1.1 	A bill for an act
1.2 	relating to stadiums; providing for a new National Football League Stadium in 
1.3 	Minnesota; establishing a Minnesota Sports Facilities Authority; abolishing the 
1.4 	Metropolitan Sports Facilities Commission; providing for use of certain local 
1.5 	tax revenue; authorizing electronic pull-tabs and bingo; authorizing the sale and 
1.6 	issuance of state appropriation bonds; appropriating money;amending Minnesota 
1.7 	Statutes 2010, sections 3.971, subdivision 6; 3.9741, by adding a subdivision; 
1.8 	13.55, subdivision 1; 297A.71, by adding subdivisions; 297A.75, as amended; 
1.9 	349.12, subdivisions 3b, 3c, 5, 6a, 12a, 18, 25b, 25c, 25d, 29, 31, 32, by adding 
1.10 	subdivisions; 349.13; 349.151, subdivisions 4b, 4c, by adding a subdivision; 
1.11 	349.161, subdivisions 1, 5; 349.162, subdivision 5; 349.163, subdivisions 1, 5, 
1.12 	6; 349.1635, subdivisions 2, 3, by adding a subdivision; 349.17, subdivisions 
1.13 	6, 7, 8, by adding a subdivision; 349.1721; 349.18, subdivision 1; 349.19, 
1.14 	subdivisions 2, 3, 5, 10; 349.211, subdivision 1a; 352.01, subdivision 2a; 
1.15 	473.121, subdivision 5a; 473.164; 473.565, subdivision 1; Minnesota Statutes 
1.16 	2011 Supplement, sections 10A.01, subdivision 35; 340A.404, subdivision 1; 
1.17 	Laws 1986, chapter 396, sections 4, as amended; 5, as amended; proposing 
1.18 	coding for new law in Minnesota Statutes, chapters 3; 16A; 297A; proposing 
1.19 	coding for new law as Minnesota Statutes, chapter 473J; repealing Minnesota 
1.20 	Statutes 2010, sections 473.551; 473.552; 473.553, subdivisions 1, 2, 3, 4, 5, 6, 
1.21 	7, 8, 9, 10, 11, 12, 13; 473.556, subdivisions 1, 2, 3, 4, 5, 6, 7, 8, 9, 10, 11, 12, 
1.22 	13, 14, 16, 17; 473.561; 473.564, subdivisions 2, 3; 473.572; 473.581; 473.592, 
1.23 	subdivision 1; 473.595; 473.598; 473.599; 473.76.
1.24 	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

1.25 	ARTICLE 1
1.26 	MINNESOTA SPORTS FACILITY AUTHORITY

1.27 	Section 1. [3.8842] LEGISLATIVE COMMISSION ON MINNESOTA SPORTS 
1.28 	FACILITIES.
1.29 		Subdivision 1.Established. The Legislative Commission on Minnesota Sports 
1.30 	Facilities is established to oversee the Minnesota Sports Facilities Authority's, hereafter 
1.31 	the authority, operating and capital budgets.
2.1 		Subd. 2.Membership. The commission consists of three senators appointed by 
2.2 	the senate majority leader, three senators appointed by the senate minority leader, three 
2.3 	state representatives appointed by the speaker of the house, and three state representatives 
2.4 	appointed by the house minority leader. The appointing authorities must ensure balanced 
2.5 	geographic representation. Each appointing authority must make appointments as 
2.6 	soon as possible after the opening of the next regular session of the legislature in each 
2.7 	odd-numbered year.
2.8 		Subd. 3.Terms; vacancies. Members of the commission serve for a two-year term 
2.9 	beginning upon appointment and expiring upon appointment of a successor after the 
2.10 	opening of the next regular session of the legislature in the odd-numbered year. A vacancy 
2.11 	in the membership of the commission must be filled for the unexpired term in a manner 
2.12 	that will preserve the representation established by this section.
2.13 		Subd. 4.Chair. The commission must meet as soon as practicable after members 
2.14 	are appointed in each odd-numbered year to elect its chair and other officers as it may 
2.15 	determine necessary. A chair serves a two-year term, expiring in the odd-numbered year 
2.16 	after a successor is elected. The chair must alternate biennially between the senate and the 
2.17 	house of representatives.
2.18 		Subd. 5.Compensation. Members serve without compensation but may be 
2.19 	reimbursed for their reasonable expenses as members of the legislature.
2.20 		Subd. 6.Staff. Legislative staff must provide administrative and research assistance 
2.21 	to the commission.
2.22 		Subd. 7.Meetings; procedures. The commission shall meet at least semiannually. 
2.23 	If there is a quorum, the commission may take action by a simple majority vote of 
2.24 	commission members present.
2.25 		Subd. 8.Powers; duties; Minnesota Sports Facilities Authority, budget 
2.26 	oversight. The commission must monitor, review, and make recommendations to the 
2.27 	authority and to the legislature for the following calendar year on:
2.28 	(1) any proposed increases in the rate or dollar amount of tax;
2.29 	(2) any proposed increases in the debt of the authority;
2.30 	(3) the overall work and role of the authority;
2.31 	(4) the authority's proposed operating and capital budgets; and
2.32 	(5) the authority's implementation of the operating and capital budgets.

2.33 	Sec. 2. Minnesota Statutes 2010, section 3.971, subdivision 6, is amended to read:
2.34 		Subd. 6.Financial audits. The legislative auditor shall audit the financial 
2.35 	statements of the state of Minnesota required by section 16A.50 and, as resources permit, 
3.1 	shall audit Minnesota State Colleges and Universities, the University of Minnesota, 
3.2 	state agencies, departments, boards, commissions, courts, and other state organizations 
3.3 	subject to audit by the legislative auditor, including the State Agricultural Society, 
3.4 	Agricultural Utilization Research Institute, Enterprise Minnesota, Inc., Minnesota 
3.5 	Historical Society, Labor Interpretive Center, Minnesota Partnership for Action Against 
3.6 	Tobacco, Metropolitan Sports Facilities Commission, Minnesota Sports Facilities 
3.7 	Authority, Metropolitan Airports Commission, and Metropolitan Mosquito Control 
3.8 	District. Financial audits must be conducted according to generally accepted government 
3.9 	auditing standards. The legislative auditor shall see that all provisions of law respecting 
3.10 	the appropriate and economic use of public funds are complied with and may, as part of a 
3.11 	financial audit or separately, investigate allegations of noncompliance.

3.12 	Sec. 3. Minnesota Statutes 2010, section 3.9741, is amended by adding a subdivision 
3.13 	to read:
3.14 		Subd. 4.Minnesota Sports Facilities Authority. Upon the audit of the financial 
3.15 	accounts and affairs of the Minnesota Sports Facilities Authority, the authority is liable 
3.16 	to the state for the total cost and expenses of the audit, including the salaries paid to the 
3.17 	examiners while actually engaged in making the examination. The legislative auditor may 
3.18 	bill the authority either monthly or at the completion of the audit. All collections received 
3.19 	for the audits must be deposited in the general fund.

3.20 	Sec. 4. Minnesota Statutes 2011 Supplement, section 10A.01, subdivision 35, is 
3.21 	amended to read:
3.22 		Subd. 35.Public official. "Public official" means any:
3.23 	(1) member of the legislature;
3.24 	(2) individual employed by the legislature as secretary of the senate, legislative 
3.25 	auditor, chief clerk of the house of representatives, revisor of statutes, or researcher, 
3.26 	legislative analyst, or attorney in the Office of Senate Counsel and Research or House 
3.27 	Research;
3.28 	(3) constitutional officer in the executive branch and the officer's chief administrative 
3.29 	deputy;
3.30 	(4) solicitor general or deputy, assistant, or special assistant attorney general;
3.31 	(5) commissioner, deputy commissioner, or assistant commissioner of any state 
3.32 	department or agency as listed in section 15.01 or 15.06, or the state chief information 
3.33 	officer;
4.1 	(6) member, chief administrative officer, or deputy chief administrative officer of a 
4.2 	state board or commission that has either the power to adopt, amend, or repeal rules under 
4.3 	chapter 14, or the power to adjudicate contested cases or appeals under chapter 14;
4.4 	(7) individual employed in the executive branch who is authorized to adopt, amend, 
4.5 	or repeal rules under chapter 14 or adjudicate contested cases under chapter 14;
4.6 	(8) executive director of the State Board of Investment;
4.7 	(9) deputy of any official listed in clauses (7) and (8);
4.8 	(10) judge of the Workers' Compensation Court of Appeals;
4.9 	(11) administrative law judge or compensation judge in the State Office of 
4.10 	Administrative Hearings or unemployment law judge in the Department of Employment 
4.11 	and Economic Development;
4.12 	(12) member, regional administrator, division director, general counsel, or operations 
4.13 	manager of the Metropolitan Council;
4.14 	(13) member or chief administrator of a metropolitan agency;
4.15 	(14) director of the Division of Alcohol and Gambling Enforcement in the 
4.16 	Department of Public Safety;
4.17 	(15) member or executive director of the Higher Education Facilities Authority;
4.18 	(16) member of the board of directors or president of Enterprise Minnesota, Inc.;
4.19 	(17) member of the board of directors or executive director of the Minnesota State 
4.20 	High School League;
4.21 	(18) member of the Minnesota Ballpark Authority established in section 473.755;
4.22 	(19) citizen member of the Legislative-Citizen Commission on Minnesota Resources;
4.23 	(20) manager of a watershed district, or member of a watershed management 
4.24 	organization as defined under section 103B.205, subdivision 13;
4.25 	(21) supervisor of a soil and water conservation district;
4.26 	(22) director of Explore Minnesota Tourism;
4.27 	(23) citizen member of the Lessard-Sams Outdoor Heritage Council established in 
4.28 	section 97A.056; or
4.29 	(24) a citizen member of the Clean Water Council established in section 114D.30.; or
4.30 	(25) member or chief executive of the Minnesota Sports Facilities Authority 
4.31 	established in section 473J.07.

4.32 	Sec. 5. Minnesota Statutes 2010, section 297A.71, is amended by adding a subdivision 
4.33 	to read:
4.34 		Subd. 43.Building materials; football stadium. Materials and supplies used or 
4.35 	consumed in, and equipment incorporated into, the construction or improvement of the 
5.1 	football stadium and stadium infrastructure as defined in section 473J.03, subdivisions 8 
5.2 	and 10, are exempt. This subdivision expires one year after the date that the first National 
5.3 	Football League game is played in the stadium for materials, supplies, and equipment 
5.4 	used in the construction and equipping of the stadium, and five years after the issuance 
5.5 	of the first bonds under section 16A.965 for materials, supplies, and equipment used in 
5.6 	the stadium infrastructure.

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

5.8 	Sec. 6. Minnesota Statutes 2010, section 352.01, subdivision 2a, is amended to read:
5.9 		Subd. 2a.Included employees. (a) "State employee" includes:
5.10 	(1) employees of the Minnesota Historical Society;
5.11 	(2) employees of the State Horticultural Society;
5.12 	(3) employees of the Minnesota Crop Improvement Association;
5.13 	(4) employees of the adjutant general whose salaries are paid from federal funds and 
5.14 	who are not covered by any federal civilian employees retirement system;
5.15 	(5) employees of the Minnesota State Colleges and Universities who are employed 
5.16 	under the university or college activities program;
5.17 	(6) currently contributing employees covered by the system who are temporarily 
5.18 	employed by the legislature during a legislative session or any currently contributing 
5.19 	employee employed for any special service as defined in subdivision 2b, clause (8);
5.20 	(7) employees of the legislature who are appointed without a limit on the duration 
5.21 	of their employment and persons employed or designated by the legislature or by a 
5.22 	legislative committee or commission or other competent authority to conduct a special 
5.23 	inquiry, investigation, examination, or installation;
5.24 	(8) trainees who are employed on a full-time established training program 
5.25 	performing the duties of the classified position for which they will be eligible to receive 
5.26 	immediate appointment at the completion of the training period;
5.27 	(9) employees of the Minnesota Safety Council;
5.28 	(10) any employees who are on authorized leave of absence from the Transit 
5.29 	Operating Division of the former Metropolitan Transit Commission and who are employed 
5.30 	by the labor organization which is the exclusive bargaining agent representing employees 
5.31 	of the Transit Operating Division;
5.32 	(11) employees of the Metropolitan Council, Metropolitan Parks and Open Space 
5.33 	Commission, Metropolitan Sports Facilities Commission, or Metropolitan Mosquito 
5.34 	Control Commission unless excluded under subdivision 2b or are covered by another 
5.35 	public pension fund or plan under section 473.415, subdivision 3;
6.1 	(12) judges of the Tax Court;
6.2 	(13) personnel who were employed on June 30, 1992, by the University of 
6.3 	Minnesota in the management, operation, or maintenance of its heating plant facilities, 
6.4 	whose employment transfers to an employer assuming operation of the heating plant 
6.5 	facilities, so long as the person is employed at the University of Minnesota heating plant 
6.6 	by that employer or by its successor organization;
6.7 	(14) personnel who are employed as seasonal employees in the classified or 
6.8 	unclassified service;
6.9 	(15) persons who are employed by the Department of Commerce as a peace officer 
6.10 	in the Insurance Fraud Prevention Division under section 45.0135 who have attained the 
6.11 	mandatory retirement age specified in section 43A.34, subdivision 4;
6.12 	(16) employees of the University of Minnesota unless excluded under subdivision 
6.13 	2b, clause (3);
6.14 	(17) employees of the Middle Management Association whose employment began 
6.15 	after July 1, 2007, and to whom section 352.029 does not apply; and
6.16 	(18) employees of the Minnesota Government Engineers Council to whom section 
6.17 	352.029 does not apply.; and
6.18 	(19) employees of the Minnesota Sports Facilities Authority.
6.19 	(b) Employees specified in paragraph (a), clause (13), are included employees under 
6.20 	paragraph (a) if employer and employee contributions are made in a timely manner in the 
6.21 	amounts required by section 352.04. Employee contributions must be deducted from 
6.22 	salary. Employer contributions are the sole obligation of the employer assuming operation 
6.23 	of the University of Minnesota heating plant facilities or any successor organizations to 
6.24 	that employer.

6.25 	Sec. 7. [473J.01] PURPOSE.
6.26 	The purpose of this chapter is to provide for the construction, financing, and 
6.27 	long-term use of a stadium and related stadium infrastructure as a venue for professional 
6.28 	football and a broad range of other civic, community, athletic, educational, cultural, 
6.29 	and commercial activities. The legislature finds and declares that the expenditure of 
6.30 	public money for this purpose is necessary and serves a public purpose, and that property 
6.31 	acquired by the Minnesota Sports Facilities Authority for the construction of the stadium 
6.32 	and related stadium infrastructure is acquired for a public use or public purpose under 
6.33 	chapter 117. The legislature further finds and declares that any provision in a lease or use 
6.34 	agreement with a professional football team that requires the team to play all of its home 
6.35 	games in a publicly funded stadium for the duration of the lease or use agreement, with the 
7.1 	occasional exception of a game played elsewhere as set forth in such agreement, serves 
7.2 	a unique public purpose for which the remedies of specific performance and injunctive 
7.3 	relief are essential to its enforcement. The legislature further finds and declares that 
7.4 	government assistance to facilitate the presence of professional football provides to the 
7.5 	state of Minnesota and its citizens highly valued intangible benefits that are virtually 
7.6 	impossible to quantify and, therefore, not recoverable even if the government receives 
7.7 	monetary damages in the event of a team's breach of contract. Minnesota courts are, 
7.8 	therefore, charged with protecting those benefits through the use of specific performance 
7.9 	and injunctive relief as provided in this chapter and in the lease and use agreements.

7.10 	Sec. 8. [473J.03] DEFINITIONS.
7.11 		Subdivision 1.Application.  For the purposes of this chapter, the terms defined in 
7.12 	this section have the meanings given them, except as otherwise expressly provided or 
7.13 	indicated by the context.
7.14 		Subd. 2.Annual adjustment factor. "Annual adjustment factor" means for any 
7.15 	year the increase, if any, in the amounts of the taxes imposed under Laws 1986, chapter 
7.16 	396, sections 4 and 5, as amended, that are received by the commissioner of revenue 
7.17 	in the preceding year over the amount received in the year prior to the preceding year, 
7.18 	expressed as a percentage of the amount received in the year prior to the preceding year; 
7.19 	provided, that the adjustment factor for any year must not be less than zero percent nor 
7.20 	more than five percent.
7.21 		Subd. 3.Authority.  "Authority" means the Minnesota Sports Facilities Authority 
7.22 	established under section 473J.07.
7.23 		Subd. 4.City.  "City" means the city of Minneapolis.
7.24 		Subd. 5.NFL. The "NFL" means the National Football League.
7.25 		Subd. 6.NFL team.  "NFL team" means the owner and operator of the NFL 
7.26 	professional football team known, as of the effective date of this chapter, as the Minnesota 
7.27 	Vikings or any team owned and operated by someone who purchases or otherwise takes 
7.28 	ownership or control of or reconstitutes the NFL team known as the Minnesota Vikings.
7.29 		Subd. 7.Sports facility. "Sports facility" means the real or personal property 
7.30 	comprising a sports facility described under section 473J.10, together with adjacent 
7.31 	parking facilities, and includes all real estate, buildings, improvements, and equipment 
7.32 	in or on the facility.
7.33 		Subd. 8.Stadium. "Stadium" means the stadium suitable for professional football 
7.34 	to be designed, constructed, and financed under this chapter. A stadium must have a roof 
7.35 	that covers the stadium, as set forth in section 473J.11, subdivision 3.
8.1 		Subd. 9.Stadium costs.  "Stadium costs" means the costs of acquiring land, the 
8.2 	costs of stadium infrastructure, and of designing, constructing, equipping, and financing a 
8.3 	stadium suitable for professional football.
8.4 		Subd. 10.Stadium infrastructure. "Stadium infrastructure" means plazas, parking 
8.5 	structures, rights of way, connectors, skyways and tunnels, and other such property, 
8.6 	facilities, and improvements, owned by the authority or determined by the authority to 
8.7 	facilitate the use and development of the stadium.
8.8 		Subd. 11.Stadium site.  "Stadium site" means all or portions of the current site of 
8.9 	the existing football stadium and adjacent areas, bounded generally by Park and Eleventh 
8.10 	Avenues and Third and Sixth Streets in the city of Minneapolis, the definitive boundaries 
8.11 	of which shall be determined by the authority and agreed to by the NFL team.

8.12 	Sec. 9. [473J.07] MINNESOTA SPORTS FACILITIES AUTHORITY.
8.13 		Subdivision 1.Established. The Minnesota Sports Facilities Authority is 
8.14 	established as a public body, corporate and politic, and political subdivision of the state. 
8.15 	The authority is not a joint powers entity or an agency or instrumentality of a city.
8.16 		Subd. 2.Membership; appointment; terms. (a) The authority shall consist of 13 
8.17 	members appointed by the governor, one from each region defined in section 462.385, 
8.18 	subdivision 1. Each member must be a resident of the region represented. Before making 
8.19 	an appointment, the governor shall consult with all members of the legislature from the 
8.20 	region for which the member is to be appointed. Appointments to the council are subject 
8.21 	to the advice and consent of the senate as provided in section 15.066.
8.22 	(b) The terms of the members from regions 1, 3, 5, 7E, 7W, and 9 expire on January 
8.23 	1, 2014. The terms of the members from regions 2, 4, 6E, 6W, 8, 10, and 11 expire on 
8.24 	January 1, 2016. A member serves until a successor has been appointed and taken the 
8.25 	office. The successors of each member must be appointed to four-year terms.
8.26 		Subd. 3.Compensation. The authority may compensate its members, other than the 
8.27 	chair, as provided in section 15.0575. The chair shall receive, unless otherwise provided 
8.28 	by other law, a salary in an amount fixed by the authority, and shall be reimbursed for 
8.29 	reasonable expenses to the same extent as a member.
8.30 		Subd. 4.Chair. At the first meeting of the authority, the authority shall elect a chair 
8.31 	from among the authority members to serve until December 31 of that year. After that, 
8.32 	the authority shall elect a chair from among the authority members to serve a one-year 
8.33 	term beginning on January 1 of the following year. The chair presides at all meetings 
8.34 	of the authority, if present, and performs all other assigned duties and functions. The 
8.35 	authority may appoint from among its members a vice-chair to act for the chair during the 
9.1 	temporary absence or disability of the chair, and any other officers the authority deems 
9.2 	necessary or convenient.
9.3 		Subd. 5.Removal. A member, other than the chair, may be removed by the 
9.4 	appointing authority for misfeasance, malfeasance, or nonfeasance in office, upon written 
9.5 	charges and after an opportunity to be heard in defense of the charges.
9.6 		Subd. 6.Bylaws. The authority shall adopt bylaws to establish rules of procedure, 
9.7 	the powers and duties of its officers, and other matters relating to the governance of the 
9.8 	authority and the exercise of its powers. Except as provided in this section, the bylaws 
9.9 	adopted under this subdivision must be similar in form and substance to bylaws adopted 
9.10 	by the Minnesota Ballpark Authority pursuant to section 473.755.
9.11 		Subd. 7.Audit. The legislative auditor shall audit the books and accounts of the 
9.12 	authority once each year or as often as the legislative auditor's funds and personnel permit. 
9.13 	The authority shall pay the total cost of the audit pursuant to section 3.9741.
9.14 		Subd. 8.Executive director; employees. The authority may appoint an executive 
9.15 	director to serve as the chief executive officer of the authority. The executive director 
9.16 	serves at the pleasure of the authority and receives compensation as determined by the 
9.17 	authority. The executive director may be responsible for the operation, management, and 
9.18 	promotion of activities of the authority, as prescribed by the authority. The executive 
9.19 	director has the powers necessarily incident to the performance of duties required and 
9.20 	powers granted by the authority, but does not have authority to incur liability or make 
9.21 	expenditures on behalf of the authority without general or specific directions by the 
9.22 	authority, as shown by the bylaws or minutes of a meeting of the authority. The executive 
9.23 	director is responsible for hiring, supervision, and dismissal of all other employees of 
9.24 	the authority.
9.25 		Subd. 9.Web site. The authority shall establish a Web site for purposes of providing 
9.26 	information to the public concerning all actions taken by the authority. At a minimum, the 
9.27 	Web site must contain a current version of the authority's bylaws, notices of upcoming 
9.28 	meetings, minutes of the authority's meetings, and contact telephone, facsimile numbers, 
9.29 	and electronic mail addresses for public comments.
9.30 		Subd. 10.Quorum; approvals. Any eight members shall constitute a quorum for 
9.31 	the conduct of business and action may be taken upon the vote of a majority of members 
9.32 	present at a meeting duly called and held.

9.33 	Sec. 10. [473J.08] LOCATION.
9.34 	The stadium to be constructed under this chapter shall be located at the stadium 
9.35 	site in the city of Minneapolis. 

10.1 	Sec. 11. [473J.09] POWERS, DUTIES OF THE AUTHORITY.
10.2 		Subdivision 1.Actions.  The authority may sue and be sued. The authority is a public 
10.3 	body and the stadium and stadium infrastructure are public improvements within the 
10.4 	meaning of chapter 562. The authority is a municipality within the meaning of chapter 466.
10.5 		Subd. 2.Acquisition of property.  The authority may acquire from any public or 
10.6 	private entity by lease, purchase, gift, or devise all necessary right, title, and interest in 
10.7 	and to real property, air rights, and personal property deemed necessary to the purposes 
10.8 	contemplated by this chapter. The authority may acquire, by the exercise of condemnation 
10.9 	powers under chapter 117, land, other real property, air rights, personal property, and other 
10.10 	right, title, and interest in property, within the stadium site and stadium infrastructure.
10.11 		Subd. 3.Disposition of property.  The authority may sell, lease, or otherwise 
10.12 	dispose of any real or personal property acquired by the authority that is no longer required 
10.13 	for accomplishment of the authority's purposes. The property may be sold in accordance 
10.14 	with the procedures provided by section 469.065, except subdivisions 6 and 7, to the 
10.15 	extent the authority deems it to be practical and consistent with this chapter. Title to the 
10.16 	stadium must not be transferred or sold by the authority prior to the effective date of 
10.17 	enactment of any legislation approving such transfer or sale.
10.18 		Subd. 4.Data practices; open meetings.  Except as otherwise provided in this 
10.19 	chapter, the authority is subject to chapters 13 and 13D.
10.20 		Subd. 5.Facility operation. The authority may develop, construct, equip, improve, 
10.21 	own, operate, manage, maintain, finance, and control the stadium, stadium infrastructure, 
10.22 	and related facilities constructed or acquired under this chapter, or may delegate such 
10.23 	duties through an agreement, subject to the rights and obligations transferred to and 
10.24 	assumed by the authority, the NFL team, other user, third-party manager, or program 
10.25 	manager, under the terms of a lease, use agreement, or development agreement.
10.26 		Subd. 6.Employees; contracts for services. The authority may employ persons 
10.27 	and contract for services necessary to carry out its functions, including the utilization of 
10.28 	employees and consultants retained by other governmental entities. The authority shall 
10.29 	enter into an agreement with the city regarding traffic control for the stadium.
10.30 		Subd. 7.Gifts, grants, loans. The authority may accept monetary contributions, 
10.31 	property, services, and grants or loans of money or other property from the United States, 
10.32 	the state, any subdivision of the state, any agency of those entities, or any person for any 
10.33 	of its purposes, and may enter into any agreement required in connection with the gifts, 
10.34 	grants, or loans. The authority shall hold, use, and dispose of the money, property, or 
10.35 	services according to the terms of the monetary contributions, grant, loan, or agreement.
11.1 		Subd. 8.Use agreements. The authority may lease, license, or enter into use 
11.2 	agreements and may fix, alter, charge, and collect rents, fees, and charges for the use, 
11.3 	occupation, and availability of part or all of any premises, property, or facilities under 
11.4 	its ownership, operation, or control for purposes that will provide athletic, educational, 
11.5 	cultural, commercial, or other entertainment, instruction, or activity for the citizens of 
11.6 	Minnesota and visitors. The use agreements may provide that the other contracting party 
11.7 	has exclusive use of the premises at the times agreed upon, as well as the right to retain 
11.8 	some or all revenues from ticket sales, suite licenses, concessions, advertising, naming 
11.9 	rights, NFL team designated broadcast/media, club seats, signage, and other revenues 
11.10 	derived from the stadium. The lease or use agreement with an NFL team must provide for 
11.11 	the payment by the NFL team of an agreed-upon portion of operating and maintenance 
11.12 	costs and expenses and provide other terms in which the authority and NFL team agree. In 
11.13 	no case may a lease or use agreement permit smoking in the stadium.
11.14 		Subd. 9.Research. The authority may conduct research studies and programs; 
11.15 	collect and analyze data; prepare reports, maps, charts, and tables; and conduct all 
11.16 	necessary hearings and investigations in connection with its functions.
11.17 		Subd. 10.Insurance. The authority may require any employee to obtain and file 
11.18 	with the authority an individual bond or fidelity insurance policy. The authority may 
11.19 	procure insurance in the amounts the authority considers necessary against liability of the 
11.20 	authority or its officers and employees for personal injury or death and property damage or 
11.21 	destruction, consistent with chapter 466, and against risks of damage to or destruction of 
11.22 	any of its facilities, equipment, or other property.
11.23 		Subd. 11.Exemption from Metropolitan Council review; Business Subsidy Act.
 11.24 	The acquisition and betterment of a stadium and stadium infrastructure by the authority 
11.25 	must be conducted pursuant to this chapter and are not subject to sections 473.165 and 
11.26 	473.173. Section 116J.994 does not apply to any transactions of the authority or other 
11.27 	governmental entity related to the stadium or stadium infrastructure or to any tenant or 
11.28 	other users of the stadium or stadium infrastructure.
11.29 		Subd. 12.Incidental powers. In addition to the powers expressly granted in this 
11.30 	chapter, the authority has all powers necessary or incidental thereto.
11.31 		Subd. 13.Grants to the Authority. The commissioner of management and budget 
11.32 	shall make grants to the authority in amounts equal to the amount deposited in the general 
11.33 	fund under article 4, section 1, subdivision 3, paragraph (b), clauses (2) and (3).

11.34 	Sec. 12. [473J.10] SPORTS FACILITIES OF THE AUTHORITY.
12.1 		Subdivision 1.General. This section describes the sports facilities that the 
12.2 	Minnesota Sports Facilities Authority shall control, operate, and have responsibility over 
12.3 	pursuant to this chapter and as directed by law.
12.4 		Subd. 2.Sports facilities. (a) The following sports facilities are part of the 
12.5 	Minnesota Sports Facilities Authority:
12.6 	(1) the professional football stadium constructed under this chapter; and
12.7 	(2) any other sports facility constructed or acquired by the authority.
12.8 	(b) The Target Center in Minneapolis, Xcel Energy Center in St. Paul, and Target 
12.9 	Field in Minneapolis may join the facilities of the authority if they so choose. Only the 
12.10 	three facilities listed in this paragraph may join the authority without express legislative 
12.11 	authority.

12.12 	Sec. 13. [473J.11] STADIUM DESIGN AND CONSTRUCTION.
12.13 		Subdivision 1.Contracts. (a) The design, development, and construction of the 
12.14 	stadium shall be a collaborative process between the authority and the NFL team. The 
12.15 	authority and the NFL team shall establish a process to reach consensus on key elements 
12.16 	of the stadium program and design, development, and construction.
12.17 	(b) Unless the authority and the NFL team agree otherwise:
12.18 	(1) the authority shall create a stadium design and construction group, including 
12.19 	representatives of the authority and the NFL team, to manage the design of the stadium 
12.20 	and oversee construction;
12.21 	(2) this group shall engage an owner's representative to act on behalf of the group. 
12.22 	The cost of the owner's representative shall be a stadium cost; and
12.23 	(3) the authority and the NFL team shall enter into a development administration 
12.24 	agreement providing for rights and responsibilities of the authority and the NFL team, the 
12.25 	design and construction group, and the owner's representative for design and construction 
12.26 	of the stadium, including, but not limited to, establishment of minimum design standards. 
12.27 	This development administration agreement shall provide for binding arbitration in 
12.28 	the event that the authority and the NFL team are unable to agree on minimum design 
12.29 	standards or other material aspects of the design.
12.30 	(c) The authority may enter into an agreement with the NFL team and any other 
12.31 	entity relating to the design, construction, financing, operation, maintenance, and use of 
12.32 	the stadium and related facilities and stadium infrastructure. The authority may contract 
12.33 	for materials, supplies, and equipment in accordance with section 471.345, except that 
12.34 	the authority may employ or contract with persons, firms, or corporations to perform one 
12.35 	or more or all of the functions of architect, engineer, construction manager, or program 
13.1 	manager with respect to all or any part of the design, construction, financing, operation, 
13.2 	maintenance, and use of the stadium and stadium infrastructure under the traditional 
13.3 	separate design and build, integrated design-build, construction manager at risk, or 
13.4 	public/private partnership (P3) structures, or a combination thereof.
13.5 	(d) The authority and the NFL team shall prepare a request for proposals for one or 
13.6 	more of the functions described in paragraph (c). The request must be published in the 
13.7 	State Register and shall include, at a minimum, such requirements that are agreed to by 
13.8 	the authority and the NFL team. The authority and the NFL team may prequalify offerors 
13.9 	by issuing a request for qualifications, in advance of the request for proposals, and select a 
13.10 	short list of responsible offerors prior to discussions and evaluations.
13.11 	(e) As provided in the request for proposals, the authority, and the NFL team, may 
13.12 	conduct discussions and negotiations with responsible offerors in order to determine 
13.13 	which proposal is most advantageous to the authority and the NFL team and to negotiate 
13.14 	the terms of an agreement. In conducting discussions, there shall be no disclosure of any 
13.15 	information derived from proposals submitted by competing offerors and the content of all 
13.16 	proposals is nonpublic data under chapter 13 until such time as a notice to award a contract 
13.17 	is given by the authority. The agreement shall be subject to the approval of the NFL team.
13.18 	(f) Prior to the time the authority enters into a construction contract with a 
13.19 	construction manager or program manager certifying a maximum price and a completion 
13.20 	date as provided in paragraph (h), at the request of the NFL team, the authority may 
13.21 	authorize, such authorization not to be unreasonably withheld or delayed, the NFL team 
13.22 	to provide for management of the construction of the stadium and related stadium 
13.23 	infrastructure, in which event the NFL team must assume the role and responsibilities 
13.24 	of the authority for completion of construction in a manner consistent with the agreed 
13.25 	minimum design standards and design documents, subject to the terms of this act, 
13.26 	including responsibility for cost overruns.
13.27 	(g) The construction manager or program manager may enter into contracts with 
13.28 	contractors for labor, materials, supplies, and equipment for the construction of the 
13.29 	stadium and related stadium infrastructure through the process of public bidding, except 
13.30 	that the construction manager or program manager may, with the consent of the authority 
13.31 	or the NFL team if the NFL team has assumed responsibility for construction:
13.32 	(1) narrow the listing of eligible bidders to those which the construction manager 
13.33 	or program manager determines to possess sufficient expertise to perform the intended 
13.34 	functions;
13.35 	(2) award contracts to the contractors that the construction manager or program 
13.36 	manager determines provide the best value under a request for proposals as described in 
14.1 	section 16C.28, subdivision 1, paragraphs (a), clause (2), and (c), which are not required 
14.2 	to be the lowest responsible bidder; and 
14.3 	(3) for work the construction manager or program manager determines to be critical 
14.4 	to the completion schedule, award contracts on the basis of competitive proposals, or 
14.5 	perform work with its own forces without soliciting competitive bids if the construction 
14.6 	manager or program manager provides evidence of competitive pricing. 
14.7 	(h) The authority and the NFL team shall require that the construction manager or 
14.8 	program manager certify, before the contract is signed, a fixed and stipulated construction 
14.9 	price and completion date to the authority and post a performance bond in an amount 
14.10 	at least equal to 100 percent of the certified price or such other security satisfactory to 
14.11 	the authority, to cover any costs which may be incurred in excess of the certified price 
14.12 	including, but not limited to, costs incurred by the authority or loss of revenues resulting 
14.13 	from incomplete construction on the completion date. The authority may secure surety 
14.14 	bonds as provided in section 574.26, securing payment of just claims in connection with 
14.15 	all public work undertaken by the authority. Persons entitled to the protection of the 
14.16 	bonds may enforce them as provided in sections 574.28 to 574.32 and are not entitled to a 
14.17 	lien on any property of the authority under the provisions of sections 514.01 to 514.16. 
14.18 	The construction of the stadium is a project as that term is defined in section 177.42, 
14.19 	subdivision 2, and is subject to the prevailing wage law under sections 177.41 to 177.43.
14.20 		Subd. 2.Changes. Unless otherwise agreed to by the authority and the NFL team, 
14.21 	if either party requests an agreed upon change in minimum design standards, and this 
14.22 	change is responsible for requiring the project to exceed the stated budget, the requesting 
14.23 	party is liable for any cost overruns or associated liabilities.
14.24 		Subd. 3.Stadium design. The stadium and stadium infrastructure shall be designed 
14.25 	and constructed incorporating the following general program and design elements:
14.26 	(1) unless otherwise agreed to by the authority and the NFL team, the stadium 
14.27 	shall comprise approximately 1,500,000 square feet with approximately 65,000 seats, 
14.28 	expandable to 72,000; shall meet or exceed NFL program requirements; and include 
14.29 	approximately 150 suites and approximately 7,500 club seats or other such components as 
14.30 	agreed to by the authority and the NFL team;
14.31 	(2) space for NFL team-related exhibitions and sales, which shall include the 
14.32 	following: NFL team museum and Hall of Fame, retail merchandise and gift shop retail 
14.33 	venues, and themed concessions and restaurants;
14.34 	(3) year-round space for the NFL team administrative operations, sales, and 
14.35 	marketing, including a ticket office, team meeting space, locker, and training rooms;
14.36 	(4) space for administrative offices of the authority;
15.1 	(5) 2,000 parking spaces within one block of the stadium, connected by skyway or 
15.2 	tunnel to the stadium, and 500 parking spaces within two blocks of the stadium, with a 
15.3 	dedicated walkway on game days;
15.4 	(6) elements sufficient to provide community and civic uses as determined by the 
15.5 	authority; and
15.6 	(7) a roof that is fixed or retractable, provided that if the roof is retractable, it is 
15.7 	accomplished without any increase to the funding provided by the state or the city.
15.8 		Subd. 4.Cost overruns, savings. The authority may accept financial obligations 
15.9 	relating to cost overruns associated with acquisition of the stadium site, stadium 
15.10 	infrastructure, and stadium design, development, and construction, provided that the 
15.11 	authority shall not accept responsibility for cost overruns and shall not be responsible for 
15.12 	cost overruns if the authority has authorized the NFL team to provide for management of 
15.13 	construction of the stadium under subdivision 1. Cost savings or additional funds obtained 
15.14 	by the authority or the NFL team for the stadium or stadium infrastructure may be used 
15.15 	first to fund additional stadium or stadium infrastructure, as agreed to by the authority and 
15.16 	the NFL team, if any, and then to fund capital reserves.

15.17 	Sec. 14. [473J.112] COMMEMORATIVE BRICKS.
15.18 	The authority shall sell commemorative bricks to be displayed at a prominent 
15.19 	location in the new stadium, for an amount to be determined by the authority. The 
15.20 	authority shall work with the commissioner to ensure that purchase of a brick is a tax 
15.21 	deductible donation on the part of the donating person or organization. Funds raised 
15.22 	through this section shall be appropriated to the commissioner of management and budget 
15.23 	for a grant to the Minnesota Sports Facilities Authority.

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

15.25 	Sec. 15. [473J.12] EMPLOYMENT.
15.26 		Subdivision 1.Hiring and recruitment. In the design, development, construction, 
15.27 	management, operation, maintenance and capital repair, replacement and improvement of 
15.28 	the stadium and stadium infrastructure, the authority shall make every effort to employ, 
15.29 	and cause the NFL team, the construction manager and other subcontractors, vendors, and 
15.30 	concessionaires to employ women and members of minority communities when hiring. 
15.31 	Further, goals for construction contracts to be awarded to women- and minority-owned 
15.32 	businesses will be in a percentage at least equal to the minimum used for city of 
15.33 	Minneapolis development projects, and the other construction workforce will establish 
16.1 	workforce utilization goals at least equal to current city goals and include workers from 
16.2 	city zip codes that have high rates of poverty and unemployment.
16.3 		Subd. 2.Other required agreements. The NFL team or the authority shall give 
16.4 	food, beverage, retail, and concession workers presently employed by the NFL team or 
16.5 	the Metropolitan Sports Facilities Commission or its vendors at the existing football 
16.6 	stadium the opportunity to continue their employment in comparable positions at the new 
16.7 	stadium. Workers who are presently represented under a collective bargaining agreement 
16.8 	may seek to continue such representation in the facility and designate such, or another 
16.9 	collective bargaining unit, as their representative.

16.10 	Sec. 16. [473J.13] STADIUM OPERATIONS; CAPITAL IMPROVEMENTS.
16.11 		Subdivision 1.Stadium operation. The stadium shall be operated in a first-class 
16.12 	manner, similar to and consistent with other comparable NFL stadiums, such as the 
16.13 	stadium currently known as Lucas Oil Field. The authority and the team will mutually 
16.14 	agree on a third-party management company or individual to manage the stadium and on 
16.15 	certain major vendors to the stadium. The authority, with the approval of the NFL team, 
16.16 	may enter into an agreement with a program manager for management of the stadium, for 
16.17 	a maximum of 40 years.
16.18 		Subd. 2.Operating expenses. The authority must pay or cause to be paid all 
16.19 	operating expenses of the stadium. The authority must require in the lease or use 
16.20 	agreement with the NFL team that the NFL team pay the authority, beginning January 
16.21 	1, 2016, or other date as mutually agreed upon by the parties, toward operating costs of 
16.22 	the stadium, $8,500,000 each year, increased by a three percent annual inflation rate. 
16.23 	Beginning January 1, 2016, or other date as mutually agreed upon by the parties, the state 
16.24 	shall pay the authority toward operating expenses, $6,000,000 each year, increased by 
16.25 	an annual adjustment factor. The authority may establish an operating reserve to cover 
16.26 	operating expense shortfalls and may accept funds from any source for deposit in the 
16.27 	operating reserve. The establishment or funding of an authority operating reserve must not 
16.28 	decrease the amounts required to be paid to the authority toward operating costs under 
16.29 	this subdivision unless agreed to by the authority. The authority will be responsible for 
16.30 	operating cost overruns. After the joint selection of the third-party manager or program 
16.31 	manager, the authority may agree with a program manager or other third-party manager 
16.32 	of the stadium on a fixed cost operating, management, or employment agreement with 
16.33 	operating cost protections under which the program manager or third-party manager 
16.34 	assumes responsibility for stadium operating costs and shortfalls. The agreement with the 
16.35 	manager must require the manager to prepare an initial and ongoing operating plan and 
17.1 	operating budgets for approval by the authority in consultation with the NFL team. The 
17.2 	manager must agree to operate the stadium in accordance with the approved operating 
17.3 	plan and operating budget.
17.4 		Subd. 3.Public access. The authority will work to maximize access for public and 
17.5 	amateur sports, community, and civic events, and other public events in type and on terms 
17.6 	consistent with those currently held at the existing football stadium, as defined in section 
17.7 	473.551, subdivision 9. The authority may provide that these events have exclusive use 
17.8 	of the premises at agreed-upon times subject to the scheduling rights of the NFL team 
17.9 	under the lease or use agreement.
17.10 		Subd. 4.Capital improvements. (a) The authority shall establish a capital 
17.11 	reserve fund. The authority shall be responsible for making, or for causing others to 
17.12 	make, all capital repairs, replacements, and improvements for the stadium and stadium 
17.13 	infrastructure. The authority shall maintain, or cause others to maintain, the stadium and 
17.14 	stadium infrastructure in a safe, clean, attractive, and first-class manner so as to cause 
17.15 	them to remain in a condition comparable to that of other comparable NFL facilities of 
17.16 	similar design and age. The authority shall make, or cause others to make, all necessary 
17.17 	or appropriate repairs, renewals, and replacements, whether structural or nonstructural, 
17.18 	interior or exterior, ordinary or extraordinary, foreseen or unforeseen, in a prompt and 
17.19 	timely manner. In addition, the authority, with approval of the NFL team, may enter into 
17.20 	an agreement with a program manager to perform some or all of the responsibilities of the 
17.21 	authority in this subdivision and to assume and accept financial liability for the cost of 
17.22 	performing the responsibilities.
17.23 	(b) The NFL team must contribute $1,500,000 each year, beginning in 2016 or as 
17.24 	otherwise determined for the term of the lease or use agreement to the operating reserve 
17.25 	fund, increased by a three percent annual inflation rate.
17.26 	(c) The state shall contribute $1,500,000 each year, beginning in 2016 or as 
17.27 	otherwise determined for the term of the lease to the operating reserve fund. The 
17.28 	contributions of the state are subject to increase by an annual adjustment factor.
17.29 	(d) The authority, with input from the NFL team, shall develop short-term and 
17.30 	long-term capital funding plans and shall use those plans to guide the future capital needs 
17.31 	of the stadium and stadium infrastructure. The authority shall make the final determination 
17.32 	with respect to funding capital needs. Any capital improvement proposed by the NFL 
17.33 	team intended primarily to provide revenue enhancements to the NFL team shall be paid 
17.34 	for by the NFL team, unless otherwise agreed to with the authority.
17.35 		Subd. 5.Game day payments. In addition to operating expense contributions 
17.36 	of the NFL team under subdivision 2, the NFL team shall pay all NFL game day, NFL 
18.1 	team-owned major league soccer, as provided in section 473J.15, subdivision 15, and 
18.2 	other NFL team sponsored event expenses within the stadium and stadium plaza areas.
18.3 		Subd. 6.Cooperation with financing. The authority will cooperate with the 
18.4 	NFL team to facilitate the financing of the NFL team's contribution. Such agreement to 
18.5 	cooperate shall not require the authority to incur any additional costs or provide conduit 
18.6 	financing. The lease, license, and other transaction documents shall include provisions 
18.7 	customarily required by lenders in stadium financings.

18.8 	Sec. 17. [473J.15] CRITERIA AND CONDITIONS.
18.9 		Subdivision 1.Binding and enforceable. In developing the stadium and entering 
18.10 	into related contracts, the authority must follow and enforce the criteria and conditions in 
18.11 	this section, provided that a determination by the authority that those criteria or conditions 
18.12 	have been met under any agreement or otherwise shall be conclusive.
18.13 		Subd. 2.NFL team/private contribution; timing of expenditures. The NFL 
18.14 	team/private contribution, including stadium builder license proceeds, for stadium costs 
18.15 	must be made in cash in the amount of at least $427,000,000. Prior to the initial deposit 
18.16 	of funds under this section, the team must provide security or other credit worthiness 
18.17 	in the amount of $50,000,000, subject to the satisfaction of the authority. Prior to the 
18.18 	first issuance of bonds under section 16A.965, the first portion of the NFL team/private 
18.19 	contribution in the amount of $50,000,000 must be deposited as costs are incurred to 
18.20 	the construction fund to pay for the initial stadium costs. After the first $50,000,000 
18.21 	of stadium costs have been paid from the initial NFL team/private contribution, state 
18.22 	funds shall be deposited as costs are incurred to the construction fund to pay for the 
18.23 	next $50,000,000 of costs of the project. Prior to any state funds being deposited in 
18.24 	the construction fund, the NFL team must provide security or a financing commitment 
18.25 	reasonably satisfactory to the authority for the balance of the required NFL team/private 
18.26 	contribution and for payment of cost overruns if the NFL team assumes responsibility for 
18.27 	stadium construction under section 473J.11. Thereafter budgeted project costs shall be 
18.28 	borne by the authority and the NFL team/private contributions in amounts proportionate 
18.29 	to their remaining funding commitments. In the event the project terminates before the 
18.30 	initial $100,000,000 in contributions are expended by the parties under this subdivision, 
18.31 	the parties shall be reimbursed in the amounts they have deposited to the construction fund 
18.32 	proportionate to project funding percentages, in the amounts of 56 percent by the authority 
18.33 	and 44 percent by the NFL team/private contributions.
18.34 		Subd. 3.Lease or use agreements; 40-year term. The authority must enter into 
18.35 	a long-term lease or use agreement with the NFL team for the NFL team's use of the 
19.1 	stadium. The NFL team must agree to play all preseason, regular season, and postseason 
19.2 	home games at the stadium. Training facilities must remain in Minnesota during the term 
19.3 	of the lease or use agreement. The lease or use agreement must be for a term of at least 
19.4 	40 years from the date of substantial completion of the stadium for professional football 
19.5 	games. The lease or use agreement may provide options for the NFL team to extend the 
19.6 	term for up to four additional periods of five years. The lease or use agreement must 
19.7 	include terms for default, termination, and breach of the agreement. Recognizing that 
19.8 	the presence of professional football provides to the state of Minnesota and its citizens 
19.9 	highly valued, intangible benefits that are virtually impossible to quantify and, therefore, 
19.10 	not recoverable in the event of the NFL team owner's breach of contract, the lease and 
19.11 	use agreements must provide for specific performance and injunctive relief to enforce 
19.12 	provisions relating to use of the stadium for professional football and must not include 
19.13 	escape clauses or buyout provisions. The NFL team must not enter into or accept any 
19.14 	agreement or requirement with or from any entity that is inconsistent with the NFL team's 
19.15 	binding commitment to the 40-year term of the lease or use agreement or that would in 
19.16 	any manner dilute, interfere with, or negate the provisions of the lease or use agreement, 
19.17 	providing for specific performance or injunctive relief. The legislature conclusively 
19.18 	determines, as a matter of public policy, that the lease or use agreement, and any grant 
19.19 	agreement under this chapter that includes a specific performance clause:
19.20 	(1) explicitly authorizes specific performance as a remedy for breach;
19.21 	(2) is made for adequate consideration and upon terms which are otherwise fair 
19.22 	and reasonable;
19.23 	(3) has not been included through sharp practice, misrepresentation, or mistake;
19.24 	(4) if specifically enforced, does not cause unreasonable or disproportionate hardship 
19.25 	or loss to the NFL team or to third parties; and
19.26 	(5) involves performance in a manner and the rendering of services of a nature and 
19.27 	under circumstances that the beneficiary cannot be adequately compensated in damages.
19.28 		Subd. 4.Lease or use agreements; revenues, payments. A lease or use agreement 
19.29 	shall include rent and other fees and expenses to be paid by the NFL team. The authority 
19.30 	shall agree to provide in the lease or use agreement for the NFL team to receive all NFL 
19.31 	and team event related revenues, including, but not limited to, suite revenues, advertising, 
19.32 	concessions, signage, broadcast and media, and club seat revenue. The agreement shall 
19.33 	also provide that all naming rights to the stadium are retained by the NFL team, subject to 
19.34 	the approval of the name or names by the authority consistent with those criteria set out 
19.35 	in the lease or use agreement. The agreement shall provide for the authority to receive 
19.36 	all general ticket revenues and other event revenues other than from NFL team games, 
20.1 	NFL team owned major league soccer games, and other NFL team events agreed to by 
20.2 	the authority.
20.3 		Subd. 5.Notice of breach or default. Until 40 years from the date of stadium 
20.4 	completion, the NFL team must provide written notice to the authority not less than 180 
20.5 	days prior to any action, including any action imposed upon the NFL team by the NFL, 
20.6 	which would result in a breach or default of provisions of the lease or use agreements 
20.7 	required to be included under subdivision 3. If this notice provision is violated and the 
20.8 	NFL team has already breached or been in default under the required provisions, the 
20.9 	authority or the state of Minnesota may specifically enforce the lease or use agreement 
20.10 	and Minnesota courts shall fashion equitable remedies so that the NFL team fulfills the 
20.11 	conditions of the lease and use agreements.
20.12 		Subd. 6.Enforceable financial commitments. The authority must determine before 
20.13 	stadium construction begins that all public and private funding sources for construction, 
20.14 	operating expenses, and capital improvements and repairs of the stadium are included in 
20.15 	written agreements. The committed funds must be adequate to design, construct, furnish, 
20.16 	and equip the stadium, and pay projected operating expenses and the costs of capital 
20.17 	improvements and repairs during the term of the lease or use agreement with the NFL 
20.18 	team. The NFL team must provide the authority access to NFL team financial or other 
20.19 	information, which the authority deems necessary for such determination. Any financial 
20.20 	information obtained by the authority under this subdivision is nonpublic data under 
20.21 	section 13.02, subdivision 9.
20.22 		Subd. 7.Environmental requirements. The authority must comply with all 
20.23 	environmental requirements imposed by regulatory agencies for the stadium, site, and 
20.24 	structure, except as provided by section 473J.09, subdivision 11, or by section 473J.17.
20.25 		Subd. 8.Public share on sale of NFL team. The lease or use agreement must 
20.26 	provide that, if the NFL team is sold or an interest in the NFL team is sold after the 
20.27 	effective date of this chapter, a portion of the sale price must be paid to the authority and 
20.28 	deposited in a reserve fund for improvements to the stadium or expended as the authority 
20.29 	may otherwise direct. The portion required to be so paid to the authority is 18 percent 
20.30 	of the amount in excess of the purchase price of the NFL team by the selling owner or 
20.31 	owners, declining to zero 15 years after commencement of stadium construction in 
20.32 	increments of 1.2 percent each year. The agreement must provide exceptions for sales 
20.33 	to members of the owners' family and entities and trusts beneficially owned by family 
20.34 	members, sales to employees of equity interests aggregating up to ten percent, sales related 
20.35 	to capital infusions not distributed to the owners, and sales amongst existing owners not 
20.36 	exceeding 20 percent equity interest in the NFL team.
21.1 		Subd. 9.Authority's access to NFL team financial information. A notice 
21.2 	provision for a material breach shall be agreed to between the authority and the NFL team. 
21.3 	In the event there is a material breach by the NFL team under the lease or use agreement, 
21.4 	the lease or use agreement must provide the authority access to audited financial statements 
21.5 	of the NFL team and other financial information that the authority deems necessary to 
21.6 	enforce the terms of any lease or use agreements. Any financial information obtained by 
21.7 	the authority under this subdivision is nonpublic data under section 13.02, subdivision 9.
21.8 		Subd. 10.NFL team name retained. The lease or use agreement must provide 
21.9 	that the NFL team and NFL will transfer to the state of Minnesota the Minnesota Vikings' 
21.10 	heritage and records, including the name, logo, colors, history, playing records, trophies, 
21.11 	and memorabilia in the event of relocation of the NFL team in violation of the lease 
21.12 	or use agreement.
21.13 		Subd. 11.Stadium design. (a) The authority and the NFL team will build a stadium 
21.14 	that is environmentally and energy efficient and will make an effort to build a stadium 
21.15 	that is eligible to receive the Leadership in Energy and Environmental Design (LEED) 
21.16 	certification for environmental design, and to the extent practicable, will strive to make the 
21.17 	stadium design architecturally significant.
21.18 	(b) The stadium design must, to the extent feasible, follow sustainable building 
21.19 	guidelines established under section 16B.325.
21.20 	(c) The authority and the team must ensure that the stadium be, to the greatest extent 
21.21 	practicable, constructed of American-made steel.
21.22 		Subd. 12.Necessary approvals. The authority and the NFL team must secure 
21.23 	any necessary approvals to the terms of the lease and use agreement and the design and 
21.24 	construction plans for the stadium, including prior approval of the NFL.
21.25 		Subd. 13.Affordable access. The lease or use agreement must provide for an 
21.26 	agreed-upon number of affordable tickets to the professional sporting events held in the 
21.27 	stadium.
21.28 		Subd. 14.Stadium builder's licenses. The authority shall own and retain the 
21.29 	exclusive right to sell stadium builder's licenses in the stadium. The authority will retain 
21.30 	the NFL team to act as the authority's agent in marketing and selling such licenses.
21.31 		Subd. 15.Major league soccer. The authority shall, for five years after the first 
21.32 	NFL team home game is played in the stadium, grant the NFL team the exclusive right to 
21.33 	establish major league soccer at the stadium. The authority and the NFL team may enter 
21.34 	into an agreement providing the terms and conditions of such an arrangement, provided:
21.35 	(1) if any of the NFL team owners whose family owns at least three percent of 
21.36 	the NFL team purchases full or partial ownership in a major league soccer franchise, 
22.1 	such franchise may play in the stadium under a use agreement with similar terms as are 
22.2 	applicable to the NFL team at no additional rent, but including a provision of payment 
22.3 	of game day costs and reasonable marginal costs incurred by the authority as a result of 
22.4 	the major league soccer team; and
22.5 	(2) capital improvements required by a major league soccer franchise must be 
22.6 	financed by the owners of the major league soccer team, unless otherwise agreed to by 
22.7 	the authority.
22.8 		Subd. 16.NFL team-related entities. Subject to the prior approval of the authority, 
22.9 	which shall not be unreasonably withheld, any of the obligations by the NFL team may 
22.10 	be performed by the NFL team, a related entity, or a third party, and the NFL team, any 
22.11 	entity related to the NFL team or third party may receive any revenues to which the NFL 
22.12 	team is entitled hereunder; provided, however, the NFL team shall remain liable if any 
22.13 	obligations are assigned to a related entity or third party.

22.14 	Sec. 18. [473J.17] MUNICIPAL ACTIVITIES.
22.15 		Subdivision 1.Property acquisition and disposition. The city may, to the extent 
22.16 	legally permissible, acquire land, air rights, and other property interests within the 
22.17 	development area for the stadium site and stadium infrastructure and convey it to the 
22.18 	authority with or without consideration, prepare a site for development as a stadium, and 
22.19 	acquire and construct any related stadium infrastructure. To the extent property parcels or 
22.20 	interests acquired are more extensive than the stadium infrastructure requirements, the city 
22.21 	may sell or otherwise dispose of the excess.
22.22 		Subd. 2.Claims. Except as may be mutually agreed to by the city and the authority, 
22.23 	the city has no interest in or claim to any assets or revenues of the authority.
22.24 		Subd. 3.Environmental; planning and zoning. The authority is the responsible 
22.25 	governmental unit for an environmental impact statement for the stadium prepared under 
22.26 	section 116D.04, if an environmental impact statement is necessary. Notwithstanding 
22.27 	section 116D.04, subdivision 2b, and implementing rules: (1) the environmental 
22.28 	impact statement shall not be required to consider alternative stadium sites; and (2) the 
22.29 	environmental impact statement must be determined to be adequate before commencing 
22.30 	work on the foundation of the stadium, but the stadium and stadium infrastructure may 
22.31 	otherwise be started and all preliminary and final government decisions and actions may 
22.32 	be made and taken including, but not limited to, acquiring land; obtaining financing; 
22.33 	granting permits or other land use approvals; entering into grant, lease, or use agreements; 
22.34 	or preparing the site or related stadium infrastructure prior to a determination of the 
22.35 	adequacy of the environmental impact statement.
23.1 		Subd. 4.Local government expenditure. The city may make expenditures or 
23.2 	grants for other costs incidental and necessary to further the purposes of this chapter and 
23.3 	may, by agreement, reimburse in whole or in part, any entity that has granted, loaned, or 
23.4 	advanced funds to the city to further the purposes of this chapter. The city may reimburse 
23.5 	the authority or a local governmental entity or make a grant to the authority or such a 
23.6 	governmental unit or be reimbursed by the authority or local government entity for site 
23.7 	acquisition, preparation of the site for stadium development, and stadium infrastructure.
23.8 		Subd. 5.Municipal authority. The legislature intends that, except as expressly 
23.9 	limited herein, the city may acquire and develop stadium infrastructure, enter into contracts 
23.10 	with the authority and other governmental or nongovernmental entities, appropriate funds, 
23.11 	and make employees, consultants, and other revenues available for those purposes.
23.12 		Subd. 6.Stadium Implementation Committee; city review. In order to accomplish 
23.13 	the objectives of this act within the required time frame, it is necessary to establish an 
23.14 	alternative process for municipal land use and development review. It is hereby found 
23.15 	and declared that the construction of a stadium within the development area is consistent 
23.16 	with the adopted area plan, is the preferred stadium location, and is a permitted land use. 
23.17 	This subdivision establishes a procedure for all land use and development reviews and 
23.18 	approvals by the city of Minneapolis for the stadium and related stadium infrastructure and 
23.19 	supersedes all land use and development rules and restrictions and procedures imposed 
23.20 	by other law, charter, or ordinance, including without limitation section 15.99. No later 
23.21 	than 30 days after timely compliance of the city as provided in article 4, section 4, of this 
23.22 	chapter, the city of Minneapolis shall establish a stadium implementation committee 
23.23 	to make recommendations on the design plans submitted for the stadium, and stadium 
23.24 	infrastructure, and related improvements. The implementation committee must take 
23.25 	action to issue its recommendations within the time frames established in the planning 
23.26 	and construction timetable issued by the authority which shall provide for no less than 60 
23.27 	days for the committee's review. The recommendations of the implementation committee 
23.28 	shall be forwarded to the city of Minneapolis Planning Commission for an advisory 
23.29 	recommendation and then to the city council for final action in a single resolution, which 
23.30 	final action must be taken within 45 days of the submission of the recommendations to the 
23.31 	planning commission. The city council shall not impose any unreasonable conditions on 
23.32 	the recommendations of the implementation committee, nor take any action or impose 
23.33 	any conditions that will result in delay from the time frames established in the planning 
23.34 	and construction timetable or in additional overall costs. Failure of the city council to act 
23.35 	within the 45-day period shall be deemed to be approval. The authority may seek de novo 
23.36 	review in the district court of any city council action. The district court or any appellate 
24.1 	court shall expedite review to the maximum extent possible and timely issue relief, orders, 
24.2 	or opinions as necessary to give effect to the provisions and objectives in this act.

24.3 	Sec. 19. [473J.19] PROPERTY TAX EXEMPTION; SPECIAL ASSESSMENTS.
24.4 	Any real or personal property acquired, owned, leased, controlled, used, or occupied 
24.5 	by the authority for any of the purposes of this chapter, is acquired, owned, leased, 
24.6 	controlled, used, and occupied for public, governmental, and municipal purposes. The 
24.7 	stadium and stadium infrastructure are exempt from ad valorem taxation by the state 
24.8 	or any political subdivision of the state provided that the properties are subject to 
24.9 	special assessments levied by a political subdivision for a local improvement in amounts 
24.10 	proportionate to and not exceeding the special benefit received by the properties from the 
24.11 	improvement. No possible use of any of the properties in any manner different from their 
24.12 	use under this chapter may be considered in determining the special benefit received by 
24.13 	the properties. Notwithstanding section 272.01, subdivision 2, or 273.19, real or personal 
24.14 	property, which is subject to a lease or use agreement between the authority and another 
24.15 	person for uses related to the purposes of this chapter, including the operation of the 
24.16 	stadium and related parking facilities, is exempt from taxation regardless of the length of 
24.17 	the lease or use agreement or the characteristics of the entity leasing or using the property. 
24.18 	This section, insofar as it provides an exemption or special treatment, does not apply to 
24.19 	any real property that is leased for residential, business, or commercial development or to 
24.20 	a restaurant that is open for general business more than 200 days a year, or other purposes 
24.21 	different from those contemplated in this chapter.

24.22 	Sec. 20. [473J.23] LOCAL TAXES.
24.23 	No new or additional local sales or use tax shall be imposed on sales at the stadium 
24.24 	site unless the tax is applicable throughout the taxing jurisdiction. No new or additional 
24.25 	local tax shall be imposed on sales of tickets and admissions to NFL team, NFL team 
24.26 	owned major league soccer, or other team related events at the stadium, notwithstanding 
24.27 	any law or ordinance, unless the tax is applicable throughout the taxing jurisdiction. The 
24.28 	admissions and amusements tax currently imposed by the city of Minneapolis pursuant 
24.29 	to Laws 1969, chapter 1092, may apply to admissions for football and NFL team related 
24.30 	events, including NFL team owned major league soccer, as provided in section 473J.15, 
24.31 	subdivision 15, at the stadium.

24.32 	Sec. 21. [473J.25] METROPOLITAN SPORTS FACILITIES COMMISSION 
24.33 	ASSETS; LIABILITIES TO AUTHORITY.
25.1 		Subdivision 1.Authority expenses. The Metropolitan Sports Facilities Commission 
25.2 	shall pay the operating expenses of the authority including salaries, compensation, and 
25.3 	other personnel, office, equipment, consultant and any other costs, until the commission is 
25.4 	abolished pursuant to subdivision 3.
25.5 		Subd. 2.Transfer. Within 90 days of the enactment of this chapter, the Metropolitan 
25.6 	Sports Facilities Commission shall pay its outstanding obligations, settle its accounts, and 
25.7 	transfer its remaining assets, liabilities, and obligations to the authority, for its purposes.
25.8 		Subd. 3.Metropolitan Sports Facilities Commission abolished; interim powers 
25.9 	conferred on authority. Upon transfer to the authority of all remaining assets, liabilities, 
25.10 	and obligations of the Metropolitan Sports Facilities Commission, in subdivision 2, the 
25.11 	Metropolitan Sports Facilities Commission is abolished. When the remaining assets, 
25.12 	liabilities, and obligations of the Metropolitan Sports Facilities Commission have been 
25.13 	transferred to the authority and the commission has been abolished, the powers and duties 
25.14 	of the commission under sections 473.551 to 473.599, and any other law shall devolve 
25.15 	upon the authority, in addition to the powers and duties of the authority under this chapter, 
25.16 	until the first NFL home game is played at the stadium.
25.17 		Subd. 4.Employees. Upon transfer of ownership all persons employed by the 
25.18 	Metropolitan Sports Facilities Commission shall be transferred to the Minnesota Sports 
25.19 	Facilities Authority without loss of right or privilege. Nothing in this section shall be 
25.20 	construed to give any such person the right or privilege to continue in the same level or 
25.21 	classification of employment previously held. The Minnesota Sports Facilities Authority 
25.22 	may assign any such person to an employment level and classification which it deems 
25.23 	appropriate and desirable in accordance with its personnel code.

25.24 	Sec. 22. EFFECTIVE DATE.
 25.25 	Except as otherwise provided, this article is effective the day following final 
25.26 	enactment.

25.27 	ARTICLE 2
25.28 	STATE STADIUM FUNDING

25.29 	Section 1. [16A.965] STADIUM APPROPRIATION BONDS.
25.30 		Subdivision 1.Definitions. (a) The definitions in this subdivision and in chapter 
25.31 	473J apply to this section.
25.32 	(b) "Appropriation bond" means a bond, note, or other similar instrument of the state 
25.33 	payable during a biennium from one or more of the following sources:
26.1 	(1) money appropriated by law from the general fund, including, without limitation, 
26.2 	revenues deposited in the general fund as provided in articles 4 and 5, in any biennium for 
26.3 	debt service due with respect to obligations described in subdivision 2, paragraph (b);
26.4 	(2) proceeds of the sale of obligations described in subdivision 2, paragraph (b);
26.5 	(3) payments received for that purpose under agreements and ancillary arrangements 
26.6 	described in subdivision 2, paragraph (d); and
26.7 	(4) investment earnings on amounts in clauses (1) to (3).
26.8 	(c) "Debt service" means the amount payable in any biennium of principal, premium, 
26.9 	if any, and interest on appropriation bonds.
26.10 		Subd. 2.Authorization to issue appropriation bonds. (a) Subject to the 
26.11 	limitations of this subdivision, the commissioner may sell and issue appropriation bonds 
26.12 	of the state under this section for public purposes as provided by law, including, in 
26.13 	particular, the financing of all or a portion of the acquisition, construction, improving, 
26.14 	and equipping of the stadium project of the Minnesota Sports Facilities Authority as 
26.15 	provided by chapter 473J. Proceeds of the appropriation bonds must be credited to a 
26.16 	special appropriation stadium bond proceeds fund in the state treasury. Net income from 
26.17 	investment of the proceeds, as estimated by the commissioner, must be credited to the 
26.18 	special appropriation stadium bond proceeds fund.
26.19 	(b) Appropriation bonds may be sold and issued in amounts that, in the opinion of 
26.20 	the commissioner, are necessary to provide sufficient funds, not to exceed $548,000,000 
26.21 	net of costs of issuance, deposits for debt service reserve funds, and costs of credit 
26.22 	enhancement for achieving the purposes authorized as provided under paragraph (a), and 
26.23 	pay debt service, pay costs of issuance, make deposits to reserve funds, pay the costs 
26.24 	of credit enhancement, or make payments under other agreements entered into under 
26.25 	paragraph (d); provided, however, that appropriation bonds issued and unpaid shall not 
26.26 	exceed $650,000,000 in principal amount, excluding refunding bonds sold and issued 
26.27 	under subdivision 4.
26.28 	(c) Appropriation bonds may be issued from time to time in one or more series on 
26.29 	the terms and conditions the commissioner determines to be in the best interests of the 
26.30 	state, but the term on any series of appropriation bonds may not exceed 30 years. The 
26.31 	appropriation bonds of each issue and series thereof shall be dated and bear interest, 
26.32 	and may be includable in or excludable from the gross income of the owners for federal 
26.33 	income tax purposes.
26.34 	(d) At the time of, or in anticipation of, issuing the appropriation bonds, and at any 
26.35 	time thereafter, so long as the appropriation bonds are outstanding, the commissioner may 
26.36 	enter into agreements and ancillary arrangements relating to the appropriation bonds, 
27.1 	including, but not limited to, trust indentures, grant agreements, lease or use agreements, 
27.2 	operating agreements, management agreements, liquidity facilities, remarketing or 
27.3 	dealer agreements, letter of credit agreements, insurance policies, guaranty agreements, 
27.4 	reimbursement agreements, indexing agreements, or interest exchange agreements. Any 
27.5 	payments made or received according to the agreement or ancillary arrangement shall be 
27.6 	made from or deposited as provided in the agreement or ancillary arrangement. The 
27.7 	determination of the commissioner included in an interest exchange agreement that the 
27.8 	agreement relates to an appropriation bond shall be conclusive.
27.9 	(e) The commissioner may enter into written agreements or contracts relating to the 
27.10 	continuing disclosure of information necessary to comply with, or facilitate the issuance 
27.11 	of appropriation bonds in accordance with federal securities laws, rules, and regulations, 
27.12 	including Securities and Exchange Commission rules and regulations in Code of Federal 
27.13 	Regulations, title 17, section 240.15c 2-12. An agreement may be in the form of covenants 
27.14 	with purchasers and holders of appropriation bonds set forth in the order or resolution 
27.15 	authorizing the issuance of the appropriation bonds, or a separate document authorized 
27.16 	by the order or resolution.
27.17 	(f) The appropriation bonds are not subject to chapter 16C.
27.18 		Subd. 3.Form; procedure. (a) Appropriation bonds may be issued in the form 
27.19 	of bonds, notes, or other similar instruments, and in the manner provided in section 
27.20 	16A.672. In the event that any provision of section 16A.672 conflicts with this section, 
27.21 	this section shall control.
27.22 	(b) Every appropriation bond shall include a conspicuous statement of the limitation 
27.23 	established in subdivision 6.
27.24 	(c) Appropriation bonds may be sold at either public or private sale upon such terms 
27.25 	as the commissioner shall determine are not inconsistent with this section and may be sold 
27.26 	at any price or percentage of par value. Any bid received may be rejected.
27.27 	(d) Appropriation bonds must bear interest at a fixed or variable rate.
27.28 	(e) Notwithstanding any other law, appropriation bonds issued under this section 
27.29 	shall be fully negotiable.
27.30 		Subd. 4.Refunding bonds. The commissioner from time to time may issue 
27.31 	appropriation bonds for the purpose of refunding any appropriation bonds then 
27.32 	outstanding, including the payment of any redemption premiums on the bonds, any 
27.33 	interest accrued or to accrue to the redemption date, and costs related to the issuance and 
27.34 	sale of the refunding bonds. The proceeds of any refunding bonds may, in the discretion of 
27.35 	the commissioner, be applied to the purchase or payment at maturity of the appropriation 
27.36 	bonds to be refunded, to the redemption of the outstanding appropriation bonds on any 
28.1 	redemption date, or to pay interest on the refunding bonds and may, pending application, 
28.2 	be placed in escrow to be applied to the purchase, payment, retirement, or redemption. Any 
28.3 	escrowed proceeds, pending such use, may be invested and reinvested in obligations that 
28.4 	are authorized investments under section 11A.24. The income earned or realized on the 
28.5 	investment may also be applied to the payment of the appropriation bonds to be refunded 
28.6 	or interest or premiums on the refunded appropriation bonds, or to pay interest on the 
28.7 	refunding bonds. After the terms of the escrow have been fully satisfied, any balance of the 
28.8 	proceeds and any investment income may be returned to the general fund or, if applicable, 
28.9 	the special appropriation stadium bond proceeds fund for use in any lawful manner. All 
28.10 	refunding bonds issued under this subdivision must be prepared, executed, delivered, and 
28.11 	secured by appropriations in the same manner as the appropriation bonds to be refunded.
28.12 		Subd. 5.Appropriation bonds as legal investments. Any of the following entities 
28.13 	may legally invest any sinking funds, money, or other funds belonging to them or under 
28.14 	their control in any appropriation bonds issued under this section:
28.15 	(1) the state, the investment board, public officers, municipal corporations, political 
28.16 	subdivisions, and public bodies;
28.17 	(2) banks and bankers, savings and loan associations, credit unions, trust companies, 
28.18 	savings banks and institutions, investment companies, insurance companies, insurance 
28.19 	associations, and other persons carrying on a banking or insurance business; and
28.20 	(3) personal representatives, guardians, trustees, and other fiduciaries.
28.21 		Subd. 6.No full faith and credit; state not required to make appropriations.
 28.22 	The appropriation bonds are not public debt of the state, and the full faith, credit, and 
28.23 	taxing powers of the state are not pledged to the payment of the appropriation bonds or to 
28.24 	any payment that the state agrees to make under this section. Appropriation bonds shall 
28.25 	not be obligations paid directly, in whole or in part, from a tax of statewide application 
28.26 	on any class of property, income, transaction, or privilege. Appropriation bonds shall be 
28.27 	payable in each fiscal year only from amounts that the legislature may appropriate for debt 
28.28 	service for any fiscal year, provided that nothing in this section shall be construed to 
28.29 	require the state to appropriate funds sufficient to make debt service payments with respect 
28.30 	to the appropriation bonds in any fiscal year. Appropriation bonds shall be canceled and 
28.31 	shall no longer be outstanding on the earlier of (1) the first day of a fiscal year for which 
28.32 	the legislature shall not have appropriated amounts sufficient for debt service, or (2) the 
28.33 	date of final payment of the principal of and interest on the appropriation bonds.
28.34 		Subd. 7.Appropriation of proceeds. The proceeds of appropriation bonds and 
28.35 	interest credited to the special appropriation stadium bond proceeds fund are appropriated 
28.36 	to the commissioner for payment of capital expenses, debt service on outstanding 
29.1 	indebtedness of the state, operating and capital reserves of the authority, and the funding 
29.2 	of debt service reserves for the appropriation bonds, each as permitted by state and federal 
29.3 	law, and nonsalary expenses incurred in conjunction with the sale of the appropriation 
29.4 	bonds, and such proceeds may be granted, loaned, or otherwise provided to the authority 
29.5 	for the public purpose provided by subdivision 2, paragraph (a).
29.6 		Subd. 8.Commissioner; determination of available revenues. (a) By March 15 
29.7 	of each fiscal year, the commissioner, in consultation with the commissioner of revenue, 
29.8 	shall determine the estimated increase in revenues received from taxes imposed under 
29.9 	chapter 297E over the estimated revenues under the February 2012 revenue forecast for 
29.10 	that fiscal year. For fiscal years after fiscal year 2015, the commissioner shall use the 
29.11 	February 2012 revenue forecast for fiscal year 2015 as the baseline. All calculations under 
29.12 	this paragraph must be made net of estimated refunds of the taxes required to be paid.
29.13 	(b) Available revenues for purposes of subdivision 9, equal the amount determined 
29.14 	under paragraph (a), less the following amounts for the fiscal year:
29.15 	(1) the appropriation to principal and interest on appropriation bonds under 
29.16 	subdivision 9, paragraph (a);
29.17 	(2) the appropriation to make the payments required under section 473J.13, 
29.18 	subdivision 2;
29.19 	(3) the appropriation to make the payments required under section 473J.13, 
29.20 	subdivision 4, paragraph (c);
29.21 	(4) the appropriations under article 5, section 40, paragraph (a), for administration 
29.22 	and any successor appropriation;
29.23 	(5) the reduction in revenues resulting from the sales tax exemptions under section 
29.24 	297A.71, subdivisions 43 and 44; 
29.25 	(6) reimbursements authorized by section 473J.15, subdivision 2; and
29.26 	(7) payment of compulsive gambling appropriations under article 5, section 40, 
29.27 	paragraph (b), and any successor appropriation.
29.28 	(c) Available revenues, as determined under paragraph (b), are allocated:
29.29 	(1) .. percent to be used for appropriations under subdivision 9, paragraph (b); and
29.30 	(2) .. percent for payment of gambling tax rebates or gambling tax reductions under 
29.31 	chapter 297E.
29.32 	(d) The provisions of this subdivision apply only after the issuance of appropriation 
29.33 	bonds under subdivision 2.
29.34 		Subd. 9.Appropriation for debt service and other purposes. (a) The amount 
29.35 	needed to pay principal and interest on appropriation bonds issued under this section is 
29.36 	appropriated each year from the general fund to the commissioner, subject to repeal, 
30.1 	unallotment under section 16A.152, or cancellation otherwise pursuant to subdivision 6, 
30.2 	for deposit into the bond payment accounts established for such purpose in the special 
30.3 	appropriation stadium bond proceeds fund.
30.4 	(b) To the extent the commissioner determines revenues are available under the 
30.5 	provisions of subdivision 8, paragraph (b), for the fiscal year, the following amounts 
30.6 	are appropriated from the general fund:
30.7 	(1) to replenish the amount on deposit in any debt service reserve account established 
30.8 	with respect to the appropriation bonds to the debt service reserve requirement amount as 
30.9 	determined by order of the commissioner; and
30.10 	(2) to the extent not required under clause (1), for deposit to any general reserve 
30.11 	account established by order of the commissioner for application against any shortfall in 
30.12 	the amounts deposited to the general fund pursuant to article 4, section 1, subdivision 3, 
30.13 	paragraph (b), clauses (1), (2), (3), and (4).
30.14 		Subd. 10.Waiver of immunity. The waiver of immunity by the state provided for 
30.15 	by section 3.751, subdivision 1, shall be applicable to the appropriation bonds and any 
30.16 	ancillary contracts to which the commissioner is a party.

30.17 	Sec. 2. SUITES SURCHARGE.
 30.18 	A ten percent surcharge is imposed on the sale or rental of suites for NFL team 
30.19 	games and events at the stadium. The commissioner of revenue shall determine annually 
30.20 	the amount of the proceeds resulting from the surcharge each year and shall annually 
30.21 	remit that amount to pay for bond debt service, notwithstanding the requirements of 
30.22 	Minnesota Statutes, section 16A.965. The commissioner may charge a reasonable amount 
30.23 	necessary for the calculation, collection, and remittance of the surcharge proceeds. The 
30.24 	authority to impose the surcharge expires the day after all stadium bonds, including fees 
30.25 	and interest, have been paid.

30.26 	Sec. 3. APPROPRIATION.
 30.27 	(a) $6,000,000 plus an amount calculated in paragraph (c) is annually appropriated 
30.28 	from the general fund for fiscal years 2016 to 2021 to the commissioner of management 
30.29 	and budget for a grant to the Minnesota Sports Facilities Authority for the operating costs 
30.30 	of the stadium under Minnesota Statutes, chapter 473J.
30.31 	(b) $1,500,000 plus an amount calculated in paragraph (c) is annually appropriated 
30.32 	from the general fund for fiscal years 2016 to 2021 to the commissioner of management 
30.33 	and budget for a grant to the Minnesota Sports Facilities Authority for capital costs of the 
30.34 	stadium under Minnesota Statutes, chapter 473J.
31.1 	(c) The appropriations in paragraphs (a) and (b) are subject to an annual adjustment 
31.2 	specified in Minnesota Statutes, section 473J.03, subdivision 2.
31.3 	(d) If state appropriation bonds have not been issued under Minnesota Statutes, 
31.4 	section 16A.965, amounts not to exceed the increased revenues estimated by the 
31.5 	commissioner of management and budget under Minnesota Statutes, section 16A.965, 
31.6 	subdivision 8, paragraph (a), are appropriated to the commissioner of management and 
31.7 	budget to make grants to the Minnesota Sports Facilities Authority for stadium costs as 
31.8 	defined under Minnesota Statutes, section 473J.03, subdivision 10.

31.9 	ARTICLE 3
31.10 	CONFORMING CHANGES

31.11 	Section 1. Minnesota Statutes 2010, section 3.971, subdivision 6, is amended to read:
31.12 		Subd. 6.Financial audits. The legislative auditor shall audit the financial 
31.13 	statements of the state of Minnesota required by section 16A.50 and, as resources permit, 
31.14 	shall audit Minnesota State Colleges and Universities, the University of Minnesota, state 
31.15 	agencies, departments, boards, commissions, courts, and other state organizations subject 
31.16 	to audit by the legislative auditor, including the State Agricultural Society, Agricultural 
31.17 	Utilization Research Institute, Enterprise Minnesota, Inc., Minnesota Historical 
31.18 	Society, Labor Interpretive Center, Minnesota Partnership for Action Against Tobacco, 
31.19 	Metropolitan Sports Facilities Commission, Metropolitan Airports Commission, and 
31.20 	Metropolitan Mosquito Control District. Financial audits must be conducted according to 
31.21 	generally accepted government auditing standards. The legislative auditor shall see that 
31.22 	all provisions of law respecting the appropriate and economic use of public funds are 
31.23 	complied with and may, as part of a financial audit or separately, investigate allegations 
31.24 	of noncompliance.

31.25 	Sec. 2. Minnesota Statutes 2010, section 13.55, subdivision 1, is amended to read:
31.26 		Subdivision 1.Not public classification. The following data received, created, or 
31.27 	maintained by or for publicly owned and operated convention facilities, or civic center 
31.28 	authorities, or the Metropolitan Sports Facilities Commission are classified as nonpublic 
31.29 	data pursuant to section 13.02, subdivision 9; or private data on individuals pursuant 
31.30 	to section 13.02, subdivision 12:
31.31 	(a) a letter or other documentation from any person who makes inquiry to or who is 
31.32 	contacted by the facility regarding the availability of the facility for staging events;
31.33 	(b) identity of firms and corporations which contact the facility;
31.34 	(c) type of event which they wish to stage in the facility;
32.1 	(d) suggested terms of rentals; and
32.2 	(e) responses of authority staff to these inquiries.

32.3 	Sec. 3. Minnesota Statutes 2011 Supplement, section 340A.404, subdivision 1, is 
32.4 	amended to read:
32.5 		Subdivision 1.Cities. (a) A city may issue an on-sale intoxicating liquor license to 
32.6 	the following establishments located within its jurisdiction:
32.7 	(1) hotels;
32.8 	(2) restaurants;
32.9 	(3) bowling centers;
32.10 	(4) clubs or congressionally chartered veterans organizations with the approval of 
32.11 	the commissioner, provided that the organization has been in existence for at least three 
32.12 	years and liquor sales will only be to members and bona fide guests, except that a club 
32.13 	may permit the general public to participate in a wine tasting conducted at the club under 
32.14 	section 340A.419; and
32.15 	(5) sports facilities located on land owned by the Metropolitan Sports Commission; 
32.16 	and
32.17 	(6) exclusive liquor stores.
32.18 	(b) A city may issue an on-sale intoxicating liquor license, an on-sale wine license, 
32.19 	or an on-sale malt liquor license to a theater within the city, notwithstanding any law, local 
32.20 	ordinance, or charter provision. A license issued under this paragraph authorizes sales on 
32.21 	all days of the week to persons attending events at the theater.
32.22 	(c) A city may issue an on-sale intoxicating liquor license, an on-sale wine license, 
32.23 	or an on-sale malt liquor license to a convention center within the city, notwithstanding 
32.24 	any law, local ordinance, or charter provision. A license issued under this paragraph 
32.25 	authorizes sales on all days of the week to persons attending events at the convention 
32.26 	center. This paragraph does not apply to convention centers located in the seven-county 
32.27 	metropolitan area.
32.28 	(d) A city may issue an on-sale wine license and an on-sale malt liquor license to 
32.29 	a person who is the owner of a summer collegiate league baseball team, or to a person 
32.30 	holding a concessions or management contract with the owner, for beverage sales at a 
32.31 	ballpark or stadium located within the city for the purposes of summer collegiate league 
32.32 	baseball games at the ballpark or stadium, notwithstanding any law, local ordinance, or 
32.33 	charter provision. A license issued under this paragraph authorizes sales on all days of the 
32.34 	week to persons attending baseball games at the ballpark or stadium.

33.1 	Sec. 4. Minnesota Statutes 2010, section 352.01, subdivision 2a, is amended to read:
33.2 		Subd. 2a.Included employees. (a) "State employee" includes:
33.3 	(1) employees of the Minnesota Historical Society;
33.4 	(2) employees of the State Horticultural Society;
33.5 	(3) employees of the Minnesota Crop Improvement Association;
33.6 	(4) employees of the adjutant general whose salaries are paid from federal funds and 
33.7 	who are not covered by any federal civilian employees retirement system;
33.8 	(5) employees of the Minnesota State Colleges and Universities who are employed 
33.9 	under the university or college activities program;
33.10 	(6) currently contributing employees covered by the system who are temporarily 
33.11 	employed by the legislature during a legislative session or any currently contributing 
33.12 	employee employed for any special service as defined in subdivision 2b, clause (8);
33.13 	(7) employees of the legislature who are appointed without a limit on the duration 
33.14 	of their employment and persons employed or designated by the legislature or by a 
33.15 	legislative committee or commission or other competent authority to conduct a special 
33.16 	inquiry, investigation, examination, or installation;
33.17 	(8) trainees who are employed on a full-time established training program 
33.18 	performing the duties of the classified position for which they will be eligible to receive 
33.19 	immediate appointment at the completion of the training period;
33.20 	(9) employees of the Minnesota Safety Council;
33.21 	(10) any employees who are on authorized leave of absence from the Transit 
33.22 	Operating Division of the former Metropolitan Transit Commission and who are employed 
33.23 	by the labor organization which is the exclusive bargaining agent representing employees 
33.24 	of the Transit Operating Division;
33.25 	(11) employees of the Metropolitan Council, Metropolitan Parks and Open Space 
33.26 	Commission, Metropolitan Sports Facilities Commission, or Metropolitan Mosquito 
33.27 	Control Commission unless excluded under subdivision 2b or are covered by another 
33.28 	public pension fund or plan under section 473.415, subdivision 3;
33.29 	(12) judges of the Tax Court;
33.30 	(13) personnel who were employed on June 30, 1992, by the University of 
33.31 	Minnesota in the management, operation, or maintenance of its heating plant facilities, 
33.32 	whose employment transfers to an employer assuming operation of the heating plant 
33.33 	facilities, so long as the person is employed at the University of Minnesota heating plant 
33.34 	by that employer or by its successor organization;
33.35 	(14) personnel who are employed as seasonal employees in the classified or 
33.36 	unclassified service;
34.1 	(15) persons who are employed by the Department of Commerce as a peace officer 
34.2 	in the Insurance Fraud Prevention Division under section 45.0135 who have attained the 
34.3 	mandatory retirement age specified in section 43A.34, subdivision 4;
34.4 	(16) employees of the University of Minnesota unless excluded under subdivision 
34.5 	2b, clause (3);
34.6 	(17) employees of the Middle Management Association whose employment began 
34.7 	after July 1, 2007, and to whom section 352.029 does not apply; and
34.8 	(18) employees of the Minnesota Government Engineers Council to whom section 
34.9 	352.029 does not apply.
34.10 	(b) Employees specified in paragraph (a), clause (13), are included employees under 
34.11 	paragraph (a) if employer and employee contributions are made in a timely manner in the 
34.12 	amounts required by section 352.04. Employee contributions must be deducted from 
34.13 	salary. Employer contributions are the sole obligation of the employer assuming operation 
34.14 	of the University of Minnesota heating plant facilities or any successor organizations to 
34.15 	that employer.

34.16 	Sec. 5. Minnesota Statutes 2010, section 473.121, subdivision 5a, is amended to read:
34.17 		Subd. 5a.Metropolitan agency. "Metropolitan agency" means the Metropolitan 
34.18 	Parks and Open Space Commission, and the Metropolitan Airports Commission, and 
34.19 	Metropolitan Sports Facilities Commission.

34.20 	Sec. 6. Minnesota Statutes 2010, section 473.164, is amended to read:
34.21 	473.164 SPORTS, AIRPORT COMMISSIONS TO PAY COUNCIL COSTS.
34.22 		Subdivision 1.Annually reimburse. The Metropolitan Sports Facilities 
34.23 	Commission and the Metropolitan Airports Commission shall annually reimburse the 
34.24 	council for costs incurred by the council in the discharge of its responsibilities relating to 
34.25 	the commission. The costs may be charged against any revenue sources of the commission 
34.26 	as determined by the commission.
34.27 		Subd. 2.Estimates, budget, transfer. On or before May 1 of each year, the council 
34.28 	shall transmit to each the commission an estimate of the costs which the council will 
34.29 	incur in the discharge of its responsibilities related to the commission in the next budget 
34.30 	year including, without limitation, costs in connection with the preparation, review, 
34.31 	implementation and defense of plans, programs and budgets of the commission. Each The
34.32 	commission shall include the estimates in its budget for the next budget year and may 
34.33 	transmit its comments concerning the estimated amount to the council during the budget 
34.34 	review process. Prior to December 15 of each year, the amount budgeted by each the
35.1 	commission for the next budget year may be changed following approval by the council. 
35.2 	During each budget year, the commission shall transfer budgeted funds to the council in 
35.3 	advance when requested by the council.
35.4 		Subd. 3.Final statement. At the conclusion of each budget year, the council, in 
35.5 	cooperation with each the commission, shall adopt a final statement of costs incurred by the 
35.6 	council for each the commission. Where costs incurred in the budget year have exceeded 
35.7 	the amount budgeted, each the commission shall transfer to the council the additional 
35.8 	moneys needed to pay the amount of the costs in excess of the amount budgeted, and shall 
35.9 	include a sum in its next budget. Any excess of budgeted costs over actual costs may be 
35.10 	retained by the council and applied to the payment of budgeted costs in the next year.

35.11 	Sec. 7. Minnesota Statutes 2010, section 473.565, subdivision 1, is amended to read:
35.12 		Subdivision 1.In MSRS; exceptions. All employees of the former commission 
35.13 	shall be members of the Minnesota State Retirement System with respect to service 
35.14 	rendered on or after May 17, 1977, except as provided in this section.

35.15 	Sec. 8.  REPEALER.
 35.16 	Minnesota Statutes 2010, sections 473.551; 473.552; 473.553, subdivisions 1, 2, 3, 
35.17 	4, 5, 6, 7, 8, 9, 10, 11, 12, and 13; 473.556, subdivisions 1, 2, 3, 4, 5, 6, 7, 8, 9, 10, 11, 12, 
35.18 	13, 14, 16, and 17; 473.561; 473.564, subdivisions 2 and 3; 473.572; 473.581; 473.592, 
35.19 	subdivision 1; 473.595; 473.598; 473.599; and 473.76, are repealed.

35.20 	Sec. 9. REVISOR INSTRUCTION.
 35.21 	The revisor of statutes shall prepare a technical clean up bill for introduction in 
35.22 	the 2013 legislative session with cross-reference or other changes necessary for the 
35.23 	implementation of this act. The revisor may consult with legislative staff and staff of the 
35.24 	Minnesota Sports Facilities Authority in drafting this legislation.

35.25 	Sec. 10. EFFECTIVE DATE.
 35.26 	This article is effective June 30, 2016.

35.27 	ARTICLE 4
35.28 	MINNEAPOLIS CONVENTION CENTER

35.29 	Section 1. Laws 1986, chapter 396, section 4, as amended by Laws 1987, chapter 55, 
35.30 	sections 5 and 6, and Laws 2009, chapter 88, article 4, sections 11 and 12, is amended to 
35.31 	read:
36.1 	Sec. 4. SALES AND USE TAX.
 36.2 		Subdivision 1.Imposition. Notwithstanding Minnesota Statutes, section 477A.016, 
36.3 	or any other contrary provision of law, ordinance, or city charter, upon approval by 
36.4 	the city's board of estimate and taxation by a vote of at least five members, the city of 
36.5 	Minneapolis may by ordinance impose an additional sales tax of up to one-half of one 
36.6 	percent on sales taxable pursuant to Minnesota Statutes, chapter 297A that occur within 
36.7 	the city, and may also by ordinance impose an additional compensating use tax of up to 
36.8 	one-half of one percent on uses of property within the city, the sale of which would be 
36.9 	subject to the additional sales tax but for the fact such property was sold outside the city. 
36.10 	The tax may not be imposed on gross receipts from sales of intoxicating liquor that are 
36.11 	exempt from taxation under sections 297A.25 to 297A.257 or other any provision of 
36.12 	chapter 297A exempting sales of intoxicating liquor and use from taxation, including 
36.13 	amendments adopted after enactment of this act.
36.14 	For purposes of this subdivision, sales that occur within the city shall not include (a) 
36.15 	the sale of tangible personal property (i) which, without intermediate use, is shipped or 
36.16 	transported outside Minneapolis by the purchaser and thereafter used in a trade or business 
36.17 	or is stored, processed, fabricated or manufactured into, attached to or incorporated into 
36.18 	other tangible personal property transported or shipped outside Minneapolis and thereafter 
36.19 	used in a trade or business outside Minneapolis, and which is not thereafter returned to a 
36.20 	point within Minneapolis, except in the course of interstate or intrastate commerce (storage 
36.21 	shall not constitute intermediate use); or (ii) which the seller delivers to a common carrier 
36.22 	for delivery outside Minneapolis, places in the United States mail or parcel post directed 
36.23 	to the purchaser outside Minneapolis, or delivers to the purchaser outside Minneapolis by 
36.24 	means of the seller's own delivery vehicles, and which is not thereafter returned to a point 
36.25 	within Minneapolis, except in the course of interstate or intrastate commerce; or (b) sales 
36.26 	which would be described in clause (e) or (u) of Minnesota Statutes, section 297A.25, 
36.27 	subdivision 1 297A.68, subdivision 11 or 16, if the word "Minneapolis" were substituted 
36.28 	for the words "Minnesota" or "state of Minnesota" in such clauses subdivisions. A tax 
36.29 	may be imposed under this section only if the taxes imposed under section 5 are imposed 
36.30 	at the maximum rate allowed under that section. The tax authorized by this section 
36.31 	shall be imposed, December 31, 2046. The tax may be imposed and may be adjusted 
36.32 	periodically by the city council in conformity with Minnesota Statutes, section 297A.99, 
36.33 	subdivision 12, such that the rate imposed, rounded to the next highest one-tenth of one 
36.34 	percent, does not exceed the rate estimated to be required to produceproduces revenue 
36.35 	sufficient to finance the costs purposes described in subdivision 3, but in no case may 
36.36 	the rate exceed one-half of one percent.
37.1 		Subd. 2.Enforcement; collection. (a) Except as provided in paragraph (b), 
37.2 	these taxes shall be subject to the same interest penalties and other rules imposed 
37.3 	under Minnesota Statutes, chapter 297A. The commissioner of revenue may enter into 
37.4 	appropriate agreements with the city to provide for collection of these taxes by the state 
37.5 	on behalf of the city. The commissioner may charge the city a reasonable fee for its 
37.6 	collection from the proceeds of any taxes, as provided in Minnesota Statutes, section 
37.7 	297A.99, subdivision 9.
37.8 	(b) A taxpayer located outside of the city of Minneapolis who collects use tax under 
37.9 	this section in an amount that does not exceed $10 in a reporting period is not required to 
37.10 	remit that tax until the amount of use tax collected is $10.
37.11 		Subd. 3.Use of property. (a) From the revenues collected by the commissioner 
37.12 	of revenue from the taxes levied under subdivision 1 or section 5, the commissioner of 
37.13 	revenue shall apply the tax proceeds as follows, notwithstanding the limitations provided 
37.14 	in Minnesota Statutes, section 297A.99, subdivision 11, on the use of proceeds:
37.15 	(1) the commissioner must deduct the costs of collecting and administering the 
37.16 	taxes, according to the applicable state laws and agreements between the commissioner 
37.17 	of revenue and the city. For the taxes imposed under subdivision 1, the commissioner 
37.18 	of revenue must deduct a proportionate share of the cost of collection as described in 
37.19 	Minnesota Statutes, section 297A.99, subdivision 11;
37.20 	(2) after deducting the costs in clause (1), the commissioner of revenue must deduct 
37.21 	refunds of any of these taxes due to taxpayers, if any;
37.22 	(3) after making the deductions provided in clause (2), notwithstanding the 
37.23 	provisions of any agreement between the commissioner of revenue and the city providing 
37.24 	for collection and remittance of these taxes, the commissioner of revenue must deposit to 
37.25 	the general fund the amounts specified in paragraph (b); and
37.26 	(4) after depositing to the general fund under clause (3) as specified in paragraph (b), 
37.27 	the commissioner of revenue must remit the remainder to the city for the uses specified in 
37.28 	paragraph (c).
37.29 	(b) The commissioner of revenue must deposit to the general fund the following 
37.30 	amounts, as required by paragraph (a), clause (3):
37.31 	(1) for state bond debt service support beginning in calendar year 2021, and for each 
37.32 	calendar year thereafter through calendar year 2046, proportionate amounts periodically 
37.33 	so that not later than December 31, 2046, an aggregate annual amount equal to a present 
37.34 	value of $150,000,000 shall have been deposited in the general fund. To determine 
37.35 	aggregate present value, the commissioner of revenue must consult with the commissioner 
37.36 	of management and budget regarding the present value dates, discount rate or rates, and 
38.1 	schedules of annual amounts. The present value date or dates must be based on the date 
38.2 	or dates bonds are sold under Minnesota Statutes, section 16A.965, or the date or dates 
38.3 	other state funds, if any, are deposited into the construction fund. The discount rate or 
38.4 	rates must be based on the all in true interest cost of the bonds issued under Minnesota 
38.5 	Statutes, section 16A.965, or equivalent 30-year bond index, as determined by the 
38.6 	commissioner of management and budget. The schedule of annual amounts must be 
38.7 	certified to the commissioner of revenue by the commissioner of management and budget 
38.8 	and the finance officer of the city;
38.9 	(2) for the capital improvement reserve appropriation to stadium authority beginning 
38.10 	in calendar year 2021, and for each calendar year thereafter through calendar year 2046, 
38.11 	so that not later than January 1, 2022, and as of January 1 of each following year, an 
38.12 	aggregate annual amount equal to the amount paid by the state for calendar year 2021, 
38.13 	under Minnesota Statutes, section 473J.13, subdivision 4, increased each year by an 
38.14 	annual adjustment factor shall have been deposited in the general fund;
38.15 	(3) for the operating expense appropriation to stadium authority beginning in 
38.16 	calendar year 2021, and for each calendar year thereafter through calendar year 2046, 
38.17 	so that not later than January 1, 2022, and as of January 1 of each following year, an 
38.18 	aggregate annual amount equal to the amount paid by the state for calendar year 2021 
38.19 	under Minnesota Statutes, section 473J.13, subdivision 2, increased each year by an 
38.20 	annual adjustment factor shall have been deposited in the general fund;
38.21 	(4) for recapture of state advances for capital improvements and operating expenses 
38.22 	for calendar years 2016 through 2020 beginning in calendar year 2021, and for each 
38.23 	calendar year thereafter until all amounts under this clause have been paid, proportionate 
38.24 	amounts periodically shall be deposited to the general fund so that an aggregate amount 
38.25 	equal to the present value of all amounts granted to the authority under article 2, section 2, 
38.26 	paragraphs (a) and (b), shall have been deposited in the general fund. To determine the 
38.27 	present value of the amounts granted to the authority and the present value of amounts 
38.28 	deposited to the general fund under this clause, the commissioner of revenue shall consult 
38.29 	with the commissioner of management and budget regarding the present value dates, 
38.30 	discount rate or rates, and schedule of annual amounts. The present value dates shall be 
38.31 	based on the dates state funds are paid to the authority, or the dates the commissioner 
38.32 	of revenue deposits taxes for purposes of this clause to the general fund. The discount 
38.33 	rates must be based on the reasonably equivalent cost of state funds as determined by the 
38.34 	commissioner of management and budget. The schedule of annual amounts must be 
38.35 	revised to reflect amounts paid under article 2, section 2, paragraphs (a) and (b), and taxes 
38.36 	deposited to the general fund from time to time under this clause, and the schedule and 
39.1 	revised schedules must be certified to the commissioner of revenue by the commissioner 
39.2 	of management and budget and the finance officer of the city; and
39.3 	(5) to capture increases in taxes imposed under subdivision 1 and section 5, for the 
39.4 	benefit of the stadium authority, beginning in calendar year 2013 and for each calendar 
39.5 	year thereafter through 2046, there shall be deposited to the general fund by February 15 
39.6 	of each following year, amounts calculated by the commissioner of revenue under this 
39.7 	clause. For each year, the commissioner of revenue shall determine the excess, if any, 
39.8 	of these taxes received by the commissioner of revenue over the benchmark scheduled 
39.9 	amounts of these taxes, as described in this section. The benchmark scheduled amounts 
39.10 	for each year shall be based on the actual amount of these taxes for calendar year 2011 
39.11 	inflated for each subsequent year at an annual rate of two percent, according to a schedule 
39.12 	certified to the commissioner of revenue by the commissioner of management and budget 
39.13 	and the finance officer of the city. The amounts to be deposited to the general fund by the 
39.14 	commissioner of revenue for each year shall be:
39.15 	(i) zero for the amount of these taxes for the year up to a scheduled benchmark of 
39.16 	$1,000,000, inflated at two percent per year, in excess of the taxes for calendar year 2011;
39.17 	(ii) 50 percent times the difference, if any, by which the amount of these taxes for 
39.18 	the year exceeds the scheduled benchmark in clause (i), as inflated, but not greater than 
39.19 	a scheduled benchmark of $3,000,000, inflated at two percent per year, in excess of the 
39.20 	taxes for calendar year 2011; and
39.21 	(iii) 25 percent times the difference, if any, by which the amount of these taxes for 
39.22 	the year exceeds the scheduled benchmark of $3,000,000, inflated at two percent per year, 
39.23 	in excess of the taxes for calendar year 2011.
39.24 	(c) The annual adjustment factor for purposes of this section and section .. for any 
39.25 	year shall be equal to the increase, if any, in the amount of these taxes received by the 
39.26 	commissioner of revenue in the preceding year over the amount received in the year prior 
39.27 	to the preceding year, expressed as a percentage of the amount received in the year prior to 
39.28 	the preceding year; provided, that the adjustment factor for any year shall not be less than 
39.29 	zero percent nor more than five percent.
39.30 	(d) After application of taxes collected by the commissioner of revenue as provided 
39.31 	in paragraphs (a), clauses (1) to (3); and (b), revenues received from the tax may only 
39.32 	be used:
39.33 	(1) to pay costs of collection;
39.34 	(2) (1) to pay or secure the payment of any principal of, premium or interest on 
39.35 	bonds issued in accordance with this act;
40.1 	(3) (2) to pay costs to acquire, design, equip, construct, improve, maintain, operate, 
40.2 	administer, or promote the convention center or related facilities, including financing 
40.3 	costs related to them;
40.4 	(4) (3) to pay reasonable and appropriate costs determined by the city to replace 
40.5 	housing and the ice arena removed from the site; and
40.6 	(5) (4) to maintain reserves for the foregoing purposes deemed reasonable and 
40.7 	appropriate by the city; and
40.8 	(6) to fund projects under subdivision 4.
40.9 	Money for replacement housing shall be made available by the city only for new 
40.10 	construction, conversion of nonresidential buildings, and for rehabilitation of vacant 
40.11 	residential structures, only if all of the units in the newly constructed building, converted 
40.12 	nonresidential building, or rehabilitated residential structure are to be used for replacement 
40.13 	housing.
40.14 		Subd. 4.Minneapolis downtown and neighborhood projects. (a) For revenues 
40.15 	collected in calendar years 2009 and 2010, to the extent that revenues from the tax 
40.16 	authorized in subdivision 1 exceeds the amount needed to fund the purposes in subdivision 
40.17 	3, the city may use the excess revenue to fund any city services. The total amount used in 
40.18 	both years for this purpose may not exceed the total amount of aid and credit reductions 
40.19 	under Minnesota Statutes, sections 273.1384 and 477A.011 to 477A.014 in calendar years 
40.20 	2008, 2009, and 2010 due to a governor's unallotment or due to statutory reductions.
40.21 	(b) Beginning with revenues collected in calendar year 2011, to the extent that 
40.22 	revenues from the tax authorized in subdivision 1 exceeds the amount needed to fund the 
40.23 	purposes in subdivision 3,  the city may use the excess revenue in any year to fund capital 
40.24 	projects to further residential, cultural, commercial, and economic development in both 
40.25 	downtown Minneapolis and the Minneapolis neighborhoods.

40.26 	Sec. 2. Laws 1986, chapter 396, section 5, as amended by Laws 2001, First Special 
40.27 	Session chapter 5, article 12, section 87, is amended to read:
40.28 	Sec. 5. LIQUOR, LODGING, AND RESTAURANT TAXES.
 40.29 	The city may, by resolution, levy in addition to taxes authorized by other law:
40.30 	(1) a sales tax of not more than three percent on the gross receipts on retail on-sales 
40.31 	of intoxicating liquor and fermented malt beverages described in section 473.592
40.32 	occurring in the when sold at licensed on-sale liquor establishments and municipal liquor 
40.33 	stores located within the downtown taxing area, provided that this tax may not be imposed 
40.34 	if sales of intoxicating liquor and fermented malt beverages are exempt from taxation 
40.35 	under chapter 297A;
41.1 	(2) a sales tax of not more than three percent on the gross receipts from the furnishing 
41.2 	for consideration of lodging described in section 473.592 for a period of less than 30 days 
41.3 	at a hotel, motel, rooming house, tourist court, or trailer camp located within the city by a 
41.4 	hotel or motel which has more than 50 rooms available for lodging; the tax imposed under 
41.5 	this clause shall be at a rate that, when added to the sum of the rate of the sales tax imposed 
41.6 	under Minnesota Statutes, chapter 297A, the rate of the sales tax imposed under section 4, 
41.7 	and the rate of any other taxes on lodging in the city of Minneapolis, equals 13 percent; and
41.8 	(3) a sales tax of not more than three percent on the gross receipts on all sales of food 
41.9 	primarily for consumption on or off the premises by restaurants and places of refreshment 
41.10 	as defined by resolution of the city that occur within the downtown taxing area.
41.11 	The taxes authorized by this section shall be imposed until January 1, 2047. The taxes 
41.12 	shall be imposed and may be adjusted periodically by the city council such that the rates 
41.13 	imposed produce revenue sufficient, together with the tax imposed under section 4, to 
41.14 	finance the purposes described in section 4, subdivision 3. These taxes shall be applied, 
41.15 	first, as provided in section 4, subdivision 3, paragraph (a), clauses (1) to (3), and then,
41.16 	solely to pay costs of collection and to pay or, secure, maintain, and fund the payment 
41.17 	of any principal of, premium on, and interest on any bonds or any costs referred to other 
41.18 	purposes in section 4, subdivision 3, paragraph (c). The commissioner of revenue may 
41.19 	enter into appropriate agreements with the city to provide for the collection of these taxes 
41.20 	by the state on behalf of the city. The commissioner may charge the city a reasonable 
41.21 	fee for its collection from the proceeds of any taxes. These taxes shall be subject to the 
41.22 	same interest penalties and enforcement provisions as the taxes imposed under section 
41.23 	473.592 chapter 297A.

41.24 	Sec. 3. EFFECTIVE DATE; LOCAL APPROVAL.
 41.25 	This article is effective the day after the governing body of the City of Minneapolis 
41.26 	and its chief clerical officer comply with Minnesota Statutes, section 645.021, subdivisions 
41.27 	2 and 3. Notwithstanding any law to the contrary, the city of Minneapolis and its chief 
41.28 	clerical officer have 30 calendar days following final enactment of this act, to comply with 
41.29 	Minnesota Statutes, section 645.021, subdivisions 2 and 3.

41.30 	Sec. 4. SEVERABILITY; SAVINGS.
 41.31 	If any part of this article is found to be invalid because it is in conflict with a 
41.32 	provision of the Minnesota Constitution or for any other reason, all other provisions of 
41.33 	this article shall remain valid and any rights, remedies, and privileges that have been 
42.1 	otherwise accrued by this article, shall remain in effect and may be proceeded with and 
42.2 	concluded under the provisions of this article.

42.3 	ARTICLE 5
42.4 	LAWFUL GAMBLING

42.5 	Section 1. Minnesota Statutes 2010, section 349.12, subdivision 3b, is amended to read:
42.6 		Subd. 3b.Bar operation. "Bar operation" means a method of selling and redeeming 
42.7 	disposable gambling equipment by an employee of the lessor within a leased premises 
42.8 	which is licensed for the on-sale of alcoholic beverages where such sales and redemptions 
42.9 	are made by an employee of the lessor from a common area where food and beverages 
42.10 	are also sold.

42.11 	Sec. 2. Minnesota Statutes 2010, section 349.12, subdivision 3c, is amended to read:
42.12 		Subd. 3c.Bar bingo. "Bar bingo" is a bingo occasion conducted at a permitted 
42.13 	premises in an area where intoxicating liquor or 3.2 percent malt beverages are sold and 
42.14 	where the licensed organization conducts another form of lawful gambling. Bar bingo 
42.15 	does not include bingo games linked to other permitted premises.

42.16 	Sec. 3. Minnesota Statutes 2010, section 349.12, subdivision 5, is amended to read:
42.17 		Subd. 5.Bingo occasion. "Bingo occasion" means a single gathering or session at 
42.18 	which a series of one or more successive bingo games is played. There is no limit on the 
42.19 	number of games conducted during a bingo occasion but. A bingo occasion must not last 
42.20 	longer than eight consecutive hours., except that linked bingo games played on electronic 
42.21 	bingo devices may be played during regular business hours of the permitted premises and 
42.22 	all play during this period is considered a bingo occasion for reporting purposes. For 
42.23 	permitted premises where the primary business is bingo, regular business hours shall be 
42.24 	defined as the hours between 8:00 a.m. and 2:00 a.m.

42.25 	Sec. 4. Minnesota Statutes 2010, section 349.12, subdivision 6a, is amended to read:
42.26 		Subd. 6a.Booth operation. "Booth operation" means a method of selling and 
42.27 	redeeming disposable gambling equipment by an employee of a licensed organization in 
42.28 	a premises the organization leases or owns where such sales and redemptions are made 
42.29 	within a separate enclosure that is distinct from areas where food and beverages are sold.

42.30 	Sec. 5. Minnesota Statutes 2010, section 349.12, subdivision 12a, is amended to read:
43.1 		Subd. 12a.Electronic bingo device. "Electronic bingo device" means an a 
43.2 	handheld and portable electronic device that:
43.3 	(1) is used by a bingo player to:
43.4 	(i) monitor bingo paper sheets or a facsimile of a bingo paper sheet when purchased 
43.5 	and played at the time and place of an organization's bingo occasion and which (1) 
43.6 	provides a means for bingo players to, or to play an electronic bingo game that is linked 
43.7 	with other permitted premises;
43.8 	(ii) activate numbers announced by a bingo caller; (2) compares or displayed, and 
43.9 	to compare the numbers entered by the player to the bingo faces previously stored in 
43.10 	the memory of the device; and 
43.11 	(3) identifies (iii) identify a winning bingo pattern. or game requirement; and
43.12 	(iv) play against other bingo players;
43.13 	(2) limits the play of bingo faces to 36 faces per game;
43.14 	(3) requires coded entry to activate play but does not allow the use of a coin, 
43.15 	currency, or tokens to be inserted to activate play;
43.16 	(4) may only be used for play against other bingo players in a bingo game;
43.17 	(5) has no additional function as an amusement or gambling device;
43.18 	(6) has the capability to ensure adequate levels of security and internal controls; and
43.19 	(7) has the capability to permit the board to electronically monitor the operation of 
43.20 	the device and the internal accounting systems.
43.21 	Electronic bingo device does not mean any device into which coin, currency, or tokens are 
43.22 	inserted to activate play.

43.23 	Sec. 6. Minnesota Statutes 2010, section 349.12, is amended by adding a subdivision 
43.24 	to read:
43.25 		Subd. 12b.Electronic pull-tab device. "Electronic pull-tab device" means a 
43.26 	handheld and portable electronic device that:
43.27 	(1) is used to play one or more electronic pull-tab games;
43.28 	(2) requires coded entry to activate play but does not allow the use of coin, currency, 
43.29 	or tokens to be inserted to activate play;
43.30 	(3) allows a player the option to activate the opening of:
43.31 	(i) all tabs of a ticket at the same time; or 
43.32 	(ii) each tab of a ticket separately;
43.33 	(4) records and maintains information pertaining to accumulated win credits that 
43.34 	may be applied to games in play or redeemed upon termination of play;
43.35 	(5) has no spinning symbols or other representations that mimic a video slot machine;
44.1 	(6) has no additional function as a gambling device;
44.2 	(7) may incorporate an amusement game feature as part of the pull-tab game but 
44.3 	may not require additional consideration for that feature or contain or award any points, 
44.4 	prizes, or other benefit for that feature;
44.5 	(8) may have auditory or visual enhancements to promote or provide information 
44.6 	about the game being played, provided the component does not affect the outcome of 
44.7 	a game or display the results of a game;
44.8 	(9) maintains, on nonresettable meters, a printable, permanent record of all 
44.9 	transactions involving each device and electronic pull-tab games played on the device; and
44.10 	(10) is not a pull-tab dispensing device as defined under subdivision 32a.

44.11 	Sec. 7. Minnesota Statutes 2010, section 349.12, is amended by adding a subdivision 
44.12 	to read:
44.13 		Subd. 12c.Electronic pull-tab game. "Electronic pull-tab game" means a pull-tab 
44.14 	game containing:
44.15 	(1) facsimiles of pull-tab tickets that are played on an electronic pull-tab device;
44.16 	(2) a predetermined finite number of winning and losing tickets;
44.17 	(3) the same price for each ticket in the game;
44.18 	(4) a price paid by the player of not less than 25 cents per ticket;
44.19 	(5) tickets that are in conformance with applicable board rules for pull-tabs;
44.20 	(6) winning tickets that comply with prize limits under section 349.211;
44.21 	(7) a unique serial number that may not be regenerated;
44.22 	(8) an electronic flare that displays the game name, form number, predetermined 
44.23 	finite number of tickets in the game, and prize tier; and
44.24 	(9) no spinning symbols or other representations that mimic a video slot machine.

44.25 	Sec. 8. Minnesota Statutes 2010, section 349.12, is amended by adding a subdivision 
44.26 	to read:
44.27 		Subd. 12d.Electronic pull-tab game system. "Electronic pull-tab game system" 
44.28 	means the equipment leased from a licensed distributor and used by a licensed organization 
44.29 	to conduct, manage, and record electronic pull-tab games, and to report and transmit the 
44.30 	game results as prescribed by the board and the Department of Revenue. The system must 
44.31 	provide security and access levels sufficient so that internal control objectives are met as 
44.32 	prescribed by the board. The system must contain a point of sale station.

44.33 	Sec. 9. Minnesota Statutes 2010, section 349.12, subdivision 18, is amended to read:
45.1 		Subd. 18.Gambling equipment. "Gambling equipment" means: gambling 
45.2 	equipment that is either disposable or permanent gambling equipment. 
45.3 	(a) Disposable gambling equipment includes the following:
45.4 	(1) bingo hard cards or paper sheets, including linked bingo paper sheets, devices for 
45.5 	selecting bingo numbers, electronic bingo devices,;
45.6 	(2) paper and electronic pull-tabs,;
45.7 	(3) jar tickets, paddle wheels, paddle wheel tables,;
45.8 	(4) paddle tickets, and paddle ticket cards,;
45.9 	(5) tipboards, and tipboard tickets,;and
45.10 	(6) promotional tickets that mimic a pull-tab or tipboard, pull-tab dispensing devices, 
45.11 	and programmable electronic devices that have no effect on the outcome of a game and 
45.12 	are used to provide a visual or auditory enhancement of a game.
45.13 	(b) Permanent gambling equipment includes the following:
45.14 	(1) devices for selecting bingo numbers;
45.15 	(2) electronic bingo devices;
45.16 	(3) electronic pull-tab devices;
45.17 	(4) pull-tab dispensing devices;
45.18 	(5) programmable electronic devices that have no effect on the outcome of a game 
45.19 	and are used to provide a visual or auditory enhancement of a game;
45.20 	(6) paddle wheels; and
45.21 	(7) paddle wheel tables.

45.22 	Sec. 10. Minnesota Statutes 2010, section 349.12, subdivision 25b, is amended to read:
45.23 		Subd. 25b.Linked bingo game provider. "Linked bingo game provider" means 
45.24 	any person who provides the means to link bingo prizes in a linked bingo game, who 
45.25 	provides linked bingo paper sheets to the participating organizations games, who provides 
45.26 	linked bingo prize management, and who provides the linked bingo game system.

45.27 	Sec. 11. Minnesota Statutes 2010, section 349.12, subdivision 25c, is amended to read:
45.28 		Subd. 25c.Linked bingo game system. "Linked bingo game system" means the 
45.29 	equipment used by the linked bingo provider to conduct, transmit, and track a linked 
45.30 	bingo game. The system must be approved by the board before its use in this state and 
45.31 	it must have dial-up or other the capability to permit the board to electronically monitor 
45.32 	its operation remotely. For linked electronic bingo games, the system includes electronic 
45.33 	bingo devices.

46.1 	Sec. 12. Minnesota Statutes 2010, section 349.12, subdivision 25d, is amended to read:
46.2 		Subd. 25d.Linked bingo prize pool. "Linked bingo prize pool" means the total 
46.3 	of all prize money that each participating organization has contributed to a linked bingo 
46.4 	game prize and includes any portion of the prize pool that is carried over from one 
46.5 	occasion game to another in a progressive linked bingo game.

46.6 	Sec. 13. Minnesota Statutes 2010, section 349.12, subdivision 29, is amended to read:
46.7 		Subd. 29.Paddle wheel. "Paddle wheel" means a vertical wheel marked off into 
46.8 	sections containing one or more numbers, and which, after being turned or spun, uses a 
46.9 	pointer or marker to indicate winning chances, and may only be used to determine a 
46.10 	winning number or numbers matching a winning paddle ticket purchased by a player. A 
46.11 	paddle wheel may be an electronic device that simulates a paddle wheel.

46.12 	Sec. 14. Minnesota Statutes 2010, section 349.12, subdivision 31, is amended to read:
46.13 		Subd. 31.Promotional ticket. A paper pull-tab ticket or paper tipboard ticket 
46.14 	created and printed by a licensed manufacturer with the words "no purchase necessary" and 
46.15 	"for promotional use only" and for which no consideration is given is a promotional ticket.

46.16 	Sec. 15. Minnesota Statutes 2010, section 349.12, subdivision 32, is amended to read:
46.17 		Subd. 32.Pull-tab. "Pull-tab" means a single folded or banded paper ticket or a,
46.18 	multi-ply card with perforated break-open tabs, or a facsimile of a paper pull-tab ticket 
46.19 	used in conjunction with an electronic pull-tab device, the face of which is initially 
46.20 	covered to conceal one or more numbers or symbols, and where one or more of each set of 
46.21 	tickets or, cards, or facsimiles has been designated in advance as a winner.

46.22 	Sec. 16. Minnesota Statutes 2010, section 349.13, is amended to read:
46.23 	349.13 LAWFUL GAMBLING.
46.24 	Lawful gambling is not a lottery or gambling within the meaning of sections 609.75
46.25 	to 609.76 if it is conducted under this chapter. A pull-tab dispensing device, electronic 
46.26 	bingo device, and electronic pull-tab device permitted under this chapter and by board 
46.27 	rule is not a gambling device within the meaning of sections 609.75 to 609.76 and chapter 
46.28 	299L. An electronic game device allowed under this chapter may not be a slot machine. 
46.29 	Electronic game devices, including, but not limited to, electronic bingo devices, electronic 
46.30 	paddle wheels, and electronic pull-tab devices authorized under this chapter, may only 
46.31 	be used in the conduct of lawful gambling permitted under this chapter and board rule 
47.1 	and may not display or simulate any other form of gambling or entertainment, except 
47.2 	as otherwise allowed under this chapter. 

47.3 	Sec. 17. Minnesota Statutes 2010, section 349.151, subdivision 4b, is amended to read:
47.4 		Subd. 4b.Pull-tab sales from dispensing devices. (a) The board may by rule 
47.5 	authorize but not require the use of pull-tab dispensing devices.
47.6 	(b) Rules adopted under paragraph (a):
47.7 	(1) must limit the number of pull-tab dispensing devices on any permitted premises 
47.8 	to three; and
47.9 	(2) must limit the use of pull-tab dispensing devices to a permitted premises which is 
47.10 	(i) a licensed premises for on-sales of intoxicating liquor or 3.2 percent malt beverages; 
47.11 	or (ii) a premises where bingo is conducted and admission is restricted to persons 18 
47.12 	years or older.
47.13 	(c) Notwithstanding rules adopted under paragraph (b), pull-tab dispensing devices 
47.14 	may be used in establishments licensed for the off-sale of intoxicating liquor, other than 
47.15 	drugstores and general food stores licensed under section 340A.405, subdivision 1.

47.16 	Sec. 18. Minnesota Statutes 2010, section 349.151, subdivision 4c, is amended to read:
47.17 		Subd. 4c.Electronic bingo devices. (a) The board may by rule authorize but not 
47.18 	require the use of electronic bingo devices.
47.19 	(b) Rules adopted under paragraph (a):
47.20 	(1) must limit the number of bingo faces that can be played using an electronic 
47.21 	bingo device to 36;
47.22 	(2) must require that an electronic bingo device be used with corresponding bingo 
47.23 	paper sheets or a facsimile, printed at the point of sale, as approved by the board;
47.24 	(3) must require that the electronic bingo device site system have dial-up capability 
47.25 	to permit the board to remotely monitor the operation of the device and the internal 
47.26 	accounting systems; and
47.27 	(4) must prohibit the price of a face played on an electronic bingo device from being 
47.28 	less than the price of a face on a bingo paper sheet sold at the same occasion.
47.29 	(b) The board, or the director if authorized by the board, may require the deactivation 
47.30 	of an electronic bingo device for violation of a law or rule and to implement any other 
47.31 	controls deemed necessary to ensure and maintain the integrity of electronic bingo devices 
47.32 	and the electronic bingo games played on the devices.

48.1 	Sec. 19. Minnesota Statutes 2010, section 349.151, is amended by adding a subdivision 
48.2 	to read:
48.3 		Subd. 4d.Electronic pull-tab devices and electronic pull-tab game system. (a) 
48.4 	The board may adopt rules it deems necessary to ensure the integrity of electronic pull-tab 
48.5 	devices, the electronic pull-tab games played on the devices, and the electronic pull-tab 
48.6 	game system necessary to operate them.
48.7 	(b) The board may not require an organization to use electronic pull-tab devices.
48.8 	(c) Before authorizing the lease or sale of electronic pull-tab devices and the 
48.9 	electronic pull-tab game system, the board shall examine electronic pull-tab devices 
48.10 	allowed under section 349.12, subdivision 12b. The board may contract for the 
48.11 	examination of the game system and electronic pull-tab devices and may require a working 
48.12 	model to be transported to locations the board designates for testing, examination, and 
48.13 	analysis. The manufacturer must pay all costs of any testing, examination, analysis, and 
48.14 	transportation of the model. The system must be approved by the board before its use in 
48.15 	the state and must have the capability to permit the board to electronically monitor its 
48.16 	operation and internal accounting systems. 
48.17 	(d) The board may require a manufacturer to submit a certificate from an independent 
48.18 	testing laboratory approved by the board to perform testing services, stating that the 
48.19 	equipment has been tested, analyzed, and meets the standards required in this chapter 
48.20 	and any applicable board rules.
48.21 	(e) The board, or the director if authorized by the board, may require the deactivation 
48.22 	of an electronic pull-tab device for violation of a law or rule and to implement any other 
48.23 	controls deemed necessary to ensure and maintain the integrity of electronic pull-tab 
48.24 	devices and the electronic pull-tab games played on the devices.

48.25 	Sec. 20. Minnesota Statutes 2010, section 349.161, subdivision 1, is amended to read:
48.26 		Subdivision 1.Prohibited acts; licenses required. (a) No person may:
48.27 	(1) sell, offer for sale, or furnish gambling equipment for use within the state other 
48.28 	than for lawful gambling exempt or excluded from licensing, except to an organization 
48.29 	licensed for lawful gambling;
48.30 	(2) sell, offer for sale, or furnish gambling equipment for use within the state without 
48.31 	having obtained a distributor license or a distributor salesperson license under this section 
48.32 	except that an organization authorized to conduct bingo by the board may loan bingo 
48.33 	hard cards and devices for selecting bingo numbers to another organization authorized to 
48.34 	conduct bingo and a linked bingo game provider may provide electronic bingo devices for 
48.35 	linked electronic bingo games;
49.1 	(3) sell, offer for sale, or furnish gambling equipment for use within the state that is 
49.2 	not purchased or obtained from a manufacturer or distributor licensed under this chapter; or
49.3 	(4) sell, offer for sale, or furnish gambling equipment for use within the state that 
49.4 	has the same serial number as another item of gambling equipment of the same type sold 
49.5 	or offered for sale or furnished for use in the state by that distributor.
49.6 	(b) No licensed distributor salesperson may sell, offer for sale, or furnish gambling 
49.7 	equipment for use within the state without being employed by a licensed distributor or 
49.8 	owning a distributor license.
49.9 	(c) No distributor or distributor salesperson may also be licensed as a linked bingo 
49.10 	game provider under section 349.1635.

49.11 	Sec. 21. Minnesota Statutes 2010, section 349.161, subdivision 5, is amended to read:
49.12 		Subd. 5.Prohibition. (a) No distributor, distributor salesperson, or other employee 
49.13 	of a distributor, may also be a wholesale distributor of alcoholic beverages or an employee 
49.14 	of a wholesale distributor of alcoholic beverages.
49.15 	(b) No distributor, distributor salesperson, or any representative, agent, affiliate, or 
49.16 	other employee of a distributor, may: (1) be involved in the conduct of lawful gambling 
49.17 	by an organization; (2) keep or assist in the keeping of an organization's financial records, 
49.18 	accounts, and inventories; or (3) prepare or assist in the preparation of tax forms and other 
49.19 	reporting forms required to be submitted to the state by an organization.
49.20 	(c) No distributor, distributor salesperson, or any representative, agent, affiliate, 
49.21 	or other employee of a distributor may provide a lessor of gambling premises any 
49.22 	compensation, gift, gratuity, premium, or other thing of value.
49.23 	(d) No distributor, distributor salesperson, or any representative, agent, affiliate, or 
49.24 	other employee of a distributor may provide an employee or agent of the organization 
49.25 	any compensation, gift, gratuity, premium, or other thing of value greater than $25 per 
49.26 	organization in a calendar year.
49.27 	(e) No distributor, distributor salesperson, or any representative, agent, affiliate, or 
49.28 	other employee of a distributor may participate in any gambling activity at any gambling 
49.29 	site or premises where gambling equipment purchased or leased from that distributor or 
49.30 	distributor salesperson is being used in the conduct of lawful gambling.
49.31 	(f) No distributor, distributor salesperson, or any representative, agent, affiliate, or 
49.32 	other employee of a distributor may alter or modify any gambling equipment, except to 
49.33 	add a "last ticket sold" prize sticker for a paper pull-tab game.
49.34 	(g) No distributor, distributor salesperson, or any representative, agent, affiliate, or 
49.35 	other employee of a distributor may: (1) recruit a person to become a gambling manager 
50.1 	of an organization or identify to an organization a person as a candidate to become 
50.2 	gambling manager for the organization; or (2) identify for an organization a potential 
50.3 	gambling location.
50.4 	(h) No distributor or distributor salesperson may purchase or lease gambling 
50.5 	equipment for resale or lease to a person for use within the state from any person not 
50.6 	licensed as a manufacturer under section 349.163, except for gambling equipment 
50.7 	returned from an organization licensed under section 349.16, or exempt or excluded from 
50.8 	licensing under section 349.166.
50.9 	(i) No distributor or distributor salesperson may sell gambling equipment, except 
50.10 	gambling equipment identified as a promotional ticket, to any person for use in Minnesota 
50.11 	other than (i) a licensed organization or organization excluded or exempt from licensing, 
50.12 	or (ii) the governing body of an Indian tribe.
50.13 	(j) No distributor or distributor salesperson may sell or otherwise provide a paper
50.14 	pull-tab or tipboard deal with the symbol required by section 349.163, subdivision 5, 
50.15 	paragraph (d), visible on the flare to any person other than in Minnesota to a licensed 
50.16 	organization or organization exempt from licensing.

50.17 	Sec. 22. Minnesota Statutes 2010, section 349.162, subdivision 5, is amended to read:
50.18 		Subd. 5.Sales from facilities. (a) All gambling equipment purchased or possessed 
50.19 	by a licensed distributor for resale or lease to any person for use in Minnesota must, prior 
50.20 	to the equipment's resale or lease, be unloaded into a storage facility located in Minnesota 
50.21 	which the distributor owns or leases; and which has been registered, in advance and in 
50.22 	writing, with the Division of Alcohol and Gambling Enforcement as a storage facility of 
50.23 	the distributor. All unregistered gambling equipment and all unaffixed registration stamps 
50.24 	owned by, or in the possession of, a licensed distributor in the state of Minnesota shall be 
50.25 	stored at a storage facility which has been registered with the Division of Alcohol and 
50.26 	Gambling Enforcement. No gambling equipment may be moved from the facility unless 
50.27 	the gambling equipment has been first registered with the board or the Department of 
50.28 	Revenue. A distributor must notify the board of the method that it will use to sell and 
50.29 	transfer electronic pull-tab games to licensed organizations, and must receive approval of 
50.30 	the board before implementing or making changes to the approved method.
50.31 	(b) Notwithstanding section 349.163, subdivisions 5, 6, and 8, a licensed 
50.32 	manufacturer may ship into Minnesota approved or unapproved gambling equipment if the 
50.33 	licensed manufacturer ships the gambling equipment to a Minnesota storage facility that 
50.34 	is: (1) owned or leased by the licensed manufacturer; and (2) registered, in advance and 
50.35 	in writing, with the Division of Alcohol and Gambling Enforcement as a manufacturer's 
51.1 	storage facility. No gambling equipment may be shipped into Minnesota to the 
51.2 	manufacturer's registered storage facility unless the shipment of the gambling equipment 
51.3 	is reported to the Department of Revenue in a manner prescribed by the department. 
51.4 	No gambling equipment may be moved from the storage facility unless the gambling 
51.5 	equipment is sold to a licensed distributor and is otherwise in conformity with this chapter, 
51.6 	is shipped to an out-of-state site and the shipment is reported to the Department of 
51.7 	Revenue in a manner prescribed by the department, or is otherwise sold and shipped as 
51.8 	permitted by board rule. A manufacturer must notify the board of the method that it will 
51.9 	use to sell and transfer electronic pull-tab games to licensed distributors, and must receive 
51.10 	approval of the board before implementing or making changes to the approved method.
51.11 	(c) All storage facilities owned, leased, used, or operated by a licensed distributor 
51.12 	or manufacturer may be entered upon and inspected by the employees of the Division of 
51.13 	Alcohol and Gambling Enforcement, the Division of Alcohol and Gambling Enforcement 
51.14 	director's authorized representatives, employees of the Gambling Control Board or its 
51.15 	authorized representatives, employees of the Department of Revenue, or authorized 
51.16 	representatives of the director of the Division of Special Taxes of the Department of 
51.17 	Revenue during reasonable and regular business hours. Obstruction of, or failure to 
51.18 	permit, entry and inspection is cause for revocation or suspension of a manufacturer's or 
51.19 	distributor's licenses and permits issued under this chapter.
51.20 	(d) Unregistered gambling equipment found at any location in Minnesota other than 
51.21 	the manufacturing plant of a licensed manufacturer or a registered storage facility are 
51.22 	contraband under section 349.2125. This paragraph does not apply:
51.23 	(1) to unregistered gambling equipment being transported in interstate commerce 
51.24 	between locations outside this state, if the interstate shipment is verified by a bill of lading 
51.25 	or other valid shipping document; and
51.26 	(2) to gambling equipment registered with the Department of Revenue for 
51.27 	distribution to the tribal casinos.

51.28 	Sec. 23. Minnesota Statutes 2010, section 349.163, subdivision 1, is amended to read:
51.29 		Subdivision 1.License required. No manufacturer of gambling equipment may 
51.30 	sell any gambling equipment to any person for use or resale within the state, unless the 
51.31 	manufacturer has a current and valid license issued by the board under this section and has 
51.32 	satisfied other criteria prescribed by the board by rule. A manufacturer licensed under this 
51.33 	section may also be licensed as a linked bingo game provider under section 349.1635. 
51.34 	A manufacturer licensed under this section may not also be directly or indirectly 
51.35 	licensed as a distributor under section 349.161.

52.1 	Sec. 24. Minnesota Statutes 2010, section 349.163, subdivision 5, is amended to read:
52.2 		Subd. 5.Paper pull-tab and tipboard flares. (a) A manufacturer may not ship or 
52.3 	cause to be shipped into this state or sell for use or resale in this state any deal of paper
52.4 	pull-tabs or tipboards that does not have its own individual flare as required for that deal 
52.5 	by this subdivision and rule of the board. A person other than a manufacturer may not 
52.6 	manufacture, alter, modify, or otherwise change a flare for a deal of paper pull-tabs or 
52.7 	tipboards except as allowed by this chapter or board rules.
52.8 	(b) The flare of each paper pull-tab and tipboard game must have affixed to 
52.9 	or imprinted at the bottom a bar code that provides all information required by the 
52.10 	commissioner of revenue under section 297E.04, subdivision 2.
52.11 	The serial number included in the bar code must be the same as the serial number 
52.12 	of the tickets included in the deal. A manufacturer who manufactures a deal of paper
52.13 	pull-tabs must affix to the outside of the box containing that game the same bar code that 
52.14 	is affixed to or imprinted at the bottom of a flare for that deal.
52.15 	(c) No person may alter the bar code that appears on the outside of a box containing 
52.16 	a deal of paper pull-tabs and tipboards. Possession of a box containing a deal of paper
52.17 	pull-tabs and tipboards that has a bar code different from the bar code of the deal inside 
52.18 	the box is prima facie evidence that the possessor has altered the bar code on the box.
52.19 	(d) The flare of each deal of paper pull-tabs and tipboards sold by a manufacturer for 
52.20 	use or resale in Minnesota must have imprinted on it a symbol that is at least one inch high 
52.21 	and one inch wide consisting of an outline of the geographic boundaries of Minnesota 
52.22 	with the letters "MN" inside the outline. The flare must be placed inside the wrapping of 
52.23 	the deal which the flare describes.
52.24 	(e) Each paper pull-tab and tipboard flare must bear the following statement printed 
52.25 	in letters large enough to be clearly legible:
52.26 	"Pull-tab (or tipboard) purchasers -- This pull-tab (or tipboard) game is not legal in 
52.27 	Minnesota unless:
52.28 	-- an outline of Minnesota with letters "MN" inside it is imprinted on this sheet, and
52.29 	-- the serial number imprinted on the bar code at the bottom of this sheet is the same 
52.30 	as the serial number on the pull-tab (or tipboard) ticket you have purchased."
52.31 	(f) The flare of each paper pull-tab and tipboard game must have the serial number 
52.32 	of the game imprinted on the bar code at the bottom of the flare in numerals at least 
52.33 	one-half inch high.

52.34 	Sec. 25. Minnesota Statutes 2010, section 349.163, subdivision 6, is amended to read:
53.1 		Subd. 6.Samples of gambling equipment. (a) The board shall require each 
53.2 	licensed manufacturer to submit to the board one or more samples of each item of gambling 
53.3 	equipment the manufacturer manufactures manufactured for use or resale in this state.
53.4 	For purposes of this subdivision, a manufacturer is also required to submit the applicable 
53.5 	version of any software necessary to operate electronic devices and related systems.
53.6 	(b) The board shall inspect and test all the equipment, including software and 
53.7 	software upgrades, it deems necessary to determine the equipment's compliance with 
53.8 	law and board rules. Samples required under this subdivision must be approved by the 
53.9 	board before the equipment being sampled is shipped into or sold for use or resale in this 
53.10 	state. The board shall impose a fee of $25 for each item of gambling equipment that the 
53.11 	manufacturer submits for approval or for which the manufacturer requests approval. The 
53.12 	board shall impose a fee of $100 for each sample of gambling equipment that it tests.
53.13 	(c) The board may require samples of gambling equipment to be tested by an 
53.14 	independent testing laboratory prior to submission to the board for approval. All costs 
53.15 	of testing by an independent testing laboratory must be borne by the manufacturer. An 
53.16 	independent testing laboratory used by a manufacturer to test samples of gambling 
53.17 	equipment must be approved by the board before the equipment is submitted to the 
53.18 	laboratory for testing.
53.19 	(d) The board may request the assistance of the commissioner of public safety and 
53.20 	the director of the State Lottery in performing the tests.

53.21 	Sec. 26. Minnesota Statutes 2010, section 349.1635, subdivision 2, is amended to read:
53.22 		Subd. 2.License application. The board may issue a license to a linked bingo game 
53.23 	provider or to a manufacturer licensed under section 349.163 who meets the qualifications 
53.24 	of this chapter and the rules promulgated by the board. The application shall be on a form 
53.25 	prescribed by the board. The license is valid for two years and the fee for a linked bingo 
53.26 	game provider license is $5,000 per year.

53.27 	Sec. 27. Minnesota Statutes 2010, section 349.1635, subdivision 3, is amended to read:
53.28 		Subd. 3.Attachments to application. An applicant for a linked bingo game 
53.29 	provider license must attach to its application:
53.30 	(1) evidence of a bond in the principal amount of $100,000 payable to the state of 
53.31 	Minnesota conditioned on the payment of all linked bingo prizes and any other money due 
53.32 	and payable under this chapter;
53.33 	(2) detailed plans and specifications for the operation of the linked bingo game and 
53.34 	the linked bingo system, along with a proposed fee schedule for the cost of providing 
54.1 	services and equipment to licensed organizations which may not exceed ... percent of 
54.2 	gross profits. The fee schedule must incorporate costs paid to distributors for services 
54.3 	provided under subdivision 5; and
54.4 	(3) any other information required by the board by rule.

54.5 	Sec. 28. Minnesota Statutes 2010, section 349.1635, is amended by adding a 
54.6 	subdivision to read:
54.7 		Subd. 5.Linked bingo game services requirements. (a) A linked bingo game 
54.8 	provider must contract with licensed distributors for linked bingo game services including, 
54.9 	but not limited to, the solicitation of agreements with licensed organizations, and 
54.10 	installation, repair, or maintenance of the linked bingo game system.
54.11 	(b) A distributor may not charge a fee to licensed organizations for services 
54.12 	authorized and rendered under paragraph (a).
54.13 	(c) A linked bingo game provider may not contract with any distributor on an 
54.14 	exclusive basis.
54.15 	(d) A linked bingo game provider may refuse to contract with a licensed distributor 
54.16 	if the linked bingo game provider demonstrates that the licensed distributor is not capable 
54.17 	of performing the services under the contract.

54.18 	Sec. 29. Minnesota Statutes 2010, section 349.17, subdivision 6, is amended to read:
54.19 		Subd. 6.Conduct of bingo. The price of a face played on an electronic bingo 
54.20 	device may not be less than the price of a face on a bingo paper sheet sold for the same 
54.21 	game at the same occasion. A game of bingo begins with the first letter and number called
54.22 	or displayed. Each player must cover, mark, or activate the numbers when bingo numbers 
54.23 	are randomly selected, and announced, and or displayed to the players, either manually 
54.24 	or with a flashboard and monitor. The game is won when a player, using bingo paper, 
54.25 	bingo hard card, or a facsimile of a bingo paper sheet, has completed, as described in the 
54.26 	bingo program, a previously designated pattern or previously determined requirements 
54.27 	of the game and declared bingo. The game is completed when a winning card, sheet, or 
54.28 	facsimile is verified and a prize awarded pursuant to subdivision 3.

54.29 	Sec. 30. Minnesota Statutes 2010, section 349.17, subdivision 7, is amended to read:
54.30 		Subd. 7.Bar bingo. An organization may conduct bar bingo subject to the 
54.31 	following restrictions:
54.32 	(1) the bingo is conducted at a site the organization owns or leases and which has a 
54.33 	license for the sale of intoxicating beverages on the premises under chapter 340A; and
55.1 	(2) the bingo is conducted using only bingo paper sheets or facsimiles of bingo paper 
55.2 	sheets purchased from a licensed distributor or licensed linked bingo game provider; and.
55.3 	(3) no rent may be paid for a bar bingo occasion.

55.4 	Sec. 31. Minnesota Statutes 2010, section 349.17, subdivision 8, is amended to read:
55.5 		Subd. 8.Linked bingo games. (a) A licensed organization may conduct or 
55.6 	participate in not more than two linked bingo games per occasion, one of which may be, 
55.7 	including a progressive game in which a portion of the prize is carried over from one 
55.8 	occasion game to another until won by a player achieving a bingo within a predetermined 
55.9 	amount of bingo numbers called.
55.10 	(b) Each participating licensed organization shall contribute to each prize awarded in 
55.11 	a linked bingo game in an amount not to exceed $300. Linked bingo games may only be 
55.12 	conducted by licensed organizations who have a valid agreement with the linked bingo 
55.13 	game provider.
55.14 	(c) An electronic bingo device as defined in section 349.12, subdivision 12a, may 
55.15 	be used for a linked bingo game.
55.16 	(d) The board may adopt rules to:
55.17 	(1) specify the manner in which a linked bingo game must be played and how the 
55.18 	linked bingo prizes must be awarded;
55.19 	(2) specify the records to be maintained by a linked bingo game provider;
55.20 	(3) require the submission of periodic reports by the linked bingo game provider and 
55.21 	specify the content of the reports;
55.22 	(4) establish the qualifications required to be licensed as a linked bingo game 
55.23 	provider; and
55.24 	(5) any other matter involving the operation of a linked bingo game.

55.25 	Sec. 32. Minnesota Statutes 2010, section 349.17, is amended by adding a subdivision 
55.26 	to read:
55.27 		Subd. 9.Linked bingo games played exclusively on electronic bingo devices. In 
55.28 	addition to the requirements of subdivision 8, the following requirements and restrictions 
55.29 	apply when linked bingo games are played exclusively on electronic bingo devices:
55.30 	(a) The permitted premises must be:
55.31 	(1) a premises licensed for the on-sale or off-sale of intoxicating liquor or 3.2 percent 
55.32 	malt beverages, except for a general food store or drug store permitted to sell alcoholic 
55.33 	beverages under section 340A.405, subdivision 1; or
56.1 	(2) a premises where bingo is conducted as the primary business and has a seating 
56.2 	capacity of at least 100.
56.3 	(b) The number of electronic bingo devices is limited to:
56.4 	(1) no more than six devices in play for permitted premises with 200 seats or less;
56.5 	(2) no more than 12 devices in play for permitted premises with 201 seats or more; 
56.6 	and
56.7 	(3) no more than 50 devices in play for permitted premises where bingo is the 
56.8 	primary business.
56.9 	Seating capacity is determined as specified under the local fire code.
56.10 	(c) Prior to a bingo occasion, the linked bingo game provider, on behalf of the 
56.11 	participating organizations, must provide to the board a bingo program in a format 
56.12 	prescribed by the board.
56.13 	(d) Before participating in the play of a linked bingo game, a player must present 
56.14 	and register a valid picture identification card that includes the player's address and 
56.15 	date of birth.
56.16 	(e) An organization may remove from play a device that a player has not maintained 
56.17 	in an activated mode for a specified period of time determined by the organization. The 
56.18 	organization must provide the notice in its house rules.

56.19 	Sec. 33. Minnesota Statutes 2010, section 349.1721, is amended to read:
56.20 	349.1721 CONDUCT OF PULL-TABS.
56.21 		Subdivision 1.Cumulative or carryover games. The board shall by rule permit 
56.22 	pull-tab games with multiple seals. The board shall also adopt rules for pull-tab games with 
56.23 	cumulative or carryover prizes. The rules shall also apply to electronic pull-tab games.
56.24 		Subd. 2.Event games. The board shall by rule permit pull-tab games in which 
56.25 	certain winners are determined by the random selection of one or more bingo numbers 
56.26 	or by another method approved by the board. The rules shall also apply to electronic 
56.27 	pull-tab games. 
56.28 		Subd. 3.Pull-tab dispensing device location restrictions and requirements.
 56.29 	The following pertain to pull-tab dispensing devices as defined under section 349.12, 
56.30 	subdivision 32a.
56.31 	(a) The use of any pull-tab dispensing device must be at a permitted premises 
56.32 	which is:
56.33 	(1) a licensed premises for on-sale of intoxicating liquor or 3.2 percent malt 
56.34 	beverages;
56.35 	(2) a premises where bingo is conducted as the primary business; or
57.1 	(3) an establishment licensed for the off-sale of intoxicating liquor, other than drug 
57.2 	stores and general food stores licensed under section 340A.405, subdivision 1.
57.3 	(b) The number of pull-tab dispensing devices located at any permitted premises 
57.4 	is limited to three.
57.5 		Subd. 4.Electronic pull-tab device requirements and restrictions. The following 
57.6 	pertain to the use of electronic pull-tab devices as defined under section 349.12, 
57.7 	subdivision 12b.
57.8 	(a) The use of any electronic pull-tab device may only be at a permitted premises 
57.9 	that is:
57.10 	(1) a premises licensed for the on-sale or off-sale of intoxicating liquor or 3.2 percent 
57.11 	malt beverages, except for a general food store or drug store permitted to sell alcoholic 
57.12 	beverages under section 340A.405, subdivision 1; or
57.13 	(2) a premises where bingo is conducted as the primary business and has a seating 
57.14 	capacity of at least 100; and
57.15 	(3) where the sale of paper pull-tabs is conducted by the licensed organization.
57.16 	(b) The number of electronic pull-tab devices is limited to:
57.17 	(1) no more than six devices in play at any permitted premises with 200 seats or less;
57.18 	(2) no more than 12 devices in play at any permitted premises with 201 seats 
57.19 	or more; and
57.20 	(3) no more than 50 devices in play at any permitted premises where the primary 
57.21 	business is bingo.
57.22 	Seating capacity is determined as specified under the local fire code.
57.23 	(c) The hours of operation for the devices are limited to 8:00 a.m. to 2:00 a.m.
57.24 	(d) All electronic pull-tab games must be sold and played on the permitted premises 
57.25 	and may not be linked to other permitted premises.
57.26 	(e) Electronic pull-tab games may not be transferred electronically or otherwise to 
57.27 	any other location by the licensed organization.
57.28 	(f) Electronic pull-tab games may be commingled if the games are from the same 
57.29 	family of games and manufacturer and contain the same game name, form number, type 
57.30 	of game, ticket count, prize amounts, and prize denominations. Each commingled game 
57.31 	must have a unique serial number.
57.32 	(g) An organization may remove from play a device that a player has not maintained 
57.33 	in an activated mode for a specified period of time determined by the organization. The 
57.34 	organization must provide the notice in its house rules. 
58.1 	(h) Before participating in the play of an electronic pull-tab game, a player must 
58.2 	present and register a valid picture identification card that includes the player's address 
58.3 	and date of birth.
58.4 	(i) Each player is limited to the use of one device at a time.

58.5 	Sec. 34. Minnesota Statutes 2010, section 349.18, subdivision 1, is amended to read:
58.6 		Subdivision 1.Lease or ownership required; rent limitations. (a) An organization 
58.7 	may conduct lawful gambling only on premises it owns or leases. Leases must be on a 
58.8 	form prescribed by the board. The term of the lease is concurrent with the premises permit. 
58.9 	Leases approved by the board must specify that the board may authorize an organization 
58.10 	to withhold rent from a lessor for a period of up to 90 days if the board determines that 
58.11 	illegal gambling occurred on the premises or that the lessor or its employees participated 
58.12 	in the illegal gambling or knew of the gambling and did not take prompt action to stop the 
58.13 	gambling. The lease must authorize the continued tenancy of the organization without 
58.14 	the payment of rent during the time period determined by the board under this paragraph. 
58.15 	Copies of all leases must be made available to employees of the board and the Division of 
58.16 	Alcohol and Gambling Enforcement on request.
58.17 	(b) Rent paid by an organization for leased premises for the conduct of pull-tabs, 
58.18 	tipboards, and paddle wheels lawful gambling is subject to the following limits and 
58.19 	restrictions:
58.20 	(1) For booth operations, including booth operations where a pull-tab dispensing 
58.21 	device is located, booth operations where a bar operation is also conducted, and booth 
58.22 	operations where both a pull-tab dispensing device is located and a bar operation is also 
58.23 	conducted, the maximum rent is: monthly rent may not exceed ten percent of gross profits 
58.24 	for that month.
58.25 	(i) in any month where the organization's gross profit at those premises does not 
58.26 	exceed $4,000, up to $400; and
58.27 	(ii) in any month where the organization's gross profit at those premises exceeds 
58.28 	$4,000, up to $400 plus not more than ten percent of the gross profit for that month in 
58.29 	excess of $4,000;
58.30 	(2) For bar operations, including bar operations where a pull-tab dispensing device 
58.31 	is located but not including bar operations subject to clause (1), and for locations where 
58.32 	only a pull-tab dispensing device is located: monthly rent may not exceed 15 percent of 
58.33 	the gross profits for that month.
58.34 	(i) in any month where the organization's gross profit at those premises does not 
58.35 	exceed $1,000, up to $200; and
59.1 	(ii) in any month where the organization's gross profit at those premises exceeds 
59.2 	$1,000, up to $200 plus not more than 20 percent of the gross profit for that month 
59.3 	in excess of $1,000;
59.4 	(3) a lease not governed by clauses (1) and (2) must be approved by the board before 
59.5 	becoming effective; For electronic linked bingo games and electronic pull-tab games that 
59.6 	are operated for separate time periods within a business day by an organization and the 
59.7 	lessor, monthly rent may not be more than:
59.8 	(i) 15 percent of the gross profits for that month for the time periods operated by 
59.9 	the lessor. The lessor is responsible for cash shortages that occur during the time periods 
59.10 	the games are operated by the lessor; and
59.11 	(ii) ten percent of gross profits for that month for the time periods operated by the 
59.12 	organization. The organization is responsible for cash shortages that occur during the time 
59.13 	periods the games are operated by the organization.
59.14 	(4) total rent paid to a lessor from all organizations from leases governed by clause 
59.15 	(1) may not exceed $1,750 per month.
59.16 	(c) Rent paid by an organization for leased premises for the conduct of bingo is 
59.17 	subject to either of the following limits at the option of the parties to the lease:
59.18 	(1) (4) For bingo conducted at a leased premises where the primary business is 
59.19 	bingo, rent is limited to either not more than ten percent of the monthly gross profit from 
59.20 	all lawful gambling activities held during bingo occasions, excluding bar bingo or at a 
59.21 	rate based on a cost per square foot not to exceed 110 percent of a comparable cost per 
59.22 	square foot for leased space as approved by the director; and.
59.23 	(2) (5) No rent may be paid for bar bingo as defined in section 349.12, subdivision 3c.
59.24 	(6) A lease not governed by clauses (1) to (5) must be approved by the director 
59.25 	before becoming effective.
59.26 	(d) (c) Amounts paid as rent under leases are all-inclusive. No other services or 
59.27 	expenses provided or contracted by the lessor may be paid by the organization, including, 
59.28 	but not limited to, trash removal, janitorial and cleaning services, snow removal, lawn 
59.29 	services, electricity, heat, security, security monitoring, storage, and other utilities or 
59.30 	services, and, in the case of bar operations, cash shortages, unless approved by the 
59.31 	director. The lessor shall be responsible for the cost of any communications network or 
59.32 	service required to conduct electronic pull-tab games or electronic bingo games. Any 
59.33 	other expenditure made by an organization that is related to a leased premises must be 
59.34 	approved by the director. For bar operations, the lessor is responsible for cash shortages.
59.35 	An organization may not provide any compensation or thing of value to a lessor or the 
60.1 	lessor's employees from any fund source other than its gambling account. Rent payments 
60.2 	may not be made to an individual.
60.3 	(e) (d) Notwithstanding paragraph (b), an organization may pay a lessor for food 
60.4 	or beverages or meeting room rental if the charge made is comparable to similar charges 
60.5 	made to other individuals or groups.
60.6 	(f) No entity other than the (e) A licensed organization may not conduct any activity 
60.7 	within a booth operation on behalf of the lessor on a leased premises.

60.8 	Sec. 35. Minnesota Statutes 2010, section 349.19, subdivision 2, is amended to read:
60.9 		Subd. 2.Accounts. (a) Gross receipts from lawful gambling by each organization 
60.10 	must be segregated from all other revenues of the conducting organization and placed in a 
60.11 	separate gambling bank account.
60.12 	(b) All expenditures for allowable expenses, taxes, and lawful purposes must be 
60.13 	made from the separate account except (1) in the case of expenditures previously approved 
60.14 	by the organization's membership for emergencies as defined by board rule, (2) as provided 
60.15 	in subdivision 2a, or (3) when restricted to one electronic fund transaction for the payment 
60.16 	of taxes for the organization as a whole, the organization may transfer the amount of taxes 
60.17 	related to the conduct of gambling to the general account at the time when due and payable.
60.18 	(c) The name and address of the bank, the account number for the separate account, 
60.19 	and the names of organization members authorized as signatories on the separate account 
60.20 	must be provided to the board when the application is submitted. Changes in the 
60.21 	information must be submitted to the board at least ten days before the change is made.
60.22 	(d) Except for gambling receipts from electronic pull-tab games and linked 
60.23 	electronic bingo games, gambling receipts must be deposited into the gambling bank 
60.24 	account within four business days of completion of the bingo occasion, deal, or game from 
60.25 	which they are received.
60.26 	(1) A deal of paper pull-tabs is considered complete when either the last pull-tab of 
60.27 	the deal is sold or the organization does not continue the play of the deal during the next 
60.28 	scheduled period of time in which the organization will conduct pull-tabs.
60.29 	(2) A tipboard game is considered complete when the seal on the game flare is 
60.30 	uncovered or the organization does not continue the play of the deal during the next 
60.31 	scheduled period of time in which the organization will conduct tipboards.
60.32 	(e) Gambling receipts from all electronic pull-tab games and all linked electronic 
60.33 	bingo games must be recorded on a daily basis and deposited into the gambling bank 
60.34 	account within two business days.
61.1 	(e) (f) Deposit records must be sufficient to allow determination of deposits made 
61.2 	from each bingo occasion, deal, or game at each permitted premises.
61.3 	(f) (g) The person who accounts for gambling gross receipts and profits may not be 
61.4 	the same person who accounts for other revenues of the organization.

61.5 	Sec. 36. Minnesota Statutes 2010, section 349.19, subdivision 3, is amended to read:
61.6 		Subd. 3.Expenditures. (a) All expenditures of gross profits from lawful gambling 
61.7 	must be itemized as to payee, purpose, amount, and date of payment.
61.8 	(b) Each licensed organization must report monthly to the board on a form in an 
61.9 	electronic format prescribed by the board each expenditure or contribution of net profits 
61.10 	from lawful gambling. The reports must provide for each expenditure or contribution:
61.11 	(1) the name of the recipient of the expenditure or contribution;
61.12 	(2) the date the expenditure or contribution was approved by the organization;
61.13 	(3) the date, amount, and check number or electronic transfer confirmation number 
61.14 	of the expenditure or contribution;
61.15 	(4) a brief description of how the expenditure or contribution meets one or more of 
61.16 	the purposes in section 349.12, subdivision 25; and
61.17 	(5) in the case of expenditures authorized under section 349.12, subdivision 25, 
61.18 	paragraph (a), clause (7), whether the expenditure is for a facility or activity that primarily 
61.19 	benefits male or female participants.
61.20 	(c) Authorization of the expenditures must be recorded in the monthly meeting 
61.21 	minutes of the licensed organization.
61.22 	(d) Checks or authorizations for electronic fund transfers for expenditures of gross 
61.23 	profits must be signed by at least two persons authorized by board rules to sign the 
61.24 	checks or authorizations.
61.25 	(e) Expenditures of gross profits from lawful gambling for local, state, and federal 
61.26 	taxes as identified in section 349.12, subdivision 25, paragraph (a), clause (8), may be 
61.27 	transferred electronically from the organization's gambling account directly to bank 
61.28 	accounts identified by local, state, or federal agencies if the organization's gambling 
61.29 	account monthly bank statement specifically identifies the payee by name, the amount 
61.30 	transferred, and the date of the transaction.
61.31 	(f) Expenditures of gross profits from lawful gambling for payments for lawful 
61.32 	purpose expenditures and allowable expenses may be transferred electronically from the 
61.33 	organization's gambling account directly to bank accounts identified by the vendor if the 
61.34 	organization's gambling account monthly bank statement specifically identifies the payee 
62.1 	by name, the amount transferred, the account number of the account into which the funds 
62.2 	were transferred, and the date of the transaction.
62.3 	(g) Expenditures of gross profits from lawful gambling for payroll compensation 
62.4 	to an employee's account and for the payment of local, state, and federal withholding 
62.5 	taxes may be transferred electronically to and from the account of a payroll processing 
62.6 	firm provided that the firm:
62.7 	(1) is currently registered with and meets the criteria of the Department of Revenue 
62.8 	as a third-party bulk filer under section 290.92, subdivision 30;
62.9 	(2) is able to provide proof of a third-party audit and an annual report and statement 
62.10 	of financial condition;
62.11 	(3) is able to provide evidence of a fidelity bond; and
62.12 	(4) can provide proof of having been in business as a third-party bulk filer for the 
62.13 	most recent three years.
62.14 	(h) Electronic payments of taxes, lawful purpose expenditures, and allowable 
62.15 	expenses are permitted only if they have been authorized by the membership, the 
62.16 	organization maintains supporting documentation, and the expenditures can be verified.

62.17 	Sec. 37. Minnesota Statutes 2010, section 349.19, subdivision 5, is amended to read:
62.18 		Subd. 5.Reports. (a) A licensed organization must report monthly to the 
62.19 	Department of Revenue board in an electronic format prescribed by the board and to its 
62.20 	membership monthly, or quarterly in the case of a licensed organization which does not 
62.21 	report more than $1,000 in gross receipts from lawful gambling in any calendar quarter,
62.22 	on its gross receipts, expenses, profits, and expenditure of profits from lawful gambling
62.23 	for each permitted premises. The organization must account for and report on each form 
62.24 	of lawful gambling conducted. The report organization must include a reconciliation of 
62.25 	the organization's profit carryover with its cash balance on hand. If the organization 
62.26 	conducts both bingo and other forms of lawful gambling, the figures for both must be 
62.27 	reported separately.
62.28 	(b) The organization must report annually to its membership and annually file with 
62.29 	the board a financial summary report in a format prescribed by the board that identifies the 
62.30 	organization's receipts and use of lawful gambling proceeds, including: monthly to the 
62.31 	commissioner of revenue as required under section 297E.06.
62.32 	(1) gross receipts;
62.33 	(2) prizes paid;
62.34 	(3) allowable expenses;
63.1 	(4) lawful purpose expenditures, including annual totals for types of charitable 
63.2 	contributions and all taxes and fees as per section 349.12, subdivision 25, paragraph 
63.3 	(a), clauses (8) and (18);
63.4 	(5) the percentage of annual gross profits used for charitable contributions; and
63.5 	(6) the percentage of annual gross profits used for all taxes and fees as per section 
63.6 	349.12, subdivision 25, paragraph (a), clauses (8) and (18).

63.7 	Sec. 38. Minnesota Statutes 2010, section 349.19, subdivision 10, is amended to read:
63.8 		Subd. 10.Pull-tab records. (a) The board shall by rule require a licensed 
63.9 	organization to require each winner of a paper pull-tab prize of $50 or more to present 
63.10 	identification in the form of a driver's license, Minnesota identification card, or other 
63.11 	identification the board deems sufficient to allow the identification and tracking of the 
63.12 	winner. The rule must require the organization to retain winning paper pull-tabs of $50 or 
63.13 	more, and the identification of the winner of the pull-tab, for 3-1/2 years.
63.14 	(b) An organization must maintain separate cash banks for each deal of paper
63.15 	pull-tabs unless (1) the licensed organization uses a pull-tab dispensing device, or (2) the 
63.16 	organization uses a cash register, of a type approved by the board, which records all 
63.17 	sales of paper pull-tabs by separate deals.
63.18 	(c) The board shall:
63.19 	(1) by rule adopt minimum technical standards for cash registers that may be used 
63.20 	by organizations, and shall approve for use by organizations any cash register that meets 
63.21 	the standards; and
63.22 	(2) before allowing an organization to use a cash register that commingles receipts 
63.23 	from several different paper pull-tab games in play, adopt rules that define how cash 
63.24 	registers may be used and that establish a procedure for organizations to reconcile all 
63.25 	pull-tab games in play at the end of each month.

63.26 	Sec. 39. Minnesota Statutes 2010, section 349.211, subdivision 1a, is amended to read:
63.27 		Subd. 1a.Linked bingo prizes. Prizes for a linked bingo game shall be limited 
63.28 	as follows:
63.29 	(1) no organization may contribute more than $300 per linked bingo game to a 
63.30 	linked bingo prize pool for linked bingo games played without electronic bingo devices, 
63.31 	an organization may not contribute to a linked bingo game prize pool more than $300 
63.32 	per linked bingo game per site;
64.1 	(2) for linked bingo games played exclusively with electronic bingo devices, an 
64.2 	organization may not contribute more than 85 percent of the gross receipts per permitted 
64.3 	premises to a linked bingo game prize pool;
64.4 	(2) (3) no organization may award more than $200 for a linked bingo game 
64.5 	consolation prize. For purposes of this subdivision, a linked bingo game consolation 
64.6 	prize is a prize awarded by an organization after a prize from the linked bingo prize pool 
64.7 	has been won; and
64.8 	(3) (4) for a progressive linked bingo game, if no player declares a valid bingo 
64.9 	within the for a progressive prize or prizes based on a predetermined amount of bingo 
64.10 	numbers called and posted win determination, a portion of the prize is gross receipts 
64.11 	may be carried over to another occasion game until the accumulated progressive prize 
64.12 	is won. The portion of the prize that is not carried over must be awarded to the first 
64.13 	player or players who declares a valid bingo as additional numbers are called. If a valid 
64.14 	bingo is declared within the predetermined amount of bingo numbers called, the entire 
64.15 	prize pool for that game is awarded to the winner. The annual limit for progressive bingo 
64.16 	game prizes contained in subdivision 2 must be reduced by the amount an organization 
64.17 	contributes to progressive linked bingo games during the same calendar year.; and
64.18 	(5) for linked bingo games played exclusively with electronic bingo devices, linked 
64.19 	bingo prizes in excess of $599 shall be paid by the linked bingo game provider to the 
64.20 	player within three business days. Winners of linked bingo prizes in excess of $599 will 
64.21 	be given a receipt or claim voucher as proof of a win.

64.22 	Sec. 40. APPROPRIATION.
 64.23 	(a) $450,000 in fiscal year 2012 and $779,000 in fiscal year 2013 are appropriated 
64.24 	from the lawful gambling regulation account in the special revenue fund to the Gambling 
64.25 	Control Board for operating expenses related to the regulatory oversight of lawful 
64.26 	gambling for electronic pull-tabs and electronic linked bingo.
64.27 	(b) One-half of one percent of the revenue deposited in the general fund under 
64.28 	Minnesota Statutes, section 16A.965, subdivision 8, paragraph (a), is appropriated to 
64.29 	the commissioner of human services for the compulsive gambling treatment program 
64.30 	established under Minnesota Statutes, section 245.98. One-half of one percent of the 
64.31 	revenue deposited in the general fund under Minnesota Statutes, section 16A.965, 
64.32 	subdivision 8, paragraph (a), is appropriated to the Gambling Control Board for a 
64.33 	grant to the state affiliate recognized by the National Council on Problem Gambling to 
64.34 	increase public awareness of problem gambling, education and training for individuals 
64.35 	and organizations providing effective treatment services to problem gamblers and 
65.1 	their families, and research relating to problem gambling. Money appropriated by this 
65.2 	paragraph must supplement and must not replace existing state funding for these programs.

65.3 	Sec. 41. EFFECTIVE DATE.
 65.4 	This article is effective the day following final enactment.

65.5 	ARTICLE 6
65.6 	MISCELLANEOUS

65.7 	Section 1. Minnesota Statutes 2010, section 297A.71, is amended by adding a 
65.8 	subdivision to read:
65.9 		Subd. 44.Building materials, capital projects. Materials and supplies used or 
65.10 	consumed in and equipment incorporated into the construction or improvement of a capital 
65.11 	project funded partially or wholly under section 297A.9905 are exempt, provided that the 
65.12 	project has a total construction cost of at least $40,000,000 within a ...-month period. 
65.13 	The tax on purchases exempt under this provision must be imposed and collected as if 
65.14 	the rate under section 297A.62, subdivision 1, applied and then refunded in the manner 
65.15 	provided in section 297A.75.

65.16 	EFFECTIVE DATE. This section is effective for sales and purchases made after 
65.17 	June 30, 2013.

65.18 	Sec. 2. Minnesota Statutes 2010, section 297A.75, as amended by Laws 2011, First 
65.19 	Special Session chapter 7, article 3, sections 13 to 15, is amended to read:
65.20 	297A.75 REFUND; APPROPRIATION.
65.21 		Subdivision 1.Tax collected. The tax on the gross receipts from the sale of the 
65.22 	following exempt items must be imposed and collected as if the sale were taxable and the 
65.23 	rate under section 297A.62, subdivision 1, applied. The exempt items include:
65.24 	(1) capital equipment exempt under section 297A.68, subdivision 5;
65.25 	(2) building materials for an agricultural processing facility exempt under section 
65.26 	297A.71, subdivision 13;
65.27 	(3) building materials for mineral production facilities exempt under section 
65.28 	297A.71, subdivision 14;
65.29 	(4) building materials for correctional facilities under section 297A.71, subdivision 
65.30 	3;
65.31 	(5) building materials used in a residence for disabled veterans exempt under section 
65.32 	297A.71, subdivision 11;
66.1 	(6) elevators and building materials exempt under section 297A.71, subdivision 12;
66.2 	(7) building materials for the Long Lake Conservation Center exempt under section 
66.3 	297A.71, subdivision 17;
66.4 	(8) materials and supplies for qualified low-income housing under section 297A.71, 
66.5 	subdivision 23;
66.6 	(9) materials, supplies, and equipment for municipal electric utility facilities under 
66.7 	section 297A.71, subdivision 35;
66.8 	(10) equipment and materials used for the generation, transmission, and distribution 
66.9 	of electrical energy and an aerial camera package exempt under section 297A.68, 
66.10 	subdivision 37;
66.11 	(11) tangible personal property and taxable services and construction materials, 
66.12 	supplies, and equipment exempt under section 297A.68, subdivision 41;
66.13 	(12) commuter rail vehicle and repair parts under section 297A.70, subdivision 
66.14 	3, clause (11);
66.15 	(13) materials, supplies, and equipment for construction or improvement of projects 
66.16 	and facilities under section 297A.71, subdivision 40;
66.17 	(14) materials, supplies, and equipment for construction or improvement of a meat 
66.18 	processing facility exempt under section 297A.71, subdivision 41;
66.19 	(15) materials, supplies, and equipment for construction, improvement, or expansion 
66.20 	of an aerospace defense manufacturing facility exempt under section 297A.71, subdivision 
66.21 	42; and
66.22 	(16) enterprise information technology equipment and computer software for use in 
66.23 	a qualified data center exempt under section 297A.68, subdivision 42.; and
66.24 	(17) materials, supplies, and equipment for qualifying capital projects under section 
66.25 	297A.71, subdivision 44.
66.26 		Subd. 2.Refund; eligible persons. Upon application on forms prescribed by the 
66.27 	commissioner, a refund equal to the tax paid on the gross receipts of the exempt items 
66.28 	must be paid to the applicant. Only the following persons may apply for the refund:
66.29 	(1) for subdivision 1, clauses (1) to (3), the applicant must be the purchaser;
66.30 	(2) for subdivision 1, clauses (4) and (7), the applicant must be the governmental 
66.31 	subdivision;
66.32 	(3) for subdivision 1, clause (5), the applicant must be the recipient of the benefits 
66.33 	provided in United States Code, title 38, chapter 21;
66.34 	(4) for subdivision 1, clause (6), the applicant must be the owner of the homestead 
66.35 	property;
67.1 	(5) for subdivision 1, clause (8), the owner of the qualified low-income housing 
67.2 	project;
67.3 	(6) for subdivision 1, clause (9), the applicant must be a municipal electric utility or 
67.4 	a joint venture of municipal electric utilities;
67.5 	(7) for subdivision 1, clauses (10), (11), (14), (15), and (16), the owner of the 
67.6 	qualifying business; and
67.7 	(8) for subdivision 1, clauses (12) and, (13), and (17), the applicant must be the 
67.8 	governmental entity that owns or contracts for the project or facility.
67.9 		Subd. 3.Application. (a) The application must include sufficient information 
67.10 	to permit the commissioner to verify the tax paid. If the tax was paid by a contractor, 
67.11 	subcontractor, or builder, under subdivision 1, clause (4), (5), (6), (7), (8), (9), (10), (11), 
67.12 	(12), (13), (14), (15), or (16), or (17), the contractor, subcontractor, or builder must 
67.13 	furnish to the refund applicant a statement including the cost of the exempt items and the 
67.14 	taxes paid on the items unless otherwise specifically provided by this subdivision. The 
67.15 	provisions of sections 289A.40 and 289A.50 apply to refunds under this section.
67.16 	(b) An applicant may not file more than two applications per calendar year for 
67.17 	refunds for taxes paid on capital equipment exempt under section 297A.68, subdivision 5.
67.18 	(c) Total refunds for purchases of items in section 297A.71, subdivision 40, must not 
67.19 	exceed $5,000,000 in fiscal years 2010 and 2011. Applications for refunds for purchases 
67.20 	of items in sections 297A.70, subdivision 3, paragraph (a), clause (11), and 297A.71, 
67.21 	subdivision 40, must not be filed until after June 30, 2009.
67.22 		Subd. 4.Interest. Interest must be paid on the refund at the rate in section 270C.405 
67.23 	from 90 days after the refund claim is filed with the commissioner for taxes paid under 
67.24 	subdivision 1.
67.25 		Subd. 5.Appropriation. The amount required to make the refunds is annually 
67.26 	appropriated to the commissioner.

67.27 	EFFECTIVE DATE. This section is effective for sales and purchases made after .....

67.28 	Sec. 3. [297A.9905] USE OF LOCAL TAX REVENUES BY CITIES OF THE 
67.29 	FIRST CLASS.
67.30 	(a) Notwithstanding section 297A.99, or other general or special law or charter 
67.31 	provision, if the revenues from any local tax imposed on retail sales under special law 
67.32 	by a city of the first class exceeds the amount needed to fund the uses authorized in the 
67.33 	special law, the city may expend the excess revenue from the tax to fund other capital 
67.34 	projects of regional significance.
67.35 	(b) For purposes of this section:
68.1 	(1) "city of the first class" has the meaning given in section 410.01; and
68.2 	(2) "capital project of regional significance" means construction, expansion, or 
68.3 	renovation of a sports facility or convention or civic center, that has a construction cost 
68.4 	of at least $40,000,000.

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

68.6 	Sec. 4. USE OF THE STADIUM.
 68.7 		Subdivision 1.Amateur sports use. The lessee of the stadium must make the 
68.8 	facilities of the stadium available to the Minnesota Amateur Sports Commission up to 
68.9 	ten days each year on terms satisfactory to the commission for amateur sports activities 
68.10 	consistent with Minnesota Statutes, chapter 240A, each year during the time the bonds 
68.11 	issued pursuant to this act are outstanding. The commission must negotiate in good faith 
68.12 	and may be required to pay no more than actual out-of-pocket expenses for the time 
68.13 	it uses the stadium.
68.14 		Subd. 2.High school league. The lessee of the stadium must make the facilities of 
68.15 	the stadium available for use by the Minnesota State High School League for at least seven 
68.16 	days each year for high school soccer and football tournaments. The lessee of the stadium 
68.17 	must provide, and may not charge the league a fee for, this use, including security, ticket 
68.18 	takers, custodial or cleaning services, or other similar services in connection with this use.