1.1 	A bill for an act
1.2 	relating to capital improvements; authorizing the
1.3 	issuance of state bonds; appropriating money for
1.4 	University of Minnesota capital projects.
1.5 	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

1.6 	Section 1. APPROPRIATION.
 1.7 		Subdivision 1.Total. $115,567,000 is appropriated from
1.8 	the bond proceeds fund to the Board of Regents of the University
1.9 	of Minnesota for the capital projects specified in this section.
1.10 	Subd. 2.[HIGHER EDUCATION ASSET PRESERVATION AND
1.11 	REPLACEMENT (HEAPR).] $50,000,000 is for Higher Education Asset
1.12 	Preservation and Replacement (HEAPR) to be spent in accordance
1.13 	with Minnesota Statutes, section 135A.046.
1.14 		Subd. 3.Duluth campus. $18,767,000 is for the Duluth
1.15 	Campus as follows:
1.16 	(a) $9,300,000 is for the Life Science Building to design,
1.17 	renovate, furnish, and equip the Life Science Building for the
1.18 	pharmacy program and other academic programs on the Duluth
1.19 	campus.  The renovation may include, but is not limited to,
1.20 	improvements to correct air quality problems, life safety and
1.21 	accessibility code deficiencies, asbestos, and fireproofing of
1.22 	the facility.
1.23 	(b) $8,000,000 is for the Recreational Sports Addition to
1.24 	construct, furnish, and equip the recreational sports facility,
1.25 	an addition to the existing sports and health center.  The
2.1 	facility will include fitness and conditioning space,
2.2 	multipurpose recreational space, and office space.
2.3 	(c) $1,467,000 is to design a new building for the Labowitz
2.4 	School of Business and Economics.  The building will include
2.5 	classrooms, offices, teaching laboratories, student services,
2.6 	and administrative support space.
2.7 		Subd. 4.Morris campus - district heating and football
2.8 	stadium. $5,333,000 is for the Morris Campus to design,
2.9 	construct, and equip an addition to the heating plant to provide
2.10 	the capability to burn biomass fuel to produce steam, and to
2.11 	construct a football stadium to be shared with the Morris School
2.12 	District.
2.13 		Subd. 5.Twin cities campus - minneapolis. $41,467,000
2.14 	is for the Twin Cities Campus - Minneapolis, as follows:
2.15 	(a) $16,000,000 is to design, renovate, furnish, and equip
2.16 	Kolthoff Hall and to correct air quality problems in the
2.17 	facility that may include, but are not limited to, repair or
2.18 	replacement of the mechanical, electrical, and HVAC systems.
2.19 	(b) $13,300,000 is for Education Sciences to design,
2.20 	renovate, furnish, and equip the Education Sciences Building.
2.21 	(c) $10,500,000 is for the Academic Health Center to
2.22 	design, renovate, furnish, and equip classrooms and laboratories.
2.23 	(d) $1,667,000 is for the Carlson School Expansion to
2.24 	design a new instructional facility adjacent to the existing
2.25 	Carlson School of Management, to include undergraduate
2.26 	classrooms for the Carlson School and the College of Liberal
2.27 	Arts, undergraduate computer laboratories, and offices for the
2.28 	Carlson School's undergraduate student support services programs.
2.29 		Subd. 6.University share. Except for higher education
2.30 	asset preservation and replacement, the appropriations in this
2.31 	section are intended to cover approximately two-thirds of the
2.32 	cost of each project.  The remaining costs must be paid from
2.33 	university sources.
2.34 		Subd. 7.Contingencies. The commissioner of finance must
2.35 	combine into one account, under the control of the Board of
2.36 	Regents, the portion of each appropriation in this section that
3.1 	is attributable to the amount budgeted for contingencies for
3.2 	projects in this section.  The board must manage the account to
3.3 	pay for exceptional but necessary costs of projects authorized
3.4 	in this section.  Upon substantial completion or abandonment of
3.5 	all projects authorized in this section, the board must use any
3.6 	funds remaining in the contingency account for HEAPR under
3.7 	Minnesota Statutes, section 135A.046.  The Board of Regents must
3.8 	report by February 1 of each even-numbered year to the chairs of
3.9 	the house and senate committees with jurisdiction over capital
3.10 	investments and higher education finance, and to the chairs of
3.11 	the house Ways and Means Committee and the senate Finance
3.12 	Committee on how the money in the contingency account has been
3.13 	allocated or spent.

3.14 	Sec. 2. BOND SALE.
 3.15 	To provide the money appropriated in this act from the bond
3.16 	proceeds fund, the commissioner of finance shall sell and issue
3.17 	bonds of the state in an amount up to $115,567,000 in the
3.18 	manner, upon the terms, and with the effect prescribed by
3.19 	Minnesota Statutes, sections 16A.631 to 16A.675, and by the
3.20 	Minnesota Constitution, article XI, sections 4 to 7.

3.21 	Sec. 3. EFFECTIVE DATE.
 3.22 	Sections 1 and 2 are effective the day following final
3.23 	enactment.