1.1A bill for an act1.2relating to capital investment; authorizing spending to acquire and better public 1.3land and buildings and other improvements of a capital nature; authorizing the 1.4issuance of state bonds; appropriating money for higher education, economic 1.5development, and public facilities capital projects; establishing programs; 1.6modifying appropriations;amending Laws 2003, First Special Session chapter 1.720, article 1, section 12, subdivision 3; Laws 2005, chapter 20, article 1, section 1.823, subdivision 8; Laws 2006, chapter 258, section 21, subdivisions 6, 15; 1.9proposing coding for new law in Minnesota Statutes, chapter 469.1.10BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:1.11ARTICLE 11.12APPROPRIATIONS

1.13Section 1. CAPITAL IMPROVEMENT APPROPRIATIONS.

1.14    The sums shown in the column under "Appropriations" are appropriated from the 1.15bond proceeds fund, or another named fund, to the state agencies or officials indicated, 1.16to be spent for public purposes. Appropriations of bond proceeds must be spent as 1.17authorized by the Minnesota Constitution, article XI, section 5, paragraph (a), to acquire 1.18and better public land and buildings and other public improvements of a capital nature, or 1.19as authorized by the Minnesota Constitution, article XI, section 5, paragraphs (b) to (j), or 1.20article XIV. Unless otherwise specified, the appropriations in this act are available until 1.21the project is completed or abandoned subject to Minnesota Statutes, section 16A.642.

1.22APPROPRIATIONS

1.23ARTICLE 21.24HIGHER EDUCATION

1.25Section 1. UNIVERSITY OF MINNESOTA

2.1Subdivision 1.Total Appropriation$226,358,000

2.2To the Board of Regents of the University 2.3of Minnesota for the purposes specified in 2.4this section.

2.52.6Subd. 2.Higher Education Asset Preservation and Replacement (HEAPR)100,000,000

2.7To be spent in accordance with  Minnesota 2.8Statutes, section 135A.046. 

2.9Subd. 3.Duluth Campus

2.10Civil Engineering Addition10,000,000

2.11To design, construct, furnish, and equip 2.12an addition to Voss-Kovach Hall on the 2.13University of Minnesota Duluth campus for 2.14the Department of Civil Engineering. The 2.15addition will include teaching laboratories, 2.16research laboratories, classrooms, and 2.17administrative offices.

2.182.19Subd. 4.Morris Campus Community Services Building Renovation5,000,000

2.20To design, construct, furnish, and equip 2.21a renovation of the Community Services 2.22Building on the University of Minnesota 2.23Morris campus to serve as the campus 2.24gateway center. This appropriation includes 2.25money to improve infrastructure required to 2.26serve the renovated building.

2.27Subd. 5.Twin Cities Campus

2.28(a) Science Teaching Student Services48,333,000

2.29To design, construct, furnish, and equip a 2.30new science teaching and student services 2.31building on the Twin Cities campus near 2.32the Washington Avenue Bridge. This 2.33appropriation includes money to demolish 3.1the existing science classroom building and 3.2to construct infrastructure required to serve 3.3the new building.

3.4(b) Bell Museum24,000,000

3.5To design, construct, furnish, and equip a 3.6new Bell Museum of Natural History on the 3.7St. Paul Campus as the state's official natural 3.8history center, a repository for a collection 3.9documenting Minnesota's biodiversity and 3.10a research museum.

3.11(c) Folwell Hall26,000,000

3.12To design, construct, furnish, and equip a 3.13renovation of Folwell Hall on the University 3.14of Minnesota Twin Cities campus to better 3.15serve language instruction and to house the 3.16university's writing programs.

3.17Subd. 6.Research and Outreach Centers3,733,000

3.183.19(a) Northwest Research and Outreach Center, Crookston

3.20To design, construct, furnish, and equip new 3.21maintenance and farm support facility.

3.223.23(b) West Central research and Outreach Center, Morris

3.24Administration Building

3.25To construct, furnish, and equip an addition 3.26to the administration building for research 3.27in renewable energy.

3.28Milking Facility and Pasture

3.29To predesign, design, construct, furnish, and 3.30equip a milking facility for an organic dairy 3.31herd and to improve pasture land.3.32The Board of Regents shall report to the 3.33legislative committees with jurisdiction over 4.1higher education and agriculture by June 4.215, 2008, on the University Agriculture 4.3Experiment Station and Minnesota Extension 4.4Service's work to promote alternative 4.5livestock research and outreach, and for 4.6an ongoing organic research and education 4.7program, funded in Laws 2007, chapter 144, 4.8article 1, section 5, subdivision 4.

4.9Subd. 7.Classroom Renewal2,000,000

4.10To renovate, furnish, equip, and upgrade 4.11instructional spaces on all university 4.12campuses, including technology upgrades 4.13and accessibility improvements to provide 4.14quality teaching and learning environments.

4.15Subd. 8.Laboratory Renovation6,667,000

4.16To renovate, furnish, equip, and upgrade 4.17research laboratories on all university 4.18campuses.

4.19Subd. 9.Wildlife Rehabilitation Center625,000

4.20For a grant to the Wildlife Rehabilitation 4.21Center of Minnesota to retire construction 4.22loans incurred by the Wildlife Rehabilitation 4.23Center of Minnesota for construction of 4.24its facility in the city of Roseville, and 4.25for completion of educational technology 4.26infrastructure at the center.

4.274.28Subd. 10.University of Minnesota Biomedical Sciences Facilities Funding

4.29Funding for the University of Minnesota 4.30Biomedical Science Facilities in H. F. 3166 4.31is supported with the following conditions:4.32(1) the Board of Regents must be responsible 4.33for one-third of the total project costs and the 4.34state of Minnesota must be responsible for 5.1debt service on bonds issued to support the 5.2biomedical science facilities; and5.3(2) the Board of Regents must, as permitted 5.4under federal law, dedicate a share of the 5.5proceeds from any commercialization or 5.6licensing revenues attributable to research 5.7conducted in the biomedical science facilities 5.8to reduce the state's share of debt service for 5.9the facilities.

5.10Subd. 11.University Share

5.11Except for Higher Education Asset 5.12Preservation and Replacement (HEAPR) 5.13under subdivision 2, the appropriations in this 5.14section are intended to cover approximately 5.15two-thirds of the cost of each project. The 5.16remaining costs must be paid from university 5.17sources.

5.18Subd. 12.Unspent Appropriations

5.19Upon substantial completion of a project 5.20authorized in this section and after written 5.21notice to the commissioner of finance, the 5.22Board of Regents must use any money 5.23remaining in the appropriation for that 5.24project for HEAPR under Minnesota 5.25Statutes, section 135A.046. The Board 5.26of Regents must report by February 1 of 5.27each even-numbered year to the chairs 5.28of the house and senate committees with 5.29jurisdiction over capital investments and 5.30higher education finance, and to the chairs of 5.31the house Ways and Means Committee and 5.32the senate Finance Committee, on how the 5.33remaining money has been allocated or spent.

6.16.2Sec. 2. MINNESOTA STATE COLLEGES AND UNIVERSITIES

6.3Subdivision 1.Total Appropriation$364,130,000

6.4To the Board of Trustees of the Minnesota 6.5State Colleges and  Universities for the 6.6purposes specified in  this section

6.76.8Subd. 2.Higher Education Asset  Preservation and Replacement110,000,000

6.9This appropriation is for the purposes 6.10specified in Minnesota Statutes, section 6.11135A.046.

6.12Subd. 3.Minnesota State University Mankato25,500,000

6.13Trafton Science Center Renovation6.14To construct, furnish, and equip a renovation 6.15of the south and center sections of Trafton 6.16Science Center. This appropriation includes 6.17funding to renovate the roof, exterior 6.18masonry, and outdoor plaza.

6.19Subd. 4.St. Cloud State University14,800,000

6.20Brown Hall Science Renovation6.21To complete design, construct, furnish, 6.22and equip a renovation of Brown Hall for 6.23classrooms and other instructional and 6.24ancillary spaces. This appropriation includes 6.25funding to reglaze the existing skyway from 6.26the building and to construct a new skyway 6.27to Centennial Hall.

6.28Subd. 5.St. Paul College13,500,000

6.29Transportation and Applied Technology 6.30Lab6.31To construct, furnish, and equip the 6.32renovation of classrooms, the transportation, 6.33and applied technology and trades 7.1laboratories on the ground floor, and an 7.2expansion of the truck mechanics shop.

7.3Subd. 6.Bemidji State University8,900,000

7.4Sattgast Science Building Addition and 7.5Renovation7.6To construct, furnish, and equip an addition 7.7to and renovation of the Sattgast Science 7.8Building for biology and chemistry labs, 7.9science classrooms, and associated spaces.

7.10Subd. 7.Normandale Community College7,000,000

7.11Classroom Addition and Renovation7.12To complete the design, construct, furnish, 7.13and equip an addition to and renovation 7.14of the Health and Wellness Building for 7.15general classrooms, and to renovate physical 7.16education spaces. This appropriation 7.17includes funding to install an elevator to 7.18make the building ADA accessible.

7.19Subd. 8.Inver Hills Community College13,200,000

7.20Classroom Addition and Renovation7.21To construct, furnish, and equip a classroom 7.22addition to and renovation of the Fine Arts 7.23Building to include classrooms, teaching 7.24labs, and a renovated auditorium. This 7.25appropriation includes funding to demolish 7.26obsolete space in the building. College funds 7.27may be added to this appropriation up to a 7.28total project cost of $13,450,000.

7.29Subd. 9.North Hennepin Community College13,300,000

7.307.31Business and Technical Addition and Renovation

7.32To construct furnish and equip an addition 7.33to the center for business and technology 8.1building and to renovate, furnish and equip 8.2the existing building.

8.38.4Subd. 10.Northland Community and Technical College7,800,000

8.5Classroom Addition and Renovation

8.6To renovate, furnish, and equip existing 8.7space, and to construct, furnish, and equip an 8.8addition for health care classrooms and labs 8.9for the nursing and allied health programs at 8.10the East Grand Forks campus.

8.118.12Subd. 11.Minnesota State University, Moorhead13,100,000

8.13Lommen Hall Renovation

8.14To renovate, construct, furnish, and equip 8.15Lommen Hall for academic purposes, 8.16including improved classrooms and labs.

8.17Subd. 12.Century College

8.18Classroom and Student Support Space7,900,000

8.19To design, renovate, furnish, and equip 8.20phase 2 of the science and library project to 8.21renovate existing spaces for classrooms, labs 8.22and offices.

8.238.24Subd. 13.Southwest Minnesota State University

8.25Lab Renovation9,000,000

8.26To renovate, furnish and equip teaching 8.27labs in the Individualized Learning Center 8.28for hotel and restaurant administration and 8.29to renovate, furnish and equip biology and 8.30chemistry labs.

8.318.32Subd. 14.Lake Superior Community and Technical College

8.33Health and Science Center Addition11,000,000

9.1To construct, furnish and equip a health 9.2and science center addition and to renovate 9.3existing spaces as phase 1 and to design 9.4phase 2 renovation of existing spaces vacated 9.5by health and science.

9.6Subd. 15.Metropolitan State University

9.7(a) Classroom Center Addition4,980,000

9.8To construct, renovate, furnish and equip 9.9the final phase of the St. Paul campus quad 9.10development. This appropriation includes 9.11funding to demolish the power plant annex 9.12to enable the new construction.

9.13(b) Law Enforcement Center Addition13,900,000

9.14To design, construct, furnish and equip a 9.15regional law enforcement training facility 9.16for all metro area public higher education 9.17institutions, to be located on the campus of 9.18Hennepin Technical College at Brooklyn 9.19Park.

9.20Subd. 16.Alexandria Technical College

9.21Law Enforcement Center Addition10,500,000

9.22To design, construct, furnish, and equip 9.23a law enforcement center addition and to 9.24renovate, furnish, and equip existing space 9.25for a teaching lab and general classrooms.

9.269.27Subd. 17.Mesabi Range Community and Technical College5,000,000

9.28Shop Space Addition and Renovation

9.29To construct, furnish and equip shop space 9.30for the industrial mechanical technology 9.31and carpentry programs. This appropriation 9.32includes funding for renovation of existing 9.33space for ADA compliance.

10.1Subd. 18.Winona State University

10.2Memorial Hall Addition and Renovation8,400,000

10.3To construct, furnish, and equip a renovation 10.4and expansion of Memorial Hall to house the 10.5Health and Wellness Center.

10.610.7Subd. 19.Minnesota State Community and Technical College, Moorhead

10.810.9Trades Addition and Classroom-Library Design2,800,000

10.10To design, construct, furnish and equip an 10.11addition for the mechanical construction 10.12trades, and to design a classroom-library 10.13addition. This appropriation includes 10.14funding to demolish an obsolete building for 10.15placement of the classroom-library addition.

10.16Subd. 20.Anoka-Ramsey Community College

10.17Classroom Building Addition3,800,000

10.18To design, construct, furnish, and equip an 10.19addition for classrooms and offices and to 10.20design a phase 2 renovation of the industrial 10.21arts and music facility.

10.22Subd. 21.Hennepin Technical College2,400,000

10.2310.24Science Addition and Library and Student Service Design

10.25To design, renovate, furnish and equip 10.26existing space at the Eden Prairie campus for 10.27science labs and shared classrooms, and to 10.28design a renovation of existing space at the 10.29Brooklyn Park and Eden Prairie campuses 10.30for a library and student services.

10.3110.32Subd. 22.Minneapolis Community and Technical College

10.3310.34Workforce Program and Infrastructure Renovation700,000

11.1To design the renovation of instructional 11.2space, support space and infrastructure for the 11.3workforce program, technical programs and 11.4an upgrade of the T-building infrastructure.

11.5Subd. 23.Ridgewater College; Willmar

11.6Technical Instruction Design and Construction3,500,000

11.7To design, construct, furnish and equip 11.8new instructional space, including "smart" 11.9classrooms, and to renovate, furnish and 11.10equip existing instructional space. This 11.11appropriation includes funding to demolish 11.12outdated structures.

11.1311.14Subd. 24.Minnesota West Community and Technical College; Worthington

11.15Fieldhouse Renovation and Addition4,000,000

11.16To design, construct, furnish and equip an 11.17addition to and renovation of the fieldhouse.

11.18Subd. 25.South Central College.

11.19Classroom Renovation and Design700,000

11.20To design the addition to and renovation of 11.21existing space for technical instructional 11.22space, labs and classrooms and the demolition 11.23of obsolete space.

11.2411.25Subd. 26.Owatonna College and University Center.

11.26Property Acquisition 3,500,000

11.27To acquire the currently leased Owatonna 11.28College and University Center Building in 11.29Steele County, including the purchase of 11.30adjacent vacant land.

11.3111.32Subd. 27.North Hennepin Community College and Anoka Ramsey Community College.

11.33Collaborative Bioscience and Health Education1,900,000

12.1For predesign and schematic design for 12.2facilities to expand collaborative bioscience 12.3and health careers education.

12.412.5Subd. 28.Minnesota State University, Moorhead

12.6Livingston Lord Library700,000

12.7To design the renovation of Livingston Lord 12.8Library, including infrastructure replacement.

12.912.10Subd. 29.Southwest Minnesota State University

12.11Science Labs Renovation300,000

12.12To design, through construction documents, 12.13the renovation of science labs in the Science 12.14and Math building and to design an addition 12.15to the plant science learning center.

12.16Subd. 30.St. Cloud State University

12.1712.18Integrated Science and Engineering Laboratory1,900,000

12.19To design a new integrated science and 12.20engineering laboratory facility, including 12.21flexible teaching and research laboratories 12.22and academic support space.

12.23Subd. 31.Dakota County Technical College.

12.24Transportation and Emerging Technologies300,000

12.25To design renovation of existing space for 12.26transportation related program areas and 12.27emerging technology fields. 

12.28Subd. 32.St. Cloud Technical College.

12.29Allied Health Building Renovation300,000

12.30To design the renovation of existing space in 12.31the Allied Health Building into a state of the 12.32art medical training facility.

13.113.2Subd. 33.Rochester Community and Technical College.

13.3Workforce Center Colocation2,500,000

13.4To design an addition to the Heintz Center 13.5for co location of a workforce center, a 13.6career and technical education center, and for 13.7classroom renovation. 

13.8Subd. 34.Systemwide Initiatives

13.9(a) Science Lab Initiatives5,775,000

13.10To design, renovate, furnish, and equip 13.11teaching laboratories and classrooms for 13.12science and applied technology at campuses 13.13statewide. Campuses may use nonstate 13.14funds to increase the size of the projects. 13.15This appropriation may be used at the 13.16following campuses: Alexandria Technical 13.17College; Anoka Technical College; Anoka 13.18Ramsey Community College; Bemidji State 13.19University; Central Lakes College, Brainerd; 13.20Century College; Inver Hills Community 13.21College; Hennepin Technical College, 13.22Brooklyn Park and Eden Prairie; Northeast 13.23Higher Education District, Vermilion 13.24Community College; and Ridgewater 13.25Community Technical College.

13.26(b) Classroom Renovations3,625,000

13.27To design, renovate, furnish and equip 13.28obsolete classroom space at campuses 13.29statewide. This appropriation may be 13.30used at the following campuses: Central 13.31Lakes College, Brainerd; Minnesota State 13.32Community and Technical College, Wadena, 13.33Moorhead and Pipestone; Northland 13.34Community and Technical College, Thief 14.1River Falls; Pine Technical College; and 14.2Rochester Community and Technical 14.3College.

14.4(c) Property Acquisition13,100,000

14.5To acquire real property adjacent to the 14.6state college and university campuses or 14.7within the boundaries of the campus master 14.8plan. This appropriation may be used at: 14.9Bemidji State University; Dakota County 14.10Technical College; Fond du Lac Tribal 14.11and Community College; Metropolitan 14.12State University; Minnesota State College 14.13Southeast Technical, Red Wing; Minnesota 14.14State Community and Technical College, 14.15Moorhead; Minnesota State University, 14.16Moorhead; North East Higher Education 14.17District, Vermillion.

14.18(d) Demolition2,830,000

14.19To demolish obsolete structures or buildings 14.20on campuses statewide. This appropriation 14.21may be used at the following campuses: 14.22Bemidji State University; Hennepin 14.23Technical College; and North East Higher 14.24Education District, Vermillion Community 14.25College.

14.2614.27Subd. 35.St. Cloud State University; National Hockey Center11,000,000

14.28To predesign, design, construct, furnish, and 14.29equip the renovation of the National Hockey 14.30Center.

14.31Subd. 36.Debt Service

14.32(a) The board shall pay the debt service on 14.33one-third of the principal amount of state 14.34bonds sold to finance projects authorized by 15.1this section, except for higher education asset 15.2preservation and replacement and except 15.3that, where a nonstate match is required, the 15.4debt service is due on a principal amount 15.5equal to one-third of the total project cost, 15.6less the match committed before the bonds 15.7are sold. After each sale of general obligation 15.8bonds, the commissioner of finance shall 15.9notify the board of the amounts assessed for 15.10each year for the life of the bonds.15.11(b) The commissioner shall reduce the 15.12board's assessment each year by one-third of 15.13the net income from investment of general 15.14obligation bond proceeds in proportion to the 15.15amount of principal and interest otherwise 15.16required to be paid by the board. The board 15.17shall pay its resulting net assessment to the 15.18commissioner of finance by December 1 each 15.19year. If the board fails to make a payment 15.20when due, the commissioner of finance 15.21shall reduce allotments for appropriations 15.22from the general fund otherwise available 15.23to the board and apply the amount of the 15.24reduction to cover the missed debt service 15.25payment. The commissioner of finance 15.26shall credit the payments received from the 15.27board to the bond debt service account in 15.28the state bond fund each December 1 before 15.29money is transferred from the general fund 15.30under Minnesota Statutes, section 16A.641, 15.31subdivision 10.

15.32Subd. 37.Unspent Appropriations

15.33(a) Upon substantial completion of a project 15.34authorized in this section and after written 15.35notice to the commissioner of finance, the 16.1Board of Trustees must use any money 16.2remaining in the appropriation for that 16.3project for HEAPR under Minnesota 16.4Statutes, section 135A.046. The Board 16.5of Trustees must report by February 1 of 16.6each even-numbered year to the chairs 16.7of the house and senate committees with 16.8jurisdiction over capital investments and 16.9higher education finance, and to the chairs of 16.10the house Ways and Means Committee and 16.11the senate Finance Committee, on how the 16.12remaining money has been allocated or spent.16.13(b) The unspent portion of an appropriation 16.14for a project in this section that is complete, 16.15is available for higher education asset 16.16preservation and replacement under this 16.17subdivision, at the same campus as the 16.18project for which the original appropriation 16.19was made and the debt service requirement 16.20under subdivision 23 is reduced accordingly. 16.21Minnesota Statutes, section 16A.642, applies 16.22from the date of the original appropriation to 16.23the unspent amount transferred. 16.24ARTICLE 316.25DEVELOPMENT

16.2616.27Section 1. EMPLOYMENT AND ECONOMIC DEVELOPMENT

16.28Subdivision 1.Total Appropriation$520,630,000

16.29To the commissioner of employment and 16.30economic development or other named 16.31agency for the purposes specified in this 16.32section.

16.3316.34Subd. 2.Greater Minnesota Business Development Infrastructure Grant Program3,000,000

17.1For grants under Minnesota Statutes, section 17.2116J.431.

17.3Subd. 3.Redevelopment Account20,000,000

17.4For purposes of the redevelopment account 17.5under Minnesota Statutes, section 116J.571.

17.617.7Subd. 4.Bioscience Business Development Public Infrastructure Grant Program7,000,000

17.8For grants under Minnesota Statutes, section 17.9116J.435.17.10Any bioscience or biotechnology project 17.11financed in whole or in part by state 17.12bond funds or other public subsidies must 17.13document how and to what it extent the 17.14project will provide a benefit to consumers 17.15in the form of more affordable pricing of 17.16the products or services being publicly 17.17subsidized. The documentation must 17.18be reported to the committees of the 17.19legislature with responsibility for economic 17.20development and to committees with 17.21responsibility for finance.

17.22Subd. 5.Biomass Heating Grants and Loans15,000,000

17.23For grants and loans for capital projects 17.24to produce heat from renewable processes 17.25under section 9.

17.2617.27Subd. 6.Transit Improvement Account; Bond Fund20,000,000

17.28For the purposes of the transit improvement 17.29area loan program under Minnesota Statutes, 17.30section 469.351.

17.3117.32Subd. 7.Duluth Entertainment and Convention Center Expansion40,283,000

17.33For a grant to the Duluth Entertainment 17.34and Convention Center Authority to 18.1design, construct, furnish, and equip capital 18.2improvements and renovations to the Duluth 18.3Entertainment and Convention Center. The 18.4capital improvements and renovations must 18.5include an arena of at least 200,000 square 18.6feet with an ice sheet of at least 200 feet 18.7by 85 feet; trade show and concert space; 18.8seating capacity of at least 6,500 with suites, 18.9club seats, and concessions; updated locker 18.10and training facilities; and accessible and 18.11expanded media space.

18.1218.13Subd. 8.Thief River Falls Pedestrian and Bicycle Paths340,000

18.14For a grant to the city of Thief River 18.15Falls to acquire land, predesign, design, 18.16construct, furnish, and equip phase 1 of 18.17the city's pedestrian and bicycle pathways 18.18system, as described in the city's adopted 18.19comprehensive plan. Phase 1 is to connect 18.20the Ralph Engelstad Arena, Arctic Cat, and 18.21Digi-Key to the city's existing Riverwalk 18.22pedestrian walkway and then to Northland 18.23Community and Technical College and the 18.24Multi-Events Center. This appropriation 18.25is not available until the commissioner of 18.26finance determines that at least $50,000 18.27is committed to the project from nonstate 18.28resources. The nonstate contribution may be 18.29in kind.

18.30Subd. 9.Pemberton Community Center200,000

18.31For a grant to the city of Pemberton to 18.32furnish and equip the renovation of the 18.33Pemberton Elementary School building into 18.34a community center.

18.35Subd. 10.Upsala Community Center500,000

19.1For a grant to the city of Upsala to construct, 19.2furnish, and equip a regional community 19.3center in the city of Upsala.

19.419.5Subd. 11.Jackson County Prairie Ecology Center2,500,000

19.6For a grant to Jackson County to design, 19.7construct, furnish, and equip a 10,500 square 19.8foot facility providing an exhibit hall, and 19.9programming, classroom, and office space 19.10for the Prairie Ecology Center to be located 19.11in Sparks County Park in Jackson County.

19.12Subd. 12.Bemidji Regional Event Center22,000,000

19.13For a grant to the city of Bemidji to acquire 19.14land, predesign, design, construct, furnish, 19.15and equip a regional event center. This 19.16appropriation is not available until the 19.17commissioner of finance determines that at 19.18least $25,000,000 is committed to the project 19.19from nonstate sources.

19.2019.21Subd. 13.Yellow Medicine County Agriculture and Transportation Museum200,000

19.22For a grant to Yellow Medicine County 19.23to upgrade the electrical system of the 19.24Yellow Medicine County Agriculture and 19.25Transportation Museum.19.26This appropriation is not available until the 19.27commissioner has determined that at least 19.28an equal amount has been committed to the 19.29project from nonstate sources.

19.3019.31Subd. 14.Koochiching County Renewable Energy Clean Air Project7,500,000

19.32For a grant to Koochiching County for a 19.33new plasma torch gasification facility to be 19.34located in International Falls. Grant money 20.1may be used to design, construct, furnish, 20.2and equip the facility.

20.320.4Subd. 15.Yellow Medicine County AgLan Centr900,000

20.5For a grant to Yellow Medicine County to 20.6design, construct, furnish, and equip the 20.7AgLan Centr, a new agricultural education 20.8and exhibit center to be located in Yellow 20.9Medicine County.

20.1020.11Subd. 16.Crookston Flood Control Project; Ice Arena Replacement12,888,000

20.12For a grant to the city of Crookston to 20.13predesign, design, construct, furnish, and 20.14equip a new ice arena complex to replace 20.15the existing one that will be removed to 20.16accommodate a flood control project. This 20.17appropriation is not available until the 20.18commissioner of finance determines that at 20.19least $1,720,825 has been committed to the 20.20project from nonstate sources.

20.2120.22Subd. 17.Mankato Theater and Hockey Exposition Center1,200,000

20.23For a grant to the city of Mankato to 20.24predesign and design a performing arts 20.25theater and Southern Minnesota Women's 20.26Hockey Exposition Center attached to the 20.27Mankato Civic Center for use by Minnesota 20.28State University, Mankato.20.29This appropriation is not available until the 20.30commissioner has determined that at least 20.31an equal amount has been committed to the 20.32project from nonstate sources.

20.3320.34Subd. 18.Cold Spring Downtown Riverfront Redevelopment2,118,000

21.1For a grant to the city of Cold Spring to 21.2acquire land for, and to predesign, design, 21.3construct, furnish, and equip public facilities 21.4located in the city of Cold Spring, including: 21.5expanded docking facilities; a community 21.6center housing the Cold Spring Public 21.7Library, the Cold Spring History Museum, 21.8and a senior center; a riverfront promenade 21.9connecting Lions Park to Frogtown Park; a 21.10regional trail head park and shelter; and a 21.11canoe portage route.

21.12Subd. 19.Paynesville Washburne Avenue925,000

21.13For a grant to the city of Paynesville to 21.14acquire land for, and to design and construct 21.15infrastructure improvements to, Washburne 21.16Avenue in the city of Paynesville connecting 21.17the downtown and industrial park areas to 21.18the new Trunk Highway 23 route.

21.1921.20Subd. 20.Rochester Mayo Civic Center Complex37,500,000

21.21For a grant to the city of Rochester to design, 21.22construct, furnish, and equip the renovation 21.23and expansion of the Mayo Civic Center 21.24Complex.

21.25Subd. 21.St. Paul Youth Services500,000

21.26For a grant to the city of St. Paul to purchase 21.27and make renovations to the building at 2100 21.28Wilson Avenue to provide office and program 21.29space for St. Paul Youth Services, subject to 21.30Minnesota Statutes, section 16A.695.

21.3121.32Subd. 22.St. Paul Asian Pacific Cultural Center9,750,000

21.33For a grant to the city of St. Paul to construct, 21.34furnish, and equip an Asian Pacific Cultural 22.1Center, subject to Minnesota Statutes, section 22.216A.695.

22.3Subd. 23.St. Paul Convention Center Bonds43,000,000

22.4For a grant to the city of St. Paul to be used 22.5to pay, redeem, or defease the entire amount 22.6of bond obligations issued by the city of St. 22.7Paul in 1996 for the convention center. 

22.822.9Subd. 24.Austin; Flood Damage and Mitigation5,000,000

22.10For grants to the city of Austin to assist with 22.11the cost of rehabilitation and replacement 22.12of publicly owned infrastructure including 22.13storm sewers, wastewater and municipal 22.14utility service, drinking water systems, and 22.15other infrastructure damaged by flooding 22.16in the area designated under Presidential 22.17Declaration of Major Disaster, DR-1569, 22.18whether included in the original declaration 22.19or added later by federal government action. 22.20This appropriation may also be used to 22.21acquire real property substantially damaged 22.22by flooding, or to prevent or alleviate 22.23flooding in the area included in DR-1569. 22.24For the purposes of this appropriation, 22.25criteria, limitations, and repayment 22.26requirements in Minnesota Statutes, 22.27sections 103F.161; 446A.07; 446A.072; and 22.28446A.081, are waived.

22.29Subd. 25.Eden Prairie; Camp Eden Wood6,210,000

22.30For a grant to the city of Eden Prairie to 22.31improve and expand Camp Eden Wood, 22.32subject to Minnesota Statutes, section 22.3316A.695. The grant money may be used 22.34to acquire land; demolish and remove 22.35buildings; predesign, design, construct, 23.1furnish, and equip new residential dormitory 23.2facilities; design and construct landscape 23.3improvements; and renovate historically 23.4significant buildings on the site. This 23.5appropriation is not available until the 23.6commissioner of finance determines that at 23.7least $1,760,000 is committed to the project 23.8from nonstate sources.

23.923.10Subd. 26.Roseville; Guidant John Rose Minnesota Oval1,696,000

23.11For a grant to the city of Roseville to 23.12predesign, design, construct, or install, 23.13furnish, and equip multiple improvements 23.14to the Guidant John Rose Minnesota Oval 23.15including a geothermal heating and cooling 23.16system for the facility.

23.17Subd. 27.Mora; Senior Center700,000

23.18For a grant to the Mora Housing and 23.19Redevelopment Authority to construct, 23.20furnish, and equip a senior center in the city 23.21of Mora.

23.22Subd. 28.Steele County; Wildlife Art Museum1,254,000

23.23For a grant to Steele County to predesign, 23.24design, construct, furnish, and equip the 23.25Minnesota Wildlife Art Museum near 23.26Owatonna in Steele County. Steele County 23.27may enter into a lease or management 23.28agreement to operate the museum, subject to 23.29Minnesota Statutes, section 16A.695.

23.30Subd. 29.Burnsville Performing Arts Center10,000,000

23.31For a grant to the city of Burnsville to design, 23.32construct, furnish, and equip the Burnsville 23.33Performing Arts Center. This appropriation 23.34is not available until the commissioner of 24.1finance determines that at least $10,000,000 24.2has been committed to the project from 24.3nonstate sources. This appropriation is from 24.4the general fund.

24.524.6Subd. 30.Inver Grove Heights Veterans Memorial Community Center5,500,000

24.7For a grant to the city of Inver Grove 24.8Heights to fund existing debt service of the 24.9Inver Grove Heights Veterans Memorial 24.10Community Center.

24.1124.12Subd. 31.Brainerd; Downtown Infrastructure Improvements500,000

24.13For a grant to the city of Brainerd to 24.14reconstruct street and utility infrastructure 24.15in the historic downtown area of the city. 24.16This appropriation is not available until the 24.17commissioner of finance has determined that 24.18at least $970,000 has been committed to the 24.19project from nonstate sources.

24.2024.21Subd. 32.Motley; Tri-County Regional Services Center250,000

24.22For a grant to the city of Motley to establish 24.23a Tri-County Regional Services Center.

24.24Subd. 33.Richfield; Athletic Fields550,000

24.25For a grant to the city of Richfield to 24.26predesign, design, construct, and equip the 24.27replacement of four athletic fields lost to 24.28airport expansion. This appropriation is not 24.29available until the commissioner of finance 24.30determines that at least an equal amount is 24.31available from nonstate sources.

24.32Subd. 34.Richfield; Creation of Arterial Street4,632,000

24.33For a grant to the city of Richfield to 24.34acquire land for, design, and construct a new 25.1north-south arterial street at 17th Avenue in 25.2the city.

25.325.4Subd. 35.Chisholm; Street Improvement Project1,300,000

25.5For a grant to the city of Chisholm to 25.6predesign, design, and construct and install 25.7improvements on 6th Street SW/SE in the 25.8city.

25.9Subd. 36.Virginia; Mining Haul Road Project1,825,000

25.10For a grant to the city of Virginia to 25.11predesign, design, construct, and install 25.12public infrastructure and other public site 25.13improvements for the Mining Haul Road 25.14economic development project.25.15This appropriation is not available until the 25.16commissioner of finance determines that at 25.17least an equal amount is committed to the 25.18project from other sources.

25.19Subd. 37.Hibbing; Memorial Building25,000,000

25.20For a grant to the city of Hibbing to acquire 25.21land for, and to design, construct, furnish, 25.22and equip a 60,000 square foot expansion 25.23of the Memorial Building, to include an 25.24ice sheet for skating and hockey, a pool, a 25.25community and fitness center, and additional 25.26parking space, and to renovate and make 25.27other improvements of a capital nature to 25.28existing space within the Memorial Building.

25.2925.30Subd. 38.McGregor; Wastewater Discharge Rerouting100,000

25.31For a grant to the city of McGregor to 25.32acquire land for, design, construct, and 25.33equip a new system of pipes and ditches to 25.34reroute wastewater treatment effluent from 26.1the Big Sandy Lake watershed to a southern 26.2discharge location.

26.3Subd. 39.Red Wing; Biosolids Facility8,800,000

26.4For a grant to the city of Red Wing to design, 26.5construct, furnish, and equip a regional 26.6biosolids processing facility adjacent to the 26.7city's municipal waste-to-energy incinerator.

26.826.9Subd. 40.Floodwood; Business Park Development1,200,000

26.10For a grant to the city of Floodwood for 26.11acquisition of land and site preparation, 26.12including public water and wastewater 26.13infrastructure and turn lanes, to support 26.14development of a business park. This 26.15appropriation is not available until the 26.16commissioner of finance has determined that 26.17at least an equal amount is committed to the 26.18project from nonstate sources.

26.19Subd. 41.Nassau Fire Station125,000

26.20For a grant to the city of Nassau to predesign, 26.21design, construct, furnish, and equip a new 26.22fire station.

26.23Subd. 42.St. Cloud Civic Center Expansion15,000,000

26.24For a grant to the city of St. Cloud to 26.25acquire land for and to design, construct, 26.26furnish, and equip an expansion of the 26.27St. Cloud Civic Center. The expansion 26.28includes approximately 66,000 square feet 26.29of new space and a 300-stall parking ramp. 26.30This appropriation is not available until the 26.31commissioner of finance determines that at 26.32least $15,000,000 is committed to the project 26.33from nonstate sources.

27.127.2Subd. 43.Coleraine; Downtown Redevelopment860,000

27.3For a grant to the city of Coleraine for 27.4redevelopment of the downtown corridor. 27.5This appropriation is not available until the 27.6commissioner of finance has determined that 27.7at least an equal amount is committed to the 27.8project from nonstate sources.

27.927.10Subd. 44.Grand Rapids; North Central Technology Laboratories Facility6,165,000

27.11For a grant to the Grand Rapids Economic 27.12Development Authority to design, construct, 27.13furnish, and equip a research and technology 27.14innovation facility to be located in Itasca 27.15County.27.16This appropriation is not available until the 27.17commissioner has determined that at least 27.18an equal amount has been committed to the 27.19project from nonstate sources.

27.2027.21Subd. 45.Ortonville; Minnesota River Regional Park129,000

27.22For a grant to the city of Ortonville to 27.23construct improvements of a capital nature 27.24for the Minnesota River Regional Park in the 27.25city of Ortonville.

27.26Subd. 46.Hallock; Water Tower475,000

27.27For a grant to the city of Hallock to design, 27.28construct, and install a new water tower in 27.29the city. This appropriation is not available 27.30until the commissioner of finance determines 27.31that at least an equal amount is committed to 27.32the project from nonstate sources.

27.33Subd. 47.Spicer; Historic Plane Enclosure415,000

28.1For a grant to the city of Spicer to design, 28.2construct, furnish, and equip a historic 28.3military airplane enclosure and visitor center 28.4adjoining the Glacial Lakes Trail in the city 28.5of Spicer.28.6The appropriation is not available until 28.7the commissioner determines that an equal 28.8amount has be committed to the project from 28.9nonstate sources.

28.10Subd. 48.Itasca County; Steel Mill67,000,000

28.11For a grant to Itasca County for the building 28.12of a steel mill. Grant money will be used 28.13by Itasca County for roadway, railroad 28.14access, pipeline, water, sewer and electrical 28.15lines, and in cooperation with the Nashwauk 28.16municipal public utility to predesign, design, 28.17construct, and equip such lines.

28.1828.19Subd. 49.Virginia; Iron Range Veterans Memorial150,000

28.20For a grant to the city of Virginia for 28.21acquisition of a bronze statue to complete 28.22an Iron Range Veterans Memorial in City 28.23Center Park. Any expenditures by the city for 28.24development and construction of the veterans 28.25memorial and City Center Park shall be 28.26considered the city's match for this project.

28.27Subd. 50.Fairmont; Community Center.......

28.28For a grant to the city of Fairmont to design, 28.29construct, furnish, and equip a community 28.30center, to include an indoor pool, an indoor 28.31ice rink, a gymnasium, meeting rooms, and 28.32other facilities.

28.33Subd. 51.Fairmont; Sport Complex500,000

29.1For a grant to the city of Fairmont to design, 29.2construct, furnish, and equip a multi-field 29.3sports complex in the city of Fairmont.

29.429.5Subd. 52.Minneapolis; University Research Park6,850,000

29.6For a grant to the city of Minneapolis to 29.7acquire land for and design and construct 29.8public infrastructure improvements in the 29.9University Research Park (URP) project area.

29.1029.11Subd. 53.Arden Hills; County Road H and I-35 Interchange6,000,000

29.12For a grant to the city of Arden Hills to 29.13acquire right-of-way and to predesign, 29.14design, and construct public improvements 29.15for the County Road H and marked Interstate 29.16Highway 35W interchange and the County 29.17Road 96 and marked Trunk Highway 10 29.18interchange. This appropriation is from the 29.19general fund.

29.2029.21Subd. 54.Columbia Heights; Pedestrian Bridge1,672,000

29.22For a grant to the city of Columbia Heights to 29.23acquire land for and to predesign, design, and 29.24construct a new pedestrian and bicycle bridge 29.25to replace an existing pedestrian and bicycle 29.26bridge over Central Avenue Northeast at 49th 29.27Avenue Northeast. This appropriation is not 29.28available until the commissioner of finance 29.29determines that at least an equal amount 29.30is committed to the project from nonstate 29.31sources.

29.3229.33Subd. 55.North Mankato; Property Acquisition for Caswell Park100,000

29.34For a grant to the city of North Mankato 29.35to acquire four acres of land to expand 30.1Caswell Park in the city of North Mankato. 30.2This appropriation is not available until the 30.3commissioner of finance determines that at 30.4least an equal amount is committed to the 30.5project from nonstate sources.

30.6Subd. 56.Wadena Regional Wellness Center7,500,000

30.7For a grant to the city of Wadena to construct, 30.8furnish, and equip the Wadena Regional 30.9Wellness Center.

30.1030.1130.12Subd. 57.Minneapolis; Phillips Cultural and Community Center; Education and Training Portion1,000,000

30.13For a grant to the Minneapolis Park and 30.14Recreation Board to build the second floor 30.15of the community center including the 30.16classroom and flexible meeting spaces to 30.17accommodate homework help, tutoring, 30.18English language learning, employment 30.19training, GED preparation, technology 30.20education, nutrition and parenting classes, 30.21and classes and training in a variety of 30.22occupations.

30.23Subd. 58.Ramsey County; Rice Street Bridge2,000,000

30.24For a grant to Ramsey County for 30.25the preliminary planning, design, and 30.26engineering of the Rice Street bridge where 30.27it crosses marked Trunk Highway 36 in 30.28Ramsey County. This appropriation is from 30.29the general fund.

30.30Subd. 59.Minneapolis; Target Center71,000,000

30.31For a grant to the city of Minneapolis to pay 30.32the principal on outstanding bonds of the city 30.33of Minneapolis and Minneapolis Community 30.34Development Agency issued to finance the 31.1Target Center, subject to Minnesota Statutes, 31.2section 16A.695.

31.331.4Subd. 62.New Brighton; Environmental Remediation and Gas Collection System6,000,000

31.5For a grant to the city of New Brighton for 31.6capital costs of environmental remediation 31.7and installation of a gas collection system on 31.8publicly owned land in the area described in 31.9Laws 1998, chapter 389, article 11, section 31.1024, subdivision 1, commonly known as 31.11the northwest quadrant of the city of New 31.12Brighton.

31.13Subd. 63.St. Paul; Youth Drop-In Center586,000

31.14For a grant to the city of St. Paul to renovate 31.15a city-owned building for use by the St. Paul 31.16police as a drop-in center with education 31.17and other programs for juveniles who have 31.18violated curfew. The city may enter into an 31.19agreement with a nongovernmental entity 31.20that will lease the building from the city and 31.21operate the program, subject to Minnesota 31.22Statutes, section 16A.695.  This appropriation 31.23is not available until the commissioner of 31.24finance determines that at least an equal 31.25amount is committed to the project from 31.26nonstate sources.

31.27Sec. 2. PUBLIC FACILITIES AUTHORITY

31.28Subdivision 1.Total Appropriation$61,400,000

31.29To the Public Facilities Authority for the 31.30purposes specified in this section.

31.31Subd. 2.Streamlined Infrastructure Financing100,000

31.32This appropriation is from the general fund 31.33for staff and consultant costs to develop 31.34a credit enhanced pooled bond program 32.1for municipal infrastructure projects. This 32.2appropriation is onetime.

32.332.4Subd. 3.State Match for Federal USEPA Capitalization Grants40,000,000

32.5(a) The appropriation in this subdivision is:32.6(1) to match federal grants for the clean water 32.7revolving fund under Minnesota Statutes, 32.8section 446A.07; and32.9(2) to match federal grants for the drinking 32.10water revolving fund under Minnesota 32.11Statutes, section 446A.081.32.12(b) The expenditure and allocation of state 32.13matching money between funds described 32.14in paragraph (a), clauses (1) and (2), must 32.15ensure that the matching funds required 32.16for the drinking water revolving fund are 32.17available to match the 2009 and 2010 federal 32.18grants, with the balance to be made available 32.19to the clean water revolving fund.32.20(c) This appropriation must be used for 32.21qualified capital projects.

32.2232.23Subd. 4.Wastewater Infrastructure Funding Program10,000,000

32.24Of this appropriation, $10,000,000 is for 32.25grants and loans to eligible municipalities 32.26under the wastewater infrastructure funding 32.27program under Minnesota Statutes, section 32.28446A.072.32.29To the greatest practical extent, the authority 32.30must use the appropriation for projects on 32.31the 2008 project priority list in priority order 32.32by qualified applicants that submit plans 32.33and specifications to the Pollution Control 32.34Agency or receive a funding commitment 32.35from USDA Rural Economic and 33.1Community Development by June 30, 2009, 33.2or for projects on the 2009 project priority 33.3list in priority order by qualified applicants 33.4that submit plans and specifications to the 33.5Pollution Control Agency or have received 33.6a funding commitment from USDA Rural 33.7Economic and Community Development by 33.8December 31, 2009.33.9Of this appropriation, $300,000 is from the 33.10general fund to implement the wastewater 33.11infrastructure funding program.

33.12Subd. 5.Small Community Wastewater Grants2,000,000

33.13This appropriation is for the small community 33.14wastewater treatment account for loans and 33.15grants under Minnesota Statutes, section 33.16446A.075.

33.1733.18Subd. 6.Total Maximum Daily Load (TMDL) Grants2,000,000

33.19This appropriation is for total maximum 33.20daily load (TMDL) grants under Minnesota 33.21Statutes, section 446A.073.

33.22Subd. 7.Phosphorus Reduction Grants2,000,000

33.23This appropriation is for the phosphorus 33.24reduction grant program for grants under 33.25Minnesota Statutes, section 446A.074. A 33.26grant must not exceed $500,000 per project.

33.27Subd. 8.Public Facilities Grants and Loans5,000,000

33.28For grants and loans to predesign, design, 33.29construct, install, furnish and equip public 33.30infrastructure projects to the following 33.31political subdivisions and eligible entities: 33.32Amador Township-Almelund Sanitary Sewer 33.33District; Aurora; Austin; Barnum; Baudette; 33.34Bayport; Big Fork; Big Lake Area Sanitary 34.1District; Blooming Prairie; Bovey; Brainerd; 34.2Brownsville; Carlton; Cass Lake; Central 34.3Lakes Regional Sanitary District; Clear 34.4Lake; Coleraine; Darwin; Dassel; Deer 34.5River; Duluth; Effie; Ellendale; Elbow Lake; 34.6Faribault; Fountain; Garrison, Kathio, West 34.7Mille Lacs Lake Sanitary District; Gilbert; 34.8Grand Rapids; Greenbush; Hibbing; Iron 34.9Junction; La Crescent; Lafayette; Lansing 34.10Township; Litchfield; Medford; Middle 34.11River; Midway Township; Moose Lake; 34.12Mora; Nashwauk; New Munich; Nicoville; 34.13Nisswa; Northome; Olivia; Peterson; Pine 34.14City; Quamba; Racine; Richmond; Rose 34.15Creek; Rush City; Sandstone; Shafer; St. 34.16Martin; Upper Sioux Community; Walker; 34.17Whalan; Wheeler Point Sanitary Sewer 34.18District; and Willmar.34.19Notwithstanding Minnesota Statutes, section 34.20446A.072, subdivision 5a, clause (b), a loan 34.21for the city of Litchfield may be up to $....... 34.22above the maximum set in statute and a loan 34.23for the city of Willmar may be up to $....... 34.24above the maximum set in statute.34.25    Sec. 3. [469.35] TRANSIT IMPROVEMENT AREA ACCOUNTS.34.26    Two transit improvement area accounts are created, one in the general fund and one 34.27in the bond proceeds fund. Money in the accounts may be used to make grants or loans as 34.28provided in section 469.351 and for the commissioner's costs in reviewing applications 34.29and making loans or grants. Money in the accounts must not be used to pay for the 34.30operation of transit lines or the construction or operating costs of transit stations.34.31    Sec. 4. [469.351] TRANSIT IMPROVEMENT AREA LOAN PROGRAM.34.32    Subdivision 1.Definitions.(a) The terms defined in this section have the meanings 34.33given them and apply to sections 469.35 and 469.351.35.1    (b) "Applicant" means a local governmental unit or a joint powers board, established 35.2under section 471.59.35.3    (c) "Commissioner" means the commissioner of employment and economic 35.4development.35.5    (d) "Eligible organization" means an applicant that has been designated as a transit 35.6improvement area by the commissioner.35.7    (e) "Local governmental unit" means a statutory or home rule charter city or town, 35.8or a county.35.9    (f) "Transit improvement area" means a geographic area designated by the 35.10commissioner composed of land parcels that are in proximity to a transit station.35.11    (g) "Transit station" means a physical structure to support the interconnection of 35.12public transit modes including at least one of the following modes: bus rapid transit, 35.13light rail transit, and commuter rail.35.14    Subd. 2.Designation of transit improvement areas.A transit improvement area 35.15must increase the effectiveness of a transit project by incorporating one or more public 35.16transit modes with commercial and housing development and by providing for safe 35.17and pleasant pedestrian use. The commissioner, in consultation with effected state and 35.18regional agencies, must designate transit improvement areas that meet the objectives 35.19under this subdivision. Effected state and regional agencies include, but are not limited to, 35.20the Minnesota Department of Transportation, the Minnesota Housing Finance Agency, 35.21and the Metropolitan Council for transit improvement areas located in the seven-county 35.22metropolitan region. To be eligible for designation, an applicant must submit a transit 35.23area improvement plan according to the requirements and timelines established by the 35.24commissioner. At a minimum, the plan must include the information specified under 35.25subdivision 3. The commissioner may modify an applicant's plan to better achieve the 35.26objectives of transit improvement areas. The commissioner must notify applicants of the 35.27designations and must provide a statement of any changes to an applicant's plan with 35.28justification for all changes.35.29    Subd. 3.Transit area improvement plan.(a) An applicant must adopt a transit area 35.30improvement plan by resolution before submitting the application to the commissioner 35.31with the information required in this subdivision. Each transit area improvement plan 35.32must include the following:35.33    (1) a map indicating the geographic boundaries of the transit improvement area;35.34    (2) an analysis of the demographic mix of people who are anticipated to use the 35.35transit station;36.1    (3) a description of the ownership and intended use of public and private facilities 36.2to be constructed in the transit improvement area, including infrastructure, buildings 36.3and other structures, and parks;36.4    (4) a description of pedestrian-friendly improvements to be provided, including 36.5walkways, parkways, and signage;36.6    (5) a statement of findings that the redevelopment or development of the transit 36.7improvement area promotes higher density land uses resulting in increased transit 36.8ridership;36.9    (6) a statement of the anticipated sources and amounts of local public funds;36.10    (7) a statement of the anticipated sources and amounts of private funds;36.11    (8) a statement of the anticipated sources and amounts of leveraged regional, state, 36.12and federal funds;36.13    (9) a description of the linkages to existing and proposed local, regional, and state 36.14transit systems; and 36.15    (10) a description of other factors in the proposed development to increase ridership.36.16    (b) Transit improvement area plans with a residential component must propose at 36.17least 12 residential units per acre or a density bonus that allows for an increase in the 36.18number of residential units over what is permitted by the underlying zoning. The plan 36.19must include a description of the variety of housing types, including housing appropriate 36.20for low income persons, disabled persons, and senior citizens and the prices for each 36.21housing type within the transit improvement area.36.22    Subd. 4.Transit improvement area loans.(a) The commissioner may make low or 36.23no-interest loans to eligible organizations to be used for eligible costs under paragraph (b). 36.24A loan must be used for a designated transit improvement area, under the following terms:36.25    (1) the eligible organization must guarantee repayment of 100 percent of the loan;36.26    (2) a loan must be for a term of ten years, unless repayment is from a tax increment 36.27financing district or other state or federal funds, at an interest rate to be negotiated by 36.28the commissioner;36.29    (3) the eligible organization must make annual interest-only payments during the 36.30ten-year term of the loan;36.31    (4) the eligible organization must pay the entire principal amount of the initial loan 36.32at the end of the ten-year term;36.33    (5) a loan may not exceed $2,000,000;36.34    (6) the commissioner must advance the full amount of the loan to the eligible 36.35organization upon execution of a formal loan agreement specifying the terms of the loan, 36.36as well as reporting and other requirements outlined in subdivision 5;37.1    (7) the eligible organization must maintain the funds in accounts that allow the funds 37.2to be readily available for business investments;37.3    (8) the eligible organization and the commissioner may agree on contract 37.4specifications that are consistent with payback from a tax increment financing district or 37.5from any other state and federal funds that may be forthcoming; and37.6    (9) an eligible organization that receives a loan must report annually, in a format 37.7prescribed by the commissioner, on the nature and amount of the business investments in 37.8the transit improvement area, including an account of each financing transaction involving 37.9loans received under this section, the types and amounts of financing from sources other 37.10than the transit improvement area loan, the number of jobs created, and the amount of 37.11private sector and nonstate investment leveraged.37.12    (b) Loans under this section must be used to supplement and not replace funding 37.13from existing sources or programs. Loans must not be used for the construction costs of 37.14transit stations; transit systems; or the operating costs of public transit or transportation, 37.15including, but not limited to, the costs of maintaining, staffing, or operating transit 37.16stations. Loans from the bond proceeds fund must be spent to acquire and to better 37.17publicly owned land and buildings and other public improvements of a capital nature. 37.18Loans can be used for the following eligible expenditures according to an approved transit 37.19area improvement plan:37.20    (1) clearing land;37.21    (2) relocation costs;37.22    (3) corrections for soil, including removing or remediation of hazardous substances;37.23    (4) construction or installation of walkways, bridges or tunnels for pedestrians, 37.24bikeways, parking facilities, and signage;37.25    (5) improvements to streetscapes;37.26    (6) construction of public infrastructure to support construction of new affordable 37.27housing, senior housing, or housing for disabled persons;37.28    (7) construction of public infrastructure to support job creation in the area, especially 37.29small business development;37.30    (8) developing green spaces and parks; and37.31    (9) administrative expenses of the authority.37.32    (c) All loan repayments under this section must be made to the appropriate account 37.33under section 1 for reinvestment in transit improvement areas.37.34    Subd. 5.Loan requirements.All loans under this section are subject to an 37.35investment agreement that must include:38.1    (1) a description of the eligible organization, including business finance experience, 38.2qualifications, and investment history;38.3    (2) a description of the uses of investment proceeds by the eligible organization;38.4    (3) an explanation of the investment objectives; and38.5    (4) a description of the method of payment.38.6    Subd. 6.Report.The commissioner must report annually to the legislative 38.7committees with jurisdiction over economic development and transportation on the status 38.8of the transit improvement center program.38.9    Sec. 5. Laws 2003, First Special Session chapter 20, article 1, section 12, subdivision 38.103, is amended to read:

38.1138.12Subd. 3. Wastewater Infrastructure Funding Program15,000,000

38.13To the public facilities authority for grants to 38.14eligible municipalities under the wastewater 38.15infrastructure program established in 38.16Minnesota Statutes, section 
         446A.072. 38.17To the greatest practical extent, the authority 38.18should use the grants for projects on the 38.192002 project priority list in priority order to 38.20qualified applicants that submit plans and 38.21specifications to the pollution control agency 38.22or receive a funding commitment from 38.23USDA rural development before December 38.241, 2003. 38.25$1,500,000 is for grants to the Larsmont 38.26portion of the Knife River-Larsmont38.27Duluth/North Shore sanitary district. This 38.28appropriation must be used to reduce the 38.29amount of the municipality's loan from the 38.30water pollution revolving fund that exceeds 38.31five percent of the market value of the 38.32properties in the project service area. This 38.33appropriation is in addition to grants from 38.34other appropriations. 39.1    Sec. 6. Laws 2005, chapter 20, article 1, section 23, subdivision 8, is amended to read:

39.239.3Subd. 8.Lewis and Clark Rural Water System, Inc.2,000,000

39.4This appropriation is from the general fund.39.5To the Public Facilities Authority for grants 39.6to the city of Luverne, city of Worthington 39.7Public Utilities, Lincoln-Pipestone rural 39.8water system, and Rock County rural water 39.9system to acquire land, predesign, design, 39.10construct, furnish, and equip one or more 39.11water transmission and storage facilities to 39.12accommodate the connection with the Lewis 39.13and Clark Rural Water System, Inc. that will 39.14serve southwestern Minnesota.39.15The grants must be awarded to projects 39.16approved by the Lewis and Clark Joint 39.17Powers Board.39.18This appropriation is available only to the 39.19extent matched by at least $1 of local money 39.20paid to the Lewis and Clark Rural Water 39.21System, Inc. for each $1 of state money to be 39.22used to reimburse costs incurred on eligible 39.23projects.39.24This appropriation is the first phase of the 39.25state share for the Lewis and Clark Rural 39.26Water System, Inc. project as defined in the 39.27federal Lewis and Clark Rural Water System 39.28Act of 2000.39.29    Sec. 7. Laws 2006, chapter 258, section 21, subdivision 6, is amended to read:

39.30Subd. 6.Redevelopment Account9,000,000

39.31For purposes of the redevelopment account 39.32under Minnesota Statutes, section 
         116J.571.40.1$800,000 is for a grant to the city of 40.2Worthington to remediate contaminated 40.3soil and redevelop the site of the former 40.4Campbell Soup factory. This grant is exempt 40.5from the requirements of Minnesota Statutes, 40.6sections 116J.572 to 116J.575.40.7$250,000 is for a grant to the city of 40.8Winona to predesign facilities for the 40.9Shakespeare Festival as part of the riverfront 40.10redevelopment plan. This grant is exempt 40.11from the requirements of Minnesota Statutes, 40.12sections 
         116J.572 to 
         116J.575.40.13    Sec. 8. Laws 2006, chapter 258, section 21, subdivision 15, is amended to read:

40.1440.15Subd. 15.Lewis and Clark  Rural Water System, Inc.3,282,000

40.16This appropriation is from the general fund.40.17To the Public Facilities Authority for  grants 40.18to the city of Luverne, city of  Worthington 40.19Public Utilities,  Lincoln-Pipestone rural 40.20water system,  and Rock County rural water 40.21system to  acquire land, predesign, design, 40.22construct, furnish, and equip one or  more 40.23water transmission and storage  facilities to 40.24accommodate the  connection with the Lewis 40.25and Clark  Rural Water System, Inc. that will 40.26serve southwestern Minnesota.40.27The grants must be awarded to projects 40.28approved by the Lewis and Clark Joint 40.29Powers Board.40.30This appropriation is available to the extent 40.31that each $1 of state money is matched by at 40.32least $1 of local money paid to the Lewis and 40.33Clark Rural Water System, Inc. to reimburse 41.1the system for costs incurred on eligible 41.2projects.41.3    Sec. 9. BIOMASS HEATING GRANTS AND LOANS.41.4    Subdivision 1.Definitions.(a) "Biomass heating project" means a capital 41.5improvement project that produces energy for heating air or water from organic matter 41.6that is available on a renewable basis from agricultural processes, including:41.7    (1) agricultural crops, switch grass, cultivated prairie grass, trees, aquatic plant 41.8matter, animal waste, agricultural waste; and41.9    (2) wood production waste and residues.41.10    (b) "Commissioner" means the commissioner of the Department of Employment and 41.11Economic Development.41.12    (c) "Energy project study" means a study of a biomass heating project analyzed in 41.13sufficient detail to support a grant application. At a minimum, it must include one year of 41.14energy consumption and cost data, a description of existing and proposed energy facilities, 41.15energy sources, and conditions, a detailed description of the costs of the project, and 41.16calculations sufficient to document the proposed energy and cost savings.41.17    (d) "Qualified facility" means a K-12 public school, public institution of higher 41.18education, or a building owned by a local unit of government.41.19    Subd. 2.Eligibility.Subject to the availability of funds, the commissioner shall 41.20approve grants and loans to qualified facilities. A grant or loan may be made to a qualified 41.21facility that has demonstrated that it has complied with all the provisions of this section 41.22and has made adequate provisions to assure proper and efficient operation of the qualified 41.23facility after improvements and modifications are completed.41.24    Subd. 3.Application.Application for a grant or loan under this section shall be 41.25made by a qualified facility to the commissioner on a form the commissioner prescribes. 41.26An applicant may apply for a grant, a loan, or both. The grants and loans may each account 41.27for up to 50 percent of the total installed costs of capital investments associated with 41.28biomass heating projects. The commissioner of employment and economic development 41.29and the commissioner of commerce shall review each application to determine:41.30    (1) whether the application is complete;41.31    (2) whether the calculations and estimates contained in the energy project study 41.32are appropriate, accurate, and reasonable;41.33    (3) whether the project is eligible for a grant or loan;41.34    (4) the amount of the grant or loan for which the project is eligible; and42.1    (5) other funding sources the qualified facility proposes to use to finance the project 42.2in addition to a grant or loan authorized by this section.42.3    Subd. 4.Additional information.During application review, the commissioner 42.4may request additional information about a proposed biomass heating project, including 42.5information on project cost. Failure to provide information requested disqualifies a grant 42.6application.42.7    Subd. 5.Public accessibility of grant application data.Data contained in an 42.8application submitted to the commissioner for a grant or loan under this section, including 42.9supporting technical documentation, is classified as "public data not on individuals" under 42.10section 13.02, subdivision 14.42.11    Subd. 6.Conditions for grant and loan approval.In awarding grants, the 42.12commissioner must determine, at a minimum, the following:42.13    (1) that the physical condition of the qualified facility is sufficient to support the 42.14efficient operation of the biomass heating project;42.15    (2) that, for a project in which the qualified facility is a K-12 public school, 42.16enrollment projections for the school indicate no significant possibility that the school 42.17may close within 20 years; and42.18    (3) that the projected cumulative energy cost savings exceed the grant amount and 42.19the corresponding debt service within 20 years.42.20ARTICLE 442.21AUTHORIZATION42.22    Section 1. BOND SALE AUTHORIZATION.42.23    (a) To provide the money appropriated in this act from the bond proceeds fund, the 42.24commissioner of finance shall sell and issue bonds of the state in an amount up to $....... in 42.25the manner, upon the terms, and with the effect prescribed by Minnesota Statutes, sections 42.2616A.631 to 16A.675, and by the Minnesota Constitution, article XI, sections 4 to 7.42.27    (b) The commissioner of finance may propose additional conditions on the use and 42.28investment of the proceeds of bonds issued for article 2, section 3, subdivision 23, as may 42.29be necessary in the commissioner's judgment to ensure that the interest on the state bonds 42.30issued to fund this appropriation is exempt from federal income taxation.42.31    (c) The bond sale authorization in Laws 2005, chapter 20, article 1, section 28, 42.32subdivision 1, is reduced by $2,000,000.42.33    (d) The bond sale authorization in Laws 2006, chapter 258, section 25, subdivision 42.341, is reduced by $3,282,000.43.1    Sec. 2. EFFECTIVE DATE.43.2    Except as otherwise provided, this act is effective the day following final enactment.