the people in the metropolitan area,; 
  3.6      (b) (2) the commission's ownership and operation of the 
  3.7   metrodome and met center has met in part the foregoing need and 
  3.8   has promoted the economic and social interests of the 
  3.9   metropolitan area, of the state, and of the public, and; 
  3.10     (c) (3) the commission's acquisition of the basketball and 
  3.11  hockey arena on the terms and conditions provided in sections 
  3.12  473.598 and 473.599 shall similarly and more fully meet the 
  3.13  foregoing needs and promote these interests; and 
  3.14     (4) the commission's construction and operation of the 
  3.15  baseball park by reasonable methods that the legislature and the 
  3.16  commission may devise to secure the long-term commitment of the 
  3.17  baseball team, including, but not limited to, the assignment of 
  3.18  the operation of the baseball park to a private entity, all of 
  3.19  which may further secure and promote these public purposes, will 
  3.20  likewise meet the foregoing needs and promote these interests. 
  3.21  It is therefore necessary for the public health, safety and 
  3.22  general welfare to establish a procedure for the acquisition and 
  3.23  betterment of sports facilities and to create a metropolitan 
  3.24  sports facilities commission. 
  3.25     Sec. 9.  Minnesota Statutes 1996, section 473.553, 
  3.26  subdivision 1, is amended to read: 
  3.27     Subdivision 1.  [GENERAL.] The metropolitan sports 
  3.28  facilities commission is established and as a local governmental 
  3.29  unit and political subdivision of the state that may exercise 
  3.30  its powers within the metropolitan area.  The commission shall 
  3.31  be organized, structured, and administered as provided in this 
  3.32  section. 
  3.33     Sec. 10.  Minnesota Statutes 1996, section 473.556, 
  3.34  subdivision 3, is amended to read: 
  3.35     Subd. 3.  [ACQUISITION OF PROPERTY.] The commission may 
  3.36  acquire by lease, purchase, gift, or devise all necessary right, 
  4.1   title, and interest in and to real or personal property deemed 
  4.2   necessary to the purposes contemplated by sections 473.551 to 
  4.3   473.599 within the limits of the metropolitan area.  The city, 
  4.4   county, or commission may exercise the right of eminent domain 
  4.5   under chapter 117 to acquire a site for the baseball park and, 
  4.6   from time to time such other property, real, personal and 
  4.7   intangible, as are essential and integral to the successful 
  4.8   operation of a sports facility.  
  4.9      Sec. 11.  Minnesota Statutes 1996, section 473.556, 
  4.10  subdivision 4, is amended to read: 
  4.11     Subd. 4.  [EXEMPTION OF PROPERTY.] Any real or personal 
  4.12  property acquired, owned, leased, controlled, used, or occupied 
  4.13  by the commission for any of the purposes of sections 473.551 to 
  4.14  473.599 is declared to be acquired, owned, leased, controlled, 
  4.15  used and occupied for public, governmental, and municipal 
  4.16  purposes, and shall be exempt from ad valorem taxation by the 
  4.17  state or any political subdivision of the state, provided that 
  4.18  such properties shall be subject to special assessments levied 
  4.19  by a political subdivision for a local improvement in amounts 
  4.20  proportionate to and not exceeding the special benefit received 
  4.21  by the properties from the improvement.  No possible use of any 
  4.22  such properties in any manner different from their use under 
  4.23  sections 473.551 to 473.599 at the time shall be considered in 
  4.24  determining the special benefit received by the properties.  All 
  4.25  assessments shall be subject to final confirmation by the 
  4.26  council, whose determination of the benefits shall be conclusive 
  4.27  upon the political subdivision levying the assessment.  
  4.28  Notwithstanding the provisions of section 272.01, subdivision 2, 
  4.29  or 273.19, real or personal property leased by the commission to 
  4.30  another person for uses related to the purposes of sections 
  4.31  473.551 to 473.599, including the operation of the metrodome, 
  4.32  baseball park, met center, and, if acquired by the commission, 
  4.33  the basketball and hockey arena shall be exempt from taxation 
  4.34  regardless of the length of the lease.  The provisions of this 
  4.35  subdivision, insofar as they require exemption or special 
  4.36  treatment, shall not apply to any real property comprising the 
  5.1   met center which is leased by the commission for residential, 
  5.2   business, or commercial development or other purposes different 
  5.3   from those contemplated in sections 473.551 to 473.599. 
  5.4      Sec. 12.  Minnesota Statutes 1996, section 473.556, 
  5.5   subdivision 5, is amended to read: 
  5.6      Subd. 5.  [FACILITY OPERATION.] The commission may equip, 
  5.7   improve, operate, manage, maintain, and control the 
  5.8   metrodome, baseball park, met center, basketball and hockey 
  5.9   arena and sports facilities constructed, remodeled, or acquired 
  5.10  under the provisions of sections 473.551 to 473.599. 
  5.11     Sec. 13.  Minnesota Statutes 1996, section 473.556, is 
  5.12  amended by adding a subdivision to read: 
  5.13     Subd. 18.  [PRIVATE CONTRIBUTIONS.] Notwithstanding the 
  5.14  requirements of subdivision 9, the commission may accept grants, 
  5.15  gifts, or loans from public or private sources to further its 
  5.16  public purposes with respect to the baseball park.  The 
  5.17  contributions may be used by the commission for any purpose 
  5.18  related to the baseball park under sections 473.5991 to 
  5.19  473.5995, including, but not limited to, payment of revenue 
  5.20  bonds or revenue anticipation certificates issued under section 
  5.21  473.5993, or reducing or eliminating any ownership, operations, 
  5.22  or other obligations or liabilities of the commission under 
  5.23  sections 473.5991 to 473.5995. 
  5.24     Sec. 14.  Minnesota Statutes 1996, section 473.556, is 
  5.25  amended by adding a subdivision to read: 
  5.26     Subd. 19.  [BASEBALL PARK REVENUE.] The commission may 
  5.27  spend baseball park revenue to pay any reasonable expenses 
  5.28  necessary to administer, operate, improve, or maintain the 
  5.29  baseball park or to pay debt service on bonds or other 
  5.30  obligations sold for purposes of the baseball park.  Baseball 
  5.31  park revenue must be segregated from other revenue of the 
  5.32  commission. 
  5.33     Sec. 15.  [473.5991] [BASEBALL PARK.] 
  5.34     Subdivision 1.  [ESSENTIAL CHARACTERISTICS.] The baseball 
  5.35  park must be designed for playing major league baseball and no 
  5.36  other major league spectator sport that uses a surface or 
  6.1   seating configuration different from major league baseball.  The 
  6.2   baseball park may have a retractable roof.  The baseball park 
  6.3   may include parking or other transit facilities for patrons, 
  6.4   performers, and employees and may include other amenities to 
  6.5   enhance or make the use of the baseball park convenient and 
  6.6   predictably accessible to all.  
  6.7      Subd. 2.  [DESIGN.] The commission shall determine the 
  6.8   program elements of the baseball park, including, but not 
  6.9   limited to, capacity, suites, club seats, clubs, and amenities.  
  6.10  The commission shall also determine the baseball park design, 
  6.11  and the selection of the project construction team, including 
  6.12  the architect and general contractor. 
  6.13     Subd. 3.  [RELATED INFRASTRUCTURE.] The commission shall 
  6.14  negotiate with the appropriate government entities, including 
  6.15  the city and county within which the baseball park is located, 
  6.16  and the metropolitan council for necessary or appropriate 
  6.17  infrastructure improvements to support the existence and 
  6.18  operation of the baseball park, the movement of patrons to and 
  6.19  from the baseball park, and their comfort, safety, and 
  6.20  convenience while in and around the baseball park. 
  6.21     Subd. 4.  [CONSTRUCTION METHODS.] The commission may 
  6.22  contract for construction materials, supplies, and equipment in 
  6.23  accordance with section 471.345, except that the commission may 
  6.24  employ persons, firms, or corporations to perform one or more or 
  6.25  all of the functions of architect, engineer, construction 
  6.26  manager, or contractor for both design and construction, with 
  6.27  respect to all or part of a project to build or remodel sports 
  6.28  facilities.  Contractors shall be selected through the process 
  6.29  of public bidding, under section 471.345, except that the 
  6.30  commission may narrow the listing of eligible bidders to those 
  6.31  the commission determines to possess sufficient expertise to 
  6.32  perform the intended functions and the commission may negotiate 
  6.33  with the three lowest responsible bidders to achieve the best 
  6.34  and final offer.  The commission may require a construction 
  6.35  manager to certify a construction price and completion date to 
  6.36  the commission.  The commission may require the posting of a 
  7.1   bond in an amount determined by the commission to cover any 
  7.2   costs that may be incurred over and above the certified price, 
  7.3   including, but not limited to, costs incurred by the commission 
  7.4   or loss of revenues resulting from incomplete construction on 
  7.5   the completion date and any other obligations the commission may 
  7.6   require the construction manager to bear.  The commission shall 
  7.7   secure surety bonds as required in section 574.26 securing 
  7.8   payment of just claims in connection with all public work 
  7.9   undertaken by it.  Persons entitled to the protection of the 
  7.10  bonds may enforce them as provided in sections 574.28 to 574.32 
  7.11  and are not entitled to a lien on any property of the commission 
  7.12  under sections 514.01 to 514.16. 
  7.13     Sec. 16.  [473.5992] [DETERMINATIONS BEFORE BONDS SOLD.] 
  7.14     Subdivision 1.  [WHEN.] (a) The commission must do what it 
  7.15  is required to do and determine that others have done what they 
  7.16  are required to do under this section before it authorizes the 
  7.17  sale of bonds under section 473.5993. 
  7.18     (b) If paragraph (a) is not complied with by March 31, 
  7.19  1998, the commission or the owner may require negotiations to 
  7.20  cease.  If the owner requires negotiations to cease under this 
  7.21  subdivision or subdivision 7, the owner shall pay all costs and 
  7.22  expenses of all deliberations of the commission incurred through 
  7.23  the date when negotiations cease. 
  7.24     Subd. 2.  [30-YEAR USE AGREEMENT.] (a) The commission must 
  7.25  execute agreements with the owner and the baseball team to use 
  7.26  the baseball park for all scheduled regular season and all 
  7.27  postseason division, league, and world series championship 
  7.28  play-off home games for no less than 30 years. 
  7.29     (b) The agreements shall afford to the commission, or to 
  7.30  another public entity as the commission deems appropriate, the 
  7.31  rights and remedies that are deemed necessary and appropriate to 
  7.32  provide reasonable assurances that the baseball team and the 
  7.33  owner will comply with the agreements throughout the 30-year 
  7.34  term.  The remedies must include liquidated damages in the 
  7.35  amount of $250,000,000, payable by the baseball team and the 
  7.36  owner jointly and severally to the commission in the event the 
  8.1   team relocates to another ballpark within the 30-year period, 
  8.2   less 1/30 of that amount for each year the team has met its 
  8.3   obligation to play in the baseball park.  The remedies may 
  8.4   include specific performance and injunctive relief and any other 
  8.5   equitable remedies, and any additional remedies or ownership, 
  8.6   voting, or other security arrangements the commission reasonably 
  8.7   determines to be effective in ensuring the baseball team will 
  8.8   play the required games in the baseball park throughout the 
  8.9   30-year term.  In the enforcement of the agreements, the 
  8.10  commission may elect from among the rights and remedies provided 
  8.11  for in this paragraph, and that election does not extinguish the 
  8.12  commission's other rights and remedies except as may otherwise 
  8.13  be provided by law.  It is the intent of the legislature that a 
  8.14  material breach of an agreement between the commission and other 
  8.15  public bodies and professional athletic teams that commit to the 
  8.16  long-term playing of major league games at public facilities is 
  8.17  deemed to cause irreparable harm for which no adequate remedy at 
  8.18  law is available and that the grant of equitable relief to 
  8.19  remedy the breach is in the public interest and shall be 
  8.20  liberally so construed.  
  8.21     (c) The agreements shall provide for the annual payment of 
  8.22  rent by the baseball team for the use and enjoyment of the 
  8.23  baseball park, and for the allocation, between the commission 
  8.24  and the baseball team of all other revenues from whatever source 
  8.25  attributable to the baseball park. 
  8.26     (d) The agreements must anticipate the possible sale and 
  8.27  purchase of shares or other interests in the baseball team to 
  8.28  the community, and provide that the owner use its good faith 
  8.29  efforts to cause major league baseball to approve community 
  8.30  ownership provisions in franchises.  The commission shall report 
  8.31  to the legislature, no later than January 1, 1999, on the ways 
  8.32  and means appropriate and available to effectuate some form of 
  8.33  community ownership of shares or other interests in the baseball 
  8.34  team. 
  8.35     Subd. 3.  [OWNER'S ABILITY TO COMPLY.] The baseball team 
  8.36  and the owner must provide information sufficient to satisfy the 
  9.1   commission of the baseball team's and the owner's ability to 
  9.2   comply with the terms of the 30-year agreements. 
  9.3      Subd. 4.  [OWNER'S INITIAL INVESTMENT.] The commission must 
  9.4   enter into an agreement with the owner that provides that the 
  9.5   owner will make an initial investment in the construction of the 
  9.6   baseball park by paying the commission not less than 
  9.7   $111,000,000 to be paid on a date satisfactory to the 
  9.8   commission.  The initial investment shall not be secured by any 
  9.9   property or revenues of the commission. 
  9.10     Subd. 5.  [PRIVATE SECTOR SUPPORT.] (a) Private sector 
  9.11  support for construction of the baseball park must be 
  9.12  demonstrated by the following:  
  9.13     (1) at least 80 percent of the private suites provided for 
  9.14  in the proposal for the baseball park have been sold or leased 
  9.15  for at least ten years; 
  9.16     (2) at least 80 percent of the club seats provided for in 
  9.17  the proposal for the baseball park are sold or leased for the 
  9.18  opening season; 
  9.19     (3) at least $25,000,000 in qualified pledges to purchase 
  9.20  permanent seat licenses are made; and 
  9.21     (4) pledges to purchase 22,000 season tickets for the 
  9.22  opening season are made. 
  9.23     (b) If the conditions in this subdivision are not met by 
  9.24  March 31, 1998, either the owner or the commission may require 
  9.25  negotiations for the baseball park to cease. 
  9.26     Subd. 6.  [PRIVATE SECTOR CAPITAL PLAN.] The owner must 
  9.27  develop a private sector capital plan approved by the commission 
  9.28  that includes the sale or lease of some or all promotional 
  9.29  rights in the baseball park. 
  9.30     Subd. 7.  [MAJOR LEAGUE BASEBALL CONTRIBUTION.] The 
  9.31  commission and the owner must enter into an agreement that 
  9.32  provides that the owner will use its best efforts to obtain 
  9.33  construction money for the baseball park from major league 
  9.34  baseball. 
  9.35     Subd. 8.  [COMMISSION TITLE TO PROPERTY.] The commission 
  9.36  must acquire, contract to acquire, or begin eminent domain 
 10.1   proceedings to acquire title to all real property including all 
 10.2   easements and other appurtenances needed for the construction 
 10.3   and operation of the baseball park and must receive a grant of 
 10.4   money or enter into agreements sufficient to ensure the receipt 
 10.5   of money, at the time and in the amount required, to make any 
 10.6   payment upon which the commission's acquisition of title and 
 10.7   possession of the real property is conditioned. 
 10.8      Subd. 9.  [SUFFICIENT MONEY FOR CLEARING PROPERTY.] The 
 10.9   commission must receive a grant of money or enter into 
 10.10  agreements sufficient in the judgment of the commission to 
 10.11  ensure the receipt of money, at the time and in the amount 
 10.12  required, to pay all costs of clearing the real property needed 
 10.13  for the construction and operation of the baseball park of all 
 10.14  improvements thereon which would interfere with the construction 
 10.15  or operation of the baseball park.  
 10.16     Subd. 10.  [GUARANTEED MAXIMUM PRICE.] The commission must 
 10.17  execute agreements that provide for the construction of the 
 10.18  baseball park for a guaranteed maximum price and substantial 
 10.19  completion date of April 1, 2001, and that requires performance 
 10.20  bonds in an amount at least equal to 100 percent of the 
 10.21  guaranteed maximum price to cover any costs incurred over and 
 10.22  above the guaranteed maximum price, including, but not limited 
 10.23  to, costs incurred by the commission or loss of revenues 
 10.24  resulting from incomplete construction on the substantial 
 10.25  completion date. 
 10.26     Subd. 11.  [NO STRIKES OR LOCKOUTS.] The commission must 
 10.27  execute agreements with appropriate labor organizations and 
 10.28  construction contractors that provide that no labor strikes or 
 10.29  management lockouts will delay construction. 
 10.30     Subd. 12.  [BASEBALL TEAM TO OPERATE BASEBALL PARK.] (a) 
 10.31  The commission must execute agreements with the owner and the 
 10.32  baseball team that provide for operation and maintenance of the 
 10.33  baseball park at the expense of the owner and the team. 
 10.34     (b) The agreements may provide that: 
 10.35     (1) the baseball team will manage, maintain, operate, and 
 10.36  repair the baseball park and may contract with one or more 
 11.1   entities to operate part or all of the baseball park all subject 
 11.2   to the approval of the commission; and 
 11.3      (2) the baseball team shall contract with one or more 
 11.4   concessionaires to provide food and beverages for the baseball 
 11.5   park subject to the approval of the commission. 
 11.6      (c) The agreements must provide criteria for maintenance 
 11.7   and operation of the baseball park and remedies as referred to 
 11.8   in subdivision 2, paragraphs (b) and (c), that may be exercised 
 11.9   by the commission to ensure that the criteria are met.  The 
 11.10  agreements must also require that the baseball team and its 
 11.11  affiliates and subsidiaries that are involved in the maintenance 
 11.12  and operation provide annually audited financial statements to 
 11.13  the commission. 
 11.14     Subd. 13.  [COMMISSION PARTICIPATION IN BASEBALL TEAM 
 11.15  CONTRACTS.] The commission and the owner must execute an 
 11.16  agreement that provides that the commission may participate in 
 11.17  the negotiations of any operations, concessions, rights, 
 11.18  advertising, or any other contracts or agreements pertinent to 
 11.19  the operation and maintenance of the baseball park between the 
 11.20  owner and any other third party. 
 11.21     Subd. 14.  [CAPITAL REPAIRS AND IMPROVEMENTS.] The 
 11.22  commission must establish a baseball park capital repair and 
 11.23  improvement account and enter into an agreement with the owner 
 11.24  and the baseball team that provides that the owner and the 
 11.25  baseball team must pay at least $700,000 a year into the account 
 11.26  to be used by the commission to make any capital repairs, 
 11.27  improvements, enhancements, and betterments necessary to 
 11.28  maintain the baseball park.  The commission is not obligated to 
 11.29  spend money for these purposes in excess of the balance in the 
 11.30  capital repair and improvement account. 
 11.31     Subd. 15.  [UNIVERSITY OF MINNESOTA.] The commission must 
 11.32  consult with and consider the needs of the University of 
 11.33  Minnesota for baseball facilities for the next 20 years. 
 11.34     Subd. 16.  [REVENUES TO BE SUFFICIENT.] The anticipated 
 11.35  baseball park revenue must be sufficient to pay when due all 
 11.36  debt service on the revenue bonds and all administrative 
 12.1   expenses of the commission.  The anticipated revenue to the 
 12.2   baseball team must be sufficient to pay all operating and 
 12.3   maintenance expenses of the baseball park. 
 12.4      Subd. 17.  [LEAGUE, MAJOR LEAGUE BASEBALL GUARANTY.] The 
 12.5   commission must execute an agreement with the major league of 
 12.6   which the baseball team is a member and with major league 
 12.7   baseball that guarantees the continuance of the franchise in the 
 12.8   metropolitan area for the period of the agreement referred to in 
 12.9   subdivision 2. 
 12.10     Sec. 17.  [INTERSTATE COMPETITION.] 
 12.11     The commission may cooperate and contract with other 
 12.12  political entities in the United States, to petition or form an 
 12.13  entity to petition the United States Congress to enact 
 12.14  legislation to prevent injurious or uneconomic practices of 
 12.15  governmental entities in seeking sports, exposition, and 
 12.16  entertainment franchises and facilities.  The attorney general 
 12.17  may participate in appropriate litigation to prevent the 
 12.18  injurious or uneconomic practices. 
 12.19     Sec. 18.  [473.5993] [DEBT OBLIGATIONS FOR BASEBALL PARK.] 
 12.20     Subdivision 1.  [PURPOSES.] The commission may by 
 12.21  resolution authorize the sale and issuance of its revenue bonds 
 12.22  for the following purposes after complying with or determining 
 12.23  that section 473.5992, paragraph (a), has been or will be 
 12.24  complied with in material respects: 
 12.25     (1) to acquire and better facilities for a baseball park, 
 12.26  including, but not limited to, site assembly, preparation, and 
 12.27  construction; 
 12.28     (2) to reimburse the commission for its costs in complying 
 12.29  with and making the determinations required by section 473.5992, 
 12.30  whenever incurred; 
 12.31     (3) to pay issuance costs and costs of bond insurance or 
 12.32  other credit enhancement for the bonds and to establish 
 12.33  necessary reserves for operating and debt service costs; 
 12.34     (4) to refund bonds issued under this section; and 
 12.35     (5) to fund judgments entered by any court against the 
 12.36  commission in matters relating to the commission's functions 
 13.1   related to the baseball park. 
 13.2      Subd. 2.  [AMOUNT.] The principal amount of the bonds 
 13.3   issued under subdivision 1, clause (1), exclusive of any 
 13.4   original issue discount, must not exceed $250,000,000. 
 13.5      Subd. 3.  [TAXABILITY.] The bonds may be issued as 
 13.6   tax-exempt revenue bonds or as taxable revenue bonds in the 
 13.7   proportions that the commission may determine. 
 13.8      Subd. 4.  [PROCEDURE.] The bonds shall be sold, issued, and 
 13.9   secured in the manner provided in chapter 475 for bonds payable 
 13.10  solely from revenues and the commission has the same powers and 
 13.11  duties as a municipality and its governing body in issuing bonds 
 13.12  under that chapter.  The bonds may be sold at any price and at 
 13.13  public or private sale as determined by the commission.  An 
 13.14  election is not required.  
 13.15     Subd. 5.  [NOT A GENERAL OR MORAL OBLIGATION.] The bonds 
 13.16  are payable solely from baseball park revenues.  The bonds are 
 13.17  not a general or moral obligation or debt of the commission, any 
 13.18  other political subdivision of the state, or the state, and must 
 13.19  not be included in the net debt of any city, county, or other 
 13.20  subdivision of the state for the purpose of any net debt 
 13.21  limitation.  The state does not assume any obligation or 
 13.22  liability for bonds sold or issued under this section.  
 13.23     Subd. 6.  [BROKERAGE FIRM AGREEMENT.] Before issuing debt 
 13.24  under this section, the commission must enter into an agreement 
 13.25  with the brokerage firm to be used in connection with the sale 
 13.26  and issuance of the bonds or revenue anticipation certificates 
 13.27  under this section, guaranteeing that fees and charges payable 
 13.28  to the brokerage firm under the agreement, including any 
 13.29  underwriting discounts, do not exceed fees and charges 
 13.30  customarily payable in connection with the sale and issuance of 
 13.31  bonds or revenue anticipation certificates. 
 13.32     Subd. 7.  [SECURITY.] Baseball park revenues must be and 
 13.33  remain pledged and appropriated, for the benefit of and 
 13.34  enforceable by the bondholders or their trustee, for the payment 
 13.35  of all necessary and reasonable expenses of the operation, 
 13.36  administration, maintenance, and debt service of the baseball 
 14.1   park until all bonds and certificates issued under this section 
 14.2   are fully paid or discharged in accordance with law.  Bonds 
 14.3   issued under this section may be secured by a bond resolution, 
 14.4   or by a trust indenture entered into by the commission with a 
 14.5   corporate trustee within or outside the state, which must define 
 14.6   the baseball park revenues pledged for the payment and security 
 14.7   of the bonds.  The pledge is a valid charge on the baseball park 
 14.8   revenues from the date when bonds are first issued or secured 
 14.9   under the resolution or indenture and secure the payment of 
 14.10  principal and interest and redemption premiums when due and the 
 14.11  maintenance at all times of a reserve securing the payments.  No 
 14.12  mortgage of or security interest in any tangible real or 
 14.13  personal property is granted to the bondholders or the trustee, 
 14.14  but they have a valid security interest in all baseball park 
 14.15  revenues of the commission as against the claims of all other 
 14.16  persons in tort, contract, or otherwise, irrespective of whether 
 14.17  the parties have notice of the claims, and without possession or 
 14.18  filing as provided in the uniform commercial code or any other 
 14.19  law.  In the bond resolution or trust indenture the commission 
 14.20  may make any covenants that are determined by the commission to 
 14.21  be usual and reasonably necessary for the protection of the 
 14.22  bondholders.  No pledge, mortgage, covenant, or agreement 
 14.23  securing bonds may be impaired, revoked, or amended by law or by 
 14.24  action of the commission except in accordance with the terms of 
 14.25  the resolution or indenture under which the bonds are issued, 
 14.26  until the obligations of the commission under the resolution or 
 14.27  indenture are fully discharged. 
 14.28     Subd. 8.  [REVENUE ANTICIPATION CERTIFICATES.] In any year, 
 14.29  upon final adoption by the commission of an annual budget of the 
 14.30  commission, including the baseball park revenues, and in 
 14.31  anticipation of the baseball park revenues, but subject to any 
 14.32  limitation or prohibition in a bond resolution or indenture, the 
 14.33  commission may authorize the issuance, negotiation, and sale, in 
 14.34  the form and manner and upon the terms it may determine, of 
 14.35  revenue anticipation certificates.  The principal amount of the 
 14.36  certificates outstanding may at no time exceed 25 percent of the 
 15.1   total amount of the revenues anticipated.  The certificates must 
 15.2   mature not later than three months after the close of the budget 
 15.3   year.  So much of the anticipated baseball park revenues as may 
 15.4   be needed for the payment of the certificates and interest 
 15.5   thereon shall be paid into a special debt service fund 
 15.6   established for the certificates in the commission's financial 
 15.7   records.  If for any reason the anticipated revenues are 
 15.8   insufficient, the certificates and interest must be paid from 
 15.9   the first revenues received, subject to any limitation or 
 15.10  prohibition in a bond resolution or indenture.  The proceeds of 
 15.11  the certificates may be used for any purpose for which the 
 15.12  anticipated revenues may be used or for any purpose for which 
 15.13  bond proceeds under subdivision 1 may be used. 
 15.14     Subd. 9.  [VALIDITY OF DEBT ISSUED.] The validity of any 
 15.15  bonds issued under this section and the obligations of the 
 15.16  commission related to them must not be conditioned upon or 
 15.17  impaired by the commission's determinations made under section 
 15.18  473.5992.  For the purposes of issuing bonds, the determinations 
 15.19  made by the commission are conclusive, and the commission is 
 15.20  obligated for the security and payment of the bonds, but only 
 15.21  from the sources pledged thereto, irrespective of determinations 
 15.22  that may be erroneous, inaccurate, or otherwise mistaken. 
 15.23     Sec. 19.  [473.5994] [PROFIT SHARING.] 
 15.24     Subdivision 1.  [DEFINITIONS.] (a) [APPLICATION.] The 
 15.25  definitions in this subdivision apply to this section. 
 15.26     (b) [GROSS REVENUES OF THE BASEBALL TEAM.] "Gross revenues 
 15.27  of the baseball team" means all revenues of the baseball team 
 15.28  from whatever source, including, but not limited to, any 
 15.29  revenues as may be negotiated with the commission from baseball 
 15.30  park rights, concessions, signage, and revenues from ticket 
 15.31  sales, and other revenues including major league profit sharing, 
 15.32  royalties, television, radio, and any other receipts or 
 15.33  revenues, ordinary or extraordinary, not otherwise provided for 
 15.34  in sections 473.5991 to 473.5995. 
 15.35     (c) [NET OPERATING PROFITS.] "Net operating profits" means 
 15.36  the gross revenues of the baseball team remaining after its 
 16.1   payment of or deduction for its baseball team operating 
 16.2   expenses, its baseball park operating expenses, and its funding 
 16.3   of the baseball park capital repair and improvement account.  
 16.4   Net operating profits must be computed in accordance with 
 16.5   generally accepted accounting principles. 
 16.6      Subd. 2.  [BASEBALL TEAM OPERATING EXPENSES; LOSS.] The 
 16.7   owner shall assume all risk for and timely pay all operating 
 16.8   expenses of the baseball team and the baseball park as provided 
 16.9   in this act and in agreements authorized by this act.  The 
 16.10  baseball team shall be organized so that under Minnesota law, 
 16.11  the commission is not liable for any operating loss, liability, 
 16.12  or obligation of the baseball team, or baseball park.  The 
 16.13  commission shall have no duty to reimburse the owner or any 
 16.14  creditor of the owner, the baseball team, or the baseball park 
 16.15  for any operating loss, liability, or obligation of the baseball 
 16.16  team or baseball park, and shall be indemnified by the owner 
 16.17  against losses or claims. 
 16.18     Sec. 20.  [473.5995] [PROFITS UPON SALE OF BASEBALL TEAM.] 
 16.19     (a) The commission and the owner shall enter into an 
 16.20  agreement that provides for the sharing of profits upon the sale 
 16.21  of the baseball team.  
 16.22     (b) If: 
 16.23     (1) the baseball team is sold, transferred, or assigned 
 16.24  sooner than 15 years after the first regular season game played 
 16.25  in the baseball park; and 
 16.26     (2) the value of the baseball team has appreciated above 
 16.27  $125,000,000 or the sale price exceeds that amount, 
 16.28  then the commission shall receive a payment reflecting its share 
 16.29  that is stated in the agreement upon the closing of such sale, 
 16.30  transfer, or assignment. 
 16.31     Sec. 21.  [473.5996] [CITY POWERS.] 
 16.32     Notwithstanding any law, charter, or ordinance provision to 
 16.33  the contrary, the city may acquire or condemn land, assemble and 
 16.34  prepare a site, make infrastructure improvements, or use its 
 16.35  resources in other ways it may devise to finance sports 
 16.36  facilities and to further the purposes of sections 473.551 to 
 17.1   473.5996. 
 17.2      Sec. 22.  [INSTRUCTION TO REVISOR.] 
 17.3      In the next edition of Minnesota Statutes, the revisor of 
 17.4   statutes shall change references to Minnesota Statutes, sections 
 17.5   473.551 to 473.599 to read "473.551 to 473.5996." 
 17.6      Sec. 23.  [APPLICATION.] 
 17.7      This article applies in the counties of Anoka, Carver, 
 17.8   Dakota, Hennepin, Ramsey, Scott, and Washington. 
 17.9      Sec. 24.  [EFFECTIVE DATE.] 
 17.10     This article is effective the day following final enactment.
 17.11                             ARTICLE 2
 17.12                       BASEBALL PARK ACCOUNT
 17.13     Section 1.  [473I.01] [DEFINITIONS.] 
 17.14     Subdivision 1.  [APPLICATION.] The definitions in sections 
 17.15  473.121, 473.551, and this section apply to this chapter. 
 17.16     Subd. 2.  [BASEBALL PARK.] "Baseball park" means the 
 17.17  baseball park described in section 473.5991. 
 17.18     Sec. 2.  [473I.02] [BASEBALL PARK ACCOUNT.] 
 17.19     The baseball park account is established in the special 
 17.20  revenue fund in the state treasury.  All money credited to the 
 17.21  baseball park account is appropriated to the commissioner of 
 17.22  revenue for payment to the commission for purposes of the 
 17.23  baseball park.  The commission shall use all receipts from the 
 17.24  baseball park account to administer, operate, and maintain the 
 17.25  baseball park and to pay debt service on bonds or other 
 17.26  obligations sold for purposes of the baseball park. 
 17.27     Sec. 3.  [EFFECTIVE DATE.] 
 17.28     Sections 1 and 2 are effective the day following final 
 17.29  enactment. 
 17.30                             ARTICLE 3 
 17.31                  BASEBALL STADIUM FUNDING SOURCES 
 17.32     Section 1.  Minnesota Statutes 1997 Supplement, section 
 17.33  297A.259, is amended to read: 
 17.34     297A.259 [LOTTERY TICKETS; IN LIEU TAX.] 
 17.35     Sales of state lottery tickets are exempt from the tax 
 17.36  imposed under section 297A.02.  The state lottery must on or 
 18.1   before the 20th day of each month transmit to the commissioner 
 18.2   of revenue an amount equal to the gross receipts from the sale 
 18.3   of lottery tickets for the previous month multiplied by the tax 
 18.4   rate under section 297A.02, subdivision 1.  The gross receipts 
 18.5   from the operation of gaming machines operated by the state 
 18.6   lottery and the conduct of card games under section 349A.19 are 
 18.7   exempt from the tax imposed under section 297A.02 and the in 
 18.8   lieu tax payment under this section.  The resulting payment is 
 18.9   in lieu of the sales tax that otherwise would be imposed by this 
 18.10  chapter.  The commissioner shall deposit the money transmitted 
 18.11  as provided by section 297A.44 and the money must be treated as 
 18.12  other proceeds of the sales tax.  Gross receipts for purposes of 
 18.13  this section mean the proceeds of the sale of tickets before 
 18.14  deduction of a commission or other compensation paid to the 
 18.15  vendor or retailer for selling tickets. 
 18.16     Sec. 2.  Minnesota Statutes 1996, section 349A.01, is 
 18.17  amended by adding a subdivision to read: 
 18.18     Subd. 14.  [GAMING MACHINE.] "Gaming machine" means any 
 18.19  machine in which a coin, token, or currency are deposited in 
 18.20  order to play a game that uses a video display and 
 18.21  microprocessors or an electromechanical device with a spinning 
 18.22  reel. 
 18.23     Sec. 3.  Minnesota Statutes 1996, section 349A.01, is 
 18.24  amended by adding a subdivision to read: 
 18.25     Subd. 15.  [GAMING MACHINE GAME.] "Gaming machine game" 
 18.26  means a game operated by a gaming machine as authorized by the 
 18.27  director. 
 18.28     Sec. 4.  Minnesota Statutes 1996, section 349A.01, is 
 18.29  amended by adding a subdivision to read: 
 18.30     Subd. 16.  [GAMING MACHINE PLAY.] "Gaming machine play" 
 18.31  means an electronic record that proves participation in a gaming 
 18.32  machine game. 
 18.33     Sec. 5.  Minnesota Statutes 1996, section 349A.01, is 
 18.34  amended by adding a subdivision to read: 
 18.35     Subd. 17.  [ADJUSTED GROSS GAMING MACHINE 
 18.36  REVENUE.] "Adjusted gross gaming machine revenue" means the sum 
 19.1   of all money received by the lottery for gaming machine plays, 
 19.2   less the amount paid out in prizes for gaming machine games. 
 19.3      Sec. 6.  Minnesota Statutes 1996, section 349A.01, is 
 19.4   amended by adding a subdivision to read: 
 19.5      Subd. 18.  [ADJUSTED GROSS CARD REVENUE.] "Adjusted gross 
 19.6   card revenue" means the sum of money received by the lottery 
 19.7   from playing games authorized under section 349A.19, less the 
 19.8   amount paid out in prizes for those games. 
 19.9      Sec. 7.  Minnesota Statutes 1996, section 349A.10, 
 19.10  subdivision 5, is amended to read: 
 19.11     Subd. 5.  [DEPOSIT OF NET PROCEEDS.] (a) Within 30 days 
 19.12  after the end of each month, the director shall deposit in the 
 19.13  state treasury the net proceeds of the lottery, which is the 
 19.14  balance in the lottery fund after transfers to the lottery prize 
 19.15  fund and credits to the lottery operations account.  
 19.16     (b) Of the net proceeds, 40 percent must be credited to the 
 19.17  Minnesota environment and natural resources trust fund, and. 
 19.18     (c) Through June 30, 2001, the remainder must be credited 
 19.19  to the special revenue fund created in section 16A.67, 
 19.20  subdivision 3.  Money credited to the special revenue fund must 
 19.21  be transferred to the debt service fund established in section 
 19.22  16A.67, subdivision 4, at the times and in the amounts 
 19.23  determined by the commissioner of finance to be necessary to 
 19.24  provide for the payment and security of bonds issued pursuant to 
 19.25  section 16A.67.  On or before the tenth day of each month, any 
 19.26  money in the special revenue fund not required to be transferred 
 19.27  to the debt service fund or to the baseball stadium account 
 19.28  under paragraph (d) must be transferred to the general fund. 
 19.29     (d) Until June 30, 2001, after any necessary amounts have 
 19.30  been transferred to the debt service account created in section 
 19.31  16A.67, subdivision 4, the commissioner of finance shall 
 19.32  transfer from the special revenue account created in section 
 19.33  16A.67, subdivision 3, to the baseball stadium account created 
 19.34  in section 473I.02 the sum of $5,000,000 in each of the months 
 19.35  January to June. 
 19.36     (e) On and after July 1, 2001, the first $30,000,000 or as 
 20.1   much thereof as is necessary to pay debt service on bonds issued 
 20.2   under section 473.5993 after receipts from all other funds 
 20.3   specifically available for the purpose are used for the purpose 
 20.4   in each fiscal year must be credited to the baseball stadium 
 20.5   account established in section 473I.02 and the remainder of the 
 20.6   $30,000,000, if any, and all amounts in excess of $30,000,000 in 
 20.7   that fiscal year must be credited to the general fund.  This 
 20.8   paragraph does not apply to adjusted gross gaming machine 
 20.9   revenue or to adjusted gross card revenue. 
 20.10     Sec. 8.  [349A.16] [VENDOR CONTRACTS; GAMING MACHINES; CARD 
 20.11  GAMES.] 
 20.12     Subdivision 1.  [PROCUREMENT CONTRACTS.] Notwithstanding 
 20.13  the provisions of section 349A.07, the director may enter into 
 20.14  contracts for the procurement of gaming machines or any other 
 20.15  contract necessary for maintaining, advertising, promoting, or 
 20.16  monitoring gaming machines or for conducting, promoting, or 
 20.17  advertising card games authorized under section 349A.19. 
 20.18     Subd. 2.  [LOCATION CONTRACT.] The director may enter into 
 20.19  a contract with a person to provide locations for and to provide 
 20.20  services related to gaming machines, and to conduct card games 
 20.21  as permitted under section 349A.19.  Contracts entered into 
 20.22  under this section are not subject to chapter 16B.  The director 
 20.23  may only enter a contract under this subdivision with a person 
 20.24  that holds a class A license under chapter 240.  The gaming 
 20.25  machines may only be placed, and the card games permitted under 
 20.26  section 349A.19 may only be conducted, at the racetrack for 
 20.27  which the class A license under chapter 240 was issued.  
 20.28  Contracts entered into must provide for a fair market rental, 
 20.29  which include the costs of leasehold improvements and ongoing 
 20.30  facility expenses.  The director may also contract directly with 
 20.31  the location provider for other goods and services deemed 
 20.32  necessary for the maintenance and operation of the gaming 
 20.33  machines, card games, or related facilities. 
 20.34     Subd. 3.  [CONFLICT OF INTEREST.] The director or any 
 20.35  employee of the lottery, or a member of their immediate family 
 20.36  residing in the same household, may not have any personal 
 21.1   pecuniary interest in any vendor holding a contract with the 
 21.2   lottery under this section. 
 21.3      Sec. 9.  [349A.17] [GAMING MACHINES.] 
 21.4      Subdivision 1.  [SPECIFICATIONS.] Gaming machines must:  
 21.5      (1) maintain on nonresettable meters a permanent record, 
 21.6   capable of being printed out, of all transactions by the machine 
 21.7   and all entries into the machine; and 
 21.8      (2) be capable of being linked electronically to a central 
 21.9   communication system to provide auditing program information as 
 21.10  required by the director. 
 21.11     Subd. 2.  [GAMES.] The director shall specify the games 
 21.12  that may be played on a gaming machine as set forth under 
 21.13  section 349A.04.  Gaming machines may conduct pari-mutuel 
 21.14  wagering and display horse races pursuant to specifications set 
 21.15  forth by the director. 
 21.16     Subd. 3.  [EXAMINATION OF MACHINES.] The director shall 
 21.17  examine prototypes of gaming machines and require that the 
 21.18  manufacturer of the machine pay the cost of the examination.  
 21.19  The director may contract for the examination of gaming machines.
 21.20     Subd. 4.  [TESTING OF MACHINES.] The director may require 
 21.21  working models of a gaming machine transported to the locations 
 21.22  the director designates for testing, examination, and analysis.  
 21.23  The manufacturer shall pay all costs of any testing, 
 21.24  examination, analysis, and transportation of the machine model. 
 21.25     Subd. 5.  [PRIZES.] A person who plays a gaming machine 
 21.26  agrees to be bound by the rules and game procedures applicable 
 21.27  to that particular gaming machine game.  The player acknowledges 
 21.28  that the determination of whether the player has won a prize is 
 21.29  subject to the rules and game procedures adopted by the 
 21.30  director, claim procedures established by the director for the 
 21.31  game, and any confidential or public validation tests 
 21.32  established by the director for that game.  A person under 18 
 21.33  years of age may not claim a prize from the operation of a 
 21.34  gaming machine.  A prize claimed from the play of a gaming 
 21.35  machine game is not subject to the provisions of section 
 21.36  349A.08, subdivision 8. 
 22.1      Subd. 6.  [PROHIBITIONS.] (a) A person under the age of 18 
 22.2   years may not play a game on a gaming machine and the lottery 
 22.3   may not allow a person under the age of 18 years to play a game 
 22.4   on a gaming machine. 
 22.5      (b) The director or any employee of the lottery, or a 
 22.6   member of their immediate family residing in the same household, 
 22.7   may not play a game on a gaming machine or receive a prize from 
 22.8   the operation of a gaming machine. 
 22.9      Subd. 7.  [COMPULSIVE GAMBLING NOTICE.] The director shall 
 22.10  prominently post in the area where the gaming machines are 
 22.11  located the toll-free number established by the commissioner of 
 22.12  human services in connection with the compulsive gambling 
 22.13  program established under section 245.98.  The director and the 
 22.14  location provider shall establish a proactive plan to identify 
 22.15  problem gamblers and take appropriate action. 
 22.16     Sec. 10.  [349A.18] [ADJUSTED GROSS GAMING MACHINE 
 22.17  REVENUE.] 
 22.18     Subdivision 1.  [DEPOSIT OF RECEIPTS.] The director shall 
 22.19  deposit the adjusted gross machine revenue into the lottery fund.
 22.20     Subd. 2.  [LOTTERY OPERATIONS.] Notwithstanding section 
 22.21  349A.10, subdivision 3, paragraphs (b) and (c), the director may 
 22.22  credit, in any fiscal year, up to 50 percent of the adjusted 
 22.23  gross gaming machine revenue to the lottery operations account 
 22.24  established under section 349A.10, subdivision 3, for the 
 22.25  operation, promotion, advertising, maintenance, and placement of 
 22.26  gaming machines.  Notwithstanding the provisions of this 
 22.27  subdivision, the director may create a net operation reserve and 
 22.28  deposit funds as necessary to meet the operating expenses of the 
 22.29  lottery provided that the amount credited in any fiscal year 
 22.30  into the net operating reserve account may not exceed five 
 22.31  percent of the adjusted gross revenue and that no more than 50 
 22.32  percent of the adjusted gross revenue is credited to the lottery 
 22.33  operations account and the net operating reserve account in any 
 22.34  one fiscal year. 
 22.35     Subd. 3.  [RACING PURSES.] Of the amounts provided in 
 22.36  subdivision 2, six percent of the adjusted gross gaming machine 
 23.1   and card game revenues must be set aside and used for purses for 
 23.2   live races conducted by the racetrack holding a class A license 
 23.3   under chapter 240. 
 23.4      Subd. 4.  [INDIAN BENEFIT GRANTS.] The commissioner of 
 23.5   administration shall receive one percent of adjusted gross 
 23.6   gaming machine revenue to be administered in grants to 
 23.7   nonreservation Indian projects which encourage the economic and 
 23.8   social well-being of Indians residing in Minnesota who are not 
 23.9   living on reservations or receiving proceeds from tribal 
 23.10  gambling operations. 
 23.11     Sec. 11.  [349A.19] [CARD GAMES.] 
 23.12     Subdivision 1.  [DEFINITIONS.] For the purposes of this 
 23.13  section, "blackjack" means the banking card game that involves 
 23.14  the use of one or more decks of playing cards, the purpose of 
 23.15  which is to reach the number "21" (or as close thereto as 
 23.16  possible without exceeding the number "21") through the 
 23.17  cumulative addition of cards dealt to the player and the house. 
 23.18     Subd. 2.  [AUTHORIZATION.] The director may conduct the 
 23.19  game of blackjack at a location authorized under section 
 23.20  349A.16, subdivision 2, subject to the requirements of this 
 23.21  section. 
 23.22     Subd. 3.  [GAME PROCEDURES.] The director shall adopt game 
 23.23  procedures under section 349A.04 for conducting blackjack games. 
 23.24     Subd. 4.  [PROHIBITIONS.] (a) A person under the age of 18 
 23.25  years may not win a prize from the game of blackjack conducted 
 23.26  under this section and the lottery may not permit a person under 
 23.27  the age of 18 years to play a game of blackjack under this 
 23.28  section. 
 23.29     (b) The director or any employee of the lottery, or a 
 23.30  member of their immediate family residing in the same household, 
 23.31  may not play a game authorized by this section or receive a 
 23.32  prize from a game authorized by this section. 
 23.33     Subd. 5.  [COMPULSIVE GAMBLING NOTICE.] The director shall 
 23.34  prominently post in the area where the games authorized by this 
 23.35  section are conducted the toll-free telephone number established 
 23.36  by the commissioner of human services in connection with the 
 24.1   compulsive gambling program established under section 245.98.  
 24.2   The director and the location provider shall establish a 
 24.3   proactive plan to identify problem gamblers and take appropriate 
 24.4   action. 
 24.5      Subd. 6.  [PRIZES.] A person who plays a game conducted 
 24.6   under this section agrees to be bound by the rules and game 
 24.7   procedures applicable to that game.  The player acknowledges 
 24.8   that the determination of whether the player has won a prize is 
 24.9   subject to the rules and game procedures adopted by the 
 24.10  director, claim procedures established by the director for that 
 24.11  game, and any confidential or public validation tests 
 24.12  established by the director for that game.  A prize claimed from 
 24.13  the play of a game under this section is not subject to section 
 24.14  349A.08, subdivision 8. 
 24.15     Subd. 7.  [DEPOSIT OF RECEIPTS.] The director shall deposit 
 24.16  the adjusted gross card revenue into the lottery fund.  
 24.17     Subd. 8.  [LOTTERY OPERATIONS.] The director may not credit 
 24.18  in any fiscal year more than 50 percent of the adjusted gross 
 24.19  card revenue to the lottery operations account established under 
 24.20  section 349A.10, subdivision 3, for conducting, promoting, and 
 24.21  advertising card games authorized under this section.  Promotion 
 24.22  and advertising of card games authorized under this section are 
 24.23  not subject to the provisions of section 349A.10, subdivision 3, 
 24.24  paragraph (c). 
 24.25     Sec. 12.  [349A.20] [LOCAL LICENSES.] 
 24.26     No political subdivision may require a local license to 
 24.27  operate a gaming machine, restrict or regulate the placement of 
 24.28  a gaming machine, restrict or regulate the conduct of games 
 24.29  authorized under section 349A.19, or impose a tax or fee on the 
 24.30  business of operating gaming machines or the conduct of games 
 24.31  under section 349A.19. 
 24.32     Sec. 13.  [349A.21] [CRIMINAL HISTORY.] 
 24.33     The director has access to all criminal history data 
 24.34  compiled by the director of gambling enforcement on any person 
 24.35  under contract with the lottery to provide goods or services 
 24.36  under section 349A.16. 
 25.1      Sec. 14.  [349A.22] [GAMING MACHINES; CARD GAMES.] 
 25.2      Notwithstanding section 349A.13, clause (2), the director 
 25.3   may install and operate a gaming machine operated by coin or 
 25.4   currency that when operated determines the winner of a game 
 25.5   under sections 349A.16 to 349A.18.  Section 340A.410 does not 
 25.6   prohibit the placement, operation, or possession of a gaming 
 25.7   machine under this chapter or the conduct of card games 
 25.8   authorized under section 349A.19. 
 25.9      Sec. 15.  [349A.23] [EMPLOYEES; GAMING MACHINES; CARD 
 25.10  GAMES.] 
 25.11     The director may appoint personnel as necessary to operate 
 25.12  gaming machines, to provide support for the conduct of gaming 
 25.13  machine games, and to conduct games authorized under section 
 25.14  349A.19, except that all employees appointed under this section 
 25.15  are in the unclassified service.  Section 349A.02, subdivision 
 25.16  6, applies to all employees hired under this section. 
 25.17     Sec. 16.  Minnesota Statutes 1996, section 609.761, 
 25.18  subdivision 2, is amended to read: 
 25.19     Subd. 2.  [STATE LOTTERY.] Sections 609.755 and 609.76 do 
 25.20  not prohibit the operation of the state lottery or the sale, 
 25.21  possession, or purchase of tickets for the state lottery under 
 25.22  chapter 349A, or the manufacture, possession, sale, or operation 
 25.23  of a gaming machine under chapter 349A, or the conduct or 
 25.24  playing of a card game as authorized under section 349A.19. 
 25.25     Sec. 17.  [FUND BALANCE UPON COMPLETION OF BASEBALL PARK.] 
 25.26     Upon certification by the metropolitan sports facilities 
 25.27  commission that all bonds and other obligations issued under 
 25.28  Minnesota Statutes, section 473.5993, have been retired or 
 25.29  defeased, revenues remaining in the baseball stadium account, 
 25.30  and all revenues derived from the funding sources created under 
 25.31  this article must be deposited in a separate fund in the state 
 25.32  treasury to be appropriated to provide for property tax 
 25.33  reduction and programs related to children's issues. 
 25.34     Sec. 18.  [EFFECTIVE DATE.] 
 25.35     This article is effective the day following final enactment.