SF 25

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 baseball; providing for a process to 
  1.3             construct, fund, maintain, and govern a major league 
  1.4             baseball park; providing for community ownership of 
  1.5             the baseball team; providing for powers and duties of 
  1.6             the Minnesota sports facilities commission; 
  1.7             authorizing certain taxes, revenue distributions, 
  1.8             bonds and other debt obligations, and allocations; 
  1.9             appropriating money; amending Minnesota Statutes 1996, 
  1.10            sections 297A.25, by adding a subdivision; 349A.10, by 
  1.11            adding a subdivision; 473.551, subdivisions 3, 8, and 
  1.12            by adding subdivisions; 473.552; 473.553, subdivisions 
  1.13            1, 2, 3, 4, 5, and by adding a subdivision; and 
  1.14            473.556, subdivisions 3, 4, 5, and by adding 
  1.15            subdivisions; proposing coding for new law in 
  1.16            Minnesota Statutes, chapter 473; proposing coding for 
  1.17            new law as Minnesota Statutes, chapter 473I; repealing 
  1.18            Minnesota Statutes 1996, sections 473.553, subdivision 
  1.19            14; and 473.561. 
  1.20  BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.21                             ARTICLE 1 
  1.22                     BASEBALL PARK CONSTRUCTION 
  1.23     Section 1.  Minnesota Statutes 1996, section 473.551, 
  1.24  subdivision 8, is amended to read: 
  1.25     Subd. 8.  [SPORTS FACILITY OR SPORTS FACILITIES.] "Sports 
  1.26  facility" or "sports facilities" means real or personal property 
  1.27  comprising a stadium, stadiums, baseball parks, or arenas 
  1.28  suitable for university or major league professional baseball, 
  1.29  for university or major league professional football and soccer, 
  1.30  or for both, or for university or major league hockey or 
  1.31  basketball, or for both, together with adjacent parking 
  1.32  facilities, including on the effective date of Laws 1994, 
  2.1   chapter 648, the metrodome, the baseball park, the met center, 
  2.2   and, upon acquisition by the commission, the basketball and 
  2.3   hockey arena. 
  2.4      Sec. 2.  Minnesota Statutes 1996, section 473.551, is 
  2.5   amended by adding a subdivision to read: 
  2.6      Subd. 18.  [BASEBALL PARK.] "Baseball park" means a park 
  2.7   owned by the commission and designed for playing major league 
  2.8   professional baseball, as specified in section 473.5991. 
  2.9      Sec. 3.  Minnesota Statutes 1996, section 473.551, is 
  2.10  amended by adding a subdivision to read: 
  2.11     Subd. 19.  [BASEBALL PARK REVENUE.] "Baseball park revenue" 
  2.12  means all revenue received by or payable to the commission 
  2.13  arising from its ownership and operation of the baseball park 
  2.14  including, but not limited to, revenues from admission taxes or 
  2.15  other special taxes, appropriations, bond proceeds, fees, loans, 
  2.16  and gifts. 
  2.17     Sec. 4.  Minnesota Statutes 1996, section 473.551, is 
  2.18  amended by adding a subdivision to read: 
  2.19     Subd. 20.  [BASEBALL TEAM.] "Baseball team" means the legal 
  2.20  entity which owns and operates the assets comprising a major 
  2.21  league professional baseball team. 
  2.22     Sec. 5.  Minnesota Statutes 1996, section 473.551, is 
  2.23  amended by adding a subdivision to read: 
  2.24     Subd. 21.  [CITY.] "City" when referring to anything 
  2.25  involving the baseball park means the city in which the baseball 
  2.26  park is located. 
  2.27     Sec. 6.  Minnesota Statutes 1996, section 473.551, is 
  2.28  amended by adding a subdivision to read: 
  2.29     Subd. 22.  [COUNTY.] "County" when referring to anything 
  2.30  involving the baseball park means the county in which the 
  2.31  baseball park is located. 
  2.32     Sec. 7.  Minnesota Statutes 1996, section 473.551, is 
  2.33  amended by adding a subdivision to read: 
  2.34     Subd. 23.  [OWNER.] "Owner" means all individuals or 
  2.35  persons who directly or indirectly own an interest in the 
  2.36  baseball team on the date of enactment of this article and prior 
  3.1   to any transfer to a nonprofit corporation pursuant to section 
  3.2   473.5992, subdivision 3. 
  3.3      Sec. 8.  Minnesota Statutes 1996, section 473.552, is 
  3.4   amended to read: 
  3.5      473.552 [LEGISLATIVE POLICY; PURPOSE.] 
  3.6      The legislature finds that: 
  3.7      (a) (1) the population in the metropolitan area has a need 
  3.8   for sports facilities and that this need cannot be met 
  3.9   adequately by the activities of individual municipalities, by 
  3.10  agreements among municipalities, or by the private efforts of 
  3.11  the people in the metropolitan area,; 
  3.12     (b) (2) the commission's ownership and operation of the 
  3.13  metrodome and met center has met in part the foregoing need and 
  3.14  has promoted the economic and social interests of the 
  3.15  metropolitan area, of the state, and of the public, and; 
  3.16     (c) (3) the commission's acquisition of the basketball and 
  3.17  hockey arena on the terms and conditions provided in sections 
  3.18  473.598 and 473.599 shall similarly and more fully meet the 
  3.19  foregoing needs and promote these interests; and 
  3.20     (4) the commission's construction and operation of the 
  3.21  baseball park by reasonable methods that the legislature and the 
  3.22  commission may devise to secure the long-term commitment of the 
  3.23  baseball team, including, but not limited to, nonprofit and 
  3.24  community ownership of the baseball team as provided in section 
  3.25  473.5992, subdivision 3, and the assignment of the operation of 
  3.26  the baseball park to a private entity, all of which may further 
  3.27  secure and promote these public purposes, will likewise meet the 
  3.28  foregoing needs and promote these interests. 
  3.29  It is therefore necessary for the public health, safety and 
  3.30  general welfare to establish a procedure for the acquisition and 
  3.31  betterment of sports facilities and to create a metropolitan 
  3.32  sports facilities commission. 
  3.33     Sec. 9.  Minnesota Statutes 1996, section 473.553, 
  3.34  subdivision 1, is amended to read: 
  3.35     Subdivision 1.  [GENERAL.] The metropolitan sports 
  3.36  facilities commission is established and as a public corporation 
  4.1   and political subdivision of the state that may exercise its 
  4.2   powers in the metropolitan area, as provided by law.  The 
  4.3   commission shall be organized, structured, and administered as 
  4.4   provided in this section. 
  4.5      Sec. 10.  Minnesota Statutes 1996, section 473.556, 
  4.6   subdivision 3, is amended to read: 
  4.7      Subd. 3.  [ACQUISITION OF PROPERTY.] The commission may 
  4.8   acquire by lease, purchase, gift, or devise all necessary right, 
  4.9   title, and interest in and to real or personal property deemed 
  4.10  necessary to the purposes contemplated by sections 473.551 to 
  4.11  473.599 within the limits of the metropolitan area.  The city or 
  4.12  county may exercise the right of eminent domain under chapter 
  4.13  117, subject to any limits on spending in a charter for the city 
  4.14  or county, to acquire a site for the baseball park and, from 
  4.15  time to time, such other property, real, personal, and 
  4.16  intangible, as are essential and integral to the successful 
  4.17  operation of the baseball park. 
  4.18     Sec. 11.  Minnesota Statutes 1996, section 473.556, 
  4.19  subdivision 4, is amended to read: 
  4.20     Subd. 4.  [EXEMPTION OF PROPERTY.] (a) Except as provided 
  4.21  in paragraph (b), any real or personal property acquired, owned, 
  4.22  leased, controlled, used, or occupied by the commission for any 
  4.23  of the purposes of sections 473.551 to 473.599 is declared to be 
  4.24  acquired, owned, leased, controlled, used and occupied for 
  4.25  public, governmental, and municipal purposes, and shall be 
  4.26  exempt from ad valorem taxation by the state or any political 
  4.27  subdivision of the state, provided that such properties shall be 
  4.28  subject to special assessments levied by a political subdivision 
  4.29  for a local improvement in amounts proportionate to and not 
  4.30  exceeding the special benefit received by the properties from 
  4.31  the improvement.  No possible use of any such properties in any 
  4.32  manner different from their use under sections 473.551 to 
  4.33  473.599 at the time shall be considered in determining the 
  4.34  special benefit received by the properties.  All assessments 
  4.35  shall be subject to final confirmation by the council, whose 
  4.36  determination of the benefits shall be conclusive upon the 
  5.1   political subdivision levying the assessment.  Notwithstanding 
  5.2   the provisions of section 272.01, subdivision 2, or 273.19, real 
  5.3   or personal property leased by the commission to another person 
  5.4   for uses related to the purposes of sections 473.551 to 473.599, 
  5.5   including the operation of the metrodome, baseball park, met 
  5.6   center, and, if acquired by the commission, the basketball and 
  5.7   hockey arena shall be exempt from taxation regardless of the 
  5.8   length of the lease.  The provisions of this subdivision, 
  5.9   insofar as they require exemption or special treatment, shall 
  5.10  not apply to any real property comprising the met center which 
  5.11  is leased by the commission for residential, business, or 
  5.12  commercial development or other purposes different from those 
  5.13  contemplated in sections 473.551 to 473.599. 
  5.14     (b) The exemption from ad valorem taxation does not apply 
  5.15  to restaurants, lodging, or other facilities primarily engaged 
  5.16  in making retail sales to the public without regard to whether 
  5.17  there is an event at the sports facility. 
  5.18     Sec. 12.  Minnesota Statutes 1996, section 473.556, 
  5.19  subdivision 5, is amended to read: 
  5.20     Subd. 5.  [FACILITY OPERATION.] The commission may equip, 
  5.21  improve, operate, manage, maintain, and control the 
  5.22  metrodome, baseball park, met center, basketball and hockey 
  5.23  arena and sports facilities constructed, remodeled, or acquired 
  5.24  under the provisions of sections 473.551 to 473.599. 
  5.25     Sec. 13.  Minnesota Statutes 1996, section 473.556, is 
  5.26  amended by adding a subdivision to read: 
  5.27     Subd. 18.  [PRIVATE CONTRIBUTIONS.] Notwithstanding the 
  5.28  requirements of subdivision 9, the commission may accept grants, 
  5.29  gifts, or loans to further its public purposes with respect to 
  5.30  the baseball park.  The contributions may be used by the 
  5.31  commission for any purpose related to the baseball park under 
  5.32  sections 473.5991 to 473.5995, including, but not limited to, 
  5.33  payment of revenue bonds or revenue anticipation certificates 
  5.34  issued under section 473.5993, or reducing or eliminating any 
  5.35  ownership, operations, or other obligations or liabilities of 
  5.36  the commission under sections 473.5991 to 473.5995. 
  6.1      Sec. 14.  Minnesota Statutes 1996, section 473.556, is 
  6.2   amended by adding a subdivision to read: 
  6.3      Subd. 19.  [BASEBALL PARK REVENUE.] The commission may 
  6.4   spend baseball park revenue for the purposes of section 473.5993 
  6.5   to pay any reasonable expenses necessary to acquire, construct, 
  6.6   administer, operate, improve, or maintain the baseball park or 
  6.7   to pay debt service on bonds or other obligations sold for 
  6.8   purposes of the baseball park in accordance with sections 
  6.9   473.551 to 473.5995.  Baseball park revenue must be segregated 
  6.10  from other revenue of the commission. 
  6.11     Sec. 15.  Minnesota Statutes 1996, section 473.556, is 
  6.12  amended by adding a subdivision to read: 
  6.13     Subd. 20.  [LOANS.] Notwithstanding the requirements of 
  6.14  subdivision 9, the commission may borrow funds or enter into 
  6.15  loans or other security or debt instruments or make other 
  6.16  arrangements sufficient for construction of the baseball park 
  6.17  under sections 473.5991 to 473.5995. 
  6.18     Sec. 16.  [473.5991] [BASEBALL PARK.] 
  6.19     Subdivision 1.  [ESSENTIAL CHARACTERISTICS.] The baseball 
  6.20  park must be designed for playing major league baseball and no 
  6.21  other major league spectator sport that uses a surface or 
  6.22  seating configuration different from major league baseball.  The 
  6.23  baseball park shall be designed to have a retractable roof, but 
  6.24  no roof shall be constructed unless funding becomes available.  
  6.25  The baseball park may include parking or other transit 
  6.26  facilities for patrons, performers, and employees and may 
  6.27  include other amenities to enhance or make the use of the 
  6.28  baseball park enjoyable, convenient, and predictably accessible 
  6.29  to all.  
  6.30     Subd. 2.  [DESIGN.] The commission shall determine the 
  6.31  program elements of the baseball park, in consultation with the 
  6.32  baseball team, including, but not limited to, capacity, suites, 
  6.33  club seats, clubs, and amenities.  The commission shall also 
  6.34  determine the baseball park design, and the selection of the 
  6.35  project construction team, including the architect and general 
  6.36  contractor.  The baseball park design must be comparable in 
  7.1   quality to other recently built major league professional 
  7.2   baseball parks. 
  7.3      Subd. 3.  [SITE.] The commission shall design a process to 
  7.4   select a site within the metropolitan area and request site 
  7.5   proposals from any municipality.  The process to select a site 
  7.6   must include a procedure to set minimum specifications for the 
  7.7   site, including the necessary or desirable appropriate economic 
  7.8   development possibilities on adjacent properties.  The process 
  7.9   must consider the capture and use of incremental revenue paid to 
  7.10  or enjoyed by public entities, as a result of or in anticipation 
  7.11  of the baseball park, as revenue sources for funding the 
  7.12  baseball park.  
  7.13     Subd. 4.  [RELATED INFRASTRUCTURE.] The commission shall 
  7.14  negotiate with the appropriate government entities, including 
  7.15  the city, the county, and the council for necessary or 
  7.16  appropriate infrastructure improvements to support the existence 
  7.17  and operation of the baseball park, the movement of patrons to 
  7.18  and from the baseball park, and their comfort, safety, and 
  7.19  convenience while in and around the baseball park. 
  7.20     Subd. 5.  [CONSTRUCTION METHODS.] The commission may 
  7.21  contract for construction materials, supplies, and equipment in 
  7.22  accordance with section 471.345, may construct the baseball park 
  7.23  by a design-build method, and may employ persons, firms, or 
  7.24  corporations to perform one or more or all of the functions of 
  7.25  architect, engineer, construction manager, or contractor for 
  7.26  both design and construction, with respect to all or part of a 
  7.27  project to build or remodel sports facilities.  Contractors 
  7.28  shall be selected through the process of public bidding under 
  7.29  section 471.345, except that the commission may narrow the 
  7.30  listing of eligible bidders to those the commission determines 
  7.31  to possess sufficient expertise to perform the intended 
  7.32  functions, and the commission may negotiate with the three 
  7.33  lowest responsible bidders to achieve the best and final offer.  
  7.34  The commission may require a construction manager to certify a 
  7.35  construction price and completion date to the commission.  The 
  7.36  commission may require the posting of a bond in an amount 
  8.1   determined by the commission to cover any costs that may be 
  8.2   incurred over and above the certified price, including, but not 
  8.3   limited to, costs incurred by the commission or loss of revenues 
  8.4   resulting from incomplete construction on the completion date 
  8.5   and any other obligations the commission may require the 
  8.6   construction manager to bear.  The commission shall secure 
  8.7   surety bonds as required in section 574.26 securing payment of 
  8.8   just claims in connection with all public work undertaken by 
  8.9   it.  Persons entitled to the protection of the bonds may enforce 
  8.10  them as provided in sections 574.28 to 574.32 and are not 
  8.11  entitled to a lien on any property of the commission under 
  8.12  sections 514.01 to 514.16. 
  8.13     Subd. 6.  [CONSTRUCTION MATERIALS; SALES TAX 
  8.14  EXEMPTION.] Purchases of materials and supplies used or consumed 
  8.15  in constructing or incorporated into the construction of the 
  8.16  baseball park are exempt from the taxes imposed under chapter 
  8.17  297A and from any sales and use tax imposed by a local unit of 
  8.18  government notwithstanding any ordinance or charter provision.  
  8.19  This exemption applies regardless of whether the materials and 
  8.20  supplies are purchased by the commission, the owner or 
  8.21  subsequent owners, or by a contractor or subcontractor.  
  8.22     Sec. 17.  [473.5992] [DETERMINATIONS BEFORE BONDS SOLD.] 
  8.23     Subdivision 1.  [WHEN.] The metropolitan council must 
  8.24  determine that others have done what they are required to do 
  8.25  under this section in all material respects before it authorizes 
  8.26  expenditure of any part of the money appropriated under article 
  8.27  2, section 9. 
  8.28     Subd. 2.  [30-YEAR USE AGREEMENT.] (a) The commission must 
  8.29  have executed agreements with the owner and the baseball team to 
  8.30  use the baseball park for all scheduled regular season and all 
  8.31  postseason division, league, and world series championship 
  8.32  play-off home games for no less than 30 years, without an escape 
  8.33  clause for the owner. 
  8.34     (b) The agreements shall afford to the commission, or to 
  8.35  another public entity as the commission deems appropriate, the 
  8.36  rights and remedies that are deemed necessary and appropriate to 
  9.1   provide reasonable assurances that the baseball team and the 
  9.2   owner will comply with the agreements throughout the 30-year 
  9.3   term.  The remedies must include liquidated damages in an amount 
  9.4   equal to the costs of site preparation, construction, and 
  9.5   interest, payable by the baseball team and the owner jointly and 
  9.6   severally to the commission in the event the team relocates to 
  9.7   another ball park within the 30-year period, less 1/30 of the 
  9.8   amount, and all remaining interest payments, for each year the 
  9.9   team has met its obligation to play in the baseball park.  The 
  9.10  remedies may include specific performance and injunctive relief 
  9.11  and any other equitable remedies, and any additional remedies or 
  9.12  ownership, voting, or other security arrangements the commission 
  9.13  reasonably determines to be effective in ensuring the baseball 
  9.14  team will play the required games in the baseball park 
  9.15  throughout the 30-year term.  In the enforcement of the 
  9.16  agreements, the commission may elect from among the rights and 
  9.17  remedies provided for in this paragraph, and that election does 
  9.18  not extinguish the commission's other rights and remedies except 
  9.19  as may otherwise be provided by law.  It is the intent of the 
  9.20  legislature that a material breach of an agreement between the 
  9.21  commission and other public bodies and professional athletic 
  9.22  teams that commit to the long-term playing of major league games 
  9.23  at public facilities is deemed to cause irreparable harm for 
  9.24  which no adequate remedy at law is available and that the grant 
  9.25  of equitable relief to remedy the breach is in the public 
  9.26  interest and shall be liberally so construed.  
  9.27     (c) The agreements must confer exclusive jurisdiction for 
  9.28  judicial enforcement of the agreements on Minnesota state courts 
  9.29  and provide that disputes arising under the agreement be 
  9.30  governed by Minnesota law.  
  9.31     Subd. 3.  [NONPROFIT, COMMUNITY OWNERSHIP.] (a) The owner 
  9.32  must have transferred ownership of the baseball team to a 
  9.33  nonprofit corporation through transfer by gift of all ownership 
  9.34  interests, voting and nonvoting.  The transfer agreement must 
  9.35  provide that the owner guarantee the debt of the baseball team, 
  9.36  determined as of the date of the transfer of ownership of the 
 10.1   team to the nonprofit corporation.  The transfer agreement must 
 10.2   provide that if the proceeds of the sale of the baseball team to 
 10.3   a subsequent owner are not sufficient to pay the debt amount, 
 10.4   the owner must pay for it.  The transfer agreement must provide 
 10.5   that any amount received by the nonprofit corporation on the 
 10.6   subsequent transfer of the baseball team that is greater than 
 10.7   the amount of the outstanding debt of the baseball team 
 10.8   determined as of the date of the transfer by the owner to the 
 10.9   nonprofit corporation, will be conveyed to the commissioner of 
 10.10  finance to be deposited in the general fund. The transfer 
 10.11  agreement must provide that between the time of the transfer by 
 10.12  gift to the nonprofit corporation and the subsequent transfer of 
 10.13  ownership of the baseball team by the nonprofit corporation, the 
 10.14  owner is responsible for the operation and management of the 
 10.15  baseball team and for all operating costs, including any losses. 
 10.16     (b) The commission must have executed an agreement with the 
 10.17  nonprofit corporation that provides for the following: 
 10.18     (1) Within five years after the transfer of the baseball 
 10.19  team to the nonprofit corporation, the nonprofit corporation 
 10.20  must offer for sale to individuals full voting shares in the 
 10.21  baseball team according to a plan approved by the commission.  
 10.22  The plan must provide for purchase of shares by small investors, 
 10.23  with the provision that no individual or entity, other than the 
 10.24  managing owner, may own more than one percent of the shares with 
 10.25  full voting rights.  The managing owner may own up to 25 percent 
 10.26  of the shares with full voting rights. 
 10.27     (2) The transfer agreement under clause (1) must provide 
 10.28  that any subsequent owners must assume the obligations of the 
 10.29  owner to use the baseball park for the 30-year period, as 
 10.30  provided in subdivision 2. 
 10.31     (3) The articles of incorporation, or other organizing 
 10.32  charter or agreement, bylaws, and other governing documents of 
 10.33  the baseball team must provide that the baseball team may not 
 10.34  move outside of the state without approval of 80 percent of the 
 10.35  shares held by persons other than the managing owner.  
 10.36  Notwithstanding any law to the contrary, the 80 percent approval 
 11.1   requirement may not be amended by the shareholders or by any 
 11.2   other means. 
 11.3      Subd. 4.  [COMMISSION APPROVAL OF NONPROFIT 
 11.4   CORPORATION.] The commission must have approved the selection of 
 11.5   the nonprofit corporation with which the owner has an agreement 
 11.6   under subdivision 3.  The commission must have determined, at a 
 11.7   minimum, that there is no conflict of interest between the owner 
 11.8   and the board of the nonprofit corporation, and that the 
 11.9   nonprofit corporation's mission is broad and provides assistance 
 11.10  statewide. 
 11.11     Subd. 5.  [OWNER'S ABILITY TO COMPLY.] The baseball team 
 11.12  and the owner must have provided information sufficient to 
 11.13  satisfy the commission of the baseball team's and the owner's 
 11.14  ability to comply with the terms of the 30-year agreements. 
 11.15     Subd. 6.  [PRIVATE SECTOR SUPPORT.] The businesses and 
 11.16  individuals must have entered into enforceable contracts to 
 11.17  purchase or lease: 
 11.18     (1) at least 80 percent of the private suites provided for 
 11.19  in the proposal for the baseball park for at least ten years; 
 11.20     (2) at least 80 percent of the club seats provided for in 
 11.21  the proposal for the baseball park for at least ten years; 
 11.22     (3) season tickets, above the 1997 season ticket base, as 
 11.23  follows:  2,000 additional season tickets to be purchased in 
 11.24  each of the 1998, 1999, 2000, and 2001 baseball seasons, and an 
 11.25  additional 5,000 season tickets in 2002, for a total amount of 
 11.26  20,000 season tickets to be purchased for the opening season and 
 11.27  for each of the succeeding nine years. 
 11.28     Subd. 7.  [PRIVATE SECTOR CAPITAL PLAN.] The commission 
 11.29  must have developed a private sector capital plan that includes 
 11.30  the sale or lease of some or all promotional rights in the 
 11.31  baseball park. 
 11.32     Subd. 8.  [MAJOR LEAGUE BASEBALL CONTRIBUTION.] The 
 11.33  commission and the owner must have entered into an agreement 
 11.34  that provides that the owner will use its best efforts to obtain 
 11.35  construction money for the baseball park from major league 
 11.36  baseball. 
 12.1      Subd. 9.  [LOCAL GOVERNMENT CONTRIBUTION.] The commission 
 12.2   must have executed an agreement with the city, county, or both, 
 12.3   under which the city, county, or both will:  (1) provide to the 
 12.4   commission title to all real property, including all easements 
 12.5   and other appurtenances needed for the construction and 
 12.6   operation of the baseball park; and (2) prepare the site for 
 12.7   construction and operation of the baseball park, including 
 12.8   clearing the property of all improvements on it which would 
 12.9   interfere with the construction and operation of the baseball 
 12.10  park. 
 12.11     Subd. 10.  [GUARANTEED MAXIMUM PRICE.] The commission must 
 12.12  have executed agreements that provide for the construction of 
 12.13  the baseball park for a guaranteed maximum price and a specified 
 12.14  substantial completion date of opening day or April 1, 2002, 
 12.15  whichever is earlier, and that requires performance bonds in an 
 12.16  amount at least equal to 100 percent of the guaranteed maximum 
 12.17  price to cover any costs incurred over and above the guaranteed 
 12.18  maximum price, including, but not limited to, costs incurred by 
 12.19  the commission and loss of revenues resulting from incomplete 
 12.20  construction on the substantial completion date. 
 12.21     Subd. 11.  [NO STRIKES OR LOCKOUTS.] The commission must 
 12.22  have executed agreements with appropriate labor organizations 
 12.23  and construction contractors that provide that no labor strikes 
 12.24  or management lockouts will delay construction. 
 12.25     Subd. 12.  [UNIVERSITY OF MINNESOTA.] The commission must 
 12.26  have consulted with and considered the needs of the University 
 12.27  of Minnesota for baseball facilities for the next 20 years. 
 12.28     Subd. 13.  [REVENUES TO BE SUFFICIENT.] The commission must 
 12.29  have determined that the anticipated baseball park revenue will 
 12.30  be sufficient to pay when due all debt service on the revenue 
 12.31  bonds issued under section 473.5993, loans, and all 
 12.32  administrative expenses of the commission and the council 
 12.33  relating to the baseball park.  The commission must have 
 12.34  determined that the anticipated revenue to the baseball team 
 12.35  will be sufficient to pay all operating and maintenance expenses 
 12.36  of the baseball team and baseball park. 
 13.1      Subd. 14.  [LEAGUE, MAJOR LEAGUE BASEBALL GUARANTEE.] The 
 13.2   commission must have entered into an agreement with the major 
 13.3   league of which the baseball team is a member and with major 
 13.4   league baseball that provides as follows: 
 13.5      (1) the consideration for the agreement is, among other 
 13.6   things, the commission making available a publicly financed 
 13.7   facility in which major league professional baseball games are 
 13.8   anticipated to receive increased broadcasting, advertising, and 
 13.9   other revenues for major league professional baseball; 
 13.10     (2) the major league of which the baseball team is a member 
 13.11  and major league baseball agree to guarantee the continuance of 
 13.12  a franchise in the metropolitan area for a 30-year period 
 13.13  beginning with the first home game played in the baseball park; 
 13.14     (3) the commission is entitled to specific performance of 
 13.15  the agreement, and both the major league of which the baseball 
 13.16  team is a member and major league baseball agree not to contest 
 13.17  the availability of specific performance; and 
 13.18     (4) jurisdiction and enforcement of the agreement is 
 13.19  exclusively in Minnesota state court. 
 13.20     Subd. 15.  [AFFORDABLE TICKETS.] The commission must have 
 13.21  obtained a guarantee from the owner that at least ten percent of 
 13.22  the tickets in the baseball park available for major league 
 13.23  professional baseball games will be available at prices that do 
 13.24  not exceed 25 percent of the highest priced seats in the 
 13.25  baseball park or a maximum of $5 per ticket, whichever is 
 13.26  lower.  Premium seating, such as seats requiring personal seat 
 13.27  licenses, luxury boxes, and similar seating, must be excluded in 
 13.28  determining the highest priced seats in the baseball park.  The 
 13.29  maximum price of affordable tickets may be adjusted periodically 
 13.30  for inflation.  Not less than 20 percent of the tickets subject 
 13.31  to the guarantee under this subdivision must be made available 
 13.32  for sale only on the day of the game.  This subdivision does not 
 13.33  apply to a postseason division, league, or world series 
 13.34  championship game.  
 13.35     Subd. 16.  [MAJOR LEAGUE BASEBALL APPROVAL.] Major league 
 13.36  baseball must have approved the proposed ownership structure and 
 14.1   transfers required by this section. 
 14.2      Subd. 17.  [ASSIGNMENT OF AGREEMENTS WITH CURRENT 
 14.3   OWNER.] The agreements entered into by the owner under 
 14.4   subdivisions 2, 5, 15, and 18, must have provided that the 
 14.5   owner's obligations and liabilities be assigned to and assumed 
 14.6   by the nonprofit corporation and any subsequent owner. 
 14.7      Subd. 18.  [YOUTH BASEBALL.] The commission and the 
 14.8   Minnesota amateur sports commission must have negotiated a plan 
 14.9   with the owner that expands opportunities for children and youth 
 14.10  to participate in baseball at the baseball park and in their 
 14.11  local communities. 
 14.12     Subd. 19.  [GOVERNOR'S DETERMINATION REGARDING REVENUE 
 14.13  SHARING AGREEMENT.] The governor must certify in a written 
 14.14  report to the legislature that major league baseball has, after 
 14.15  November 1, 1997, completed a revenue sharing agreement between 
 14.16  owners of major league baseball teams and major league 
 14.17  professional baseball players.  The governor must certify that 
 14.18  the agreement is sufficient to ensure that the total gross 
 14.19  revenues of baseball teams in all markets, from all sources, are 
 14.20  equalized.  As used in this subdivision, "equalized" means that 
 14.21  small market teams are projected to have revenues no less than 
 14.22  70 percent of the revenues of the major league baseball team 
 14.23  that has the highest amount of revenue. 
 14.24     Sec. 18.  [473.5993] [DEBT OBLIGATIONS FOR BASEBALL PARK.] 
 14.25     Subdivision 1.  [COMMISSION FINANCING.] The commission may 
 14.26  by resolution authorize the sale and issuance of its revenue 
 14.27  bonds for the following purposes after the council has made the 
 14.28  determinations in section 473.5992, subdivision 1: 
 14.29     (1) to pay the costs of the acquisition and betterment of a 
 14.30  baseball park; 
 14.31     (2) to reimburse the commission for its costs in complying 
 14.32  with and making the determinations required by section 473.5992, 
 14.33  whenever incurred; 
 14.34     (3) to pay issuance costs, interest costs during 
 14.35  construction, and costs of bond insurance or other credit 
 14.36  enhancement for the bonds and to establish necessary reserves 
 15.1   for operating and debt service costs; 
 15.2      (4) to refund bonds issued under this section; and 
 15.3      (5) to fund judgments entered by any court against the 
 15.4   commission in matters relating to the commission's functions 
 15.5   related to the baseball park.  
 15.6      The principal amount of the bonds issued for the purpose 
 15.7   specified in clause (1), exclusive of any original issue 
 15.8   discount, must not exceed $75,000,000.  The bonds are special 
 15.9   obligations of the commission secured by and payable solely from 
 15.10  baseball park revenues not required to be paid to the council 
 15.11  under the agreement described in subdivision 3; and, to the 
 15.12  extent determined by the commission, other revenues and money of 
 15.13  the commission not pledged for another purpose.  The bonds are 
 15.14  not general or moral obligations of the commission, any other 
 15.15  political subdivision of the state, or the state, and must not 
 15.16  be included in the net debt of any city, county, or other 
 15.17  subdivision of the state for the purpose of any debt 
 15.18  limitation.  The bonds may be issued as tax-exempt revenue bonds 
 15.19  or as taxable revenue bonds in the proportions that the 
 15.20  commission may determine.  The bonds shall be sold, issued, and 
 15.21  secured in the manner provided in chapter 475 for bonds payable 
 15.22  solely from revenues and the commission has the same powers and 
 15.23  duties as a municipality and its governing body in issuing bonds 
 15.24  under that chapter.  The bonds may be sold at any price and at 
 15.25  public or private sale as determined by the commission.  An 
 15.26  election is not required. 
 15.27     Subd. 2.  [REVENUE ANTICIPATION CERTIFICATES.] In any year, 
 15.28  upon final adoption by the commission of an annual budget of the 
 15.29  commission including the baseball park revenues, and in 
 15.30  anticipation of the receipt of baseball park revenues and other 
 15.31  receipts of the commission, the commission may authorize the 
 15.32  issuance and sale, in the form and manner and upon the terms it 
 15.33  may determine, of revenue anticipation certificates.  The terms 
 15.34  and provisions of the certificates and the security for their 
 15.35  payment shall be consistent with and not violate the terms of 
 15.36  any agreement entered into by the commission pursuant to 
 16.1   subdivision 12 and any bond resolution or indenture adopted or 
 16.2   entered into by the council under subdivision 7.  The 
 16.3   certificates must mature not later than three months after the 
 16.4   close of the budget year.  So much of the anticipated baseball 
 16.5   park revenues and other money as may be needed for the payment 
 16.6   of the certificates and interest thereon shall be paid into a 
 16.7   special debt service fund established for the certificates in 
 16.8   the commission's financial records.  The proceeds of the 
 16.9   certificates may be used for any purpose for which the 
 16.10  anticipated revenues may be used or for any purpose for which 
 16.11  bond proceeds under subdivision 1 may be used. 
 16.12     Subd. 3.  [AGREEMENT BY COMMISSIONER OF FINANCE.] (a) The 
 16.13  commissioner of finance, on behalf of the state, shall enter 
 16.14  into an agreement with the council and the commission obligating 
 16.15  the state to pay to the commission the money appropriated by 
 16.16  sections 473I.02 and 473I.07, at the times and in the amounts 
 16.17  determined by the commission to be necessary or desirable to 
 16.18  enable the council and the commission to carry out their powers 
 16.19  and duties under sections 473.5991 to 473.5995.  In the 
 16.20  agreement, the commissioner shall also covenant and agree on 
 16.21  behalf of the state that, so long as any bonds or other 
 16.22  obligations issued by the commission under this section are 
 16.23  outstanding and not discharged in accordance with the 
 16.24  resolutions authorizing their issuance: 
 16.25     (1) the state will maintain the baseball park account 
 16.26  established in section 473I.02; 
 16.27     (2) the state will not reduce or repeal the appropriations 
 16.28  made in sections 473I.02 and 473I.07; 
 16.29     (3) the state will not direct or appropriate to another 
 16.30  fund or account money now required to be deposited in the 
 16.31  baseball park account ; and 
 16.32     (4) the state will provide information necessary to enable 
 16.33  the council and the commission to comply with federal securities 
 16.34  laws, rules, and regulations applicable to bonds issued under 
 16.35  subdivision 1.  The agreement may also contain such other 
 16.36  covenants and agreements as the commissioner shall deem 
 17.1   necessary which are not inconsistent with any other existing 
 17.2   law, but such covenants may not include a covenant to continue 
 17.3   to operate the state lottery. 
 17.4      (b) The agreement shall be enforceable against the state in 
 17.5   the district court for Ramsey county.  The state waives immunity 
 17.6   from suit in connection with the agreement and confers 
 17.7   jurisdiction on the district court to determine the matter in 
 17.8   the manner provided for civil actions in the district court.  
 17.9   Section 3.751, subdivisions 3 and 4, apply. 
 17.10     Subd. 4.  [VALIDITY OF DEBT ISSUED.] The validity of any 
 17.11  bonds issued under this section and the obligations of the 
 17.12  commission related to them must not be conditioned upon or 
 17.13  impaired by the council's determinations made under section 
 17.14  473.5992.  For the purposes of issuing bonds, the determinations 
 17.15  made by the council are conclusive, and the commission is 
 17.16  obligated for the security and payment of the bonds, but only 
 17.17  from the sources pledged thereto, irrespective of determinations 
 17.18  that may be erroneous, inaccurate, or otherwise mistaken. 
 17.19     Sec. 19.  [473.5994] [OPERATIONS.] 
 17.20     Subdivision 1.  [DEFINITION.] For the purposes of this 
 17.21  section, "owner" includes the nonprofit corporation or any 
 17.22  subsequent owner. 
 17.23     Subd. 2.  [BASEBALL TEAM TO OPERATE BASEBALL PARK.] (a) The 
 17.24  commission must enter into agreements with the owner and the 
 17.25  baseball team that provide for operation and maintenance of the 
 17.26  baseball park at the expense of the owner and the baseball team. 
 17.27     (b) The agreements may provide that: 
 17.28     (1) the baseball team will manage, maintain, operate, and 
 17.29  repair the baseball park and may contract with one or more 
 17.30  entities to operate part or all of the baseball park all subject 
 17.31  to the approval of the commission; and 
 17.32     (2) the baseball team shall contract with one or more 
 17.33  concessionaires to provide food and beverages for the baseball 
 17.34  park subject to the approval of the commission.  All contracts 
 17.35  for food and beverage services must be advertised and 
 17.36  competitively bid and negotiated in order to maximize revenues 
 18.1   from those contracts. 
 18.2      (c) The agreements must provide criteria for maintenance 
 18.3   and operation of the baseball park and remedies as referred to 
 18.4   in section 473.5992, subdivision 2, paragraphs (b) and (c), that 
 18.5   may be exercised by the commission to ensure that the criteria 
 18.6   are met.  The agreements must also require that the owner with 
 18.7   respect to the baseball team, the baseball team, and its 
 18.8   affiliates and subsidiaries that are involved in the maintenance 
 18.9   and operation provide annually audited financial statements to 
 18.10  the commission.  
 18.11     (d) The agreements must provide for the allocation of game 
 18.12  day and nongame day revenues and expenses and provide for the 
 18.13  scheduling of nonbaseball events at the baseball park. 
 18.14     Subd. 3.  [COMMISSION PARTICIPATION IN BASEBALL TEAM 
 18.15  CONTRACTS.] The commission must have an agreement that provides 
 18.16  that the commission may participate in the negotiations of any 
 18.17  contracts or agreements pertinent to the operation and 
 18.18  maintenance of the baseball park between the baseball team and 
 18.19  any other third party. 
 18.20     Subd. 4.  [BASEBALL TEAM OPERATING EXPENSES; LOSS.] The 
 18.21  owner shall assume all risk for and timely pay all operating 
 18.22  expenses of the baseball team and the baseball park as provided 
 18.23  in sections 473.5991 to 473.5995 and in agreements authorized by 
 18.24  sections 473.5991 to 473.5995.  The baseball team shall be 
 18.25  organized so that under Minnesota law, the commission is not 
 18.26  liable for any operating loss, liability, or obligation of the 
 18.27  baseball team, or baseball park.  The commission shall have no 
 18.28  duty to reimburse the owner or any creditor of the owner, the 
 18.29  baseball team, or the baseball park for any operating loss, 
 18.30  liability, or obligation of the baseball team or baseball park, 
 18.31  and shall be indemnified by the owner against losses or claims. 
 18.32     Sec. 20.  [473.5995] [BASEBALL PARK JOBS PROGRAM.] 
 18.33     The commission must implement a jobs program that meets or 
 18.34  exceeds the reasonable goals established by the commission for 
 18.35  the participation of minority, women, and disadvantaged 
 18.36  employees and small business in the construction of the baseball 
 19.1   park.  The owner must establish a jobs program that meets or 
 19.2   exceeds the reasonable goals established by the commission for 
 19.3   the participation of minority, women, and disadvantaged 
 19.4   employees and small business in the operation and maintenance of 
 19.5   the baseball park.  
 19.6      Sec. 21.  [INTERSTATE COMPETITION.] 
 19.7      The commission may cooperate and contract with other 
 19.8   political entities in the United States to petition or form an 
 19.9   entity to petition the United States Congress to enact 
 19.10  legislation to prevent injurious or uneconomic practices of 
 19.11  governmental entities in seeking sports, exposition, and 
 19.12  entertainment franchises and facilities.  The attorney general 
 19.13  may participate in appropriate litigation to prevent the 
 19.14  injurious or uneconomic practices. 
 19.15     Sec. 22.  [INSTRUCTION TO REVISOR.] 
 19.16     In the next edition of Minnesota Statutes, the revisor of 
 19.17  statutes shall change references to sections 473.551 to 473.599 
 19.18  to read 473.551 to 473.5995. 
 19.19     Sec. 23.  [REPEALER.] 
 19.20     Minnesota Statutes 1996, section 473.561, is repealed. 
 19.21     Sec. 24.  [APPLICATION.] 
 19.22     This article applies in the counties of Anoka, Carver, 
 19.23  Dakota, Hennepin, Ramsey, Scott, and Washington. 
 19.24     Sec. 25.  [EFFECTIVE DATE; CONTINGENT EXPIRATION.] 
 19.25     This article is effective the day following final 
 19.26  enactment.  If bonds have not been issued as authorized in 
 19.27  Minnesota Statutes, section 473.5993, by December 31, 1999, this 
 19.28  article expires on January 1, 2000. 
 19.29                             ARTICLE 2
 19.30                    BASEBALL PARK SPECIAL TAXES
 19.31     Section 1.  Minnesota Statutes 1996, section 297A.25, is 
 19.32  amended by adding a subdivision to read: 
 19.33     Subd. 73.  [BASEBALL PARK SALES.] The gross receipts from 
 19.34  sales that are subject to taxation under section 473I.05 are 
 19.35  exempt. 
 19.36     Sec. 2.  Minnesota Statutes 1996, section 349A.10, is 
 20.1   amended by adding a subdivision to read: 
 20.2      Subd. 5a.  [SPECIAL LOTTERY GAMES.] The lottery shall 
 20.3   conduct two instant lottery games each year with sports themes. 
 20.4      Sec. 3.  [473I.01] [DEFINITIONS.] 
 20.5      Subdivision 1.  [APPLICATION.] The definitions in this 
 20.6   section and sections 473.121 and 473.551 apply to this chapter. 
 20.7      Subd. 2.  [BASEBALL PARK.] "Baseball park" means the 
 20.8   baseball park described in section 473.5991. 
 20.9      Sec. 4.  [473I.02] [BASEBALL PARK ACCOUNT.] 
 20.10     The baseball park account is established in the special 
 20.11  revenue fund in the state treasury.  All money credited to the 
 20.12  baseball park account is appropriated to the commissioner of 
 20.13  finance for payment to the commission for purposes of the 
 20.14  baseball park.  The commission shall use all receipts from the 
 20.15  baseball park account to acquire, construct, improve, 
 20.16  administer, operate, and maintain the baseball park and to pay 
 20.17  debt service on bonds or other obligations sold for purposes of 
 20.18  the baseball park. 
 20.19     Sec. 5.  [473I.03] [BASEBALL PARK DISTRICT; TAXES AND 
 20.20  FEES.] 
 20.21     Notwithstanding section 477A.016, the commission may by 
 20.22  resolution impose liquor taxes or fees and taxes on sales of 
 20.23  food primarily for consumption on or off the premises by 
 20.24  restaurants and places of refreshment.  The taxes may be imposed 
 20.25  only within the area within which retail and service businesses 
 20.26  receive special economic benefits from the operation of the 
 20.27  baseball park, and that is designated by the commission, after 
 20.28  consultation with the city and the affected hospitality 
 20.29  industry, as a baseball park district.  The district may not be 
 20.30  greater than an area within the city that the commission 
 20.31  specifically finds by resolution receives special economic 
 20.32  benefits from the baseball park.  If the baseball park site is 
 20.33  in the city of Minneapolis, the baseball park district may not 
 20.34  include any of the area of the downtown taxing district under 
 20.35  Laws 1986, chapters 396 and 400, as amended, but must include 
 20.36  the baseball park site.  The resolution must provide for 
 21.1   dedication of the taxes or fees, after payment of collection and 
 21.2   administrative expenses and refunds, to the ballpark loan 
 21.3   repayment account for repayment of the general fund for the 
 21.4   amount appropriated under article 2, section 9, and for the 
 21.5   transfer of the taxes collected to the commission or the 
 21.6   commissioner of finance for those purposes. 
 21.7      Sec. 6.  [473I.04] [ADMISSION TAX; TICKET SURCHARGE.] 
 21.8      The commission may by resolution impose and maintain a tax 
 21.9   upon the sales or use, within the metropolitan area, of the 
 21.10  granting by any private or public person, association, or 
 21.11  corporation, of the privilege of admission to activities at the 
 21.12  baseball park.  The commission may impose this tax as a 
 21.13  percentage of the sales prices or as a fixed dollar ticket 
 21.14  surcharge per admission or both.  No other tax, surcharge, or 
 21.15  governmental imposition, except the taxes imposed by chapter 
 21.16  297A or under section 473I.05, may be levied by any other unit 
 21.17  of government upon that sale or distribution.  A tax or 
 21.18  surcharge under this section is included in the sale price for 
 21.19  purposes of the tax under chapter 297A.  If the commission 
 21.20  imposes a ticket surcharge, it must be at least $1 per ticket 
 21.21  for the seats affected.  The commission and the baseball team 
 21.22  may by mutual agreement exempt sections of the baseball park 
 21.23  from the tax based on the sales price, the ticket surcharge, or 
 21.24  both.  The tax must be stated and charged separately from the 
 21.25  sales price so far as practicable.  The resolution of the 
 21.26  commission may require the tax to be collected by the grantor, 
 21.27  issuer, seller, or distributor from the person admitted.  The 
 21.28  tax is a debt from that person to the grantor, issuer, seller, 
 21.29  or distributor, and the tax required to be collected is a debt 
 21.30  owed by the grantor, issuer, seller, or distributor to the 
 21.31  commission.  The debt is recoverable at law in the same manner 
 21.32  as other debts.  Every person who grants, issues, sells, or 
 21.33  distributes tickets for the admissions may be required, as 
 21.34  provided in resolutions of the commission to secure a permit, to 
 21.35  file returns, to deposit security for the payment of the tax, 
 21.36  and to pay penalties for nonpayment and interest on late 
 22.1   payments, that are considered necessary or expedient to ensure 
 22.2   the prompt and uniform collection of the tax.  Receipts from the 
 22.3   admission tax must be deposited in the state treasury and 
 22.4   credited to the baseball park account in the special revenue 
 22.5   fund. 
 22.6      Sec. 7.  [473I.05] [SPORTS FACILITIES SALES TAX.] 
 22.7      Subdivision 1.  [DEFINITIONS.] (a) The definitions in this 
 22.8   subdivision and chapter 297A apply to this section. 
 22.9      (b) "Sports facilities sale" means any transaction, 
 22.10  including a transfer of tangible personal property, granting of 
 22.11  the privilege of admission, or provision of other taxable 
 22.12  services, that: 
 22.13     (1) occurs on the premises of the baseball park or the 
 22.14  metrodome as defined in section 473.551, subdivision 9; 
 22.15     (2) that would be taxable under chapter 297A but for the 
 22.16  exemption under section 297A.25, subdivision 73; and 
 22.17     (3) are made at or in connection with a major league 
 22.18  baseball game or a national football league game.  
 22.19     Subd. 2.  [TAX IMPOSED.] (a) The commission may by 
 22.20  resolution impose a tax on sports facilities sales at the rate 
 22.21  of seven percent. 
 22.22     (b) The commission may impose a rate of tax on sports 
 22.23  facilities sales of intoxicating liquor, as defined in section 
 22.24  340A.101, subdivision 14, and 3.2 percent malt liquor, as 
 22.25  defined in section 340A.101, subdivision 19, at a rate of 9.5 
 22.26  percent.  This tax is in lieu of any tax imposed under paragraph 
 22.27  (a). 
 22.28     (c) The tax imposed under this section is in lieu of all 
 22.29  other state and local taxes imposed on sports facilities sales, 
 22.30  except taxes under section 473I.03. 
 22.31     Subd. 3.  [COLLECTION.] The tax imposed by this section 
 22.32  must be collected in the manner provided for taxes imposed under 
 22.33  chapter 297A and in accordance with an agreement between the 
 22.34  commission and the commissioner of revenue. 
 22.35     Subd. 4.  [DISPOSITION OF PROCEEDS.] All revenues, 
 22.36  including interest and penalties, derived from the tax must be 
 23.1   deposited in the state treasury.  An amount that equals the 
 23.2   direct department costs necessary to administer, audit, and 
 23.3   collect this tax must be credited to the general fund.  The 
 23.4   balance must be credited to the ballpark loan repayment account 
 23.5   in the special revenue fund.  
 23.6      Sec. 8.  [473I.06] [PARKING TAX.] 
 23.7      Subdivision 1.  [TAX IMPOSED.] The commission may by 
 23.8   resolution impose a parking tax of not less than $1 per vehicle 
 23.9   per event at the baseball park.  A tax imposed under this 
 23.10  section is included in the sale price for purposes of the tax 
 23.11  under chapter 297A.  The commission shall consult with the city 
 23.12  about the definition of event parking and the rate of the tax 
 23.13  before imposing or adjusting the tax.  
 23.14     Subd. 2.  [AREA OF APPLICATION.] The tax applies to parking 
 23.15  in the area providing event parking, as mutually agreed by the 
 23.16  city and the commission, except for parking at a parking meter. 
 23.17     Subd. 3.  [COLLECTION.] The tax imposed under this section 
 23.18  must be reported and paid to the commissioner of revenue with 
 23.19  the taxes imposed in chapter 297A and in accordance with an 
 23.20  agreement between the commission and the commissioner of 
 23.21  revenue.  It is subject to the same interest, penalty, and other 
 23.22  provisions provided for sales and use taxes under chapters 289A 
 23.23  and 297A.  The commissioner has the same powers to assess and 
 23.24  collect the tax that are given the commissioner in chapters 270, 
 23.25  289A, and 297A to assess and collect sales and use tax. 
 23.26     Subd. 4.  [DISPOSITION OF PROCEEDS.] All revenues, 
 23.27  including interest and penalties, derived from the tax must be 
 23.28  deposited in the state treasury.  An amount that equals the 
 23.29  direct department costs necessary to administer, audit, and 
 23.30  collect this tax must be credited to the general fund.  The 
 23.31  balance must be credited to the ballpark loan repayment account 
 23.32  in the special revenue fund.  
 23.33     Sec. 9.  [473I.07] [APPROPRIATION; BALLPARK LOAN REPAYMENT 
 23.34  ACCOUNT.] 
 23.35     (a) $215,000,000 is appropriated from the general fund to 
 23.36  the metropolitan council as a loan to be used for construction 
 24.1   of a baseball park as provided in this act. 
 24.2      (b) The metropolitan council must enter into a loan 
 24.3   agreement with the commissioner of finance that requires the 
 24.4   commission to repay the general fund the amount of the loan, 
 24.5   plus interest computed at a rate of 2.5 percent per year on the 
 24.6   outstanding balance.  All money credited under this act to the 
 24.7   ballpark loan repayment account, the proceeds of the special 
 24.8   lottery games conducted under section 2 that are allocable to 
 24.9   the general fund, and money in the baseball park account that is 
 24.10  not required to pay debt service on obligations sold for 
 24.11  purposes of the baseball park, plus an amount determined by the 
 24.12  commissioner of revenue to equal the revenue derived from 
 24.13  imposition of the sales tax under chapter 297A on sports 
 24.14  memorabilia items, must be used to repay the loan and interest 
 24.15  on it. 
 24.16     Sec. 10.  [BASEBALL PARK CHECKOFF.] 
 24.17     Every individual who files a claim form for the property 
 24.18  tax rebate allowed under Laws 1997, chapter 231, article 1, 
 24.19  section 16, may designate on the original claim form that $1 or 
 24.20  more shall be deducted from the rebate that would otherwise be 
 24.21  payable to that individual and paid into an account to be 
 24.22  established for the construction of a major league professional 
 24.23  baseball park.  The commissioner of revenue shall notify filers 
 24.24  of their right to designate that a portion of their rebate shall 
 24.25  be paid into the baseball stadium construction account.  The sum 
 24.26  of the amounts so designated to be paid shall be credited to the 
 24.27  baseball park account described in section 4 for use as 
 24.28  described in section 4.  All interest earned on money accrued in 
 24.29  the account shall be credited to the account by the state 
 24.30  treasurer.  
 24.31     Sec. 11.  [APPLICATION.] 
 24.32     Sections 1 and 3 to 8 apply in the counties of Anoka, 
 24.33  Carver, Dakota, Hennepin, Ramsey, Scott, and Washington. 
 24.34     Sec. 12.  [EFFECTIVE DATE.] 
 24.35     This article is effective the day following final 
 24.36  enactment.  If bonds have not been issued as authorized in this 
 25.1   act by December 31, 1999, this article expires on January 1, 
 25.2   2000.  If the article expires under this authority, any 
 25.3   unexpected appropriations of the baseball park account revenues 
 25.4   cancel and the amounts revert to the state general fund. 
 25.5                              ARTICLE 3
 25.6                              GOVERNANCE
 25.7      Section 1.  Minnesota Statutes 1996, section 473.551, 
 25.8   subdivision 3, is amended to read: 
 25.9      Subd. 3.  [COMMISSION.] "Commission" means the metropolitan 
 25.10  Minnesota sports facilities commission. 
 25.11     Sec. 2.  Minnesota Statutes 1996, section 473.553, 
 25.12  subdivision 1, is amended to read: 
 25.13     Subdivision 1.  [GENERAL.] The metropolitan Minnesota 
 25.14  sports facilities commission is established and as a public 
 25.15  corporation and political subdivision of the state that may 
 25.16  exercise its powers in the metropolitan area, as provided by 
 25.17  law.  The commission shall be organized, structured, and 
 25.18  administered as provided in this section. 
 25.19     Sec. 3.  Minnesota Statutes 1996, section 473.553, 
 25.20  subdivision 2, is amended to read: 
 25.21     Subd. 2.  [MEMBERSHIP.] The commission shall consist of six:
 25.22     (1) eight voting members, appointed by the city council of 
 25.23  the city in which the stadium is located plus governor, one from 
 25.24  each congressional district; 
 25.25     (2) a chair appointed as provided in subdivision 3.; 
 25.26     (3) one voting member appointed by the mayor of each city 
 25.27  with a major league professional sports organization with a 
 25.28  long-term use agreement to use a publicly owned, major league 
 25.29  professional sports facility located in that city; and 
 25.30     (4) four nonvoting members appointed as provided in 
 25.31  subdivision 2a. 
 25.32     Members, including the chair, appointed by the governor, 
 25.33  shall be appointed as provided in section 15.0597.  The 
 25.34  governor's appointments to the commission are subject to the 
 25.35  advice and consent of the senate as provided in section 15.066.  
 25.36     Sec. 4.  Minnesota Statutes 1996, section 473.553, is 
 26.1   amended by adding a subdivision to read: 
 26.2      Subd. 2a.  [NONVOTING MEMBERS.] Four legislators shall 
 26.3   serve as nonvoting members of the commission.  One state 
 26.4   representative shall be appointed by the speaker of the house 
 26.5   and one state representative shall be appointed by the house 
 26.6   minority caucus leader.  Two state senators shall be appointed 
 26.7   by the subcommittee on committees of the senate committee on 
 26.8   rules and administration, one from the majority caucus, and one 
 26.9   from the minority caucus. 
 26.10     Sec. 5.  Minnesota Statutes 1996, section 473.553, 
 26.11  subdivision 3, is amended to read: 
 26.12     Subd. 3.  [CHAIR.] The chair shall be appointed by the 
 26.13  governor as the ninth a voting member and shall meet all of the 
 26.14  qualifications of a member, except the chair need only reside 
 26.15  outside the city of Minneapolis.  The chair shall preside at all 
 26.16  meetings of the commission, if present, and shall perform all 
 26.17  other duties and functions assigned by the commission or by 
 26.18  law.  The commission may appoint from among its members a 
 26.19  vice-chair to act for the chair during temporary absence or 
 26.20  disability. 
 26.21     Sec. 6.  Minnesota Statutes 1996, section 473.553, 
 26.22  subdivision 4, is amended to read: 
 26.23     Subd. 4.  [QUALIFICATIONS.] A member shall not during a 
 26.24  term of office hold the office of metropolitan council 
 26.25  member or, be a member of another metropolitan agency or hold 
 26.26  any judicial office or office of state or local government.  
 26.27  None of the members appointed by the city council of the city in 
 26.28  which the stadium is located shall be an elected public official 
 26.29  of that city or of another political subdivision any part of 
 26.30  whose territory is shared with that city.  Each member shall 
 26.31  qualify by taking and subscribing the oath of office prescribed 
 26.32  by the Minnesota Constitution, article V, section 6.  The oath, 
 26.33  duly certified by the official administering it, shall be filed 
 26.34  with the chair of the metropolitan council secretary of state.  
 26.35     Sec. 7.  Minnesota Statutes 1996, section 473.553, 
 26.36  subdivision 5, is amended to read: 
 27.1      Subd. 5.  [TERMS.] The initial terms of three the members 
 27.2   shall end the first Monday in January in the year ending in the 
 27.3   numeral "5" from the first, third, fifth, and seventh 
 27.4   congressional districts are for two years.  The initial terms of 
 27.5   the other members appointed by the governor and the chair shall 
 27.6   end the first Monday in January in the year ending in the 
 27.7   numeral "7" are for four years.  Thereafter, the term of each 
 27.8   member appointed by the governor and the chair shall be four 
 27.9   years.  The terms shall continue until a successor is appointed 
 27.10  and qualified.  Members may be removed only for cause.  The 
 27.11  other members serve at the pleasure of the respective appointing 
 27.12  authorities. 
 27.13     Sec. 8.  [SALE OF MET CENTER; DEFEASANCE OF METRODOME 
 27.14  BONDS.] 
 27.15     Subdivision 1.  [SALE.] The commission shall sell the met 
 27.16  center by March 1, 1998.  If the commission has not sold the met 
 27.17  center by March 1, 1998, the commission shall sell it to the 
 27.18  metropolitan council.  The council shall pay a price reached by 
 27.19  averaging the appraised fair market values provided by three 
 27.20  appraisers.  One appraiser must be hired by the commission, one 
 27.21  by the metropolitan council, and the third by agreement of the 
 27.22  commission and the council.  The council must pay to the 
 27.23  commission the entire purchase price upon closing. 
 27.24     Subd. 2.  [BONDS.] The metropolitan council may borrow 
 27.25  money or by resolution authorize the issuance of general 
 27.26  obligation bonds or notes for the acquisition of the met center. 
 27.27  The bonds or notes must be sold, issued, and secured in the 
 27.28  manner provided in Minnesota Statutes, chapter 475, and the 
 27.29  council has the same powers and duties as a municipality issuing 
 27.30  bonds under that chapter, except that no election is required 
 27.31  and the net debt limitations in Minnesota Statutes, chapter 475, 
 27.32  do not apply to the bonds or notes.  The obligations are not a 
 27.33  debt of the state or any other municipality or political 
 27.34  subdivision within the meaning of any debt limitation or 
 27.35  requirement pertaining to those entities.  The bonds or notes 
 27.36  may be sold at any price and at a public or private sale as 
 28.1   determined by the council.  The obligations may be secured by 
 28.2   taxes levied without limitation of rate or amount upon all 
 28.3   taxable property in the metropolitan area. 
 28.4      Subd. 3.  [DEFEASANCE OF METRODOME BONDS.] Upon the sale of 
 28.5   the met center, the commission shall escrow money or securities 
 28.6   sufficient to defease the outstanding debt on the metrodome.  
 28.7   Notwithstanding any other law to the contrary, after the bonds 
 28.8   have been defeased, all revenues dedicated to payment of debt 
 28.9   service on obligations issued to finance the metrodome must be 
 28.10  dedicated to repayment of the loan made under article 2, section 
 28.11  9. 
 28.12     Subd. 4.  [USE OF PROPERTY.] The commission shall include 
 28.13  in the contract for sale of the met center a provision that 
 28.14  prohibits use by the purchaser or any other party of the 
 28.15  property for a convention center. 
 28.16     Sec. 9.  [TRANSITION.] 
 28.17     Members of the metropolitan sports facilities commission 
 28.18  shall serve as members of the Minnesota sports facilities 
 28.19  commission until members have been appointed and qualified as 
 28.20  provided in this article. 
 28.21     Sec. 10.  [REVISOR INSTRUCTION.] 
 28.22     The revisor of statutes shall replace "metropolitan sports 
 28.23  facilities commission" with "Minnesota sports facilities 
 28.24  commission" wherever it appears in the next edition of Minnesota 
 28.25  Statutes. 
 28.26     Sec. 11.  [REPEALER.] 
 28.27     Minnesota Statutes 1996, section 473.553, subdivision 14, 
 28.28  is repealed. 
 28.29     Sec. 12.  [APPLICATION; EFFECTIVE DATE.] 
 28.30     This article applies in the counties of Anoka, Carver, 
 28.31  Dakota, Hennepin, Ramsey, Scott, and Washington, and is 
 28.32  effective May 1, 1998.