1.1 	A bill for an act
1.2 	relating to capital improvements; authorizing spending to acquire and better 
1.3 	public land and buildings and for other improvements of a capital nature with 
1.4 	certain conditions; establishing programs; authorizing the sale and issuance of 
1.5 	state bonds; modifying previous appropriations; authorizing Cook County to form 
1.6 	a district for the construction of water facilities and provision of water service; 
1.7 	authorizing the commissioner of natural resources to make certain acquisitions 
1.8 	of land or interests in land; appropriating money; amending Minnesota Statutes 
1.9 	2010, sections 16A.633, by adding a subdivision; 16A.641, subdivision 9; 
1.10 	462A.21, by adding a subdivision; Minnesota Statutes 2011 Supplement, 
1.11 	sections 16A.641, subdivision 7; 16A.96, by adding a subdivision; Laws 2006, 
1.12 	chapter 258, sections 7, subdivision 23, as amended; 17, subdivision 3; Laws 
1.13 	2008, chapter 179, sections 7, subdivision 27, as amended; 17, subdivision 4; 18, 
1.14 	subdivision 3, as amended; 19, subdivision 4, as amended; 21, subdivision 15, 
1.15 	as amended; Laws 2009, chapter 93, article 1, section 12, subdivision 2; Laws 
1.16 	2010, chapter 189, sections 18, subdivision 5; 24, subdivision 3; Laws 2011, 
1.17 	First Special Session chapter 12, sections 3, subdivisions 7, 8; 14, subdivision 
1.18 	2; 19; 22; proposing coding for new law in Minnesota Statutes, chapters 15B; 
1.19 	16B; 116J; 462A; repealing Laws 2011, chapter 107, section 101; Minnesota 
1.20 	Rules, part 8895.0700, subpart 1.
1.21 	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

1.22	Section 1. CAPITAL IMPROVEMENT APPROPRIATIONS.
 	
1.23 	The sums shown in the column under "Appropriations" are appropriated from the 
1.24 	bond proceeds fund, or another named fund, to the state agencies or officials indicated, 
1.25 	to be spent for public purposes. Appropriations of bond proceeds must be spent as 
1.26 	authorized by the Minnesota Constitution, article XI, section 5, paragraph (a), to acquire 
1.27 	and better public land and buildings and other public improvements of a capital nature or 
1.28 	as authorized by the Minnesota Constitution, article XI, section 5, paragraphs (b) to (j), 
1.29 	or article XIV. Unless otherwise specified, money appropriated in this act for a capital 
1.30 	program or project may be used to pay state agency staff costs that are attributed directly 
1.31 	to the capital program or project in accordance with accounting policies adopted by the 
2.1 	commissioner of management and budget. Unless otherwise specified, the appropriations 
2.2 	in this act are available until the project is completed or abandoned subject to Minnesota 
2.3 	Statutes, section 16A.642.

2.4	SUMMARY
	
2.5	University of Minnesota
	$
	64,060,000
	
2.6	Minnesota State Colleges and Universities
		132,126,000
	
2.7	 Education
		1,000,000
	
2.8	Minnesota State Academies
		1,000,000
	
2.9	Perpich Center for Arts Education
		263,000
	
2.10	Natural Resources
		46,500,000
	
2.11	Pollution Control Agency
		2,000,000
	
2.12	Board of Water and Soil Resources
		12,000,000
	
2.13	Agriculture
		706,000
	
2.14	Rural Finance Authority
		33,000,000
	
2.15	Zoological Garden
		4,000,000
	
2.16	Administration
		50,555,000
	
2.17	Amateur Sports
		375,000
	
2.18	Military Affairs
		23,500,000
	
2.19	Transportation
		49,400,000
	
2.20	Metropolitan Council
		12,836,000
	
2.21	Human Services
		7,683,000
	
2.22	Veterans Affairs
		7,416,000
	
2.23	Corrections
		9,128,000
	
2.24	Employment and Economic Development
		76,500,000
	
2.25	Public Facilities Authority
		23,500,000
	
2.26	Housing Finance Agency
		5,500,000
	
2.27	Minnesota Historical Society
		3,250,000
	
2.28	Bond Sale Expenses
		560,000
	
2.29	TOTAL
	$
	566,858,000
	
2.30	Bond Proceeds Fund (General Fund Debt Service)
		456,483,000
	
2.31	Bond Proceeds Fund (User Financed Debt Service)
		70,375,000
	
2.32	State Transportation Fund (General Fund Debt Service)
		40,000,000

2.33						APPROPRIATIONS

2.34	Sec. 2. UNIVERSITY OF MINNESOTA

2.35	Subdivision 1.Total Appropriation
 			$
	64,060,000
	
2.36 	To the Board of Regents of the University 
2.37 	of Minnesota for the purposes specified in 
2.38 	this section.

2.39
2.40	Subd. 2.Higher Education Asset Preservation 
and Replacement (HEAPR)
 				50,000,000
	
3.1 	To be spent in accordance with Minnesota 
3.2 	Statutes, section 135A.046.

3.3	Subd. 3.Twin Cities Campus

3.4	Combined Heat and Power Plant
				10,000,000
	
3.5 	To predesign and design and initiate 
3.6 	infrastructure improvements for the 
3.7 	renovation of the Old Main Steam Plant 
3.8 	facility on the Twin Cities campus.

3.9	Subd. 4.Itasca Biological Station

3.10	Itasca Facility Improvements
				4,060,000
	
3.11 	To design, construct, furnish, and equip a new 
3.12 	technology-rich biological laboratory and 
3.13 	classroom facility, and to design, construct, 
3.14 	furnish, and equip the renovation of the 
3.15 	historic Lakeside Lab and to remove obsolete 
3.16 	single-function buildings at the University of 
3.17 	Minnesota facility in Itasca State Park.

3.18	Subd. 5.University Share
 					
3.19 	Except for Higher Education Asset 
3.20 	Preservation and Replacement (HEAPR) 
3.21 	under subdivision 2, the appropriations in this 
3.22 	section are intended to cover approximately 
3.23 	two-thirds of the cost of each project. The 
3.24 	remaining costs must be paid from university 
3.25 	sources.

3.26	Subd. 6.Unspent Appropriations
 					
3.27 	Upon substantial completion of a project 
3.28 	authorized in this section and after written 
3.29 	notice to the commissioner of management 
3.30 	and budget, the Board of Regents must use 
3.31 	any money remaining in the appropriation 
3.32 	for that project for HEAPR under Minnesota 
3.33 	Statutes, section 135A.046. The Board 
4.1 	of Regents must report by February 1 of 
4.2 	each even-numbered year to the chairs of 
4.3 	the house of representatives and senate 
4.4 	committees with jurisdiction over capital 
4.5 	investment and higher education finance, and 
4.6 	to the chairs of the house of representatives 
4.7 	Ways and Means Committee and the senate 
4.8 	Finance Committee, on how the remaining 
4.9 	money has been allocated or spent.

4.10
4.11	Sec. 3. MINNESOTA STATE COLLEGES 
AND UNIVERSITIES

4.12	Subdivision 1.Total Appropriation
 			$
	132,126,000
	
4.13 	To the Board of Trustees of the Minnesota 
4.14 	State Colleges and Universities for the 
4.15 	purposes specified in this section.

4.16
4.17	Subd. 2.Higher Education Asset Preservation 
and Replacement (HEAPR)
 				20,000,000
	
4.18 	For the purposes specified in Minnesota 
4.19 	Statutes, section 135A.046, including safety 
4.20 	and statutory compliance, building envelope 
4.21 	integrity, mechanical systems, and space 
4.22 	restoration.

4.23
4.24	Subd. 3.Anoka-Ramsey Community College, 
Coon Rapids

4.25
4.26	Bioscience and Allied Health Addition and 
Renovation
				980,000
	
4.27 	To complete design for the construction of a 
4.28 	Bioscience and Allied Health addition and to 
4.29 	design, renovate, and equip classrooms and 
4.30 	related space.

4.31	Subd. 4.Bemidji State University

4.32
4.33	Business Building Addition, Renovation 
Design, Demolition
				3,303,000
	
4.34 	To abate and demolish Maple Hall and 
4.35 	Sanford Hall, and to complete design for the 
5.1 	renovation of Decker Hall, Hobson Hall, 
5.2 	and Memorial Hall into multiuse classrooms 
5.3 	and study spaces, including replacing the 
5.4 	HVAC system and constructing an addition 
5.5 	to Memorial Hall for better accessibility.

5.6	Subd. 5.Century College

5.7	Classroom Addition
				5,000,000
	
5.8 	To complete design of and to construct, 
5.9 	renovate, furnish, and equip classrooms and 
5.10 	related spaces.

5.11	Subd. 6.Dakota County Technical College

5.12
5.13	Transportation and Emerging Technologies 
Lab Renovation
				7,230,000
	
5.14 	To complete design of and to renovate, 
5.15 	furnish, and equip transportation and 
5.16 	emerging technologies classrooms, 
5.17 	laboratories, and related spaces.

5.18	Subd. 7.Minnesota State University, Mankato
 				2,065,000
	
5.19 	To design a clinical science building at 
5.20 	Minnesota State University, Mankato.

5.21
5.22	Subd. 8.Minneapolis Community and 
Technical College

5.23	Workforce Program Renovation
				13,389,000
	
5.24 	To complete design of and to renovate, 
5.25 	furnish, and equip instructional space, 
5.26 	support space, and infrastructure for 
5.27 	workforce programs.

5.28	Subd. 9.North Hennepin Community College

5.29	Bioscience and Health Careers Addition
				26,292,000
	
5.30 	To complete design of and to construct, 
5.31 	furnish, and equip Bioscience and Health 
5.32 	Careers laboratories, classrooms, and related 
5.33 	spaces.

6.1
6.2	Subd. 10.Northland Community and Technical 
College 

6.3	Aviation Maintenance Facility Expansion
				300,000
	
6.4 	To design the expansion and renovation of the 
6.5 	aviation maintenance facilities at Northland 
6.6 	Community and Technical College.

6.7	Subd. 11.Ridgewater College, Willmar

6.8	Technical Instruction Lab Renovation
				13,851,000
	
6.9 	To design, renovate, furnish, and equip 
6.10 	classroom, student service, instructional 
6.11 	lab, and related spaces and to demolish the 
6.12 	Administration Building.

6.13
6.14	Subd. 12.St. Cloud Technical and Community 
College
 				4,000,000
	
6.15 	To complete the design of, and to construct, 
6.16 	renovate, furnish, equip, and demolish space 
6.17 	for the medium heavy truck and autobody 
6.18 	program on the St. Cloud Technical and 
6.19 	Community College campus.

6.20	Subd. 13.St. Paul College

6.21	Health and Science Alliance Center
				1,500,000
	
6.22 	To design the Health and Science Alliance 
6.23 	Center addition and to design, renovate, 
6.24 	furnish, and equip, existing health spaces.

6.25
6.26	Subd. 14.Minnesota West Community and 
Technical College, Worthington

6.27	Renovation and Addition
				4,606,000
	
6.28 	To renovate, furnish, and equip existing 
6.29 	classroom and lab spaces and to design, 
6.30 	construct, furnish, and equip a classroom, 
6.31 	lab, and entryway addition, and replace 
6.32 	HVAC systems.

7.1
7.2	Subd. 15.Northeast Higher Education District 
- Itasca Community College

7.3	Renovation, Addition, and Demolition
				4,549,000
	
7.4 	To complete the design of and to renovate, 
7.5 	furnish, and equip existing instructional 
7.6 	and student services spaces, to design, 
7.7 	construct, furnish, and equip an addition with 
7.8 	multipurpose classrooms, and to demolish 
7.9 	Donovan Hall.

7.10
7.11	Subd. 16.Rochester Community and Technical 
College

7.12	Work Force Center Colocation
				8,746,000
	
7.13 	To complete the design of and to construct, 
7.14 	furnish, and equip an addition to the 
7.15 	Heintz Center at Rochester Community 
7.16 	and Technical College and to renovate the 
7.17 	heating, ventilating, and air conditioning 
7.18 	systems. The addition will house the 
7.19 	Rochester Area Work Force Center. The 
7.20 	board of trustees must consult with the 
7.21 	commissioner of employment and economic 
7.22 	development on the design of the renovations 
7.23 	and addition. The board must enter into a 
7.24 	lease agreement with the commissioner of 
7.25 	employment and economic development 
7.26 	for use of the work force center. The 
7.27 	lease agreement must provide that lease 
7.28 	payments made by the commissioner will 
7.29 	pay for the college's reasonable costs in 
7.30 	support of the work force center and the 
7.31 	debt service required of the board associated 
7.32 	with the work force center portion of the 
7.33 	project. Notwithstanding the ten-year lease 
7.34 	limit under Minnesota Statutes, section 
7.35 	16B.24, subdivision 6, the commissioner 
8.1 	of administration may enter into a lease 
8.2 	agreement of up to 20 years for the space to 
8.3 	house the Rochester Area Work Force Center 
8.4 	at the Rochester Community and Technical 
8.5 	College.

8.6	Subd. 17.South Central College, Faribault

8.7	Classroom Renovation and Addition
				13,315,000
	
8.8 	To complete design of and to renovate, 
8.9 	construct, furnish, and equip classrooms, a 
8.10 	learning resource center, and related spaces, 
8.11 	and laboratories.

8.12
8.13	Subd. 18.Southwest Minnesota State 
University, Marshall

8.14	Science Lab Renovation
				500,000
	
8.15 	To complete design for renovation of the 
8.16 	Science and Math building and classroom 
8.17 	spaces and an addition to the Plant Science 
8.18 	building.

8.19
8.20	Subd. 19.Science, Technology, Engineering, 
and Math Initiatives
 				2,500,000
	
8.21 	To design, renovate, furnish, and equip 
8.22 	science laboratories at campuses statewide. 
8.23 	Campuses may use internal and nonstate 
8.24 	funds to increase the size of the projects. This 
8.25 	appropriation may be used at the following 
8.26 	campuses: Bemidji State University; Century 
8.27 	College; Inver Hills Community College; 
8.28 	Minnesota State Community and Technical 
8.29 	College, Moorhead; Minnesota State 
8.30 	University, Moorhead; Hibbing Community 
8.31 	College; Itasca Community College; Mesabi 
8.32 	Range Community and Technical College, 
8.33 	Eveleth; and Pine Technical College.

8.34	Subd. 20.Debt Service
 					
9.1 	(a) The Board of Trustees shall pay the 
9.2 	debt service on one-third of the principal 
9.3 	amount of state bonds sold to finance 
9.4 	projects authorized by this section, except 
9.5 	for higher education asset preservation 
9.6 	and replacement, and except that, where a 
9.7 	nonstate match is required, the debt service is 
9.8 	due on a principal amount equal to one-third 
9.9 	of the total project cost, less the match 
9.10 	committed before the bonds are sold. After 
9.11 	each sale of general obligation bonds, the 
9.12 	commissioner of management and budget 
9.13 	shall notify the board of the amounts assessed 
9.14 	for each year for the life of the bonds.
9.15 	(b) The commissioner of management and 
9.16 	budget shall reduce the board's assessment 
9.17 	each year by one-third of the net income 
9.18 	from investment of general obligation bond 
9.19 	proceeds in proportion to the amount of 
9.20 	principal and interest otherwise required to 
9.21 	be paid by the board. The board shall pay its 
9.22 	resulting net assessment to the commissioner 
9.23 	of management and budget by December 
9.24 	1 each year. If the board fails to make 
9.25 	a payment when due, the commissioner 
9.26 	of management and budget shall reduce 
9.27 	allotments for appropriations from the 
9.28 	general fund otherwise available to the board 
9.29 	and apply the amount of the reduction to 
9.30 	cover the missed debt service payment. The 
9.31 	commissioner of management and budget 
9.32 	shall credit the payments received from the 
9.33 	board to the bond debt service account in 
9.34 	the state bond fund each December 1 before 
9.35 	money is transferred from the general fund 
10.1 	under Minnesota Statutes, section 16A.641, 
10.2 	subdivision 10.

10.3	Subd. 21.Unspent Appropriations
 					
10.4 	(a) Upon substantial completion of a 
10.5 	project authorized in this section and after 
10.6 	written notice to the commissioner of 
10.7 	management and budget, the board must use 
10.8 	any money remaining in the appropriation 
10.9 	for that project for Higher Education Asset 
10.10 	Preservation and Replacement (HEAPR) 
10.11 	under Minnesota Statutes, section 135A.046. 
10.12 	The board must report by February 1 of each 
10.13 	even-numbered year to the chairs of the house 
10.14 	of representatives and senate committees 
10.15 	with jurisdiction over capital investments and 
10.16 	higher education finance, and to the chairs 
10.17 	of the house of representatives Ways and 
10.18 	Means Committee and the senate Finance 
10.19 	Committee, on how the remaining money 
10.20 	has been allocated or spent.
10.21 	(b) The unspent portion of an appropriation 
10.22 	for a project in this section that is complete 
10.23 	is available for Higher Education Asset 
10.24 	Preservation and Replacement (HEAPR) 
10.25 	under this subdivision at the same campus 
10.26 	as the project for which the original 
10.27 	appropriation was made, and the debt 
10.28 	service requirement under subdivision 20 is 
10.29 	reduced accordingly. Minnesota Statutes, 
10.30 	section 16A.642, applies from the date of the 
10.31 	original appropriation to the unspent amount 
10.32 	transferred.

10.33	Sec. 4. EDUCATION
 			$
	1,000,000
	
11.1 	To the commissioner of education for library 
11.2 	accessibility and improvement grants under 
11.3 	Minnesota Statutes, section 134.45.

11.4	Sec. 5. MINNESOTA STATE ACADEMIES
 			$
	1,000,000
	
11.5 	To the commissioner of administration for 
11.6 	asset preservation on both campuses of the 
11.7 	academies, to be spent in accordance with 
11.8 	Minnesota Statutes, section 16B.307.

11.911.10
	Sec. 6. PERPICH CENTER FOR ARTS 
EDUCATION

11.11	Subdivision 1.Total Appropriation
 			$
	263,000
	
11.12 	To the commissioner of administration for 
11.13 	the purposes specified in this section.

11.14	Subd. 2.Loading Dock Repair
 				64,000
	
11.15 	To complete design of and repair the loading 
11.16 	dock and dock steps.

11.17	Subd. 3.Road Repair
 				99,000
	
11.18 	To complete design and repair roadway.

11.19	Subd. 4.Storm Drainage
 				100,000
	
11.20 	To complete design of and install storm 
11.21 	drainage on the northwest corner of campus.

11.22	Sec. 7. NATURAL RESOURCES

11.23	Subdivision 1.Total Appropriation
 			$
	46,500,000
	
11.24 	To the commissioner of natural resources 
11.25 	for the purposes specified in this section. 
11.26 	The appropriations in this section are 
11.27 	subject to the requirements of the natural 
11.28 	resources capital improvement program 
11.29 	under Minnesota Statutes, section 86A.12, 
11.30 	unless this section or the statutes referred 
11.31 	to in this section provide more specific 
12.1 	standards, criteria, or priorities for projects 
12.2 	than Minnesota Statutes, section 86A.12.

12.3	Subd. 2.Flood Hazard Mitigation Grants
 				30,000,000
	
12.4 	For the state share of flood hazard 
12.5 	mitigation grants for publicly owned capital 
12.6 	improvements to prevent or alleviate flood 
12.7 	damage under Minnesota Statutes, section 
12.8 	103F.161.
12.9 	Levee projects, to the extent practicable, 
12.10 	shall meet the state standard of three feet 
12.11 	above the 100-year flood elevation.
12.12 	Project priorities shall be determined by the 
12.13 	commissioner as appropriate, based on need.
12.14 	To the extent that the cost of a project 
12.15 	exceeds two percent of the median household 
12.16 	income in the municipality multiplied by the 
12.17 	number of households in the municipality, 
12.18 	this appropriation is also for the local share 
12.19 	of the project.

12.20
12.21	Subd. 3.Dam Repair, Reconstruction, and 
Removal
 				3,000,000
	
12.22 	To renovate or remove publicly owned dams. 
12.23 	The commissioner shall determine project 
12.24 	priorities as appropriate under Minnesota 
12.25 	Statutes, sections 103G.511 and 103G.515.

12.26	Subd. 4.Roads and Bridges
 				2,000,000
	
12.27 	For the design, reconstruction, resurfacing, 
12.28 	replacement, and construction of publicly 
12.29 	owned DNR-maintained roads, culverts, and 
12.30 	bridges. 

12.31	Subd. 5.State Forest Land Restoration
 				2,500,000
	
12.32 	To increase reforestation activities to meet 
12.33 	the reforestation requirements of Minnesota 
12.34 	Statutes, section 89.002, subdivision 2, 
13.1 	including planting, seeding, site preparation, 
13.2 	and for timber stand improvement.

13.3
13.4	Subd. 6.State Parks and Trails Renewal and 
Development
 				4,000,000
	
13.5 	For renewal, modification, replacement, or 
13.6 	development of buildings and recreational 
13.7 	infrastructure in state parks, state recreation 
13.8 	areas, state trails, small craft harbors/marinas, 
13.9 	fishing pier sites, and state forests.

13.10	Subd. 7.Lake Vermillion State Park
 				2,000,000
	
13.11 	For the development of Lake Vermillion 
13.12 	State Park, established under Minnesota 
13.13 	Statutes, section 85.012, subdivision 38a.

13.14	Subd. 8.Lake Zumbro
 				3,000,000
	
13.15 	For a grant to Olmsted County for the 
13.16 	removal of sedimentation in Lake Zumbro, 
13.17 	including final engineering, dredging, and 
13.18 	dredged soil disposal from the sites identified 
13.19 	in the Preliminary Engineering Report 
13.20 	for Dredging Lake Zumbro. This project 
13.21 	is designed to improve the recreational 
13.22 	economy, water quality, and habitat, and 
13.23 	increase water storage capacity within the 
13.24 	lake to achieve renewable energy goals 
13.25 	by optimizing long-term hydroelectric 
13.26 	operations. This appropriation is not 
13.27 	available until the commissioner has 
13.28 	determined that at least an equal amount has 
13.29 	been committed to the project from nonstate 
13.30 	sources.

13.31	Subd. 9.Unspent Appropriations
 					
13.32 	The unspent portion of an appropriation, 
13.33 	but not to exceed ten percent of the 
13.34 	appropriation, for a project in this section 
14.1 	that is complete, other than an appropriation 
14.2 	for flood hazard mitigation, upon written 
14.3 	notice to the commissioner of management 
14.4 	and budget, is available for asset preservation 
14.5 	under Minnesota Statutes, section 84.946. 
14.6 	Minnesota Statutes, section 16A.642, applies 
14.7 	from the date of the original appropriation 
14.8 	to the unspent amount transferred for asset 
14.9 	preservation.

14.10	Sec. 8. POLLUTION CONTROL AGENCY
 			$
	2,000,000
	
14.11 	To the Pollution Control Agency to design 
14.12 	and construct remedial systems and acquire 
14.13 	land at landfills throughout the state in 
14.14 	accordance with the closed landfill program 
14.15 	under Minnesota Statutes, sections 115B.39 
14.16 	to 115B.42.

14.17
14.18	Sec. 9. BOARD OF WATER AND SOIL 
RESOURCES

14.19	Subdivision 1.Total Appropriation
 			$
	12,000,000
	
14.20 	To the Board of Water and Soil Resources 
14.21 	for the purposes specified in the following 
14.22 	subdivisions.

14.23	Subd. 2.RIM Conservation Reserve
 				6,000,000
	
14.24 	(a) To acquire conservation easements from 
14.25 	landowners to preserve, restore, create, and 
14.26 	enhance wetlands; restore and enhance rivers 
14.27 	and streams, riparian lands, and associated 
14.28 	uplands in order to protect soil and water 
14.29 	quality; support fish and wildlife habitat; 
14.30 	reduce flood damage; and provide other 
14.31 	public benefits. The provisions of Minnesota 
14.32 	Statutes, section 103F.515, apply to this 
14.33 	program. Of this appropriation, up to ten 
15.1 	percent may be used to implement the 
15.2 	program.
15.3 	(b) The board is authorized to enter into 
15.4 	new agreements and amend past agreements 
15.5 	with landowners as required by Minnesota 
15.6 	Statutes, section 103F.515, subdivision 5, to 
15.7 	allow for restoration, including overseeding 
15.8 	and harvesting of native prairie vegetation for 
15.9 	use for energy production in a manner that 
15.10 	does not devalue the natural habitat, water 
15.11 	quality benefits, or carbon sequestration 
15.12 	functions of the area enrolled in the easement. 
15.13 	This shall occur after seed production and 
15.14 	minimize impacts on wildlife. Of this 
15.15 	appropriation, up to five percent may be used 
15.16 	for restoration, including overseeding.

15.17
15.18	Subd. 3.Wetland Replacement Due to Public 
Road Projects
 				6,000,000
	
15.19 	To acquire land for wetland restoration or 
15.20 	preservation to replace wetlands drained 
15.21 	or filled as a result of the repair or 
15.22 	reconstruction, replacement, or rehabilitation 
15.23 	of existing public roads as required by 
15.24 	Minnesota Statutes, section 103G.222. 
15.25 	The purchase price paid for acquisition 
15.26 	of land, fee, or perpetual easement must 
15.27 	be the fair market value as determined 
15.28 	by the board. The board may enter into 
15.29 	agreements with the federal government, 
15.30 	other state agencies, political subdivisions, 
15.31 	and nonprofit organizations or fee owners to 
15.32 	acquire land and restore and create wetlands 
15.33 	and to acquire existing wetland banking 
15.34 	credits. Acquisition of or the conveyance 
15.35 	of land may be in the name of the political 
15.36 	subdivision.

16.1	Sec. 10. AGRICULTURE
 			$
	706,000
	
16.2 	To the commissioner of administration for 
16.3 	design and installation of an emergency 
16.4 	power system for the shared Agriculture and 
16.5 	Health Lab Building.

16.6	Sec. 11. RURAL FINANCE AUTHORITY
 			$
	33,000,000
	
16.7 	For the purposes set forth in the Minnesota 
16.8 	Constitution, article XI, section 5, paragraph 
16.9 	(h), to the Rural Finance Authority to 
16.10 	purchase participation interests in or to 
16.11 	make direct agricultural loans to farmers 
16.12 	under Minnesota Statutes, chapter 41B. 
16.13 	This appropriation is for the beginning 
16.14 	farmer program under Minnesota Statutes, 
16.15 	section 41B.039; the loan restructuring 
16.16 	program under Minnesota Statutes, section 
16.17 	41B.04; the seller-sponsored program under 
16.18 	Minnesota Statutes, section 41B.042; the 
16.19 	agricultural improvement loan program 
16.20 	under Minnesota Statutes, section 41B.043; 
16.21 	and the livestock expansion loan program 
16.22 	under Minnesota Statutes, section 41B.045. 
16.23 	All debt service on bond proceeds used to 
16.24 	finance this appropriation must be repaid 
16.25 	by the Rural Finance Authority under 
16.26 	Minnesota Statutes, section 16A.643. Loan 
16.27 	participations must be priced to provide full 
16.28 	interest and principal coverage and a reserve 
16.29 	for potential losses. Priority for loans must 
16.30 	be given first to basic beginning farmer loans, 
16.31 	second to seller-sponsored loans, and third to 
16.32 	agricultural improvement loans.

16.33
16.34	Sec. 12. MINNESOTA ZOOLOGICAL 
GARDEN
 			$
	4,000,000
	
17.1 	To the Minnesota Zoological Garden for 
17.2 	capital asset preservation and betterments to 
17.3 	infrastructure and exhibits at the Minnesota 
17.4 	Zoo to be spent in accordance with Minnesota 
17.5 	Statutes, section 16B.307.

17.6	Sec. 13. ADMINISTRATION

17.7	Subdivision 1.Total Appropriation
 			$
	50,555,000
	
17.8 	To the commissioner of administration for 
17.9 	the purposes specified in this section.

17.10	Subd. 2.Asset Preservation
 				500,000
	
17.11 	For asset preservation studies and projects 
17.12 	on properties managed by the commissioner. 
17.13 	This appropriation must be spent in 
17.14 	accordance with Minnesota Statutes, section 
17.15 	16B.307. This appropriation includes money 
17.16 	to complete design for and to renovate or 
17.17 	replace the house of representatives TV 
17.18 	control room heating, ventilating, and air 
17.19 	conditioning system in the Capitol building.

17.20	Subd. 3.Capitol Restoration Appropriation
 				44,000,000
	
17.21 	(a) This appropriation may be used for one or 
17.22 	more of the following purposes:
17.23 	(1) to design, construct, and equip a new 
17.24 	tunnel extending from the Capitol building 
17.25 	and passing under University Avenue, and 
17.26 	associated improvements, in accordance 
17.27 	with recommendation number 6 of the 
17.28 	Comprehensive Master Plan and the 
17.29 	final report of the Committee on Capitol 
17.30 	Complex Security, dated April 1, 2011, with 
17.31 	construction to be coordinated with light rail 
17.32 	construction time frames;
18.1 	(2) for predesign and design of the renovation 
18.2 	and restoration of the State Capitol building, 
18.3 	including preparation of design guidelines 
18.4 	and a historic structures report;
18.5 	(3) for repairs to exterior stone, window 
18.6 	replacement, and preparation of mechanical 
18.7 	space in the attic of the State Capitol 
18.8 	building;
18.9 	(4) for construction to restore and improve 
18.10 	the Capitol building and grounds, including 
18.11 	exterior stone repair and the construction 
18.12 	activities listed as part of sequence A 
18.13 	in the 2012 Comprehensive Master Plan 
18.14 	dated February 2012, prepared by MOCA, 
18.15 	including hazardous materials abatement; 
18.16 	and
18.17 	(5) up to $5,000,000 of this appropriation 
18.18 	may be used to predesign, design, conduct 
18.19 	hazardous materials abatement, construct, 
18.20 	renovate and remodel, and furnish and equip 
18.21 	the State Office Building, Administration 
18.22 	Building, Centennial Office Building, 321 
18.23 	Grove Street Buildings, and such other 
18.24 	properties located on the Capitol campus as 
18.25 	determined by the commissioner to meet 
18.26 	temporary and permanent office and other 
18.27 	space needs occasioned by and in furtherance 
18.28 	of an efficient restoration of the State Capitol 
18.29 	building and for the efficient and effective 
18.30 	function of the tenants currently located in 
18.31 	the Capitol building.
18.32 	(b) Money appropriated under paragraph (a), 
18.33 	clauses (1) to (3), may be spent as of the 
18.34 	effective date.
19.1 	(c) Money appropriated under paragraph 
19.2 	(a), clauses (4) and (5), may not be spent 
19.3 	unless and until the conditions in Minnesota 
19.4 	Statutes, section 15B.15, have been met.

19.5
19.6	Subd. 4.Capital Asset Preservation and 
Replacement Account
 				1,000,000
	
19.7 	To be spent in accordance with Minnesota 
19.8 	Statutes, section 16A.632.

19.919.10
	Subd. 5.Hennepin County, Washburn Center 
for Children
 				5,000,000
	
19.11 	For a grant to Hennepin County to acquire 
19.12 	and prepare a site for and to predesign, 
19.13 	design, construct, furnish, and equip a new 
19.14 	Washburn Center for Children that will be 
19.15 	used to provide mental health services to 
19.16 	children. The county is authorized to take 
19.17 	actions and enter into agreements needed 
19.18 	to perform the functions set forth in this 
19.19 	section, and the agreements may include 
19.20 	provisions and conditions that the county 
19.21 	negotiates. The county may enter into a 
19.22 	lease or management contract for the new 
19.23 	center with a nonprofit entity. The lease or 
19.24 	management contract must comply with the 
19.25 	requirements of Minnesota Statutes, section 
19.26 	16A.695. This appropriation is not available 
19.27 	until the commissioner has determined that 
19.28 	at least an equal amount has been committed 
19.29 	or expended from nonstate resources.

19.30	Subd. 6.Peace Officers Memorial
 				55,000
	
19.31 	To complete design and renovation of the 
19.32 	Peace Officers Memorial on the Capitol 
19.33 	grounds.

19.34	Sec. 14. AMATEUR SPORTS
 			$
	375,000
	
20.1 	To the Minnesota Amateur Sports 
20.2 	Commission to replace HVAC heating and 
20.3 	cooling units in the Indoor Sports Hall at the 
20.4 	National Sports Center in Blaine.

20.5	Sec. 15. MILITARY AFFAIRS

20.6	Subdivision 1.Total Appropriation
 			$
	23,500,000
	
20.7 	To the adjutant general for the purposes 
20.8 	specified in this section.

20.9	Subd. 2.Asset Preservation
 				4,000,000
	
20.10 	For asset preservation improvements and 
20.11 	betterments of a capital nature at military 
20.12 	affairs facilities statewide, to be spent in 
20.13 	accordance with Minnesota Statutes, section 
20.14 	16B.307.

20.15
20.16	Subd. 3.Camp Ripley Education Center 
Addition
 				19,500,000
	
20.17 	To complete the construction, furnishing, and 
20.18 	equipping of an addition to the Camp Ripley 
20.19 	Education Center (Building #6-76). The 
20.20 	addition will include lodging, classroom, and 
20.21 	dining facilities.

20.22	Subd. 4.Unspent Appropriations
 					
20.23 	The unspent portion of an appropriation for 
20.24 	a project in this section that is complete, 
20.25 	upon written notice to the commissioner of 
20.26 	management and budget, is available for 
20.27 	asset preservation under Minnesota Statutes, 
20.28 	section 16B.307. Minnesota Statutes, section 
20.29 	16A.642, applies from the date of the 
20.30 	original appropriation to the unspent amount 
20.31 	transferred.

20.32	Sec. 16. TRANSPORTATION

20.33	Subdivision 1.Total Appropriation
 			$
	49,400,000
	
21.1 	This appropriation is to the commissioner of 
21.2 	transportation for the purposes specified in 
21.3 	this section.

21.4
21.5	Subd. 2.Local Bridge Replacement and 
Rehabilitation
 				30,000,000
	
21.6 	This appropriation is from the bond proceeds 
21.7 	account in the state transportation fund 
21.8 	to match federal money and to replace 
21.9 	or rehabilitate local deficient bridges as 
21.10 	provided in Minnesota Statutes, section 
21.11 	174.50. To the extent practicable, the 
21.12 	commissioner shall expend the funds as 
21.13 	provided under Minnesota Statutes, section 
21.14 	174.50, subdivisions 6c and 7, paragraph (c).
21.15 	Political subdivisions may use grants made 
21.16 	under this subdivision to construct or 
21.17 	reconstruct bridges, including but not limited 
21.18 	to:
21.19 	(1) matching federal aid grants to construct 
21.20 	or reconstruct key bridges;
21.21 	(2) paying the costs of preliminary 
21.22 	engineering and environmental studies 
21.23 	authorized under Minnesota Statutes, section 
21.24 	174.50, subdivision 6a;
21.25 	(3) paying the costs to abandon an existing 
21.26 	bridge that is deficient and in need of 
21.27 	replacement, but where no replacement will 
21.28 	be made; and 
21.29 	(4) paying the costs to construct a road 
21.30 	or street to facilitate the abandonment 
21.31 	of an existing bridge determined by 
21.32 	the commissioner to be deficient, if the 
21.33 	commissioner determines that construction 
21.34 	of the road or street is more economical than 
21.35 	replacement of the existing bridge.

22.1
22.2	Subd. 3.Local Road Improvement Fund 
Grants
 				10,000,000
	
22.3 	From the bond proceeds account in the state 
22.4 	transportation fund as provided in Minnesota 
22.5 	Statutes, section 174.50, for construction and 
22.6 	reconstruction of local roads with statewide 
22.7 	or regional significance under Minnesota 
22.8 	Statutes, section 174.52, subdivision 4, or for 
22.9 	grants to counties to assist in paying the costs 
22.10 	of rural road safety capital improvement 
22.11 	projects on county state-aid highways 
22.12 	under Minnesota Statutes, section 174.52, 
22.13 	subdivision 4a.

22.14	Subd. 4.Greater Minnesota Transit
 				6,400,000
	
22.15 	For capital assistance for publicly owned 
22.16 	greater Minnesota transit systems to be used 
22.17 	to design, construct, and equip transit capital 
22.18 	facilities under Minnesota Statutes, section 
22.19 	174.24, subdivision 3c.

22.20
22.21	Subd. 5.Railroad Warning Devices 
Replacement
 				2,000,000
	
22.22 	To design, construct, and equip the 
22.23 	replacement of active highway rail grade 
22.24 	crossing warning safety devices that have 
22.25 	reached the end of their useful life.

22.26	Subd. 6.Port Development Assistance
 				1,000,000
	
22.27 	For grants under Minnesota Statutes, chapter 
22.28 	457A, for publicly owned capital projects.

22.29	Sec. 17. METROPOLITAN COUNCIL

22.30	Subdivision 1.Total Appropriation
 			$
	12,836,000
	
22.31 	To the Metropolitan Council for the purposes 
22.32 	specified in this section.

22.33
22.34	Subd. 2.Metropolitan Regional Parks Capital 
Improvements
 				4,586,000
	
23.1 	For the cost of improvements and betterments 
23.2 	of a capital nature and acquisition by the 
23.3 	council and local government units of 
23.4 	regional recreational open-space lands in 
23.5 	accordance with the council's policy plan 
23.6 	as provided in Minnesota Statutes, section 
23.7 	473.147. This appropriation must not be 
23.8 	used to purchase easements.

23.923.10
	Subd. 3.Municipal Wastewater Systems - 
Inflow and Infiltration Grants
 				4,000,000
	
23.11 	For grants to cities within the metropolitan 
23.12 	area, as defined in Minnesota Statutes, 
23.13 	section 473.121, subdivision 2, for capital 
23.14 	improvements in municipal wastewater 
23.15 	collection systems to reduce the amount 
23.16 	of inflow and infiltration to the council's 
23.17 	metropolitan sanitary sewer disposal system. 
23.18 	To be eligible for a grant, a city must be 
23.19 	identified by the council as a contributor of 
23.20 	excessive inflow or infiltration. Grants from 
23.21 	this appropriation are for up to 50 percent of 
23.22 	the cost to mitigate inflow and infiltration in 
23.23 	the publicly owned municipal wastewater 
23.24 	collection systems. The council must 
23.25 	award grants based on applications from 
23.26 	eligible cities that identify eligible capital 
23.27 	costs and include a timeline for inflow and 
23.28 	infiltration mitigation construction, pursuant 
23.29 	to guidelines established by the council.

23.30	Subd. 4.Phillips Community Center
 				1,750,000
	
23.31 	For a grant to the Minneapolis Park and 
23.32 	Recreation Board to predesign, design, 
23.33 	engineer, reconstruct, renovate, furnish, 
23.34 	and equip the Phillips Community Center 
23.35 	indoor competitive swimming pool and to 
24.1 	predesign, design, engineer, and construct 
24.2 	an additional indoor multipurpose family 
24.3 	pool and facilities associated with an aquatic 
24.4 	center in the community center, subject to 
24.5 	Minnesota Statutes, section 16A.695.
24.6 	This appropriation is not available until 
24.7 	the commissioner determines that at least 
24.8 	$350,000 is committed from nonstate 
24.9 	sources.

24.10
24.11	Subd. 5.Minneapolis Transportation 
Interchange
 				2,500,000
	
24.12 	For a grant to Hennepin County or the 
24.13 	Hennepin County Regional Railroad 
24.14 	Authority for environmental analysis, 
24.15 	engineering, design, acquisition of real 
24.16 	property or interests in real property, and 
24.17 	site preparation for and construction of the 
24.18 	Minneapolis Transportation Interchange 
24.19 	Facility located in the vicinity of the 
24.20 	confluence of the Hiawatha Light Rail 
24.21 	Transit line and the Northstar Commuter Rail 
24.22 	line.

24.23	Sec. 18. HUMAN SERVICES

24.24	Subdivision 1.Total Appropriation
 			$
	7,683,000
	
24.25 	To the commissioner of administration for 
24.26 	the purposes specified in this section.

24.27	Subd. 2.Asset Preservation
 				2,000,000
	
24.28 	For asset preservation improvements and 
24.29 	betterments of a capital nature at Department 
24.30 	of Human Services facilities statewide, to be 
24.31 	spent in accordance with Minnesota Statutes, 
24.32 	section 16B.307.

24.33	Subd. 3.Maplewood - Harriet Tubman Center
 				2,000,000
	
25.1 	For a grant to the city of Maplewood to 
25.2 	design, renovate, and equip Harriet Tubman 
25.3 	Center East to be used as a regional safety 
25.4 	service center for domestic violence shelter, 
25.5 	legal services, youth programs, mental and 
25.6 	chemical health services, and community 
25.7 	education.

25.8	Subd. 4.Minnesota Security Hospital - Phase I
 				3,683,000
	
25.9 	For predesign and design of the first phase 
25.10 	of a two-phase project to remodel existing 
25.11 	facilities and develop new residential, 
25.12 	program, activity, and ancillary facilities for 
25.13 	the Minnesota Security Hospital on the upper 
25.14 	campus of the St. Peter Regional Treatment 
25.15 	Center.

25.16	Sec. 19. VETERANS AFFAIRS

25.17	Subdivision 1.Total Appropriation
 			$
	7,416,000
	
25.18 	To the commissioner of administration 
25.19 	for the purposes specified in this section. 
25.20 	The commissioner must allocate money 
25.21 	appropriated in this section so as to maximize 
25.22 	the use of all available federal funding.

25.23	Subd. 2.Asset Preservation
 				3,000,000
	
25.24 	For asset preservation improvements and 
25.25 	betterments of a capital nature at veterans 
25.26 	homes and cemeteries statewide, to be spent 
25.27 	in accordance with Minnesota Statutes, 
25.28 	section 16B.307.

25.29
25.30	Subd. 3.Minneapolis Veterans Home Building 
17 South
 				3,050,000
	
25.31 	For predesign and design for demolition of 
25.32 	the south wing of Building 17 and adjoining 
25.33 	facilities, and designing the south wing 
25.34 	of Building 17 as a new skilled nursing 
26.1 	building. This appropriation may also be 
26.2 	used to design a new distribution service 
26.3 	tunnel on the Minneapolis campus.

26.4
26.5	Subd. 4.Minneapolis Veterans Home 
Centralized Pharmacy
 				1,366,000
	
26.6 	To predesign, design, remodel, and furnish 
26.7 	historic Building 13 to be used as the veterans 
26.8 	homes' central pharmacy.

26.9	Sec. 20. CORRECTIONS

26.10	Subdivision 1.Total Appropriation
 			$
	9,128,000
	
26.11 	To the commissioner of administration for 
26.12 	the purposes specified in this section.

26.13	Subd. 2.Asset Preservation
 				5,000,000
	
26.14 	For improvements and betterments of a 
26.15 	capital nature at Minnesota correctional 
26.16 	facilities statewide, in accordance with 
26.17 	Minnesota Statutes, section 16B.307.

26.18
26.19	Subd. 3.Minnesota Correctional Facility - 
Stillwater

26.20	Well and Water Treatment Facility
				3,391,000
	
26.21 	To complete design; cap an old well; install 
26.22 	a new well; replace piping between wells, 
26.23 	water tower, and facility intake; replace water 
26.24 	treatment equipment; and design, construct, 
26.25 	furnish, and equip a new building to house 
26.26 	water treatment equipment.

26.27
26.28	Subd. 4.Northeast Regional Correctional 
Center (NERCC)
 				737,000
	
26.29 	For a grant to the Arrowhead Regional 
26.30 	Corrections Joint Powers Board for asset 
26.31 	preservation improvements and betterments 
26.32 	of a capital nature at the Northeast Regional 
26.33 	Correctional Center (NERCC).

27.1	Subd. 5.Unspent Appropriations
 					
27.2 	The unspent portion of an appropriation for 
27.3 	a project in this section that is complete, 
27.4 	upon written notice to the commissioner of 
27.5 	management and budget, is available for 
27.6 	asset preservation under Minnesota Statutes, 
27.7 	section 16B.307, at the same correctional 
27.8 	facility as the project for which the original 
27.9 	appropriation was made. Minnesota Statutes, 
27.10 	section 16A.642, applies from the date of the 
27.11 	original appropriation to the unspent amount 
27.12 	transferred.

27.13
27.14	Sec. 21. EMPLOYMENT AND ECONOMIC 
DEVELOPMENT

27.15	Subdivision 1.Total Appropriation
 			$
	76,500,000
	
27.16 	To the commissioner of employment and 
27.17 	economic development for the purposes 
27.18 	specified in this section.

27.19
27.20
27.21	Subd. 2.Greater Minnesota Business 
Development Public Infrastructure Grant 
Program
 				6,000,000
	
27.22 	For grants under Minnesota Statutes, section 
27.23 	116J.431.
27.24 	This appropriation may be used for a grant 
27.25 	to the Lake Superior-Poplar River Water 
27.26 	District to acquire property interests for, 
27.27 	engineer, design, permit, and construct works 
27.28 	and systems to transport and treat water 
27.29 	from Lake Superior through the Poplar River 
27.30 	Valley to serve domestic and irrigation water 
27.31 	users and commercial, stock watering, and 
27.32 	industrial users. Notwithstanding Minnesota 
27.33 	Statutes, section 116J.431, a grant to the 
27.34 	district is not subject to any limit in grant 
27.35 	amount or match requirement, but a grant 
28.1 	to the district is not available until at least 
28.2 	$1,200,000 has been committed to the project 
28.3 	from nonstate sources. Expenditures made 
28.4 	on or after October 1, 2011, shall count 
28.5 	towards the nonstate match.

28.6	Subd. 3.Redevelopment Account
 				3,000,000
	
28.7 	For purposes of the redevelopment account 
28.8 	under Minnesota Statutes, sections 116J.571 
28.9 	to 116J.575.

28.10
28.11	Subd. 4.Transportation Economic 
Development Program
 				 3,000,000
	
28.12 	For grants under Minnesota Statutes, section 
28.13 	116J.436.

28.14
28.15	Subd. 5.Business Development Through 
Capital Project Grants
 				 47,500,000
	
28.16 	For grants under Minnesota Statutes, section 
28.17 	116J.433.

28.18
28.19	Subd. 6.Austin Port Authority - Research and 
Technology Center
 				13,500,000
	
28.20 	For a grant to the Austin Port Authority to 
28.21 	design and construct a new building addition 
28.22 	to the Hormel Institute, including research 
28.23 	labs, research technology space, and support 
28.24 	offices. This appropriation is not available 
28.25 	until the commissioner has determined that 
28.26 	at least an equal amount has been committed 
28.27 	to the project from nonstate sources.

28.28
28.29	Subd. 7.Bemidji Regional Public Television 
Station
 				3,000,000
	
28.30 	For a grant to the city of Bemidji to construct, 
28.31 	furnish, and equip a regional public 
28.32 	television station in the city of Bemidji. 
28.33 	This appropriation is not available until the 
28.34 	commissioner determines that a 25 percent 
29.1 	match has been committed to the project 
29.2 	from nonstate sources.

29.3	Subd. 8.South St. Paul - Floodwall Extension
 				500,000
	
29.4 	For a grant to the city of South St. Paul 
29.5 	for the predesign and design, including 
29.6 	preliminary engineering evaluations to 
29.7 	determine the environmental impact, exact 
29.8 	location, and design features of a floodwall 
29.9 	extension on the west shore of the Mississippi 
29.10 	River from the area of Interstate Highway 
29.11 	494 to the southern border of South St. Paul. 
29.12 	This appropriation is not available until the 
29.13 	commissioner of management and budget 
29.14 	determines that at least an equal amount 
29.15 	is committed to the project from nonstate 
29.16 	sources.

29.17	Sec. 22. PUBLIC FACILITIES AUTHORITY

29.18	Subdivision 1.Total Appropriation
 			$
	23,500,000
	
29.19 	To the Public Facilities Authority for the 
29.20 	purposes specified in this section.

29.21	Subd. 2.State Match for Federal Grants
 				8,500,000
	
29.22 	To match federal grants for the clean water 
29.23 	revolving fund under Minnesota Statutes, 
29.24 	section 446A.07, and the drinking water 
29.25 	revolving fund under Minnesota Statutes, 
29.26 	section 446A.081.
29.27 	This appropriation must be used for qualified 
29.28 	capital projects.

29.29
29.30	Subd. 3.Wastewater Infrastructure Funding 
Program
 				15,000,000
	
29.31 	For grants to eligible municipalities under the 
29.32 	wastewater infrastructure funding program 
29.33 	under Minnesota Statutes, section 446A.072.
30.1 	If a grant is made from this appropriation 
30.2 	to the Central Iron Range Sanitary Sewer 
30.3 	District to supplement previous wastewater 
30.4 	infrastructure funding grants to design, 
30.5 	construct, furnish, and equip new wastewater 
30.6 	treatment facilities, lift stations, and 
30.7 	forcemains, it is not subject to the limitations 
30.8 	on the availability or amount of the grant in 
30.9 	Minnesota Statutes, section 446A.072, but 
30.10 	the grant must not exceed $5,000,000.

30.11	Sec. 23. HOUSING FINANCE AGENCY
 			$
	5,500,000
	
30.12 	To the Housing Finance Agency to finance 
30.13 	the rehabilitation of public housing under 
30.14 	Minnesota Statutes, section 462A.202, 
30.15 	subdivision 3a. For purposes of this 
30.16 	section, "public housing" means housing for 
30.17 	low-income persons and households financed 
30.18 	by the federal government and owned and 
30.19 	operated by public housing authorities and 
30.20 	agencies formed by cities and counties. 
30.21 	Eligible public housing authorities must 
30.22 	have a public housing assessment system 
30.23 	rating of standard or above. Priority must be 
30.24 	given to proposals that maximize federal or 
30.25 	local resources to finance the capital costs. 
30.26 	The priority in Minnesota Statutes, section 
30.27 	462A.202, subdivision 3a, for projects to 
30.28 	increase the supply of affordable housing and 
30.29 	the restrictions of Minnesota Statutes, section 
30.30 	462A.202, subdivision 7, do not apply to this 
30.31 	appropriation. 

30.32
30.33	Sec. 24. MINNESOTA HISTORICAL 
SOCIETY

30.34	Subdivision 1.Total Appropriation
 			$
	3,250,000
	
31.1 	To the Minnesota Historical Society for the 
31.2 	purposes in this section.

31.3	Subd. 2.Historic Sites Asset Preservation
 				2,500,000
	
31.4 	For capital improvements and betterments 
31.5 	at state historic sites, buildings, landscaping 
31.6 	at historic buildings, exhibits, markers, and 
31.7 	monuments, to be spent in accordance with 
31.8 	Minnesota Statutes, section 16B.307. The 
31.9 	society shall determine project priorities as 
31.10 	appropriate based on need.

31.11
31.12	Subd. 3.County and Local Preservation 
Grants
 				 750,000
	
31.13 	To be allocated to county and local 
31.14 	jurisdictions as matching money for historic 
31.15 	preservation projects of a capital nature, 
31.16 	as provided in Minnesota Statutes, section 
31.17 	138.0525.

31.18	Sec. 25. BOND SALE EXPENSES
 			$
	560,000
	
31.19 	To the commissioner of management 
31.20 	and budget for bond sale expenses under 
31.21 	Minnesota Statutes, section 16A.641, 
31.22 	subdivision 8.

31.23 	Sec. 26. BOND SALE AUTHORIZATION.
 31.24 		Subdivision 1.Bond proceeds fund. To provide the money appropriated in this act 
31.25 	from the bond proceeds fund, the commissioner of management and budget shall sell and 
31.26 	issue bonds of the state in an amount up to $526,858,000 in the manner, upon the terms, 
31.27 	and with the effect prescribed by Minnesota Statutes, sections 16A.631 to 16A.675, and 
31.28 	by the Minnesota Constitution, article XI, sections 4 to 7.
31.29 		Subd. 2.Transportation fund. To provide the money appropriated in this act from 
31.30 	the state transportation fund, the commissioner of management and budget shall sell and 
31.31 	issue bonds of the state in an amount up to $40,000,000 in the manner, upon the terms, and 
31.32 	with the effect prescribed by Minnesota Statutes, sections 16A.631 to 16A.675, and by 
31.33 	the Minnesota Constitution, article XI, sections 4 to 7. The proceeds of the bonds, except 
32.1 	accrued interest and any premium received on the sale of the bonds, must be credited to 
32.2 	a bond proceeds account in the state transportation fund.

32.3 	Sec. 27. [15B.155] CAPITOL RESTORATION PROJECT.
32.4 		Subdivision 1.Consultation and collaboration. The commissioner shall consult 
32.5 	and collaborate with representatives designated by the governor, the majority leader of 
32.6 	the senate, the speaker of the house, the chief justice of the Minnesota Supreme Court, 
32.7 	the attorney general, Capitol Area and Architectural Planning Board, and the director of 
32.8 	the Minnesota Historical Society regarding the design and construction process for the 
32.9 	restoration of the Capitol building.
32.10 		Subd. 2.Changes to space allocation. No changes shall be made to the current 
32.11 	amount and location of space in the Capitol building for the house of representatives, 
32.12 	senate, Supreme Court, and constitutional officers, unless approved as follows:
32.13 	(1) for space currently allocated to the house of representatives, by the chief clerk 
32.14 	of the house of representatives;
32.15 	(2) for space currently allocated to the senate, by the secretary of the senate;
32.16 	(3) for space currently allocated to the judicial branch, by the court administrator; and
32.17 	(4) for space currently allocated to the attorney general's office, by the attorney 
32.18 	general.
32.19 		Subd. 3.Sequencing. Construction work shall be sequenced to maintain occupancy 
32.20 	in the house of representatives and senate chambers during regular legislative sessions, 
32.21 	unless otherwise approved by the speaker of the house and the majority leader of the 
32.22 	senate for respective chambers.
32.23 		Subd. 4.Duties of commissioner. (a) By January 15, 2013, the commissioner 
32.24 	of administration shall submit a space recommendation report to the majority leader 
32.25 	of the senate, the speaker of the house, and the chairs of the legislative committees 
32.26 	with primary jurisdiction over the Capitol Area Architectural and Planning Board. The 
32.27 	space recommendation report shall identify appropriate and required functions of the 
32.28 	Capitol building and make recommendations to address space requirements for the 
32.29 	tenants currently located in the Capitol building for the effective and efficient function 
32.30 	of state government. In preparing the report, the commissioner shall consult with the 
32.31 	Capitol Preservation Commission and representatives designated by the governor, the 
32.32 	secretary of the senate, the chief clerk of the house of representatives, the director of the 
32.33 	Minnesota Historical Society, and the state court administrator. Before the appropriations 
32.34 	in subdivision 2, clauses (4) and (5), may be spent, the recommendations in the report 
33.1 	must be approved by the governor, the secretary of the senate, and the chief clerk of the 
33.2 	house of representatives.
33.3 	(b) By July 15, 2013, the commissioner shall submit a report describing final plans 
33.4 	and specifications for the restoration of the Capitol building to the majority leader of the 
33.5 	senate, the speaker of the house, and to the chairs of the committees in the senate and 
33.6 	house of representatives with primary jurisdiction over the Capitol Area Architectural and 
33.7 	Planning Board. Before the appropriations in subdivision 2, clauses (4) and (5), may be 
33.8 	spent, the plans and specifications must be approved by the governor, the secretary of the 
33.9 	senate, and the chief clerk of the house of representatives.
33.10 	(c) Notwithstanding sections 16C.05, subdivision 2, paragraph (b); and 16C.08, 
33.11 	subdivision 3, clause (5), the commissioner of administration may enter into consultant 
33.12 	and construction contracts on the Capitol restoration and repair project with a term of 
33.13 	up to ten years.
33.14 	(d) Notwithstanding section 16B.31, subdivision 2, the commissioner of 
33.15 	administration may proceed with the Capitol restoration and repair project before 
33.16 	obtaining an appropriation to complete the entire project.
33.17 	(e) On or before December 1 of each year until final completion of the restoration 
33.18 	project, the commissioner of administration shall submit in writing to the governor, chairs 
33.19 	of the senate Finance and Capital Investment Committees, and chairs of the house of 
33.20 	representatives Ways and Means and Capital Investment Committees the estimated annual 
33.21 	amount needed for the restoration project for the upcoming fiscal year. The construction 
33.22 	manager and the commissioner shall enter into a guaranteed maximum price contract. In 
33.23 	the absence of an appropriation sufficient for the continued performance of work on 
33.24 	an annual basis as determined by the commissioner of administration, the construction 
33.25 	manager shall not be bound to complete the remaining work within the guaranteed 
33.26 	maximum price in the contract.
33.27 	(f) With the approval of the commissioner of administration, the construction 
33.28 	manager may bid trade work in accordance with section 16C.34, subdivision 3, before 
33.29 	the enactment of an appropriation sufficient to fully fund the trade work for completion 
33.30 	of the full project described in the Comprehensive Master Plan. The construction 
33.31 	manager shall enter into guaranteed maximum price contracts with subcontractors for 
33.32 	the trade work. In the event the legislature fails to appropriate money sufficient for the 
33.33 	continued performance of work on an annual basis as determined by the commissioner 
33.34 	of administration, the subcontractors shall not be bound to complete the remaining work 
33.35 	within the guaranteed maximum price in the contract. Contracts with subcontractors for 
33.36 	trade work under this paragraph must include terms consistent with this paragraph.

34.1 	Sec. 28. Minnesota Statutes 2010, section 16A.633, is amended by adding a 
34.2 	subdivision to read:
34.3 		Subd. 4.Report on jobs created or retained. By September 1 of each 
34.4 	odd-numbered year, the commissioner must report to legislative committees with 
34.5 	jurisdiction over capital investment on the jobs created or retained as a result of capital 
34.6 	project funding by the state, whether with state general obligation bond proceeds or other 
34.7 	state funding sources, during the previous biennium. Each state agency must provide the 
34.8 	commissioner the information necessary, and must require its capital project grantees to 
34.9 	provide the information necessary, for the commissioner to make the report. The report 
34.10 	must include, but is not limited to, the following information: the number and types of 
34.11 	jobs for each project, whether the jobs are new or retained, where the jobs are located, 
34.12 	and pay ranges of the jobs. The Board of Regents of the University of Minnesota, the 
34.13 	Board of Trustees of the Minnesota State Colleges and Universities, and each state agency 
34.14 	receiving an appropriation for a capital project shall collect and provide the information at 
34.15 	the time and in the manner required by the commissioner.

34.16 	Sec. 29. Minnesota Statutes 2011 Supplement, section 16A.641, subdivision 7, is 
34.17 	amended to read:
34.18 		Subd. 7.Credit of proceeds. (a) Proceeds of bonds issued under each law must be 
34.19 	credited by the commissioner to a special fund, as provided in this subdivision. For the 
34.20 	purpose of this subdivision, "proceeds of bonds" means and includes the principal amount 
34.21 	of the bonds and any premium and accrued interest received on the sale of the bonds.
34.22 	(b) Accrued interest received on sale of the bonds must be credited to the state bond 
34.23 	fund created by the Constitution, article XI, section 7. Any premium received on the sale 
34.24 	of the bonds on or prior to December 1, 2012, must be credited to the state bond fund. Any 
34.25 	premium received on the sale of the bonds, except for refunding bonds,  after December 1, 
34.26 	2012, must be credited to either the bond proceeds fund where it is used to reduce the par 
34.27 	amount of the bonds issued or the state bond fund or used to reduce the par amount of the 
34.28 	bond issue at the time of sale. Any premium received on the sale of the refunding bonds, 
34.29 	after December 1, 2012, must be used or credited in accordance with paragraph (f).
34.30 	(c) Except as otherwise provided by law, proceeds of state bonds issued under the 
34.31 	Constitution, article XI, section 5, clause (a), must be credited to the bond proceeds fund 
34.32 	established by section 16A.631.
34.33 	(d) Proceeds of state highway bonds must be credited to the trunk highway fund 
34.34 	under the Constitution, article XIV, section 6.
35.1 	(e) Proceeds of bonds issued for programs of grants or loans to political subdivisions 
35.2 	must be credited to special accounts in the bond proceeds fund or to special funds 
35.3 	established by laws stating the purposes of the grants or loans, and the standards and 
35.4 	criteria under which an executive agency is authorized to make them.
35.5 	(f) Proceeds of refunding bonds must be either: (1) credited to the state bond fund 
35.6 	as provided in section 16A.66, subdivision 1; or (2) in the case of premium received on 
35.7 	the sale of the refunding bonds, used to reduce the par amount of the bond issue at the 
35.8 	time of the bond sale.
35.9 	(g) Proceeds of other bonds must be credited as provided in the law authorizing 
35.10 	their issuance.

35.11 	Sec. 30. Minnesota Statutes 2010, section 16A.641, subdivision 9, is amended to read:
35.12 		Subd. 9.Special accounts; appropriation. (a) The commissioner shall establish 
35.13 	separate accounts in the state bond fund for:
35.14 	(1) state building bonds, and for other state bonds issued for each program of 
35.15 	grants to political subdivisions for a particular class of capital expenditures, to record 
35.16 	debt service payments and receipts of amounts appropriated from the general fund under 
35.17 	subdivision 10;
35.18 	(2) state highway bonds, to record debt service payments, receipts of amounts 
35.19 	appropriated for debt service from the trunk highway fund pursuant to the Constitution, 
35.20 	article XIV, section 6, and additional receipts, if any, of amounts appropriated from the 
35.21 	general fund under subdivision 10;
35.22 	(3) state bonds issued for each capital loan and for each program of capital loans 
35.23 	to agencies or political subdivisions, to record debt service payments, receipts of loan 
35.24 	repayments appropriated for debt service or reimbursement of debt service by the law 
35.25 	authorizing the loan or program, and any additional receipts of amounts appropriated from 
35.26 	the general fund under subdivision 10; and
35.27 	(4) refunding bonds, as provided in section 16A.66, subdivision 1.
35.28 	(b) All money credited, transferred, or appropriated to the state bond fund and all 
35.29 	income from the investment of that money is appropriated to the commissioner for the 
35.30 	payment of principal and interest on state bonds or, in the case of premium received on the 
35.31 	sale of refunding bonds, as provided by subdivision 7, paragraph (f).

35.32 	Sec. 31. Minnesota Statutes 2011 Supplement, section 16A.96, is amended by adding a 
35.33 	subdivision to read:
36.1 		Subd. 10.Validation. (a) Appropriation bonds issued under this section may be 
36.2 	validated in the manner provided by this subdivision. If comparable appropriation bonds 
36.3 	are judicially determined to be valid, nothing in this subdivision shall be construed to 
36.4 	prevent sale or delivery of any appropriation bonds or notes after entry of a judgment of 
36.5 	validation by the Minnesota Supreme Court as provided in this subdivision with respect 
36.6 	to the appropriation bonds authorized under this section.
36.7 	(b) Any appropriation bonds issued under this section that are validated shall be 
36.8 	validated in the manner provided by this subdivision.
36.9 	(c) The Minnesota Supreme Court shall have original jurisdiction to determine the 
36.10 	validation of appropriation bonds and all matters connected with the issuance of the bonds.
36.11 	(d) The commissioner may determine the commissioner's authority to issue 
36.12 	appropriation bonds and the legality of all proceedings in connection with issuing bonds. 
36.13 	For this purpose, a complaint shall be filed by the commissioner in the Minnesota Supreme 
36.14 	Court against the state and the taxpayers and citizens.
36.15 	(e) As a condition precedent to filing of a complaint for the validation of 
36.16 	appropriation bonds, the commissioner shall take action providing for the issuance of 
36.17 	appropriation bonds in accordance with law.
36.18 	(f) The complaint shall set out the state's authority to issue appropriation bonds, the 
36.19 	action or proceeding authorizing the issue and its adoption, all other essential proceedings 
36.20 	had or taken in connection with issuing bonds, the amount of the appropriation bonds to 
36.21 	be issued and the maximum interest they are to bear, and all other pertinent matters.
36.22 	(g) The Minnesota Supreme Court shall issue an order directed against the state and 
36.23 	taxpayers, citizens, and others having or claiming any right, title, or interest affected by 
36.24 	the issuance of appropriation bonds, or to be affected by the bonds, allowing all persons, 
36.25 	in general terms and without naming them, and the state through its attorney general to 
36.26 	appear before the Minnesota Supreme Court at a designated time and place and show 
36.27 	why the complaint should not be granted and the proceedings and appropriation bonds 
36.28 	validated. A copy of the complaint and order shall be served on the attorney general at 
36.29 	least 20 days before the time fixed for hearing. The attorney general shall examine the 
36.30 	complaint, and, if it appears or there is reason to believe that it is defective, insufficient, or 
36.31 	untrue, or if in the opinion of the attorney general the issuance of the appropriation bonds 
36.32 	in question has not been duly authorized, defense shall be made by the attorney general as 
36.33 	the attorney general deems appropriate.
36.34 	(h) Before the date set for hearing, as directed by the Minnesota Supreme Court, 
36.35 	either the clerk of the Minnesota Appellate Courts or the commissioner shall publish a 
36.36 	copy of the order in a legal newspaper of general circulation in Ramsey County and 
37.1 	the state, at least once each week for two consecutive weeks, commencing with the 
37.2 	first publication, which shall not be less than 20 days before the date set for hearing. 
37.3 	By this publication, all taxpayers, citizens, and others having or claiming any right, 
37.4 	title, or interest in the state, are made parties defendant to the action and the Minnesota 
37.5 	Supreme Court has jurisdiction of them to the same extent as if named as defendants in the 
37.6 	complaint and personally served with process.
37.7 	(i) Any taxpayer, citizen, or person interested may become a party to the action by 
37.8 	moving against or pleading to the complaint at or before the time set for hearing. The 
37.9 	Minnesota Supreme Court shall determine all questions of law and fact and make orders 
37.10 	that will enable it to properly try and determine the action and render a final judgment 
37.11 	within 30 days of the hearing with the least possible delay.
37.12 	(j) If the judgment validates appropriation bonds, the judgment is forever conclusive 
37.13 	as to all matters adjudicated and as against all parties affected and all others having or 
37.14 	claiming any right, title, or interest affected by the issuance of appropriation bonds, or to 
37.15 	be affected in any way by issuing the bonds, and the validity of appropriation bonds or of 
37.16 	any revenues pledged for the payment of the bonds, or of the proceedings authorizing the 
37.17 	issuance of the bonds, including any remedies provided for their collection, shall never 
37.18 	be called in question in any court by any person or party.
37.19 	(k)(1) Appropriation bonds, when validated under this section, shall have stamped 
37.20 	or written on the bonds, by the proper officers of the state issuing them, a statement in 
37.21 	substantially the following form: "This bond is one of a series of appropriation bonds, 
37.22 	which were validated by judgment of the Supreme Court of the State of Minnesota, 
37.23 	rendered on ....., (year) ......"
37.24 	(2) A certified copy of the judgment or decree shall be received as evidence in any 
37.25 	court in this state.

37.26 	Sec. 32. [16B.323] SOLAR ENERGY IN STATE BUILDINGS.
37.27 		Subdivision 1.Definitions. (a) For purposes of this section, the following terms 
37.28 	have the meanings given.
37.29 	(b) "Made in Minnesota" means the manufacture in this state of:
37.30 	(i) components of a solar thermal system certified by the Solar Rating and 
37.31 	Certification Corporation; or 
37.32 	(ii) solar photovoltaic modules that: 
37.33 	(1) are manufactured at a manufacturing facility in Minnesota that is registered and 
37.34 	authorized to manufacture those solar photovoltaic modules by Underwriters Laboratory, 
37.35 	CSA International, Intertek, or an equivalent independent testing agency; 
38.1 	(2) bear certification marks from Underwriters Laboratory, CSA International, 
38.2 	Intertek, or an equivalent independent testing agency; and  
38.3 	(3) meet the requirements of section 116C.7791, subdivision 3, paragraph (a), 
38.4 	clauses (1), (5), and (6). 
38.5 	 For the purposes of clause (ii), "manufactured" has the meaning given in section 
38.6 	116C.7791, subdivision 1, paragraph (b), clauses (1) and (2).
38.7 	(c) "Major renovation" means a substantial addition to an existing building, or 
38.8 	a substantial change to the interior configuration or the energy system of an existing 
38.9 	building. 
38.10 	(d) "Solar energy system" means solar photovoltaic modules alone or installed in 
38.11 	conjunction with a solar thermal system. 
38.12 	(e) "Solar photovoltaic module" has the meaning given in section 116C.7791, 
38.13 	subdivision 1, paragraph (e). 
38.14 	(f) "Solar thermal system" has the meaning given "qualifying solar thermal project" 
38.15 	in section 216B.2411, subdivision 2, paragraph (e). 
38.16 	(g) "State building" means a building whose construction or renovation is paid 
38.17 	wholly or in part by the state from the bond proceeds fund.
38.18 		Subd. 2.Solar energy system. (a) As provided in paragraphs (b) to (e), a project 
38.19 	for the construction or major renovation of a state building, after the completion of a 
38.20 	cost-benefit analysis, may include installation of "Made in Minnesota" solar energy 
38.21 	systems of 40 kilowatts capacity on, adjacent, or in proximity to the state building.
38.22 	(b) The capacity of a solar system must be less than 40 kilowatts to the extent 
38.23 	necessary to match the electrical load of the building or to the extent necessary to keep the 
38.24 	costs for the installation below the five percent maximum set by paragraph (c).
38.25 	(c) The cost of the solar system must not exceed five percent of the appropriations 
38.26 	from the bond proceeds fund for the construction or renovation of the state building. 
38.27 	Purchase and installation of a solar thermal system may account for no more than 25 
38.28 	percent of the cost of a solar system installation.
38.29 	(d) The commissioner may exempt a major renovation of a state building from the 
38.30 	requirements of this section if the commissioner finds that the structural soundness or 
38.31 	other physical condition of the state building to be renovated makes the installation of a 
38.32 	solar energy system infeasible.
38.33 	(e) The commissioner may exempt appropriations for construction or major 
38.34 	renovation of a state building authorized before June 30, 2012, from the requirements of 
38.35 	this section if the commissioner determines that the installation of a solar energy system 
39.1 	would require the redesign of program space or major building systems, but in no event 
39.2 	shall more than 20 percent of the applicable projects be exempted under this paragraph.
39.3 	(f) A project subject to this section is ineligible to receive a rebate for the installation 
39.4 	of a solar energy system under section 116C.7791 or from any utility.

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

39.6 	Sec. 33. [116J.433] BUSINESS DEVELOPMENT THROUGH CAPITAL 
39.7 	PROJECTS GRANT PROGRAM.
39.8 		Subdivision 1.Creation of account. A business development through capital 
39.9 	projects account is created in the bond proceeds fund. Money in the account may only be 
39.10 	used for capital costs for eligible projects and public infrastructure.
39.11 		Subd. 2.Definitions. For purposes of this section:
39.12 	(1) "local governmental unit" means a county, city, town, special district, public 
39.13 	higher education institution, or other political subdivision or public corporation;
39.14 	(2) "governing body" means the city council, board of county commissioners, town 
39.15 	board of supervisors, board of trustees, board of regents, or other body charged with 
39.16 	governing a political subdivision of the state;
39.17 	(3) "public infrastructure" means publicly owned physical infrastructure in this state, 
39.18 	including, but not limited to, wastewater collection and treatment systems, drinking water 
39.19 	systems, storm sewers, utility extensions, telecommunications infrastructure, streets, 
39.20 	roads, bridges, and parking ramps; and
39.21 	(4) "eligible project" means any project for which general obligation bonds of 
39.22 	the state may be issued. Eligible projects must be capital projects for acquisition or 
39.23 	improvement of publicly owned fixed assets having a useful life of at least ten years.
39.24 		Subd. 3.Grant program established. The commissioner shall make competitive 
39.25 	grants to local governmental units for eligible projects and public infrastructure required 
39.26 	to support an eligible project, which may include: predesign, design, acquisition of land or 
39.27 	buildings, construction, furnishing, and equipping a new or renovated building. The local 
39.28 	government unit may employ or contract with persons, firms, or corporations to perform 
39.29 	one or more or all of the functions of architect, engineer, or construction manager with 
39.30 	respect to all or any part of an eligible project and related public infrastructure. The local 
39.31 	government unit may deliver the eligible project and related public infrastructure through 
39.32 	either a design-build or construction manager at-risk method. To the extent practicable 
39.33 	and at the discretion of the local government unit, the local government unit may have 
39.34 	rights and exercise powers with respect to the acquisition, construction, use, and operation 
39.35 	of an eligible project, as are granted under section 473.756. No consent or approval of 
40.1 	another political subdivision is required for the effectiveness or the exercise by a local 
40.2 	government unit of the rights or powers.
40.3 		Subd. 4.Application. (a) A local governmental unit must apply to the commissioner 
40.4 	for a grant under this section. At a minimum, a local governmental unit must include the 
40.5 	following information in its application:
40.6 	(1) a resolution of its governing body certifying that the money required to be 
40.7 	supplied by the local governmental unit to complete the project is available and committed;
40.8 	(2) a detailed estimate, along with necessary supporting evidence, of the total costs 
40.9 	of the eligible project;
40.10 	(3) an assessment of the potential or likely use of the site for innovative business 
40.11 	activities after completion of the eligible project;
40.12 	(4) a timeline indicating the major milestones for the eligible project, including 
40.13 	anticipated completion dates; 
40.14 	(5) an estimate of the operating costs for the project for ten years following 
40.15 	completion; and
40.16 	(6) any additional information or material the commissioner prescribes.
40.17 	(b) The determination of whether to make a grant under subdivision 3 is within the 
40.18 	discretion of the commissioner, subject to this section.
40.19 		Subd. 5.Match. An amount granted under this program must be matched with at 
40.20 	least an equal amount from nonstate sources. Any contribution to a project from nonstate 
40.21 	sources made before a grant award is made under this section shall count towards the 
40.22 	match requirement.
40.23 		Subd. 6.Priorities. (a) If applications for grants exceed the available appropriation, 
40.24 	grants must be made for projects that, in the commissioner's judgment, provide the 
40.25 	highest return in public benefits for the public costs incurred. In making this judgment, 
40.26 	the commissioner shall evaluate and prioritize eligible projects on the following 
40.27 	characteristics:
40.28 	(1) creation of new jobs, retention of existing jobs, or improvements in the quality of 
40.29 	existing jobs as measured by the wages, skills, or education associated with those jobs;
40.30 	(2) improvement in the quality of existing jobs, based on increases in wages or 
40.31 	improvements in the job duties, training, or education associated with those jobs;
40.32 	(3) increase in the local tax base, based on demonstrated measurable outcomes;
40.33 	(4) demonstration that investment of public dollars in the project will induce private 
40.34 	investment;
40.35 	(5) whether the project provides necessary repair or replacement of existing capital 
40.36 	assets;
41.1 	(6) whether the project reduces operating expenses of or increases revenue from 
41.2 	existing capital asset, thereby offsetting at least a portion of project costs;
41.3 	(7) whether the project provides health or safety benefits;
41.4 	(8) the number of residents served by or who will benefit from the project;
41.5 	(9) demonstration of local support; 
41.6 	(10) the capacity of the project to attract revenue from out of state; and
41.7 	(11) objective cost benefit analysis and return on investment.
41.8 	(b) The factors in paragraph (a) are not listed in a rank order of priority; rather, the 
41.9 	commissioner may weigh each factor, depending upon the facts and circumstances, as the 
41.10 	commissioner considers appropriate. In prioritizing projects, the commissioner shall make 
41.11 	an appropriate balance between the metropolitan area and greater Minnesota.
41.12 		Subd. 7.Sunset. This section expires June 30, 2016.

41.13 	Sec. 34. [116J.436] TRANSPORTATION ECONOMIC DEVELOPMENT 
41.14 	INFRASTRUCTURE PROGRAM.
41.15 		Subdivision 1.Grant program established; purpose. The transportation economic 
41.16 	development infrastructure program is created to foster interagency coordination between 
41.17 	the Departments of Transportation and Employment and Economic Development to 
41.18 	finance infrastructure to create economic development opportunities, jobs, and improve all 
41.19 	types of transportation systems statewide.
41.20 		Subd. 2.Eligible projects. Funds appropriated for the program must be used to 
41.21 	fund predesign, design, acquisition of land, construction, reconstruction, and infrastructure 
41.22 	improvements that will promote economic development, increase employment, and 
41.23 	improve transportation systems to accommodate private investment and job creation.
41.24 		Subd. 3.Trunk highway projects. Money in the program shall not be used on 
41.25 	trunk highway improvements, but can be used for needed infrastructure improvements 
41.26 	and nontrunk highway improvements in coordination with trunk highway improvement 
41.27 	projects undertaken by the Department of Transportation.
41.28 		Subd. 4.Application. The commissioners of transportation and employment and 
41.29 	economic development shall design an application process and selection process to 
41.30 	distribute funding to local units of government for publicly owned infrastructure using 
41.31 	criteria that take into account: job creation; increase in local tax base; level of private 
41.32 	investment; leverage of nonstate funds; improvement to the transportation system to serve 
41.33 	the project area; and appropriate geographic balance between the metropolitan area and 
41.34 	greater Minnesota.

42.1 	Sec. 35. Minnesota Statutes 2010, section 462A.21, is amended by adding a 
42.2 	subdivision to read:
42.3 		Subd. 33.Housing infrastructure bonds account. The agency may establish a 
42.4 	housing infrastructure bond account as a separate account within the housing development 
42.5 	fund. Proceeds of housing infrastructure bonds and payments made by the state under 
42.6 	section 462A.37 may be credited to the account. The agency may transfer the proceeds of 
42.7 	housing infrastructure bonds to other accounts within the housing development fund that it 
42.8 	determines appropriate to accomplish the purposes for which the bonds are authorized 
42.9 	under section 462A.37.

42.10 	Sec. 36. [462A.37] HOUSING INFRASTRUCTURE BONDS; 
42.11 	AUTHORIZATION; STANDING APPROPRIATION.
42.12 		Subdivision 1.Definitions. (a) For purposes of this section, the following terms 
42.13 	have the meanings given.
42.14 	(b) "Abandoned property" has the meaning given in section 117.025, subdivision 5.
42.15 	(c) "Community land trust" means an entity that meets the requirements of section 
42.16 	462A.31, subdivisions 1 and 2.
42.17 	(d) "Debt service" means the amount payable in any fiscal year of principal, 
42.18 	premium, if any, and interest on housing infrastructure bonds and the fees, charges, and 
42.19 	expenses related to the bonds.
42.20 	(e) "Foreclosed property" means residential property where foreclosure proceedings 
42.21 	have been initiated or have been completed and title transferred or where title is transferred 
42.22 	in lieu of foreclosure.
42.23 	(f) "Housing infrastructure bonds" means bonds issued by the agency under chapter 
42.24 	462A that are qualified 501(c)(3) bonds, within the meaning of Section 145(a) of the 
42.25 	Internal Revenue Code, or are tax-exempt bonds that are not private activity bonds, within 
42.26 	the meaning of Section 141(a) of the Internal Revenue Code, for the purpose of financing 
42.27 	or refinancing affordable housing authorized under this chapter.
42.28 	(g) "Internal Revenue Code" means the Internal Revenue Code of 1986, as amended.
42.29 	(h) "Supportive housing" means housing that is not time-limited and provides or 
42.30 	coordinates with linkages to services necessary for residents to maintain housing stability 
42.31 	and maximize opportunities for education and employment.
42.32 		Subd. 2.Authorization. (a) The agency may issue up to $30,000,000 in aggregate 
42.33 	principal amount of housing infrastructure bonds in one or more series to which the 
42.34 	payment made under this section may be pledged. The housing infrastructure bonds 
43.1 	authorized in this subdivision may be issued to fund loans, on terms and conditions the 
43.2 	agency deems appropriate, made for one or more of the following purposes:
43.3 	(1) to finance the costs of the construction, acquisition, and rehabilitation of 
43.4 	supportive housing for individuals and families who are without a permanent residence;
43.5 	(2) to finance the costs of the acquisition and rehabilitation of foreclosed or 
43.6 	abandoned housing to be used for affordable rental housing and the costs of new 
43.7 	construction of rental housing on abandoned or foreclosed property where the existing 
43.8 	structures will be demolished or removed;
43.9 	(3) to finance that portion of the costs of acquisition of abandoned or foreclosed 
43.10 	property that is attributable to the land to be leased by community land trusts to low- 
43.11 	and moderate-income homebuyers; and
43.12 	(4) to finance the costs of acquisition and rehabilitation of federally assisted rental 
43.13 	housing and for the refinancing of costs of the construction, acquisition, and rehabilitation 
43.14 	of federally assisted rental housing, including providing funds to refund, in whole or in 
43.15 	part, outstanding bonds previously issued by the agency or another governmental unit to 
43.16 	finance or refinance such costs.
43.17 	(b) Among comparable proposals for permanent supportive housing, preference 
43.18 	shall be given to permanent supportive housing for individuals or families who: (1) either 
43.19 	have been without a permanent residence for at least 12 months or at least four times in 
43.20 	the last three years; or (2) are at significant risk of lacking a permanent residence for 12 
43.21 	months or at least four times in the last three years.
43.22 		Subd. 3.No full faith and credit. The housing infrastructure bonds are not public 
43.23 	debt of the state, and the full faith and credit and taxing powers of the state are not pledged 
43.24 	to the payment of the housing infrastructure bonds or to any payment that the state agrees 
43.25 	to make under this section. The bonds must contain a conspicuous statement to that effect.
43.26 		Subd. 4.Appropriation; payment to agency or trustee. (a) The agency must 
43.27 	certify annually to the commissioner of management and budget the actual amount of 
43.28 	annual debt service on each series of bonds issued under subdivision 2.
43.29 	(b) Each July 15, beginning in 2013 and through 2035, if any housing infrastructure 
43.30 	bonds issued under subdivision 2 remain outstanding, the commissioner of management 
43.31 	and budget must transfer to the affordable housing bond account established under 
43.32 	section 462A.21, subdivision 33, the amount certified under paragraph (a), not to exceed 
43.33 	$2,200,000 annually. The amounts necessary to make the transfers are appropriated from 
43.34 	the general fund to the commissioner of management and budget.
43.35 	(c) The agency may pledge to the payment of the housing infrastructure bonds the 
43.36 	payments to be made by the state under this section.

44.1 	Sec. 37. Laws 2006, chapter 258, section 7, subdivision 23, as amended by Laws 2010, 
44.2 	chapter 399, section 2, is amended to read:

44.3	Subd. 23.Trail connections
 				2,010,000
	
44.4 	For matching grants under Minnesota 
44.5 	Statutes, section 85.019, subdivision 4c.
44.6 	$500,000 is for a grant to Carlton County 
44.7 	to predesign, design, and construct a 
44.8 	nonmotorized pedestrian trail connection 
44.9 	to the Willard Munger State Trail from the 
44.10 	city of Carlton through the city of Scanlon 
44.11 	continuing to the city of Cloquet, along the 
44.12 	St. Louis River in Carlton County.
44.13 	$260,000 is to provide the state match for the 
44.14 	cost of the Soo Line Multiuse Recreational 
44.15 	Bridge project over marked Trunk Highway 
44.16 	169 in Mille Lacs County. 
44.17 	$175,000 is for a grant to the city of Bowlus 
44.18 	in Morrison County to design, construct, 
44.19 	furnish, and equip a trailhead center at the 
44.20 	head of the Soo Line Recreational Trail.
44.21 	$125,000 is for a grant to Morrison 
44.22 	County to predesign, design, construct, 
44.23 	furnish, and equip a park-and-ride lot and 
44.24 	restroom building adjacent to the Soo Line 
44.25 	Recreational Trail at U.S. Highway 10.
44.26 	$950,000 is for a grant to the St. Louis 
44.27 	and Lake Counties Regional Railroad 
44.28 	Authority for land acquisition, engineering, 
44.29 	construction, furnishing, and equipping of 
44.30 	a 19-mile "Boundary Waters Connection" 
44.31 	of the Mesabi Trail from Bearhead State 
44.32 	Park to the International Wolf Center in 
44.33 	Ely. This appropriation is contingent upon 
44.34 	a matching contribution of $950,000 from 
45.1 	other sources, public or private segment of 
45.2 	the Mesabi Trail from County Road 697 in 
45.3 	Breitung Township east through Vermilion 
45.4 	State Park. Notwithstanding Minnesota 
45.5 	Statutes, section 85.019, no local match shall 
45.6 	be required for this grant. Notwithstanding 
45.7 	Minnesota Statutes, section 16A.642, the 
45.8 	bond authorization and appropriation of bond 
45.9 	proceeds for this project are available until 
45.10 	June 30, 2014.

45.11 	Sec. 38. Laws 2006, chapter 258, section 17, subdivision 3, is amended to read:

45.12
45.13	Subd. 3.Cedar Avenue Bus Rapid Transit 
(BRT)
 				5,000,000
	
45.14 	To the Metropolitan Council or to the council 
45.15 	to grant to Dakota County, the Dakota 
45.16 	County Regional Railroad Authority, or 
45.17 	the Minnesota Valley Transit Authority 
45.18 	for environmental studies, preliminary 
45.19 	engineering, bus lane improvements, and 
45.20 	transit station construction and improvements 
45.21 	in the Cedar Avenue Bus Rapid Transit 
45.22 	Corridor.
45.23 	This appropriation may not be spent for 
45.24 	capital improvements within a trunk highway 
45.25 	right-of-way.

45.26 	EFFECTIVE DATE. This section is effective retroactively from June 2, 2006.

45.27 	Sec. 39. Laws 2008, chapter 179, section 7, subdivision 27, as amended by Laws 2010, 
45.28 	chapter 189, section 56, and Laws 2010, chapter 399, section 4, is amended to read:

45.29
45.30	Subd. 27.State Trail Acquisition, 
Rehabilitation, and Development
 				15,320,000
	
45.31 	To acquire land for and to construct and 
45.32 	renovate state trails under Minnesota 
45.33 	Statutes, section 85.015.
46.1 	$970,000 is for the Chester Woods Trail 
46.2 	from Rochester to Dover. Notwithstanding 
46.3 	Minnesota Statutes, section 16A.642, the 
46.4 	bond authorization and appropriation of bond 
46.5 	proceeds for this project are available until 
46.6 	June 30, 2016.
46.7 	$700,000 is for the Casey Jones Trail.
46.8 	$750,000 is for the Gateway Trail, to replace 
46.9 	an at-grade crossing of the Gateway Trail 
46.10 	at Highway 120 with a grade-separated 
46.11 	crossing.
46.12 	$1,600,000 is for the Gitchi-Gami Trail 
46.13 	between Silver Bay and Tettegouche State 
46.14 	Park.
46.15 	$1,500,000 is for the Great River Ridge Trail 
46.16 	from Plainview to Elgin to Eyota. 
46.17 	$1,500,000 is for the Heartland Trail.
46.18 	$500,000 is for the Mill Towns Trail from 
46.19 	Lake Byllesby Park to Cannon Falls.
46.20 	Notwithstanding Minnesota Statutes, 
46.21 	section 16A.642, the bond authorization 
46.22 	and appropriation of bond proceeds for this 
46.23 	project are available until December 30, 
46.24 	2014.
46.25 	$150,000 is for the Mill Towns Trail within 
46.26 	the city of Faribault.
46.27 	$1,500,000 is for the Minnesota River 
46.28 	Trail from Appleton to Milan and to 
46.29 	the Marsh Lake Dam. Notwithstanding 
46.30 	Minnesota Statutes, section 16A.642, the 
46.31 	bond authorization and appropriation of bond 
46.32 	proceeds for this project are available until 
46.33 	December 30, 2014.
47.1 	$2,000,000 is for the Paul Bunyan Trail from 
47.2 	Walker to Guthrie.
47.3 	$250,000 is for the Root River Trail from 
47.4 	Preston to Forestville State Park.
47.5 	$100,000 is for the Root River Trail, the 
47.6 	eastern extension.
47.7 	$250,000 is for the Root River Trail, the 
47.8 	eastern extension Wagon Wheel.
47.9 	$550,000 is to connect the Stagecoach Trail 
47.10 	with the Douglas Trail in Olmsted County.
47.11 	Notwithstanding Minnesota Statutes, 
47.12 	section 16A.642, the bond authorization 
47.13 	and appropriation of bond proceeds for this 
47.14 	project are available until June 30, 2014.
47.15 	$3,000,000 is to rehabilitate state trails.
47.16 	For any project listed in this subdivision that 
47.17 	the commissioner determines is not ready to 
47.18 	proceed, the commissioner may allocate that 
47.19 	project's money to another state trail project 
47.20 	in this subdivision. The chairs of the house 
47.21 	and senate committees with jurisdiction 
47.22 	over environment and natural resources 
47.23 	and legislators from the affected legislative 
47.24 	districts must be notified of any changes.

47.25 	Sec. 40. Laws 2008, chapter 179, section 17, subdivision 4, is amended to read:

47.26	Subd. 4.Cedar Avenue Bus Rapid Transit
 				4,000,000
	
47.27 	To the Metropolitan Council or to the 
47.28 	Council to grant to Dakota County, the 
47.29 	Dakota County Regional Railroad Authority, 
47.30 	or the Minnesota Valley Transit Authority to 
47.31 	acquire land, or an interest in land, and to for
47.32 	design, environmental studies, preliminary 
47.33 	engineering, bus lane improvements, layover 
48.1 	and maintenance facilities, and transit station 
48.2 	construction and improvements in the Cedar 
48.3 	Avenue Bus Rapid Transit corridor in Dakota 
48.4 	County. This appropriation may not be spent 
48.5 	for capital improvements within a trunk 
48.6 	highway right-of-way. This appropriation 
48.7 	is added to the appropriation in Laws 2006, 
48.8 	chapter 258, section 17, subdivision 3.

48.9 	EFFECTIVE DATE. This section is effective retroactively from April 8, 2008.

48.10 	Sec. 41. Laws 2008, chapter 179, section 18, subdivision 3, as amended by Laws 2011, 
48.11 	First Special Session chapter 12, section 32, is amended to read:

48.12
48.13	Subd. 3.Systemwide Campus Redevelopment, 
Reuse, or Demolition
 				3,400,000
	
48.14 	To demolish surplus, nonfunctional, or 
48.15 	deteriorated facilities and infrastructure 
48.16 	or to renovate surplus, nonfunctional, or 
48.17 	deteriorated facilities and infrastructure 
48.18 	at Department of Human Services 
48.19 	campuses. These projects must facilitate the 
48.20 	redevelopment or reuse of these campuses 
48.21 	consistent with redevelopment plan concepts 
48.22 	developed and approved under Laws 
48.23 	2003, First Special Session chapter 14, 
48.24 	article 6, section 64, subdivision 2. If 
48.25 	a surplus campus is sold or transferred 
48.26 	to a local unit of government, unspent 
48.27 	portions of this appropriation may be 
48.28 	granted to that local unit of government 
48.29 	for the purposes stated in this subdivision.
48.30 	Unspent portions of this appropriation may 
48.31 	be used to design, construct, furnish, and 
48.32 	equip a maintenance and storage facility to 
48.33 	support the maintenance and operation of 
48.34 	the Brainerd campus if the commissioner 
48.35 	determines that it is less expensive than 
49.1 	renovating existing space.  Notwithstanding 
49.2 	Minnesota Statutes, section 16A.642, the 
49.3 	bond authorization and appropriation of bond 
49.4 	proceeds for this project are available until 
49.5 	December 30, 2014.
49.6 	Up to $125,000 is for preparation and 
49.7 	site development, including demolition of 
49.8 	buildings and infrastructure, to implement 
49.9 	the redevelopment and reuse of the Ah Gwah 
49.10 	Ching Regional Treatment Center. This 
49.11 	amount may be granted to Cass County for 
49.12 	the purposes stated in this subdivision. If the 
49.13 	campus is sold or transferred by Cass County 
49.14 	to the city of Walker, unspent portions of 
49.15 	this appropriation may be granted to the city 
49.16 	of Walker for the purposes stated in this 
49.17 	subdivision.

49.18 	Sec. 42. Laws 2008, chapter 179, section 19, subdivision 4, as amended by Laws 2011, 
49.19 	First Special Session chapter 12, section 34, is amended to read:

49.20	Subd. 4.Minneapolis Veterans Home Campus

49.21	Building 17 HVAC Replacement
				1,155,000
	
49.22 	To predesign, design, and construct 
49.23 	improvements to heating, ventilation, air 
49.24 	conditioning, and lighting systems and 
49.25 	associated areas serving the south wing of 
49.26 	Building 17. Any unspent funds from this 
49.27 	appropriation may be used for the purposes 
49.28 	provided under Laws 2010, chapter 189, 
49.29 	section 19, subdivision 4, as amended by 
49.30 	Laws 2010, chapter 399, section 8, and 
49.31 	Laws 2011, First Special Session chapter 12, 
49.32 	section 46.

50.1 	Sec. 43. Laws 2008, chapter 179, section 21, subdivision 15, as amended by Laws 
50.2 	2008, chapter 365, section 22, and Laws 2008, chapter 370, section 6, is amended to read:

50.3
50.4	Subd. 15. St. Cloud State University - National 
Hockey Center; HEAPR
 				6,500,000 
	
50.5 	To the Board of Trustees of the Minnesota 
50.6 	State Colleges and Universities to predesign, 
50.7 	design, construct, furnish, and equip the 
50.8 	renovation of and addition to the National 
50.9 	Hockey Center or for higher education asset 
50.10 	preservation and replacement (HEAPR) 
50.11 	pursuant to Minnesota Statutes, section 
50.12 	135A.046, at St. Cloud State University or 
50.13 	systemwide. The board may use university 
50.14 	and nonstate money for the remainder of 
50.15 	the cost of the construction of the National 
50.16 	Hockey Center project. Notwithstanding 
50.17 	Minnesota Statutes, section 16A.642, the 
50.18 	bond authorization and appropriation of bond 
50.19 	proceeds in this subdivision are available 
50.20 	until June 30, 2016.

50.21 	Sec. 44. Laws 2009, chapter 93, article 1, section 12, subdivision 2, is amended to read:

50.22
50.23	Subd. 2.Transit Capital Improvement 
Program
 				21,000,000
	
50.24 	(a) To the Metropolitan Council. $8,500,000 
50.25 	is for the state's share of costs for the Central 
50.26 	Corridor light rail line for one or more of the 
50.27 	following activities: preliminary engineering, 
50.28 	final design, property acquisition, including 
50.29 	improvements and betterments of a capital 
50.30 	nature, relocation of utilities owned by public 
50.31 	entities, and construction.
50.32 	(b) Any remaining money from this 
50.33 	appropriation is to implement one or more of 
50.34 	the following capital improvements, which 
50.35 	are not listed in a ranked order of priority. 
51.1 	The council shall determine project priorities 
51.2 	after consultation with the Counties Transit 
51.3 	Improvement Board, and other stakeholders, 
51.4 	as appropriate. The council shall seek 
51.5 	geographic balance in the allotment of this 
51.6 	appropriation where possible and maximize 
51.7 	the use of all available federal money from 
51.8 	the American Recovery and Reinvestment 
51.9 	Act of 2009, Public Law 111-5, and any 
51.10 	other available federal money.

51.11	(1) Bottineau Boulevard Transit Way
					
51.12 	For a grant to the Hennepin County Regional 
51.13 	Railroad Authority for environmental work 
51.14 	for Bottineau Transit Way corridor from the 
51.15 	Hiawatha light rail and Northstar intermodal 
51.16 	transit station in downtown Minneapolis to 
51.17 	the vicinity of the Target development in 
51.18 	northern Brooklyn Park or the Arbor Lakes 
51.19 	retail area in Maple Grove.

51.20	(2) Cedar Avenue Bus Rapid Transit
					
51.21 	To the Metropolitan Council or to the council 
51.22 	for a grant to Dakota County, the Dakota 
51.23 	County Regional Rail Railroad Authority, 
51.24 	or the Minnesota Valley Transit Authority
51.25 	to acquire real property and construct, for 
51.26 	preliminary engineering, and to design 
51.27 	and construct transit stations, layover 
51.28 	and maintenance facilities, and roadway 
51.29 	improvements for shoulder running bus lanes 
51.30 	on County State-Aid Highway 23 in Apple 
51.31 	Valley and Lakeville for the Cedar Avenue 
51.32 	Bus Rapid Transit Way (BRT) in Dakota 
51.33 	County.

51.34	(3) I-94 Corridor Transit Way
					
52.1 	(i) For a grant to Washington County 
52.2 	Regional Rail Authority for environmental 
52.3 	work and preliminary engineering of 
52.4 	transportation and transit improvements, 
52.5 	including busways, park-and-rides, or rail 
52.6 	transit, in the marked Interstate Highway 94 
52.7 	corridor.
52.8 	(ii) To acquire property and construct 
52.9 	transportation and transit improvements, 
52.10 	including busways, park-and-rides, or rail 
52.11 	transit, in the marked Interstate Highway 94 
52.12 	corridor.

52.13	(4) Red Rock Corridor Transit Way
					
52.14 	To design, construct, and furnish 
52.15 	park-and-ride lots for the Red Rock 
52.16 	Corridor Transit Way between Hastings and 
52.17 	Minneapolis via St. Paul, and any extension 
52.18 	between Hastings and Red Wing.

52.19	(5) Riverview Corridor Transit Way
					
52.20 	For a grant to the Ramsey County Regional 
52.21 	Railroad Authority for environmental work 
52.22 	and preliminary engineering for bus rapid 
52.23 	transit in the Riverview corridor between the 
52.24 	east side of St. Paul and the Minneapolis-St. 
52.25 	Paul International Airport and the Mall of 
52.26 	America.

52.27	(6) Robert Street Corridor Transit Way
					
52.28 	To design and construct new passenger 
52.29 	shelters and a bus layover facility, including 
52.30 	rest rooms, break areas, and a passenger 
52.31 	shelter, in the Robert Street Corridor Transit 
52.32 	Way along or parallel to U.S. Highway 
52.33 	52 and Robert Street from within the city 
53.1 	of St. Paul to Dakota County Road 42 in 
53.2 	Rosemount.

53.3	(7) Rush Line Corridor Transit Way
					
53.4 	For a grant to the Ramsey County Regional 
53.5 	Railroad Authority to acquire land for, 
53.6 	design, and construct park-and-ride or 
53.7 	park-and-pool lots located along the Rush 
53.8 	Line Corridor along I-35E/I-35 and Highway 
53.9 	61 from the Union Depot in downtown St. 
53.10 	Paul to Hinckley.

53.11	(8) Southwest Corridor Transit Way
					
53.12 	To prepare an environmental impact 
53.13 	statement (EIS) and for preliminary 
53.14 	engineering for the Southwest Transit Way 
53.15 	Corridor, from the Hiawatha light rail in 
53.16 	downtown Minneapolis to the vicinity of the 
53.17 	Southwest Station transit hub in Eden Prairie. 
53.18 	The Metropolitan Council may grant a 
53.19 	portion of this appropriation to the Hennepin 
53.20 	County Regional Railroad Authority for the 
53.21 	EIS work.

53.22	(9) Union Depot
					
53.23 	For a grant to the Ramsey County Regional 
53.24 	Railroad Authority to acquire land and 
53.25 	structures, to renovate structures, and 
53.26 	for design, engineering, and construction 
53.27 	to revitalize Union Depot for use as a 
53.28 	multimodal transit center in St. Paul. The 
53.29 	center must be designed so that it facilitates a 
53.30 	potential future connection of high-speed rail 
53.31 	to Minneapolis.
53.32 	(c) Of this amount, $313,000 is for 
53.33 	preliminary engineering and final design for 
53.34 	betterments in the State Capitol area related 
54.1 	to the Central Corridor light rail transit 
54.2 	project. This money is not included in the 
54.3 	Central Corridor light rail transit project 
54.4 	budget.

54.5 	EFFECTIVE DATE. This section is effective retroactively from May 17, 2009.

54.6 	Sec. 45. Laws 2010, chapter 189, section 18, subdivision 5, is amended to read:

54.7
54.8	Subd. 5.Minnesota Sex Offender Program 
Treatment Facilities - Moose Lake
 				47,500,000
	
54.9 	To complete design for and to construct, 
54.10 	furnish, and equip phase 2 of the Minnesota 
54.11 	sex offender treatment program at Moose 
54.12 	Lake. Upon substantial completion 
54.13 	of this project, the unspent portion of 
54.14 	this appropriation is available for asset 
54.15 	preservation projects for the Moose Lake 
54.16 	campus of the Minnesota sex offender 
54.17 	program, including design and construction 
54.18 	of a replacement water tower, abatement 
54.19 	of hazardous materials, and the demolition 
54.20 	of the existing water tower serving the 
54.21 	Moose Lake sex offender program and the 
54.22 	Department of Corrections Moose Lake 
54.23 	facility. The water tower project must 
54.24 	be cost-shared with the Department of 
54.25 	Corrections.

54.26 	Sec. 46. Laws 2010, chapter 189, section 24, subdivision 3, is amended to read:

54.27
54.28	Subd. 3.County and Local Preservation 
Grants
 				1,000,000
	
54.29 	To be allocated to county and local 
54.30 	jurisdictions as matching money for historic 
54.31 	preservation projects of a capital nature, 
54.32 	as provided in Minnesota Statutes, section 
54.33 	138.0525.
55.1 	$150,000 is for a grant to the city of South St. 
55.2 	Paul to renovate the historically significant 
55.3 	1941 Navy Hangar at 310 Airport Road at 
55.4 	Fleming Field in the city to meet life safety 
55.5 	and building code requirements, subject to 
55.6 	Minnesota Statutes, section 16A.695. No 
55.7 	local match is required for this grant.

55.8 	Sec. 47. Laws 2011, First Special Session chapter 12, section 3, subdivision 7, is 
55.9 	amended to read:

55.10	Subd. 7.Normandale Community College

55.11
55.12	Academic Partnership Center and Student 
Services
				21,984,000
	
55.13 	To design, construct, furnish, and equip a 
55.14 	new building for classrooms and offices and 
55.15 	to design, construct, furnish, and equip the 
55.16 	renovation of the Student Services Building.

55.17 	Sec. 48. Laws 2011, First Special Session chapter 12, section 3, subdivision 8, is 
55.18 	amended to read:

55.19
55.20	Subd. 8.NHED Mesabi Range Community 
and Technical College, Virginia

55.21	Iron Range Engineering Program Facilities
				3,000,000
	
55.22 	To predesign, design, construct, furnish, 
55.23 	and equip an addition to and renovation of 
55.24 	existing space for the Iron Range engineering 
55.25 	program, including laboratory spaces, other 
55.26 	learning spaces, and improvements to the 
55.27 	entrance, and to acquire a privately owned 
55.28 	housing facility on the campus.

55.29 	Sec. 49. Laws 2011, First Special Session chapter 12, section 14, subdivision 2, 
55.30 	is amended to read:

55.31
55.32	Subd. 2.Transit Capital Improvement 
Program
 				20,000,000
	
56.1 	To the Metropolitan Council or for the 
56.2 	Council to grant to Anoka County Regional 
56.3 	Railroad Authority, Dakota County, Dakota 
56.4 	County Regional Railroad Authority, 
56.5 	Hennepin County, Hennepin County 
56.6 	Regional Railroad Authority, Minnesota 
56.7 	Valley Transit Authority, Ramsey County 
56.8 	Regional Railroad Authority, or Washington 
56.9 	County Regional Railroad Authority to 
56.10 	perform environmental studies, preliminary 
56.11 	engineering, acquire property or an interest 
56.12 	in property, design or construct transitway 
56.13 	facilities and infrastructure, including 
56.14 	roadways, for the following transitway 
56.15 	projects: Northstar Ramsey station, 
56.16 	Gateway (I-94 East) corridor, Minneapolis 
56.17 	Interchange facility, Red Rock corridor, 
56.18 	Newport park-and-ride and station, Rush 
56.19 	Line corridor, Robert Street corridor, 35W 
56.20 	South Bus Rapid Transit, and Cedar Avenue 
56.21 	Bus Rapid Transit.

56.22 	Sec. 50. Laws 2011, First Special Session chapter 12, section 19, is amended to read:

56.23	Sec. 19. PUBLIC FACILITIES AUTHORITY
 			$
	20,000,000

56.24	Wastewater Infrastructure Funding Program
					
56.25 	To the Public Facilities Authority for 
56.26 	grants to eligible municipalities under the 
56.27 	wastewater infrastructure funding program 
56.28 	under Minnesota Statutes, section 446A.072.
56.29 	Notwithstanding the criteria and requirements 
56.30 	of Minnesota Statutes, section 446A.072, 
56.31 	up to $1,000,000 of this appropriation is for 
56.32 	a grant to the city of Albert Lea to design, 
56.33 	construct, and equip water and sewer utilities 
56.34 	in the area of Broadway Avenue and Main 
57.1 	Street. This project may include demolition 
57.2 	of deteriorating concrete curbs, gutters, 
57.3 	sidewalks, and streets above the utilities, 
57.4 	and the construction costs to replace and 
57.5 	rehabilitate the infrastructure.

57.6 	Sec. 51. Laws 2011, First Special Session chapter 12, section 22, is amended to read:
57.7 	Sec. 22. BOND SALE SCHEDULE.
 57.8 	The commissioner of management and budget shall schedule the sale of state 
57.9 	general obligation bonds so that, during the biennium ending June 30, 2013, no more than 
57.10 	$1,200,858,000 $1,088,452,000 will need to be transferred from the general fund to the 
57.11 	state bond fund to pay principal and interest due and to become due on outstanding state 
57.12 	general obligation bonds. Of the amount transferred, $452,708,000 is from the general 
57.13 	fund and $635,745,000 is from the tobacco settlement bond proceeds fund. During 
57.14 	the biennium, before each sale of state general obligation bonds, the commissioner of 
57.15 	management and budget shall calculate the amount of debt service payments needed on 
57.16 	bonds previously issued and shall estimate the amount of debt service payments that will 
57.17 	be needed on the bonds scheduled to be sold. The commissioner shall adjust the amount 
57.18 	of bonds scheduled to be sold so as to remain within the limit set by this section. The 
57.19 	amount needed to make the debt service payments is appropriated from the general fund 
57.20 	as provided in Minnesota Statutes, section 16A.641.

57.21 	Sec. 52. LAKE SUPERIOR-POPLAR RIVER WATER DISTRICT.
 57.22 		Subdivision 1.Establishment. The Lake Superior-Poplar River Water District is 
57.23 	created as a municipal corporation, having the powers provided under Minnesota Statutes, 
57.24 	chapters 110A; 429, notwithstanding any provision of chapter 110A to the contrary; and 
57.25 	444. Notwithstanding any law to the contrary, the district shall not have the power to issue 
57.26 	general obligation bonds. Minnesota Statutes, sections 110A.04, 110A.07, and 110A.09 to 
57.27 	110A.18, shall not apply to the district or to the board created by this act.
57.28 		Subd. 2.Definitions. For purposes of applying Minnesota Statutes, chapter 110A, 
57.29 	to this act, "works" and "systems" shall include irrigation purposes, "court" is deemed to 
57.30 	refer to the board of county commissioners; and "secretary of state" is deemed to refer to 
57.31 	the county auditor.
57.32 		Subd. 3.Territory included in district. The territory of the district shall include 
57.33 	all lands within Sections 20, 21, 28, 29, 32, and 33 of Township 60 North, Range 3 West 
58.1 	of the Fourth Principal Meridian. Additional territory may be added as provided in 
58.2 	Minnesota Statutes, sections 110A.19 to 110A.22.
58.3 		Subd. 4.Payment of costs. No person shall be obligated to purchase or be entitled 
58.4 	to receive water from the district unless that person is a party to a contract to purchase 
58.5 	water from the district. Excluding any initial capital investment funded by the state, all 
58.6 	capital and operating expenses of the district shall be paid by the users in proportion to 
58.7 	their use of water. The cost of distribution lines: (1) departing from the main water pipe 
58.8 	from Lake Superior to the domestic water treatment plant to any user; or (2) from the 
58.9 	water treatment plant to any user, shall be paid for by the user of the water either at the 
58.10 	time of installation or by user charges that allow the district to recoup the full cost of the 
58.11 	distribution lines and the cost of financing. Subject to this subdivision and the availability 
58.12 	of water under any applicable permit with a state or federal agency, any owner of land 
58.13 	within the district may contract with the district for the purchase of water.
58.14 		Subd. 5.Board of directors; elections. (a) The district shall be governed by a 
58.15 	board of directors which shall have not less than three nor more than 13 members. The 
58.16 	district's initial directors shall be appointed by the Cook County Board of Commissioners, 
58.17 	with one director representing the domestic water users to serve for three years; up to two 
58.18 	directors representing the irrigation water users, one to serve for two years and one to 
58.19 	serve for three years; and up to two directors representing the commercial, stock watering, 
58.20 	and industrial users, one to serve for one year and one to serve for two years.
58.21 	(b) The district's establishment shall take effect upon the Cook County Board of 
58.22 	Commissioners' appointment of the initial directors. The initial directors shall meet for 
58.23 	the purposes of organization within 30 days of their appointment. Thereafter, except 
58.24 	as otherwise provided in this subdivision, directors shall be elected in accordance with 
58.25 	Minnesota Statutes, section 110A.24, from election divisions comprised of domestic water 
58.26 	users; irrigation water users, and commercial, stock watering, and industrial users. Each 
58.27 	use classification shall be entitled to elect one director, plus one additional director if its 
58.28 	expected water usage for the following fiscal year exceeds ten percent of total water 
58.29 	usage. Each water user within each use classification shall be entitled to cast one vote for 
58.30 	each one percent of expected water usage for the following fiscal year. A homeowner's 
58.31 	association shall vote on behalf of its members if duly authorized by appropriate action by 
58.32 	the association's members. Prior to each election, the board of directors shall determine 
58.33 	the use classifications entitled to vote, the expected water use percentage of each user and 
58.34 	of use classification for the following fiscal year, and the number of directors each such 
58.35 	use classification is entitled to elect. The elections shall be conducted and supervised by 
58.36 	the board of directors and ratified by the Cook County Board of Commissioners.
59.1 		Subd. 6.Termination of appropriation of water from Poplar River.
 59.2 	Notwithstanding any law to the contrary, 30 days after the works and systems to transport 
59.3 	water from Lake Superior to Lutsen Mountains Corporation's snowmaking systems first 
59.4 	become fully permitted and operational, the water district shall notify the commissioner of 
59.5 	natural resources and all permits issued by the Department of Natural Resources to Lutsen 
59.6 	Mountains Corporation to use or appropriate water from the Poplar River shall terminate. 
59.7 	For the purposes of section 54, paragraph (b), the commissioner of natural resources shall 
59.8 	notify the revisor of statutes in writing when the permits have been terminated.

59.9 	EFFECTIVE DATE; LOCAL APPROVAL. This section is effective the day after 
59.10 	the governing body of Cook County and its chief clerical officer comply with Minnesota 
59.11 	Statutes, section 645.021, subdivisions 2 and 3.

59.12 	Sec. 53. ACQUISITIONS FOR CANISTEO PROJECT.
 59.13 	The commissioner of natural resources shall acquire, without undue delay, the land 
59.14 	or interests in land that are needed to construct a conveyance system and other betterments 
59.15 	to accommodate the water level and outflow of water level from the Canisteo mine pit. 
59.16 	The commissioner may acquire the land or interests in land by eminent domain, including 
59.17 	use of the possession procedures under Minnesota Statutes, section 117.042.

59.18 	Sec. 54.  REPEALER.
 59.19 	(a) Minnesota Rules, part 8895.0700, subpart 1, is repealed.
59.20 	(b)  Laws 2011, chapter 107, section 101, is repealed effective the day the permits 
59.21 	have been terminated under section 52, subdivision 6. The commissioner of natural 
59.22 	resources shall notify the revisor of statutes in writing when the permits have been 
59.23 	terminated.

59.24 	Sec. 55. EFFECTIVE DATE.
 59.25 	Except as otherwise provided, this act is effective the day following final enactment.