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SF 3269

Introduction - 94th Legislature (2025 - 2026)

Posted on 04/04/2025 09:37 a.m.

KEY: stricken = removed, old language.
underscored = added, new language.
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A bill for an act
relating to transportation; eliminating highway toll collection authority; providing
for reallocation of certain user fee revenue; appropriating money; amending
Minnesota Statutes 2024, sections 160.845; 160.93, subdivisions 1, 5; 473.4485,
subdivision 1; repealing Minnesota Statutes 2024, section 160.93, subdivisions 2,
2a.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

Section 1.

Minnesota Statutes 2024, section 160.845, is amended to read:


160.845 RESTRICTIONS ON TOLL FACILITY.

deleted text begin (a)deleted text end A road authority, including the governing body of a city, or a private operator may
not convert, transfer, or utilize any portion of a highway to impose tolls or for use as a toll
facility. A road authority, including the governing body of a city, or a private operator may
not limit operation of a commercial motor vehicle, as defined in section 169.011, subdivision
16
, to a toll facility or otherwise require that a commercial motor vehicle use the tolled
portion of a highway.

deleted text begin (b) This section does not apply to (1) any toll facility or high-occupancy vehicle lane
constructed, converted, or established before September 1, 2007, (2) any additional lane,
including a priced dynamic shoulder lane, high-occupancy vehicle lane, or high-occupancy
toll lane, added to a highway after September 1, 2007, and (3) any other general purpose
lane that adds capacity.
deleted text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2025.
new text end

Sec. 2.

Minnesota Statutes 2024, section 160.93, subdivision 1, is amended to read:


Subdivision 1.

Fees deleted text begin authorizeddeleted text end new text begin prohibitednew text end .

deleted text begin To improve efficiency and provide more
options to individuals traveling in a trunk highway corridor,
deleted text end The commissioner of
transportation deleted text begin maydeleted text end new text begin must notnew text end charge user fees deleted text begin to owners or operators of single-occupant
vehicles using
deleted text end new text begin for the operation of vehicles innew text end dynamic shoulder lanes as designated by the
commissioner and any designated high-occupancy vehicle lanes. deleted text begin The fees may be collected
using electronic or other toll-collection methods and may vary in amount with the time of
day and level of traffic congestion within the corridor. The commissioner shall consult with
the Metropolitan Council and obtain necessary federal authorizations before implementing
user fees on a high-occupancy vehicle lane or dynamic shoulder lane. Fees under this section
are not subject to section 16A.1283.
deleted text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2025.
new text end

Sec. 3.

Minnesota Statutes 2024, section 160.93, subdivision 5, is amended to read:


Subd. 5.

Dynamic shoulder lanes.

(a) The commissioner may designate dynamic
shoulder lanes on freeways. The commissioner may operate dynamic shoulder lanes as
deleted text begin priced lanes,deleted text end general purpose lanes, high-occupancy vehicle lanes, or as shoulders as defined
in section 169.011, subdivision 74. The commissioner may prescribe the conditions under
which the lanes may be used.

(b) The commissioner may not operate a dynamic shoulder lane on marked deleted text begin Trunkdeleted text end new text begin
Interstate
new text end Highway 35W from its intersection with marked deleted text begin Trunkdeleted text end new text begin Interstatenew text end Highway 94 to
its intersection with marked Trunk Highway 62 as a general purpose lane. A dynamic
shoulder lane along this portion of marked deleted text begin Trunkdeleted text end new text begin Interstatenew text end Highway 35W may only be
used by:

(1) a vehicle with more than one occupant;

deleted text begin (2) a single-occupant vehicle if the fee under subdivision 1 is paid;
deleted text end

deleted text begin (3)deleted text end new text begin (2)new text end a transit bus providing public transportation, as defined in section 174.22,
subdivision 7
; and

deleted text begin (4)deleted text end new text begin (3)new text end an authorized emergency vehicle, as defined in section 169.011, subdivision 3.

(c) The commissioner deleted text begin shalldeleted text end new text begin mustnew text end erect signs to indicate when the lanes may be used.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2025.
new text end

Sec. 4.

Minnesota Statutes 2024, section 473.4485, subdivision 1, is amended to read:


Subdivision 1.

Definitions.

(a) For purposes of this section, the following terms have
the meanings given.

(b) "Busway" means a form of bus service provided to the public on a regular and ongoing
basis, including arterial or highway bus rapid transit, that (1) compared to other regular
route bus service, provides reduced travel time and uses distinct bus stop or station amenities,
and (2) does not primarily or substantially operate within separated rights-of-way.

(c) "Commissioner" means the commissioner of transportation.

(d) "Guideway" means a form of transportation service provided to the public on a
regular and ongoing basis that primarily or substantially operates within separated
rights-of-way or operates on rails, and includes:

(1) each line for intercity passenger rail, commuter rail, light rail transit, and streetcars;

(2) as applicable, each line for dedicated bus service, which may include arterial or
highway bus rapid transit, limited stop bus service, and express bus service; and

(3) any intermodal facility serving two or more lines identified in clauses (1) and (2).

Guideway does not include a busway.

(e) "Local unit of government" means a county, statutory or home rule charter city, town,
or other political subdivision including, but not limited to, a regional railroad authority or
joint powers board.

(f) "Separated rights-of-way" includes exclusive, dedicated, or primary use of a
right-of-way by the public transportation service. Separated rights-of-way does not include
a shoulderdeleted text begin ,deleted text end new text begin ornew text end dynamic shoulder lanedeleted text begin , or priced lanedeleted text end under section 160.93.

(g) "Sources of funds" includes, but is not limited to, money from federal aid, state
appropriations, the Metropolitan Council, special taxing districts, local units of government,
farebox recovery, and nonpublic sources.

(h) "Budget activity" includes, but is not limited to, environmental analysis, land
acquisition, easements, design, preliminary and final engineering, acquisition of vehicles
and rolling stock, track improvement and rehabilitation, and construction.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2025.
new text end

Sec. 5. new text begin TOLLING ELIMINATION; REALLOCATION OF FUNDS.
new text end

new text begin Subdivision 1. new text end

new text begin Cancellations. new text end

new text begin (a) The uncommitted balances in each high-occupancy
vehicle lane user fee account established under Minnesota Statutes, section 160.93,
subdivision 2, are canceled to the general fund on June 29, 2025.
new text end

new text begin (b) The uncommitted balance in the I-35W high-occupancy vehicle and dynamic shoulder
lane account under Minnesota Statutes, section 160.93, subdivision 2a, is canceled to the
general fund on June 29, 2025.
new text end

new text begin Subd. 2. new text end

new text begin Appropriation. new text end

new text begin The amount necessary, not to exceed the amount canceled
under subdivision 1, is appropriated in fiscal year 2026 from the general fund to the
commissioner of transportation for costs related to implementing the requirements of this
act, including but not limited to any fee collection system payments and signage.
new text end

new text begin Subd. 3. new text end

new text begin Transfer. new text end

new text begin The commissioner of transportation must determine a transfer amount
that equals the amount canceled under subdivision 1 less the amount expended under
subdivision 2 and must transfer that amount in fiscal year 2026 from the general fund to
the trunk highway fund.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment.
new text end

Sec. 6. new text begin REPEALER.
new text end

new text begin Minnesota Statutes 2024, section 160.93, subdivisions 2 and 2a, new text end new text begin are repealed.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective June 30, 2025.
new text end

APPENDIX

Repealed Minnesota Statutes: 25-05166

160.93 USER FEES; HIGH-OCCUPANCY VEHICLE AND DYNAMIC SHOULDER LANES.

Subd. 2.

Deposit of revenues; appropriation.

(a) Except as provided in subdivision 2a, money collected from fees authorized under subdivision 1 must be deposited in a high-occupancy vehicle lane user fee account in the special revenue fund. A separate account must be established for each trunk highway corridor. Money in the account is appropriated to the commissioner.

(b) From this appropriation the commissioner shall first repay the trunk highway fund and any other fund source for money spent to install, equip, or modify the corridor for the purposes of subdivision 1, and then shall pay all the costs of implementing and administering the fee collection system for that corridor.

(c) The commissioner shall spend remaining money in the account as follows:

(1) one-half must be spent for transportation capital improvements within the corridor; and

(2) one-half must be transferred to the Metropolitan Council for expansion and improvement of bus transit services within the corridor beyond the level of service provided on the date of implementation of subdivision 1.

Subd. 2a.

I-35W high-occupancy vehicle and dynamic shoulder lane account.

(a) An I-35W high-occupancy vehicle and dynamic shoulder lane account is established in the special revenue fund. Money collected from fees authorized under subdivision 1 for the marked Interstate Highway 35W (I-35W) corridor must be deposited in the account and used as described in this subdivision. Money in the account is appropriated to the commissioner.

(b) During the first year of revenue operations, the commissioner shall use the money received in that year to pay the costs of operating and administering the fee collection system within the corridor, up to $1,000,000. Any remaining money must be transferred to the Metropolitan Council for improvement of bus transit services within the I-35W corridor including transit capital expenses.

(c) During the second and subsequent years of revenue operations, the commissioner shall use money in the account as follows:

(1) each year, allocate the lesser amount of $1,000,000 or 75 percent of the revenues for operating and administering the fee collection system within the corridor;

(2) transfer the remaining amount up to the amount allocated under clause (1) to the Metropolitan Council for improvement of bus transit within the corridor including capital expenses; and

(3) allocate any remaining amount as follows: (i) 25 percent to the commissioner for operating and administering the fee collection system within the corridor and for transportation capital improvements that are consistent with the goals of the urban partnership agreement and that are located within the corridor and (ii) 75 percent to the Metropolitan Council for improvement of bus transit services within the corridor including transit capital expenses.