1.1                          A bill for an act 
  1.2             relating to local government; updating United States 
  1.3             Department of Agriculture financing program for 
  1.4             cities, counties, and towns, and expanding the uses to 
  1.5             include city halls and child care facilities; amending 
  1.6             Minnesota Statutes 2000, section 465.73. 
  1.7   BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.8      Section 1.  Minnesota Statutes 2000, section 465.73, is 
  1.9   amended to read: 
  1.10     465.73 [TOWN HALLS; FIRE HALLS OR RESCUE EQUIPMENT; LOANS 
  1.11  TO POLITICAL SUBDIVISIONS.] 
  1.12     For purposes of constructing, repairing, or acquiring child 
  1.13  care facilities, city halls, town halls, fire halls or fire or 
  1.14  rescue equipment any city, county, or town may borrow up 
  1.15  to $250,000 $450,000 from funds granted to a rural electric 
  1.16  cooperative organized under chapter 308A by, the United States 
  1.17  Department of Agriculture, Rural Business-Cooperative Service or 
  1.18  directly from or guaranteed by the Farmers Home Administration 
  1.19  Rural Housing Service or other agency of the United States 
  1.20  Department of Agriculture on a note secured by a mortgage on the 
  1.21  property purchased with the borrowed funds.  The city, county, 
  1.22  or town may assign or pledge revenues from the child care 
  1.23  facility, city halls, town halls, fire or rescue department, or 
  1.24  fire hall or any other available funds, including taxes levied 
  1.25  pursuant to section 475.61 to the Farmers Home Administration 
  1.26  Rural Housing Service or other agency of the United States 
  2.1   Department of Agriculture or its guaranteed lender or a rural 
  2.2   electric cooperative organized under chapter 308A as its grantee 
  2.3   to repay the loan.  The amount of the obligation shall not be 
  2.4   included when computing the net debt of the city, county, or 
  2.5   town.  An election shall not be required to authorize the note 
  2.6   and mortgage or assignment of revenues. 
  2.7      Sec. 2.  [EFFECTIVE DATE.] 
  2.8      Section 1 is effective the day following final enactment.