1.1 	A bill for an act
1.2 	relating to transportation; establishing a local cost-share assistance account; 
1.3 	appropriating money for local roads and bridges; authorizing sale and issuance of 
1.4 	general obligation bonds;amending Minnesota Statutes 2016, section 174.52, 
1.5 	subdivision 2.
1.6 	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

1.7 	Section 1. Minnesota Statutes 2016, section 174.52, subdivision 2, is amended to read:
1.8 		Subd. 2.Trunk highway corridor projects Local cost-share assistance account. A 
1.9 	trunk highway corridor projectslocal cost-share assistance account is established in the 
1.10 	local road improvement fund. Money in the account is annually appropriated to the 
1.11 	commissioner of transportation for expenditure as specified in this section. Money in the 
1.12 	account must be used as grants or loans to statutory or home rule charter cities, towns, and 
1.13 	counties to assist in paying the local share of trunk highway projects that have local costs 
1.14 	that are directly or partially related to the trunk highway improvement and that are not 
1.15 	funded or are only partially funded with other state and federal funds. The commissioner 
1.16 	shall determine the amount of the local share of costs eligible for assistance from the account.

1.17 	Sec. 2. LOCAL BRIDGE REPLACEMENT AND REHABILITATION; 
1.18 	APPROPRIATION.
 1.19 	$....... is appropriated from the bond proceeds account in the state transportation fund 
1.20 	to the commissioner of transportation to match federal money and to replace or rehabilitate 
1.21 	local deficient bridges as provided in Minnesota Statutes, section 174.50. This appropriation 
1.22 	is for the actual construction, reconstruction, and improvement of local bridges, including 
1.23 	design-build contracts and consultant usage to support these activities. This includes the 
2.1 	cost of actual payments to landowners for lands acquired for highway rights-of-way, 
2.2 	payments to lessees, interest subsidies, and relocation expenses. The commissioner, in 
2.3 	awarding grants under this appropriation, may establish priorities according to the master 
2.4 	bridge priority list.

2.5 	Sec. 3. LOCAL ROAD IMPROVEMENT FUND GRANTS; APPROPRIATION.
 2.6 	$....... is appropriated from the bond proceeds account in the state transportation fund 
2.7 	to the commissioner of transportation for: (1) construction and reconstruction of local roads 
2.8 	with statewide or regional significance under Minnesota Statutes, section 174.52, subdivision 
2.9 	4, with priority given to projects that will expand the state's ten-ton road system; and (2) 
2.10 	grants to counties to assist in paying the costs of rural road safety capital improvement 
2.11 	projects on county state-aid highways under Minnesota Statutes, section 174.52, subdivision 
2.12 	4a.

2.13 	Sec. 4. BOND AUTHORIZATION.
 2.14 	To provide the money appropriated in sections 2 and 3 from the bond proceeds account, 
2.15 	the commissioner of management and budget shall sell and issue bonds of the state in an 
2.16 	amount up to $....... in the manner, upon the terms, and with the effect prescribed by 
2.17 	Minnesota Statutes, sections 16A.631 to 16A.675, and by the Minnesota Constitution, article 
2.18 	XI, sections 4 to 7, at the times and in the amounts requested by the commissioner of 
2.19 	transportation.

2.20 	Sec. 5. EFFECTIVE DATE.
 2.21 	Sections 1 to 4 are effective the day following final enactment.