1.1                          A bill for an act 
  1.2             relating to transportation; modifying state contract 
  1.3             requirements; allowing department of transportation to 
  1.4             contract for land surveying; clarifying requirements 
  1.5             for notaries and filing corrections to maps and plats 
  1.6             relating to highways; providing for transfer of 
  1.7             certain revolving loan accounts to transportation 
  1.8             revolving loan fund; correcting trunk highway route 
  1.9             description; modifying filing requirements for highway 
  1.10            route location orders; increasing dollar amount for 
  1.11            contracts negotiated by commissioner of transportation 
  1.12            for highway construction or maintenance work; 
  1.13            modifying provisions for estimates and agency costs 
  1.14            relating to county state-aid highway and municipal 
  1.15            state-aid street funds; authorizing commissioner of 
  1.16            transportation to determine dates for seasonal load 
  1.17            restrictions; modifying provision requiring 
  1.18            certification for disbursement from state 
  1.19            transportation fund; changing period of hours of 
  1.20            service exemption for drivers transporting sugar 
  1.21            beets; authorizing commissioner to convey excess rail 
  1.22            bank corridor land to state agency or political 
  1.23            subdivision; modifying provisions governing state 
  1.24            grants for local airports; prohibiting regional rail 
  1.25            authorities from engaging in light rail and commuter 
  1.26            rail transit planning; limiting powers and duties of 
  1.27            counties with respect to light rail and commuter rail 
  1.28            transit planning; modifying deadlines for metropolitan 
  1.29            transit performance evaluation reports by metropolitan 
  1.30            council; prohibiting regional railroad authorities and 
  1.31            counties from engaging in rail transit planning; 
  1.32            making technical corrections; appropriating money; 
  1.33            amending Minnesota Statutes 1998, sections 16C.05, 
  1.34            subdivision 2; 16C.09; 160.085, subdivisions 1 and 1a; 
  1.35            161.04, subdivision 3, and by adding a subdivision; 
  1.36            161.115, subdivision 164; 161.16, subdivision 2; 
  1.37            161.32, subdivision 2; 162.06, subdivisions 1, 2, and 
  1.38            6; 162.12, subdivisions 1, 2, and 5; 169.87, 
  1.39            subdivision 2; 174.02, by adding a subdivision; 
  1.40            174.50, subdivision 5; 221.0314, subdivision 9a; 
  1.41            222.63, subdivision 4; 360.0151, subdivision 2; 
  1.42            360.032, subdivision 1a; 360.305, subdivision 4; 
  1.43            398A.04, subdivision 2; 446A.085, subdivisions 3 and 
  1.44            6; 473.1466; 473.399; 473.3994, subdivisions 2, 3, 4, 
  1.45            and 10; and 473.3997; Laws 1998, chapter 404, section 
  1.46            17, subdivision 3; repealing Minnesota Statutes 1998, 
  2.1             sections 169.832, subdivision 13; 473.3994, 
  2.2             subdivision 12; and 473.3998. 
  2.3   BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  2.4      Section 1.  Minnesota Statutes 1998, section 16C.05, 
  2.5   subdivision 2, is amended to read: 
  2.6      Subd. 2.  [CREATION AND VALIDITY OF CONTRACTS.] (a) A 
  2.7   contract is not valid and the state is not bound by it unless: 
  2.8      (1) it has first been executed by the head of the agency or 
  2.9   a delegate who is a party to the contract; 
  2.10     (2) it has been approved by the commissioner; 
  2.11     (3) it has been approved by the attorney general or a 
  2.12  delegate as to form and execution; 
  2.13     (4) the accounting system shows an obligation in an expense 
  2.14  budget or encumbrance for the amount of the contract liability; 
  2.15  and 
  2.16     (5) the combined contract and amendments shall not exceed 
  2.17  five years, without specific, written approval by the 
  2.18  commissioner according to established policy, procedures, and 
  2.19  standards, or unless otherwise provided for by law.  The term of 
  2.20  the original contract must not exceed two years unless the 
  2.21  commissioner determines that a longer duration is in the best 
  2.22  interest of the state.  
  2.23     (b) Grants, interagency agreements, purchase orders, and 
  2.24  annual plans need not, in the discretion of the commissioner and 
  2.25  attorney general, require the signature of the commissioner 
  2.26  and/or the attorney general. 
  2.27     (c) A fully executed copy of every contract must be kept on 
  2.28  file at the contracting agency. 
  2.29     Sec. 2.  Minnesota Statutes 1998, section 16C.09, is 
  2.30  amended to read: 
  2.31     16C.09 [PROCEDURE FOR SERVICE CONTRACTS.] 
  2.32     (a) Before entering into or approving a service contract, 
  2.33  the commissioner must determine, at least, that: 
  2.34     (1) no current state employee is able and available to 
  2.35  perform the services called for by the contract; 
  2.36     (2) the work to be performed under the contract is 
  3.1   necessary to the agency's achievement of its statutory 
  3.2   responsibilities and there is statutory authority to enter into 
  3.3   the contract; 
  3.4      (3) the contract will not establish an employment 
  3.5   relationship between the state or the agency and any persons 
  3.6   performing under the contract; 
  3.7      (4) the contractor and agents are not employees of the 
  3.8   state; 
  3.9      (5) the contracting agency has specified a satisfactory 
  3.10  method of evaluating and using the results of the work to be 
  3.11  performed; and 
  3.12     (6) the combined contract and amendments will not exceed 
  3.13  five years, without specific, written approval by the 
  3.14  commissioner according to established policy, procedures, and 
  3.15  standards, or unless otherwise provided for by law.  The term of 
  3.16  the original contract must not exceed two years, unless the 
  3.17  commissioner determines that a longer duration is in the best 
  3.18  interest of the state.  
  3.19     (b) For purposes of paragraph (a), clause (1), employees 
  3.20  are available if qualified and: 
  3.21     (i) (1) are already doing the work in question; or 
  3.22     (ii) (2) are on layoff status in classes that can do the 
  3.23  work in question. 
  3.24  An employee is not available if the employee is doing other 
  3.25  work, is retired, or has decided not to do the work in question. 
  3.26     Sec. 3.  Minnesota Statutes 1998, section 160.085, 
  3.27  subdivision 1, is amended to read: 
  3.28     Subdivision 1.  [RECORDING MAP OR PLAT; CERTIFICATION.] (a) 
  3.29  In order to facilitate the acquisition of right-of-way required 
  3.30  for highways, state and county road authorities may file for 
  3.31  record in the office of the county recorder or registrar of 
  3.32  titles in the county in which right-of-way is to be acquired, 
  3.33  such orders or resolutions, as required by law, in the form of 
  3.34  maps or plats showing right-of-way by course distance, bearing 
  3.35  and arc length, and other rights or interests in land to be 
  3.36  acquired as the road authority determines necessary.  Said map 
  4.1   or plat shall show by outline all tracts or parcels of land 
  4.2   affected by the proposed acquisition.  
  4.3      (b) The map or plat, as to trunk highways, shall be 
  4.4   certified by the commissioner of transportation or the 
  4.5   commissioner's designated assistant and any by a licensed land 
  4.6   surveyor in the employ of the state as to trunk highways.  
  4.7      (c) The map or plat shall be certified as to county 
  4.8   state-aid highways and county highways by the chair of the 
  4.9   county board or the county engineer or the engineer's designated 
  4.10  assistant, and by a licensed land surveyor in the employ of the 
  4.11  county.  
  4.12     (d) The map or plat so certified is entitled to record 
  4.13  without compliance with the provisions of chapter 505.  Neither 
  4.14  a witness nor an acknowledgment is required for a map or plat 
  4.15  certified under this subdivision.  Any amendments, 
  4.16  alterations, corrections, rescissions or vacations of such 
  4.17  orders, resolutions, maps or plats so filed shall be entitled to 
  4.18  record in like manner.  The recorder or registrar may make 
  4.19  suitable notations on the appropriate map or plat affected by an 
  4.20  amendment, alteration, correction, rescission or vacation to 
  4.21  direct the attention of anyone examining the record to the 
  4.22  proper map or plat.  
  4.23     Sec. 4.  Minnesota Statutes 1998, section 160.085, 
  4.24  subdivision 1a, is amended to read: 
  4.25     Subd. 1a.  [AMENDING RECORDED MAP OR PLAT.] If an error on 
  4.26  a map or plat incorrectly defines the intended acquisition, but 
  4.27  does not affect any rights of interest to be acquired, a 
  4.28  certificate may be prepared stating what the defect is, what the 
  4.29  correct information is, and which map or plat the certificate 
  4.30  affects.  The certificate shall be signed by a licensed land 
  4.31  surveyor in the employ of the state or county.  The certificate 
  4.32  shall be filed for record in the office of the county recorder 
  4.33  or registrar of titles in the county where the map or plat is 
  4.34  filed.  When so filed the certificate shall amend the map or 
  4.35  plat.  The recorder or registrar may make suitable notations on 
  4.36  the map or plat to which the certificate refers to direct the 
  5.1   attention of anyone examining the map or plat to the record of 
  5.2   the certificate. 
  5.3      Sec. 5.  Minnesota Statutes 1998, section 161.04, 
  5.4   subdivision 3, is amended to read: 
  5.5      Subd. 3.  [TRUNK HIGHWAY REVOLVING LOAN ACCOUNT.] A trunk 
  5.6   highway revolving loan account is created in the trunk highway 
  5.7   fund transportation revolving loan fund under section 446A.085.  
  5.8   The commissioner may transfer money from the trunk highway fund 
  5.9   to the trunk highway revolving loan account.  Money in the 
  5.10  account may be used to make loans.  Funds in the trunk highway 
  5.11  revolving loan account may not be used for any toll facilities 
  5.12  project or congestion-pricing project and may be used only for 
  5.13  trunk highway purposes and repayments and interest from loans of 
  5.14  those funds must be credited to the trunk highway revolving loan 
  5.15  account in the trunk highway transportation revolving loan 
  5.16  fund.  Money in the trunk highway revolving loan account is 
  5.17  annually appropriated to the commissioner and does not lapse.  
  5.18  Interest earned from investment of money in this account must be 
  5.19  deposited in the trunk highway revolving loan account. 
  5.20     Sec. 6.  Minnesota Statutes 1998, section 161.04, is 
  5.21  amended by adding a subdivision to read: 
  5.22     Subd. 4.  [LOANS FOR TRUNK HIGHWAY PROJECTS.] Loans from 
  5.23  the transportation revolving loan fund to the commissioner for 
  5.24  trunk highway projects must be deposited in the trunk highway 
  5.25  fund.  Loan proceeds are appropriated annually to the 
  5.26  commissioner and do not lapse.  Principal and interest payments 
  5.27  on the loan proceeds must be paid from the debt service account 
  5.28  and are considered a long-term obligation of the trunk highway 
  5.29  fund. 
  5.30     Sec. 7.  Minnesota Statutes 1998, section 161.115, 
  5.31  subdivision 164, is amended to read: 
  5.32     Subd. 164.  [ROUTE NO. 233.] Beginning at a point in 
  5.33  Section 35, Township 135 North, Range 26 28 West; thence 
  5.34  extending in a general southerly direction to a point on Route 
  5.35  No. 18 at or near Brainerd. 
  5.36     Sec. 8.  Minnesota Statutes 1998, section 161.16, 
  6.1   subdivision 2, is amended to read: 
  6.2      Subd. 2.  [DESIGNATION AND LOCATION BY ORDER.] The 
  6.3   commissioner shall by order or orders designate such temporary 
  6.4   trunk highways, and on determining the definite location of any 
  6.5   trunk highway or portion thereof, the same shall also be 
  6.6   designated by order or orders.  The definite location of such 
  6.7   highway or portion thereof may be in the form of a map or plat 
  6.8   showing the lands and interests in lands required for trunk 
  6.9   highway purposes.  Formal determination or order if by map or 
  6.10  plat, shall be certified by the commissioner of transportation 
  6.11  on said map or plat.  The commissioner may, by similar order or 
  6.12  orders, change the definite location of any trunk highway 
  6.13  between the fixed termini, as fixed by law, when such changes 
  6.14  are necessary in the interest of safety and convenient public 
  6.15  travel.  The commissioner shall file certified copies of such 
  6.16  orders with the county auditor of the county wherein such 
  6.17  highways are located.  Such certified copies shall become 
  6.18  maintain a file of these orders as permanent records and shall 
  6.19  not be removed from the office or offices wherein filed. 
  6.20     Sec. 9.  Minnesota Statutes 1998, section 161.32, 
  6.21  subdivision 2, is amended to read: 
  6.22     Subd. 2.  [DIRECT NEGOTIATION.] In cases where the 
  6.23  estimated cost of construction work or maintenance work does not 
  6.24  exceed $75,000 $150,000, the commissioner may enter into a 
  6.25  contract for the work by direct negotiation, by obtaining two or 
  6.26  more quotations for the work, and without advertising for bids 
  6.27  or otherwise complying with the requirements of competitive 
  6.28  bidding if the total contractual obligation of the state for the 
  6.29  directly negotiated contract or contracts on any single project 
  6.30  does not exceed $75,000 $150,000.  All quotations obtained shall 
  6.31  be kept on file for a period of at least one year after receipt 
  6.32  of the quotation. 
  6.33     Sec. 10.  Minnesota Statutes 1998, section 162.06, 
  6.34  subdivision 1, is amended to read: 
  6.35     Subdivision 1.  [ESTIMATE.] On or before the second Tuesday 
  6.36  of January By December 15 of each year the commissioner shall 
  7.1   estimate the probable sum amount of money that will accrue be 
  7.2   available to the county state-aid highway fund during the first 
  7.3   six months of each that fiscal year ending June 30.  To such 
  7.4   estimated amounts the commissioner shall add the sum of money 
  7.5   already accrued in the county state-aid highway fund for the 
  7.6   last preceding six-month period ending December 31 of each year, 
  7.7   adjusted to reflect the amount by which The amount available 
  7.8   must be based on actual receipts for the preceding January 1 to 
  7.9   June 30 were different from estimated receipts from July 1 
  7.10  through November 30, the unallocated fund balance, and the 
  7.11  projected receipts for the remainder of the fiscal year.  The 
  7.12  total of such sums available, except for deductions to be first 
  7.13  made as provided herein, shall be apportioned by the 
  7.14  commissioner to the several counties as hereinafter provided. 
  7.15     Sec. 11.  Minnesota Statutes 1998, section 162.06, 
  7.16  subdivision 2, is amended to read: 
  7.17     Subd. 2.  [ADMINISTRATIVE COSTS OF DEPARTMENT.] From the 
  7.18  total of such sums the commissioner shall deduct A sum equal 
  7.19  to of 1-1/2 percent of the total sum.  The sum so deducted shall 
  7.20  be set aside in a separate account and shall be deducted from 
  7.21  the total amount available in the county state-aid highway fund, 
  7.22  set aside in a separate account, and used for administrative 
  7.23  costs incurred by the state transportation department in 
  7.24  carrying out the provisions relating to the county state-aid 
  7.25  highway system.  On the 31st day of December of each year any 
  7.26  money remaining in the account not needed for administrative 
  7.27  costs shall be transferred to the county state-aid highway fund. 
  7.28     Sec. 12.  Minnesota Statutes 1998, section 162.06, 
  7.29  subdivision 6, is amended to read: 
  7.30     Subd. 6.  [COUNTY STATE-AID HIGHWAY REVOLVING LOAN 
  7.31  ACCOUNT.] A county state-aid highway revolving loan account is 
  7.32  created in the county state-aid highway transportation revolving 
  7.33  loan fund.  The commissioner may transfer to the account the 
  7.34  amount allocated under section 162.065.  Money in the account 
  7.35  may be used to make loans.  Funds in the county state-aid 
  7.36  highway revolving loan account may be used only for aid in the 
  8.1   construction, improvement, and maintenance of county state-aid 
  8.2   highways.  Funds in the account may not be used for any toll 
  8.3   facilities project or congestion-pricing project.  Repayments 
  8.4   and interest from loans from the county state-aid highway 
  8.5   revolving loan account must be credited to that account.  Money 
  8.6   in the account is annually appropriated to the commissioner and 
  8.7   does not lapse.  Interest earned from investment of money in 
  8.8   this account must be deposited in the county state-aid highway 
  8.9   revolving loan account. 
  8.10     Sec. 13.  Minnesota Statutes 1998, section 162.12, 
  8.11  subdivision 1, is amended to read: 
  8.12     Subdivision 1.  [ESTIMATE OF ACCRUALS.] On or before the 
  8.13  second Tuesday of January By December 15 of each year the 
  8.14  commissioner shall estimate the probable sum amount of money 
  8.15  that will accrue be available to the municipal state-aid street 
  8.16  fund during the first six months of each year ending June 
  8.17  30 that fiscal year.  To the estimated amount the commissioner 
  8.18  shall add the sum of money already accrued in the municipal 
  8.19  state-aid street fund for the last preceding six-month period 
  8.20  ending December 31, adjusted to reflect the amount by which The 
  8.21  amount available is based on actual receipts for the preceding 
  8.22  January 1 to June 30 were different from estimated receipts from 
  8.23  July 1 through November 30, the unallocated fund balance, and 
  8.24  the projected receipts for the remainder of the fiscal year.  
  8.25  The total of such sums available, except for deductions to be 
  8.26  first made as provided herein, shall be apportioned by the 
  8.27  commissioner to the cities having a population of 5,000 or more 
  8.28  as hereinafter provided. 
  8.29     Sec. 14.  Minnesota Statutes 1998, section 162.12, 
  8.30  subdivision 2, is amended to read: 
  8.31     Subd. 2.  [ADMINISTRATIVE COSTS OF DEPARTMENT.] From the 
  8.32  total of such sums the commissioner, each year, shall deduct A 
  8.33  sum of money equal to one and one-half 1-1/2 percent of the 
  8.34  total sums.  The sum so shall be deducted shall be from the 
  8.35  total available in the municipal state-aid street fund, set 
  8.36  aside in a separate account, and shall be used for 
  9.1   administration costs incurred by the state transportation 
  9.2   department in carrying out the provisions relating to the 
  9.3   municipal state-aid street system.  On the 31st day of December 
  9.4   of each year, any money remaining in the account not needed for 
  9.5   administrative costs shall be transferred to the municipal 
  9.6   state-aid street fund. 
  9.7      Sec. 15.  Minnesota Statutes 1998, section 162.12, 
  9.8   subdivision 5, is amended to read: 
  9.9      Subd. 5.  [MUNICIPAL STATE-AID STREET REVOLVING LOAN 
  9.10  ACCOUNT.] A municipal state-aid street revolving loan account is 
  9.11  created in the municipal state-aid street transportation 
  9.12  revolving loan fund.  The commissioner may transfer to the 
  9.13  account the amount allocated under section 162.125.  Money in 
  9.14  the account may be used to make loans.  Funds in the municipal 
  9.15  state-aid street revolving loan account may be used only for aid 
  9.16  in the construction, improvement, and maintenance of municipal 
  9.17  state-aid streets.  Funds in the account may not be used for any 
  9.18  toll facilities project or congestion-pricing project.  
  9.19  Repayments and interest from loans from the municipal state-aid 
  9.20  street revolving loan account must be credited to that account.  
  9.21  Money in the account is annually appropriated to the 
  9.22  commissioner and does not lapse.  Interest earned from 
  9.23  investment of money in this account must be deposited in the 
  9.24  municipal state-aid street revolving loan account. 
  9.25     Sec. 16.  Minnesota Statutes 1998, section 169.87, 
  9.26  subdivision 2, is amended to read: 
  9.27     Subd. 2.  [SEASONAL LOAD RESTRICTIONS.] Except for portland 
  9.28  cement concrete roads, from March 20 to May 15 of between the 
  9.29  dates set by the commissioner of transportation each year, the 
  9.30  weight on any single axle shall not exceed five tons on a county 
  9.31  or town road that has not been restricted as provided in 
  9.32  subdivision 1.  The gross weight on consecutive axles shall not 
  9.33  exceed the gross weight allowed in section 169.825 multiplied by 
  9.34  a factor of five divided by nine.  This reduction shall not 
  9.35  apply to the gross vehicle weight. 
  9.36     Sec. 17.  Minnesota Statutes 1998, section 174.02, is 
 10.1   amended by adding a subdivision to read: 
 10.2      Subd. 7.  [LOANS TO COMMISSIONER.] The commissioner of 
 10.3   transportation may apply for and receive loans, as defined in 
 10.4   section 446A.085, subdivision 1, paragraph (d), from the 
 10.5   transportation revolving loan fund created in section 446A.085, 
 10.6   and may enter into agreements for the repayments of the loans. 
 10.7      Sec. 18.  Minnesota Statutes 1998, section 174.50, 
 10.8   subdivision 5, is amended to read: 
 10.9      Subd. 5.  [CERTIFICATION AND DISBURSAL FOR PROJECT OF 
 10.10  POLITICAL SUBDIVISION.] Before disbursement of an appropriation 
 10.11  made from the fund to the commissioner of transportation for 
 10.12  grants to subdivisions of the state, the commissioner shall 
 10.13  certify to the commissioner of finance: 
 10.14     (1) that the project for which the grant is made has been 
 10.15  reviewed as provided in subdivision 4; 
 10.16     (2) that the project conforms to the program authorized by 
 10.17  the appropriation law and rules adopted by the department of 
 10.18  transportation consistent therewith; and 
 10.19     (3) that the financing of any estimated cost of the project 
 10.20  in excess of the amount of the grant is assured by the 
 10.21  appropriation of the proceeds of bonds or other funds of the 
 10.22  subdivision, or by a grant from an agency of the federal 
 10.23  government, within the amount of funds then appropriated to that 
 10.24  agency and allocated by it to projects within the state, and by 
 10.25  an irrevocable undertaking, in a resolution of the governing 
 10.26  body of the subdivision, to use all funds so made available 
 10.27  exclusively for the project, and to pay any additional amount by 
 10.28  which the cost exceeds the estimate through appropriation to the 
 10.29  construction fund of additional funds or the proceeds of 
 10.30  additional bonds to be issued by the subdivision. 
 10.31     Sec. 19.  Minnesota Statutes 1998, section 221.0314, 
 10.32  subdivision 9a, is amended to read: 
 10.33     Subd. 9a.  [HOURS OF SERVICE EXEMPTIONS.] The federal 
 10.34  regulations incorporated in subdivision 9 for maximum driving 
 10.35  and on-duty time do not apply to drivers engaged in the 
 10.36  interstate or intrastate transportation of: 
 11.1      (1) agricultural commodities or farm supplies for 
 11.2   agricultural purposes in Minnesota during the planting and 
 11.3   harvesting seasons from March 15 to December 15 of each year; or 
 11.4      (2) sugar beets during the harvesting season for sugar 
 11.5   beets from September 1 to March May 15 of each year; 
 11.6   if the transportation is limited to an area within a 
 11.7   100-air-mile radius from the source of the commodities or the 
 11.8   distribution point for the farm supplies. 
 11.9      Sec. 20.  Minnesota Statutes 1998, section 222.63, 
 11.10  subdivision 4, is amended to read: 
 11.11     Subd. 4.  [DISPOSITION PERMITTED.] (a) The commissioner may 
 11.12  lease any rail line or right-of-way held in the state rail bank 
 11.13  or enter into an agreement with any person for the operation of 
 11.14  any rail line or right-of-way for any of the purposes set forth 
 11.15  in subdivision 2 in accordance with a fee schedule to be 
 11.16  developed by the commissioner. 
 11.17     (b) The commissioner may convey any rail line or 
 11.18  right-of-way, for consideration or for no consideration and upon 
 11.19  other terms as the commissioner may determine to be in the 
 11.20  public interest, to any other state agency or to a governmental 
 11.21  subdivision of the state having power by law to utilize it for 
 11.22  any of the purposes set forth in subdivision 2. 
 11.23     (c) The commissioner may convey a portion of previously 
 11.24  acquired rail bank right-of-way to a state agency or 
 11.25  governmental subdivision when the commissioner determines that: 
 11.26     (1) the portion to be conveyed is in excess of that needed 
 11.27  for the purposes stated in subdivision 2; 
 11.28     (2) the conveyance is upon terms and conditions agreed upon 
 11.29  by both the commissioner and the state agency or governmental 
 11.30  subdivision; 
 11.31     (3) after the sale, the rail bank corridor will continue to 
 11.32  meet the future public and commercial transportation and 
 11.33  transmission needs of the state; and 
 11.34     (4) the conveyance will not reduce the width of the rail 
 11.35  bank corridor to less than 50 feet. 
 11.36     Proceeds from a sale shall be deposited in the rail bank 
 12.1   maintenance account described in subdivision 8. 
 12.2      Sec. 21.  Minnesota Statutes 1998, section 360.0151, 
 12.3   subdivision 2, is amended to read: 
 12.4      Subd. 2.  [GRANTS AUTHORIZED.] (a) The commissioner may 
 12.5   make air service marketing grants to political subdivisions that 
 12.6   own and operate airports designated by order of the commissioner 
 12.7   as key airports.  The commissioner shall make a project 
 12.8   agreement with each political subdivision receiving a grant 
 12.9   under this section that provides for: 
 12.10     (1) a detailed description of the project for which the 
 12.11  grant is provided; 
 12.12     (2) a schedule of the project; and 
 12.13     (3) the division of costs of the project between the state 
 12.14  and the recipient. 
 12.15     (b) Payments by the commissioner under a project agreement 
 12.16  may only be made to reimburse local costs already incurred. 
 12.17     Sec. 22.  Minnesota Statutes 1998, section 360.032, 
 12.18  subdivision 1a, is amended to read: 
 12.19     Subd. 1a.  [MUNICIPALITY MAY ACQUIRE OR MOVE AIRPORT 
 12.20  PROPERTY; REIMBURSEMENT.] A municipality may exercise the powers 
 12.21  set forth in this subdivision solely for the purpose of 
 12.22  assisting the relocation of air navigation facilities, 
 12.23  structures, and other property incidental to airport operations, 
 12.24  which are located at an airport owned or formerly owned by the 
 12.25  municipality. 
 12.26     A municipality may acquire air navigation facilities, 
 12.27  structures and other property incidental to airport operations, 
 12.28  which are located at an airport owned or formerly owned by the 
 12.29  municipality.  In lieu of such acquisition, the municipality may 
 12.30  move and relocate such property to another public airport.  The 
 12.31  manner of acquisition of such property shall be in accordance 
 12.32  with subdivision 2.  The municipality may expend its funds to 
 12.33  pay for the costs of such acquisition, moving and relocation. 
 12.34  The commissioner may pay a portion of such acquisition, moving 
 12.35  and relocation costs in accordance with the provisions of 
 12.36  section 360.305, subdivision 4, clause (2) paragraph (b) or (c). 
 13.1      Sec. 23.  Minnesota Statutes 1998, section 360.305, 
 13.2   subdivision 4, is amended to read: 
 13.3      Subd. 4.  [COSTS ALLOCATED; LOCAL CONTRIBUTION; HANGAR 
 13.4   CONSTRUCTION REVOLVING ACCOUNT.] (1) (a) Except as otherwise 
 13.5   provided in this subdivision, the commissioner of transportation 
 13.6   shall require as a condition of assistance by the state that the 
 13.7   political subdivision, municipality, or public corporation make 
 13.8   a substantial contribution to the cost of the construction, 
 13.9   improvement, maintenance, or operation, these costs are referred 
 13.10  to as project costs of the airport, in connection with which the 
 13.11  assistance of the state is sought.  These costs are referred to 
 13.12  as project costs.  
 13.13     (2) (b) For any airport, whether key, intermediate or 
 13.14  landing strip, where only state and local funds are to be used, 
 13.15  the contribution shall be not less than one-fifth of the sum of: 
 13.16     (a) (1) the project costs, 
 13.17     (b) (2) acquisition costs of the land and clear zones, 
 13.18  which are referred to as "acquisition costs." 
 13.19     (c) For any airport where federal, state and local funds 
 13.20  are to be used, the contribution shall not be less than 
 13.21  one-tenth of the sum of the project costs and acquisition costs. 
 13.22     (3) (d) The commissioner may pay the total cost of radio 
 13.23  and navigational aids. 
 13.24     (4) (e) Notwithstanding clause (2) paragraph (b) or (c), 
 13.25  the commissioner may pay all of the project costs of a new 
 13.26  landing strip, but not an intermediate airport or key airport, 
 13.27  or may pay an amount equal to the federal funds granted and used 
 13.28  for a new landing strip plus all of the remaining project costs; 
 13.29  but the total amount paid by the commissioner for the project 
 13.30  costs of a new landing strip, unless specifically authorized by 
 13.31  an act appropriating funds for the new landing strip, shall not 
 13.32  exceed $200,000. 
 13.33     (5) (f) Notwithstanding clause (2) paragraph (b) or (c), 
 13.34  the commissioner may pay all the project costs for research and 
 13.35  development projects, including, but not limited to noise 
 13.36  abatement; provided that in no event shall the sums expended 
 14.1   under this clause paragraph exceed five percent of the amount 
 14.2   appropriated for construction grants.  
 14.3      (6) (g) To receive aid under this section for project costs 
 14.4   or for acquisition costs, the municipality must enter into an 
 14.5   agreement with the commissioner giving assurance that the 
 14.6   airport will be operated and maintained in a safe, serviceable 
 14.7   manner for aeronautical purposes only for the use and benefit of 
 14.8   the public: 
 14.9      (1) for a period of 20 years after the date that the any 
 14.10  state funds for project costs are received by the municipality; 
 14.11  and 
 14.12     (2) for 99 years after the date that any state funds for 
 14.13  acquisition costs are received by the municipality.  
 14.14  The agreement may contain other conditions as the commissioner 
 14.15  deems reasonable. 
 14.16     (7) (h) The commissioner shall establish a hangar 
 14.17  construction revolving account which shall be used for the 
 14.18  purpose of financing the construction of hangar buildings to be 
 14.19  constructed by municipalities owning airports.  All 
 14.20  municipalities owning airports are authorized to enter into 
 14.21  contracts for the construction of hangars, and contracts with 
 14.22  the commissioner for the financing of hangar construction for an 
 14.23  amount and period of time as may be determined by the 
 14.24  commissioner and municipality.  All receipts from the financing 
 14.25  contracts shall be deposited in the hangar construction 
 14.26  revolving account and are reappropriated for the purpose of 
 14.27  financing construction of hangar buildings.  The commissioner 
 14.28  may pay from the hangar construction revolving account 80 
 14.29  percent of the cost of financing construction of hangar 
 14.30  buildings.  For purposes of this clause, the "construction" of 
 14.31  hangars shall include their design.  The commissioner shall 
 14.32  transfer up to $4,100,000 from the state airports fund to the 
 14.33  hangar construction revolving account. 
 14.34     (8) (i) The commissioner may pay a portion of the purchase 
 14.35  price of any airport maintenance and safety equipment and of the 
 14.36  actual airport snow removal costs incurred by any municipality.  
 15.1   The portion to be paid by the state shall not exceed two-thirds 
 15.2   of the cost of the purchase price or snow removal.  To receive 
 15.3   aid a municipality must enter into an agreement of the type 
 15.4   referred to in clause (6) paragraph (g). 
 15.5      (9) (j) This subdivision shall apply only to project costs 
 15.6   or acquisition costs of municipally owned airports which are 
 15.7   incurred after June 1, 1971. 
 15.8      Sec. 24.  Minnesota Statutes 1998, section 398A.04, 
 15.9   subdivision 2, is amended to read: 
 15.10     Subd. 2.  [RAILROAD ACQUISITION AND OPERATION.] The 
 15.11  authority may plan, establish, acquire, develop, construct, 
 15.12  purchase, enlarge, extend, improve, maintain, equip, operate, 
 15.13  regulate, and protect railroads and railroad facilities, 
 15.14  including but not limited to terminal buildings, roadways, 
 15.15  crossings, bridges, causeways, tunnels, equipment, and rolling 
 15.16  stock.  The authority may not engage in planning for light rail 
 15.17  transit or commuter rail transit. 
 15.18     Sec. 25.  Minnesota Statutes 1998, section 446A.085, 
 15.19  subdivision 3, is amended to read: 
 15.20     Subd. 3.  [ESTABLISHMENT OF FUND.] A transportation 
 15.21  revolving loan fund is established to make loans for the 
 15.22  purposes described in subdivision 2.  A highway account is 
 15.23  established in the fund for highway projects.  A transit account 
 15.24  is established in the fund for transit capital projects.  The 
 15.25  transportation revolving loan fund shall receive federal money 
 15.26  under the act and money from any source other than the trunk 
 15.27  highway fund, the county state-aid highway fund, and the 
 15.28  municipal state-aid street fund.  Money received under this 
 15.29  section must be paid to the state treasurer and credited to the 
 15.30  transportation revolving loan fund.  Money in the fund is 
 15.31  annually appropriated to the commissioner and does not lapse.  
 15.32  The fund must be credited with investment income, and with 
 15.33  repayments of principal and interest, except for servicing fees 
 15.34  assessed under sections 446A.04, subdivision 5, and 446A.11, 
 15.35  subdivision 8. 
 15.36     Sec. 26.  Minnesota Statutes 1998, section 446A.085, 
 16.1   subdivision 6, is amended to read: 
 16.2      Subd. 6.  [TRANSPORTATION COMMITTEE.] The transportation 
 16.3   committee may make authorize the making of loans to borrowers by 
 16.4   the authority for transportation purposes authorized by the act, 
 16.5   without further action by the authority.  The authority may not 
 16.6   make loans for transportation purposes without the approval of 
 16.7   the transportation committee.  Each project must be certified by 
 16.8   the commissioner of transportation before its consideration by 
 16.9   the transportation committee. 
 16.10     Sec. 27.  Minnesota Statutes 1998, section 473.1466, is 
 16.11  amended to read: 
 16.12     473.1466 [PERFORMANCE AUDIT; TRANSIT EVALUATION.] 
 16.13     (a) In 1997 and every four years thereafter, the council 
 16.14  shall provide for an independent entity selected through a 
 16.15  request for proposal process conducted nationwide to do a 
 16.16  performance audit of the commuting area's transportation system 
 16.17  as a whole.  The performance audit must evaluate the commuting 
 16.18  area's ability to meet the region's needs for effective and 
 16.19  efficient transportation of goods and people, evaluate future 
 16.20  trends and their impacts on the region's transportation system, 
 16.21  and make recommendations for improving the system.  The 
 16.22  performance audit must recommend performance-funding measures.  
 16.23     (b) In 1997 1999 and every two four years thereafter, the 
 16.24  council must evaluate the performance of the metropolitan 
 16.25  transit system's operation in relationship to the regional 
 16.26  transit performance standards developed by the council. 
 16.27     Sec. 28.  Minnesota Statutes 1998, section 473.399, is 
 16.28  amended to read: 
 16.29     473.399 [LIGHT RAIL TRANSIT AND COMMUTER RAIL PLANNING.] 
 16.30     Subdivision 1.  [GENERAL REQUIREMENTS.] (a) The council 
 16.31  shall adopt a plan to ensure that light rail transit facilities 
 16.32  in the metropolitan area will be acquired, developed, owned, and 
 16.33  capable of operation in an efficient, cost-effective, and 
 16.34  coordinated manner in coordination with buses and other 
 16.35  transportation modes and facilities.  The plan may be developed 
 16.36  and adopted in phases corresponding to phasing of construction 
 17.1   of light rail.  To the extent practicable, the council shall 
 17.2   incorporate into its plan appropriate elements of the plans of 
 17.3   regional railroad authorities in order to avoid duplication of 
 17.4   effort. 
 17.5      (b) The light rail transit plan or first phase of the plan 
 17.6   required by this section must be adopted by the council before 
 17.7   the commissioner of transportation may begin construction of 
 17.8   light rail transit facilities.  Following adoption of the plan, 
 17.9   each regional railroad authority and the commissioner of 
 17.10  transportation shall act in conformity with the plan.  The 
 17.11  commissioner shall prepare or amend the final design plans as 
 17.12  necessary to make the plans consistent with the light rail 
 17.13  transit plan. 
 17.14     (c) Throughout the development and implementation of the 
 17.15  plan, the council shall contract for or otherwise obtain 
 17.16  engineering services to assure that the plan adequately 
 17.17  addresses the technical aspects of light rail transit. 
 17.18     (d) Regional rail authorities and counties may not engage 
 17.19  in planning for light rail transit and commuter rail transit, 
 17.20  except that a county may hold public hearings, review plans, 
 17.21  approve or disapprove of plans, and appoint a representative to 
 17.22  a corridor management committee, as provided in section 473.3994.
 17.23     Subd. 1a.  [INTEGRATED TRANSPORTATION SYSTEM.] The 
 17.24  commissioner of transportation, and the metropolitan council, 
 17.25  and the regional rail authorities shall ensure that the light 
 17.26  rail transit and commuter rail facilities are planned, designed, 
 17.27  and implemented:  (1) to move commuters and transit users into 
 17.28  and out of, as well as within, the metropolitan area, and (2) to 
 17.29  ensure that rail transit lines will interface with each other 
 17.30  and other transportation facilities and services so as to 
 17.31  provide a unified, integrated, and efficient multimodal 
 17.32  transportation system. 
 17.33     Sec. 29.  Minnesota Statutes 1998, section 473.3994, 
 17.34  subdivision 2, is amended to read: 
 17.35     Subd. 2.  [PRELIMINARY DESIGN PLANS; PUBLIC HEARING.] 
 17.36  Before final design plans are prepared for a light rail transit 
 18.1   facility, the commissioner of transportation and the regional 
 18.2   railroad authority or authorities in whose jurisdiction the line 
 18.3   or lines are located must hold a public hearing on the physical 
 18.4   design component of the preliminary design plans.  The 
 18.5   commissioner of transportation and the regional railroad 
 18.6   authority or authorities in whose jurisdiction the line or lines 
 18.7   are located must provide appropriate public notice of the 
 18.8   hearing and publicity to ensure that affected parties have an 
 18.9   opportunity to present their views at the hearing.  The 
 18.10  commissioner shall summarize the proceedings and testimony and 
 18.11  maintain the record of a hearing held under this section, 
 18.12  including any written statements submitted. 
 18.13     Sec. 30.  Minnesota Statutes 1998, section 473.3994, 
 18.14  subdivision 3, is amended to read: 
 18.15     Subd. 3.  [PRELIMINARY DESIGN PLANS; LOCAL APPROVAL.] At 
 18.16  least 30 days before the hearing under subdivision 2, the 
 18.17  commissioner of transportation and the regional railroad 
 18.18  authority or authorities in whose jurisdiction the line or lines 
 18.19  are located shall submit the physical design component of the 
 18.20  preliminary design plans to the governing body of each statutory 
 18.21  and home rule charter city, county, and town in which the route 
 18.22  is proposed to be located.  The city, county, or town shall hold 
 18.23  a public hearing, except that a county board need not hold a 
 18.24  hearing if the county board membership is identical to the 
 18.25  membership of the regional railroad authority submitting the 
 18.26  plan for review.  Within 45 days after the hearing under 
 18.27  subdivision 2, the city, county, or town shall review and 
 18.28  approve or disapprove the plans for the route to be located in 
 18.29  the city, county, or town.  A local unit of government that 
 18.30  disapproves the plans shall describe specific amendments to the 
 18.31  plans that, if adopted, would cause the local unit to withdraw 
 18.32  its disapproval.  Failure to approve or disapprove the plans in 
 18.33  writing within 45 days after the hearing is deemed to be 
 18.34  approval, unless an extension of time is agreed to by the city, 
 18.35  county, or town, and the commissioner of transportation, and the 
 18.36  regional railroad authority or authorities in whose jurisdiction 
 19.1   the line or lines are located. 
 19.2      Sec. 31.  Minnesota Statutes 1998, section 473.3994, 
 19.3   subdivision 4, is amended to read: 
 19.4      Subd. 4.  [PRELIMINARY DESIGN PLANS; COUNCIL REFERRAL.] If 
 19.5   the governing body of one or more cities, counties, or towns 
 19.6   disapproves the preliminary design plans within the period 
 19.7   allowed under subdivision 3, the commissioner of transportation 
 19.8   and the regional railroad authority or authorities in whose 
 19.9   jurisdiction the line or lines are located may refer the plans, 
 19.10  along with any comments of local jurisdictions, to the 
 19.11  metropolitan council.  The council shall hold a hearing on the 
 19.12  plans, giving the commissioner of transportation and the 
 19.13  regional railroad authority or authorities in whose jurisdiction 
 19.14  the line or lines are located, any disapproving local 
 19.15  governmental units, and other persons an opportunity to present 
 19.16  their views on the plans.  The council may conduct independent 
 19.17  study as it deems desirable and may mediate and attempt to 
 19.18  resolve disagreements about the plans.  Within 90 days after the 
 19.19  referral, the council shall review the plans submitted by the 
 19.20  commissioner of transportation and the regional railroad 
 19.21  authority or authorities in whose jurisdiction the line or lines 
 19.22  are located and the council shall decide what amendments to the 
 19.23  plans, if any, must be made to accommodate the objections 
 19.24  presented by the disapproving local governmental units.  The 
 19.25  commissioner and the regional railroad authority shall make the 
 19.26  amendments to the plans before continuing the planning and 
 19.27  designing process.  
 19.28     Sec. 32.  Minnesota Statutes 1998, section 473.3994, 
 19.29  subdivision 10, is amended to read: 
 19.30     Subd. 10.  [CORRIDOR MANAGEMENT COMMITTEE.] A corridor 
 19.31  management committee shall be established to advise the 
 19.32  commissioner of transportation in the design and construction of 
 19.33  light rail transit in each corridor to be constructed.  The 
 19.34  corridor management committee shall consist of the following 
 19.35  members:  
 19.36     (1) one member appointed by the joint powers board 
 20.1   established under section 473.3998; 
 20.2      (2) one member appointed by each city and county in which 
 20.3   the corridor is located; 
 20.4      (3) (2) the commissioner of transportation or a designee of 
 20.5   the commissioner; 
 20.6      (4) (3) two members appointed by the metropolitan council, 
 20.7   one of whom shall be designated as the chair of the committee; 
 20.8      (5) (4) one member appointed by the metropolitan airports 
 20.9   commission, if the designated corridor provides direct service 
 20.10  to the Minneapolis-St. Paul International Airport; and 
 20.11     (6) (5) one member appointed by the president of the 
 20.12  University of Minnesota, if the designated corridor provides 
 20.13  direct service to the university. 
 20.14     The corridor management committee shall advise the 
 20.15  commissioner of transportation and the regional railroad 
 20.16  authority or authorities in whose jurisdiction the line or lines 
 20.17  are located on issues relating to the alternatives analysis, 
 20.18  environmental review, preliminary design, preliminary 
 20.19  engineering, final design, implementation method, and 
 20.20  construction of light rail transit. 
 20.21     Sec. 33.  Minnesota Statutes 1998, section 473.3997, is 
 20.22  amended to read: 
 20.23     473.3997 [FEDERAL FUNDING; LIGHT RAIL TRANSIT.] 
 20.24     (a) Upon completion of the alternatives analysis and draft 
 20.25  environmental impact statement for the central corridor transit 
 20.26  improvement project, the council, and the commissioner of 
 20.27  transportation, and the affected regional rail authorities may 
 20.28  prepare a joint application for federal assistance for light 
 20.29  rail transit facilities in the metropolitan area.  The 
 20.30  application must be reviewed and approved by the metropolitan 
 20.31  council before it is submitted by the council and the 
 20.32  commissioner.  In reviewing the application the council must 
 20.33  consider the information submitted to it under section 473.3994, 
 20.34  subdivision 9.  
 20.35     (b) Until the application described in paragraph (a) is 
 20.36  submitted, no political subdivision in the metropolitan area may 
 21.1   on its own apply for federal assistance for light rail transit 
 21.2   planning or construction. 
 21.3      Sec. 34.  Laws 1998, chapter 404, section 17, subdivision 
 21.4   3, is amended to read: 
 21.5   Subd. 3.  Transitways                                46,500,000 
 21.6   (a) This appropriation is to match 
 21.7   federal and local funding for the 
 21.8   planning, design, engineering, and 
 21.9   construction of transitways in the 
 21.10  metropolitan area. 
 21.11  (b) $40,000,000 is for the preliminary 
 21.12  engineering, final design, and 
 21.13  construction of light rail transit in 
 21.14  the Hiawatha Avenue corridor from 
 21.15  downtown Minneapolis through 
 21.16  Minneapolis-St. Paul International 
 21.17  Airport and the site of the former Met 
 21.18  Center or surrounding area with a 
 21.19  terminus in southern Hennepin or 
 21.20  northern Dakota county. 
 21.21  The Hiawatha Avenue corridor management 
 21.22  committee created pursuant to Minnesota 
 21.23  Statutes, section 473.3994, subdivision 
 21.24  10, shall establish an advisory 
 21.25  committee of: 
 21.26  (1) individuals who reside near the 
 21.27  proposed corridor; 
 21.28  (2) representatives of businesses 
 21.29  located within one mile on either side 
 21.30  of the corridor; and 
 21.31  (3) elected officials, including 
 21.32  legislators, who represent the area in 
 21.33  which the Hiawatha corridor is located. 
 21.34  The advisory committee shall advise the 
 21.35  corridor management committee on issues 
 21.36  relating to the preliminary 
 21.37  engineering, final design, and 
 21.38  construction of light rail facilities, 
 21.39  including the proposed alignment for 
 21.40  the corridor. 
 21.41  (c) The funds in this paragraph must be 
 21.42  distributed as grants to appropriate 
 21.43  county regional rail authorities the 
 21.44  metropolitan council as follows: 
 21.45  (1) $3,000,000 to match federal funding 
 21.46  for a major investment study, 
 21.47  engineering, and implementation in the 
 21.48  Riverview corridor between the east 
 21.49  side of St. Paul and the 
 21.50  Minneapolis-St. Paul International 
 21.51  Airport and the Mall of America; 
 21.52  (2) $1,500,000 to match federal funding 
 21.53  for a major investment study, 
 21.54  engineering, and implementation in the 
 21.55  Northstar corridor linking downtown 
 21.56  Minneapolis to the St. Cloud area and 
 21.57  to study the feasibility of commuter 
 22.1   rail and other transportation 
 22.2   improvements within the corridor; 
 22.3   (3) $500,000 to study potential transit 
 22.4   improvements and engineering studies in 
 22.5   the Cedar Avenue corridor to link the 
 22.6   Hiawatha, Riverview, and Northstar 
 22.7   transit corridors with Dakota county; 
 22.8   and 
 22.9   (4) $500,000 to develop engineering 
 22.10  documents for a commuter rail line from 
 22.11  Minneapolis to downtown St. Paul 
 22.12  through southern Washington county to 
 22.13  Hastings. 
 22.14  The commissioner of transportation, in 
 22.15  coordination with the North Star 
 22.16  Corridor Joint Powers Authority and the 
 22.17  St. Cloud area planning agency, shall 
 22.18  study the transportation needs within 
 22.19  the St. Cloud metropolitan area.  
 22.20  (d) $1,000,000 is available as grants 
 22.21  to appropriate county regional rail 
 22.22  authorities the metropolitan council to 
 22.23  conduct major investment studies and to 
 22.24  develop engineering documents for 
 22.25  commuter rail lines in the following 
 22.26  corridors: 
 22.27  (1) the Young America corridor from 
 22.28  Carver county to Minneapolis and St. 
 22.29  Paul; 
 22.30  (2) the Bethel corridor linking 
 22.31  Cambridge with the Northstar corridor 
 22.32  in Anoka county; 
 22.33  (3) the Northwest corridor from 
 22.34  downtown Minneapolis to the Northwest 
 22.35  suburbs of Hennepin county; and 
 22.36  (4) other commuter rail corridors 
 22.37  identified in phase II of the 
 22.38  department of transportation's commuter 
 22.39  rail service study, except for the 
 22.40  corridors identified in paragraph (c). 
 22.41  The appropriation in this paragraph is 
 22.42  not available until the completion of 
 22.43  the commuter rail service study as 
 22.44  provided in Laws 1997, chapter 159, 
 22.45  article 2, section 51.  The funds may 
 22.46  be made available only after approval 
 22.47  by the commissioner of transportation 
 22.48  of an application submitted by county 
 22.49  regional rail authorities the 
 22.50  metropolitan council that is consistent 
 22.51  with the results of the commuter rail 
 22.52  service study and demonstrates a 
 22.53  coordinated implementation strategy. 
 22.54     Sec. 35.  [TRANSFER OF OBLIGATIONS.] 
 22.55     The metropolitan council shall be the legal successor of 
 22.56  the regional railroad authorities with respect to contractual 
 22.57  obligations and liabilities related to planning for light rail 
 23.1   transit or commuter rail transit. 
 23.2      Sec. 36.  [REPEALER.] 
 23.3      Minnesota Statutes 1998, sections 169.832, subdivision 13; 
 23.4   473.3994, subdivision 12; and 473.3998, are repealed. 
 23.5      Sec. 37.  [EFFECTIVE DATES.] 
 23.6      Sections 1, 2, 7, and 8, are effective the day following 
 23.7   final enactment.  Sections 3 to 6, 9, 12, 15, 17, 21 to 23, 25, 
 23.8   and 26, are effective July 1, 1999.