1.1                          A bill for an act 
  1.2             relating to sports stadiums; providing for a process 
  1.3             to build stadiums for the use of the Minnesota Twins 
  1.4             and the Minnesota Vikings; establishing the Minnesota 
  1.5             Stadium Authority; providing a process for state 
  1.6             support of a football stadium at the University of 
  1.7             Minnesota; authorizing revenue bonds; authorizing 
  1.8             certain taxes and revenues; providing sales tax 
  1.9             exemptions; appropriating money; amending Minnesota 
  1.10            Statutes 2002, sections 3.8841, subdivision 1, by 
  1.11            adding a subdivision; 297A.71, by adding subdivisions; 
  1.12            proposing coding for new law in Minnesota Statutes, 
  1.13            chapter 473; repealing Minnesota Statutes 2002, 
  1.14            sections 473I.01; 473I.02; 473I.03; 473I.04; 473I.05; 
  1.15            473I.06; 473I.07; 473I.08; 473I.09; 473I.10; 473I.11; 
  1.16            473I.12; 473I.13. 
  1.17  BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.18                             ARTICLE 1 
  1.19                       PROFESSIONAL STADIUMS 
  1.20     Section 1.  Minnesota Statutes 2002, section 3.8841, 
  1.21  subdivision 1, is amended to read: 
  1.22     Subdivision 1.  [ESTABLISHED.] The Legislative Commission 
  1.23  on Metropolitan Government is established to:  (1) oversee the 
  1.24  Metropolitan Council's operating and capital budgets, work 
  1.25  program, and capital improvement program; and (2) oversee the 
  1.26  activities of the Minnesota Stadium Authority established in 
  1.27  section 473.75, subdivision 3, and the activities of any 
  1.28  reconstituted authority or authorities charged with ongoing 
  1.29  maintenance, operation or improvements of professional sports 
  1.30  stadium facilities. 
  1.31     Sec. 2.  Minnesota Statutes 2002, section 3.8841, is 
  2.1   amended by adding a subdivision to read: 
  2.2      Subd. 10.  [POWERS; DUTIES; MINNESOTA STADIUM AUTHORITY 
  2.3   OVERSIGHT.] The commission must monitor and review the work of 
  2.4   the Minnesota Stadium Authority, including, but not limited to: 
  2.5      (1) stadium site selection process, 
  2.6      (2) financing plans for professional sports stadium 
  2.7   facilities, 
  2.8      (3) lease and use agreements for professional sports 
  2.9   stadiums, and 
  2.10     (4) stadium authority budgets. 
  2.11     Sec. 3.  [473.7531] [SUBMISSIONS TO LEGISLATIVE 
  2.12  COMMISSION.] 
  2.13     The authority shall submit progress reports and any other 
  2.14  information requested to the Legislative Commission on 
  2.15  Metropolitan Government for review by the commission as provided 
  2.16  in section 3.8841. 
  2.17     Sec. 4.  Minnesota Statutes 2002, section 297A.71, is 
  2.18  amended by adding a subdivision to read: 
  2.19     Subd. 33.  [STADIUM CONSTRUCTION MATERIALS 
  2.20  EXEMPT.] Materials, supplies used or consumed in, and equipment 
  2.21  incorporated into the construction or improvement of a stadium 
  2.22  constructed under sections 473.75 to 473.758, are exempt.  This 
  2.23  subdivision expires for each stadium one year after the first 
  2.24  major league game is played in the stadium. 
  2.25     Sec. 5.  [473.75] [PURPOSE.] 
  2.26     Subdivision 1.  [PROCESS FOR NEW STADIUMS.] The purpose of 
  2.27  sections 473.75 to 473.758 is to provide a process to result in 
  2.28  the location, construction, financing, and long-term use of two 
  2.29  new stadiums primarily for the use of the Minnesota Twins and 
  2.30  the Minnesota Vikings. 
  2.31     Subd. 2.  [LOCATION.] (a) The stadiums must be located in 
  2.32  the metropolitan area as defined in section 473.121, subdivision 
  2.33  2. 
  2.34     (b) Both stadiums may, but need not be, located in the same 
  2.35  city or county. 
  2.36     (c) A city and its county may cooperate to host one or both 
  3.1   stadiums under a joint powers agreement under section 471.59 or 
  3.2   as otherwise provided by law. 
  3.3      Subd. 3.  [MINNESOTA STADIUM AUTHORITY.] (a) To achieve the 
  3.4   purposes of sections 473.75 to 473.758, the Minnesota Stadium 
  3.5   Authority is established to independently choose sites for the 
  3.6   two stadiums from proposals submitted by the franchise owners 
  3.7   and their proposed host communities.  The authority may consider 
  3.8   or propose other arrangements for sites and terms if the 
  3.9   authority is not satisfied with proposals submitted by the 
  3.10  franchise owners and their proposed host communities.  The 
  3.11  authority's determination of sites for the two stadiums is 
  3.12  final.  The authority must set an ample time frame for site 
  3.13  selection, negotiations, and construction of the two stadiums.  
  3.14  The authority may enter into contracts for and take all actions 
  3.15  necessary or desirable to acquire a site, design, construct, 
  3.16  furnish, equip, and provide for the operation, maintenance, and 
  3.17  improvement of stadium facilities and anything incident to their 
  3.18  enumerated potential actions.  On completion of the construction 
  3.19  of the second stadium, the authority must recommend to the 
  3.20  legislature and the governor, a reconstituted authority or 
  3.21  authorities to oversee the ongoing maintenance and operation and 
  3.22  improvements of the stadiums to ensure that those public 
  3.23  entities that provide substantial financial support receive 
  3.24  appropriate representation.  The authority must also recommend 
  3.25  to the legislature and the governor a proposed disposition of 
  3.26  the Metrodome facility and of the Metropolitan Sports Facilities 
  3.27  Commission and of its financial reserves, if any. 
  3.28     (b) The authority must consider and make recommendations to 
  3.29  the legislature with regard to alternative proposals for the 
  3.30  continuation of professional baseball and football in 
  3.31  Minnesota.  Such proposals may include, but are not limited to, 
  3.32  full private financing of stadium facilities and community 
  3.33  ownership of professional sports franchises. 
  3.34     Subd. 4.  [DEFINITIONS.] For purposes of sections 473.75 to 
  3.35  473.758, the terms defined in this subdivision have the 
  3.36  following meanings: 
  4.1      (a) "Host community" means a city or a county or any joint 
  4.2   powers entity comprised of one or more cities or counties, or 
  4.3   both, which is organized for the purpose of providing financial 
  4.4   or other support for one or more stadiums.  If two or more 
  4.5   entities provide financial or other support for a stadium, the 
  4.6   authority must designate the entity that constitutes the host 
  4.7   community for the stadium upon selection of the site. 
  4.8      (b) "Public infrastructure" means all property and 
  4.9   facilities determined by the host community to facilitate the 
  4.10  use of the stadium, including but not limited to, property and 
  4.11  facilities for parking, pedestrian needs, transit, skyways, 
  4.12  lighting, landscaping, utilities, streets and land acquired and 
  4.13  prepared for private redevelopment in a manner related to the 
  4.14  use of the stadium. 
  4.15     (c) "Project costs" means all costs necessary or desirable 
  4.16  to site, design, construct, furnish, and equip a stadium 
  4.17  facility together with related public infrastructure, but does 
  4.18  not include unrelated public infrastructure or environmental 
  4.19  remedial action, removal or response, as defined in section 
  4.20  115A.02, incidental to site preparation. 
  4.21     Sec. 6.  [473.751] [MINNESOTA STADIUM AUTHORITY.] 
  4.22     Subdivision 1.  [COMPOSITION.] (a) The Minnesota Stadium 
  4.23  Authority consists of: 
  4.24     (1) six members, at least one of whom must reside outside 
  4.25  the seven-county metropolitan area, appointed by the governor; 
  4.26     (2) one member appointed by each of the following:  the 
  4.27  speaker of the house of representatives; the majority leader of 
  4.28  the senate; and the minority leaders of the house of 
  4.29  representatives and the senate; and 
  4.30     (3) a chair appointed by the governor. 
  4.31     (b) All members appointed, including the chair, serve at 
  4.32  the pleasure of the appointing authority. 
  4.33     (c) All appointments made under paragraph (a) must be made 
  4.34  within 30 days following enactment of sections 473.75 to 473.758.
  4.35     (d) No later than 30 days after the selection of a stadium 
  4.36  site, the host community may appoint one additional member to 
  5.1   the authority.  A member appointed under this provision must not 
  5.2   vote on the selection of a site for the other stadium. 
  5.3      Subd. 2.  [CHAIR.] The chair shall preside at all meetings 
  5.4   of the authority, if present, and shall perform all other 
  5.5   assigned duties and functions.  The authority may appoint from 
  5.6   among its members a vice-chair to act for the chair during the 
  5.7   temporary absence or disability of the chair. 
  5.8      Sec. 7.  [473.752] [POWERS OF AUTHORITY.] 
  5.9      Subdivision 1.  [GENERAL.] The authority has all powers 
  5.10  necessary or convenient to accomplish the purposes of sections 
  5.11  473.75 to 473.758, including but not limited to those specified 
  5.12  in this section.  Except to the extent otherwise explicitly 
  5.13  provided in sections 473.75 to 473.758, the authority is a 
  5.14  metropolitan agency and is governed by the laws applicable to 
  5.15  metropolitan agencies.  The authority is not a state agency. 
  5.16     Subd. 2.  [ACTIONS.] The authority may sue and be sued, and 
  5.17  is a public body within the meaning of chapter 562. 
  5.18     Subd. 3.  [ACQUISITION OF PROPERTY.] The authority may 
  5.19  acquire by lease, purchase, monetary or land contribution, or 
  5.20  devise all necessary right, title, and interest in and to real 
  5.21  or personal property deemed necessary to the purposes 
  5.22  contemplated by sections 473.75 to 473.758. 
  5.23     Subd. 4.  [TAX EXEMPTION.] (a) Any real or personal 
  5.24  property acquired, owned, leased, controlled, used, or occupied 
  5.25  by the authority for any of the purposes of sections 473.75 to 
  5.26  473.758 is declared to be acquired, owned, leased, controlled, 
  5.27  used, and occupied for public, governmental, and municipal 
  5.28  purposes, and is exempt from ad valorem taxation by the state or 
  5.29  any political subdivision of the state.  But the properties are 
  5.30  subject to special assessments levied by a political subdivision 
  5.31  for a local improvement in amounts proportionate to and not 
  5.32  exceeding the special benefit received by the properties from 
  5.33  the improvement.  No possible use of any of the properties in 
  5.34  any manner different from their use under sections 473.75 to 
  5.35  473.758 at the time may be considered in determining the special 
  5.36  benefit received by the properties.  All assessments are subject 
  6.1   to final confirmation by the Metropolitan Council, whose 
  6.2   determination of the benefits is conclusive upon the political 
  6.3   subdivision levying the assessment.  Notwithstanding section 
  6.4   272.01, subdivision 2, or 273.19, lease by the authority to 
  6.5   another person of the two stadium facilities is exempt from 
  6.6   taxation regardless of the length of the lease.  This exemption 
  6.7   includes concessions, suites, locker rooms, and club house 
  6.8   facilities in the stadium and parking facilities on the stadium 
  6.9   site.  It does not include team offices, residential, business 
  6.10  or commercial development or other property not directly related 
  6.11  to the operation of a stadium facility.  
  6.12     (b) No tax, other than the state sales tax imposed under 
  6.13  chapter 297A and any local taxes imposed under section 473.754, 
  6.14  applies to admission to or sales made in a stadium financed 
  6.15  under the provisions of sections 473.75 to 473.758 or in a 
  6.16  football stadium district.  The tax exemption under this 
  6.17  paragraph applies only to sales made on days on which a 
  6.18  professional football or baseball game is held.  
  6.19     Subd. 5.  [LIQUOR LICENSES.] A city in which a stadium is 
  6.20  located may issue one or more intoxicating liquor licenses for 
  6.21  the stadium.  These licenses are in addition to the number 
  6.22  authorized by law.  All provisions of chapter 340A not 
  6.23  inconsistent with this subdivision apply to the licenses 
  6.24  authorized under this subdivision. 
  6.25     Subd. 6.  [FACILITY OPERATION.] The authority may equip, 
  6.26  improve, operate, manage, maintain, and control the sports 
  6.27  facilities constructed, remodeled, or acquired under sections 
  6.28  473.75 to 473.758. 
  6.29     Subd. 7.  [DISPOSITION OF PROPERTY.] The authority may 
  6.30  sell, lease, or otherwise dispose of any real or personal 
  6.31  property acquired by it which is no longer required for 
  6.32  accomplishment of its purposes.  The property must be sold in 
  6.33  accordance with the procedures provided by section 469.065, 
  6.34  except subdivisions 6 and 7, insofar as the authority determines 
  6.35  to be practical and consistent with sections 473.75 to 473.758. 
  6.36     Subd. 8.  [EMPLOYEES; CONTRACTS FOR SERVICES.] The 
  7.1   authority may employ persons and contract for services necessary 
  7.2   to carry out its functions.  The authority may employ on the 
  7.3   terms it deems advisable persons or firms to provide traffic 
  7.4   officers to direct traffic on property under the control of the 
  7.5   authority and on the city streets in the general area of the 
  7.6   property controlled by the authority.  The traffic officers are 
  7.7   not peace officers and do not have authority to make arrests for 
  7.8   violations of traffic rules. 
  7.9      Subd. 9.  [GIFTS AND GRANTS.] The authority may accept 
  7.10  donations of money, property, or services, may apply for and 
  7.11  accept grants or loans of money or other property from the 
  7.12  United States, the state, any subdivision of the state, or any 
  7.13  person for any of its purposes, may enter into any agreement 
  7.14  required in connection therewith, and may hold, use, and dispose 
  7.15  of the donations according to the terms of the gifts, grant, 
  7.16  loan, or agreement.  In evaluating proposed monetary 
  7.17  contributions, grants, loans, and agreements required in 
  7.18  connection therewith, the authority shall examine the possible 
  7.19  short-range and long-range impact on authority revenues and 
  7.20  authority operating expenditures.  The authority must notify 
  7.21  potential contributors that contributions qualify for the 
  7.22  charitable contribution deduction under section 170 of the 
  7.23  Internal Revenue Code, provided that the contributor does not 
  7.24  receive substantial direct benefit from the contribution. 
  7.25     Subd. 10.  [RESEARCH.] The authority may conduct research 
  7.26  studies and programs, collect and analyze data, prepare reports, 
  7.27  maps, charts, and tables, and conduct all necessary hearings and 
  7.28  investigations in connection with its functions. 
  7.29     Subd. 11.  [USE AGREEMENTS.] The authority may lease, 
  7.30  license, or enter into agreements and may fix, alter, charge, 
  7.31  and collect rentals, fees, and charges to all persons for the 
  7.32  use, occupation, and availability of part or all of any 
  7.33  premises, property, or facilities under its ownership, 
  7.34  operation, or control for purposes that will provide athletic, 
  7.35  educational, cultural, commercial or other entertainment, 
  7.36  instruction, or activity for the citizens of the metropolitan 
  8.1   area and visitors.  Any use agreement may provide that the other 
  8.2   contracting party has exclusive use of the premises at the times 
  8.3   agreed upon including exclusive use and control for the term of 
  8.4   its agreement by the sports franchise. 
  8.5      Subd. 12.  [INSURANCE.] The authority may require any 
  8.6   employee to obtain and file with it an individual bond or 
  8.7   fidelity insurance policy.  It may procure insurance in the 
  8.8   amounts it considers necessary against liability of the 
  8.9   authority or its officers and employees for personal injury or 
  8.10  death and property damage or destruction, with the force and 
  8.11  effect stated in chapter 466, and against risks of damage to or 
  8.12  destruction of any of its facilities, equipment, or other 
  8.13  property. 
  8.14     Subd. 13.  [CREATING A CONDOMINIUM.] The authority may, by 
  8.15  itself or together with any other entity, as to real or personal 
  8.16  property comprising or appurtenant or ancillary to the sports 
  8.17  facilities operated under sections 473.75 to 473.758 or other 
  8.18  law, act as a declarant and establish a condominium or leasehold 
  8.19  condominium under chapter 515A, or a common interest community 
  8.20  or leasehold common interest community under chapter 515B, and 
  8.21  may grant, establish, create, or join in other or related 
  8.22  easements, agreements and similar benefits and burdens that the 
  8.23  authority may consider necessary or appropriate, and exercise 
  8.24  any and all rights and privileges and assume obligations under 
  8.25  them as a declarant, unit owner or otherwise, insofar as 
  8.26  practical and consistent with sections 473.75 to 473.758.  The 
  8.27  authority may be a member of an association and the chair, any 
  8.28  commissioners and any officers and employees of the authority 
  8.29  may serve on the board of an association under chapter 515A or 
  8.30  515B or other law. 
  8.31     Subd. 14.  [EXEMPTION FROM COUNCIL REVIEW.] The acquisition 
  8.32  and betterment of sports facilities by the authority must be 
  8.33  conducted under sections 473.75 to 473.758 and must not be 
  8.34  affected by the provisions of sections 473.165. 
  8.35     Subd. 15.  [PROCUREMENT.] (a) With respect to the 
  8.36  construction of the stadiums, the construction manager must:  (1)
  9.1   guarantee a maximum cost of construction; and (2) provide 
  9.2   payment and performance bonds or other security reasonably 
  9.3   acceptable to the authority in an amount equal to the guaranteed 
  9.4   maximum cost of construction, and shall comply with all 
  9.5   employment requirements applicable to city and state contracts 
  9.6   for construction, including prevailing wages as defined in 
  9.7   section 177.42, affirmative action, and outreach. 
  9.8      (b) The lessee under the stadium lease described in 
  9.9   paragraph (c) or the construction manager may enter into 
  9.10  contracts with contractors for labor, materials, supplies, and 
  9.11  equipment to equip and construct the new stadium through the 
  9.12  process of public bidding. 
  9.13     (c) The lessee or the construction manager may:  (1) limit 
  9.14  the list of eligible bidders to those that the construction 
  9.15  manager determines possess sufficient expertise to perform the 
  9.16  intended functions; (2) award contracts to the contractors that 
  9.17  the construction manager determines provide the best value, 
  9.18  which need not be the lowest responsible bidder; and (3) for 
  9.19  work the construction manager determines to be critical to the 
  9.20  completion schedule, the construction manager may award 
  9.21  contracts on the basis of competitive proposals or perform work 
  9.22  with its own forces without soliciting competitive bids if the 
  9.23  construction manager provides evidence of competitive pricing. 
  9.24     Subd. 16.  [SCHEDULE.] The authority must designate one 
  9.25  preliminary site for each stadium by September 15, 2004.  The 
  9.26  authority must make a final selection of a site for a baseball 
  9.27  stadium by December 31, 2004, and for a football stadium by 
  9.28  September 15, 2004. 
  9.29     Sec. 8.  [473.753] [CRITERIA AND CONDITIONS.] 
  9.30     Subdivision 1.  [BINDING AND ENFORCEABLE.] In setting 
  9.31  parameters and making decisions necessary to complete the 
  9.32  stadium process, the authority must follow and enforce the 
  9.33  criteria and conditions in subdivisions 2 to 23. 
  9.34     Subd. 2.  [TOTAL PUBLIC INVESTMENT TOWARD PROJECT 
  9.35  COSTS.] The total public investment maximums are $478,000,000 of 
  9.36  which $100,000,000 is the maximum state investment for the 
 10.1   baseball stadium and $600,000,000 of which $185,000,000 is the 
 10.2   maximum state investment for the football stadium.  These costs 
 10.3   include all project costs, including the revenue contributions 
 10.4   provided by and other costs incurred by the host community. 
 10.5      Subd. 3.  [TEAM AND FAN CONTRIBUTIONS.] (a) The authority 
 10.6   must set the amount of anticipated contributions from each team 
 10.7   towards the total cost for its stadium.  Team contributions must 
 10.8   consist of at least 25 percent in up-front cash contributions, 
 10.9   and the remainder in annual payments.  Each team's contribution 
 10.10  must be no less than one-third of its team's stadium's project 
 10.11  costs.  The team's one-third contribution must be determined on 
 10.12  a present value basis, using an appropriate discount rate and 
 10.13  adjusting for the creditworthiness of the security underlying 
 10.14  the team's obligation.  The authority may attempt to structure 
 10.15  each team's investment to maximize benefits both to the public 
 10.16  and to the teams.  In addition to any other team contribution, 
 10.17  each team must assume and pay when due all cost overruns for its 
 10.18  stadium.  
 10.19     (b) The team contributions must be used for payment of 
 10.20  principal and interest on the revenue bonds issued by the 
 10.21  Metropolitan Council under sections 473.75 to 473.758 and 
 10.22  chapter 475. 
 10.23     (c) The authority and the use agreement must treat the 
 10.24  value of the exemption from local taxes provided under section 
 10.25  473.752, subdivision 4, as a public contribution and not as a 
 10.26  team contribution for purposes of this section.  
 10.27     Subd. 4.  [RESERVE FOR CAPITAL IMPROVEMENTS.] The authority 
 10.28  may require that a reserve fund for capital improvements to the 
 10.29  stadium be set up and may require the teams and the host 
 10.30  communities' governments to contribute to the fund in a manner 
 10.31  and on the terms the authority and the team or host community 
 10.32  may agree to. 
 10.33     Subd. 5.  [LEASE OR USE AGREEMENTS.] The authority must 
 10.34  negotiate long-term lease or use agreements with each team for 
 10.35  its use of one of the stadiums.  Each team must schedule and 
 10.36  play all regular season and postseason home games at its 
 11.1   stadium.  Preseason games may also be scheduled and played at 
 11.2   the stadium.  The lease or use agreements must be for a term of 
 11.3   the greater of 30 years or until the last of the bonds issued to 
 11.4   fund the stadium are retired or defeased.  The lease must 
 11.5   include terms for default, termination, and breach of the 
 11.6   facility lease.  The leases must require specific performance 
 11.7   and must not include escape clauses or buyout provisions. 
 11.8      Subd. 6.  [MAJOR LEAGUE BASEBALL GUARANTY.] With the advice 
 11.9   of the attorney general, the authority must have executed an 
 11.10  agreement with the major league of which the baseball team is a 
 11.11  member and with major league baseball that, for the greater of 
 11.12  30 years or the term of the bonds issued to finance the baseball 
 11.13  park, major league baseball that guarantees a major league 
 11.14  baseball franchise will be a tenant of the stadium.  
 11.15     Subd. 7.  [NATIONAL FOOTBALL LEAGUE AGREEMENT.] The 
 11.16  authority must execute an agreement with the national football 
 11.17  league that guarantees continuance of the franchise in the 
 11.18  metropolitan area for the period of the agreements referred to 
 11.19  in subdivision 5.  
 11.20     Subd. 8.  [GUARANTY OF PAYMENT OF ALL OBLIGATIONS.] The 
 11.21  authority must ensure that a guaranty is in place at the time of 
 11.22  execution of the obligation in a form satisfactory to the 
 11.23  authority.  The guaranty may be in the form of a letter of 
 11.24  credit, minimum net worth requirements, personal guaranties, or 
 11.25  other surety covering such payments on such terms as determined 
 11.26  by the authority in negotiations with the team.  
 11.27     Subd. 9.  [TITLE TO ALL LAND AND AIR RIGHTS.] By the 
 11.28  beginning of construction of a stadium, the authority must have 
 11.29  title to all land and air rights needed for construction and 
 11.30  operation of the facilities. 
 11.31     Subd. 10.  [ENFORCEABLE FINANCIAL COMMITMENTS.] The 
 11.32  authority must determine before construction begins that all 
 11.33  public and private funding sources for construction and 
 11.34  operation of each stadium are officially committed in writing 
 11.35  and enforceable.  The committed funds must be adequate to site, 
 11.36  design, construct, furnish, equip, and service the facilities' 
 12.1   debt, as well as to pay for the ongoing operation and 
 12.2   maintenance of the respective baseball and football facilities. 
 12.3      Subd. 11.  [ENVIRONMENTAL REQUIREMENTS.] The authority must 
 12.4   ensure that environmental requirements imposed by appropriate 
 12.5   regulatory agencies for each stadium, site, and structure are 
 12.6   complied with.  
 12.7      Subd. 12.  [PUBLIC INFRASTRUCTURE.] In making 
 12.8   determinations about the location of the stadiums, the authority 
 12.9   must determine and consider the estimated cost to the public in 
 12.10  constructing necessary public infrastructure for each location 
 12.11  under consideration.  The authority must obtain commitments from 
 12.12  applicable governmental entities that all necessary and 
 12.13  reasonably appropriate public infrastructure is financed and 
 12.14  constructed by the time of completion of the respective baseball 
 12.15  and football facilities.  
 12.16     Subd. 13.  [PRICE, COMPLETION DATE, PERFORMANCE, PAYMENT 
 12.17  BONDS.] Before construction begins, the authority must have 
 12.18  executed contracts certifying construction price and completion 
 12.19  date that include performance and payment bonds that cover any 
 12.20  costs over the certified price for the facility contracted for. 
 12.21     Subd. 14.  [PUBLIC SHARE OF VALUE ADDED BY STADIUM UPON 
 12.22  SALE.] (a) The lease or use agreements must provide that if the 
 12.23  franchise is sold during the term of the agreement, then any 
 12.24  portion of the sale price that is attributable to public money 
 12.25  spent to develop the stadium used by the franchise's team must 
 12.26  be returned to the public.  
 12.27     (b) The lease or use agreement must provide that the 
 12.28  franchise or related properties, such as entities holding 
 12.29  broadcast or cable television rights, trademarks, trade names or 
 12.30  other similar rights of the franchise, cannot be sold during the 
 12.31  term of the agreement without approval of the authority unless: 
 12.32     (1) the franchise owner agrees with the authority on the 
 12.33  portion of the sales price that will be returned to the public 
 12.34  under paragraph (a); or 
 12.35     (2) the franchise owner agrees that the amount that will be 
 12.36  returned to the public under paragraph (a) will be determined by 
 13.1   a neutral party, selected by a method specified in the lease or 
 13.2   use agreement. 
 13.3      Subd. 15.  [ACCESS TO BOOKS AND RECORDS.] The lease or use 
 13.4   agreements must provide the authority access to those financial 
 13.5   books and records of the franchise that the authority deems 
 13.6   necessary to carry out its duties under this article and to 
 13.7   enforce the terms of any lease or use agreements entered into 
 13.8   under this section. Any financial information obtained by the 
 13.9   authority under this subdivision is nonpublic data under section 
 13.10  13.02, subdivision 9. 
 13.11     Subd. 16.  [FINANCE COMMISSIONER; LEGISLATIVE COORDINATING 
 13.12  COMMISSION APPROVAL.] The authority must transmit the financing 
 13.13  documents and lease or use agreement to the commissioner of 
 13.14  finance and the Legislative Coordinating Commission prior to the 
 13.15  execution of the agreements.  The commissioner of finance and 
 13.16  the Legislative Coordinating Commission must approve the 
 13.17  financing document and the lease or use agreements before the 
 13.18  issuance of any bonds to finance the construction of the 
 13.19  stadiums.  The requirement of approval by the Legislative 
 13.20  Coordinating Commission is severable and if that provision is 
 13.21  found to be unconstitutional and void, the remaining provisions 
 13.22  of sections 473.75 to 473.758 shall be valid and enforceable. 
 13.23     Subd. 17.  [USE FOR AMATEUR SPORTS.] The authority must 
 13.24  determine that the lease or use agreements for the stadiums 
 13.25  provide for a reasonable amount of use for amateur sports. 
 13.26     Subd. 18.  [AFFORDABLE ACCESS.] The authority must ensure 
 13.27  that the lease or use agreements provide for affordable access 
 13.28  to the respective professional sporting events held in these 
 13.29  facilities. 
 13.30     Subd. 19.  [ATTENDANCE INCENTIVES.] The authority may 
 13.31  negotiate a provision in the lease or use agreements that 
 13.32  provide incentives for the teams to increase attendance at their 
 13.33  sporting events. 
 13.34     Subd. 20.  [SELLOUT SPONSOR IF POSSIBLE.] The authority 
 13.35  must make reasonable efforts to seek a sponsoring organization 
 13.36  to purchase all football game tickets not sold shortly before a 
 14.1   home game.  
 14.2      Subd. 21.  [USE OF BOND PROCEEDS.] The authority must 
 14.3   ensure and confirm to the Metropolitan Council that all bond 
 14.4   proceeds from Metropolitan Council bonds authorized by sections 
 14.5   473.75 to 473.758 must be used to acquire a site, design, 
 14.6   construct or furnish the facilities and fund reserves, 
 14.7   capitalized interest, credit enhancement fees and other 
 14.8   financing costs and for related public infrastructure. 
 14.9      Subd. 22.  [NO STRIKES.] The authority must negotiate an 
 14.10  agreement to prevent strikes that would halt, delay, or impede 
 14.11  construction of the respective baseball and football facilities. 
 14.12     Subd. 23.  [SITE SELECTION AND ADMINISTRATIVE COSTS.] To 
 14.13  cover the authority's start-up and site selection costs, and the 
 14.14  administrative expenses of the commissioner of revenue in the 
 14.15  implementation of sections 473.75 to 473.758, the authority may 
 14.16  assess each professional baseball and football team.  The 
 14.17  Metropolitan Sports Facilities Commission may provide staff and 
 14.18  other assistance to the authority. 
 14.19     Subd. 24.  [CONSTRUCTION MATERIALS.] The authority must 
 14.20  negotiate an agreement providing that all construction materials 
 14.21  for any stadium produced from or containing steel, so far as 
 14.22  practicable, must use steel produced in the United States from 
 14.23  taconite produced in Minnesota. 
 14.24     Subd. 25.  [AMERICAN FLAG.] The authority must negotiate an 
 14.25  agreement providing that an American flag manufactured in the 
 14.26  United States will be publicly displayed at all events conducted 
 14.27  in either stadium. 
 14.28     Sec. 9.  [473.754] [LOCAL TAXES.] 
 14.29     (a) Notwithstanding section 477A.016, a political 
 14.30  subdivision that is the host community for a stadium may impose 
 14.31  one or more of the following taxes on: 
 14.32     (1) admissions to the stadium; 
 14.33     (2) parking for events at the stadium; 
 14.34     (3) restaurants, alcoholic beverages, or prepared food; 
 14.35     (4) lodging and related services by a hotel, motel, or 
 14.36  similar property, other than the leasing of it for a continuous 
 15.1   period of 30 days or more; or 
 15.2      (5) a general sales and use tax as permitted under section 
 15.3   297A.99. 
 15.4      (b) The political subdivision may impose: 
 15.5      (1) a tax under paragraph (a), clauses (3) and (4), only 
 15.6   after obtaining the approval of the voters at a special or 
 15.7   general election; and 
 15.8      (2) a general sales and use tax under paragraph (a), clause 
 15.9   (5), only after obtaining approval of the voters at a general 
 15.10  election. 
 15.11     Sec. 10.  [473.7541] [LOCAL ACTIVITIES; BONDS.] 
 15.12     Subdivision 1.  [ACTIVITIES; CONTRACTS.] A host community 
 15.13  may make a grant to the authority for stadium construction and 
 15.14  related purposes on such terms and conditions as may be agreed 
 15.15  to by the authority and the host community, acquire a stadium 
 15.16  site and convey it to the authority with or without 
 15.17  consideration, prepare a site for development as a stadium and 
 15.18  acquire and construct any related public infrastructure.  The 
 15.19  host community has all powers necessary or convenient for those 
 15.20  purposes and may enter into any contract for those purposes.  
 15.21  The host community may reimburse a local governmental entity 
 15.22  within its jurisdiction for site acquisition, preparation of the 
 15.23  site for stadium development, and public infrastructure.  The 
 15.24  state and any local governmental unit may convey any land owned 
 15.25  by it to the authority without consideration for stadium 
 15.26  purposes. 
 15.27     Each host community may exercise for purposes of site 
 15.28  acquisition, preparation, and development for the stadium, all 
 15.29  the powers of a city, a housing and redevelopment authority, a 
 15.30  port authority, a community development agency, and an economic 
 15.31  development authority. 
 15.32     Subd. 2.  [LOCAL REVENUE BONDS.] A host community may by 
 15.33  resolution authorize, sell, and issue revenue bonds to provide 
 15.34  funds to make a grant to the authority and to finance all or a 
 15.35  portion of the costs of site acquisition, site improvements and 
 15.36  other activities necessary to prepare a site for development of 
 16.1   a stadium and to acquire and construct any related parking 
 16.2   facilities and other public infrastructure.  The host community 
 16.3   may also by resolution issue bonds to refund the bonds issued 
 16.4   under this section.  The bonds must be limited obligations, 
 16.5   payable solely from or secured by taxes levied and any other 
 16.6   revenues to become available under sections 473.75 to 473.758.  
 16.7   Bonds may be issued in one or more series and sold without an 
 16.8   election.  The bonds must be sold in the manner provided by 
 16.9   section 475.60.  The bonds must be secured, bear the interest 
 16.10  rate or rates, have the rank or priority, be executed in the 
 16.11  manner, be payable in the manner, mature, and be subject to the 
 16.12  defaults, redemptions, repurchases, tender options, or other 
 16.13  terms, as the host community may determine.  The host community 
 16.14  may enter into and perform all contracts deemed necessary or 
 16.15  desirable by it to issue and secure the bonds, including an 
 16.16  indenture of trust with a trustee within or without the state.  
 16.17  The debt represented by the bonds is not included in computing 
 16.18  any debt limitation applicable to the host community.  Subject 
 16.19  to this subdivision, the bonds must be issued and sold in the 
 16.20  manner provided in chapter 475. 
 16.21     Sec. 11.  [473.755] [LOCAL TAX INCREMENT FINANCING; 
 16.22  DEVELOPMENT RIGHTS.] 
 16.23     A local unit of government that is a host community for a 
 16.24  stadium may use local tax increment financing or sale of 
 16.25  development rights as otherwise provided by law to help complete 
 16.26  the stadium project. 
 16.27     Sec. 12.  [473.756] [STATE CONTRIBUTION; TAX REFUNDS.] 
 16.28     Subdivision 1.  [TEAM RENT.] The lease or use agreement for 
 16.29  a stadium financed under sections 473.75 to 473.758 must include 
 16.30  an obligation to make additional rent payments.  Rent under this 
 16.31  requirement must be paid in at least annual installments.  The 
 16.32  authority must set the rent obligation for each year equal to no 
 16.33  less than its estimate of the tax refunds allowed under this 
 16.34  section.  The rent payments under this section and the sales tax 
 16.35  exemption under section 297A.71, subdivision 33, constitute the 
 16.36  state's contribution to the financing of the stadium and may not 
 17.1   be counted as part of the required team contribution under 
 17.2   section 473.753, subdivision 3. 
 17.3      Subd. 2.  [REFUND CALCULATION.] (a) Upon application by the 
 17.4   professional baseball team, in a form prescribed by the 
 17.5   commissioner, the commissioner shall pay to the baseball team a 
 17.6   refund equal to the sum of the following amounts for the 
 17.7   calendar year: 
 17.8      (1)(i) the player payroll for the calendar year; 
 17.9      (ii) minus the baseline baseball payroll; 
 17.10     (iii) multiplied by the payroll percentage for baseball; 
 17.11  plus 
 17.12     (2)(i) the sales tax on ticket sales for admission to 
 17.13  professional baseball-related events at the baseball stadium; 
 17.14     (ii) plus the sales tax remitted by vendors and 
 17.15  concessionaires for sales at professional baseball-related 
 17.16  events at the stadium for the calendar year; 
 17.17     (iii) minus the baseline baseball sales tax. 
 17.18     (b) Upon application by the professional football team, in 
 17.19  a form prescribed by the commissioner, the commissioner shall 
 17.20  pay to the football team a refund equal to the sum of the 
 17.21  following amounts for the calendar year: 
 17.22     (1)(i) the player payroll for the calendar year; 
 17.23     (ii) minus the baseline football payroll; 
 17.24     (iii) multiplied by the payroll percentage for football; 
 17.25  plus 
 17.26     (2)(i) the sales tax on ticket sales for admission to 
 17.27  professional football-related events at the stadium; 
 17.28     (ii) plus the sales tax remitted by vendors and 
 17.29  concessionaires for sales in the stadium district on days when 
 17.30  professional football-related events occur at the stadium for 
 17.31  the calendar year; 
 17.32     (iii) minus the baseline football sales tax. 
 17.33     (c) The maximum amount of the refund may not exceed the 
 17.34  rent paid under subdivision 1 for the calendar year. 
 17.35     (d) If the amount of the refund for a calendar year, 
 17.36  determined before the limitation under paragraph (c), exceeds 
 18.1   the rent for the calendar year, the excess is a carryover to 
 18.2   each of the succeeding calendar years of the lease or use 
 18.3   agreement.  The entire amount of the carryover for the calendar 
 18.4   year is carried first to the earliest of the calendar years to 
 18.5   which the refund may be carried and then to each successive year 
 18.6   to which the refund may be carried.  The amount of the unused 
 18.7   refund that may be added under this paragraph may not exceed the 
 18.8   team's rent less the refund for the calendar year. 
 18.9      Subd. 3.  [DEFINITIONS.] (a) For purposes of this section, 
 18.10  the following terms the have the meanings given. 
 18.11     (b) "Commissioner" means the commissioner of revenue. 
 18.12     (c) "Baseline baseball payroll" means the amount of wages 
 18.13  paid to players of the major league baseball team that is the 
 18.14  tenant of the baseball stadium for calendar year 2003. 
 18.15     (d) "Baseline baseball sales tax" means the sales tax on 
 18.16  ticket sales for admission to professional baseball-related 
 18.17  events at the Metrodome and sales tax remitted by vendors and 
 18.18  concessionaires for sales at professional baseball-related 
 18.19  events occurring in the Metrodome for calendar year 2003. 
 18.20     (e) "Baseline football payroll" means the amount of wages 
 18.21  paid to players of the National Football League team that is the 
 18.22  tenant of the football stadium for the last calendar year in 
 18.23  which the team played in the Metrodome. 
 18.24     (f) "Baseline football sales tax" means the annual average 
 18.25  for calendar years 2002 to 2004 of the sum of sales tax: 
 18.26     (1) on ticket sales for admission to professional 
 18.27  football-related events; and 
 18.28     (2) remitted by vendors and concessionaires for sales 
 18.29  professional football-related events at the Metrodome. 
 18.30     (g) "Payroll percentage" means the commissioner's estimate 
 18.31  of the percentage, computed for taxable years beginning during 
 18.32  calendar year 2003, that Minnesota individual income taxes paid 
 18.33  by players of both the Minnesota-based franchise and visiting 
 18.34  teams of the applicable professional league is of total wages 
 18.35  paid to players of the Minnesota-based franchise.  The payroll 
 18.36  percentage must be computed separately for the major league 
 19.1   baseball franchise and for the national football league 
 19.2   franchise. 
 19.3      (h) "Player payroll" means the amount of wages paid by the 
 19.4   major league baseball team to its players who are on its major 
 19.5   league roster for the calendar year and by the national football 
 19.6   league team to its players for the calendar year. 
 19.7      (i) "Sales tax" means the state sales tax imposed under 
 19.8   chapter 297A. 
 19.9      (j) "Stadium district" means a district, containing the 
 19.10  professional football stadium and consisting of no more than 175 
 19.11  acres, that is designated by the authority and the host 
 19.12  community. 
 19.13     (k) "Wages" means wages subject to the hospital insurance 
 19.14  tax under section 3101(b) of the Internal Revenue Code of 1986, 
 19.15  as amended. 
 19.16     Subd. 4.  [INFLATION OF ADJUSTMENT OF BASELINES.] In 
 19.17  computing the refund for a year, the commissioner shall adjust 
 19.18  the baseline amounts for inflation using the index and methods 
 19.19  provided under section 290.06, subdivision 2d. 
 19.20     Subd. 5.  [USE OF PAYMENTS.] Rent paid under this section 
 19.21  is pledged and must be used to pay bonds issued by the 
 19.22  Metropolitan Council under section 473.757. 
 19.23     Subd. 6.  [DUE DATE; INTEREST.] The commissioner shall pay 
 19.24  refunds under this section by no later than April 1 following 
 19.25  the end of the calendar year or 90 days after filing of the 
 19.26  application for the refund, whichever is later.  Interest is 
 19.27  payable at the rate under section 270.76 from the due date of 
 19.28  the refund. 
 19.29     Subd. 7.  [COMMISSIONER AUTHORITY.] (a) The commissioner 
 19.30  may require the teams to provide any documentation or 
 19.31  information necessary or useful in determining the refund under 
 19.32  this section.  The commissioner may disallow all or part of a 
 19.33  refund, if the commissioner determines that the team has not 
 19.34  complied with the requirements of this subdivision and the 
 19.35  commissioner cannot determine or verify the amount of the refund.
 19.36  Amounts withheld under this authority do not accrue interest. 
 20.1      (b) The commissioner's determination of the refund amount 
 20.2   is final and subject to appeal to the tax court. 
 20.3      Subd. 8.  [APPROPRIATION.] An amount sufficient to pay the 
 20.4   refunds under this section is appropriated to the commissioner 
 20.5   from the general fund. 
 20.6      Sec. 13.  [473.757] [SECURITY.] 
 20.7      Subdivision 1.  [BONDS.] The Metropolitan Council, on 
 20.8   behalf of the Minnesota Stadium Authority, may by resolution 
 20.9   authorize the sale and issuance of its bonds for any or all of 
 20.10  the following purposes: 
 20.11     (1) to provide funds to predesign, design, acquire, 
 20.12  construct, furnish, equip, and otherwise better the sports 
 20.13  facilities owned or to be owned by the authority pursuant to 
 20.14  this article; 
 20.15     (2) to refund bonds issued hereunder; and 
 20.16     (3) to fund judgments entered by any court against the 
 20.17  authority or against the council in matters relating to the 
 20.18  authority's functions related to the sports facilities. 
 20.19     Subd. 2.  [PROCEDURE.] The bonds must be sold, issued, and 
 20.20  secured in the manner provided in chapter 475, for bonds payable 
 20.21  solely from revenues, except as otherwise provided in sections 
 20.22  473.75 to 473.758, and the council has the same powers and 
 20.23  duties as a municipality and its governing body in issuing bonds 
 20.24  under that chapter.  The bonds may be sold at any price and at 
 20.25  public or private sale as determined by the council.  They must 
 20.26  be payable solely from tax and other revenues referred to in 
 20.27  this article.  The bonds are not a general obligation or debt of 
 20.28  the council or of the authority, and are not included in the net 
 20.29  debt of any city, county, or other subdivision of the state for 
 20.30  the purpose of any net debt limitation.  No election is required.
 20.31     Subd. 3.  [LIMITATIONS.] (a) The principal amount of the 
 20.32  bonds issued under subdivision 1, clause (1), are limited to the 
 20.33  amounts authorized in this subdivision.  If the authority's 
 20.34  proposal and the construction contracts referred to in sections 
 20.35  473.75 to 473.758 provide for the construction of two major 
 20.36  league sports stadiums as provided in sections 473.75 to 
 21.1   473.758, the principal amount of bonds issued pursuant to 
 21.2   subdivision 1, clause (1), are limited to $478,000,000 for a 
 21.3   baseball stadium and $600,000,000 for a football stadium.  The 
 21.4   council shall issue its bonds and construction of sports 
 21.5   facilities may commence when the council has made the 
 21.6   determinations in this subdivision.  The bonds may be issued 
 21.7   separately for each stadium or in other segments as necessary or 
 21.8   desirable to accomplish the projects.  Bonds may be issued for 
 21.9   only one stadium facility after one stadium project is agreed to 
 21.10  by the parties involved so long as the amount of bonds issued 
 21.11  does not exceed the authorized principal amount for the stadium. 
 21.12  Bonds for the second stadium project may be issued when and if 
 21.13  agreement is reached as to the second stadium project.  
 21.14     (b) The authority has executed long-term lease or use 
 21.15  agreements with each team for its use of one of the stadiums as 
 21.16  provided in section 473.753, subdivision 5.  
 21.17     (c) The authority has executed agreements with each of the 
 21.18  professional baseball and football leagues as provided in 
 21.19  section 473.753, subdivisions 6 and 7. 
 21.20     (d) The proceeds of bonds provided for in this subdivision 
 21.21  will be sufficient, together with other capital funds that may 
 21.22  be available to the authority for expenditures on the sports 
 21.23  facilities, to carry out the projects for which the proceeds 
 21.24  were intended as proposed by the authority, including the 
 21.25  appropriate professional fees and charges but excluding, except 
 21.26  as otherwise provided in this subdivision, the acquisition, 
 21.27  clearance, relocation, and legal costs referred to in paragraphs 
 21.28  (e) and (f).  
 21.29     (e) The authority has acquired, without cost to the 
 21.30  authority or the council except as provided in this subdivision, 
 21.31  title to all real property including all easements and other 
 21.32  appurtenances needed for the construction and operation of the 
 21.33  stadium facilities or has received a grant of funds or has 
 21.34  entered into agreements sufficient in the judgment of the 
 21.35  council to assure the receipt of funds, at the time and in the 
 21.36  amount required, to make any payment upon which the authority's 
 22.1   acquisition of title and possession of the real property is 
 22.2   conditioned.  
 22.3      (f) The authority has received a grant of funds or entered 
 22.4   into agreements sufficient in the judgment of the council to 
 22.5   assure the receipt of funds, at the time and in the amount 
 22.6   required, to pay all costs, except as provided in this 
 22.7   subdivision, of clearing the real property needed for the 
 22.8   construction and operation of all sports facilities, railroad 
 22.9   tracks and other structures, including, without limitation, all 
 22.10  relocation costs, all utility relocation costs, and all legal 
 22.11  costs.  
 22.12     (g) The authority has executed agreements to prevent 
 22.13  strikes that would halt, delay, or impede construction of the 
 22.14  respective baseball and football facilities. 
 22.15     (h) The authority has executed agreements which will 
 22.16  provide for the construction of the sports facilities for a 
 22.17  certified construction price and completion date and which 
 22.18  include performance bonds in an amount at least equal to 100 
 22.19  percent of the certified price to cover any costs which may be 
 22.20  incurred over and above the certified price, including but not 
 22.21  limited to costs incurred by the authority or loss of revenues 
 22.22  resulting from incomplete construction on the completion date.  
 22.23     (i) The anticipated revenue from the operation of the 
 22.24  sports facilities plus any additional available revenue of the 
 22.25  authority will be an amount sufficient to pay when due all debt 
 22.26  service plus all administration, operating, and maintenance 
 22.27  expense.  
 22.28     (j) The validity of any bonds issued under subdivision 1, 
 22.29  clause (1), and the obligations of the council and authority 
 22.30  related to them, are not conditioned upon or impaired by the 
 22.31  council's determinations made pursuant to this subdivision.  For 
 22.32  purposes of issuing the bonds the determinations made by the 
 22.33  council are deemed conclusive, and the council remains obligated 
 22.34  for the security and payment of the bonds irrespective of 
 22.35  determinations which may be erroneous, inaccurate, or otherwise 
 22.36  mistaken.  
 23.1      (k) The council may not issue bonds to finance a baseball 
 23.2   stadium, until it has determined that legal arrangements are in 
 23.3   place that will provide access to at least 135 of the team's 
 23.4   games scheduled for the next major league baseball regular 
 23.5   season for 70 percent or more of the subscribers in the state to 
 23.6   cable television or satellite television service. 
 23.7      Subd. 4.  [SECURITY.] To the extent and in the manner 
 23.8   provided in sections 473.75 to 473.758, the taxes described in 
 23.9   this article, the tax and other revenues of the authority 
 23.10  described in sections 473.75 to 473.758, and any other revenues 
 23.11  of the authority attributable to the sports facilities, 
 23.12  including team and local host's communities contributions, shall 
 23.13  be and remain pledged and appropriated to the authority or to 
 23.14  the Metropolitan Council, as appropriate for the payment of all 
 23.15  necessary and reasonable expenses of the operation, 
 23.16  administration, maintenance, and debt service of the sports 
 23.17  facilities until all bonds and certificates issued under this 
 23.18  section are fully paid or discharged in accordance with law.  
 23.19  Bonds issued under this section may be secured by a bond 
 23.20  resolution, or by a trust indenture entered into by the council 
 23.21  with a corporate trustee within or outside the state, which must 
 23.22  define the tax, team and fan contributions, and other sports 
 23.23  facility revenues pledged for the payment and security of the 
 23.24  bonds.  The pledge is a valid charge on the tax and other 
 23.25  revenues referred to in sections 473.75 to 473.758 from the date 
 23.26  when bonds are first issued or secured under the resolution or 
 23.27  indenture and secures the payment of principal and interest and 
 23.28  redemption premiums when due and the maintenance at all times of 
 23.29  a reserve securing such payments.  No mortgage of or security 
 23.30  interest in any tangible real or personal property may be 
 23.31  granted to the bondholders or the trustee, but they have a valid 
 23.32  security interest in all tax and other revenues received and 
 23.33  accounts receivable by the authority or council hereunder, as 
 23.34  against the claims of all other persons in tort, contract, or 
 23.35  otherwise, irrespective of whether the parties have notice 
 23.36  thereof, and without possession or filing as provided in the 
 24.1   Uniform Commercial Code or any other law.  In the bond 
 24.2   resolution or trust indenture the council may make covenants, 
 24.3   which are binding upon the authority, as are determined to be 
 24.4   usual and reasonably necessary for the protection of the 
 24.5   bondholders.  No pledge, mortgage, covenant, or agreement 
 24.6   securing bonds may be impaired, revoked, or amended by law or by 
 24.7   action of the council, authority, site city or county, except in 
 24.8   accordance with the terms of the resolution or indenture under 
 24.9   which the bonds are issued, until the obligations of the council 
 24.10  thereunder are fully discharged. 
 24.11     Subd. 5.  [NO FULL FAITH AND CREDIT.] Any bonds or other 
 24.12  obligations issued by the council under sections 473.75 to 
 24.13  473.758 are not public debt of the state, and the full faith and 
 24.14  credit and taxing powers of the state are not pledged for their 
 24.15  payment or of any payments that the state agrees to make under 
 24.16  sections 473.75 to 473.758. 
 24.17     Subd. 6.  [AUTHORITY NOT AFFECTED BY TAXABILITY OF 
 24.18  INTEREST.] The bonds authorized by sections 473.75 to 473.758 
 24.19  may be issued without regard to whether the interest to be paid 
 24.20  on them is gross income for federal tax purposes. 
 24.21     Sec. 14.  [473.758] [NEGOTIATION DEADLINE.] 
 24.22     The authority to negotiate and enter into agreements with 
 24.23  the teams and host communities under sections 473.75 to 473.758 
 24.24  expires December 31, 2004, for baseball and July 1, 2005, for 
 24.25  football except for amendments to initial agreements determined 
 24.26  by the authority to be necessary. 
 24.27     Sec. 15.  [REPEALER.] 
 24.28     Minnesota Statutes 2002, sections 473I.01; 473I.02; 
 24.29  473I.03; 473I.04; 473I.05; 473I.06; 473I.07; 473I.08; 473I.09; 
 24.30  473I.10; 473I.11; 473I.12; and 473I.13, are repealed. 
 24.31     Sec. 16.  [EFFECTIVE DATE.] 
 24.32     This article is effective the day following final enactment.
 24.33                             ARTICLE 2 
 24.34                  UNIVERSITY OF MINNESOTA STADIUM 
 24.35     Section 1.  [PURPOSE; FINDINGS.] 
 24.36     The legislature finds that construction of a new football 
 25.1   stadium by the Board of Regents of the University of Minnesota 
 25.2   on the University's east bank campus in the city of Minneapolis 
 25.3   serves statewide public purposes.  The legislature finds that 
 25.4   the public purposes served include, but are not limited to, 
 25.5   providing an on-campus outdoor intercollegiate football stadium 
 25.6   as a part of the public amenities for Minnesota's citizens, 
 25.7   enhancing the enjoyment of its citizens, and enhancing the 
 25.8   University experience for students, alumni, faculty, staff, and 
 25.9   other supporters of the University.  The legislature finds that 
 25.10  the University intends to join together with its students, 
 25.11  alumni, faculty, staff, and other supporters to raise funds to 
 25.12  build a stadium to return college football to the University 
 25.13  campus.  Further, the legislature finds that construction of a 
 25.14  University of Minnesota football stadium should be supported by 
 25.15  the state and that the support should not detract from or be a 
 25.16  substitute for other operating and capital support by the state 
 25.17  for the University; however, state financial support for the 
 25.18  stadium should be conditioned upon the University providing for 
 25.19  payment of a significant portion of the stadium's cost from 
 25.20  nonstate general revenue fund sources.  The purpose of this 
 25.21  article is to provide a firm 25 percent level of funding for a 
 25.22  new University football stadium to be constructed and owned by 
 25.23  the Board of Regents of the University of Minnesota. 
 25.24     Sec. 2.  [DEFINITIONS.] 
 25.25     Subdivision 1.  [APPLICABILITY.] The definitions in this 
 25.26  section apply to sections 1 to 8. 
 25.27     Subd. 2.  [COMMISSION.] "Commission" means the Metropolitan 
 25.28  Sports Facilities Commission. 
 25.29     Subd. 3.  [COMMISSIONER.] "Commissioner" means the 
 25.30  commissioner of finance. 
 25.31     Subd. 4.  [STADIUM.] "Stadium" means an athletic stadium 
 25.32  suitable for intercollegiate National Collegiate Athletic 
 25.33  Association (NCAA) Division I football games and related 
 25.34  infrastructure improvements constructed on the University of 
 25.35  Minnesota's east bank campus in the city of Minneapolis. 
 25.36     Subd. 5.  [BOARD.] "Board" means the Board of Regents of 
 26.1   the University of Minnesota. 
 26.2      Sec. 3.  [ACTIVITIES; CONTRACTS.] 
 26.3      In addition to the powers it already has under the 
 26.4   constitution and laws of the state, the legislature recognizes 
 26.5   that the board has all powers necessary or convenient for 
 26.6   designing, constructing, equipping, improving, controlling, 
 26.7   operating, and maintaining the stadium and may enter into 
 26.8   contracts that are in its judgment in the best interests of the 
 26.9   public for those purposes.  Notwithstanding contrary law, the 
 26.10  board may adopt the fair and competitive design and construction 
 26.11  procurement procedures in connection with the stadium that it 
 26.12  considers to be in the public interest.  Minnesota Statutes, 
 26.13  sections 16B.33 and 16B.335, do not apply to the stadium. 
 26.14     Sec. 4.  Minnesota Statutes 2002, section 297A.71, is 
 26.15  amended by adding a subdivision to read: 
 26.16     Subd. 34.  [CONSTRUCTION MATERIALS; UNIVERSITY OF MINNESOTA 
 26.17  FOOTBALL STADIUM.] Materials, supplies, or equipment used or 
 26.18  consumed in connection with the construction, equipping, or 
 26.19  improvement of a football stadium constructed for use by the 
 26.20  University of Minnesota are exempt.  This subdivision expires 
 26.21  one year after substantial completion of the football stadium. 
 26.22     Sec. 5.  [ENVIRONMENTAL REVIEW.] 
 26.23     The legislature requests that the board undertake an 
 26.24  environmental review of the stadium project and perform the 
 26.25  responsibilities of the responsible governmental unit as 
 26.26  prescribed in the Minnesota Environmental Policy Act, Minnesota 
 26.27  Statutes, chapter 116D, and the rules adopted under that 
 26.28  chapter.  The designation of the board to serve as the 
 26.29  responsible governmental unit is effective upon approval by the 
 26.30  board authorizing the University to act in that capacity. 
 26.31     Sec. 6.  [CONDITIONS FOR PAYMENT TO UNIVERSITY.] 
 26.32     It is the intent of the legislature to provide state funds 
 26.33  for the construction of an athletic stadium suitable for 
 26.34  intercollegiate National Collegiate Athletic Association (NCAA) 
 26.35  Division I football games on the University of Minnesota's east 
 26.36  bank campus in the city of Minneapolis.  Upon certification by 
 27.1   the commissioner that the board has received at least 
 27.2   $133,100,000 in pledges, gifts, sponsorships, and other nonstate 
 27.3   general fund revenue support for the construction of the 
 27.4   stadium, the commissioner shall include a recommendation by the 
 27.5   governor at the start of the next scheduled legislative session 
 27.6   for state funding of the remaining costs of the stadium up to a 
 27.7   maximum of $89,000,000.  
 27.8      Sec. 7.  [COOPERATION REQUIRED.] 
 27.9      Local units of government affected by the stadium project 
 27.10  must cooperate with the University to the greatest practical 
 27.11  extent in facilitating the development, construction, and 
 27.12  operation of the stadium. 
 27.13     Sec. 8.  [473.5955] [TERMINATION OF LEASE.] 
 27.14     The lease between the Board of Regents of the University of 
 27.15  Minnesota and the commission dated May 19, 1982, that requires 
 27.16  the University of Minnesota football team to play its home 
 27.17  football games at the Hubert H. Humphrey Metrodome until July 1, 
 27.18  2012, may be terminated by the Board of Regents effective on or 
 27.19  after the date designated by the Board of Regents as the date of 
 27.20  completion of the stadium. 
 27.21     Sec. 9.  [EFFECTIVE DATE.] 
 27.22     Sections 1 to 8 are effective the day following final 
 27.23  enactment.