1.1 	A bill for an act
1.2 	relating to capital investment; authorizing spending to acquire and better public 
1.3 	land and buildings and other improvements of a capital nature with certain 
1.4 	conditions; modifying previous appropriations; establishing new programs and 
1.5 	modifying existing programs; authorizing the sale and issuance of state bonds; 
1.6 	appropriating money;amending Minnesota Statutes 2016, sections 13.6905, by 
1.7 	adding a subdivision; 13.7411, by adding a subdivision; 16A.967; 85.34, 
1.8 	subdivision 1; 115E.042; 160.18, by adding a subdivision; 162.145, subdivision 
1.9 	3; 174.52, subdivision 2; 219.015; 299A.55; 446A.072; 446A.073; 446A.081, 
1.10 	subdivision 9; 446A.12, subdivision 1; 462A.37, subdivision 5, by adding a 
1.11 	subdivision; Laws 2012, chapter 293, section 7, subdivision 3; Laws 2014, chapter 
1.12 	294, article 1, sections 7, subdivision 15; 17, subdivisions 6, 12; Laws 2015, First 
1.13 	Special Session chapter 5, article 1, section 10, subdivision 3; proposing coding 
1.14 	for new law in Minnesota Statutes, chapter 219; repealing Minnesota Statutes 
1.15 	2016, section 123A.446.
1.16 	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

1.17 	ARTICLE 1
1.18 	APPROPRIATIONS

1.19	Section 1. CAPITAL IMPROVEMENT APPROPRIATIONS.
 	
1.20 	The sums shown in the column under "Appropriations" are appropriated from the bond 
1.21 	proceeds fund, or another named fund, to the state agencies or officials indicated, to be 
1.22 	spent for public purposes. Appropriations of bond proceeds must be spent as authorized by 
1.23 	the Minnesota Constitution, article XI, section 5, paragraph (a), to acquire and better public 
1.24 	land and buildings and other public improvements of a capital nature, or as authorized by 
1.25 	the Minnesota Constitution, article XI, section 5, paragraphs (b) to (j), or article XIV. Unless 
1.26 	otherwise specified, money appropriated in this article for a capital program or project may 
1.27 	be used to pay state agency staff costs that are attributed directly to the capital program or 
1.28 	project in accordance with accounting policies adopted by the commissioner of management 
2.1 	and budget. Unless otherwise specified, the appropriations in this act are available until the 
2.2 	project is completed or abandoned subject to Minnesota Statutes, section 16A.642. Unless 
2.3 	otherwise specified in this article, money appropriated in this article for activities under 
2.4 	Minnesota Statutes, sections 16B.307, 84.946, and 135A.046, should not be used for projects 
2.5 	that can be financed within a reasonable time frame under Minnesota Statutes, section 
2.6 	16B.322 or 16C.144. Unless otherwise specified, general fund appropriations in this article 
2.7 	are onetime and are in fiscal year 2017.

2.8						APPROPRIATIONS

2.9	Sec. 2. UNIVERSITY OF MINNESOTA

2.10	Subdivision 1.Total Appropriation
 			$
	81,567,000
	
2.11 	To the Board of Regents of the University of 
2.12 	Minnesota for the purposes specified in this 
2.13 	section.

2.14
2.15	Subd. 2.Higher Education Asset Preservation 
and Replacement (HEAPR)
 				50,000,000
	
2.16 	To be spent in accordance with Minnesota 
2.17 	Statutes, section 135A.046.

2.18
2.19	Subd. 3.Chemical Sciences and Advanced 
Materials Science Building
 				27,167,000
	
2.20 	To design, construct, furnish, and equip a new 
2.21 	laboratory building on the Duluth campus, 
2.22 	including classrooms and research and 
2.23 	undergraduate instructional laboratories.

2.24
2.25	Subd. 4.Twin Cities - Plant Growth Research 
Facility
 				4,400,000
	
2.26 	To demolish the existing biological sciences 
2.27 	greenhouse and to predesign, design, 
2.28 	construct, furnish, and equip a greenhouse to 
2.29 	support learning and research on the St. Paul 
2.30 	campus.

2.31	Subd. 5.University Share
 					
2.32 	Except for the appropriation for HEAPR, the 
2.33 	appropriations in this section are intended to 
2.34 	cover approximately two-thirds of the cost of 
3.1 	each project. The remaining costs must be paid 
3.2 	from university sources.

3.3	Subd. 6.Unspent Appropriations
 					
3.4 	Upon substantial completion of a project 
3.5 	authorized in this section and after written 
3.6 	notice to the commissioner of management 
3.7 	and budget, the Board of Regents must use 
3.8 	any money remaining in the appropriation for 
3.9 	that project for HEAPR under Minnesota 
3.10 	Statutes, section 135A.046. The Board of 
3.11 	Regents must report by February 1 of each 
3.12 	even-numbered year to the chairs of the house 
3.13 	of representatives and senate committees with 
3.14 	jurisdiction over capital investment and higher 
3.15 	education finance, and to the chairs of the 
3.16 	house of representatives Ways and Means 
3.17 	Committee and the senate Finance Committee, 
3.18 	on how the remaining money has been 
3.19 	allocated or spent.

3.20
3.21	Sec. 3. MINNESOTA STATE COLLEGES AND 
UNIVERSITIES

3.22	Subdivision 1.Total Appropriation
 			$
	107,487,000
	
3.23 	To the Board of Trustees of the Minnesota 
3.24 	State Colleges and Universities for the 
3.25 	purposes specified in this section.

3.26
3.27	Subd. 2.Higher Education Asset Preservation 
and Replacement (HEAPR)
 				35,000,000
	
3.28 	To be spent in accordance with Minnesota 
3.29 	Statutes, section 135A.046.

3.30	Subd. 3.Hibbing Community College
 				9,958,000
	
3.31 	To demolish Building G and connecting links 
3.32 	or portions thereof, and to construct, renovate, 
3.33 	furnish, and equip buildings, links, and entry 
3.34 	spaces on the campus.

4.1
4.2	Subd. 4.Minnesota State Community and 
Technical College

4.3	(a) Fergus Falls campus
				978,000
	
4.4 	To design, renovate, furnish, and equip a new 
4.5 	Center for Student and Workforce Success 
4.6 	(CSWS) that integrates the Regional 
4.7 	Workforce Center. The board must enter into 
4.8 	a lease agreement with the commissioner of 
4.9 	employment and economic development, or 
4.10 	partners of the commissioner, for use of the 
4.11 	workforce center subject to Minnesota 
4.12 	Statutes, section 16A.695. The board must use 
4.13 	nonstate money for the remainder of the cost 
4.14 	of the renovation.

4.15	(b) Wadena campus
				820,000
	
4.16 	To design, renovate, furnish, and equip the 
4.17 	relocation of the current library to 
4.18 	underutilized space and converting the vacated 
4.19 	space into a centralized student services center.

4.20
4.21	Subd. 5.Northland Community and Technical 
College, East Grand Forks
 				826,000
	
4.22 	To design, renovate, furnish, and equip science 
4.23 	and radiological lab space on the East Grand 
4.24 	Forks campus.

4.25
4.26	Subd. 6.Riverland Community College, Albert 
Lea
 				7,427,000
	
4.27 	To design, construct, furnish, and equip the 
4.28 	renovation and expansion of the Trade and 
4.29 	Industrial Education Center on the Albert Lea 
4.30 	campus of Riverland Community College.

4.31	Subd. 7.South Central College, North Mankato
 				8,600,000
	
4.32 	To design, renovate, renew, furnish, and equip 
4.33 	laboratory, classroom and office spaces on the 
4.34 	North Mankato campus.

4.35	Subd. 8.St. Cloud State University
 				18,572,000
	
5.1 	To construct, renovate, furnish, and equip 
5.2 	Eastman Hall for the relocation of 
5.3 	consolidated student health services and 
5.4 	academic programs.

5.5
5.6	Subd. 9.Winona State University, Education 
Village, Phase 2
 				25,306,000
	
5.7 	To complete design, construct, renovate, 
5.8 	furnish, and equip Phase 2 of the Education 
5.9 	Village project, including the renovation of 
5.10 	Cathedral and Wabasha Halls and Wabasha 
5.11 	Rec, and remove obsolete portions of Wabasha 
5.12 	Rec and the Annex building between 
5.13 	Cathedral School and Wabasha Rec.

5.14	Subd. 10.Debt Service
 					
5.15 	(a) Except as provided in paragraph (b), the 
5.16 	Board of Trustees shall pay the debt service 
5.17 	on one-third of the principal amount of state 
5.18 	bonds sold to finance projects authorized by 
5.19 	this section. After each sale of general 
5.20 	obligation bonds, the commissioner of 
5.21 	management and budget shall notify the board 
5.22 	of the amounts assessed for each year for the 
5.23 	life of the bonds.
5.24 	(b) The board need not pay debt service on 
5.25 	bonds sold to finance HEAPR. Where a 
5.26 	nonstate match is required, the debt service is 
5.27 	due on a principal amount equal to one-third 
5.28 	of the total project cost, less the match 
5.29 	committed before the bonds are sold.
5.30 	(c) The commissioner of management and 
5.31 	budget shall reduce the board's assessment 
5.32 	each year by one-third of the net income from 
5.33 	investment of general obligation bond 
5.34 	proceeds in proportion to the amount of 
5.35 	principal and interest otherwise required to be 
6.1 	paid by the board. The board shall pay its 
6.2 	resulting net assessment to the commissioner 
6.3 	of management and budget by December 1 
6.4 	each year. If the board fails to make a payment 
6.5 	when due, the commissioner of management 
6.6 	and budget shall reduce allotments for 
6.7 	appropriations from the general fund otherwise 
6.8 	available to the board and apply the amount 
6.9 	of the reduction to cover the missed debt 
6.10 	service payment. The commissioner of 
6.11 	management and budget shall credit the 
6.12 	payments received from the board to the bond 
6.13 	debt service account in the state bond fund 
6.14 	each December 1 before money is transferred 
6.15 	from the general fund under Minnesota 
6.16 	Statutes, section 16A.641, subdivision 10.

6.17	Subd. 11.Unspent Appropriations
 					
6.18 	(a) Upon substantial completion of a project 
6.19 	authorized in this section and after written 
6.20 	notice to the commissioner of management 
6.21 	and budget, the board must use any money 
6.22 	remaining in the appropriation for that project 
6.23 	for HEAPR under Minnesota Statutes, section 
6.24 	135A.046. The Board of Trustees must report 
6.25 	by February 1 of each even-numbered year to 
6.26 	the chairs of the house of representatives and 
6.27 	senate committees with jurisdiction over 
6.28 	capital investment and higher education 
6.29 	finance, and to the chairs of the house of 
6.30 	representatives Ways and Means Committee 
6.31 	and the senate Finance Committee, on how 
6.32 	the remaining money has been allocated or 
6.33 	spent.
6.34 	(b) The unspent portion of an appropriation 
6.35 	for a project in this section that is complete is 
7.1 	available for HEAPR under this subdivision, 
7.2 	at the same campus as the project for which 
7.3 	the original appropriation was made and the 
7.4 	debt service requirement under subdivision 
7.5 	10 is reduced accordingly. Minnesota Statutes, 
7.6 	section 16A.642, applies from the date of the 
7.7 	original appropriation to the unspent amount 
7.8 	transferred.

7.9	Sec. 4. EDUCATION

7.10	Subdivision 1.Total Appropriation
 			$
	18,070,000
	
7.11 	To the commissioner of education for the 
7.12 	purposes specified in this section.

7.13	Subd. 2.Library Construction Grants
 				2,000,000
	
7.14 	For library construction grants under 
7.15 	Minnesota Statutes, section 134.45.

7.16
7.17	Subd. 3.Red Lake - Independent School District 
No. 38 Facility Projects
 				14,070,000
	
7.18 	(a) This appropriation is from the maximum 
7.19 	effort school loan fund for a capital loan to 
7.20 	Independent School District No. 38, Red Lake, 
7.21 	as provided in Minnesota Statutes, sections 
7.22 	126C.60 to 126C.72. This appropriation is to 
7.23 	complete design and construction of a 
7.24 	connection structure between the Red Lake 
7.25 	Early Learning Childhood Center and Red 
7.26 	Lake Elementary School; renovations to 
7.27 	various classrooms, labs, and support rooms; 
7.28 	updating of mechanical systems; and 
7.29 	expansion of the cafeteria. Before any capital 
7.30 	loan contract is approved under this 
7.31 	subdivision, the district must provide 
7.32 	documentation acceptable to the commissioner 
7.33 	of education on how the capital loan will be 
7.34 	used.
8.1 	(b) The commissioner of administration may 
8.2 	provide project management services to assist 
8.3 	the Department of Education with oversight 
8.4 	of the project. No money for construction may 
8.5 	be distributed by the commissioner of 
8.6 	education to the recipient school district until 
8.7 	bids have been received on 100 percent of the 
8.8 	construction documents and satisfactory 
8.9 	documentation has been submitted to the 
8.10 	commissioner of education indicating the 
8.11 	project can be fully completed with money 
8.12 	available for the project.
8.13 	(c) Notwithstanding the timelines in Minnesota 
8.14 	Statutes, section 126C.69, subdivision 11, 
8.15 	Independent School District No. 38, Red Lake, 
8.16 	must submit the question authorizing the 
8.17 	borrowing of money for the facilities to voters 
8.18 	of the district at the first general election after 
8.19 	the effective date of this section.

8.20	Subd. 4.Grand Rapids - Myles Reif Center
 				500,000
	
8.21 	From the general fund for a grant to 
8.22 	Independent School District No. 318, Grand 
8.23 	Rapids, to cover cost overruns for the Myles 
8.24 	Reif Center for the Performing Arts project in 
8.25 	Grand Rapids. This appropriation is added to 
8.26 	and is for the same purposes as the project in 
8.27 	Laws 2014, chapter 294, article 1, section 21, 
8.28 	subdivision 8. This appropriation does not 
8.29 	require a nonstate contribution.

8.30
8.31	Subd. 5.Olmsted County - Dyslexia Institute of 
Minnesota
 				1,500,000
	
8.32 	For a grant to Olmsted County to acquire land 
8.33 	for and to predesign, design, construct, furnish, 
8.34 	and equip a facility in Olmsted County to 
8.35 	support the local, regional, and national 
9.1 	literacy work of the Dyslexia Institute of 
9.2 	Minnesota, subject to Minnesota Statutes, 
9.3 	section 16A.695. This appropriation is not 
9.4 	available until the commissioner of 
9.5 	management and budget determines that an 
9.6 	equal amount is committed from nonstate 
9.7 	sources.

9.8	Sec. 5. MINNESOTA STATE ACADEMIES

9.9	Subdivision 1.Total Appropriation
 			$
	2,050,000
	
9.10 	To the commissioner of administration for the 
9.11 	purposes specified in this section.

9.12	Subd. 2.Asset Preservation
 				2,000,000
	
9.13 	For capital asset preservation improvements 
9.14 	and betterments on both campuses of the 
9.15 	Minnesota State Academies, to be spent in 
9.16 	accordance with Minnesota Statutes, section 
9.17 	16B.307.

9.18	Subd. 3.Security Corridor
 				50,000
	
9.19 	For predesign for a safety corridor on the 
9.20 	Minnesota State Academy for the Deaf 
9.21 	campus.

9.22	Sec. 6. NATURAL RESOURCES

9.23	Subdivision 1.Total Appropriation
 			$
	63,211,000
	
9.24 	(a) To the commissioner of natural resources 
9.25 	for the purposes specified in this section.
9.26 	(b) The appropriations in this section are 
9.27 	subject to the requirements of the natural 
9.28 	resources capital improvement program under 
9.29 	Minnesota Statutes, section 86A.12, unless 
9.30 	this section or the statutes referred to in this 
9.31 	section provide more specific standards, 
10.1 	criteria, or priorities for projects than 
10.2 	Minnesota Statutes, section 86A.12.

10.3	Subd. 2.Natural Resources Asset Preservation
 				25,866,000
	
10.4 	For the renovation of state-owned facilities 
10.5 	and recreational assets operated by the 
10.6 	commissioner of natural resources to be spent 
10.7 	in accordance with Minnesota Statutes, section 
10.8 	84.946. Notwithstanding Minnesota Statutes, 
10.9 	section 84.946: (1) the commissioner may use 
10.10 	this appropriation to replace buildings if, 
10.11 	considering the embedded energy in the 
10.12 	building, that is the most energy-efficient and 
10.13 	carbon-reducing method of renovation; and 
10.14 	(2) this appropriation may be used for projects 
10.15 	to remove life safety hazards such as building 
10.16 	code violations or structural defects.

10.17	Subd. 3.Flood Hazard Mitigation
 				11,555,000
	
10.18 	(a) For the state share of flood hazard 
10.19 	mitigation grants for publicly owned capital 
10.20 	improvements to prevent or alleviate flood 
10.21 	damage under Minnesota Statutes, section 
10.22 	103F.161.
10.23 	(b) Levee projects, to the extent practical, shall 
10.24 	meet the state standard of three feet above the 
10.25 	100-year flood elevation.
10.26 	(c) Project priorities shall be determined by 
10.27 	the commissioner as appropriate and based on 
10.28 	need.
10.29 	(d) This appropriation includes $1,700,000 for 
10.30 	the Cedar River Watershed District, $750,000 
10.31 	for the city of Browns Valley project, and 
10.32 	$1,800,000 for the city of Ortonville project.
10.33 	(e) For any project listed in this subdivision 
10.34 	that the commissioner determines is not ready 
11.1 	to proceed or does not expend all the money 
11.2 	allocated to it, the commissioner may allocate 
11.3 	that project's money to a project on the 
11.4 	commissioner's priority list.
11.5 	(f) To the extent that the cost of a project 
11.6 	exceeds two percent of the median household 
11.7 	income in a municipality or township 
11.8 	multiplied by the number of households in the 
11.9 	municipality or township, this appropriation 
11.10 	is also for the local share of the project.
11.11 	(g) To the extent practicable and consistent 
11.12 	with the project, recipients of appropriations 
11.13 	for flood damage reduction projects in this 
11.14 	subdivision shall create wetlands that are 
11.15 	eligible for wetland replacement credit to 
11.16 	replace wetlands drained or filled as a result 
11.17 	of repair, reconstruction, replacement, or 
11.18 	rehabilitation of an existing public road under 
11.19 	Minnesota Statutes, section 103G.222, 
11.20 	subdivision 1, paragraphs (l) and (m).
11.21 	(h) Wetlands established by flood control 
11.22 	projects funded in this subdivision that are not 
11.23 	needed for replacement credit as part of a 
11.24 	flood damage project funded in this 
11.25 	subdivision, are eligible for wetland 
11.26 	replacement credit under Minnesota Statutes, 
11.27 	sections 103G.222 to 103G.2243.

11.28	Subd. 4.Dam Renovation, Repair, Removal
 				9,000,000
	
11.29 	For design, engineering, and construction to 
11.30 	repair, reconstruct, or remove dams and 
11.31 	respond to dam safety emergencies. The 
11.32 	commissioner shall determine project priorities 
11.33 	as appropriate under Minnesota Statutes, 
11.34 	sections 103G.511 and 103G.515. Of this 
11.35 	appropriation:
12.1 	$500,000 is for emergencies on state-owned 
12.2 	dams;
12.3 	$3,600,000 is for a grant to the city of 
12.4 	Lanesboro for repair of the Lanesboro dam 
12.5 	and notwithstanding the match requirements 
12.6 	in Minnesota Statutes, section 103G.511, does 
12.7 	not require a nonstate contribution. This 
12.8 	includes funding for repairs of the hydropower 
12.9 	system;
12.10 	$2,500,000 is for repairs of the Lake Bronson 
12.11 	dam;
12.12 	$500,000 is for a grant to the city of Pelican 
12.13 	Rapids for engineering work for the Pelican 
12.14 	Rapids dam;
12.15 	$200,000 is for a grant to the city of Pine 
12.16 	River for engineering work on the Norway 
12.17 	Lake dam;
12.18 	$200,000 is for a grant to Yellow Medicine 
12.19 	County for the Canby R-6 impoundment dam;
12.20 	$100,000 is for a grant to St. Louis County for 
12.21 	the Little Stone Lake dam; and
12.22 	$1,400,000 is for state dams at Brawner, West 
12.23 	Leaf Lake, Collinwood, Grindstone River, and 
12.24 	Sullivan.
12.25 	If the commissioner determines that a project 
12.26 	is not ready to proceed, this appropriation may 
12.27 	be used for other projects on the 
12.28 	commissioner's priority list.

12.29	Subd. 5.Reforestation and Stand Improvement
 				1,000,000
	
12.30 	To provide for reforestation and stand 
12.31 	improvement on state forest lands to meet the 
12.32 	reforestation requirements of Minnesota 
12.33 	Statutes, section 89.002, subdivision 2, 
13.1 	including purchasing native seeds and native 
13.2 	seedlings, planting, seeding, site preparation, 
13.3 	and protection on state lands administered by 
13.4 	the commissioner.

13.5
13.6	Subd. 6.State Trail and Recreation Area 
Development
 				11,490,000
	
13.7 	$2,000,000 is for acquisition and development 
13.8 	of the Gitchi-Gami State Trail, Grand Marais 
13.9 	to Cascade State Park, and through the town 
13.10 	of Tofte.
13.11 	$2,590,000 is for the Glacial Lakes Trail, to 
13.12 	complete an approximately 6-1/4 mile trail 
13.13 	connection between New London and Sibley 
13.14 	State Park, and repair of the bicycle trail in 
13.15 	Sibley State Park.
13.16 	$3,300,000 is to design, develop, and complete 
13.17 	the Heartland State Trail from Detroit Lakes 
13.18 	to Frazee and, to the extent there is sufficient 
13.19 	money, for work on the spur from Park Rapids 
13.20 	to Itasca State Park.
13.21 	$3,600,000 is for acquisition and development 
13.22 	in the Cuyuna Country State Recreation Area, 
13.23 	including the Cuyuna Mountain Bike System.

13.24	Subd. 7.Champlin - Mill Pond
 				3,300,000
	
13.25 	For a grant to the city of Champlin to dredge 
13.26 	and remove sediment and for other capital 
13.27 	improvements of the Champlin Mill Pond 
13.28 	necessary to improve water quality, restore 
13.29 	fish habitat, and provide other public benefits.

13.30
13.31	Subd. 8.Lake County - Prospectors ATV Trail 
System
 				1,000,000
	
13.32 	For a grant to Lake County for construction, 
13.33 	including bridges, of the Prospectors ATV 
13.34 	Trail System linking the communities of Ely, 
14.1 	Babbitt, Embarrass, and Tower; Bear Head 
14.2 	Lake and Lake Vermilion-Soudan 
14.3 	Underground Mine State Parks; the Taconite 
14.4 	State Trail; and the Lake County Regional 
14.5 	ATV Trail System. This appropriation is not 
14.6 	available until the commissioner of 
14.7 	management and budget determines that an 
14.8 	equal amount is committed from other sources.

14.9	Subd. 9.Unspent Appropriations
 					
14.10 	The unspent portion of an appropriation for a 
14.11 	project in this section that is complete, upon 
14.12 	written notice to the commissioner of 
14.13 	management and budget, is available for asset 
14.14 	preservation under Minnesota Statutes, section 
14.15 	84.946. Minnesota Statutes, section 16A.642, 
14.16 	applies from the date of the original 
14.17 	appropriation to the unspent amount 
14.18 	transferred.

14.19	Sec. 7. POLLUTION CONTROL AGENCY

14.20	Subdivision 1.Total Appropriation
 			$
	30,405,000
	
14.21 	To the commissioner of the Pollution Control 
14.22 	Agency for the purposes specified in this 
14.23 	section.

14.24	Subd. 2.St. Louis River Cleanup
 				12,705,000
	
14.25 	To design and implement contaminated 
14.26 	sediment management actions identified in 
14.27 	the St. Louis River remedial action plan to 
14.28 	restore water quality in the St. Louis River 
14.29 	Area of Concern. The agency shall enter into 
14.30 	partnership agreements with federal agencies, 
14.31 	where possible, to complete this project work 
14.32 	by December 31, 2020.

14.33	Subd. 3.Closed Landfill Cleanup
 				650,000
	
15.1 	To design and construct remedial systems and 
15.2 	acquire land at closed landfills throughout the 
15.3 	state in accordance with the closed landfill 
15.4 	program under Minnesota Statutes, sections 
15.5 	115B.39 to 115B.42. The agency must follow 
15.6 	the agency priorities, which includes a 
15.7 	construction project at the waste disposal 
15.8 	engineering (WDE) site in Anoka County.

15.9	Subd. 4.Capital Assistance Program
 				9,250,000
	
15.10 	(a) For the solid waste capital assistance grant 
15.11 	program under Minnesota Statutes, section 
15.12 	115A.54.
15.13 	(b) Of this appropriation, $9,250,000 is for a 
15.14 	grant to Polk County to complete a regional 
15.15 	integrated solid waste management system. 
15.16 	An additional renewable energy component 
15.17 	shall not be mandated as a requirement of this 
15.18 	project to qualify for funding under this 
15.19 	section.

15.20
15.21
15.22	Subd. 5.Redwood-Cottonwood Rivers Joint 
Powers - Lake Redwood Reclamation and 
Enhancement Project
 				7,800,000
	
15.23 	For a grant to the Redwood-Cottonwood 
15.24 	Rivers control area, a joint powers entity, to 
15.25 	predesign, design, construct, and equip the 
15.26 	reservoir reclamation and enhancement of the 
15.27 	66-acre Lake Redwood Reservoir, to remove 
15.28 	approximately 650,000 cubic yards of 
15.29 	sediment and increase its depth from 
15.30 	approximately 2.8 feet to approximately 20 
15.31 	feet in order to secure renewable energy 
15.32 	capacity of the hydroelectric dam which is 
15.33 	impeded by lack of water capacity, reduce the 
15.34 	flow of pollutants to the Minnesota River, and 
15.35 	increase fish habitat and enhance recreational 
15.36 	opportunities.

16.1
16.2	Sec. 8. BOARD OF WATER AND SOIL 
RESOURCES

16.3	Subdivision 1.Total Appropriation
 			$
	15,000,000
	
16.4 	To the Board of Water and Soil Resources for 
16.5 	the purposes specified in this section.

16.6
16.7	Subd. 2.Reinvest in Minnesota (RIM) Reserve 
Program
 				10,000,000
	
16.8 	(a) To acquire conservation easements from 
16.9 	landowners to preserve, restore, create, and 
16.10 	enhance wetlands and associated uplands of 
16.11 	prairie and grasslands, and restore and enhance 
16.12 	rivers and streams, riparian lands, and 
16.13 	associated uplands of prairie and grasslands 
16.14 	in order to protect soil and water quality, 
16.15 	support fish and wildlife habitat, reduce flood 
16.16 	damage, and provide other public benefits. 
16.17 	The provisions of Minnesota Statutes, section 
16.18 	103F.515, apply to this program.
16.19 	(b) The board shall give priority to leveraging 
16.20 	federal money by enrolling targeted new lands 
16.21 	or enrolling environmentally sensitive lands 
16.22 	that have expiring federal conservation 
16.23 	agreements.
16.24 	(c) The board is authorized to enter into new 
16.25 	agreements and amend past agreements with 
16.26 	landowners as required by Minnesota Statutes, 
16.27 	section 103F.515, subdivision 5, to allow for 
16.28 	restoration. Of this appropriation, up to five 
16.29 	percent may be used for restoration and 
16.30 	enhancement.

16.31
16.32	Subd. 3.Local Government Roads Wetland 
Replacement Program
 				5,000,000
	
16.33 	To acquire land or permanent easements and 
16.34 	to restore, create, enhance, and preserve 
16.35 	wetlands to replace those wetlands drained or 
17.1 	filled as a result of the repair, reconstruction, 
17.2 	replacement, or rehabilitation of existing 
17.3 	public roads as required by Minnesota 
17.4 	Statutes, section 103G.222, subdivision 1, 
17.5 	paragraphs (l) and (m). The board may vary 
17.6 	the priority order of Minnesota Statutes, 
17.7 	section 103G.222, subdivision 3, paragraph 
17.8 	(a), to implement an in-lieu fee agreement 
17.9 	approved by the U.S. Army Corps of 
17.10 	Engineers under section 404 of the Clean 
17.11 	Water Act. The purchase price paid for 
17.12 	acquisition of land or perpetual easement must 
17.13 	be a fair market value as determined by the 
17.14 	board. The board may enter into agreements 
17.15 	with the federal government, other state 
17.16 	agencies, political subdivisions, nonprofit 
17.17 	organizations, fee title owners, or other 
17.18 	qualified private entities to acquire wetland 
17.19 	replacement credits in accordance with 
17.20 	Minnesota Rules, chapter 8420.

17.21	Sec. 9. AGRICULTURE

17.22	Subdivision 1.Total Appropriations
 			$
	2,824,000
	
17.23 	To the commissioner of agriculture for the 
17.24 	purposes specified in this section.

17.25	Subd. 2.Agriculture Lab
 				2,218,000
	
17.26 	From the general fund for equipment and 
17.27 	instruments for the agriculture laboratory. This 
17.28 	appropriation is available until June 30, 2022.

17.29	Subd. 3.AURI
 				606,000
	
17.30 	From the general fund for a grant to 
17.31 	Agricultural Utilization Research Institute 
17.32 	(AURI) for construction of a development 
17.33 	kitchen, sensory lab, and safety and security 
17.34 	upgrades at AURI's Marshall facility and for 
18.1 	communications and information technology 
18.2 	upgrades at the Crookston, Marshall, and 
18.3 	Waseca facilities.

18.4
18.5	Sec. 10. MINNESOTA ZOOLOGICAL 
GARDEN

18.6	Subdivision 1.Total Appropriation
 			$
	4,000,000
	
18.7 	To the Minnesota Zoological Garden Board 
18.8 	for the purposes specified in this section.

18.9	Subd. 2.Asset Preservation
 				4,000,000
	
18.10 	For capital asset preservation improvements 
18.11 	and betterments to infrastructure and exhibits 
18.12 	at the Minnesota Zoo, to be spent in 
18.13 	accordance with Minnesota Statutes, section 
18.14 	16B.307. Notwithstanding the specified uses 
18.15 	of money under Minnesota Statutes, section 
18.16 	16B.307, the board may use this appropriation 
18.17 	to replace buildings that are poor in condition, 
18.18 	outdated, and no longer support the work of 
18.19 	the Minnesota Zoo and to construct and 
18.20 	renovate trails and roads on the Minnesota 
18.21 	Zoo site.

18.22	Sec. 11. ADMINISTRATION

18.23	Subdivision 1.Total Appropriation
 			$
	26,178,000
	
18.24 	To the commissioner of administration for the 
18.25 	purposes specified in this section.

18.26	Subd. 2.Centennial Parking Ramp
 				10,878,000
	
18.27 	(a) To complete design and for structural 
18.28 	repairs to the Centennial parking ramp, 
18.29 	including removal of the top deck green space 
18.30 	to provide additional parking capacity, 
18.31 	repairing damaged post-tension cables, and 
18.32 	installation of a deck surface protection 
18.33 	coating.
19.1 	(b) Any unexpended amount of this 
19.2 	appropriation after completing the project in 
19.3 	paragraph (a) may be used to design and 
19.4 	construct a storm water retention basin 
19.5 	adjacent to the Centennial parking ramp, if the 
19.6 	commissioner of administration determines 
19.7 	that the basin is feasible.

19.8
19.9	Subd. 3.Capital Asset Preservation and 
Replacement Account
 				2,500,000
	
19.10 	To be spent in accordance with Minnesota 
19.11 	Statutes, section 16A.632.

19.12
19.13	Subd. 4.Capitol Complex Monuments and 
Memorials
 				350,000
	
19.14 	To design and complete critical repairs to the 
19.15 	Peace Officers and Roy Wilkins Memorials 
19.16 	located on the Capitol complex.

19.17
19.18	Subd. 5.Capitol Complex - Physical Security 
Upgrades
 				10,500,000
	
19.19 	For the design, construction, and equipping 
19.20 	required to upgrade the physical security 
19.21 	elements and systems for one or more of the 
19.22 	buildings listed below, their attached tunnel 
19.23 	systems and surrounding grounds, and parking 
19.24 	facilities as identified in the 2014 Minnesota 
19.25 	State Capitol Complex Physical Security Study 
19.26 	conducted by Miller Dunwiddie Architecture. 
19.27 	Work includes but is not limited to the 
19.28 	installation of bollards, blast protection, 
19.29 	infrastructure security screen walls, door 
19.30 	access controls, emergency call stations, 
19.31 	security kiosks, locking devices, and traffic 
19.32 	control to the extent these funds allow. This 
19.33 	appropriation is for work associated with one 
19.34 	or more of the following buildings: 
19.35 	Administration, Centennial, Judicial, 
19.36 	Ag/Health Lab, Minnesota History Center, 
20.1 	Minnesota History Center Loading Dock, 
20.2 	Capitol Complex Power Plant and Shops, 
20.3 	Stassen, State Office, and Veterans Service.

20.4	Subd. 6.Granite Falls - Pioneer Public Television
 				1,950,000
	
20.5 	From the general fund to provide an equipment 
20.6 	grant to Pioneer Public Television as part of 
20.7 	the station's construction of a new facility in 
20.8 	Granite Falls, Minnesota. The money may be 
20.9 	used to purchase and install equipment 
20.10 	necessary to the station's operation. This 
20.11 	appropriation does not require a nonstate 
20.12 	contribution.

20.13	Sec. 12. MN.IT
 			$
	$1,432,000
	
20.14 	To the commissioner of administration to 
20.15 	predesign, design, construct, renovate, furnish, 
20.16 	and equip existing state data center facilities 
20.17 	at the Bureau of Criminal Apprehension's 
20.18 	Maryland Avenue office building and at the 
20.19 	Department of Revenue's Stassen Office 
20.20 	Building for the purpose of decommissioning 
20.21 	and repurposing into usable space.

20.22	Sec. 13. MILITARY AFFAIRS
 			$
	2,500,000
	
20.23 	To the adjutant general for asset preservation 
20.24 	improvements and betterments of a capital 
20.25 	nature at military affairs facilities statewide, 
20.26 	to be spent in accordance with Minnesota 
20.27 	Statutes, section 16B.307.

20.28	Sec. 14. PUBLIC SAFETY
 			$
	3,521,000
	
20.29 	To the adjutant general to predesign, design, 
20.30 	construct, and equip a joint emergency railroad 
20.31 	and pipeline emergency response training 
20.32 	facility at Camp Ripley. The project includes 
21.1 	construction of stations and capital 
21.2 	infrastructure needed for mock disaster 
21.3 	training, including infrastructure for training 
21.4 	in hazardous materials abatement and site 
21.5 	recovery work.

21.6	Sec. 15. TRANSPORTATION

21.7	Subdivision 1.Total Appropriation
 			$
	272,795,000
	
21.8 	To the commissioner of transportation for the 
21.9 	purposes specified in this section.

21.10
21.11	Subd. 2.Local Bridge Replacement and 
Rehabilitation
 				90,000,000
	
21.12 	From the bond proceeds account in the state 
21.13 	transportation fund to match federal money 
21.14 	and to replace or rehabilitate local deficient 
21.15 	bridges as provided in Minnesota Statutes, 
21.16 	section 174.50.

21.17	Subd. 3.Local Road Improvement Fund Grants
 				141,196,000
	
21.18 	(a) From the bond proceeds account in the 
21.19 	state transportation fund as provided in 
21.20 	Minnesota Statutes, section 174.50, for grants 
21.21 	under Minnesota Statutes, section 174.52, 
21.22 	subdivision 2, for construction and 
21.23 	reconstruction of local roads with statewide 
21.24 	or regional significance under Minnesota 
21.25 	Statutes, section 174.52, subdivision 4, or for 
21.26 	grants to counties to assist in paying the costs 
21.27 	of rural road safety capital improvement 
21.28 	projects on county state-aid highways under 
21.29 	Minnesota Statutes, section 174.52, 
21.30 	subdivision 4a.
21.31 	(b) Of this amount, $9,000,000 is for a grant 
21.32 	to Anoka County to complete the design, land 
21.33 	acquisition, engineering, and construction of 
21.34 	County State-Aid Highway 23, known as Lake 
22.1 	Drive, County State-Aid Highway 54, known 
22.2 	as West Freeway Drive, and to Hornsby Street 
22.3 	in the city of Columbus to support the overall 
22.4 	interchange project.
22.5 	(c) Of this amount, $1,000,000 is for a grant 
22.6 	to the town of Appleton in Swift County for 
22.7 	upgrades to an existing township road to 
22.8 	provide for a paved, ten-ton capacity township 
22.9 	road extending between marked Trunk 
22.10 	Highways 7 and 119.
22.11 	(d) This appropriation includes money for a 
22.12 	grant to the city of Baxter for 50 percent of 
22.13 	total project cost for the acquisition of land or 
22.14 	interests in land, environmental analysis and 
22.15 	environmental cleanup, predesign, design, 
22.16 	engineering, and construction of improvements 
22.17 	to Cypress Drive, including expansion to a 
22.18 	four-lane divided urban roadway, between 
22.19 	Excelsior Road and College Road.
22.20 	(e) Of this amount, $3,246,000 is for a grant 
22.21 	to the city of Blaine to predesign, design, and 
22.22 	reconstruct 105th Avenue in the vicinity of 
22.23 	the National Sports Center in Blaine. The 
22.24 	reconstruction will include changing the street 
22.25 	from five lanes to four lanes with median, turn 
22.26 	lanes, sidewalk, trail, landscaping, lighting, 
22.27 	and consolidation of access driveways. This 
22.28 	appropriation is not available until the 
22.29 	commissioner of management and budget 
22.30 	determines that at least $3,000,000 is 
22.31 	committed to the project from sources 
22.32 	available to the city, including municipal state 
22.33 	aid and county turnback funds.
22.34 	(f) Of this amount, $25,000,000 is for a grant 
22.35 	to Hennepin County for design, right-of-way 
23.1 	acquisition, engineering, and construction of 
23.2 	public improvements related to the Interstate 
23.3 	Highway 35W and Lake Street access project 
23.4 	and related improvements within the Interstate 
23.5 	Highway 35W corridor. This appropriation is 
23.6 	not available until the commissioner of 
23.7 	management and budget determines that an 
23.8 	amount sufficient to complete the Interstate 
23.9 	Highway 35W and Lake Street access project 
23.10 	has been committed to the project.
23.11 	(g) Of this amount, $20,500,000 is for a grant 
23.12 	to Ramsey County for preliminary and final 
23.13 	design, right-of-way acquisition, engineering, 
23.14 	contract administration, and construction of 
23.15 	public improvements related to the 
23.16 	construction of the interchange of marked 
23.17 	Interstate Highway 694 and Rice Street, 
23.18 	Ramsey County State-Aid Highway 49, in 
23.19 	Ramsey County.
23.20 	(h) Of this amount, $700,000 is for a grant to 
23.21 	Redwood County for paving Nobles Avenue 
23.22 	as the main access road to a new State 
23.23 	Veterans Cemetery to be located in Paxton 
23.24 	Township.

23.25	Subd. 4.Rail Grade Separations
 				26,749,000
	
23.26 	To design and construct rail safety projects at 
23.27 	highway-rail grade crossings in accordance 
23.28 	with Minnesota Statutes, section 219.016. Of 
23.29 	this appropriation:
23.30 	(1) $11,987,000 is for a grant to Anoka County 
23.31 	for environmental analysis, design, 
23.32 	engineering, removal of an existing structure, 
23.33 	and construction of a rail grade crossing 
23.34 	separation at Anoka County State-Aid 
24.1 	Highway 78, known as Hanson Boulevard, in 
24.2 	Coon Rapids.
24.3 	(2) $14,762,000 is for a grant to the city of 
24.4 	Red Wing for environmental analysis, design, 
24.5 	engineering, removal of an existing structure, 
24.6 	and construction of a rail grade crossing 
24.7 	separation at Sturgeon Lake Road.

24.8	Subd. 5.Railroad Warning Devices
 				1,000,000
	
24.9 	To design, construct, and equip new rail grade 
24.10 	crossing warning safety devices at active 
24.11 	highway-rail grade crossings, or to replace 
24.12 	active highway-rail grade warning safety 
24.13 	devices that have reached the end of their 
24.14 	useful life.

24.15
24.16	Subd. 6.Minnesota Valley Regional Rail 
Authority
 				4,000,000
	
24.17 	For a grant to the Minnesota Valley Regional 
24.18 	Rail Authority for the rehabilitation of a 
24.19 	portion of the railroad track between Winthrop 
24.20 	and Hanley Falls. The grant under this 
24.21 	subdivision may also be used for any required 
24.22 	environmental documentation and 
24.23 	remediation, predesign, design, and 
24.24 	rehabilitation or replacement of bridges with 
24.25 	new bridges or culverts between Winthrop and 
24.26 	Hanley Falls. A grant under this section is in 
24.27 	addition to any grant, loan, or loan guarantee 
24.28 	for this project made by the commissioner 
24.29 	under Minnesota Statutes, sections 222.46 to 
24.30 	222.62. This appropriation is in addition to 
24.31 	the appropriations in Laws 2006, chapter 258, 
24.32 	section 16, subdivision 6; Laws 2008, chapter 
24.33 	179, section 16, subdivision 5; Laws 2009, 
24.34 	chapter 93, article 1, section 11, subdivision 
24.35 	4; Laws 2010, chapter 189, section 15, 
25.1 	subdivision 5; and Laws 2015, First Special 
25.2 	Session chapter 5, article 1, section 10, 
25.3 	subdivision 4.

25.4	Subd. 7.Hugo - Short Line Railway
 				1,100,000
	
25.5 	For a grant to Minnesota Commercial Railway 
25.6 	for construction of repairs and other capital 
25.7 	improvements to approximately 6.5 miles of 
25.8 	railroad track described as that portion of the 
25.9 	Minnesota Commercial Railway main running 
25.10 	lead, between M & D Junction in White Bear 
25.11 	Lake and the end of the track in Hugo. This 
25.12 	appropriation must be used for the purposes 
25.13 	set forth in the Minnesota Constitution, article 
25.14 	XI, section 5, clause (i), to improve and 
25.15 	rehabilitate railroad rights-of-way and other 
25.16 	rail facilities, whether public or private. This 
25.17 	appropriation does not require a nonstate 
25.18 	match.

25.19	Subd. 8.Port Development Assistance
 				5,000,000
	
25.20 	For grants under Minnesota Statutes, chapter 
25.21 	457A. Any improvements made with the 
25.22 	proceeds of these grants must be publicly 
25.23 	owned.

25.24
25.25	Subd. 9.International Falls-Koochiching County 
Airport Commission
 				3,000,000
	
25.26 	(a) For a grant to the International 
25.27 	Falls-Koochiching County Airport 
25.28 	Commission for the following improvements 
25.29 	to the Falls International Airport:
25.30 	(1) demolition of the existing terminal 
25.31 	building;
25.32 	(2) rehabilitation;
25.33 	(3) site preparation, including utilities and civil 
25.34 	work;
26.1 	(4) design, construction, furnishing, and 
26.2 	equipping Phase II of the new terminal 
26.3 	building, including a Transportation Safety 
26.4 	Administration office, weather office, 
26.5 	conference room, circulation corridor, airport 
26.6 	administration offices, United States Customs 
26.7 	and Border Protection storage rooms, offices, 
26.8 	restrooms, passenger-processing area, 
26.9 	wet-hold room, interview room, search room, 
26.10 	precustoms and postcustoms passenger waiting 
26.11 	areas, and vestibule; and
26.12 	(5) associated appurtenances of a capital 
26.13 	nature.
26.14 	(b) After completion of the improvements 
26.15 	under paragraph (a), any unspent money from 
26.16 	this appropriation may be used by the 
26.17 	International Falls-Koochiching County 
26.18 	Airport Commission for a commercial airline 
26.19 	apron expansion project at the Falls 
26.20 	International Airport.
26.21 	(c) This appropriation does not require a 
26.22 	nonstate contribution or match.

26.23	Subd. 10.Grand Rapids - Pedestrian Bridge
 				750,000
	
26.24 	For a grant to the city of Grand Rapids to 
26.25 	design the construction of a bridge over the 
26.26 	Mississippi River for pedestrian and bicycle 
26.27 	use to provide a safe alternative route to the 
26.28 	existing marked Trunk Highway 169 vehicle 
26.29 	bridge, and to serve as a connection to existing 
26.30 	trail systems on each side of the river. This 
26.31 	appropriation is not available until the 
26.32 	commissioner determines that an equal amount 
26.33 	has been committed to the project from 
26.34 	nonstate sources.

27.1	Sec. 16. METROPOLITAN COUNCIL

27.2	Subdivision 1.Total Appropriation
 			$
	40,350,000
	
27.3 	To the Metropolitan Council for the purposes 
27.4 	specified in this section.

27.5
27.6	Subd. 2.Metropolitan Regional Parks and Trails 
Capital Improvements
 				5,000,000
	
27.7 	For the cost of improvements and betterments 
27.8 	of a capital nature and acquisition by the 
27.9 	council and local government units of regional 
27.10 	recreational open-space lands in accordance 
27.11 	with the council's policy plan as provided in 
27.12 	Minnesota Statutes, section 473.147. This 
27.13 	appropriation must not be used to purchase 
27.14 	easements.

27.15	Subd. 3.Metro Orange Line BRT
 				12,100,000
	
27.16 	Up to $12,100,000, but an amount that is no 
27.17 	more than ten percent of the total project cost, 
27.18 	is for the Metropolitan Council, or for the 
27.19 	Metropolitan Council to make grants to 
27.20 	political subdivisions, for design, acquisition 
27.21 	of right-of-way, engineering, and construction 
27.22 	of capital improvements along the I-35W 
27.23 	corridor for completion of the Metro Orange 
27.24 	Bus Rapid Transit (BRT) Line.

27.25	Subd. 4.Mall of America Station
 				8,750,000
	
27.26 	For design and construction of improvements 
27.27 	to the Mall of America Station on the 
27.28 	Hiawatha Corridor light rail transit line, 
27.29 	subject to Minnesota Statutes, section 
27.30 	16A.695. The Metropolitan Council must 
27.31 	consult with the city of Bloomington 
27.32 	throughout the design and construction 
27.33 	process.

27.34
27.35	Subd. 5.Metropolitan Cities Inflow and 
Infiltration Grants
 				2,500,000
	
28.1 	For grants to cities within the metropolitan 
28.2 	area, as defined in Minnesota Statutes, section 
28.3 	473.121, subdivision 2, for capital 
28.4 	improvements in municipal wastewater 
28.5 	collection systems to reduce the amount of 
28.6 	inflow and infiltration to the Metropolitan 
28.7 	Council's metropolitan sanitary sewer disposal 
28.8 	system. Grants from this appropriation are for 
28.9 	up to 50 percent of the cost to mitigate inflow 
28.10 	and infiltration in the publicly owned 
28.11 	municipal wastewater collection systems. To 
28.12 	be eligible for a grant, a city must be identified 
28.13 	by the council as a contributor of excessive 
28.14 	inflow and infiltration in the metropolitan 
28.15 	disposal system or have a measured flow rate 
28.16 	within 20 percent of its allowable 
28.17 	council-determined inflow and infiltration 
28.18 	limits. The council must award grants based 
28.19 	on applications from cities that identify 
28.20 	eligible capital costs and include a timeline 
28.21 	for inflow and infiltration mitigation 
28.22 	construction, pursuant to guidelines 
28.23 	established by the council.

28.24	Subd. 6.St. Paul - Como Zoo
 				12,000,000
	
28.25 	For a grant to the city of St. Paul for predesign, 
28.26 	design, and engineering of Phase I of the 
28.27 	renovation of seal and sea lion habitat at the 
28.28 	Como Zoo. The renovated habitat will support 
28.29 	the zoo education programs. This 
28.30 	appropriation is not available until the 
28.31 	commissioner of management and budget 
28.32 	determines that at least $1,100,000 is 
28.33 	committed to the project from nonstate 
28.34 	sources.

28.35	Sec. 17. HEALTH
 			$
	2,335,000
	
29.1 	From the general fund in fiscal year 2017 to 
29.2 	the commissioner of health for equipment and 
29.3 	instruments for the public health laboratory. 
29.4 	Notwithstanding Minnesota Statutes, section 
29.5 	16A.642, this appropriation is available until 
29.6 	June 30, 2022.

29.7	Sec. 18. HUMAN SERVICES

29.8	Subdivision 1.Total Appropriation
 			$
	84,271,000
	
29.9 	To the commissioner of administration, or 
29.10 	another named agency, for the purposes 
29.11 	specified in this section.

29.12	Subd. 2.Minnesota Security Hospital - St. Peter
 				57,611,000
	
29.13 	To complete design, remodel, construct, 
29.14 	furnish, and equip the second phase of the 
29.15 	two-phase project to remodel existing and to 
29.16 	develop new residential, program, activity, 
29.17 	and ancillary facilities for the Minnesota 
29.18 	Security Hospital on the upper campus of the 
29.19 	St. Peter Regional Treatment Center. This does 
29.20 	not include construction of a new 48-bed 
29.21 	transitional housing unit. This appropriation 
29.22 	includes money to: demolish, renovate, and 
29.23 	remodel existing space; construct new space; 
29.24 	address fire and life safety, and other building 
29.25 	code deficiencies; replace or renovate interior 
29.26 	finishes; purchase furnishings, fixtures, and 
29.27 	equipment; replace or renovate the Minnesota 
29.28 	Security Hospital building's HVAC, plumbing, 
29.29 	electrical, security, and life safety systems; 
29.30 	tuck-point; replace windows and doors; design 
29.31 	and abate asbestos and hazardous materials; 
29.32 	and complete site work necessary to support 
29.33 	the programmed use of the facilities on the St. 
30.1 	Peter Regional Treatment Center upper 
30.2 	campus.

30.3
30.4	Subd. 3.Child and Adolescent Behavioral Health 
Services
 				7,530,000
	
30.5 	To purchase land in or near the city of Willmar 
30.6 	for, and to predesign, design, construct, 
30.7 	furnish, and equip, a 16-bed psychiatric 
30.8 	hospital facility of approximately 17,500 to 
30.9 	18,000 square feet that will house the Child 
30.10 	and Adolescent Behavioral Health Services 
30.11 	(CABHS) program. The facility shall include 
30.12 	space for single bedrooms, bathing and toilets, 
30.13 	dining, living, group and treatment rooms, 
30.14 	education space, visitation, clinic/professional 
30.15 	staff, operations staff, patient storage, 
30.16 	operations storage, food preparation, 
30.17 	HVAC/telecommunications/data equipment, 
30.18 	a small area for indoor recreation, and a secure 
30.19 	outdoor activity space. The property for the 
30.20 	facility will provide for staff and visitor 
30.21 	parking, outdoor activities, and appropriate 
30.22 	side, front, and rear setbacks.

30.23
30.24	Subd. 4.Anoka Metro Regional Treatment 
Center Safety and Security Renovations
 				2,250,000
	
30.25 	To provide security upgrades of a capital 
30.26 	nature at the Anoka Metro Regional Treatment 
30.27 	Center campus, including but not limited to 
30.28 	control centers, electronic monitoring and 
30.29 	perimeter security equipment, new or updated 
30.30 	security fencing, and other building security 
30.31 	renovations. This appropriation includes 
30.32 	money for: predesign, design, furnishing, 
30.33 	fixtures, and equipment; construction of safety 
30.34 	and security improvements to courtyards on 
30.35 	residential treatment units; securely enclosing 
30.36 	the nursing station on Unit G; and installing 
31.1 	a campus-wide closed-circuit television video 
31.2 	security system, a facility-wide personal 
31.3 	duress alarm system, a key control system, 
31.4 	and an electronic access control system.

31.5	Subd. 5.Regional Medical Examiner's Facility
 				2,680,000
	
31.6 	To the commissioner of human services for a 
31.7 	grant to Hennepin County to design an 
31.8 	approximately 67,000 square foot regional, 
31.9 	state-of-the-art medical examiner's facility. 
31.10 	The facility shall: (1) provide forensic death 
31.11 	investigation and autopsy services for Dakota, 
31.12 	Hennepin, and Scott Counties with the 
31.13 	flexibility to accommodate future partner 
31.14 	counties and agencies; (2) serve as a teaching 
31.15 	facility for the state, on the science of forensic 
31.16 	pathology; and (3) be sited on property located 
31.17 	at 14300 County Road 62 in Minnetonka.

31.18
31.19	Subd. 6.Perspectives Family Center - St. Louis 
Park
 				600,000
	
31.20 	From the general fund to the commissioner of 
31.21 	human services for a grant to Perspectives, 
31.22 	Inc. to predesign and design the expansion and 
31.23 	renovation of the existing Perspectives Family 
31.24 	Center facility in St. Louis Park. The expanded 
31.25 	and renovated facility must be used to promote 
31.26 	the public welfare by providing any or all of 
31.27 	the following programs and services: (1) 
31.28 	supportive housing programs for homeless 
31.29 	women and their children; (2) mental and 
31.30 	chemical health programs; (3) employment 
31.31 	services; (4) academic, social skills, and 
31.32 	nutritional programs for homeless and at-risk 
31.33 	children; (5) an all-day therapeutic early 
31.34 	childhood development program for homeless 
31.35 	and at-risk children; and (6) a culturally 
32.1 	sensitive safe and nurturing environment for 
32.2 	at-risk children to meet with their 
32.3 	nonresidential parents. This appropriation is 
32.4 	not available until the commissioner of 
32.5 	management and budget has determined that 
32.6 	at least an equal amount has been expended 
32.7 	or committed to the project from nonstate 
32.8 	sources. Nonstate money spent on the project 
32.9 	since May 1, 2015, shall be included in the 
32.10 	determination of nonstate commitments to the 
32.11 	project.

32.12	Subd. 7.The Family Partnership
 				1,600,000
	
32.13 	To the commissioner of human services from 
32.14 	the general fund for a grant to the Family 
32.15 	Partnership to predesign and design a facility 
32.16 	in Minneapolis to provide mental health, early 
32.17 	childhood education, and other services to 
32.18 	support children and families. This 
32.19 	appropriation is not available until at least an 
32.20 	equal amount of money is committed from 
32.21 	nonstate resources.

32.22
32.23	Subd. 8.St. Paul - Dorothy Day Opportunity 
Center
 				12,000,000
	
32.24 	To the commissioner of human services for a 
32.25 	grant to the city of St. Paul to predesign, 
32.26 	design, construct, furnish, and equip an 
32.27 	opportunity center to serve as an integrated 
32.28 	one-stop delivery system connecting persons 
32.29 	at risk of becoming homeless, and persons 
32.30 	working to move up and out of homelessness, 
32.31 	and to provide services that improve their 
32.32 	health, income, housing stability, or 
32.33 	well-being, subject to Minnesota Statutes, 
32.34 	section 16A.695. This appropriation may be 
32.35 	used to acquire property for these purposes. 
33.1 	This appropriation is not available until the 
33.2 	commissioner of management and budget has 
33.3 	determined that at least an equal amount has 
33.4 	been committed to the project from nonstate 
33.5 	sources. This appropriation is in addition to 
33.6 	the appropriation in Laws 2014, chapter 294, 
33.7 	article 1, section 18, subdivision 9.

33.8	Sec. 19. VETERANS AFFAIRS
 			$
	5,000,000
	
33.9 	To the commissioner of administration for 
33.10 	asset preservation improvements and 
33.11 	betterments of a capital nature at the veterans 
33.12 	homes in Minneapolis, Hastings, Fergus Falls, 
33.13 	Silver Bay, and Luverne, to be spent in 
33.14 	accordance with Minnesota Statutes, section 
33.15 	16B.307.

33.16	Sec. 20. CORRECTIONS

33.17	Subdivision 1.Total Appropriation
 			$
	40,900,000
	
33.18 	To the commissioner of administration for the 
33.19 	purposes specified in this section.

33.20	Subd. 2.Asset Preservation
 				20,000,000
	
33.21 	For asset preservation improvements and 
33.22 	betterments of a capital nature at Minnesota 
33.23 	correctional facilities statewide, to be spent in 
33.24 	accordance with Minnesota Statutes, section 
33.25 	16B.307.

33.26
33.27	Subd. 3.Minnesota Correctional Facility - St. 
Cloud
 				19,000,000
	
33.28 	To construct and equip a new intake unit and 
33.29 	a loading dock with a secure connection to a 
33.30 	new central warehouse at the Minnesota 
33.31 	Correctional Facility â€“ St. Cloud.

33.32
33.33	Subd. 4.Minnesota Correctional Facility - Moose 
Lake
 				1,900,000
	
34.1 	To design, expand, renovate, and equip the 
34.2 	outdated master control center to improve 
34.3 	security and efficiency at the Minnesota 
34.4 	Correctional Facility - Moose Lake. The 
34.5 	renovation includes updating fire alarm panels 
34.6 	and mechanical and electrical systems and 
34.7 	improving visibility of the visiting area.

34.8	Subd. 5.Unspent Appropriations
 					
34.9 	The unspent portion of an appropriation for a 
34.10 	Department of Corrections project in this 
34.11 	section that is complete, upon written notice 
34.12 	to the commissioner of management and 
34.13 	budget, is available for asset preservation 
34.14 	under Minnesota Statutes, section 16B.307. 
34.15 	Minnesota Statutes, section 16A.642, applies 
34.16 	from the date of the original appropriation to 
34.17 	the unspent amount transferred.

34.18
34.19	Sec. 21. EMPLOYMENT AND ECONOMIC 
DEVELOPMENT

34.20	Subdivision 1.Total Appropriation
 			$
	93,350,000
	
34.21 	To the commissioner of employment and 
34.22 	economic development for the purposes 
34.23 	specified in this section.

34.24	Subd. 2.Transportation Economic Development
 				7,000,000
	
34.25 	For grants under Minnesota Statutes, section 
34.26 	116J.436.

34.27
34.28	Subd. 3.Greater Minnesota Business 
Development Public Infrastructure Grants
 				12,000,000
	
34.29 	For grants under Minnesota Statutes, section 
34.30 	116J.431.

34.31
34.32	Subd. 4.Innovative Business Development Public 
Infrastructure Grants
 				2,500,000
	
34.33 	For grants under Minnesota Statutes, section 
34.34 	116J.435.

35.1	Subd. 5.Duluth - Steam Plant
 				15,000,000
	
35.2 	From the general fund for a grant to the city 
35.3 	of Duluth for one or more of the following: 
35.4 	complete the design of and renovate, construct, 
35.5 	furnish, and equip an upgrade to the municipal 
35.6 	district heating facility and systems, including 
35.7 	conversion of the distribution system along 
35.8 	Superior Street from steam, with no 
35.9 	condensate return, to closed-loop hot water. 
35.10 	This appropriation is not available until the 
35.11 	commissioner of management and budget 
35.12 	determines that an amount sufficient to 
35.13 	complete a distinct phase of the project 
35.14 	converting the steam system to hot water is 
35.15 	committed from nonstate sources.

35.16	Subd. 6.Eagle's Healing Nest
 				300,000
	
35.17 	From the general fund for a grant to Eagle's 
35.18 	Healing Nest in Sauk Centre.

35.19
35.20	Subd. 7.Hennepin County - Hennepin Center 
for the Arts
 				5,000,000
	
35.21 	From the general fund for a grant to Hennepin 
35.22 	County for improvements and betterments of 
35.23 	a capital nature to renovate the historic 
35.24 	Hennepin Center for the Arts. This 
35.25 	appropriation is available after the 
35.26 	commissioner of management and budget 
35.27 	determines that $3,000,000 has been 
35.28 	committed to complete the project from 
35.29 	nonstate sources.

35.30
35.31	Subd. 8.Hermantown - Arrowhead Regional 
Health and Wellness Center
 				8,000,000
	
35.32 	For a grant to the city of Hermantown to 
35.33 	prepare the middle school site on the 
35.34 	Hermantown School District campus, 
35.35 	including demolition of a portion of the middle 
36.1 	school, and to design, construct a new addition 
36.2 	to the middle school building and renovate the 
36.3 	remaining existing building, furnish, and equip 
36.4 	the facility as the Arrowhead Regional Health 
36.5 	and Wellness Center. The city may enter into 
36.6 	lease or management agreements under 
36.7 	Minnesota Statutes, section 16A.695, for 
36.8 	operation of the center. This appropriation is 
36.9 	not available until at least an equal amount is 
36.10 	committed to the project from nonstate 
36.11 	sources.

36.12
36.13	Subd. 9.Litchfield - Phase 2 Power Generation 
Improvements
 				3,000,000
	
36.14 	For a grant to the city of Litchfield to design 
36.15 	and construct electrical generation 
36.16 	improvements in the city of Litchfield to 
36.17 	expand the current standby capacity, including 
36.18 	replacement of two old generators. This 
36.19 	appropriation is not available until the 
36.20 	commissioner of management and budget 
36.21 	determines that at least an equal amount is 
36.22 	committed to the project from nonstate 
36.23 	sources.

36.24	Subd. 10.Madelia
 				98,000
	
36.25 	For a grant to the city of Madelia for repair 
36.26 	and replacement of a capital nature of public 
36.27 	infrastructure damaged by a fire in Madelia 
36.28 	in February 2016. This appropriation does not 
36.29 	require a nonstate contribution.

36.30	Subd. 11.Minneapolis - Norway House
 				5,000,000
	
36.31 	From the general fund for a grant to the 
36.32 	Norway House to acquire land and predesign, 
36.33 	design, construct, furnish, and equip a 
36.34 	conference and event center at 913 East 
36.35 	Franklin Avenue and adjacent property in 
37.1 	Minneapolis to celebrate the culture of 
37.2 	Norway and American Norwegians. This 
37.3 	appropriation is not available until at least an 
37.4 	equal amount is committed from nonstate 
37.5 	sources. Land purchased for this expansion 
37.6 	project shall count toward the nonstate match.

37.7
37.8	Subd. 12.Minneapolis - Pioneers and Soldiers 
Cemetery Restoration
 				1,029,000
	
37.9 	For a grant to the city of Minneapolis to 
37.10 	restore the historic steel and limestone pillar 
37.11 	fence along Cedar Avenue and Lake Street, 
37.12 	install a new steel fence and pillars along 21st 
37.13 	Avenue South, and install a waterproofing 
37.14 	system for preservation of the fence and 
37.15 	pillars, at the Pioneer and Soldiers Cemetery. 
37.16 	This appropriation is available after the 
37.17 	commissioner of management and budget 
37.18 	determines that $394,000 is committed from 
37.19 	nonstate sources.

37.20
37.21	Subd. 13.Polk County - North Country Food 
Bank in Crookston
 				3,000,000
	
37.22 	For a grant to Polk County to predesign, 
37.23 	design, construct, renovate, furnish, and equip 
37.24 	a regional charitable food warehouse, 
37.25 	distribution, and office facility in the city of 
37.26 	Crookston, subject to Minnesota Statutes, 
37.27 	section 16A.695. This appropriation is not 
37.28 	available until the commissioner of 
37.29 	management and budget determines that at 
37.30 	least an equal amount has been committed to 
37.31 	the project from nonstate sources. The value 
37.32 	of the land purchased or acquired by the 
37.33 	county after January 1, 2013, for this facility 
37.34 	shall count toward the nonstate match.

37.35	Subd. 14.Red Wing - River Town Renaissance
 				4,480,000
	
38.1 	For a grant to the city of Red Wing to 
38.2 	complete removal and replacement of 
38.3 	approximately 250 linear feet of the harbor 
38.4 	retaining wall; to design, construct, furnish, 
38.5 	and equip the renovation of the historic T.B. 
38.6 	Sheldon Performing Arts Theater; and to 
38.7 	design and construct transient riverboat 
38.8 	docking facilities, levee wall extension, and 
38.9 	levee promenade improvements at Levee Park. 
38.10 	This appropriation is not available until the 
38.11 	commissioner of management and budget 
38.12 	determines that an amount sufficient to 
38.13 	complete the project has been committed from 
38.14 	nonstate sources.

38.15	Subd. 15.St. James - Public Infrastructure
 				3,443,000
	
38.16 	For a grant to the city of St. James. Of this 
38.17 	amount, $2,193,000 is for engineering, 
38.18 	right-of-way acquisition, and reconstruction 
38.19 	of streets, sidewalks, storm water and sanitary 
38.20 	sewer, water mains, lighting, utilities, and 
38.21 	other capital improvements of publicly owned 
38.22 	infrastructure required for the reconstruction 
38.23 	of marked Trunk Highway 4 in the city of St. 
38.24 	James, and $1,250,000 is to replace the storm 
38.25 	sewer drain which serves St. James Lake and 
38.26 	the entire southern section of the City of St. 
38.27 	James.

38.28
38.29	Subd. 16.St. Paul - Science Museum of 
Minnesota Building Preservation
 				13,000,000
	
38.30 	For a grant to the city of St. Paul for predesign, 
38.31 	design, and construction work to replace 
38.32 	water-damaged elements of the Science 
38.33 	Museum of Minnesota's exterior envelope and 
38.34 	some resultant interior damage caused by 
38.35 	latent design and construction defects, subject 
39.1 	to Minnesota Statutes, section 16A.695. This 
39.2 	appropriation is not available until the 
39.3 	commissioner of management and budget 
39.4 	determines that an equal amount has been 
39.5 	committed to the project from nonstate 
39.6 	sources. Capital costs paid by the Science 
39.7 	Museum of Minnesota since January 1, 2014, 
39.8 	relating to the water intrusion damage, shall 
39.9 	count towards the match requirement.

39.10
39.11	Subd. 17.St. Paul - Minnesota Museum of 
American Art
 				6,000,000
	
39.12 	For a grant to the St. Paul Port Authority to 
39.13 	design, construct, furnish, and equip new 
39.14 	museum galleries and an art study facility for 
39.15 	the Minnesota Museum of American Art. This 
39.16 	facility provides space to celebrate the legacy 
39.17 	of Minnesota art and artists and is part of the 
39.18 	restoration of the historic Pioneer Endicott 
39.19 	Building, and a part of a multiphase project, 
39.20 	of which only the museum galleries and art 
39.21 	study facility constructed with this 
39.22 	appropriation shall be state bond financed 
39.23 	property subject to Minnesota Statutes, section 
39.24 	16A.695. This appropriation is not available 
39.25 	until the commissioner of management and 
39.26 	budget has determined that:
39.27 	(1) at least an amount equal to this 
39.28 	appropriation has been committed or 
39.29 	previously expended for design, construction, 
39.30 	and furnishing of the adjacent Minnesota 
39.31 	Museum of American Art Center for 
39.32 	Creativity facilities, which are not subject to 
39.33 	Minnesota Statutes, section 16A.695, with 
39.34 	funds from nonstate sources; and
40.1 	(2) sufficient other state and nonstate funds 
40.2 	are available, if funds beyond this 
40.3 	appropriation are required, to complete the 
40.4 	museum galleries and art study facility.
40.5 	Funds invested in the Minnesota Museum of 
40.6 	American Art Center for Creativity facilities 
40.7 	by an investor receiving an assignment of state 
40.8 	historic tax credits as provided in Minnesota 
40.9 	Statutes, section 290.0681, are nonstate funds 
40.10 	for purposes of this requirement. Only 
40.11 	expenditures made after January 1, 2012, shall 
40.12 	qualify for the required match. Due to the 
40.13 	integrated nature of the overall development, 
40.14 	public bidding shall not be required.

40.15	Sec. 22. PUBLIC FACILITIES AUTHORITY

40.16	Subdivision 1.Total Appropriation
 			$
	143,366,000
	
40.17 	To the Public Facilities Authority for the 
40.18 	purposes specified in this section. The Public 
40.19 	Facilities Authority may use the funds in this 
40.20 	section or other available funds to amend 
40.21 	project financing agreements awarded after 
40.22 	July 1, 2016, based on program changes in 
40.23 	article 3, sections 5 and 6.

40.24	Subd. 2.State Match for Federal Grants
 				17,000,000
	
40.25 	To match federal grants for the clean water 
40.26 	revolving fund under Minnesota Statutes, 
40.27 	section 446A.07, and the drinking water 
40.28 	revolving fund under Minnesota Statutes, 
40.29 	section 446A.081. This appropriation must be 
40.30 	used for qualified capital projects.

40.31	Subd. 3.Water Infrastructure Funding Program
 				70,000,000
	
41.1 	(a) For grants to eligible municipalities under 
41.2 	the water infrastructure funding program under 
41.3 	Minnesota Statutes, section 446A.072.
41.4 	(b) $51,500,000 is for wastewater projects 
41.5 	listed on the Pollution Control Agency's 
41.6 	project priority list in the fundable range under 
41.7 	the clean water revolving fund program.
41.8 	(c) $18,500,000 is for drinking water projects 
41.9 	listed on the commissioner of health's project 
41.10 	priority list in the fundable range under the 
41.11 	drinking water revolving fund program.
41.12 	(d) After all eligible projects under paragraph 
41.13 	(b) or (c) have been funded, the Public 
41.14 	Facilities Authority may transfer any 
41.15 	remaining, uncommitted money to eligible 
41.16 	projects under a program defined in paragraph 
41.17 	(b) or (c) based on that program's project 
41.18 	priority list.

41.19
41.20	Subd. 4.Point Source Implementation Grants 
Program
 				46,500,000
	
41.21 	For grants to eligible municipalities under the 
41.22 	point source implementation grants program 
41.23 	under Minnesota Statutes, section 446A.073. 
41.24 	This appropriation must be used for qualified 
41.25 	capital projects.

41.26
41.27	Subd. 5.Big Lake Area Sanitary District - Sewer 
System and Force Main
 				1,200,000
	
41.28 	For a grant to the Big Lake Area Sanitary 
41.29 	District to construct a pressure sewer system 
41.30 	and force main to convey sewage to the 
41.31 	Western Lake Superior Sanitary District 
41.32 	connection in the city of Cloquet. This 
41.33 	appropriation is not available until the 
41.34 	commissioner of management and budget 
41.35 	determines that an equal amount is committed 
42.1 	from nonstate sources. This appropriation is 
42.2 	in addition to the appropriation in Laws 2014, 
42.3 	chapter 294, article 1, section 22, subdivision 
42.4 	4.

42.5
42.6	Subd. 6.Dennison - Sewage Treatment System 
Improvements
 				726,000
	
42.7 	For a grant to the city of Dennison to 
42.8 	predesign, design, and construct a new lift 
42.9 	station and make sewage pond improvements. 
42.10 	This appropriation does not require a nonstate 
42.11 	contribution.

42.12
42.13	Subd. 7.East Grand Forks - Wastewater 
Interconnection Infrastructure
 				5,300,000
	
42.14 	For a grant to the city of East Grand Forks to 
42.15 	design and construct wastewater infrastructure 
42.16 	improvements interconnecting the wastewater 
42.17 	system of East Grand Forks to the wastewater 
42.18 	treatment system in Grand Forks, North 
42.19 	Dakota. This appropriation may not be used 
42.20 	for improvements outside the state. This 
42.21 	appropriation is in addition to grants under 
42.22 	Minnesota Statutes, section 446A.072. A 
42.23 	nonstate match is not required.

42.24
42.25	Subd. 8.Koochiching County - Voyageurs 
National Park Clean Water Project
 				2,000,000
	
42.26 	(a) For a grant to Koochiching County to 
42.27 	acquire land or interests in land, and to design, 
42.28 	engineer, construct, and equip sanitary sewage 
42.29 	systems and facilities to implement a portion 
42.30 	or portions of the Voyageurs National Park 
42.31 	clean water project comprehensive plan. This 
42.32 	appropriation is available after the 
42.33 	commissioner of management and budget 
42.34 	determines that $4,500,000 is committed from 
42.35 	nonstate sources.
43.1 	(b) This appropriation is in addition to the 
43.2 	appropriation in Laws 2014, chapter 294, 
43.3 	article 1, section 22, subdivision 7. 
43.4 	Notwithstanding the match requirement in 
43.5 	Laws 2014, chapter 294, article 1, section 22, 
43.6 	subdivision 7, the nonstate match required for 
43.7 	this appropriation and the 2014 appropriation 
43.8 	for a grant to Koochiching County is 25 
43.9 	percent of the state grant amounts. Any money 
43.10 	remaining from this appropriation after 
43.11 	completion of the projects in paragraph (a) is 
43.12 	available for grants to Koochiching County 
43.13 	or St. Louis County to be used for other capital 
43.14 	projects described in the comprehensive plan 
43.15 	and as determined by the Voyageur's National 
43.16 	Park Clean Water Joint Powers Board.

43.17
43.18	Subd. 9.Lilydale - Highway 13 Storm Water 
Conveyance
 				140,000
	
43.19 	From the general fund for a grant to the city 
43.20 	of Lilydale to design, acquire, construct, and 
43.21 	install a storm water sewer and drop structure 
43.22 	along Trunk Highway 13 in Lilydale that will 
43.23 	be large enough to effectively collect water 
43.24 	from springs and storm water runoff from 
43.25 	above the road and safely convey the water to 
43.26 	below the bluff. The city must coordinate this 
43.27 	project with the Department of 
43.28 	Transportation's Trunk Highway 13 project. 
43.29 	The appropriation and project also include 
43.30 	capital repairs and improvements to existing 
43.31 	drainage structures along the Big Rivers 
43.32 	Regional Trail at the base of the bluff. This 
43.33 	appropriation does not require a nonstate 
43.34 	contribution.

43.35
43.36	Subd. 10.Oronoco - Wastewater Collection and 
Treatment Facilities
 				500,000
	
44.1 	From the general fund for a grant to the city 
44.2 	of Oronoco to commission a study to evaluate 
44.3 	options for solving the wastewater 
44.4 	infrastructure needs for the region including 
44.5 	the city of Oronoco, the city of Pine Island, or 
44.6 	the city of Rochester. This appropriation does 
44.7 	not require a nonstate match.

44.8
44.9	Sec. 23. MINNESOTA HOUSING FINANCE 
AGENCY
 			$
	10,000,000
	
44.10 	For transfer to the housing development fund 
44.11 	to finance the costs of rehabilitation to 
44.12 	preserve public housing under Minnesota 
44.13 	Statutes, section 462A.202, subdivision 3a. 
44.14 	For purposes of this section, "public housing" 
44.15 	means housing for low-income persons and 
44.16 	households financed by the federal 
44.17 	government and owned and operated by the 
44.18 	public housing authorities and agencies formed 
44.19 	by cities and counties. Public housing 
44.20 	authorities receiving a public housing 
44.21 	assessment composite score of 80 or above or 
44.22 	an equivalent designation are eligible to 
44.23 	receive funding. Priority must be given to 
44.24 	proposals that maximize federal or local 
44.25 	resources to finance the capital costs. The 
44.26 	priority in Minnesota Statutes, section 
44.27 	462A.202, subdivision 3a, for projects to 
44.28 	increase the supply of affordable housing and 
44.29 	the restrictions of Minnesota Statutes, section 
44.30 	462A.202, subdivision 7, do not apply to this 
44.31 	appropriation.

44.32
44.33	Sec. 24. MINNESOTA HISTORICAL 
SOCIETY

44.34	Subdivision 1.Total Appropriation
 			$
	2,500,000
	
45.1 	To the Minnesota Historical Society for the 
45.2 	purposes specified in this section.

45.3	Subd. 2.Historic Sites Asset Preservation
 				2,500,000
	
45.4 	For capital improvements and betterments at 
45.5 	state historic sites, buildings, landscaping at 
45.6 	historic buildings, exhibits, markers, and 
45.7 	monuments, to be spent in accordance with 
45.8 	Minnesota Statutes, section 16B.307. The 
45.9 	society shall determine project priorities as 
45.10 	appropriate based on need.

45.11	Sec. 25. BOND SALE EXPENSES
 			$
	1,013,000
	
45.12 	To the commissioner of management and 
45.13 	budget for bond sale expenses under 
45.14 	Minnesota Statutes, section 16A.641, 
45.15 	subdivision 8.

45.16 	Sec. 26. BOND SALE AUTHORIZATION.
 45.17 		Subdivision 1.Bond proceeds fund. To provide the money appropriated in this act from 
45.18 	the bond proceeds fund, the commissioner of management and budget shall sell and issue 
45.19 	bonds of the state in an amount up to $768,610,000 in the manner, upon the terms, and with 
45.20 	the effect prescribed by Minnesota Statutes, sections 16A.631 to 16A.675, and by the 
45.21 	Minnesota Constitution, article XI, sections 4 to 7.
45.22 		Subd. 2.Transportation fund. To provide the money appropriated in this act from the 
45.23 	state transportation fund, the commissioner of management and budget shall sell and issue 
45.24 	bonds of the state in an amount up to $231,196,000 in the manner, upon the terms, and with 
45.25 	the effect prescribed by Minnesota Statutes, sections 16A.631 to 16A.675, and by the 
45.26 	Minnesota Constitution, article XI, sections 4 to 7.
45.27 		Subd. 3.Maximum effort school loan fund. To provide the money appropriated in this 
45.28 	act from the maximum effort school loan fund, the commissioner of management and budget 
45.29 	shall sell and issue bonds of the state in an amount up to $14,070,000 in the manner, upon 
45.30 	the terms, and with the effect prescribed by Minnesota Statutes, sections 16A.631 to 16A.675, 
45.31 	and by the Minnesota Constitution, article XI, sections 4 to 7.

46.1 	Sec. 27. BOND SALE SCHEDULE.
 46.2 	The commissioner of management and budget shall schedule the sale of state general 
46.3 	obligation bonds so that, during the biennium ending June 30, 2019, no more than 
46.4 	$1,154,294,000 will need to be transferred from the general fund to the state bond fund to 
46.5 	pay principal and interest due and to become due on outstanding state general obligation 
46.6 	bonds. During the biennium, before each sale of state general obligation bonds, the 
46.7 	commissioner of management and budget shall calculate the amount of debt service payments 
46.8 	needed on bonds previously issued and shall estimate the amount of debt service payments 
46.9 	that will be needed on the bonds scheduled to be sold. The commissioner shall adjust the 
46.10 	amount of bonds scheduled to be sold so as to remain within the limit set by this section. 
46.11 	The amount needed to make the debt service payments is appropriated from the general 
46.12 	fund as provided in Minnesota Statutes, section 16A.641.

46.13 	Sec. 28. CANCELLATIONS; BOND SALE AUTHORIZATION REDUCTIONS.
 46.14 	(a) The remaining uncommitted appropriations from the bond proceeds fund in Laws 
46.15 	1990, chapter 610, are canceled and the bond sale authorization in Laws 1990, chapter 610, 
46.16 	article 1, section 30, subdivision 1, as amended, is reduced by $3,129.
46.17 	(b) The remaining uncommitted appropriations from the bond proceeds fund in Laws 
46.18 	1994, chapter 643, are canceled and the bond sale authorization in Laws 1994, chapter 643, 
46.19 	section 31, subdivision 1, as amended, is reduced by $24,480.
46.20 	(c) The remaining uncommitted appropriations from the bond proceeds fund in Laws 
46.21 	1997, Second Special Session chapter 2, are canceled and the bond sale authorization in 
46.22 	Laws 1997, Second Special Session chapter 2, section 12, as amended, is reduced by $96,992.
46.23 	(d) The remaining uncommitted appropriations from the bond proceeds fund in Laws 
46.24 	1999, chapter 240, are canceled and the bond sale authorization in Laws 1999, chapter 240, 
46.25 	article 1, section 13, subdivision 1, as amended, is reduced by $212,472.
46.26 	(e) The remaining uncommitted appropriations from the bond proceeds fund in Laws 
46.27 	2000, chapter 492, are canceled and the bond sale authorization in Laws 2000, chapter 492, 
46.28 	article 1, section 26, subdivision 1, as amended, is reduced by $7,933,538.
46.29 	(f) The remaining uncommitted appropriations from the bond proceeds fund in Laws 
46.30 	2002, chapter 393, are canceled and the bond sale authorization in Laws 2002, chapter 393, 
46.31 	section 30, subdivision 1, as amended, is reduced by $188,471.
47.1 	(g) The remaining uncommitted appropriations from the bond proceeds fund in Laws 
47.2 	2002, First Special Session chapter 1, are canceled and the bond sale authorization in Laws 
47.3 	2002, First Special Session chapter 1, section 9, subdivision 1, is reduced by $217,959.
47.4 	(h) The remaining uncommitted appropriations from the trunk highway bond proceeds 
47.5 	fund in Laws 2003, First Special Session chapter 19, article 3, are canceled and the bond 
47.6 	sale authorization in Laws 2003, First Special Session chapter 19, article 3, section 2, is 
47.7 	reduced by $201,530.
47.8 	(i) The remaining uncommitted appropriations from the trunk highway bond proceeds 
47.9 	fund in Laws 2003, First Special Session chapter 19, article 4, are canceled and the bond 
47.10 	sale authorization in Laws 2003, First Special Session chapter 19, article 4, section 4, is 
47.11 	reduced by $326,534.
47.12 	(j) The remaining uncommitted appropriations from the bond proceeds fund in Laws 
47.13 	2005, chapter 20, are canceled and the bond sale authorization in Laws 2005, chapter 20, 
47.14 	article 1, section 28, subdivision 1, as amended, is reduced by $3,366,628.
47.15 	(k) The $700,000 appropriation from the bond proceeds fund in Laws 2011, First Special 
47.16 	Session chapter 12, section 13, subdivision 8, for St. Louis Park noise barriers, is canceled 
47.17 	and the bond sale authorization in Laws 2011, First Special Session chapter 12, section 23, 
47.18 	subdivision 1, is reduced by the same amount.
47.19 	(l) The $2,285,000 appropriation from the bond proceeds fund in Laws 2012, First 
47.20 	Special Session chapter 1, article 1, section 3, subdivision 2, to the commissioner of public 
47.21 	safety for disaster relief, is canceled and the bond sale authorization in Laws 2012, First 
47.22 	Special Session chapter 1, article 1, section 16, subdivision 1, is reduced by the same amount.
47.23 	(m) $1,380,000 of the appropriation from the bond proceeds fund in Laws 2012, First 
47.24 	Special Session chapter 1, article 1, section 6, to the Public Facilities Authority for disaster 
47.25 	relief, is canceled and the bond sale authorization in Laws 2012, First Special Session chapter 
47.26 	1, article 1, section 16, subdivision 1, is reduced by the same amount.
47.27 	(n) The $300,000 appropriation from the general fund in Laws 2015, First Special Session 
47.28 	chapter 5, article 1, section 14, subdivision 4, for Eagle's Healing Nest is canceled.

47.29 	Sec. 29. EFFECTIVE DATE.
 47.30 	Except as otherwise provided, this article is effective the day following final enactment.

48.1 	ARTICLE 2
48.2 	TRANSPORTATION FINANCE AND POLICY

48.3	Section 1. TRANSPORTATION CAPITAL IMPROVEMENT APPROPRIATIONS.
 	
48.4 	(a) The sums shown in this article in the columns marked "Appropriations" are added 
48.5 	to the appropriations in Laws 2015, chapter 75, article 1, to the commissioner of 
48.6 	transportation, or another named agency, for the purposes specified in this article. The 
48.7 	appropriations are from the general fund, or another named fund. Unless otherwise specified, 
48.8 	general fund appropriations in this article are onetime, and are in fiscal year 2017.
48.9 	(b) Appropriations of bond proceeds must be spent as authorized by the Minnesota 
48.10 	Constitution, articles XI and XIV. Unless otherwise specified, money appropriated in this 
48.11 	article for a capital program or project may be used to pay state agency staff costs that are 
48.12 	attributed directly to the capital program or project in accordance with accounting policies 
48.13 	adopted by the commissioner of management and budget. Unless otherwise specified, the 
48.14 	appropriations in this article are available until the project is completed or abandoned subject 
48.15 	to Minnesota Statutes, section 16A.642.

48.16				APPROPRIATIONS

48.17
48.18	Sec. 2. TOTAL TRUNK HIGHWAY BOND 
APPROPRIATION

48.19	Subdivision 1.Total Appropriation
 			$
	197,000,000
	
48.20 	The appropriation in this section is from the 
48.21 	bond proceeds account in the trunk highway 
48.22 	fund and may be used by the commissioner 
48.23 	only for purposes specified in this section.

48.24	Subd. 2.Trunk Highway 23 Construction
 					
48.25 	For construction of marked Trunk Highway 
48.26 	23 as a four-lane divided highway (i) from the 
48.27 	point where marked Trunk Highway 23 ceases 
48.28 	as a four-lane divided highway near the 
48.29 	intersection with Kandiyohi County State-Aid 
48.30 	Highway 31, located east of New London, to 
48.31 	the point where marked Trunk Highway 23 
48.32 	commences as a four-lane divided highway, 
48.33 	located southwest of Paynesville, and (ii) from 
49.1 	the point where marked Trunk Highway 23 
49.2 	ceases as a four-lane divided highway, located 
49.3 	northeast of Paynesville, to the point where 
49.4 	marked Trunk Highway 23 commences as a 
49.5 	four-lane divided highway, located southwest 
49.6 	of Richmond, provided that notwithstanding 
49.7 	Minnesota Statutes, section 16A.28, this 
49.8 	amount is available for seven years.

49.9	Subd. 3.Trunk Highway 14
 					
49.10 	For right-of-way acquisition, design, 
49.11 	engineering, and environmental analysis of 
49.12 	marked U.S. Highway 14 as a four-lane 
49.13 	divided highway from the interchange with 
49.14 	County Road 43 in Steele County to the west 
49.15 	junction with marked Trunk Highway 56 in 
49.16 	Dodge County.

49.17	Subd. 4.U.S. Highway 10
 					
49.18 	For a third travel lane in each direction of 
49.19 	marked U.S. Highway 10 from the interchange 
49.20 	with Hanson Boulevard to the interchange 
49.21 	with Round Lake Boulevard in the city of 
49.22 	Coon Rapids.

49.23	Subd. 5.Hennepin County - U.S. Highway 12
 					
49.24 	For projects on marked U.S. Highway 12, 
49.25 	including preliminary and final design, 
49.26 	engineering, environmental analysis, 
49.27 	right-of-way acquisition, construction, and 
49.28 	reconstruction, as follows:
49.29 	(1) realignment at the intersections with 
49.30 	Hennepin County State-Aid Highway 92;
49.31 	(2) realignment and safety improvements at 
49.32 	the intersection with Hennepin County 
49.33 	State-Aid Highway 90; and
50.1 	(3) safety median improvements from the 
50.2 	interchange with Wayzata Boulevard in 
50.3 	Wayzata to approximately one-half mile east 
50.4 	of the interchange with Hennepin County 
50.5 	State-Aid Highway 6.

50.6
50.7	Subd. 6.Anoka County - I-35 Interchange in 
Columbus
 					
50.8 	For a grant to Anoka County to (1) complete 
50.9 	the design, land acquisition, engineering, and 
50.10 	construction of an interchange at the 
50.11 	intersection of marked Interstate Highway 35, 
50.12 	marked Trunk Highway 97, and County 
50.13 	State-Aid Highway 23; and (2) realign and 
50.14 	make associated improvements to County 
50.15 	State-Aid Highway 54, known as West 
50.16 	Freeway Drive, in the city of Columbus.

50.17	Subd. 7.I-94/Brockton Lane Interchange
 					
50.18 	For construction of an interchange and 
50.19 	auxiliary lanes on marked Interstate Highway 
50.20 	94 east of the Hennepin County State-Aid 
50.21 	Highway 101 (Brockton Lane) overpass in the 
50.22 	city of Dayton.

50.23
50.24	Sec. 3. TOTAL TRUNK HIGHWAY FUND 
APPROPRIATION

50.25	Subdivision 1.Total Appropriation
 			$
	132,089,000
	
50.26 	The appropriations in this section are from the 
50.27 	trunk highway fund and may be used by the 
50.28 	commissioner only for purposes specified in 
50.29 	this section.

50.30	Subd. 2.Highway Projects
 				132,089,000
	
50.31 	(a) State Road Construction
50.32 	(b) U.S. Highway 61 in Red Wing: for State 
50.33 	Project No. 2514-122, consisting of 
50.34 	engineering and reconstruction of the segment 
51.1 	of marked U.S. Highway 61 in Red Wing from 
51.2 	westerly of Old West Main Street to easterly 
51.3 	of Potter Street, for trunk highway costs in 
51.4 	excess of the engineer's estimate and 
51.5 	associated program delivery.
51.6 	(c) Trunk Highway 95 in Cambridge: for a 
51.7 	grant to the city of Cambridge for final design, 
51.8 	environmental analysis, right-of-way 
51.9 	acquisition, land acquisition, corridor 
51.10 	mapping, construction engineering, and 
51.11 	construction for the improvement of marked 
51.12 	Trunk Highway 95 and associated 
51.13 	improvements. This appropriation is available 
51.14 	until June 30, 2020.

51.15
51.16	Sec. 4. TOTAL GENERAL FUND 
APPROPRIATION

51.17	Subdivision 1.Total Appropriation
 			$
	166,500,000
	
51.18 	The appropriations in this section are from the 
51.19 	general fund and may be used by the 
51.20 	commissioner only for the purposes specified 
51.21 	in this section.

51.22	Subd. 2.Highway Projects
 				123,900,000
	
51.23 	(a) U.S. Highway 212 Interchange in 
51.24 	Chaska: for right-of-way acquisition and 
51.25 	construction of an interchange at marked 
51.26 	Trunk Highway 212 and Carver County Road  
51.27 	44 in the city of Chaska, to support the 
51.28 	development of approximately 400 acres of 
51.29 	property in the city of Chaska's comprehensive 
51.30 	plan.
51.31 	(b) U.S. Highway 10 near Watab: for land 
51.32 	acquisition, predesign, design, and 
51.33 	construction of an interchange with related 
51.34 	utilities at the intersection of marked U.S. 
52.1 	Highway 10, Benton County Road 79, and 
52.2 	Benton County State-Aid Highway 4, and to 
52.3 	construct frontage roads on both sides of 
52.4 	marked U.S. Highway 10, extending from the 
52.5 	intersection of marked U.S. Highway 10, 
52.6 	Benton County Road 79, and Benton County 
52.7 	State-Aid Highway 4 to 85th Street.
52.8 	(c) Planning for Interchange on U.S. 
52.9 	Highway 10: for a grant to Anoka County to 
52.10 	complete preliminary engineering, 
52.11 	environmental analysis, and final design for 
52.12 	the improvement of marked U.S. Highway 10 
52.13 	and associated improvements.
52.14 	(d) U.S. Highway 14: for right-of-way 
52.15 	acquisition, design, engineering, and 
52.16 	environmental analysis of marked U.S. 
52.17 	Highway 14 as a four-lane divided highway 
52.18 	from the interchange with County Road 21 
52.19 	and marked Trunk Highway 15 east of New 
52.20 	Ulm to the intersection with 471st Avenue 
52.21 	west of Nicollet.
52.22 	(e) Cliff Road Near I-35W: for design, 
52.23 	engineering, environmental analysis, and 
52.24 	construction of improvements to Cliff Road 
52.25 	in the vicinity of marked Interstate Highway 
52.26 	35W.
52.27 	(f) City of Virginia; Trunk Highway 53 
52.28 	Utility Relocation: for grants to the city of 
52.29 	Virginia and the city of Virginia Public 
52.30 	Utilities Commission to acquire land for and 
52.31 	to predesign, design, construct, furnish, and 
52.32 	equip relocated public utilities, including 
52.33 	sanitary and storm water sewers and water, 
52.34 	electrical, and gas utilities, and to demolish 
52.35 	and remove old utility infrastructure, all 
53.1 	associated with the relocation of marked Trunk 
53.2 	Highway 53, provided that a nonstate 
53.3 	contribution is not required.
53.4 	(g) Moorhead Grade-Separated Rail 
53.5 	Crossings: for a grant to the city of Moorhead 
53.6 	to construct and complete the grade-separated 
53.7 	rail crossing project in the vicinity of 21st 
53.8 	Street South in the city of Moorhead, and for 
53.9 	preliminary engineering and environmental 
53.10 	assessment for the grade-separated rail 
53.11 	crossing in the vicinity of 11th Street South 
53.12 	in the city of Moorhead, provided that a 
53.13 	nonstate contribution is not required.

53.14	Subd. 3.Transportation Economic Development
 				5,000,000
	
53.15 	For the transportation economic development 
53.16 	program under Minnesota Statutes, section 
53.17 	174.12.

53.18	Subd. 4.Small Cities Assistance
 				12,500,000
	
53.19 	For transfer to the small cities assistance 
53.20 	account in the special revenue fund under 
53.21 	Minnesota Statutes, section 162.145.

53.22	Subd. 5.Safe Routes to School
 				6,000,000
	
53.23 	For transfer to the safe routes to school 
53.24 	account in the general fund under Minnesota 
53.25 	Statutes, section 174.40, subdivision 3, 
53.26 	paragraph (b).

53.27	Subd. 6.Interchange Safety Improvement Study
 				300,000
	
53.28 	For the safety improvement study for the 
53.29 	interchange of signed Interstate Highways 94, 
53.30 	694, and 494, as provided in this article.

53.31	Subd. 7.Town Roads
 				4,000,000
	
54.1 	For transfer to the town road account in the 
54.2 	county state-aid highway fund under 
54.3 	Minnesota Statutes, section 162.081.

54.4	Subd. 8.County State-Aid Highways
 				11,248,000
	
54.5 	For transfer to the county state-aid highway 
54.6 	fund for apportionment and allocation as 
54.7 	provided under Minnesota Statutes, chapter 
54.8 	162.

54.9	Subd. 9.Municipal State-Aid Streets
 				3,552,000
	
54.10 	For transfer to the municipal state-aid street 
54.11 	fund for apportionment as provided under 
54.12 	Minnesota Statutes, chapter 162.

54.13	Sec. 5. AIRPORTS
 				8,484,000
	
54.14 	This appropriation is from the state airports 
54.15 	fund for the following purposes:
54.16 	(1) $2,334,000 for a grant to the city of 
54.17 	Rochester to design, rehabilitate, demolish, 
54.18 	and expand portions of the existing passenger 
54.19 	terminal building at the Rochester 
54.20 	International Airport, provided that this 
54.21 	amount also includes money to remodel, 
54.22 	construct, furnish, and equip the existing 
54.23 	passenger terminal building and associated 
54.24 	appurtenances to meet the United States 
54.25 	Customs and Border Protection and 
54.26 	Transportation Security Administration 
54.27 	standards for safety, security, and processing 
54.28 	time to accommodate domestic and 
54.29 	international flights. The capital improvements 
54.30 	paid for with this appropriation may be used 
54.31 	as the local contribution required by 
54.32 	Minnesota Statutes, section 360.305, 
54.33 	subdivision 4. This appropriation may be used 
54.34 	to reimburse the city for costs incurred after 
55.1 	May 1, 2016. This appropriation is not 
55.2 	available until the commissioner of 
55.3 	management and budget has determined that 
55.4 	at least an equal amount has been committed 
55.5 	to the project from nonstate sources. Work 
55.6 	that may be completed with this appropriation 
55.7 	includes but is not limited to (i) site 
55.8 	preparation including utilities, site civil work, 
55.9 	testing, and construction administration 
55.10 	services, (ii) the relocation, modification, and 
55.11 	addition of airline ticket counters, baggage 
55.12 	claim devices, public spaces, offices, 
55.13 	restrooms, support space, break rooms, 
55.14 	lockers, equipment storage, communications, 
55.15 	hallways, building signage, medical visitor 
55.16 	rooms, special needs accommodations, hold 
55.17 	rooms, secure storage, equipment maintenance 
55.18 	area, and building engineering and technology 
55.19 	systems, (iii) improvements needed outside 
55.20 	the terminal to remove, restore, and tie into 
55.21 	adjacent utilities, sidewalks, driveways, 
55.22 	parking lots, and aircraft aprons, and (iv) the 
55.23 	construction of covered exterior equipment 
55.24 	storage;
55.25 	(2) $5,900,000 to provide the federal match 
55.26 	to design and construct runway infrastructure 
55.27 	at the Duluth International and Sky Harbor 
55.28 	Airports in accordance with Minnesota 
55.29 	Statutes, section 360.017. For the purposes of 
55.30 	this clause, the commissioner may waive the 
55.31 	requirements of Minnesota Statutes, section 
55.32 	360.305, subdivision 4, paragraph (b). This 
55.33 	appropriation is for costs incurred after March 
55.34 	1, 2016, and is available until and must be 
55.35 	encumbered by June 30, 2017. This 
55.36 	appropriation is not available until the 
56.1 	commissioner of management and budget 
56.2 	determines that an equal amount is committed 
56.3 	from nonstate sources; and
56.4 	(3) $250,000 for an air transport optimization 
56.5 	planning study for the St. Cloud Regional 
56.6 	Airport, which must be comprehensive and 
56.7 	market-based, using economic development 
56.8 	and air service expertise to research, analyze, 
56.9 	and develop models and strategies that 
56.10 	maximize the return on investments made to 
56.11 	enhance the use and impact of the St. Cloud 
56.12 	Regional Airport.

56.13
56.14	Sec. 6. MINNESOTA RAIL SERVICE 
IMPROVEMENT
 			$
	1,000,000
	
56.15 	This appropriation is from the rail service 
56.16 	improvement account in the special revenue 
56.17 	fund to the commissioner of transportation for 
56.18 	a grant to the city of Grand Rapids to fund rail 
56.19 	planning studies, design, and preliminary 
56.20 	engineering relating to the construction of a 
56.21 	freight rail line located in the counties of 
56.22 	Itasca, St. Louis, and Lake to serve local 
56.23 	producers and shippers. The city of Grand 
56.24 	Rapids shall collaborate with the Itasca 
56.25 	Economic Development Corporation and the 
56.26 	Itasca County Regional Railroad Authority in 
56.27 	the activities funded with the proceeds of this 
56.28 	grant. This appropriation is available until June 
56.29 	30, 2019.

56.30	Sec. 7. BOND SALE EXPENSES
 			$
	197,000
	
56.31 	This appropriation is from the bond proceeds 
56.32 	account in the trunk highway fund to the 
56.33 	commissioner of management and budget for 
56.34 	bond sale expenses under Minnesota Statutes, 
57.1 	sections 16A.641, subdivision 8, and 167.50, 
57.2 	subdivision 4.

57.3 	Sec. 8. TRUNK HIGHWAY BONDS; DEBT SERVICE.
 57.4 	$1,434,000 in fiscal year 2018 and $9,968,000 in fiscal year 2019 are appropriated from 
57.5 	the trunk highway fund for transfer to the state bond fund. If this appropriation is insufficient 
57.6 	to make all transfers required in the year for which it is made, the commissioner of 
57.7 	management and budget shall transfer the deficiency amount under the statutory open 
57.8 	appropriation, and notify the chairs and ranking minority members of the legislative 
57.9 	committees with jurisdiction over transportation finance and the chairs of the senate 
57.10 	Committee on Finance and the house of representatives Committee on Ways and Means of 
57.11 	the amount of the deficiency. Any excess appropriation cancels to the trunk highway fund.

57.12 	Sec. 9. BOND SALE AUTHORIZATION.
 57.13 	To provide the money appropriated in this act from the bond proceeds account in the 
57.14 	trunk highway fund, the commissioner of management and budget shall sell and issue bonds 
57.15 	of the state in an amount up to $197,197,000 in the manner, upon the terms, and with the 
57.16 	effect prescribed by Minnesota Statutes, sections 167.50 to 167.52, and by the Minnesota 
57.17 	Constitution, article XIV, section 11, at the times and in the amounts requested by the 
57.18 	commissioner of transportation. The proceeds of the bonds, except accrued interest and any 
57.19 	premium received from the sale of the bonds, must be deposited in the bond proceeds account 
57.20 	in the trunk highway fund.

57.21 	Sec. 10. Minnesota Statutes 2016, section 160.18, is amended by adding a subdivision to 
57.22 	read:
57.23 		Subd. 4.Appeal process. (a) Notwithstanding chapter 14 and section 14.386, the 
57.24 	commissioner shall establish a concise, expedited process through which an owner or 
57.25 	occupant of property abutting a trunk highway may appeal a denial or revocation of an 
57.26 	access permit. The owner or occupant must initiate an appeal no later than 30 days after the 
57.27 	date the commissioner issues written notice of the denial or revocation of an access permit. 
57.28 	The process must provide the owner or occupant and the Department of Transportation the 
57.29 	opportunity to present information in support of their positions.
57.30 	(b) The hearing must be conducted by an administrative law judge assigned by the chief 
57.31 	administrative law judge. The administrative law judge shall maintain a transcript of the 
57.32 	hearing and shall keep a record of all documents and data submitted at the hearing. Within 
58.1 	30 days of the conclusion of the hearing, the administrative law judge shall transmit to the 
58.2 	commissioner the record of the proceedings along with a report and recommendation based 
58.3 	on the record made in the informal hearing. The commissioner shall make a written decision 
58.4 	regarding the access permit.
58.5 	(c) Section 15.99 does not apply to matters using the appeal process in this subdivision.

58.6 	Sec. 11. Minnesota Statutes 2016, section 162.145, subdivision 3, is amended to read:
58.7 		Subd. 3.Administration. (a) Subject to funds made available by law, the commissioner 
58.8 	shall allocate all funds as provided in subdivision 4 and. By June 1 of a year in which aid 
58.9 	is provided, the commissioner of transportation shall notifycertify to the commissioner of 
58.10 	revenue the amount to be paid to each eligible city.
58.11 	(b) Following notification from the commissioner of transportation, the commissioner 
58.12 	of revenue shall distribute the specified funds to cities in the same manner as local 
58.13 	government aid under chapter 477A. An appropriation to the commissioner of transportation 
58.14 	under this section is available to the commissioner of revenue for the purposes specified in 
58.15 	this paragraph.
58.16 	(c) Notwithstanding other law to the contrary, in order to receive distributions under 
58.17 	this section, a city must conform to the standards in section 477A.017, subdivision 2. A city 
58.18 	that receives funds under this section must make and preserve records necessary to show 
58.19 	that the funds are spent in compliance with subdivision 4 5.

58.20 	EFFECTIVE DATE. This section is effective for aids payable in 2016 and after.

58.21 	Sec. 12. INTERSTATE 94 WIRE ROPE SAFETY BARRIERS.
 58.22 	The commissioner of transportation must install wire rope safety barriers or another 
58.23 	equivalent safety device along the center median of the segment of marked Interstate 
58.24 	Highway 94 between Huron Boulevard and Cretin Avenue that does not currently have a 
58.25 	concrete median, wire rope safety barrier, or other equivalent safety device installed.

58.26 	Sec. 13. TRANSPARENT NOISE BARRIER.
 58.27 	The commissioner of transportation must include transparent panels as part of noise 
58.28 	barrier construction in the area of the interchange at marked Interstate Highway 694 and 
58.29 	marked Interstate Highway 35E.

59.1 	Sec. 14. CORRIDORS OF COMMERCE PROJECT SELECTION.
 59.2 	Notwithstanding the requirements of Minnesota Statutes, section 161.088, subdivisions 
59.3 	3 to 5, the commissioner of transportation must include that segment of marked U.S. Highway 
59.4 	212 from Chaska to Montevideo as an eligible highway in the next project solicitation and 
59.5 	selection process undertaken for the corridors of commerce program under that section.

59.6 	Sec. 15. INTERSTATE 94/694/494 INTERCHANGE SAFETY IMPROVEMENT 
59.7 	STUDY.
 59.8 	The commissioner of transportation must conduct a safety improvement study for the 
59.9 	interchange of marked Interstate Highways 94, 694, and 494 in the cities of Woodbury and 
59.10 	Oakdale. At a minimum, the study must provide specific recommendations to improve the 
59.11 	safety of the interchange and include cost estimates for each recommended improvement. 
59.12 	The commissioner must report the findings and recommendations of the study to the 
59.13 	legislative committees having jurisdiction over transportation policy and finance within 180 
59.14 	days after the effective date of this section.

59.15 	Sec. 16. EFFECTIVE DATE.
 59.16 	Except as otherwise provided, this article is effective the day following final enactment.

59.17 	ARTICLE 3
59.18 	MISCELLANEOUS

59.19 	Section 1. Minnesota Statutes 2016, section 16A.967, is amended to read:
59.20 	16A.967 LEWIS AND CLARK APPROPRIATION BONDS.
59.21 		Subdivision 1.Definitions. (a) The definitions in this subdivision apply to this section.
59.22 	(b) "Appropriation bond" or "bond" means a bond, note, or other similar instrument of 
59.23 	the state payable during a biennium from one or more of the following sources:
59.24 	(1) money appropriated by law from the general fund in any biennium for debt service 
59.25 	due with respect to obligations described in subdivision 2, paragraph (c) subdivisions 2a 
59.26 	and 2b;
59.27 	(2) proceeds of the sale of obligations described in subdivision 2, paragraph (c)
59.28 	subdivisions 2a and 2b;
59.29 	(3) payments received for that purpose under agreements and ancillary arrangements 
59.30 	described in subdivision 2, paragraph (e) (d); and
60.1 	(4) investment earnings on amounts in clauses (1) to (3).
60.2 	(c) "Debt service" means the amount payable in any biennium of principal, premium, if 
60.3 	any, and interest on appropriation bonds.
60.4 		Subd. 2.Authorization to issue appropriation bonds. (a) Subject to the limitations of 
60.5 	this subdivision, the commissioner may sell and issue appropriation bonds of the state under 
60.6 	this section for public purposes as provided by law, including, in particular, the financing 
60.7 	of the land acquisition, design, engineering, and construction of facilities and infrastructure 
60.8 	necessary to complete the next phase of the Lewis and Clark Regional Water System project, 
60.9 	including completion of the pipeline to Magnolia, extension of the project to the 
60.10 	Lincoln-Pipestone Rural Water System connection near Adrian, and engineering, design, 
60.11 	and easement acquisition for the final phase of the project to Worthington. No bonds shall 
60.12 	be sold until the commissioner determines that a nonstate match of at least $9,000,000 is 
60.13 	committed to this project phase. Grant agreements entered into under this section must 
60.14 	provide for reimbursement to the state from any federal money provided for the project, 
60.15 	consistent with the Lewis and Clark Regional Water System, Inc., agreement.
60.16 	(b) The appropriation bonds may be issued and sold only after the commissioner 
60.17 	determines that the construction and administration for work done on the project will comply 
60.18 	with (1) all federal requirements and regulations associated with the Lewis and Clark Rural 
60.19 	Water System Act of 2000, and (2) the cooperative agreement between the United States 
60.20 	Department of the Interior and the Lewis and Clark Regional Water System, Inc. Proceeds 
60.21 	of the appropriation bonds must be credited to a special appropriation Lewis and Clark bond 
60.22 	proceeds fund in the state treasury. All income from investment of the bond proceeds, as 
60.23 	estimated by the commissioner, is appropriated to the commissioner for the payment of 
60.24 	principal and interest on the appropriation bonds.
60.25 	(c) Appropriation bonds may be sold and issued in amounts that, in the opinion of the 
60.26 	commissioner, are necessary to provide sufficient money, not to exceed $19,000,000 net of 
60.27 	costs of issuance, for the purposes as provided under paragraph (a), and pay debt service 
60.28 	including capitalized interest, costs of issuance, costs of credit enhancement, or make 
60.29 	payments under other agreements entered into under paragraph (e).
60.30 	(d)(c) Appropriation bonds may be issued in one or more issues or series on the terms 
60.31 	and conditions the commissioner determines to be in the best interests of the state, but the 
60.32 	term on any series of appropriation bonds may not exceed 25 years. The appropriation bonds 
60.33 	of each issue and series thereof shall be dated and bear interest, and may be includable in 
60.34 	or excludable from the gross income of the owners for federal income tax purposes.
61.1 	(e) (d) At the time of, or in anticipation of, issuing the appropriation bonds, and at any 
61.2 	time thereafter, so long as the appropriation bonds are outstanding, the commissioner may 
61.3 	enter into agreements and ancillary arrangements relating to the appropriation bonds, 
61.4 	including but not limited to trust indentures, grant agreements, lease or use agreements, 
61.5 	operating agreements, management agreements, liquidity facilities, remarketing or dealer 
61.6 	agreements, letter of credit agreements, insurance policies, guaranty agreements, 
61.7 	reimbursement agreements, indexing agreements, or interest exchange agreements. Any 
61.8 	payments made or received according to the agreement or ancillary arrangement shall be 
61.9 	made from or deposited as provided in the agreement or ancillary arrangement. The 
61.10 	determination of the commissioner included in an interest exchange agreement that the 
61.11 	agreement relates to an appropriation bond shall be conclusive.
61.12 	(f) (e) The commissioner may enter into written agreements or contracts relating to the 
61.13 	continuing disclosure of information necessary to comply with or facilitate the issuance of 
61.14 	appropriation bonds in accordance with federal securities laws, rules, and regulations, 
61.15 	including Securities and Exchange Commission rules and regulations in Code of Federal 
61.16 	Regulations, title 17, section 240.15c 2-12. An agreement may be in the form of covenants 
61.17 	with purchasers and holders of appropriation bonds set forth in the order or resolution 
61.18 	authorizing the issuance of the appropriation bonds, or a separate document authorized by 
61.19 	the order or resolution.
61.20 	(g) (f) The appropriation bonds are not subject to chapter 16C.
61.21 		Subd. 2a.Project authorization. Appropriation bonds may be sold and issued in amounts 
61.22 	that, in the opinion of the commissioner, are necessary to provide sufficient money to the 
61.23 	Public Facilities Authority under subdivision 7, paragraph (a), not to exceed $19,000,000 
61.24 	net of costs of issuance, for the purposes as provided under this subdivision, and pay debt 
61.25 	service including capitalized interest, costs of issuance, costs of credit enhancement, or 
61.26 	make payments under other agreements entered into under subdivision 2, paragraph (d). 
61.27 	The bonds authorized by this subdivision are for the purposes of financing the land 
61.28 	acquisition, design, engineering, and construction of facilities and infrastructure necessary 
61.29 	to complete Phase 2 of the Lewis and Clark Regional Water System project, including 
61.30 	completion of the pipeline to Magnolia; extension of the project to the Lincoln-Pipestone 
61.31 	Rural Water System connection near Adrian; and engineering, design, and easement 
61.32 	acquisition for the final phase of the project to Worthington. No bonds shall be sold under 
61.33 	this subdivision until the commissioner determines that a nonstate match of at least 
61.34 	$9,000,000 is committed to this project phase. Upon completion of Phase 2, the unspent 
62.1 	unencumbered portion of the appropriation in this subdivision is available for the purposes 
62.2 	of subdivision 2b.
62.3 		Subd. 2b.Additional project authorization. Appropriation bonds may be sold and 
62.4 	issued in amounts that, in the opinion of the commissioner, are necessary to provide sufficient 
62.5 	money to the Public Facilities Authority under subdivision 7, paragraph (b), not to exceed 
62.6 	$11,500,000 net of costs of issuance, for the purposes as provided under this subdivision, 
62.7 	and pay debt service including capitalized interest, costs of issuance, costs of credit 
62.8 	enhancement, or make payments under other agreements entered into under subdivision 2, 
62.9 	paragraph (d). The bonds authorized by this subdivision are for the purposes of financing 
62.10 	the land acquisition, design, engineering, and construction of facilities and infrastructure 
62.11 	necessary to complete Phase 3 of the Lewis and Clark Regional Water System project, 
62.12 	including extension of the project from the Lincoln-Pipestone Rural Water System connection 
62.13 	near Adrian to Worthington, construction of a reservoir in Nobles County and a meter 
62.14 	building in Worthington, and acquisition and installation of a supervisory control and data 
62.15 	acquisition (SCADA) system. No bonds shall be sold under this subdivision until the 
62.16 	commissioner determines that a nonstate match of at least $9,000,000 is committed to the 
62.17 	final phase of the project.
62.18 		Subd. 3.Form; procedure. (a) Appropriation bonds may be issued in the form of bonds, 
62.19 	notes, or other similar instruments, and in the manner provided in section 16A.672. In the 
62.20 	event that any provision of section 16A.672 conflicts with this section, this section shall 
62.21 	control.
62.22 	(b) Every appropriation bond shall include a conspicuous statement of the limitation 
62.23 	established in subdivision 6.
62.24 	(c) Appropriation bonds may be sold at either public or private sale upon such terms as 
62.25 	the commissioner shall determine are not inconsistent with this section and may be sold at 
62.26 	any price or percentage of par value. Any bid received may be rejected.
62.27 	(d) Appropriation bonds must bear interest at a fixed or variable rate.
62.28 	(e) Notwithstanding any other law, appropriation bonds issued under this section shall 
62.29 	be fully negotiable.
62.30 		Subd. 4.Refunding bonds. The commissioner may issue appropriation bonds for the 
62.31 	purpose of refunding any appropriation bonds then outstanding, including the payment of 
62.32 	any redemption premiums on the bonds, any interest accrued or to accrue to the redemption 
62.33 	date, and costs related to the issuance and sale of the refunding bonds. The proceeds of any 
62.34 	refunding bonds may, in the discretion of the commissioner, be applied to the purchase or 
63.1 	payment at maturity of the appropriation bonds to be refunded, to the redemption of the 
63.2 	outstanding appropriation bonds on any redemption date, or to pay interest on the refunding 
63.3 	bonds and may, pending application, be placed in escrow to be applied to the purchase, 
63.4 	payment, retirement, or redemption. Any escrowed proceeds, pending such use, may be 
63.5 	invested and reinvested in obligations that are authorized investments under section 11A.24. 
63.6 	The income earned or realized on the investment may also be applied to the payment of the 
63.7 	appropriation bonds to be refunded or interest or premiums on the refunded appropriation 
63.8 	bonds, or to pay interest on the refunding bonds. After the terms of the escrow have been 
63.9 	fully satisfied, any balance of the proceeds and any investment income may be returned to 
63.10 	the general fund or, if applicable, the special appropriation Lewis and Clark bond proceeds 
63.11 	fund for use in any lawful manner. All refunding bonds issued under this subdivision must 
63.12 	be prepared, executed, delivered, and secured by appropriations in the same manner as the 
63.13 	appropriation bonds to be refunded.
63.14 		Subd. 5.Appropriation bonds as legal investments. Any of the following entities may 
63.15 	legally invest any sinking funds, money, or other funds belonging to them or under their 
63.16 	control in any appropriation bonds issued under this section:
63.17 	(1) the state, the investment board, public officers, municipal corporations, political 
63.18 	subdivisions, and public bodies;
63.19 	(2) banks and bankers, savings and loan associations, credit unions, trust companies, 
63.20 	savings banks and institutions, investment companies, insurance companies, insurance 
63.21 	associations, and other persons carrying on a banking or insurance business; and
63.22 	(3) personal representatives, guardians, trustees, and other fiduciaries.
63.23 		Subd. 6.No full faith and credit; state not required to make appropriations. The 
63.24 	appropriation bonds are not public debt of the state, and the full faith, credit, and taxing 
63.25 	powers of the state are not pledged to the payment of the appropriation bonds or to any 
63.26 	payment that the state agrees to make under this section. Appropriation bonds shall not be 
63.27 	obligations paid directly, in whole or in part, from a tax of statewide application on any 
63.28 	class of property, income, transaction, or privilege. Appropriation bonds shall be payable 
63.29 	in each fiscal year only from amounts that the legislature may appropriate for debt service 
63.30 	for any fiscal year, provided that nothing in this section shall be construed to require the 
63.31 	state to appropriate money sufficient to make debt service payments with respect to the 
63.32 	appropriation bonds in any fiscal year. Appropriation bonds shall be canceled and shall no 
63.33 	longer be outstanding on the earlier of (1) the first day of a fiscal year for which the 
64.1 	legislature shall not have appropriated amounts sufficient for debt service, or (2) the date 
64.2 	of final payment of the principal of and interest on the appropriation bonds.
64.3 		Subd. 7.Appropriation of proceeds. (a) The proceeds of appropriation bonds issued 
64.4 	under subdivision 2a and interest credited to the special appropriation Lewis and Clark bond 
64.5 	proceeds fund are appropriated as follows:
64.6 	(1) to the commissioner Public Facilities Authority for a grant to the Lewis and Clark 
64.7 	Joint Powers Board for payment of capital expenses for the purposes provided by as specified 
64.8 	in subdivision 2, paragraph (a), 2a; and
64.9 	(2) to the commissioner for debt service on the bonds including capitalized interest, 
64.10 	nonsalary costs of issuance of the bonds, costs of credit enhancement of the bonds and 
64.11 	payments under any agreements entered into under subdivision 2, paragraph (e) (d), each 
64.12 	as permitted by state and federal law, and such proceeds may be granted, loaned, or otherwise 
64.13 	provided for the public purposes provided by subdivision 2, paragraph (a).
64.14 	(b) The proceeds of appropriation bonds issued under subdivision 2b and interest credited 
64.15 	to the special appropriation Lewis and Clark bond proceeds fund are appropriated as follows:
64.16 	(1) to the Public Facilities Authority for a grant to the Lewis and Clark Joint Powers 
64.17 	Board for payment of capital expenses as specified in subdivision 2b; and
64.18 	(2) to the commissioner for debt service on the bonds including capitalized interest, 
64.19 	nonsalary costs of issuance of the bonds, costs of credit enhancement of the bonds, and 
64.20 	payments under any agreements entered into under subdivision 2, paragraph (d), each as 
64.21 	permitted by state and federal law.
64.22 		Subd. 8.Appropriation for debt service and other purposes. (a) An amount, up to 
64.23 	$1,351,000 needed to pay principal and interest on appropriation bonds issued under this 
64.24 	section subdivision 2a is appropriated each fiscal year from the general fund to the 
64.25 	commissioner, subject to repeal, unallotment under section 16A.152, or cancellation, 
64.26 	otherwise pursuant to subdivision 6, for deposit into the bond payments account established 
64.27 	for such purpose in the special Lewis and Clark appropriation bond proceeds fund. The 
64.28 	appropriation is available beginning in fiscal year 2017 and through fiscal year 2038.
64.29 	(b) An amount up to $855,000 needed to pay principal and interest on appropriation 
64.30 	bonds issued under subdivision 2b is appropriated each fiscal year from the general fund 
64.31 	to the commissioner, subject to repeal, unallotment under section 16A.152, or cancellation, 
64.32 	otherwise pursuant to subdivision 6, for deposit into the bond payments account established 
65.1 	for such purpose in the special Lewis and Clark appropriation bond proceeds fund. The 
65.2 	appropriation is available beginning in fiscal year 2018 and through fiscal year 2039.
65.3 		Subd. 9.Waiver of immunity. The waiver of immunity by the state provided for by 
65.4 	section 3.751, subdivision 1, shall be applicable to the appropriation bonds and any ancillary 
65.5 	contracts to which the commissioner is a party.

65.6 	Sec. 2. Minnesota Statutes 2016, section 85.34, subdivision 1, is amended to read:
65.7 		Subdivision 1.Upper bluff; lease terms. The commissioner of natural resources with 
65.8 	the approval of the Executive Council may lease for purposes of restoration, preservation, 
65.9 	historical, recreational, educational, and commercial use and development, that portion of 
65.10 	Fort Snelling State Park known as the upper bluff consisting of officer's row, area J, the 
65.11 	polo grounds, the adjacent golf course, and all buildings and improvements located thereon, 
65.12 	all lying within an area bounded by Minneapolis-St. Paul International Airport, Trunk 
65.13 	Highways numbered 5 and 55, and Bloomington Road. The lease or leases shall be in a 
65.14 	form approved by the attorney general and for a term of not to exceed 99 years. The lease 
65.15 	or leases may provide for the provision of capital improvements or other performance by 
65.16 	the tenant or tenants in lieu of all or some of the payments of rent that would otherwise be 
65.17 	required. Notwithstanding the continuing ownership of the upper bluff by the state, any 
65.18 	lease of one or more buildings improved with state general obligation bond proceeds that 
65.19 	exceeds 50 years shall be treated as a sale of the buildings for purposes of section 16A.695, 
65.20 	subdivision 3. Any disposition proceeds payable to the commissioner upon execution of 
65.21 	any lease relating to state bond financed buildings at the upper bluff shall be applied in 
65.22 	accordance with the requirements of section 16A.695, subdivision 3, and used to pay, 
65.23 	redeem, or defease state general obligation bonds issued for purposes of improving those 
65.24 	buildings. Any lease revenues paid to the commissioner subsequent to the payment, 
65.25 	redemption, or defeasance of state general obligation bonds shall be used by the commissioner 
65.26 	as further described in this section.

65.27 	Sec. 3. Minnesota Statutes 2016, section 174.52, subdivision 2, is amended to read:
65.28 		Subd. 2.Trunk highway corridor projectsLocal cost-share assistance account. A 
65.29 	trunk highway corridor projectslocal cost-share assistance account is established in the 
65.30 	local road improvement fund. Money in the account is annually appropriated to the 
65.31 	commissioner of transportation for expenditure as specified in this section. Money in the 
65.32 	account must be used as grants or loans to statutory or home rule charter cities, towns, and 
65.33 	counties to assist in paying the local share of trunk highway projects that have local costs 
66.1 	that are directly or partially related to the trunk highway improvement and that are not 
66.2 	funded or are only partially funded with other state and federal funds. The commissioner 
66.3 	shall determine the amount of the local share of costs eligible for assistance from the account.

66.4 	Sec. 4. [219.016] HAZARDOUS MATERIALS RAIL SAFETY ACCOUNT AND 
66.5 	GRANT PROGRAM.
66.6 		Subdivision 1.Purpose. A hazardous materials rail safety program is established for 
66.7 	the purpose of reducing the risks associated with transporting hazardous material by rail.
66.8 		Subd. 2.Creation of account. A hazardous materials rail safety program account is 
66.9 	established in the bond proceeds fund. Money in the account may only be used for capital 
66.10 	costs associated with planning, engineering, administration, and construction of public 
66.11 	highway-rail grade crossing improvements on rail corridors transporting crude oil and other 
66.12 	hazardous materials. Improvements may include upgrades to existing protection systems, 
66.13 	the closing of crossings and necessary roadwork, and reconstruction of at-grade crossings 
66.14 	to full grade separations.
66.15 		Subd. 3.Grants. The commissioner may approve grants for financial assistance to 
66.16 	eligible applicants for capital costs associated with hazardous materials rail safety projects 
66.17 	on public highway-rail grade crossings. Qualifying capital costs include, but are not limited 
66.18 	to, upgrades to existing protection systems, the closing of crossings and necessary roadwork, 
66.19 	and reconstruction of at-grade crossings to full grade separations.
66.20 		Subd. 4.Eligible applicants. Counties, statutory or home rule charter cities, or towns 
66.21 	that are responsible for establishing and maintaining public highway-rail grade crossings 
66.22 	on rail corridors transporting crude oil and other hazardous materials may apply to the 
66.23 	commissioner for financial assistance for the purposes in this section.
66.24 		Subd. 5.Criteria for grant award. The commissioner shall consider the following 
66.25 	criteria to evaluate applications for a grant award for a hazardous materials rail safety project:
66.26 	(1) whether the crossing was identified as a potential candidate for grade separation in 
66.27 	MnDOT's crude by rail grade crossing study (Improvements to Highway Grade Crossings 
66.28 	and Rail Safety, December 2014);
66.29 	(2) roadway traffic volumes and speeds;
66.30 	(3) train volumes and speeds;
66.31 	(4) adjacent land use;
66.32 	(5) crash history;
67.1 	(6) use of the crossing by emergency vehicles;
67.2 	(7) use of the crossing by vehicles carrying hazardous materials;
67.3 	(8) local financial contributions to the project; and
67.4 	(9) private financial contributions to the project.

67.5 	Sec. 5. Minnesota Statutes 2016, section 446A.072, is amended to read:
67.6 	446A.072 WASTEWATER WATER INFRASTRUCTURE FUNDING PROGRAM.
67.7 		Subdivision 1.Establishment of program. The authority will establish a wastewater
67.8 	water infrastructure funding program to provide supplemental assistance to governmental 
67.9 	units receiving funding through the clean water revolving fund program, the drinking water 
67.10 	revolving fund program, or the United States Department of Agriculture Rural Economic 
67.11 	and Community Development's (USDA/RECD) Water and Waste Disposal Loans and 
67.12 	Grants program for the predesign, design, and construction of municipal wastewater treatment
67.13 	and drinking water systems, including purchase of land and easements. The purpose of the 
67.14 	program is to assist governmental units demonstrating financial need to build cost-effective 
67.15 	projects to address existing environmental or public health problems. To implement the 
67.16 	program, the authority shall establish a wastewater water infrastructure fund to provide 
67.17 	grants and loans for the purposes authorized under title VI of the Federal Water Pollution 
67.18 	Control Act and the federal Safe Drinking Water Act. The fund shall be credited with all 
67.19 	investment income from the fund and all repayments of loans, grants, and penalties.
67.20 		Subd. 3.Program administration. (a) The authority shall provide supplemental 
67.21 	assistance, as provided in subdivision 5a to governmental units:
67.22 	(1) whose projects are listed on the Pollution Control Agency's project priority list or 
67.23 	the commissioner of health's project priority list;
67.24 	(2) that demonstrate their projects are a cost-effective solution to an existing 
67.25 	environmental or public health problem; and
67.26 	(3) whose projects are approved by the USDA/RECD or certified by the commissioner 
67.27 	of the Pollution Control Agency or the commissioner of health.
67.28 	(b) For a governmental unit receiving grant funding from the USDA/RECD, applications 
67.29 	must be made to the USDA/RECD with additional information submitted to the authority 
67.30 	as required by the authority. Eligible project costs and affordability criteria shall be 
67.31 	determined by the USDA/RECD.
68.1 	(c) For a governmental unit not receiving grant funding from the USDA/RECD, 
68.2 	application must be made to the authority on forms prescribed by the authority for the clean 
68.3 	water revolving fund program or the drinking water revolving fund program with additional 
68.4 	information as required by the authority. In accordance with section 116.182, the Pollution 
68.5 	Control Agency or the commissioner of health shall:
68.6 	(1) calculate the essential project component percentage, based on the portion of project 
68.7 	costs necessary to convey or treat the existing wastewater flows and loadings or, for drinking 
68.8 	water projects, to provide safe drinking water to meet existing needs, which must be 
68.9 	multiplied by the total project cost to determine the eligible project cost for the program 
68.10 	under this section; and
68.11 	(2) review and certify approved projects to the authority.
68.12 	(d) Each fiscal year the authority shall make funds available for projects based on their 
68.13 	ranking on the Pollution Control Agency's project priority list or the commissioner of health's 
68.14 	project priority list. The authority shall reserve funds for a project when the applicant receives 
68.15 	a funding commitment from the United States Department of Agriculture Rural Development 
68.16 	(USDA/RECD) or submits plans and specifications to the project is certified by the Pollution 
68.17 	Control Agency or the commissioner of health. Funds must be reserved in an amount based 
68.18 	on the project cost estimate submitted to the authority prior to the appropriation of the funds 
68.19 	and awarded based on the lesser of that amount or the as-bid cost when the project is certified 
68.20 	or the as-bid cost, whichever is less.
68.21 		Subd. 5a.Type and amount of assistance. (a) For a governmental unit receiving grant 
68.22 	funding from the USDA/RECD, the authority may provide assistance in the form of a grant 
68.23 	of up to 65 percent of the eligible grant need determined by USDA/RECD. A governmental 
68.24 	unit may not receive a grant under this paragraph for more than $4,000,000$5,000,000 per 
68.25 	project or $15,000 $20,000 per existing connection, whichever is less, unless specifically 
68.26 	approved by law.
68.27 	(b) For a governmental unit receiving a loan from the clean water revolving fund under 
68.28 	section 446A.07, the authority may provide assistance under this section in the form of a 
68.29 	grant if the average annual residential wastewater system cost after completion of the project 
68.30 	would otherwise exceed 1.4 percent of the median household income of the project service 
68.31 	area. In determining whether the average annual residential wastewater system cost would 
68.32 	exceed 1.4 percent, the authority must consider the total costs associated with building, 
68.33 	operating, and maintaining the wastewater system, including existing wastewater debt 
68.34 	service, debt service on the eligible project cost, and operation and maintenance costs. Debt 
69.1 	service costs for the proposed project are calculated based on the maximum loan term 
69.2 	permitted for the clean water revolving fund loan under section 446A.07, subdivision 7. 
69.3 	The amount of the grant is equal to 80 percent of the amount needed to reduce the average 
69.4 	annual residential wastewater system cost to 1.4 percent of median household income in 
69.5 	the project service area, to a maximum of $4,000,000 $5,000,000 per project or $15,000
69.6 	$20,000 per existing connection, whichever is less, unless specifically approved by law. 
69.7 	The eligible project cost is determined by multiplying the total project costs minus any other 
69.8 	grants by the essential project component percentage calculated under subdivision 3, 
69.9 	paragraph (c), clause (1). In no case may the amount of the grant exceed 80 percent of the 
69.10 	eligible project cost.
69.11 	(c) For a governmental unit receiving a loan from the drinking water revolving fund 
69.12 	under section 446A.081, the authority may provide assistance under this section in the form 
69.13 	of a grant if the average annual residential drinking water system cost after completion of 
69.14 	the project would otherwise exceed 1.2 percent of the median household income of the 
69.15 	project service area. In determining whether the average annual residential drinking water 
69.16 	system cost would exceed 1.2 percent, the authority must consider the total costs associated 
69.17 	with building, operating, and maintaining the drinking water system, including existing 
69.18 	drinking water debt service, debt service on the eligible project cost, and operation and 
69.19 	maintenance costs. Debt service costs for the proposed project are calculated based on the 
69.20 	maximum loan term permitted for the drinking water revolving fund loan under section 
69.21 	446A.081, subdivision 8, paragraph (c). The amount of the grant is equal to 80 percent of 
69.22 	the amount needed to reduce the average annual residential drinking water system cost to 
69.23 	1.2 percent of median household income in the project service area, to a maximum of 
69.24 	$5,000,000 per project or $20,000 per existing connection, whichever is less, unless 
69.25 	specifically approved by law. The eligible project cost is determined by multiplying the 
69.26 	total project costs minus any other grants by the essential project component percentage 
69.27 	calculated under subdivision 3, paragraph (c), clause (1). In no case may the amount of the 
69.28 	grant exceed 80 percent of the eligible project cost.
69.29 	(c) (d) Notwithstanding the limits in paragraphs (a) and, (b), and (c), for a governmental 
69.30 	unit receiving supplemental assistance under this section after January 1, 2002, if the authority 
69.31 	determines that the governmental unit's construction and installation costs are significantly 
69.32 	increased due to geological conditions of crystalline bedrock or karst areas and discharge 
69.33 	limits that are more stringent than secondary treatment, the maximum award under this 
69.34 	section shall not be more than $25,000 per existing connection.
70.1 		Subd. 5b.Special assessment deferral. A governmental unit receiving a loan under 
70.2 	subdivision 5a that levies special assessments to repay the loan under subdivision 5a or 
70.3 	section 446A.07 may defer payment of such assessments under the provisions of sections 
70.4 	435.193 to 435.195.
70.5 		Subd. 6.Disbursements. Disbursements of grants or loans awarded under this section 
70.6 	by the authority to recipients must be made for eligible project costs as incurred by the 
70.7 	recipients, and must be made by the authority in accordance with the project financing 
70.8 	agreement and applicable state and federal laws and rules governing the payments.
70.9 		Subd. 7.Loan repayments. Notwithstanding the limitations set forth in section 475.54, 
70.10 	subdivision 1, this subdivision shall govern the maturities and mandatory sinking fund 
70.11 	redemptions of the loans under this section. A governmental unit receiving a loan under 
70.12 	this section shall repay the loan in semiannual payment amounts determined by the authority. 
70.13 	The payment amount must be based on the average payments on the governmental unit's 
70.14 	clean water revolving fund loan or, if greater, the minimum amount required to fully repay 
70.15 	the loan by the maturity date. Payments must begin within one year of the date of the 
70.16 	governmental unit's final payment on the clean water revolving fund loan. The final maturity 
70.17 	date of the loan under this section must be no later than 20 years from the date of the first 
70.18 	payment on the loan under this section and no later than 40 years from the date of the first 
70.19 	payment on the clean water revolving fund loan.
70.20 		Subd. 8.Eligibility. A governmental unit is eligible for assistance under this section 
70.21 	only after applying for grant funding from other sources and funding has been obtained, 
70.22 	rejected, or the authority has determined that the potential funding is unlikely.
70.23 		Subd. 9.Funding limitation. Supplemental assistance may not be used to reduce the 
70.24 	sewer service charges of a significant wastewater contributor industrial user that has a 
70.25 	separate service charge agreement with the recipient, or a single user that has caused the 
70.26 	need for the project or whose current or projected flow and load exceed usage exceeds 
70.27 	one-half of the current wastewater treatment plant's or drinking water system capacity.
70.28 		Subd. 11.Report on needs. By February 1 of each even-numbered year, the authority, 
70.29 	in conjunction with the Pollution Control Agency and the commissioner of health, shall 
70.30 	prepare a report to the Finance Division of the senate Environment and Natural Resources 
70.31 	Committee and the house of representatives Environment and Natural Resources Finance 
70.32 	Committee on wastewater and drinking water funding assistance needs of governmental 
70.33 	units under this section.
71.1 		Subd. 12.System replacement fund. Each governmental unit receiving a loan or grant 
71.2 	under this section shall establish a system replacement fund and shall annually deposit a 
71.3 	minimum of $.50 per 1,000 gallons of flow for major rehabilitation or, expansion, or 
71.4 	replacement of the treatment wastewater or drinking water system, or replacement of the 
71.5 	treatment system at the end of its useful life. Money must remain in the account for the life 
71.6 	of the corresponding project loan from the authority or USDA/RECD, unless use of the 
71.7 	fund is approved in writing by the authority for major rehabilitation, expansion, or 
71.8 	replacement of the treatment wastewater or drinking water system. By March 1 each year 
71.9 	during the life of the loan, each recipient shall submit a report to the authority regarding the 
71.10 	amount deposited and the fund balance for the prior calendar year. A recipient is not required 
71.11 	to maintain a fund balance greater than the amount of the grant received. Failure to comply 
71.12 	with the requirements of this subdivision shall result in the authority assessing a penalty 
71.13 	fee to the recipient equal to one percent of the supplemental assistance amount for each 
71.14 	year of noncompliance. Failure to make the required deposit or pay the penalty fee as 
71.15 	required constitutes a default on the loan.
71.16 		Subd. 14.Consistency with land use plans. A governmental unit applying for a project 
71.17 	in an unsewered area shall include in its application to the authority a certification from the 
71.18 	county in which the project is located that:
71.19 	(1) the project is consistent with the county comprehensive land use plan, if the county 
71.20 	has adopted one;
71.21 	(2) the project is consistent with the county water plan, if the county has adopted one; 
71.22 	and
71.23 	(3) the county has adopted specific land use ordinances or controls so as to meet or 
71.24 	exceed the requirements of Minnesota Rules, part 7082.0050.

71.25 	Sec. 6. Minnesota Statutes 2016, section 446A.073, is amended to read:
71.26 	446A.073 POINT SOURCE IMPLEMENTATION GRANTS.
71.27 		Subdivision 1.Program established. When money is appropriated for grants under this 
71.28 	program, the authority shall award grants up to a maximum of $3,000,000$7,000,000 to 
71.29 	governmental units to cover up to one-half 80 percent of the cost of water infrastructure 
71.30 	projects made necessary by:
71.31 	(1) a wasteload reduction prescribed under a total maximum daily load plan required by 
71.32 	section 303(d) of the federal Clean Water Act, United States Code, title 33, section 1313(d);
72.1 	(2) a phosphorus concentration or mass limit which requires discharging one milligram 
72.2 	per liter or less at permitted design flow which is incorporated into a permit issued by the 
72.3 	Pollution Control Agency;
72.4 	(3) any other water quality-based effluent limit established under section 115.03, 
72.5 	subdivision 1, paragraph (e), clause (8), and incorporated into a permit issued by the Pollution 
72.6 	Control Agency that exceeds secondary treatment limits; or
72.7 	(4) a total nitrogen concentration or mass limit of that requires discharging ten milligrams 
72.8 	per liter or less for a land-based treatment system at permitted design flow.
72.9 		Subd. 2.Grant application. Application for a grant must be made to the authority on 
72.10 	forms prescribed by the authority for the total maximum daily load grant program, with 
72.11 	additional information as required by the authority, including a project schedule and cost 
72.12 	estimate for the work necessary to comply with the point source wasteload allocation 
72.13 	requirements listed in subdivision 1. The Pollution Control Agency shall:
72.14 	(1) in accordance with section 116.182, calculate the essential project component 
72.15 	percentage, which must be multiplied by the total project cost to determine the eligible 
72.16 	project cost; and
72.17 	(2) review and certify to the authority those projects that have plans and specifications 
72.18 	approved under section 115.03, subdivision 1, paragraph (f).
72.19 		Subd. 3.Project priorities. When money is appropriated for grants under this program,
72.20 	The authority shall accept applications under this program during the month of July and 
72.21 	reserve money for projects expected to proceed with construction by the end of the fiscal 
72.22 	year in the order listed on the Pollution Control Agency's project priority list and in an 
72.23 	amount based on the cost estimate submitted to the authority in the grant application or the 
72.24 	as-bid costs, whichever is less. Notwithstanding Minnesota Rules, chapter 7077, the Pollution 
72.25 	Control Agency may rank a drinking water infrastructure project on the agency's project 
72.26 	priority list if the project is necessary to meet an applicable requirement in subdivision 1.
72.27 		Subd. 4.Grant approval. The authority must make a grant for an eligible project only 
72.28 	after:
72.29 	(1) the applicant has submitted the as-bid cost for the water infrastructure project;
72.30 	(2) the Pollution Control Agency has approved the as-bid costs and certified the grant 
72.31 	eligible portion of the project; and
72.32 	(3) the authority has determined that the additional financing necessary to complete the 
72.33 	project has been committed from other sources.
73.1 		Subd. 5.Grant disbursement. Disbursement of a grant must be made for eligible project 
73.2 	costs as incurred by the governmental unit and in accordance with a project financing 
73.3 	agreement and applicable state and federal laws and rules governing the payments.

73.4 	Sec. 7. Minnesota Statutes 2016, section 446A.081, subdivision 9, is amended to read:
73.5 		Subd. 9.Other uses of fund. (a) The drinking water revolving loan fund may be used 
73.6 	as provided in the act, including the following uses:
73.7 	(1) to buy or refinance the debt obligations, at or below market rates, of public water 
73.8 	systems for drinking water systems, where the debt was incurred after the date of enactment 
73.9 	of the act, for the purposes of construction of the necessary improvements to comply with 
73.10 	the national primary drinking water regulations under the federal Safe Drinking Water Act;
73.11 	(2) to purchase or guarantee insurance for local obligations to improve credit market 
73.12 	access or reduce interest rates;
73.13 	(3) to provide a source of revenue or security for the payment of principal and interest 
73.14 	on revenue or general obligation bonds issued by the authority if the bond proceeds are 
73.15 	deposited in the fund;
73.16 	(4) to provide loans or loan guarantees for similar revolving funds established by a 
73.17 	governmental unit or state agency;
73.18 	(5) to earn interest on fund accounts;
73.19 	(6) to pay the reasonable costs incurred by the authority, the Department of Employment 
73.20 	and Economic Development, and the Department of Health for conducting activities as 
73.21 	authorized and required under the act up to the limits authorized under the act;
73.22 	(7) to develop and administer programs for water system supervision, source water 
73.23 	protection, and related programs required under the act;
73.24 	(8) notwithstanding Minnesota Rules, part 7380.0280, to provide principal forgiveness 
73.25 	or grants to the extent permitted under the federal Safe Drinking Water Act and other federal 
73.26 	law, based on the criteria and requirements established for drinking water projects under 
73.27 	the water infrastructure funding program under section 446A.072;
73.28 	(9) to provide loans, principal forgiveness or grants to the extent permitted under the 
73.29 	federal Safe Drinking Water Act and other federal law to address green infrastructure, water 
73.30 	or energy efficiency improvements, or other environmentally innovative activities; and
74.1 	(10) to provide principal forgiveness, or grants for 50 percent of the project cost up to 
74.2 	a maximum of $10,000 for projects needed to comply with national primary drinking water 
74.3 	standards for an existing community or noncommunity public water system.
74.4 	(b) Principal forgiveness or grants under paragraph (a), clause (8), must only be provided 
74.5 	if the average annual residential drinking water system cost after completion of the project 
74.6 	would otherwise exceed 1.2 percent of the median household income in the project service 
74.7 	area. In determining whether the average annual residential drinking water system cost 
74.8 	would exceed 1.2 percent, the authority must consider the total costs associated with building, 
74.9 	operating, and maintaining the drinking water system, including debt service and operation 
74.10 	and maintenance costs. Debt service costs for the proposed project must be calculated based 
74.11 	on the maximum loan term permitted for the drinking water revolving fund loan under this 
74.12 	section. The amount of the principal forgiveness or grant must be equal to 80 percent of the 
74.13 	amount needed to reduce the average annual residential drinking water system cost to 1.2 
74.14 	percent of median household income in the project service area, to a maximum of $4,000,000 
74.15 	or $15,000 per connection, whichever is less, and not to exceed 80 percent of the total project 
74.16 	cost.
74.17 	(c) (b) Principal forgiveness or grants provided under paragraph (a), clause (9), may not 
74.18 	exceed 25 percent of the eligible project costs as determined by the Department of Health 
74.19 	for project components directly related to green infrastructure, water or energy efficiency 
74.20 	improvements, or other environmentally innovative activities, up to a maximum of 
74.21 	$1,000,000.
74.22 	(d) The authority may reduce the percentage of median household income at which a 
74.23 	loan term could extend to 30 years under subdivision 8, paragraph (c), and at which principal 
74.24 	forgiveness or grants could be provided under paragraph (b) if it determines that the federal 
74.25 	money allotted to the state cannot be fully utilized without the reduction. If it determines 
74.26 	that the reduction is necessary to fully utilize the federal money, the authority must effect 
74.27 	the change through its approval of the annual intended use plan.

74.28 	Sec. 8. Minnesota Statutes 2016, section 446A.12, subdivision 1, is amended to read:
74.29 		Subdivision 1.Bonding authority. The authority may issue negotiable bonds in a 
74.30 	principal amount that the authority determines necessary to provide sufficient funds for 
74.31 	achieving its purposes, including the making of loans and purchase of securities, the payment 
74.32 	of interest on bonds of the authority, the establishment of reserves to secure its bonds, the 
74.33 	payment of fees to a third party providing credit enhancement, and the payment of all other 
74.34 	expenditures of the authority incident to and necessary or convenient to carry out its corporate 
75.1 	purposes and powers, but not including the making of grants. Bonds of the authority may 
75.2 	be issued as bonds or notes or in any other form authorized by law. The principal amount 
75.3 	of bonds issued and outstanding under this section at any time may not exceed 
75.4 	$1,500,000,000 $2,000,000,000, excluding bonds for which refunding bonds or crossover 
75.5 	refunding bonds have been issued, and excluding any bonds issued for the credit enhanced 
75.6 	bond program or refunding or crossover refunding bonds issued under the program. The 
75.7 	principal amount of bonds issued and outstanding under section 446A.087, may not exceed 
75.8 	$500,000,000, excluding bonds for which refunding bonds or crossover refunding bonds 
75.9 	have been issued.

75.10 	Sec. 9. Minnesota Statutes 2016, section 462A.37, is amended by adding a subdivision to 
75.11 	read:
75.12 		Subd. 2c.Additional authorization. In addition to the amount authorized in subdivisions 
75.13 	2, 2a, and 2b, the agency may issue up to $35,000,000 in housing infrastructure bonds in 
75.14 	one or more series to which the payments under this section may be pledged.

75.15 	Sec. 10. Minnesota Statutes 2016, section 462A.37, subdivision 5, is amended to read:
75.16 		Subd. 5.Additional appropriation. (a) The agency must certify annually to the 
75.17 	commissioner of management and budget the actual amount of annual debt service on each 
75.18 	series of bonds issued under subdivisions 2a and, 2b, and 2c.
75.19 	(b) Each July 15, beginning in 2015 and through 2037, if any housing infrastructure 
75.20 	bonds issued under subdivision 2a remain outstanding, the commissioner of management 
75.21 	and budget must transfer to the housing infrastructure bond account established under section 
75.22 	462A.21, subdivision 33, the amount certified under paragraph (a), not to exceed $6,400,000 
75.23 	annually. The amounts necessary to make the transfers are appropriated from the general 
75.24 	fund to the commissioner of management and budget.
75.25 	(c) Each July 15, beginning in 2017 and through 2038, if any housing infrastructure 
75.26 	bonds issued under subdivision 2b remain outstanding, the commissioner of management 
75.27 	and budget must transfer to the housing infrastructure bond account established under section 
75.28 	462A.21, subdivision 33, the amount certified under paragraph (a), not to exceed $800,000 
75.29 	annually. The amounts necessary to make the transfers are appropriated from the general 
75.30 	fund to the commissioner of management and budget.
75.31 	(d) Each July 15, beginning in 2018 and through 2039, if any housing infrastructure 
75.32 	bonds issued under subdivision 2c remain outstanding, the commissioner of management 
75.33 	and budget must transfer to the housing infrastructure bond account established under section 
76.1 	462A.21, subdivision 33, the amount certified under paragraph (a), not to exceed $2,800,000 
76.2 	annually. The amounts necessary to make the transfers are appropriated from the general 
76.3 	fund to the commissioner of management and budget.
76.4 	(d) (e) The agency may pledge to the payment of the housing infrastructure bonds the 
76.5 	payments to be made by the state under this section.

76.6 	Sec. 11. Laws 2012, chapter 293, section 7, subdivision 3, is amended to read:

76.7
76.8	Subd. 3.Dam Repair, Reconstruction, and 
Removal
 				3,000,000
	
76.9 	To renovate or remove publicly owned dams. 
76.10 	The commissioner shall determine project 
76.11 	priorities as appropriate under Minnesota 
76.12 	Statutes, sections 103G.511 and 103G.515.
76.13 	Notwithstanding the match requirements in 
76.14 	Minnesota Statutes, section 103G.511, a grant 
76.15 	to the city of Lanesboro does not require any 
76.16 	nonstate match.

76.17 	Sec. 12. Laws 2014, chapter 294, article 1, section 7, subdivision 15, is amended to read:

76.18	Subd. 15.Grant County Trail Grant
 				100,000
	
76.19 	For a grant to Grant County for predesign, 
76.20 	acquisition, and or improvements for a trail 
76.21 	from the city of Elbow Lake to Pomme de 
76.22 	Terre Lake. The commissioner of natural 
76.23 	resources may allocate any amount not needed 
76.24 	to complete this project to state trail 
76.25 	acquisition and improvements under 
76.26 	Minnesota Statutes, section 85.015.

76.27 	Sec. 13. Laws 2014, chapter 294, article 1, section 17, subdivision 6, is amended to read:

76.28
76.29	Subd. 6.Inver Grove Heights - Heritage Village 
Park
 				2,000,000
	
76.30 	$1,500,000 of this appropriation is for a grant 
76.31 	to the city of Inver Grove Heights and 
76.32 	$500,000 of this appropriation is for a grant 
76.33 	to Dakota County. This appropriation is for 
77.1 	public infrastructure improvements and land 
77.2 	acquisition in and adjacent to the Heritage 
77.3 	Village Park, the Mississippi River Trail, and 
77.4 	the Rock Island Swing Bridge. These 
77.5 	improvements will include but are not limited 
77.6 	to motor vehicle access, utility service, 
77.7 	stormwater treatment, and trail and sidewalk 
77.8 	connections. This appropriation is not 
77.9 	available until the commissioner of 
77.10 	management and budget has determined that 
77.11 	at least an equal amount has been committed 
77.12 	to the project from nonstate sources.

77.13 	Sec. 14. Laws 2014, chapter 294, article 1, section 17, subdivision 12, is amended to read:

77.14
77.15	Subd. 12.West St. Paul - North UrbanRiver to 
River Regional Trail Bridge Greenway
 				2,000,000
	
77.16 	For a grant to the city of West St. Paul to 
77.17 	predesign, design, and construct a pedestrian 
77.18 	bridge for the North Urban Regional Trail as 
77.19 	an overpassgrade separated crossing of Robert 
77.20 	Street in the area near Wentworth Avenue in 
77.21 	West St. Paul for the River to River Regional 
77.22 	Greenway. This appropriation may also be 
77.23 	used to acquire property or purchase 
77.24 	rights-of-way needed for bridge construction. 
77.25 	A nonstate match is not required.

77.26 	Sec. 15. Laws 2015, First Special Session chapter 5, article 1, section 10, subdivision 3, 
77.27 	is amended to read:

77.28	Subd. 3.Local Road Improvement Fund Grants
 				8,910,000
	
77.29 	(a) From the bond proceeds account in the 
77.30 	state transportation fund as provided in 
77.31 	Minnesota Statutes, section 174.50, for 
77.32 	construction and reconstruction of local roads 
77.33 	with statewide or regional significance under 
77.34 	Minnesota Statutes, section 174.52, 
78.1 	subdivision 4, or for grants to counties to assist 
78.2 	in paying the costs of rural road safety capital 
78.3 	improvement projects on county state-aid 
78.4 	highways under Minnesota Statutes, section 
78.5 	174.52, subdivision 4a.
78.6 	(b) This appropriation includes $850,000 for 
78.7 	a grant to the city of Sandstone for predesign, 
78.8 	design, engineering, and construction of a road 
78.9 	extending south off of marked Trunk Highway 
78.10 	23 across from Lundorff Drive to the airport 
78.11 	area, and including a bridge over Skunk Creek 
78.12 	in Sandstone, in order to facilitate repurposing 
78.13 	of an area of the airport into a business park. 
78.14 	This appropriation is not available until the 
78.15 	commissioner of management and budget 
78.16 	determines that sufficient resources to 
78.17 	complete the project are committed to it from 
78.18 	other sources, including any funds made 
78.19 	available from the commissioner of 
78.20 	transportation.
78.21 	(c) This appropriation includes $3,770,000 for 
78.22 	a grant to Kandiyohi County for construction 
78.23 	and reconstruction of local roads to facilitate 
78.24 	the construction of highway-rail grade 
78.25 	separations at U.S. Highway 12 and Minnesota 
78.26 	Highway 40 as part ofone or more of the 
78.27 	following highway-rail intersections associated 
78.28 	with the Willmar Wye project: U.S. Highway 
78.29 	12, marked Trunk Highway 40, and Kandiyohi 
78.30 	County State-Aid Highway 55.

78.31 	Sec. 16. NATIONAL SPORTS CENTER; LEASE.
 78.32 	Notwithstanding Minnesota Statutes, sections 16A.695, 16B.24, and 240A.03, subdivision 
78.33 	6, the Minnesota Amateur Sports Commission may lease for educational purposes that 
78.34 	portion of property described as a portion of the property acquired by the commission 
79.1 	pursuant to Laws 1987, chapter 400, section 8, subdivision 3, not currently needed for 
79.2 	amateur sports purposes to Independent School District No. 16, Spring Lake Park. The lease 
79.3 	shall be in a form approved by the attorney general and for a term not to exceed 99 years. 
79.4 	The lease may provide for the provision of capital improvements or other performance by 
79.5 	the tenant in lieu of all or some of the payments of rent that would otherwise be required. 
79.6 	Any lease revenues paid to the commission are appropriated to the commission.

79.7 	Sec. 17. COMMISSIONER OF ADMINISTRATION REPORT - FUNDING FOR 
79.8 	ASSET PRESERVATION.
 79.9 		Subdivision 1.Report. By November 15, 2017, the commissioner of administration 
79.10 	shall report to the chairs and ranking minority members of the committees in the senate 
79.11 	with jurisdiction over finance and capital investment and in the house of representatives 
79.12 	with jurisdiction over ways and means and capital investment, with recommendations for 
79.13 	sustainable, reliable, predictable funding for preservation of capital assets owned by agencies.
79.14 		Subd. 2.Funding options and approaches. The report shall assess the feasibility of 
79.15 	implementing the following options and may include evaluation of other feasible options:
79.16 	(1) establishing a standing appropriation from the general fund to pay a portion of 
79.17 	certified asset preservation needs;
79.18 	(2) establishing a standing appropriation from the bond proceeds fund, and authorizing 
79.19 	the sale of general obligation bonds, to pay a portion of certified asset preservation needs;
79.20 	(3) dedicating a specified portion of fees collected by agencies to use for asset 
79.21 	preservation; and
79.22 	(4) shifting asset preservation from the capital budget to the operating budget so that 
79.23 	asset preservation is built into the base budget.
79.24 	Evaluations should include a comparison to current law and practice.
79.25 		Subd. 3.Demolition. The report shall evaluate whether the metrics and process used by 
79.26 	each agency to recommend demolition of capital assets are comprehensive enough to reflect 
79.27 	what is in the best interest of the state.
79.28 		Subd. 4.Definition. "Agencies" as used in this section means all executive branch 
79.29 	agencies, the Board of Regents of the University of Minnesota, and the Board of Trustees 
79.30 	of Minnesota State Colleges and Universities.

80.1 	Sec. 18. REAUTHORIZATION OF APPROPRIATION.
 80.2 	Pursuant to Minnesota Statutes, section 16A.642, subdivision 1, paragraph (b), the 
80.3 	unencumbered and unobligated balance of the bond authorization and appropriation of bond 
80.4 	proceeds in Laws 2006, chapter 258, section 18, subdivision 6, as amended by Laws 2013, 
80.5 	chapter 136, section 13, estimated to be $1,991,456.32, is reauthorized.

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

80.7 	Sec. 19.  REPEALER.
 80.8 	Minnesota Statutes 2016, section 123A.446, is repealed.

80.9 	Sec. 20. EFFECTIVE DATE.
 80.10 	Except as otherwise provided, this article is effective the day following final enactment.

80.11 	ARTICLE 4
80.12 	RAIL TRANSPORTATION

80.13 	Section 1. Minnesota Statutes 2016, section 13.6905, is amended by adding a subdivision 
80.14 	to read:
80.15 		Subd. 34.Oil and other hazardous substances transportation data. Certain data on 
80.16 	oil and other hazardous substances transportation by railroads are governed by section 
80.17 	219.925, subdivision 7.

80.18 	Sec. 2. Minnesota Statutes 2016, section 13.7411, is amended by adding a subdivision to 
80.19 	read:
80.20 		Subd. 10.Prevention and response plans. Certain data on prevention and response 
80.21 	plans are governed by section 115E.042, subdivision 7.

80.22 	Sec. 3. Minnesota Statutes 2016, section 115E.042, is amended to read:
80.23 	115E.042 PREPAREDNESS AND RESPONSE FOR CERTAIN RAILROADS.
80.24 		Subdivision 1.Application. In addition to the requirements of section 115E.04, a person 
80.25 	who owns or operates railroad car rolling stock transporting a unit train must comply with 
80.26 	this section.
80.27 		Subd. 2.Training. (a) Each railroad must offer training to each fire department, and 
80.28 	each local organization for emergency management under section 12.25, having jurisdiction 
81.1 	along the route of unit trains routes over which oil and other hazardous substances are 
81.2 	transported. Initial training under this subdivision must be offered to each fire department 
81.3 	by June 30, 2016, and Refresher training must be offered to each fire department and local 
81.4 	organization for emergency management at least once every three years thereafter after 
81.5 	initial training under this subdivision.
81.6 	(b) The training must address the general hazards of oil and hazardous substances, 
81.7 	techniques to assess hazards to the environment and to the safety of responders and the 
81.8 	public, factors an incident commander must consider in determining whether to attempt to 
81.9 	suppress a fire or to evacuate the public and emergency responders from an area, and other 
81.10 	strategies for initial response by local emergency responders. The training must include 
81.11 	suggested protocol or practices for local responders to safely accomplish these tasks
81.12 	identification of rail cars and their hazardous substance contents, responder safety issues, 
81.13 	rail response tactics, public evacuation considerations, environmental contamination response, 
81.14 	coordination of railroad response personnel and resources at an incident, and other protocols 
81.15 	and practices for safe initial local response.
81.16 		Subd. 3.Emergency response planning; coordination. Beginning June 30, 2015, (a)
81.17 	Each railroad must communicate at least annually with each county or city emergency 
81.18 	manager, security qualified safety representatives of railroad employees governed by the 
81.19 	Railway Labor Act, and a senior fire department officer of each fire department having 
81.20 	jurisdiction along the route of a unit train routes over which oil and other hazardous 
81.21 	substances are transported, to:
81.22 	(1) ensure coordination of emergency response activities between the railroad and local 
81.23 	responders;
81.24 	(2) upon request, assist emergency managers to identify and assess local rail-specific 
81.25 	threats, hazards, and risks; and
81.26 	(3) obtain information from emergency managers regarding specific local natural and 
81.27 	technical hazards and threats in the local area that may impact rail operations or public 
81.28 	safety.
81.29 	(b) The coordination under paragraph (a), clauses (2) and (3), must include identification 
81.30 	of increased risks and potential special responses due to high population concentration, 
81.31 	critical local infrastructure, key facilities, significant venues, or sensitive natural 
81.32 	environments.
81.33 	(c) The commissioner of public safety shall compile and make available to railroads a 
81.34 	listing of emergency managers and fire chiefs, which must include contact information.
82.1 		Subd. 4.Response capabilities; time limits. (a) Following confirmation of a discharge, 
82.2 	a railroad must deliver and deploy sufficient equipment and trained personnel to (1) contain 
82.3 	and recover discharged oil or hazardous substances, and (2) to protect the environment and 
82.4 	assist local public safety officials.
82.5 	(b) Within 15 minutes of the arrival of local emergency responders on the scene of a 
82.6 	rail incident involving oil or other hazardous substances, a railroad must assist the incident 
82.7 	commander in determining the nature of hazardous substances known to have been released 
82.8 	and hazardous substances transported on the train, by providing information that includes 
82.9 	the chemical content of the hazardous substances, contact information for the shipper, and 
82.10 	instructions for dealing with release of the material. A railroad may provide information 
82.11 	through the train orders on board the train, facsimile, or electronic transmission.
82.12 	(c) Within one hour of confirmation of a discharge, a railroad must provide a qualified 
82.13 	company employee representative to advise the incident commander, help assess the situation, 
82.14 	initiate railroad response actions as needed, and provide advice and recommendations to 
82.15 	the incident commander regarding the response. The employee may be made available by 
82.16 	telephone, and must be authorized to deploy all necessary response resources of the railroad.
82.17 	(c) (d) Within three hours of confirmation of a discharge, a railroad must be capable of 
82.18 	delivering monitoring equipment and a trained operator to assist in protection of responder 
82.19 	and public safety. A plan to ensure delivery of monitoring equipment and an operator to a 
82.20 	discharge site must be provided each year to the commissioner of public safety.
82.21 	(d) (e) Within three hours of confirmation of a discharge, a railroad must provide (1) 
82.22 	qualified personnel at a discharge site to assess the discharge and to advise the incident 
82.23 	commander, and (2) resources to assist the incident commander with ongoing public safety 
82.24 	and scene stabilization.
82.25 	(e) (f) A railroad must be capable of deploying containment boom from land across 
82.26 	sewer outfalls, creeks, ditches, and other places where oil or hazardous substances may 
82.27 	drain, in order to contain leaked material before it reaches those resources. The arrangement 
82.28 	to provide containment boom and staff may be made by:
82.29 	(1) training and caching equipment with local jurisdictions;
82.30 	(2) training and caching equipment with a fire mutual-aid group;
82.31 	(3) means of an industry cooperative or mutual-aid group;
82.32 	(4) deployment of a contractor;
82.33 	(5) deployment of a response organization under state contract; or
83.1 	(6) other dependable means acceptable to the Pollution Control Agency.
83.2 	(f) (g) Each arrangement under paragraph (e) (f) must be confirmed each year. Each 
83.3 	arrangement must be tested by drill at least once every five years.
83.4 	(g) (h) Within eight hours of confirmation of a discharge, a railroad must be capable of 
83.5 	delivering and deploying containment boom, boats, oil recovery equipment, trained staff, 
83.6 	and all other materials needed to provide:
83.7 	(1) on-site containment and recovery of a volume of oil equal to ten percent of the 
83.8 	calculated worst case discharge at any location along the route; and
83.9 	(2) protection of listed sensitive areas and potable water intakes within one mile of a 
83.10 	discharge site and within eight hours of water travel time downstream in any river or stream 
83.11 	that the right-of-way intersects.
83.12 	(h) (i) Within 60 hours of confirmation of a discharge, a railroad must be capable of 
83.13 	delivering and deploying additional containment boom, boats, oil recovery equipment, 
83.14 	trained staff, and all other materials needed to provide containment and recovery of a worst 
83.15 	case discharge and to protect listed sensitive areas and potable water intakes at any location 
83.16 	along the route.
83.17 		Subd. 5.Railroad drills Environmental response exercises. (a) Each railroad must 
83.18 	conduct at least one oil containment, recovery, and sensitive area protection drill exercises 
83.19 	as follows: (1) at least one tabletop exercise every year; and (2) at least one full-scale exercise
83.20 	every three years,. Each exercise must be at a location, date, and time and in the manner 
83.21 	chosen by the Pollution Control Agency, and attended by safety representatives of railroad 
83.22 	employees governed by the Railway Labor Act.
83.23 	(b) To the extent feasible, the commissioner of the Pollution Control Agency shall 
83.24 	coordinate each exercise with exercises required by federal agencies.
83.25 		Subd. 6.Prevention and response plans; requirements, submission. (a) By June 30, 
83.26 	2015, A railroad shall submit the prevention and response plan required under section 
83.27 	115E.04, as necessary to comply with the requirements of this section, to the commissioner 
83.28 	of the Pollution Control Agency on a form designated by the commissioner.
83.29 	(b) By June 30 of In every third year following a plan submission under this subdivision, 
83.30 	or sooner as provided under section 115E.04, subdivision 2, a railroad must update and 
83.31 	resubmit the prevention and response plan to the commissioner.
83.32 		Subd. 7.Environmental response plan data. A prevention and response plan provided 
83.33 	under this section is nonpublic data, as defined under section 13.02, subdivision 9.

84.1 	Sec. 4. Minnesota Statutes 2016, section 219.015, is amended to read:
84.2 	219.015 STATE RAIL SAFETY INSPECTOR INSPECTION PROGRAM.
84.3 		Subdivision 1.Positions established; duties. (a) The commissioner of transportation 
84.4 	shall establish three state rail safety inspector positions in the Office of Freight and 
84.5 	Commercial Vehicle Operations of the Minnesota Department of Transportation. On or 
84.6 	after July 1, 2015, and the commissioner may establish a fourth up to six state rail safety 
84.7 	inspector position inspection program positions following consultation with railroad 
84.8 	companies. The commissioner shall apply to and enter into agreements with the Federal 
84.9 	Railroad Administration (FRA) of the United States Department of Transportation to 
84.10 	participate in the federal State Rail Safety Participation Program for training and certification 
84.11 	of an inspector under authority of United States Code, title 49, sections 20103, 20105, 
84.12 	20106, and 20113, and Code of Federal Regulations, title 49, part 212.
84.13 	(b) A state rail safety inspector shall may inspect mainline track, secondary track, and 
84.14 	yard and industry track; inspect railroad right-of-way, including adjacent or intersecting 
84.15 	drainage, culverts, bridges, overhead structures, and traffic and other public crossings; 
84.16 	inspect yards and physical plants; inspect train equipment; review and enforce safety 
84.17 	requirements; review maintenance and repair records; and review railroad security measures.
84.18 	(c) A state rail safety inspector may perform, but is not limited to, the duties described 
84.19 	in the federal State Rail Safety Participation Program. An inspector may train, be certified, 
84.20 	and participate in any of the federal State Rail Safety Participation Program disciplines, 
84.21 	including: track, signal and train control, motive power and equipment, operating practices 
84.22 	compliance, hazardous materials, and highway-rail grade crossings.
84.23 	(d) To the extent delegated by the Federal Railroad Administration and authorized by 
84.24 	the commissioner, an inspector may issue citations for violations of this chapter, or to ensure 
84.25 	railroad employee and public safety and welfare.
84.26 		Subd. 2.Railroad company assessment; account; appropriation. (a) As provided in 
84.27 	this subdivision, the commissioner shall annually assess railroad companies that are (1) 
84.28 	defined as common carriers under section 218.011; (2) classified by federal law or regulation 
84.29 	as Class I Railroads, Class I Rail Carriers, Class II Railroads, or Class II Carriers; and (3) 
84.30 	operating in this state.
84.31 	(b) The assessment must be by a division of calculated to allocate state rail safety 
84.32 	inspector inspection program costs in equal proportion between proportionally among
84.33 	carriers based on route miles operated in Minnesota, assessed in equal amounts for 365 days 
84.34 	of the calendar year at the time of assessment. The commissioner shall assess include in the 
85.1 	assessment calculation all program or additional position start-up or re-establishment costs,;
85.2 	all related costs of initiating the state rail safety inspector inspection program, including but 
85.3 	not limited to inspection, administration, supervision, travel, equipment, and training; and
85.4 	costs of ongoing state rail inspector duties.
85.5 	(c) The assessments collected under this subdivision must be deposited in a special 
85.6 	account in the special revenue fund, to be known as the state rail safety inspection account, 
85.7 	which is established in the special revenue fund. The account consists of funds as provided 
85.8 	by this subdivision, and any other money donated, allotted, transferred, or otherwise provided 
85.9 	to the account. Money in the account is appropriated to the commissioner for the 
85.10 	establishment and ongoing responsibilities of the state rail safety inspector inspection
85.11 	program.
85.12 		Subd. 3.Work site safety coaching program. The commissioner may exempt a common 
85.13 	carrier not federally classified as Class I from violations for a period of up to two years if 
85.14 	the common carrier applies for participation in a work site safety coaching program, such 
85.15 	as the "MNSharp" program administered by the Minnesota Department of Labor and Industry, 
85.16 	and the commissioner determines such participation to be preferred enforcement for safety 
85.17 	or security violations.
85.18 		Subd. 4.Appeal. Any person aggrieved by an assessment levied under this section may 
85.19 	appeal within 90 days any assessment, violation, or administrative penalty to the Office of 
85.20 	Administrative Hearings, with further appeal and review by the district court.

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

85.22 	Sec. 5. [219.925] INCIDENT EMERGENCY RESPONSE; PREPAREDNESS AND 
85.23 	INFORMATION.
85.24 		Subdivision 1.Definitions. (a) For purposes of this section, the following terms have 
85.25 	the meanings given them.
85.26 	(b) "Emergency manager" means the director of a local organization for emergency 
85.27 	management under section 12.25.
85.28 	(c) "Hazardous substance" has the meaning given in Code of Federal Regulations, title 
85.29 	49, section 171.8.
85.30 	(d) "Incident commander" means the official who has responsibility, following National 
85.31 	Incident Management System guidelines, for all aspects of emergency response operations 
85.32 	at an incident scene, including directing and controlling resources.
86.1 	(e) "Oil" has the meaning given in section 115E.01, subdivision 8.
86.2 	(f) "Rail carrier" means a railroad company that is:
86.3 	(1) defined as a common carrier under section 218.011;
86.4 	(2) classified by federal law or regulation as Class I Railroad, Class I Rail Carrier, Class 
86.5 	II Railroad, Class II Carrier, Class III Railroad, or Class III Carrier; and
86.6 	(3) operating in this state.
86.7 		Subd. 2.Traffic review. Within ten business days of receiving a written request, a rail 
86.8 	carrier shall provide a traffic review to a requesting emergency manager or fire chief having 
86.9 	jurisdiction along the routes over which oil and other hazardous substances are transported. 
86.10 	The traffic review under this subdivision must include information on the types and volumes 
86.11 	of oil and other hazardous substance transported through the requester's jurisdiction during 
86.12 	the prior calendar year.
86.13 		Subd. 3.Emergency response planning; information sharing. Upon written request, 
86.14 	a rail carrier shall provide to an emergency manager or fire chief having jurisdiction along 
86.15 	the routes over which oil and other hazardous substances are transported:
86.16 	(1) a complete copy of prevention and response plans submitted under section 115E.042, 
86.17 	subdivision 6; and
86.18 	(2) a copy of the data and information, including risk assessment information, used to 
86.19 	develop the rail carrier's route analysis as required under Code of Federal Regulations, title 
86.20 	49, section 172.820, or successor requirements.
86.21 		Subd. 4.Emergency response planning; coordination meetings. (a) Within 30 days 
86.22 	of receiving a written request, a rail carrier must be available to meet with a requesting 
86.23 	emergency manager or fire chief having jurisdiction along the routes over which oil and 
86.24 	other hazardous substances are transported, concerning emergency response planning and 
86.25 	coordination.
86.26 	(b) At a meeting held under this subdivision, a rail carrier must provide:
86.27 	(1) a review of the rail carrier's emergency response planning and capability, including 
86.28 	railroad response timelines and resources to provide (i) technical advice and 
86.29 	recommendations, (ii) trained response personnel, (iii) specialized equipment, and (iv) any 
86.30 	other available resources to support an incident commander who conducts a public safety 
86.31 	emergency response under the National Incident Management System; and
87.1 	(2) inventory information on emergency response involving oil or other hazardous 
87.2 	substance, consisting of:
87.3 	(i) equipment owned by the rail carrier, including equipment type and location;
87.4 	(ii) response personnel of the rail carrier, including contact information and location; 
87.5 	and
87.6 	(iii) resources available to the rail carrier through contractual agreements.
87.7 		Subd. 5.Real-time emergency response information. (a) The commissioner of public 
87.8 	safety shall, through the Minnesota Fusion Center, receive and disseminate emergency 
87.9 	response information as provided under section 7302 of the FAST Act of 2015, Public Law 
87.10 	114-94, and federal regulations adopted under that section.
87.11 	(b) On and after July 1, 2018, all rail carriers subject to this section shall collectively 
87.12 	provide to emergency responders, through an Internet-based format, the information on 
87.13 	transportation of oil and other hazardous substances provided by rail carriers through a 
87.14 	wireless communications device application on the effective date of this section.
87.15 		Subd. 6.Public safety response exercises. (a) Each rail carrier must conduct one tabletop 
87.16 	public safety emergency response exercise in each emergency management region in which 
87.17 	the rail carrier transports oil and other hazardous substances. The exercises must be conducted 
87.18 	by July 1, 2018, and July 1 every two years thereafter.
87.19 	(b) Each rail carrier must conduct one full-scale exercise every four years.
87.20 	(c) In a emergency management region in which more than one rail carrier operates, the 
87.21 	rail carriers may conduct the exercises jointly or may alternate among rail carriers to conduct 
87.22 	the exercise.
87.23 	(d) To the extent feasible, the rail carriers shall coordinate the exercises among each 
87.24 	other and with exercises under section 115E.042, subdivision 5.
87.25 		Subd. 7.Transportation and response planning data. Any data provided under 
87.26 	subdivisions 3 to 6 to an emergency manager, incident commander, emergency first 
87.27 	responder, fire chief, or the commissioner of public safety are nonpublic data, as defined 
87.28 	under section 13.02, subdivision 9.

87.29 	Sec. 6. Minnesota Statutes 2016, section 299A.55, is amended to read:
87.30 	299A.55 RAILROAD AND PIPELINE SAFETY INCIDENT PREPAREDNESS; 
87.31 	OIL AND OTHER HAZARDOUS MATERIALS SUBSTANCES.
88.1 		Subdivision 1.Definitions. (a) For purposes of this section, the following terms have 
88.2 	the meanings given them.
88.3 	(b) "Applicable rail carrier" means a railroad company that is subject to an assessment 
88.4 	under section 219.015, subdivision 2.
88.5 	(c) "Hazardous substance" has the meaning given in section 115B.02, subdivision 8
88.6 	Code of Federal Regulations, title 49, section 171.8.
88.7 	(d) "Oil" has the meaning given in section 115E.01, subdivision 8.
88.8 	(e) "Pipeline company" means any individual, partnership, association, or public or 
88.9 	private corporation who owns and operates pipeline facilities and is required to show specific 
88.10 	preparedness under section 115E.03, subdivision 2.
88.11 		Subd. 2.Railroad and pipeline safety incident account. (a) A railroad and pipeline 
88.12 	safety incident account is created in the special revenue fund. The account consists of funds 
88.13 	collected under subdivision 4 and funds donated, allotted, transferred, or otherwise provided 
88.14 	to the account.
88.15 	(b) $104,000 An amount necessary for environmental protection activities related to 
88.16 	railroad discharge preparedness under section 115E.042 is annually appropriated from the 
88.17 	railroad and pipeline safety incident account to the commissioner of the Pollution Control 
88.18 	Agency for environmental protection activities related to railroad discharge preparedness 
88.19 	under chapter 115E those purposes.
88.20 	(c) Following the appropriation in paragraph (b), the remaining money in the account 
88.21 	is annually appropriated to the commissioner of public safety for the purposes specified in 
88.22 	subdivision 3.
88.23 		Subd. 3.Allocation of funds. (a) Subject to funding appropriated for this subdivision, 
88.24 	the commissioner shall provide funds for training and response preparedness related to (1) 
88.25 	derailments, discharge incidents, or spills involving trains carrying oil or other hazardous 
88.26 	substances, and (2) pipeline discharge incidents or spills involving oil or other hazardous 
88.27 	substances.
88.28 	(b) The commissioner shall allocate available funds as follows:
88.29 	(1) $100,000 annually for emergency response teams; and
88.30 	(2) the remaining amount to the Board of Firefighter Training and Education under 
88.31 	section 299N.02 and the Division of Homeland Security and Emergency Management.
89.1 	(c) Prior to making allocations under paragraph (b), the commissioner shall consult with 
89.2 	the Fire Service Advisory Committee under section 299F.012, subdivision 2.
89.3 	(d) The commissioner and the entities identified in paragraph (b), clause (2), shall 
89.4 	prioritize uses of funds based on:
89.5 	(1) firefighter training needs;
89.6 	(2) community risk from discharge incidents or spills;
89.7 	(3) geographic balance; and
89.8 	(4) risks to the general public; and
89.9 	(5) recommendations of the Fire Service Advisory Committee.
89.10 	(e) The following are permissible uses of funds provided under this subdivision:
89.11 	(1) training costs, which may include, but are not limited to, training curriculum, trainers, 
89.12 	trainee overtime salary, other personnel overtime salary, and tuition;
89.13 	(2) costs of gear and equipment related to hazardous materials readiness, response, and 
89.14 	management, which may include, but are not limited to, original purchase, maintenance, 
89.15 	and replacement;
89.16 	(3) supplies related to the uses under clauses (1) and (2); and
89.17 	(4) emergency preparedness planning and coordination.;
89.18 	(5) public safety emergency response exercises under section 219.925, subdivision 6; 
89.19 	and
89.20 	(6) public education and outreach, including but not limited to:
89.21 	(i) informing and engaging the public regarding hazards of derailments and discharge 
89.22 	incidents;
89.23 	(ii) assisting in development of evacuation readiness;
89.24 	(iii) undertaking public information campaigns; and
89.25 	(iv) providing accurate information to the media on likelihood and consequences of 
89.26 	derailments and discharge incidents.
89.27 	(f) Notwithstanding paragraph (b), clause (2), from funds in the railroad and pipeline 
89.28 	safety incident account provided for the purposes under this subdivision, the commissioner 
89.29 	may retain a balance in the account for budgeting in subsequent fiscal years.
90.1 		Subd. 4.Assessments. (a) The commissioner of public safety shall annually assess 
90.2 	$2,500,000 to railroad and pipeline companies based on the formula specified in paragraph 
90.3 	(b). The commissioner shall deposit funds collected under this subdivision in the railroad 
90.4 	and pipeline safety incident account under subdivision 2.
90.5 	(b) The assessment for each railroad is 50 percent of the total annual assessment amount, 
90.6 	divided in equal proportion between applicable rail carriers based on route miles operated 
90.7 	in Minnesota. The assessment for each pipeline company is 50 percent of the total annual 
90.8 	assessment amount, divided in equal proportion between companies based on the yearly 
90.9 	aggregate gallons of oil and hazardous substance transported by pipeline in Minnesota.
90.10 	(c) The assessments under this subdivision expire July 1, 2017.

90.11 	Sec. 7. REVISOR'S INSTRUCTION.
 90.12 	The revisor of statutes shall recodify Minnesota Statutes, section 115E.042, subdivision 
90.13 	2, as Minnesota Statutes, section 219.925, subdivision 8, and Minnesota Statutes, section 
90.14 	115E.042, subdivision 3, as Minnesota Statutes, section 219.925, subdivision 4. The revisor 
90.15 	shall correct any cross-references made necessary by this recodification.

APPENDIX 

Repealed Minnesota Statutes: S0210-3 

No active language found for: 123A.446