1.1 	A bill for an act
1.2 	relating to transportation; modifying provisions governing transportation and 
1.3 	public safety policies, including bicycles and bikeways, highways and bridges, 
1.4 	motor vehicles, motor vehicle markings and equipment, traffic regulations, 
1.5 	driver education, driver licensing, driver's license exemptions, DWI violations, 
1.6 	alternative financing for transportation projects, contracting requirements, bus 
1.7 	operations, railroads, motor carriers and commercial drivers, aeronautics and 
1.8 	airports, and agency reporting; providing for rulemaking; removing obsolete 
1.9 	language; making technical and clarifying changes; repealing certain provisions; 
1.10 	appropriating money;amending Minnesota Statutes 2010, sections 85.015, 
1.11 	by adding a subdivision; 85.018, subdivisions 2, 4; 160.263, subdivision 
1.12 	2; 160.845; 160.93, subdivisions 1, 2; 161.14, subdivision 66, by adding 
1.13 	subdivisions; 161.321; 161.3212; 162.081, subdivision 4; 162.09, by adding 
1.14 	a subdivision; 162.18, subdivisions 1, 4; 168.012, subdivision 1; 168.013, by 
1.15 	adding a subdivision; 168B.011, subdivision 12; 169.011, subdivision 27; 
1.16 	169.035, subdivision 1, by adding a subdivision; 169.06, subdivisions 5, 7; 
1.17 	169.19, subdivision 5; 169.223, subdivision 5; 169.306; 169.64, subdivision 2; 
1.18 	169.685, subdivision 6; 169.86, subdivision 4; 169.99, subdivision 1b; 169A.54, 
1.19 	subdivisions 1, 6; 171.03; 171.061, subdivision 4; 171.12, subdivision 6; 171.30, 
1.20 	subdivision 1; 171.306, subdivision 4; 174.02, by adding a subdivision; 174.56; 
1.21 	221.0314, subdivision 3a; 222.50, subdivision 4; 222.51; 222.53; 222.63, 
1.22 	subdivision 9; Minnesota Statutes 2011 Supplement, sections 168.12, subdivision 
1.23 	5; 169.86, subdivision 5; 171.05, subdivision 2; 171.075, subdivision 1; 
1.24 	proposing coding for new law in Minnesota Statutes, chapters 160; 171; repealing 
1.25 	Minnesota Statutes 2010, sections 160.93, subdivision 2a; 161.08, subdivision 2; 
1.26 	168.012, subdivision 1b; 169A.54, subdivision 5; 222.48, subdivision 3a.
1.27 	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

1.28 	Section 1. Minnesota Statutes 2010, section 85.015, is amended by adding a 
1.29 	subdivision to read:
1.30 		Subd. 1d.Bicycle use of trails. The commissioner may not prohibit or otherwise 
1.31 	restrict operation of an electric-assisted bicycle, as defined in section 169.011, subdivision 
1.32 	27, on any trail under this section for which bicycle use is permitted, unless the 
1.33 	commissioner determines that operation of the electric-assisted bicycle is not consistent 
2.1 	with (1) the safety or general welfare of trail users; or (2) the terms of any property 
2.2 	conveyance.

2.3 	Sec. 2. Minnesota Statutes 2010, section 85.018, subdivision 2, is amended to read:
2.4 		Subd. 2.Authority of local government. (a) A local government unit that receives 
2.5 	state grants-in-aid for any trail, with the concurrence of the commissioner, and the 
2.6 	landowner or land lessee, may:
2.7 	(1) designate the trail for use by snowmobiles or for nonmotorized use from 
2.8 	December 1 to April 1 of any year; and
2.9 	(2) issue any permit required under subdivisions 3 to 5.
2.10 	(b) A local government unit that receives state grants-in-aid under section 84.794, 
2.11 	subdivision 2, 84.803, subdivision 2, or 84.927, subdivision 2, for any trail, with the 
2.12 	concurrence of the commissioner, and landowner or land lessee, may:
2.13 	(1) designate the trail specifically for use at various times of the year by all-terrain or 
2.14 	off-road vehicles or off-highway motorcycles, for nonmotorized use such as ski touring, 
2.15 	snowshoeing, and hiking, and for multiple use, but not for motorized and nonmotorized 
2.16 	use at the same time; and
2.17 	(2) issue any permit required under subdivisions 3 to 5.
2.18 	(c) A local unit of government that receives state grants-in-aid for any trail, with the 
2.19 	concurrence of the commissioner and landowner or land lessee, may designate certain 
2.20 	trails for joint use by snowmobiles, off-highway motorcycles, all-terrain vehicles, and 
2.21 	off-road vehicles.
2.22 	(d) A local unit of government may not prohibit or otherwise restrict operation of an 
2.23 	electric-assisted bicycle, as defined in section 169.011, subdivision 27, on any trail under 
2.24 	this section designated for bicycle use or nonmotorized use that includes bicycles, unless 
2.25 	the local unit of government determines that operation of the electric-assisted bicycle is 
2.26 	not consistent with (1) the safety or general welfare of trail users; or (2) the terms of 
2.27 	any property conveyance.

2.28 	Sec. 3. Minnesota Statutes 2010, section 85.018, subdivision 4, is amended to read:
2.29 		Subd. 4.Nonmotorized use trails. No motorized vehicle shall be operated on a 
2.30 	trail designated for nonmotorized use. This subdivision does not apply to (1) motorized 
2.31 	wheelchairs or other motorized devices operated by an individual who is physically 
2.32 	disabled or (2) electric-assisted bicycles, as defined in section 169.011, subdivision 27.

2.33 	Sec. 4. Minnesota Statutes 2010, section 160.263, subdivision 2, is amended to read:
3.1 		Subd. 2.Powers of political subdivisions. (a) The governing body of any political 
3.2 	subdivision may by ordinance or resolution:
3.3 	(1) designate any roadway or shoulder or portion thereof under its jurisdiction as 
3.4 	a bicycle lane or bicycle route;
3.5 	(2) designate any sidewalk or portion thereof under its jurisdiction as a bicycle path 
3.6 	provided that the designation does not destroy a pedestrian way or pedestrian access;
3.7 	(3) develop and designate bicycle paths;
3.8 	(4) designate as bikeways all bicycle lanes, bicycle routes, and bicycle paths.
3.9 	(b) A governing body may not prohibit or otherwise restrict operation of an 
3.10 	electric-assisted bicycle, as defined in section 169.011, subdivision 27, on any bikeway, 
3.11 	roadway, or shoulder, unless the governing body determines that operation of the 
3.12 	electric-assisted bicycle is not consistent with (1) the safety or general welfare of bikeway, 
3.13 	roadway, or shoulder users; or (2) the terms of any property conveyance.

3.14 	Sec. 5. [160.266] MISSISSIPPI RIVER TRAIL.
3.15 		Subdivision 1.Definitions. For the purposes of this section:
3.16 	(1) "bicycle path" has the meaning given in section 169.011, subdivision 6; and
3.17 	(2) "bikeway" has the meaning given in section 169.011, subdivision 9.
3.18 		Subd. 2.Creation. The commissioner, in cooperation with road and trail authorities 
3.19 	including the commissioner of natural resources, shall identify a bikeway that originates at 
3.20 	Itasca State Park in Clearwater, Beltrami, and Hubbard Counties, then generally parallels 
3.21 	the Mississippi River through the cities of Bemidji in Beltrami County, Grand Rapids in 
3.22 	Itasca County, Brainerd in Crow Wing County, Little Falls in Morrison County, Sauk 
3.23 	Rapids in Benton County, St. Cloud in Stearns County, Minneapolis in Hennepin County, 
3.24 	St. Paul in Ramsey County, Hastings in Dakota County, Red Wing in Goodhue County, 
3.25 	Wabasha in Wabasha County, Winona in Winona County, and La Crescent in Houston 
3.26 	County to Minnesota's boundary with Iowa and there terminates. Where opportunities 
3.27 	exist, the bikeway may be designated on both sides of the Mississippi River.
3.28 		Subd. 3.Connections with other bikeways. (a) The commissioner, in cooperation 
3.29 	with road and trail authorities including the commissioner of natural resources, shall:
3.30 	(1) identify existing bikeways of regional significance that are in reasonable 
3.31 	proximity but not connected to the bikeway established in this section, including but not 
3.32 	limited to the Lake Wobegon Trail in the counties of Stearns and Todd; and
3.33 	(2) support development of linkages between bikeways identified under clause (1) 
3.34 	and the bikeway established in this section.
4.1 	(b) The requirements of this subdivision are a secondary priority for use of funds 
4.2 	available under this section following establishment and enhancement of the bikeway 
4.3 	under subdivision 1.
4.4 		Subd. 4.Cooperation with other entities. The commissioner may contract and 
4.5 	enter into agreements with federal agencies, other state agencies, local governments, and 
4.6 	private entities to establish, develop, maintain, and operate the bikeway and to interpret 
4.7 	associated natural and cultural resources.
4.8 		Subd. 5.Funding. Bicycle paths included within the bikeway and not administered 
4.9 	by the commissioner of natural resources are eligible for funding from the environment 
4.10 	and natural resources trust fund under chapter 116P, from the parks and trails grant 
4.11 	program under section 85.535, from the local recreation grants program under section 
4.12 	85.019, subdivision 4b, and from other sources.

4.13 	Sec. 6. Minnesota Statutes 2010, section 160.845, is amended to read:
4.14 	160.845 RESTRICTIONS ON TOLL FACILITY.
4.15 	(a) A road authority, including the governing body of a city, or a private operator 
4.16 	may not convert, transfer, or utilize any portion of a highway to impose tolls or for use 
4.17 	as a toll facility. A road authority, including the governing body of a city, or a private 
4.18 	operator may not limit operation of a commercial motor vehicle, as defined in section 
4.19 	169.011, subdivision 16, to a toll facility or otherwise require that a commercial motor 
4.20 	vehicle use the tolled portion of a highway.
4.21 	(b) This section does not apply to (1) any toll facility or high-occupancy vehicle 
4.22 	lane constructed, converted, or established before September 1, 2007, (2) any additional 
4.23 	lane, including a priced dynamic shoulder lane, high-occupancy vehicle lane, or 
4.24 	high-occupancy toll lane, added to a highway after September 1, 2007, and (3) any other 
4.25 	general purpose lane that adds capacity, (4) any lane that adds capacity that is operated 
4.26 	temporarily as a general purpose or auxiliary lane until the commissioner converts the 
4.27 	lane to a high-occupancy toll lane, and (5) any general purpose or auxiliary lane that the 
4.28 	commissioner converts to a high-occupancy toll lane, except that the commissioner may 
4.29 	convert a general purpose lane only after adding capacity in the same segment of highway 
4.30 	if that segment of highway has been designated pursuant to section 160.93 as a MnPASS 
4.31 	corridor in the department's metro district highway investment plan.

4.32 	Sec. 7. Minnesota Statutes 2010, section 160.93, subdivision 1, is amended to read:
4.33 		Subdivision 1.Fees authorized. To improve efficiency and provide more options 
4.34 	to individuals traveling in a trunk highway corridor, the commissioner of transportation 
5.1 	may charge user fees to owners or operators of single-occupant vehicles using dynamic 
5.2 	shoulder lanes as designated by the commissioner and, any designated high-occupancy 
5.3 	vehicle lanes, and any other high-occupancy toll lanes. The fees may be collected using 
5.4 	electronic or other toll-collection methods and may vary in amount with the time of day 
5.5 	and level of traffic congestion within the corridor. The commissioner shall consult with 
5.6 	the Metropolitan Council and obtain necessary federal authorizations before implementing 
5.7 	user fees on a high-occupancy vehicle lane or dynamic shoulder lane. Fees under this 
5.8 	section are not subject to section 16A.1283.

5.9 	Sec. 8. Minnesota Statutes 2010, section 160.93, subdivision 2, is amended to read:
5.10 		Subd. 2.Deposit of revenues; appropriation. (a) Except as provided in subdivision 
5.11 	2a, Money collected from fees authorized under subdivision 1 must be deposited in a 
5.12 	high-occupancy vehicle lane user fee account in the special revenue fund. A separate 
5.13 	account must be established for each trunk highway corridor. Money in the account is 
5.14 	appropriated to the commissioner.
5.15 	(b) From this appropriation the commissioner shall first repay the trunk highway 
5.16 	fund and any other fund source for money spent to install, equip, or modify the corridor 
5.17 	for the purposes of subdivision 1, and then shall pay all the costs of implementing and
5.18 	for administering and operating the fee collection system for that corridor, including 
5.19 	payments for operating the fee collection system, and for maintaining and operating 
5.20 	tolling and related equipment.
5.21 	(c) The commissioner shall spend remaining money in the account as follows:
5.22 	(1) one-half must be spent for transportation capital improvements within the 
5.23 	corridor; and
5.24 	(2) one-half must be transferred to the Metropolitan Council for expansion and 
5.25 	improvement of bus transit services within the corridor beyond the level of service 
5.26 	provided on the date of implementation of subdivision 1, including the replacement of 
5.27 	tolling and related equipment.

5.28 	Sec. 9. Minnesota Statutes 2010, section 161.14, subdivision 66, is amended to read:
5.29 		Subd. 66.Veterans Memorial Highway. Legislative Route No. 31, signed as
5.30 	Trunk Highway marked 200 as of July 1, 2010, from the border with North Dakota to the 
5.31 	city of Mahnomen, is designated as the "Veterans Memorial Highway." The commissioner 
5.32 	shall adopt a suitable design to mark this highway and erect appropriate signs, subject 
5.33 	to section 161.139.

6.1 	Sec. 10. Minnesota Statutes 2010, section 161.14, is amended by adding a subdivision 
6.2 	to read:
6.3 		Subd. 70.Arianna Celeste Macnamara Memorial Bridge. The pedestrian 
6.4 	bridge over Route No. 7, signed as Trunk Highway 14 on the effective date of this 
6.5 	section, located in the city of Rochester west of Route No. 20, signed as U.S. Highway 
6.6 	52 on the effective date of this section, is designated as "Arianna Celeste Macnamara 
6.7 	Memorial Bridge." Subject to section 161.139, the commissioner shall adopt a suitable 
6.8 	marking design to memorialize the bridge and shall erect the appropriate signs as close as 
6.9 	practicable to the bridge.

6.10 	Sec. 11. Minnesota Statutes 2010, section 161.14, is amended by adding a subdivision 
6.11 	to read:
6.12 		Subd. 71.Deputy John W. Liebenstein Memorial Highway. (a) That segment of 
6.13 	Route No. 390, signed as Interstate Highway 35 on the effective date of this section and 
6.14 	located in Rice County, is designated as "Deputy John W. Liebenstein Memorial Highway." 
6.15 	Subject to section 161.139, the commissioner shall adopt a suitable marking design to 
6.16 	mark this highway and shall erect the appropriate signs as provided in paragraph (b).
6.17 	(b) The commissioner of transportation shall erect suitable signs on signed Interstate 
6.18 	Highway 35 as close as practicable to the following locations:
6.19 	(1) one southbound sign at the Rice County State-Aid Highway 86 overpass;
6.20 	(2) one sign on the southbound off-ramp of the interchange with Rice County 
6.21 	State-Aid Highway 1, at the closest reasonable location to the site at which Deputy John 
6.22 	W. Liebenstein was killed in the line of duty;
6.23 	(3) one sign on the northbound off-ramp of the interchange with Rice County 
6.24 	State-Aid Highway 1; and
6.25 	(4) one northbound sign near the intersection to the east of Rice County State-Aid 
6.26 	Highways 21 and 45.

6.27 	Sec. 12. Minnesota Statutes 2010, section 161.321, is amended to read:
6.28 	161.321 SMALL BUSINESS CONTRACTS.
6.29 		Subdivision 1.Definitions. For purposes of this section the following terms have 
6.30 	the meanings given them, except where the context clearly indicates a different meaning is 
6.31 	intended.
6.32 	(a) "Award" means the granting of a contract in accordance with all applicable laws 
6.33 	and rules governing competitive bidding except as otherwise provided in this section.
7.1 	(b) "Contract" means an agreement entered into between a business entity and the 
7.2 	state of Minnesota for the construction of transportation improvements.
7.3 	(c) "Subcontractor" means a business entity which enters into a legally binding 
7.4 	agreement with another business entity which is a party to a contract as defined in 
7.5 	paragraph (b).
7.6 	(d) "Targeted group business" means a business designated under section 16C.16, 
7.7 	subdivision 5.
7.8 	(e) "Veteran-owned small business" means a business designated under section 
7.9 	16C.16, subdivision 6a.
7.10 		Subd. 2.Small business set-asides; procurement and construction contract 
7.11 	preferences. (a) The commissioner may award up to a six percent preference in the 
7.12 	amount bid for specified construction work to small targeted group businesses and 
7.13 	veteran-owned small businesses.
7.14 	(b) The commissioner may designate a contract for construction work for award only 
7.15 	to small targeted group businesses if the commissioner determines that at least three small 
7.16 	targeted group businesses are likely to bid. The commissioner may designate a contract for 
7.17 	construction work for award only to veteran-owned small businesses if the commissioner 
7.18 	determines that at least three veteran-owned small businesses are likely to bid.
7.19 	(c) The commissioner, as a condition of awarding a construction contract, may 
7.20 	set goals that require the prime contractor to subcontract a portion of the contract to 
7.21 	small targeted group businesses and veteran-owned small businesses. The commissioner 
7.22 	must establish a procedure for granting waivers from the subcontracting requirement 
7.23 	when qualified small targeted group businesses and veteran-owned small businesses 
7.24 	are not reasonably available. The commissioner may establish financial incentives for 
7.25 	prime contractors who exceed the goals for use of subcontractors and financial penalties 
7.26 	for prime contractors who fail to meet goals under this paragraph. The subcontracting 
7.27 	requirements of this paragraph do not apply to prime contractors who are small targeted 
7.28 	group businesses or veteran-owned small businesses.
7.29 	(d) (c) The commissioner may award up to a four percent preference in the amount 
7.30 	bid on procurement for specified construction work to small businesses located in an 
7.31 	economically disadvantaged area as defined in section 16C.16, subdivision 7.
7.32 		Subd. 2a.Subcontracting goals. (a) The commissioner, as a condition of awarding 
7.33 	a construction contract, may set goals that require the prime contractor to subcontract 
7.34 	portions of the contract to small targeted group businesses and veteran-owned small 
7.35 	businesses. Prime contractors must demonstrate good faith efforts to meet the project 
7.36 	goals. The commissioner shall establish a procedure for granting waivers from the 
8.1 	subcontracting requirement when either qualified small targeted group businesses or 
8.2 	veteran-owned small businesses, or both, are not reasonably available. The commissioner 
8.3 	may establish (1) financial incentives for prime contractors who exceed the goals set for 
8.4 	the use of subcontractors under this subdivision; and (2) sanctions for prime contractors 
8.5 	who fail to make good faith efforts to meet the goals set under this subdivision.
8.6 	(b) The small targeted group business subcontracting requirements of this 
8.7 	subdivision do not apply to prime contractors who are small targeted group businesses. 
8.8 	The veteran-owned small business subcontracting requirements of this subdivision do not 
8.9 	apply to prime contractors who are veteran-owned small businesses.
8.10 		Subd. 3.Subcontract awards to small businesses. At least 75 percent of 
8.11 	subcontracts awarded to small targeted group businesses must be performed by the 
8.12 	business to which the subcontract is awarded or another small targeted group business. 
8.13 	At least 75 percent of subcontracts awarded to veteran-owned small businesses must be 
8.14 	performed by the business to which the subcontract is awarded or another veteran-owned 
8.15 	small business.
8.16 		Subd. 4.Contract awards, limitations. Contracts awarded pursuant to this 
8.17 	section are subject to all limitations contained in rules adopted by the commissioner 
8.18 	of administration.
8.19 		Subd. 4a.Limited duration and reevaluation. The commissioner shall cooperate 
8.20 	with the commissioner of administration to periodically reevaluate the targeted group 
8.21 	businesses to determine that there is a statistical disparity between the percentage of 
8.22 	construction contracts awarded to businesses owned by targeted group members and the 
8.23 	representation of businesses owned by targeted group members among all businesses in 
8.24 	the state in the construction category. The commissioner of administration shall designate 
8.25 	targeted groups pursuant to section 16C.16, subdivision 5.
8.26 		Subd. 5.Recourse to other businesses. If the commissioner is unable to award 
8.27 	a contract pursuant to the provisions of subdivisions 2 and 3 to 4a, the award may be 
8.28 	placed pursuant to the normal solicitation and award provisions set forth in this chapter 
8.29 	and chapter 16C.
8.30 		Subd. 6.Rules; eligibility. (a) The rules adopted by the commissioner of 
8.31 	administration to define small businesses and to set time and other eligibility requirements 
8.32 	for participation in programs under sections 16C.16 to 16C.19 apply to this section. The 
8.33 	commissioner may promulgate other rules necessary to carry out this section.
8.34 	(b) In addition to other eligibility requirements, a small targeted group business or 
8.35 	veteran-owned small business is eligible for the bid preferences under this section only 
8.36 	for eight years following the later of (1) the effective date of this act, or (2) the date of 
9.1 	initial designation as a small targeted group business or veteran-owned small business by 
9.2 	the commissioner of administration under section 16C.16.
9.3 		Subd. 7.Noncompetitive bids. The commissioner is encouraged to purchase 
9.4 	from small targeted group businesses and veteran-owned small businesses designated 
9.5 	under section 16C.16 when making purchases that are not subject to competitive bidding 
9.6 	procedures.
9.7 		Subd. 8.Report by commissioner Reporting. (a) The commissioner of 
9.8 	transportation shall report to the commissioner of administration on compliance with this 
9.9 	section. The information must be reported at the time and in the manner requested by the 
9.10 	commissioner of administration.
9.11 	(b) By February 1 of each even-numbered year, the commissioner shall submit a 
9.12 	report to the chairs and ranking minority members of the legislative committees with 
9.13 	jurisdiction over transportation policy and finance concerning contract awards under this 
9.14 	section. At a minimum, the report must include:
9.15 	(1) a summary of the program;
9.16 	(2) a review of the use of preferences for contracting, including frequency of 
9.17 	establishment of a preference and frequency of contract award to a small targeted group 
9.18 	business or veteran-owned small business;
9.19 	(3) a review of goals and good faith efforts to use small targeted group businesses 
9.20 	and veteran-owned small businesses in subcontracts, including analysis of methods used 
9.21 	for, and effectiveness of, good faith efforts;
9.22 	(4) a summary of any financial incentives or sanctions imposed;
9.23 	(5) information on each reevaluation under subdivision 4a, including details on the 
9.24 	methodology for reevaluation; and
9.25 	(6) any recommendations for legislative or programmatic changes.

9.26 	Sec. 13. Minnesota Statutes 2010, section 161.3212, is amended to read:
9.27 	161.3212 WORKING CAPITAL FUND.
9.28 	The commissioner, to the extent allowed by other law or contract, may grant 
9.29 	available money that has been appropriated for socially or economically disadvantaged 
9.30 	business programs to a guaranty fund administered by a nonprofit organization that makes 
9.31 	or guarantees working capital loans to businesses small business concerns owned and 
9.32 	operated by socially or and economically disadvantaged persons as defined individuals. 
9.33 	"Small business concern" and "socially and economically disadvantaged individual" have 
9.34 	the meanings given them in Code of Federal Regulations, title 49, section 23.5 26.5. The 
9.35 	purpose of loans made or guaranteed by the organization must be to provide short-term 
10.1 	working capital to enable eligible businesses to be awarded contracts for goods and 
10.2 	services or for construction-related services from government agencies.
10.3 	Money contributed from a constitutionally or statutorily dedicated fund must be used 
10.4 	only for purposes consistent with the purposes of the dedicated fund.

10.5 	Sec. 14. Minnesota Statutes 2010, section 162.081, subdivision 4, is amended to read:
10.6 		Subd. 4.Formula for distribution to towns; purposes. (a) Money apportioned to a 
10.7 	county from the town road account must be distributed to the treasurer of each town within 
10.8 	the county, according to a distribution formula adopted by the county board. The formula 
10.9 	must take into account each town's levy for road and bridge purposes, its population and 
10.10 	town road mileage, and other factors the county board deems advisable in the interests 
10.11 	of achieving equity among the towns. Distribution of town road funds to each town 
10.12 	treasurer must be made by March 1, annually, or within 30 days after receipt of payment 
10.13 	from the commissioner. Distribution of funds to town treasurers in a county which has 
10.14 	not adopted a distribution formula under this subdivision must be made according to a 
10.15 	formula prescribed by the commissioner by rule. A formula adopted by a county board or 
10.16 	by the commissioner must provide that a town, in order to be eligible for distribution of 
10.17 	funds from the town road account in a calendar year, must have levied for taxes payable in 
10.18 	the previous year for road and bridge purposes at least 0.04835 percent of taxable market 
10.19 	value. For purposes of this eligibility requirement, taxable market value means taxable 
10.20 	market value for taxes payable two years prior to the aid distribution year.
10.21 	(b) Money distributed to a town under this subdivision may be expended by the 
10.22 	town only for the construction, reconstruction, and gravel maintenance of town roads 
10.23 	within the town.

10.24 	Sec. 15. Minnesota Statutes 2010, section 162.09, is amended by adding a subdivision 
10.25 	to read:
10.26 		Subd. 4a.Municipal state-aid transition. (a) Notwithstanding subdivision 4, any 
10.27 	city that has a population of less than 5,000 according to a federal decennial census, and 
10.28 	that has had a population of 5,000 or more as determined by the most recent population 
10.29 	estimate of the Metropolitan Council or state demographer made prior to the census, is 
10.30 	deemed for purposes of this chapter to have a population that is the greater of (1) 5,000, or 
10.31 	(2) as otherwise determined under subdivision 4, paragraph (b), (c), or (d).
10.32 	(b) This subdivision applies only to the first four consecutive calendar years for 
10.33 	which population is determined for purposes of this chapter on the basis of a federal 
10.34 	decennial census.

11.1 	EFFECTIVE DATE. This section is effective the day following final enactment.

11.2 	Sec. 16. Minnesota Statutes 2010, section 162.18, subdivision 1, is amended to read:
11.3 		Subdivision 1.Authorization; limitation on amount. (a) Any city having a 
11.4 	population of 5,000 or more may in accordance with chapter 475, except as otherwise 
11.5 	provided herein, issue and sell its obligations for the purpose of establishing, locating, 
11.6 	relocating, constructing, reconstructing, and improving municipal state-aid streets therein. 
11.7 	In the resolution providing for the issuance of the obligations, the governing body of the 
11.8 	municipality shall irrevocably pledge and appropriate to the sinking fund from which 
11.9 	the obligations are payable, an amount of the moneys allotted or to be allotted to the 
11.10 	municipality from its account in the municipal state-aid street fund sufficient to pay the 
11.11 	principal of and the interest on the obligations as they respectively come due.
11.12 	(b) The obligations shall be issued in amounts and on terms such that the average 
11.13 	annual amount of principal and interest due in all subsequent calendar years on the 
11.14 	obligations, including any similar obligations of the municipality which are outstanding, 
11.15 	shall not exceed 90 percent of the amount of the last annual allotment preceding the 
11.16 	bond issue received by the municipality from the construction account in the municipal 
11.17 	state-aid street fund.
11.18 	(c) In any calendar year in which the municipality receives aid from the municipal 
11.19 	state-aid street fund under this chapter, all interest on the obligations shall be paid out of 
11.20 	the municipality's normal maintenance account in the municipal state-aid street fund. Any 
11.21 	such obligations may be made general obligations, but if moneys of the municipality other 
11.22 	than moneys received from the municipal state-aid street fund, are used for payment of 
11.23 	the obligations, the moneys so used shall be restored to the appropriate fund from the 
11.24 	moneys next received by the municipality from the construction or maintenance account 
11.25 	in the municipal state-aid street fund which are not required to be paid into a sinking 
11.26 	fund for obligations.

11.27 	EFFECTIVE DATE. This section is effective the day following final enactment.

11.28 	Sec. 17. Minnesota Statutes 2010, section 162.18, subdivision 4, is amended to read:
11.29 		Subd. 4.Certification to commissioner of money required Certifications; 
11.30 	payment. (a) Any municipality issuing and selling bonds pursuant to this section shall 
11.31 	certify to the commissioner the amount of money required annually for the payment of 
11.32 	principal and interest on the obligation. Upon receipt thereof, the commissioner shall 
11.33 	certify to the commissioner of management and budget the sum of money needed annually 
12.1 	by the municipality for the principal and interest, provided that the amount certified by the 
12.2 	commissioner shall must not exceed the limit heretofore specified in this section.
12.3 	(b) The commissioner of management and budget shall thereafter, until said bonds 
12.4 	are retired, issue a warrant annually in the amount certified payable to the fiscal officer 
12.5 	of the municipality, and the amount thereof shall be deposited by the fiscal officer until 
12.6 	the bonds are retired or defeased. The fiscal officer of the municipality shall deposit that 
12.7 	amount in the sinking fund from which the obligations are payable.
12.8 	(c) For any obligations issued before the effective date of this paragraph, 
12.9 	notwithstanding the requirements of this chapter, the requirements of this subdivision 
12.10 	apply regardless of the population of the city in each year.

12.11 	EFFECTIVE DATE. This section is effective the day following final enactment.

12.12 	Sec. 18. Minnesota Statutes 2010, section 168.012, subdivision 1, is amended to read:
12.13 		Subdivision 1.Vehicles exempt from tax, fees, or plate display. (a) The following 
12.14 	vehicles are exempt from the provisions of this chapter requiring payment of tax and 
12.15 	registration fees, except as provided in subdivision 1c:
12.16 	(1) vehicles owned and used solely in the transaction of official business by the 
12.17 	federal government, the state, or any political subdivision;
12.18 	(2) vehicles owned and used exclusively by educational institutions and used solely 
12.19 	in the transportation of pupils to and from those institutions;
12.20 	(3) vehicles used solely in driver education programs at nonpublic high schools;
12.21 	(4) vehicles owned by nonprofit charities and used exclusively to transport disabled 
12.22 	persons for charitable, religious, or educational purposes;
12.23 	(5) vehicles owned by nonprofit charities and used exclusively for disaster response 
12.24 	and related activities;
12.25 	(6) vehicles owned by ambulance services licensed under section 144E.10 that 
12.26 	are equipped and specifically intended for emergency response or providing ambulance 
12.27 	services; and
12.28 	(7) vehicles owned by a commercial driving school licensed under section 171.34, 
12.29 	or an employee of a commercial driving school licensed under section 171.34, and the 
12.30 	vehicle is used exclusively for driver education and training.
12.31 	(b) Provided the general appearance of the vehicle is unmistakable, the following 
12.32 	vehicles are not required to register or display number plates:
12.33 	(1) vehicles owned by the federal government;
12.34 	(2) fire apparatuses, including fire-suppression support vehicles, owned or leased by 
12.35 	the state or a political subdivision;
13.1 	(3) police patrols owned or leased by the state or a political subdivision; and
13.2 	(4) ambulances owned or leased by the state or a political subdivision.
13.3 	(c) Unmarked vehicles used in general police work, liquor investigations, or arson 
13.4 	investigations, and passenger automobiles, pickup trucks, and buses owned or operated by 
13.5 	the Department of Corrections or by conservation officers of the Division of Enforcement 
13.6 	and Field Service of the Department of Natural Resources, must be registered and must 
13.7 	display appropriate license number plates, furnished by the registrar at cost. Original and 
13.8 	renewal applications for these license plates authorized for use in general police work and 
13.9 	for use by the Department of Corrections or by conservation officers must be accompanied 
13.10 	by a certification signed by the appropriate chief of police if issued to a police vehicle, 
13.11 	the appropriate sheriff if issued to a sheriff's vehicle, the commissioner of corrections if 
13.12 	issued to a Department of Corrections vehicle, or the appropriate officer in charge if 
13.13 	issued to a vehicle of any other law enforcement agency. The certification must be on a 
13.14 	form prescribed by the commissioner and state that the vehicle will be used exclusively 
13.15 	for a purpose authorized by this section.
13.16 	(d) Unmarked vehicles used by the Departments of Revenue and Labor and Industry, 
13.17 	fraud unit, in conducting seizures or criminal investigations must be registered and must 
13.18 	display passenger vehicle classification license number plates, furnished at cost by the 
13.19 	registrar. Original and renewal applications for these passenger vehicle license plates 
13.20 	must be accompanied by a certification signed by the commissioner of revenue or the 
13.21 	commissioner of labor and industry. The certification must be on a form prescribed by 
13.22 	the commissioner and state that the vehicles will be used exclusively for the purposes 
13.23 	authorized by this section.
13.24 	(e) Unmarked vehicles used by the Division of Disease Prevention and Control of the 
13.25 	Department of Health must be registered and must display passenger vehicle classification 
13.26 	license number plates. These plates must be furnished at cost by the registrar. Original 
13.27 	and renewal applications for these passenger vehicle license plates must be accompanied 
13.28 	by a certification signed by the commissioner of health. The certification must be on a 
13.29 	form prescribed by the commissioner and state that the vehicles will be used exclusively 
13.30 	for the official duties of the Division of Disease Prevention and Control.
13.31 	(f) Unmarked vehicles used by staff of the Gambling Control Board in gambling 
13.32 	investigations and reviews must be registered and must display passenger vehicle 
13.33 	classification license number plates. These plates must be furnished at cost by the 
13.34 	registrar. Original and renewal applications for these passenger vehicle license plates must 
13.35 	be accompanied by a certification signed by the board chair. The certification must be on a 
14.1 	form prescribed by the commissioner and state that the vehicles will be used exclusively 
14.2 	for the official duties of the Gambling Control Board.
14.3 	(g) Unmarked vehicles used in general investigation, surveillance, supervision, 
14.4 	and monitoring by the staff of the Department of Human Services Office of Special 
14.5 	Investigations and the executive director of the Minnesota sex offender program must 
14.6 	be registered and must display passenger vehicle classification license number plates, 
14.7 	furnished by the registrar at cost. Original and renewal applications for passenger vehicle 
14.8 	license plates must be accompanied by a certification signed by the commissioner of 
14.9 	human services. The certification must be on a form prescribed by the commissioner and 
14.10 	state that the vehicles must be used exclusively for the official duties of the Office of 
14.11 	Special Investigations and the executive director of the Minnesota sex offender program.
14.12 	(h) Each state hospital and institution for persons who are mentally ill and 
14.13 	developmentally disabled may have one vehicle without the required identification on 
14.14 	the sides of the vehicle. The vehicle must be registered and must display passenger 
14.15 	vehicle classification license number plates. These plates must be furnished at cost by the 
14.16 	registrar. Original and renewal applications for these passenger vehicle license plates must 
14.17 	be accompanied by a certification signed by the hospital administrator. The certification 
14.18 	must be on a form prescribed by the commissioner and state that the vehicles will be used 
14.19 	exclusively for the official duties of the state hospital or institution.
14.20 	(i) Each county social service agency may have vehicles used for child and 
14.21 	vulnerable adult protective services without the required identification on the sides of the 
14.22 	vehicle. The vehicles must be registered and must display passenger vehicle classification 
14.23 	license number plates. These plates must be furnished at cost by the registrar. Original 
14.24 	and renewal applications for these passenger vehicle license plates must be accompanied 
14.25 	by a certification signed by the agency administrator. The certification must be on a form 
14.26 	prescribed by the commissioner and state that the vehicles will be used exclusively for the 
14.27 	official duties of the social service agency.
14.28 	(j) All other motor vehicles must be registered and display tax-exempt number 
14.29 	plates, furnished by the registrar at cost, except as provided in subdivision 1c. All 
14.30 	vehicles required to display tax-exempt number plates must have the name of the state 
14.31 	department or political subdivision, nonpublic high school operating a driver education 
14.32 	program, licensed commercial driving school, or other qualifying organization or entity, 
14.33 	plainly displayed on both sides of the vehicle. This identification must be in a color 
14.34 	giving contrast with that of the part of the vehicle on which it is placed and must endure 
14.35 	throughout the term of the registration. The identification must not be on a removable 
14.36 	plate or placard and must be kept clean and visible at all times; except that a removable 
15.1 	plate or placard may be utilized on vehicles leased or loaned to a political subdivision or 
15.2 	to a nonpublic high school driver education program.

15.3 	Sec. 19. Minnesota Statutes 2010, section 168.013, is amended by adding a subdivision 
15.4 	to read:
15.5 		Subd. 22.Optional donation for education on anatomical gifts. As part of 
15.6 	procedures for payment of the vehicle registration tax under this section, the commissioner 
15.7 	shall allow a vehicle owner to add to the tax a $2 donation for the purposes of public 
15.8 	information and education on anatomical gifts under section 171.075, for in-person 
15.9 	transactions conducted by a deputy registrar appointed under section 168.33, subdivision 
15.10 	2. This subdivision applies to annual renewal registrations only, and does not apply to 
15.11 	registrations authorized under sections 168.053 to 168.057, 168.127, 168.187, and 168.27.

15.12 	EFFECTIVE DATE. This section is effective January 1, 2013.

15.13 	Sec. 20. Minnesota Statutes 2011 Supplement, section 168.12, subdivision 5, is 
15.14 	amended to read:
15.15 		Subd. 5.Additional fee. (a) In addition to any fee otherwise authorized or any tax 
15.16 	otherwise imposed upon any vehicle, the payment of which is required as a condition to 
15.17 	the issuance of any plate or plates, the commissioner shall impose the fee specified in 
15.18 	paragraph (b) that is calculated to cover the cost of manufacturing and issuing the plate 
15.19 	or plates, except for plates issued to disabled veterans as defined in section 168.031 and 
15.20 	plates issued pursuant to section 168.124, 168.125, or 168.27, subdivisions 16 and 17, 
15.21 	for passenger automobiles. The commissioner shall issue graphic design plates only 
15.22 	for vehicles registered pursuant to section 168.017 and recreational vehicles registered 
15.23 	pursuant to section 168.013, subdivision 1g.
15.24 	(b) Unless otherwise specified or exempted by statute, the following plate and 
15.25 	validation sticker fees apply for the original, duplicate, or replacement issuance of a 
15.26 	plate in a plate year:

15.27	License Plate
			Single
		Double
	
15.28		Regular and Disability
		$
	4.50
	$
	6.00
	
15.29		Special
		$
	8.50
	$
	10.00
	
15.30		Personalized (Replacement)
		$
	10.00
	$
	14.00
	
15.31		Collector Category
		$
	13.50
	$
	15.00
	
15.32		Emergency Vehicle Display
		$
	3.00
	$
	6.00
	
15.33		Utility Trailer Self-Adhesive
		$
	2.50
			
15.34		Vertical Motorcycle Plate
		$
	100.00
		NA
	
15.35	Stickers
						
16.1		Duplicate year
		$
	1.00
	$
	1.00
	
16.2		International Fuel Tax Agreement
		$
	2.50
			
16.3 	(c) For vehicles that require two of the categories above, the registrar shall only 
16.4 	charge the higher of the two fees and not a combined total.
16.5 	(d) As part of procedures for payment of the fee under paragraph (b), the 
16.6 	commissioner shall allow a vehicle owner to add to the fee, a $2 donation for the purposes 
16.7 	of public information and education on anatomical gifts under section 171.075.

16.8 	EFFECTIVE DATE. This section is effective the day following final enactment.

16.9 	Sec. 21. Minnesota Statutes 2010, section 168B.011, subdivision 12, is amended to 
16.10 	read:
16.11 		Subd. 12.Public impound lot. "Public impound lot" means an impound lot owned 
16.12 	by or contracting with exclusively contracted solely for public use by a unit of government 
16.13 	under section 168B.09.

16.14 	Sec. 22. Minnesota Statutes 2010, section 169.011, subdivision 27, is amended to read:
16.15 		Subd. 27.Electric-assisted bicycle. "Electric-assisted bicycle" means a motor 
16.16 	vehicle bicycle with two or three wheels that:
16.17 	(1) has a saddle and fully operable pedals for human propulsion;
16.18 	(2) meets the requirements:
16.19 	(i) of federal motor vehicle safety standards for a motor-driven cycle in Code of 
16.20 	Federal Regulations, title 49, sections 571.1 et seq.; or
16.21 	(ii) for bicycles under Code of Federal Regulations, title 16, part 1512, or successor 
16.22 	requirements; and
16.23 	(3) has an electric motor that (i) has a power output of not more than 1,000 watts, (ii) 
16.24 	is incapable of propelling the vehicle at a speed of more than 20 miles per hour, (iii) is 
16.25 	incapable of further increasing the speed of the device when human power alone is used 
16.26 	to propel the vehicle at a speed of more than 20 miles per hour, and (iv) disengages or 
16.27 	ceases to function when the vehicle's brakes are applied.

16.28 	Sec. 23. Minnesota Statutes 2010, section 169.035, subdivision 1, is amended to read:
16.29 		Subdivision 1.Working on highway. (a) The provisions of this chapter shall not 
16.30 	apply to persons, motor vehicles, and other equipment while actually engaged in work 
16.31 	upon the highway, except as provided in paragraphs (b) and (c).
17.1 	(b) This chapter shall apply to those persons and vehicles when traveling to or 
17.2 	from such work, except that persons operating equipment owned, rented or hired by 
17.3 	road authorities shall be exempt from the width, height and length provisions of sections 
17.4 	169.80 and 169.81 and shall be exempt from the weight limitations of this chapter while 
17.5 	performing the following actions on behalf of the state or a local governmental unit:
17.6 	(1) while loading, readying, or moving the vehicles or equipment in preparation for 
17.7 	combating anticipated slippery road conditions or removing snow or ice; 
17.8 	(2) while actually engaged in snow or ice removal and or combating slippery road 
17.9 	conditions, including but not limited to pretreatment and anti-icing activities; or
17.10 	(3) while engaged in flood control operations on behalf of the state or a local 
17.11 	governmental unit.
17.12 	(c) Chapter 169A and section 169.444 apply to persons while actually engaged in 
17.13 	work upon the highway.

17.14 	EFFECTIVE DATE. This section is effective the day following final enactment. 

17.15 	Sec. 24. Minnesota Statutes 2010, section 169.035, is amended by adding a subdivision 
17.16 	to read:
17.17 		Subd. 4.Trains. (a) For purposes of this subdivision, "railroad operator" means 
17.18 	a person who is a locomotive engineer, conductor, member of the crew of a railroad 
17.19 	locomotive or train, or an operator of on-track equipment.
17.20 	(b) A peace officer may not issue a citation for violation of this chapter or chapter 
17.21 	171 to a railroad operator involving the operation of a railroad locomotive or train, or 
17.22 	on-track equipment while being operated upon rails.
17.23 	(c) Notwithstanding section 171.08, a railroad operator is not required to display or 
17.24 	furnish a driver's license to a peace officer in connection with the operation of a railroad 
17.25 	locomotive or train, or on-track equipment while being operated upon rails.

17.26 	Sec. 25. Minnesota Statutes 2010, section 169.06, subdivision 5, is amended to read:
17.27 		Subd. 5.Traffic-control signal. (a) Whenever traffic is controlled by traffic-control 
17.28 	signals exhibiting different colored lights, or colored lighted arrows, successively one at a 
17.29 	time or in combination, only the colors Green, Red, and Yellow shall be used, except for 
17.30 	special pedestrian signals carrying a word or legend. The traffic-control signal lights or 
17.31 	colored lighted arrows indicate and apply to drivers of vehicles and pedestrians as follows:
17.32 	(1) Green indication:
17.33 	(i) Vehicular traffic facing a circular green signal may proceed straight through or 
17.34 	turn right or left unless a sign at such place prohibits either turn. But vehicular traffic, 
18.1 	including vehicles turning right or left, shall yield the right-of-way to other vehicles and to 
18.2 	pedestrians lawfully within the intersection or adjacent crosswalk at the time this signal 
18.3 	is exhibited. Vehicular traffic turning left or making a U-turn to the left shall yield the 
18.4 	right-of-way to other vehicles approaching from the opposite direction so closely as to 
18.5 	constitute an immediate hazard.
18.6 	(ii) Vehicular traffic facing a green arrow signal, shown alone or in combination with 
18.7 	another indication, may cautiously enter the intersection only to make the movement 
18.8 	indicated by the arrow, or other movement as permitted by other indications shown at the 
18.9 	same time. Such Vehicular traffic shall yield the right-of-way to pedestrians lawfully 
18.10 	within an adjacent crosswalk and to other traffic lawfully using the intersection.
18.11 	(iii) Unless otherwise directed by a pedestrian-control signal as provided in 
18.12 	subdivision 6, pedestrians facing any green signal, except when the sole green signal is a 
18.13 	turn arrow, may proceed across the roadway within any marked or unmarked crosswalk. 
18.14 	Every driver of a vehicle shall yield the right-of-way to such pedestrian, except that the 
18.15 	pedestrian shall yield the right-of-way to vehicles lawfully within the intersection at the 
18.16 	time that the green signal indication is first shown.
18.17 	(2) Steady yellow indication:
18.18 	(i) Vehicular traffic facing a steady circular yellow or yellow arrow signal is thereby 
18.19 	warned that the related green movement is being terminated or that a red indication will be 
18.20 	exhibited immediately thereafter when vehicular traffic must not enter the intersection, 
18.21 	except for the continued movement allowed by any green arrow indication simultaneously 
18.22 	exhibited.
18.23 	(ii) Pedestrians facing a circular yellow signal, unless otherwise directed by a 
18.24 	pedestrian-control signal as provided in subdivision 6, are thereby advised that there is 
18.25 	insufficient time to cross the roadway before a red indication is shown and no pedestrian 
18.26 	shall then start to cross the roadway.
18.27 	(3) Steady red indication:
18.28 	(i) Vehicular traffic facing a circular red signal alone must stop at a clearly marked 
18.29 	stop line but, if none, before entering the crosswalk on the near side of the intersection 
18.30 	or, if none, then before entering the intersection and shall remain standing until a green 
18.31 	indication is shown, except as follows: (A) the driver of a vehicle stopped as close 
18.32 	as practicable at the entrance to the crosswalk on the near side of the intersection or, 
18.33 	if none, then at the entrance to the intersection in obedience to a red or stop signal, 
18.34 	and with the intention of making a right turn may make the right turn, after stopping, 
18.35 	unless an official sign has been erected prohibiting such movement, but shall yield the 
18.36 	right-of-way to pedestrians and other traffic lawfully proceeding as directed by the signal 
19.1 	at that intersection; or (B) the driver of a vehicle on a one-way street intersecting another 
19.2 	one-way street on which traffic moves to the left shall stop in obedience to a red or stop 
19.3 	signal and may then make a left turn into the one-way street, unless an official sign has 
19.4 	been erected prohibiting the movement, but shall yield the right-of-way to pedestrians and 
19.5 	other traffic lawfully proceeding as directed by the signal at that intersection.
19.6 	(ii) Unless otherwise directed by a pedestrian-control signal as provided in 
19.7 	subdivision 6, pedestrians facing a steady red signal alone shall not enter the roadway.
19.8 	(iii) Vehicular traffic facing a steady red arrow signal, with the intention of making a 
19.9 	movement indicated by the arrow, must stop at a clearly marked stop line but, if none, 
19.10 	before entering the crosswalk on the near side of the intersection or, if none, then before 
19.11 	entering the intersection and must remain standing until a permissive signal indication 
19.12 	permitting the movement indicated by the red arrow is displayed, except as follows: when 
19.13 	an official sign has been erected permitting a turn on a red arrow signal, the vehicular 
19.14 	traffic facing a red arrow signal indication is permitted to enter the intersection to turn 
19.15 	right, or to turn left from a one-way street into a one-way street on which traffic moves 
19.16 	to the left, after stopping, but must yield the right-of-way to pedestrians and other traffic 
19.17 	lawfully proceeding as directed by the signal at that intersection.
19.18 	(b) In the event an official traffic-control signal is erected and maintained at a place 
19.19 	other than an intersection, the provisions of this section are applicable except those which 
19.20 	can have no application. Any stop required must be made at a sign or marking on the 
19.21 	pavement indicating where the stop must be made, but in the absence of any such sign or 
19.22 	marking the stop must be made at the signal.
19.23 	(c) When a traffic-control signal indication or indications placed to control a certain 
19.24 	movement or lane are so identified by placing a sign near the indication or indications, 
19.25 	no other traffic-control signal indication or indications within the intersection controls 
19.26 	vehicular traffic for that movement or lane.

19.27 	Sec. 26. Minnesota Statutes 2010, section 169.06, subdivision 7, is amended to read:
19.28 		Subd. 7.Flashing signal. When flashing red or yellow signals are used they shall 
19.29 	require obedience by vehicular traffic as follows:
19.30 	(a) When a circular red lens is illuminated with rapid intermittent flashes, drivers of 
19.31 	vehicles shall stop at a clearly marked stop line, but if none, before entering the crosswalk 
19.32 	on the near side of the intersection, or if none, then at the point nearest the intersecting 
19.33 	roadway where the driver has a view of approaching traffic on the intersecting roadway 
19.34 	before entering the intersection, and the right to proceed shall be subject to the rules 
19.35 	applicable after making a stop at a stop sign.
20.1 	(b) When a red arrow lens is illuminated with rapid intermittent flashes drivers of 
20.2 	vehicles with the intention of making a movement indicated by the arrow shall stop at a 
20.3 	clearly marked stop line, but if none, before entering the crosswalk on the near side of 
20.4 	the intersection, or if none, then at the point nearest the intersecting roadway where the 
20.5 	driver has a view of approaching traffic on the intersecting roadway before entering the 
20.6 	intersection, and the right to proceed shall be subject to the rules applicable after making a 
20.7 	stop at a stop sign.
20.8 	(c) When a circular yellow lens is illuminated with rapid intermittent flashes, drivers 
20.9 	of vehicles may proceed through the intersection or past the signals only with caution. But 
20.10 	vehicular traffic, including vehicles turning right or left, shall yield the right-of-way to 
20.11 	other vehicles and to pedestrians lawfully within the intersection or adjacent crosswalk at 
20.12 	the time this signal is exhibited. Vehicular traffic turning left or making a U-turn to the left 
20.13 	shall yield the right-of-way to other vehicles approaching from the opposite direction so 
20.14 	closely as to constitute an immediate hazard.
20.15 	(d) When a yellow arrow indication is illuminated with rapid intermittent flashes, 
20.16 	drivers of vehicles with the intention of making a movement indicated by the arrow may 
20.17 	proceed through the intersection or past the signals only with caution., but shall yield 
20.18 	the right-of-way to other vehicles and to pedestrians lawfully within the intersection or 
20.19 	adjacent crosswalk at the time this signal is exhibited. Vehicular traffic turning left or 
20.20 	making a U-turn to the left shall yield the right-of-way to other vehicles approaching from 
20.21 	the opposite direction so closely as to constitute an immediate hazard.

20.22 	Sec. 27. Minnesota Statutes 2010, section 169.19, subdivision 5, is amended to read:
20.23 		Subd. 5.Signal to turn. A signal of intention to turn right or left shall be given 
20.24 	continuously during not less than the last 100 feet traveled by the vehicle before turning.
20.25 	A person whose vehicle is exiting a roundabout is exempt from the requirement in this 
20.26 	subdivision.

20.27 	Sec. 28. Minnesota Statutes 2010, section 169.223, subdivision 5, is amended to read:
20.28 		Subd. 5.Other operation requirements and prohibitions. (a) A person operating 
20.29 	a motorized bicycle on a roadway shall ride as close as practicable to the right-hand curb 
20.30 	or edge of the roadway except in one of the following situations:
20.31 	(1) when overtaking and passing another vehicle proceeding in the same direction;
20.32 	(2) when preparing for a left turn at an intersection or into a private road or 
20.33 	driveway; or
21.1 	(3) when reasonably necessary to avoid conditions, including fixed or moving 
21.2 	objects, vehicles, pedestrians, animals, surface hazards, or narrow width lanes, that make 
21.3 	it unsafe to continue along the right-hand curb or edge.
21.4 	(b) Persons operating motorized bicycles on a roadway may not ride more than two 
21.5 	abreast and may not impede the normal and reasonable movement of traffic. On a laned 
21.6 	roadway, a person operating a motorized bicycle shall ride within a single lane.
21.7 	(c) This section does not permit the operation of a motorized bicycle on a bicycle 
21.8 	path or bicycle lane that is reserved for the exclusive use of nonmotorized traffic, except 
21.9 	that an electric-assisted bicycle may be operated on the path or lane if not otherwise 
21.10 	prohibited under section 85.015, subdivision 1d; 85.018, subdivision 2, paragraph (d); 
21.11 	or 160.263, subdivision 2, paragraph (b), as applicable.
21.12 	(d) Subject to the provisions of section 160.263, subdivision 3, A person may 
21.13 	operate an electric-assisted bicycle on a bikeway or bicycle lane trail. A person may 
21.14 	operate an electric-assisted bicycle on the shoulder of a roadway if the electric-assisted 
21.15 	bicycle is traveling in the same direction as the adjacent vehicular traffic. 

21.16 	Sec. 29. Minnesota Statutes 2010, section 169.306, is amended to read:
21.17 	169.306 USE OF SHOULDERS BY BUSES.
21.18 	(a) The commissioner of transportationA road authority, as defined in section 
21.19 	160.02, subdivision 25, is authorized to permit the use by transit buses and Metro Mobility 
21.20 	buses use of a shoulder, as designated by the commissioner road authority, of a freeway or 
21.21 	expressway, as defined in section 160.02, in Minnesota.
21.22 	(b) If the commissionera road authority permits the use of a freeway or expressway 
21.23 	shoulder by transit buses, the commissionerroad authority shall permit the use on that 
21.24 	shoulder of a bus (1) with a seating capacity of 40 passengers or more operated by a motor 
21.25 	carrier of passengers, as defined in section 221.012, subdivision 26, while operating in 
21.26 	intrastate commerce or (2) providing regular route transit service, as defined in section 
21.27 	174.22, subdivision 8, or Metro Mobility services, and operated by or under contract 
21.28 	with the Metropolitan Council, a local transit authority, or a transit authority created by 
21.29 	the legislature. Drivers of these buses must have adequate training in the requirements of 
21.30 	paragraph (c), as determined by the commissioner.
21.31 	(c) Buses authorized to use the shoulder under this section may be operated on 
21.32 	the shoulder only when main-line traffic speeds are less than 35 miles per hour, except 
21.33 	as provided for in paragraph (f). Drivers of buses being operated on the shoulder may 
21.34 	not exceed the speed of main-line traffic by more than 15 miles per hour and may never 
21.35 	exceed 35 miles per hour, except as provided for in paragraph (f). Drivers of buses being 
22.1 	operated on the shoulder must yield to merging, entering, and exiting traffic and must yield 
22.2 	to other vehicles on the shoulder. Buses operated on the shoulder must be registered with 
22.3 	the Department of Transportation.
22.4 	(d) For the purposes of this section, the term "Metro Mobility bus" means a motor 
22.5 	vehicle of not less than 20 feet in length engaged in providing special transportation 
22.6 	services under section 473.386 that is:
22.7 	(1) operated by or under contract with a public or private entity receiving financial 
22.8 	assistance to provide transit services from the Metropolitan Council or the commissioner 
22.9 	of transportation; and
22.10 	(2) authorized by the commissionera road authority to use freeway or expressway 
22.11 	shoulders.
22.12 	(e) This section does not apply to the operation of buses on dynamic shoulder lanes.
22.13 	(f) The commissioner may authorize different operating conditions and maximum 
22.14 	speeds, not to exceed the posted speed limit, based upon an engineering study and 
22.15 	recommendation by the road authority. The engineering study must be conducted by the 
22.16 	road authority and must conform with the manual and specifications adopted under section 
22.17 	169.06, subdivision 1, and applicable state and federal standards. The road authority shall 
22.18 	consult the public transit operator before recommending operating conditions different 
22.19 	from those authorized by law.

22.20 	Sec. 30. Minnesota Statutes 2010, section 169.64, subdivision 2, is amended to read:
22.21 		Subd. 2.Colored light. (a) Unless otherwise authorized by the commissioner of 
22.22 	public safety, no vehicle shall be equipped, nor shall any person drive or move any vehicle 
22.23 	or equipment upon any highway with any lamp or device displaying a red light or any 
22.24 	colored light other than those required or permitted in this chapter.
22.25 	(b) A vehicle manufactured for use as an emergency vehicle may display and use 
22.26 	colored lights that are not otherwise required or permitted in this chapter, provided that 
22.27 	the vehicle is owned and operated according to section 168.10, is owned and operated 
22.28 	solely as a collector's item and not for general transportation purposes, and is registered 
22.29 	under section 168.10, subdivision 1a, 1b, 1c, 1d, 1g, or 1h. A person may not activate the 
22.30 	colored lights authorized under this paragraph on streets or highways except as part of 
22.31 	a parade or other special event.

22.32 	EFFECTIVE DATE. This section is effective the day following final enactment.

22.33 	Sec. 31. Minnesota Statutes 2010, section 169.685, subdivision 6, is amended to read:
22.34 		Subd. 6.Exceptions. (a) This section does not apply to:
23.1 	(1) a person transporting a child in an emergency medical vehicle while in the 
23.2 	performance of official duties and when the physical or medical needs of the child make 
23.3 	the use of a child passenger restraint system unreasonable or when a child passenger 
23.4 	restraint system is not available;
23.5 	(2) a peace officer transporting a child while in the performance of official duties 
23.6 	and when a child passenger restraint system is not available, provided that a seat belt 
23.7 	must be substituted;
23.8 	(3) a person while operating a motor vehicle for hire, including a taxi, airport 
23.9 	limousine, and bus, but excluding a rented, leased, or borrowed motor vehicle; and
23.10 	(4) a person while operating a school bus; and that has a gross vehicle weight rating 
23.11 	of greater than 10,000 pounds.
23.12 	(5) a person while operating a type III vehicle described in section 169.011, 
23.13 	subdivision 71, paragraph (h), if the vehicle meets the seating and crash protection 
23.14 	requirements of Federal Motor Vehicle Safety Standard 222, Code of Federal Regulations, 
23.15 	title 49, part 571.
23.16 	(b) A child passenger restraint system is not required for a child who cannot, in the 
23.17 	judgment of a licensed physician, be safely transported in a child passenger restraint 
23.18 	system because of a medical condition, body size, or physical disability. A motor vehicle 
23.19 	operator claiming exemption for a child under this paragraph must possess a typewritten 
23.20 	statement from the physician stating that the child cannot be safely transported in a child 
23.21 	passenger restraint system. The statement must give the name and birth date of the child, 
23.22 	be dated within the previous six months, and be made on the physician's letterhead or 
23.23 	contain the physician's name, address, and telephone number. A person charged with 
23.24 	violating subdivision 5 may not be convicted if the person produces the physician's 
23.25 	statement in court or in the office of the arresting officer.
23.26 	(c) A person offering a motor vehicle for rent or lease shall provide a child passenger 
23.27 	restraint device to a customer renting or leasing the motor vehicle who requests the device. 
23.28 	A reasonable rent or fee may be charged for use of the child passenger restraint device.

23.29 	Sec. 32. Minnesota Statutes 2010, section 169.86, subdivision 4, is amended to read:
23.30 		Subd. 4.Display and inspection of permit. Every such A permit shall must be 
23.31 	carried in the vehicle or combination of vehicles to which it refers and shall must be open 
23.32 	to inspection by any police peace officer or authorized agent of any authority granting 
23.33 	such the permit, and. A permit may be carried in electronic format if it is easily read. No 
23.34 	person shall violate any of the terms or conditions of such a special permit.

24.1 	Sec. 33. Minnesota Statutes 2011 Supplement, section 169.86, subdivision 5, is 
24.2 	amended to read:
24.3 		Subd. 5.Fees; proceeds deposited; appropriation. The commissioner, with 
24.4 	respect to highways under the commissioner's jurisdiction, may charge a fee for each 
24.5 	permit issued. All such fees for permits issued by the commissioner of transportation shall
24.6 	must be deposited in the state treasury and credited to the trunk highway fund. Except 
24.7 	for those annual permits for which the permit fees are specified elsewhere in this chapter, 
24.8 	the fees shall be are:
24.9 	(a) $15 for each single trip permit.
24.10 	(b) $36 for each job permit. A job permit may be issued for like loads carried on 
24.11 	a specific route for a period not to exceed two months. "Like loads" means loads of the 
24.12 	same product, weight, and dimension.
24.13 	(c) $60 for an annual permit to be issued for a period not to exceed 12 consecutive 
24.14 	months. Annual permits may be issued for:
24.15 	(1) motor vehicles used to alleviate a temporary crisis adversely affecting the safety 
24.16 	or well-being of the public;
24.17 	(2) motor vehicles which that travel on interstate highways and carry loads 
24.18 	authorized under subdivision 1a;
24.19 	(3) motor vehicles operating with gross weights authorized under section 169.826, 
24.20 	subdivision 1a;
24.21 	(4) special pulpwood vehicles described in section 169.863;
24.22 	(5) motor vehicles bearing snowplow blades not exceeding ten feet in width;
24.23 	(6) noncommercial transportation of a boat by the owner or user of the boat;
24.24 	(7) motor vehicles carrying bales of agricultural products authorized under section 
24.25 	169.862; and
24.26 	(8) special milk-hauling vehicles authorized under section 169.867.
24.27 	(d) $120 for an oversize annual permit to be issued for a period not to exceed 12 
24.28 	consecutive months. Annual permits may be issued for:
24.29 	(1) mobile cranes;
24.30 	(2) construction equipment, machinery, and supplies;
24.31 	(3) manufactured homes and manufactured storage buildings;
24.32 	(4) implements of husbandry;
24.33 	(5) double-deck buses;
24.34 	(6) commercial boat hauling and transporting waterfront structures, including, but 
24.35 	not limited to, portable boat docks and boat lifts;
25.1 	(7) three-vehicle combinations consisting of two empty, newly manufactured trailers 
25.2 	for cargo, horses, or livestock, not to exceed 28-1/2 feet per trailer; provided, however, 
25.3 	the permit allows the vehicles to be moved from a trailer manufacturer to a trailer dealer 
25.4 	only while operating on twin-trailer routes designated under section 169.81, subdivision 3, 
25.5 	paragraph (c); and
25.6 	(8) vehicles operating on that portion of marked Trunk Highway 36 described in 
25.7 	section 169.81, subdivision 3, paragraph (e).
25.8 	(e) For vehicles which that have axle weights exceeding the weight limitations of 
25.9 	sections 169.823 to 169.829, an additional cost added to the fees listed above. However, 
25.10 	this paragraph applies to any vehicle described in section 168.013, subdivision 3, 
25.11 	paragraph (b), but only when the vehicle exceeds its gross weight allowance set forth in 
25.12 	that paragraph, and then the additional cost is for all weight, including the allowance 
25.13 	weight, in excess of the permitted maximum axle weight. The additional cost is equal 
25.14 	to the product of the distance traveled times the sum of the overweight axle group cost 
25.15 	factors shown in the following chart:

25.16		Overweight Axle Group Cost Factors
		
25.17	Weight (pounds)
		Cost Per Mile For Each Group Of:
	
25.18
25.19
25.20
25.21
25.22	exceeding weight 
limitations on axles
		Two 
consecutive 
axles spaced 
within 8 feet 
or less
		Three 
consecutive 
axles spaced 
within 9 feet 
or less
		Four consecutive 
axles spaced within 
14 feet or less
	
25.23	0-2,000
		.12
		.05
		.04
	
25.24	2,001-4,000
		.14
		.06
		.05
	
25.25	4,001-6,000
		.18
		.07
		.06
	
25.26	6,001-8,000
		.21
		.09
		.07
	
25.27	8,001-10,000
		.26
		.10
		.08
	
25.28	10,001-12,000
		.30
		.12
		.09
	
25.29
25.30	12,001-14,000
		Not 
permitted
		.14
		.11
	
25.31
25.32	14,001-16,000
		Not 
permitted
		.17
		.12
	
25.33
25.34	16,001-18,000
		Not 
permitted
		.19
		.15
	
25.35
25.36	18,001-20,000
		Not 
permitted
		Not 
permitted
		.16
	
25.37
25.38	20,001-22,000
		Not 
permitted
		Not 
permitted
		.20
	
25.39 	The amounts added are rounded to the nearest cent for each axle or axle group. The 
25.40 	additional cost does not apply to paragraph (c), clauses (1) and (3).
26.1 	For a vehicle found to exceed the appropriate maximum permitted weight, a cost-per-mile 
26.2 	fee of 22 cents per ton, or fraction of a ton, over the permitted maximum weight is imposed 
26.3 	in addition to the normal permit fee. Miles must be calculated based on the distance 
26.4 	already traveled in the state plus the distance from the point of detection to a transportation 
26.5 	loading site or unloading site within the state or to the point of exit from the state.
26.6 	(f) As an alternative to paragraph (e), an annual permit may be issued for overweight, 
26.7 	or oversize and overweight, mobile cranes; construction equipment, machinery, and 
26.8 	supplies; implements of husbandry; and commercial boat hauling. The fees for the permit 
26.9 	are as follows:

26.10	Gross Weight (pounds) of Vehicle
	Annual Permit Fee 
	
26.11	90,000
	or less 
	$200
	
26.12	90,001
	- 100,000
	$300
	
26.13	100,001
	- 110,000
	$400
	
26.14	110,001
	- 120,000
	$500
	
26.15	120,001
	- 130,000
	$600
	
26.16	130,001
	- 140,000
	$700
	
26.17	140,001
	- 145,000
	$800
	
26.18	145,001
	- 155,000
	$900
	
26.19 	If the gross weight of the vehicle is more than 145,000 155,000 pounds the permit fee is 
26.20 	determined under paragraph (e).
26.21 	(g) For vehicles which exceed the width limitations set forth in section 169.80 by 
26.22 	more than 72 inches, an additional cost equal to $120 added to the amount in paragraph (a) 
26.23 	when the permit is issued while seasonal load restrictions pursuant to section 169.87 are 
26.24 	in effect.
26.25 	(h) $85 for an annual permit to be issued for a period not to exceed 12 months, for 
26.26 	refuse-compactor vehicles that carry a gross weight of not more than: 22,000 pounds on 
26.27 	a single rear axle; 38,000 pounds on a tandem rear axle; or, subject to section 169.828, 
26.28 	subdivision 2, 46,000 pounds on a tridem rear axle. A permit issued for up to 46,000 
26.29 	pounds on a tridem rear axle must limit the gross vehicle weight to not more than 62,000 
26.30 	pounds.
26.31 	(i) $300 for a motor vehicle described in section 169.8261. The fee under this 
26.32 	paragraph must be deposited as follows:
26.33 	(1) in fiscal years 2005 through 2010:
26.34 	(i) the first $50,000 in each fiscal year must be deposited in the trunk highway fund 
26.35 	for costs related to administering the permit program and inspecting and posting bridges;
27.1 	(ii) all remaining money in each fiscal year must be deposited in a bridge inspection 
27.2 	and signing account in the special revenue fund. Money in the account is appropriated 
27.3 	to the commissioner for:
27.4 	(A) inspection of local bridges and identification of local bridges to be posted, 
27.5 	including contracting with a consultant for some or all of these functions; and
27.6 	(B) erection of weight-posting signs on local bridges; and
27.7 	(2) in fiscal year 2011 and subsequent years must be deposited in the trunk highway 
27.8 	fund.
27.9 	(j) Beginning August 1, 2006, $200 for an annual permit for a vehicle operating 
27.10 	under authority of section 169.824, subdivision 2, paragraph (a), clause (2).

27.11 	Sec. 34. Minnesota Statutes 2010, section 169.99, subdivision 1b, is amended to read:
27.12 		Subd. 1b.Speed. The uniform traffic ticket must provide a blank or space wherein 
27.13 	an officer who issues a citation for a violation of a speed limit of 55 or 60 miles per 
27.14 	hour must specify whether the speed was greater than ten miles per hour in excess of a 
27.15 	55 miles per hour speed limit, or more than five miles per hour in excess of a 60 miles 
27.16 	per hour the speed limit.

27.17 	Sec. 35. Minnesota Statutes 2010, section 169A.54, subdivision 1, is amended to read:
27.18 		Subdivision 1.Revocation periods for DWI convictions. Except as provided in 
27.19 	subdivision 7, the commissioner shall revoke the driver's license of a person convicted 
27.20 	of violating section 169A.20 (driving while impaired) or an ordinance in conformity 
27.21 	with it, as follows:
27.22 	(1) not less than 30 days for an offense under section 169A.20, subdivision 1
27.23 	(driving while impaired crime), not less than 30 days;
27.24 	(2) not less than 90 days for an offense under section 169A.20, subdivision 2 (refusal 
27.25 	to submit to chemical test crime), not less than 90 days;
27.26 	(3) not less than one year for: 
27.27 	(i)  an offense occurring within ten years of a qualified prior impaired driving 
27.28 	incident, or;
27.29 	(ii) an offense occurring after two qualified prior impaired driving incidents, not 
27.30 	less than one year,; or if
27.31 	(iii) an offense occurring when a person has an alcohol concentration of twice the 
27.32 	legal limit or more as measured at the time, or within two hours of the time, of the offense 
27.33 	and the person has no qualified prior impaired driving incident within ten years;
28.1 	(4) not less than two years for an offense occurring under clause (3), item (i) or (ii), 
28.2 	and  the test results indicate an alcohol concentration of twice the legal limit or more, 
28.3 	not less than two years and until the court has certified that treatment or rehabilitation 
28.4 	has been successfully completed where prescribed in accordance with section 169A.70
28.5 	(chemical use assessments);
28.6 	(4) (5) not less than three years for an offense occurring within ten years of the 
28.7 	first of two qualified prior impaired driving incidents or occurring after three qualified 
28.8 	prior impaired driving incidents, not less than three years, together and  with denial under 
28.9 	section 171.04, subdivision 1, clause (10), until rehabilitation is established according to 
28.10 	standards established by the commissioner; and
28.11 	(5) (6) not less than four years for an offense occurring within ten years of the first of 
28.12 	three qualified prior impaired driving incidents, not less than four years, together and with 
28.13 	denial under section 171.04, subdivision 1, clause (10), until rehabilitation is established 
28.14 	according to standards established by the commissioner; or
28.15 	(6) (7) not less than six years for an offense occurring after four or more qualified 
28.16 	prior impaired driving incidents, not less than six years, together and with denial under 
28.17 	section 171.04, subdivision 1, clause (10), until rehabilitation is established according to 
28.18 	standards established by the commissioner.

28.19 	EFFECTIVE DATE. This section is effective the day following final enactment.

28.20 	Sec. 36. Minnesota Statutes 2010, section 169A.54, subdivision 6, is amended to read:
28.21 		Subd. 6.Applicability of implied consent revocation. (a) Any person whose 
28.22 	license has been revoked pursuant to section 169A.52 (license revocation for test failure 
28.23 	or refusal) as the result of the same incident, and who does not have a qualified prior 
28.24 	impaired driving incident, is subject to the mandatory revocation provisions of subdivision 
28.25 	1, clause (1) or (2), in lieu of the mandatory revocation provisions of section 169A.52.
28.26 	(b) Paragraph (a) does not apply to:
28.27 	(1) a person whose license has been revoked under subdivision 2 (driving while 
28.28 	impaired by person under age 21); or
28.29 	(2) a person whose driver's license has been revoked for, or who is charged with,
28.30 	(i) an alcohol concentration of twice the legal limit or more as measured at the time, or 
28.31 	within two hours, of the time of the offense; or (ii)  a violation of section 169A.20 (driving 
28.32 	while impaired) with an aggravating factor described in section 169A.03, subdivision 
28.33 	3, clause (2) or (3).

28.34 	EFFECTIVE DATE. This section is effective the day following final enactment.

29.1 	Sec. 37. Minnesota Statutes 2010, section 171.03, is amended to read:
29.2 	171.03 PERSONS EXEMPT.
29.3 	The following persons are exempt from license hereunder:
29.4 	(a) A person in the employ or service of the United States federal government is 
29.5 	exempt while driving or operating a motor vehicle owned by or leased to the United 
29.6 	States federal government.
29.7 	(b) A person in the employ or service of the United States federal government is 
29.8 	exempt from the requirement to possess a valid class A, class B, or class C commercial 
29.9 	driver's license while driving or operating for military purposes a commercial motor 
29.10 	vehicle for the United States federal government if the person is:
29.11 	(1) on active duty in the U. S. Coast Guard;
29.12 	(2) on active duty in a branch of the U. S. armed forces, which includes the Army, 
29.13 	Air Force, Navy, and Marine Corps;
29.14 	(3) a member of a reserve component of the U. S. armed forces; or
29.15 	(4) on active duty in the Army National Guard or Air National Guard, which 
29.16 	includes (i) a member on full-time National Guard duty, (ii) a member undergoing 
29.17 	part-time National Guard training, and (iii) a National Guard military technician, who is a 
29.18 	civilian required to wear a military uniform.
29.19 	The exemption provided under this paragraph does not apply to a U. S. armed forces 
29.20 	reserve technician.
29.21 	(c) Any person while driving or operating any farm tractor or implement of 
29.22 	husbandry temporarily on a highway is exempt. For purposes of this section, an all-terrain 
29.23 	vehicle, as defined in section 84.92, subdivision 8, an off-highway motorcycle, as defined 
29.24 	in section 84.787, subdivision 7, and an off-road vehicle, as defined in section 84.797, 
29.25 	subdivision 7, are not implements of husbandry.
29.26 	(d) A nonresident who is at least 15 years of age and who has in immediate 
29.27 	possession a valid driver's license issued to the nonresident in the home state or country 
29.28 	may operate a motor vehicle in this state only as a driver.
29.29 	(e) A nonresident who has in immediate possession a valid commercial driver's 
29.30 	license issued by a state or jurisdiction in accordance with the standards of Code of 
29.31 	Federal Regulations, title 49, part 383, and who is operating in Minnesota the class of 
29.32 	commercial motor vehicle authorized by the issuing state or jurisdiction is exempt.
29.33 	(f) Any nonresident who is at least 18 years of age, whose home state or country does 
29.34 	not require the licensing of drivers may operate a motor vehicle as a driver, but only for a 
29.35 	period of not more than 90 days in any calendar year, if the motor vehicle so operated is 
29.36 	duly registered for the current calendar year in the home state or country of the nonresident.
30.1 	(g) Any person who becomes a resident of the state of Minnesota and who has in 
30.2 	possession a valid driver's license issued to the person under and pursuant to the laws of 
30.3 	some other state or jurisdiction or by military authorities of the United States may operate 
30.4 	a motor vehicle as a driver, but only for a period of not more than 60 days after becoming 
30.5 	a resident of this state, without being required to have a Minnesota driver's license as 
30.6 	provided in this chapter.
30.7 	(h) Any person who becomes a resident of the state of Minnesota and who has in 
30.8 	possession a valid commercial driver's license issued by another state or jurisdiction in 
30.9 	accordance with the standards of Code of Federal Regulations, title 49, part 383, is exempt 
30.10 	for not more than 30 days after becoming a resident of this state.
30.11 	(i) Any person operating a snowmobile, as defined in section 84.81, is exempt.
30.12 	(j) A railroad operator, as defined in section 169.035, subdivision 4, paragraph (a), 
30.13 	is exempt while operating a railroad locomotive or train, or on-track equipment while 
30.14 	being operated upon rails. This exemption includes operation while crossing a street or 
30.15 	highway, whether public or private.

30.16 	Sec. 38. Minnesota Statutes 2011 Supplement, section 171.05, subdivision 2, is 
30.17 	amended to read:
30.18 		Subd. 2.Person less than 18 years of age. (a) Notwithstanding any provision 
30.19 	in subdivision 1 to the contrary, the department may issue an instruction permit to an 
30.20 	applicant who is 15, 16, or 17 years of age and who:
30.21 	(1) has completed a course of driver education in another state, has a previously 
30.22 	issued valid license from another state, or is enrolled in either:
30.23 	(i) the applicant is enrolled in behind-the-wheel training in a public, private, or 
30.24 	commercial driver education program that utilizes simulation or behind-the-wheel 
30.25 	instruction and that is approved by the commissioner of public safety; and
30.26 	(ii) the applicant:
30.27 	(A) has completed the classroom phase of instruction in a public, private, or 
30.28 	commercial driver education program that is approved by the commissioner of public 
30.29 	safety and that includes classroom and behind-the-wheel training; or
30.30 	(ii) an approved behind-the-wheel driver education program
30.31 	(B) has completed home-school driver training, when the student is receiving 
30.32 	full-time instruction in a home school within the meaning of sections 120A.22 and 
30.33 	120A.24, the student is working toward a homeschool home-school diploma, the 
30.34 	student is taking home-classroom driver training with classroom materials approved by 
30.35 	the commissioner of public safety, and the student's parent has certified the student's 
31.1 	homeschool home-school and home-classroom driver training status on the form approved 
31.2 	by the commissioner; or
31.3 	(C) has completed an Internet-based theory driver education program that is 
31.4 	approved by the commissioner of public safety;
31.5 	(2) has completed the classroom phase of instruction in the driver education program;
31.6 	(3) (2) has passed a test of the applicant's eyesight;
31.7 	(4) (3) has passed a department-administered test of the applicant's knowledge 
31.8 	of traffic laws;
31.9 	(5) (4) has completed the required application, which must be approved by (i) either 
31.10 	parent when both reside in the same household as the minor applicant or, if otherwise, 
31.11 	then (ii) the parent or spouse of the parent having custody or, in the event there is no 
31.12 	court order for custody, then (iii) the parent or spouse of the parent with whom the minor 
31.13 	is living or, if items (i) to (iii) do not apply, then (iv) the guardian having custody of the 
31.14 	minor, (v) the foster parent or the director of the transitional living program in which the 
31.15 	child resides or, in the event a person under the age of 18 has no living father, mother, 
31.16 	or guardian, or is married or otherwise legally emancipated, then (vi) the applicant's 
31.17 	adult spouse, adult close family member, or adult employer; provided, that the approval 
31.18 	required by this clause contains a verification of the age of the applicant and the identity of 
31.19 	the parent, guardian, adult spouse, adult close family member, or adult employer; and
31.20 	(6) (5) has paid the fee required in section 171.06, subdivision 2.
31.21 	(b) For the purposes of determining compliance with the certification of paragraph 
31.22 	(a), clause (1), item (ii) (B), the commissioner may request verification of a student's 
31.23 	homeschool home-school status from the superintendent of the school district in which the 
31.24 	student resides and the superintendent shall provide that verification.
31.25 	(c) The instruction permit is valid for two years from the date of application and 
31.26 	may be renewed upon payment of a fee equal to the fee for issuance of an instruction 
31.27 	permit under section 171.06, subdivision 2.
31.28 	(d) A provider of an Internet-based theory driver education program approved by 
31.29 	the commissioner shall issue a certificate of completion to each person who successfully 
31.30 	completes the program. The commissioner shall furnish numbered certificate forms to 
31.31 	approved providers who shall pay the commissioner a fee of $2 for each certificate. The 
31.32 	commissioner shall deposit proceeds of the fee in the driver services operating account in 
31.33 	the special revenue fund. The commissioner shall terminate the fee when the department 
31.34 	has fully recovered its costs to implement Internet driver education under this section. 
31.35 	Proceeds from the fee under this paragraph are annually appropriated to the commissioner 
32.1 	from the driver services operating account for administrative costs to implement Internet 
32.2 	driver education.

32.3 	Sec. 39. Minnesota Statutes 2010, section 171.061, subdivision 4, is amended to read:
32.4 		Subd. 4.Fee; equipment. (a) The agent may charge and retain a filing fee of $5 for 
32.5 	each application. Except as provided in paragraph (b) (c), the fee shall cover all expenses 
32.6 	involved in receiving, accepting, or forwarding to the department the applications and 
32.7 	fees required under sections 171.02, subdivision 3; 171.06, subdivisions 2 and 2a; and 
32.8 	171.07, subdivisions 3 and 3a.
32.9 	(b) The statutory fees and the filing fees imposed under paragraph (a) may be paid 
32.10 	by credit card or debit card. The driver's license agent may collect a convenience fee on 
32.11 	the statutory fees and filing fees not greater than the cost of processing a credit card or 
32.12 	debit card transaction. The convenience fee must be used to pay the cost of processing 
32.13 	credit card and debit card transactions. The commissioner shall adopt rules to administer 
32.14 	this paragraph, using the exempt procedures of section 14.386, except that section 14.386, 
32.15 	paragraph (b), does not apply.
32.16 	(b) (c) The department shall maintain the photo identification equipment for all 
32.17 	agents appointed as of January 1, 2000. Upon the retirement, resignation, death, or 
32.18 	discontinuance of an existing agent, and if a new agent is appointed in an existing office 
32.19 	pursuant to Minnesota Rules, chapter 7404, and notwithstanding the above or Minnesota 
32.20 	Rules, part 7404.0400, the department shall provide and maintain photo identification 
32.21 	equipment without additional cost to a newly appointed agent in that office if the office 
32.22 	was provided the equipment by the department before January 1, 2000. All photo 
32.23 	identification equipment must be compatible with standards established by the department.
32.24 	(c) (d) A filing fee retained by the agent employed by a county board must be paid 
32.25 	into the county treasury and credited to the general revenue fund of the county. An 
32.26 	agent who is not an employee of the county shall retain the filing fee in lieu of county 
32.27 	employment or salary and is considered an independent contractor for pension purposes, 
32.28 	coverage under the Minnesota State Retirement System, or membership in the Public 
32.29 	Employees Retirement Association.
32.30 	(d) (e) Before the end of the first working day following the final day of the 
32.31 	reporting period established by the department, the agent must forward to the department 
32.32 	all applications and fees collected during the reporting period except as provided in 
32.33 	paragraph (c) (d).

32.34 	EFFECTIVE DATE. This section is effective the day following final enactment.

33.1 	Sec. 40. [171.0703] INTERNET-BASED DRIVER EDUCATION.
33.2 	The commissioner shall include in administrative rules on Internet-based theory 
33.3 	driver education programs a requirement that a program may offer no more than three 
33.4 	hours of instruction per day to a student.

33.5 	Sec. 41. Minnesota Statutes 2011 Supplement, section 171.075, subdivision 1, is 
33.6 	amended to read:
33.7 		Subdivision 1.Anatomical gift account. An anatomical gift account is established 
33.8 	in the special revenue fund. The account consist of funds donated under sections 168.12
33.9 	168.013, subdivision 5 22, and 171.06, subdivision 2, and any other money donated, 
33.10 	allotted, transferred, or otherwise provided to the account. Money in the account is 
33.11 	annually appropriated to the commissioner for (1) grants under subdivision 2, and (2) 
33.12 	administrative expenses in implementing the donation and grant program.

33.13 	EFFECTIVE DATE. This section is effective January 1, 2013.

33.14 	Sec. 42. Minnesota Statutes 2010, section 171.12, subdivision 6, is amended to read:
33.15 		Subd. 6.Certain convictions not recorded. (a) Except as provided in paragraph 
33.16 	(b), the department shall not keep on the record of a driver any conviction for a violation 
33.17 	of a speed limit of 55 or 60 miles per hour unless the violation consisted of a speed greater 
33.18 	than ten miles per hour in excess of a 55 miles per hour the speed limit, or more than five 
33.19 	miles per hour in excess of a 60 miles per hour speed limit.
33.20 	(b) This subdivision does not apply to (1) a violation that occurs in a commercial 
33.21 	motor vehicle, or (2) a violation committed by a holder of a class A, B, or C commercial 
33.22 	driver's license, without regard to whether the violation was committed in a commercial 
33.23 	motor vehicle or another vehicle.

33.24 	Sec. 43. Minnesota Statutes 2010, section 171.30, subdivision 1, is amended to read:
33.25 		Subdivision 1.Conditions of issuance. (a) The commissioner may issue a limited 
33.26 	license to the driver under the conditions in paragraph (b) in any case where a person's 
33.27 	license has been:
33.28 	(1) suspended under section 171.18, 171.173, or 171.186;
33.29 	(2) revoked, canceled, or denied under section:
33.30 	(i) 169.792;
33.31 	(ii) 169.797;
33.32 	(iii) 169A.52:
33.33 	(A) subdivision 3, paragraph (a), clause (1) or (2);
34.1 	(B) subdivision 3, paragraph (a), clause (4), (5), or (6), if in compliance with section 
34.2 	171.306;
34.3 	(C) subdivision 4, paragraph (a), clause (1) or (2), if the test results indicate an 
34.4 	alcohol concentration of less than twice the legal limit;
34.5 	(D) subdivision 4, paragraph (a), clause (4), (5), or (6), if in compliance with section 
34.6 	171.306;
34.7 	(iv) 171.17; or
34.8 	(v) 171.172; or
34.9 	(3) revoked, canceled, or denied under section 169A.54:
34.10 	(i) subdivision 1, clause (1), if the test results indicate an alcohol concentration 
34.11 	of less than twice the legal limit;
34.12 	(ii) subdivision 1, clause (2);
34.13 	(iii) subdivision 1, clause (4), (5), or (6), or (7), if in compliance with section 
34.14 	171.306; or
34.15 	(iv) subdivision 2, if the person does not have a qualified prior impaired driving 
34.16 	incident as defined in section 169A.03, subdivision 22, on the person's record, and the test 
34.17 	results indicate an alcohol concentration of less than twice the legal limit.
34.18 	(b) The following conditions for a limited license under paragraph (a) include:
34.19 	(1) if the driver's livelihood or attendance at a chemical dependency treatment or 
34.20 	counseling program depends upon the use of the driver's license;
34.21 	(2) if the use of a driver's license by a homemaker is necessary to prevent the 
34.22 	substantial disruption of the education, medical, or nutritional needs of the family of 
34.23 	the homemaker; or
34.24 	(3) if attendance at a postsecondary institution of education by an enrolled student of 
34.25 	that institution depends upon the use of the driver's license.
34.26 	(c) The commissioner in issuing a limited license may impose such conditions and 
34.27 	limitations as in the commissioner's judgment are necessary to the interests of the public 
34.28 	safety and welfare including reexamination as to the driver's qualifications. The license 
34.29 	may be limited to the operation of particular vehicles, to particular classes and times of 
34.30 	operation, and to particular conditions of traffic. The commissioner may require that an 
34.31 	applicant for a limited license affirmatively demonstrate that use of public transportation 
34.32 	or carpooling as an alternative to a limited license would be a significant hardship.
34.33 	(d) For purposes of this subdivision:
34.34 	(1) "homemaker" refers to the person primarily performing the domestic tasks in a 
34.35 	household of residents consisting of at least the person and the person's dependent child 
34.36 	or other dependents; and
35.1 	(2) "twice the legal limit" means an alcohol concentration of two times the limit 
35.2 	specified in section 169A.20, subdivision 1, clause (5).
35.3 	(e) The limited license issued by the commissioner shall clearly indicate the 
35.4 	limitations imposed and the driver operating under the limited license shall have the 
35.5 	license in possession at all times when operating as a driver.
35.6 	(f) In determining whether to issue a limited license, the commissioner shall consider 
35.7 	the number and the seriousness of prior convictions and the entire driving record of the 
35.8 	driver and shall consider the number of miles driven by the driver annually.
35.9 	(g) If the person's driver's license or permit to drive has been revoked under 
35.10 	section 169.792 or 169.797, the commissioner may only issue a limited license to the 
35.11 	person after the person has presented an insurance identification card, policy, or written 
35.12 	statement indicating that the driver or owner has insurance coverage satisfactory to 
35.13 	the commissioner of public safety. The commissioner of public safety may require 
35.14 	the insurance identification card provided to satisfy this subdivision be certified by the 
35.15 	insurance company to be noncancelable for a period not to exceed 12 months.
35.16 	(h) The limited license issued by the commissioner to a person under section 
35.17 	171.186, subdivision 4, must expire 90 days after the date it is issued. The commissioner 
35.18 	must not issue a limited license to a person who previously has been issued a limited 
35.19 	license under section 171.186, subdivision 4.
35.20 	(i) The commissioner shall not issue a limited driver's license to any person 
35.21 	described in section 171.04, subdivision 1, clause (6), (7), (8), (11), or (14).
35.22 	(j) The commissioner shall not issue a class A, class B, or class C limited license.

35.23 	EFFECTIVE DATE. This section is effective the day following final enactment.

35.24 	Sec. 44. Minnesota Statutes 2010, section 171.306, subdivision 4, is amended to read:
35.25 		Subd. 4.Issuance of restricted license. (a) The commissioner shall issue a class 
35.26 	D driver's license, subject to the applicable limitations and restrictions of this section, 
35.27 	to a program participant who meets the requirements of this section and the program 
35.28 	guidelines. The commissioner shall not issue a license unless the program participant has 
35.29 	provided satisfactory proof that:
35.30 	(1) a certified ignition interlock device has been installed on the participant's motor 
35.31 	vehicle at an installation service center designated by the device's manufacturer; and
35.32 	(2) the participant has insurance coverage on the vehicle equipped with the ignition 
35.33 	interlock device. The commissioner shall require the participant to present an insurance 
35.34 	identification card, policy, or written statement as proof of insurance coverage, and may 
36.1 	require the insurance identification card provided be certified by the insurance company to 
36.2 	be noncancelable for a period not to exceed 12 months.
36.3 	(b) A license issued under authority of this section must contain a restriction 
36.4 	prohibiting the program participant from driving, operating, or being in physical control of 
36.5 	any motor vehicle not equipped with a functioning ignition interlock device certified by 
36.6 	the commissioner. A participant may drive an employer-owned vehicle not equipped with 
36.7 	an interlock device while in the normal course and scope of employment duties pursuant 
36.8 	to the program guidelines established by the commissioner and with the employer's 
36.9 	written consent.
36.10 	(c) A program participant whose driver's license has been revoked under section 
36.11 	169A.52, subdivision 3, paragraph (a), clause (1), (2), or (3), or subdivision 4, paragraph 
36.12 	(a), clause (1), (2), or (3), or section 169A.54, subdivision 1, clause (1), (2), or (3), or (4), 
36.13 	may apply for conditional reinstatement of the driver's license, subject to the ignition 
36.14 	interlock restriction.
36.15 	(d) A program participant whose driver's license has been revoked, canceled, or 
36.16 	denied under section 169A.52, subdivision 3, paragraph (a), clause (4), (5), or (6), or 
36.17 	subdivision 4, paragraph (a), clause (4), (5), or (6), or section 169A.54, subdivision 1, 
36.18 	clause (4), (5), or (6), or (7), may apply for a limited license, subject to the ignition 
36.19 	interlock restriction, if the program participant is enrolled in a licensed chemical 
36.20 	dependency treatment or rehabilitation program as recommended in a chemical use 
36.21 	assessment, and if the participant meets the other applicable requirements of section 
36.22 	171.30. After completing a licensed chemical dependency treatment or rehabilitation 
36.23 	program and one year of limited license use without violating the ignition interlock 
36.24 	restriction, the conditions of limited license use, or program guidelines, the participant 
36.25 	may apply for conditional reinstatement of the driver's license, subject to the ignition 
36.26 	interlock restriction. If the program participant's ignition interlock device subsequently 
36.27 	registers a positive breath alcohol concentration of 0.02 or higher, the commissioner shall 
36.28 	cancel the driver's license, and the program participant may apply for another limited 
36.29 	license according to this paragraph.
36.30 	(e) Notwithstanding any statute or rule to the contrary, the commissioner has 
36.31 	authority to determine when a program participant is eligible for restoration of full driving 
36.32 	privileges, except that the commissioner shall not reinstate full driving privileges until the 
36.33 	program participant has met all applicable prerequisites for reinstatement under section 
36.34 	169A.55 and until the program participant's device has registered no positive breath 
36.35 	alcohol concentrations of 0.02 or higher during the preceding 90 days.

36.36 	EFFECTIVE DATE. This section is effective the day following final enactment.

37.1 	Sec. 45. Minnesota Statutes 2010, section 174.02, is amended by adding a subdivision 
37.2 	to read:
37.3 		Subd. 9.Alternative financing and investment in a pilot transportation 
37.4 	project. (a) The commissioner may select one pilot transportation project on the trunk 
37.5 	highway system to implement the authority granted in this subdivision. In connection 
37.6 	with this pilot project, the commissioner may enter into agreements with governmental 
37.7 	or nongovernmental entities, including private and nonprofit entities, to finance or invest 
37.8 	in the transportation project, including repayment agreements. An agreement under this 
37.9 	subdivision is subject to (1) the availability of state money or other dedicated revenue or 
37.10 	resources; and (2) the approval of the commissioner of management and budget.
37.11 	(b) The commissioner shall submit to the chairs and ranking minority members of 
37.12 	the house of representatives and senate committees having jurisdiction over transportation 
37.13 	policy and finance, a listing of all agreements executed under this subdivision. The listing 
37.14 	must identify each agreement, the contracting entities, contract amount, duration, and any 
37.15 	repayment requirements. The listing may be submitted electronically, and is subject 
37.16 	to section 3.195, subdivision 1.
37.17 	(c) The pilot project is subject to transportation planning, programming, and 
37.18 	procurement requirements. Use of this subdivision must not result in the delay of any 
37.19 	project programmed in the statewide transportation improvement program.
37.20 	(d) This subdivision does not preempt any other statute or provide any new toll 
37.21 	facility authority or design-build contracting authority.
37.22 	(e) Any repayment agreement under this subdivision must comply with all applicable 
37.23 	debt and other financial policies and requirements.

37.24 	Sec. 46. Minnesota Statutes 2010, section 174.56, is amended to read:
37.25 	174.56 REPORT ON MAJOR HIGHWAY PROJECTS AND TRUNK 
37.26 	HIGHWAY FUND EXPENDITURES.
37.27 		Subdivision 1.Report required. (a) The commissioner of transportation shall 
37.28 	submit a report on January 15, 2009, and on Januaryby December 15 of each year 
37.29 	thereafter, on (1)  the status of major highway projects completed during the previous two 
37.30 	years or under construction or planned during the year of the report and for the ensuing 15 
37.31 	years; and (2) trunk highway fund expenditures.
37.32 	(b) For purposes of this section, a "major highway project" is a highway project that 
37.33 	has a total cost for all segments that the commissioner estimates at the time of the report to 
37.34 	be at least (1) $25,000,000$15,000,000 in the metropolitan highway construction district, 
37.35 	or (2) $10,000,000$5,000,000 in any nonmetropolitan highway construction district.
38.1 		Subd. 2.Report contents; major highway projects. For each major highway 
38.2 	project the report must include:
38.3 	(1) a description of the project sufficient to specify its scope and location;
38.4 	(2) a history of the project, including, but not limited to, previous official actions 
38.5 	by the department or the appropriate area transportation partnership, or both, the date on 
38.6 	which the project was first included in the state transportation improvement plan, the cost 
38.7 	of the project at that time, the planning estimate for the project, the engineer's estimate, the 
38.8 	award price, the final cost as of six months after substantial completion, including any 
38.9 	supplemental agreements and cost overruns or cost savings, the dates of environmental 
38.10 	approval, the dates of municipal approval, the date of final geometric layout, and the date 
38.11 	of establishment of any construction limits;
38.12 	(3) the project's priority listing or rank within its construction district, if any, as 
38.13 	well as the reasons for that listing or rank, the criteria used in prioritization or rank, any 
38.14 	changes in that prioritization or rank since the project was first included in a department 
38.15 	work plan, and the reasons for those changes; and
38.16 	(4) past and potential future reasons for delay in letting or completing the project, 
38.17 	details of all project cost changes that exceed $500,000, and specific modifications to the 
38.18 	overall program that are made as a result of delays and project cost changes;
38.19 	(5) two representative trunk highway construction projects, one each from the 
38.20 	department's metropolitan district and from greater Minnesota, and for each project report 
38.21 	the cost of environmental mitigation and compliance; and
38.22 	(6) the annual budget for products and services for each Department of 
38.23 	Transportation district and office, with comparison to actual spending and including 
38.24 	measures of productivity for the previous fiscal year.
38.25 		Subd. 2a.Report contents; trunk highway fund expenditures. The commissioner 
38.26 	shall include in the report information on the total expenditures from the trunk highway 
38.27 	fund during the previous fiscal year, for each Department of Transportation district, in 
38.28 	the following categories: road construction; planning; design and engineering; labor; 
38.29 	compliance with environmental regulations; administration; acquisition of right-of-way, 
38.30 	including costs for attorney fees and other compensation for property owners; litigation 
38.31 	costs, including payment of claims, settlements, and judgments; maintenance; and road 
38.32 	operations.
38.33 		Subd. 3.Department resources. The commissioner shall prepare and submit the 
38.34 	report with existing department staff and resources.

38.35 	EFFECTIVE DATE. This section is effective August 1, 2012, except that (1) the 
38.36 	changes in subdivision 2, clause (2), apply to projects that are substantially completed 
39.1 	on or after July 1, 2012; and (2) subdivision 2, clause (6), is effective beginning with the 
39.2 	report due by December 15, 2013.

39.3 	Sec. 47. Minnesota Statutes 2010, section 221.0314, subdivision 3a, is amended to 
39.4 	read:
39.5 		Subd. 3a.Waiver for other medical condition. (a) The commissioner may grant 
39.6 	a waiver to a person who is not physically qualified to drive under Code of Federal 
39.7 	Regulations, title 49, section 391.41, paragraph (b)(3) to (b)(13). A waiver granted under 
39.8 	this subdivision applies to intrastate transportation only.
39.9 	(b) A person who wishes to obtain a waiver under this subdivision must give the 
39.10 	commissioner the following information:
39.11 	(1) the applicant's name, address, and telephone number;
39.12 	(2) the name, address, and telephone number of an employer coapplicant, if any;
39.13 	(3) a description of the applicant's experience in driving the type of vehicle to be 
39.14 	operated under the waiver;
39.15 	(4) a description of the type of driving to be done under the waiver;
39.16 	(5) a description of any modifications to the vehicle the applicant intends to drive 
39.17 	under the waiver that are designed to accommodate the applicant's medical condition or 
39.18 	disability;
39.19 	(6) whether the applicant has been granted another waiver under this subdivision;
39.20 	(7) a copy of the applicant's current driver's license;
39.21 	(8) a copy of a medical examiner's certificate showing that the applicant is medically 
39.22 	unqualified to drive unless a waiver is granted;
39.23 	(9) a statement from the applicant's treating physician that includes:
39.24 	(i) the extent to which the physician is familiar with the applicant's medical history;
39.25 	(ii) a description of the applicant's medical condition for which a waiver is necessary;
39.26 	(iii) assurance that the applicant has the ability and willingness to follow any course 
39.27 	of treatment prescribed by the physician, including the ability to self-monitor or manage 
39.28 	the medical condition; and
39.29 	(iv) the physician's professional opinion that the applicant's condition will not 
39.30 	adversely affect the applicant's ability to operate a motor vehicle safely; and
39.31 	(10) any other information considered necessary by the commissioner including 
39.32 	requiring a physical examination or medical report from a physician who specializes 
39.33 	in a particular field of medical practice.
40.1 	(c) In granting a waiver under this subdivision, the commissioner may impose 
40.2 	conditions the commissioner considers necessary to ensure that an applicant is able to 
40.3 	operate a motor vehicle safely and that the safety of the general public is protected.
40.4 	(d) A person who is granted a waiver under this subdivision must:
40.5 	(1) at intervals specified in the waiver, give the commissioner periodic reports from 
40.6 	the person's treating physician, or a medical specialist if the commissioner so requires in 
40.7 	the waiver, that contain the information described in paragraph (b), clause (9), together 
40.8 	with a description of any episode that involved the person's loss of consciousness or loss 
40.9 	of ability to operate a motor vehicle safely; and
40.10 	(2) immediately report the person's involvement in an accident for which a report is 
40.11 	required under section 169.09, subdivision 7.
40.12 	(e) The commissioner shall deny an application if, during the three years preceding 
40.13 	the application:
40.14 	(1) the applicant's driver's license has been suspended under section 171.18, 
40.15 	paragraph (a), clauses (1) to (9), (11), and (12), canceled under section 171.14, or revoked 
40.16 	under section 171.17, 171.172, or 171.174; or
40.17 	(2) the applicant has been convicted of a violation under section 171.24; or
40.18 	(2) (3) the applicant has been convicted of a disqualifying offense, as defined in 
40.19 	Code of Federal Regulations, title 49, section 383.51, paragraph (b), which is incorporated 
40.20 	by reference.
40.21 	(f) The commissioner may deny an application or may immediately revoke a 
40.22 	waiver granted under this subdivision. Notice of the commissioner's reasons for denying 
40.23 	an application or for revoking a waiver must be in writing and must be mailed to 
40.24 	the applicant's or waiver holder's last known address by certified mail, return receipt 
40.25 	requested. A person whose application is denied or whose waiver is revoked is entitled to 
40.26 	a hearing under chapter 14.
40.27 	(g) A waiver granted under this subdivision expires on the date of expiration shown 
40.28 	on the medical examiner's certificate described in paragraph (b), clause (8).

40.29 	Sec. 48. Minnesota Statutes 2010, section 222.50, subdivision 4, is amended to read:
40.30 		Subd. 4.Contract. The commissioner may negotiate and enter into contracts for the 
40.31 	purpose of rail service improvement and may incorporate funds available from the federal 
40.32 	rail service continuation program government. The participants in these contracts shall be 
40.33 	railroads, rail users, and the department, and may be political subdivisions of the state and 
40.34 	the federal government. In such contracts, participation by all parties shall be voluntary. 
41.1 	The commissioner may provide a portion of the money required to carry out the terms of 
41.2 	any such contract by expenditure from the rail service improvement account.

41.3 	Sec. 49. Minnesota Statutes 2010, section 222.51, is amended to read:
41.4 	222.51 PARTICIPATION BY POLITICAL SUBDIVISION.
41.5 	The governing body of any political subdivision of the state may, with the approval 
41.6 	of the commissioner, appropriate money for rail service improvement and may participate 
41.7 	in the state rail service improvement program and the federal rail service continuation 
41.8 	program programs.

41.9 	Sec. 50. Minnesota Statutes 2010, section 222.53, is amended to read:
41.10 	222.53 ACCEPTANCE OF FEDERAL MONEY.
41.11 	The commissioner may exercise those powers necessary for the state to qualify 
41.12 	for, accept, and disburse any federal money that may be made available pursuant to the 
41.13 	provisions of the federal rail service continuation program, including the power to:
41.14 	(1) establish an adequate plan for rail service in the state as part of an overall 
41.15 	planning process for all transportation services in the state, including a suitable process for 
41.16 	updating, revising, and amending the plan;
41.17 	(2) administer and coordinate the plan with other state agencies, and provide for the 
41.18 	equitable distribution of resources;
41.19 	(3) develop, promote, and support safe, adequate, and efficient rail transportation 
41.20 	services; employ qualified personnel; maintain adequate programs of investigation, 
41.21 	research, promotion, and development, with provisions for public participation; and take 
41.22 	all practical steps to improve transportation safety and reduce transportation-related 
41.23 	energy utilization and pollution;
41.24 	(4) adopt and maintain adequate procedures for financial control, accounting, and 
41.25 	performance evaluation in order to assure proper use of state and federal money;
41.26 	(5) do all things otherwise necessary to maximize federal assistance to the state 
41.27 	under the federal rail service continuation program.

41.28 	Sec. 51. Minnesota Statutes 2010, section 222.63, subdivision 9, is amended to read:
41.29 		Subd. 9.Rail bank property use; petty misdemeanors. (a) Except for the 
41.30 	actions of road authorities and their agents, employees, and contractors, and of utilities, 
41.31 	in carrying out their duties imposed by permit, law, or contract, and except as otherwise 
41.32 	provided in this section, it is unlawful to knowingly perform any of the following activities 
41.33 	on rail bank property:
42.1 	(1) obstruct any trail;
42.2 	(2) deposit snow or ice;
42.3 	(3) remove or place any earth, vegetation, gravel, or rock without authorization;
42.4 	(4) obstruct or remove any ditch-draining device, or drain any harmful or dangerous 
42.5 	materials;
42.6 	(5) erect a fence, or place or maintain any advertising, sign, or memorial, except 
42.7 	upon authorization by the commissioner of transportation;
42.8 	(6) remove, injure, displace, or destroy right-of-way markers or reference or witness 
42.9 	monuments or markers placed to preserve section or quarter-section corners defining 
42.10 	rail bank property limits;
42.11 	(7) drive upon any portion of rail bank property, except at approved crossings, and 
42.12 	except where authorized for snowmobiles, emergency vehicles, maintenance vehicles, or 
42.13 	other vehicles authorized to use rail bank property;
42.14 	(8) deface, mar, damage, or tamper with any structure, work, material, sign, marker, 
42.15 	paving, guardrail, drain, or any other rail bank appurtenance; or
42.16 	(9) park, overhang, or abandon any unauthorized vehicle or implement of husbandry 
42.17 	on, across, or over the limits of rail bank property.;
42.18 	(10) plow, disc, or perform any other detrimental operation; or
42.19 	(11) place or maintain any building or structure.
42.20 	(b) Unless a greater penalty is provided elsewhere in statute, any violation of this 
42.21 	subdivision is a petty misdemeanor.
42.22 	(c) The cost to remove, repair, or perform any other corrective action necessitated by 
42.23 	a violation of this subdivision may be charged to the violator.

42.24 	Sec. 52. PAYNESVILLE AIRPORT.
 42.25 	(a) Notwithstanding any law, rule, or agreement to the contrary, the commissioner of 
42.26 	transportation may enter into an agreement with the city of Paynesville to allow funds 
42.27 	granted by the state to the city for land acquisition purposes for the marked Trunk 
42.28 	Highway 23 bypass project to instead be used by June 30, 2015, as the state's share of 
42.29 	funds for airport improvements and other aeronautical purposes at the city's airport.
42.30 	(b) Funds not spent pursuant to paragraph (a) by June 30, 2015, must be paid to the 
42.31 	commissioner of transportation and deposited in the state airports fund.

42.32 	Sec. 53. VARIANCE; SEAPLANE BASE.
 42.33 	The commissioner of transportation shall grant a variance for Elbow Lake 
42.34 	Municipal-Pride of the Prairie Airport, airport code Y63, to be licensed as a public 
43.1 	seaplane base on Flekkefjord Lake. The commissioner shall establish conditions or 
43.2 	limitations as may be necessary.

43.3 	EFFECTIVE DATE. This section is effective the day following final enactment.

43.4 	Sec. 54. ADDITIONS TO REPORTS ON MAJOR HIGHWAY PROJECTS AND 
43.5 	TRUNK HIGHWAY FUND EXPENDITURES.
 43.6 	For 2013 and 2014 reports required under Minnesota Statutes, section 174.56, the 
43.7 	commissioner of transportation shall include the results of evaluations of management 
43.8 	systems currently used by the Department of Transportation. The evaluations must specify 
43.9 	the extent to which the management of data in these systems is consistent with existing 
43.10 	policies and the need for statewide, reliable, and verifiable information. The evaluations 
43.11 	must be performed either by the department's office of internal audit or by an independent 
43.12 	external auditor. The 2013 report must include the evaluation of construction management 
43.13 	systems and the program and project management system. The 2014 report must include 
43.14 	the evaluation of pavement management systems and bridge management systems.

43.15 	Sec. 55. MUNICIPAL STATE-AID STREET 2013 ALLOCATION.
 43.16 	(a) Notwithstanding Minnesota Statutes, section 162.13, subdivision 1, the 
43.17 	commissioner of transportation shall allocate the apportionment sum available in the 
43.18 	municipal state-aid street fund, following the deductions under Minnesota Statutes, section 
43.19 	162.12, as provided in this section.
43.20 	(b) The commissioner shall identify a remuneration sum for each city that:
43.21 	(1) qualifies for municipal state-aid street funds under Minnesota Statutes, section 
43.22 	162.09, subdivision 4a; and
43.23 	(2) was not allocated municipal state-aid street funds for calendar year 2012.
43.24 	(c) The remuneration sum for each city is calculated as the amount the city would 
43.25 	have received under the allocation of municipal state-aid street funds for calendar year 
43.26 	2012 if the provisions of Minnesota Statutes, section 162.09, subdivision 4a, had applied.
43.27 	(d) For the calendar year 2013 allocation only, the commissioner shall:
43.28 	(1) allocate to the appropriate city an amount from the apportionment sum equal 
43.29 	to the remuneration sum calculated in paragraph (c); and
43.30 	(2) allocate the remaining apportionment sum as provided under Minnesota Statutes, 
43.31 	section 162.13, subdivision 1.

43.32 	EFFECTIVE DATE. This section is effective the day following final enactment.

44.1 	Sec. 56.  REPEALER.
 44.2 	Minnesota Statutes 2010, sections 160.93, subdivision 2a; 161.08, subdivision 2; 
44.3 	168.012, subdivision 1b; 169A.54, subdivision 5; and 222.48, subdivision 3a, are repealed.

44.4 	Sec. 57. EFFECTIVE DATE.
 44.5 	Unless otherwise specified, this act is effective August 1, 2012.